Chapter 1

Effective marketing should start with ______.

potential customer needs

Which of the following is an example of marketing metrics?

Revenue

A marketing exchange is ______.

usually part of an ongoing relationship

The term "______" refers specifically to manufacturing goods or performing services.

production

If online shoe retailer Zappos offers superior customer value, what is the sequence of benefits Zappos can hope to obtain? Start with the first benefit Zappos will attain after it offers superior customer value.

1. Zappos attracts more customers 2. Zappos satisfies its customers 3. Zappos keeps more of its customers 4. Zappos increases sales to its present customers 5. Zappos builds profitable customer relationships

Which of the following is the main reason why a firm would move into the marketing department era?

A company needs to coordinate the activities of its production, purchasing, shipping, and sales departments.

Which of the following marketing functions involves seeking and assessing goods and services?

Buying

Which of the following is true about competition and customer value? (Check all that apply.)

A firm that creates customer value that is superior to its competition is likely to retain customers. A firm offering better values than its competition is likely to acquire new customers.

Which of the following are examples of an intermediary that facilitates exchange? (Check all that apply.)

A retail electronics store with a knowledgeable staff An online camping store that provides customer reviews of backpacks A grocery store providing many different foods in one place

Which of the following reflect how a company adopting a production orientation would operate? (Check all that apply.)

Advertising emphasizes product features. Customer service is required only to handle and reduce customer complaints. The company sells whatever product offering it is able to produce.

The market information function includes which of the following? (Check all that apply.)

Analyzing information Using information for marketing control Distributing information

Which of the following will help firms build relationships with customer value? (Check all that apply.)

Attracting new customers and satisfying them Having all relevant parts of a firm working together to solve customers' problems

Improving short-run policy planning and trying to integrate a firm's activities reflect the Blank 1 of 2 Blank 2 of 2 era.

Blank 1: marketing Blank 2: department

The Blank 1 Blank 2 era describes a stage when a single department in a firm takes over the firm's marketing activities in an effort to improve marketing activities.

Blank 1: marketing Blank 2: department

The Blank 1 Blank 2 era was characterized by families or other small groups that might sell or trade to local distributors any extra goods that they might produce.

Blank 1: simple Blank 2: trade

The Blank 1 of 2 Blank 2 of 2 era was characterized by families or other small groups that might sell or trade to local distributors any extra goods that they might produce.

Blank 1: simple Blank 2: trade

Which of the following are examples of how a firm can build relationships with customer value? (Check all that apply.)

Changing a production procedure to reduce the number of defective parts Efforts by delivery personnel to increase customer satisfaction

Which of the following are marketing specialists that help with marketing functions other than buying or selling?

Collaborators

Which of the following are the basic ideas central to the marketing concept? (Check all that apply.)

Customer satisfaction Profit (or another measure of long-term success) Total company effort

Which of the following refers to the relative benefit that a customer believes he or she gets from a product or service compared to the cost of obtaining it?

Customer value

______ is the situation that stems from the preference of producers to make large amounts of a product and the preference of consumers purchase small amounts of the product.

Discrepancies of quantity

Which of the following refers to the ability of a company to reduce the per unit cost of a product by producing greater quantities of the product?

Economies of scale

In which of the following industries would you be less likely to see firms utilizing the marketing concept because they do not have much competition? (Check all that apply.)

Electric utilities Chemical producers

Marketing ideas are used to promote which of the following? (Check all that apply.)

Entrepreneurs Political parties Charities

Marketing Blank 1 are the moral standards for making marketing decisions and actions.

Ethics

Which of the following statements reflects the behavior of a firm practicing the marketing concept?

Everyone in the organization thinks about how to satisfy customers.

True or false: All marketing managers today have made it to the final stage in the marketing evolution --- the marketing company era.

False

True or false: Management-oriented micro-marketing skills are only important to those who want to manage a major corporation.

False

True or false: The National Cancer Society is an example of an organization that does not need to use marketing.

