Penn State Erie

PENN STATE BEHREND SCHOOL OF BUSINESS

Marketing 300 Mr. David J. Causgrove Principals of Marketing Classroom: RED-C 204 Fall 2006 M-F 8:15 – 9:30 M-F 9:45 – 11:00

Office Hours: M-W 1:15 – 3:15 or by appointment RED-C Room 216 I can be reached by E-mail at [email protected]

Instructor’s Web Site: www.personal.psu.edu/djc11

Required Text: Marketing: Real People, Real Choices 4th ed. Solomon/Marshall/Stuart – Pentice Hall Publishing

At least one per team: The Marketing Game, 3e Mason & Perreault Houghton-Mifflin Publishing

Supplemental Reading: USA Today – Business Section www.MarketingLibrary.com

Course Prerequisites: Fifth semester standing (Minimum of 51 Credits)

Marketing and creativity go hand in hand. As U.S. businesses face global challenges and enter into uncharted territories characterized by uncertainty, change, competition, and interdependence, marketing theories, concepts, and tools are going to play and increasingly important role in business strategy formulation to help create sustainable and defensible opportunities in the markets at home and abroad. As you graduate and work for different organizations, you will face relentless competition that will challenge your decision-making skills to the utmost. The better you are prepared, the better disposed you will be to guide your enterprise in the evolving marketplace. Strength in Marketing is only one area, albeit a very important area, that organizations will need increasingly in the future to survive.

Objectives: The purpose of this course is to introduce you to some basic questions like: What is marketing? Who uses it? What role does it play in the organization? What objectives do marketers pursue? What decisions must they make and what tools do they use? As consumers, we are all constant targets of marketing activities. Thus, I also expect to demonstrate during this course that there is a lot more to marketing than we see as consumers. This course will operate primarily in a discussion mode, with the emphasis being on applying Marketing principals to real life situations. Your weekly preparations will consist of reading the assigned chapters and cases, and being able to contribute to class discussion. I would encourage you to augment your textbook with the supplemental reading listed above.

of 8 Course Syllabus & Schedule (Instructor reserves the right to modify schedule as appropriate) WEEK Week TOPIC/CHAPTER DUE DATES/ # Beginning ASSIGNMENT 1 Sept. 4 CH1 – Overview of Marketing

2 Sept. 11 CH 1- Overview of Marketing Q1 CH 2- Strategic Planning

3 Sept. 18 CH 2- Strategic Planning Enhancing your Creativity Assign. CH 3- Global Marketing Due Sept. 22nd Q2 4 Sept. 25 CH 4 - Marketing Research Q3 Exam #1

5 Oct. 2 CH 7 - Segmentation Segmentation Assignment CH 5 – Consumer Behavior Due Oct. 4th Q4 and Q5 6 Oct. 9 CH 6 - B to B Marketing Q6 Exam # 2

7 Oct. 16 Introduction to Marketing Marketing Game Knowledge Simulation Game Quiz (NO notes may be used)

8 Oct. 23 Simulation Game Test Decision for Marketing Game CH 8 – Creating the Product Product Placement & Packaging Assign. Due Oct 27th 9 Oct. 30 CH 9- Managing the Product Product Placement Movie Assign. CH 10 - Marketing Services Due Nov. 3rd Q7 and Q8 Decision #1 10 Nov. 6 CH 10 - Marketing Services Q9 CH 11 - Pricing the Product Decision #2

11 Nov. 13 Exam #3 Q10 CH. 15 – Distribution/Place Store Layout/Atmospherics Assign. Due Nov. 17th Decision #3 12 Nov. 20 CH 16 – Retailing

13 Nov. 27 CH 12 – Integrated Marketing Q11 Communication Decision #4 14 Dec. 4 CH. 13 – Advertising and Decision #5 Public Relations Simulation wrap-up 15 Dec. 11 Ch. 14 – Sales Promotion and Personal Selling Page 2 of 8 16 Dec. 18 FINAL EXAM – Date and Time Cumulative Questions from all TBA chapters will comprise 45-55% of the final to assure mastery.

