Marketing final ch1-ch6
When a country can produce and sell a product at a lower cost than any other country or when it is the only country that can provide a product, it is said to have ______.
an absolute advantage
Robert is a college freshman. For the first time, he is making purchases on his own for many items such as toothpaste, shampoo, deodorant, and laundry detergent. On a recent visit to Walmart, Robert picked up a tube of toothpaste and a container of laundry detergent. He easily recognized the brands his family used and didn't spend any time comparing alternatives or even looking at prices. Robert utilized _______ decision making.
routine response behavior
Maya and Damone are married with two young children. They own a home and recently made some improvements around the house. They installed a Ring doorbell and a motion-detecting security light by their garage. Both units are connected to the Ring application that notifies Maya and Damone any time a person is in view of either device. In addition, they can program the application to record video. The Ring doorbell and motion-detecting light fulfill Maya and Damone's need for _______.
safety
A company chooses to use the same product in every foreign market that it serves and does not alter any promotional messaging. The company is using a _______ strategy.
straight extension
A _______ is _______ to the company and is a limitation that puts the company at a disadvantage.
weakness ; internal
The three largest and fastest-growing subcultures in the United States include: _______, _______, and _______. (Select three)
1. African Americans 2. Asians 3. Hispanics
The World Trade Organization (WTO) aims to do which of the following?
1. Serve as a forum for trade negotiations 2. Monitor national trade policies 3. Mediate trade dispute
Which of the following are reasons for failing to achieve a marketing objective?
1. Unrealistic marketing objectives 2. Inappropriate marketing strategies in the plan 3. Poor implementation 4. Changes in the environment after the objective was specified
Which of the following are ways that a company choosing a cost competitive advantage can reduce costs?
1. Utilizing technology to reduce production costs 2. Outsourcing low-skill, labor-intensive tasks 3. Reverse engineering competitors' products
Setting goals, planning, and measuring results are keys to getting things done. This describes which American value?
Achievement orientation
Grocery store chains such as Hyvee are making considerable investments to offer an increased selection of organic produce, fresh fish, and specialty foods desired by Asian American consumers. Hyvee's interest in marketing to Asian Americans reflects insights about this segment such as _______.
Asian American eating habits are healthier than white or other ethnic segments
_______ represent 7 percent of the U.S. population and often live in multigenerational households, which can impact purchases based on age, dietary habits, and health.
Asian Americans
Management that focus on being socially responsible are spending shareholders' money to further their own agendas.
B Corp
Deon Frederickson recently sold his law practice and is looking forward to traveling the country in his new motor home. He is joining many people like him who were born between 1946 and 1964 who own mobile homes and enjoy visiting national parks and other areas around the United States. Deon is part of the _____ cohort group.
Baby Boomers
Which generational cohort accounts for the majority of prescription drug sales?
Baby Boomers
Carmen recently did a Google search for recommendations on a fuel efficient, electric, or hybrid sedan, and she noticed that when she checked her Instagram and Pinterest updates, there were now pop-up advertisements for various brands of vehicles like those the Google search revealed. The information about Carmen that Google, Instagram, Pinterest, or her other social media accounts are utilizing to show her these advertisements is known as _______.
Big Data
A lighting company has developed a line of security lights that consumers can place at the entrances to their homes. Key features include motion sensing to automatically turn on the light, and notification via smartphone with video. The product is in a high-growth market as people are interested in safety, security, and monitoring their home from wherever they might be. However, the company has a low market share. What strategy would you recommend the company implement for the smart security light line?
Build
Which of the following is NOT true about strategic business units (SBUs)?
Each SBU shares its mission statement with the parent company.
Deon is VP of marketing with a major beverage company and is reviewing the contracts of several film, media, and television personalities who work with the company. Recently, two of them were involved in controversial activities concerning their political beliefs and have been quite vocal regarding several social justice issues. Deon is considering canceling their contracts because it is difficult to establish that their personal views are not the views of his company. Which exchange criteria most directly relates to Deon's cancellation of these sponsorships?
Each party believes it is appropriate or desirable to deal with the other party.
A consumer who has an ongoing interest in a product or category experiences which type of high involvement?
Enduring involvement
_______ regulates international trade among importing organizations by restricting access to foreign currencies, while _______ is a deal to stimulate trade.
Exchange control; trade agreement
Mei-Ling is a college junior majoring in finance and economics. She is interested in applying for internships and plans to attend her next college job fair. She wants to purchase a business suit to wear to the job fair and at subsequent interviews. Mei-Ling wants to look her best and wear appropriate attire. Since making a first impression is important, Mei-Ling will likely take considerable time to visit stores and try on multiple suits before she makes her purchase decision. Mei-Ling has never purchased a suit before, and this is the first time she will buy an expensive item without her mother assisting in the decision. Which type of decision-making will Mei-Ling utilize in purchasing her suit?
Extensive decision making
Over the last 30 or so years, Toyota, a Japanese firm has made a considerable investment in the United States and has several manufacturing plants where it produces vehicles for the U.S. market. Its two plants in Kentucky make the Camry, Lexus ES 350, and Avalon. A plant in Texas produces its truck line— the Tundra and Tacoma. In total, Toyota annually produces more than 1.2 million vehicles in the United States. Which method of global marketing best describes Toyota's manufacturing operations in the United States?
Foreign direct investment
Which generational cohort has never known a world without smartphones?
Generation Z
Which of the following is true of customer value?
Good value is signified by the quality a customer expects at the price they are willing to pay.
Which of the following statements is an argument AGAINST corporate social responsibility?
Management that focus on being socially responsible are spending shareholders' money to further their own agendas.
_______ says that a person's individual environment shapes their moral obligations and beliefs.
Moral relativism
Which ethical theory considers a person's character, not just their actions?
Virtue ethics
A country's _______ is the difference between the value of a country's exports and the value of its imports over a given period.
balance of trade
Nick Morgan is a scientist with the National Oceanic and Atmospheric Administration (NOAA). He is stationed at the South Pole Observing Station in Antarctica. Nick and his colleagues collect various measurements such as carbon dioxide and solar radiation levels to enable scientists to track changes and determine trends. Nick says, "The data we collect is also used to improve climate models so we can try to see changes in the future." Nick's research would be classified as _______.
basic
San Diego Zoo Global works with more than 300 conservation partners in 70 countries to save wildlife from extinction. The zoo generates revenue for the Global Fund through a variety of initiatives such as on-site movie filming, featured animals in commercials, and ticket sales. The zoo's efforts to save wildlife around the globe through its Global program are an example of _______ marketing.
cause-related
Vector Marketing, manufacturers of Cutco knives, has supported the American Heart Association with its Go Red campaign to highlight heart disease in women and to raise awareness about symptoms and risk factors. Cutco offers a red-handled knife in conjunction with the campaign. Purple-handled knives support the Alzheimer Association, and pink-handled knives support the Komen Foundation. A portion of every customer's purchase of these special, color-handled knives supports the linked organization. Cutco's partnership with these nonprofit organizations is an example of _______ marketing.
cause-related
A form of trade in which all or part of the payment for goods or services is in the form of other goods and services is called _______.
countertrade
The goal for marketers in the consumer decision journey is to _______.
eliminate the consumer's research and evaluation stages of the decision-making process
France is widely known for producing great wines. One of the leading French wineries, Château du Beaune, has invested in a winery in India through a joint venture. The winemaker and various specialists in horticulture are working with the local team in India to ensure proper use of pesticides and conservation of natural resources such as rainwater. In addition, the joint venture has installed solar panels on the roofs of the company's buildings so it can produce its own electricity. As a B Corp, the India-based winery is demonstrating its commitment to _______ sustainability.
environmental
Through a process called _______, marketers collect and evaluate information about the marketing environment.
environmental scanning
It is difficult to separate the information search and evaluation of alternatives steps in the consumer decision-making process because consumers _______.
evaluate some alternatives as the search process progresses
Canon is a Japanese firm specializing in imaging and optical products such as cameras, photocopiers, and printers. The company recognizes that consumers around the world have similar needs regarding the functions of cameras, photocopiers, and printers. Therefore, Canon can create and manufacture models that are sold around the world with few to no modifications. This is an example of _______.
global marketing standardization
Solumbra designs and manufacturers protective clothing which helps people reduce the risk of skin cancer from exposure to ultraviolet rays. Its hats, shirts, shorts, and pants are sold globally through its website as well as through retail accounts in specialty stores. Solumbra's product line is consistent across its global markets which provides efficiency in manufacturing. Minimal modifications are made to the information and language on the product tag. Solumbra is utilizing a(n) _____ strategy for product decisions.
