Multiple Choice: about articles

Writing: about what we learn in class

Final Exam Notes:

- 5 Forces Model (MESO)

- Created by Michael Porter while researching nature and competition

- Analyses profitability and attractiveness of an industry
- When is this model used?
- When trying to start a new business in industry
- What are the Five Forces?
1. Competitive rivalry:
a. Looks at numbers of competitors and strengths in
comparison to your company
b. If rivalry is intense = companies must lower prices and
provide incentives to attract customers
c. If rivalry is low = profits are kept high
2. The bargaining power of suppliers:
a. Suppliers high bargaining power, then they can influence
pricing profits
b. Suppliers are powerful when:
i. There are few
ii. Customers are small
iii. There are few substitutes
iv. Cost to switch supplier is high
3. The bargaining power of customers:
 a. Customers put pressure and drive prices down
b. Customers in industry are powerful when
i. There are few customers
ii. They have plenty of suppliers to choose from with
low switching costs
iii. Select customers purchase significant quantities
c. Ex: car manufacturers, dealerships, rental, leasing
companies
4. Threat of substitutes
a. Substitutes are alternatives which serve same need
b. Higher number of substitutes will drive down and a lower
number of substitutes can result in a monopoly
c. Ex: choosing a budget airline over driving to another city
i. Choosing solar energy companies over traditional
energy
5. Threat of new entrants
a. Every market has established market leaders
b. New entrants can eat into the market share
c. If barriers to entry are low = existing players are high
d. Barriers can be
i. High investment to start
ii. Government regulations
iii. Access to suppliers (retail price)
- Shortcomings of model:
- Ability to apply to specific industry and not a specific organization as
opposed to SWOT
- Conclusions among buyers/suppliers
- Works with profit oriented organizations and not non-profit or government
entities
- PESTLE Analysis
- Management framework used to analyze the external factors affecting
projects/brands/businesses
- Various internal/external factors affect functioning of a business or the working of
a project or value of brand
- External factors cannot be controlled by the business, but can influence decision
making
- Pairs well with SWOT analysis
- P → political
- Government tax policies and regulations
- Business regulation policies
- Government laws on competition in the marketplace
- E → economic
- Currency value and exchange rates
- National GDP
- Public spending power
- S → social
- Changes in style/choices
- Population demographics
- Community groups and pressure groups
- Can voice their opinions
- T → technological
- Rapid technological progress/innovation
- Improvement in production technologies
- Data storage/protection technologies
- L → legal
- Laws relating to wages/employment
- Employment taxation changes
- Working practices and regulations
- E → environmental
- Carbon emissions/footprint
- Environmental protection regulations
- CSR policies

- Internal Analysis: Value Chain Porter (1985)

- How an organization manages different departments
- Find internal linkages within the company
- Internal linkages can be found when one internal activity communicates well with
another internal activity
- Can be between supporting and primary activities
- If linkages are very efficient, then you will not lose any margins
- Primary activities: operational
- Supporting activities: managing
- SWOT analysis
- Helps to sort through the information generated in a marketing audit
- Pros: key points, focused, relevant, timely
- Cons: not weighted, subjective
- Internal (Micro Environment) → inside the company
- Strengths → offensive strategy
- What goes well?
- Qualities different from competition?
- What do customers think we do really well?
- What advantages do we hold?
- Weaknesses → defensive strategy
- Things that the company lacks
- Aspects that competition is better in
- What do we receive complaints about?
- Where are we vulnerable?
- External (Macro/Meso environment)
- Opportunities → adaptation strategy
- Underserved markets
- Few competitors in this area
- What opportunities can the project open up?
- What does the market tell us?
- Threats → survival strategy
- Emerging competitors
- Negative press and media
- Changing attitudes
- Can the project negatively affect the business?
- Are there roadblocks to overcome for starting a project?
- Shortcomings of model:
- Can go out of date due to external factors
- Lack of focus
 - Possibility of bias
- Ideal if carried out externally
- PRESTCOM (find examples for each)
- P → political
- R → regulatory
- E → economic
- S → social
- T → technological
- C → competition
- O → organization
- M → market
- These factors affect the sale of a product in the market
- External Analysis: (Macro) PESTEL, (Meso) Five Forces Model of Porter
- Internal analysis: (Micro) your company, your product, your target group,
can use the Value Chain of Porter.
- Standardization versus adaptation
- Will you use the same strategy for each market or different?
- Marketing Audit: obtaining and analyzing information that is relevant to the marketing
strategy, tactics and implementation phase of your plan
- Consumer behavior
- Selective attention
- Selective attention is caused by 3 things and used to process information:
- Motivation
- Opportunity
- Ability
- Ergo: receptivity to marketing communication
- Influenced by relevance and involvement
- Influences perception
- Loftus and Palmer (1974): Selective Distortion
- Asks similar questions, but using different words such as
smashed, collided, bumped, hit, and contacted
- Think of example of “yes, prime minister”
- Wording of questions can influence people’s answers
- Responses may be influenced if people know others are listening
- Appearance of interviewers can influence answers
- Sampling must be done carefully
- Results:
- Ebbinghaus Forgetting Curve (Petty & Cacioppo 1986)
- Influential memory model
- Shows how learned information slips out of memory over time, unless action is
taken to keep it there

