教学大纲

VIII. Description of Sessions

Session 1Marketing: Managing profitable CR

1. Teaching Objectives

Upon completion of this session, students are expected to be able to:

1.1. Define marketing properly and outline the steps in the marketing process.

1.2. Explain the importance of understanding customers and the marketplace, and identify the five core marketplace concepts.

1.3. Identify the key elements of a customer-driven marketing strategy and discuss the marketing management orientations that guide marketing strategy.

1.4. Discuss about customer relationship management, and identify strategies for creating value for customers and capturing value from customers in return.

Discuss the major trends and forces that are changing the marketing landscape in this age of relationships.

2. Concepts and Terms

Students are expected to have a good command of the following concepts by previewing and reviewing the relevant parts of the text:
  Marketing 5                Need 6
  Want 6                   Demands 6
  Marketing off 6              Exchange 9
  Transaction 9               Market 10
  Marketing management 11          Demarketing 11
  Production concept 12           Product concept 12
  Marketing concept 12            Selling concept 12
  Society marketing concept 14        Customer lifetime value 16
  Customer relationship management 16     Customer satisfaction 17
  Customer perceived value 17        Customer equity 21
  Partnership relationship management 27   Internet 24

3. Focal Points

3.1. Marketing is defined as “a social and managerial process by which individuals and groups obtain what they need and want through creating and exchanging products and value with others.”

3.2. Marketers must be aware of customer value and customer satisfaction and make these concepts a central part of the firm’s strategic plan. Marketing must also be aware of and respond to change.

3.3 Marketing core concepts, the exchange relationship, the major philosophies of marketing thought and practice, customer relationship management, and marketing challenges in the new “connected” millennium are the major topics.

4. Exercises and Discussion

4.1. Issues for Discussion:

4.1.1. To understand Chinese companies better, it’s advisable to invite students’ to “illustrate the production concept, product concept, selling concept, marketing concept and societal marketing concept with the examples of Chinese companies respectively”.

4.2 Application Exercise:

4.2.1. From those under APPLYING THE CONCEPT, Chapter 1(p.35), select and assign the students mini case 2 for application exercise. This case can also be adapted to suit Chinese context against which TaoBao.net has been operating, A brief discussion of the case should be held in Session 2.

5. Case Analysis

5.1. At the end of Session 1, assign all the students the questions attached to the case titled《海尔集团》from《当代营销学案例集》(pp.1-17) for discussion, and Group 1 & 2 the task of presentation in Session 2. The two groups are also expected to update the case with the current development.

Session 2Environment and Opportunities

1. Teaching Objectives

Upon completion of this session, it is expected that students should be able to:

1.1. Describe the environmental forces that affect the company’s ability to serve its customers.

1.2. Explain how changes in the demographic and economic environments affect marketing decisions.

1.3. Identify the major trends in the firm’s natural and technological environments.

1.4. Explain the key changes in the political and cultural environments.

1.5. Discuss how companies can react to the marketing environment.

2. Concepts and Terms

Students are expected to have a good command of the following concepts by previewing and reviewing the relevant parts of the text:
  Marketing Environment 106       Microenvironment 107
  Marketing Intermediaries 108     Public 110
  Macroenvironment 107         Baby Boomers 112
  Demography 111            Generation X 114
  Generation Y 114           Economic Environment 120
  Engel’s Laws 122           Natural Environment 123
  Technological Environment 124     Political Environment 125
  Cultural Environment 127

3. Focal Points

3.1. Suppliers form an important link in the company’s overall customer value delivery system.

3.2. The economic environment consists of factors that affect consumer purchasing power and spending patterns.

3.3. Although core values are fairly persistent, cultural swings do take place. Marketers want to predict cultural shifts in order to spot new opportunities or threats.

3.4. By constantly looking at the dynamic changes that are occurring in the aforementioned environments, companies are better prepared to adapt to change, prepare long-range strategy, meet the needs of today’s and tomorrow’s customers, and compete with the intense competition present in the global marketplace.

4. Exercises and Discussion

4.1. Issues for Discussion:

4.1.1. What is(are) the important trend(s) in Chinese consumers’concern for cosmetics?

4.2. Application Exercise:

4.2.1. List the six actors in the company’s microenvironment. Next, go to the Wal-Mart Web site at www.walmart.com, scroll down to Investor Relations section and click on the most recent annual report. In the annual report, how many of the six microenvironment actors can you find? Briefly describe each.

5. Case Analysis

5.1. “Prius: Leading a Wave of Hybrids”, from Principles of Marketing 11th ed.

5.2 “日本女孩的校服热”,《市场营销学案例与实践》,p. 53.

