Marketing Final Exam Chapter 1-5

____ competitors are the most significant to marketers because buyers see the different products of these firms as direct substitutes for each other

Brand

____ are formalized rules and standards that describe what a company expects of its employees in terms of ethical behavior.

Codes of conduct

____ strategy determines the means for utilizing resources in the functional areas of marketing, production, finance, research and development, and human resources to achieve the organization's goals.

Corporate

Lindsay was reviewing her bank statement for last month. She had paid her rent, her car payment, electric and phone bills, and made three trips to the grocery. Lindsay had also bought tickets to a Katy Perry concert and new clothes to wear to the concert. The money spent on Lindsay's rent, car, electric and phone bills was likely from her ____ , while the money spent on the concert tickets and new clothes was from her _____.

Disposable income; discretionary income

Which of the following companies is the best example of a service marketer? Sony, Old Navy, FedEx, or Walmart?

FedEx

____ competitors provide very different products that satisfy the same basic customer need.

Generic

T-Mobile implements a program of texting its current customers to find out what changes they would like to see in the services provided. The firm is exhibiting characteristics associated with which of the following orientations?

Market

When Campbell's introduced a line of low-sodium soups in response to customer demand, it was following which one of the following philosophies?

Marketing concept

What type of competitive structure exists when a firm produces a product that has no close substitutes?

Monopoly

____ competitors are those that compete in the same product class, but their products have different features, benefits, and prices

Product

____ ethical issues generally surface when companies fail to disclose risks associated with a product or information regarding its function, value, or use

Product-related

Marketers who view political forces as being beyond their control are taking a(n) ____ response toward these forces

Reactive

While Silk Soymilk engages in environmental scanning and analysis, the company is more likely to change its products and marketing strategies to adapt to environmental forces rather than trying to influence these forces. Silk Soymilk has a(n) ____ approach to marketing environmental forces.

Reactive

Marketing facilitates exchange relationships between buyers and sellers. What is marketing's intended outcome for this relationship?

Satisfaction for both the buyer and seller

Which of the following statements about social responsibility is correct?

Social responsibility refers to a company's obligation to maximize its positive impact and minimize its negative impact on society

Which of the following statements about marketing environment forces is correct?

They influence customers by affecting their lifestyles, standards of living, and preferences and needs for products

An informed guess or assumption about a certain problem or set of circumstances is known as

a hypothesis

A framework for gathering and managing information from sources both inside and outside an organization is referred to as

a marketing information system

The marketing concept is best defined as

a philosophy stating that an organization should try to satisfy customers' needs through a coordinated set of activities that allows the organization to achieve its goals

An ethical issue is

an identifiable problem, situation, or opportunity requiring an individual to choose from among several actions that must be evaluated as right or wrong

The Decca Electric Corporation produces light bulbs that are used in refrigerator manufacturing. Currently, only three other companies produce bulbs used in the production of refrigerators, with Decca as the leader in market share. In this case, Decca Electric Corporation would be considered

an oligopoly

The tobacco industry in the United States is dominated by three large companies. When any one of these companies changes its price on tobacco products, the other two companies quickly adjust their prices to match it. From these characteristics, the tobacco industry could best be described as

an oligopoly

The strategic planning process begins with

analysis of the marketing environment

All companies have a responsibility to ____ so they can provide a return on investment to their owners and investors, create jobs for the community, and contribute goods and services to the economy.

be profitable

The practice of linking a firm's product marketing to a particular social cause on an ongoing or short-term basis is known as

cause-related marketing

A ____ is created when a company matches its core competency to opportunities it has discovered in the marketplace.

competitive advantage

Amazon's pricing, service, and continuing investment in improving its website with additional product offerings give it a(n) ____ over many other retailers.

competitive advantage

Research designed to verify insights through an objective procedure to help marketers make decisions is called

conclusive

Apple has made a success from anticipating what consumers would want in new technological advances, convenience, and ease of use. The introduction of the iPad was an example of a _____ for Apple, something that an organization does extremely well and may give a company an advantage over its competition.

core competency

A set of values, beliefs, goals, norms, and rituals shared by members of an organization is called

corporate culture

At his new job, Carlos notices that everyone places high values on their families and each others' families, birthdays are always celebrated, and flexible schedules are permitted to facilitate family involvement as long as the work is still getting done. Everyone is very relaxed and friendly. Carlos has made several observations about the

corporate culture

The marketing mix is built around the

customer

When managers at Logistics Pro are developing their strategic plan, they use a market orientation as a guide to ensure that ____ is an integral part of the process.