global marketing standardization
Starbucks serves thousands of customers daily and continues to experience growth in customer spending, with revenues up by 3 percent annually. Starbucks has committed to phasing out plastic straws from its 29,000 stores worldwide by 2020. This will eliminate more than one billion straws per year. Plastic straws will be replaced with a lightweight, recyclable, straw-less lid with paper or alternative material straws available for blended beverages, and plastic straws upon request for Starbucks customers who need one. The company's effort to reduce single-use plastic is known as _______ marketing.
green
Chun and her mother are shopping for back-to-school supplies. Chun enjoys visiting clothing stores such as American Eagle with bright lighting, energizing contemporary music, and up-to-date fashions. Even if Chun doesn't purchase anything at American Eagle, she enjoys the experience and has received _______ value.
hedonic
The pleasure or happiness you receive from purchasing a product has _______.
hedonic value
Key performance indicators _______.
help managers compare outcomes to stated objectives
An organization that chooses a _______ strategy attempts to maintain the product's market share in order to take advantage of the positive cash flow.
hold
The second step of the consumer decision-making process is ______.
information search
In the GE model, the appropriate action for areas of the matrix with high attractiveness is _______.
invest/grow
Tamika enjoys shopping at Target. She learned through Target's Instagram posts that a collection from Vineyard Vines would be available in stores and online for a limited time and in limited quantities. Tamika set a reminder on her phone and accessed the Target website at the time the collection was to debut. She found an item she wanted to purchase. However, when she clicked "purchase," she received a message the item was sold out. Within minutes, the entire collection was sold out. Tamika was disappointed and experienced the _______ effect.
jilting
Companies must consider a country's economic factors because nations with ____________ may be poor markets for expensive industrial machinery but good ones for ____________.
low per capita incomes ; agricultural hand tools
Marketers making product decisions during a recession should _______.
lower prices and offer special deals to get consumers to buy
Consumer packaged goods companies thrive in the marketplace in part by creating new products that meet the needs of its target markets. Hormel Foods has introduced several new ready-to-eat, quick meal, or snack options designed to be eaten on-the-go. In addition, these products satisfy hunger cravings, taste good, and help meet daily requirements for protein servings. Hormel Foods is most likely pursuing a _______ orientation as a marketing management philosophy.
market
A _______ is the description and estimation of the size and sales potential of market segments that are of interest to the firm and the assessment of key competitors in these market segments.
market opportunity analysis (MOA)
A control device that marketing managers use is a _______.
marketing audit
A _______ is a written document that acts as a guidebook of marketing activities for the marketing manager.
marketing plan
Social class is based on _______.
occupation, education, income, and wealth
Someone who influences the opinions of others is a(n) _______.
opinion leader
Consumer purchases are made based on _______, what the consumer expects to obtain from a purchase.
perceived value
Wells Fargo Bank received $25 billion in federal aid due to high default rates among its customers who borrowed money to finance their homes. In many areas of the United States, the value of homes declined, and homeowners were not able to repay their loans. This led to a _____, a period of negative growth.
recession
Marketers use _______ and _______ to boost learning for consumers during the decision process.
reinforcement ; repetition
Darden Restaurants is well known for its famous restaurant brands, including Olive Garden, Seasons 52, Bahama Breeze, and LongHorn Steakhouse. Each of these restaurant operations maintains a distinct mission and target market, and they are run as independent businesses. Thus, they are considered _______.
strategic business units
Strategic planning is usually conducted by _______.
top managers
The three general strategies for selecting target markets include which of the following?
1. Appeal to the entire market with one marketing mix 2. Concentrate on one segment with one marketing mix 3. Appeal to multiple market segments using multiple marketing mixes
Cognitive dissonance is likely to increase during which of the following situations? (Select three)
1. As the dollar value of a purchase increases 2. When the purchase decision has a major effect on the buyer 3. When the rejected alternatives have desirable features that the chosen alternative does not provide
For a market-oriented firm, the advantages of considering the benefits customers seek include which of the following? (Select three)
1. Bolsters creativity and innovation by encouraging employees to come up with new ways to satisfy customers 2. Allows the company to create new products and to modify products due to changing customer needs 3. The company remains focused on the customer rather than the products it produces
Which of the following are influenced by social factors? (Select three)
1. If specific promotions are effective 2. The products people buy 3. The prices people are willing to pay
Which is true of the competitive market? (Select three)
1. Marketers must consider the number of competitors within their industry. 2. Marketers must consider the degree of interdependence within the industry. 3. Marketers must consider the size of the competitors in their industry.
Which of the following are individual influences on consumer buying behavior? (Select three)
1. Personality 2. Self-concept 3. Gender
Which of the following are factors that influence the economic environment? (Select three)
1. Recession 2. Inflation 3. Purchasing power
Strategic marketing management addresses which of the following questions?
1. What is the organization's main activity at a specific time? 2. How will the company reach its goals?
A company considering culture when marketing a product in a foreign country would want to be sure that promotional messages _______, _______, and _______. (Select three)
1. convey the intended meaning 2. are translated correctly 3. reflect the country's social values
Market-oriented companies are _______ focused while sales-oriented companies are _______focused.
1. externally 2. internally
Harvesting is an appropriate strategy for all the following products or SBUs EXCEPT _______, _______, and _______.
1. problem children 2. cash cows 3. dogs
A marketing objective should be _______, _______, _______ and _______.
1. realistic 2. measurable 3. time specific 4. compared to a benchmark
A market-oriented company targets its products to _______ while a sales-oriented company targets its products to _______.
1. specific groups of customers 2. everyone
The innovation matrix identifies three levels of change and innovation. They include _______, _______, and _______.
1. transformational innovation 2. adjacent innovation 3. core innovation
Capital Finance provides investment consulting services to businesses. It has contracts with several companies around the globe, including companies in Thailand, Australia, and India. The Internet has enabled Capital Finance to serve customers around the globe. It is estimated that _____ percent of global trade is facilitated by digital technology.
50
The University of Phoenix was an early adopter of internet-based classes while their competitors-such as state universities like the University of Illinois-continued to offer traditional classroom instruction. Recently, the University of Illinois announced plans to discontinue campus-based courses for its master of business administration degree and will provide only web-based or online courses for the degree. In addition, the university is offering a wide range of blended courses and web-based courses for other degree options and general education courses. According to McKinsey and Company's four-stage model of innovation disruption, which stage does the University of Illinois action represent?
Adapting to the New Normal
Travis Scott, an African American rap musician, has partnered with Nike's Jordan line to produce the musician's newly designed shoe. He wore them onstage during the Grammy Awards. The shoe features a backward Nike Swoosh and branding details from his record label, Cactus Jack. Nike believes that partnerships with celebrities like Travis Scott will positively influence shoe and apparel sales among African American consumers since _______.
African American consumers have a strong influence on the latest trends
Many customers appreciate the benefits of joining Amazon's Prime membership program that provides free shipping on many products. However, some products on Amazon's site are sold by companies outside the United States and are not eligible for Prime shipping since they are shipped directly by the exporter. Which of the following statements is true regarding Amazon and the suppliers who export their items?
Amazon's marketplace has enabled many small firms to participate in global business.
Several factors differentiate between those companies that use a sales orientation and those that use a market orientation. One factor relates to how a company defines its business. Which of the following business definitions or mission statements best characterizes an organization pursuing a sales orientation?
American Express: We work hard every day to make American Express the world's most utilized credit card.
_______ aims to expand knowledge, not to develop new or improved products.
Basic research
Carlos is an account executive for a paint company. He typically meets with home builders and contractors to discuss wall finishes in their new or remodeled homes. One builder, Robbie, confidentially mentions that he has just received a contract from a developer to build five homes in a new subdivision. Carlos is surprised to hear this since another client of his, Alba, had expected to receive the contract. After meeting with Robbie, Carlos sends Alba a text message with the news about Robbie receiving the contract. Which of the following best explains this interchange between Carlos, Robbie, and Alba?
Carlos has committed an ethical violation.
A stop at the grocery store cereal aisle can be overwhelming, with seemingly hundreds of varieties of cereal available. Post has more than 20 brands of cereal in its consumer products division, such as Pebbles cereal, which has a high market share but is in a low-growth market, as consumers now favor more natural cereal products with less added sugar. How would Pebbles cereal be classified according to the Boston Consulting Group model?
