MKG300Exam1

The advantages of working with an intermediary usually increase when there is

An intermediary is someone who specializes in trade rather than production and plays an important role in the exchange process for a large number of customers.

Regarding the five stages in marketing evolution:

For most firms in advanced economies, the sales era continued until at least 1950.

Concerning the "universal functions of marketing," it is true that:

From a macro-marketing viewpoint, all of the marketing functions must be performed by someone—an individual producer or consumer, an intermediary, a marketing collaborator, or, even a nation's government. No function can be completely eliminated.

From the perspective of macro-marketing, e-commerce specialists CarFax (which provides vehicle history reports) and Cars.com (a website offering auto comparison shopping) have emerged within the auto industry because:

From the perspective of macro-marketing, specialists such as e-commerce businesses develop when there are opportunities to make exchanges between producers and consumers more efficient or effective.

An economic system in which government planners determine production levels is known as

In a command economy, government officials decide what and how much is to be produced and distributed by whom, when, to whom, and why.

In a market-directed economy:

In a market-directed economy, consumers decide what is to be produced and by whom—through their dollar "votes."

_____ NOT the government's job in a market-directed economy.

In a market-directed economy, consumers decide what is to be produced and by whom—through their dollar "votes."

Macro-marketing examines all the following challenging scenarios except:

In contrast with marketing, macro-marketing examines how the whole marketing system works. It does not pertain to the individual marketing plans and challenges of individual organizations.

Which of the following statements about economic systems is NOT true?

Producers are free to do whatever they wish, provided that they stay within the rules set by government and receive enough dollar "votes" from consumers. But profit, survival, and growth are not guaranteed.

In a command economy

Producers in a command economy generally have little choice about what goods and services to produce. Their main task is to meet the production quotas assigned in the plan.

The universal functions of marketing

Producers, consumers, and marketing specialists perform the universal functions of marketing.

Marketing will not happen unless:

Marketing doesn't occur unless two or more parties are willing to exchange something for something else.

In a command economy:

Consumers usually have some freedom of choice, but the assortment of goods and services may be quite limited.

Until recently, good PC software for producing digital videos was not available, but was much in demand by businesses. The first companies to produce a specific type of program had good sales even though they did little promotion and their programs were not "user-friendly." It seems that many of these "innovators" operated as if they were in the:

"If we can make it, it will sell" is management thinking characteristic of the production era due to shortage of products.

Which of the following is the BEST example of management thinking during the "production era"?"

"If we can make it, it will sell" is management thinking characteristic of the production era due to shortage of products.

Which of the following is NOT true about intermediaries?

An intermediary is someone who specializes in trade rather than production and plays an important role in the exchange process by saving of time, effort, and expense that would be involved without them.

During the sales era

Advanced production capabilities led to sales era when a company emphasizes selling to win customers because of increased competition.

According to the text, marketing means:

Although it's true that selling and advertising are parts of marketing, marketing is much more than that.

Which of the following statements about economic systems is true?

Consumers in a market-directed economy enjoy great freedom of choice.

The following activities are rightly considered marketing except:

Building a facility to manufacture furniture is part of production, not marketing. In contrast with production, marketing helps make sure that the right goods and services are produced and find their way to consumers.

Collaborators

Collaborators are firms that facilitate or provide one or more of the marketing functions other than buying or selling.

Which of the following is LEAST likely to be classified as a marketing collaborator?

Collaborators include advertising agencies, marketing research firms, independent product-testing laboratories, Internet service providers, public warehouses, transporting firms, communications companies, and financial institutions.

Discrepancies of assortment happen when

Discrepancies of assortment occurs when producers specialize in producing a narrow assortment of goods and services, but consumers need a broad assortment.

The fact that producers usually prefer to produce products in large quantities, while most consumers prefer to buy in small quantities, results in

Discrepancies of quantity occurs when producers prefer to produce and sell in large quantities and consumers prefer to buy and consume in small quantities.

