MKTG 370 Exam 2
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True of False: A company's product mix consists of its various product lines.
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True or False: A product mix breadth is a group of associated items that consumers tend to use together or think of as part of a group of similar products.
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True or False: Automobile manufacturers design for very tall, likely segment is not substantial.
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True or False: Brand dilution occurs when the brand extension adversely affects consumer perceptions about the attributes the core brand is believed to hold.
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True or False: Coca-Cola launched Coke Zero to attract new customers in a segment it might not get with Diet Coke.
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True or False: Companies strive to meet customer satisfaction because customers are more likely to talk about service that exceeded their expectation than about service that did not meet their expectation.
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True or False: Marketing research has three roles: persuasive, reminder, and informative.
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True or False: Nike sells shoes, clothing, and athletic gear. These represent the depth of Nike's products
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True or False: One advantage of primary data collection is that it can be collected to fit the research needs.
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True or False: One benefit of marketing research is reducing the uncertainty under which managers make decisions.
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True or False: Private-label brands are developed and managed by manufacturers.
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True or False: Procter & Gamble markets different brands of laundry detergent, such as Tide, Era, Gain, and Dreft, each targeting a different market segment. This is an example of concentrated targeting.
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True or False: Qualitative research offers a means to confirm ideas formulated through quantitative research.
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True or False: The more familiar customers are with a brand, the easier their decision-making process will be.
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True or False: Tom wants to buy a new car that will be dependable and stylish. Tom wants to satisfy both functional and psychological needs.
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True or False: Warren doesn't know what questions to ask or who to talk to. He should begin with quanitative research.
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True or False: When a marketer adjusts the marketing mix to give customers a clear, distinctive understanding of what the product does, the marketer is engaging in psychographic segmentation.
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True or False: When making an important purchase, consumers often consult friends and family. This is an example of an external information search?
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True or False: When making important purchases consumers consult friends/family. This is external info search.
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True or false: A major advantage of primary data collection is that it can be tailored to fit the pertinent research needs.
individual brands
Two of the many products owned by Proctor and Gamble include Old Spice health and wellness products and Iams pet nutrition products. This would be an example of which branding: a. Family brands b. Corporate brands c. Traditional brands d. Individual brands e. Umbrella brands
perceptual map
Used to illustrate the position of a firm's products or brands in consumers' minds. a. perceptual map b. loyalty timeline c. PRIZM analysis d. mass marketing analysis
observation
What form of research might Mattell use to determine which toys 4-year olds play with? a. observation b. focus group c. experiment d. panel
it helps obtain a bigger share of the market
What is one explanation of why firms use a differentiated targeting strategy? a. It is better than focusing on individual or small groups of potential customers. b. It is easier than mass marketing. c. Banks are more willing to extend credit to companies with this strategic approach. d. It helps obtain a bigger share of the market. e. Most market segments are too small to be profitable
the firm's offering overlaps with customer needs/wants but not with competitors' offerings
What is the best situation in the Circles for a Successful Value Proposition framework? a. The firm's offering overlaps with customer needs/wants but not with competitors' offerings b. The firm's offering overlaps with competitors' benefits but not with customer needs/wants. c. Customer needs/wants overlap with both the firm's benefits and competitors' benefits. d. The firm's benefits overlap with both customer needs/wants and competitors' benefits. e. None of the three circles overlaps.
undifferentiated targeting
When Henry Ford made the Model T, he said that consumers "can have their car in any color they want, as long as it's black." This was a case of: a. Repositioning b. Reengineering c. One-to-one marketing d. Undifferentiated targeting e. Niche marketing
unsought product
When a salesperson calls you to sell a cemetery plot, this is MOST LIKELY what type of product? a. shopping product b. convenience product c. unsought product d. line extension
unable to articulate their experiences
When consumers are __________, observation becomes particularly useful in understanding consumers' preferences. a. Unable to articulate their experiences b. Highly educated c. Unwilling to participate in research d. Interviewed too frequently e. Confused by questionnaires
core customer values
When manufacturers try to understand what customers are looking for, they are thinking about the _______ component of the product offer. a. Augmented products b. Core customer values c. Associated services d. Quality level e. Product support
it takes more time to collect than secondary data and it is more costly
A major disadvantage of primary data collection is a. It cannot be tailored to meet specific research needs b. It is too general to meet researcher's and manager's needs c. It takes more time to collect than secondary data and it is more costly d. It does not offer behavioral insights that can be obtained from secondary data e. It can be accessed only through syndicated databases or unstructured data mines.
