Marketing
If you are involved in a buying or selling situation in which you do not expect to do business with the other party again, you are engaged in a transaction. negotiation. relationship. C2C channel. marketing mix.
a
Internet sites, physical stores, and kiosks are most closely associated with which element of the marketing mix? Place Price Product Promotion Proximity
a
Manufacturers who use just-in-time manufacturing systems coordinate closely with suppliers in order to ensure that materials and supplies arrive just before they are needed in the manufacturing process. While just-in-time systems can offer major advantages in terms of inventory costs, they must be carefully managed. If a firm found that its just-in-time system was badly managed, leading to frequent manufacturing delays due to missing parts, this would represent a __________ in a SWOT analysis. weakness opportunity threat strength business mission
a
Many inventors struggle with the question, "I made it; now how do I get rid of it?" They have made the error of considering marketing as an afterthought. an integral part of a business plan. an accounting function. a profit center. important only for new products.
a
Melanie works for a small computer software company. Her boss is constantly improving their products but neglecting customers, billing, and promoting the company. Her boss is probably stuck in the __________ era of marketing. production-oriented sales-oriented market-oriented value-based marketing retailing-oriented
a
When companies work collaboratively to buy and sell, transport, and store merchandise through a channel of distribution, it involves the entire _____ for goods and services. supply chain promotion channel relationship management system productivity metrics hierarchy of purchasers
a
A ______ competitive advantage is not easily copied by competitors and so tends to be maintained over the long run. generic portfolio segmented sustainable promotional
d
The goal of the marketing exchange is that the parties to the transaction be close partners. interdependent. codependent. satisfied. savvy.
d
The _____ era embraced the belief that a good product would sell itself. sales-oriented market-oriented value-based consumer-demand production-oriented
e
A firm whose employees act in an ethical manner, and which is concerned with only its closest stakeholders is considered to be ethical but socially irresponsible. ethical and socially responsible. unethical but socially responsible. unethical and socially irresponsible. neither ethical nor socially responsible.
a
After a firm has identified the various stakeholders and their issues and gathered the available data, all parties relevant to the decision should engage in brainstorming and evaluation of alternatives. __________ then review and refine these alternatives, and choose a course of action. Managers The firm's lawyers Key customers Community leaders All stakeholders
a
Broadly defined, _____ is/are the shared meanings, beliefs, morals, values, and customs of a group of people. culture demographics social issues psychographics ethnicity
a
Coca-Cola sells two different zero-calorie versions of Coke: Diet Coke and Coke Zero. It has chosen to attempt to appeal to men with Coke Zero. In addition to launching an ad campaign featuring men enjoying Coke Zero, Coca-Cola also designed a "masculine" looking can for Coke Zero, with bold red lettering on a black background. This specially-designed can is an example of: positioning. targeting. segmentation. a market segment. market penetration.
a
Companies must deliver more value and satisfaction to target consumers than its competitors deliver, in order to gain: competitive advantage. competitor analysis. a competitive benchmark. competitor-centered advantage. a competitive franchise.
a
Garrett has just purchased a beer distributorship. He wants to increase the visibility of his firm in local markets, but he knows there are a number of regulations and socially accepted practices associated with promoting alcoholic beverages. According to the Framework for Ethical Decision Making, the first thing Garrett should do is to identify issues. promote the firm's corporate social responsibility efforts. gather information and identify stakeholders. brainstorm and evaluate alternatives. choose a course of action.
a
How might a technology company like Apple ensure that it behaves in a socially responsible way towards its customers? By protecting the privacy of personal information collected on its website. By adhering to government-mandated safety standards in its stores. By ensuring that it pays its employees fairly. By ensuring that its packaging materials are recyclable. Social responsibility isn't relevant where customers are concerned; it has to do with serving society as a whole.
a
In New England foot-long sandwiches are called "grinders" while in many other parts of the country they are called "subs." This is an example of the impact of regional culture. country culture. generational factors. social trends. regulatory factors.
a
In the immediate environment, the first factor that affects the consumer is/are the company itself. corporate partners. competitors. consumers. culture.
a
In the past, manufacturer's representatives did not have up-to-minute data about the products they were selling. Today, manufacturer's representatives are often provided online access to inventory data for the companies they represent. These online inventory systems allow companies to become more value-driven through sharing information across the organization. balancing customers' benefits and costs. evaluating strategic competitive partnerships. building relationships with government regulators of marketing institutions. keeping prices below those charged by competitors.
a
Laws that prohibit the formation of monopolies or alliances that would damage a competitive marketplace benefit consumers through increased choices. higher prices. protection from false advertising. fair debt collection practices. all of these
a
Marketing firms that want to abide by an established set of high standards and values that guide decision making and other business behaviors need to create a strong ethical climate. profit model. customer franchise. lobbying policy. cadre of lawyers.
a
On its web site, Amazon.com greets returning customers by suggesting items that might interest them. These recommendations are based on items they previously purchased, products that others with similar preferences purchased, and complementary products to items of current interest. This adds value through which of the following marketing mix elements? Product Price Promotion People Place
a
Select the statement that best describes the key traits of Generation Y. This generation puts a strong emphasis on work/life balance and are experts at using various media forms. This generation mostly uses the Internet for the purposes of checking email, the news, and the weather. This generation focuses on healthcare and wellness services. This generation was the first generation of latchkey children. This generation—including its oldest members—has had access to the Internet for their entire lives.
a
Starbucks introduced Via, its brand of instant coffee, to exploit the growth opportunities for new products in current markets. Chief Executive Howard Schultz called Starbucks' Via Ready Brew "perhaps the biggest opportunity" in company history as he prepared for the instant coffee product's North American rollout. This is an example of: product development. market development. market penetration. product proliferation. micromarketing.
a
The Henry Ford Health System (a health care provider) has set strict limits for pharmaceutical representatives, and will no longer allow doctors in its system to accept free lunches, gifts, or other perks from the pharmaceutical representatives. The Henry Ford Health System probably established this policy because it reduces the possibility that the Henry Ford Health System might make unethical purchasing decisions. it ensures that Henry Ford Health System is both ethical and socially responsible. it ensures that Henry Ford Health System is ethical, but not necessarily socially responsible. it ensures that Henry Ford Health System is socially responsible, but not necessarily ethical. it was trying to save money.
