HW 2

False

A mission statement is a document embodying an organization's short-term goals.

A.position

Alpha Motors offers "Green automobiles for a greener world." This refers to the ________ of Alpha automobiles. A.position B.brand equity C.pleasure value D.brand resonance E.added value

D. The customers may have purchased all they need

Companies may want to downsize their business portfolios for all but which of the following reasons? A.The firm may have grown too fast. B.The products might simply age. C.The market environment might change. D.The customers may have purchased all they need. E.The firm may have entered areas where it lacks experience.

D.assesses the attractiveness of its various SBUs

During portfolio analysis, a company ________ after identifying the key businesses that make up the company. Aformulates a short-term marketing plan B.assesses its strengths and weaknesses C.performs a SWOT analysis D.assesses the attractiveness of its various SBUs E.assesses the effectiveness of its various channel intermediaries

B.product

In the marketing mix, design, packaging, services, and variety can be categorized under ________. A.price B.product C.place D.position E.Promotion

True

Market development involves company growth by identifying and developing new market segments for current company products.

B.geographic organization

Ravenshaw Corp. assigns its sales and marketing people to specific countries, regions, and districts. Ravenshaw Corp. is most likely an example of a ________. A.product organization B.geographic organization C.mass marketer D.niche marketer E.functional organization

False

Since companies want to work together to attract customers, marketers do not need to practice partner relationship management.

E.cash cows

The BCG matrix classifies products which have a high market share in a low growth market as __________. A.dogs B.question marks C.stars D.cash stars E.cash cows

True

The four marketing management functions are analysis, planning, implementation, and control.

D.functional organization

The most common form of marketing organization is __________. A.geographic organization B.product management organization C.product organization D.functional organization E.customer management organization

E.The 4 Ps

What does a market segment consist of? A.A group of similar products B.A mental image of a product C.A group of competitors D.A group of consumers who respond to the marketing effort in the same way E.The 4 Ps

B.Diversification

When a firm starts up or buys a business outside of its current product line and markets, it is pursuing which growth strategy? A.Market penetration B.Diversification C.Market development D.Product development E.Divesting

A.product/market expansion grid

Which of the following is a portfolio-planning tool for identifying company growth opportunities through market penetration, market development, product development, or diversification? A.product/market expansion grid B.Harris matrix C.analysis of variance D.BCG matrix E.SWOT analysis

True

customer engagement and value are the key ingredients in the marketer's formula for success.

false

market segment consists of consumers who respond in different ways to a given set of marketing efforts.

true

"At Joe's Diner, we serve great burgers" is a product-oriented business definition.

False

"At Trader Joe's, our mission is to provide all our customers the best food and beverage values to be found anywhere, and the information to make informed buying decisions." This is a product-oriented business definition.

False

.Dividing a market into distinct groups of buyers who have different needs, characteristics, or behaviors, and who might require separate products or marketing programs is known as market diversification.

D.internal capabilities

.In a SWOT analysis, which of the following would be considered a strength? A.industry trends B.environmental demands C.performance challenges D.internal capabilities E.technological shifts

E. designing new products from scratch

.Marketing plays a key role in the company's strategic planning in all of these ways EXCEPT ________. A.designing strategies for reaching a unit's objective B.providing a guiding philosophy C.creating customer value and building profitable relationships with customer groups D.providing input to identify attractive market opportunities E.designing new products from scratch

E. strength of the market or industry position

.Most standard portfolio analysis methods evaluate SBUs on the ________. A. number of successful business acquisitions B.degree of product differentiation C.potential for niche or global marketing D.accessibility to rural markets E.strength of the market or industry position

D.market segment

.Paul Robinson has identified a group of potential customers who seem to respond in a similar way to a series of magazine and radio advertisements for his company's product. Paul has identified a(n) ________. A.product design B.target market C.niche market D.market segment E.product attribute

E.market segment

.Teenagers are expected to respond in a similar way to a set of marketing efforts. In other words, this group represents a ________. A.brand personality B.product attribute C.channel intermediary D.line extension E.market segment

True

A SWOT analysis allows a marketer to evaluate the company's overall strengths, weaknesses, opportunities and threats.

C .mission statement

A ________ documents an organization's purposelong dashwhat it wants to accomplish in the larger environment. A.value proposition B.vision statement C.mission statement D.product strategy E.business portfolio

True

A clear mission statement acts as an "invisible hand" that guides people in the organization.

E.Divest

A company can ________ an SBU by selling it or phasing it out and using the resources elsewhere. A.expand B.promote C.hold D.harvest E.Divest

D. budget objectives

A company's broad mission leads it to develop all of the following EXCEPT ________. A.business objectives B.customer engagement objectives C.sales objectives D.budget objectives E.marketing objectives

A. a higher share price

A company's broad mission leads to ________. A.a higher share price B.increasing sales and decreasing costs C.increased market share and increasing profitability D.increasing profits and more customers E.a hierarchy of objectives, including business objective and marketing objectives

False

A company's mission could appropriately be stated as "making more sales or profits."

False

A company's mission statement provides the depth needed for all segments of the company to reach their goals.

