CHapter 3 M

Larger​ ________ that affect the entire microenvironment combine to form the macroenvironment. A. societal forces B. technological forces C. economic and cultural forces D. ​political/social forces E. demographic and economic environments

A

Of the​ following, which best reflects how the American population has changed over​ time? A. It has become more​ diverse, better​ educated, and more mobile. B. It has become closer knit and more​ family-oriented. C. It has become more skeptical about marketing schemes. D. It has become more likely to develop brand loyalty. E. It has become​ wealthier, more​ cultured, and more frivolous in its spending habits.

A

Rather than simply watching and responding to environmental​ events, firms can be proactive by​ ____________. A. pressing lawsuits to keep competitors in line B. reacting to changes in the environment as they occur C. monitoring social media D. waiting for other firms to respond to changes in the environment E. following existing laws

A

The demographic environment is of major interest to marketers because​ ________. A. it involves​ people, and people make up markets B. it involves a​ better-educated, more​ white-collar, more professional​ population C. it involves increasingly diverse markets D. it involves changes in the age structure of the population E. it involves geographic shifts in population

A

Changes in the​ _____________________ have focused greater emphasis on ethics and socially responsible actions. A. economic environment B. political and social environment C. technological environment D. demographic environment E. cultural environment

B

There have been dramatic changes in the political environment that affect marketing. Which of the following does NOT represent one of those​ changes? A. Strong government agency enforcement B. Greater emphasis on ethics C. Increasing legislation regulating business D. Strong emphasis on free trade and open borders E. Greater emphasis on social responsibility

D

As a direct result of the explosion in digital​ technology, one regulatory area that advocates and public policy makers are acting on is​ ____________. A. truth in advertising B. predatory pricing C. enforcing international trade policies D. ​price-fixing E. invasion of privacy

E

Which of the following is NOT one of the components of a​ company's microenvironment? A. Cultural forces B. Suppliers C. Customer markets D. Competitors E. Marketing intermediaries

E

environmental sustainability

developing strategies and practices that create a world economy that the planet can support indefinitely

marketing intermediaries

firms that help the company to promote, sell, and distribute its goods to final buyers

Technological Environment

forces that create new technologies, creating new product and market opportunities

Political Environment

laws, government agencies, and pressure groups that influence and limit various organizations and individuals in a given society

Microenvironment

the actors close to the company that affect its ability to serve its customers - the company, suppliers, marketing intermediaries, customer markets, competitors, and publics

Macroenvironment

the larger societal forces that affect the microenvironment - demographic, economic, natural, technological, political, and cultural forces

natural environment

the physical environment and the natural resources that are needed as inputs by marketers or that are affected by marketing activities

cultural environment

institutions and other forces that affect society's basic values, perceptions, preferences, and behaviors

generation x

the 49 million people born between 1965 and 1976 in the "birth dearth" following the baby boom

Millenials (Gen Y)

the 83 million children of the baby boomers born between 1977 and 2000

According to the​ text, __________ are perhaps the most dramatic forces affecting​ today's marketing strategies. A. natural forces B. economic forces C. demographic forces D. technological forces E. political forces

A

Which of the following is an important trend in the natural environment of which marketers should be​ aware? A. Shortages of raw materials B. Decreased pollution C. Decreased government intervention D. Decreasing costs of nonrenewable resources E. A decrease in consumer concern toward the environment

A

generation z

Also known as the Digital Natives, because people in this group were born into a world that already was full of electronic gadgets and digital technologies, such as the Internet and social networks.