Session 3Consumer Buying Behavior

1. Teaching Objectives

Upon completion of this session, it is expected that students should be able to:

1.1. Define the consumer market and construct a simple model of consumer buyer behavior.

1.2. Name the four major factors that influence consumer buyer behavior.

1.3. List and understand the major types of buying decision behavior and the stages in the buyer decision process.

1.4. Describe the adoption and diffusion process for new products.

2. Concepts and Terms

Students are expected to have a good command of the following concepts by previewing and reviewing the relevant parts of the text:
  Consumer Buyer Behavior 178          Consumer Market 178
  Culture 180                  Subculture 180
  Social Classes 183              Groups 183
  Opinion Leaders 184              Lifestyle 188
  Personality 190                Brand Personality 190
  Motive (or Drive) 191             Perception 193
  Learning 195                 Belief 196
  Attitude 196                 Complex Buying Behavior 197
  Dissonance-Reducing Buying Behavior 197    Habitual Buying Behavior 198
  Variety-Seeking Buying Behavior 198      Need Recognition 199
  Information Search 199            Alternative Evaluation 200
  Purchase Decision 200             Postpurchase Behavior 201
  Cognitive Dissonance 201           New Product 201
  Adoption Process 203

3. Focal Points

3.1. Buyer characteristics include four major factors: cultural, social, personal, and psychological.

3.2. Decisions vary based on the degree of buyer involvement and the degree of differences among brands.

3.3. The complex buying behavior involves dissonance-reducing buying behavior, habitual buying behavior, and variety-seeking buying behavior.

3.4. The simple model (consisting of five stages—need recognition, information search, evaluation of alternatives, purchase decision, and postpurchase behavior) ties together material about the buying decision process.

4. Exercises and Discussion

4.1. Issues for Discussion:

4.1.1. Which age-group, to your mind, is the major segment of Chinese cell-phone market?

4.1.2. Which first three attributes do Chinese college students are after in selecting cell-phone models?

4.1.3. Observe and describe the buying process of the college students, pointing out some helpful implications to the cell-phone marketers.

4.2. Application Exercise:

4.2.1. Talk to the smokers around you, and identify their needs and motivation of
consuming cigarettes.

5. Case Analysis

5.1. “Weight I’m on Atkins”, from Principles of Marketing 11th ed.

5.2. “全球化是否在改变各地的文化”, 《市场营销学案例与实践》,p. 88.

Session 4Business Buying Behavior

1. Teaching Objectives

Upon completion of this session, it is expected that students should be able to:

1.1. Define the business market and explain how business markets differ from consumer markets.

1.2. Identify the major factors that influence business buyer behavior.

1.3. List and define the steps in the business buying-decision process.

1.4. Compare the institutional and government markets and explain how institutional and government buyers make their buying decisions.

2. Concepts and Terms

Students are expected to have a good command of the following concepts by previewing and reviewing the relevant parts of the text:
  Business Buyer Behavior 214       Business Buying Process 214
  Derived Demand 215           Supplier Development
  Systems Selling 219           Buying Center 220
  Users, Influencers, Buyers 220,     Deciders, Gatekeepers 220
  New Task 219              Modified Rebuy 219
  Straight Rebuy 219           Problem Recognition 224
  General Need Description 225      Product Specification 225
  Value Analysis 225           Supplier Search 225
  Proposal Solicitation 225        Supplier Selection 225
  Order-Routine Specification 226     Performance Review 226
  Institutional Market 228        Government Market 229

3. Focal Points

3.1. The difference between the B-to-B and the B-to-C markets mainly lie in the nature of the buying unit, the types of decisions, and the decision process involved, etc.

3.2. Familiarize the students with the major models that explain the business buying process, including the “e-purchasing” process.

3.3. It’s necessary for the manufacturer to systematically develop networks of supplier-partners to ensure an appropriate and dependable supply of products and materials that are use in making their own products.

3.4. Examine two unique non-business markets—institutional and government markets. These markets have additional characteristics and needs. The special features.

4. Exercises and Discussion

4.1. Issues for Discussion:

4.1.1. Why is relationship marketing more important to the B2B than to the B2C players?

4.1.2. What’s the business model of Alibaba.com? How come Alibaba has succeeded in its e-hub?

4.1.3. What about Taobao.com?

4.2. Application Exercise:

4.2.1. Suppose that you own a small business that provides PC repair services to local businesses. In addition to the basic fix-it services you now provide, you are thinking about offering new services. Applying the “systems selling” concept, what additional services could you offer that would make a complete package or systems solution for your customers?

