Contemporary Marketing 18e Ch. 1,2,3,4,

Tesla's plan to develop and introduce pickup trucks and big rigs are examples of _______. a. product development b. diversification c. market development d. product modification e. market penetration

b. diversificaiton

Demarketing

process of reducing consumer demand for a good or service to a level that the firm can supply

Marketing Mix

product, price, distribution, and promotion

Unemployment

proportion of people in the economy actively seeking work that do not have jobs

Sales Orientation

A belief that creative advertising and personal selling will persuade consumers to buy

Ownership (possession)

Ability to transfer title to products from marketer to buyer

Place

Availability of goods and services at convenient locations

Time

Availability of goods and services when consumers want them

Form

Conversion of raw materials into finished goods and services

Distribution (place)

Decision involving modes of transportation, warehousing, inventory control, order processing, and section of marketing channels

D.

Generally speaking, a successful website is one that attracts a _____ number of visitors who convert into a ___ number of paying customers. A. high; modest B. low; modest C. low; significant D. high; significant

C.

How many major forms of e-business are in the B2B market? A. 7 B. 3 C. 4 D. 5

Cause Marketing

Identification and marketing of a social issue, cause, or idea to selected target markets

Product Marketing

Involves efforts designed to communicate the benefits of a good or service

A.

Many companies have been forced to deal with a type of online fraud that lures their employees into disclosing personal information. For example, if employees receive an email that appears to come from the IRS demanding confirmation of their Social Security numbers, with a threat tat noncompliance will mean criminal penalties, in this situation employees are the victims of: A. phishing B. drishing C. smishing D. vishing

Organization Marketing

Marketing efforts of mutual-benefit organizations, service organizations, and government organizations that seek to influence others to accept their goals, receive their services. or contribute to them in some way

Product

Refers to a good, service, or idea

Price strategy

The method of setting profitable and justifiable prices

Utility

The power of a good or service to satisfy the wants of consumers

Social Marketing

The use of online social media as a communications channel for marketing messages

Seller's Market

When there are more buyers for fewer products

Buyer's Market

When there are more products than people willing to buy them

Consumer's Orientation

Where the focus is on satisfying the needs and wants of consumers rather than simply producing and selling products

B.

Which of the following refers to connecting buyers and sellers electronically through interactive computer systems? A. social media B. e-commerce C. electronic marketing D. EDI

phishing

a high-tech scam that uses e-mail or pop-up messages that claim to be from familiar business or even government agencies

VoIP (Voice over Internet Protocol)

a phone connection through a personal computer with any type of broadband internet connection

private exchange

a secure website where a company and its suppliers share all types of data, from product design through order delivery

The ability of competitors to achieve long-term competitive advantages by entering the market later and not being the first to offer a certain product in the marketplace is called _______. a. late-mover advantage b. core competency c. first-mover advantage d. early-mover advantage e. competitive advantage

a. Late-mover advantage

hen the right combination of circumstances occurs at the right time to allow an organization to take action toward a target market, the firm is faced with a a. ​market opportunity. b. ​market requirement. c. ​strategic market plan. d. ​market objective. e. ​corporate objective.

a. Market Opportunity

For Tesla, the Model 3 represents a _______ on the Boston Consulting Group (BCG) market growth/market share matrix. a. question mark b. star c. cash cow d. dog e. cat

a. Question Mark

Marketing cost analysis _______. a. breaks down and classifies costs to determine which are associated with specific marketing efforts b. uses sales figures to evaluate a firm's current performance c. assesses an organization's strengths, weaknesses, opportunities, and threats d. is an expected level of performance against which actual performance can be compared e. is the firm's sale of a stated product as a percentage of industry sales of competing products

a. breaks down and classifies costs to determine which are associated with specific marketing efforts

The first step in the strategic performance evaluation is to a. ​establish performance standards. b. ​evaluate actual performance. c. ​reduce the difference between actual and desired standards. d. ​compare actual performance and standards. e. ​take corrective action.