The economic environment impacts marketing decisions. The economic environment consists of two primary economic factors that affect​ __________________. A. consumer income levels and spending patterns B. consumer purchasing power and spending patterns C. consumer spending patterns and buyer preferences D. consumer purchasing preferences and buyer power E. consumer product purchasing habits and spending habits

B

The third purpose of government regulation is to​ _____________________. A. protect companies from each other B. protect the interests of society against unrestrained business practices C. punish companies for unlawful behavior D. protect consumers from unfair international trade E. regulate and constrain companies

B

The​ company's ________ consists of actors close to the company that combine to form its value delivery network or that affect its ability to serve customers. A. natural environment B. microenvironment C. competitive environment D. supply chain E. macroenvironment

B

​__________________ is a group numbering 55 million or more consumers and sometimes is an overlooked​ "in-between" consumer group because it is both smaller and less materialistic than other groups and prizes​ experience, not acquisition. A. Baby boomers B. Generation X C. Generation Z D. Echo boomers E. Senior citizens

B

Firms that develop strategies to change the​ environment, instead of assuming that strategic options are bounded by the current​ environment, are being​ _______. A. reactive B. shortsighted C. proactive D. cautious E. passive

C

Many companies see the marketing environment as uncontrollable. They​ ________ that will help the company avoid the threats and take advantage of the opportunities the environment provides. A. analyze macroenvironmental forces and execute strategies B. do not analyze environmental forces and design strategies C. analyze environmental forces and design strategies D. analyze environmental forces and execute strategies E. analyze microenvironmental forces and execute strategies

C

Proactive businesses often take aggressive actions to affect consumers and the forces in their marketing environments. Which of the following does NOT depict a proactive​ company? A. A dairy creating new flavors of organic yogurt in response to a trend toward healthy eating B. A jewelry company taking advantage of the new trend of charm bracelets C. A local restaurant refusing to counter false allegations of salmonella D. A utility company hiring lobbyists to influence legislation regarding climate change E. A small family winery offering a broader selection of red wines in response to a growing preference for red wines

C

What advice would you give a firm about how to respond to the changing marketing​ environment? A. Do not do anything until competitors respond. B. If the current strategy is​ working, there is no need to respond to environmental changes. C. Whenever​ possible, take a proactive approach to the environment. D. Accept the fact that things change and not much can be done about it. E. Watch environmental changes but react only when absolutely necessary.

C

Which of the following environments demonstrates a changing age​ structure, shifting family​ profiles, geographic population​ shifts, a​ better-educated and more​ white-collar population, and increasing​ diversity? A. The political environment B. The​ socio-cultural environment C. The demographic environment D. The economic environment E. The technological environment

C

Which of the following includes shortages of certain raw​ materials, higher pollution​ levels, and more government​ intervention? A. The technological environment B. The economic environment C. The natural environment D. The sociocultural environment E. The political environment

C

The microenvironment consists of those close to the company that combine to form its value delivery network or that affect its ability to serve customers through six key​ ways, which include​ ________, __________,​ ___________, ________,​ _________, and​ _______. A. the​ company, suppliers, marketing​ intermediaries, competitors, loyal​ customers, and publics B. the​ company, suppliers, marketing​ intermediaries, customer​ markets, economic​ forces, and publics C. the​ company, suppliers, marketing​ intermediaries, cultural​ forces, competitors, and publics D. the​ company, suppliers, marketing​ intermediaries, customer​ markets, competitors, and publics E. the​ company, suppliers, marketing​ intermediaries, demographic​ forces, competitors, and publics

D

To be​ successful, why should companies try to adopt a proactive stance on​ marketing? A. A proactive stance allows a company to compete with its competitors on pricing alone. B. A proactive stance allows a company to let the market determine prices for its products. C. A proactive stance allows a company to compete with its competitors on quality alone. D. A proactive stance allows a company to take advantage of opportunities as they arise. E. A proactive stance ensures that a company will increase its market share.

