Major Changes

There are nine new RPRC vignettes (other vignettes updated). In addition, the vignettes now talk about how they relate to chapter content and vice versa - the chapter text cites the vignettes.

New boxes on entrepreneurs in marketing in each chapter. They are still called "Spotlights" and they now contain a few questions that ask students to tie the Spotlight to the chapter material. Old Spotlight box content has, in some cases, been integrated directly into chapter text as examples.

This edition now features part-ending cases that follow a small, Chicago-based company, Computer Friendly Stuff (CFS).Custom videos accompany these cases.

New marketing plan appendix. This edition's marketing plan is from Computer Friendly Stuff.

The MarketingPlanPro CDROM allows students to create their own marketing plan can be packaged with the text for $10.00.

We've reduced the number of chapters from 19 to 18 - without losing content coverage. Chapters, 12 and 13 have major structural changes.

Internet exercises called Real People, Real Surfers added to each chapter in end-of-chapter material. Exercises differ in each chapter, asking students to use the Web in different ways.

Dropped the Careers in Marketing appendix, which now resides on the Website: www.prenhall.com/solomonstuart.

Addition and integration of material on the Internet and electronic commerce.

Spotlight on Ethics boxes have been transformed into short boxes called Real People/Bad Choices. These boxes (one per chapter) raise ethical concerns relating to chapter material and call on students to think for themselves.

Exhibits are now linked to the chapter text. In the first edition, exhibits were free floating and had their own captions. Now the chapter discussions call for students to see how exhibits illustrate concepts.

• Chapter 1:

  Welcome to the World of Marketing

  Updated examples, and headings. The Spotlight is on JobDirect, an Internet resume service that two young college-aged women founded.

  The section on People Marketing to include ideas and places. Section is now titled: Idea, Place, and People Marketing and it includes material on entertainment and sports marketing.

  Choosing a Targeting Strategy has been revised to Selecting a Target Market because it more closely matches the targeting strategy out lined in Chapter 8.

  Added a section in this chapter called Looking for Customers Beyond Your Own Borders. It falls under the How Marketing is Done section.

  The Internet exercise asks students to go to the Levi Strauss site and compare it to one of Levi's competitors - Wranglers.

• Chapter 2:

  Strategic Planning: Making Choices in a Dynamic Environment

  The Spotlight is on a software company called Aliah, Inc, which makes planning software that takes into account how emotions affect decision-making.

  We've added references to the CFS marketing plan appendix to illustrate how marketers construct marketing plans.

  We expanded the section, Plan Well and Prosper, to better outline the chapter. Often the strategy chapters in marketing texts are rather imprecise. In this chapter we've set up our terms up front to get as precise a structure on planning as possible.

  Added a figure that shows mission statements from actual companies and organizations, such as AT&T, MADD, Quaker Oats, and Pfizer. Figure gives Web sites, too.

  The Internet exercise asks students to visit the company Web sites in Figure 2.2 and examine a few companies' mission statements.

• Chapter 3:

  Decision Making in the New Era of Marketing

  There is a new RPRC vignette in this chapter - Interface Americas, a carpet manufacturer. The featured marketer is Joyce LaValle. Her mission was to expand Interface's Prince Street division while ensuring the company's production processes were environmentally friendly. The Spotlight is on Daydream Software, which makes nonviolent software games.

  In this chapter, we've emphasized social responsibility in marketing to mirror its increased importance in today's business environment.

  Brought the Decision Model for New Era Firms (was figure 3.3) up front in the chapter.

  Changed the title of the section Describing the Product Accurately to Promoting the Product Ethically.

  The Internal Business Environment section has a new, short section called Corporate Resources and Competencies.

  The Internet exercise asks students to probe the Web sites for the Better Business Bureau, the Federal Trade Commission, and the Federal Communications Commission and answer questions about the effectiveness of these organizations and their Web sites.

• Chapter 4:

  Think Globally and Act Locally: Marketing in a Multinational Environment

  There is a new emphasis on world trade, and more coverage of human rights. Plus we've added a systematic exploration of the steps required to develop a global strategy, including decisions regarding franchising and joint ventures.

  Spotlight is on a company called Getting Through Customs, which sells information about how to conduct business abroad.

  The Internet exercise asks students to pretend they want to do business in a developing country. It directs students to sites housing information on international markets and asks them to use that information to assess the country's economy, political climate, and other factors.

• Chapter 5:

  Marketing Information and Research

  We restructured this chapter to follow steps in the marketing research process - defining the problem, selecting a technique, gathering data, and ensuring the quality of research. New section called Predicting the Future, which covers scenarios and Faith Popcorn's company Brain Reserve.

  We've also provided the Web addresses for information sources such as the U.S. Census Bureau and American Demographics' Magazine. The Internet exercises provide even more such sites and ask students to write gather information from them to write a short report.

