Final Exam
What is environmental scanning?
A review of external sources to discover factors that impact business.
What is your major/minor?
other
A channel member that markets all of a manufacturer's goods, has authority over price, promotion, and distribution, but does not take title to the product is a
selling agent.
The continuum of tangibility goes from ____ on one end to ____ on the other end.
service-dominant products; good-dominant products
Michelle went hiking one weekend with several of her friends. While on one of the hiking trails, Michelle fell and injured her leg and needed to see a doctor. Michelle is likely going to view solutions to her problem as
unsought products.
If Texas State University wanted to learn about the influence and impact that sororities, fraternities, and other student organizations have on academic performance at Texas State University, the population of study would be
all students, faculty, supporters, and staff of Texas State University.
A specialty product
requires purchase planning, and the buyer will not accept substitutes.
Which of the following is not a common feature of a warehouse club?
Good customer service
Jordan Jackson of Jackson Catering buys equipment from Allied Commercial Kitchens because Allied hires her to cater their annual holiday party. This practice is an example of
reciprocity.
When Old Spice came out with the "Smell like a Man" advertising campaign, the goal was to _____ the brand from one that appealed to older men to a new, younger target market.
reposition
Slow feedback, high absolute-dollar outlay, and difficulty in measuring effects on sales are disadvantages of which promotion mix ingredient?
Advertising
Which of the following is not an example of the implementation of the marketing concept?
Burger King reduces the labor costs to produce its Sausage Egg & Cheese biscuits
During which stage of the product life cycle is pioneer advertising most appropriate?
Introduction
Which of the following statements about business buying is false?
Orders in business markets tend to be smaller than those placed in consumer markets.
TheThe sociocultural force is best characterized by which of the following trends: sociocultural force is best characterized by which of the following trends:
People's growing concern about the foods they eat
When marketers do business abroad, they often perceive that other business cultures have different modes of operation. This perception is especially pronounced for marketers who have not traveled extensively or interacted much with foreigners in business or social settings. There is often a perspective of "us versus them" found in many countries. In business, the idea that "we" differ from "them" is called the __________________.
SRC: Self-reference criterion
A marketing plan is __________________________.
a written document detailing the activities to be performed to implement and control marketing activities
SUP ATX is the largest stand-up paddle board maker based in Austin, Texas. It markets its products directly to consumers via their website. SUP ATX mission is to spread the sport of stand-up paddle surfing from oceans to lakes and rivers around the world. Stand up paddle surfing or boarding is a relatively new sport but is growing due to the relatively low price of the boards, ease in transportation and storage of the boards as well as the sport providing a fun way to exercise and allow users to enjoy the outdoors. Which of the following would be the "best" target market for SUP ATX paddle board products?
active adults aged 20 to 40 who enjoy outdoor recreational activities
Allen was a good athlete in high school and enjoyed being on the varsity basketball team. When he arrived at college, he did not have the skills or talent to play varsity basketball at a much higher level of competition, but attended all of the college basketball games, played on a couple of intramural basketball teams, wore basketball attire quite often, and kept a disciplined workout routine to stay in good shape. . For Allen, the college varsity basketball team was a(an) ________________________.
aspirational group
The _____________ is the difference in value between a nation's exports and its imports.
balance of trade
Tobacco products have warnings on the label saying that the use of tobacco can cause cancer. Prescription drug commercials on television always include information about possible side effects that can be very harmful, possibly fatal to those who use the medication. These warnings are in place to comply with the consumer right to ____________, which is part of the consumer bill of rights.
be informed
Anheuser-Busch may choose to segment its market based on heavy, moderate, and light drinkers of its alcoholic beverages. This is an example of market segmentation based on
behavioristic variables
Promotion tends to
capitalize on existing needs.
When a business links the sales of one or more of its products to a particular social cause, such as when a restaurant donates $1 toward research to cure heart disease for each desert they sell, they are engaging in ___________________.
cause-related marketing
When an organization produces a publication that describes in detail the rules and standards for how employees are to conduct themselves in representing the organization, those rules and standards are called ________________.
codes of conduct
Consumers continue to evaluate the merits and value of a product they have purchased to determine if the actual performance meets their expectations, often using many of the criteria they used in the purchase decision process. It is very common, especially with expensive, high-involvement products, for marketers to have salespeople call or email recent customers to make sure they are satisfied with their new purchase. They do this to avoid or reduce ___________________________, which is doubts in the buyer's mind about whether purchasing the product was the right decision.
cognitive dissonance
Tiffany's markets its exclusive jewelry and gifts to high-income individuals interested in high-quality products and a well-known brand name. It uses the same marketing mix to reach this market. Tiffany's uses a(n) ____ strategy.
concentrated targeting
You are shopping for a laptop or tablet to use for taking notes, research, and studying. In this case, you belong to a(n)
consumer market.