Cash cow
_______ uses previous examples of ethical dilemmas and applies those rules to a current ethical dilemma.
Casuist ethical theory
_______ is the cooperative marketing efforts between a for-profit firm and a nonprofit organization.
Cause-related marketing
The amount of information search a consumer will conduct depends on several factors. For example, Carmen is interested in purchasing a new laptop computer. Carmen is highly knowledgeable about technology since she majored in business information systems and enjoys reading about trends and new products in magazines and online forums. She has owned Dell computers and had positive experiences with the brand. Carmen plans to spend approximately $1,500, and she would like the laptop to last at least two years. Based on this information, which factor influencing information search will lead Carmen to spend more time conducting an external search?
Consumer interest
Cabi is a women's fashion clothing brand based in Los Angeles, California. Cabi's design team in Los Angeles creates its fashion line sixteen months to two years in advance. The design team selects fabrics and other details to create the clothes. Cabi then hires manufacturers in China to produce the items according to the specifications. Once completed, the garments are shipped to California on container ships that take up to two months in transit. It's a complex process but one that enables Cabi to control costs. Which method is Cabi using to engage in global marketing?
Contract manufacturing
_______ provides the mechanisms for evaluating marketing results in light of the plan's objectives and for correcting actions that do not help the organization reach those objectives within budget guidelines.
Control
Which ethical theory says that when people are faced with an ethical dilemma, they should focus on their duties or responsibilities?
Deontological theory
Aisha is an account representative with Southern Spirits, a distributor of wine, beer, and other alcoholic beverages. She has thousands of brands and varieties of products to offer retailers, restaurants, convenience stores, and other business buyers in her territory. However, some of her wines are in very limited supply. For example, the warehouse that serves her geographic territory may only get one or two cases of some wines. Thus, Aisha must decide how to best allocate these limited varieties. Aisha provides the most time and attention to her high-volume customers since their purchases contribute the most to her salary. As part of her service to the largest accounts, she has decided to give them first choice in purchasing the limited wines. Which ethical theory best characterizes Aisha's decision?
Deontology
Gillette is best known for its line of products for men's shaving, such as razors, blades, and shaving foam. Gillette also has deodorant and body wash, but the company has noticed that Gillette body wash for men is in a low-growth market. Its market share is low as well. The company is considering how best to allocate resources across the company. Which strategy would you recommend Gillette implement for the body wash line?
Divest
Christy has a dresser and desk that she'd like to sell for $50 each, so she posts a photo and description of both items on her Facebook page. She is contacted by Samad, who is willing to pay $40 each for the dresser and desk if Christy can deliver them. Christy cannot accept Samad's offer because she does not own a truck and therefore is unable to deliver the items. Which condition of exchange most directly relates to Christy's inability to deliver the items?
Each party is capable of communication and delivery.
Moral principles of values that generally govern the conduct of an individual or group is which mode of social control?
Ethics
Misty is an account manager for a marketing firm that provides creative services to business clients. Projects are typically billed on an hourly basis. Misty coordinates with creative team members, media schedulers, and researchers to address her clients' needs. At a previous firm, Misty believed that many employees over-billed their services and did not accurately bill for their time. However, she can now trust all employees to submit accurate time statements and has not heard of anyone violating this practice. Which factor influencing ethical decision making is demonstrated in this example?
Extent of ethical problems within the organization
Unity Point Hospitals, which is based in Iowa, recently announced plans to seek approval and merge with Sanford Health, which is based in South Dakota. If approved by the ______, an organization empowered to prevent corporations from using unfair methods of competition in commerce, the combined entity would rank among the top 15 not-for-profit health systems by revenue. It would have 76 hospitals across 26 states and nine countries and employ more than 83,000 staff and 2,600 physicians.
Federal Trade Commission (FTC)
Captiva designs and manufactures a line of swimsuits for active women pursuing surfing, sailing, and other water sports. The brand is becoming popular since it is designed by women and is perfect for active lifestyles. Captiva uses its website to fulfill orders from women around the world but has its offices in the United States. Which stage of global business best describes Captiva's operations?
First stage
Lihua is learning about global market standardization. She was explaining to a friend the types of products that could easily be standardized for sale around the world except for language differences. Which of the following products could most likely be standardized?
Flash drive
The American Medical Association and the American Bar Association discourage their members from using advertising to promote their businesses. Listings of services on a web page are acceptable. However, television, radio, or the use of other media to advertise services is frowned upon. What mode of social control does this represent?
Formal groups
In March 2019, the European Union fined Google 1.5 billion euros for antitrust violations in the online advertising market, continuing the EU's efforts to rein in the world's biggest technology companies. The _______ law, passed by the European Union, regulates data collected by firms and requires firms to have a "data protection officer" and provide clear and available policies regarding their data collection practices.
General Data Protection Regulation (GDPR)
Franklin is a financial consultant who specializes in retirement planning. He most enjoys working with clients who are close to his age-those born between 1965 and 1980. He believes this is a great target market because this group typically earns a high income and tend to be more frugal—thus, they are more likely to be interested in saving for retirement. This group is known as _______.
Generation X
Brock is a baseball player at a Division III university. He uses Instagram to follow his favorite professional and Division I college teams. He recently noticed that one of his favorite players was promoting Under Armour. Brock was able to click the link to view the item and make a purchase. Like a lot of people in his cohort (those born between 1995 and 2010), Brock is comfortable using social media sites and his smartphone to make purchases online. Brock is a member of the _______cohort group.
Generation Z
_______ means recognizing and reacting to international marketing opportunities, using effective global marketing strategies, and being aware of threats from foreign competitors in all markets.
Global vision
Which American value is illustrated by ensuring that the disadvantaged and people with disabilities have what they need to become productive members of society?
Helping others
_______ are the largest U.S. minority.
Hispanics
WeatherTech manufactures custom floor mats and accessories for automobiles. WeatherTech is predominantly an online retailer that fulfills customer orders from its website. In most cases, customers can navigate the website and identify products that are made to fit their vehicle. However, some customers may have questions before or after purchase. Which of the following actions can WeatherTech implement to stimulate positive word-of-mouth about its business and to address customer questions?
Include a toll-free number on the website which is answered by a service representative on the first or second ring and who is knowledgeable enough to address any questions or concerns a customer might have
Latosha is a pricing analyst with Staples who enjoys participating in company-sponsored events that contribute to the community. Recently she participated in a one-day event with other employees from the corporate headquarters to pack food for the Meals on Wheels organization. Which of the following is a benefit to companies that participate in socially responsible programs?
Increase in employee satisfaction
_______ is a measure of the decrease in the value of money, expressed as the percentage reduction in value since the previous year.
Inflation
Miguel lives in Mexico and is studying at a university in Monterrey. He's interested in studying abroad and chooses a program in Angers, France that is approved by his university. He's interested in learning more about the city of Angers and locates a website sponsored by the local tourism board. Miguel doesn't read or speak French. Which of the following could most easily help Miguel use the tourism website?
Language translation software
A consumer purchasing a new pair of shoes is likely to have which level of involvement in the consumer decision process?
Limited decision making
Paul owns a company specializing in fertilizer and pesticide application in agricultural production, and he typically uses his fleet of airplanes to spray the fields. Recently, his sprayer malfunctioned, and pesticide was dumped in a local reservoir that provides drinking water to residents. Paul notified the water company, which posted a boil order for residents. In addition, Paul was fined for polluting the water. What stakeholders were most affected by the malfunctioning equipment incident?
Local community
Which of the following statements is true in regards to ethical decision-making?
When the length of time between a decision and the onset of consequences is shorter, marketers will perceive the problem as unethical.
BedJet manufactures and sells a heating and cooling system that can be attached to any bed, allowing those sleeping on the mattress to maintain a comfortable temperature, avoiding being too hot or too cold. The company developed its products based on insights from customers who were tired of night sweats or being too cold. BedJet products have been designed based on customer needs, such as its Dual Zone product that accommodates couples who may desire different sleeping temperatures. Which marketing management philosophy best describes BedJet?
Market
Simon is a sales representative with McKesson who works with independent and chain drug stores to provide branded and private label over-the-counter medications, as well as a host of other supplies. Simon can match his customers' requirements to his broad product mix, and he also provides insights about what's selling in the marketplace so that store managers can make decisions about the allocation of shelf space. The approach is working, and Simon has been able to achieve his sales goals while also earning high customer satisfaction scores from his customer accounts. Which marketing management philosophy best applies to McKesson?