a
The Johnson & Johnson Credo acknowledges the company's responsibility to users of its products, its employees, the community, and its stockholders. its stockholders first, its managers, its employees, and its suppliers and vendors. domestic markets, other countries in the developed world, and finally countries in the developing world. users of its products, the researchers who develop the products, regulators, and its stockholders. doctors, nurses, insurance companies, and users of its products.
a
The U.S. Federal Trade Commission created the Do Not Call Registry to curb problems with unwanted telephone solicitations. Which of the following was NOT one of the results? Honest telemarketers found it easier to reach customers. Dishonest telemarketers found it relatively easier to get through. Consumers received fewer telephone calls. Companies were forced to move away from telemarketing approaches. All of these were results.
a
The ability of marketers to use mobile applications, Facebook, and Twitter to more effectively target and reach their customers is an example of which microenvironmental factor? technological advances the political/regulatory environment culture economic environment natural environment
a
The political/regulatory environment comprises political parties, governmental organizations and legislation and laws. citizens. interest groups. for profit and nonprofit businesses. international influences.
a
Though Asian Americans comprise only 3 percent of the U.S. population, they represent the fastest growing minority population. the easiest minority group to access. a large proportion of the minorities in the Midwest. a uniform group of consumers with a common language and cultural background. all of these
a
Virgin Atlantic hosts a service called Taxi2 to make it easier for passengers to share rides from the airport to their destination at a lower cost. In this way, Virgin Atlantic is responding to the social trend of thrift. health and wellness concerns. greener consumers. privacy concerns. a time-poor society.
a
When Johnson & Johnson removed all Tylenol from the shelves after some containers were tampered with, poisoning and killing seven people, the company sacrificed short-term profits for long-term credibility. was forced to do so following extensive consumer outcry. was ordered to do so by the Food and Drug Administration. felt that nothing could stop Tylenol from losing most of its customers. developed plans to sell the returned Tylenol bottles in less developed countries.
a
When McDonald's opened its fast food restaurants in European locations, it had to modify its product offering primarily due to differences in country culture. regional culture. agricultural artifacts. cultural development. counter-cultural artifacts.
a
When Pepsi reduced the saturated fat content in its Frito-Lays Ruffles potato chips to join forces with the American on the Move (AOM) program, what stakeholder category was this combined effort targeting? Customers Employees The marketplace Society The corporation
a
When a firm considers its overall objectives and considers the type of business it is in, it is engaged in which of the following steps of the marketing planning process? Defining the mission Conducting a situation analysis Identifying and evaluating opportunities Implementing the marketing mix Evaluating performance
a
When an accounting firm provides an online training module showcasing real-life decision lapses and their negative effect on the company, it is trying to encourage what type of behavior from its employees? correct ethical strategic formal casual secretive
a
When an electronics company sells its global positioning systems to a car manufacturer, it is engaged in _____ marketing. B2B B2C C2C A2B C2B
a
When positioning products relative to competitors' offerings, firms typically are most successful when they focus on opportunities: that build on their strengths relative to those of their competitors. for diversification. in international markets. where value-based pricing can be ignored. where customer excellence can be substituted for product excellence.
a
When you register your telephone number with the Do Not Call Registry, you are responding to a need for privacy. enhanced information flow. lower phone bills. marketing contact. tactical communication skills.
a
_____, also known as Millennials, constitutes more than 60 million members in the United States alone and were born between 1977 and 2000. Generation Y Generation X Baby Boomers Generation M Generation Z
a
32. Marketing enriches society by focusing solely on maximizing profits. sponsoring charitable events. recognizing that the firm can do very little by itself, and so it should stay focused on its own core competencies. facilitating the smooth flow of goods through the supply chain. coordinating marketing functions with other functional areas in the company.
b
A firm relies on a wide variety of vendors to make and distribute its products. Manufacturers buy raw materials from suppliers, use shipping companies to transport finished goods to multiple locations, and establish relationships with the retailers who sell them to consumers. Put all these businesses together, and you have a marketing plan. supply chain. value proposition. marketing mix. social marketing platform.
b
ABC Company knew that its customers were interested in environmentally friendly business practices, so it began marking all of their products as environmentally friendly because they were made with all natural ingredients, even though ABC's plant was one of the worst polluters in town. The new term for this practice is deceptive advertising. greenwashing. environmental exploitation. virtual greening enviromarketing.
b
Advertising guidelines stating that companies cannot link unhealthy foods with cartoon and celebrity figures is geared toward which social trend? thrift health and wellness concerns greener consumers privacy concerns a time-poor society
b
Apple's iPad is an example of which of the following types of marketing offerings? Innovation Goods Services Ideas Promotions
b
By paying close attention to customer needs and continuously monitoring the environment in which it operates, a good marketer can avoid cognitive dissonance. identify potential opportunities. implement just-in-time marketing promotions. create new demographic groups. all of these
b
Deceptive advertising and promotion of inferior products are examples of __________ ethical issues. accounting marketing social finance economic
b
During the market-oriented era a good product would sell itself. the customer was king. marketing was more important than production. advertising and personal selling were emphasized to make the sale. firms focused on value.
b
E-books, in addition to being an alternative product form, provide __________ value creation since they can be downloaded via the Internet immediately when they are needed. product place promotion price primary
b
Every winter, resort managers in Myrtle Beach, South Carolina, check the exchange rate between the U.S. dollar and the Canadian dollar. In recent years, the exchange has changed from approximately $0.65 Canadian dollars per U.S. dollar, to approximately equal value of both currencies (i.e., $1 Canadian is worth about the same as $1 U.S.). These resort managers should expect more South Carolinians visiting Canada. more Canadian visitors. more South Carolina visitors. more visitors from elsewhere in the U.S. no change in the profile of their visitors.
b
H&R is a small, local heating and air conditioning business. The area military base is a potential source of growth, and H&R already installs and services the type of equipment the military would require, but it is difficult to get established as a certified government contractor. H&R is considering a ____________ growth strategy. product proliferation market development market penetration diversification product development
b
If Starbucks opens stores in major Chinese cities, this is an example of which of the growth strategies? Product development Market development Market penetration Diversification Micromarketing
b
In BCG portfolio analysis, products in low-growth markets that have received heavy investment and now have excess funds available to support other products are called: stars. cash cows. question marks. dogs. anchors.
