MKTG 310 Final Exam Study Guide

Overall company objectives should:

-be specific -be compatible w/ one another -ALL OF THE ABOVE -focus on returning some profit to the business

The basic objective of a firm should be to:

-develop an organization to carry on the business and implement its strategies -engage in some specific business activity that will perform a socially and economically useful function -ALL OF THE ABOVE -earn enough profit to survive -only B and C

Marketing managers should remember that there are many variables in the ____________ that affect strategy planning.

-economic and technological environments -political and legal environments -cultural and social environment -ALL THE ABOVE -competitive environment

A mission statement

-should embrace everything rather than focus on a few key goals -substitutes for more specific objections -supplies guidelines to general situations but not for situations where managers face difficult decisions -should never be revised -SETA OUT THE ORGANIZATION'S BASIC PURPOSE FOR BEING

The objectives of a firm should direct the operation of the marketing department, but aren't important to the rest of the business.

False

The process of organizational buying is entirely different from consumer buying.

False

The technological environment includes such things as national income, economic growth, and inflation.

False

The term "marketing orientation" means making products that re easy to produce and then trying to sell them.

False

When the dollar is strong in international exchange, it is easier to sell U.S. products in overseas markets.

False

In selective exposure we screen out or modify ideas, messages, and information that conflict with previously learned attitudes and beliefs.

Fasle

(p. 136) Discretionary income is an elusive concept because the definition of necessities varies from family to family and over time.

True

(p. 150) A drive is a strong stimulus that encourages action to reduce a need.

True

(p. 150) According to the text, consumer buying decisions are influenced by economic needs, psychological variables, social influences, and the purchase situation.

True

(p. 150) Motivation, perception, learning, attitudes and lifestyle are psychological variables which affect consumer buying.

True

(p. 152) The "hierarchy of needs" model suggests that we never reach a complete state of satisfaction, and that as lower level needs are satisfied higher level needs become more dominant.

True

. (p. 129) Most of the U.S.'s future population growth is expected to come from immigration

True

A "breakthrough opportunity" is an opportunity that helps innovators develop long-term, hard-to-copy marketing strategies that will be very profitable.

True

A "good" market segment should be composed of people who are as homogeneous as possible with respect to their likely responses to marketing mix variables.

True

A "marketing program" blends all of a firm's marketing plans into one "big" plan.

True

A "substantial" market segment is one which is big enough to be profitable.

True

A basic idea in the legal environment in the United States is that attempts by business to limit competition are considered contrary to the public interest.

True

A close buyer-seller relationship in a business market may reduce a firm's flexibility.

True

A description of what a firm wants to buy is called its purchasing specifications, whether that description is written or electronic.

True

A marketing information system (MIS) is an organized way of continually gathering, accessing, and analyzing information that marketing managers need to make ongoing decisions.

True

A marketing strategy is composed of two interrelated parts- a target market and a marketing mix.

True

A mission statement sets out the organization's basic purpose for being.

True

A perfume ad that suggests that people who use the product have more appeal to the opposite sex is an example of a positive cue.

True

A straight rebuy is a routine repurchase that may have been made many times before.

True

An attitude is a person's point of view about something, and usually involves liking or disliking.

True

An intranet is a system for linking computers within a company.

True

At a procurement site, competition among sellers is likely to increase.

True

Company objectives should shape the direction and operation of the whole business.

True

Competitive barriers are conditions that make it difficult for a firm to compete in a market.

True

Competitor analysis is an organized approach for evaluating the strengths and weaknesses of current or potential competitors' marketing strategies.

True

Consumers do not usually see or hear all the stimuli that come their way.

True

Consumers may evaluate a product not just on how well it performs but on how it performs relative to their expectations.

True

Customer satisfaction is the extent to which a firm fulfills a consumer's dees, desires, and expectations.

True

Decision support systems that include marketing models help managers by showing the relationships among marketing variables.

True

Even though the more developed industrial nations don't have the largest populations, they do have the biggest share of the world's GDP.

True

Hypotheses are educated guesses about the relationships between things or about what will happen in the future.

True

ISO 9000 is a way for a supplier to document that its quality procedures meet internationally recognized standards.

True

In market-directed economies, unregulated monopolies are rare.

True

It is easier for a marketer to work with existing attitudes than to try to change them.