Market orientation
Fernanda is a marketing professional who majored in marketing in college. She often feels like she's a demanding customer when she visits a restaurant, retail outlet, or other business, because she critiques the service she receives and hopes to be treated in such a way as to be satisfied and feel valued as a customer. Which of the following reasons to study marketing captures Fernanda's customer expectations?
Marketing can be used in everyday life.
Which of the following is true of an exchange?
Marketing can occur even if an exchange does not take place.
Which of the following is true of marketing?
Marketing efforts are performed by many departments in an organization.
Which reason to study marketing supports the idea that, as a consumer, you will better understand the buying process?
Marketing impacts your everyday life.
There are many reasons why someone could benefit from studying marketing. Which one of the following statements relates to the activities of marketing and how marketing enables businesses to contribute to the objectives of growth, profitability, and survival?
Marketing is important to business.
_______ occurs when a company defines its business in terms of goods and services rather than in terms of the benefits customers seek.
Marketing myopia
Pablo is considering a business major and asks his friend, Rachel (who is in advertising) about marketing careers. Which of the following represents something Rachel might say about why Pablo should study marketing?
Marketing offers outstanding career opportunities.
Delivering products to customers at the right time, in the right place, and at the right price is illustrated by which of the following reasons to study marketing?
Marketing plays an important role in society.
The _______ is an international trade agreement among Canada, Mexico, and the United States designed to facilitate trade by removing tariffs and other trade barriers among the three nations.
North American Free Trade Agreement (NAFTA)
Which group of stakeholders in an organization have a financial stake in the company and expect a reasonable return based on the inherent risk of their investment?
Owners/stockholder
_______ is the most flexible of the four Ps because it is the easiest and quickest component to change.
Price
In 2012, the ______ was signed by Colombia, Chile, Peru, and Mexico to create a single region for the free movement of goods, services, investment, capital, and people.
Pacific Alliance
Caterpillar is a manufacturer of heavy equipment. The company imports steel parts such as buckets for end loaders from China. Once the products arrive from China, Caterpillar must remove rust from the items that developed during ocean transport. What area of the marketing mix best characterizes this issue related to the imported steel parts?
Place
State Farm Insurance Company noticed a suspicious increase in claims due to flooding as a result of one Whirlpool washing machine model made. Apparently, the high-velocity spinning mode on this particular machine would begin too soon, resulting in a malfunction and an overflow of water. State Farm reported this information to Whirlpool, which immediately acted to notify its retailers and consumers by issuing a recall on the model to correct the problem. The voluntary recall served to prevent future accidents and damage to consumers' homes that State Farm estimated could be up to $6,000 per customer. Which factor influencing ethical decision making is demonstrated in this example?
Probability of a harmful outcome
Wahl Clipper Company has an innovation center where its engineers create and test new products. Wahl recently reviewed several options for packaging of its curling wand. Which aspect of the marketing mix is Wahl focusing on with its review of packaging options?
Product
Boxfit for Everyone is a locally owned fitness facility featuring cross training classes incorporating boxing drills. They offer group classes twice daily at 7 a.m. and 6 p.m. since those are the preferred times for their instructors, who also work full-time in professional jobs. Based on this information, which marketing management philosophy best describes Boxfit for Everyone?
Production orientation
Many companies have been fined for violating regulations or laws such as those against insider trading. A company can encourage ethical behavior by offering a code of ethics as a guideline to help employees make better decisions. Which statement is true regarding the advantages of a company code of ethics?
Provides an effective internal control of behavior
Market-oriented companies create long-term relationships with customers by doing which of the following?
Providing value to customers
Which of the following is NOT a requirement of effective strategic planning?
Resource allocation
The _______ prohibits price discrimination in sales to wholesalers, retailers, or other producers.
Robinson-Patman Act
Rishaan likes cars and associates German automobile manufacturers with high levels of quality. He drives a Volkswagen Jetta and highly values the company. Recently, Volkswagen was fined due to emissions violations in its diesel cars that only activated anti-pollution controls when they were tested. On the road, Volkswagen's diesel models emitted up to 40 times more toxic fumes than permitted by law. One of Rishaan's friends, Jeff, asked him about the Volkswagen diesel emissions problem, but Rishaan said he wasn't aware of any problems. Jeff was surprised at Rishaan's response because he distinctly remembers forwarding an article to Rishaan about the problem and discussing the issue with him. What could account for the difference between Jeff and Rishaan's recollection of this issue?
Selective retention
José is shopping at Kohl's for dress pants and notices several varieties of Dockers brand pants by Levi's. Although Dockers come in a range of colors and fits, he's not interested in the brand because his father has always worn Dockers. José thinks he's hipper and more stylish and that Dockers are for individuals who do not care about style. Which aspect of individual influences on buying decisions is demonstrated by this example?
Self-concept
Beverage companies such as Pepsi and Coca-Cola have recently come under scrutiny for the amount of sugar in their products and how this contributes to the high numbers of people in the United States who are obese. As a response to this negative attention, and because of Coca-Cola's desire to promote good nutrition and well-being, the company has changed its packaging and now offers smaller bottles and cans. In addition, Coca-Cola is committed to zero-waste initiatives and is using plant-based products and recyclable materials in its packaging. Which marketing management philosophy best applies to Coca-Cola?
Societal marketing
Patagonia emphasizes its commitment to the environment and sustainability in its products by offering high levels of transparency, so consumers know where every product is made and how materials are sourced. In addition, Patagonia encourages its consumers to return or donate unwanted products, hoping to inspire consumers to be concerned with conservation efforts. Which marketing management philosophy best applies to Patagonia?
Societal marketing orientation
In _______ of global business development, companies set up foreign subsidiaries to hands sales in one country.
Stage 2
Coca-Cola has a variety of strategic business units (SBUs) in its beverage business. Zico is a line of coconut water that is available in several flavor options and package sizes. Due to its healthfulness and the advantage of having no added sugar, Zico products have a dominant share of the market and are expected to continue to grow. How would Zico be classified according to the Boston Consulting Group model?
Star
Which of the following statements is true regarding effective strategic planning?
Strategic planning requires top management's support and participation.
_______ is the idea that socially responsible companies will outperform their peers by focusing on the world's social, economic, and environmental problems.
Sustainability
Which legislation created the Consumer Financial Protection Bureau (CFPB) to oversee checking accounts, private student loans, mortgages, and other financial products?
The Dodd-Frank Wall Street Reform and Consumer Protection Act
Jorge recently interviewed with a business machine company for a sales position marketing copiers and printers to businesses. He was surprised to find that the company's emphasis was purely on sales and using aggressive sales tactics to convince buyers to purchase its line of photocopiers and printers. Which of the following is true about this company related to its marketing management philosophy?
The company has an inward-looking focus on selling what the organization makes.
Which group of stakeholders in an organization expects good citizenship from the firm and benefits from the taxes paid by corporations and workers?
The local community
Danika is working on a marketing plan for her hair salon, which she has operated for 10 years. She is experienced and knows her market and her customers well. Danika has written down the following statement: "Increase revenue from nail services to $25,000 in the next year." Which statement about marketing objectives is true of Danika's statement?
The objective statement is realistic, measurable, and time specific, but does not include any benchmark comparison.
Prisha works in the marketing department at Gillette. She has been conducting research on how men with facial hair use Gillette products. She's been focusing on the Hispanic market since it's a growing segment of the U.S. population. Which of the following statements is true about this segment of the market?
The use of mobile devices for making transactions such as banking, shopping, and streaming content is higher among Hispanics than other demographic segments
Cristóbal recently purchased a new Ford F150 pickup truck and is now trying to sell his used truck with 180,000 miles on the odometer on eBay. He has created a listing including photos, and he decides to use eBay's "Buy It Now" feature rather than an auction. The truck has been listed for several weeks, but so far no one has contacted him about it. Which condition of exchange most directly relates to Cristóbal's eBay listing for his truck?
There must be at least two parties.
The Environmental Protection Agency (EPA) has recently repealed some of the regulations that govern the oil industry, such as those regulating the proper disposal of wastewater. The president of Oklahoma-based Williams Oil is mandating even stricter guidelines than the EPA imposes. She believes that protecting the groundwater and ensuring clean drinking water for everyone is critically important. Which factor influencing ethical decision making is this company's president using?
