Marketing Chapters 1-2 Questions

_____ is the most critical element in successful strategic planning. a. Strategic dissonance b. Continual attention c. Management commitment d. Creativity

c. Management commitment

Effective strategic planning requires _____. a. sporadic attention b. incongruity c. marketing myopia d. creativity

d. creativity

_____ is the process that turns a marketing plan into action assignments and ensures that these assignments are executed in a way that accomplishes the plan's objectives. a. Implementation b. Diversification c. Segmentation d. Promotion

a. Implementation

In the context of the marketing mix, which of the following statements is true of price? a. It can be raised or lowered by marketers. b. It is the starting point of a marketing mix. c. It is the least important of the four Ps. d. It does not affect competitive advantage.

a. It can be raised or lowered by marketers.

_____ delivers relevant experiences throughout a consumer's decision and buying process that are integrated across both physical and virtual environments. a. On-demand marketing b. Product marketing c. Societal marketing d. Premium marketing

a. On-demand marketing

Which of the following indicates the focus of a production-oriented firm? a. The internal capabilities of the firm b. Enhancing individuals' and society's long-term best interests c. The needs and wants of the customers d. Aggressive sales techniques

a. The internal capabilities of the firm

Which of the following statements is true of strategic business units (SBUs)? a. They require their own strategies and funding. b. They are devoid of distinct missions. c. They do not have control over their own resources. d. They lack specific target markets.

a. They require their own strategies and funding.

Which of the following statements is true of target markets? a. They should be assessed based on demographics. b. They only appeal to multiple market segments. c. They should not be outside the country of a firm's headquarters. d. They are not to be differentiated by ethnicity or culture.

a. They should be assessed based on demographics.

Which of the following statements is true of marketing objectives? a. They should be realistic. b. They should not be measurable. c. They should not be compared to a benchmark. d. They should encompass a larger marketing strategy.

a. They should be realistic.

Identify a true statement about sales-oriented firms. a. They target their products at "everybody" or the "average customer." b. They recognize the role of employee training in customer service and relationship building. c. They target their products to specific groups of people. d. They recognize that different customer groups want different features or benefits.

a. They target their products at "everybody" or the "average customer."

In the context of on-demand marketing, which of the following statements is true of sales-oriented businesses? a. They try to convince potential customers to buy, even if the customer and product are mismatched. b. They make a profit by creating customer value and providing customer satisfaction. c. They place high premium on developing a long-term relationship with the customer. d. They recognize that different customer groups want different features or benefits.

a. They try to convince potential customers to buy, even if the customer and product are mismatched.

A statement of what is to be accomplished through marketing activities is called _____. a. a marketing objective b. a marketing technique c. scenario planning d. portfolio matrix

a. a marketing objective

Having a _____ means to be an inexpensive competitor in an industry while maintaining satisfactory profit margins. a. cost competitive advantage b. product differentiation competitive advantage c. mass competitive advantage d. niche competitive advantage

a. cost competitive advantage

The customers' evaluation of a good or service in terms of whether that good or service has met their needs and expectations is called _____. a. customer satisfaction b. customer value c. customer engagement d. customer empowerment

a. customer satisfaction

Which of the following is a critical component of a market orientation? a. An assessment to decide what a firm can produce easily irrespective of customer needs b. An understanding of competitors' strengths and weaknesses c. An aggressive sales force that can reliably improve a company's sales d. An aggressive promotional strategy that might help save a bad product

b. An understanding of competitors' strengths and weaknesses

Which of the following statements is true of a market-oriented organization? a. It always offers customers everything that they want. b. It develops programs that bring about mutually satisfying exchanges between selective groups. c. It assumes that all customers want the same features and benefits. d. It seeks to achieve profitability through sales volume, convincing potential customers to buy.

b. It develops programs that bring about mutually satisfying exchanges between selective groups.

_____ refers to the description and estimation of the size and sales potential of market segments that are of interest to a firm and the assessment of key competitors in these market segments. a. Perceptual mapping analysis b. Market opportunity analysis c. Marketing brief d. Mission statement

b. Market opportunity analysis

Which of the following statements is a difference between market-oriented personnel and sales-oriented personnel? a. Market-oriented personnel focus on the production of goods and services, while sales-oriented personnel focus on the benefits of the products its customers seek. b. Market-oriented personnel target its products to everybody, while sales-oriented personnel target its products to specific groups of people. c. Market-oriented personnel tend to have an external focus, while sales-oriented personnel tend to be inward looking. d. Market-oriented personnel are occupied with organizational needs, while sales-oriented personnel keep their focus on customers.

b. Market-oriented personnel target its products to everybody, while sales-oriented personnel target its products to specific groups of people.

Marketing myopia refers to a. collecting and interpreting information from long-term events. b. defining a business in terms of goods rather than the benefits customers seek. c. focusing on both internal and external environments of a business. d. focusing on delivering high-quality products rather than earning profits.

b. defining a business in terms of goods rather than the benefits customers seek.

