marketing ch.1-4

Which of the following is an accurate statement about building customer relationships in the modern marketing​ era?

Building relationships through consumer-generated content is expensive and takes time

Which of the following best describes a marketing information system​ (MIS)?

People and procedures that are used to manage information to generate and validate actionable customer and market insights

in marketing terms, what is a market?

The set of actual and potential buyers of a product or service

Which of the following statements regarding the use of marketing​ information, customer relationship management​ (CRM), and analytics is​ correct?

There are risks involved in using big data analytics and CRM.

​P&G launched their​ "Tide Loads of​ Hope" program, which provides mobile laundromats to families in​ disaster-stricken areas.​ P&G washes,​ dries, and folds clothes for these families free of charge. This is an example of​ __________.

cause-related marketing

One challenge that marketers face regarding the macroenvironment is that​ _______

changes in this environment are often unforeseeable and uncontrollable

Internal databases

collections of consumer and market information obtained from data sources within the company network

Being proactive toward the marketing environment means that​ ________.

company develops strategies to change the environment

Although a​ "customer-centered" firm seeks to deliver high customer satisfaction relative to​ competitors, it​ __________.

does not attempt to maximize customer satisfaction

Question Marks (BCG Matrix)

- (upper right quadrant) appear in high-growth markets but have relatively low market shares -they are often the most managerially intensive products in that they require significant resources to maintain and potentially increase their market share. -Managers must decide whether to infuse question marks with resources generated by the cash cows, so that they can become stars, or withdraw resources and eventually phase out the products.

Cash Cows (BCG Matrix)

-(lower left quadrant) are in low-growth markets but are high market share products -these products have already received heavy investments to develop their high market share, they have excess resources that can be spun off to those products that need it. EX: the firm may decided to use the excess resources generated by the cash cow Brand to fund products in the question mark quadrant.

Dogs (BCG Matrix)

-(lower right quadrant) are in low-growth markets and have relatively low market shares. Although they may generate enough resources to sustain themselves, dogs are not designed for "stardom" and should be phased out unless they are needed to complement or boost the sales of another product or for competitive purposes. -ex: Animal Health area in Bayer HealthCare

Stars (BCG Matrix)

-upper left quadrant) occur in high-growth markets and are high market share products. -often require a heavy resource investment in such things as promotions and new production facilities to fuel their rapid growth. -As their market growth slows, starts will migrate from heavy users of resources to heavy generators of resources and become cash cows. - ex: uber

Analyzing the Current Business Portfolio

1. Identify strategic business units (SBUs) 2. Assess the attractiveness of its various SBUs 3. Decide how much support each SBU deserves

5 step marketing process

1. Understand the marketplace and customer needs and wants 2. Design a customer-driven marketing strategy 3. Construct an integrated marketing program that delivers superior value 4. Build profitable relationships and create customer delight 5. Capture value from customers to create profits and customer equity

About​ _________ of U.S. adults have some type of disability.

25%

focus group interview

A research technique in which a small group of persons (usually 8 to 12) comes together for an intensive discussion about a particular topic, with the conversation guided by a trained moderator using an unstructured method of inquiry.

Business legislation has been enacted for a number of reasons which include all of the following EXCEPT​ __________. A. developing a code of ethics B. protecting companies from each other C. to make firms take responsibility for the social costs of their production or products D. protecting interests of society E. protecting consumers from unfair business practices

A. developing a code of ethics

What are the main components of a marketing​ plan?

An executive​ summary, situation​ analysis, objectives, marketing​ strategy, action​ programs, budgets and​ controls, and threats and opportunities

Fathers were once ignored or portrayed as dolts in​ advertising, however​ today's advertisers are showing more caring and capable dads. This reflects which demographic​ trend?

Changing dynamics in the American family

Which of the following is true of environmental​ sustainability?

Companies are learning that engaging in sustainable practices is good for business.

Which of the following is true regarding the technological​ environment?

Companies must keep up with changes in technology or risk being left behind.