"Economies of scale" means that:

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

When a firm produces a large quantity of a product, the cost of producing each individual unit usually goes down. This is known as:

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

When an individual producer sets a price for its product to earn a certain profit while consumers search for the product at the lowest price available from any producer, this is an example of

In separation in values, producers value goods and services in terms of costs and competitive prices while consumers value them in terms of satisfying needs and their ability to pay.

When consumers do not know where to buy a product or what it costs and the product's producer does not know where its target market is located, this is an example of:

In separation of information, producers do not know who needs what, where, when, and at what price. Also consumers do not know what is available from whom, where, when, and at what price.

The fact that US car companies are located in the upper Midwest while their customers are located throughout the U.S. is an example of:

In spatial separation, producers tend to locate where it is economical to produce, while consumers are located in many scattered places.

Regarding the five stages in marketing evolution,

In the five stages in marketing evolution, the marketing department era makes short-run planning only; the first era to evolve was the simple trade era; and the marketing company era makes both short-run and long-run planning.

Societies need a macro-marketing system

Macro-marketing is a social process that directs an economy's flow of goods and services from producers to consumers in a way that effectively matches supply and demand and accomplishes the objectives of society.

_________ directs an economy's flow of goods and services from producers to consumers in a way that effectively matches supply and demand and accomplishes the society's objectives.

Macro-marketing is a social process that directs an economy's flow of goods and services from producers to consumers in a way that effectively matches supply and demand and accomplishes the objectives of society.

The economic freedom provided within a market-directed economy produces the greatest number of:

Market directed economies produce great numbers of entrepreneurs and innovators because individuals in such economies have the economic freedom to take risks and try out new ideas.

Market research firm BestOne sells reports about competitors, products, and other areas to various clients in the software industry. BestOne performs which universal marketing function:

Market information function involves the collection, analysis, and distribution of all the information needed to plan, carry out, and control marketing activities, whether in the firm's own neighborhood or in a market overseas.

Marketing

Marketing affects almost every aspect of your daily life.

Marketing:

Marketing applies to both profit and nonprofit organizations.

From a micro view, marketing

Marketing from a micro view is a set of activities performed by organizations.

Marketing intermediaries and collaborators can often perform marketing functions:

Marketing intermediaries and collaborators are often able to perform the marketing functions better and at a lower cost than producers or consumers can which allows producers and consumers to spend more time on production, consumption, or other activities including leisure.

For Tesla, a new firm that makes an electric sports car, estimating how many competitors will make electric vehicles and what kinds they will make, is:

Marketing provides needed direction for production and helps make sure that the right goods and services are produced and find their way to consumers.

Predicting what types of bicycles different customers will want and deciding which of these customers the business will try to satisfy are activities a firm should do as part of

Marketing provides needed direction for production and helps make sure that the right goods and services are produced and find their way to consumers.

Effective marketing should begin with

Marketing should begin with potential customer needs and not with the production process.

Which of the following statements best describes the modern view of marketing?

Marketing should begin with potential customer needs and not with the production process.

A marketing manager planning to launch a successful new product should begin by:

Marketing should begin with potential customer needs. Marketing should try to anticipate needs and then determine what goods and services are to be developed to meet those needs.

All of the following should be determined by the marketing department of a firm EXCEPT:

Marketing should determine storing, advertising, designing the packaging, setting the price of the product, etc. Actually making goods or performing services is called production.

Marketing should

Marketing should determine what goods and services are to be developed including decisions about product design and packaging; prices or fees; credit and collection policies; transporting and storing policies; advertising and sales policies; and, after the sale, installation, customer service, warranty, and perhaps even disposal and recycling policies.

_______ refers to producers holding title to goods and services that they themselves do not want to consume and consumers wanting goods and services that they do not have

Separation of ownership occurs when producers hold title to goods and services that they themselves do not want to consume while consumers want goods and services that they do not own.

The standardization and grading function of marketing involves:

Standardization and grading involve sorting products according to size and quality.

______________ involve(s) sorting products according to size and quality.

Standardization and grading involve sorting products according to size and quality.

Identify the incorrect statement about market-directed economies.

The American economy and most other Western economies are mainly market-directed but not completely.

