Marketing strategy final

33. Which of the following is not a question asked when a firm wants to adopt a brand extension strategy? a) Will the brand extension be profitable? b) Will the extension enhance the brand name and image? c) Does the brand fit the new context? d) Does the brand add value to the offering in the new product class?

Will the brand extension be profitable?

A local grocery store would like to position the pre-made meals area of its store to excel on performance. Which of the following approach do you recommend as the best path to sustainable competitive advantage? a emphasize convenience, aim for parity with competitors on customization and price b emphasize low price, and aim for parity with competitors on customization and on convenience. c emphasize customization and aim for parity with competitors on convenience and price. d choose either a CRM or Comprehensive Solution Management System.

a emphasize convenience, aim for parity with competitors on customization and price

Which type of innovation provides large jumps in a product's benefit-delivering abilities? a. Discontinuous b. Continuous c. Variable d. Intangible

a. Discontinuous

Peter was enthusiastic about the new case that he was creating for a smartphone using advanced plastics. He tells you, "This is revolutionary. This is something that everyone needs. This is truly a discontinuous innovation." It is far more likely that this case will be a _____ a. continuous innovation. b. discontinuous enhancement. c continuous improvement d discontinuous improvement

a. continuous innovation.

20. In the context of the creation of valuable customers, the group 'vulnerable customers' refers to ... a. customers who do not find value in what they are getting from the company, but are valuable to the company. b. customers who value what the company offers but who are not loyal or willing to pay for what the company offers. c. customers that value the company's products and services and that offer sufficient value to the company. d. customers who do not find value in what the company offers, and also not valuable to the company.

a. customers who do not find value in what they are getting from the company, but are valuable to the company.

1. A local grocery store would like to position the pre-made meals area of its store to excel on performance. Which of the following approach do you recommend as the best path to sustainable competitive advantage? a. emphasize convenience, aim for parity with competitors on customization and price b. emphasize low price, and aim for parity with competitors on customization and on convenience. c. emphasize customization and aim for parity with competitors on convenience and price. d. choose either a CRM or Comprehensive Solution Management System.

a. emphasize convenience, aim for parity with competitors on customization and price

37. Two key steps to leveraging a core business in a new offering market are: ____________ and knowledge adaptation.

asset identification

All the following are advantages of the strategy of entering countries sequentially, except this one ... a It reduces the initial commitment b It allows for easier standardization c It allows the offering and marketing program to be improved based on experience in preceding countries d it provides for the gradual creation of a regional presence

b It allows for easier standardization

In the Customer Decision Journey, what proportion of the touchpoints during evaluation are customer-driven pull activities? a. about one third b. about two-third c. about half d. more than half

b about two-third

25. Which of the following statements about co-branding is not true? a) Co-branding is becoming more prominent. b) Co-branding happens only with products from a single company. c) Co-branding works when the connections between both brands are clear. d) All of the statements are true.

b) Co-branding happens only with products from a single company.

If a consumer buys Charmin bath tissue that is the exact same quality as a generic brand only more expensive, Charmin has created ________ with the consumer. a. Brand Mark b. Brand Equity c. Brand d. Brand Name

b. Brand Equity

The font used to spell iPhone is a a. Brand Equity. b. Brand mark c. Brand. d. Brand Name.

b. Brand mark

Which of the following is not a type of value that can be offered by firms as their customer value proposition: a. performance value b. asset value c. price value d. relational value

b. asset value

An established way to get financial value out of a brand is ___ a. promotion capital. b. brand extension. c. marketing return on investment. d. marketing capitalization.

b. brand extension.

Brand ______ include the visual designs, logos, and other representations of brands that cannot be spoken. a. names b. marks c. equity d. extensions

b. marks

Behavioral loyalty ... a. reflects a deeper trust or commitment to the company and what it offers. b. refers to how frequently the customer purchases from the company when the need arises. c. is revealed in positive thoughts, feelings of affinity, attachment to the company. d. refers to how much customers rely on the firm for important activities.

b. refers to how frequently the customer purchases from the company when the need arises.

37. All of the following are reasons companies resist innovation EXCEPT: a. Constraints of industry conventions b. Innovative culture c. Post-IPO slump d. Complacency e. Size curse

b. Innovative culture

37. All but one of the following are important post-purchase outcomes in the modified Customer Decision Journey: a. Complaining b. Information gathering c. Loyalty d. Advocacy e. Satisfaction

b. information gathering

37. Three approaches to growth include make, ____________, or partner.

buy

All the following are reasons for why a standardized global brand is not always optimal or even feasible, except this reason ... a Economies of scale and scope may not actually exist b The brand team may not be able to find a strategy to support a global brand c Cross-market exposure produces additional efficiencies d there are fundamental differences across markets

c Cross-market exposure produces additional efficiencies

1. A price value proposition generally consists of all of the approaches below except a) Scale economies b) No-frills product/service c) Delivery of superior customer service d)Experience curve

c) Delivery of superior customer service

25. Which type of brand extension is considered most risky? a) in-category extensions b) near-category extensions c) out-of-category extensions

c) out-of-category extensions

A frim can defend its customer relationships by doing all of the following, except this one: a. Differentiating Value b. Increasing Investments in Customers c. Avoiding multi-dimensional relationships with a customer d none of the above

c. Avoiding multi-dimensional relationships with a customer

1. Customer experience can be measured through all these ways except this one: a. Service Blueprinting. b. Attribution Models. c. SAFEQUAL d. Mobile Technology.