E.Customers

A company's mission statement should be focused on __________. A.objectives and goals B.Profit C.investment D.sales

C.executive summary

A marketing plan begins with a(n) ________, which presents a brief summary of the main goals and recommendations of the plan for management review. A.opportunity analysis B.action program C.executive summary D.budget E.threat analysis

B. statement of the organization's purpose

A mission statement serves as a ________. A.plan for short-term sustainability B.statement of the organization's purpose C.statement of the organization's net profits D.reward plan for the organization's highly-skilled employees E.statement of the organization's current liabilities

true

A product's position is the place it occupies relative to competitors' products in consumers' minds.

D. diversification

A women's apparel manufacturer in California recently acquired a Houston-based company that manufactures office furniture. This is an example of ________. A.product differentiation B.product development C.market penetration D.diversification E.market development

D.stars; cash cows

According to the BCG matrix, ______ are high-share, high-growth products. When the market growth slows, these products become ________. A. cash cows; dogs B.question marks; cash cows C.cash cows; stars D.stars; cash cows E.question marks; stars

B. market growth rate

According to the Boston Consulting Group approach, ________ provides a measure of market attractiveness. A.product attribute B.market growth rate C.market segmentation D.product design E.market penetration

E. relative market share

According to the Boston Consulting Group approach, ________ serves as a measure of company strength in the market. A.product development B.market segmentation C.product attribute D.market diversification E.relative market share

A. set company objectives and goals

After defining its mission, the next step in strategic planning is to __________. A.set company objectives and goals B.identify key strategic business units C.plan marketing strategies D.allocate resources to each product that is being marketed E.design the business portfolio

E. defining the company's mission

All of the following steps pertain to the marketing control process EXCEPT ________. A.evaluating the causes of gaps between expected and actual performance B.taking corrective action C.setting goals D.measuring performance E.defining the company's mission

A.diversification

Amor, a successful brand of women's clothing, recently introduced a line of fitness equipment. This is an example of ________. A.diversification B.niche marketing C.product adaptation D.mass customization E.Prospecting

False

An American airline company started a grocery chain in Australia. This is an example of product development.

C.positioning

Arranging for a product to occupy a clear, distinctive, and desirable place relative to competing products in the minds of target consumers is known as ________. A.segmenting B.satisficing C.positioning D.diversifying E.Prospecting

A positioning

Arrow is "a different kind of company, manufacturing a different kind of a car"; the RoadPro is "like nothing else." Statements such as these reflect a firm's ________. A.positioning B.portfolio C.marketing mix D.mission statement E.marketing segment

A.threat; weakness

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) ________. A.threat; weakness B.weakness; weakness C.weakness; threat D.threat; strength E.opportunity; weakness

B.Product development

Ben & Jerry's frequently expand its line of ice cream with new flavors. Which market growth strategy is Ben & Jerry's using? A.Harvesting B.Product development C.Market development D.Diversification E.Market penetration

False

Benchmarking refers to the process that turns marketing plans into marketing actions to accomplish strategic marketing objectives.

D.functional organization

Berman Electronics, a chain of appliance stores in North America, caters to a wide range of customers. It has a marketing organization in which different operational specialists head different marketing activities. Berman Electronics is a(n) ________. A.early adopter B.laggard C.customer management organization D.functional organization E.niche marketer

E.milking the SBU's short-term cash flow regardless of the long-term effect

By harvesting its SBU, a company would most likely be ________. A.selling the SBU or phasing it out and using the resources elsewhere B.diversifying the company's product line C.investing more in the business unit to build its share D.investing just enough to hold the SBU's current market share E.milking the SBU's short-term cash flow regardless of the long-term effect

C. product development

Cleats, Unlimited developed a new style of soccer shoe. This is an example of ________. A.market penetration B.market development C.product development D.diversification E.product differentiation

E. products and technologies eventually become outdated

Companies that define their missions in terms of products or technologies are considered myopic primarily because ________. A.consumer preferences for different product categories vary from time to time B.products and technologies result in low returns on investment C.consumer preferences with regard to products and technology are difficult to predict D.most consumers are not comfortable using sophisticated technology during the buying process E.products and technologies eventually become outdated

False

Company growth through diversification involves offering modified or new products to the company's current markets.

A.market nicher B.market follower C.early adopter D.market challenger E.Laggard

Crocus, a gift store, specializes in serving customer segments that major competitors overlook and ignore. Which of the following best describes Crocus? A.market nicher B.market follower C.early adopter D.market challenger E.Laggard

B.technological

Customers can be grouped and served in various ways based on several factors. These include all of the following EXCEPT ________ factors. A.psychographic B.technological C.demographic D.geographic E.Behavioral

D.market targeting

Each company must divide up the total market, choose the best segments, and design strategies for profitably serving chosen segments. This process involves market segmentation, ________, differentiation, and positioning. A.marketing implementation B.price discrimination C.supply-chain analysis D.market targeting E.market diversification

E.market diversification

Each company must divide up the total market, choose the best segments, and design strategies for profitably serving chosen segments. This process involves market segmentation, ________, differentiation, and positioning. A.marketing implementation B.price discrimination C.supply-chain analysis D.market targeting E.market diversification

B.value chain

Each department can be thought of as a link in the company's __________. A.marketing mix B.value chain C.market segmentation D.marketing management E.delivery network

True

Each department in a company can be thought of as a link in the company's internal value chain.

