Marketing Exam 1

How would you market a diamond in terms of its "core customer value"? What would be the best way to market it?

Desire for something enduring and long-lasting (e.g., love)

Which PRINCIPLE explains a majority of consumer choices and decision making?

Value

What is a tool we came across in chapter 2 that helps evaluate a firm's strengths and weaknesses?

SWOT

Based on the location maps shown in the videos, what do you think is Trader Joe's distribution intensity?

Selective

What is the fundamental difference between "selling" and "marketing" as discussed in the Marketing Myopia article?

Selling is firm-focused; marketing is customer-focused

Chile banned cartoon characters on packaged foods. Factor?

"P" in CDSTEP (Political)

Designing a successful new product: where should you begin, according to Marketing philosophy (Hint: think about all that Ted Levitt discussed in the Marketing Myopia article)?

A Customer problem

The homeowners in the Ferguson store were inconsistent; they spent hours trying to make a careful decision budgeted between $250 and $700. They walked out having spent $7,500 on each toilet! What is this called in consumer behavior?

Basic irrationality

A question about compensatory and noncompensatory models in consumer decision making: This iPhone has 4 negatives for a consumer: It's really expensive; There's no touch ID; Fewer color options; One size only. On the other hand, the 1 positive is: "I really like Apple!" The consumer decides NOT to buy. What model is being used here?

Compensatory ( bc there are more negatives than postitvies

The Apple watch. What decision model is being used here? I love Apple products; It would make me more productive (2 positives). It's expensive; Clunky; It'd increase my monthly phone bill; Don't really have the money right now (4 negatives). I will not buy.

Compensatory model (more negatives than positives)

Think of the pricing example called Premium Pricing (Tiffany high-quality jewelry example). Premium Pricing is an example of?

Competitor-based approach

Think back to Chapter 2 and the BCG Product Portfolio Matrix. What do we call a product that has LOW relative market share in a LOW-GROWTH market (bottom right quadrant)?

Dog

Definition of price from a marketing point of view

Everything the buyer gives up in exchange for the product

The concept of ATTRIBUTE SETS from Consumer Behavior: which represents the brands a consumer actually CONSIDERS before buying?

Evoked set

Do you agree with this statement? "Branding is important but not really connected to the profitability of your firm"

False

What are "principles" (as in "Principles of Marketing")?

Fundamental truths

In Marketing Myopia, which of the following famous Americans does Ted Levitt describe?

Henry Ford, of Ford Motor Company, whom he describes as a marketing genius

Blockbuster: Why is their mission statement flawed (meaning, what's wrong with it?) Note that all sorts of things can be pointed out and they would not be wrong, but we are putting on our "marketer's hat" and viewing it in the light of what we've been learning about how marketing ought to be, especially in the first 2 weeks

It is "myopic" from a marketing perspective

Maslow's Model (from the Consumer Behavior topic): what is it about?

Motivation

A question about positioning or perceptual maps (from the Segmentation, Targeting, and Positioning chapter): If competing brands are close together in perceptual space, is that a good thing?

No, its not a good thing

What decision model is being used here? The Segway: It looks like fun; It is eco-friendly; it would save me a lot of time walking (3 positives). BUT it costs $5000, which is too expensive! (1 negative). I will not buy.

Noncompensatory model ( more postivies than negatives)

There are different risks that play around in our minds as consumers when making a decision. When buying something online, we may think, "What if the sweater is poor quality or does not look like the picture?" Type of risk?

Performance risk

Applying Maslow's model, what needs does this Burger King ad primarily target?

Physiological needs

When comparing prices of very similar plain white shirts, you think, "This Brooks Brothers shirt at $92 must be much better quality than the Amazon Essentials shirt at $18.99" - what is this phenomenon called in marketing?

Price signals quality

"80% of Trader Joe's merchandise is private-label" - which of the 4P's are we referring to here?

Private label

The makers of the Segway had the mentality, "If you build a great product, they will buy it" - what is this called in marketing?

Production orientation

Which of the following comes to mind when you hear the word "culture"? (You don't have to look it up; we're simply tapping into what you think when you hear the word)

Shared behaviors

There are different risks that play around in our minds as consumers when making a decision. In this situation, "My Dad is helping me with car payments. Will he approve of this purchase?" Type of risk?

Social risk

In Marketing Myopia, Levitt explains that it's _________ ___________ that consumers seek, not superior products.

Supieror benefits

Psychologically, the list price (which is often scratched off) next to the sticker price - the great price that is being offered to you at this time - is known as:

The reference price

Having reviewed the three different approaches (I think of them as philosophies of pricing - a way of thinking about them) that can be used by marketers to set pricing strategies which is the best method from a marketing perspective?

Value-based method

After reading the following carefully, determine if it is a true representation of what Ted Levitt describes as "marketing myopia": "Selling is preoccupied with the seller's need to convert the product into cash, marketing with the idea of satisfying the needs of the customer by means of the product and the whole cluster of things associated with creating, delivering, and finally, consuming it"

Yes, it is a TRUE representation

Omni

all

The value of the brand, quantified is?

brand equity

Which of these is NOT a macroenvironmental factor affecting businesses?

competition

Trader Joe's has a low-price strategy, but still makes a lot of profits while selling lower volumes (compare Walmart which makes a lot of money selling huge volumes), what does that tell you about their business?

effiecent supply chain

Which of these is not demographics?

lifestyle

In building a great product, where to begin?

the Core customer Value

Consumers are unpredictable, varied, fickle, stupid, shortsighted, stubborn, and generally bothersome." Is this an accurate quote from Marketing Myopia, meaning, does Ted Levitt actually say this about consumers?

yes