Terms In Marketing

Unsought goods: They are those goods that are in the market place but are not in demand or not purchased by the consumers because of lack of awareness or less exposure.

Product Line and Product Item: A product line refers to the different products that are available in a particular product category of the company. A particular product or brand in the product line is called as a product item.

For example, if product category is pens then the different kinds of pens will appear

in that product line. But if we still go deeper, a company may have ink pens as a

product line in which different kinds of ink pens will make the product line.

Product line length: It is the no. of product items that are existing in a particular product line. Product line length in total is also called as Product mix length. The no. of

product lines is called as product mix width.

Product line stretching: It refers to adding newer or more product items in a different

product line. It can also be said as product line expansion. So, if a company has 6

product lines, it can increase the no. of product lines either by introducing a lower

end product line consisting of a range of cheap and reasonable product items or a

higher end product line consisting of premium product items. It can be referred to as

upward stretching or downward stretching.

Product Line Filling and Product Line Pruning: Product line filling means introducing a new product item in the existing product line either by launching a new product or modifying an existing product. Product line pruning means withdrawing the existing product item from the existing product line either because it is unprofitable or not needed.

Service Differentiation: Services may be similar to each other but it is necessary to differentiate it to attract more customers and more revenue. Service differentiation indicates significant differences that exists or developed between the competing service and the company’s service. These differences drive the customers towards a particular service if they find it attractive.

Service Productivity: Services may be similar to each other but it is necessary to differentiate it to attract more customers and more revenue. Service differentiation indicates significant differences that exists or developed between the competing service and the company’s service. These differences drive the customers towards a particular service if they find it attractive.

Integrated Marketing Communication: IMC is involves the combination of promotional tools that are used to target and communicate to the market with similar message and positioning strategies used in each of the promotional tool. It is a process through which planning, developing, executing, co-ordinating and evaluating of the promotion mix for achieving better results and gain more consumers.

Transfer Pricing: It is the price at which the multinational company transfer goods between its subsidiaries in various countries. It requires several considerations such as tax policies, rebates offered by country’s govt., cost of production, profit margins and other related aspects to determine the transfer price.