Top management's actions
Global marketing must take into consideration the value of its country's currency in relation to the countries' currency where its products will be sold. Over the last several years, the U.S. dollar has been strong, meaning that it has a higher value than the currency in other countries. If the U.S. dollar is strong, which of the following is true?
Trade deficits may grow.
Which of the following strategies would be most appropriate for a market-oriented firm?
Understanding what products and services customers want and need and offering those in order to meet organizational objectives
Tyrion is a purchasing analyst for Dow Chemical. He is responsible for negotiating agreements with raw material manufacturers used as input for various Dow Chemical products. He prides himself on his organized and rational approach to his job purchasing chemicals and attempts to utilize the same approach in his personal life. He recently ordered ink cartridges from Amazon for his printer in his home office and received free shipping since he's a Prime member. He also likes how Amazon offers the opportunity to re-order items from his previous orders. How would you classify the value Tyrion received from his purchase of ink cartridges from Amazon?
Utilitarian
_______ is derived from a good or service that helps the consumer solve problems and accomplish tasks.
Utilitarian value
Volkswagen is concerned about the effects of climate change and how the use of fossil fuels is contributing to these changes. As a result, VW has made a commitment to focus on electric vehicles and to produce 22 million such vehicles in the next 10 years. Which ethical theory best describes Volkswagen's decision to focus on electric vehicles?
Utilitarianism
Pedro Rodriguez is the CEO of a major hospital. He believes in the importance of transparency, honesty, cultivating trust through collaboration, and that all members of the hospital must act in ways that demonstrate caring and compassion to patients. It is well known that medical errors occur in the hospital setting, but no laws require that patients be informed if an error has occurred. However, Pedro has established a hospital policy that all medical errors must be disclosed as soon as possible to patients and/or their families. Which ethical theory best describes the CEO's decision to disclose medical errors?
Virtue ethics
The _______ offers low-interest loans, advice, and information to developing nations.
World Bank
A disadvantage of a sales orientation is _______.
a lack of understanding customers' wants and needs
Direct foreign investment can occur through _______.
acquisition of a foreign company or building an international division
Free trade means _______.
allowing people to buy and sell in other countries without restrictions
During _______, the consumer conducts a mental review—do I have experience with this product?
an internal information search
When conducting a SWOT analysis, managers can identify opportunities and threats by _______.
analyzing the external marketing environment
A firm that conducts research attempting to develop new or improved products is conducting _______.
applied research
Margo is a division vice-president at a large insurance company. She dreams of purchasing a Range Rover Sport vehicle that retails for approximately $70,000. She thinks the brand offers the highest level of luxury in a sport utility vehicle. In addition, she associates the Range Rover brand with prestige, wealth, and success. Once she's able to own a Range Rover, Margo will feel like she's "made it." To Margo, the people who own and drive Range Rover vehicles serve as a(n) _______ reference group.
aspirational
In a global economy, products and services are exchanged around the world. Ford Motor Company has production plants in Mexico and purchases component parts from various suppliers around the world which are imported to Mexico to be used in production. Once the automobiles are completed, the finished cars are exported primarily to the United States and Canada. The difference between the value of exports of a country and the value of its imports over a given period is called _______.
balance of trade
The most basic level of social responsibility requires that a company _______.
be profitable
Khalid was recently hired as an intern in a marketing company. He was given a copy of the company's employee handbook, which identified the expectations for employees and the standards of proper or acceptable behavior, including the standard of dress, the amount of time given for breaks and lunch, guidelines for using company materials such as the copy machine, and the importance of being courteous and civil to all. The employee handbook provides guidance about the _______ of the company.
behavioral norms
Standards of proper or acceptable behavior are known as _______.
behavioral norms
Chili's, the popular restaurant chain, supports St. Jude Children's Hospital annually by inviting its guests to color a pepper and make a $1 contribution to St. Jude. Chili's has partnered with St. Jude for almost two decades and recently committed to a multi-year pledge to raise $30 million to fund St. Jude's School Program, which ensures that children receiving medical care in the hospital can stay up-to-date with their school assignments. This is an example of _______ marketing.
cause-related
During the month of November, many men participate in "Movember," a promotion to increase awareness and detection of prostate cancer. The Art of Shaving, which has boutiques scattered across the United States, matches contributions that customers make to the Movember Foundation. The company's Barber Spas also offer free shaves to registered Movember participants at the conclusion of the campaign. The brand has a Movember web page to market a specially launched comb and grooming book, as well a "Keep It Neat!" section of grooming essentials to help customers look their best. The Art of Shaving company is using _______ marketing to support the Movember Foundation and their efforts to improve men's health.
cause-related
A(n) _______ can help employees understand what their company considers acceptable behavior.
code of ethics
Quentin recently purchased a Ford F-150 truck to use in his construction business. He had considered other models but decided the Ford was the best value. After owning the truck for two weeks, he received an e-mail from his sales representative at the Ford dealership thanking him for his purchase. In addition, the sales representative included a link to a review of the Ford F-150 in Car and Driver where it was chosen as the top-rated truck. Quentin had been confident about his purchase decision prior to his purchase but felt even more positive about his purchase after receiving the e-mail from his sales representative and reading the magazine review. The follow-up e-mail and article helped to mitigate any _______ Quentin have felt in the postpurchase stage of the decision process.
cognitive dissonance
Broadly speaking, customer relationship management (CRM) allows marketers to _______.
collect information about customers and create marketing promotions and communications specific to groups of consumers
Avery was a multi-sport athlete in high school. She now teaches aerobics and spin classes at her university's fitness center. She wears only Nike shoes and sports apparel and has adopted the Nike slogan, "Just Do It" as her personal statement and the way she approaches life. She believes in herself and feels stronger, fitter, and more competitive when wearing or using Nike products. Avery is also an unpaid ambassador for the brand and often posts photos of herself wearing Nike products on her social media accounts. Avery would be classified as being in the _______ loyalty group with Nike.
committed
Customers at the _______ level of loyalty tell others about the brand and have an emotional connection.
committed
Marketing is the activity, set of institutions, and processes for creating, __________, __________, and exchanging offerings that have __________ for customers, clients, partners, and society at large.
communicating delivering value
Buckle is a casual clothing company typically located in indoor malls across the United States. Buckle's typical shopper is someone aged 15 to 35 who enjoys wearing the latest styles and appreciates the customer service and advice provided by store staff. Buckle hires mystery shoppers to visit similar stores such as American Eagle Outfitters, Aeropostale, and Hollister to check styles and pricing on similar items. This information is part of Buckle's efforts to understand the impact of _______, an external environmental factor.
competition
Frigidaire is well known for its household appliances. The company is offering more technological features in its products such as "smart" refrigerators that allow consumers to view their refrigerator contents remotely via an application on their smartphones. At a recent appliance industry trade show, representatives from Frigidaire visited the displays of other brands such as Samsung, GE, and LG to see their rivals' new products and how they were incorporating technology. This activity allows Frigidaire to stay abreast of the _______ factor of the external environment.
competition
Ally Bank has more than $95 billion in customer deposits but has no brick-and-mortar locations. The bank provides high levels of customer service through its investments in emerging technology enabling Ally to capture a high share of customer banking needs. In contrast, Fifth Third Bank has announced that it is closing 30 percent of its bank branches due to loss of market share. These examples demonstrate the impact of _____ factors as part of the external environment.
competitive
Gabriel is interested in purchasing a new car and is considering some type of sport utility vehicle (SUV). He enjoys outdoor activities such as bicycling, hiking, camping, and kayaking. Gabriel wants a vehicle that can accommodate his outdoor activity equipment. After conducting some online research and visiting dealerships, he's narrowed his decision to three brands: Subaru, Nissan, and Kia. Each company offers distinct product features, but Gabriel is especially interested in Kia since it warrants its vehicles for 100,000 miles. This example demonstrates the impact of _____ factors as part of the external environment.
competitive
A person who is practicing a conventional level of morality would _______.
consider the actions of others
The Wegmans grocery store chain operates 90 stores across six states in the Northeast U.S. and continues to grow. Like many grocery stores, it is trying to respond to changes in the external environment and now offers Instacart, a service allowing customers to shop online and receive delivery within an hour depending on their location. Wegmans believes the added convenience and time-saving aspects of grocery delivery will lead to greater customer satisfaction, increased revenues, and profitability. Wegmans is responding to the _______factor of the external environment.
consumer
A production orientation is successful when _______.
consumer wants and needs match what the company can best produce
Employees working long hours and enduring sweatshop conditions are a concern in ______.
