October 28, 2009

Homework for Thursday Oct. 29

Posted in Markets & Segmentation at 1:14 am by Jennifer McDowell

There were four take-aways from today’s in-class discussion:

  1. Trends are important to marketers, especially when they affect market demand. Example: We talked about how in the popularity of hip-hop music in the late 80’s and early 90’s was driven by a trend of increasing concern about vulgarity in lyrics. We guessed that market demand increased as society became more and more concerned. We also talked about Island Def Jam Music Group’s growth over the last 10 years because as the company acquired and was acquired by increasingly global businesses.
  2. There is generally an inverse relationship between demand and price; as price increases, demand for the product often decreases. In some categories, this demand curve does not exist. Example: automobiles and food. For some brands, demand is independent of price. Example: Consumers who are really angry with Kanye West may not purchase his music, even if it is available for free.
  3. Marketers can try to recover lost revenues, or generate new revenues, in a couple of ways. They can market new products to existing market segments, or market existing products to new market segments. Example: Rockafella Records can try to market a new artist to consumers who were Kanye West fans, and they can try to market Kanye West to a new market segment.

DefJamWhiteBoard

Homework for Thursday Oct. 29 – Continue to work on your course portfolios. Remember to save and publish changes! Today’s discussion should provide many options for your week 4 page.

Advance Homework for next Tuesday Nov. 3rd – prepare for quiz #2. This quiz will include all terms covered from the beginning of the quarter.