a. establish performance standards

The interviewee says that Apple and Samsung, "are the only two companies that are really selling smartphones at this point." One can infer from this that Apple and Samsung are operating under which of the following competitive structures? a. Oligopoly b. Monopoly c. Pure competition d. Monopolistic competition e. Socialistic competition

a. oligopoly

Marketers that attempt to influence and change the various environmental forces have a(n) ____ response to these forces. a. proactive b. counteractive c. inactive d. radioactive e. reactive

a. proactive

Both Apple and Samsung were found to have infringed on each other's patents to protect their inventions and were forced to pay fines. Patents, which protect the first company to develop an innovation, best relate to which of the forces discussed in the text? a. Technological b. Competitive c. Economic d. Sociocultural e. Political

a. technological

Technological Environment

application ot marketing of knowledge based on discovery sin science, inventions, & innovations

Which of the following competitive growth strategies strives to increase sales of current products in new markets? a. Market penetration b. Market development c. Market share d. Product development e. Diversification

b. Market development

Which of the following is based on the philosophy that a product's market growth rate and its market share are important considerations in determining marketing strategy? a. Mission-goal matrix b. Market growth/market share matrix c. SWOT analysis d. Sales analysis e. Product-market matrix

b. Market growth/market share matrix

Business decisions made in creating a marketing mix a. ​usually take place when a strategic window is open. b. ​are only as good as the organization's understanding of the needs of the target market. c. ​must always be consistent with the firm's opportunities. d. ​are unchangeable once they are agreed upon by management. e. ​are made before a target market is identified.

b. are only as good as the organizations understanding of the needs of the target market

Which of the following is NOT a component of the marketing plan? a. Marketing strategies b. Business analysis c. Marketing implementation d. Executive summary e. SWOT analysis

b. business analysis

_______ states what is to be accomplished through marketing activities. a. performance standard b. marketing objective c. marketing strategy d. market opportunity e. mission statement

b. marketing objective

The strategic planning process begins with _______. a. business-unit strategies b. organizational mission and goals c. finance objectives d. marketing objectives e. SWOT analysi

b. organizational mission and goals

Apple and Samsung both have engaged in lawsuits to resolve disputes regarding ownership of specific technological innovations. Lawsuits represent what kind of approach to responding to environmental forces? a. Reactive b. Proactive c. Measured d. Competitive

b. proactive

business-to-consumer (B2C)

business conducted directly between a business and a consumer

Apple and Samsung have waged a lengthy battle over ownership of specific technological innovations in the smart phone market. They are _______. a. product competitors b. generic competitors c. brand competitors d. total budget competitors e. premium competitors

c. Brand COmpetitors

Political-Legal Environment

component of the marketing environment consisting of laws and their interpretations that require firms to operate under competitive conditions & to protect consumer rights

Social-Cultural Environment

component of the marketing environment consisting of the relationship between the marketer, society, & culture

Tesla's investment in state-of-the-art vehicle battery manufacturing on a massive scale has allowed it to reduce car-making costs and have more control over its supply chain. These strengths give Tesla a _______. a. market opportunity b. core competency c. first-mover advantage d. competitive advantage e. strategic window

d. Competitive Advantage

An organization's business goals should be derived from its a. ​strategic business plan. b. ​marketing plan. c. ​marketing strategy. d. ​mission statement. e. ​strategic plan.

d. Mission Statement

​A marketing plan document usually begins with a(n) a. ​opportunity and threat analysis. b. ​situation analysis. c. ​introduction to the company's marketing objectives. d. ​executive summary. e. ​summary of current performance as compared with past performance.

d. executive summary

Performance standards are derived from _______. a. the mission statement b. marketing strategy c. market opportunity d. marketing objectives e. sales analysis

d. marketing objectives

interactive marketing

delivering more relevant marketing messages to customers based on event triggers

Decision-making authority is delegated as far down the chain of command as possible in a(n) _______. a. marketing-oriented organization b. centralized organization c. nonprofit organization d. strategic-business unit e. decentralized organization

e. Assigning responsibility for completing each activity to one or more employees, teams, or managers

Of all the federal regulatory units, the ____ most heavily influences marketing activities. a. Environmental Protection Agency (EPA) b. Federal Power Commission (FPC) c. Food and Drug Administration (FDA) d. Federal Communications Commission (FCC) e. Federal Trade Commission (FTC)

e. Federal Trade Commission (FTC)

