BUS 343 - Chapter 8,4

One of the goals of value-based marketing is to provide _______ benefits to consumer than _______ offer.

Greater; Competitors

By the time the late majority enters the market, sales tend to ______ off or even be in ______.

level or even be in decline

In Canada, 60% of adult men and 44% of adult women are categorized as _____ or ______.

obese or overweight

true or false: The purchase of highly expressive products that carry greater risks and that are more important to consumers involves more evaluation than the purchase of products that are less expressive or that have lower perceived risks.

True

Tactics marketers use to influence consumer purchase decisions include which of the following?

change store layout reminder advertising

Two fastest growing groups of immigrants in Canada are:

Chinese South Asian

A successful firm focuses on match its core_____ to what customers need and want

Competencies

True or False: At the need recognition stage, marketers remind customers of a need but do not create new needs.

False

The product development process can be diagrammed as sequential process. Place the stages in order, with the first stage at top

Idea Generation Concept Testing Product development Market Testing Product launch Evaluation of product's success

Which word best describes the social, political, economic and technological factors with which market interact?

Macroenvironment

_____ sets are those brands or stores that can be readily brought forth from memory.

Retrieval

A method of determining the success potential of a new product, test marketing introduces the offering to a limited geographical area.

Test marketing

_______ defines the stage's products move through as they enter, get established in, and ultimately leave the marketplace.

The product life cycle

Consumer's interest in improving their health has opened up several new markets and niches focused on healthy living. This includes:

Yoga spending Other exercise methods

A consumer is evaluating options and weighting choices to determine where to hold a wedding reception. The buyer is using an _____ rule to simplify the task.

compensatory

______ are characteristics of human populations such as gender, race, age and income.

demographics

To simplify the potentially complicated decision process, consumers use shortcuts such as, _____ attributes and ______ decision rules.

determinant attributes; consumer decision rule

Along the diffusion of innovation curve, _______ makeup the second group of consumers to adopt an innovation; they tend to be leaders in a social setting.

early adopters

Amanda is going on a camping trip and buys a tent to bring with her. Which type of needs is Amanda fulfilling?

functional

A real benefit of the consumer expecting there will be a positive response to their comment or complaint is:

he is less likely to spread negative word of mouth

What are the two types of information search? Check all that apply

internal and external search

Whenever products are relatively _____ complex, it will be consequently be ____to try.

less;easy

Jane is trying to decide which brand of a cell phone to buy and cannot find one that meets all her criteria. To get all the features she wants, she would have to exceed her price point of $300. In making her decision, she will have to employ which model or decision rule.

Compensatory

A successful firms focuses on matching its core _____ to what customers need and want.

Competencies.

Which of the following would be considered nuances of a country's culture

Colours and tastes, Food preferences, artifacts

Entities that work in conjunction with an organization's microenvironment include which of the following.

Company Competition Corporate Partners

The most important immediate environmental factors that impact consumers are the ______.

Company, Competitors, corporate partners

What is the type of need that pertains to the performance of a product or service?

Functional

A good service may pass through many stages as it establishes itself in the marketplace. Marketing managers refer to this as the _________ cycle.

Product Life cycle

The Apple iPod was readily accepted by consumers in part because it was an easy way to listen to music anywhere, with substantial improvements over portable CD players. This is an example of relative _____ within the diffusion process.

Relative advantage

Early adopters, although not as fast an innovators, are quick to purchase a new product or service. Identify all of the following characteristics that are typically associated with early adopters.

They tend to be opinion leaders of a particular product categories They are less likely risk seeking than innovators.

What does a post-launch review help determine? (select all that apply)

Whether additional resources are needed Whether changes to the marketing mix are needed Whether the launch was a success or failure

Nancy has bough a curling iron but the appliance is very difficult to use to achieve the look she wants. Additionally, it takes at least 15 minutes to heat before use. Nancy's postpurchase outcome is best described as customer ____, one of three possible outcomes.

dissatisfaction

It is patricks first day on a new job, and he has been invited to lunch his colleagues. Instead of ordering food, he orders two glasses of beer. He is experiencing post-purchase cognitive dissonance over his choice. Which of the following is the most likely cause of his regret

he worries his purchase makes it look like he has a drinking problem

Dave had been looking for an interior decorator. He found a few good options but hired the person who was most comfortable with dogs, even though some of the other decorators had more positive online reviews. Dave does not want to have to put his large, elderly dog outside while the decorator is working, and he's not willing to compromise on that point. What type of decision rule did dave use to pick an interior decorator?

non-compensatory

Tactics marketers use to influence consumer purchase decisions include which of the following?

reminder advertising change store layout

____ sets include all possible choices for a product category, but because it would be unwieldy for a person to recall all possible alternatives for every purchase decision, marketers tend to focus on only a subset of choices.

universal Set

Which of the following is not considered a macroenvironmental factors?

