INTERNET EXPERIENTIAL LEARNING IN THE PRINCIPLES OF MARKETING CLASSROOM: A PEDAGOGICAL APPROACH Developments In Business Simulation & Experiential Learning, Volume 24, 1997 INTERNET EXPERIENTIAL LEARNING IN THE PRINCIPLES OF MARKETING CLASSROOM: A PEDAGOGICAL APPROACH Elizabeth J. Wilson, Louisiana State University James G. Maxham, III, Louisiana State University ABSTRACT This paper discusses the importance of the internet and experiential learning in the Principles of Marketing setting. From this foundation, the authors propose several internet-related experiential exercises that synchronize with Principles of Marketing topics. Specifically, activities are offered for market segmentation, new product development, marketing channels, wholesaling, international marketing, business to business marketing, retailing, advertising and ethics. INTERNET EDUCATION The internet is a world-wide computer network that links millions of people and computers (Pillutla, 1996; Leonard arid Page, 1996). The internet contains a wealth of information and resources that may be useful to the principles of marketing instructor. The internet allows individuals to search, display and download plain text, graphics and audio/video (Kopp and Suter, 1996). As over 80 percent of colleges arid universities have internet access (Siegel, 1996), it may be time to incorporate the internet into the marketing learning experience (Leonard and Leonard, 1996). Internet activities, in the classroom, can provide a complement to the traditional lecture method of teaching. One advantage of employing the internet into one’s lesson plan is the international business exposure that students can acquire (Leonard and Leonard, 1996). For example, students can search companies world-wide to learn how the marketing mix differs across cultures. This quick and comprehensive access to information may not be readily available by other information source. Another advantage of incorporating the internet into classroom learning involves the enthusiasm it may generate (Siegel, 1996). Students are oftentimes excited by experiential learning activities, especially those embracing new technology. Ergo, the purpose of this paper is to offer several experiential internet activities that can be implemented into the Principles of Marketing classroom. The following section presents several areas of the Principles of Marketing course in which internet experiential activities appear befitting. The activities and internet sites espoused here are by no means exhaustive. Instead, they may provide a starting point by which instructors can build a personal lesson plan involving the internet. MARKET SEGMENTATION AND NEW PRODUCT DEVELOPMENT Two web sites that illustrate the concepts of segmentation and target marketing are future.sn.com and www.hambeach.com. The first is the home page for SRI’s VALS 2 typology. The eight groups, defined largely by psychographic variables, can be illustrated to students by progressing through the site. Each group can be accessed for a detailed verbal description and magazine readership profile. By completing an interactive questionnaire, students can determine their personal VALS 2 profile. Afterwards, students can compare their results to average Americans, or internet users specifically. 261 Developments In Business Simulation & Experiential Learning, Volume 24, 1997 Experiential Exercise For a short homework assignment, students can be instructed to access the VALS 2 home page, complete the questionnaire, and print out the results (a description of their VALS 2 classification). A short written report should also be submitted by the student as to what aspects of the VALS 2 group is consistent (and/or inconsistent) with his/her current life situation. This exercise can prove beneficial in comprehending the concept of market segmentation. Likewise, the assignment often helps elucidate the criteria by which a firm may choose to segment their market. The second site is the home page for the Hamilton Beach Corporation. Visitors to this site are asked a series of psychographic questions. One question prompts visitors to input the type of vehicle they drive (e.g. minivan, convertible, sedan, bicycle). Another question directs individuals to indicate their neighborhood type (e.g. gated development, subdivision with kids, apartment complex). Based on the answers given, the site suggests several products, which match the psychographics of the visitor. Lifestyle questions are a genuine method of eliciting valuable information about potential customers. Similarly, these questions appear to pragmatically illustrate the various customer segments of Hamilton Beach. The Hamilton Beach site attempts to extract valuable information from visitors regarding their needs. That is, Hamilton Beach strives to assess the needs of their market by asking them to design the perfect home appliance (i.e. blender, toaster, etc.). Specifically, students can design an ideal small appliance by choosing from a menu of product features. It seems plausible that Hamilton Beach utilizes this portion of the internet site to assist with their new product development processes. Experiential Exercise For a homework assignment, Principles of Marketing instructors can have their students visit the Hamilton Beach home page. In doing so, have the students answer the following questions. 