- Learning and memory

- Associate network of memory: a set of nodes and interconnecting links where
nodes represent stored information or concepts and links represent the strength
of association between this information or concepts
- Availability of knowledge: how recent and how frequent the knowledge is readily
available
- Evaluative conditioning: changes in the liking of a stimulus that are due to the
fact that the stimulus has been paired with other, positive or negative, stimuli
- Priming: exposure to one stimulus influences the response to another
- Social learning: observations of behavior of others can lead to learning
- Dual process theory (Kahneman, 2003)
- System 1: autopilot, not thinking very much
- Hot
- Intuition
- Impulsive
- Unconscious
- Emotional
- Automatic
- Fast
- Low effort

- System 2: when you start thinking about things more than system 1
- Cold
 - Reasoning
- Reflexive
- Conscious
- Rational
- Controlled
- Slow
- High effort
- Elaboration likelihood model
- How likely are you as an individual to elaborate?
- Putting information together and thoroughly thinking about it
- Central route processing → really considering central details, thinking-logical
- Ex: buying a car for its reliability and based on research you have done,
buying a computer
- Peripheral route processing → paying attention to unimportant details, cues - fear,
desire
- Ex: buying a car for its looks, buying a starbucks drink

- Maslow's Hierarchy of Needs

- No strict hierarchy
- Different cultures encourage and discourage the pursuit of different needs
- Hindu → self actualization
- Age → different priorities
- Needs are consistent across cultures
- Needs may be satisfied in different ways in different cultures
- Stages of the purchase decision
1. Identify a need or problem
a. How are needs recognized? What are we aware of?
2. Information search
a. How much do we know? What leads to involvement? What individual
differences influence the need? How does uncertainty avoidance
influence search?
3. Evaluation of alternatives
a. What criteria makes something acceptable? Preferred?
b. Relative influence of attributes, heuristics and feelings
4. Purchase decision
5. Purchase
a. What situational variables are important? How does
advertising/WOM/family influence decisions?
6. Post-purchase evaluation
a. What leads to satisfaction? How much can our actions change things?
- Complex buying behavior
- Habitual behavior
- Variety seeking behavior
- Dissonance reducing behavior
- more/less difference in brands
- More or less involvement
FCB Grid

Cushion Theory
- Decreased perceived financial risk in more collectivistic societies
- Chinese more risk taking than Americans
Word of Mouth (WOM)
- When people talk about your product
- Most important when the internet came out
- In any culture, people discuss and exchange information on their consumption
experiences
- Important in all stages of decision making
- Brand engagement
- Net Promoter Score (NPS): “Would you
recommend this product/brand to
friends/family/colleagues?”
- Collectivist and ingroup oriented
societies have a stronger influence of
WOM
Cultural Models:
- Hofstede (watch lecture)
- Organizational culture, created by social psychologists at IBM
- 6 categories help to define national culture
- How can the model
be used? A
multinational
company trying to
 decide how best to reward management and employees in different countries or
wanting to optimize
approaches to investment appraisal.