True

It is the job of the marketing manager to ask for the right information in the right form.

True

Marketing can provide needed direction and help make are that the right goods and services find their was to interested consumers.

True

Marketing plays an essential role in creating satisfaction.

True

Marketing research focuses on changing information needs while an MIS focuses on recurring information needs.

True

Marketing-oriented managers see segmenting as a process of aggregating people with similar needs into a group.

True

Organizational buyers are often referred to as the B2B market.

True

Reinforcement strengthens the relationship between the cue and the response.

True

Since marketing managers have to be able to evaluate research results, they should be involved in the design of research projects—even though they may not be research specialists.

True

The Internet is a powerful way to get information about competitors.

True

The Internet is making even straight rebuys more competitive.

True

The Place decisions are concerned with getting the right product to the target market at the right time.

True

The marketing concept means that an organization aims all its efforts at satisfying its customers-at a profit.

True

The marketing management process consists of (1) planning marketing activities. (2) directing the implementation of the plans, and (3) controlling these plans.

True

To protect themselves from unpredictable events, most purchasing managers seek several dependable sources of supply.

True

Unless the problem is precisely defined, research effort may be wasted on the wrong problem, and may lead to costly mistakes.

True

Use of the scientific method in marketing research forces researchers to use an orderly process.

True

When considering international markets, income is often one of the most important demographic dimensions.

True

In the short run, a marketing manager usually cannot control:

-ANY OF THE ABOVE -the economic environment -the cultural environment -the competitive environment -the legal environment

"Multiple buying influence" means that several people in an organization share in making a purchase decision, but top management is never involved.

False

(p. 138) Older people seem to be more open to new products and brands than younger people.

False

(p. 150) Wants are the basic forces that motivate a person to do something.

False

(p. 152) According to the Hierarchy of Needs, consumers are motivated to first satisfy their higher-order needs, then they will focus on their lower-level needs.

False

A business firm's only objective should be to earn enough profit to survive.

False

A channel of distribution must include an intermediary.

False

A marketing mix consists of the uncontrollable variables. which a company puts together to satisfy a target market.

False

A personality trait like moodiness is a good example of an "operational" segmenting dimension.

False

A target market consists of a group of consumers who are usually quite different.

False

According to the text, a firm that sells a service rather than a physical good does not have a product.

False

According to the text, marketing means "selling" or "advertising."

False

As compared to larger competitors, smaller firms benefit from lower unit costs which they achieve with lower sales volumes.

False

Business and organizational customers are selective buyers who buy for the sole purpose of resale.

False

Competitive rivals are always easy to identify.

False

Customer value is just another term for customer satisfaction.

False

Defining the problem is the first step in marketing research—and is usually the easiest job for the researcher.

False

Dependability of supply is usually much less important than price for most business customers.

False

During the situation analysis, a marketing researcher will evaluate primary data rather than secondary data.

False

Estimating what price consumers are willing to pay for a product and if the firm can make a profit selling at that price, is an example of a production activity.

False

Gross domestic product is the total dollar value of a country's exports during a one year period.

False

If a firm produces the right goods or services, marketing has little role to play in creating customer satisfaction.

False

In a market-directed economy, consumers enjoy complete freedom of choice.

False

In light of the relationships between consumer expectations and satisfaction, it's usually best for promotion to slightly "over promise" what the firm can actually deliver.

False

Income by itself is usually a pretty good measure of social class.

False

Just-in-time delivery reliably helps to get products and store them long before the customer needs them.

False

Less-developed countries usually experience the slowest population growth.

False

Marketers no longer encounter differences among European countries.

False

Marketing activities should be of no interest to a nonprofit organization.

False

Mass marketing means focusing on some specific customers, as opposed to assuming that everyone is the same and will want whatever the firm offers.

False

Over the long run, most product-markets tend toward monopolistic competition.

False

The "universal functions of marketing" consist only of buying, selling, transporting, and storing.

False

The Internet is an excellent source for primary data, but not secondary data.

False

The customer is a part of the marketing mix and should be the target of all marketing efforts.

False

The four "Ps" are: Product, Promotion, Price, and Personnel.

False

The main difference between a "product-market" and a "generic market" is whether customer needs are similar or different.

False

The marketing mix should be set before the best target market is selected.

False