Marketing test 2

Understand consumer market

All the individuals and households that buy or acquire goods and services of personal consumption

Which of the following is true of a good marketing information system?

It balances the information that a firm would like to have against what they really need.

When managers glean information from their company's accounting and sales records stored in the company computer system, they are using an internal database.

True

Belief

a descriptive thought that a person holds about something

ethnographic research

a form of observational research that involves sending trained observers to watch and interact with consumers in their "natural environments"

Sample

a segment of the population selected for marketing research to represent the population as a whole

Consumer Market

all the individuals and households that buy or acquire goods and services for personal consumption

A(n) ________ describes a person's relatively consistent evaluations, feelings, and tendencies toward an object or idea.

attitude

GE operates a company trading site where it posts purchasing needs, invites bids, negotiates terms, and places orders. This is an example of a(n) ________.

company buying site

Which of the following is a commercial source of product information?

dealer Web sites

How do companies gain insight about the market?

Effectively manage marketing information from a whole wide range of sources

Lilly's, a furniture retailer, sells low-end furniture and accent pieces that are targeted toward lower-income consumer groups. Lilly's most likely segments the consumer market based on ________ variables.

demographic

primary data

information collected for the specific purpose at hand

Kathy Jenkins is planning to conduct research on consumers' personal care routines. Since the questions are likely to be personal and sensitive, Kathy wants to select a contact method that will encourage respondents to answer honestly. Which of the following contact methods is most likely to best serve Kathy's purpose?

mail questionnaires

When a company interacts one-on-one with large numbers of customers to create customer-unique value by designing products and services tailor-made to individual needs, it is engaging in ________.

mass customization

Rad, a manufacturer of luxury watches, charges a higher price for its products than its competitors. Despite the high prices, the brand is popular among customers for its quality and service in comparison to cheaper alternatives available in the market. In this case, Rad offers a(n) ________ value proposition.

more-for-more

What is the buyer decision process?

need recognition, information search, evaluation of alternatives, purchase decision, post purchase behavior

Marketing information system

people and procedures dedicated to assessing information needs, developing the needed information, and helping decision makers to use the information to generate and validate actionable customer and market insights

What is a marketing information system? How is it used?

people and procedures dedicated to assessing information needs, developing the needs information, and helping decision makers to use the information to generate and validate actionable customer and market insights.

During which stage of the business buying decision process is a buyer most likely to conduct value analysis by carefully studying components to determine if they can be redesigned, standardized, or made less expensively?

product specification

marketing analytics

the analysis tools, technologies, and processes by which marketers dig out meaningful patterns in big data to gain customer insights and gauge marketing performance

Consumer buyer behavior

the buying behavior of final consumers - individuals and households that buy goods and services for personal consumption

Big data

the huge and complex data sets generated by today's sophisticated information generation, collection, storage, and analysis technologies

Culture

the set of basic values, perceptions, wants, and behaviors learned by a member of society from family and other important institutions

market research

the systematic design, collection, analysis, and reporting of data relevant to a specific marketing situation facing an organization

competitive marketing intelligence

the systematic monitoring, collection, and analysis of publicly available information about consumers, competitors, and developments in the marketing environment

Maslow's Hierarchy of Needsd

(level 1) Physiological Needs, (level 2) Safety and Security, (level 3) Relationships, Love and Affection, (level 4) Self Esteem, (level 5) Self Actualization

Stages in the Adoption Process

1. Awareness 2. Interest 3. Evaluation 4. Trial 5. Adoption

Requirements for effective segmentation

1. Measurable 2. Accessible 3. Substantial 4. Differentiable 5. Actionable

What are the steps in the research process? *

1. identify study question 2. select study approach 3. design study and collect data 4. analyze data 5. report findings

Subculture

A group of people with shared value systems based on common life experiences and situations

Attitude

A person's consistently favorable or unfavorable evaluations, feelings, and tendencies toward an object or idea

What are the major factors that influence consumers?*

Cultural, social, personal, psychological

A business buyer typically makes the greatest number of decisions in a straight rebuy situation and the fewest in a new-task situation.

False

Demographic variables are generally more difficult to measure than most other types of variables.

