Mktg Lesson 2 Chapter 2 T/F, maybe questions

H2Coast, an automobile manufacturer, produces fuel-efficient hybrid vehicles that are targeted toward middle-income consumer groups.

H2Coast most likely segments the consumer market based on ________ variables. Demographic

False

In a SWOT analysis, strengths and weaknesses refer to a firm's external environment, while opportunities and threats refer to the internal environment.

False

In the four Ps of the marketing mix, promotion refers solely to advertising.

True

In the marketing mix, product refers to the goods and services the company offers to the target market, while promotion refers to advertising.

Should Junbee Inc. follow a product or marketing concept?

June and Beatrice have started a new company, Junbee Inc., and are having trouble deciding which marketing path to take to drive sales. June believes they should follow a make-and-sell philosophy that focuses on improving their product, whereas Beatrice believes they should be more customer-oriented and find the right products for their customers. Which of the following BEST describes this situation?

What is the purpose of the marketing mix as part of the overall marketing​ strategy? A. To create an overall positive image in the​ customer's mind that is favorably associated with the company B. To maximize the​ company's profits through successful marketing and sales of a particular product C. To elicit a response that influences a demand for the product from the customers the company is targeting D. To streamline a​ company's research,​ marketing, production, and sales of a particular product E. To compare some or all of the​ company's products with the products of the​ company's competitors

C

When a company engages in strategic​ planning, it must consider which of the​ following? A. How to divide its assets among stockholders B. How to keep current businesses running smoothly C. How to take advantage of current business opportunities D. How to make the most money possible during a fiscal year E. How to best market its products

C

When consumers respond in a similar way to a given set of marketing​ efforts, they can be referred to as​ a(n) _________. A. market B. differentiation C. market segment D. target market E. value chain

C

Which of the five characteristics identified in the text has an inverse relationship with an​ innovation's rate of​ adoption? As this characteristic​ increases, the rate of adoption is slower. A. Communicability B. Relative advantage C. Complexity D. Compatibility E. Divisibility

C

False

Many SBUs start out as stars and move into the question mark category if they succeed.

Which of the following statements regarding the business market is​ correct? A. In the business market buying​ process, buyers and sellers are less dependent on each other than in the consumer market. B. The business market is not as large as the consumer market in terms of dollars spent and items purchased. C. Many sets of business purchases are made for one set of consumer purchases. D. Business buying decisions are less complex than consumer buying decisions. E. The business market has more buyers than the consumer market.

C

_________ refers to the practice of including ethnic themes and​ cross-cultural practices within a​ company's mainstream. A. Buzz marketing B. Guerilla marketing C. A total market strategy D. Viral marketing E. Cause marketing

C

True

Marketing ROI measures the profits generated by investments in marketing activities.

_______ is the mistake of paying more attention to the specific product a company offers than to the benefits and experiences produced by these products.

Marketing myopia

Which of the following are additional variables marketers use to segment business markets but not consumer markets?

Operating characteristics, purchasing approaches, situational factors, and personal characteristics.

More for the same

Positioning its brand as offering more for the same price.

Sophie's Soups refusing to counter false allegations of rat feces in its soups

Proactive businesses often take aggressive actions to affect consumers and the forces in their marketing environments. Which of the following does NOT depict a proactive company?

The website leftyslefthand.com markets products to left-handed consumers only. Which targeting strategy does this represent?

Concentrated marketing

Which of the following is a valid concern when it comes to the four​ Ps? A. It uses the​ buyer's view of the markets. B. It does not include packaging. C. It is not helpful for​ not-for-profit companies. D. It uses the​ seller's view of the market. E. It does not include services.

D

Kidcomp, an American computer-manufacturing firm, targets children below the age of ten by providing free games and applications. The firm's marketing approach is reflective of ________ segmentation.

age and life cycle

What are the four major variables used to segment consumer markets?

Geographic, demographic, psychographic, behavioral

to exercise their social responsibility, many companies are linking themselves to what type of marketing? a. generational b. environmental c. intermediaries d. cause-related e. technological

d. cause-related

the role of a company's marketing intermediaries is to do which of the following? a. provide the resources needed by the company to produce goods and services b. determine which products a company should market c. manage the company Human Resources efforts d. help the company find, promote, sell and distribute products e. purchase the company's product

d. help the company find, promote, sell and distribute products

​________ products give high immediate satisfaction but might hurt consumers in the long run.

pleasing

Services are characterized by four key​ aspects

services are​ intangible, inseparable,​ variable, and perishable.

Marketers must be careful to guard against stereotypes when using ________.

age and life cycle segmentation

the demographic economic, natural, technological, political and cultural forces that affect a company's ability to serve its customers make up which of the following? a. technological environment b. macroenvironment c. marketing environment d. cultural environment e. microenvironment

b. macroenvironment

A company rarely gets 100% of a customer's purchases for a product category. The share it does get of the customer's purchasing in its product categories is called ___________. a. customer lifetime value b. share of customer c. share of market d. customer defections e. customer equity

b. share of customer

peoples views of themselves, others, organizations, and nature are part of which macro environment force? a. demographic force b. natural forces c. cultural forces d. technological forces e. political forces

c. cultural forces

• Target a new market with a different product.

Chicago's Best Pizzeria has been operating on the north side of Chicago for over 30 years. Its target market includes young, urban professionals who want new style, organic pizzas with exotic ingredients. However, in recent years, the population in the pizzeria's neighborhood has been shifting and fewer young, urban professionals live there. The population has grown older and wants traditional pizza, not pizza with exotic ingredients. Which of the following identifies the pizzeria's BEST response to this situation?

Market penetration is _______.

Company growth by increasing sales of current products to current market segments without changing the product

​________ marketing means that the company should view and organize its marketing activities from the​ consumer's point of view.

Consumer-oriented

____________ is the overall process of building and maintaining profitable customer relationships by delivering superior customer value and satisfaction.

Customer relationship management

Question​ marks, cash​ cows, dogs, and stars are the four types of SBUs defined in which of the​ following? A. SWOT analysis B. Market segmentation C. Product expansion grid D. ​Growth-share matrix E. Value delivery network

D

Planning marketing and other functional strategies of the business unit, product, and market level follows which stage of strategic planning?

Designing the business portfolio

More for less

Difficult to maintain offering more value at lower prices.

What is market​ segmentation?