to have the product available at many outlets
A marketing strategy for a product considered to be a "convenience good" would be: a. To have the product available at many outlets b. Fewer retail outlets than other types of products c. Prices higher than other types of products d. Products with little competition (limited substitutions) e. A limited budget for promotion
focus groups
A regional airport manager conducted research to get a better understanding for the types of concessionaires to include in the planned terminal remodeling. She conducted two sets of group interviews, one with ten leisure flyers and another with ten business flyers. In each group, participants discussed what types of food, retail, and other services they wanted in the new terminal. These discussions are examples of: a. Extended interviews b. Focus groups c. Observation d. Ethnographic research e. Secondary research
perceptual map
A(n) _____ could help determine whether or not snacking consumers consider Kashi Tasty Little Crackers healthy and tasty in comparison to other brands. a. Predictive model b. Perceptual map c. Product position d. Trend analysis e. Internal marketing audit
experimental
A(n) ______ research is characterized by the researcher altering one or more variables--such as price or package design--while observing the effects of those alterations on another variable (usually sales).
motive
A(n) ____________________ is a need or want strong enough to cause a person to seek satisfaction.
they can be quickly accessed at a relatively low cost
Advantages of using secondary data include: a. historical data that can be used to predict future trends b. they have been collected for the purpose researchers are using it for c. their high cost can be justified by the results d. they can be quickly accessed at a relatively low cost
a compensatory decision rule
Aidan prefers shirts made with 100 percent cotton, but he will sometimes buy shirts with less cotton if they are less expensive. Aidan uses __________ to decide which shirts to buy. a. A noncompensatory decision rule b. Temporal factors c. Social factors d. A compensatory decision rule e. Habitual decision making
cutoff
Angie is shopping for a new dishwasher. She has set a maximum of $650 as the highest price she will pay, so she doesn't even bother considering dishwashers that cost more than that. Angie is narrowing the number of available choices by using a: a. Cost margin b. Product attribute c. Cutoff d. Boundary e. Knockoff
national
Another name for a manufacturer's brand is a(n) ______________ brand. a. national b. extended c. private-label d. systematic
one-to-one marketing
Another name for micromarketing is: a. neuromarketing b. qualitative marketing c. one-to-one marketing d. ethnographic marketing
Allows the firm to spend less on creating brand awareness and associations
Brand extension is a popular marketing strategy because it a. Separates out the cost of brand extension from brand intention b. Guarantees success for a new product c. Allows the firm to spend less on creating brand awareness and associations d. Avoids the problem of brand dilution e. Allows the firm to discontinue complementary products
retailers
Brands that are owned by __________ are called private-label brands. a. retailers b. wholesalers c. supply chain specialists d. manufacturers
evoked set
Chase loves to eat pizza, but there are many options to choose from where Chase is visiting. He narrowed down his favorite brands that meet the criteria that he looks for in pizza. Now he will only consider these brands of pizza when ordering. This group of brands is called Chase's: a. Involvement set b. Evaluative set c. Limited set d. Evoked set e. Extensive set
cannibalization
Clorox saw sales of its bleach products suffer when it introduced laundry detergents with bleach as an added ingredient. This is an example of: a. Demarketing b. Cannibalization c. Undifferentiation d. Repositioning e. Perceptual confusion
reachable
College students can be a less __________ market segment because students' media habits are quite diverse and firms might have to use a wide variety of media to attract this segment. a. Identifiable b. Perceptive c. Quantifiable d. Substantial e. Reachable
micromarketing
Companies use the Internet to allow consumers to design customized products. This is a form of: a. concentrated targeting b. micromarketing c. psychographic segmentation d. undifferentiated targeting
secondary data
