MARK 3300 Midterm
Which of the following is true of a good marketing information system?
It balances the information that a firm would like to have against what they really need.
______ marketing tailors brands and promotions to the needs and wants of specific cities, neighborhoods, and even stores.
Local
________ is the process of dividing a market into distinct groups of buyers who have different needs, characteristics, or behavior.
Market segmentation
________ refers to the process of evaluating each market segment's attractiveness and selecting one or more segments to enter.
Market targeting
________ is a method of gathering primary data that involves asking people questions about their knowledge, attitudes, preferences, and buying behavior.
Survey research
Which of the following is most likely true about companies that take a proactive stance toward the marketing environment?
They develop strategies to change the marketing environment.
Fargo Inc. is a carbonated beverage manufacturer that has many manufacturing plants around the world. It is planning to shift from using thermal power to wind power for its manufacturing plants in the Netherlands to decrease dependency on nonrenewable sources of energy. This scenario depicts Fargo's concern for its ________ environment.
natural
Annie Carson, the owner of Annie's Dairy Bar, is considering opening a second location. She evaluates several potential sites by assessing traffic patterns, neighborhood conditions, and the locations of competitors. Annie is engaging in ________.
observational research
occasion segmentation
dividing the market into segments according to occasions when buyers get the idea to buy, actually make their purchase, or use the purchased item
benefit segmentation
dividing the market into segments according to the different benefits that consumers seek from the product
demographic segmentation
dividing the market into segments based on variables such as age, life-cycle stage, gender, income, occupation, education, religion, ethnicity, and generation
Changes in variables, such as income, cost of living, interest rates, and savings and borrowing patterns most likely reflect changes in the ________ environment of a company.
economic
economic environment
economic factors that affect consumer purchasing power and spending patterns
Bakeries and coffee bistros that offer pumpkin-flavored items only during the autumn season target their consumers primarily through ________ segmentation.
occasion
A marketing firm has been assigned the task of watching trends in spending, personal income, savings, and interest rates. The marketing firm is most likely gathering information about consumers' ________.
economic situations
marketing information system (MIS)
people and procedures dedicated to assessing information needs, developing the needed information, and helping decision makers to use the information to generate and validate actionable customer and market insights
In a marketer's macroenvironment, the ________ environment consists of laws, government agencies, and pressure groups that influence or limit various organizations and individuals in a given society.
political
Cosmetic retailer Lush knows that doing what's right benefits customers, the company, and the environment/society. Their premium beauty products are made by hand from the freshest possible natural ingredients. This is an example of the ________ concept.
societal marketing
market offerings
some combination of products, services, information, or experiences offered to a market to satisfy a need or want
needs
states of felt deprivation
According to Maslow's hierarchy of needs, which of the following is most likely an esteem need?
status
micromarketing
tailoring products and marketing programs to the needs and wants of specific individuals and local customer segments; it includes local marketing and individual marketing
marketing environment
the actors and forces outside marketing that affect marketing management's ability to build and maintain successful relationships with target customers
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
marketing analytics
the analysis tools, technologies, and processes by which marketers dig out meaningful patterns in big data to gain customer insights and gauge marketing performance
marketing management
the art and science of choosing target markets and building profitable relationships with them
consumer buyer behavior
the buying behavior of final consumers - individuals and households that buy goods and services for personal consumption
customer perceived value
the customer's evaluation of the difference between all the benefits and all the costs of a marketing offer relative to those of competing offers
wants
the form human needs take as they are shaped by culture and individual personality
big data
the huge and complex data sets generated by today's sophisticated information generation, collection, storage, and analysis technologies
societal marketing concept
the idea that a company's marketing decisions should consider consumers' wants, the company's requirements, consumers' long-run interests, and society's long-run interests
production concept
the idea that consumers will favor products that are available and highly affordable; therefore, the organization should focus on improving production and distribution efficiency
product concept
the idea that consumers will favor products that offer the most quality, performance, and features; therefore, the organization should devote its energy to making continuous product improvements
selling concept
the idea that consumers will not buy enough of the firm's products unless the firm undertakes a large-scale selling and promotion effort
macroenvironment
the larger societal forces that affect the microenvironment - demographic, economic, natural, technological, political, and cultural forces
marketing strategy
the marketing logic by which the company hopes to create customer value and achieve profitable customer relationships
marketing myopia
the mistake of paying more attention to the specific products a company offers than to the benefits and experiences produced by these products
Devon is in the market for a new car. She is seriously considering either a Honda Civic or Toyota Corolla because they both have excellent quality and safety ratings and are comparable in price. Devon is in the ________ stage of the buyer decision process.
evaluation of alternatives
Which of the following is a social factor that influences consumer buying behavior?