contract manufacturing
Hoover manufactures vacuums and wanted to expand its manufacturing capabilities. Hoover contracted with an India-based firm and invested funds to provide technology and equipment in a new manufacturing plant in Mumbai. In exchange, Hoover received vacuums that were produced in India and could be sold worldwide. This practice is called _______.
countertrade
Pranav works for a German company that provides components for automobiles. He is preparing for a trip to China to meet with car manufacturers and had a short session on business etiquette. One recommendation regarded the presentation of business cards. The recommendation stated that it's a much more formal process in China and that it was important to use two hands when presenting a card to another person. Pranav is learning about the importance of _____ in global business.
culture
The broadest determinant of consumer behavior is _______.
culture
Many businesses today offer loyalty programs to customers, because gaining customers for life is a goal that enables firms to be more profitable. The Marriott hotel chain's loyalty programs are popular since customers can accumulate points that can be redeemed for upgrades or free room stays. Marriott also encourages members to complete their profiles by indicating the size of bed they prefer (double or king), type of pillow (foam or feather), handicap accessible needs, or other preferences. The profile information enables each hotel to utilize this information and provide the right type of room amenities for each guest. The loyalty program is an example of _______.
customer relationship management
Serge is a landscape architect who manages a team of 12 employees who work primarily on commercial landscaping projects. Serge is also responsible for purchasing equipment and landscaping materials, and he recently bought a new Bobcat skid steer machine. He prefers Bobcats even though they are more expensive, because the company provides a variety of add-on products that extend the usefulness of the skid steer, a great warranty, and a competitive price. Thus, Serge purchases the Bobcat due to its _______.
customer value
When a consumer has previous experience with a product or brand, it is likely the level of involvement would _______.
decrease
Davis Mortuary provides funeral and burial services for several rural communities. The trends indicate Baby Boomers may prefer cremation, although some are using pre-planning services and purchasing statuary or other memorials for their gravesites. As part of its marketing strategy, this example demonstrates how Davis Mortuary must consider _______ factors as an important aspect of the external marketing environment.
demographic
Companies across the globe can now realize opportunities to grow by exporting their products or services to different countries. For example, the popular clothing chain H&M, known as a fast fashion retailer, is based in Sweden, but now has locations in many cities across the United States. These stores offer the same selection of items found in other H&M store locations across the globe. H&M is utilizing Ansoff's strategic alternative of _______.
diversification
A _______ strategy increases sales by introducing new products into new markets, while a _______ strategy entails creating a new product targeted to its current customers.
diversification; product development
Post is a manufacturer of many popular consumer cereal brands, from healthy and hearty varieties such as Bran Flakes to brands catering to those with a sweet tooth, like Oreo O's. Post's Shredded Wheat cereal has been a staple in many homes for decades but now has a low market share, and its prospects for market growth are also low. According to the Boston Consulting Group Model, Shredded Wheat would be classified as a _______.
dog
Following natural disasters such as hurricanes and tornadoes, the demand for building products such as drywall or gypsum panels and lumber increases. Sometimes, these events lead to higher prices for building products as demand exceeds supply. However, due to global exporting, the prices might decline. U.S. gypsum manufacturing companies complained that China-based Knauf Tianjin was _____ products and selling panels for lower prices than they charged in China.
dumping
Companies producing solar panels for roof installations in residential or commercial application have benefited from government assistance in the form of grants to encourage owners to invest in solar technology. Unfortunately, one of the early entrants to solar roof panels went bankrupt and was unable to emerge from bankruptcy proceedings. According to the pyramid of corporate social responsibility, the company failed to meet its _______ responsibilities.
economic
Luxury goods such as designer handbags and watches are highly favored in developed countries such as France, Italy, Germany, the United States, and other countries around the globe where consumers have high discretionary income and enough purchasing power to afford these items. Thus, _____ factors are important considerations when selecting global markets for export opportunities.
economic
Novo Nordisk, a pharmaceutical company, has been the subject of negative media reports due to the high cost of insulin and frequent price increases. Novo Nordisk typically raises prices twice annually and prescription prices have tripled over the last three years. Some patients report making decisions between purchasing groceries or buying their prescription medicines. Consumer concern over the affordability of prescription drugs reflects the _____ factor of the external environment.
economic
Recently, Toyota increased the prices of its new automobiles to reflect an increase in raw material costs such as steel due to tariffs imposed on imported steel from China. Toyota is concerned that the increased prices of its vehicles will negatively impact consumer demand since income growth has not grown in proportion to the rising costs of production. Toyota is seeing how the _____ factor of the external environment impacts its business.
economic
Companies that are ethically responsible have already met _______ responsibilities.
economic and legal
Buckle retail outlet stores are typically located in major and regional indoor shopping centers. Buckle's products appeal to customers who enjoy dressing in the latest denim and casual fashion. The sales associates are trained to deliver a high level of customer service, offering suggestions on sizing, selection, and putting outfits together. In addition, associates assist with after-sale service and are able to handle returns and provide money back or store credit if a customer does not have their sales receipt. Thus, sales associates are _______ to do what's necessary to assure customer satisfaction and loyalty, since they have authority to solve customer problems on the spot.
empowered
Adidas manufactures sports apparel and shoes in various countries around the world. When Adidas is selecting manufacturers, the company has an extensive contract agreement stipulating a variety of policies regarding workers, such as pay, hours worked per day or week, working conditions, and worker safety. Adidas believes that it is important to ensure fair labor practices even if there are no regulations or laws governing these practices. Based on the pyramid of corporate social responsibility, Adidas is fulfilling its _______ responsibilities.
ethical
Rosario is a sales trainer with Canon Business Solutions, and she is working with new account executives to discuss the company's standards for creating mutually beneficial, win-win relationships with customers. She emphasizes that the goal is to identify consumers' needs and to match the right product or service to each customer. Thus, sales will occur when customers receive benefits from products or services that meet their individual needs. Further, Rosario tells the new sales associates that they should walk away from a sale if the product or service is not in the customer's best interests. Rosario is emphasizing the company's _______.
ethical principles
Energy bars are a popular snack or meal replacement for many consumers. The Clif Bar & Company has a variety of bars and emphasizes their natural ingredients and healthy snack options. The bars are available at most grocery stores, and they are sold individually or in a variety of packs of six bars to a box. The company has identified specific sales objectives for each variety of snack bar, and it is currently reviewing the sales data to gauge which varieties are meeting the sales targets. Thus, the Clif Bar & Company is engaged in the _______ process.
evaluation
Hayley is a senior in high school who wants to major in healthcare administration in college. She's engaged in some information search activities and has identified three schools within a three-hour drive of her home that offer a major in health care management or administration. These three schools are known as Hayley's _______.
evoked set
The collection of alternatives a consumer actually considers when making a decision is known as the _______.
evoked set
Many individuals and businesses use social media platforms such as Facebook, Instagram, and Pinterest to facilitate _______, which is the opportunity to satisfy a person's desire for a good or service through bartering, trade, or financial compensation.
exchange
The _______ is the price of one country's currency in terms of another country's currency.
exchange rate
Matcha green tea has become a very popular beverage in recent years. Soar Organic produces some of the finest matcha green tea and works with sales agents and distributors in the United States, Canada, and Australia to aid with international financing, shipping, and supporting Soar Organic's export needs. The sales agents who reside in the countries to which Soar Organic is exporting are called _______.
export agents
Although _______ provides the least amount of return, many companies choose this method as a first step in international marketing because it is also low risk.
exporting
Harry's, a men's grooming company, markets razors and hair styling products. Harry's uses a variety of promotional media including advertisements on ESPN to create awareness about its brand and to influence purchase consideration. Recently, Ravindra was watching ESPN and decided to give Harry's a try. The advertisement also helped him realize that he wasn't very satisfied with the disposable razors he had been using. In this case, the advertisement acted as a(n) _______ stimulus to trigger Ravindra's need recognition for a new shaving product.
external
Heritage Glass in rural Tennessee expects 60 to 70 percent of its sales to come from regions outside of the United States including the Philippines, Europe, and South America. Heritage Glass has a _____ vision.
global
Restaurant Equipment Corporation imports coolers and freezers from China that are used in the restaurant and hospitality industry. The company typically orders container loads and must consider travel time since the product arrives by ship, which typically takes several weeks. The company benefits from using imported Chinese products since its profit margin is higher than it would be if it had to purchase products made in the United States. This example demonstrates the impact of _____ competition on firms supplying the restaurant and hospitality markets.
