Chapter 7 Business Marketing

Avon does business marketing because they went and still are green by doing that they are helping the environment going green. Avon does to business-to-business electronic commerce because some stores other than Avon are selling some of Avon's products. Avon does do disintermediation because it is helping their business. They are selling products to stores that many people go in to. When Avon agrees to let stores sell their products there is a little catch that is that the company Avon is agreeing to sell their products to need to sell Avon's products for the full price no discount. This is because both Avon and the company need to make business. If a company does sell a product for cheaper and doesn't tell Avon both companies can lose money which is a very bad thing. This is a example of strategic alliance. Avon will believe in relationship commitment when the company they are agreeing to sell their products is selling many products and both companies are doing good from this. If Avon is selling products to a company that is not doing good Avon will not keep a relationship commitment because it is hurting their business.
When Avon agrees to let some companies sell their products Avon needs to have trust in that company. Trust is when Avon would have confidence in the other company that they would sell a good portion of their products. The bad part of trust is that if the company does not sell both Avon and the other company will most likely loss business which is never a good thing. Avon does use original equipment manufacturers because they made their own website based on Avon's company name. Avon is part of the North American Industry Classification System because Avon is almost every where in the world. Avon is in China, New Jersey, Boston and Maryland just to name a few. Avon has some of their products that are derived demand meaning that many customers are demanding a specific product. One of Avon's product that people are demanding are specific perfumes that represent their moods. Avon has many perfumes that fit each mood including happy,gloomy, exotic and funky just to name a few. Avon has a few joint products such as perfumes and colognes. Fergie is one example because Avon wanted a new perfume that would not be to strong or to weak so Fergie helped Avon out by putting her own twist on the perfume and for doing that her name is on the bottles of perfumes she helped create. Derek Jeter is another example because he came out with his own cologne exclusive for Avon.
Avon is a multiplier effect because when one or a few of their products sell a lot they need to get more. Sometimes because there is such a high demand for a product a product may take a extra 4-6 weeks to get delivered. Avon has a business-to-business online exchange because Avon has their own website where you can order products online and have them directly shipped to your house. Avon can have reciprocity because some customers will stick to the representatives they have now. People who sell Avon are known as representatives. For example in my neighborhood there is a Avon representative that I like if a new Avon representative would come in to my neighborhood I would not switch because I am happy with my representative now. Avon has major equipment  installations because they use computers to design some of their products. Some Avon representative have accessory equipment such as staplers, pens, pencils and paper just to name a few. Avon does not specifically sell raw materials but in some of their products that have oils.
Some of Avon's products are component parts because some of them need little or no help at all. Most of Avon's products are already finished because they want new products on the market quick to see how they will do. The products that need parts to be added will take longer to get out on the market which means Avon can lose business if the product is not ready. Avon uses processed materials by using some of the same bottles. For example Avon has big bottles for the big sprays and little bottles for the travel size products once those products are done Avon may use the bottles again and help the environment by recycling. When people are asked to make a design for a product they will but only one design will be put on the bottle. The designs that do not make it on the bottle are examples are suppliers those are parts that do not make the final product. Almost all of Avon's managers are a part of the buying center because they are going to spend money to display products that they think will sell in the store. There are two stores close to me and both of them have some of the old products but mostly the new products. Those stores want to sell most of the new products to give them a chance and see how they do. Avon's products can have new buys because they can come out with new products and people need to buy those products so they can be considered new buys. Most of the time Avon does not use modified rebuy because most of  their products are agreed upon already and everyone has agreed on it. Sometimes Avon will modify rebuy if a customer complains. Avon has mostly straight rebuy because almost all of Avon's customers like their products and most of the time do not have problems.

Chapter 8 Segmenting and Targeting Markets.

Many stores have their own market products. Avon's market is things that people need and want. Some need products that Avon sells is deodorant and shower wash's. People need those things so they can stay clean and not smell. Almost everyone has the same market segment. People need food,water and clothing to survive. Most of Avon's products are market segmentation because each product has a group to which it belongs to. Avon has many segmentation bases such as Avon has many perfumes which is in one category called fragrance. Avon also sells lip gloss, lipstick, eye liners and eye shadows all those products would be under one specific group called makeup.  Avon sells to people from different states and countries this is a example of geographic segmentation because Avon does not only sell to one place they sell to multiple places. Many of Avon's products are demographic segmentation because they have products for different age groups and color. Avon has products for males, females,children, teenagers, young adults, adults and elder people. Some of Avon's products have family life cycle because when people order Avon the representatives can see what they are ordering and from that determine what Avon books they should get. For example if a person orders makeup a representative would give that customer a Avon book that has a good makeup sale.                                                                                                                                                     Avon can be considered psychographic segmentation because they sell products for different moods. Avon has products that are simple for plain people, they have colorful products for the people who are happy and full or energy, they have products that are exotic for the people who like crazy patterns. Most of Avon's products are benefit segmentation because they can help to many things. For example Avon has products that can reduce wrinkles on old people, help people reduce their acne, help people cook and help people find a right color lip gloss or lipstick by trying samples. Avon uses usage-rate segmentation on most of their products. The products that sell the most you will see if almost every Avon book. The products that do not sell very well you will only see those products once in awhile not very often. Avon optimizes their option by seeing what is best for them and their customers.