Responsibilities:

*Regular attendance is expected. Sign-in sheets will be used to document your presence. Repeated failure to come to class will result in a lower grade.

*Late arrival in class in strongly discouraged. It shows inconsideration toward others and disrupts the flow to the class. In the business world it would not be tolerated.

*Active participation in class discussions and learning exercises is highly encouraged. As I strive to stimulate your thought processes, I also urge you to share your thoughts. Your active participation will be evaluated.

Academic Integrity Policy (Policy 49-20) Students are reminded of the academic integrity policy of the University. This pertains to academic dishonesty including but not limited to cheating, plagiarizing, fabrication of information and facilitating acts of academic dishonesty. For additional information, please refer to the http://www.pserie.edu/faculty/academics/integrity.htm website.

Evaluations

Quizzes: Quizzes will be given on twelve chapters. The quizzes may be given anytime on or after the beginning of the week the chapters are due. Students will be allowed to use their own notes but may not share with their classmates. There are absolutely no make-ups for missed quizzes. Two quiz scores may be dropped. If University approved absences require missing more than two quizzes, students may request to take a quiz early

Exams: There will be (4) examinations in this course, including a comprehensive final, which will cover text material, lecture, cases, and any other additional information specified by the instructor. These tests will consist of multiple choice questions, short answer essay, and scenario analysis. Cumulative questions from all the chapters will comprise 45-55% of the final to assure mastery. The exams will be given on the dates indicated on this syllabus, NO EXCEPTIONS.

Marketing Simulation: Students will form teams representing a “company”. This company will act as a product management team, making marketing decisions (product attributes, advertising expenses, sales people, etc.) that will be entered into a computer program. This computer program simulates an actual industry in which these companies compete. Results of sales, market share, profit and business returns will be provided to the teams after each marketing decision. At the end of the “five year” simulation, the final competitive results will be provided to each team and bonus points will be distributed according to performance. Additional details are provided in the section on the Marketing Game later in this syllabus, and will be given in class.

of 8 Simulation and Group Projects: Peer evaluations may be used for every graded group activity, including graded in-class work. These peer evaluations will directly affect the individual grade earned.

Assignments: Assignments are due throughout the semester, as specified in the Course Schedule. Students are required to submit the original of their homework assignment to the instructor at the START of each class in which it is due. No assignments submitted late will be eligible for full credit. Assignments handed in within one day of the due date earn a maximum of 50% credit: work two days late will receive a maximum of 25%: those more than two days late will receive a “0”. Students who must miss class should turn in their homework BEFORE their scheduled class time to receive credit. For detailed assignment information, see the section on Assignments below.

Attendance: Attendance is mandatory. After the first week of class, attendance will be taken every class period. It is the responsibility of the student to ensure that they have signed in or been acknowledged in a roll call. Perfect attendance will be rewarded with ten bonus points added to the final exam.

Three (3) absences during the semester are allowed without penalty. This includes excused absences such as personal emergencies, interviews, and athletic competitions. Extenuating circumstances should be discussed individually with the instructor. It is NOT necessary to call the instructor to explain why you will be absent. Attendance is required at all simulation decisions, exams, and guest speakers. Each absence beyond the third (3rd) will reduce your final exam grade by ten (10) points. There is no limit to the number of points that can be deducted for poor attendance!

Career Development Center

The Career Development Center (CDC) can assist students with the process of career and life planning through a full range of programs and services. You may schedule appointments with the CDC staff to discuss issues including interests, skills, values, and goal setting, as well as how to find career information, internships, full-time jobs, and graduate schools. You are encouraged to utilize the services of the CDC every year from your first semester to graduation.