Which of the following correctly lists actors in a​ company's microenvironment?

Competitors, marketing​ intermediaries, suppliers, and publics, customer markets

How has the Great Recession of 2008-2009 affected marketers in terms of consumer​ attitudes?

Consumers are showing an enthusiasm for frugality

FedEx offers its customers fast and reliable package delivery. When FedEx customers weigh those benefits against the monetary costs and other costs of using the​ service, they are acting on​ ______

Customer-perceived value

Which of the following statements regarding the changing marketing landscape is​ correct?

Digital technology has changed the way we live.

What are the three types of research​ objectives?

Exploratory, descriptive, and causal

Which of the following statements about information and customer insights is​ correct?

Information to gain customer insights comes from a wide variety of sources.

In which way does increasing customer satisfaction disrupt the internal value​ chain?

It can increase production​ costs, increase​ inventories, and disrupt production schedules.

Marketing Concept

Know the needs and wants of the target markets and deliver the desired satisfactions better than competitors.

Which of the following statements is true regarding public policy and government​ regulation?

Legislation affecting business around the world has increased steadily over the years.

Which of the following statements regarding generational marketing is​ correct?

Marketers need to form more precise​ age-specific segments within each generational group.

Causal Research

Marketing research to test hypotheses about cause-and-effect relationships

the fourth step in strategic planning is

Planning marketing and other functional strategies -done at the business unit​ level

Which of the following is an important trend in the natural environment that marketers should be aware​ of?

Products that require scarce resources facing large cost increases -Scarce, nonrenewable resources such as​ oil, coal, and minerals will face large cost increases even if the resources remain available.

Disney is taking full advantage of new technologies with the My Disney Experience. At the core of the experience is the MagicBand that helps Disney personalize each​ guest's experience. What is the primary technology used in the​ MagicBand?

RFID

Which of the following statements regarding conducting marketing research in a foreign country is​ correct?

Reaching respondents in other parts of the world is more difficult than it is in the United States.

What are the two measurements used in the BCG matrix to classify strategic business​ units?

Relative market​ share; market growth rate

​__________ are distribution channel firms that help the company find customers or make sales for them.

Resellers

Which of the following correctly lists marketing​ intermediaries?

Resellers, physical distribution​ firms, marketing services​ agencies, and financial intermediaries

The first step to a successful​ value-driven marketing strategy is to determine whom to serve with a market offering. To make this​ decision, marketers engage in which two​ activities?

Segmenting and targeting

market development strategy

Strategy that concentrates on finding new markets for its existing products

Which of these statements regarding technology and marketing is​ true?

Technology changes rapidly and creates new opportunities for marketers.

Which of the following statements is correct regarding the current demographic​ environment?

The U.S. population is rapidly getting older due to falling birthrates and longer life expectancies.

According to the​ text, what is the single most important demographic trend in the United States​ today?

The changing age structure of the population

_________ is the first step of the marketing process.

Understanding the​ marketplace, consumer​ needs, and consumer wants

ethnographic research

a form of observational research that involves sending trained observers to watch and interact with consumers in their "natural environments"

product development strategy

a growth strategy that offers a new product or service to a firm's current target market

market penetration strategy

a marketing strategy that tries to increase market share/ make more sales to existing customers without changing its original products

SWOT analysis

a planning tool used to analyze an organization's strengths, weaknesses, opportunities, and threats

Growth Share Matrix (BCG)

a portfolio-planning method that evaluates a company's SBUs in terms of market growth rate and relative market share

Product/market expansion grid

a portfolio-planning tool for identifying company growth opportunities through market penetration, market development, product development, or diversification

The four Ps of the marketing mix have been redefined in​ buyer's terms as the four As. Product design influences​ __________, price affects​ __________, place affects​ __________, and promotion influences​ __________.

acceptability; affordability;​ accessibility; awareness

Marketing Information System (MIS)

an organized way of continually gathering, accessing, and analyzing information that marketing managers need to make ongoing decisions

Barnacles

are highly loyal but not very profitable. There is a limited fit between their needs and the company's offerings. An example is smaller bank customers who bank regularly but do not generate enough returns to cover the costs of maintaining their accounts.

