H. Robert Dodge

Consumer ethics: An assessment of individual behavior in the market place

A national sample of 362 respondents assessed the ethical predisposition of the American marketplace by calculating a consumer ethics index. The results indicate that the population is quite intolerant of perceived ethical abuses. The situations where consumers are ambivalent tend to be those where the seller suffers little or no economic harm from the consumers action. Younger, more educated, and higher income consumers appear more accepting of these transgressions. The results provided the basis for developing a four-group taxonomy of consumers which retailers should find insightful in assessing potential consumer actions in a variety of situations.

Consumer transgressions in the marketplace: Consumers' perspectives

A national sample of 532 consumers was assessed on 15 different scenarios that reflect questionable behaviors by consumers. The results indicate that consumers are ethically predisposed as they generally express little tolerance for behavioral transgressions on the part of the customer. Factor analysis identified two latent dimensions for the scenarios: direct economic consequences and indirect economic consequences. Respondents expressed greater intolerance of those actions that comprise the indirect economic consequences factor. One-way analysis of variance identified several instances where age, gender, education, and income were related to specific responses.

Pricing in International Markets

For most firms the potential rewards of doing business in international markets are overwhelming. The most compelling reasons for entering the global marketplace are the sheer size of the marketplace and the limitless opportunities present. One of these opportunities is the leveraging of R&D investment. The global marketplace provides opportunities to obtain a full return on investment that is not possible if technology serves only the home market. Expanding internationally also provides the opportunity to improve products and processes by drawing on the resources of many companies and organizations in different parts of the world. Finally, global expansion allows a firm to remain competitive.1

From Exchanges to Relationships: A Reconceptualization of the Marketing Paradigm

This article explores three key questions regarding the “new-old.” concept of relationship marketing. The question of “what.” is answered by recognizing a firm’s need to keep rather than simply acquire customers through mutually beneficial, interactive networks. The question “why.” focuses on the bottom line and, again, the mutually beneficial character of relationships. The question of “how.” identifies three key components for implementation: selective acquisition of customers, designing value propositions, and individualized or customized attention. Thus, the focus should not be on the exchange process, rather it must be on developing and perpetuating relationships. As a consequence, marketing practitioners and theorists must reevaluate the strategies used in the attempt to secure a successful presence in the marketplace.

Pricing over the Product Life Cycle

To keep an established brand healthy and growing over the long term, the successful marketer must continually improve the product and develop marketing plans to capitalize on these changes. In any business it is necessary to study the ever-changing consumer and to try to identify new trends in tastes, needs, environment, and living habits.

Pricing Decisions by Manufacturers

The structure of industry has changed dramatically in the last decade. The major forces of change are the global impact, changing competitive conditions calling for a sharper focus on customers, greater operational effectiveness and flexibility, and critical changes in customers and market structures.

Cost-oriented Pricing

The above passage from ICC shows that utility rates are a product of cost, with costs allocation a major determinant in arriving at a particular rate. However, even in such rate-setting procedure cost allocation is not done equally across the board, but rather is based on the type of electric user. Rates are reached by dividing customers into classes on the basis of related use.

Demand and Competition-oriented Pricing

The above comments from the Advertising Age shed some light on the problems attendant on pricing in today’s business world. Costs are important, and so too are the consumer and product variables present in a given market.

The Nature of the Pricing Process

Of all the decisions made by management, pricing is undoubtedly the most visible because of its direct impact on a firm’s performance in the marketplace and overall level of profitablity. Whatever the nature of the business, success is measured by the extent revenues from sales exceed the costs of committed resources. Ideally, the price or prices set for a product or service will ensure the highest margin consistent with volume considerations, recognize customer evaluations of products/services, be responsive to competitive threats, and forestall competitive inroads.

Product Line Pricing

Companies rarely produce and market just one product for which a single price and a specific marketing strategy is developed. Rather, they produce a line or several lines of products with a multiplicity of options that are marketed to defined customer segments. No longer is it possible or for that matter plausible to make pricing decisions with respect to a single product in isolation.