C.internal value chain

Each department in a company that carries out value-creating activities can be thought of as a link in the company's ________. A.channel of intermediaries B.external value stream C.internal value chain D.demand chain E.supplier chain

A.differentiation

Effective positioning is based on __________. A.differentiation B.identifying groups of consumers with similar needs C.choosing which segments to profitably serve with a market offering D.eye level in-store shelf space E.market share

B. diversification

Elmo Corp., a manufacturer of personal computers and printers, recently established an office furniture exporting business. This is an example of ________. A.product adaptation B.diversification C.downsizing D.niche marketing E.local marketing

D.functional

Emerson Studios has designed its marketing organization along the lines of a ________ organization in which operational specialists head different marketing activities. A.customer B.geographic C.market D.functional E.Product

D. market development

FencePro, a local company, has developed an entirely new mounting system for chain link fences. After acquiring a distributor, FencePro now has the ability to market its products nationwide. FencePro is most likely following a ________ strategy. A.product adaptation B.downsizing C.product development D.market development E.market penetration

C.SWOT analysis

Harris Brown, the marketing manager at a small retail chain, wants to assess his firm's strengths, opportunities, weaknesses, and threats. Which of the following would be best suited for his purpose? A.Porter's five forces analysis B.cluster analysis C.SWOT analysis D.regression analysis E.portfolio analysis

B.Divestment

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? A.Market development B.Divestment C.Market penetration D.Diversification E.Product development

E.Opportunities

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 __________. A.strengths B.targets C.threats D.weaknesses E.Opportunities

B.opportunities

In a SWOT analysis, ________ include favorable trends in the external environment. A.weaknesses B.opportunities C.challenges D.strengths E.Threats

D.Segmentation and targeting

In determining which customers to serve, a company engages in which two marketing activities? A.Positioning and differentiation B.Segmentation and differentiation C.Targeting and positioning D.Segmentation and targeting E.Segmentation and positioning

A.logistics

In the marketing mix, place includes ________. A.logistics B.packaging C.discounts D.advertising E.sales promotion

C.setting company objectives and goals

In the strategic planning process, the business portfolio is designed after ________. A.defining the company mission B.the strategic planning process is completed C.setting company objectives and goals D.planning functional strategies E.planning marketing strategies

C.It can increase production costs, increase inventories, and disrupt production schedules.

In which way does increasing customer satisfaction disrupt the internal value chain? A.It makes all departments open double quotethink consumer.close double quote B.It will gain commitment from the entire company to engage customers. C.It can increase production costs, increase inventories, and disrupt production schedules. D.It will coordinate the efforts of different company departments to deliver customer value E.It aligns all functional areas with the goal of increasing customer value.

A. market development

Lark Inc., an American electronics company, is currently reviewing new geographical markets to sell its highly popular televisions. By 2020, it plans to open new stores across all the major South Asian cities. Lark is most likely following a ________ strategy. A.market development B.local marketing C.product development D.diversification E.product adaptation

C. market penetration

Making more sales to current customers without changing a firm's products is known as ________. A.prospecting B.market segmentation C.market penetration D.product development E.product diversification

C. implementation

Many managers think that "doing things right," or ________, is as important as, or even more important than, "doing the right things." A.strategy B.targeting C.implementation D.positioning E.Planning

False

Market penetration involves offering modified or new products to current markets.

B. dividing a market into distinct groups of buyers who have different needs, characteristics, or behaviors, and who might require separate products or marketing programs

Market segmentation can be best described as the process of ________. A.turning marketing plans into marketing actions to accomplish strategic marketing objectives B.dividing a market into distinct groups of buyers who have different needs, characteristics, or behaviors, and who might require separate products or marketing programs C.maintaining a strategic fit between organizational goals and changing marketing opportunities D.evaluating each market segment's attractiveness and selecting one or more segments to enter E.assigning specific human attributes to a given brand

D.planning; implementation

Marketing ________ addresses the what and why of marketing activities, while marketing ________ addresses the who, where, when, and how. A.analysis; planning B.implementation; planning C.organization; implementation D.planning; implementation E.control; planning

B.increase production costs, increase inventories, cause budget headaches and disrupt production schedules

Marketing can disrupt the internal value chain and cause conflicts to develop because it can potentially _______. A.make all departments "think consumer" B.increase production costs, increase inventories, cause budget headaches and disrupt production schedules C.coordinate the efforts of different company departments to deliver customer value D.gain commitment from the entire company to engage customers E.align all functional areas with the goal of increasing customer value

E.increasing the staffing in the planning department

Marketing control involves four steps including all the following EXCEPT ________. A.setting specific marketing goals B.measuring the marketing plan's performance in the marketplace C.taking corrective action to close the gaps between goals and performance D.evaluating the causes of any differences between expected and actual performance E.increasing the staffing in the planning department