5. Case Analysis

5.1.《淘宝网:免费模式奠定赢利基础》,http://manage.org.cn/observe/200606/33479.html; 《淘宝的新长征 》,http://www.ftchinese.com/story/001035420。

5.2.《西斯尔石膏板厂》,from《当代营销学案例集》

Session 5Marketing Information System and Marketing

1. Teaching Objectives

Upon completion of this session, it is expected that students should be able to:

1.1. Explain the importance of information to the company and its understanding of the marketplace.

1.2. Define the marketing information system and discuss its parts.

1.3. Outline the steps in the marketing research process.

1.4. Explain how companies analyze and distribute marketing information.

1.5. Discuss the special issues some marketing researchers face, including public policy and ethics issues.

2. Concepts and Terms

Students are expected to have a good command of the following concepts by previewing and reviewing the relevant parts of the text:
  Marketing Information System (MIS) 143   Internal Databases 144
  Marketing Intelligence 145         Marketing Research 151
  Exploratory Research 148          Descriptive Research 148
  Causal Research 148             Secondary Data 149
  Primary Data 149              Online Databases 149
  Observational Research 151         Survey Research 154
  Experimental Research 154          Single-Source Data Systems 154
  Focus Group Interviewing 155        Online (Internet) Marketing Research 156
  Customer Relationship Management (CRM) 161 Sample157

3. Focal Points

3.1. Marketing information system (MIS) assesses information needs, develops needed information (generally from internal company data, marketing intelligence activities, marketing research, and information analysis procedures and sources) and distributes information to managers in the right form at the right time to help them make better marketing decisions.

3.2. The marketing research process consists of four steps: defining the problem and research objectives, developing the research plan, implementing the research plan, and interpreting and reporting the findings.

3.3. Acquisition of information and development of information systems will be one of the challenges and necessities of the twenty-first century. Companies must be careful, however, to respect the privacy of the consumers that are being studied.

4. Exercises and Discussion

4.1. Issues for Discussion:

4.1.1. Analyze Enterprise’s Service Quality Survey (Exhibit 1). What information is it trying to gather? What are its research objectives?

4.2. Application Exercise:

4.2.1. If we want to find out whether the electric bicycle has a potential demand in Beijing, Shanghai and Guangzhou, what secondary and primary data do we need? And how to get it?

4.2.2. If you are commissioned by上汽Group to survey awareness of and preference to its“荣威”brand in China, how would you define the (sample) population? In what way would you draw the sample?

5. Case Analysis

5.1. “Enterprise Rent-A-Car: Measuring Service Quality”, from Principles of Marketing 11th ed.

5.2. “汽车质量评分的意义何在”, 《市场营销学案例与实践》,p. 122.

Session 6Company and Marketing Strategy

1. Teaching Objectives

Upon completion of this session, it is expected that students should be able to:

1.1. Discuss the characteristics of high performance business.

1.2. Explain what is meant by "strategic" planning and the major steps in strategic planning.

1.3. Illustrate how to develop growth strategies and business portfolios.

1.4. Identify the strengths and weaknesses of the business portfolio techniques.

1.5. Elaborate the contribution of the steps of business unit planning to the development of a successful business strategy.

2. Concepts and Terms

Students are expected to have a good command of the following concepts by previewing and reviewing the relevant parts of the text:
  Holistic marketing        Value exploration
  Value creation          Value delivery
  Strategic Planning 41      Mission Statement 41
  SWOT Analysis          The Generic Competitive Strategies
  Business Portfolio 45      Portfolio Analysis 46
  Strategic Business Unit (SBU)  Growth-Share Matrix 47
  Market Penetration 48      Product/Market Expansion Grid 48
  Market Development 50      Product Development 50
  Diversification 50        Downsizing 50
  Marketing Process        Market Segment 54
  Market Segmentation 54      Target Marketing 54
  Market Positioning 55      Marketing Mix 56
  Marketing Strategy 59      The Five Competitive Forces That
                   Determine Industry Profitability

3. Focal Points

3.1. Holistic marketing addresses three key management questions: value exploration, value creation and value delivery.

3.2. Strategic Planning is the process of developing and maintaining a strategic fit between the organization’s goals and capabilities and its changing marketing opportunities.

3.3. Strategic planning consists of developing a company mission, objectives and goals, a business portfolio, and functional plans.

3.4. There are three generic types of strategic thinking: overall cost leadership, differentiation, and focus.

3.5. The product/market expansion grid shows four avenues for growth: market penetration, market development, product development, and diversification.

4. Exercises and Discussion

4.1. Issues for Discussion:

4.1.1.What threats have Chinese textile manufacturers and traders have been faced with since China entered WTO? To regain advantages, what strategies can be adopted?

4.1.2. How would you evaluate the diversification of many Chinese home appliance companies into the computer industry in the early 2000’s.

4.1.3. What’s the implication of the new logotype of Starbucks? Is it a good strategy?

4.2. Application Exercise:

4.2.1. Find a case history showing a particular company that has well turned the threats to opportunities, and state the factors to its success.