Dividing a market into distinct groups of buyers who have different​ needs, characteristics, or behaviors and who might require separate marketing strategies or mixes

Denim Blue Jean Corporation is a growing company located in Washington​ State, but it is beginning to develop a presence in the surrounding states as well. It sells only one productlong dash—blue jeanslong dash—but it has 12 different lines of jeans that cater to​ men, women,​ children, babies,​ toddlers, and teens. Which marketing organization would BEST suit Denim Blue Jean​ Corporation? A. Functional organization B. Geographic organization C. Product management organization D. Combination organization E. Market or customer organization

E

What are stars in the growth share​ matrix? A. ​Low-growth, high-share businesses or products B. ​Low-growth, low-share businesses and products C. The growth star matrix does not contain stars. D. ​Low-share, high-growth businesses or products E. ​High-growth, high-share businesses or products

E

Which of the following is NOT one of the marketing management​ functions? A. Planning B. Control C. Implementation D. Analysis E. Promoting

E

​______________ is the first stage in the new product adoption process. A. Evaluation B. Interest C. Adoption D. Trial E. Awareness

E

Market targeting (targeting)

Evaluating each market segment's attractiveness and selecting one or more segments to serve.

Intermarket (cross-market) segmentation

Forming segments of consumers who have similar needs and buying behaviors even though they are located in different countries.

False

Holiday Inn divided the total customer market into smaller segments and selected the most promising segments. Deciding what position it wants to occupy in these segments is called diversification.

Which differences to promote

Important, distinctive, superior, communicable, preemptive, affordable, and profitable.

Evaluating each market segment's attractiveness and selecting one or more market segments to enter is called

Market targeting

_______ is the process of evaluating each market segment's attractiveness and selecting one or more segments to enter

Market targeting

​_________ recognizes that organizations thrive from day to day by determining the current needs and wants of target customers and fulfilling those needs and wants more effectively and efficiently than competitors do.

Marketing concept

• It has become more diverse, better educated, and more mobile.

Overall, how has the American population changed over time?

__________ show consumer perceptions of their brands versus those of competing products on important buying dimensions.

Perceptual positioning maps

What are the eight steps in the business buying decision process in the correct​ sequence?

Problem​ recognition, general need​ description, product​ specification, supplier​ search, proposal​ solicitation, supplier​ selection, order-routine​ specification, and performance review

What are the variables in a company's marketing mix?

Product, price, place, and promotion

​________ is when major retailers draw a red line around disadvantaged neighborhoods and avoiding placing stores there.

Redlining

What are the five characteristics that are especially important in influencing an​ innovation's rate of​ adoption?

Relative​ advantage, complexity,​ compatibility, divisibility, and communicability

True

SBUs identified as cash cows need less investment than stars.

The growth-share matrix defines four types of SBUs: __________ are high-growth, high-share businesses or products

Stars

Tying together the marketing mix variables, business unit strategies, and the company's mission is known as_________________.

Strategic planning

Individual marketing

Tailoring products and marketing programs to the needs and preferences of individual customers.

False

The BCG and other formal matrix methods have a decentralized approach toward strategic planning.

False

The growth rate of a strategic business unit that is classified as a star remains constant over time.

• A proactive stance allows a company to influence the market in its favor.

To be successful, why should companies try to adopt a proactive stance on marketing?

The customer's opinion of what constitutes value

What is MOST likely to cause a variation in customer-perceived value?

They focus more on products than the customer's underlying need.

What is the main problem that sellers suffering from marketing myopia face?

Market segmentation

When a company divides the market into groups of customers, it is engaging in which of the following?

• A company develops a new battery that lasts twice as long as its predecessor.

Which of the following identifies a change in the technological environment that could affect the success of a business?

• The aging U.S. population

Which of the following is NOT a problem involving the natural environment that marketers need to consider?

Profit

Which of the following is NOT one of the four Ps of the marketing mix?

in addition to income levels, marketers need to pay attention to _________, which has created a tiered market. a. income distribution levels b. saving patterns c. foreign exchange rates d. consumer debt e. interest rates

a. income distribution levels.

__________ is the total combined values of all of the company's customers.

customer equity

according to the text, ___________ are perhaps the most dramatic forces affecting todays marketing strategies. a. economic forces b. political forces c. natural forces d. technological forces e. demographic forces

d. technological forces

​________ products, such as​ bad-tasting and ineffective​ medicine, have neither immediate appeal nor​ long-run benefits.

deficient

Which of the following promotes the idea of a code of ethics that calls on marketers to adopt an ethical​ norm?

do no harm

firms that develop strategies to change the environment - instead of assuming that strategic options are bounded by the current environment - are being ________________. a. shortsighted b. unethical c. reactive d. passive e. proactive

e. proactive

​________ means building relationships and enhancing consumer confidence in the integrity of marketing by affirming these core​ values: honesty,​ responsibility, fairness,​ respect, transparency, and citizenship.

embrace ethical values

The major product line decision involves the​ line's ______, or the number of items in the product line.

length

During the introductory stage of the product​ lifecycle

sales are slow and profits nonexistent

​________ products have low immediate appeal but might benefit consumers in the long​ run, for​ instance, bicycle helmets or some insurance products.

salutary

The​ ________ concept considers future company needs.

strategic planning

Which of the following considers the future needs of a​ company?

strategic planning concept

A company's external value delivery network consists of __________.

suppliers, distributors, and customers

In which step of the buying decision process is the final order with the chosen supplier​ developed?

​Order-routine specification

​________ refers to consciously avoiding harmful actions or omissions by embodying high ethical standards and adhering to all applicable laws and regulations in the choices we make.

do no harm

The buyer decision process starts with​

recognizing a need

Nibbles Pet Food Corporation is in the process of developing its new market strategy. The marketing team has already established the​ company's niche productlong dash—​premium, organic dog and cat foodlong dash—and contracted to sell it in several​ high-end pet stores. The team has also determined the optimum price to create value for customers and still make a profit. What does the marketing team need to do​ now? A. Develop the formula for the organic pet food. B. Work on a line of​ leashes, pet​ brushes, and pet furniture. C. Create a promotion strategy to increase customer awareness. D. Determine the target market for the product. E. Determine the​ company's primary competition in the pet food market.

C

_______ is made up entirely of the company, its suppliers, its distributors, and, ultimately, its customers who partner with each other to improve the performance of the entire system

A value delivery network

False

An SBU can be a company division or a product line within a division, but not a single product or brand.

Which of the following statements regarding the marketing of international products and services is​ correct?

Because markets and consumers around the world differ​ widely, companies must usually adapt their product offerings in different world markets.

​_________ refers to the degree to which innovation appears superior to existing products. A. Communicability B. Complexity C. Relative advantage D. Divisibility E. Compatibility

C

In which targeting strategy does a firm go after a large share of one or a few smaller segments?

Concentrated marketing

In which targeting strategy does a firm go after a large share of one or a few smaller​ segments?

Concentrated marketing

____________ is the extent to which a product's perceived performance matches a buyer's expectations

Customer satisfaction

__________ are human wants that are backed by buying power.

Demands

Gender segmentation

Dividing a market into different segments based on gender.

Which type of market segmentation has long been used in clothing, cosmetics, toiletries, and magazines?

Gender

A company can differentiate itself from competitors using symbols such as McDonald's golden arches, Twitter's bird, and the Nike swoosh. Which type of differentiation is this?