global
Apple recently announced that it was investing billions to build a new manufacturing facility near its headquarters in California to produce screens for computers, tablets, and smartphone devices. This investment is part of Apple's strategy to control all component parts of its products and to return production to the United States, a process called _______.
inshoring
Knowing how customers research products and reach decisions is part of understanding _______.
how consumers make decisions
A person's _______ is how they wish to be perceived.
ideal self-image
Methodist Hospital recently completed a five-year strategic plan. It has recently appointed ten managers from various departments to serve on a task force. These managers will oversee the _______ of the marketing plan by delegating assignments, identifying the timing of tasks, and allocating resources to various departments.
implementation
A target market is a group of people or organizations for which an organization designs, _________ , and maintains a _________ intended to meet the needs of that group, resulting in mutually satisfying exchanges.
implements ; marketing mix
Consuela is a busy mom of three children ranging from 3 to 8 years of age. The kids usually accompany Consuela on trips to the grocery store, and she's often amazed at how frequently they ask for items that are not on the shopping list. The youngest is usually asking for a toy, the middle child wants candy, and the oldest wants ice cream. As part of the family decision process, the children perform the role of _______.
initiators
Emma was raised in the southern part of the United States where it's common to ask guests visiting the house, "would you like a Coke?" This expression is used to inquire if the guest would like a beverage to drink, not necessarily a Coca-Cola or Coca-Cola product. In contrast, people living in the Midwest might ask if the guest would like a pop or soda pop. The use of these expressions by people living in different areas across the United States demonstrates that culture is _______.
learned
Samantha and Bethany are purchasing their first home and reviewing the terms of a 15-year mortgage with their lender, Jim, at First Union Bank. Jim reviews the amount of the loan, the interest rate, the total amount of interest they will pay over the course of their loan, and the total amount of money that will be paid over time. Jim is required to provide this information, as it is federally mandated as part of the Truth in Lending Act that was passed in 1968 to protect consumers. Jim is doing what is _______ right by providing this information to Samantha and Bethany.
legally
Caterpillar is a manufacturer of heavy machinery that is sold around the world. A growing business for this U.S.-based company are products that feature the company's name or logo. Branded merchandise is available in over 150 countries through agreements known as _____, in which, for a fee, Caterpillar allows other firms to use its name or logo on products such as hats, boots, apparel, and scale model replicas of its equipment.
licensing
Marianne recently moved from the Midwest to South Florida to pursue a career in real estate. She enjoys yoga and Pilates and hopes to find a studio in her new city so she can continue her fitness routine. This example demonstrates the impact of _______ as an individual influence on consumer buying decisions.
life events
Marketers have _______ control over the competitive environment, but keeping up with competitors' actions can help marketers _______.
little ; prepare for potential threats
Volkswagen has announced that it will develop a new line of energy-efficient vehicles that are powered by electricity. VW may offer a van that resembles its iconic Vanagon model from the 1970s and 1980s. The company is currently estimating the size and sales potential of key market segments, as well as identifying competitors who currently serve those segments. Volkswagen is performing a(n) _______.
market opportunity analysis (MOA)
Stefan was recently hired by a small business to provide strategic planning consulting. In the initial meeting, Stefan emphasized the importance of the _______, which is the foundation of any company's marketing plan.
mission statement
Marketers in healthier ethical environments are _______ to take a strong stand against unethical practices.
more likely
The driving force that causes a consumer to take action and satisfy a specific need is a _______.
motive
A company that allows its individual subsidiaries to compete independently in domestic markets with unique or slightly varied products is using a _______.
multidomestic strategy
Yeti is based in Austin, Texas. The company produces a variety of high-quality products such as coolers, beverage containers, chairs, bags, and branded apparel. It is a publicly traded company operating in the United States, Europe, Canada, Asia, and Australia and manufactures products in the United States, China, and Thailand. A brief look at Yeti's current job openings reveals professional positions in the United Kingdom, the Philippines, and Thailand. Assuming Yeti has office locations in these countries, it would be classified as a ______ firm.
multinational
Rajan, who is the VP of Marketing for a technology firm, is working with the senior leadership team to revise the company's mission statement. He believes the current statement is too narrow since it emphasizes goods and services instead of the benefits customers might receive. In other words, the mission statement is _______.
myopic
Successful relationship marketing strategies depend on all the following EXCEPT _______.
offering high-quality products
Some people avoid buying specific products and brands so they are not associated with specific groups. These groups would be classified as ______.
nonaspirational groups
Gustavo was shopping at Hollister for jeans. He noticed a sign near the plain T-shirts that advertised "buy one, get one half off." Since he often wears plain T-shirts, Gustavo spontaneously decided to purchase a white shirt and a black shirt. The sign served as a(n) _______ to influence consumers to make impulse or unplanned purchases.
nudge
Brandon has always enjoyed playing video games. He started live streaming and recording videos as well as giving product reviews. Over time, Brandon has developed a following on YouTube, and he is now endorsed by several video game companies who view him as an important _______ who can influence others to purchase goods and services.
opinion leader
In a SWOT analysis, the prospect of entering new markets and launching new products would be listed under _______.
opportunities
Pedro, owner of the BoxFitness club, is conducting a situation analysis. He recently read an article about how research has shown that individuals who have Parkinson's disease can benefit from an exercise regimen that involves boxing. The benefits of boxing for Parkinson's patients would be classified as a(n) _______.
opportunity
ExxonMobil has many different divisions and departments in its global operations, including public relations, publicity, pricing, supply chain, sales, and research and development. These groups work to ensure that all stakeholders are receiving the desired value and benefits from their relationship with the company. This example demonstrates that ExxonMobil has embraced the facet of marketing concerned with _______.
organizational functions and processes
Birgit likes to eat healthy foods. She recently visited Bed Bath & Beyond to purchase a high-speed blender to make smoothies, soups, sorbet, and other whole food-based recipes. Birgit compared several brands such as the Ninja Professional ($125), Vitamix ($300), and Kitchen Aid Classic ($80). Birgit decided to purchase the Ninja Professional and was pleasantly surprised at how well it blended spinach, apples, cucumbers, soy milk, and ice when making her morning green smoothie. She made her choice because of the _______ value of the Ninja but was then thrilled when she received more value than she expected from its performance.
perceived
One of the least useful concepts in consumer behavior is _______, even though it may influence the types and brands of products people purchase.
personality
Recent advertisements by McDonald's feature a young employee who graduates high school and is accepted to college. It also shows her receiving an educational grant from the company to support her education. Based on the pyramid of corporate social responsibility, McDonald's is fulfilling its _______ responsibilities.
philanthropic
According to Maslow, the most basic needs are _______.
physiological needs
Officials in San Francisco have recently issued a ban on e-cigarette sales. Once the ban goes into effect in early 2020, the new San Francisco ordinance will forbid tobacco shops in the city from selling e-cigarettes that have not been approved by the Food & Drug Administration (FDA). Companies such as Juul could be negatively impacted by this city regulation which demonstrates the importance of staying abreast of the changing _______ factors in the external environment.
political and legal
Remote geographic locations such as the Bahamas must rely on imported goods since the country cannot produce everything it needs. However, the Bahamas is well known for its cigars and rum, which are exported around the world. The principle that captures this example of goods imported to the Bahamas and exported from the Bahamas is called the _______.
principle of comparative advantage
Coca-Cola has a variety of strategic business units (SBUs) in its beverage business. Glaceau Vitamin Water is in a high-growth market due to customer trends away from carbonated beverages. However, Coca-Cola has a low market share of the bottled water segment. Thus, Glaceau Vitamin Water would be classified as a _______ according to the Boston Consulting Group model.
problem child
A company that alters a basic product to fit in a local market is using a _______ strategy.
product adaptation
McDonald's operates restaurants around the world. The company seeks to make modifications in its menu selections and promotions to appeal to each local market. McDonald's recognizes how individual customer differences in culture and local ingredients impact its business opportunities. Thus, McDonald's is a global company that is acting locally to ensure its success. This strategy is known as _______.
product adaptation
Dollar General operates midsized retail stores in rural towns. It has been expanding the variety of products available in its stores. Some locations now offer fresh produce and an increased assortment of fresh or frozen food items. Dollar General hopes the addition of new products will lead existing customers to purchase more items when they shop, which will in turn increase revenues for the chain. This is an example of the _______ strategic alternative according to Ansoff's matrix.