1. Power Distance (PD)

a. Extent to which sense of inequality is tolerated and whether there is a
strong sense of position and status
b. High PD score = national culture accepts and encourages bureaucracy
and high respect for authority/rank
c. Low PD score = national culture that encourages flatter organizational
structures and greater emphasis on personal responsibility/autonomy
2. Individualism vs Collectivism
a. Some societies value performance of individuals
b. Others care more about team performance
c. Has key implications for financial rewards at work
i. Individual bonuses vs profit sharing for bigger groups
3. Masculinity vs Femininity
a. Considers differences in decision-making style
b. Hofstede linked a “masculine” approach to a hard edged, fact-based and
aggressive style of decision making
c. Linked “feminine” decision making to having a greater degree of
consultation and intuitive analysis
4. Uncertainty avoidance (high vs low)
a. Attitude to risk, how anxious employees feel when they’re in high risk
environment at work
b. Do employees try to avoid risks at all costs?
c. Low level of uncertainty = willingness to accept more risk, work outside
the rules, and embrace change
i. Indicates more entrepreneurial national culture
d. Higher levels of uncertainty = more support for rules, data, clarity of roles
and responsibilities
i. These cultures may end up as less entrepreneurial
5. Long-term orientation (short vs long term)
a. Concerned with different emphasis that national cultures have on time
horizons for business planning, objectives, and performance
b. Some countries have greater emphasis on short-term performance with
financial and other rewards biased towards a period of months/years
c. Other countries have a long term perspective which encourages more
long-term thinking
d. Key implication is impact on decisions and risk-taking
6. Indulgence vs restraint
a. Indulgence: stands for society that allows free-gratification of basic and
natural human drives related
 b. Restraint: society that suppresses gratification of needs and regulates it
by means of strict social norms

- Inglehart (watch lecture to review this one)

- 2 dimensions:
- Secular rational versus traditional
- Self expression versus survival

- Schwartz human values (watch lecture)

- Influences people's behavior,
defines their

behavior/personality/values/upbringing
- 2 axis
- Adjacent values correlate to each other
- Opposing values contradict each other
- Example: if you score high on benevolence, you will score high on
conformity/tradition and universalism. If you score high on benevolence,
you will score low on hedonism and achievement
- Self enhancement/Self transcendence
- More inclined to self interest instead of the welfare of others
- Seeking power over others
- Conservation/Openness to change
- Confirming to others
- Valuing personal security and traditions
- Not prone to doing things independently or seeking adventure
 - Gelfand
- tightness/looseness
- Harsh circumstances make cultures tight
- Homogeneity: what do you mean by different cultures being homogeneous or
heterogeneous
- Homogeneity within countries (national institutions)
- Differences in:
- Languages spoken
- Religion
- Ethnicity
- Climate
- Geography
- Political institutions
- Social classes/income