5. Case Analysis

5.1. 《英特尔公司》from《当代营销学案例集》

5.2. 《中国收获机械(集团)公司》from《当代营销学案例集》

Session 7Market Segmentation, Targeting and Positioning

1. Teaching Objectives

Upon completion of this session, it is expected that students should be able to:

1.1. Define the three steps of target marketing: market segmentation, target marketing, and market positioning.

1.2. List and discuss the major bases for segmenting consumer and business markets.

1.3. Explain how companies identify attractive market segments and choose a target marketing strategy.

1.4. Discuss how companies position their products for maximum competitive advantage in the marketplace.

2. Concepts and Terms

Students are expected to have a good command of the following concepts by previewing and reviewing the relevant parts of the text:
  Market Segmentation 239         Target Marketing 239
  Market Positioning 239          Geographic Segmentation 239
  Demographic Segmentation 240       Age and Life-Cycle Segmentation 241
  Gender Segmentation 242         Income Segmentation 243
  Psychographic Segmentation 244      Behavioral Segmentation 244
  Occasion Segmentation 244        Benefit Segmentation 245
  Intermarket Segmentation 250       Target Market 251
  Undifferentiated (or Mass)        Differentiated (or Segmented)
  Marketing 252              Marketing 252
  Concentrated (or Niche) Marketing 253  Local Marketing 254
  Micromarketing 254            Individual Marketing 254
  Product Position 258           Competitive Advantage 259
  Value Proposition 263          Positioning Statement 264

3. Focal Points

3.1. Market segmentation provides a method to divide or segment the market into narrow segments that can be better reached with the resources of the marketer.

3.2. Market targeting examines each of the designated segment’s attractiveness and chooses one or more that match the marketing desires and objectives of the organization.

3.3. Market positioning arranges for a product to occupy a clear, distinctive, and desirable place relative to competition in the consumer’s mind.

3.4. The set of decisions of STP serves as a guide in effectively arranging the company’s marketing mix so that the likelihood of consumer response and competitive advantage is maximized by the organization.

4. Exercises and Discussion

4.1. Issues for Discussion:

4.1.1. Applying the relevant principles, please evaluate the targeting and positioning strategies of 王老吉、荣威汽车 for their major products.

4.1.2. What do you think of the positioning strategy of M-Zone?

4.2. Application Exercise:

4.2.1. Assume that you are the marketing director for the school of business, and that the dean has asked you to prepare a positioning statement for the business school. Write a positioning statement using the form presented in the chapter.

5. Case Analysis

5.1. “GM: Downsizing the Hummer,” from Principles of Marketing 11th ed.

5.2. “辣沙司进入美国餐饮市场”, 《市场营销学案例与实践》,p. 110.

5.3. “浙江天正集团”, 《中欧案例经典》,pp. 286-292.

Session 8Product, Services and Branding Strategy

1. Teaching Objectives

Upon completion of this session, it is expected that students should be able to:

1.1. Define product and the major classifications of products and services.

1.2. Describe the decisions companies make regarding their individual products and services, product lines, and product mixes.

1.3. Discuss branding strategy—the decisions companies make in building and managing their brands.

1.4. Discuss how brands are differentiated.

1.5. Identify the four characteristics that affect the marketing of a service and the additional marketing considerations that services require.

1.6. Discuss two additional product issues: socially responsible product decisions and international product and services marketing.

2. Concepts and Terms

Students are expected to have a good command of the following concepts by previewing and reviewing the relevant parts of the text:
  Product 276                Service 276
  Consumer Product 280            Convenience Product 280
  Shopping Product 280            Specialty Product 280
  Unsought Product 281            Industrial Product 281
  Social Marketing 282            Product Quality 283
  Brand 285                 Packaging 286
  Product Mix (or Product Assortment) 290  Product Line 289
  Private Brand (or Store Brand) 293     Brand Equity 292
  Co-Branding 295              Line Extension 296
  Service Inseparability 299         Service Variability 299
  Service Perishability 299         Service-Profit Chain 300
  Internal Marketing 300           Interactive Marketing 300

3. Focal Points

3.1. Products and services can be thought of as occupying three levels: the core product, the actual product, and the augmented product.

3.2. Product strategy calls for making coordinated decisions on individual products, product lines, and the product mix.

3.3. A strong brand can be built through brand positioning, good brand name selection, positive brand sponsorship, and ongoing brand development.

3.4. Building brand equity depends on three main factors: (1) The initial choices for the brand elements or identities making up the brand; (2) The way the brand is integrated into the supporting marketing programs; (3) The associations indirectly transferred to the brand by linking the brand to some other entity (e.g., the company, country of origin, channel of distribution, or another brand).

3.5. Brand equity needs to be measured in order to be managed well. Brand audits are in-depth examinations of the health of a brand and can be used to set strategic direction for the brand.