False

Secondary data consist of information collected for the specific purpose at hand.

False

The buying center consists of key decision makers from both the buying organization and the supplier.

False

Vincent Cosmetics decides to launch a cream with a claim that it makes skin "nine times smoother." The claim is based on a study of 30 respondents who used products of other brands as well. However, a second study on a larger sample reveals only a mild correlation between the use of the cream and smoother skin. In these circumstances, which of the following is the most ethical approach that Vincent Cosmetics can follow?

It should report the result as it is, or improve the product to match its claim.

________ is the process of dividing a market into distinct groups of buyers who have different needs, characteristics, or behavior.

Market segmentation

Causal Research

Marketing research to test hypotheses about cause-and-effect relationships

focus group interview

Personal interviewing that involves inviting 6 to 10 people to gather for a few hours with a trained interviewer to talk about a product, service, or organization. The interviewer "focuses" the group discussion on important issues.

What are the steps in designing customer-value driven strategies? Be able to apply each one or identify in examples.

Segmentation Targeting Differentiation Positioning

Which of the following is true of product positioning?

To simplify the buying process, consumers are likely to position products in their minds.

A small increase in consumer demand can cause a large increase in business demand.

True

An effective MIS assesses information needs, develops needed information, and distributes the information to help managers with decision making.

True

CRM analysts use big data and marketing analytics to unearth patterns in customer data.

True

New communications technologies like satellite TV and social media are likely to eliminate the need for markets to be geographically segmented as clusters of countries.

True

The response rate in mail surveys is often very low.

True

Dividing buyers into groups based on their knowledge, attitudes, uses, or responses to a product is called ________ segmentation.

behavioral

Which of the following terms is used to describe a specific mix of human traits that may be attributed to a particular brand?

brand personality

Cultural factors

buyer's culture, subculture, and social class

online marketing research

collecting primary data online through internet surveys, online focus groups, web-based experiments, or tracking consumers' online behavior

Internal databases

collections of consumer and market information obtained from data sources within the company network

Which of the following is not considered a source of competitive intelligence?

competitors' internal databases

Brooke's Boutique plans to launch a new clothing line. For this purpose, the firm first conducts a survey to understand its target audience and identify the demographics of potential buyers. It then conducts experimental research to test whether customers associate discounted prices with lower product quality. Which types of research has the boutique employed in this case?

descriptive followed by causal

If men and women respond dissimilarly to the marketing efforts for a root beer-flavored malt beverage, they are considered ________ market segments.

differentiable

Fred's faith in Asics, his favorite brand of running shoes, makes him consider other offerings introduced by Asics. Fred is not a risk-taker, and he tends to evaluate each new product carefully before adopting it. Fred is an opinion leader in his social networking community and best described as a(n) ________.

early adopter

online focus groups

gathering a small group of people online with a trained moderator to chat about a product, service, or organization and gain qualitative insights about consumer attitudes and behavior

survey research

gathering primary data by asking people questions about their knowledge, attitudes, preferences, and buying behavior

observational research

gathering primary data by observing relevant people, actions, and situations

experimental research

gathering primary data by selecting matched groups of subjects, giving them different treatments, controlling related factors, and checking for differences in group responses

Segmentation variables are usually grouped into four categories:

geographic, Demographic, psychographic, and behavioral

secondary data

information that already exists somewhere, having been collected for another purpose

What is perceptual mapping?*

is a diagrammatic technique used by asset marketers that attempts to visually display the perceptions of customers or potential customers.

Customer relationship management

managing detailed information about individual customers and carefully managing customer touch points to maximize customer loyalty

Which of the following is the right order of the steps that companies generally follow in designing a customer-driven marketing strategy?

market segmentation, market targeting, differentiation, and positioning

Descriptive research

marketing research to better describe marketing problems, situations, or markets, such as the market potential for a product or the demographics and attitudes of consumers

Exploratory Research

marketing research to gather preliminary information that will help define problems and suggest hypotheses

According to Maslow's hierarchy of needs, which of the following is most likely an esteem need?

status

behavioral targeting

using online consumer tracking data to target advertisements and marketing offers to specific consumers