False

Which of the following is the universal marketing function that provides the cash and credit needed for carrying out the other marketing functions?

Financing

Which of the following might be considered benefits to a person going on a vacation to Hawaii? (Check all that apply.)

Free transportation to and from the airport A nice swimming pool A complimentary drink in the hotel lobby

Which of the following are the basic ways of viewing marketing? (Check all that apply.)

From a macro view, as a function of society From a micro view, as a function carried out by companies

Standardizing and ________ which involves separating goods according to their size and quality, streamlines the selling and buying process.

Grading

Which of the following are industries in which the marketing concept is less commonly practiced? (Check all that apply.)

Industries where customers see most sellers as similar Industries with few competitors

Michael needs the benefits of an online storage system, but does not know how online storage works nor who offers that kind of service. This is an example of a ______.

Information

In most markets, competition fosters ______.

Innovation

Marketing spurs ____, which means coming up with new ideas, goods, and services.

Innovation

______ is the creation and adoption of new ideas, goods, and services.

Innovation

Which of the following is a market specialist whose role in the exchange process is to focus on trade?

Intermediary

Which of the following is not true about marketing?

It should take control of production, accounting, and finance in order to be more effective

Criticisms of marketing include ______. (check all that apply.)

Marketers over-promise service., The quality of the product is unsafe and poor. Marketing exploits the poor.

The activities in a firm that try to identify customer needs and focus the flow of goods or services in the firm in order to meet those needs is called

Marketing

Which of the following involves meeting the goals of an organization by anticipating customer needs and ensuring that the organization's products or services can help satisfy those needs?

Marketing

Which of the following are reasons why marketing can be important for future employment? (Check all that apply.)

Marketing can help in selling your ideas in a new job. Marketing can help in getting a job.

In which era of marketing are all the activities of a company defined in terms of marketing based on both short-term and long-term plans?

Marketing company era

Which of the following refers to the idea that a company should focus entirely on satisfying customers and do so profitably?

Marketing concept

Which of the following is the marketing era in which a company creates a single department to assume command of all of the company's marketing activities?

Marketing department era

Which of the following are true with respect to marketing and production? (Check all that apply.)

Marketing investigates what the future needs of customers might be. Marketing starts with the potential needs of customers.

Which one of the following statements describing marketing is correct?

Marketing involves more than just selling or advertising.

Which of the following statements about marketing are correct? (Check all that apply.)

Marketing is more than just persuading customers. Marketing builds relationships with customers.

Which of the following statements are true about the usefulness of studying marketing? (Check all that apply.)

Marketing offers many interesting jobs. Marketing concepts can help "sell" yourself to a potential employer.

Which of the following refers to the attempt of a company to realize its marketing concept and give customers what they need?

Marketing orientation

Which of the following are true with respect to marketing and production? (Check all that apply.)

Marketing starts with the potential needs of customers. Marketing investigates what the future needs of customers might be.

Which of the following is a reason for firms to move from the production era into the sales era?

More production results in more competition

Which of the following are true statements about the marketing concept and nonprofit organizations? (Check all that apply.)

Nonprofits face competition for the resources and support they need. Nonprofit organizations should have an agreed-upon measure of long-run success.

Which of the following would represent ways to increase value for Taco Bell customers? (Check all that apply.)

Offering better-tasting meals Lowering prices Delivering orders faster

Which of the following is not in the circular model that leads to building superior customer relationships?

Only marketing department

Why is effective marketing difficult in an advanced economy?

Producers and consumers are commonly separated from each other in several ways.

"if we can make it, it will sell" is characteristic of the Blank 1 era.

Production

Which of the following is not central to the marketing concept?

Production efficiency

Which of the following are the basic ideas central to the marketing concept? (Check all that apply.)

Profit (or another measure of long-term success) Customer satisfaction Total company effort

Select all that apply Which three of the following reflect how a restaurant adopting a marketing orientation would operate? (Check all that apply.)

