Ch. 2 Vocabulary

1. purchases made by consumers with little thought
3. rate at which companies produce goods and services in relation to the amount of materials and number of employees available
4. a business culture that communicates values through high performance and excellent customer service
7. an attempt to appeal to a large, general group of consumers
8. point of sales at which all expenses are covered
10. purchases based on careful thought and sound reasoning
13. a focus on satisfying customer needs
14. all of the consumers who will purchase a product or service
15. purchases based on consumer loyalty to a specific brand or product
16. the percentage of total sales of a product or service that a company expects to capture in relation to its competitors

2. the value of the next best alternative that you pass up when making a choice
5. difference between customer expectations and actual service received
6. the value people believe they receive from a product or service
9. group of consumers within a larger market who share one or more characteristics
11. the capability to produce products or services more efficiently and economically than the competition
12. a specific group of consumers a business wants to reach