Name: ________________________ Marketing – Chap 1.4 - The Changing Marketing Landscape Landscape pg. 25 - 30 Discussion Questions List the FOUR major developments discussed in this section. 1. The Digital Age 2. Rapid Globalization 3. Ethics and Social Responsibility 4. Growth of not-for-profit marketing and organizations
Digital Age What is the digital age? The digital age resulted from the explosive growth in computer, telecommunications, telecommunications, information, transportation and other technologies. The result is that businesses and consumers can communicate almost instantaneously and our entire world is electronically connected. This changed the way companies bring value to their customers.
How has technology changed the way consumers and businesses communicate? Consumers and businesses can communicate much quicker and information moves freely.
What new advertising mediums have been created by technology? Cell phones, iPods, DVR’s, Web Sites, Interactive TV, Video Kiosks etc.
What are companies using the internet to do? To build close relationships with customers and marketing partners. It has given companies access to different markets around the world. The internet to some extent has erased traditional geographic boundaries.
What is the current number of internet users worldwide? What is expected in 2010? 1.2 Billion. It will grow to 1.8 billion by 2010.
What is the fastest growing form of marketing? Online marketing is now the fastest-growing form of marketing.
Rapid Globalization How much of Mcdonalds revenues is generated outside the U.S.? 65 Percent of McDonald’s revenue from outside the U.S. How much of Nike’s sales are generated outside of the U.S.? 53 percent of Nike’s sales are generated outside the U.S.
After reading the Globalization section, create a complete detailed working definition of “Globalization” Globalization in its literal sense is the process of transformation of local or regional phenomena into global ones. It can be described as a process of blending or homogenization by which the people of the world are unified into a single society and function together. This process is a combination of economic, technological, sociocultural and political forces. Globalization is often used to refer to economic globalization, that is, integration of national economies into the international economy through trade, foreign direct investment, capital flows, migration, and the spread of technology.
Call for More Ethics and Social Responsibility Responsibility How can marketers leverage ethical and social responsibility to better market their firm? By promoting the ethical and socially responsible practices of the company, marketers will be able to attract new customers that support more ethical and social responsibility from companies.
Give an example of a company who uses positive ethics and social responsibility to improve their company image. How? Why? (Do not give an example mentioned in the book) Google, Target, Ben and Jerry’s
Not-for-Profit Marketing What is a Not-for-Profit organization? organization? An organization that exists to fulfill a charitable, educational, or humanitarian purpose instead of making a profit. These organizations are exempt from paying sales and income tax, unless they undertake profit-making activities that are extensive enough to risk their tax-free status. Donations to not-for-profit corporations are tax deductible for the donor. Also called nonprofit.
What are the marketing trends for not-for-profits? Not-for-profit organizations are increasing in number and are facing more competition from traditional for-profit organizations. Not-for-profit organizations are using their more ethical and socially responsible stance to help market their organization to customers.
Putting it All Together Read this section and provide a 5 sentence summary of Chapter 1. Chapter 1 initially focuses on how marketers can create value for customers by creating and managing profitable relationships with customers. Marketers must then capture this value by classifying and managing the profitability of their customers. Finally, companies must react and execute their marketing plans in a globalized world where information and ideas move freely around the world.