Company sales invoices, census data, and trade association statistics are examples of: a. Primary data b. Qualitative data c. Data mines d. Secondary data e. Tertiary data
internal locus of control; external locus of control
David conducts extensive searches before making a purchase because he believes he is responsible for his actions. Nate has a "whatever happens, will happen" attitude when confronted by the need to make a decision. In marketing terms, David is said to have a(n) ________ and Nate, a(n) _______. a. Formal search; informal search b. Focused send of information; unfocused sense of information c. Internal locus of control; external locus of control d. Component lifestyle; anxious lifestyle e. Increased search anxiety; decreased search anxiety
functional and psychological
Key to marketing that appeals to the firm's target market is to meet the correct balance of _______________. a. postpurchase and repurchase b. functional and psychological c. functional and social d. safety and situational
ethnographic
Kimberly-Clark has outfitted consumers with mini video cameras mounted to visors to watch consumers doing chores and shopping. Using this research approach, known as _____ research, Kimberly-Clark learned that mothers had trouble using Huggies Baby Wash to bathe their infants. The problem was that the women liked to keep one hand on their infant at all times while the Baby Wash bottle required two hands to open dispenser. a. Ethnographic b. Dichotomous c. Experiment d. Survey e. Open-ended
primary
Levi Strauss recently introduced its new Totally Slimming jeans. The idea for the jeans came from a group session conducted last August in which a group of moms made it clear they were tired of low-rise styles. Instead, they wanted jeans that were comfortable while covering up problem areas and that showed off their figures. Levi's use this _______ data as the basis for designing this new line of jeans. a. Primary b. Secondary c. Dichotomous d. Convenience e. Ethnographic
psychographic; demographic
Marketers found ___________ segmentation more useful for predicting consumer behavior than __________ segmentation. a. psychographic; demographic b. demographic; benefit c. demographic; psychographic d. demographic; behavioral
evoked
Marketers particularly want their brands and products to be in consumers' ________________ sets. a. behavioral b. retrieval c. deterministic d. evoked
diagnostic
Phillip Morris USA, the manufacturer of the Marlboro Ultra Smooth cigarette targeted to people who want to smoke a potentially safer cigarette, has asked for marketing research to explain the reasons for the recent failure of the new cigarette. This type of research is described as: a. Descriptive b. Predictive c. Diagnostic d. Normative e. Historical
multisegment
Piper Corporation makes aircrafts. It produces several different planes for three categories of customer: Professional, Personal, and Trainer. What type of targeting strategy is Piper using? a. Demand positioning b. Concentrated c. Undifferentiated d. Multisegment e. Market differentiation
expensive, infrequently purchased, do not work as intended, or associated with high levels of risk
Postpurchase cognitive dissonance is especially likely for products that are: a. personally valuable, antique, or foreign-made b. cheap, poorly made, and make of plastic c. simple, easily copied, and new d. expensive, infrequently purchased, do not work as intended, or associated with high levels of risk
enable the marketer to tailor marketing mixes to meet the needs of one or more specific groups
The purpose of market segmentation is to: a. Reduce the market down to size the firm can handle b. Divide the market into equal size and profit regions for sales territories c. Group a large number of markets together, enabling a company to serve them simultaneously d. Develop a generalized definition of the market as a whole e. Enable the marketer to tailor marketing mixes to meet the needs of one or more specific groups
brand equity
The set of assets and liabilities linked to a brand that add to or subtract from the value provided by the product or service is called ________________ ___________________
cognitive
Though he has never owned a Lexus, Larry thinks they are poorly made and have many mechanical problems. For Lexus to sell Larry a car, the company would need to change the ________ component of Jerry's attitude. a. Functional b. Affective c. Physiological d. Cognitive e. Social
true
True or False: Donald is analyzing and interpreting data. In the process, he converts data into information.
