Implicit Price Index

Implementation – The stage in the strategic market planning process in which an action program is designed to meet the strategic objective(s) using available resources and given the existing constraints. The action program is intended to be both a translation of a strategic plan into operational term as well as a means by which the strategic performance may be monitored and controlled. The action plan has three major components: (1) specific tasks – what will be done including the specification of the marketing mix to be employed; (2) time horizon – when it will be done; and (3) resources allocation and budgeting – attaching a dollar figures to each income and expense-related activity and allocating capital funds.

Implicit Alternative – An alternative answer to a question that is not expressed in the options.

Implicit Cost – The use value of an economic resource that is not explicitly charged on accounting records of a firm -e.g., interest on owner’s capital investment.

Implicit Price Index (IPI) – A relative measure of changes in the general price level of goods and services produced by an economy during a given time period.

Implied Warranty – A warranty (promise of performance) that is extended to the customer but unstated. It usually is assumed from common practice in the trade, or suggested by statements made about the product by the seller.

Import Agent – A manufacturer’s agent who specializes in the import trade.

Import Broker – A broker who specializes in international marketing.

Import Commission House – A broker who specializes in international marketing.

Import License – An instrument of government control that regulates access to foreign exchange and the quantity and/or value of imports.

Impulse Buying – A purchase behavior that is assumed to be made without prior planning or thought. Often, it is claimed, impulse buying involves an emotional reaction to the stimulus object (product, packaging, point-of purchase display, or whatever) in addition to the simple acquisition act.

Impulse Product – A convenience product (good or service) that is bought on the spur of the moment, without advance planning or serious consideration at the time, and often by the stimulus of point-of-sale promotion or observation.

Impulse Purchase – 1. (consumer behavior definition) A purchase typically made in-store with little or no decision making effort. 2. (retailing definition) An unplanned purchase by a customer.

Impulse-Intercept Merchandise – Merchandise purchased on impulse, when the customer happens to see it in the store, prior to which the customer had no perceived need.

In Supplier – A firm currently supplying the company or currently on its approved vendor list.

In Transit – A condition that exists when merchandise has been shipped from the vendor and has not yet arrived at the buyer’s receiving dock.

In-Pack Premium – A small, often low value, gift placed inside a product package to encourage purchase or reward the purchaser.

In-Store Coupon – A certificate Redeemable only at one specific retail store or chain. The coupon generally is distributed through newspaper advertisements, flyers, or within the store.

In-Store Marketing – The marketing dollars spent inside the store in the form of store design, merchandising, visual displays, or in-store promotions.

Incentive – An inducement (money, premiums, prizes) offered by sellers to reward or motivate salespeople, channel members, and/or consumers to sell/purchase their products or services.

Incentive Compensation – Sales compensation based on performance.

Incentive Pay – Any compensation plan other than straight salary within the salesperson is given encouragement to sell more. Examples are straight commission (the strongest incentive); a salary plus a small percentage of net sales, etc.

Incentive Plan – An event offering rewards or inducements to stimulate the sales force or channel members to achieve predetermined sales, profit, distribution, or other goals.

Incentive Travel – A form of sales promotional activity in which large companies reward their salespeople, agents, distributors, or dealers with trips to interesting places for attaining a specific objective, usually sales volume (or purchase commitments) in excess of some predetermined quota.

Incidence – A percentage of population or group that qualifies for inclusion in the sample using some criteria.

Incidence of Taxation -The final resting place of the burden of the tax. The incidence may be on the person who originally pays the tax, or on someone else to whom the tax may be shifted.

Income – A flow of money, goods, and benefits to a person or an organization.

Income Differential – The difference in income levels among people of various categories, such as different jobs, geographic areas, age classes, sexes, races, and the likes.

Income Effect – 1. (economic definition) The change in patterns of consumption for a product given consumers have an increase in real income. 2. (environments definition) The increase or decrease in consumer’s real income as a result of the change in the price of good or service.

Income Maintenance – The policies designed to raise or maintain the income levels of designated groups of individuals.

Income Sensitivity of Demand – The relationship between a real increase in disposable personal income and the corresponding change in consumption.

Incremental Productivity Method – A method of determining sales fore size by adding sales representatives as long as the incremental profit produced by their addition exceeds the incremental costs. This method recognizes that there will probably be diminishing returns with the addition of salespeople.

Incremental Sales – Units of the product sold to retailers or consumers through a sales promotion effort over and above the amount that would have been sold in the absence of the promotional deal.

Incrementalism – The notion that strategies are the outcome of a series of piecemeal and minor tactical decisions in response to problems and opportunities rather than through systematic, formal, prepared plans. Incrementalism holds that organizations are more reactive than proactive.

Independent Carrier – An owner-operator or individual trucker who provides line-haul service for others. Under current transportation regulations, an independent carrier can make business arrangements with common carriers, and private carriers.

Independent Sector – Collectively, all private non profit marketers.

Independent Store – A retail outlet owned individually; not a chain store or branch store.

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