A marketing concept includes a. emphasizing internal production capabilities over customer needs. b. distinguishing a firm's products from its competitors' offerings. c. prioritizing a firm's short-term sales goals over its long-term goals. d. stressing the use of aggressive promotional strategies to sell products.

b. distinguishing a firm's products from its competitors' offerings.

In the context of a SWOT analysis, the environmental scanning process is used to a. examine the requirement of organizational resources. b. identify market opportunities and threats. c. assess a firm's inner strengths and weaknesses. d. assess internal business operations.

b. identify market opportunities and threats.

Widget Corp. has launched a new range of smart bulbs with enhanced features. Before developing the product, Widget Corp. conducted a thorough research about customer requirements. The company also studied the quality of its competitors' smart bulbs. Based on these insights, we can conclude that Widget Corp. designed smart bulbs that it feels can be clearly distinguished from other brands. Widget Corp. most likely has a _____. a. sales orientation b. market orientation c. production orientation d. promotional orientation

b. market orientation

The _____ states that the social and economic justification for an organization's existence is the satisfaction of customer wants and needs while meeting organizational objectives. a. promotion orientation philosophy b. marketing concept c. production orientation philosophy d. sales concept

b. marketing concept

Jalot Communications Inc. conducted a thorough study to identify customer groups that need to be targeted. It came up with a detailed profile of the market and is now focusing on creating an appropriate combination of product, place, promotion, and pricing. In this scenario, Jalot Communications Inc. is working on its _____. a. portfolio matrix b. marketing strategy c. divestment strategy d. mission statement

b. marketing strategy

Tale Tel is a mobile network operator. To increase its market share, the company installed many booths around Linway city to provide information to the general public about the features of its services. In this scenario, Tale Tel is focusing on the _____ element of the marketing mix. a. distribution b. promotion c. pricing d. production

b. promotion

Which of the following statements is true of a mission statement of an organization? a. A firm's mission statement does not establish perimeters for organizational strategies. b. A mission statement should concentrate on the goods or services offered by the organization. c. A mission statement should focus on the markets the organization is attempting to serve. d. A firm's mission statement establishes boundaries for only the objectives being set.

c. A mission statement should focus on the markets the organization is attempting to serve.

Which of the following statements is true of a SWOT analysis? a. It concentrates on maintaining the quality standards of a firm's products and services. b. It outlines the major goals and the mission statement of a business. c. It focuses on organizational resources when examining internal strengths and weaknesses. d. It adds to a firm's marketing myopia.

c. It focuses on organizational resources when examining internal strengths and weaknesses.

Which of the following statements is true of the marketing concept? a. It focuses on short-term sales goals rather than long-term organizational goals. b. It overlooks the legal responsibilities of companies. c. It focuses on the importance of understanding customers and competition. d. It believes that marketing means selling things and collecting money.

c. It focuses on the importance of understanding customers and competition.

Which of the following statements is correct about a niche strategy? a. It is opted in a market segment that has low-growth potential. b. It aims at being the low-cost competitor in an industry. c. It is suitable for small companies with limited resources. d. It removes frills and options from a product or service.

c. It is suitable for small companies with limited resources.

Which of the following statements is true of cost leadership in the context of cost competitive advantage? a. It is obtained by introducing frills and options to a product or service. b. It is obtained by effectively serving a single segment of the market. c. It results from controlling overhead costs and avoiding marginal customers. d. It results from providing unique and valuable products to buyers at lower costs.

c. It results from controlling overhead costs and avoiding marginal customers.

Which of the following statements is true of the role of marketing in a society? a. Marketing offers lesser career opportunities compared to all other domains. b. Marketing is just a job done by people in a marketing department. c. Marketing makes food available in desired quantities at accessible locations. d. Marketing makes products inaccessible to low-income customers

c. Marketing makes food available in desired quantities at accessible locations.

The goal of strategic planning is to a. describe and define the structure of a business. b. create daily operational schedules for first-line workers. c. achieve long-run profitability and growth. d. create major change in the external environment.

c. achieve long-run profitability and growth.

A company-wide business strategy designed to optimize profitability, revenue, and customer satisfaction by focusing on highly defined and precise customer groups is called _____. a. consumer sales promotion b. consumer market penetration c. customer relationship management d. customer value framework

c. customer relationship management

The relationship between benefits and the sacrifice necessary to obtain those benefits is known as _____. a. opportunity cost b. value pricing c. customer value d. customer loyalty

c. customer value

Magnira Corp., an online fashion retailer, frequently takes design submissions from its users, evaluates them, and produces the ones that most closely fit the seasonal look. It focuses on its customer's needs and on what its competitors offer. In this scenario, Magnira Corp. has adopted a _____. a. production orientation b. promotional orientation c. market orientation d. sales orientation