A. be market oriented; satisfying basic customer needs

Mission statements should ________ and be defined in terms of ________. A.be market oriented; satisfying basic customer needs B.address sales and profits; the net return on investments C.be technology oriented; meeting the self-actualization needs of customers D.be product oriented; satisfying the esteem needs of customers E.embody the company's short-term plans; current opportunities

C. meaningful and specific yet motivating

Mission statements should be ________. A.focused on increasing sales or profits B.technology oriented C.meaningful and specific yet motivating D.strictly product oriented E.written solely for public relations purposes

B.satisfying basic customer needs

Mission statements should be defined in terms of ________. A.the advantages a company's products provide B.satisfying basic customer needs C.the value a company's products provide D.the variety they offer to a customer E.the profitability of a company's products

C.market oriented

Mission statements should be defined in terms of satisfying basic customer needs. In other words, they should be __________. A. price oriented B.media oriented C.market oriented D.relationship oriented E.product oriented

True

Mission statements should be market oriented and defined in terms of satisfying basic customer needs.

C. is decentralized

Modern strategic planning ________. A.does not involve cross-functional teams B.exclusively consists of a company's short-term goals C.is decentralized D.is highly centralized E.does not take the overall mission of the company into consideration

C.customer management

More and more, companies are shifting their brand management focus from brand profitability toward ________. A.technology management B.product management C.customer management D.functional management E.geographic management

B.market-oriented mission statement

Nike states that it wants to "bring inspiration and innovation to every athlete in the world." This is Nike's _________. A.product-oriented mission statement B.market-oriented mission statement C.objective D.marketing plan E.Strategy

opportunity

Omega Inc. makes lightweight sunglasses with 100-percent UV protection for people who love to hunt, hike, and ride bikes. The company's long-term plans include the development of lenses that, in addition to protecting users from UV rays, would help reduce lens spotting through effective water-sheeting methods. This new feature would be valuable to people who fish. Given the rising popularity of recreational fishing in the United States, Omega products clearly have a huge market potential. In terms of a SWOT analysis, Omega has recognized a market ________. A.challenge B.threat C.strength D.opportunity E.Weakness

False

On the BCG matrix, "question marks" are high-growth, high-share businesses or products.

D.provide a guiding philosophy

One key role marketing plays in a company's strategic planning is to _________. A.work to add customer value so other departments do not have to be concerned with it B.focus on the customer while other departments formulate strategies C.allow other departments to not be concerned with marketing D.provide a guiding philosophy E.take advantage of opportunities identified by the strategic planners

False

One valid criticism of the four Ps concept of the marketing mix is that services are not considered.

A.value delivery network

One way for companies to improve the performance of the ______ is by partnering with suppliers, distributors, and customers. A.value delivery network B.marketing system C.competitive delivery network D.internal value chain E.strategic plan

true

Operating control involves checking ongoing performance against the annual plan and taking corrective action when necessary.

A. mission statement

Orion Inc. operates in many industries, including pharmaceuticals and food products. The company's goal is to create "abundant and affordable food for all and a healthy environment." This represents Orion's ________. A.mission statement B.product mix C.marketing mix D.marketing plan E.business portfolio

D. market penetration

Phoenix, a popular coffee shop chain in North America, recently opened 400 stores to cater to its rapidly increasing number of patrons. This exemplifies ________. A.market segmentation B.diversification C.product development D.market penetration E.product differentiation

True

Product refers to the goods-and-services combination that a company offers to its target market.

B.link in the company's internal value chain

RedFin manufactures diving equipment that is highly regarded by customers worldwide. Each department in RedFin contributes to its success and can be thought of as a(n) ________. A.independent subsidiary of the company B.link in the company's internal value chain C.separate organization D.separate market segment E.SBU

True

Return on marketing investment refers to the net return from a marketing investment divided by the costs of the marketing investment.

B.market segment

Rob has been asked by his manager to identify a group of potential customers who would respond in a similar way to a given set of marketing efforts. In this instance, Rob has been asked to identify a ________. A.product line B.market segment C.brand D.marketing intermediary E.new product

C.market penetration

Ron and Gail plan to lower Fun-Spot's prices in an effort to encourage customers to stay longer, visit more often, and spend more money during each visit. What type of strategy are Ron and Gail planning? A.product adaptation B.product development C.market penetration D.diversification E.market development

A.product development

Ron and Gail, owners of Fun-Spot, strive to provide new offerings and entertainment options for their visitors. This type of strategy can be best described as ________. A.product development B.market development C.niche marketing D.diversification E.market penetration

B.divesting

Strategically, a company may phase out or sell an SBU. This is known as __________. A.milking B.divesting C.building D.harvesting E.Holding

D. product development

Sunny Brews is a coffeehouse chain based in Boston. It recently introduced Eva, a mild roast, which became immensely popular. This exemplifies ________. A.diversification B.benchmarking C.mass customization D.product development E.Downsizing

E. focuses solely on current businesses and provides little scope for future planning

The BCG matrix approach is problematic in that it ________. A.fails to classify SBUs B.tends to undermine the importance of relative market share as a measure of company strength in the market C.focuses on planning for the future at the cost of ignoring the present D.tends to undermine the importance of market growth rate as a measure of market attractiveness E.focuses solely on current businesses and provides little scope for future planning