3.6. The characteristics of services include intangibility, inseparability, variability, and perishability.

3.7. The ability to differentiate and produce high quality services is a must for the services marketer.

4. Exercises and Discussion

4.1. Issues for Discussion:

4.1.1. What is a brand? Describe the value of branding for both the buyer and seller.

4.1.2. Elaborate “brand equity” with a Chinese example.

4.2. Application Exercise:

4.2.1. Analyze and describe the different brand personalities of three typical car brands in China (e.g.斯柯达、荣威、哈弗). What are the major advantages and disadvantages of the brands? Are they successful in building their brands?

4.2.2. How come that 海底捞 has won such popularity? Try to interpret its success with the services marketing theory.

5. Case Analysis

5.1.《俞兆林的‘南极棉’》from《当代营销学案例集》

5.2. 李瑛,《海底捞的商业模式》,《IT经理世界》第250期, 经理世界网:http://www.ceocio.com.cn/12/93/318/181/36206.htm,2008-8-20。

Session 9New Product Development and Product Life Cycle

1. Teaching Objectives

Upon completion of this session, it is expected that students should be able to:

1.1. Explain how companies find and develop new-product ideas.

1.2. List and define the steps in the new-product development process.

1.3. Describe the stages of the product life cycle.

1.4. Explicate how marketing strategies change during the product’s life cycle.

1.5. Discuss what marketing strategies are appropriate at each stage of the product
life-cycle.

2. Concepts and Terms

Students are expected to have a good command of the following concepts by previewing and reviewing the relevant parts of the text:
  New-Product Development 315      Idea Generation 315
  Idea Screening 320          Product Concept 320
  Concept Testing 321          Marketing Strategy Development322
  Business Analysis 323         Product Development 323
  Test Marketing 324           Sequential Product Development327
  Commercialization 327 Simultaneous (or Team-Based) Product Development 328
  Product Life Cycle (PLC) 330     Style 331
  Fashion 331              Fad 332
  Introduction Stage 332        Growth Stage 332
  Maturity Stage 333          Decline Stage 335

3. Focal Points

3.1. The key to successful innovation is in a total company effort, strong planning, and a systematic new-product development process.

3.2. At each stage of new-product development process, a decision must be made as to whether the idea should be further developed or dropped, so that the company can minimize the chances of poor ideas moving forward or good ideas being rejected.

3.3. As the product passes through its life cycle stages, the marketing planner must adjust the organization’s strategies and be aware of changing problems, threats, and opportunities.

3.4. Managing change is a true marketing management art and one necessary for the organization to be successful in the long-term.

3.5. Companies must realize that products face limited life spans and must be replaced by newer products. And the risks of innovation can be as great as the rewards, since new products can fail.

4. Exercises and Discussion

4.1. Issues for Discussion:

4.1.1. Which is a better source of new-product ideas, the company’s sales force or external sources?

4.1.2. Under what conditions would you consider not test marketing a product? Describe a product or service that meets these no-need-to-test criteria.

4.2. Application Exercise:

4.2.1. In what way has Xiaomi Technology obtained good ideas from customers? What are the advantages of this practice?

4.2.2. Search for the information about what Coca-Cola company has done to prolonged the brand’s maturity stage of PLC in the 21st century?

5. Case Analysis

5.1.《桑普太阳能案例》from《当代营销学案例集》

5.2. 《小米手机发布会全程实录》新浪科技: http://tech.sina.com.cn/i/2011-08-16/20105937302.shtml,2011年8月16日。

Session 10Pricing Considerations and Approaches

1. Teaching Objectives

Upon completion of this session, it is expected that students should be able to:

1.1. Identify and define the internal factors affecting a firm’s pricing decisions.

1.2. Identify and define the external factors affecting pricing decisions, including the impact of consumer perceptions of price and value.

1.3. Contrast the three general approaches to setting prices .

2. Concepts and Terms

Students are expected to have a good command of the following concepts by previewing and reviewing the relevant parts of the text:
  Price 345                     Dynamic Pricing 345
  Target Costing 348                 Fixed Costs 350
  Variable Costs 350                 Total Costs 351
  Experience Curve (Learning Curve) 351       Demand Curve 354
  Price Elasticity 355                Cost-Plus Pricing 357
  Break-Even Pricing (Target Profit Pricing) 358   Value-Based Pricing 359
  Value Pricing 361                 Competition-Based Pricing 361

3. Focal Points

3.1. Companies’ pricing decision are influenced by the Internal factors include the firm’s marketing objectives, marketing mix strategy, costs, and organizational factors.

3.2. External factors that influence pricing decisions include the nature of market and demand, competition, and other environmental factors like the economy, reseller needs, and government actions.

3.3. Consumers differ in the values they assign to different product features and marketers often vary their pricing strategies for different price segments.