customer satisfaction

The main focus of a marketing information system is on

data storage and retrieval

Primary data are best described as the

data that are observed, recorded, or collected directly from subjects

A(n) ____ is a collection of information arranged for easy access and retrieval.

database

American Flooring sells all types of floor coverings to contractors and other businesses. It keeps a collection of information about all of its clients that can be easily accessed on the company's computer system. This collection of information is called a

database

Jack knows his business has a problem because of an increasing number of consumer complaints received recently. He has decided how to make this problem a precise, researchable statement and should next move on to

designing the research project

Consumers buying products online have dramatically affected the ____ variable of the marketing mix.

distribution

Issues of inventory levels and storage costs are both concerns relating to the ____ variable of the marketing mix.

distribution

Collecting information from secondary sources such as business, government, trade, and general-interest publications plays an important role in

environmental scanning

SiriusXM Radio is concerned about how the increasing use of smart phones will affect the future sales of its satellite radio service. The company decides to gather information about the changing trends in music access and delivery to prepare for this trend. Sirius XM's process is called

environmental scanning

To monitor changes in the marketing environment effectively, marketers must engage in

environmental scanning and analysis

By offering both credit and financing through its GMAC division, General Motors is trying to help consumers

expand current buying power at the expense of future buying power.

Research that allows marketers to make causal inferences about relationships is called

experimental research

When more information is needed about a problem and a tentative hypothesis needs to be made more specific, marketers usually conduct ____ research.

exploratory

Product-related ethical issues arise when marketers

fail to disclose information to consumers about the risks associated with using a product

A competitive advantage exists when a

firm matches a core competency to opportunities it has discovered in the marketplace

Due to limited resources, a consumer decided to serve Hawaiian Punch to a New Year's Eve party crowd instead of Korbel champagne. As a result of this action, Korbel and Hawaiian Punch can be viewed as ____ competitors.

generic

A physical product you can touch is a(n)

good

To formulate a marketing strategy, one must

identify and analyze a target market and develop a marketing mix to satisfy individuals in that market

Three factors that influence the ethical decision-making process in marketing include

individual factors, organizational factors, and opportunity

A target market

is a specific group of customers on whom an organization focuses its marketing efforts

DoneRight Inc. is a very profitable automobile repair shop. The company is well known for its great service and involvement in the community, but it fails to properly dispose of its used oil as outlined in environmental regulations. DoneRight is failing in its ____ responsibilities.

legal

A group that has the willingness, ability, and authority to buy a product is a

market

Realizing an increase in both the number of consumers who are environmentally-conscious and the number of consumers who are seeking vehicles that use less gasoline, several car manufacturers have developed hybrid automobiles. This is an example of identifying and capitalizing on a ____ while the strategic window is open.

market opportunity

When the right combination of circumstances occurs at the right time to allow an organization to take action toward a target market, the firm is faced with a

market opportunity

The adoption of a strategic focus for fulfilling the economic, legal, ethical, and philanthropic social responsibilities expected by stakeholders is called

marketing citizenship

A marketing manager for a small computer manufacturer is analyzing the potential effects of political, legal, sociocultural, and economic forces on the firm's operations. The marketing manager is examining the ____ that influence(s) the firm's strategy

marketing environment

Bart's Appliance Center owner Ron Bart feels that his organization has access to a great deal of information generated both inside and outside the firm, but much of this information is presently going to waste. Apparently, Bart needs to develop a

marketing information system

CyberCycle Inc., is preparing a written document specifying the activities to be performed to implement and control its marketing activities. This document is called the

marketing plan

Safeway Foods Corporation is involved in identifying and analyzing a target market. The firm then develops a marketing mix to satisfy individuals in that market to gain long-term competitive advantages. Based on this example, Safeway is creating a

marketing strategy

Three primary methods of collecting information for environmental scanning are

observation, secondary sources, and marketing research

The four major competitive structures are

oligopolies, monopolies, monopolistic competition, and pure competition

Justin believes that certain conditions at his company are very conducive to engaging in unethical behavior because these conditions provide rewards such as faster promotions and better salaries for those who bend the rules. Justin's company seems to allow ____ for unethical behavior.

opportunity

Since most ethical choices pertaining to marketing decisions are jointly made, an organization must ensure the ____ reflects the organization's values, beliefs and norms.