Image differentiation

Cause-related

To exercise their social responsibility, many companies are linking themselves to what type of marketing?

Not-for-profit marketing

Vince's Video has suffered in the current economy because fewer people have the money for videos and because people utilize available technology, including online streaming sites like YouTube and Hulu. The videos Vince's Video does sell are often out priced by versions coming from China or Taiwan, or they are accused of damaging the environment. Which of the following marketing impacts has not likely affected Vince's Video?

To ensure that the company serves as many customers as it can and as well as it can

Why is good marketing management critical?

Delay responding to environmental legislation as it is instituted.

You can practice sustainable marketing by adhering to general practices. Which of the following would allow a company to profit by serving immediate needs and long-term interests but not necessarily be a practice of sustainable marketing?

Psychographic segmentation

Dividing a market into different segments based on social clas, lifestyle, or personality characteristics ​.

Which of the following is a social factor that influences consumer buying​ behavior? A. Economic situation B. ​Life-cycle stage C. Occupation D. Personality E. Roles and status

E

Nike makes shoes out of​ "environmentally preferred​ materials." It recycles old sneakers and educates young people about​ conservation, reuse, and recycling. What policy has this company​ adopted?

Environmental sustainability

Byron Tied 2 Bowties groups its customers by regions in the United States, such as Midwest, Northeast, and Southwest. For each region, Byron Tied 2 Bowties creates a different set of advertisements and promotions. On which of the following segmentation variables does the firm divide its market?

Geography

Consumers are showing an enthusiasm for frugality.

How has the Great Recession of 2008-2009 affected consumers' attitudes?

_______ is a group of consumers who respond in a similar way to a given set of marketing efforts

Market segment

_________ are some combinations of products, services, information, or experiences, offered to a market to satisfy a need or want.

Marketing offerings

• Generation X

Numbering 49 million or more, this group of consumers is sometimes overlooked because it is less materialistic than other groups and prizes experience, not acquisition.

Dividing buyers into groups based on social class, lifestyle, or personality characteristics is called ________ segmentation.

Psychographic

Which of the following is a variable used to segment consumer buyers that is not used to segment business buyers?

Psychographics

According to the principle of​ ________ marketing, the company should put most of its resources into customer​ value-building marketing investments.

customer value

What are the two keys to building lasting customer relationships? a. innovative products and low prices b. customer service and quality products c. satisfaction and sales promotions d. value and customer service e. value and satisfaction

e. Value and satisfaction

Digital marketing tools use in digital and social media marketing include _____________. a. social media, online video, and newspaper coupons b. mobile apps, online video, and personal selling c. e-mail, telemarketing, and blogs d. social media, mobile apps, and television advertising e. social media, mobile apps, and blogs

e. social media, mobile apps, and blogs

which of the following is NOT a problem involving the natural environment that marketers need to consider? a. government regulations b. raw materials shortages c. greenhouse gases d. pollution e. the aging US population

e. the aging US population

Because of the lack of supermarkets in​ low-income areas, many disadvantaged consumers find themselves in​ ________, with little or no access to​ healthy, affordable fresh foods.

food deserts

Which stage of the product lifecycle normally lasts longer than the previous stages and poses strong challenges to marketing​ management?

maturity

The four major brand strategy decisions involve brand​

​positioning, name​ selection, sponsorship, and development

What is the first step of the buyer decision​ process? A. Information search B. Need recognition C. Purchase decision D. Postpurchase behavior E. Alternative evaluation

B

The growth-share matrix defines four types of SBUs: _______ are low-growth, high-share businesses or products

Cash-cows

Heeltoe, a boutique that caters to the footwear needs of women, manufactures two different lines of footwear based on the purchasing power of its customers. One product line caters to the needs of affluent, middle-aged women, and the other line targets younger professionals and homemakers. Heeltoe most likely segments the consumer market based on ________ variables.

Demographic

Behavioral segmentation

Dividing a market into segments based on consumer knowledge, attitudes, uses of a product, or responss to a product.

False

Most firms begin the strategic planning process by developing detailed marketing and departmental plans that support a company-wide plan.

If competitors cannot easily copy the benefit a company chooses to promote, that benefit is said to be _________.

Preemptive

To design a winning marketing strategy, what are the two important questions a marketing manager must answer?

What customers will we serve? How can we serve these customers best?

the children's online privacy protection act in the US enforces laws for what reason? a. prohibits online service operators from collecting personal information from children b. makes deceptive, misleading, and unfair practices illegal regardless of injury to competition c. bans the sale of hazardous toys and articles d. regulates the distribution of unsolicited commercial e-mail e. establishes procedures to avoid unwanted telephone solicitations

a. prohibits online service operators form collecting personal information from children

the group of economic factors that affect consumers purchasing power and spending patterns is called _______________. a. income distribution b. demographic information c. macro environment d. the economic environment e. the value market

d. the economic environment

In a​ _________, the​ business-to-business buyer reorders something without modifications. A. straight rebuy B. modified rebuy C. buying decision D. new task E. system selling

A

What is​ management's first step when performing a portfolio​ analysis? A. Identify strategic business units. B. Determine the​ company's goals. C. Perform a SWOT analysis. D. Determine the​ company's target market. E. Outline the​ company's mission statement.

A

Which of the following types of marketing involves creating opinion leaders to serve as brand ambassadors to spread the word about a​ company's products? A. Buzz marketing B. Direct marketing C. Traditional marketing D. Values marketing E. Social marketing

A

• Cultural

A wedding services company changes its marketing strategy to reflect the fact that more LGBT (lesbian/gay/bisexual/transgender) marriages are taking place. The company is offering a broader range of ceremonies that cater to this market. Which of the following environments must this wedding company analyze?

True

According to the text, an organization's mission statement should emphasize its intentions toward customers and the customer experience the organization seeks to create.

What are the two ways a firm can obtain new​ products?

Acquisitions and new product development

Differentiation

Actually differentiating the market offering to create superior customer value.

Frequency marketing program

Advantage Airlines has instituted a loyalty rewards program that rewards customers with free Wi-Fi, seat upgrades, and free miles for their continued patronage. What relationship tool is Advantage Airlines using?

A brand new hardware company is writing its mission statement. Which of the following is the BEST mission statement possible for the new​ company? A. We will have two million dollars in profit by the end of our second fiscal year and twice that amount by the end of year five. B. We will help customers​ build, invigorate,​ restore, refurbish, or completely redesign their homes or businesses. C. We will be the best hardware company in the world. No other company will ever outsell us. D. We are providers of​ hardware, lumber-based, and appliance products to be used for home improvement and commercial construction projects. E. We embrace the deeper meaning of the home and commercial improvements.