Decision-making authority is delegated as far down the chain of command as possible in a(n) _______. a. marketing-oriented organization b. centralized organization c. nonprofit organization d. strategic-business unit e. decentralized organization

e. decentralized organization

Which of the following actions is illegal? a. Corporate contributions to candidates b. Political officials influencing how much a government agency purchases and from whom c. Political officials helping businesses secure foreign markets d. Corporate contributions to elected officials e. Paying political officials not to enforce a particular law

e. paying political officials not to enforce a particular law

Antitrust

laws designed to prevent restraints on trade such as business monopolies

Consumer Rights

list of legitimate consumer expectations suggested by JFK

Product Orientation

manufacturers stressed production of quality products and then looked for people to purchase them

Monopoly

market structure in which a single seller dominates trade in a good or service for which buyers can find no close substituetes

Oligopoly

market structure in which relatively few sellers compete and where high start-up costs form barriers to keep out new competitors

Marketing Ethics

marketers' standards of conduct & moral values

Competitive Strategy

methods through which a firm deals with its competitive environment

Discretionary Income

money available to spend after buying necessities such as food, clothing, & housing

Strategic Alliances

partnership in which two or more companies combine resources & capital to create competitive advantages in a new market

Inflation

rising prices caused by some combination o excess consumer demand & increases in the costs of one or more factors of production

Time-Based Competition

strategy of developing & distributing goods & services more quickly than competitors

Gross Domestic Product (GDP)

sum of all good & services produced my a nation in a year

encryption

the process of encoding data for security purposes

digital marketing

the process of marketing goods and services over the Internet by utilizing digital tools

conversion cost

the total cost of each sale

e-business

using the internet to provide services to customers and communicate with employees and business partners

revenue maximization

website strategies designed to increase the size of each customer transaction and encourage repeat visits by the customer

Place Marketing

Efforts designed to attract visitors to a particular area; improve consumer images of a city, state, or nation; and/or to attract a new business

Person Marketng

Efforts designed to cultivate the attention and preference of a target market toward a person

Mobile Marketing

Marketing messages sent to wireless devices, such as phones and tablets

Event Marketing

Marketing of sporting, cultural, and charitable activities to selected markets

C.

Meredith spent about an hour picking out three items on a new cosmetics retail website. However, only after she had created a new account, entered her shipping address and input her credit card information she was informed that there would be a $28 shipping charge--which she felt was excessive. Frustrated she left the site. This is an example of poor_____. A. product experience B. conversion strategy C. checkout process D. product offering

B.

Which of the following is NOT a concern raised by e-business? A. privacy B. pricing C. site design and customer service D. fraud and scams

C.

Which of the following is NOT a contributor to online shopping's popularity? A. convenience and free shipping B. access 24/7 C. site overloads D. compare pricing

A.

Which of the following is NOT one of the common reasons people abandon shopping carts after selecting items on an e-commerce site? A. the high cost of the item B. complicated forms C. the total cost, (including taxes and shipping) shown too late in the purchase D. all are correct

A.

Which of the following terms refers to an advantage brought about by the advent of the Internet as a shopping medium by eliminating the geographic protections and limitations of local businesses and by giving smaller firms a wider audience? A. Global reach B. Interactivity C. Digital tooling D. Personalization

Environmental Management

attainment of organizational objectives by predicting and influencing the competitive, political-legal, economic, technological, & social-coulturlal environments

A marketing strategy is the selection of a(n) _______ and the creation of a(n) _______ that will satisfy the needs of target-market members. a. marketing mix; target market b. target market; marketing mix c. marketing objective; marketing plan d. marketing objective; marketing mix e. target market; marketing plan

c. target market; marketing mix

channel conflicts

conflicts between producers, wholesalers, and retailers

Which of the following is NOT one of the steps in strategic performance evaluation? a. Comparing actual performance with established standards b. Modifying the marketing strategy, if necessary c. Measuring actual performance d. Establishing performance standards e. Establishing a timetable for implementation

e. Establishing a timetable for implementation

Economic Environment

factors that influence consumer buying power & marketing strategies, including stage of the business cycle, inflation & deflation, unemployment, income, & resource availability

engagement

how much time users spend on the site and which pages they visit

Competitive Environment

interactive process that occurs in the market place among marketers of directly competitive products, marketers of products that can be substituted for one another, and marketers competing for the consumer's purchasing power