A major concern and expense for insurance companies is claims filed by consumers for compensation for injuries and disabilities that did not really occur. U.S. retailers lose more than $32 billion each year to shoplifting. People sometimes post negative reviews online about a product or service to damage the reputation of the seller and reduce their impact as competition. All of these behaviors are examples of ________________________, behavior that violates generally accepted norms of a particular society.
consumer misbehavior
Alex moved into an apartment at the beginning of her junior year in college. She was looking forward to the experience of setting her own schedule and buying some furniture and accessories to decorate the way she wanted. She was confident in her ability to make good purchase decisions because by watching her parents and others while growing up, she was exposed to knowledge and skills that would help her function as a consumer. Those influences she had while growing up are collectively known as the process of ______________________.
consumer socialization
Children often achieve ____ by observing parents and older siblings in purchase situations and then through their own purchase experiences.
consumer socialization
The Four Seasons hotel is known for its exceptional customer service. This service represents a ________ for the Four Seasons.
core competency
The value of the US dollar is important to the global economy. In the last few years, the value of the dollar has been strong relative to other currencies. This means that US exports__________ if purchased with the euro or yen, and imports _____________.
cost more; cost less
____________ is the idea that a person's beliefs, values, and practices should be understood based on that person's own culture, rather than be judged against the criteria of another.
cultural relativism
By installing self-check-in machines in some airports, airlines have increased production capacity and reduced the number of personnel. This results in a decrease in
customer contact
With its Venus razor, Gillette was the first marketer to offer a triple blade razor specifically designed for women. This is an example of market segmentation using ____ variables.
demographic
Consumer segmentation variables are usually grouped into four categories:
demographic, geographic, psychographic, and behavioristic.
Characteristics within a population, such as age, gender, race, ethnicity, marital & parental status, income, and education are known as ________________.
demographics
Procter & Gamble markets Cheer detergent to young singles and couples and Tide detergent to families. Procter & Gamble is using a(n) ____ targeting strategy for laundry detergents.
differentiated
Julia was reviewing her bank statement for last month. She had paid her rent, her car payment, electric and phone bills, and made three trips to the grocery. Julia had also bought tickets to Ariana Grande concert and new clothes to wear to the concert. The money spent on Julia's rent, car, electric, and phone bills was likely from her ____ , while the money spent on the concert tickets and new clothes was from her _____.
disposable income; discretionary income
Google introduced Google Home, a smart speaker/home automation device. For Google, Google Home represents a strategy of
diversification.
The purpose of market segmentation is
divide a total market to enable a marketer to develop a more precise marketing mix.
When considering the market growth/market share matrix developed by the Boston Consulting Group (BCG), the quadrant characterized by relative low marketing share and low product-market growth is called the _________.
dog
Consumers that have a global orientation tend to have a positive attitude toward purchasing global brands, but when consumers think local and are more ________________, they are more negative toward global brands.
domestically biased
Zappos collects information about a wide variety of competitive, economic, political, legal 5and regulatory, technological, and sociocultural forces that affect its marketing activities. This process is called
environmental scanning
In 2009 the Coca-Cola Company introduced the "Freestyler," a new freestanding soda dispenser where consumers can choose from over 120 different types of soda and customize their drinks. Freestylers would take the place of typical dispensers where there are only a few different types of soda brands available. In order to develop the new dispenser, Coca-Cola collected information on the soda-drinking habits of individuals in several different age groups, as well as information about new technologies for dispensing liquids from vending machines and the sales of its "fountain" syrup for national restaurant chains to use in their soda machines. Coca-Cola's collection of this information is an example of _____ while the assessment of its impact on the potential for the new "Freestyler" is an example of _________
environmental scanning; environmental analysis
Many companies today have begun to go beyond legal requirements for equal opportunity in hiring and have strengthened their commitment to diversity in the workplace. Another issue that is gaining strength is zero tolerance for sexual harassment and intimidation. When companies go beyond legal requirements and see issues like these as matters of right and wrong, they are treating them as _________________.