functional versus psychological need
Which of the following is NOT an element of the factors affecting consumers' search processes? a. actual risk b. functional risk c. locus of control d. functional versus psychological need
Tostitos Multigrain Scoops and Tostitos Chunky Salsa
Which of the following is the best example of a family brand? a. Lifesavers Soda, Coca-Cola, and Diet Coke b. KFC/Taco Bell fast foods c. Kellogg's Special K and Famous Amos Chocolate Chip Cookies d. Tostitos Multigrain Scoops and Tostitos Chunky Salsa e. Cadillac, GMC, Chevrolet
pieces of data that have been collected prior to research
Which of the following statements BEST describes secondary data? a. always meets researchers needs b. pieces of data that have been collected prior to research
"birds of a feather flock together"
Which of the following statements best describes the reason marketers find geodemographic segmentation so effective? a. "a bird in the hand is worth two in the bush." b. "every action has an opposite and equal reaction." c. "a rifle is more exact than a shotgun." d. "don't put all of your eggs in one basket." e. "birds of a feather flock together."
experimental research
Which of the following types of research would be considered quantitative research? a. focus group research b. observational research c. social media monitoring d. experimental research
shopping
You search a long time considering alternatives. This backpack represents what type of product? a. shopping b. routine c. unsought d. convenience
database marketing
___________ __________ is the creation of a large computerized file of customers' and potential customers' profiles and purchase patterns.
extend problem solving
Betsy recently decided to purchase a motorcycle. Since she is not familiar with the different brands and features and this is a major purchase, Betsy will probably use which of the types of consumer involvement: a. Low-involvement problem solving b. Impulse buying c. Extended problem solving d. Limited problem solving e. Dedicated cognitive behavior
any firm in the supply chain
Brand can be owned by a. Any firm in the supply chain b. Wholesalers and retailers only c. Manufacturers only d. Retailers only e. Private-label generic retailers only
safety needs
Dennis Haysbert stars in Allstate ads reminding consumers that they could be in a car crash or another event requiring insurance. Hence the slogan "You're in Good Hands with Allstate." These ads focus on which of Maslow's needs? a. Esteem needs b. Economic needs c. Safety needs d. Physiological needs e. Social needs
product line; product mix
During a recent shopping trip, Laura noticed that the retailer offered a variety of products, including food, clothing, cosmetics, appliances, tires and more. Further, Laura noticed the retailer also offered a variety of different products within each product grouping. Each product grouping at the retailer is an example of a(n) __________; all of the product groups together constitute the retailer's __________. a. Product tangibility; product unit b. Product line; product mix c. Product mix; product line d. Product mix; product unit e. Product unit; product tangibility
position
Elaine perceives Cadillac automobiles to be for older men, not for young professional women such as herself. Elaine's perception represents Cadillac's _____ in her mind. a. Status b. Frame c. Position d. Role e. Equity
purchase situation
Even though Jessica is familiar with her favorite wine, she was too embarrassed to give a cheap bottle as a host gift. Jessica went to several stores and spent a lot of time considering. This scenario is designated as a high-involvement product because of: a. Brand loyalty b. Purchase situation c. Financial risk d. Cognitive dissonance e. Trial investment
social media sites
Firms that are engaged in sentiment mining are analyzing data collected from: a. Experiments b. Social media sites c. Observations d. Focus groups e. In-depth interviews
lower market costs associated with reaching loyal customers
For marketers, one of the benefits of having achieved brand loyalty is: a. few worries about copyright infringement b. increased price sensitivity among loyal customers c. lower market costs associated with reaching loyal customers
undifferentiated targeting
For products like sugar, which provide the same benefit for all consumers, marketers should probably use a(n) ________ strategy. a. Differentiated segmentation b. Concentrated targeting c. Undifferentiated targeting d. Benefit segmentation e. Lifestyle segmentation
retailers
Geodemographic segmentation can be particularly useful for: a. internet marketers b. sales oriented firms c. retailers d. consumer goods manufacturers
reference groups
Hollywood stars were among the first to buy electric and hybrid vehicles, these stars became: a. reference groups b. internal loci of control c. evoked images d. cultural icons
shopping
I searched online for a computer until I found one for sale. This is an example of a ________ product. a. shopping b. unsought c. business d. convenience
responsiveness
If a market segment is especially motivated by coupons in newspapers, which segmentation success criterion is most influential in the success of this program? a. Responsiveness b. Profitability c. Substantiality d. Accessibility e. Reachability
there are high costs associated with making an incorrect decision
In which of the following situations is it especially important to use external information? a. There are high costs associated with making an incorrect decision b. There is a great deal of past experience c. The cost of gathering information is high d. Low cost items that are frequently purchased e. There is little risk of making an incorrect decision
False
John asked his coworkers for entertainment options in downtown Omaha, where he plans to visit. He is using an internal information search.
