SmartBook Ch. 1 Homework Questions

______ studies the processes that people use to choose, secure, utilize, and dispose of products, services, experiences, or ideas to satisfy needs and the effect of these processes on the consumer and society.

Consumer behavior

It is important for individuals in consumption societies to be aware of the marketing strategies and tactics that influence their decisions so as to _____.

be more effective as consumers.

Economically developed societies are often called:

consumption societies.

The difference between all the benefits derived from a total product and all the costs of obtaining those benefits is known as:

customer value.

Which is the most effective way to discover customers' needs?

marketing research

Which application of consumer behavior serves to protect consumers?

regulatory policy

Consumer behavior can best be defined as the study of the processes individuals, groups, or organizations go through in order to:

select, secure, use and dispose of products, services, experiences or ideas.

The application of not-for-profit marketing strategies and tactics to alter or create behaviors that have a positive effect on the targeted individuals or society as a whole is referred to as

social marketing

The application of marketing strategies and practices not for profit but rather to change or create behaviors that have a beneficial impact on targeted individuals or society as a whole is known as:

social marketing.

Which market analysis component includes consideration of the state of the economy, the physical environment, government regulations, and technological developments?

the conditions

Select the components of a market analysis. (Select all that apply)

the consumption process of potential customers the organization's own capabilities the economic, physical, and technological environment the capabilities of current and future competitors

Customer value can be defined as:

the difference between the benefits derived from a total product and the costs of acquiring those benefits.

What is the likely outcome for a firm that bases its marketing decisions on explicit consumer behavior theory, assumptions, and research?

It can create a competitive advantage for the firm.

Which two statements about determining customers' needs are true?

It is a complex process. It can often be accomplished by marketing research.

When conducting market analysis, which of the following must a company do?

It must understand its own ability to meet customer needs.

1. The consumers 2. The company 3. The competitors 4. The conditions

1. The consumption process of potential customers 2. The organization's own capabilities 3. The capabilities of present and future rivals 4. The economic, physical, and technological context of the components

Which of the following are the most likely responses from competing companies if your company is successful? (Select all that apply)

Competitors will increase their advertising. Competitors will reduce prices on their products.

Select from the following the four steps of the market segmentation process.

Identify product-related need sets group customers with similar need sets describe each group select a segment to serve

Which application of consumer behavior serves to protect consumers?

Regulatory policy

Select the regulatory bodies and/or policies that are designed to protect and educate consumers. (Select all that apply.)

The Food and Drug Administration The Nutrition Labeling and Education Act

Marketing decisions are likely to be successful if they are based on:

explicit consumer behavior theory, assumptions, and research.