Nielsen is engaged in the collection and analysis of information about​ consumers, competitors, and developments in the marketplace.

competitive marketing intelligence

The key element of successful marketing today is to​

create value

The​ __________ environment consists of institutions and other forces that affect a​ society's basic values.

cultural

Threats (SWOT Analysis)

current and emerging external factors that may challenge the company's performance

The total combined lifetime value of a​ company's current and potential customers is called​ ______.

customer equity

Nielsen gathers data on millions of people to help marketers gain __________ to use to create strategic marketing decisions.

customer insights

The basic concept underlying marketing is that of​ ________

customer needs

The most important actors in the​ company's microenvironment are​ ________

customers

mission statements should be focused on

customers. Mission statements should be market oriented and defined in terms of satisfying basic customer needs.

The first step in strategic planning involves​ __________.

defining the company mission

A marketer who wishes to gain insight into the demographics and attitudes of consumers who buy their product would likely ask Nielsen to perform

descriptive research

After understanding the marketplace and customer​ needs, what is the next step in the marketing​ process?

designing a customer value driven marketing strategy

the third step in strategic planning is

designing the business portfolio

The primary purpose of a strategic plan is to​ ________________.

develop and maintain a strategic fit between a​ company's goals and capabilities and its changing marketing opportunities.

After defining the problem and​ objectives, what is the next step in the marketing research​ process?

develop the research plan

​Strategically, a company may phase out or sell an SBU. This is known as​ __________.

divesting

The​ __________ environment consists of economic factors that affect consumer purchasing power and spending patterns.

economic

The macroenvironment consists of larger societal​ forces, which include​ ________.

economic, demographic, natural, technological, political, and cultural forces

Marketing occurs when people decide to satisfy their needs and wants through _________ relationships. ________ is the act of obtaining a desired object from someone by offering something in return.

exchange

Opportunities (SWOT)

external factors that the company may be able to exploit to its advantage

You and seven other people are talking with a trained moderator about your feelings and thoughts about a potential new product. For doing this you receive a small payment. You are participating in​ a(n) ___

focus group interview

customer insights

fresh understandings of customers and the marketplace derived from marketing information that become the basis for creating customer value and relationships

survey research

gathering primary data by asking people questions about their knowledge, attitudes, preferences, and buying behavior

observational research

gathering primary data by observing relevant people, actions, and situations

primary data

information collected for the specific purpose at hand

secondary data

information that already exists somewhere, having been collected for another purpose

Strengths (SWOT Analysis)

internal capabilities that help the company achieve its objectives

Weaknesses (SWOT Analysis)

internal limitations that may interfere with a company's ability to achieve its objectives

To develop needed​ information, marketing information systems utilize​ __________.

internal​ databases, marketing​ intelligence, and marketing research

diversification strategy

introduces a new product or service to a market segment that currently is not served -starting up or buying businesses beyond its current products and markets

Customer Relationship Management (CRM)

is the overall process of building and maintaining profitable customer relationships by delivering superior customer value and satisfaction

Nike states that it wants to​ "bring inspiration and innovation to every athlete in the​ world." This is​ Nike's _________.

market oriented mission statement.

Assume Starbucks increased its spending on advertising by 35 percent to increase sales in its current markets. Which growth strategy does this​ represent?

market penetration

Some​ retailers, such as the Dollar​ Store, Dollar​ Tree, and Family​ Dollar, profitably focus on buyers with modest means. This is an example of​ __________.

market targeting

Engaging customers and managing profitable customer relationships is the simplest definition of​ ________.

marketing

To learn more about the relationships and patterns contained in the vast amounts of data they​ collect, marketers use​ __________

marketing analytics

We define _______________ _____________ as the art and science of choosing target markets and building profitable relationships with them.