C.market targeting

The Dollar Store and Family Dollar profitably focus on buyers with modest means with their market offerings. This is an example of _________. A.positioning B.marketing control C.market targeting D.market segmentation E.the marketing mix

B.best fits the company's strengths and weaknesses to opportunities in the environment

The best business portfolio is the one that ________. A.provides the greatest opportunity for increasing profits B.best fits the company's strengths and weaknesses to opportunities in the environment C.entices customers to purchase even more products from the company D.allows the company to decrease its overall costs E.ensures that the company will realize increased share of market

B. business portfolio

The collection of businesses and products that make up a company is called its ________. A. internal value chain B.business portfolio C.strategic plan D.supply chain E.strategic business unit

D.opportunity; strength

The demand for organic produce is growing. Green Acres Farms grows only organic vegetables. In a SWOT analysis, the rising demand for organic produce would be a(n) __________ for Green Acres Farms, and the fact that they grow only organic vegetables is a(n) __________. A.strength; opportunity B.opportunity; threat C.opportunity; opportunity D.opportunity; strength E.threat; strength

B.defining the company's mission

The first step in strategic planning involves __________. A.designing a business portfolio B.defining the company's mission C.setting objectives and goals D.developing functional plans E.developing a marketing plan

True

The four Cs concept adopts the buyer's view of the market.

A.Acceptability, affordability, accessibility, awareness

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? A A.Acceptability, affordability, accessibility, awareness B.Approaches, added incentives, accessibility, awareness C.Affordability, accessibility, added incentives, awareness D.Acceptability, accessibility, awareness, advantage E.Added incentives, advantage, aptitude, alternatives

A.acceptability; affordability; accessibility; awareness

The four Ps of the marketing mix have been redefined in buyer's terms as the four As. Product design influences __________, price affects __________, place affects __________, and promotion influences __________. A.acceptability; affordability; accessibility; awareness B.awareness; acceptability; affordability; accessibility C.acceptability; affordability; awareness; accessibility D.affordability; accessibility; acceptability; awareness E.awareness; affordability; accessibility; acceptability

D. strategic business unit

The key businesses of Kimberley and Price consist of a division that produces and sells breakfast cereals and another that manufactures gardening tools. Each of these businesses is called a ________. A.product portfolio B.question mark C.market segment D.strategic business unit E.Prospect

B.SWOT

The main section of the marketing plan most likely presents a detailed ________ analysis of the current marketing situation. A.SBU B.SWOT C.cluster D.breakeven E.Regression

E. business portfolio analysis

The major activity in strategic planning is ________, whereby management evaluates the products and businesses that make up the company. A.breakeven analysis B.SWOT analysis C.benchmarking D.prospecting E.business portfolio analysis

True

The major activity in strategic planning is business portfolio analysis, whereby management evaluates the products and businesses that make up the company.

False

The major activity in strategic planning is product innovation.

C.portfolio

The major activity in strategic planning is the analyses of a business __________. A.plan B.goal or objective C.portfolio D.unit E.Experiencs

B.market development

The managers of Alfredo's Pizza, a popular pizzeria in New York City, have been increasingly encouraging senior citizens to visit the pizzeria's numerous outlets spread across the city. Anticipating a rise in the population of senior citizens in the area, the management of Alfredo's Pizza is seeking to tap into this promising segment that consists of retired, affluent consumers. In this instance, the managers of Alfredo's Pizza are anticipating company growth through ________. A.mass customization B.market development C.niche marketing D.product differentiation E.product development

D. market development

The managers of Arrow, an American retail chain, are currently reviewing new demographic markets to sell the firm's current products. This is an example of ________. A.market penetration B.product adaptation C.mass marketing D.market development E.product development

E. marketing strategy

The marketing logic by which a company hopes to create customer value and achieve profitable customer relationships is referred to as the ________. A. value chain B.downsizing C.marketing implementation D.price E.marketing strategy

D.functional

The most common form of marketing organization is the ________ organization. Under this organization, an operational specialist heads different marketing activities. A.geographic B.customer management C.product management D.functional E.Market

C.value delivery network

The network made up of the company, its suppliers, its distributors, and, ultimately, its customers who partner with each other to improve the performance of the entire system is known as the ________. A.business portfolio B.marketing mix C.value delivery network D.supply chain E.internal value chain

E.question mark

The pharmaceuticals division of Omni Healthcare holds low market share in a high-growth market. According to the BCG matrix, the pharmaceuticals division of Omni can be classified as a ________. A.cash cow B.dog C.star D.bear E.question mark

D.develop and maintain a strategic fit between a company's goals and capabilities and its changing marketing opportunities

The primary purpose of a strategic plan is to ________________. A.establish market share objectives B.expand into new markets C.design a business portfolio D.develop and maintain a strategic fit between a company's goals and capabilities and its changing marketing opportunities E.build profitable customer relationships

D.positioning

The process of arranging for a product to occupy a clear, distinctive, and desirable place relative to competing products in the minds of target consumers is known as ________. A.market targeting B.differentiation C.target marketing D.positioning E.market segmentation

B.market targeting

The process of evaluating each market segment's attractiveness and selecting one or more segments to enter is known as ________. A.prospecting B.market targeting C.downsizing D.market segmentation E.Diversification

True

The purpose of strategic planning is to find ways in which your company can best use its strengths to take advantage of attractive opportunities in the environment.