CDC Location: First Floor – Reed Building CDC Phone: 898-6164 CDC Web Site: http://pennstatebehrend.psu.edu/cdc

of 8 Grade Distribution

Exams (4) 450 points Assignments 100 points Market Simulation 100 points Quizzes 50 points ------700 points

Grading Policy

A = 700 to 651 points A- = 650 to 630 points B+ = 629 to 609 points B = 608 to 581 points B- = 580 to 560 points C+ = 559 to 546 points C = 545 to 490 points D = 489 to 420 points F = below 420 points

MARKETING GAME There will be multiple industries in this game (Industry A, B, C, etc.), with four companies in each industry. Your company will compete only with the other companies in the same industry, e.g., Industry A, teams 1 – 4 will compete with each other. Each team will be required to purchase at least ONE textbook (Mason & Perreault) from the bookstore. I have also placed three on reserve in the library. Each student will need to read the textbook very carefully in order to learn about the game. Begin immediately if sharing the text, as it is sometimes difficult to share books right before a decision or quiz. More on the specifics of this game will be provided as the simulation progresses. The points will be assigned as follows:  Game Knowledge Quiz (25 points) – This will be an in-class quiz, done individually and without notes.  Decision Assignments (20 points) – Each team will earn the full 20 points if they turn in the decisions as instructed.  Written Decision Log (15 points) – Each team will earn 15 points for a written log of the decisions they make, supported by sound reasoning.  Written Decision Analysis (25 points) – This is an individual assignment. Prior to each decision (decisions one through five, not the test decision), each student should type an analysis of the results from the last decision and a recommended plan for the next decision. The analysis should include a comparison of the team’s goals and results from this decision, along with the probable reasons for the success or failure of the decision. Students should come to class prepared to present and defend their recommendations to the team and to the “president” (instructor). All typed assignments will be collected in the meeting with the “president.” Only typewritten documents will be accepted for credit. In the event that a student must miss class the day of a team meeting, their report should be submitted to the contact person prior to class to minimize point loss for the absence.  Participation (15 points) – Each team member will earn 15 points if they actively participate in decision preparation and analysis, and class meetings with the team and with the “president.” This is based on instructor observation, team documents, and peer evaluation.  Performance (Up to 10 points) - Bonus points are based on competitive performance within each industry. During the game: o 1 point will be awarded to teams each time they have an increase in profits over the previous period. (This means a total of five bonus points could be earned by some teams!) At the end of the game: o 5 points will be awarded to the ONE team with highest total profit in each Industry.

Simulation Grade Sheet: Game Knowledge Quiz ______Participation ______Decision Assignments ______Performance ______Written Decision Log ______

Written Decision Analysis ______SIMULATION TOTAL: ______

of 8 ASSIGNMENTS POINTS AVAILABLE: 100 Each student must complete all five assignments. The grading is as follows: 50 points: All assignments completed and submitted on or before the due date. 5 points will be deducted for each assignment that is not handed in by the beginning of class on the day it is due. Assignments may not be submitted via e-mail. 50 points: Each assignment is worth a maximum of ten points. Each assignment summary must be typewritten and professional (grammar, spelling, etc. is expected to be correct). Be sure to include the number of the assignment, your section, and your name. The week an assignment is due is printed on the course calendar; specific due dates will be announced in class. Late assignments will not be accepted (prepare for any problems with the computer lab, printers, diskettes, etc.); if you know you will be absent due to an interview, athletic participation, etc., you must turn in the assignment BEFORE its due date. Assignments will be collected in class. If you turn in an assignment early, bring it to class or place it in my mail box (outside the School of Business Office) – please do not put it under my office door.

