MKTG exam notes

Which of the following sets the price ceiling for a product's pricing?

consumer perceptions of value

Which of the following is a commercial source of product information?

dealer and manufacturer sites and mobile sites

Which of the following is a transaction site?

eBay

What is a disadvantage of a viral success?

marketers have little control over over where the message ends up

Surf's Up, a family-owned business, offers a free surf lesson with the purchase of any surfboard over $200 during the month of May. This is an example of which promotion mix element?

sales promotion

S/A: You are the Chief Innovation Officer for Apple Computers. Apple has excellent computing products, the iPhone, Apple Music, a xxx service, and now it seems you need a breakthrough product concept. The innovation team admits they are unable to come up with the "next best" idea that will contribute considerable revenue to Apple. In the course, we identified a number of alternative ways to generate new, unique ideas. Name and briefly describe four of these.

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SA: Discuss the benefits of direct and digital marketing for both consumers and sellers

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S/A: You have been appointed CMO of Tesla car division and are considering hot to grow car sales over the next few years. The current car models include those depicted in the graphic below alone with their general selling prices. Note that there are major "gaps" in pricing within the car models, offering a $39,000 model and a $80,000 model, but nothing in between. In the SUV market, a moderate and expensive model is being offered. Thinking about the target market, perceived value and vehicle affordability what do you think should be the focus? Can you describe the target market in terms of demographics and psychographics that you would want to attract to the line? How would you position your choice of offerings? This is a question that requires your marketing intuition, understanding of basic focal concepts, and it is not expected that you perform an extensive analysis of sales figures or other metrics.

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The Red Bull case described a challenging situation for this brand, even though the business has grown substantially. The marketing team was faces with what choices and how did they determine which was the best long-term approach for the brand?

As they are in a market that has extremely similar products, they have the challenge of having to differentiate themselves from the rest of the energy drink firms. The best long term approach is to provide healthier options to deliver customer wants and needs. This caters to younger generations which eat much healthier than the Baby Boomers and other older generations.

How does marketing give buyers access to more comparative information about companies. products, and competitors?

Direct marketing affords customer the chance to read or hear about different products before making a purchase more

S/A: As the marketing manager at Secure Services, a home security systems company, you have been asked to devise a new sales and marketing strategy for a new line of sophisticated alerting systems called "Imperio." These alerting systems can be programmed to meet individual specifications, have special child lock features, and require the thumb impression of the homeowner(s) for a visitor to be allowed inside the house. The two previous promotional ventures failed to elicit much consumer response because most people were unaware of the benefits of such devices except for those consumers who were specifically looking for them. Can the use of email marketing by Secure services be justified for its current marketing effort? Why or why not?

EX: E-mail marketing is an important and growing online marketing tool. When used properly, e-mail can be the ultimate direct marketing medium. E-mail lets these marketers send highly targeted, tightly personalized, relationship-building messages. Secure is selling a product that many families may need but do not have sufficient information about. An e-mail describing the product, its features, benefits, and costs may be one of the best ways to enhance consumer awareness and demand. Few customers may object, but many may actually welcome such promotional messages for such an important product.

Our class visitor, John Eckhardt from SNAP described three types of attribution models that marketers use to determine the effectiveness of their digital programs. Nothing can be more important than knowing who prospects are than their PI. Identify and describe what goes into the three approaches and discuss the pros and cons of each.

Last touch: you get to know where exactly your customer was right before landing on the site Incremental: giving credit to all of the recent sites a customer has been on in the past leading up to your site Fractional: based on regressional model, only provides some information on the site about user

How has the internet most likely affected direct and digital marketing?

The expenditures on direct and digital marketing have increased.