3.4. The company can select one or a combination of three general pricing approaches: cost-based, value-based, and/or competition-based.

4. Exercises and Discussion

4.1. Issues for Discussion:

4.1.1. Explain why the elasticity of demand is such an important concept to marketers who market a “commodity”-type product?

4.1.2. Cost-plus-pricing and target-profit-pricing are two different types of cost-based pricing. Explain the differences between these two methods. Which of these methods is a better tool for marketers?

4.2. Application Exercise:

4.2.1. Given the following information, calculate the number of meals a restaurant would have to sell to break even:

Average meal price = $10.35

Maintenance = $2,213

Meals sold = 8,560

Marketing = $1,650

Food = $27,653

Insurance/legal = $1,904

Food labor = $18,386

Waste management = $988

Management = $4,855

Utilities = $3,159

Supplies = $3,133

Rent = $3,960

5. Case Analysis

5.1.《凯塞布罗啤酒市场开发》(《当代营销学案例集》)

5.2. “Southwest Airlines: Waging War in Philly,” from Principles of Marketing 11th ed.

Session 11Pricing Strategies

1. Teaching Objectives

Upon completion of this session, it is expected that students should be able to:

1.1. Describe the major strategies for pricing imitative and new products.

1.2. Explain how companies find a set of prices that maximize the profits from the total product mix.

1.3. Discuss how companies adjust their prices to take into account different types of customers and situations.

1.4. Discuss the key issues related to initiating and responding to price changes.

2. Concepts and Terms

Students are expected to have a good command of the following concepts by previewing and reviewing the relevant parts of the text:
  Market-Skimming Pricing 371      Market-Penetration Pricing 371
  Product Line Pricing 372        Optional-Product Pricing 372
  Captive-Product Pricing 373      By-Product Pricing 374
  Product Bundle Pricing 375       Discount 375
  Allowance 376             Segmented Pricing 376
  Psychological Pricing 377       Reference Prices 377
  Promotional Pricing 378        FOB-Origin Pricing 381
  Uniform-Delivered Pricing 381     Zone Pricing 381
  Basing-Point Pricing 382        Freight-Absorption Pricing 382

3. Focal Points

3.1. Since pricing is a dynamic process, companies must design a pricing structure that covers all their products and a variety of constantly changing conditions.

3.2. The two primary strategies are market-skimming and market-penetration pricing.

3.3. There are various product-mix pricing strategies, such as product-line pricing, optional-product pricing, captive-product pricing, by-product pricing, and product-bundle pricing.

3.4. Adjustments can occur through discounts and allowances or by the desire to segment markets by price.

3.5. Reactions to price changes from the firm, the consumer, the distribution channel, and competition must be carefully studied.

4. Exercises and Discussion

4.1. Issues for Discussion:

4.1.1. Automobile companies use optional-product pricing. In what other product categories do companies use this pricing strategy?

4.1.2. The chapter mentions “2/10, net 30” as an example of a cash discount given to reward customers for prompt payment, and “$10 per unit for less than 100 units, $9 per unit for 100 or more units,” as an example of a quantity discount. Name and explain five other discounts or allowances commonly given in buyers.

4.2. Application Exercise:

4.2.1. What do you think about the price war of air-conditioner with approaching of the hot summer ? Is it reasonable?

4.2.2. Do you agree that pricing is the most effective tool of competition in this industry? (e.g. Xiaomi cell phone)

4.2.3. Can you imagine any disadvantages of such kind of price war?

5. Case Analysis

5.1. 《凯塞布罗啤酒市场开发》, from《当代营销学案例集》

5.2. “Circuit City : Selling Used Cars like Stereos”, Principles of Marketing 9th ed.

Session 12Distribution Channel Designing and Management

1. Teaching Objectives

Upon completion of this session, it is expected that students should be able to:

1.1. Explain why companies use marketing channels and discuss the functions these channels perform.

1.2. Discuss how channel members interact and how they organize to perform the work of the channel.

1.3. Identify the major channel alternatives open to a company.

1.4. Explain how companies select, motivate, and evaluate channel members.

1.5. Discuss the nature and importance of marketing logistics and integrated supply chain management.

2. Concepts and Terms

Students are expected to have a good command of the following concepts by previewing and reviewing the relevant parts of the text:
  Value Delivery Network 399        Marketing Channel (or Distribution Channel)400
  Direct Marketing Channel 402         Indirect Marketing Channel 402
  Channel Conflict 404             Conventional Distribution Channel 405
  Vertical Marketing System 405         Corporate VMS 405
  Contractual VMS 405              Franchise Organization 406
  Administered VMS 407             Horizontal Marketing System 407
  Multichannel Distribution System (or Hybrid Marketing Channel) 408
  Disintermediation 408             Intensive Distribution 413
  Exclusive Distribution 413          Selective Distribution 413
  Supply Chain Management 419 Marketing Logistics (or Physical Distribution) 419
  Distribution Center 420            Intermodal Transportation 423
  Integrated Supply Chain Management 423    Third-Party Logistics (3PL) Provider 425

3. Focal Points

3.1. Unlike price decisions, once a distribution channel has been chosen, the firm must usually stick with their choice for some time.