Restaurant management tries to identify unmet customer needs. The restaurant makes what customers are interested in ordering. Customer needs determine how the restaurant operates.

In the Blank 1 era, companies focus on selling their products in face of growing competition.

Sales

When companies need to beat the competition and win over customers, they usually enter the Blank 1 era.

Sales

Which of the following is the marketing stage in which companies must increasingly compete with other companies in selling their products?

Sales

Which of the following are benefits of having an understanding of marketing? (Check all that apply.)

Seeing how marketing relates to a variety of human activities Helping you to be more effective in your job Giving you ideas about how to sell your ideas in a new job

Which of the following are true with respect to exchange in marketing? (Check all that apply.)

Sellers offer to exchange something that meets a need. Marketing involves a willingness of at least two parties to engage in exchange.

The universal functions of marketing include which of the following? (Check all that apply.)

Selling Market information Storing

When consumers do not want to purchase good or services at the time producers want to produce them, this is called _______ in time.

Separation

In advanced economies, challenges to producer-consumer exchange include which of the following? (Check all that apply.)

Separation in time Separation of ownership

Which of the following refers to the problem in which producers do not know who needs what at what price, while consumers do not know what is available from whom at what price?

Separation of information

______ refers to the problem of producers possessing goods and services they do not want to consume and consumers wanting goods and services they do not have

Separation of ownership

Sarah raises chickens. She sells any eggs that her family does not use at a local farm stand. This is an example of selling in the Blank 1 trade era.

Simple

Place the five stages in marketing evolution in the proper order from the earliest to latest (with the earliest stage at the top).

Simple Production Sales Department Company

What three things are measured when considering a company's triple bottom line?

Social outcomes Environmental impact Economic results

______ occurs because producers prefer to locate where it is less costly to produce, and consumers would rather buy where it is convenient and in many different places.

Spatial separation

______ involve sorting goods according to their characteristics

Standardization and grading

Kathy bought a sofa from a furniture company that shipped the sofa from the company's warehouse. Which marketing function did the warehouse fulfill?

Storing

Which of the following statements are true with respect to marketing and nonprofit organizations? (Check all that apply.)

The marketing objective for a nonprofit organization may be to increase membership. Government agencies can be customers of nonprofit organizations. The clients of a nonprofit organization may be consumers or business firms.

Which of the following refers to the fact that there may be a conflict between what is beneficial to specific companies and society as a whole?

The micro-macro dilemma

Separation in _____ occurs when consumers may not want to consume goods and services when producers would prefer to produce them

Time

What are two reasons a producer or consumer would use an intermediary or collaborator? (Check all that apply.)

To make an exchange easier To make an exchange less expensive

Which of the following are part of the role of a macro-marketing system? (Check all that apply.)

To match heterogeneous supply and heterogeneous demand To help ensure that the society's objectives are met To get products to consumers at the right time, place, and price

True or false: For some goods and services, the cost of marketing accounts for about half of what the consumer pays for them.

True

True or false: The risk taking function of marketing is based on the idea that a company can never be sure which customers will want to buy its products.

True

True or false: The universal functions of marketing help overcome separations and discrepancies between the production and consumption sectors.

True

The processes of buying, selling, shipping, storing, financing, and risk-taking are components within the ______ functions of marketing

Universal

The market information function includes which of the following? (Check all that apply.)

Using information for marketing control Distributing information Analyzing information

Samson Co. values its cell phones in terms of the cost to produce them and the competitors' prices. Marcus wants to buy a cell phone, but finds them too expensive. This is an example of separation in

Value

The concept of customer ______ is the difference between the benefits a customer sees from a marketing offer and the costs of obtaining those benefits.

Value

Select all that apply Which of the following would likely be considered costs, as opposed to benefits, to people purchasing a new car? (Check all that apply.)

Waiting three weeks for delivery The price they pay Interest charges to finance the car

Which of the following are reasons for studying marketing? (Check all that apply.)