  New RPRC vignette on the head of research at Lambesis, Dee Dee Gordon -- creator of the L Report and of the research technique called "coolhunting." Both the report and the technique track young trendsetters to find out what products they'll desire next.

  Spotlight is on a company called Growing Healthy, Inc, which makes frozen baby food. It focuses on Growing Healthy's founder's marketing research technique.

• Chapter 6

  Why People Buy: Consumer Behavior

  There is a new RPRC vignette on the American Sheep Industry and how it tried to understand Chinese consumers in order to compete in the Chinese wool market. The Spotlight tells how the famous Nantucket Nectars company got its start.

  The Internet exercise ties to the RPRC vignette. It asks students to examine the American Wool Council's Web site and the American Sheep Industry Association site to determine how well they market to clothing manufacturers and consumers.

• Chapter 7

  Why Organizations Buy: Business to Business Markets

  New to this chapter is a section on electronic commerce in business-to-business markets, and how intranets and extranets affect business marketing.

  There is a new RPRC vignette in this chapter - National Gypsum, a manufacturer of wallboard. The vignette shows the complexities of marketing to businesses that then market to consumers. This ties in nicely to the Internet exercises, which call on students to visit Gypsum's site and compare it to competitors' sites.

  We've created a new figure showing the difference in buying criteria between organizational and consumer markets. We created another new figure showing the players in the organizational buying process and their responsibilities.

  The Spotlight features an entrepreneur named Mary Naylor who started Capitol Concierge - a service for business people who work from home and who still need all the help of a traditional hotel concierge.

  There is a new end-of-chapter case on Pitney Bowes and its struggle to compete with the United States Post Office.

• Chapter 8:

  Sharpening the Focus: Target Marketing Strategies

  We restructured this chapter to make the three elements in target marketing strategies more evident. The three elements are segmenting, targeting, and positioning -- and those are the three main sections of this chapter.

  Spotlight is on Orisi, a new company that makes safe, stylish kayak helmets. Two young entrepreneurs started the company and discovered their market segment was kayakers, their target within that market was young, stylish kayakers, who positioned their product accordingly.

  The Internet exercise asks students to visit the site for the Values and Lifestyles (VALS) market segmentation system developed by SRI International. The exercise shows students two other segmentation systems - GEOVALS, Japan-Vals, and iVALS.

  There is a new end-of-chapter case on the 1998 Volkswagon Beetle.

• Chapter 9:

  Creating the Product

  This is the first of two product chapters. Chapter 10 is Managing the Product and gets into topics such as branding and packaging. Chapter 9 focuses more on new product development and innovations.

  We've given more importance to the diffusion and adoption of products than was in the first edition by making it a section in its own right.

  We moved the new product development process from Chapter 10 to Chapter 9.

  There is a new vignette- William Smith at Kodak. The vignette tells students about Kodak's struggle during the 1990s to improve its consumer photography business and challenges students to determine how Kodak overcame its problems.

  Spotlight is on a brother team that started Handcuffs Sweatshirts, a company that makes sweatshirts with fingerless gloves on the end of each sleeve.

  The Internet exercise asks students to compare Kodak's site with other companies that focus on new product development - 3M, Sony, Gilette. Questions direct students to evaluate each company's product mix and development process.

  There is a new end-of-chapter case in this chapter. It's on a company called idealab! that is in the business of coming up with new ideas for products.

• Chapter 10

  Managing the Product

  The spotlight features a husband and wife team who started a Nashville-based company called Music City Pasta. Music City makes fresh pasta in different shapes such as guitars for music lovers and college logos for students.

  The Internet exercise enables students to learn more about legal protection for products by exploring the U.S. Patent and Trademark Office's Web site.

  There is a new end-of-chapter case on Polaroid that professors can use to compare with the Kodak vignette from Chapter 9.

• Chapter 11

  Broadening the Product Focus: Marketing Intangibles and Services

  New RPRC vignette on Charles Waddell, director of marketing for the Carolina Panthers football team. Waddell's challenge was how to bring in business for this new team - whether to sell the Panthers advertising rights to a third party, whether to do all marketing and advertising in-house or whether to do both.

  The spotlight is on Sterling Collision Centers, a new Massachusetts-based car repair service that succeeds because of its customer-friendly marketing

  The Internet exercise asks students to visit fast food chains Wendy's, Burger King, and McDonald's to assess their target markets and positioning strategies.

• Chapter 12

  Choose a Pricing Strategy, Develop Pricing Tactics

  The figures in Chapter 13 have been embellished with talking boxes and extended captions to help students get through some of the more difficult pricing topics, such as price elasticity and marginal analysis.

  The Spotlight tells how a young entrepreneur went about pricing her new product - chai, a sweet, milky tea. Company is Oregon Chai.

  There is a new end-of-chapter case on Hallmark's struggle to be more price competitive,

  The Internet exercise asks students to learn more about bartering by visiting the National Association of Trade Exchanges Web site, among other sites.