c. SAFEQUAL

Home Depot decided to pursue the value proposition of relational value, and hence focused on its homeowner customers rather than professional contractors, as the latter would be more strongly driven by performance and price. What would Home Depot do ... a emphasize quality, taste, convenience, nutrition, or other functional attributes b. emphasize low price c. emphasize personal touch, customization, and service. d. All of the above. e. None of the above.

c. emphasize personal touch, customization, and service.

The financial value of a brand is captured in the brand ______. a. names b. marks c. equity d. extensions

c. equity

1. Customer experiences in the post-purchase phase of the customer experience journey could relate to ... a. information gathering. b. preference formation. c. how well the product performs. d actual exchange of money for the offering

c. how well the product performs.

An improvement in a products ability to deliver its primary benefit to a customer is ______ a. discontinuous innovation. b. creativity. c. innovation. d. continuous innovation.

c. innovation.

1. A firm can defend its customer relationships by doing all of the following, except this one: a. Differentiating Value b. Increasing Investments in Customers c. Avoiding multi-dimensional relationships with a customer d. None of the above - all are correct

c. Avoiding multi-dimensional relationships with a customer

37. All of the following are legal protections brands can use to defend their brand EXCEPT: a. Trade dress b. Copyrights c. Reputation monitoring and response d. Partnership agreements e. Exclusive deals

c. Reputation monitoring and response

1. Customer experiences in the post-purchase phase of the customer experience journey could relate to ... a. information gathering. b. preference formation. c. how well the product performs. d. actual exchange of money for the offering.

c. how well the product performs.

20. Which of the following information is not required for the calculation of Customer lifetime value? a. the customer's margin in a specific time period b. the probability of the customer being retained through to the next period c. the likelihood that a prospect will become a customer d. how many years the customer is expected to stay active in the market e. the firm's discount rate

c. the likelihood that a prospect will become a customer

37. Common sources of innovation are top-down, bottom-up, lead users, ______________ , and open innovation networks.

crowdsourcing

AIDA, one of the models of the customer response process refers to these stages, in order: :a. Awareness-Interest-Desire-Action b. Attention-Interest-Desire-Adoption c. Awareness-Interest-Desire-Adoption d. Attention-Interest-Desire-Action

d Attention-Interest-Desire-Action

In the traditional decision journey, the stage 'Consideration Set' relates to this step in the AIDA model: Attention b. Adoption c. Desire d. Interest

d interest

All the following are factors that will determine what country a firm can enter, except this one ... a Is the market attractive in terms of size and growth? b Is the economy stable? c Can the company add value to the market? d is reverse innovation possible

d is reverse innovation possible

25. ___________ allow one branded product to feature another brand as a component part or ingredient. a) Brand Image b) Partnership c) Process of branding d) Co-brands

d) Co-brands

1. A value proposition needs to be all of the following, except ... a) real b) be perceived as real by customers c) feasible d) segmentable e) relevant and sustainable

d) segmentable

33. Firms entering into new markets or launching new products are met with all of the following challenges, except this one: a. Resistance to new products b. Lack of assets and competencies in the new product's market. c. Lack of organizational access to resources necessary for launches. d. Brand Identity Inconsistencies

d. Brand Identity Inconsistencies

20. All but one of the following are factors that influence Customer Lifetime Value (CLV) a. Margin b. Company's discount rate c. Acquisition costs d. Acquisition rate e. Retention rate

d. acquisition rate

37. Three approaches to offering-market growth include market penetration, ____________, and offering expansion. True False

development

37. All of the following are benefits consumers look for in brand flagship platforms EXCEPT: Commercial transactions Discounts Self-improvement Knowledge and guidance Inspiration

discounts

37. The text states that which of the following principles should guide the design of novel engagement strategies? a. The engagement needs to be brand relevant b. The engagement should be embedded in the cultural milieu c. The engagement should be supported by valued endorsers d. The engagement should be well-timed e. All of the above

e. All of the above

1. Firms that focus on relational value as a value proposition just need to provide good functional benefits of their product or service. True False

false

1. In the context of creating valuable customers, firms wanting to build and manage customer equity should ignore free-riding customers, but focus on vulnerable customers. True False

false

1. In the context of creating valuable customers, firms wanting to build and manage customer equity should ignore free-riding customers, but focus on vulnerable customers. True False

false

1. The traditional model of decision journey is not the most accurate because it is bi-directional. True False

false

1. The traditional model of decision journey is not the most accurate because it is bi-directional. True False

false

37. A brand vision should only reflect the strategy of the business, not the culture or the people. True False

false

37. A prospect is a member of the target market who is aware of the company's offerings and is identified to have an immediate or future need for those offerings. True False