B

How do the individual components of a SWOT analysis work together to determine the status of a​ company? A. By developing a course of action that best determines a core​ market, the proper product to give the core​ market, and how to do so at an affordable price B. By ascertaining a​ company's strengths, relating them to​ opportunities, minimizing​ weaknesses, and identifying threats to growth and development C. By creating a niche in a market that can be exploited by a company to gain the greatest profits D. By streamlining a​ company's core processes so that all of the​ company's operations flow smoothly and contribute to the development and sale of its products E. By developing a marketing strategy that promotes a​ company's highest-selling products in such a way that there is a measurable return on the​ company's investment

B

When marketers want to promote their products and services through​ word-of-mouth marketing​ programs, they typically begin by​ ________. A. identifying and targeting late adopters B. generating​ person-to-person brand conversations C. withdrawing from online social networks D. pushing​ one-way commercials at customers E. developing print and radio advertisements

B

Why is marketing return on investment so difficult to​ measure? A. Marketers do not keep adequate records. B. There is no consistent definition. C. Marketing dashboards are inconsistent. D. ​Customer-centered measures are inconvenient. E. Customer engagement is hard to measure.

B

• Proactive

Beverly's Burgers came under fire recently when allegations were made that its veggie burgers were actually made with beef. To counter the claims, the restaurant called in a company to test not only its veggie burgers but also the rest of its vegetarian options to prove they lacked meat. The results were displayed publicly on the restaurant's Facebook page. What BEST describes Beverly's Burgers response to the allegations?

Connie's Cupcakes has started to grow larger than Connie could ever have imagined. She is having a hard time keeping track of all of the​ business' marketing activities. She knows that she is going to need help to keep her business growing and is looking to hire. Whom should Connie​ hire? A. Tim​ Forrest, an operations specialist who would be hired as the new chief operating officer B. Cash​ Money, a​ well-educated accountant who would begin working as the new chief financial officer C. Noah​ Lopez, a marketing specialist who would be hired as​ Connie's new chief marketing officer D. Frances​ French, her best friend and fellow entrepreneur who would come on as an additional chief executive officer E. Craig​ Moore, an extremely successful entrepreneur who is actually looking to buy out Connie and grow the business exponentially

C

How do company objectives and goals relate to the company mission​ statement? A. The mission statement and the company goals are two different pieces used to explain the business of the company to its shareholders. B. The mission statement defines what the company​ does, and the goals and objectives outline why the company does it. C. The goals and objectives outline the steps necessary to accomplish the​ company's mission statement. D. The goals and objectives are a restatement of the mission statement in more understandable terms. E. The mission statement is developed based upon the​ company's goals and objectives.

C

​MorningLinks, Inc., makes breakfast sausages and has begun to use the​ slogan, "Start Your Day the Organic​ Way" to jump on the​ eco-friendly movement.​ Unfortunately, as soon as consumers discovered​ MorningLinks' not-so-organic​ ingredients, the company began to see a rapid decline in profits and customer loyalty. What was​ MorningLinks' mistake? A. ​MorningLinks' slogan was not catchy enough. B. MorningLinks did not properly differentiate its position. C. MorningLinks did not deliver on the promise it made. D. MorningLinks failed to target the correct market segments. E. MorningLinks focused only on breakfast sausages instead of diversifying its product mix.

C

What are the four general characteristics that influence consumer​ purchases?

Cultural​ characteristics, social​ characteristics, personal​ characteristics, and psychological characteristics

______ describes the target market and the company's position in it, including information about the market, product performance, competition, and distribution

Current marketing situation

According to the model of buyer​ behavior, what is in a​ buyer's black​ box? A. Purchase behavior B. The four Ps C. Cultural forces D. The​ buyer's characteristics and the​ buyer's decision process E. Attitudes and preferences

D

What determines if a buyer is satisfied or dissatisfied with a​ purchase? A. Whether or not the buyer experiences cognitive dissonance B. The amount of information gathered in the decision process C. How others feel about the purchase D. The relationship between the​ consumer's expectations and the​ product's perceived performance E. The number of alternatives considered in the purchase decision

D

Which of the following lists the five steps of the buyer decision process in the correct​ order? A. Need​ recognition, purchase​ decision, information​ search, evaluation of​ alternatives, and postpurchase behavior. B. Need​ recognition, evaluation of​ alternatives, information​ search, purchase​ decision, and postpurchase behavior. C. Purchase​ decision, need​ recognition, information​ search, evaluation of​ alternatives, and postpurchase behavior. D. Need​ recognition, information​ search, evaluation of​ alternatives, purchase​ decision, and postpurchase behavior. E. Need​ recognition, information​ search, purchase​ decision, evaluation of​ alternatives, and postpurchase behavior.

D

What is the correct sequence of the steps in the strategic planning process?

Define the company mission, set company objectives and goals, design the business portfolio, and plan the market and other functional strategies

Just prior to the introduction of the Roomba, Electrolux introduced a similar robot in Europe that featured asleek, space-aged design and a $1,500 price point. In contrast, the form factor of the iRobot Rumba was simple and its price point was much lower. Because of its unique ____________, the Rumba easily outperformed the rival product in terms of sales.

Differentiation

_______ is company growth through starting up or acquiring businesses outside the company's current products and markets.

Diversification

What is market segmentation?

Dividing a market into distinct groups of buyers who have different needs, characteristics, or behaviors and who might require separate marketing strategies or mixes.

Market segmentation

Dividing a market into distinct groups of buyers who have different needs, characteristics, or behaviors and who might requireseparate marketing strategies or mixes.

Occasion segmentation

Dividing the market into segments according to occasions when buyers get the idea to buy, actually make their purchase, or use the purchased item.

Benefit segmentation

Dividing the market into segments according to the different benefits that consumers seek from the product.

Demographic segmentation

Dividing the market into segments based on variables such as age, life-cycle stage, gender, income, occupation, education, religion, ethnicity, and generalization.

• Dylan should focus on the business market and sell the raw silver for further processing.

Dylan Parker owns 27 acres on a farmstead in Iowa. Recently, as he was plowing a field, he came across a rich silver vein in the ground. Realizing his bounty, he decided to open a new business selling silver. Not knowing much about the marketing environment, he asks you what he should do. Which of the following is the BEST advice?

A marketing dashboard is used to do which of the​ following? A. Promote a product to a target group. B. Analyze the new product lines being developed. C. Determine the financial cost of developing a product. D. Develop a course of action to market a product. E. Monitor strategic marketing performance.

E

A value chain consists of which of the​ following? A. The customers who assign value to products within the company B. A chain of SBUs within a company that provide the most value C. The network of distributors and suppliers that support a company D. The acquisitions team that buys products for the company to sell E. The series of internal departments that carry out​ value-creating activities

E

Sarah has started a new​ company, Sarah's Soaps. She has decided upon the overall purpose and​ mission, created detailed objectives to guide the​ company, and performed detailed portfolio analysis. Unsure of her next​ step, she looks to her partner Mildred for advice. What is the BEST advice Mildred could​ give? A. Let the new department heads take over responsibility to test their effectiveness. B. Reevaluate the mission statement to make sure it reflects the detailed objectives. C. Create a​ growth-share matrix to find cash cows to help fund question marks. D. Determine a target market and begin aggressively marketing to them. E. Develop detailed marketing and departmental plans that will support the​ company-wide plan.