b
In using the ethical decision-making framework, a firm should consider the impact of its actions on its retired and current employees, suppliers, and customers—otherwise known as the firm's stockholders. stakeholders. franchisers. corporate partners. shareholders.
b
Janice was disturbed to find that the real estate company she had just started working for did not have a(n) __________, the starting point for creating a strong ethical climate. ethical behavior seminar set of ethical values employment contract social responsibility program ethical activity bonus
b
Jenny, the delivery and sales representative for a beer distributor, is calling on a retailer and sees the shelves are almost empty. An unexpected sporting event held nearby resulted in a huge increase in sales. She calls her company's distribution manager and requests a special delivery for her customer. Jenny is providing the important marketing function of advising production on how much product to make. alerting the logistics department when to ship products. advising the customer about new products and markets. identifying opportunities to expand. synthesizing and interpreting sales, accounting, and customer-profile data.
b
Many corporations are shifting from defined benefit to defined contribution retirement programs. When considering changes to retirement programs, the primary stakeholders are the shareholders. employees. customers. marketing managers. competition.
b
Marketers know that, compared to high school graduates who are working full time, college students will earn less over their working lifetime. spend their disposable income differently. are less likely to buy textbooks. have almost identical spending patterns. are more likely to drink beer and less likely to drink wine.
b
Rather than being just a random activity, good marketing requires _____ in determining appropriate actions to produce sound decisions. corporate governance thoughtful planning short-term goals a profit orientation a win-lose attitude
b
Rock-Bend Company is considering buying out a competing firm and closing most of the competitor's factories. The firm has identified the various stakeholders and their issues and gathered the available data. Everyone with an interest in the issue has engaged in brainstorming and evaluation of alternatives. Management reviewed and refined the alternatives, and then chose a course of action. If the managers are not confident about the decision, they should lower their offering price for the competing firm. reexamine their alternatives. consult customers. trust their instincts and move forward. choose the least risky option.
b
SWOT analysis is typically conducted during which step of the marketing planning process? Defining the mission Analyzing the situation Identifying opportunities Implementing the marketing mix Evaluating performance
b
Some companies have been accused of taking advantage of the current social trend of green marketing, positioning their products as environmentally friendly when this may not actually be the case. This is called fake greening. greenwashing. greenbaiting. green puffery. red marketing.
b
The Ethical Decision-Making Framework includes all of the following steps EXCEPT identify issues. promote the firm's corporate social responsibility efforts. gather information and identify stakeholders. brainstorm and evaluate alternatives. choose a course of action.
b
The Toyota Camry is one of the best-selling family sedans in the USA. Sales in this particular market have been growing slowly, if at all, in recent years. According to BCG Product Portfolio Analysis, the Toyota Camry would be considered a: star. cash cow. failure. question mark. dog.
b
The _____ consists of product, price, place, and promotion as components of a firm's offering. marketing exchange marketing mix channel of distribution customer franchise marketing plan
b
The firms that work along with the focal firm to provide goods and services to consumers are viewed as cultural cohorts. corporate partners. cartels. cooperatives. customers.
b
The first generation of "latchkey" children, known as _____, includes those born between 1965 and 1976. Gen Yers Gen Xers Baby Boomers Digital Natives Millennials
b
Through which of the following marketing mix variables do companies capture value from consumers, thus generating revenue? Product Price Promotion People Place
b
Top-level managers must establish and uphold clearly articulated ethical standards to get at the roots of ethical conflict. The root of this conflict typically involves differences between male and female employees. competing values of employees. opportunistic employees. disputes between management and labor. worshipping the almighty dollar.
b
Vashon, a manager at a marketing research firm, is trying to determine if his firm was acting ethically when it conducted its latest study. In doing so, he is evaluating whether or not the research respondents were told the real purpose of the study before proceeding. This involves which step of the ethical decision-making framework? Taking evasive action Identifying issues Gathering information and identify stakeholders Brainstorming alternatives Choosing a course of action
b
When an optical center provides eye exams and new contact lenses as its offering, it is an example of which the following combinations? Services and ideas Goods and services Needs and wants Programs and philosophies Tactics and strategies
b
When companies like Toyota develop different models of vehicles to meet the unique wants and needs of different groups of consumers, they are involved in: a SWOT analysis. segmentation. product placement. market development. diversification.
b
When firms are applying an ethical framework for making decisions in a questionable situation, the first step is to take evasive action. identify issues. gather information and identify stakeholders. brainstorm alternatives. choose a course of action.
b
Which of the following is NOT a question that might be used on an ethical decision-making metric? Would I want the person I admire most to see me doing this? Would I be able to profit in some way from this action? Would I like to be on the receiving end of this action? Will I be able to look at myself in the mirror and respect the person I see there? Would the person I admire the most engage in this activity?
b
Which of the following is an accurate statement about corporate social responsibility? Firms that engage in ethical practices are always socially responsible. A firm's employees must engage in ethical practices in order to be socially responsible. Socially responsible firms do not automatically engage in ethical practices. Firms consider ethics and social responsibility to be unrelated concepts. Firms are not socially responsible because consumers will not pay more for it.
b
Which of the following is one of the core practices among value-oriented marketers? Keep information confidential, not sharing it among the firm's different departments. Constantly measure benefits that customers receive against the costs of offerings. Maintain a transactional orientation in the seller-buyer relationship. Manage the relationships among employees. Consistently sell products below the cost of production.
b
Which of the following is the best example of corporate social responsibility affecting the marketplace? A company ensures a safe working environment for its employees. An industry leader adopts environmentally-friendly production practices and other companies in the industry follow suit. A company respects the privacy of the customers who shop at its online store. A firm spends time and energy engaged in activities that will improve the overall community. A firm focuses its efforts on developing outreach programs aimed at their employees' families.
b
Which of the marketing mix elements corresponds to what the buyer gives up in the marketing exchange? Product Price Promotion Distribution Place
b
Your text describes the macroenvironmental factors that operate in the external environment by which acronym? RFID CDSTEP CCC GEN X SWOT
b
Zappos, an online seller of shoes and other apparel, has as its central philosophy taking excellent care of its customer base so that they will repeatedly purchase from the company. Zappos is seeking to achieve a sustainable competitive advantage through: product excellence. customer excellence. operational excellence. locational excellence. cost excellence.