1. In your opinion, what is (are) the target market(s) of Hamilton Beach appliances? 2. What, if any, valuable information can Hamilton Beach obtain from their home page? 3. Is the internet an effective means of reaching Hamilton Beach potential customers? 4. Does the Hamilton Beach home page experience inspire you to consider their company upon your next appliance purchase? The aforementioned questions can stimulate thoughts about market segmentation, new product development, and the Internet’s effectiveness in reaching customers. In particular, the home page can help facilitate the understanding of market segmentation and new product development. MARKETING CHANNELS / WHOLESALING To illustrate the internet as a marketing channel, Principles of Marketing instructors may consider directing students to Great Food Online at www.greatfood.com/gfhome3.htm. This noteworthy site is a worldwide wholesaler of gourmet food items. Great Food On-line affords visitors the opportunity to shop for award winning food items selected from at least twelve manufacturers. Further, visitors can consult food and entertaining experts, as well as collect recipes. Shoppers can easily order items on-line and have them shipped di- 262 Developments In Business Simulation & Experiential Learning, Volume 24, 1997 rectly to their chosen destination. This Internet site exemplifies a user-friendly channel of distribution. As such, it likely provides a useful means of teaching students the fundamentals of a distribution channel. Experiential Exercise This exercise is recommended to occur in-class, however, it can be adapted for an outside of class assignment. First, the class may visit Great Food On-line and browse the site. Afterwards, the class can discuss the following questions. 1. In what type of distribution channel(s) do the Great Food On-line manufacturers engage? 2. What role does the internet play in this distribution channel? 3. Is this an appropriate channel strategy for Great Foods On-line? If not, please suggest alternative channel structures. The Great Food On-line exercise may prove beneficial in relating an actual channel structure to Principles of Marketing students. The heretofore site represents the potential of the Internet to act as an intermediary in a channel of distribution. Additionally, it portrays the Internet as a complement or substitute for print catalogs. INTERNATIONAL MARKETING The website of Coca-Cola (www.cocacola.com) contains an interactive game. In this game, visitors are given a description of an exotic soft drink flavor. Next, students attempt to guess the name of the soft drink and the country in which it is primarily marketed. This game serves to illustrate Coke’s distribution network and wide product mix that targets consumer tastes in a myriad of countries. Countries included in the game are in Europe, Asia, the South Pacific, and Latin America. Experiential Exercise A fun in-class exercise can assist the instructor in communicating Coke’s global strategies. This activity requires access to a multimedia classroom or an internet-equipped computer lab. First, instruct the students to develop small groups. Subsequently, begin the global Coca-Cola game by asking group one to verbally guess the flavor and home country of the first soft drink. Providing group one volunteers an inaccurate guess, the remaining groups may posit an answer. The game progresses by affording each team an initial opportunity to correctly name the soft drink. The instructor can keep score by awarding one point to any team that submits a correct answer. The Coca- Cola Internet game can seemingly help students grasp the multitude of marketing plans employed by international firms to captivate global markets. BUSINESS TO BUSINESS MARKETING Reynolds Metals Company (www.rmc.com) is a worthy site for illustrating the differences between consumer and industrial products. Consumer products highlighted in the home page are the plastic wrap products while canning machinery represents industrial products. The nature of products in the business market (i.e., they tend to be highly technical, have high dollar costs (high unit value), and may require a long decision process involving many people) can be demonstrated by browsing through this sate. Experiential Exercise As an out-of-class assignment, instructors may choose to have students visit the Reynolds home page. During the visit, students can ponder and answer the following questions, 263 Developments In Business Simulation & Experiential Learning, Volume 24, 1997 which can provide the basis for an forthcoming class discussion. 