Chapter 1 (490) T/F

True

Consumer behavior includes the behavior that consumers display in searching, purchasing, evaluating and disposal of products and services.

True

Consumers have more power today than ever before, as seen through their use of "intelligent agents" to locate the best prices for products and services.

True

Four drivers of successful relationships between marketers and customers are customer value, high levels of customer satisfaction, a strong sense of customer trust, and building a structure that ensures customer retention.

True

Narrowcasting is a method that enables marketers to develop and deliver more customized messages to increasingly smaller markets on an ongoing basis.

True

Organizational consumers include both for profit and non-profit organization.

False

Perceived value is relative and objective.

True

Sophisticated marketers today practice selective relationship building, which can lead to companies rejecting certain types of consumers.

True

Successful product positioning centers around two key points: communicating the benefits to the consumers, and developing and communicating a unique selling proposition.

True

"Me too" products are products that lack a unique image or benefit.

True

Companies that focus on understanding customers are able to continue to grow and remain leaders in their industries in spite of increased competition and changing business environments.

True

A company's value proposition helps establish customer expectations, which the company must consistently fulfill.

False

Depending on where we are born, we all have different biological needs.

True

The internet offers marketers the ability to customize their products, services, and promotional messages to individual consumers, as seen in how Amazon.com sends mass e-mails to all their existing customers telling them about a new promotional offer.

True

The key assumption underlying the marketing concept is that, to be successful, a company must determine the needs and wants of specific target markets and deliver better than the competition.

True

The production orientation assumes that consumers are mostly interested in product availability at low prices.

True

The production orientation makes sense in developing countries where the main objective is to make products available to the maximum number of consumers at the lowest prices.

True

The sales orientation arose in response to the expanded capacity that was created during the production era.

False

The societal marketing concept advocates a short-term perspective in driving for increased market share and quick profits.

False

The term consumer behavior describes only the behavior of those who purchase goods and services for their own use.