b
_____ are the younger edge of Gen Y who have never lived without the Internet or easy access to cell phones. Baby Boomers Tweens Technos Digital Natives Millennials
b
A group that sponsors bike helmet poster contests for children to promote bicycle safety is providing which of the following marketing offerings? Services Goods Ideas Innovations Promotions
c
After World War II, the birth rate in the United States rose sharply, resulting in a group known as Generation Y. Generation X. the Baby Boomers. the Millennials. Generation Z.
c
After a firm has conducted a SWOT analysis, it would typically progress to the next step of the marketing planning process, which is: defining the mission. analyzing the situation. identifying opportunities. implementing the marketing mix. evaluating performance.
c
An important economic factor is _____, which refers to the persistent increase in the prices of goods and services. a recession deflation inflation price gouging gross domestic product
c
Anupam's company manufactures industrial ladders. He is concerned that consumers who do not understand ladder safety will purchase these extra-tall ladders and injure themselves. During which phase of the strategic marketing planning process should this issue be addressed? Control Planning Implementation Design Ethics
c
As noted in your text, which of the following ranks as the top unethical behavior by employees as reported by chief marketing officers? misrepresenting company earnings withholding information that could hurt the company's image participating in misleading or deceptive sales tactics conducting false or misleading advertising misrepresenting company sales figures
c
Astute marketers recognize that the increasing disparity of income between upper- and lower-income groups will create inflationary expectations. will disappear as ethnicity becomes a stronger cultural determinant. creates opportunities to provide value to each group. will vanish once the recession ends. is attributable to technological expertise of immigrant groups.
c
At the most basic level, marketing involves _____ between the buyer and the seller. While being better off is the goal, it is not always at the "basic" level. respect promotions exchanges persuasion information
c
Because it has been at the center of success for many companies, marketing is considered a cornerstone of ethics. supply chains. entrepreneurship. freedom of speech. the gross national product.
c
Being socially responsible is generally considered a good thing to do only if a company is profitable. inappropriate for most firms in today's challenging markets. beyond the norms of corporate ethical behavior. a necessary part of every firm's strategy. the responsibility of corporate-sponsored foundations who can effectively concentrate a firm's good deeds.
c
Compared to the average company, firms with strong ethical climates tend to employ more business development consultants. offer more goods and services. be more socially responsible. invest more in sales training software. have higher turnover.
c
Even when large discount retailers enter a market, a few small, local retailers survive and prosper. These small retailers have probably developed a(n) ________ that allows them to survive. advertising campaign plan to evaluate results sustainable competitive advantage set of performance metrics SWOT analysis
c
Honda developed its CR-Z hybrid model to a distinct segment of consumers as a fun, green, sporty hybrid that stands out as being different from other hybrid models. This is an example of which of the following? Market development Product placement Market positioning A situation analysis A strategic business unit
c
Imagine that you are in a convenience store choosing your favorite "comfort" food instead of being in a classroom taking this test. You might notice the packaging, colors, labels, even the fonts used on labels. All of these efforts are part of the marketer's: value-based promotions. market segmentation. positioning strategy. customer excellence strategy. target market.
c
In New England, soft drink beverages are called "soda" while in many other parts of the country they are called "pop." This is an example of the effects of demographics. country culture. regional culture. cultural development. cultural artifacts.
c
In an attempt to increase sales during a lagging economy, Macy's has increased its advertising and sales promotions for its current products to stimulate sales in its current markets. Which of the following growth strategies is Macy's employing? Product development Market development Market penetration Diversification Micromarketing
c
In value-based marketing, promotion communicates the: targeted solution. operational excellence strategy. value proposition. relative market value. target market definition.
c
Josie feels pressure to increase sales, so she decides to purposely mark-up the price on a new shipment of sweaters and then immediately put them on sale. Even though she is deceiving the customer, Josie justifies her decision by knowing that management will be pleased with the increase in revenue. However, Josie's decision may have serious consequences for the company in the long term. What does your text suggest as a way to avoid the consequences that can result from such behavior? making sure that each employee takes an "ethical behavior test" before being hired making sure management does not burden employees with unrealistic sales goals making sure the short-term goals of each employee are aligned with the long-term goals of the firm having a disclaimer at the store entrance that lets customers know that "prices are subject to change" having a company policy that rewards employees for bringing unethical behavior to management's attention
c
Late in the day on September 11, 2001, the day of the World Trade Center attacks, Americans purchased all the American flags Walmart stores had available, nationwide. These purchases were indicative of regional culture. generational cohort characteristics. country culture. a red/blue marketing campaign. urban demographics.
c
Many small businesses whose competitors are national franchises advertise "we are locally owned" or "we have been here since 1951." This is part of these firms': business mission. market segmentation strategy. positioning strategy. customer excellence strategy. target market.
c
Market penetration involves a ______ market; market development involves a ______ market. new; current new; new current; new current; current current or new; new
c
Marketers involved in supply chain management are constantly balancing the goal of promotional effectiveness against ethical advertising standards. the problem of price maximization against cost efficiency. the goal of minimizing costs against satisfying the service levels customers expect. the desire to achieve against the need for a stable source of supply. the goal of efficiency against the price charged by competitors.
c
Marketing was once an afterthought to accounting. economics. production. finance. none of these—marketing was never an afterthought.
c
Multinational corporations are recognizing their responsibility to the people who make their products when public attention might embarrass the corporation. if the local government suggests that the company pay bribes to officials. even if they aren't their employees. unless another firm actually employs the workers. when it suits them financially.
c
Part of the social trend toward health and wellness is a concern about the increasing degree of obesity in the United States. In addition, trend-watchers are noting the increasing popularity of flu shots. high-carbohydrate diets. yoga. cooking shows on TV. all of these.
c
Red Box uses the _____ element of the marketing mix to make movie rentals available for customers when and where they need them. product promotion place price premium
c
Suppose that a car wash offers a 20% discount to its customers if they return for a second car wash within a week. This is an example of which growth strategy? Product development Market development Market penetration Diversification Micromarketing
c
Taking steps to encourage customer loyalty is one way to: test new products. promote efficiency. sustain an advantage over competitors. develop new pricing strategies. improve supply chain effectiveness.
