Sac State Marketing 101 Exam 1

The marketing team of 7 Star Inc., a company manufacturing smartphones, is currently studying the size, density, location, age, and occupation of its target market. Which of the following environments is being studied in this scenario?

demographic environment

Which of the following is the first step in the marketing research process?

Defining the problem with research objectives

Greg Williams now has the buying power to purchase the desktop computer that he has wanted for the last six months. Greg's want now has become a(n) ________.

Demand

Which of the following types of research would be best suited for understanding the attitudes of consumers who buy a particular brand of soft drink?

Descriptive research

Which of the following is a disadvantage of online focus groups

Determining the identity of people who constitute an online sample is difficult

Government markets consist of government agencies that buy goods and services ________.

to produce public services.

A company sent a trained observer to watch and interact with consumers in their natural environments in order to gain deeper insights on consumer needs. This is an example of ________.

Ethnographic research

Juanita Petino, a nutritionist, decided to test the effects of two breakfast cereals, Kinglo and Loopy, on different consumer groups. For the purpose of her study, she divided 20 volunteers into two groups and asked the members of one group to have Kinglo cereal and the members of the other group to have Loopy cereal for breakfast. She decided to compare the responses of the volunteers after a week to gain deeper insights into consumer attitude. In this instance, Juanita is using ________.

Experimental research

In ________ research, the objective is to gather preliminary information that will help define the problem and suggest hypotheses.

Explanatory

T/F: Fast Food, Inc. views marketing as the process of finding and retaining profitable customers by providing them with the food they want. Fast Food, Inc. practices societal marketing.

False

T/F: Marketing researchers can conduct their own searches of secondary data sources by using mail questionnaires and interviewing individuals.

False

T/F: Most major companies have now appointed a chief privacy officer (CPO), whose job is to safeguard the privacy of the companies in the international business environment.

False

T/F: The first question in a questionnaire should be purposely made difficult and complicated to weed out the uninterested respondents.

False

T/F: The introduction of new technologies is equally beneficial to all industries.

False

T/F: The micro-environment consists of larger societal forces that affect a company, such as demographic, economic, political, and cultural forces.

False

T/F: The popularity of cause-related marketing as a form of corporate giving is rapidly declining.

False

T/F: When backed by buying power, wants become needs.

False

T/F:An organization's department follows a customer-centered sense-and-respond philosophy. The department is most likely practicing the product concept

False

T/F:Customer-managed relationships are marketing relationships that are controlled by customers, therefore, they are of no significance to marketers.

False

T/F:Market segmentation is the process of seeking fewer customers and reduced demand for profit maximization only.

False

Which of the following is most likely an advantage of survey research?

Flexible, can be used to obtain many different kinds of information in many different situations.

Which of the following is most likely a disadvantage of focus group interviewing?

Focus group interviewing involves small samples to keep time and costs down which makes it hard to generalize from the results

Which of the following is the aim of the product concept?

Focus on making continuous product improvements

Cape Sky Inc., an international insurance and financial services company, is the primary sponsor of the annual New York City Marathon, which is attended by over one million fans and watched by approximately 300 million viewers worldwide. The Cape Sky logo and name are displayed throughout the race course. Cape Sky most likely sponsors this event in order to appeal to which of the following types of public's?

General Publics

Which of the following is true regarding marketing research

Give marketers insight to customer motivations, purchase behavior, and satisfaction

What is the purpose of a data warehouse

ID to aggregate information throughout an organization into a single repository in such a way that employees can make decisions and understate business analysis activities.

Secondary data consist of ________.

Information that Already exists, or is collected for another purpose

Diana, a senior marketing manager of a pizzeria in North Florida, is currently researching electronic collections of consumer information within the company network to arrive at crucial marketing decisions. In this instance, Diana is using ________.

Internal Database

Which of the following is the final step of the marketing research process?

Interpreting and reporting the findings

Which of the following statements is true of the selling concept?

It is typically practiced with unsought goods.

Which of the following statements is true of the production concept?

It leads to companies focusing too narrowly on their own operations.

Which of the following refers to a non probability sample in which the researcher uses his or her evaluation techniques to select population members who are good prospects for accurate information

Judgment sample

Sam has been directed to study the demographic, economic, political, and cultural forces that affect an organization. In this instance, Sam has been directed to study the ________ of the organization.

Macroenvironment

A(n) ________ is the set of actual and potential buyers of a product or service.

Market

Which of the following terms refers to sellers being preoccupied with their own products and losing sight of underlying consumer needs?

Market Myopia

A ________ is some combination of products, services, information, or experiences provided to consumers to satisfy a need or want.

Market Offering

An organic farmer has identified three distinct groups that might be interested in his products: vegetarians, health-conscious individuals, and people identified as trendsetters who try out new products in the market before others. These three groups are examples of ________.

