Marketing 3100 - (Gannage) Final exam

According to _____ utilitarianism, a person performs the acts that benefit the most people, regardless of personal feelings or societal constraints.

Act

The two types of utilitarianism are _____ and _____ .

Act ; Rule

Which of the following factors make the possibility of manufacturing in the United States more attractive than in the past?

All of the above

Which of the following would be considered a stakeholder of Southwest Airlines? 1. Southwest Airlines employees 2. Southwest Airlines stockholders 3. Companies that supply parts to Southwest Airlines 4. Individuals who fly on Southwest Airlines 5. All of these

All of these

All of the following are ethical theories relevant to marketing EXCEPT:

Attribution theory

Which ethical theory compares a current ethical dilemma with examples of similar ethical dilemmas and their outcomes, thus allowing one to determine the severity of the situation and to create the best possible solution according to others' experiences?

Casuist ethical theory

Many people fear world trade because it:

Causes some people to lose their jobs as production shifts abroad

Merissa Champlain designs and sells clothes for young working women. Her marketing managers recently told her that she'll be in financial trouble unless she starts designing clothes suited to Gen Yers. Why is this?

Demographically, Gen Yers are an extremely large group of consumers

The study of people's vital statistics, such as age, race and ethnicity, and location, is called:

Demography

Zimmer Centralpulse is the world's largest producer of replacement hips and knees for orthopedic surgery. It is particularly interested in marketing in the southwestern United States, where a large aging population lives. Which external environmental element most directly explains its continued growth?

Demography

After the Civil War, the U.S. military was ordered to the American West to remove the Indians from large tracts of land and confine them to reservations. While this practice may seem ethically wrong to us today, U.S. soldiers fought hard to prevent the Indians from disobeying the law as written by the federal government. Even though some were sympathetic to the Indian's plight, most of them adhered to a _____ view of ethical behavior and strove to perform their duty as directed by the law.

Deontological

The _____ states that people should adhere to their obligations and duties when analyzing ethical dilemmas

Deontological theory of ethics

Research indicates that _____ is the most important thing to tweens.

Being happy

Generation Y is the most ethnically diverse generation the nation has ever seen.

True

Global marketing standardization presumes that the markets throughout the world are becoming more alike.

True

Having a global vision means management recognizes and reacts to international marketing opportunities, uses effective global marketing strategies, and is aware of threats from foreign competitors in all markets.

True

In general, average family incomes are higher in more developed countries than in the less developed countries.

True

In the General Electric model, SBUs that have low overall attractiveness should be avoided if the organization is not already serving them.

True

Large companies such as Walmart are able to force ethical standards on its suppliers.

True

Morals are rules people develop as a result of cultural values and norms.

True

Social change is perhaps the most difficult external variable for marketing managers to forecast, influence, or integrate into marketing plans.

True

Studies suggest that ethical beliefs vary only a little from culture to culture.

True

The U.S. government prohibits the importation of Havana cigars because of political differences with Cuba. This is an example of a boycott.

True

The average teen earns about $45.00 per week.

True

The fundamental problem with a sales orientation is a lack of understanding of customers' needs and wants.

True

The marketing concept states that the social and economic justification for an organization's existence is the satisfaction of customers' wants and needs while meeting organizational objectives.

True

The marketing plan is a written document that acts as a guidebook of marketing activities for a marketing manager.

True

The same environmental factors that operate in the domestic market also exist internationally. These factors (culture, economic, political structure and actions, demographic makeup, and natural resources) should be examined regardless of the country.

True

Top managers who behave ethically can influence others in an organization to behave ethically.

True

Girls between the ages of 8 and 12 are one of the growing markets for high-end shoe manufacturers. These girls want styles that are both youthful and grown-up looking. They are:

Tweens

Riot Media is a media and toy company that capitalizes on the "gross-out" humor that boys ages 8 through 12 greatly enjoy. In other words, it targets:

Tweens

According to _____, the choice that yields the greatest benefit to the most people is the choice that is ethically correct.

Utilitarian theory

Which ethical theory is founded on the ability to predict the consequences of an action?

Utilitarian theory

"Politicians cannot avoid causing the death of innocent people if they try to keep public expenditure in check or help maintain a semblance of international order." Which ethical theory is most likely to accept the preceding statement as true?