Cultural affinity zones

- Group of people who live in a geographically connected zone that corresponds to one
(or more related) national cultural group(s)
- Members share characteristics such as religion, consumption patterns, work and life
patterns, and language
Cultural affinity class
- Group of people who share common values, behaviors and interests and their lifestyles
converge irrespective of national borders; a sense of belonging can be based on age,
gender, and income group
Global consumer culture positioning
- Global consumer culture positioning (GCCP): brand is a symbol of a particular global
consumer culture or segment
- Trying not to associate with the country
- Ex: Heineken is a Dutch brand that is known globally
- Local consumer culture positioning (LCCP): brand as an intrinsic part of the local culture.
Using positioning to focus on local markets.
- Foreign consumer culture positioning (FCCP): associates brand’s users, use occasions,
or product origins with a specific foreign country or culture.
- Trying to instill local flavor of a product, but to the globe
 - Ex: Haagen Dazs is an American company, but named itself with a foreign name
because customers would
be more attracted to it if it
seems like it’s from a foreign
country
STP Stages:
1. Identify the total market
2. Identify market segments
3. Select target market segments
4. Establish competitors’ positions
5. Establish own position
Segmenting
- Process of dividing a total market
into subgroups (segments) such
that each segment consists of
buyers and users who share similar characteristics but are different from those in other
segments
What are the different segmentation bases?
- Geographic
- Demographic
- Household life cycle
- Geodemographic
- Postal code segmentation
- ACORN, Mosaic
- Psychographic
- VALS segmentation: based on values and has strong similarities with human
values of Schwartz Values Framework
 - Mediagraphic
- Those who look/get in contact with different media outlets
A good segment is…
- Measurable
- Homogeneous within (of the same kind within)
- Heterogeneous between (consisting of dissimilar or diverse constituents between)
- Substantial (want an extensive target group)
- Accessible (if selected certain target group, it must be accessible and able to reach)
- Operationally distinct (different from other target groups)
Targeting
- Strategies: (from undifferentiated to very specific)
- Undifferentiated marketing
- Differentiated marketing
- Concentrated marketing
- Niche marketing
- Customized marketing
Positioning
- Done in minds of customer using marketing tools of 4 P’s
- Differentiating your brand/product from competitors in the mind of consumers
- Positioning is influenced by the following and leads to different nodes and associations
of a brand:
- Memories
- Experiences
- Impressions
- Feelings
- Personality
- Perceptions
- Questions to ask when positioning your product:
1. What position do we currently have in mind
of the (potential) customer?
2. What position do we want?
3. What companies must be outgunned to
establish this position?
4. Do we have enough marketing budget to occupy?
- Use positioning map (watch lecture)

- Use multi attribute mapping (watch lecture)

Positioning strategies
- Using “unique selling proposition”
- Product attributes or benefits
- price/quality
- Use or application
- Product class
- Product user
- Competitor
- Cultural symbol
- Key things to remember:
- Watch out for under positioning, over positioning, and confusion
- Important to target GROUP
- Different from offering of competition
- Easy to communicate
- Difficult to imitate
- Affordable for the target group
- Profitable for the company
- Changing strategy
- Introduce new brand/product
- Change existing brand
- Change beliefs about own-brand benefits
- Change beliefs about benefits of competing brands
- Change the importance of attributes
- Add new attributes to the mind of consumers

Global Segmentation
Country Level Individual Level

● Market size ● Demographic

● Geography (Americas, Europe, Asia) ● Psychographic
● economic/political integration ● Attitudes
● language/culture ● Product usage
● Proximity: geographic and cultural ● Buying patterns
● Competitive position or opportunity ● Brand loyalty
● Climate ● Situations

Marketing research
- Can be qualitative or quantitative
- Start with secondary research and if necessary, add primary
- Reasons for research:
- Produce better products/services
- Get to know customers
- Communicate better
- Set the right price
- Design effective distribution channels
- Reduce risk
- Steps for research process
1. Recognize marketing problem
2. Define marketing problem
3. Develop research objectives and brief
4. Design and execute research
5. Analyze results
6. Present results
7. Evaluate process
8. Make marketing decisions
- What are some Primary Research techniques?
- Critical incident study
- Focus groups
- Exit surveys
- Web scraping
- Customer panels
- Internal
- Customer records
- Sales data
- Customer feedback
- Financial data
- R&D figures
- External
- Press
- internet/social media
- Reports
- Governmental publications
- Qualitative
- why/how?
- More in depth understanding of problems, not quantifying
- Often basis to develop quantitative research
- To find out the why/how of a problem
- Ex: in depth interviews, focus groups
- Quantitative
- How much/how many?
- Larger sample, trying to quantify effects
- Structured questioning (questionnaire research) or observations
 - Ex: questionnaires → email, website, phone. Observations → eye movement,
ECG, MRI. Web observations → conversion rates, page reviews.
Cross cultural research
- Is often based on values to understand reasons for behavior
- Equivalence
- Sample equivalence
- Linguistic and conceptual equivalence
- Metric equivalence
- How are cultural differences investigated?
- Values are used in Cross cultural research
“P” for product
- Anything that can be offered to a market for attention, acquisition, use or consumption
and might satisfy a want/need
- Levels of product attributes: PERFUME example
- Core: liquid for adding scent to person or object
- Basic: scent based on flowers, fruit, and spices
- Augmented: salesperson helping in shop
- Perceived: feminine/masculine
Product lifecycle

