MKTG 303 chapter 1-2

Disney's My Magic system, which enables visitors to swipe their Magic Band wristbands to get on rides, make purchases, and open their hotel room door, is an example of ________ excellence.

customer

Which of the following growth strategies employs the existing marketing mix and focuses the firm's efforts on existing customers?

market penetration

In recent years, cellular (mobile) service providers have worked hard to eliminate "dead zones," providing customers with service wherever they traveled. By working to make the network available in more locations, cellular service companies were focusing on ________ value creation.

place

Marketers who design and offer new products and services to their existing customers are pursuing a ________ growth strategy.

product development

Curtis is the new restaurant manager in a major hotel. When considering changes in the restaurant that will increase value to customers, Curtis will likely attempt to either provide the same quality at a lower cost or

Improve products and services at the same cost

During the ________ era, manufacturers and retailers recognized they needed to give their customers greater value than their competitors did.

Value-based Marketing

Which of the following is true with regard to mobile advertising?

Within just a couple of years, mobile advertising will be a bigger market than digital advertising

The idea of value-based marketing requires firms to charge a price that

captures the value customers perceive that they are receiving.

When Maria, the keynote speaker at a major business leaders' conference, arrived in the middle of the night at the Ritz-Carlton, she was exhausted, and her suit was wrinkled from her 10-hour plane trip. The night clerk found someone to dry clean Maria's suit and have it ready for her morning presentation. She has been a loyal Ritz-Carlton customer ever since. In this example, Ritz-Carlton demonstrated the macro strategy of

customer excellence

Sharon has gone to the same hair salon for the past ten years. She believes that her stylist, the salon owner, does a better job of cutting and styling her hair than anyone else could. Other salons have opened closer to Sharon's home, some offering more plush facilities or lower prices, but she isn't tempted to switch. Sharon's attitude toward the salon is an example of

customer loyalty

A local hair salon keeps information on its customers regarding their preferences for certain products, companies, and services. The salon uses this information to inform the customers when new products arrive from their favorite companies and targets them with special promotions. In this way, the salon is using ________ to build loyalty among its customers.

customer relationship management

Dream Home Solutions has been a successful small home-remodeling firm for years. The owner pays subcontractors slightly more than the usual rate for different tasks, reducing the company's gross margin. Dream Home rarely changes subcontractors, has relatively few complaints from home buyers, and is able to get quick responses from subcontractors when buyers do have problems. Dream Home is engaged in

effective supply chain management

What is the focus of a firm that develops a relational orientation with its customers?

gaining lifetime profitability from customer relationships

During which step of the marketing planning process does a firm engage in segmentation, targeting, and positioning?

identify and evaluate opportunities phase

Many inventors struggle with the question, "I made it; now how do I get rid of it?" They have made the error of not creating a(n)

marketing plan

What type of analysis does management use to evaluate the firm's various products and businesses and allocate resources according to which products are expected to be the most profitable for the firm in the future?

portfolio analysis

Michael Jordan and Oprah Winfrey are paid huge sums of money by companies for celebrity endorsements. If endorsements by these personalities create a clear understanding among consumers of the companies' products in comparison to competing products, they can help with the firm's ________ strategy.

positioning

________ involves the process of defining the marketing mix variables so that target customers have a clear, distinctive, desirable understanding of what a product does or represents in comparison with competing products.

positioning

In most companies, portfolio management is typically done at the SBU or ________ level of the firm.

product line

Henry Ford's statement, "Customers can have any color they want so long as it's black," typified the ________ era of marketing.

production oriented

When a sweatshirt manufacturer states, "We sell it only in gray because that way we can buy plenty of gray fabric and run our plant efficiently," its statement reflects the views that were popular in which era of the evolution of marketing?

production-oriented

When the publisher of the well-known Berenstain Bears books wanted to celebrate the 50th anniversary of the series, it initiated a $150,000 campaign. Which of the four Ps does this campaign represent?

promotion

________ is communication by a marketer that informs, persuades, and reminds potential buyers about a product or service so as to influence their opinions and elicit a response.

promotion

Elaine was tired of her leather pocketbook, so she sold it to her friend, Jeannie. This is an example of ________ marketing.

C2C

The wine industry closely watches consumer satisfaction feedback. For years, French wineries consistently had the highest levels of customer satisfaction, creating a(n) ________ for these companies.

sustainable competitive advantage

After identifying various market segments that her company could pursue, Shannon evaluated each segment's attractiveness based on size, income, and accessibility. Shannon was involved in

target marketing

When positioning products relative to competitors' offerings, firms typically are most successful when they focus on opportunities

that build on their strengths relative to those of their competition.

Raoul is giving his wife a Hermès wallet for her birthday. It cost $2,000, but Raoul thinks this is a very fair value. Value here means that

the product meets his needs and is offered at a price that is a fair value.

When referring to "exchange," marketers are focusing on

the trading of things of value

Some discount stores put products in large bins and let consumers hunt and find bargains. The price these consumers pay includes

the value of their time and energy

Tenisha sells consumer electronics. She knows her customers weigh the costs versus the benefits associated with the different options available. Tenisha decides which products to offer and what prices to charge based on the way her customers think. Tenisha operates as if she was in the ________ era.

value-based marketing

Manufacturers that use just-in-time manufacturing systems coordinate closely with suppliers to ensure that materials and supplies arrive just before they are needed in the manufacturing process. While just-in-time systems can offer major advantages in terms of inventory costs, they must be carefully managed. If a firm found that its just-in-time system was badly managed, leading to frequent manufacturing delays due to missing parts, this system mismanagement would represent a(n) ________ in a SWOT analysis.

weakness

When Starbucks sells its coffee and mugs to the public on its website, it is a ________ sale.

B2C

Mario works for a small computer software company. His boss is constantly improving the company's products but neglects customers, billing, and promoting the company. Mario's boss is probably stuck in the ________ era of marketing.

Production-Oriented

A relational orientation is based on the philosophy that buyers and sellers develop

a long-term relationship

Avery's, an upscale department store, has a well-known reputation for going the extra mile to serve its customers. This reputation for excellent customer service will most likely result in

a sustainable competitive advantage

Giorgio sees that his company's quarterly sales and profits are significantly above projections and says, "That's great. Let's keep doing what we've been doing." Giorgio is ignoring the ________ step of the marketing planning process.

evaluate performance

Firms achieve ________ through efficient procedures and excellent supply chain management.

operational excellence

Value-oriented marketers constantly measure

perceived customer benefits against the costs of their offerings.

E-books, in addition to being an alternative product form, provide ________ value creation since they can be downloaded via the Internet immediately when and where they are needed.

place