The aim of marketing is to

The aim of marketing is to identify customers' needs and meet those needs so well that the product almost "sells itself."

Which of the following organizations would be least likely to need marketing skills?

The aim of marketing is to identify customers' needs and provide need-satisfying products, whether the product is a physical good, a service, or even an idea.

Consumers in a market-directed economy

The citizens in a market-directed economy are taxed for goods or services provided for the good of society such as national defense, schools, police and fire protection, highway systems, and public-health services.

Which of the following BEST describes what is necessary for a country's MACRO-marketing system to be "fair and effective"?

The effectiveness and fairness of a particular macro-marketing system must be evaluated in terms of that society's objectives.

The text considers five "eras" of marketing evolution. Which of the following shows the logical order in which these eras occur?

The five stages in marketing evolution are: (1) the simple trade era, (2) the production era, (3) the sales era, (4) the marketing department era, and (5) the marketing company era.

SouthFace Corporation just named Chloe Perry to a marketing management position. One of the reasons she accepted a position with this company was its reputation for market-oriented long-range planning. SouthFace Corp. is probably operating in the ______________ era.

The marketing company era is a time when, in addition to short-run marketing planning, marketing people develop long-range plans— sometimes five or more years ahead.

When marketing people do long-range planning and the whole company is guided by the "marketing concept," the company has entered the ______________ era.

The marketing company era is a time when, in addition to short-run marketing planning, marketing people develop long-range plans— sometimes five or more years ahead—and the whole company effort is guided by the marketing concept.

Compared with other approaches to business, the marketing concept is distinct in that it:

The marketing concept is distinct from other approaches to business in that it views organizations as existing to serve customers and the needs of society. Firms that apply the marketing concept direct all their efforts at satisfying customers.

As a firm moves from the sales era to the marketing department era it is likely to:

The marketing department era is a time when all marketing activities are brought under the control of one department to improve short- run policy planning and to try to integrate the firm's activities.

Myra Martinez was just named Treasure Island, Inc.'s "marketing manager"—with responsibilities for short-run policy planning of the firm's advertising, sales, marketing research, purchasing, and distribution efforts. Apparently, Treasure Island is operating in the ______________ era.

The marketing department era is a time when all marketing activities are brought under the control of one department to improve short- run policy planning and to try to integrate the firm's activities.

Macro-marketing:

The role of a macro-marketing system is to effectively match the heterogeneous supply and demand and at the same time accomplish society's objectives.

The following headlines are for articles from the WALL STREET JOURNAL. Which article is most likely to be reporting a macro- marketing topic?

The role of a macro-marketing system is to effectively match the heterogeneous supply and demand and at the same time accomplish society's objectives. The other alternatives above deal with individual firms.

Asa Meyer was just named FireFly Products sales manager, with responsibilities for all marketing planning. FireFly's president told him that his job is to "outsell the competition." Apparently, FireFly is operating in the ______________ era.

The sales era is a time when a company emphasizes selling because of increased competition.

The president of a company that produces cardboard boxes is concerned about the large number of competitors with extra capacity. As he put it, "our best shot is in the hands of our sales manager—she makes all of our marketing decisions and is creative enough to figure out how to sell more boxes." It seems that this company is run as if it were in the:

The sales era is a time when a company emphasizes selling because of increased competition.

The primary purpose of the transporting and storing functions of marketing is to overcome:

The transporting function means the movement of goods from one place to another and the storing function involves holding goods until customers need them. These functions help to overcome spatial separation.

After seeing a "sale" ad in a local newspaper, Ben Griffith went to a local pet supply store and bought a year's supply of high protein dog food. Which marketing functions—if any—did he perform?

The universal functions of marketing are buying, selling, transporting, storing, standardization and grading, financing, risk taking, and market information. And most of these functions were performed by Ben.

The "universal functions of marketing":

The universal functions of marketing must be performed in all macro-marketing systems and may differ among nations and economic systems. The two kinds of economic systems are command economies and market-directed economies.

The various economic systems around the world are:

While all societies have economic systems, how an economic system operates depends largely on the nature of the society's political institutions.