Digital marketing through online, mobile, and social media provides a sense of brand engagement and community

True

Which of the following would be considered an upstream partner in a company's supply chain?

a firm that provides technical expertise in the production of a product

Which of the following is true of advertising in the new marketing communications model?

advertisers are increasingly shifting toward digital media

"Informing the target market about a price change for a signature cookie dough product through a national TV campaign within three months" is an example of a(n) ________ objective.

advertising

Product planners must build a(n) _______ product around the core benefit and actual product by offering additional consumer services and benefits.

augmented

Which of the following statements is true?

because consumer find and pass along the message, viral marketing can be very inexpensive

Dividing buyers into groups based on their knowledge, attitudes, uses, or responses to a product is called ________ segmentation.

behavioral

A _______ is a descriptive thought that a person has about something

belief

Which of the following is a direct digital marketing tool?

blogs

Which of the following is true of marketing through blogs?

blogs are an inexpensive yet personal way to connect with customers

Spartan Sportsgear is a company that sells sports equipment for adventure sports. It recently launched ExtremeSpartan.com to showcase products and provide testimonials of famous adventure sports athletes who use Spartan's products. It also includes videos and blogs. Which of the following best describes ExtremeSpartan.com?

brand community website

Online visitors can't buy anything at ESPN.com. Instead, the site creates a virtual experience for sports enthusiasts and fans that can be customized to meet their needs, this is most likely and example of...

branded community website

Experimental research is best suited for gathering _______ information

casual

Which of the following is an industrial product categorized under materials and parts?

cement

Excel Enterprises uses a Web site, online social networks, and print advertisements to promote its products. Since Excel Enterprises practices integrated marketing communications, all these different brand contacts maintain ________ in design and tone.

consistency

Rather than just creating and placing "TV ads" or "print ads" or "Snapchat branded story ads," many marketers now view themselves more broadly as ________ managers.

content marketing

more than 80% of McDonald's worldwide are owned and operated by franchises. This illustrates a(n) _________ marketing system

contractual VMS

Which of the following is the primary purpose of branded community websites?

creating customer product engagement

The team-based new product development approach saves time and increased effectiveness because departments work closely together in ________.

cross-functional teams

Vertical conflicts in distribution channels are conflicts that occur between ________.

different levels of different channels

Which of the following is most likely true about the digital age with regards to marketing?

digital networks allow marketers many ways to build customer relationships

_________ marketing involves engaging directly with carefully targeted individual consumers and customer communities to both obtain an immediate response and build lasting customer relationships.

direct and digital

Changes in technology and the explosive growth of direct and online marketing are having a profound impact on the nature and design of marketing channels. One major trend is toward _________ insofar as product or service producers cut out intermediaries and go directly to final buyers or when radically new types of channel intermediaries displace traditional ones.

disintermediation

Pizza Hut, now called The Hut, was challenged with whether or not to enter the pizza delivery service when most, if not all of its franchises, were accustomed to the prestige and success of in-store dining. What did Steve Reinsmund and the leadership do to address this challenge and why did they have few choices but to move forward?

do delivery like competitors and dominoes, etc

A(n) _______ becomes a motive when it is directed toward a particular stimulus object.

drive

A market researcher wants to find the cause-and-effect relationship between using organic ingredients in food and the subsequent consumption by customers. He invites ten respondents to his research firm and asks them to taste two identical dishes. The dishes were prepared in a similar manner, but one has natural herbs for flavoring and the other has artificial flavors. This is an example of _______

experimental research

According to Maslow's theory, safety and social needs must be fulfilled after self-actualized needs.

false

Consumers rarely compare shopping products before purchasing them.

false

Pricing strategies usually remain the same as a product passes through its life cycle.

false

Social class is determined by a single factor, such as income, but is measured as a combination of occupation, income, education, wealth, and other variables

false

The demand curve shows the number of units the market will buy in a given time period at similar prices.

false

You have learned a lot about marketing, innovation, running a growth-oriented business, and much more. From the perspective of your major or career focus, which ONE cencept is, in your opinion, going to be the most useful to your long-term career success?

figure it out

Customers at Carat, a premium jewelry store, are encouraged to make an appointment before a visit so that a customer service representative is assigned to them. These representatives help every customer make a purchase that meets his or her needs and budget after considering numerous options. The different styles and special features of the jewelry are explained to each customer to aid the purchase decision. In this case, Carat is an example of a(n) ________.

full-service retailer

The primary role of marketing is to:

generate profitable revenue

When demand hardly changes with a small change in the price of a product, the demand for the product is best described as ________.

inelastic

Controlling the ingredients that go into certain products and reducing the level of advertising "noise" are part of proposals relating to the consumer's right to ________.

influence marketing practices in ways that will improve quality of life

Producers of popular beverages often partner with global music channels to target consumers through a variety of promotional events and advertisements. This approach to marketing is referred to as ________ segmentation.