We are all consumers, so we should learn about buying and selling. Marketing helps ensure that the things we buy are available when we need them. Because marketing costs can be an important part of a product's price, we should know what we are paying for.

The purpose of ______ is to match supply and demand among the producers and consumers of society as a whole.

a macro-marketing system

Discrepancies of ______ occurs because producers want to focus on making a narrow range of goods and services, whereas consumers prefer more variety.

assortment

The two goals of a marketing exchange are to ______. (Check all that apply.)

build an ongoing relationship with the customer. determine future production needs.

The ________ function concerns locating a product and judging its suitability

buying

The _________ function concerns locating a product and judging its suitability.

buying

A(n) ______ is a marketing specialist who assists with certain marketing functions, such as advertising, transportation, or warehousing.

collaborator

Marketing will be most successful if it ______.

coordinates with production, accounting, and financial activities

Because producers find it easier and less costly to make only a few goods or services, and consumers prefer to choose among many, this creates a ______.

discrepancy of assortment

The purpose of the _______ function is to supply the cash and credit a company needs for producing, transporting, storing, and selling products.

financing or finance

Separation ______ refers to producers focusing on costs and competitive prices and consumers thinking about getting what they want at a price they can afford.

in values

In the ______ era of marketing, all the operations of a firm are guided by marketing concepts.

marketing company

Retailers and wholesalers are two kinds of ______, marketing specialists who play a role in trade rather than production

intermediaries

To be most effective, marketing should ______. (Check all that apply.)

interpret customer's needs provide direction for production and finance

Marketing will be beneficial to you, as a student, because _____.

it will help you to promote yourself

The ______ information function involves the gathering and evaluating of data for marketing activities

market

The ______ information function involves the gathering and evaluating of data for marketing activities.

market

In general, a(n) ______ orientation is focused on offering customers what they need rather than getting customers to buy what is available for sale

marketing

The ______ is based on the idea that everything a company does should be based on satisfying the company's customers while still making a profit.

marketing concept

The numeric data that marketing managers use to evaluate how well a marketing program performed based on intended goals are called ______.

marketing metrics

The ______ view of marketing is concerned with marketing as performed by individual companies

micro

The separation that occurs when producers possess products they do not want to consume and consumers want products they do not own is separation of

ownership

In the ______ era, individual producers need to make only a few types of products because there are few if any other sources for the products.

production

Margo's company decided to produce the infant-sized football jerseys because they knew they would sell easily. Margo's company is demonstrating the ______ era of marketing.

production

The ______ era is a time when companies focus on the production of a few specific products perhaps in response to a lack of these products in the existing markets.

production

The ______ orientation refers to the managerial point of view that a company first makes the products that it wants to make and then the company needs to find the customers to buy the products.

production

According to the ______ of management, a company needs to focus on making the products it can readily make, not on trying to serve its customers first.

production orientation

Discrepancies of ______ refers to the fact that it is economical for producers to sell in large amounts, but individual consumers use products in relatively small amounts.

quantity

The ______ function concerns facing the possible negative outcomes of the marketing process.

risk taking

Economy of _______ means that as a company produces larger numbers of a particular product, the cost of each unit of the product goes down.

scale

A craftsman who makes pottery for his family brings extra pieces that he has made to his general store for sale. This craftsman operates in the _____ era.

simple trade

In the ______ era, any extra food or other goods that families produced was traded to local distributors

simple trade

Producers tend to locate where it is economical to produce, while consumers are located in many places. This defines

spatial

The ______ function of marketing involves keeping manufactured goods until they are needed by customers.

storing

Together, ______ help to overcome separations and discrepancies between producers and consumers.

the universal functions of marketing

When everyone in the company focuses on attaining customer satisfaction, this reflects a ______.

total company effort

The ______ function of marketing refers to the movement of products from location to location.

transporting

Some companies explicitly consider a ______, which measures an organization's economic, social, and environmental outcomes as a measure of long-term success.

triple bottom line

Marketing requires that ______.

two or more parties be willing to engage in an exchange