E.Market penetration

To grow sales, Under Armour increased its spending on advertising by 35 percent to increase sales in its current markets. Which growth strategy does this represent? A.Product development B.Market development C.Diversification D.Divesting E.Market penetration

False

To succeed in today's competitive marketplace, companies must be product-centered.

B.An executive summary, situation analysis, objectives, strategy, action programs, budgets, and controls

What are the main components of a marketing plan? A.A marketing budget and a marketing dashboard B.An executive summary, situation analysis, objectives, strategy, action programs, budgets, and controls C.Segmentation, targeting, and positioning D.A mission statement, objectives, and a business portfolio E.Product, price, place, and promotion

A. An executive summary, situation analysis, objectives, marketing strategy, action programs, budgets and controls, and threats and opportunities

What are the main components of a marketing plan? A. An executive summary, situation analysis, objectives, marketing strategy, action programs, budgets and controls, and threats and opportunities B.The marketing budget and a marketing dashboard C.Product, price, place, promotion D.Segmentation, targeting, positioning E.A mission statement, objectives, and a business portfolio

E.Relative market share; market growth rate

What are the two measurements used in the BCG matrix to classify strategic business units? A.Relative market share; number of products the company produces B.Relative market share; return on investment (ROI) C.Market growth rate; degree of competitiveness D.Market growth rate; return on investment (ROI) E.Relative market share; market growth rat

B .Relative market share and market growth rate

What are the two measures the BCG matrix uses to classify SBUs and products in the portfolio? A.Relative market share and number of products the company produces B.Relative market share and market growth rate C.Relative market share and return on investment (ROI) D.Market growth rate and return on investment (ROI) E.Market growth rate and degree of competitiveness

E.Define its overall purpose and mission.

What does a company do to start the strategic planning process? A.Perform a cost analysis. B.Analyze its competitors. C.Plan their marketing mix. D.Identify the needs and wants of their customers. E.Define its overall purpose and mission.

B.Differentiation

What is one primary purpose of a product's position? A.To choose which segments to serve with a market offering B.Differentiation C.To identify groups of consumers with similar needs D.To gain market share E.To get eye level in-store shelf space

A.To create a game plan for long-run survival and growth in consideration of changing marketing opportunities

What is the overall focus of strategic planning? A.To create a game plan for long-run survival and growth in consideration of changing marketing opportunities B.To maximize profits C.To define the company's mission D.To design a business portfolio E.To ensure prices are lower than competitors

A.To create customer value and build profitable reationships

What is the overall goal of marketing strategy? A.To create customer value and build profitable reationships B.To segment the market and target specific segments C.To position and differentiate the product D.To identify competitors, suppliers, and publics

E.Market development

When Under Armour expanded its current products into global markets, it was pursuing which growth strategy? A.Market penetration B.Divesting C.Diversification D.Product development E.Market development

D.product

Which of the following Ps in the marketing mix describes the goods-and-services combination the company offers to the target market? A.package B.price C.place D.product E.Promotin

E.the key businesses that make up a company

Which of the following best describes a strategic business unit? A.the key competitors of a company B.the key channel intermediaries of a service company C.the internal value chain of a company D.the supply chain of a company E.the key businesses that make up a company

D.An electronics company, whose business definition is: "We produce microchips."

Which of the following companies has a market-oriented business definition? A.A pizzeria, whose business definition is: "We sell the world's most delicious thin-crust pizzas." B.A hotel, whose business definition is: "We rent rooms." C.An apparel company, whose business definition is: "We make and sell women's clothing." D.An electronics company, whose business definition is: "We produce microchips."

A.A shoe manufacturer, whose business definition is: "We manufacture affordable and long-lasting shoes for all."

Which of the following companies has a product-oriented business definition? A.A shoe manufacturer, whose business definition is: "We manufacture affordable and long-lasting shoes for all." B.A cosmetic company, whose business definition is: "We offer hopes and self-expression." C.A real estate company, whose business definition is: "We sell dreams." D.A luxury hotel, whose business definition is: "We sell out-of-the-world experiences to our guests." E.A high-technology company, whose business definition is: "We sell inspirations."

C.budgeting

Which of the following functions is NOT part of managing the marketing process? A.implementation B.control C.budgeting D.planning E.Organization

E."We make high-quality consumer food products.

Which of the following is NOT a market-oriented business definition? A."We create the Hilton experience." B."We sell success and status." C."We bring innovation to every home." D."We empower customers to realize their dreams." E."We make high-quality consumer food products.