- Profitability and adoption

- Adapt or not adapt:
Know difference between product and service
- Service quality dimensions:
- Reliability, assurance, tangibles, empathy, and responsiveness
- Product is also a king of service
- Value in use: value is not a product, but use of the product
- Interaction, influence, co-creation of value, keeping promise made to customer,
importance of relationships
- 4 P’s
- Price → adapt to target group?
- Ex: having someone famous use a product and sell it at a discounted
price
- Place → ecommerce? Other distribution channels?
- Ex: selling through Amazon
- Product → product innovations, new product developments, new brands, improvements
in service
- Ex: adding different colors to a product or limited edition
- Promotion → communicate about unique selling proposition, reaching the right audience
- Ex: putting a new product in a TV show
- Additional 3 P’s
- People
- All human individuals involved in delivery of service to a customer, both
employees and customers
- Everyone who influences the buyer’s perceptions INCLUDING THE
BUYER THEMSELVES
- Personnel need appropriate skills and knowledge
- Recruiting right staff is essential
- Essential for competitive advantage
- Knowledge base about consumer needs and wants
- Employee retention extremely important
- Process
- Includes the procedures, mechanisms and flow of activities by which the
service is delivered
-
- Physical experience
- Environment in which the service is delivered and where the company
and customer interact
- Due to intangibility, consumer perceive greater risks → look for signals and cues
in the environment (testimonials, demonstrations, trials)

Blueprinting for designing service process

 - picture/map which accurately portrays the service system so that different people
involved in providing it can understand and deal with it objectively regardless of their
roles or individual points of view
- Intangible
- Inseparable (customer involvement)
- Heterogeneous (consistency)
- Perishable
Standardization or localization
- Standardization: key element of profitability. Quality control and ease of use. Where true
cost reductions can be achieved and localize where necessary 8
- Localization: local customers and preferences for value

Keller brand equity

model

- Keller example:

- What is a brand?
- A name, term, design, symbol, and any other feature that identifies one seller’s
good or service as distinct from those of other sellers
 - Brand marks → elements of the brand that cannot be spoken (logo, slogan, design, or
specific packaging)
Brand personality
- Schwartz has been an inspiration for branding purposes (human values can be
compared to brand values)
- Openness to change and conservation in Schwartz Model are similar to Change &
Stability in Brand Archetypes Model
- Well-being vs challenge (brand
archetypes) = self transcendence vs self
enhancement (schwartz)

OCEAN → 5 factor personality traits model

Brand architecture and strategies

- Branded house
- Umbrella brands, private labels
- Single master brand (Virgin, Easyjet (easyhotel, easycar), car, bike)
- Different brands
- House of brands
- range/individual brands
 - Suite of stand-alone brands (Diageo with Guinness)
- Everything is the same brand
- New product launches
- Co-branding
Country of origin effect
- Influences perceived quality
- Is more or less reliable cue of quality
- Symbolic cue: right or wrong to buy (stereotypes and animosity can differ between
countries)
Direct and indirect channels
- Can have something in between

- Intensive (indirect→ long channel)

- Gum

example
- Involves selling a product in as many outlets as possible
- Selective (direct) distribution
- Involves selling a product at select outlets in specific locations

SOR Model by Mehrabian Russell

- Stimulus → organism → response
- Behavior is reaction on a stimulus and influenced by the organism
- Perception/interpretation of surroundings influences how people feel about an
environment
- Feelings cause most behavior
 - 3 factors form a feeling
1. Pleasure
2. Arousal
3. Dominance (less of a factor)

