Chapter 2 Marketing `
__________ plays a key role in the company's strategic planning.
Marketing
Cash Dogs
low-share, low-growth products.
The major activity in strategic planning is the analyses of a business __________.
portfolio
Within the growth-share matrix, "cash cows" are __________.
low-growth, high-share businesses or products
According to the BCG matrix, ______ are high-share, high-growth products. When the market growth slows, these products become ________.
stars; cash cows
What are the main components of a marketing plan?
An executive summary, situation analysis, objectives, strategy, action programs, budgets, and controls
Which of the following is not one of the five marketing management functions?
Customer service
___________ is at the core of any marketing strategy.
Customer value and relationships
A company's mission statement should be focused on __________.
Customers; Mission statements should be market oriented and defined in terms of satisfying basic customer needs.
The first step in strategic planning involves __________.
Defining the company's mission. Forging a sound mission begins with the following questions: What is our business? Who is the customer? What do consumers value? What should our business be?
In 2005, Proctor and Gamble purchased Gillette, makers of shaving products, and added these to the existing P&G portfolio. Which growth strategy did P&G use in acquiring Gillette?
Diversification is a growth strategy in which a company starts or buys a business beyond its current products and markets. This is what P&G did when it acquired Gillette.
The Dollar Store and Family Dollar profitably focus on buyers with modest means with their market offerings. This is an example of _________.
Market Targeting
__________ involves evaluating each market segments attractiveness and selecting one or more segments to enter.
Market Targeting
Which of the following is a true statement regarding managing and measuring marketing return on investment (ROI)?
Marketers are increasingly using measures such as customer acquisition and retention, customer engagement, and customer equity as measures of ROI.
Which one of the following statements about marketing's role in strategic planning is correct?
Marketing provides inputs to strategic planners.
Which of the following steps in the strategic planning process is done at the business unit level?
Planning marketing and other functional strategies is done at the business unit, product and market level.
Ben & Jerry's frequently expand its line of ice cream with new flavors. Which market growth strategy is Ben & Jerry's using?
Product development;
__________ refers to activities that communicate the merits of the product and persuade target customers to buy it.
Promotion
What are the two measures the BCG matrix uses to classify SBUs and products in the portfolio?
Relative market share and market growth rate
Each department can be thought of as a link in the company's __________.
Value Chain
The primary purpose of a strategic plan is to ________________.
develop and maintain a strategic fit between a company's goals and capabilities and its changing marketing opportunities.
What is one primary purpose of a product's position?
differentiates
The most common form of marketing organization is __________.
functional organization
Cash cows
high-share, low-growth products.
Marketing can disrupt the internal value chain and cause conflicts to develop because it can potentially _______.
increase production costs, increase inventories, cause budget headaches and disrupt production schedules
Nike states that it wants to "bring inspiration and innovation to every athlete in the world." This is Nike's _________.
market-oriented mission statement
In SWOT analyses, the favourable factors or trends in the external environment that the company may be able to exploit to its advantage are referred to as __________.
opportunities
One key role marketing plays in a company's strategic planning is to _________.
provide a guiding philosophy
In the strategic planning process, the business portfolio is designed after ________.
setting company objectives and goals; Designing the business portfolio is the third step in the strategic planning process and occurs after setting company objectives and goals.
One way for companies to improve the performance of the ______ is by partnering with suppliers, distributors, and customers.
value delivery network
The four Ps of the marketing mix are redefined in buyer terms as the four As. What are the four As of the marketing mix?
Acceptability, affordability, accessibility, awareness
Assume the economy is in a recession. Mario's custom jewelry is expensive and sales are down. In a situation analysis (SWOT), the state of the economy is a(n)______ and Mario's pricing structure is a(n) ________.
threat; weakness