C. evaluating members of the company's value chain

Which of the following is NOT a step in the strategic planning process? A.defining the company mission B.planning marketing and other functional strategies C.evaluating members of the company's value chain D.setting company objectives and goals E.designing the business portfolio

B.purchase

Which of the following is NOT an element of the marketing mix? A.promotion B.purchase C.price D.product E.Place

E. "We sell memorable experiences

Which of the following is NOT an example of product-oriented mission statements? A."We run theme parks." B."We sell athletic shoes." C."We rent hotel rooms." D."We are an online library." E."We sell memorable experiences

E.Budgeting

Which of the following is NOT part of a company's decision about which customers it will serve and how? A.targeting B.positioning C.segmentation D.differentiation E.Budgeting

B.which businesses should be sold or closed

Which of the following is NOT something a company must determine when analyzing its current business portfolio? A.which businesses should receive less investment B.which businesses should be sold or closed C.which businesses should receive no investment D.which businesses shape the future portfolio E.which businesses should receive more investment

C.The company is organized around the needs of specific customer segments.

Which of the following is a major advantage of the market organization? A.The company caters to a single, small market segment. B.The company allows its salespeople to settle into a specific territory. C.The company is organized around the needs of specific customer segments. D.The company exploits bleeding-edge technologies to keep ahead in the market. E.The company has a flat organizational structure.

B."We empower customers to achieve their dreams.

Which of the following is a market-oriented mission statement? A."We make porcelain figurines." B."We empower customers to achieve their dreams." C."We sell jumbo burgers." D."We are a low-cost airline." E."We are an online library."

A.Marketers are increasingly using measures such as customer acquisition and retention, customer engagement, and customer equity as measures of ROI

Which of the following is a true statement regarding managing and measuring marketing return on investment (ROI)? A.Marketers are increasingly using measures such as customer acquisition and retention, customer engagement, and customer equity as measures of ROI. B.One measure of ROI is sales generated by investments in marketing activities. C.There is a consistent definition of ROI used by marketers. D.Marketers are increasingly using customer-centered measures of ROI which include brand awareness, sales, and market share. E.One reason ROI is used is because it is very easy to measure.

A.Marketers are increasingly using measures such as customer acquisition and retention, customer engagement, and customer equity as measures of ROI.

Which of the following is a true statement regarding managing and measuring marketing return on investment (ROI)? A.Marketers are increasingly using measures such as customer acquisition and retention, customer engagement, and customer equity as measures of ROI. B.One reason ROI is used is because it is easy to measure. C.ROI is being used less today because marketing managers are not as accountable for performance as they were in the past. D.Marketers define ROI as a quantitative measure derived by dividing returns (that is, profits) by the costs of the investments. E.Marketers increasingly use customer-centered measures of ROI that include brand awareness, sales, and market share.

B. place

Which of the following is an element of the marketing mix? A.needs B.place C.wants D.education E.Esteem

D.Customer service

Which of the following is not one of the five marketing management functions? A.Control B.Analysis C.Implementation D.Customer service E.Planning

C. defining the organizational mission

Which of the following is the first step in strategic planning? A.formulating the key marketing strategies B.setting short-term goals C.defining the organizational mission D.developing the business portfolio E.identifying the organization's weaknesses and the threats it faces

C.determining which businesses should receive more, less, or no investment

Which of the following is the first step of business portfolio planning? A.determining short-term goals B.identifying internal strengths and weaknesses C.determining which businesses should receive more, less, or no investment D.identifying future opportunities E.shaping the future portfolio by developing strategies for growth and downsizing

E.It considers market growth rate to be a measure of market attractiveness

Which of the following is true of the BCG matrix approach? A.It is inexpensive to implement. B.It does not have any limitations. C.It does not consider relative market share to be a measure of company strength in the market. D.It describes consumer motivations and needs. E.It considers market growth rate to be a measure of market attractiveness

E. It evaluates the company's overall strengths.

Which of the following is true with regard to a SWOT analysis? A.It evaluates the growth potential of a market segment. B.It measures customer response to a new product. C.It ignores the threats faced by a company while assessing its situation in the market. D.It classifies SBUs into four distinct categories. E.It evaluates the company's overall strengths.

A. A market segment consists of consumers who respond in a similar way to a given set of marketing efforts.

Which of the following is true with regard to a market segment? A.A market segment consists of consumers who respond in a similar way to a given set of marketing efforts. B.A market segment consists of consumers with dissimilar needs and preferences. C.Dividing the market into segments reduces composite demand. D.Very few markets have segments. E.Dividing the market into segments decreases the efficiency of the selling process.

A.They can be used to help finance the company's question marks and stars

Which of the following is true with regard to cash cows? A.They can be used to help finance the company's question marks and stars. B.They require significant cash to maintain market share. C.They are low-share businesses and products. D.They do not promise to be large sources of cash. E.They are high-growth, high-share businesses or products.

B.It allows salespeople to work with a minimum of travel time and cost.

Which of the following is true with regard to geographic organization? A.It is the most common form of marketing organization. B.It allows salespeople to work with a minimum of travel time and cost. C.Different marketing activities are headed by a functional specialist. D.It requires salespeople to have international experience. E.It reduces the overall efficiency of salespeople.

