Marketing True/False
Global branding and standardization result in reduced costs from economies of scale.
TRUE
A greater focus on underlying customer needs than on existing customer wants leads to marketing myopia
FALSE
Although do-not-call legislation has hurt parts of the consumer telemarketing industry, inbound and outbound consumer telemarketing remain strong and growing
FALSE
Barnacles are customers who are potentially profitable but not loyal.
FALSE
Club marketing programs reward customers who buy frequently or in large amounts.
FALSE
Companies that export goods to one country cannot have a subsidiary in another country because of international trade agreements.
FALSE
Customer equity is a measure of the past value of a company's customer base.
FALSE
Customer relationship management focuses on retaining existing customers but not on acquiring new customers.
FALSE
Foreign-based production facilities offer many advantages to an investing company if the foreign market is small
FALSE
In markets with few customers and high margins, sellers should try to develop basic relationships rather than full partnerships
FALSE
In the global value delivery network, the second link between the sellers and the final buyers moves products from points of production to the borders of countries within which they are sold.
FALSE
Management contracting consists of one company joining forces with foreign investors to create a local business in which they share possession and control
FALSE
Market offerings are limited to physical products
FALSE
Marketers use inbound telephone marketing to sell to customers directly.
FALSE
Marketing is primarily concerned with engaging customers and secondarily with managing profitable customer relationships
FALSE
Mobile ads rarely create substantial customer engagement and impact.
FALSE
Mobile marketing is an unsuitable tool for triggering an immediate purchase from a consumer.
FALSE
Most of the retailing in the United States is done by small, independent retailers.
FALSE
Price escalation is caused by transportation costs, tariffs, importer margin, wholesaler margin, and retailer margin. As a result, foreign prices are typically lower than domestic prices for comparable products.
FALSE
Printed catalogs hold very little importance to marketers in the digital era.
FALSE
Similar consumer needs around the world suggest that a strategy of adapted global marketing is appropriate for most international firms.
FALSE
Since less than ten percent of smartphone owners use their phones for shopping-related activities, mobile marketing is a slow growing digital marketing platform
FALSE
Social media marketing is a traditional direct marketing tool.
FALSE
Straight product extension into international markets is often successful
FALSE
Telemarketing is infrequently used as a fundraising tool for nonprofit and political groups
FALSE
The European Union restricts trade opportunities to European firms
FALSE
The first step for most firms that are venturing into online marketing involves sending promotional e-mails.
FALSE
The marketing results from direct mail are difficult to measure.
FALSE
The more loyal a firm's profitable customers, the lower its customer equity.
FALSE
The two economic factors that reflect a country's attractiveness as a market are its industrial structure and import/export ratio.
FALSE
When backed by buying power, wants become needs
FALSE
When sellers pay less attention to the specific products they offer and more attention to the benefits and experiences produced by these products, they suffer from marketing myopia
FALSE
Whereas space is limited in an online catalog, print catalogs can offer an almost unlimited amount of merchandise
FALSE
Xenon Corp. releases frequent updates to improve its expensive software products. This marketing approach used by the firm is most likely based on the production concept
FALSE
A blocked currency is one whose removal from the country is restricted by the buyer's government
TRUE
A brand's value proposition is the set of benefits or values it promises to deliver to consumers to satisfy their needs.
TRUE
A branded community Web site aims to present content that engages consumers rather than sell products to them
TRUE
A joint venture involves a company entering foreign markets by partnering with foreign companies to produce or market a product or service.
TRUE
A market is a segment of potential consumers who share a common need or want.
TRUE
A multinational company may face nontariff trade barriers that include biases against its bids, restrictive product standards, or excessive host-country regulations
TRUE
Amazon.com targets opt-in customers with a limited number of helpful "we thought you'd like to know" messages based on their expressed preferences and previous purchases. This is referred to as permission-based e-mail advertising.
TRUE
An advantage of direct mail marketing over digital forms is that it provides something tangible for people to hold and keep and it can be used to send samples
TRUE
As the weakened global economy has slowed, many companies are shifting their sights to include a new target — the so-called "bottom of the economic pyramid."
TRUE
Barter involves the direct exchange of goods and services.
TRUE
Blogs are online forums where people post their thoughts and other content, usually on a narrowly defined topic.
TRUE
Companies like Coca-Cola and Facebook deliver customer satisfaction by spreading happiness and connecting individuals through shared experiences
TRUE
Customer-perceived value is defined as a customer's evaluation of the perceived difference between all the benefits and all the costs of a market offering relative to those of competing offers.
TRUE
Digital marketing through online, mobile, and social media provides a sense of brand engagement and community
TRUE
Direct marketing has undergone a dramatic transformation due to rapid advances in digital technologies
TRUE
Direct marketing is characterized by narrowly defined segments or individual buyers
TRUE
Direct-response television (DRTV) marketing takes one of two major forms: direct-response television advertising and interactive TV (iTV) advertising
TRUE
For inbound telephone marketing, the company provides a toll-free phone number so it can receive orders solicited by television, print ads, direct mail, and catalogs
TRUE
Global companies recruit management from many countries, buy components and supplies where they cost the least, and invest where the expected returns are greatest.
TRUE
In the final step of a marketing process, a company reaps the rewards of its strong customer relationships by capturing value from customers.
TRUE
Management contracting is an unwise choice if a domestic firm can make greater profits by undertaking a whole venture
TRUE
Market offerings include entities such as people, places, information, and ideas.
TRUE
Most international companies strive to adapt global brands to local needs.
TRUE
Often, companies form joint ownership ventures to merge their complementary strengths in developing a global marketing opportunity
TRUE
Organizations that follow the societal marketing concept most likely practice socially and environmentally responsible marketing.
TRUE
Product, price, place, and promotion make up the elements of a firm's marketing mix.
TRUE
Properly designed and targeted telemarketing provides many benefits, including purchasing convenience and increased product and service information.
TRUE
Regardless of how companies go about pricing their products, their foreign prices will most likely be higher than their domestic prices for comparable products
TRUE
Retailing practices among countries can vary widely.
TRUE
Stephanie Archer has been saving her money to buy a BMW convertible. Archer has spent hours on the BMW Web site choosing the exterior and interior colors and studying the various options and models. In this case, Archer has been using BMW's marketing Web site
TRUE
Success at delivering customer value rests on how well a company's entire supply chain performs against competitors' supply chains.
TRUE
Tariffs and duties are often used to force favorable trade behaviors from other nations.
TRUE
The Internet is forcing companies toward more standardized international pricing
TRUE
The National Do Not Call Registry is managed by the Federal Trade Commission.
TRUE
The blogosphere is cluttered and difficult to control
TRUE
The marketing concept is a customer-centered, sense-and-respond philosophy.
TRUE
The product concept holds that consumers will favor products that offer the most in quality, performance, and innovative features
TRUE
Through consumer-generated marketing, consumers themselves are playing a bigger role in shaping their own brand experiences and those of others.
TRUE
To overcome the problem of price escalation when selling to less-affluent consumers in developing countries, many companies make simpler or smaller versions of their products that can be sold at lower prices.
TRUE
Viral marketing involves creating videos, ads, and other marketing events that are so infectious that customers will seek them out or pass them along to others
TRUE
iTV lets viewers interact with television programming and advertising using their remote controls.
TRUE