D

Which of the following consists of factors affecting buying power and​ patterns? A. The technological environment B. The political environment C. The sociocultural environment D. The economic environment E. The demographic environment

D

The cultural environment consists of​ ________ that affect a​ society's values,​ perceptions, preferences, and behaviors. A. a​ population's set of beliefs B. diverse cultural settings C. institutions D. cultural beliefs and forces E. institutions and forces

E

To exercise social​ responsibility, many companies are linking themselves to what type of​ marketing? A. Intermediaries B. Environmental C. Technological D. Generational E. ​Cause-related

E

​Nguyen's Sporting Goods is having difficulty obtaining the credit it needs to expand. What should the company do in order to alleviate its financial​ situation? A. Reexamine its relationship with its resellers B. Devise a marketing plan with a marketing service agency C. Find a new physical distribution firm D. Analyze the finances of one of its competitors E. Work out a plan with its financial intermediaries

E

Baby Boomers

The 78 million people born during the baby boom, following World War II and lasting until the early 1960s

Which of the following is true regarding the technological​ environment? A. Technological changes are the second most dramatic force in the​ macroenvironment, after the economy. B. The pace of technological change is slowing down. C. Companies must keep up with changes in technology or risk being left behind. D. As products and technology become more​ complex, safety becomes less of a concern. E. Changes in technology are always beneficial to consumers and society.

C

How does the microenvironment of a company differ from its​ macroenvironment? A. The microenvironment deals with the​ company, suppliers, marketing​ intermediaries, customer​ markets, competitors, and publics. B. The microenvironment uses more financial resources than the macroenvironment. C. The microenvironment deals with the big​ problems, whereas the macroenvironment deals with trivial problems. D. The microenvironment affects a larger portion of the company than the macroenvironment. E. The microenvironment is​ company-based, whereas the macroenvironment is​ customer-based.

A

Which of the following is NOT one of the components of a​ company's microenvironment? A. Cultural forces B. Suppliers C. Customer markets D. Competitors E. Marketing intermediaries

A

​Age, race,​ gender, and other statistics are part of a​ company's _____ environment. A. demographic B. political C. micro D. cultural E. economic

A

​Beverly's Burgers came under fire recently when allegations were made that its veggie burgers were actually made with beef. To counter the​ claims, the restaurant called in a company to test not only its veggie​ burgers, but also the rest of its vegetarian options to prove they lacked meat. The results were displayed publicly on the​ restaurant's Facebook page. What BEST describes​ Beverly's Burgers' response to the​ allegations? A. Proactive B. Passive C. Steadfast D. Determinative E. Reactive

A

​Tina's Tunes is a music store that has been selling CDs for 20 years. Throughout the last six​ years, sales have continuously declined and profits have almost completely disappeared. The owner of​ Tina's Tunes believes resurgence is likely to happen soon and wants to continue business as usual. What is likely to happen to​ Tina's Tunes? A. ​Tina's Tunes is likely to fail because it is ignoring the technological environment. B. ​Tina's Tunes will experience a rebound as the fear of the Great Recession declines. C. ​Tina's Tunes is likely to fail because it is ignoring the natural environment. D. ​Tina's tunes are likely to prosper as mistrust in the digital age increases. E. ​Tina's Tunes is likely to fail because it is ignoring the current political environment.

A

Environmental sustainability concerns have grown steadily over the past three decades. Marketers should be aware of three primary trends in the natural​ environment, which include​ ________, ________________, and​ ________________. A. growing depletion of natural​ resources, climate​ change, and accompanying shortages of raw materials B. growing shortages of raw​ materials, increased​ pollution, and increased government intervention in natural resource management C. increased government​ intervention, increased​ pollution, and the expense associated with sustainability D. climate​ change, increased government intervention in environmental​ regulation, and the accompanying regulations E. increased global pollution especially in​ Asia, climate​ change, and the refusal of foreign governments to address it

B

Legislation affecting business around the world has increased steadily over the years within the political environment. The increased legislation has been enacted in three primary​ areas, including​ ________, ______________, and​ _______________. A. protecting the interests of society against unrestrained business​ behavior, laws protecting​ environmentalists, and laws protecting children B. laws protecting companies from each​ other, laws protecting​ consumers, and laws protecting the interests of society C. government regulation to protect consumers from unfair business​ practices, laws protecting​ children, and laws protecting the interests of society D. laws protecting companies from each​ other, laws protecting companies doing business​ internationally, and laws protecting consumers E. laws protecting companies from each other mostly to define and restrain unfair​ competition, laws protecting​ consumers, and laws protecting the interests of society