c. market orientation

To increase sales of its low-fat pizzas in its established market, Dietizza is offering discounts on all its pizzas. According to Ansoff's strategic opportunity matrix, Dietizza has adopted the _____ alternative. a. product diversification b. divestment c. market penetration d. market development

c. market penetration

The term _____ is defined as the activity, set of institutions, and processes for creating, communicating, delivering, and exchanging offerings that have value for customers, clients, partners, and society at large. a. self-dealing b. investing c. marketing d. divesting

c. marketing

A _____ is a philosophy that focuses on the internal capabilities of a firm rather than on the desires and needs of the marketplace. a. societal marketing orientation b. market orientation c. production orientation d. sales orientation

c. production orientation

Omega Inc. offers a wide range of home appliances. The company's main objective is to promote its products aggressively so that it gains high profits. Omega Inc. employs a team that is specifically assigned with the task of ensuring that a large number of products are sold. In this scenario, Omega Inc. is most likely to be a _____ firm. a. market-oriented b. cause-oriented c. sales-oriented d. production-oriented

c. sales-oriented

Large companies may manage a number of very different businesses called _____. a. business clusters b. focus groups c. strategic business units d. strategic business alliances

c. strategic business units

_____ is the managerial process of creating and maintaining a fit between an organization's objectives and resources and the evolving market opportunities. a. Enterprise modeling b. Business networking c. Divesting d. Strategic planning

d. Strategic planning

Which of the following statements is true of firms that adopt marketing concepts? a. They believe that price is the most important variable for customers to buy a product. b. They focus on aggressive marketing strategies assuming that customers will buy products they do not need. c. They believe that good promotion and advertising strategies can save a bad product. d. They focus on integrating all the organization's activities to satisfy customer wants.

d. They focus on integrating all the organization's activities to satisfy customer wants.

In the context of on-demand marketing, which of the following statements is true of market-oriented firms? a. They emphasize on convincing potential customers to buy unwanted products. b. They lay minimum emphasis on customer relationship management. c. They emphasize on closing a deal rather than developing a long-term customer relationship. d. They seek to make a profit by creating customer value and customer satisfaction.

d. They seek to make a profit by creating customer value and customer satisfaction.

Nutty Chunk is a well-known chocolate brand. Before developing the details of the marketing plan, the managers of the company need to frame the marketing objective. In this case, which of the following can be considered a strong marketing objective? a. To increase the sales of Nutty Chunk bars to $100 million b. To increase the market share of Nutty Chunk bars c. To make the best Nutty Chunk bars possible and invest heavily in various promotional strategies d. To increase the sales of Nutty Chunk bars by 5 percent compared to the previous year's sales within a year

d. To increase the sales of Nutty Chunk bars by 5 percent compared to the previous year's sales within a year

In an attempt to re-establish a prominent market dominance, Merith Vern, a goods transportation company, performed a study of its current and potential environment in which its service would be marketed. In this scenario, Merith Vern has most likely used _____ in an attempt to re-establish the prominence of its service in the market. a. the General Electric model b. a mission statement c. Ansoff's strategic opportunity matrix d. a SWOT analysis

d. a SWOT analysis

Aphroditera Inc., a company that manufactures beauty products, follows the philosophy of sales orientation. In this case, the workforce of Aphroditera Inc. is likely to a. refrain from aggressive marketing and promotional measures. b. put extensive efforts in customer relationship management. c. focus on determining the needs of its customers and designing a sales strategy accordingly. d. be inward looking, focusing on selling what the firm makes

d. be inward looking, focusing on selling what the firm makes

Harlose Inc. is a company that manufactures apparel for men and women. The company focuses on creating customer value. In this case, Harlose Inc. can a. produce unrealistically expensive but high-quality products for its customers. b. engage in aggressive advertising to enhance its sales and profits. c. inhibit cocreation as it might compromise product quality. d. customize its products according to customers' requirements.

d. customize its products according to customers' requirements.

Powell Motors, an automobile manufacturing company, spent considerable time, effort, and money in developing a fiber-reinforced dashboard for its cars without researching customer needs. Because of the new feature, the cars manufactured by Powell Motors are priced higher than other companies' cars belonging to the same segment. The company has introduced its cars in the market with the hope that customers would like this type of dashboard and buy them despite the high price. In this scenario, Powell Motors has adopted a _____. a. market orientation b. societal marketing orientation c. sales orientation d. production orientation

d. production orientation

Implementing a marketing plan a. provides the mechanisms for evaluating marketing results in light of the plan's objectives. b. entails gauging the extent to which marketing objectives have been achieved during the specified time period. c. is the starting point of the marketing mix strategy to identify target markets. d. requires delegating authority and responsibility, determining a time frame for completing tasks, and allocating resources.

d. requires delegating authority and responsibility, determining a time frame for completing tasks, and allocating resources.

A _____ is based on the belief that people will buy more goods and services if aggressive marketing techniques are used. a. market orientation b. production orientation c. societal marketing orientation d. sales orientation

d. sales orientation