Marketing Test 1

What does creating customer value illustrate?

A market orientation

Which of the following statements is true of customer relationship management? a. It involves targeting the avg customer or everybody b. It involves establishing and tracking customer interactions with the company. c. It considers all the customers of the firm as one large group that should be targeted with a single promotional strategy. d. It is used by sales-oriented firms to convince customers to buy their products.

B. It involves establishing and tracking customer interactions with the company

A sales-oriented firm places minimal emphasis on:

Building long-term customer relationships

Which of the following statements is true about on-demand marketing? a. It requires firms to focus on the internal rather than the external business environment. b. It gives maximum emphasis to aggressive personal selling strategies. c. It is aimed at enhancing customer relationships. d. It is used by sales-oriented firms.

C

Companies that rely on the marketing concept and have implemented a market orientation strategy recognize that

Customer wants can be satisfied by integrating activities of the firm

Which of the following opinions is a critic of the sales-orientation philosophy most likely to hold? a. Reducing Prices is the most effective technique that helps increase product sales. b. Customers do not buy products unless the products are adequately promoted. c. Business firms should give maximum emphasis to advertising strategies. d. Business firms need to have a good understanding of the needs of the marketplace.

D

A market-oriented firm:

Defines its mission in terms of the benefits its customers seek.

Relationship management strategies depend on:

Employee Empowerment

A firm that extensively uses relationship-marketing strategies is most likely to:

Encourage teamwork among employees

A sales-oriented firm:

Extensively uses personal selling and advertising

A market-oriented organization targets its products at "everybody" of "the average customer."

False

Nonprofit organizations should adopt a sales orientation rather than a market orientation.

False

Which of these statements is true about customer relationship management?

It involves linking all processes of the company from its customers through its suppliers

What is a drawback of the production-orientation philosophy?

It overlooks the importance of market research

Libra Electronic Inc. has launched a new range of light-weight vacuum cleaners with enhanced features. Before developing the product, Libra Electronic conducted a thorough study about customer requirements. The company also studied the quality of its competitors' vacuum cleaners. Based on insights about customer wants and competitor strengths and weaknesses, Libra Electronic has designed vacuum cleaners that can be clearly distinguished from other brands. Libra Electronic most likely has a _____ orientation.

Market

Libra Electronic Inc. has launched a new range of light-weight vacuum cleaners with enhanced features. Before developing the product, Libra Electronic conducted a thorough study about customer requirements. The company also studied the quality of its competitors' vacuum cleaners. Based on insights about customer wants and competitor strengths and weaknesses, Libra Electronic has designed vacuum cleaners that can be clearly distinguished from other brands. Libra Electronic most likely has a__________orientation.

Market

A company that sets its goals and strategies based on what its current equipment can manufacture, what its engineering can design, and what the company itself can do best has a _________________ orientation.

Production

Researchers at PPG Industries Inc. spent considerable time, effort, and money developing a bluish windshield that would let in filtered sunlight but block out heat. PPG had not conducted market research before deciding to design the windshield. Moreover, the windshield is priced higher compared to the other brands. The company has now introduced the windshield in the market and is hoping that the customers will like it. PPG most likely has a(n)__________orientation.

Production

Filmin Inc. has decided to increase the production of its printers. Filmin does not conduct market research before making its marketing decisions. To ensure profits for the company, Filmin has instructed its marketing force to aggressively advertise and promote its printers. The CEO of Filmin believes that the market will absorb more products if powerful promotion strategies are used. After increasing production of printers, the company plans to reduce the prices of the printers to encourage customers to buy them. Filmin appears to have a__________orientation.

Sales

A local grocer groups his customers into specific groups based on what they buy and when they shop. The grocer then schedules shipments of specific items based on these customer segments and offers different promotions to different customer groups. This is an example of customer relationship management.

True

A market-oriented organization recognizes that different customer groups want different features or benefits.

True

A production-oriented firm focuses on its internal capabilities.

True

Relationship marketing assumes that many consumers and business customers prefer to have an ongoing relationship with one organization rather than switch continually among providers in their search for value.

True

Studies suggest that ethical beliefs vary little from culture to culture.

True

The fundamental problem with a sales orientation is a lack of understanding of the needs and wants of the marketplace.

True

The societal marketing orientation extends the marketing concept by acknowledging that some products that customers want may not really be in their best interests or the best interests of society as a whole.

True

What is a difference between a market-oriented firm and a sales oriented firm?

Unlike a market-oriented firm, a sales oriented firm targets its products at the average customer

Which of the following strategies is most closely associated with a societal marketing orientation?

Using clean energy sources

Which of the following questions which companies consider is best aligned with the production orientation philosophy?

What can our engineers design?

Consumer's expectations of doing new things with varied kinds of information in ways that create value have resulted in the emergence of...

on-demand marketing