(1) Enhancing your creativity: Choose TWO of the following and prepare a short summary of your experience plus an analysis of how the activity relates to marketing. (These summaries should be brief. Please limit your work to a maximum of one page per experience)

a. Have dinner at a restaurant you have never visited. Pick a number between 12 and 25 then visit the restaurant listed that number of entries down in the yellow pages. If you have already been there, choose the next restaurant listed that you have not tried. b. Ask the seventh person you see at school today (that you do not already know) to have lunch with you. Find out about them during lunch. Report on three similarities, three differences, and two interesting facts about the person c. Write the numbers of channels on your TV or cable system on little scraps of paper. Put the scarps in a container. Pull out a scrap and turn to that channel. Set a timer for five minutes and watch. Pay attention. When the timer runs out, pull out another slip. Repeat 10 times. d. Go on a Eureka! Adventure. Call a couple of friends and plan an evening out, visiting restaurants you have never been to. For any of the guidelines below, if you do not find a restaurant “new” to you at the number specified, choose the next closest one in the yellow pages. Do the following:  Have appetizers at the 5th restaurant listed in the yellow pages  Have your entrée at the 14th restaurant listed in the yellow pages  Have dessert at the 23rd restaurant listed in the yellow pages

(2) SEGMENTATION: Purpose: To learn more about psychographics and geodemographics Overview: Visit the VALS and PRIZM sites on the Internet and determine your classifications. These websites sometimes change slightly, so current addresses will be verified and given to you in class, prior to this assignment. ASSIGNMENT:  Visit the www.sric-bi.com/VALS website. 2. Choose “VALS Survey” and complete the survey. 3. Print out the page that displays your classifications (primary and secondary). 4. Now, click on “The VALS Types” and print the descriptions of those classifications or types. 5. On a separate, typewritten sheet, say how accurately you feel these categorizations fit you and how useful a tool you think this would be to marketers and why.  Next, visit www.Claritas.com/MyBestSegments website. 2. Enter zip code look-up 3. Choose “PRIZM NE” and type in your home zip code. 4. Click on the category with the highest number of PRIZM clusters, and print the page that describes what that cluster name means. You may need to click on “Submit” again to get back to the list your zip code generated. 5. Repeat step #4 for the category with the second highest number of PRIZM clusters.

of 8 6. On a separate, typewritten sheet, say how accurately you feel these categorizations fit your hometown and how useful a tool you think this would be to marketers and why.

(3) PRODUCT PLACEMENT & PACKAGING: Go to any grocery store of your choice (not a convenience market) and do the following: a. Go to the peanut butter aisle and look at the manner in which competing products are shelved. Are they displayed by brand (Jif, Skippy, Store brands, etc.) or by type (creamy, crunchy, etc.)? b. Keep a log of the following: 1. For two national brands, document the jar size (ounces, etc.) and price. Record the original price and if the item is on sale, the sale price. 2. For one store brand, document the same. c. Go to the cereal aisle. How are the different brands shelved (by brand, type, etc.). Select two types of cereal (bran flakes, corn flakes, frosted flakes, etc.) For each type, document the box size, price, cereal brand, and company that produces it. If a store brand exists for this type of cereal, be sure to document it as well. Try to keep the box sizes similar. d. Answer the following questions for both the cereals and the peanut butters: . What do you notice about the placement of store brands vs. national or manufacturer’s brands? . Are the price differences significant between national brands? Between store brands and national brands? . Is the packaging of the national brands different in any significant way from the store/private/distributor brands?

(4) PRODUCT PLACEMENT MOVIE: Select any movie of your choice (no X-rated or pornographic movies, please). Watch the movie and document the product placements and the number of times you see each product placement. Why would the product producers pick this movie in which to feature their products? In light of technology to skip commercials, such as TiVo, do you think this is an effective way to “advertise”? What is your personal opinion of this type of promotion?

(5) STORE LAYOUT/ATMOSPHERICS: Visit any store of your choice. Document the type of layout they use, what the flooring is like, what type of lighting they use, music, colors, etc. Draw a brief description of the layout. What are the types of products located at strategic points throughout the store? How do the atmospherics support or contribute to the image of the brand or store?