E

This adopter group is skeptical and only adopts new products after a majority of people has tried it. A. Early mainstream. B. Innovators. C. Early adopters. D. Lagging adopters. E. Late mainstream

E

What is the nature of demand in business​ markets? A. Business market demand is independent of consumer market demand. B. Demand in business markets fluctuates less than in consumer markets. C. Demand in business markets does not fluctuate. D. Demand in business markets is elastic. E. Demand in business markets is derived demand

E

​_________ is NOT a characteristic important in influencing an​ innovation's rate of adoption. A. Complexity B. Relative advantage C. Divisibility D. Communicability E. Motivation

E

_________ is the act of obtaining a desired object from someone by offering something in return

Exchange

​________ means striving for good faith and fair dealing so as to contribute toward the efficacy of the exchange process as well as avoiding deception in product​ design, pricing,​ communication, and delivery or distribution.

Foster trust in the marketing system

What are the four major variables used to segment consumer​ markets?

Geographic, demographic,​ psychographic, and behavioral

• The microenvironment deals with the company, suppliers, marketing intermediaries, customer markets, competitors, and publics.

How does the microenvironment of a company differ from its macroenvironment?

The new concept focuses on the needs of the customer.

How does the new concept of marketing differ from the old concept of marketing?

The Internet has allowed consumers to take marketing content and share it.

How has the Internet MOST affected companies and customers?

False

In the marketing mix, place refers to activities that communicate the merits of a product and persuade target customers to buy it.

Which of the following correctly defines the consumer​ market?

Individuals and households that buy goods and services for personal consumption

Less for much less

Involves meeting consumers' lower performance or quality requiements at a much lower price.

What are the four choices a company has for developing​ brands

Line​ extensions, brand​ extensions, multibrands, and new brands

Which of the following statements regarding the business market is​ correct?

Many sets of business purchases are made for one set of consumer purchases.

_______ is company growth by identifying and developing new market segments for current company products

Market development

_______ is company growth by increasing sales of current products to current market segments without changing the product

Market penetration

What are the four growth strategies identified by the product/market expansion grid?

Market penetration, market development, product development, and diversification

________ is the process of dividing a market into distinct groups of buyers who have different needs, characteristics, or behaviors and who might require separate marketing strategies or mixes.

Market segmentation

________ involves dividing a market into smaller segments of buyers with distinct needs or behaviors that might require separate marketing strategies.

Market segmenting

Products and technologies eventually become outdated, but basic market needs can last forever. For this reason, company mission statements should be ______.

Market-oriented

_________ is the process by which companies create value for customers and build strong customer relationships in order to capture value from customers in return.

Marketing

True

Marketing ROI is the net return from a marketing investment divided by the costs of the marketing investment.

The ______________ is a philosophy in which achieving organizational goals depends on knowing the needs and wants of target markets and delivering the desired satisfaction better than competitors do.

Marketing concept

_______ is measuring and evaluating the results of marketing strategies and plans and taking corrective action to ensure that the objectives are achieved

Marketing control

________ is turning marketing strategies and plans into marketing actions to accomplish strategic marketing objectives

Marketing implementation

_________ is the art and science of choosing target markets and building profitable relationships with them.

Marketing management

More for more

More for more positions involves providing the most upscale product or service and charging a higher price to cover the higher costs.

Firms that manufacture seasonal products target their consumers primarily through ________ segmentation.

Occasion

Which of the following are additional variables marketers use to segment business markets but not consumer​ markets?

Operating​ characteristics, purchasing​ approaches, situational​ factors, and personal characteristics

By offering a pet hotline for pet owners to call, Furry Friends is implementing which of the marketing mix variables?

Place

______ consists of arranging for a market offering to occupy a clear, distinctive, and desirable place relative to competing products in the minds of target consumers.

Positioning

The _____________ is the idea that consumers will favor products that offer the most quality, performance, and features; therefore the organization should devote its energy to making continuous product improvements.

Product concept

When iRobot introduced new robot models that would clean gutters and mop floors, this innovation represented which type of market growth strategy?

Product development

Which of the following correctly identifies the five important decisions marketers must make when developing individual products and​ services?

Product​ attributes, branding,​ packaging, labeling, and product support services

At one time, Miller Beer was known as the "champagne of bottled beer." It was targeted at an elite class of customers. Later, to increase sales, Miller was repositioned to attract members of the working, middle-class. What is this segmentation method called?

Psychographic

The marketing manager at Arbor's Delicatessen targets customers who are working to lose weight but who still want to dine out. The restaurant chain offers a wide variety of low-fat, low-calorie meals that appeal to dieters. Arbors' approach is best referred to as ________ segmentation.

Psychographic

_______ is the process of developing and maintaining a strategic fit between the organization's goals and capabilities and its changing marketing opportunities

Strategic planning

• Prohibits online service operators from collecting personal information from children

The Children's Online Privacy Protection Act in the United States enforces laws for what reason?

• To protect consumers from fraudulent packaging and labeling

The Fair Packaging and Labeling Act in the United States enforces laws for what reason?

True

The Four Ps concept takes into consideration the seller's view of the market.

An exchange

The act of obtaining a desired object from someone by offering something in return is known as which of the following?

Most standard portfolio analysis methods evaluate strategic business units (SBUs) on their performance in two important dimensions. What are these two dimensions?

The attractiveness of the SBU's market or industry and the strength of the SBU's position in that market or industry

Which of the following is the key component of strategic market planning?

The customer

• Macroenvironment

The demographic, economic, natural, technological, political, and cultural forces that affect a company's ability to serve its customers make up which of the following?

• protection

The purpose of business legislation is primarily based on ________.

What determines whether the buyer is satisfied or dissatisfied with a​ purchase?

The relationship between the​ consumer's expectations and the​ product's perceived performance

According to the video, iRobot is seeing a lot of competitors coming out with lower-priced and lower-quality knockoffs. The result is a perception that robot vacuums do not work well. With respect to the broader SWOTframework, this analysis would fall under which dimension?

Threat

In​ 1938, Congress enacted the​ ________, which gave the Federal Trade Commission​ (FTC) power to regulate​ "unfair or deceptive acts or​ practices."

Wheeler-Lea Act

For the purchase of unsought goods

When is the selling concept typically used by marketers?

Selling concept

Which marketing philosophy holds that consumers will not buy enough of the firm's products unless it undertakes a large-scale selling and promotion effort?

Build the right relationships with the right customers.