3.2. Each of various channel options has advantages and disadvantages associated with them. Vertical and horizontal systems are more sophisticated than the basic channel alternatives and each is explained in context with contemporary usage.

3.3. E-commerce and the use of the Internet have also impacted channel choice and strategy in a profound way.

3.4. Channel design begins with assessing customer channel-service needs and company channel objectives and constraints. The company then identifies the major channel alternatives in terms of the types of intermediaries, the number of intermediaries, and the channel responsibilities of each.

3.5. If quality service and low cost is to be delivered, management of distribution conflict is a necessity.

4. Exercises and Discussion

4.1. Issues for Discussion:

4.1.1. What happened between Gome (国美) and Gree(格力)?

4.1.2. What’s the nature of their conflict?

4.1.3. Are there any better ways to solve the problem than as it was?

4.1.4. As a manufacturer, what should Gree do to get better control of the channel?

4.2. Application Exercise:

4.2.1. Imagine you are a salesperson for an advertising media sales organization representing four noncompeting business publications. Answer the following questions asked by the marketing vice president of a potential advertiser: “Can’t I go directly to the magazine publisher’s home office and get what I want? How are you going to add value in this relationship?”

5. Case Analysis

5.1. 《三株公司》,《固特异双渠道策略》from《当代营销学案例集》

5.2.《凯迪红黄蓝网络社区》from《当代营销学案例集》

5.3 “CarsDirect.com网站:引导汽车购买者走进网络世界”, 《市场营销学案例与实践》,p. 191.

5.4. 王侃,《凡客诚品体验营销让销售狂增》,《城乡致富》,城乡致富—财视网: http://media.caistv.com/html/2010-12-09/276126.shtml,2010-12-09 10:37

Session 13Integrated Marketing Communications, Advertising, Public Relations & Sales Promotion

1. Teaching Objectives

Upon completion of this session, it is expected that students should be able to:

1.1. Name and define the tools of the marketing communications mix.

1.2. Discuss the process and advantages of integrated marketing communications.

1.3. Outline the steps in developing effective marketing communications.

1.4. Explain the methods for setting the promotion budget and factors that affect the design of the promotion mix.

1.5. Define the roles of advertising, sales promotion, and public relations in the promotion mix.

1.6. Describe the major decisions involved in developing an advertising program.

1.7. Explain how companies use public relations to communicate with their publics.

1.8. Discuss the nature of events and how to create events successfully.

1.9. Explain how sales-promotion campaigns are developed and implemented.

1.10. Discuss the roles of trade show and how to run the show effectively.

2. Concepts and Terms

Students are expected to have a good command of the following concepts by previewing and reviewing the relevant parts of the text:
  Marketing Communications Mix (Promotion Mix) 467  Advertising 467
  Integrated Marketing Communications (IMC) 469    Buyer-Readiness Stages 472
  Personal Communication Channel 476         Word-of-Mouth Influence 476
  Nonpersonal Communication Channel 478        Buzz Marketing 476
  Affordable Method 480                Percentage-of-Sales Method 480
  Competitive-Parity Method 481            Objective-and-Task Method 481
  Push Strategy 483                  Pull Strategy 483
  Advertising 494                   Advertising Objective 495
  Public Relations 467                Events
  Sales Promotion 467                 Direct Marketing 467
  Sample 511                     Coupon 511
  Premium 512                     Cash Refund Offer (Rebate) 512
  Price Pack (Cents-Off Deal) 512        Point-of-Purchase (POP) Promotion 513
  Trade Show 513                   Discount 513
  Contests, Sweepstakes, Games 513          Allowance 513

3. Focal Points

3.1. Integrated marketing communications involves identifying the target audience and shaping a well-coordinated promotional program to elicit the desired audience response.

3.2. To aid in managing the customer relationship over time, the given
communication model that has been time-tested is worth following.

3.3. Promotion uses advertising, sales promotion, public relations, personal selling, and direct marketing to achieve the company’s communication objectives.

3.4. The growth and challenges of the electronic promotional communication form are great. The use of computer technology, a desire to get close to the consumer, and an increased use of direct marketing databases has set the stage for increased integrated marketing communications.

3.5. One of the most important decisions to be made by the organization is how much to spend on promotion. The primary strategies of push and pull .

3.6. Advertising is described as being any paid form of nonpersonal presentation and promotion of ideas, goods, and services by an identified sponsor.

