Essential Business & Marketing Terms: A Comprehensive Glossary

Essential Business & Marketing Terms

After-Sales Service: Service that continues after the sale of a product (e.g., maintenance).

Agent: Person or company that acts for another and provides a specified service.

B2B E-commerce: Business-to-business e-commerce: use of commercial networks, online product catalogs, and other online resources to obtain better prices and reach new customers.

B2C E-commerce: Business-to-consumer e-commerce: online sale of goods and services directly to consumers.

Benchmarking: Comparing one’s products to those of competitors in order to improve quality and performance.

Buyer: 1) Any person who makes a purchase. 2) A person employed to choose and buy stock for a company.

Cash Refund Offer: Offer to pay back the purchase price of a product to customers who are not satisfied and send a “proof of purchase” to the manufacturer.

Chain Store: Two or more shops or outlets that have the same owner and sell similar lines of merchandise.

Client: A person who buys services or advice from a lawyer, an accountant, or other professional.

Close: Finalize or conclude a sale or deal.

Convenience Store: Small shop located near a residential area that opens long hours, seven days a week.

Deal: A business transaction.

Department Store: A large retail establishment offering a wide variety of merchandise organized into departments.

Coupon: A voucher offering a discount to customers when they purchase a specific product.

Discount: A reduction in price.

E-commerce: Buying and selling on the internet.

E-marketing: Promoting products and services on the internet.

Extranet: Network that connects a company with its suppliers and distributors.

Follow-up: Maintain contact after the sale to ensure customer satisfaction.

Franchise: Association between a manufacturer or wholesaler (franchiser) and an independent business person (franchisee) who buys the right to own and operate a unit in the franchise system.

Guarantee: A promise that the product will be repaired or replaced if faulty.

Intranet: A network that connects people to each other within a company.

Joint Venture: A way of entering a foreign market by joining with a foreign company to manufacture or market a product or service.

Markup: Percentage of the price added to the cost to reach a selling price.

Market Leader: The company with the largest market share in an industry.

Opinion Leader: Person with a reference, who, because of competence, knowledge, or other characteristics, exerts influence on others.

Packaging: Designing and producing the container or wrapper for a product.

Product Line: A group of products that are closely related.

Prospect: A potential customer.

Representative: A person who represents and sells for a company.

Retail: To sell in small quantities, as in a shop, directly to customers.

Shopping Center: Group or complex of shops with a common area for cars to park.

Telephone Marketing: Using the telephone to sell directly to customers.

Trade Fair: An exhibition at which companies in a specific industry can show or demonstrate their products.

Viral Marketing: The Internet version of word-of-mouth marketing: email messages that customers pass on to friends.

Wholesale: To sell goods in large quantities at low prices to those buying for resale (e.g., a shop) or for business use.