Which of the following describes the current trend in businesses regarding relationships with customers?

• Technological

Wonders such as robotic surgery, miniaturized electronics, and antibiotics can be attributed to which marketing environment?

Which of the following statements regarding the changing marketing landscape is correct? a. the Great Recession caused consumers to rethink their buying priorities. b. Digital technology has had little impact on the way we live. c. Global competition affects only large companies d. Today's post-recession era consumers buy more, use fewer coupons, use their credit cards more, and save less. e. Companies can safely ignore the environmental movement

a. The Great Recession caused consumers to rethink their buying priorities

which of the following correctly lists the actors in a company's microenvironment? a. the company, suppliers, marketing intermediaries, customer markets, competitors and publics b. the company, customers, suppliers, demographic forces, cultural forces and publics c. the company, suppliers, marketing intermediaries, technological forces, competitors and cultural forces d. the company, customers, suppliers, demographic forces, cultural forces, and competitors e. demographic forces, economic forces, technological forces, cultural forces, political forces, and customers

a. the company, suppliers, marketing intermediaries, customer markets, competitors and publics

Which of the following correctly identifies the five core customer and marketplace concepts? a. needs, wants, and demands; market offerings; value; satisfaction; and markets b. needs, wants, and demands; market offerings, value and satisfaction; exchanges and relationships; and markets c. needs, wants, demands, market offerings, and markets d. needs, wants, and demands; products; value; customers; and competitors e. needs, wants, and demands; market offerings; value and satisfaction; competitors; and profits

b. needs, wants, and demands; market offerings; value and satisfaction; exchanges and relationships; and markets

what is the single most important demographic trend in the US today? a. increasing diversity b. the changing age structure of the population c. a better educated population d. geographic population shifts e. changes in the american family

b. the changing age structure of the population

Which of the following is included in a broad definition of marketing? a. Satisfying customers, beating competitors, and maximizing profits b. creating customer value, building customer relationships, and having a strong selling orientation c. creating customer value, building customer relationships, and engaging customers. d. selling, advertising, and promoting e. advertising, selling and developing quality products

c. Creating customer value, building customer relationships, and engaging customers

Which of the following represent market offerings? a. value, satisfaction, sales, and profits b. needs, wants, products, and advertisements c. products, services, information, and experiences d. products, services, needs, and exchanges e. products, services, needs, and wants

c. products, services, information, and experiences

which of the following is an important trend in the natural environment of which marketers should be aware? a. decreased government intervention b. decreasing costs of nonrenewable resources c. shortages of raw materials d. a decrease in consumer concern towards the environment e. decreased pollution

c. shortages of raw materials

from a marketing standpoint, which of the following is the BEST describes Baby Boomers? a. the blend the online and offline worlds seamlessly as they socialize and shop b. they are slowing down as they age c. tehy consitute a lucrative market for financial services, new housing and home remodeling, new cars, travel and entertainment, eating out and health and fitness products d. they tend to research products before they consider a purchase e. they are more likely to be receptive to irreverent ad pitches that make fun of convention and tradition

c. they constitute a lucrative market for financial services, new housing and home remodeling, new cars, travel and entertainment, eating out and health and fitness products

which of the following is a reason for business legislation? a. to ensure that competition is unregulated b. to provide legal guidelines for businesses and marketers without actually enforcing them c. to protect consumers from unfair business practices d. to ensure that companies make profits e. to remove legal regulations from the free market economy.

c. to protect consumers form unfair business practices

What are the two broad classifications of​ products?

consumer products and industrial products

___________ is the value of the entire stream of purchases a customer makes during a lifetime of patronage

customer lifetime value

forces in a company's macro environment that shape opportunities and pose threats to the company include what? a. competitors, suppliers, natural, publics, and culture b. competitors, marketing intermediaries, publics, natural and customers c. demographics, technology, culture, political and publics d. demographic, economic, natural, technological, political/social and cultural forces e. competitors, marketing intermediaries, deomgraphics, political, and technology

d. demographic, economic, natural, technological, political/social, and cultural forces

how does the microenvironment of a company differ from its macroenvironment ? a. the microenvironment deals with the big problem, whereas the macro environment deals with trivial problems b. the microenvironment uses more financial resources than the macro environment c. the microenvironment is company based, whereas the macro environment is customer based. d. the microenvironment deals with the company, suppliers, marketing intermediaries, customer markets, competitors and publics e. the microenvironment affects a larger portion of the company than the macro environment

d. the microenvironment deals with the company, suppliers, marketing intermediaries, customer markets, competitors, and publics

​________ includes exaggerating package contents through subtle​ design, using misleading​ labeling, or describing size in misleading terms.

deceptive packaging

​________ includes practices such as falsely advertising​ "factory" or​ "wholesale" prices or a large price reduction from a phony high retail list price.

deceptive pricing

​________ refers to practices such as misrepresenting the​ product's features or performance or luring customers to the store for a bargain that is out of stock.

deceptive promotion

which of the following identifies a change in the technological environment that could affect the success of a business? a. a company develops a customer support program that customers rate twice as responsive as the previous program b. a company develops a new warranty that lasts as long as its predecessor c. a company packages its product to be twice the size of its predecessor d. a company develops a new battery that costs twice as much as its predecessor. e. a company develops a new battery that lasts twice as long as its predecessor.

e. a company develops a new battery that lasts twice as long as its predecessor.

what advice would you give a firm about how to respond to the changing marketing environment? a. do not do anything until competitors respond b. watch environmental changes but react only when absolutely necessary c. accept the fact that things change and not much can be done about it. d. if the current strategy is working, there is no need to respond to environmental changes. e. whenever possible, take a proactive approach to the environment

e. whenever possible, take a proactive approach to the environment

The principle of​ ________ marketing requires that a company continuously seek real product and marketing improvements.

innovative

Grocers in neighborhoods with a large Hispanic population typically carry more brands that Hispanic consumers prefer than grocers in other neighborhoods. This is an example of ________.

local marketing

Which of the following describes a company that makes employees feel better about their work by giving them a clear​ direction?

sense- of-mission

​________ marketing means that the company should define its mission in broad social terms rather than narrow product terms.

sense- of-mission

The​ ________ concept considers the future welfare of consumers.

societal marketing

For strategic planning purposes, marketing provides a guiding philosophy that suggests the company's strategy should revolve around creating customer value and building profitable relationships with important consumer groups. This philosophy is called _______.

the marketing concept

What is customer relationship management?

the overall process of building and maintaining profitable customer relationships by delivering superior customer value and satisfaction

The first step of the marketing process is to ____________. a. understand the marketplace, which includes customer needs and wants. b. construct an integrated marketing program that delivers superior value c. design a customer-driven marketing strategy d. capture value from customers to create profits and customer equity e. build profitable relationships

understand the marketplace, which includes customer needs and wants

Many marketers think that companies should aggressively promote only one benefit to the target market. The benefit promoted is known as a(n) ________.

unique selling proposition

A​ _______ defines how a company will create differentiated value for targeted segments and what positions it wants to occupy in those segments.

value proposition

False

"At CL Online, we create customer connectivity, anytime, anywhere" is a product-oriented mission statement.