Utilitarianism

After the Civil War, the U.S. military was ordered to the American West to remove the Indians from large tracts of land and confine them to small reservations on land that was deemed worthless. Indian children were removed from their parents and sent to schools that tried to turn the Indian children into models of good U.S. citizens. While this practice may seem ethically wrong to us today, politicians knew that the demand of the U.S. population for more land could only be achieved if the smaller Indian population was made to accede to the wishes of the majority. This is an example of the application of:

Utilitarianism

Which of the following is NOT a demographic characteristic of a population?

Values

A problem facing the timber industry is the absence of any effective way to prove that rain forest timber was legally harvested. In places like Indonesia as much as 80 percent of timber available for sale was illegally cut. Companies like The Home Depot do not want to sell timber from illegally logged forests even though the demand is great for timber from rain forests. Which of the following conditions required for an exchange to occur is missing when a company tries to sell illegally acquired logs to The Home Depot?

Each party believes it is appropriate to deal with the other party.

All of the following are necessary for exchange to occur EXCEPT:

Each party signs a contract before exchange occurs

Every cup of Dannon Yogurt contains a letter under the lid seal. Customers who collect lids and spell certain words win a prize if they send the letters and the official order form back to Dannon. Within 90 days, these customers will receive the prize of their choice. A(n) _____ will occur when a customer mails in his or her lid seals for a prize

Exchange

Which of the following occurs when people give up something in order to receive something that they would rather have?

Exchange

A firm's mission statement should answer the question, "What products do we produce best?"

False

A market orientation assumes that sales depend on aggressive sales techniques.

False

About 85 percent (%) of U.S. companies export their products to other countries on a regular basis.

False

Champion Lyte is a sugar-free sports drink designed to replenish electrolytes lost during activity or illness. Since the product was designed primarily for diabetics, health care professionals who treat diabetics are its primary target market.

False

For most employees a simple list of "dos and don'ts" are enough to maintain ethical behavior, and ethical training would be redundant.

False

Generation Y is the first generation of latchkey children—products of dual-career and/or divorced households.

False

Global trade has climbed to about $200 billion a year.

False

If a country's currency appreciates, more of that currency will be needed to buy another country's currency.

False

Marketers can control the external environment in which their organizations operate.

False

Marketing is defined as producing, promoting, and selling?

False

Most business ethicists agree that multinational firms that expand into developing countries are acting ethically when they provide low-income work to the people in those countries, arguing that low-income work is better than no work.

False

Niche competitive advantages are difficult to develop and consequently are quite rare.

False

Otis places an ad in the local newspaper stating that his used Chevrolet is for sale for $4000. Unfortunately, no one purchased Otis's used car. Therefore, he did not engage in marketing.

False

The clothing style worn by tweens reflects that of their parents.

False

The harvest strategy is appropriate for all SBUs except dogs.

False

The population shift in the United States from the northeast and Midwest toward the south and southwest has had a greater effect on marketing than has any other social change.

False

The price of one country's currency in terms of another country's currency is called the conversion price.

False

The way to achieve customer satisfaction and value is to offer the lowest price.

False

Unfortunately, most business people have not progressed beyond the self-centered and manipulative actions of preconventional morality.

False

Unlike a production orientated firm, a firm embracing a sales orientation focuses on customer wants and needs so it can develop the best product at the lowest cost that will require very little selling effort.

False

When writing codes of ethics, businesses must ensure their codes deal with every possible situation.

False

While some countries have elements of both capitalism and socialism, most nations are at one political extreme or the other.

False

You are writing copy for a fruit drink advertisement. You know you could sell more product if you claimed that the drink contained 100% juice, but in fact the drink contains only 50% juice. You decide not to make the "100% juice" claim because you know it would be illegal to do so. You are likely at the postconventional stage of morality.

False

_____ are strongly attached to technology, family-oriented, and impatient, and are quick shoppers.

Generation Yers

The American Marketing Association's definition of marketing:

Includes creating, communicating, delivering and exchanging offerings that have value for customers, clients, partners, and society at large.

Strategic plans require:

Long-term resource commitment

Which of the following is a type of strategic alternative that tries to increase market share among existing customers?

Market penetration

A business is concerned with many day-to-day activities. Some of the most important of these activities are the planning and development of a product, its pricing policy, and the distribution strategy. These activities are all a part of:

Marketing

The concept of exchange is important to marketing because:

Marketing activities help to create exchange

A(n) _____ is a company that is heavily engaged in international trade and moves its resources, goods, services, and skills across national boundaries.