c
The Harvest County School Board is concerned about deteriorating school facilities, combined with a shrinking budget. The board began by studying the issue, and then identified parents, children, teachers, staff, and taxpayers as groups who have a vested interest in the problem. The school board has listened to each group's concerns. In the Ethical Decision-Making Framework, its next action should be to identify issues of concern to lawmakers. assess impact of its actions beyond the classroom. engage in brainstorming and evaluate alternatives. choose a course of action. evaluate the legal ramifications.
c
The ____ addresses how a product will be designed, how much it should cost, how it will be promoted, and how it will get to consumers. marketing mix competitive advantage marketing plan customer franchise marketing exchange
c
The __________ generational cohort is characterized by the question, "Why shop at Neiman Marcus when Kohl's and Target are just as good, cheaper, and more convenient?" Baby Boomers Generation W Generation X Generation Y Generation Z
c
The primary strength of Pepsi is the manufacture, distribution, and promotion of carbonated beverages. These describe which factor of a Pepsi consumers' immediate environment? competitive intelligence corporate partners company capabilities competitors culture
c
The social trend of _____ is causing consumers to question whether or not firms are truly operating with consideration for the environment or simply changing marketing efforts in order to appear that they are. thrift health and wellness concerns greener consumers privacy concerns a time-poor society
c
Toyota developed the Scion brand to appeal to young car buyers who might not want to purchase cars from the brand their parents own. Young car buyers represented Scion's: segmentation method. market positioning. target market. situation analysis. mission statement.
c
Understanding consumers' _____ is fundamental to marketing success. family connections rituals and habits needs and wants educational attainment physical locations
c
Walmart is known for keeping its costs low as possible, partly by developing strong relationships with its suppliers. Based on this information, what is Walmart's primary source of sustainable competitive advantage? Product excellence Customer excellence Operational excellence Locational excellence Cost excellence
c
What phase of the strategic marketing planning process would you find marketers including ethical statements in the firm's mission or vision statements? prototype preplanning planning implementation control
c
When a firm evaluates likely reactions to its marketing activities, it is attempting to understand what aspect of the immediate environment? the culture the consumers its competitors its communicators its corporate partners
c
When a pharmaceutical company develops a new medication, it typically applies for a patent in order to prevent competitors from developing copycat products for several years. Pharmaceutical companies apply for patents in order to establish: an operational excellence macro strategy. a market penetration growth strategy. a sustainable competitive advantage. an efficient supply chain. all of these.
c
When auditing expenses claimed by the university president, the auditors found extravagant spending on $1,000 per night hotels, banquets, and gourmet restaurants. The president was fired, alumni donations declined, and staff members—who were disturbed by the extravagance while staff salaries were frozen—quit their jobs. This example illustrates that universities are more corrupt than companies. that the extravagant spending should have been kept quiet to minimize damage to the university. that the impact of unethical actions can affect the organization in unanticipated ways. the need to identify issues. the lack of information needed to make ethical decisions.
c
When marketers communicate the value proposition, it involves the _____ element of the marketing mix. product price promotion place policy
c
Which of the following frameworks for analysis is comprised of a company's capabilities, competitors and corporate partners? Economic factors Environmental factors Immediate environment Intermediate environment Macroenvironmental factors
c
Which of the following is one of the four major growth strategies? Portfolio analysis Micromarketing Product development Market leadership Product proliferation
c
Which of the following represents the primary ethical dilemma for marketing managers of publicly held firms? Making the most money possible Considering consumers as more important than stockholders Balancing stockholder interests with the needs of society Focusing on the short-term needs of society Keeping the most talented employees honest
c
With regard to the Ethical Decision-Making Metric, which of the following questions best represents "the Transparency Test"? Would I want the person I admire most to see me doing this? Would I want to see the action I am about to take on the front page of the local paper? Could I give a clear explanation for the action I'm contemplating that would satisfy a fair moral judge? Would I like to be on the receiving end of this action? Would the person I admire most engage in this activity?
c
A SWOT analysis involves an assessment of factors internal to the company, which include ______ and factors outside the company, which include ______. opportunities and threats; strengths and weaknesses strengths and weaknesses; opinions and thoughts substantial winnings; opportunities and threats strengths and weaknesses; opportunities and threats a strategic worldview; options and tactics
d
A key attribute of services that differentiates it from a good is that a service it is ___________. easy to market valuable tangible intangible less expensive
d
Applying sound ethical principles in marketing situations is a realistic goal only for small companies. is not an important issue. is impossible for most companies. must be a continuous and dynamic process. is counter productive to long-term profitability.
d
As an overall goal, ______ involves finding ways in which a company can best use its strengths to take advantage of attractive opportunities in the environment in order to outline specific actions to take to appeal to potential customers. establishing a mission defining a vision creating a values statement marketing strategy a strategic audit
d
Consumers that have similar purchase behaviors because they have shared experiences and are in the same stage of life are known as a _____ cohort. lifestyle demographic relational generational situational
d
Firms that take voluntary actions to address the ethical, social and environmental impacts of its business operations are involved in a SWOT analysis. unethical business practices. strategic planning. corporate social responsibility. covert operations.
d
Ford Motor Company engages in partnerships with its suppliers, component part makers, unions, transport companies, and dealerships—collectively known as its investors. customers. competitors. corporate partners. customer franchisors.
d
How might Starbucks ensure that it behaves in a socially responsible way towards members of its supply chain? By paying its employees minimum wage as required by law. By using cups made from recycled paper. By offering healthy drinks and snacks in its stores. By purchasing coffee beans from suppliers who pay coffee growers a fair price. Social responsibility isn't relevant where channel partners are concerned; it has to do with serving society as a whole.