family
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
intermarket (cross-market) segmentation
forming segments of consumers who have similar needs and buying behaviors even though they are located in different countries
customer insights
fresh marketing information-based understandings of customers and the marketplace that become the basis for creating customer value, engagement, and relationships
survey research
gathering primary data by asking people questions about their knowledge, attitudes, preferences, and buying behavior
observational research
gathering primary data by observing relevant people, actions, and situations
experimental research
gathering primary data by selecting matched groups of subjects, giving them different treatments, controlling related factors, and checking for differences in group responses
Gulf Coast, a wholesale shrimp distributor, groups its customers by regions in the United States, such as Midwest, Northeast, and Southwest. For each region, Gulf Coast tailors a different set of advertisements and promotions. The supplier is segmenting its market according to ________.
geographic location
demands
human wants that are backed by buying power
Which of the following represents a change in the technological environment of a marketing firm?
increased use of artificial intelligence and machine learning to automate manual tasks and provide personalized experiences to consumers
At the extreme, micromarketing becomes ________ insofar as products and marketing programs are tailored to the needs and preferences of customers.
individual marketing
primary data
information collected for the specific purpose at hand
secondary data
information that already exists somewhere, having been collected for another purpose
cultural environment
institutions and other forces that affect society's basic values, perceptions, preferences, and behaviors
total market strategy
integrating ethnic themes and cross-cultural perspectives within a brand's mainstream marketing, appealing to consumer similarities across subcultural segments rather than differences
In which of the following stages of the adoption process does a consumer seek information about a new product?
interest
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
political environment
laws, government agencies, and pressure groups that influence and limit various organizations and individuals in a given society
customer-engagement marketing
making the brand a meaningful part of consumers' conversations and lives by fostering direct and continuous customer involvement in shaping brand conversations, experiences, and community
customer relationship management (CRM)
managing detailed information about individual customers and carefully managing customer touch points to maximize customer loyalty
A firm's decision to identify and develop new markets for existing products is a ________ strategy.
market development
Consumers' needs and wants are fulfilled through ________.
market offerings
A strategy for company growth that involves increasing sales to current market segments without changing the product is known as ________.
market penetration
The ________ concept holds that achieving organizational goals depends on knowing the needs and wants of target markets and delivering the desired satisfactions better than competitors do.
marketing
Marketers apply ________ to the large and complex sets of data they collect to gain customer insights and gauge performance.
marketing analytics
descriptive research
marketing research to better describe marketing problems, situations, or markets, such as the market potential for a product or the demographics and attitudes of consumers
exploratory research
marketing research to gather preliminary information that will help define problems and suggest hypotheses
casual research
marketing research to test hypotheses about cause-and-effect relationships
Marketing the same product to a huge customer base without any customization is referred to as ________.
mass marketing
A ________ is purposeful, specifying what an organization wants to accomplish in the larger environment.
mission statement
A baby boomer decides to purchase a BMW to impress others with her success. This illustrates the importance of understanding the role of ________ in the marketing process.
motive
natural environment
the physical environment and the natural resources that are needed as inputs by marketers or that are affected by marketing activities
marketing
the process by which companies create value for customers and build strong customer relationships in order to capture value from customers in return
market targeting
the process of evaluating each market segment's attractiveness and selecting one or more segments to enter
value chain
the series of internal departments that carry out value-creating activities to design, produce, market, deliver, and support a firm's products
market
the set of all actual and potential buyers of a product or service
marketing mix
the set of tactical marketing tools - product, price, place, and promotion - that the firm blends to produce the response it wants in the target market
Which of the following concepts calls for sustainable marketing?
the societal marketing concept
Which of the following is part of the microenvironment of a firm's marketing environment?
the suppliers who work with the company
competitive marketing intelligence
the systematic collection and analysis of publicly available information about consumers, competitors, and developments in the marketing environment
customer equity
the total combined customer lifetime values of all of the company's customers
customer lifetime value
the value of the entire stream of purchases a customer makes over a lifetime of patronage
product position
the way a product is defined by consumers on important attributes- the place the product occupies in consumers' minds relative to competing products
In a SWOT analysis, ________ refer to unfavorable external factors or trends that may present challenges to performance.
threats
According to the five-step model of the marketing process, the first step in marketing is ________.
understanding the marketplace and customer needs and wants
Which of the following is most likely true about people's beliefs and values?
Core beliefs and values have a high degree of persistence
________ is the study of human populations in terms of size, density, location, age, gender, race, occupation, and other statistics.
Demography
________ is the act of obtaining a desired object from someone by offering something in return.
Exchange
_______ is the final step in the marketing research process.
Interpreting and reporting the findings
_______ is the systematic design, collection, analysis, and reporting of data relevant to a specific marketing situation facing an organization.
Marketing research
________ are defined as states of felt deprivation.
Needs
________ are people within a reference group who, because of special skills, knowledge, personality, or other characteristics, exert social influence on others.
Opinion leaders
________ is the process by which people select, organize, and interpret information to form a meaningful picture of the world.
Perception
_______ refers to the unique psychological characteristics that distinguish a person or group.
Personality
________ consists of arranging for a market offering to occupy a clear, distinctive, and desirable place relative to competing products in the minds of target consumers.