Multinational corporation

Apple Inc. has partnerships with wireless carriers in Japan, Spain and a handful of other European countries. Apple Inc works with suppliers and retailers worldwide. This means that Apple is a:

Multinational corporation

Otis Elevators has entered into a strategic alliance with a company in France from which it gets its elevator door systems. It has a similar agreement with a manufacturer in Japan that provides it with special motor drives. A manufacturer in Spain has worked closely with Otis to create small geared parts necessary for the manufacture of elevators. The component parts are assembled at its plant in the United States. Otis elevators can be found in buildings all over the world. Otis Elevators is an example of a(n):

Multinational corporation

When European demand for a certain solvent declined, Dow Chemical instructed its German plant to switch to manufacturing a chemical that had been imported from Louisiana and Texas. Dow Chemical would be best described as a(n):

Multinational corporation

Which of the following statements about multinational firms is true?

Multinationals often develop their global businesses in stages.

When properly created, an SBU has all of the following characteristics EXCEPT:

No competitors

Since gas prices have soared and consumers have cut back on their spending on new trucks and SUVs Ford Motor Corporation is transforming several of its plants to create small cars. Ford has engaged in:

Strategic planning

With hospitals nationwide facing budget cuts and slimmer profit margins, Dekalb County's Medical Center decided to cash in on one of the most consistently profitable services—delivering babies. It initiated a three-year project to build a $55 million state-of-the-art women's center with 18 labor and delivery suites. When the hospital decided to commit its resources to obstetrics, it was engaging in:

Strategic planning

_____ is the managerial process of creating and maintaining a fit between the organization's objectives and resources and the evolving market opportunities.

Strategic planning

According to the American Marketing Association, marketing is the activity, set of institutions, and processes for creating, communicating, delivering, and exchanging offerings that have value for customers, clients, partners, and society at large.

True

An exchange cannot take place unless each party in the exchange has something that the other party values.

True

As marketers gain more experience in marketing a product, costs tend to decrease, which is an example of the maturity effect.

True

Companies use environmental management when they implement strategies that attempt to shape the external environment within which they operate.

True

Demography is the study of people's vital statistics such as their ages and locations.

True

Developing a cost competitive advantage can enable a firm to deliver superior customer value.

True

Environmental scanning entails the collection and interpretation of information about factors in the external environment that may affect the future of the organization or the implementation of the marketing plan.

True

Defeet International creates its apparel in North Carolina and sells it domestically and abroad. The company is in which stage of global business?

Stage One

General Electric has a financing business called GE Capital, which has its own mission, products, services, and strategic plans separate from the parent organization. GE Capital is an example of a(n):

Strategic business unit

Until spun off in 2007, Kraft was part of Altria Group, Inc. Kraft had its own management team, mission statement, and target markets different from Altria Group, Inc. Kraft was a _____ of Altria Group, Inc.

Strategic business unit

A subgroup of a single business or a collection of related businesses within the larger organization is called a(n):

Strategic business unit (SBU)

Yildiz Holding of Turkey purchased Godiva Chocolates from Campbell's Soup Company. Campbell's sold one of its:

Strategic business units (SBUs)

The Patton Awning company produces tents, tarps, awning, and other canvas products. The firm is in stage one of creating its global business. This means that they:

Operate in one country and sell to others

Bob collects baseball cards and decides to sell a few of them on eBay. Some of the cards he wants to sell are rare and very valuable. What condition is necessary for an exchange to occur between Barry and a buyer?

Potential buyers must be able to see the card and understand its qualities.

Globalization:

Promotes economic freedom and increases living standards

If you were to ask Americans what they most desire to make their lives easier, most will want more time. This feeling that there are not enough hours in a day is an example of a(n) _____ factor that has strongly influenced the marketing environment.

Social

For an exchange to take place:

There must be at least two parties involved

Which of the following statements about American teenagers is correct?

They would rather shop in a store than online.

3D Systems is a company that uses computers to generate new product prototypes. It has generated loyal business clients by providing the best customer support in the industry. The company also provides direct sales consultations that gives its salespeople intimate knowledge about what exactly its customers want. This partnership between 3D Systems and its customers entails relationship marketing.

True

A code of ethics can be an effective internal control on behavior, which is more desirable than external controls like government regulations.

True

A competitive advantage is the set of unique features of a company and its products that are perceived by the target market as significant and superior to the competition.

True

A production costs analysis could be a part of a company's SWOT analysis.

True