False

"At Dodson, we sell shoes" is a market-oriented business definition.

A purse​ company's ads feature the members of a popular housewives reality show. Product sales increase significantly among the fans. From the​ fans' viewpoint, the housewives reality show is​ a(n) _____. A. reference group B. ​late-majority adopter C. lagging adopter D. membership group E. family group

A

Items such as technical​ specifications, quantity, delivery​ time, return policies and warranties are included in the​ ____________. A. product specification B. proposal solicitation C. supplier selection D. general need description E. order routine specification

A

To create value for​ customers, marketers must improve the performance of the​ ______, which includes partnering with​ suppliers, distributors, and customers. A. value delivery network B. internal value chain C. strategic plan D. competitive delivery network E. marketing system

A

What is a business​ portfolio? A. The collection of businesses and products that make up a company B. A record of business investments C. A collection of a group of companies within the same area of business D. The record of the responsibilities of the CEO and the CFO E. A projection of a future marketing direction for a company

A

Which of the following needs in​ Maslow's hierarchy is generally satisfied​ first? A. Physiological needs B. Social needs C. Safety needs D. Esteem needs E. ​Self-actualization needs

A

Consumers can obtain information from any of several sources. Which source is the most effective in that they legitimize the​ product? A. Public sources B. Personal sources C. Media sources D. The Internet E. Commercial sources

B

Which type of business buying situation offers marketers the greatest opportunity but also the greatest​ challenge?

A new task situation

True

A tool for identifying growth opportunities is the product/market expansion grid.

A SWOT is a part of which marketing management function?

Analysis

A​ company's value chain is only as strong as its weakest link. What should a company do to properly gauge the strength of its links and continually​ improve? A. Determine the​ company's proper marketing mix. B. Evaluate its value delivery network. C. Examine the​ company's partner relationship management. D. Perform a​ growth-share matrix. E. Perform a SWOT analysis.

C

Which of the following is NOT part of an overall SWOT analysis evaluation of a​ company? A. Threats B. Strengths C. Strategy D. Weakness E. Opportunities

C

Socially responsible target marketing would classify which of the following as an especially vulnerable target market for harmful or controversial products?

Children

Customer equity

Craig's Craft Beer structures its company in such a way to encourage its most profitable older customers to remain loyal while also targeting a new generation of customers. What is Craig's Craft Beer attempting to build?

The marketing process captures value from customers by ______________.

Creating profits and customer equity

____________ is the customer's evaluation of the difference between all the benefits and all the costs of a marketing offer relative to those of competing offers.

Customer-perceived value

Geographic segmentation

Dividing a market into different geographical units, such as nations, states, regions, counties, cities, or even neighborhoods.

Income segmentation

Dividing a market into different income segments

Which of the following statements is true regarding the marketing of​ services?

For service​ providers, a solution to price competition is to develop a differentiated​ offer, delivery, and image.

• They constitute a lucrative market for financial services, new housing and home remodeling, new cars, travel and entertainment, eating out, and health and fitness products.

From a marketing standpoint, which of the following BEST describes Baby Boomers?

What is the first step in the new product development​ process?

Generating new product ideas

________ segmentation calls for dividing the market into different nations, regions, states, counties, cities, or even neighborhoods.

Geographic

People differentiation

Hiring and training better people than their competitors do.

Product position

How a product is defined by consumers on important attributes- the place a product occupies in consumers' minds relative to competing products.

Needs are satisfied by wants, and buying power converts wants into demand.

How do market demands relate to needs and wants?

The profile of the early Roomba customers reflected individuals who liked and were comfortable with technology and who also wanted a clean home. Dividing the larger population into smaller groups based on such characteristics is a practice known as _____________.

Market segmentation

_______ is the marketing logic by which the company hopes to create customer value and achieve profitable customer relationships

Marketing strategy

To be useful, market segments must be

Measurable, accessible, substantial, differentiable, and actionable.

Toyota allows Scion buyers to customize their cars to meet their exact needs and preferences. This is an example of ____________.

Micromarketing

Which of the following would make a segment less attractive to enter?

New entrants finding it easy to enter the segment

• Work out a plan with its financial intermediaries

Noah's Sporting Goods is having difficulty attaining the credit it needs to expand. What should the company do in order to alleviate its financial situation?

Which of the marketing mix variables focuses on how the product will get to the ultimate consumer?

Place

The same for less

Powerful value proposition- everyone likes a good deal. Offer the same products at a lower price.

_______ is company growth by offering modified or new products to current market segments

Product development

_______ is a portfolio-planning tool for identifying company growth opportunities through market penetration, market development, product development, or diversification

Product/market expansion grid

The growth-share matrix defines four types of SBUs: _______ are low-share business units in high-growth markets

Question marks

• Value marketing

Roper's Radical Racers is an upscale company that sells cars primarily to racecar drivers and movie producers. In the past, Roper's Radical Racers marketed itself to the fun-loving driver long dash —the driver who wanted to "race with life." However, in the current economy, Roper's has changed its slogan to "superior speed, superior savings." Roper's Radical Racers is engaging in which of the following?

Barnacle

Scott Frost has been coming to Adeline's Diner for 20 years and refuses to go anywhere else. Ada, the owner of Adeline's, loves Scott's loyalty but admits he purchases only a cup of cappuccino each visit. Scott would BEST be described as which of the following?

the marketing mix

Selling and advertising are part of a larger set of marketing tools that work together to satisfy customer needs and build customer relationships known as _____________.

The _____________ is the idea that consumers will not buy enough of the firm's products unless the firm undertakes a large-scale selling and promotion effort.

Selling concept

Your local pizzeria promises "Delivery in 30 minutes or less or the pizza is free." What point of differentiation is this?

Services differentiation

____________ is the portion of the customer's purchasing that a company gets in its product categories

Share of customers

In its communications to customers and investors, iRobot proclaims that its goal is to "design and build robots that make a difference in people's lives." Identifying the company's mission is the first step in the______________ process.

Strategic planning

If a segment is large enough or profitable enough to serve, it is ________.

Substantial

Local marketing

Tailoring brands and marketing to the needs and wants of local customer segments - cities, neighborhoods, and even specific stores.

Micromarketing

Tailoring products and marketing programs to the needs and wants of specific individuals and local customer segments' it includes local marketing and individual marketing.

Value proposition

The full positioning of a brand- the full mix of benefits on which it is differentiated and positioned.

Which of the following statements regarding socially responsible product decisions is​ correct?

The government may prevent companies from adding products through acquisitions if the effect threatens to lessen competition.