product development
Intel is known for its high-quality computer chips and ability to innovate. Most major computer and tablet manufacturers prefer to include Intel chips and often add the brand's logo and statement "Intel inside" on the product packaging. It is likely that Intel benefits from a _______ competitive advantage.
product/service differentiation
A company that focuses on a unique aspect of its product is likely using a _______.
product/service differentiation competitive advantage
The four marketing management philosophies are _______.
production, sales, market, and societal marketing orientations
Four Roses produces bourbon in Kentucky. It has a growing export business due to the global popularity of the beverage. Some countries, such as China, impose tariffs on bourbon produced in the United States to strengthen their own domestic brands. This strategy is known as _______.
protectionism
Farmers who grow wheat and corn in Australia can export their grains to Japan. However, Japan has limits on the quantity of grain that can be imported into the country. Japan is using _____ to limit trade.
quotas
Zion Pharma is the manufacturer of a prescription antibiotic and has been accused of using aggressive marketing tactics to increase sales. Zion Pharma has employed sales representatives who meet individually with a variety of physicians and pharmacists to encourage the prescribing of the brand, which is priced higher than similar medications. Based on this information, it is clear that Zion Pharma has embraced a _______ orientation as a marketing management philosophy.
sales
Lucía is an avid coffee drinker. She often stops to purchase a morning or mid-afternoon coffee at Dunkin'. She likes the convenience of the drive-through, and her favorite store always gets her order right. However, depending on her schedule and location, she's equally as likely to stop at Starbucks or McDonald's for a coffee. Lucía would be classified as being in the _______ loyalty group with Dunkin'.
satisfied
Many restaurants such as Chili's encourage diners to complete a quick evaluation of their dining experience and identify how well the restaurant met their needs. Chili's is concerned with the facet of marketing that seeks to _______.
satisfy customers
A market-oriented company _______.
sees marketing as a company-wide activity
When consumers are overwhelmed by stimuli in the environment, they use _______ to choose what information is processed.
selective exposure
Danita is 40 years old and has always wanted to learn to speak Italian. She's noticed several television advertisements for Babbel promoting its system of foreign language instruction. The ads show professional people like her learning new languages and being successful. According to Maslow's hierarchy of needs, Danita's desire to learn Italian would fulfill a _______ need.
self-actualization
Aditi and Sam are newlyweds. They will be hosting a dinner party for Sam's parents who are knowledgeable and savvy wine drinkers. Aditi doesn't know much about wine but wants to serve a bottle of wine with dinner. She visits a local liquor store specializing in wine and spends quite a bit of time looking at various wines and speaking with a knowledgeable salesperson at the store. This is an example of _______ involvement and how it can impact a customer's purchase decision process.
situational
Jeasen Senior Living provides assisted living communities across the United States. The company focuses on the importance of its residents' desires to maintain their independence and ability to care for themselves in a supportive environment. By recognizing individuals' desires to be independent, Jeasen Senior Living is responding to an important element of the external environment, known as _______ factors.
social
Khalid is a professional photographer who is considering purchasing one of the new mirrorless cameras from FujiFilm. He frequently purchases equipment online from a New York firm, BH Photo. BH Photo's website allows customers to post product reviews. Khalid notices that many of the reviews for the FujiFilm model are negative. However, those who purchased the Sony models gave very positive reviews. Based on his research and owner feedback, Khalid decides to purchase a Sony camera. This example demonstrates the importance of _____ factors as part of the external marketing environment.
social
Outside magazine features articles and product reviews related to outdoor activities such as hiking, bicycling, running, and water sports. Those who subscribe to the print or online versions of the magazine are likely to be outdoor enthusiasts who view these activities as a core part of their lives. Companies offering products such as bicycles, camping supplies, or hiking equipment that advertise in Outside magazine are attempting to respond to ______ factors in their marketing strategies.
social
Raymond Plumbing is a small, independently owned business providing plumbing services to residential and commercial customers. The company recently received B Corp certification. It also funds a scholarship at the local trade union for students to complete their educational requirements to become plumbers. Raymond Plumbing's commitment to education in its local community is an example of _______ sustainability.
social
When consumers worry about a purchase impacting others' opinions of them, they are concerned about _______.
social risk
According to Business Insider, Automatic Data Processing, Inc. (ADP) engages in the provision of business outsourcing solutions and specializes in cloud-based human capital management. ADP is a preferred vendor for payroll systems, and since it processes millions of checks for its customers, it is a respected source of information about unemployment rates through its monthly National Employment Report. ADP's development and study of employment trends was a(n) _______ decision affecting its long-run profitability and growth.
strategic
Marco is the owner of Salon Concepts, which offers nail, hair, and massage services. Marco wants to increase revenues and decides to offer new services to men, focusing on shaving, beard or mustache care, and barber services. Marco believes these new services will enable the salon to grow and maintain profitability over time. In launching grooming services for men, Marco has made a(n) _______ decision.
strategic
ConAgra Foods is a global manufacturer of processed and packaged foods with revenues of $11 billion annually. It recently acquired Pinnacle Foods, which added iconic brands to its portfolio such as Birds Eye, Duncan Hines, Earth Balance, and Vlasic. Pinnacle Foods will continue to have control over its resources and distinct mission, and it will operate independently of ConAgra Foods. Pinnacle Foods is known as a(n) _______.
strategic business unit
Pedro is the owner of BoxFitness, a cardio-fitness club specializing in boxing. He has a certificate as a sports trainer, provides excellent guidance as a trainer, and his business is conveniently located. If a situation analysis were performed, these would be examples of the company's _______.
strengths
Walgreens is based in Chicago, Illinois, and has developed a large customer base, especially in larger cities. It has strong relationships with its suppliers and an innovative supply chain, enabling it to reduce out-of-stock inventory, especially with fast-moving items that are purchased frequently. These capabilities have enabled Walgreens to maintain its market position and have a strong competitive position since they are not easily copied or duplicated by other firms. Walgreens enjoys a _______ competitive advantage.
sustainable
A _______ is an advantage that cannot be copied by the competition in the near future.
sustainable competitive advantage
State Farm insurance products are marketed through its 19,000 independent contractor agents who maintain local offices across the United States. At one time, those agents were responsible for servicing accounts and were the primary contacts when customers had questions about their policies or claims to report. However, State Farm, which has been in business since 1922, now offers its policyholders a range of technology-enhanced options such as a smartphone app and a web-based portal to report claims, make payments, or make changes to their policies. State Farm's transition away from face-to-face servicing of clients reflects how _______ is a major factor of the external environment.
technology
The trade agreement formally known as the North American Free Trade Agreement (NAFTA) is an agreement between _______.
the United States, Canada, and Mexico
Obesity in the United States has been described as an epidemic since a high proportion of citizens are 15 or more pounds overweight. A convenience store chain has decided to respond to this issue by reducing the size of the soda fountain drinks it sells in its stores. The company now only offers fountain drinks in 16- and 32-ounce sizes, eliminating its "super-sized" 50-ounce beverage option. This decision reflects _______.
the convenience store chain's morals
Huggies is a popular brand of diapers that offers a variety of sizes and styles to fit babies based on weight, gender, and activity, such as swim diapers. Huggies devotes significant resources to conduct market research to understand customer needs and to ensure that its diaper products meet the needs of the customer. Rather than make just one diaper formulation, the products are highly customized and appeal to each customer's unique situation. This highlights one of the key differences between sales-oriented firms and marketing-oriented firms, which is _______.
the organization's approach to marketing its products to specific customer segments rather than "everyone" or the average customer
Alliance Life Insurance promotes its term life insurance products through commissioned sales representatives, who use aggressive sales tactics to acquire new customers who make monthly premium payments. Alliance is driven to earn profits and instructs its sales representatives to sell, sell, sell, and it trains them that "Everyone needs life insurance." This highlights one of the key differences between sales-oriented firms and marketing-oriented firms, which is _______.
the organization's primary goal to achieve profitability through sales volume
Carefully specified objectives should have all of the following characteristics EXCEPT _______.
to have unspecified end dates
Bertrand's parents are originally from France. They have spoken to him in both English and French for as long as he can remember. However, he thinks that they spend more time correcting his pronunciation and use of grammar when he speaks French compared to when he speaks English. Over time, Bertrand has learned that this is common for French families as they desire to speak "perfect" French. Thus, these families share a common _______ of speaking perfect French, which is one component of culture.
value
Elements of product strategy can include all of the following EXCEPT _______.
where the product is sold