Market Segments

The art and science of choosing target markets and building profitable relationships with them is called ________.

Marketing

For her current research project, Margaret Rogers wants to select a sample in which every member has a known and equal chance of selection. In other words, Margaret is looking for a ________.

A simple random sample

Which of the following is an example of an open-end question?

Allows respondent to generate answer without limitations on length or consent, allows you to explore new avenues often starting point to generate close ended questions

Consumers in the "lifestyles of health and sustainability" (LOHAS) market are more likely to seek ________.

Alternative Medicine

The market researchers at HoneyCamp Foods gather daily sales data and sort it by product line and region. With the help of sophisticated tools and techniques, they develop the data needed by marketing managers to evaluate the market share of the company's different products and also to gain valuable market insights. This mix of people and procedures at HoneyCamp Foods that generate actionable marketing insights represents a(n) ________.

Marketing Information system

Which of the following is NOT an accurate description of modern marketing?

Marketing emphasizes selling and advertising exclusively

Jonathan works for a firm that assists companies in promoting, distributing, and selling their products to end consumers. The firm Jonathan works for is a ________.

Marketing intermediary

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

Marketing research

Maria works for Sigma Inc., a firm that helps companies target and promote their products to the right markets. Sigma is most likely a ________.

Marketing services agency

Which of the following is most likely influenced by marketers?

Media

Dan has been directed to study the actors close to a company that affect its ability to serve its customers, such as the company, suppliers, marketing intermediaries, customer markets, competitors, and public's. In this instance, Dan has been directed to study the ________ of the company.

Micro environment

Which of the following is true about survey research

Most widely used for primary data collection, best used for gathering descriptive information, flexible.

Melissa Thomas leads the marketing research division at Tronics Inc., a manufacturing company based in Alabama. To improve future sales of the company's products, she has decided to collect customer opinions and feedback on the current products offered by her company. For this purpose, Melissa is looking for a highly flexible contact method which can be used to gather large amounts of data within the least possible time. In this instance, which of the following contact methods is most likely to hold the highest appeal for Melissa?

Online surveys

Ursula Williams owns a small publishing company in Utah and has a very restrictive budget for the market research she currently needs to conduct. She requires a large sample size for her research in order to arrive at insightful conclusions. Additionally, she wants to have excellent control over her sample. Keeping in mind her restrictive budget and other specifications, which of the following methods of contact would you advise Ursula to use?

Online surveys

It is most accurate to say that when customers purchase products they act on ________ as they judge values and costs.

Perceived value

LandPort Transportation and Omega Warehousing help companies move and stock goods from their manufacturing units to their destinations. These two businesses are examples of ________.

Physical distribution firms

Sarah Parker is a senior manager in a manufacturing firm that hires lobbyists to influence legislation that affects the manufacturing industry. Sarah's firm takes a(n) ________ stance toward the marketing environment.

Proactive

Which of the following is NOT true about KNN method?

Requirements: Database, Measure of the distance, and K the number of the nearest neighbors to retrieve. Advantages: Simple, effective, and data driven. Disadvantages: Require large size of data set and require great computational capacity. Core Values: Compute distance to other training records, identify K nearest neighbors, use class labels to determine the class label of the unknown record, customer identification, customer retention and customer development.

Rachel works for a furniture company in Ireland. She is responsible for buying and selling goods at a profit to small retailers. Rachel most likely operates in a ________ market.

Reseller

Which of the following questions is an example of a closed-end question

Respondents select from a set of answers that have been provided

Jolene's firm markets preplanning services for a mortician. She finds that most of her target market avoids discussing future funeral needs. She convinces people to invest in the firm's services through her large-scale promotional efforts. Jolene's firm most likely practices the ________.

Selling Concept

Keith, a clothing store owner, offers product suggestions to customers based on their current purchases. Which of the following is Keith targeting to increase?

Share of customer

Iceco Inc., an ice-cream manufacturing company, encourages all stakeholders, including the top management and employees at all levels in their stores, to consider individual and community welfare in their day-to-day decisions. This action undertaken by Iceco reflects ________.

Social responsibility

Which of the following is a potential downside to using patriotic themes in marketing programs?

Such promotions can be viewed as attempts to gain from others' triumph or tragedy

________ provide the resources needed by a company to produce its goods and services.

Suppliers

________ refers to socially and environmentally responsible marketing that meets the needs of consumers and businesses while also preserving or enhancing the ability of future generations to meet their needs.

Sustainable Marketing

Cathy's Clothes is a small yet successful retail chain that sells women's clothing and accessories with a focus on buyers who have relatively modest means. For this specific purpose, the firm has rolled out several marketing initiatives aimed at women of a specific demographic. This is an example of ________.

