Chapter 18 Creating Competitive Advantage

13) The more that one firm's strategy resembles another firm's strategy, the more likely the two firms are to________. A) compete B) join C) grow D) partner E) succeed

A) compete

1) Gaining ________ requires delivering more value and satisfaction to target consumers than competitors do. A) competitive advantage B) competitor analysis C) benchmarking D) a market-center E) a target advantage

A) competitive advantage

8) Companies can identify ________ from both the industry and market point of view. A) competitors B) products C) customers D) locations E) employees

A) competitors

6) To plan effective marketing strategies, the company needs to find out all it can about its competitors. It must constantly compare its marketing strategies, products, prices, channels, and promotion with those of close competitors. This is an example of ________. A) benchmarking B) competitor analysis C) customer value analysis D) product leadership E) continuous innovation

B) competitor analysis

3) Part two of a competitor analysis is assessing all of the following EXCEPT a company's ________. A) objectives B) employees C) strategies D) strengths and weaknesses E) reaction patterns

B) employees

12) A company that pursues ________ leadership will react much more strongly to a competitor's ________ manufacturing breakthrough than to the same competitor's advertising increase. A) high-cost; cost reducing B) low-cost; cost reducing C) service; cost reducing D) high-cost; efficiency improving E) market share; efficiency improving

B) low-cost; cost reducing

4) Strategies that strongly position the company against competitors and that give the company the strongest possible strategic advantage are ________. A) competitor analyses B) customer relationship strategies C) competitive marketing strategies D) competitive relationship strategies E) universal strategy analyses

C) competitive marketing strategies

18) Most companies prefer to aim competition against ________. A) their biggest competitor B) the market leader C) weak competitors D) new competitors E) distant competitors

C) weak competitors

2) The first step in initiating competitive marketing strategies is to conduct ________. A) a private screening B) a competitive advantage analysis C) management modifications D) competitor analysis E) absolute advantage processing

D) competitor analysis

14) Companies need to know each competitor's product quality, features, and mix; customer services; pricing policy; distribution coverage; sales force strategy; and advertising and sales promotion programs. These are all the dimensions that identify ________ groups within the industry. A) target B) leading C) geographic D) strategic E) competing

D) strategic

16) Benchmarking has become a powerful tool for increasing a company's ________. A) brand image B) mass appeal C) employee training services D) distribution channels E) competitiveness

E) competitiveness

17) Knowing how major competitors react gives the company clues on how best to ________ competitors or how best to ________ the company's current positions. A) remove; decrease B) attack; increase C) attack; defend D) value; change E) decrease; defend

C) attack; defend

7) Companies can identify competitors from a ________ point of view by defining competitors as companies that are trying to satisfy the same customer need or build relationships with the same customer group. A) customer's B) market nicher's C) market D) database E) industry

C) market

5) ________ involves first identifying and assessing competitors and then selecting which competitors to attack or avoid. A) Competitor analysis B) Benchmarking C) Customer-centered analysis D) Market leading E) The marketing management process

A) Competitor analysis

11) Each competitor has a mix of objectives. The company wants to know the relative importance that a competitor places on all of the following EXCEPT ________. A) company history B) current profitability C) market share growth D) cash flow E) technological and service leadership

A) company history

20) Analysis conducted to determine what benefits target customers value and how they rate the relative value of various competitors' offers is known as ________. A) customer value analysis B) competitive customer analysis C) power analysis D) advertising specialty analysis E) benchmarking

A) customer value analysis

19) A firm should compete with ________ competitors in order to sharpen its abilities. Succeeding against these competitors often provides greater returns. A) strong B) international C) weak D) distant E) smaller

A) strong

15) ________ is the process of comparing the company's products and processes to those of competitors or leading firms in other industries to find ways to improve quality and performance. A) Competitive advantage B) Advertising synergy C) Sales promotion D) Benchmarking E) Publicity

D) Benchmarking

10) From a(n) ________ point of view, Pepsi might see its competition as Coca-Cola, Dr Pepper, 7UP, and the makers of other soft drink brands. From a(n) ________ point of view, however, the customer really wants "thirst quenching." A) market; industry B) market; consumer's C) industry; competitive D) industry; market E) company's; consumer's

D) industry; market

9) A company is guilty of ________ if the company forgets latent competitors and only focuses on current competitors. A) marketing myopia B) misdirected segmentation C) competitor synergy D) competitor phobia E) competitor myopia

E) competitor myopia