• Chapter 13

  Pricing Methods

  Chapter 13 begins by reminding students what they learned in Chapter 12 and that Chapter 13 picks up where 12 left off in the price planning process. We repeat Chapter 12's price planning figure again, too.

  There is a new RPRC vignette featuring Craig Lambert, Senior Vice President at Marriott Courtyard. The vignette challenges students to determine which pricing strategy would be most effective in increasing sales for the Courtyard Marriot hotels.

  The Spotlight is about the pricing strategy of Casket Royale, a coffin discounter in Canada. It shows students how lower prices than the competition can sometimes be an asset for products of a sensitive nature.

  There are two new figures in this chapter that list the different pricing strategies and objectives.

  The Internet exercise asks students to examine Marriott's Web site and answer questions about Marriott's price strategy as well as its segmenting and targeting strategy.

• Chapter 14

  Channel Management, Wholesaling, and Physical Distribution:

  Delivering the Product

  We placed more emphasis on Place being one of the last Ps where there is room for competitive advantage. Consumers are used to the Ps of promotion, price, and product. Place - getting the product to the customer - has center stage now. One new "place" to distribute goods is the Internet, and we've integrated more discussion of the Internet into this chapter.

  The Spotlight is on McAfee Associates, a software company that has taken advantage of the Internet as a means of distributing upgrades for its programs.

  Internet exercise ties to the RPRC vignette, which is on First Union Bank's distribution strategy. The exercise asks students to visit the Web sites of First Union's competitors - Nationsbank and Chase Manhattan - and compare their online banking services.

• Chapter 15

  Retailing and Electronic Commerce

  We added a section on electronic commerce in retailing. It covers the retailing opportunities on the Internet as well as some of the challenges of electronic commerce, namely issues of security and price competition.

  We moved the What's in Store for the Future section from the back of the chapter to the front. It covers the demographic and technological changes that will affect the retailing industry, as well as the industry's increasing globalization. We also updated and expanded the nonstore retailing section to include coverage of the Web and virtual malls.

  The Spotlight is on a store called Mars, which stands for Music and Recording Superstore. The entrepreneur, Mark Begelman, opened the music store out of frustration with previous music shopping experiences - basically, other music stores didn't let him try out and play their instruments the way he really plays them - loud! His store encourages in-store jamming.

  The Internet exercise asks students to visit and compare the sites of a few major department stores - Macy's, Sears, the Gap.

  There is a new end-of-chapter case on The Gap that traces its history and asks students to think about how it can grow its market share in the future.

• Chapter 16

  The Promotion Superhighway

  The RPRC marketer and company are still Tom Eppes and Price/McNabb but the subject matter of the vignette is different from the first edition. This time Eppes' challenge is how to implement a customer-driven marketing strategy for one of his clients, which entails developing an integrated marketing communications program.

  Spotlight is on a company called Beach'n Billboard, which offers an alternative promotion vehicle for advertisers. The start-up company owns a beach cleaning machine that, as it cleans, also makes impressions of advertisers' logos in the sand. It's an illustration of a non-traditional promotion medium.

  The Internet exercises ask students to visit the sites for Disney, Lane Bryant, and Hallmark to determine how these sites help the companies build customer databases and to determine what markets the sites target based on the questions they ask of customers.

  There is also a new end-of-chapter case on Virgin Cola that asks students what kind of integrated marketing communications program virgin could create to market its new cola in the United States.

• Chapter 17

  Advertising

  This chapter also builds on the IMC model in chapter 16 by talking more about how marketers are supplementing traditional advertising with other elements of the promotion mix.

  There is a new RPRC vignette on a Swedish marketer's creation of a public service advertising campaign warning kids of the dangers of alcohol. (Note: this marketer's agency was Gazoline but she now works at a different Swedish agency, A&O Analys, which will be mentioned in the vignette.

  The Spotlight is on a company called Lava Mind. It makes alternative software simulation games. Being a small entrepreneurial company, Lave Mind does most of its advertising on the Net, but not in the usual way. It drew surfers to its site by creating a virtual pet cemetery. Visitors to the cemetery become curious about Lava Mind's software games...

  The Internet exercise asks students to compare the marketing strengths of many major advertising agencies, such as BBDO, DDB Needham, and Leo Burnett, by comparing their Web sites.

• Chapter 18

  Sales Promotion, Public Relations, and Personal Selling

  There is a new vignette in this chapter-Bunny Richardson, Coordinator of Media Relations at BMW. The vignette asks students to decide which one of three possible public relations campaigns would be best to communicate BMW's opening of a South Carolina manufacturing plant.

  The Spotlight illustrates the effective personal selling techniques of 34-year-old entrepreneur Danny Hahn, the famous beer salesman at Baltimore's Camden Yards.

  The Internet exercise asks students to evaluate five Web-based coupon distributors as a way to illustrate an alternative method of sales promotions.