BA 270 Chapter 1

What ethical issue is associated with firms' product strategies?

Planned obsolescence

Relationship marketing focuses more attention on _________ customers because new customers are _______ to acquire compared to existing customers

existing; more expensive

Which of the following is a combination of person, cause, and organization marketing?

Angelina Jolie's role as a UN Goodwill Ambassador for refugees

What ethical/legal issue has the greatest potential to develop trust among followers and contribute to impacting the strength of a brand?

Be honest

Bed bath and beyond offers an exclusive selection of coffee makers for consumers to consider when they're making a purchase decision. They offer several different models of the Keurig as well as Cuisinart, Jura, and Mr. Coffee. Brittany stopped in the store to see the different models and make comparisons among them. She wasn't really yet to make a purchase but was primarily interested in learning about the different features and prices of brand so she could compare them in person. Which stage in the buying decision is Brittany most likely in?

Evaluation of alternatives

Marketers are kneel aware that good marketing alone is not enough to win the hearts and minds of consumers anymore. Now, marketers must market in a socially responsible manner or risk alienating consumers in ways that can be irreparable. What statement is true regarding social responsibility?

Government legislation can mandate socially responsible actions

Of the following characteristics of social media marketing, which one makes social media particularly well suited to helping an organization manage a crisis?

It possesses an immediate, real-time nature

As an observant marketer, you read newspapers and magazines regularly to keep up with the trends in American cultural values. But you realize that certain core values do not change over time. When considering various slogans to promote a new line of kitchen appliances, you identify one that fails to tap into a core value. Which slogan is it?

Keeps mom in the kitchen

You own a carpet, tile, and flooring store. What is the best example of selling in your own business?

Offering customers a 90 day same as cash discount on credit card purchases

Michelle is the owner of Cardio Kick, a fitness studio and is performing a SWOT analysis as part of a strategic planning exercise. She knows that consumers aged 18-30 are especially interested in staying fit, eating clean, and looking attractive and is wondering how she should classify this trend. How would you advise Michelle on this item?

Opportunity

Elizabeth had her car all packed and was ready to head home for the semester break. However, when she tried to start her car the battery was dead. She remembered the the last few times she tried to start her car it seemed like the battery was weak. Now, it was clear she would have to get a new battery. Elizabeth is in what stage of the consumer decision process?

Problem or opportunity recognition

Michelle is the owner of Cardio Kick, a fitness studio that uses boxing training and plyometrics to help members stay in shape or get in shape. Michelle is very creative and changes the workout everyday so that a different body part is emphasized during the workout. This helps balance training, improve results for members, and decrease boredom among members. If Michelle were performing a SWOT analysis, how would you classify her ability to be creative and change daily workouts?

Strength

Cardio Kick is a fitness studio owned by Michelle that uses boxing training and plyometric exercises to enhance the fitness of participants. Michelle is working on a SWOT analysis for the business and wondering how to classify the consumer perception that boxing is violent and male dominated. How would you classify this consumer perception about boxing?

Threat

Michelle, owner of the fitness studio, Cardio Kick has limited financial capital and must rely on word-of-mouth and social media such as Facebook to promote her business. Using a SWOT framework, how would you classify Michelle's limited financial capital?

Weakness

Edward Don & Company maintains over 12,000 food service and supply items for the hospitality industry as well as any organization that provides food service such as hospitals, schools, or prisons. Customers enjoy the opportunity to streamline their transactions by purchasing a large number of items from a single company. Customers may place orders online or order from their Edward Don sales rep. Edward Don purchases their items directly from the manufacturer and provides them to the business customer. What business function does Edward Don & Company provide?

Wholesaling

According to the text, once a company's customers have become "loyal supporters" the company should seek to further the relationship with those customers so that they become...

advocates

Channel conflicts can be defined as conflicts:

among manufacturers, wholesalers, and retailers.

Some Florida drivers have license plates that say "Save the Manatee." This is an example of _____ marketing.

cause

You are about to open a dog grooming business. Which of the following activities best represents your efforts to secure market information?

contacting all of the vets in the area to establish an estimated number of dogs in your town

As defined in the text, consumer behavior is influenced by social and psychological factors, what is an example of a social factor?

culture

Discount retailer, Target, has technology that can track where customers are in the store and send them appropriate notifications through text messages that alerts the customer to specials such as sale prices or limited edition products. Target likely does not use this technology because...

customers have concerns about the privacy implications that are impacted by this technology

You are the marketing director for Ladybug a boutique girl's clothing manufacturer, and you love brainstorming growth ideas with the rest of the executive team. As a group, you've been focused on product strategy lately, specifically expanding your product line. What idea do you think will work best for achieving your goals?