d
In recent years, cellular (mobile) service providers have worked hard to eliminate "dead zones," providing customers with service wherever they traveled. By working to make the network available in more locations, cellular service companies were focusing on __________ value creation. product price promotion place financial
d
In the _____ phase of marketing strategy, marketers must determine whether they truly have acted in an ethical and socially responsible manner. planning evaluation implementation control monitoring
d
In the _____ phase of the strategic marketing planning process, the tone of the decision-making questions are centered around the notion of "should we?" prototype preplanning planning implementation control
d
In the early 1990s, the inflation rate in Mexico was twice the rate in the United States, but the Mexican monetary authorities kept the peso/dollar exchange rate almost constant. For Mexican consumers incomes rose dramatically. interest rates fell to compensate for increased inflation. Mexican products became less expensive while U.S.-made products became comparatively more expensive. Mexican products became more expensive while U.S.-made products became comparatively less expensive. all of these
d
Leah is the marketing manager for an electronics company. While on vacation in Ecuador, she visited electronics stores in the major malls in Quito, the capital city. Most of her company's products were available, except for smart phones. When she returned to work, she mentioned this observation to her international sales manager. Leah was providing the important marketing function of advising production on how much product to make. alerting the logistics department when to ship products. engaging customers, developing long-term relationships. identifying opportunities to expand. synthesizing and interpreting sales, accounting, and customer-profile data.
d
Lionel is asked to conduct an STP analysis for his firm. The first step he should perform in this analysis is to: develop a business mission statement. choose the best target markets. reposition existing segments. divide the marketplace into subgroups. conduct a SWOT analysis.
d
Over the last few months, Juan and his colleagues have analyzed the current business situation, and then identified target markets for his firm's personal care products. Finally, they developed the products, prices, distribution and promotion that should appeal to each of those target markets. In doing so, Juan has also identified what he believes is an advantage his competitors cannot match. Juan and his colleagues have been developing: a business mission statement a strategic vision team-building exercises a marketing strategy competitive assessments
d
Products that may damage the environment, the use of sweatshop labor, and the marketing of dangerous products are examples of internal, controllable marketing issues. issues that don't even need to be discussed in ethical firms. marketing issues but not ethical issues. marketing ethical issues. ethical issues but not marketing issues.
d
Recently, it has become important for value-oriented marketers to _____ with customers. move from a transactional orientation to a transitional perspective manage transactions more efficiently reduce the number of transactions to improve relationships move toward a relational perspective from a transactional orientation consider how they can reduce their interactions
d
Sodexo is a corporation that manages school cafeterias, university dining halls, mess halls at military bases, concession stands at sports arenas, and other large-scale food service facilities. If Sodexo were to begin to sell individual frozen meals in supermarkets, it would be pursuing a __________ growth strategy. product development market development market penetration diversification product proliferation
d
Starbucks, Dunkin' Donuts, and McDonald's all strive to provide good coffee and pastries to their customers. But despite these similarities, each firm selects its own target market, designs its own marketing mix, and chooses its own basis for building competitive advantage. These individual choices are directly related to each firm's: competitive focus. consumer franchise. market leadership. marketing strategy. competitive direction.
d
The evolution of marketing progressed along the following continuum: sales, marketing, value-based marketing, production. marketing, value-based marketing, production, sales. value-based marketing, production, sales, marketing. production, sales, marketing, value-based marketing. sales, value-based marketing, marketing, production.
d
The goal of customer relationship management is to manage every customer relationship differently. manage every customer relationship to maximum short-term profitability. eliminate customers who are profitable, but not highly profitable. identify and build loyalty among a firm's customers. generate relationships with all of a firm's customers.
d
The objective of the last step of the ethical decision-making framework is to weigh various alternatives and choose the most appropriate action to take. What action should be taken if the marketer is not confident about that decision? Persuade executives that it is the only solution. Develop a plan to confuse stakeholders. Go forward with that alternative in spite of the concerns. Reexamine other alternatives. Do nothing.
d
The recent economic downturn benefited some fast food chains and inexpensive restaurants as consumers "traded down" from more expensive establishments. In a SWOT analysis, the weak economy represented a(n) ______ for these low-price restaurants. strength strategy weakness opportunity threat
d
Trey sells consumer electronics. He knows his customers weigh the costs versus the benefits associated with the different options available. He decides which products to offer and what prices to charge based on the way his customers think. Trey operates in the __________ era. production-oriented sales-oriented market-oriented value-based marketing retailing-oriented
d
When Nike, the prominent athletic shoe manufacturer, branched out from selling only athletic shoes to also offering athletic clothing and gym bags, what type of growth strategy did this represent? Market penetration Product penetration Market development Product development Diversification
d
When choosing marketing communication methods, the most effective and efficient option depends on: the customers. the value created. the message. all of these. none of these.
d
When considering the use of a radio commercial in England that was designed for U.S. markets, a marketer would likely need to consider which of the following aspects of culture that might be different between the two countries? dress symbols demographics language social trends
d
When managers at auto maker General Motors evaluated the firm's various divisions and chose to close some, including Saturn and Pontiac, it was involved in: product development. demarketing. diversification. portfolio analysis. franchise reevaluation.
d
Which of the following best represents the concept of the "lipstick effect"? People who face increasing stress will often take better care of themselves. Consumers wonder whether or not firms who call themselves "green" actually are. The latest trend among consumers is to cope with a lack of leisure time by multitasking. Consumers will treat themselves to small luxuries, but forego larger luxury items. Technological advances are occurring so rapidly, consumers cannot keep up with the latest trends.
d
Which of the following entities is at the center of the marketing environment? The company itself Corporate partners Competitors Consumers Culture
d
Which of the following groups of people are referred to as "Digital Natives"? Gen Y Gen X Baby Boomers Gen Z Millennials
d
Which of the following is NOT a demographic listed in your text that would typically be used to identify consumer markets? age gender race state of residence income
d
Which of the following is an example of a marketing metric that might be used to evaluate the performance of a company's implementation of its marketing plan? Four Ps (price, product, promotion, place) SWOT analysis (strengths, weaknesses, opportunities, threats) STP (segmentation, targeting, positioning) GM (gross margin) SBU (strategic business unit)
d
Which of the following is one of the major considerations involved when a company develops its marketing strategy? Analysis of human resource policies Determination of sustainable business practices Review of all corporate standards Identification of target markets Summary of executive compensation
d
A buyer's representative in a real estate purchase was asked by her customer, "Is this a fair offer?" She responded, "You are only trying to buy one house. Do you want to offer more money than you have to?" The buyer's representative recognized that in most situations, home buyers are engaged in relationships. subterfuge. collective bargaining. prestige purchases. transactions.