C. The focus of strategic planning is to define a game plan for long-run survival and growth

Which of the following is true with regard to strategic planning? A.At the corporate level, the company starts the strategic planning process by determining what portfolio of businesses and products is best for the company. B.The strategic plan is a statement of an organization's purpose. C.The focus of strategic planning is to define a game plan for long-run survival and growth. D.Strategic planning involves identifying segments of consumers with identical preferences. E.A strategic plan deals with a company's short-term goals

A.It is a useful device for identifying growth opportunities.

Which of the following is true with regard to the product/expansion grid? A.It is a useful device for identifying growth opportunities. B.It helps companies analyze their internal strengths and weaknesses. C.It is a useful device for segregating customers into distinct categories. D.It classifies SBUs into four distinct categories. E.It functions on the premise that firms should downsize to regain market share.

A.Planning marketing strategies

Which of the following steps in the strategic planning process is done at the business unit level? A.Planning marketing strategies B.Setting company objectives C.Designing the business portfolio D.Defining the company mission E.Setting company goals

B.Marketing provides inputs to strategic planners

Which one of the following statements about marketing's role in strategic planning is correct? A.Marketing does not contribute to profitability. B.Marketing provides inputs to strategic planners. C.Marketing is unrelated to a company's guiding philosophy. D.Marketing does not design strategies. E.Marketing oversees the planning of each business unit.

B.cross-functional teams of divisional managers close to their markets

Within a company, who is most likely to perform strategic planning? A.the marketing and sales departments B.cross-functional teams of divisional managers close to their markets C.the accounting and finance departments D.the president and vice presidents E.the manufacturing and production departments

D.low-growth, high-share businesses or products

Within the growth-share matrix, "cash cows" are __________. A.high-growth, high-share businesses or products B.high-share businesses in slow-growth markets C.low-growth, low-share business units in high-growth markets D.low-growth, high-share businesses or products E.low-growth, low-share businesses and products in high-growth markets

B.Strategic control

______ involves looking at whether a company's key action plans are well-matched to its opportunities. A.Regression analysis B.Strategic control C.Benchmarking D.Operating control E.Portfolio analysis

C. Porter's five forces

_______ analysis is an overall evaluation of the company's strengths, weaknesses, opportunities, and threats. A.A cluster B.A SWOT C.Porter's five forces D.A breakeven E.A regression

E.Stars

_______ are a type of SBU that often require heavy investments to finance their rapid growth. A.Question marks B.Cash cows C.Bears D.Dogs E.Stars

C. Cash cows

_______ are low-growth, high-share businesses/products that need less investment to hold their market share. A.Bears B.Stars C.Cash cows D.Dogs E.Question marks

B. Question marks

_______ are low-share business units in high-growth markets that require a lot of cash to hold their share. A.Stars B.Question marks C.Bears D.Dogs E.Cash cows

E. Return on marketing investment

_______ measures the profits generated by investments in marketing activities. A.Marketing budget evaluation B.A marketing audit C.A SWOT analysis D.Regression analysis E.Return on marketing investment

E.Marketing dashboards

_______ refer(s) to meaningful sets of marketing performance measures in a single display used to monitor strategic marketing performance. A.Line extensions B.Market share C.Field automation systems D.Market segments E.Marketing dashboards

E.Promotion

_______ refers to activities that communicate the merits of the product and persuade target customers to buy it. A.Pricing B.Prospecting C.Segmentation D.Position E.Promotion

C.Marketing control

_______ refers to measuring and evaluating the results of marketing strategies and plans and taking corrective action to ensure that the objectives are achieved. A.Benchmarking B.Marketing implementation C.Marketing control D.Prospecting E.Satisficing

B. Strategic planning

________ is the process of developing and maintaining a crucial fit between the organization's goals and capabilities and its changing marketing opportunities. A.Benchmarking B.Strategic planning C.Market segmentation D.Diversification E.SWOT analysis

C.A SWOT analysis

________ provides a complete analysis of the company's situation. A.A marketing audit B.Return on marketing investment C.A SWOT analysis D.Regression analysis E.Marketing budget evaluation

A.Marketing

_________ plays a key role in the company's strategic planning. A.Marketing B.Accounting C.Operations D.Finance E.Human Resources

B.Promotion

_________ refers to activities that communicate the merits of the product and persuade target customers to buy it. A.Positioning B.Promotion C.Segmentation D.Targeting E.Differentiation

C.Market targeting

__________ involves evaluating each market segments attractiveness and selecting one or more segments to enter. A.Market differentiation B.Market positioning C.Market targeting D.Marketing mix E.Market segmentation

A.Customer value and relationships

__________ is at the core of any marketing strategy. A.Customer value and relationships B.Segmenting, targeting, and positioning C.Planning, analysis, and implementation D.The marketing mix E.Competitors, suppliers, and publics

A.operating control

he purpose of ________ is to ensure that the company achieves the sales, profits, and other goals set out in its annual marketing plan. A.operating control B.a marketing audit C.strategic control D.benchmarking E.SWOT analysis

A.place

in the context of a company's marketing mix, ________ includes company activities that make the product available to target consumers. A.place B.branding C.position D.price E.Promotion

C.strategic business units

n portfolio analysis, a company must identify __________, which are key businesses that make up the company. A.functional departments B.marketing intermediaries C.strategic business units D.competitors E.potential future businesses