design a new line of clothing for infants

Phoebe is using Facebook, Instagram, and Pinterest to promote her company's home decor items. She's just reviewed all of her posts and pins from the last three months and discovered that 62 percent of them did not get any shares or re-pins. The low level of _______ indicates that she needs to changer her social media strategy and/or her products

engagement

Many characteristics were likely important when you chose which college or university to attend. For instance, students often consider the distance from home, programs of study offered, reputation of the school, success of the athletic teams, and cost of attendance. These different elements represent common:

evaluative criteria

Tabitha is interested in purchasing new head phones and has a set budget of up to $350. She's narrowed her choice to Bose, Beats by Dr. Dre and Exeo Psyko. These three brand are known as her ___ set:

evoked

When a bride purchases a wedding dress, her problem-solving process is likely to differ from the process she used when buying dresses to wear to work. Once in the wedding dress market, most brides will shift from _____ problem solving to ______ problem solving

limited, evaluative

The process for creating, communicating, and delivering value to the customer is called

marketing

Brianna has set a personal goal to compete on her university cross country team next year. She has hired a personal trainer, bought the best running shoes available, and set a rigorous training schedule. Brianna's desire to join the cross country team has served as a:

motive

Is "the people most likely to buy the product" an element os the marketing strategy for any given product?

no

There is a new pricing strategy at Big Apple Bagel, which means they are going to:

offer one free bagel with a purchase of six and three free bagels with the purchase of a dozen

The click-through rate is a measure of the

percentage of people presented with an ad who click it

A basic measurement of a website's effectiveness is the conversion rate, which is the:

percentage of website visitors who make purchases

Cabi, a women's clothing company based in Los Angeles, CA partners with Opportunity International to make small business loans to female entrepreneurs in developing countries through its "Make a Change Program" where customers can round up their purchase to the nearest dollar amount and contribute "change" for a change. This program is part of the ______ dimension of social responsibility

philanthropic

The term _____ is used to describe a high tech scam that uses authentic-looking email or pop-up messages to get unsuspecting victims to reveal personal information

phishing

Banks have recently begun to install ATMs in supermarkets to address customers' wants for instant cash when they go shopping. What type of utility are banks creating for customers?

place

The Parker & Frank brand is synonymous with the fine quality and exceptional styling of its leather handbags, shoes, luggage, belts, and other accessories. Earlier this year the company introduced a new direction in the company's _____________: a branded line of furniture manufactured by one of the top furniture makers in the country

product strategy

You're the marketing manager for a cellphone manufacturer, and your company has just come out with a truly unique design with unusual features. You've decided the best way to introduce this interesting new product is to offer it at a low introductory price with a rebate, and then to gradually increase the price until you find the price ceiling for it. Your plan is part of both the _____ and _____ strategies for the product

promotion; pricing

Alexis is very concerned about the environment and sees herself as "advocate for nature" Thus, she was excited when her dorm installed a filtered water fountain. In fact, she went out the very next day and bought a Yeti Rambler water bottle because she hated the idea of throwing away disposable plastic water bottles. Alexis' purchase of the Yeti bottle was largely driven by what type of factor?

psychological factors

Mitch is a real car fanatic! He has several sports cars and spends a lot of time searching for cars and maintaining and cleaning his cars. While many people don't give much thought to tires for their car, Mitch usually spends a lot of time researching and reading reviews before he buys new tires. However, last year he was on a trip when he got a flat tire in a small town in Indiana. Instead of his regular search, he just stopped at the first tire shop he could find and bought a tire to replace the ruined tire to continue his trip. It was not even a brand he had heard of before! Mitch's purchase in this case was mostly driven by what type of factor?

situational factor

Dove Skincare maintains a Facebook page where customers can ask product questions, share testimonials, and discover special promotions. Dove is an example of an organization operating in the _____ era

social

Jorge plans to buy a car and discusses the purchase with his parents. Their influence on his buying decision is considered:

social

The makers of Advil have designed machines that automatically move plastic bottles along conveyor belts until each bottle is filled with a precise number of tablets or gelcap. This is an example of which of the Eight Universal Marketing Functions?

standardizing and grading

Jamal is the marketing director of a third party logistics firm operating in the United States. Jamal and his team recently engaged in ______ to determine the company's primary objectives over the next three years and identified specific actions that the company would initiate to achieve the objectives

strategic planning

Michelle is the owner of a fitness studio called Cardio Kick and has been a personal trainer and certified trainer for 10 years. Her certification and experience in personal training would be classified as a(n) ________ when performing a SWOT analysis

strength

What a disaster! So far, 13 people have been hospitalized due to a strain of bacteria found in the lettuce your company packages for sale in grocery stores. You've met with the executive team to determine the best way to handle this crisis, and you've decided the best option is to:

tap into the immediacy of all social media channels to start notifying the public of your product recall

All Chuck E. Cheese's restaurants feature kid-friendly pizza and arcade games. The chain attracts families with young children, which is the organizations...

target market

To increase revenue, Gorilla Glue is planning to launch a new distribution strategy by:

targeting crafters through availability at Michael's and Hobby Lobby stores

The emergence of the marketing concept can best be explained by

the shift from a seller's market to a buyer's market

Budweiser and its stable of beer brands including Michelob, Bud Lite and Budweiser Platinum have faced significant inroads in sales by craft breweries such as Boston Beer Company and Sierra Nevada Brewing Company. The craft breweries represent a(n) ______ to Budweiser

threat

For years Michael Jordan was linked to Nike and promoted the brand and its products. Millions of kids grew up "wanting to be like Mike." To do that, they bought Nike's Air Jordan shoes and considered all things Nike to be the best! This enduring evaluation and positive perception of Nike can be considered a(n):

value proposition

The utility of a product or service is its

want-satisfying power