e
A former advertising campaign for Geico Insurance used the slogan, "So easy, even a caveman could do it" to emphasize the ease of buying insurance on Geico's website. This campaign was part of Geico's: mission statement. market segmentation plan. product strategy. customer excellence strategy. positioning strategy.
e
A friend of yours comments, "I'm starting my own business. I have a perfect product that no one else can touch, but I have no use for marketing. That's just for the mega-corporations." Which of the following arguments would you NOT use in talking about marketing? Marketing helps new ventures organize, operate, and assess risk. Marketers help address unmet customer needs, regardless of the size of the firm. Marketing focuses on the product, but only as one element. Three other areas are Promotion, Price, and Place. Marketers are skilled at communicating the value of the product to potential customers. Marketing isn't essential now, but it will be in a year or two when the product takes off.
e
A national hotel chain engages in conversations with its customers through Facebook and even allows them to book their hotel reservations through the Facebook page. This is an example of marketing using mobile media. traditional methods. unethical means. the supply chain. social media.
e
After a firm has carefully considered all relevant alternatives to address an ethically difficult situation, the next step would be to _____ to bring about the best solution. take evasive action identify issues gather information and identify stakeholders brainstorm alternatives choose a course of action
e
After a firm has identified the various stakeholders and their issues and gathered available data related to an ethical decision making situation, all parties relevant to the decision should engage in legal discourse. a vote, with the majority deciding the best course of action. reidentification of issues. choosing a course of action. brainstorming and evaluation of alternatives.
e
Christie has just started with a travel agency, and she has been offering clients and prospective clients a range of packaged tours. She is concerned, because the commissions she is earning on her sales are lower than she had hoped. Her colleague Peter, who has been with the agency for several years, is having a great deal of success by working closely with the clients, seeking their ideas, and building customized tour packages for each one based on their suggestions. Peter's approach is based on transaction-oriented marketing. premium pricing. his seniority at the firm. special incentives from tour operators. value cocreation
e
Crest toothpaste targets different consumer _____ by offering different types of toothpaste for smokers than it does for children based on their differing needs and wants. fragments geographics modules exchanges segments
e
Culture, demographics, social issues, technological advances, economic situations, and the political/regulatory environment are all factors that make up which of the following frameworks of analysis? Economic factors Environmental factors Immediate environment Intermediate environment Macroenvironmental factors
e
Darwin's company is facing a difficult ethical issue. The firm has identified the various stakeholders and their issues and gathered the available data. Everyone with an interest in the issue has engaged in brainstorming and evaluation of alternatives. Management reviewed and refined the alternatives. It should now choose the course of action that maximizes profits. creates the least possible publicity. involves the fewest employees. minimizes costs. seems best after weighing the concerns of all stakeholders.
e
Dasani bottled water has created a valuable brand image with consumers. This is an integral part of the ____________ component of the marketing mix. price place planning people product
e
Firms achieve ___________ through efficient procedures and excellent supply chain management. customer excellence locational excellence customer loyalty value-based pricing operational excellence
e
Firms make trade-offs between product and ______ to give customers the best value. promotion positioning place planning price
e
For some products, marketers can combine education level with other data like occupation and income to obtain a sense of consumers' regional culture. consumers' value sensitivity quotient (VSQ). the educational value equation. complete profiles of individual consumers. useful predictions of purchase behavior.
e
Greta is the marketing director for the Pump-N-Slurp convenience store chain. She recently developed a marketing plan for the firm and presented it to company executives. Which of the following did Greta probably include in Pump-N-Slurp's marketing plan? Specific plans for each of the four Ps. Marketing objectives. Opportunities for the firm. Perceived weaknesses of the firm. All of these.
e
If a firm makes sure a product is available for purchase when and where the customer wants it, which element of the marketing mix is involved? Product Price Promotion People Place
e
In recent years, as consumers have become more concerned with nutrition, McDonald's has come under fire for the unhealthy nature of many of its menu items. In a SWOT analysis, this is an example of a(n): strength. strategy. weakness. opportunity. threat.
e
Marketing involves all of the following EXCEPT conducting exchanges. satisfying customer needs and wants. creating value. efforts by individuals and organizations. production scheduling.
e
New real estate disclosure regulations require sellers and their agents to tell prospective buyers about any existing problems. Previously, they were only expected to answer buyers' questions. The new regulation addressed the marketing ethical problem of high-pressure sales techniques. deceptive pricing tactics. misrepresentation of company data. misleading advertising. withholding information.
e
Suppose that a major auto maker like General Motors determined that it would close down divisions that were in low-growth markets and that had low relative market shares. According to BCG Product Portfolio Analysis, General Motors would be selecting divisions in the ______ category for closure. stars cash cows clunkers question marks dogs
e
The AMA's Code of Ethics indicates the basic ethical values marketers should aspire to include maximizing stockholder wealth. health, wealth and the pursuit of happiness. individual freedom and the pursuit of the American dream. self-respect, concern for nature, animal rights, and global peace. honesty, responsibility, fairness, respect, openness, and citizenship.
e
The fundamental goal of marketers when creating goods, services, or combinations of both, is to: defeat the competition. serve all consumers. operate according to government regulations. stimulate short-term sales. create value.
e
The poorest 10 percent of the U.S. population earned an average of _______ in 2010. $49,000 $33,500 $22,300 $10,100 $5,800
e
What tool would a marketing executive use to ensure that he or she has applied all relevant decision-making criteria to assess his or her confidence in having come to a decision that respects the rights and dignity of all stakeholders? A dimensional evaluator The standards of human rights The hierarchy of effects model A stakeholder evaluative model An ethical decision-making metric
e
When Toyota owners began to report problems with sticking accelerator pedals and non-functioning brakes, Toyota at first ignored or rejected the claims. Eventually, the company evaluated the issue. Which of the four steps of the Ethical Decision-Making Framework was Toyota performing when it recalled several of its 2007-2010 models? Assess risk Identify issues Gather information and identify stakeholders Brainstorm and evaluate alternatives Choose a course of action
e
When referring to "exchange," marketers are focusing on the location where products and services are traded. the price charged, adjusted for currency exchange rates. location-based tactics for creating value. promotional offers designed to stimulate barter. the trading of things of value.