1. What markets does Reynolds attempt to target? 2. What differences, if any, are apparent between consumer and business to business distribution channels? 3. Compare and contrast consumer product firms and business to business firms, in relation to their respective marketing philosophies. 4. Is the Internet an effective medium to reach business to business customers? This brief assignment, coupled with an in-class discussion, may yield an enhanced knowledge level concerning business to business marketing practices. Particularly, the internet exercise provides a practical, easy to understand method of learning the differences between consumer product firms and business to business firms. RETAILING The Internet has become an increasingly popular retailing mode in recent years. Consequently, the inclusion of internet retailers into the Principles of Marketing curriculum seems like a worthy endeavor. If internet retailing is undertaken, Tropi- Ties (www.silcom.com/-tropitie) is posited as an exemplary case. Tropi-Ties is a direct manufacturer that offers casual clothing and accessories for the tropical-minded shopper. Visitors to this site can effortlessly scan their products, place items into their on-line shopping cart and consummate the purchase. Experiential Exercise To explore Internet retailing, students can engage in an on-line shopping spree. That is, students can browse the Tropi-Ties site, place wanted items in their cart for purchase, and view the order fulfillment section (students can view the ordering procedures without placing an actual order). Thereafter, students can print a copy of their shopping list and discuss the following questions. 1. What are the conveniences and shortcomings, if any, of on-line retailing? 2. Is the internet an effective means to market clothes and accessories? A visit to Tropi-Ties can help the Principles of Marketing instructor to teach the notion of online retailing to students in a straightforward, realistic fashion. ADVERTISING Advertising has exploded onto the internet in recent years. Accordingly, it remains unlikely to visit any internet site today without being exposed to several advertisements. This popularity may be due, in part, to its presumably inexpensive cost per number of persons reached. Further, the ads can be directed to specific market segments by linking the advertisement to those web sites proposed to enthrall precise consumer groups. From this perspective, the internet is apparently becoming a sensible and reliable advertising medium. Thus, the inclusion of internet advertising in the Principles of Marketing discussions may become useful in providing students with a more encompassing knowledge base. Experiential Exercise A succinct homework task, discussed here, can assist Principles of Marketing instructors to pragmatically impart internet advertising to their students. To accomplish this objective, have student’s type in the keywords advertising and Internet into a preferred Internet search engine, such as www.webcrawler.com. In 264 Developments In Business Simulation & Experiential Learning, Volume 24, 1997 due course, students will be presented with a plethora of web sites referring to internet advertising. For instance, several sites point to firms that market internet advertising services. The instructor can advise the students to search relevant sites for answers to the ensuing questions. 1. If one desired to advertise via the Internet, what could they expect to pay for a typical ad? 2. Compared with other advertising media, what are the advantages and disadvantages of internet advertising? 3. If any, to what types of businesses are Internet ads befitting? 4. In your opinion, do internet ads stimulate purchase intentions? These questions will likely invigorate a energetic class discussion on the topic of Internet advertising. This experiential exercise provides a practical approach to learning about this advertising medium. That is, students learn the concept “first hand” rather than learning “second hand” through the instructor. SOCIAL RESPONSIBILITY / ETHICS Social responsibility and ethical issues have historically aroused interesting debates between Principles of Marketing students. In the author’s experience, the key to these lively discussions have been the use of current issues. The internet can greatly assist the instructor in this regard, as the web furnishes a wealth of current issues concerning marketing ethics. One very attractive ethical issues site is called McSpotlight (www.envirolink.org/mcspotlight/). This web site contains a overabundance of current ethical debates surrounding influential corporations. A visitor to this