Target Marketing

Selecting which segments of a population to serve is called ________.

Target Marketing

Which of the following statements about the Internet is most accurate?

The Internet makes it easy for consumers to view, respond to, and create marketing content.

Primary data consist of

The first person to collect a specific type of information and use it for your product

Which of the following is true with regard to mail questionnaires?

The response rate of mail questionnaires is often very low

Which of the following is an advantage of telephone interviews?

The speed with which data is collected is high

Which of the following is true of the baby boomers?

They control an estimated 70 percent of the United States' disposable income.

Which of the following is true of Gen Xers?

They were the first to grow up in the Internet era.

Which of the following is true with regard to media public's?

This group carries news, features, and editorial opinion.

T/F: A sample is a segment of the population selected for marketing research to represent the population as a whole.

True

T/F: As baby boomers reach their peak earning and spending years, they become lucrative markets for financial services, travel, and entertainment.

True

T/F: Business markets buy goods and services for further processing or use in their production processes

True

T/F: KNN method can be useful in customer retention.

True

T/F: Mail questionnaires can be used to collect large amounts of information at a low cost per respondent.

True

T/F: Marketing success requires building relationships with other company departments, suppliers, marketing intermediaries, competitors, various public's, and customers, which combine to make up the company's value delivery network.

True

T/F: Millennial's comprise the most commercially influential group in America today.

True

T/F: The difference between human needs and wants is that needs are not created by marketers.

True

Customers can be classified into four relationship groups based on their profitability and projected loyalty. Which customer type is associated with high profitability and long-term loyalty?

True friends

Which of the following refers to a set of benefits that a company promises to deliver to customers to satisfy their needs?

Value Propositon

________ are human needs that are shaped by culture and individual personality.

Wants

Which of the following is a disadvantage of using secondary data?

You cannot get all the information you need from just secondary data. Even if data is found, it could be irrelevant.

A financial services firm has several loyal customers who conduct business with them exclusively. However, the company has noticed that this customer group is the least profitable for the company, and in some cases, it increases their losses when engaging in business with this group. Which of the following customer groups is being referred to in this scenario?

Barnacles

Hank is an assistant marketing director for a firm in a market with many low-margin customers. What type of relationship with these customers would be the most profitable for him?

Basic Relationships

According to the five-step model of the marketing process, which of the following is the final step in creating value for customers?

Building profitable relationships and creating customer delight

At Gina's retail stores, the posted policy reads, "Without our customers, we don't exist." Gina and her staff aim to delight each customer, and they are quick to offer discounts or extra services whenever a customer is anything less than satisfied. Gina and her staff strive to make every customer a repeat customer. It is most accurate to say that instead of focusing on each individual transaction, Gina and her staff put a priority on ________.

Capturing customer lifetime value

Ramona Adams, a marketing manager working in an American firm, is about to test the hypothesis that the sale of a particular product will increase exponentially if there is a $5 drop in the selling price of the product. Ramona is involved in ________ research.

Casual

A regional supermarket chain runs print, radio, and television advertisements announcing that 1 percent of each of its sales is donated to local after-school programs for underprivileged youth. This is an example of ________.

Cause related marketing

The marketing department of a reputed firm wants to improve strategic decision making, track the actions of other players in the market, and provide early warning of opportunities and threats. Which of the following would help the firm achieve its objectives?

Competitive marketing intelligence

Price & Malone Corp., a company based in Houston, caters to a market of individuals and households that buy goods and services for personal consumption. Price & Malone caters to a ________ market.

Consumer

Which of the following refers to a non probability sample in which the researcher selects the easiest population members from which to obtain information?

Convenience sample

Which of the following is most likely true about international research?

Costly international research is necessary if firms want to succeed in foreign markets

Brad works with a reputed retailer and leads a team that collects market information from a wide variety of sources ranging from marketing research studies to monitoring online conversations where consumers discuss Brad's firm or its products. Brad's team uses this information to arrive at a better understanding of consumer behavior and their buying motives. This, in turn, allows Brad's firm to successfully generate more value for consumers. Brad leads the ________ team.

Customer Insights

The primary key to delivering customer satisfaction is to match product performance with ________.

Customer expectations

"Losing a customer once means losing the entire stream of possible purchases that the customer would make over an extended period of patronage." The above statement specifically indicates loss in terms of ________.

Customer lifetime value

Building and maintaining profitable customer relationships by delivering superior customer value and satisfaction is called ________.

Customer relationship management

FedEx offers its customers fast and reliable package delivery. When FedEx customers weigh these benefits against the monetary cost of using FedEx along with any other costs of using the service, they are acting upon ________.

Customer-perceived value

Which of the following is a characteristic of customer-driven marketing?

Customers know what they want.