Bitner’s Servicescape Model

- Physical environment and creating the right mood
- Physical environment as the primary value proposition
Approach and avoidance behavior
- Approach: going into a store and asking questions
- Avoidance: leaving a store
Reference price
- consumers automatically have a set price at which they believe an item should cost
- Will judge price of a product based off of that
- Most expensive = perceived as better quality
- Least expensive = either seen as a bargain or cheap
Skimming
- Higher than other product/phones/technology
- Have a superior product and you try to reap benefits from superior product, eventually
lower prices over time due to competition or new release
- Gives a certain status
- Ex: Apple
Penetrating
- can begin with a free option and slowly over time they charge you
- Start low→ gain market access→ try to get large market share
- Raise prices once people have adjusted to a product
- Ex: spotify
Pricing pyramid

Price elasticity
- Can be elastic or inelastic
- If the price goes up, but there is a relatively small fall in sales → demand for that product is price
inelastic. Changes in price do not affect the sales volume much. INCREASE PRICE!!
- If price goes up, but sales fall (dramatically) → demand for that product is price elastic and
changes in price affect sales volume disproportionately. DECREASE PRICE!!!

if demand is price inelastic→ a higher price will (almost) not result in decline in sales

- the higher price should compensate decline

- revenue should increase

if demand is price elastic→

- A higher price will result in a bigger decline in sales

- A lower price will result in a bigger rise in sales
- the increased sales volume should compensate
- revenue should increase
Scientific Articles
● Gatheke, Gilbrich, and Chen (2021)
● Michel et al (2022)
● Katsikeas, Leonidou, and Zeriti (2019)
● Klein et al (2018)
● Jeong & Crompton (2017)
● Lin & Kalwani (2018)

