Multiple-Unit Packaging – 1. (retailing definition) The combination of several like products as a unit of one, involving at least a slightly different markup than is obtained when the items are sold separately. 2. (pricing definition) The practice of pricing several items as a dingle unit.
Multiple-Zone Pricing System – In a multiple-zone pricing system, delivered prices are uniformed within two or more zones.
Multiplicative Competitive Interaction (MCI) Model – An attraction model for explaining and predicting market share. In MCI model each brand’s attractiveness is modeled as a multiplicative function of some explanatory variables (e.g., brand attributes). Nakanishi and Cooper (1974) show how such a nonlinear model can be estimated by least squares regression techniques.
Multiunit Establishment – One or two or more establishments in the same general kind of business operated by the same firm. It is sometimes referred to as a chain store.
National Account – A prospect or customer with locations in several sales territories that are sold, using a coordinated national strategy rather than strategies that focus on specific locations. A national account with an international scope is referred to as a global account.
National Account Manager – An account executive responsible for coordinating the sales effort directed toward a national account.
National Advertising – Any advertising that is placed by a company, organization, or individual that operates on a national or regional (multislate) basis. Some of the advertising may be placed directly with local advertising media, but it is likely that this advertising would be part of the nationwide advertising effort of the company, organization, or individual.
National Advertising Division (NAD) – A division of the Council of Better Business Bureau that assists advertisers in resolving disputes about the content of advertising messages. The NAD serves as a third party that can help resolve complaints by advertiser s and members of the public. If complaints are not resolved by the NAD staff members they are referred to the National Advertising Review Board.
National Advertising Review Board (NARB) – A group of advertising industry executives, advertising executives from corporations, and the members of the public who work in conjunction with the National Advertising Division of the Council of Better Business Bureaus. Members of this board attempt to resolve complaints forwarded to the board by the staff of the National Advertising Division.
National Brand – A brand that is marketed throughout a national market. It contrasts with regional brand and local brand. It usually is advertised and usually is owned by a manufacturer, though neither is necessary for the definition because of Kmart’s brands, for example, are obviously national, even international.
National Character – The values, beliefs, and personality characteristics that describe the people of a country in general terms.
National Income (NI) – 1. environments definition) The aggregate of labor and property earnings from the current productions of goods and services. It compromises employee compensation, proprietors’ income, rental income, profits, and net interest. 2. (economic definition) The sum of money incomes that individuals and firms receive for supplying units of the productive agents during a given period. It is equal to net national product less indirect business taxes, business transfer payments, and current surpluses of government enterprises plus government subsidies to business firms.
National Rate – The price charged national advertisers for space and time in local advertising media. Traditionally, newspapers, radio, and television stations have charged higher rates for national advertising than for local advertising.
Natural Environment – The physical forces in nature including climate, weather, and natural resources that affect a firm’s market or its ability to carry out it marketing activities.
Natural Selection Theory – A theory of retail institutional change that states that retailing institutions that can most effectively adapt into environmental changes are the ones most likely to prosper or survive.
Near-Pack Premium – A gift or other item generally too large to be included with or in the product package that is offered as an inducement to purchase. Commonly, the premium is placed near the product’s in-store location.
Need Satisfaction Selling – A type of customized sales presentation in which the salesperson first identifies the prospective customer’s need and then tries to offer a solution that satisfies those needs.
Negative Advertising – The use of advertising messages that concentrate on pointing out undesirable aspects of competing products, services, organizations, or ideas. This technique is frequently used in political advertising to attack opposing politicians and political ideas.
Negative Authorization – A verification system in which only poor credit risks are noted in the credit check. Any credit not negatively reported is assumed to be verified.
Negative Binomial Distribution (NBD) Model – A probability mixture model representing the frequency and timing of product purchases, primarily applied to frequently purchased consumer goods. It assumes that sequential purchases made by an individual occur randomly in time, and also assumes that purchase rates have a gamma distribution across individuals (Ehrenberg, 1972; Greene 1982). With these two assumptions the distribution for the number of purchases made by a randomly chosen set of customers in a fixed time period has the negative binomial distribution. The model can be used to predict future purchase patterns for customers with a given purchase history. (Morrison and Schmittlein 1981).
Negotiation – The process of trying to find mutually agreeable terms in an exchange situation. Negotiation leads either to mutually acceptable terms (agreement) or a decision not to transact (disagreement).
Neighborhood Shopping Center – 1. (geography definition) the smallest type of shopping center, compromising 30,000 to 100,000 square feet. It provides for the sale of convenience goods (food, drugs, and sundries) and personal services that meet the daily needs of an immediate neighborhood trade area. A supermarket is the principal tenant. 2. (retailing definition) One of the several standard classes of shopping center provides for the sale of convenience goods and personal services. It typically has about 50,000 square feet of the store area but ranges from about 30,000 to 100,000 square feet.