organizational or corporate culture

A business that contributes resources to the community to improve the quality of life is taking on a(n) ____ responsibility.

philanthropic

Actions that promote human health and welfare address the ____ dimension of the pyramid of social responsibility.

philanthropic

McDonald's supports and funds Ronald McDonald houses for the families of terminally-ill children to stay in to be near their loved ones. McDonald's action demonstrates the fulfillment of ____ responsibility.

philanthropic

The forces of the marketing environment include

political, legal and regulatory, sociocultural, technological, economic, and competitive

All the elements, individuals, or units of interest to researchers for a specific study are called the

population

Data that are observed or collected directly from respondents are called

primary data

Marketers who attempt to influence and change the various environmental forces have a(n) ____ response to these forces

proactive

Assuming that inflation is low, high buying power characterizes the ____ stage of the business cycle

prosperity

A marketing plan

provides a framework for implementing and controlling marketing activities

Students from a marketing research class are involved in a project about the level of sleep, exercise, and stress individuals experience. They have decided to collect data from three student-center areas on campus. When they analyze their data they find the responses are very similar across the three areas. The students feel comfortable they have achieved which of the following with regard to their data?

realiability

Marketing ethics

refers to principles and standards that define acceptable conduct in marketing

Today, establishing long-term, mutually beneficial arrangements in which both the buyer and seller focus on value enhancement through the creation of more satisfying exchanges is known as

relationship marketing

The final step in the marketing research process is

reporting the research findings

An overall plan for obtaining the information needed to address a research problem or issue is called the

research design

The marketing concept focuses on

satisfying customers' needs in a way that helps to achieve organizational objectives

When working as a summer intern for a local retail store, Jan Halverson was sent to the library to look up data on population forecasts for the city of San Antonio. The population information she found would be considered

secondary data

Saks Fifth Avenue wants to learn about its consumers' attitudes toward on-line purchases. There are numerous studies that are available about consumers and on-line buying, but Saks believes its customers might be different from the usual on-line consumer profile, so they decide to conduct their own study. If Saks were to use the available data about consumer attitudes, it would be using ___ data; however, if Saks does its own study it would collect ______ data.

secondary; primary

The Children's Online Privacy Protection Act prohibits websites and Internet providers from

seeking personal information from children under the age of 13

The three basic forms that a product can take are

services, ideas, and goods

If Hefty Bags expresses concern that its products are having too great an impact on the pollution of ground water under landfills, this concern is directly related to the firm's

social responsibility

Within a business organization, a profit center that is self-supporting in terms of sales, markets, production, and other resources is known as a

strategic business unit

Home Depot's synergistic use of organizational core competencies and resources to address key stakeholders' interests and achieve both social initiatives and its business goals is an example of

strategic philanthropy

Managers at the Longshore Corporation are engaged in a complex process of revising their organization's mission and goals and developing corporate strategy, marketing objectives, marketing strategy, and, eventually, a marketing plan. This process is called

strategic planning

An analysis of ____ examines internal factors that give the organization certain advantages and disadvantages in meeting the needs of its target markets.

strengths and weaknesses

Because of its highly efficient and low-cost distribution system, Walmart has a ____ advantage over Kmart.

sustainable competitive

Harley-Davidson's Harley Owner's Group (HOG) helps to foster strong relationships between riders and their motorcycles, giving it a(n) ____ over other motorcycle manufacturers.

sustainable competitive advantage

A commercial for the drink SunnyD explains how nutritious it is in comparison to other, more "sugary" drinks. While children under 12 are the most likely consumers of SunnyD, the commercial is aimed at mothers. These mothers represent SunnyD's

target market

StarKist Tuna announced a dolphin-safe policy and stopped buying tuna from fishing vessels that net dolphins. This decision indicates a response to concerns about

the marketing environment

Distribution, price, promotion, and product are all elements of

the marketing mix

A market opportunity results from

the right combination of circumstances and timing that permits an organization to take action to reach a particular target market

Marketing research is best defined as

the systematic design, collection, interpretation, and reporting of information to help marketers solve specific marketing problems or take advantage of market opportunities

All of the following are steps in the marketing research process except

understanding your customer

The equation a buyer applies to assess a product's value is

value = customer benefits − customer costs

Shelby's new job with the federal government provides a comfortable income and a fairly stable income. She would like to buy a new car now that she has a job; however, Shelby hesitates to purchase a new car because she is concerned about how poor economic conditions may affect her position in the future. Shelby lacks

willingness to spend