Knowledge Clips
● Week 1: Marketing Strategy
● Porter’s 5 Forces Model
● SWOT Analysis
● PESTLE Analysis
● Globalization (watch clip)
● Questions to consider:
● Pick one of the globalization types and describe how Action BV
can use this to her advantage
● Describe one example of global convergence in your life, which at
the same time has a locally divergent aspect.
● Week 2: Consumer behavior and cultural differences
● Elaboration Likelihood Model
● Schwartz values framework
● Hofstede National Cultures
● Local, Global, Foreign product positioning
● Questions to consider:
1. What do you think are the equivalent of Schwartz’s social and
individual values in the Hofstede’s Model?
● An equivalent of Schwartz 'social value in Hofstede's
model is the 'power distance' section. Schwartz's
'social' value entails benevolence (welfare of close
others), conformity (social expectations), and tradition
(commitment to traditions). 'Power distance' in
Hofstede's model includes whether or not a sense of
inequality is tolerated among a national culture.
Therefore, both of these models incorporate the role
equality plays within society.
● An equivalent of Schwartz 'individual value in
Hofstede's model is 'indulgence vs restraint'.
Schwartz's 'individual' value entails stimulation
(excitement and novelty) and hedonism (pleasure).
'Indulgence vs restraint" in Hofstede's model includes
whether or not a society allows free-gratification or
suppresses it. Therefore, the idea of restraining from
pleasure or indulgence is equal in both.
2. How do the values of Schwartz compare to the values described
by Hofstede? For example Schwartz describes the value
‘openness to change’ . What would be the equivalent in
Hofstede’s model?
● The values of Schwartz Human Values model
compare to the values described by Hofstede
in multiple different ways. In the example of
Schwartz's, "openness to change '', this value
can arguably correlate to Hofstede's
"Uncertainty Avoidance". When employees
have low levels of uncertainty, they are more
willing to accept risk and embrace change,
while those with high levels of uncertainty are
more likely to support rules, data, and
responsibility. Another correlation is between
Schwartz's, "self-enhancement" value and
Hofstede's "Individualism vs Collectivism '' part
of the model. Schwartz's "self-enhancement"
involves achievement and power within one
person. Hofstede's "Individualism vs
Collectivism'' shows that some societies value
the performance of individuals, while others
care more about team performance. Therefore,
Schwartz's "self-enhancement" and Hofstede's
 "Individualism" relate to each other in focusing
on just one individuals' success.
3. One of the values of Schwartz is ‘self enhancement’. Think of the
characteristics this value has. Would an emphasis on ‘self
enhancement’ be more prevalent in a masculine or feminine
society?
● Schwartz's "self enhancement" value encompasses
both achievement (personal success) and power
(wealth and authority). An emphasis on these values
would be more prevalent in a masculine society
where we see a link between a more hard-edged,
fact-based, and aggressive approach to decision
making. Alternatively, a feminine approach involves a
greater degree of consultation and intuitive analysis
which may relate more to self-transcendence.
4. Name a product (of your own) that would make you ‘use’ the
central path in analyzing it, and a product for the ‘peripheral path’?
● Central route processing: heavily considering central
details.
● Example: choosing where to attend college or
where to do international study.
● Peripheral route processing: paying attention to less
important details.
● Example: purchasing a basic sweatshirt but
because a specific artist is selling it.
5. What do you think someone with highly traditional values
would think of the ideal power and authority structure?
● An individual with highly traditional values is someone
who commits to traditions and sticks by them over an
extended period of time. One who values tradition
may also value benevolence (welfare of close others)
and security (safety and health). In regards to the
ideal power and authority structure, the value of
tradition plays a big role. As mentioned, this feeling of
security is very common among those who stick with
tradition.
6. How would you connect Inglehart’s survival value to
Maslow's hierarchy of needs? Which need do you think
corresponds best to the survival value?
● Inglehart's Survival Value and Maslow's hierarchy of
needs are connected because they both examine how
cultural necessities vary throughout countries.
Maslow's hierarchy of needs corresponds best to the
survival value because it examines all of the key
items necessary to survive, beginning with
 physiological needs and ending with self-
actualization.
7. How do you think a Belgian chocolate firm would position
itself in the European market? (which strategy would they
choose and why?)
● In the European market, a Belgian chocolate firm
would position itself with a Foreign Consumer Culture
by instilling the local flavor of a product on a global
scale. This is because having the name "Belgian"
chocolate makes the product more appealing
because its foreign. Similarly, Häagen Dazs is an
American company that is attempting to appeal more
to consumers by giving itself a foreign sounding
name. Consumers are more likely to purchase when
they hear a product with a foreign name.
8. Which strategy would you think Apple would use in
advertising its product and why?
● Apple is a global company that advertises to
consumers of all different cultures throughout the
world. Apple is a West Coast, USA company, but
does not only associate with their home country. The
strategic model that Apple would use is the
Elaboration Likelihood Model. This model questions
how likely a consumer is to elaborate or consider their
purchase. A phone is a purchase which consumers
consider for an extended period of time, as it is an
investment.
● Week 3: Segmenting, Targeting, and Positioning
● Segmenting
● Positioning and Mapping
● Week 4: Marketing research, product, and services
● What is a product?
● Services and the 3 P’s
● Week 6: Promotion and branding
● Branding and Values
● Global Brands
■ Questions to consider:
1. Censydiam has proposed 2 dimensions for brand values. The
personal dimension includes:
○ Enjoyment and control
2. Censydiam has proposed 2 dimensions for brand values. Explain
the difference between these two dimensions. (REWRITE
ANSWER)
○ According to Censydiam, the two dimensions for
brand values include the personal and social
 dimension. The personal dimension includes the
opposing values such as enjoyment vs control and
the social dimension includes the opposing values of
power vs belonging. This model is closely related with
the Schwartz Model and has many comparisons.
3. Explain what the 3 form brand archetypes have in common.
(REWRITE ANSWER)
○ All of the brand archetypes, they each share in
describing characteristics of people and brands.
4. Explain in what way the three different models are different.
(REWRITE ANSWER)
○ They differ because some include values of
consumers, while others include values of brands

● Week 7: Price and Place

○
■ Questions to consider:
● What is the term given to the total (and frequently complex)
environment in which a service is delivered?
○ Servicescape
● The servicescape can have different roles. What are these
roles?
○ Packaging
○ Socializer
○ Differentiator
○ Facilitator
● Explain in your own words how the S-O-R model works. Also
highlight the role of the servicescape in your answer.
● There are different strategies that can help people choose a
product based on its price. Please explain what the “Price
seeking” strategy entails.
● Consumers face different kinds of costs in the process of
buying a product. Please explain what kind of costs fall
under “purchase and service encounter costs”.