Positioning
_______ data consist of information collected for the specific purpose at hand.
Primary
________ are distribution channel firms that help a company find customers or make sales to them.
Resellers
new task
a business buying situation in which the buyer purchases a product or service for the first time
straight rebuy
a business buying situation in which the buyer routinely reorders something without any modifications
modified rebuy
a business buying situation in which the buyer wants to modify product specifications, prices, terms, or suppliers
ethnographic research
a form of observational research that involves sending trained observers to watch and interact with consumers in their "natural environments"
market segment
a group of consumers who respond in a similar way to a given set of marketing efforts
subculture
a group of people with shared value systems based on common life experiences and situations
undifferentiated (mass) marketing
a market-coverage strategy in which a firm decides to ignore market segment differences and go after the whole market with one offer
differentiated (segmented) marketing
a market-coverage strategy in which a firm decides to target several market segments and designs separate offers for each
concentrated (niche) marketing
a market-coverage strategy in which a firm goes after a large share of one or a few segments or niches
marketing concept
a philosophy in which achieving organizational goals depends on knowing the needs and wants of target markets and delivering the desired satisfactions better than competitors do
growth-share matrix
a portfolio-planning method that evaluates a company's SBUs in terms of market growth rate and relative market share
mission statement
a statement of the organization's purpose - what it wants to accomplish in the larger environment
positioning statement
a statement that summarizes company or brand positioning using this form: to (target segment and need) our (brand) is (concept) that (point of difference)
differentiation
actually differentiating the market offering to create superior customer value
In a SWOT analysis, which of the following would most likely be considered a strength of a company?
an improvement in the company's production technology
SWOT analysis
an overall evaluation of the company's strengths, weaknesses, opportunities, and threats
public
any group that has an actual or potential interest in or impact on an organization's ability to achieve its objectives (financial public, media public, general public, etc.)
Which of the following best describes product positioning?
arranging for a product to occupy a clear, distinctive, and desirable place relative to competing products in the minds of target consumers
positioning
arranging for a product to occupy a clear, distinctive, and desirable place relative to competing products in the minds of target consumers
consumer-generated marketing
brand exchanges created by consumers themselves - both invited and uninvited - by which consumers are playing an increasing role in shaping their own brand experiences and those of other consumers
cognitive dissonance
buyer discomfort caused by post purchase conflict
systems selling
buying a complete solution to a problem from a single seller
Vernon Inc. would like to set the best price for a new product. The firm conducts an experimental study by selling the new product at two different prices in two different locations keeping other factors constant to see if a lower price results in better sales. This is most likely an example of ________ research.
casual
Internal databases
collections of consumer and market information obtained from data sources within the company network
marketing development
company growth by identifying and developing new market segments for current company products
market penetration
company growth by increasing sales of current products to current market segments without changing the product
product development
company growth by offering modified or new products to current market segments
diversification
company growth through starting up or acquiring businesses outside the company's current products and markets
A brand difference is said to be preemptive if ________.
competitors cannot easily copy the difference
The selling concept holds that ________.
consumers will not buy enough of a firm's products unless the firm undertakes large-scale persuasion and promotion efforts
Abel now has the buying power to purchase the computer that he wanted to buy six months ago. Abel's want has most likely become a ________.
demand
environmental sustainability
developing strategies and practices that create a world economy that the planet can support indefinitely
Port Orleans Shipping markets different services to the tourism, defense, and trade segments. The firm designs separate offers for each segment based on their needs. This approach is called ________ marketing.
differentiated
A strategy for company growth through starting up or acquiring businesses outside the company's current products and markets is called ________.
diversification
geographic segmentation
dividing a market into different geographical units, such as nations, states, regions, counties, cities, or even neighborhoods
psychographic segmentation
dividing a market into different segments based on social class, lifestyle, or personality characteristics
Which of the following best describes market segmentation?
dividing a market into distinct groups of buyers who have different needs, characteristics, or behaviors
market segmentation
dividing a market into distinct groups of buyers who have different needs, characteristics, or behaviors, and who might require separate products or marketing programs
behavioral segmentation
dividing a market into segments based on consumer knowledge, attitudes, uses of a product, or responses to a product
Simone bought two bottles of wine from two vineyards in Bordeaux. When asked for an opinion on the quality of the wines, she later mentioned that the Pontet Canet tasted like alcoholic grape juice, but the Chateau Margaux had a crisp taste that she really enjoyed. Which of the following stages of the buyer decision process do Simone's remarks reflect?
postpurchase behavior
Governments most likely enact business legislation to ________.
prevent unfair competition in the market
Which component of the marketing mix refers to the goods-and-services combination a company offers to its target market?
product
Bass Pro Shops recognizes that outdoors enthusiasts are a diverse group. Likely segments include hunters, campers, and boaters. What is this segmentation method called?
psychographic
The most common research instrument, whether administered in person, by phone, by e-mail, or online, is the ________.
questionnaire
Sally purchased a newly introduced moisturizing lotion. By attempting to find out if the lotion's perceived performance matched her expectations, Sally was measuring her level of customer ________.
satisfaction
behavioral targeting
using online consumer tracking data to target advertisements and marketing offers to specific consumers