ethical issues
When Jack's phone would not hold a charge, his screen was cracked, and his virtual keyboard did not work consistently, he decided to purchase a new phone. He thought about all the features he wanted in the new phone, how much he could afford, and the brands that he would choose from in his new purchase. The features he wanted and the price he could afford were part of his ________________, and the brands from which he would choose were his ___________________.
evaluative criteria; consideration set
Consumers generally have a set of _____________________ when making a purchasing decision, which include ________________ and __________________ characteristics that are important to a buyer.
evaluative criteria; objective; subjective
When countries with different currencies conduct business with each other, both countries must be concerned with the ______________ that determines the value of each currency relative to the other currency.
exchange rate
Individuals and organizations engage in marketing to facilitate _____________________, which is the provision or transfer of goods, services, or ideas in return for something of value.
exchanges
The consumer buying decision process involves _______ stages. The first stage is ____________, and the last stage is _____________.
five; problem recognition; post-purchase evaluation
A special form of licensing in which one company grants another company the right to market its product in accordance with its standards in exchange for a financial commitment is called
franchising.
Reductions for transportation and other costs related to the physical distance between buyer and seller are known as
geographic pricing.
In external environmental scanning, tax legislations, social security legislations and tax provisions are classified as
gov
In external environmental scanning, tax legislations, social security legislations and tax provisions are classified as
government influences
The first step in the target market selection process is
group potential buyers into segments
Mothers Against Drunk Driving (MADD) is a group that works to change attitudes and laws about driving under the influence of alcohol. MADD primarily markets
ideas
The purchase of products from a foreign source is called
importing.
Grocery stores and other retailers often place inexpensive items near the checkout lanes because they want to take advantage of consumers' tendency toward _______________________, which is an unplanned buying behavior resulting from a powerful urge to buy something immediately.
impulse buying
The coordination of promotion and other marketing efforts for maximum informational and persuasive impact defines
integrated marketing communications.
Smith Manufacturing is a large employer in the local community. It makes excellent products, employees hundreds of workers at good wages, and supports community events. However, Smith Manufacturing does not dispose of its waste by-products in compliance with federal environmental regulations and some of that waste gets into the air and water. Smith Manufacturing is doing many things right but is failing in its _____________ responsibilities.
legal
Although it may seem logical to target higher-income consumers, many marketers choose to target lower-income segments because
lower-lower-income consumers represent a much larger population globally.income consumers represent a much larger population globally.
A priority for any business must be that of ________________, which enables the business to create a return on investment to the owners and investors, create jobs in the community, and offer goods and services to the community and the economy.
making a profit
Starbucks opened its first store in Uruguay in April 2018. This would be an example of which competitive growth strategy?
market development
Michelle is the owner of 9Round Kickboxing, a fitness studio and is performing a SWOT analysis as part of a strategic planning exercise. She knows that consumers aged 18-30 are especially interested in staying fit and eating clean. She should consider this trend as a(n):
opportunity
Since the first McDonald's franchise opened in Des Plaines, Illinois in 1955, the menu has expanded from just milkshakes, burgers, and fries to include breakfast items, chicken, salads, Happy Meals, fish sandwiches and other specialty items because customers asked for them. You can even rent movies through Redbox kiosks in many McDonald's restaurants. The McDonald's organization-wide commitment to researching and responding to customer needs is an example its __________________.
market orientation
Kelley's Coffee Shop is implementing an employee training program on customer service issues at the beginning of the year. Kelley wants to increase customer satisfaction levels by 20% by the end of the year. This is an example of a ________________.
marketing objective
Many companies use more than one marketing channel to distribute their products to the same target market, a tactic called
multichannel distribution.
Product deletion can best be described as the process of deleting a product from the product mix when it
no longer satisfies a sufficient number of customers.
Anything that reduces the accuracy and clarity of communication is called
noise.
Three primary methods of collecting information for environmental scanning are
observation, secondary sources, and marketing research
The wireless telephone industry is dominated by four carriers: Verizon, AT&T, Spring andT-Mobile. This exemplifies the competitive situation called:
oligopoly
When David graduated from college and moved to a city not far from where he grew up for his first job, he needed to buy several things to start his new life as a single guy in an apartment. Because he was living near his hometown, he went back there to shop for most of his purchases. He even bought car insurance from the agent his parents had used for several years. His desire to buy what he needed from places and people he was familiar with can be attributed to ________________________, the motives that influence where a person purchases products and services on a regular basis.
patronage motives
Seventh Generation is a company producing products that limit the amount of negative impact on the environment.
personality characteristics, motives, and lifestyles
When a business contributes time, talent, money, or other resources to the community to improve the quality of life, that business is fulfilling its ______________ responsibility.
philanthropic
Signs, counter pieces, racks, and self-service cartons are all forms of
point-of-purchase displays.