substantial
Kathy is concerned that one of the potential market segments she has identified for her dog grooming service is too small and has too little income to have sufficient buying power. Greta is concerned with whether the segment is a. Reachable b. Responsive c. Identifiable d. Substantial e. Profitable
retrieval set
Kevin decided to buy new shoes, he considered all the brands he could recall being advertised. This is an example of which type of attribute set?
cognitive dissonance
Marketing managers can use several tools to decrease___________________ __________________, the inner tension that a consumer experiences when realizing an inconsistency after buying a product
structured
Marketing research project often begins with a review of the relevant _______ data. a. Structured b. Secondary c. Quantitative d. Unfocused e. Primary
safety, love, and esteem
Maslow's Hierarch: physiological (lowest) to self-actualization (highest). What is in between? a. community, family, and self b. health, wealth, and happiness c. material goods, safety, and love d. safety, love, and esteem
convenience goods
Milk and bread are examples of ___________ goods because consumers don't evaluate a lot of alternatives. a. ritual goods b. convenience goods c. specialty goods d. impulse goods
demographic
NASCAR redirected its marketing efforts when a survey indicated that almost 50 percent of its fans were female. This is an example of __________________ segmentation.
family, reference groups, and culture
Natalie and her fiancé Dow are planning their wedding. She knows her mother wants her to have a traditional church wedding with a Roman Catholic priest officiating. Natalie would like to have an informal ceremony on the beach, since that type of wedding has become popular with her friends. Furthermore, Dow is from Thailand and would like to have a monk officiate. Natalie and Dow's wedding decisions are most influenced by: a. Cognitive, affective, and behavioral environments b. Functional and psychological profit c. Universal, retrieval, and evoked sets d. Family, reference groups, and culture e. Impulse, habitual, and limited problem-solving processes
micromarketing/one-to-one marketing
Nike allows customers to order shoes online with custom color combinations. This would be an example of which type of target strategy? a. Psychographic segmentation b. Undifferentiated targeting c. Micromarketing/one-to-one marketing d. Differentiated targeting e. Concentrated targeting
greater perceived value
Nora is deciding whether to purchase brand name sneakers or a store brand. She has purchased other shoes with the same brand name in the past but was only marginally satisfied. In this situation, Nora is likely to purchase the store brand sneakers because they offer: a. higher degrees of brand loyalty b. more product line depth c. a better brand image d. greater perceived value
shopping
Paul wanted a new computer. He searched online until he found one for sale. Paul is considering a computer as a ______________ consumer product. a. Shopping b. Unsought c. Business d. Convenience e. Specialty
open-ended
Representatives of the Tourism Board of Arkansas visited state welcome centers and asked visitors to the state, "What is your reason for coming to Arkansas?" This would be an example of a(n) _____ question. a. Scaled-response b. Likert scale c. Open-ended d. Dichotomous e. Multiple choice
social
Ryan was afraid his new home would look shabby to his future in-laws, so he had it painted just before their visit. Ryan was addressing his __________ risk. a. Psychological b. Financial c. Performance d. Social e. Physiological
qualitative
Social media monitoring, in-depth interviews, and focus groups are all _______ research methods. a. Qualitative b. Syndicated marketing c. Data warehousing d. Structured e. Quantitative
concentrated
Tall Paul's designs and sells household furniture and furnishings to people who are over 6'6" tall--a rather small target market. Tall Paul's uses a(n) _____ targeting strategy. a. One-to-one b. Undifferentiated c. Multisegment marketing d. Differentiated e. Concentrated
extended problem solving; limited problem solving
The consumer's level of involvement can lead to two types of buying decisions: ________________ and _________________. a. habitual; extended b. extended problem solving; limited problem solving c. physiological/safety; esteem/self-actualization
stimulus generalization
The creators of Chicago Fire, Chicago MED, Chicago P.D., and Chicago Justice television programs, are using _________ to assume that if you like one of the programs, you might enjoy the others. a. Stimulus discrimination b. Selective retention c. Stimulus generalization d. Social learning e. Product reinforcement
Will the research be useful?