B

Marketers keep a close eye on demographic trends and developments in their markets. They analyze​ ________. A. changing age and family​ structures, geographic population​ shifts, consumption​ habits, and population diversity B. changing age and family​ structures, geographic population​ shifts, educational​ characteristics, and population diversity C. changing age and family​ structures, geographic population​ shifts, educational​ characteristics, technological​ advances, and population diversity D. changing age and family​ structures, geographic population​ shifts, economic​ changes, and population diversity E. changing age and family​ structures, geographic population​ shifts, political​ shifts, educational​ characteristics, and population diversity

B

Marketers want to predict cultural shifts to spot new opportunities or threats. The major cultural values of a society are expressed in​ people's views of themselves and​ others, as well as in their views of​ ________, __________,​ ____________, and​ ________. A. ​organizations, institutions,​ society, schools, and nature B. ​organizations, society,​ nature, and the universe C. ​organizations, society,​ schools, and nature D. ​organizations, society,​ neighborhoods, and the universe E. ​society, nature,​ schools, and the universe

B

The major cultural values of a society are expressed by​ people's views of​ ____________________. A. the​ universe, society, and themselves B. ​themselves, others,​ organizations, society,​ nature, and the universe C. ​society, organizations, and nature D. organizations and themselves E. ​themselves, nature, and society

B

​Chicago's Best Pizzeria has been operating on the north side of Chicago for more than 30 years. Its target market includes young urban professionals who want​ new-style organic pizzas with exotic ingredients.​ However, in recent​ years, the population in the​ pizzeria's neighborhood has been​ shifting, and now fewer young urban professionals live there. The population has grown older and wants traditional​ pizza, not pizza with exotic ingredients. Which of the following identifies the​ pizzeria's BEST response to this​ situation? A. Run an ad campaign on the health benefits of pizza. B. Cut the prices on its pizza. C. Target a new market with a different product. D. Sell a different food​ product, such as hamburgers or sushi. E. Be proactive and convince customers that​ "exotic is​ better."

C

Other companies do not see the marketing environment as uncontrollable. They take a​ ________ stance toward the marketing environment and develop strategies to​ ________ the environment. A. ​reactive; adapt to B. ​reactive; change C. ​wait-and-see; adapt to D. ​proactive; change E. ​proactive; adapt to

D

The role of a​ company's marketing intermediaries is to do which of the​ following? A. Determine which products a company should market B. Manage the​ company's human resources efforts C. Purchase the​ company's product D. Help the company​ find, promote,​ sell, and distribute products E. Provide the resources needed by the company to produce goods and services

D

Major economic variables include​ ________. A. ​income, cost of​ living, and government regulation B. ​income, savings and borrowing​ patterns, and lifestyle C. ​population, age, and occupation D. ​income, occupation, and savings and borrowing patterns E. ​income, cost of​ living, and savings and borrowing patterns

E

Many companies view the marketing environment as an uncontrollable element to which they must​ ________. A. react B. analyze and then adapt C. accept and change D. react and change E. react and adapt

E

The environment that consists of institutions and forces that affect a​ society's values,​ perceptions, preferences, and behaviors is the​ ________________________. A. political and social environment B. demographic environment C. economic environment D. technological environment E. cultural environment

E

The natural environment involves​ __________________ that are needed as inputs by marketers or that are affected by marketing activities. A. sustainable resources and natural resources B. the physical environment and economic environment C. the physical environment and sustainable resources D. the natural resources and economic environment E. the physical environment and natural resources

E

Demography

the study of human populations in terms of size, density, location, age, gender, race, occupation, and other statistics