Promotion

is broadly defined as communication to a firm's buyers about their products

Marketing

is the process for creating, communicating, and delivering value to the customers

Social Responsiblitiy

marketing philosophies, policies, procedures, & actions that have the enhancement of society's welfare as a primary objective

Business Cycle

pattern of stages in the level of economic activity: prosperity , recession, depression, & recovery

Environmental Scanning

process of collecting information about the external marketing environment to identify & interpret potential trends

Relationship Marketing

refers to the development, growth, and maintenance of long-term cost-effective relationships with individual customers, suppliers, employees, and other partners for mutual benefit

intranets

secure internal networks that help companies share information among employees, no matter the number or location

extranets

secure networks used for e-business and accessible through the firm's website by external customers, suppliers, or other authorized users

Consumerism

social force within the environment that aids & protects the consumer by exerting legal, moral, & economic pressures on business and government

For Tesla, the Model S represents a _______ on the Boston Consulting Group (BCG) market growth/market share matrix. a. star b. cash cow c. dog d. problem child e. question mark

star

e-commerce

the buying and selling of products online

Target Marketing

the group of people toward whom the firm aims its marketing efforts and ultimately its merchandise

C.

the nature of an e-commerce site makes it easy to do all of the following except: A. track unique visitors B. track engagement C. track customer activity on competitor's sites D. track click-through rates

unique visitors

the number of individuals who visit a website

user experience (UX)

the overall experience customers have when visiting a website

click-through rate (CTR)

the percentage of users who click on an ad

Transaction-based Marketing

traditional view of marketing as a simple exchange process

An essential element of communicating with marketing employees is _______. a. the marketing mix b. the target market c. objectives d. training e. strategy

training

business-to-business (B2B)

transactions that happen between organizations

The unique symbols, personalities, and philosophies that support all corporate activities including strategic planning and marketing are best described as _______. a. mission statement b. corporate identity c. corporate strategy d. SWOT analysis e. market share

b. Corporate identity

When the right combination of circumstances and timing permits an organization to take action to reach a particular target market, there exists a(n) _______. a. strategic window b. market opportunity c. competitive advantage d. core competencies e. weakness

b. Market Opportunity

Which of the following provides a uniform marketing vision for the firm and is the basis for internal communications? a. Performance standard b. Mission statement c. Target market d. Marketing plan e. Marketing strategy

b. marketing plan

When conducting a SWOT analysis, which of the following are barriers that could prevent an organization from reaching its objective? a. Strengths b. Opportunities c. Threats d. Weaknesses e. Market opportunit

c. Treats

According to the textbook, a manager's duties in an environmental analysis include a. observation and assessment. b. conducting research, assessment, and reporting. c. checking information for accuracy, resolving inconsistencies, and assigning significance to the findings. d. observation, market research, and fact finding. e. checking the company database, conducting research, and reporting.

c. checking information for accuracy, resolving inconsistencies, and assigning significance to the findings.

For Tesla, the Model X SUV represents a _______ on the Boston Consulting Group (BCG) market growth/market share matrix. a. cash cow b. question mark c. dog d. bomb e. star

c. dog

Which of the following provides an overview of the entire marketing plan so that readers can quickly identify the key issues and their roles in the planning and implementation process? a. Marketing implementation b. Performance evaluation c. Executive summary d. SWOT analysis e. Environmental analysis

c. executive summary

People for the Ethical Treatment of Animals (PETA) has demonstrated against the sale of coats made of animal furs. PETA's efforts to change shoppers' attitudes most directly represents a ____ force for fur retailers. a. technological b. self-regulatory c. legal d. sociocultural e. political

d. sociocultural

conversion rate

the percentage of visitors to a website who make a purchase