Competition

What happened to Ashley Madison website in 2015?

It was hacked

Firms use _____ to collect and synthesize information about their position with respect to their rivals.

Competitive Intelligence or CI

trialability and _______ refer to how complicated a product is and how easy or hard is to try.

Complexity

It is the ______ who is at the center (heart) of all marketing efforts.

Consumer

Consumer decision rules take several forms; they include which of the following?

Decision Heuristics Non-compensatory Compensatory

Lance enjoys owning new gadgets that his life easier, but he is cautious. He doesn't want the hassle of working through all the initial problems with new technology, so he waits until those problems have been solved. Lance probably belongs to which of the adopter groups in the first half of adopters?

Early Majority

Marketers are particularly interested in post-purchase behaviour because

It entails actual, rather then potential customers.

based on which of the following socio-economic factors can Canadians be classified into upper class, middle class, working class and underclass groups?

Education Background Occupation Income

Sequential steps are involved in a new product launch. Match each task on the left with the stop on the right.

1. Firm confirms its target market 2. Firm decides two the product will be positioned 3. Firm finalizes the remaining marketing mix variables for the new product.

Place each of the following categories of consumers in the order in which they adopt a product, according to the diffusion of innovation curve, beginning with the innovators at the top

1. Innovators 2. Early Adopters 3. Early Majority 4. Later Majority 5. Laggards

The early majority represent approximately _____ of the total consumer market and is crucial to the profitability of a product or service. Without them, the product or service will typically fail.

34%

While late to the party, the late majority category of consumers is still significant, making up roughly ______ of the total consumer market.

34%

Although some ______ choose to target only affluent population segments, others have had great success delivering value to middle-and-low income earners

Markerters

Which of the following would be considered a situational factor?

All the answers listed are correct

Retailers use various tactics to increase the chances that customer will convert their positive evaluations into purchases. They can:

All these statements will increase conversion rates

In which one of the following situations is the consumer most likely to skip one or more of the stages of the purchase decision process?

Brian is buying a cup of coffee at the corner coffee shop, which he does most days.

A manager can improve the firm's ability to retain loyal customers it already has been by adopting an ____ program that helps manage the relationships between the brand and the buyer.

CRM

For many Canadians, the daily ritual of having a coffee is almost automatic and assumed. The same can be said for Chinese but with tea. For a firm that is marketing a product, this example serves a reminder to consider the ____ of your product and its intended target market

Compatibility

At the center of all analysis of the marketing environment is the _____ specific behaviour and attitudes.

Consumer

The _____ process model represents the steps that consumers go through before, during, and after making purchases

Consumer decision

Retailers use ______ to see how well they are doing at turning potential buyers into actual buyers.

Conversion rate

If a car company collaborated with a sheet metal supplier, the car company would be the supplier's _____ partner

Corporate Partner

______ is defined as the shared meanings, beliefs, morals, values and customs of a group of people.

Culture

if a firm can get its brand or store into a _____ consumers set it has increased the likelihood of purchase and therefore reduced search time because the consumer will think specifically of that brand when considering choices.

Evoked

Marketers can use an analysis of the ______, like SWOT analysis, to categorize an opportunity as either attractive or unattractive.

External Environment

True or False: Regardless of the required search level, there are 2 key types of information: integrated and external

False

True or False: The green marketing trend represents a great threat for firms that sell environmentally friendly products.

False

Arthur lost his watch and needed to buy a new one. This time, he decided to purchase a $3500 Rolex instead of a $25 Timex Watch. It made him feel successful. The purchase fulfilled which of the following type needs?

Functional and Psychological

Which of the following are possible postpurchase outcomes?

Having cognitive dissonance feeling satisfied or dissatisfied developing loyalty toward a product

Russell just got a new smartphone. He did his research before purchasing the phone since he needed it for work purposes. Which of the following information sources is an example of internal search?

He liked the previous version of the phone

The key characteristic of the growth stage of the product life cycle are:

Increase in number of competitors Rising sales Profits Rise

_______ refers to the persistent increase in the prices of goods and services

Inflation

_______ is the process by which ideas are transformed into new products and services that will help firms grow.

Innovation

____ Are crucial to the success of any new product or service because they help the product gain market acceptance

Innovators

____________ are crucial to the success of any new product or service because they help the product gain market acceptance.