• the economic environment

The group of economic factors that affect consumers' purchasing power and spending patterns is called ________.

What is the societal marketing concept?

The idea that a company's marketing decisions should consider consumers' wants, the company's requirements, consumers' long-run interests, and society's long-run interests

What is the production concept?

The idea that consumers will favor products that are available and highly affordable

people's views of themselves and others, as well as their views of organizations, society, nature, and the universe

The major cultural values of a society are expressed by _________.

Which marketing management orientation holds that a firm should have a customer focus to achieve sales and profits?

The marketing concept

False

The most common form of marketing organization is the product management organization.

False

The position of a strategic business unit in the growth-share matrix typically remains constant over time.

True

The purpose of operating control is to ensure that a company achieves the sales, profits, and other goals set out in its annual plan.

• Help the company find, promote, sell, and distribute products

The role of a company's marketing intermediaries is to do which of the following?

A value chain is _______

The series of internal developments that carry out value-creating activities to design, produce, market, deliver, and support a firm's products

Capture value from customers.

The ultimate goal of the marketing process is to do which of the following?

What is a​ product's position?

The way a product is defined by consumers on important attributes

What is a product's position?

The way a product is defined by consumers on important attributes.

Tina's Tunes is likely to fail because it is ignoring the technological environment.

Tina's Tunes is a music store that has been selling CDs for 20 years. Throughout the last six years, sales have continuously declined and profits have almost completely disappeared. The CEO of Tina's Tunes believes resurgence is likely to happen soon and wants to continue business as usual. What is likely to happen to Tina's Tunes?

Which structural factor would make a market segment attractive to enter?

Very few actual or potential substitute products

Which structural factor would make a market segment attractive to​ enter?

Very few actual or potential substitute products

__________ are the form human needs take as they are shaped by culture and individual personality.

Wants

Produce high customer equity.

What is the ultimate aim of customer relationship management?

• Checking the quality of food that is served in school lunches

Which of the following BEST describes a duty that would fall under the jurisdiction of the FDA?

Once management has decided on its product concept and marketing​ strategy, it can evaluate the business attractiveness of the​ proposal, which involves​

conducting a business analysis

​________ products give both high immediate satisfaction and high​ long-run benefits, such as tasty and nutritious breakfast food.

desirable

​________ is an organized movement of concerned​ citizens, businesses, and government agencies designed to protect and improve​ people's current and future living environment.

environmentalism

Evaluating each market​ segment's attractiveness and selecting one or more market segments to enter is called​

market targeting

The state of felt deprivation is known as ____________

needs

To create successful new​ products, a company must​

understand its​ consumers, markets, and​ competitors, and develop products that deliver superior value

What are the five stages of the consumer adoption process in the correct​ sequence?

​Awareness, interest,​ evaluation, trial, and adoption

In which type of buying situation will a buyer usually go through all the stages of the business buying​ process? A. A new task buying situation B. A straight rebuy C. A modified rebuy D. The purchase of raw materials E. The purchase of a business service

A

The goal of a market development growth strategy is to do which of the​ following? A. Identify and develop new markets for current products of a​ company's market. B. Start up businesses beyond its current products and markets. C. Make more sales to current customers without changing its original products. D. Buy businesses beyond its current products and markets. E. Offer modified or new products to current markets.

A

True

A company can assess marketing ROI in terms of standard marketing performance measures, such as brand awareness, sales, or market share.

True

A company can offer greater customer value by either charging lower prices than competitors or offering more benefits to justify higher prices.

False

A company's customer value delivery network does not include members external to the organization.

True

A firm's marketing department must partner with other company departments to produce superior value for customers.

Market exchange

A local theatre group wants to increase the membership and attendance at its performances. To do so, it hosts free shows, offers standup comedy nights, and sends volunteers to the local high school. In what is the theatre group engaging?

Target market

A set of buyers sharing common needs or characteristics that the company decides to serve.

Positioning statement

A statement that summarizes company or brand positioning fusing this form: To (target segment and need) our (brand) is (concept) that (point of difference).

Competitive advantage

An advantage over competitors gained by offering greater customer value, either by having lower prices or providing more benefits that justify higher prices.

A SWOT analysis is _________

An overall evaluation of a company's strengths, weaknesses, opportunities, and threats

What are the five marketing management functions used to manage the marketing process?

Analysis, planning, implementation, organization, and control

Positioning

Arranging for a market offering to occupy a clear, distinctive, and desirable place relative to competing products in the minds of target consumers

All the people involved in the buying decision in an organization are collectively known as​ _______. A. the purchasing team B. the buying center C. buying actors D. buying agents E. the buying nucleus

B

One problem with​ business-to-business e-procurement is that it​ _______. A. increases transaction costs B. Suppliers being pitted against one another C. reduces purchasing efficiency D. increases the time between order and delivery E. increases paperwork requirements

B

Determine who in the community wants or needs a bicycle or repair service.

Bob's Bicycle Sales and Repair is a brand new company. From a marketing standpoint, what is the FIRST thing Bob's Bicycle Sales and Repair needs to do?

Age, personality, buying​ style, and job position are​ ________ factors that can influence the business buying decision process. A. organizational B. interpersonal C. individual D. economic E. cultural

C

Which of the following is a personal factor that influences a​ consumer's buying​ behavior? A. Occupation B. Family C. Social networks D. Motivation E. Status

A

​Tammy's Tap Dancing School currently has several question marks in its business​ portfolio, but it is currently maintaining its market share. At the most recent board​ meeting, the CEO of​ Tammy's Tap Dancing School decided to allocate all of the​ company's profits toward the growth and expansion of this question​ mark, in order to cause the question marks to become stars. What is likely to happen to this​ company? A. The growth of the company will be unpredictable since there is no guarantee a question mark will become a star. B. The company will gain market share and prosper as the question marks are developed. C. The company will go​ bankrupt, because all of its profits will be wasted on uncertain SBUs. D. The company will be unable to sustain​ itself, because its profits will be spent on developing question marks and not on maintaining more profitable SBUs. E. The company will not show any growth or change at​ all, because profits will neither increase nor decrease.

A

Undifferentiated (mass) marketing

A market-coverage strategy in which a firm decided to ignore market segment differences and go after the whole market with one offer.

Differentiated (segment) marketing

A market-coverage strategy in which a firm decides to target several market segments and designs separate offers for each. (ex. multiple types of tide detergents)

Concentrated (niche) marketing

A market-coverage strategy in which a firm goes after a large share of one or a few segments or niches

_______ describes the organization's purpose - what it wants to accomplish in the larger environment

A mission statement

Which of the following is the correct definition of a​ product

A product is anything that can be offered to a market for​ attention, acquisition,​ use, or consumption that might satisfy a want or need.

A _______ defines how a company will create differentiated value for targeted segments and what positions it wants to occupy in those segments.

A value proposition