false

37. Acquiring another company in order to create more value for customers is an example of a "make" strategy. True False

false

37. Attribute and benefit associations are sufficient for developing strong brands. True False

false

37. Brand co-creation occurs in interactions between the company and the stakeholder only. True False

false

37. Brand equity is only revealed in customer outcomes, such as improved sales and willingness to pay. True False

false

37. Brand visibility does not provide competitive advantages, only key success factors. True False

false

37. Customer Lifetime Value (CLV) helps companies identify how much they should spend to attract or retain a customer. True False

false

37. Dual adjacency is the riskiest growth strategy a company can undertake. True False

false

37. Parity is determined by whether there is an actual difference between competitors on a specific value vector. True False

false

37. Parity level on each value vector remains constant over time. True False

false

37. Star customers are those that bring more value to the company than they derive from it. True False

false

37. The Customer Decision Journey ends at the point of purchase. True False

false

37. The brand and its partners should control all touchpoints in the Customer Decision Journey. True False

false

37. The customer journey has evolved from an iterative, bi-directional process to a more linear one. True False

false

37. Touchpoints do not need to be prioritized as they all have the same impact and execution requirements. True False

false

37. Vulnerable customers are those that bring very little value to the company. True False

false

A global strategy is a multinational strategy in which separate strategies are developed for different countries. True False

false

Standardizing brand strategy leads to global market leadership. True False

false

The exceptional service available on Singapore Airlines is an example of relational value. True False

false

To have a good value proposition a company should maximize all three types of customer value equally. True False

false

37. Innovation such that a company is originates the category, such as Chrysler and the mini-van, can create what is often termed a __________.

first-mover advantage

37. Brand architecture can have one of three designs: corporate, ____________, or a mix of the two. True False

house of brands true

37. Rather than jointly managing the funnel, many organizations have ___________ control the early stages of the funnel and __________control the later stages. True False

marketing, sales

37. Successful early market leaders survive the challenges of competing against a first mover advantage by envisioning the mass market, maintaining managerial persistence, financial commitment, _____________ and _____________.

relentless innovation, asset leverage

1. A company can create synergies by leveraging its assets for multiple uses and by aligning its business model elements. True False

true

1. A successful price value proposition is usually multifaceted and supported by a cost-oriented culture. True False

true

20. In the purchase funnel, potential customers get converted from the 'prospect' status to a 'lead' status when moving from the 'Interest' stage to the 'Consideration' stage. True False

true

33. In leveraging an existing brand to move into a new market, the new brand may seek distance and autonomy from the existing brand, because with that distance, the risk of the venture decreases. True False

true

33. Sub brands and endorsed brands are created when the parent company wants to prevent existing brands from damage and when an entirely new brand is not feasible based on lack of resources. True False

true

37. A brand position conveys how a brand differs from, and is better than, other brands. True False

true

37. Attracting poor-quality leads and failing to attract enough leads are both common pitfalls in funnel management. True False

true

37. Brand assets can represent more than 50 percent of the value of a company. True False

true

37. Brand flagship platforms facilitate both "crowdsourcing" and "crowdsending." True False

true

37. Brands can increase their awareness by using methods such as promotions, publicity and sampling to extend their presence outside of conventional media channels. True False

true

37. Brands represent and communicate a vision for the business to all internal and external stakeholders and serve as a foundation for the value proposition promised to customers. True False

true

37. Creating strategic synergies is an important step in achieving and maintaining a position of customer value leadership. True False

true

37. In addition to providing tangible benefits, brand communities can benefit members by functioning as a source of inspiration and as an outlet of self-expression. True False

true

37. Increasing retention generally has a larger impact on CLV than increasing margin. True False

true

37. Loyalty can be converted into habit by implementing loyalty programs, promoting high-volume purchases, and persuading customers to make commitments. True False

true

37. Monetizing is a component of a company's value-creating system. True False

true

37. One benefit of participating in a customer-coordinated network is access to insights about the holistic customer experience. True False

true

37. One challenge of person-brands is maintaining relevance and energy long-term. True False

true

37. One strategy for defending customer relationships is fostering customer co-creation, which increases customer involvement and commitment to the offering and the company. True False

true

37. Parity performance is the level of performance that must be met if customers are to judge a company's offerings as meeting basic expectations. True False

true

37. Proof points are programs, initiatives, and assets that are already in place that provide substance to the brand position. True False

true

37. SERVQUAL measures service satisfaction based on the deviation between customers' expectations and perceptions of the relevant attributes in a service experience. True False

true

37. Technology has shifted branding from an ownership age to a participation age in which companies no longer have sole control over the creation of brands. True False

true

37. The number of stages in a purchase funnel is determined by a company's strategy. True False

true

37. The purchase funnel is a management tool that allows a company to sort its customers into different stages in the purchase journey and monitor their progress. True False

true

In the purchase funnel, potential customers get converted from the 'prospect' status to a 'lead' status when moving from the 'Interest' stage to the 'Consideration' stage. True False

true

37. Which of the following NOT a strategy for increasing market penetration: a. Reducing costs b. Using reminder communications c. Adding complementary offerings d. Providing incentives e. Finding new uses

Adding complementary offerings