intermarket

Susan Hart, the manager of a children's boutique, collects data from her monthly records of sales, costs, and cash flow. In this case, Susan is making use of ________ databases.

internal

Which of the following is true of viral marketing?

it is the digital version of word-of-mouth marketing

Rage, a leading motor vehicle manufacturer, introduces a new superbike model. It invites proposals from independent dealers who are willing to set up exclusive showrooms that only sell Rage's superbikes. Chosen dealers will sell and service the superbikes, and Rage will oversee national advertising. This is most likely an example of a(n) ________.

manufacturer-sponsored retailer franchise system

The first Target store opened in 1962. Its initial strategy was to set prices low to attract a large number of buyers quickly and win a large market share. This is referred to as _____.

market penetration pricing

Which of the following is the right order of the steps that companies generally follow in designing a customer driven marketing strategy

market segmentation, market targeting, differentiation, and positioning

Backpacks Galore has an online tool that offers a wide variety of backpacks for direct purchase. The tool even allows customers to select an option to monogram their backpacks. Which of the following has Backpacks Galore most likely used?

marketing website

When the size, purchasing power, and profiles of a market segment can be determined, it possesses the requirement of being ________.

measurable

Best Buy is in a hyper competitive market environment, mainly consumer electronics retailing. No one chouse for how to compete is sufficient. Rather they need to enable multiple offensive and defensive strategic programs. What were three of these programs and what purpose did each of them serve?

needs omni-channel marketing --> keep up w digital consumers --> seamless experience btwn online, mobile, and in person shopping turn some retail space into warehouses for online shopping --> could get beat out by amazon if they dont compete with online shopping --> could operate cheaper and hold much more inventory increase service offerings --> advantage over other online stores --> keep customers coming back

Which of the following terms best describes the process of designing and producing a container or wrapper for the product?

packaging

Jeff is in the process of buying a new car. He carefully analyzes the features that he wants in a car, and perceives significant differences in price, quality, and features among three of his favorite models. He rates the models on each factor and ranks them in the order of his preference. To which of the following stages of the buyer decision process will Jeff most likely proceed next?

postpurchase decision

Pat thought he had received the best deal on his new car. Shortly after buying the car, Pat started to notice certain disadvantages of his new car as he learned more about other cars available in the market. Pat is feeling _____.

postpurchase dissonance

Many companies are taking a _______ approach, viewing equality as an investment and holding quality efforts accountable for bottom-line results.

return on quality

In a marketing communications mix, ______ refers to any short term incentive that encourages the purchase or sale of a product or service.

sales promotion

Unsolicited and unwanted commercial email is referred to as _______

spam

Which of the following account for the largest portion of firms' online advertising spending?

splay and search-related advertisements

Which type of retailer is much larger than a regular supermarket and offers a large assortment of routinely purchased food products, nonfood items, and services?

superstores

Business advisory services such as legal or advertising are classified under which category of industrial products?

supplies and services

The basic notion behind the concept of "consumer surplus" is what exactly? If the consumer believes the value of a new automobile, for example is $20,000 and the cost to produce is $12,000, the manufacturer margin is $2000 and the retail margin is $1,500, how much is the consumer surplus?

supposedly 6500, look it up

________ is a method of gathering primary data that involves asking people questions about their knowledge, attitudes, preferences, and buying behavior.

survey research

A company's total marketing communications mix consists of a special blend of advertising, sales promotion, public relations, personal selling, and direct-marketing tools that the company uses to communicate customer value and build customer relationships. This is also called ________.

the promotion mix

As mass markets have fragmented, marketers have shifted away from mass marketing.

true

Big data refers to the huge data sets generated by sophisticated information generation, collections, xxx, and analysis technologies

true

Consumer involvement has a positive effect on the new product development process and product success.

true

Omni-channel retailing aims to create a seamless cross-channel buying experience that integrates in-store, online, and mobile shopping.

true

Cienzo is a company that provides home cleaning services in major urban areas. Marketers at Cenzo developed a short humorous video promoting the company's services and hope that customers who see the video will be so entertained that they will pass the video on to their friends and colleagues. The marketers at Cienzo are using techniques to facilitate _____.

viral marketing

Specialty products are customer products that customers generally buy _______

without making comparisons