e
Which of the following is an accurate statement about the relationship between consumers/investors and companies engaging in corporate social responsibility? Consumers like the idea of companies being socially responsible, but they are unwilling to pay more for products to ensure that companies act in an ethical manner. Investors tend to shy away from companies that invest resources into CSR programs. Consumers want the lowest price for a product, and do not concern themselves with corporate social responsibility. Investors are interested in a company's "bottom-line" and do not want ethics and social responsibility to factor into that equation. Consumers increasingly want to purchase products and services from companies that act in socially responsible ways.
e
Which of the following represents the best approach for a firm to take regarding ethics and social responsibility? The firm should not worry about implementing programs that are socially responsible or about employees acting in an ethically responsible manner. The programs implemented by a firm are not as important as the employees acting in an ethically responsible manner. Employees acting in an ethical manner are not as important as the firm implementing socially responsible programs. Spending a lot of money on a marketing campaign will fool people into thinking a firm is socially responsible. The firm should implement programs that are socially responsible and employees should act in an ethically responsible manner.
e
_____ involves a strategic effort by firms to supply customers with environmentally friendly merchandise. Greenwashing Eco-marketing Greener advertising Eco-selling Green marketing
e
Demographics are transmitted by words, literature, and institutions from generation to generation.
f
Ethos Water donates 2 percent of its profits to children in need of clean water. This action demonstrates that Ethos Water is a firm with a strong ethical climate.
f
Firms decide how to allocate resources to their various products and services during the STP step of the marketing planning process.
f
If a U.S. clothing brand buys from overseas suppliers who manufacture clothing using child labor, this is the supplier's problem, and the U.S. company has no reason to be concerned.
f
In the immediate environment, the competition has no effect on consumers.
f
Marketing is an activity that only large firms with specialized departments can execute.
f
Marketing's fundamental purpose is to create value by developing a variety of offerings that will earn income for the company.
f
One of the social trends discussed in the text that is shaping consumer values in the U.S. and around the world is a concern about the vast disparity in income.
f
Product penetration is one of the four major growth strategies.
f
Socially responsible marketing is defined as a strategic effort by firms to supply customers with environmentally friendly merchandise.
f
The components of a SWOT analysis are Strengths, Weaknesses, Opportunities and Tactics.
f
The four Ps include product, promotion, planning, and place.
f
The idea that corporate social responsibility is unnecessary because the goal of any corporation is simply to make a profit has been thoroughly discredited and is no longer supported by economists or business people.
f
The marketing planning process always proceeds sequentially through the five steps.
f
Tweens rarely use any type of technology.
f
When analyzing the immediate environment and the macroenvironment, marketers must be careful to keep the firm at the center of all analyses.
f
284. Demographic profiles of customers provide an easily understood "snapshot" of the typical consumer in target markets.
t
A roofing company agreed to complete a job in one week and collected a 50 percent deposit, but never showed up to do the job. The same roofing company then donated $6,000 to a local children's hospital. The roofing company could be considered socially responsible.
t
BlendMate, a firm that manufactures high-end blenders, donates $10 per blender sold to a local food bank. This is a form of corporate social responsibility.
t
By 2015, people will access the web more often through smartphones than through laptops and desktops combined.
t
Short-term profitable decisions can cause firms to lose customers in the long run.
t
The term "time-poor society" refers to the lack of leisure time people have today.
t
The three elements of the consumer's immediate environment are the company, competition, and corporate partners.
t
When Marcia decided she couldn't afford to take a vacation this year, she went to the mall and bought herself a bottle of her favorite expensive perfume instead. This behavior is referred to as the "lipstick effect."
t
Which of the following factors, listed in a situation analysis for a major U.S. auto manufacturer, is the best example of an opportunity? The factory that manufactures a new, popular car cannot build enough vehicles to meet the demand, while other factories have excess capacity. Recent consumer studies have indicated that Chinese consumers prefer American cars. A New York law firm has filed a $10 million class action suit against the company on behalf of car owners whose gas tanks exploded. Due to outdated engine technology, the company's cars get lower gas mileage than those of major competitors. The company has lower manufacturing costs than its key competitors, allowing it to sell its cars at low prices.
b
Which of the following is the third step in the strategic marketing planning process? Define the business mission. Identify and evaluate opportunities. None of these. Implement marketing mix and allocate resources. Situation analysis.
b
Which of the following factors, listed in a situation analysis for a major auto manufacturer, is the best example of a threat? The factory that manufactures a new, popular car cannot build enough vehicles to meet the demand, while other factories have excess capacity. Recent consumer studies have indicated that Chinese consumers prefer American cars. A New York law firm has filed a $10 million class action suit against the company on behalf of car owners whose gas tanks exploded. Due to outdated engine technology, the company's cars get lower gas mileage than those of major competitors. The company has lower manufacturing costs than its key competitors, allowing it to sell its cars at low prices.
c
Which of the following marketing mix variables is involved in the capture of value in the marketing exchange? Product Services Price Promotion Place
c
Which of the marketing mix variables represents all the activities necessary to get the right product to the right customer when the customer wants it? Procurement Promotion Place Price Product placement
c
Foursquare is an example of a location-based social media application.
t
In value cocreation, the customer participates in the creation of a good or service, which provides additional value to the customer.
t
It is not always necessary to go through all the steps in the marketing planning process.
t
Margo likes a brand of coffee that is only sold at Starbucks, so she plans her route to work to drive by Starbucks every morning. Margo is being influenced by the "place" element of the marketing mix.
t
Price should be based on the value that the customer perceives.
t
Relative market share is an example of a marketing metric.
t
Strong supplier relations and efficient supply chains help firms such as Walmart to achieve operational excellence.
t
The group of firms that makes and delivers a given set of goods and/or services is called a supply chain.
t
Understanding a customer's needs and wants is fundamental to marketing success.
t
Value is what you get for what you give.
t
When a good or service is promoted, the purpose of the promotion is to inform, persuade, or remind customers.
t
iTunes software is often credited for the success of the Apple iPod MP3 player, because it made the iPod easier to use than competing players, and was difficult for competitors to duplicate. This is an example of a sustainable competitive advantage.
t