3.7. Public relations is an attempt to build good relations with the company’s various publics by obtaining favorable publicity, building up a good “corporate image,” and handling or heading off unfavorable rumors, stories, or events.

3.8. Public relations has even been extended to the Internet and companies are beginning explore ways to increase its effect in the newly emerging world of e-commerce.

3.9. Sales promotion is a process of providing short-term incentives to encourage purchase or sales of a product or service.

4. Exercises and Discussion

4.1. Issues for Discussion:

4.1.1. Many companies are adopting the Integrated Marketing Communication concept. Discuss two major problems that this marketing communications philosophy is designed to remedy.

4.1.2. What is the major advantage of the objective-and-task method for setting the promotional budget? What is the major drawback?

4.1.3. Public relations is sometimes referred to as a marketing stepchild. What is the basis for this comment, and what can be done to correct this problem?

4.2. Application Exercise:

4.2.1. Discuss three potential problems facing a pharmaceutical manufacturer who decides to advertise in Europe. Are these problems different from those the manufacturer would encounter when advertising in Asia?

4.2.2. Suppose you are the marketing coordinator responsible for recommending the sales promotion plan for the market launch of new brand of Boba tea sold in supermarkets. What promotional tools would you consider for this task? Explain.

5. Case Analysis

5.1.《IBM RS6000整合营销》,from《当代营销学案例集》

5.2. 《长城高级润滑油公司企业识别系统导入工程》from《当代营销学案例集》

Session 14Personal Selling, Customer Relationship Management & Online Marketing

1. Teaching Objectives

Upon completion of this session, it is expected that students should be able to:

1.1. Discuss the role of a company’s salespeople in creating value for customers and building customer relationships.

1.2. Identify and explain the six major sales force management steps.

1.3. Discuss the personal selling process, distinguishing between transaction-oriented marketing and relationship marketing.

1.4. Define direct marketing and discuss its benefits to customers and companies.

1.5. Identify and discuss the major forms of direct marketing.

1.6. Elaborate the significance of Customer Relationship Management (CRM) and list basic tools of CRM.

1.7. Identify each of the four online marketing domains and their features.

2. Concepts and Terms

Students are expected to have a good command of the following concepts by previewing and reviewing the relevant parts of the text:
  Personal Selling            Database marketing,
  Salesperson 527             Sales Force Management 528
  Territorial Sales Force Structure 528  Product Sales Force Structure529
  Customer Sales Force Structure 529   outside Sales Force 530
  The formal steps in the selling process Customer Relationship Management (CRM)
  Direct marketing             Customer database
  Telephone marketing           Direct-response TV marketing
  Kiosk marketing             Mobile phone marketing
  Podcasts and Vodcasts          Interactive TV
  B2C, C2C, B2B, C2B domains        Types of online marketers
  Types of websites            Forms of online advertising
  Forms of online promotion        Social network sites (SNS)

3. Focal Points

3.1. The sales management process involves six basic steps: designing sales force strategy and structure, recruiting and selecting salespeople, training salespeople, compensating salespeople, supervising salespeople, and evaluating salespeople.

3.2. The formal steps in the selling process that aid the accomplishment of these objectives are: prospecting and qualifying, the preapproach, the approach, presentation and demonstration, handling objections, the closing, and a follow-up.

3.3. A relationship (rather than a transaction oriented) approach in selling is a process of creating, maintaining, and enhancing strong, value-laden relationships with customers and other stakeholders.

3.4. Direct marketing consists of direct communications with carefully targeted individual consumers to obtain an immediate response. Interactivity is essential to this process.

3.5. In specific industry, a company should craft a set of integrated domains with various internet tools in which it execute its online marketing which often goes with offline marketing.

3.6. It’s important to design an integrated presence on line with various forms of online communications.

3.7. Recognize the power of social network site (social media) and identify feasible approach to launch SNS communication.

4. Exercises and Discussion

4.1. Issues for Discussion:

4.1.1. The chapter states that the ability to build relationships with customers is the most important of a salesperson’s key talents. Do you agree? Explain.

4.1.2. The text emphasizes the link between personal selling and customer relationship management. Why is this an important concept?

4.1.3. Why should online marketing be crafted with traditional offline marketing?

4.1.4. What would help constitute a company webpage to be an effective tool of marketing communications?

4.2. Application Exercise:

4.2.1. Identify and describe the most appealing features of Jingdong online store.

4.2.2 In what way can a company leverage the advantage of a social media such as Facebook, twitter, Renren and Sina microblog?

5. Case Analysis

5.1. “Jefferson Pilot: Growing the Sales Force,” from Principles of Marketing 11th ed.

5.2. 周应,《在Facebook上做营销》,IT世界网:http://www.ceocio.com.cn/12/93/522/565/44465.htm,2009-7-20。