Innovators

The _______ stage of product life cycle is characterized by initial losses to the firm due to its high start-up costs and low levels of sales revenue as the product begins to take off.

Introduction

The _______ stage of the life cycle for a new , innovative product or service usually starts with a single firm, and innovators are the ones to try the new offering.

Introduction Stage

Identify an advantage of test marketing

It allows the firm to study actual consumer behaviour

________ are consumers who like to avoid changes and rely on traditional products until they are no longer available.

Laggards

What are some characteristics that describe GEN X?

Latchkey Children Represents more than 2.8 million Canadians Born between 1996-1971

Which are the traits that best describe Baby Boomers?

Leisure time represents a high priority Obsession with maintaining their Youth Due to economic security, the ability to take care of themselves.

Some analysts have attributed the success and quick diffusion of the Apple iPod in part to the white earbuds. At the time, earbuds were not seen as often, and most headphones were black, not white. As knowledge of the iPod spread, the white earbuds could be seen even if the iPod itself was out of sight. This is an example of which of the factors that affect speed diffusion.

Observability

When a product such as a "nick-free" razor balde is launched, it may diffuse more slowly than a product like the Apple iPad, which easily seen and whose benefits or uses are easily communicated to others. This comparison exemplifies a difference in ______, one of the product characteristics that affect the sped of diffusion.

Observability

Marketers know that the family structure has significantly changed from the past years. Some of the significant issues that marketers must consider are:

Parents working longer hours Kids are busier than ever before

Need recognition would be greatest in which of the following situations?

Pete discovers that he does not have any groceries at home and decides that must pick some up on the way home from work.

The ___________ environment comprises political parties, Gov't organizations, and legislation and laws.

Political/Regulatory

A ______ is anything that is of value to a consumer and can be offered through a marketing exchange.

Product

Technological advances are changes in technology that have contributed to the improvement of the value of both ______ products and _____ in the past few decades.

Products; Services

A _________ is a period of economic downturn when the economic growth of the country is negative for at least two consecutive quarters.

Recession

In _______ times, consumers alter their spending patterns by postponing big-ticket or discretionary items and look for the best deals for items they need.

Recession

Relative _______ deals with perception among consumers that a product is better than its subsitutes

Relative advantage

Innovators are the consumers who are the first to have given a product or service once it is released. Which of the following traits would innovators most likely have? (Check all that apply)

Risk takers Highly knowledgeable (about the product or service) Not price Sensitive

What two companies were embroiled in a lawsuit relating the use of competitive intelligence acquired illegally. This intelligence was used to enhance features on cell phones.

Samsung and Apple

What is the next stage in the consumer decision process after need recognition?

Search for information

Paul has been accepted for the fall as a student in the semester at sea program and he has made a large nonrefundable deposit. He will be on the ship for over three months, and he is beginning to worry about the cost and about spending that much time sailing. Paul might seek to reduce his postpurchase cognitive dissonance by doing which of the following (select all that apply)

Seeking positive info from students who have previously experience semester at sea re-reading the semester at sea literature and focusing on the benefits offered by the program.

identify the dimensions of culture that marketers must take into account as they develop their marketing strategies (check all that apply)

The culture of a region within a country The culture of the country

When developing marketing plans, what should a firm consider about their competition?

Their Reaction

Which of the following is NOT a way to perform an internal search for information when deciding where to go get lunch?

You go to a new area of town and look around

Dissatisfied buyers of products often need to tell someone about the bad experience. The impact of negative word-of-mouth can often reduced or eliminated by ______.

encouraging customer feedback

Peter is buying a big screen Tv. He decides that price determines 50% of the decision, the brand name is 20%, the actual screen size is 20%, and the weight of the product is 10%. This process of weighting attributes is used _______.

in the compensatory model of decision making and can be somewhat useful for non-compensatory decisions

A _____ consumer is fairly undesirable to the marketer because he is not loyal, does not repeat the purchase, and makes no positive word-of -mouth communication to other potential customers.

passive consumer

Which of the following would be considered strategies to gather competitive intelligence?

reviewing competitors websites Analyzing a Rival's hiring needs Interviewing Customers

New product and service innovation is important because the longer a product or service exists in a given marketplace, the more likely that the market will become______.

saturated

The ____ is the second step in the consumer decision process

search for information