The first question a marketing researcher should ask before embarking on a research study is: a. What is the due date? b. Will the research be useful? c. What sample size will be needed? d. Who will pay for it?
clearly articulated the firm's vision or marketing strategy objective
The first step in the STP process is to a. clearly articulate the firm's vision or marketing strategy objectives. b. identify the segmentation methods to be used. c. develop a marketing mix, so that an appropriate segment can later be identified. d. select target markets. e. produce a list of strengths and weaknesses of the firm's past marketing strategies
define the firm's vision or marketing strategy objectives
The first step in the STP process is to: a. study strengths and weaknesses of past marketing strategies b. define the firm's vision or marketing strategy objectives c. select target markets d. identify the segmentation methods to be used
search for information about cars
The floor rusted through on Kelly's old car. The next step in the consumer decision process is: a. evaluate alternative b. identify a need c. assess her satisfaction with the car she purchased d. search for information about cars
a needy state and desired state
The greater the discrepancy between consumer's ____________, the greater the consumers need recognition. a. a needy state and desired state b. search for alternatives and alternatives found c. external and internal information search
close-ended
The owner of A. C. Flora Ford Dealership wanted to know why consumers chose his company to purchase a car. He was fairly sure that most customers had one of three reasons—service, reputation, or location—but wanted to know which was revealed as the most frequent reason for purchasing. A. C. Flora will probably use a survey with __________ questions to address his research problem. a. Close-ended b. Unstructured c. Observation-based d. Experimental e. Open-ended
predictive
Through marketing research, the Boston Symphony Orchestra (BSO) learned it has an older market and is not attracting younger concertgoers. It next conducted marketing research to determine if an integrated advertising campaign targeted to the younger market would be successful. In its second use of research, BSO employed _____ marketing research. a. Historical b. Descriptive c. Predictive d. Normative e. Objective
self-values, self-concept, and lifestyles
To develop psychographic segments, the marketer must understand consumers': a. age, income, and education b. buying patterns and behaviors c. self-values, self-concept, and lifestyles
"Those are secondary data, and they may not be as timely, accurate, and relevant as what we need. Our decisions may not be as good, and we'll run a huge risk."
Tom is responsible for marketing and marketing research for a midsized manufacturer of assemblies for the housing market. His boss has asked him to cut back expenses, especially in marketing research: "Why can't you just use information off the Internet? There's plenty out there." What is tom's best response to try to get his boss to change his mind? a. "Those are secondary data, and they may not be as timely, accurate, and relevant as what we need. Our decisions may not be as good, and we'll run a huge risk." b. "We can try, but if it's wrong it's not my fault." c. "This is a matter of principle. I quit." d. "I'd rather not use any data at all than use secondary data." e. "You should never use any information from the internet in marketing research."
need recognition
Tom was in an accident and totaled his car. What stage of the consumer decision-making process is Tom in when he realizes his car cannot be repaired? a. Evaluation of alternatives b. Purchase c. Need recognition d. Post-purchase behavior e. Information search
benefit
Toothpastes sold in supermarkets that promise whiter teeth are using ________ segmentation. a. demographic b. psychographic c. loyalty d. benefit
scaled-response question
When marketing researchers for a local fitness club wanted to know consumers' intentions to start a fitness program for a New Year's resolution, they used a(n) _____ with five possible answers ranging from "Most Likely" to "Least Likely" and asked that the respondent choose one. a. Open-ended question b. Action-based question c. Sampling frame question d. Scaled-response question e. Dichotomous response
relatable
Which is not an element of attractiveness? a. substantial b. relatable c. reachable d. responsive
a line extension
Which of the following brand strategies is being used when the Dairy Bar decides to add a new flavor of ice-cream to its menu? a. A copycat brands b. A multi-brand c. A line extension d. A premium brand e. A brand extension