site may engage in live debates with others, and read up-to-date ethical articles. McSpotlight is remarkably current, user friendly and very informative. For these reasons, this site may be a welcomed addition to Principles of Marketing ethical deliberations. Experiential Exercise An entertaining homework task involves visiting the McSpotlight site. In doing so, students can be instructed to investigate the site for an ethical debate, which can be related to the marketing function. This task becomes extremely intelligible given the multitude of marketing dilemmas located on this site. Next, the students can be asked to write a one page summary comprised of 1) the primary points, 2) a position statement explaining his/her viewpoint, and 3) the implications for marketing. The McSpotlight exercise can help students to better understand many current social /ethical problems in marketing from an applications standpoint. CONCLUSION AND FUTURE RESEARCH This paper attempted to set forth an argument for incorporating internet-related experiential exercises into the Principles of Marketing classroom. The authors presented several activities, which may prove useful in creating exciting classroom discussions and enthusiastic students. This environment could potentially have a positive influence on student comprehension and learning. It should be noted that this paper discusses just a few ideas for integrating the internet into the Principles of Marketing classroom. From this perspective, the authors hope this paper will furnish a springboard to increased experiential learning via the internet. Having the students discuss home page sites of companies often generates a high level of participation during class time. Likewise, short homework assignments may effectively improve a student’s effi- 265 Developments In Business Simulation & Experiential Learning, Volume 24, 1997 cacy with both the marketing topics, and the internet itself In future studies, the authors suggest that other marketing topics be explored on the internet. For example, pricing and distribution activities are ostensibly warranted. Marketing companies are developing internet home pages at a swift rate. Many of these sites possibly contain valuable learning tools for the Principles of Marketing course. Therefore, academicians are urged to pursue this important information and pass it on to their colleagues and students. REFERENCES Kopp, Steven W. and Tracy A. Suter (1996), “Integration of Internet Technologies into Marketing Education: Academic Privileges and Legal Pitfalls,” American Marketing Association Summer Conference, 447. Leonard, Nancy H. and Diana Page (1996), “Individual Differences in Internet Attitude and Use,” Proceedings of Developments in Business Simulation and Experiential Exercises (ABSEL), 23, 111-116. Leonard, Nancy H. and Thomas L. Leonard (1996), “The Internet as a Pedagogical Tool,” Proceedings of Developments in Business Simulation and Experiential Exercises (ABSEL), 23, 169-170. Leonard, Thomas L. and Nancy H. Leonard (1996) “Internet Scavenger Hunt,” Proceedings of Developments in Business Simulation and Experiential Exercises (ABSEL), 23, 171-172. Pike, Robert W. (1994), Creative Training Techniques Handbook Minneapolis: Lake-wood Books, 2nd edition. Pillutla, Sharma (1996), “Using Internet Resources to Enhance Teaching of Information Systems Courses,” Proceedings of Developments in Business Simulation and Experiential Exercises (ABSEL), 23, 195-196. Siegel, Carolyn F. (1995), “Establishing a Link Between Marketing Educators and the Internet,” Southern Marketing Association Proceedings, 264-267. 266 Table of Contents Volume 24, 1997 Incorporating Computer Telephony into the MIS Course A Learner Oriented Infrastructure for videoconferencing Based Distance Education Courses The Identification of Temporally Related Structural Elements of the Experiential Component of Electronic Spreadsheet Tasks Does Involvement Influence Learning from Simulation Participation? Some Relationships with Helpfulness and Performance Outcomes Musings on Business Garne Performance Evaluation Performance on a TE Simulation: What does it represent? The Business Policy Game: An International Simulation - An Assessment Tool Students in Free Enterprise as Experiential Learning The Role of Computer Models in Wargames: A Practitioner's view Using Focus Groups as a Tool to Research Learning: A Demonstration and a Discussion Using Medical Simulations to Teach Multi-Cultural Diversity Using the World Game to Internationalize International Exchange Game Community Services Needs Assessment: An Innovative Approach Introducing Students to Potential Total Quality Management Ethical Dilemmas Privacy in the Workplace: A Situational Analysis Antecedents of Learning in Simulations Demonstrating the Learning Effectiveness of Simulation: Where we are and Where we need to go The Use of