MKT-3000 chapter 2

As noted in the case, the retail coffee market is crowded with large players (like Starbucks, Dunkin' Donuts, and McDonald's) and also smaller independent chains with a more "hip" image. Into which SWOT analysis category does this intensity of competition fit? 1. threat 2. strength 3. weakness 4. opportunity 5. situation

threat

A bundle pricing strategy means that the cost is lower when you buy 1. an assortment of products. 2. more styles of a product. 3. on a regular schedule. 4. more often. 5. more items at once.

5. more items at once.

By offering new products developed by well-known designers to its existing customers, HSN used which growth strategy? 1. market development 2. portfolio analysis 3. diversification 4. product development 5. market penetration

4. product development

HSN focuses its marketing efforts on busy women older than 35 years old who own their homes. This customer group is HSN's 1. key segment. 2. market segment. 3. market position. 4. target market. 5. strategic base.

4. target market

The change in lifestyle that has occurred since its heyday company is an example of a(n) 1. strength. 2. prospect. 3. weakness. 4. threat. 5. opportunity.

4. threat

The fact that the company had cycled through so many owners who did not invest in the brand is an example of a(n) 1. challenge 2. threat. 3. strength 4. weakness 5. opportunity

4. weakness

When Spirit Airlines expands into additional cities, which growth strategy is it using? 1. unrelated diversification 2. product development 3. market penetration 4. related diversification 5. market development

5. market development

The case describes local initiatives used by Dunkin' Donuts to try to build customer loyalty. Which of the macro strategies to build sustainable competitive advantage is Dunkin' Donuts pursuing? 1. customer excellence 2. product excellence 3. locational excellence 4. loyalty excellence 5. operational excellence

1. customer excellence

When Martha needs to compare the results of the marketing program for the Coffee Collective and then implement changes based upon what she finds, she is in the _____________ phase of the strategic marketing process. 1. evaluation 2. implementation 3. program 4. responsibilities 5. planning

1. evaluation

When Starbucks expands into a new country, what growth strategy is the company pursuing? 1. market development 2. product development 3. market penetration 4. related diversification 5. unrelated diversification

1. market development

As the case explains, at one time customers were likely to buy their donuts at Dunkin' Donuts and their coffee at Starbucks. However, several years ago Dunkin' Donuts added espresso drinks to its menu. If Dunkin' Donuts adopted this strategy in order to get its donut customers to spend their coffee dollars at Dunkin' Donuts instead of at Starbucks, what type of growth strategy does this change represent? 1. product development 2. market development 3. market penetration 4. diversification 5. product excellence

1. product development

Wham-O's legacy achieved through its long and significant 70-year heritage is an example of a(n) 1. strength. 2. weakness 3. opportunity. 4. threat 5. benefit

1. strength

In order to examine the strengths of the Coffee Collective within a SWOT analysis, Martha would need to evaluate the __________ and _____________ factors of her organization. 1. external; unfavorable 2. internal; favorable 3. internal; unfavorable 4. external; favorable 5. location; determinant

2. internal; favorable

In order for Martha to categorize prospective buyers into groups that have common needs and will respond similarly to a marketing action, she will need to complete a 1. strategic planning analysis. 2. market segmentation. 3. four Ps segmentation. 4. market inquiry. 5. marketing program.

2. market segmentation

In order for Martha to categorize prospective buyers into groups that have common needs and will respond similarly to a marketing action, she will need to complete a 1. strategic planning analysis. 2. market segmentation. 3. four Ps segmentation. 4. market inquiry. 5. marketing program.

2. market segmentation.

The Coffee Collective will need to detail the day-to-day operational decisions that are needed to execute the marketing planning phase. These actions are often organized into the "four Ps," also called the 1. SWOT analysis. 2. marketing mix. 3. marketing metrics. 4. points of difference. 5. situation analysis.

2. marketing mix

Building a bridge between the younger generation and the old heritage of the company is an example of a(n) 1. threat 2. opportunity 3. weakness 4. strength 5. asset

2. opportunity

Which of the four Ps does Spirit Airlines rely on most to create value for its customers? 1. place 2. price 3. product 4. people 5. promotion

2. price

When Netflix launched its streaming-only plan, the company anticipated that most current users would drop the rental plan and move to the new plan. In strategic terms, this is a growth strategy of 1. market development. 2. product development. 3. diversification. 4. portfolio analysis. 5. market penetration.

2. product development

When Spirit Airlines identifies itself as an ultra-low-cost carrier (ULCC), it is ______ itself compared to other airlines. 1. evaluating 2. targeting 3. positioning 4. segmenting 5. situating

3. positioning

Which is not one of Staples's promotional efforts? 1. in-store displays 2. TV commercials 3. the lowest prices of any competitor 4. quality service 5. circulars

3. the lowest prices of any competitor

A situation analysis identified increasing competition, potential downsizing of the U.S. Postal Service, and cable pay-per-view expansion, which were ______ for Netflix. In response, Netflix was initially able to capitalize on the _____ of streaming, gaming platforms, and an iPhone app. 1. weaknesses; opportunities 2. weaknesses; strengths 3. threats; opportunities 4. threats; strengths 5. opportunities; threats

3. threat, opportunities

Which of the following is not one of the three phases of the strategic marketing process? 1. evaluation phase 2. implementation phase 3. planning phase 4. determination phase

4. determination phase

4. Due to changes in time demands, many Americans are working later and looking for more flexible food options.

Opportunity

8. Americans eat 100 acres of pizza every day.

Opportunity

1. Domino's has national brand recognition.

Strength

7. The Domino's franchise is located in a major metropolitan area near a college campus.

Strength

2. Some consumers may be looking for healthier food alternatives.

Threat

5. Many quick service restaurants are staying open until 2:00 and 3:00 am.

Threat

3. The Domino's franchise does not have enough staff to cover 24-hour shifts.

Weakness

6. The Domino's franchise has never managed inventory for late-night capacity. The company is worried about perishable items and delivery of shipments.

Weakness

The case explains that Starbucks has far more retail outlets than does Dunkin' Donuts, and it is sometimes said that in many cities you can find a Starbucks on almost every corner. What type of macro strategy for Starbucks does this difference between the two companies represent? 1. locational excellence 2. product excellence 3. customer excellence 4. operational excellence

locational excellence