The decisions and activities intended to create and maintain a certain concept of the firm's product, relative to competitive brands, in customers' minds is
product positioning
When Apple Inc. delayed the launch of its new iPhone X, it needed to reschedule its tv advertisement announcing the new product. In this case, a change in the ____ variable caused changes in the ____ variable of the marketing mix.
product; promotion
All of the following are concepts used in a just-in-time inventory management system except
safety stock is kept to reduce stockouts.
Distilled Spirits Council, an industry association, developed digital/social media marketing guidelines for its members to follow. This is an example of which one of the following types of regulatoryforces affecting marketing activities?
self-regulation
When products are introduced from one nation into another, acceptance is far more likely if ______________ exist(s) between the two cultures.
similarities
Consumers may go into a store or visit an online retailer with specific intentions on what they want to purchase but may change their purchase criteria and intentions if they cannot find what they want, or if they are in a hurry, or if the place they visit does not carry the brand or product category they want. These circumstances are known as _______________________.
situational influences
Jane was at the shopping mall with a group of friends when one of them suggested they all have lunch at the Cheesecake Factory. Jane was not very hungry but went along with the group. One of the friends began talking about how good the Chicken Parmesan was and suggested that everyone order it. Not wanting to stand out at the lone dissenter, and even though she was not very hungry, Jane ordered the Chicken Parmesan. Jane's decision to order the dish she really did not want was affected by ______________________________, the forces other people exert on one's buying behavior.
social forces
A growing trend in many restaurants today is that of not giving plastic straws to diners in a effort to reduce the amount of plastic in landfills. Some retail stores and some communities have banned the use of plastic bags for the same reason. When organizations make decisions like these for the reasons stated, their concern is directly related to their commitment toward
social responsibility
In marketing, _______________refers to an organization's obligation to maximize its positive impact and minimize its negative impact on society.
social responsibility
The influences in a society and its culture(s) that bring about changes in attitudes, beliefs, norms, customs, and lifestyles are known as _______________.
socio-cultural forces
Multicultural marketing (i.e., programs that reflect unique aspects of different races) is best represented by which of the following environmental forces?
sociocultural
A study was conducted in 2013 to measure the economic impact of Texas State University on the state of Texas. The study revealed that Texas State University had an economic impact of $2.2 billion. Even people who do not attend Texas State University or work there are affected by its economic impact. This group of people can be described as _____________________. Also, Texas State holds several "Bobcat Days" each year to attract high school students to the campus and answer their questions about college life. These high school students are the Texas State _____________________.
stakeholders; target market
Campbell Soup Company purchased Bolthouse Farms and operates this division as a separate profit center within the firm. In this example, Bolthouse Farms is a(n) _______unit of Campbell Soup Company.
strategic business
Managers at Apex Corporation are in the process of revising their organization's mission and goals as well as developing corporate strategy, marketing objectives, marketing strategy and a marketing plan. This process is called:
strategic planning
McCoy College student organizations have a history of winning national competitions. This would be considered a ___________ in a SWOT analysis of McCoy College.
strength
Home Depot has stated that it will not buy lumber that was harvested from the Amazon rain forest because it does not want to contribute to deforestation of this vital natural resource. This is an example of
sustainability marketing
While playing soccer, Kyle suddenly fell and broke his arm. Needing to get to the hospital, he was not only interested in the nearest location, but also the shortest emergency room wait time. He remembered seeing a billboard for the Cleveland Clinic promoting their time-text service where he could call the number GET-TXT-TIME and they would text him the approximate waiting time at the closest three hospital locations. The Cleveland Clinic is providing enhanced service to its patients by capitalizing on which environmental force?
technological
Don Jacobson runs a successful wholesale business that sells equipment to restaurants throughout the Southwest. He is considering purchasing his own fleet of trucks to deliver the equipment instead of relying on a shipper as he is currently doing. This most closely represents a decision about
the best way to distribute his products
Your boss is very upset about the most recent customer survey results for the firm. A majority of the respondents complained about the limited number of product lines your firm offers. Which of following recommendations should you make to your boss?
the firm needs to expand the width of its product mix
One trend that has caused consumer-generated information to gain importance is
the increase of consumers using digital media to publicize their own product reviews.
If a product has an inelastic demand and the manufacturer raises its price,
total revenue will increase.