Computer Simulations as a Pedagogical Aid in Teaching Management Information Systems Evaluating Simulation Learning in a Distant Learning Instructional Model Financial Engineering of Global Investments The Labor History Game: Playing with the Past Perks Participation Assessing Negotiator's Proficiency with a Negotiation role-play The Art of Negotiating Enhancing Learning and Employee Development through the Assessment of Learning Pedagogy Preferences across selected Dimensions of Culture: A Preliminary Investigation Cooperative Learning: What are we Learning? Effective Use of Mastery Based Experiential learning in a Project Course to improve skills in system analysis and Design Simulations and Learning: Can we prove a relationship? (Seminar) Predicting and Reviewing NYSE Stock Prices by use of Basic Statistical Analysis and Logic Toy Car Depreciation Exercise ABSEL as Home Community: An Interactive Exploration Service Learning: Linking Academic Study to Community Development and Business Enhancement Ability of Efficient Evaluation of Knowledge-Based Management Strategies Corporate Ethics Training Programs Modeling Attributes in Demand Functions of Computerized Business Simulations: An Extension of Teach's Gravity Flow Algorithm Expert Systems Combined with Neutral Networks: Tools to Benefit the Marketing Researcher Computer Game Design: New Directions for Intercultural Simulation Game Designers Consistency in Simulation Performance over Time and Across Simulation Games The Impact of an Artificial Market Leader on Simulation Competitor's Strategies Business Plans, Case Studies, and Total Enterprise Simulations: A Natural Co-existence An Exploration into the Non-Use of Business Simulations The Market Game: Interactive Learning Through Market Simulation Plotting Brand Trajectories with the COMPLETE PPM package: A Market Segmentation Analysis and Positioning Tool Me and Mine Inc: An Exercise in Management Theory Learning to Differentiate Leadership from Managerial Position Business Ethics Survey: A Perspective from the Retail Industry Experiential Learning in Demand Analysis for an Agricultural Commodity Marketing on the Internet: A Pedagogical Exercise College Students Need Simple Computer Simulations, Especially for International Business Courses An Analysis of Student Attitudes, Performance, and Strategies in a Simulation Competition Based on a Controlled Product-Market-Entry Game Structure The Crystal Enterprise: Application of a Non-Computerized Simulation Model in a Process of Organizational Change Threshold: A Windows-Based Behaviorally Oriented Total Enterprise Simulation Coaching Business Game Teams Using a Decision Variable Optimizer Rock and Roll is here to Stay: Enhancing Experiential Pedagogy with Musical Exercises An Example of Business Process Analysis Simulation for Customer Software Support The Use of Business Gaming in Hong Kong Academic Institutions Using the Integrative International Simulation INTOPIA Mark 2000 in a Concentrated MBA Curriculum A Group Experience as an Integrated Part of the Core Management Course Empowered Learning in the Classroom The Inter-Group Interaction: An Innovative Approach to Cooperative Learning Courses that Utilize Student Team: An Approach to enhancing their Effectiveness Thoughts about the Measurement of Learning: The Case for Guided Learning and Associated Measurement Issues Measuring Student Learning Using Business Simulations: A Theory Based Perspective On the Use of PC Fingame in an Undergraduate Finance Course How Managers get Things Done: A Virtual Soundbite Internet Experiential learning in the Principals of Marketing Classroom: A Pedagogical Approach Current Student Perceptions Relative to Business Simulations Beyond Capitalism: Designing Business Policy and Social Justice The Use of Boards of Directors to Evaluate Reports and Presentations in an Undergraduate Business Policy Course Beacon Lumber: An Experiential Introduction to Financial Accounting The Application of Organizational Motivation Principles: The Experiential Business Simulation Motus Manufacturing Avoiding a Bogey: Grading Case Discussions Scientifically Communicating Consumer Behavior II: A Modified Exercise Using Personal Consumption Journals in Condensed Courses Designing Instruments for Assessing the Effectiveness of Simulations, (Seminar) 360º Performance Feedback: Appraisal vs. Assessment The Cafeteria Approach to Managing an Academic Career: Remaining Non-Perishable while Doing Your Own Thing An Experiential Exercise Related to Person-Organization Fit and it's Consequences For Today's Dynamic and Changing World, Business Simulations need to be expanded to encompass Much Greater Complexity: A Demonstration The Incident Process: A Case in Reverse Contextually-Anchored Business Simulations The Energy Factor: Building Motivation in the Simulation Gaming Environment The Design of an Internet Game