marketing management

Many sellers make the mistake of paying more attention to the specific products they offer than to the benefits and experiences produced by these products. These sellers suffer from _______? They are so taken with their products that they focus only on existing wants and lose sight of underlying customer needs

marketing myopia

descriptive research

marketing research to better describe marketing problems, situations, or markets, such as the market potential for a product or the demographics and attitudes of consumers

Exploratory Research

marketing research to gather preliminary information that will help define problems and suggest hypotheses

The​ "echo boomers" is another name for​ __________.

millenials

​__________ marketing is perhaps the​ fastest-growing digital marketing platform.

mobile

You are thirsty and decide to have an iced tea. Your thirst is a​ ________ and your choice of iced tea is a​ ________.

need;want

Vince's Video has suffered in the current economy because fewer people have the money for videos and because more people use online streaming sites such as YouTube and Hulu. The videos that​ Vince's Video does sell are often outpriced by versions coming from China or​ Taiwan, or they are accused of being damaging to the environment. Which of the following marketing impacts has NOT affected​ Vince's Video?

not for profit marketing

Nielsen gathers consumer insights through a variety of​ ways, including consumer tracking and panels online marketing research is type of research is Nielsen engaged in during these​ examples.

online marketing research

The demand for organic produce is growing. Green Acres Farms grows only organic vegetables. In a SWOT​ analysis, the rising demand for organic produce would be​ a(n) __________ for Green Acres​ Farms, and the fact that they grow only organic vegetables is​ a(n) __________.

opportunity; strength

A sizable and growing market of consumers are seeking products such as​ natural, organic, and nutritional​ foods, fuel-efficient​ cars, and alternative medicines. This trend is attributed to which cultural​ value?

people's views towards nature

A firm can be proactive by​ __________.

pressing lawsuits to keep competitors in line

__________ is one way firms can be proactive toward their environment.

pressing lawsuits to keep competitors in line

A(n) __________ stance by companies toward the marketing environment is preferred over a reactive stance.

proactive

Three P's of Marketing

product price promotion place

The​ __________ concept holds that consumers will favor products that are available and affordable.

production

One important reason that business legislation is enacted is to​ ________.

protect consumers from unfair business practices

In the final step of the​ five-step marketing​ model, companies​ _______

reap the rewards of creating customer value

In determining which customers to​ serve, a company engages in which two marketing​ activities?

segmentation and targeting

After defining its​ mission, the next step in strategic planning is to​ __________.

set company objective's and goals

the second step in strategic planning is

setting company objectives and goals

Demography studies statistics include​ ________.

​age, gender,​ race, and occupation, population diversity

Market Offerings

some combination of products, services, information, or experiences offered to a market to satisfy a need or a want. -They also include services—activities or benefits offered for sale that are essentially intangible and do not result in the ownership of anything. Examples include banking, airline, hotel, retailing, and home repair services.

Types of SBUs

stars, cash cows, question marks, dogs

The​ __________ environment is the most dramatic force shaping the destiny of the markets and marketing.

technological

Resellers, physical distribution​ firms, marketing services​ agencies, and financial intermediaries

the changing age structure of the population

business portfolio analysis

the corporate process of determining which lines of business the corporation will be in and how it will allocate resources among them

customer perceived value

the customer's evaluation of the difference between all the benefits and all the costs of a market offering relative to those of competing offers. Importantly, customers often do not judge values and costs "accurately" or "objectively." They act on perceived value.

product concept

the idea that consumers will favor products that offer the most quality, performance, and features; therefore, the organization should devote its energy to making continuous product improvements

Selling Concept

the idea that consumers will not buy enough of the firm's products unless the firm undertakes a large-scale selling and promotion effort

share of customer

the portion of the customer's purchasing that a company gets in its product categories

Companies such as​ IBM, Walmart, and Google now look beyond economic gain​ and, in their marketing​ strategies, they also consider the​ well-being of​ customers, the depletion of natural​ resources, the viability of​ suppliers, and the interests of the local community. This reflects which marketing​ philosophy?

the social marketing concept

Marketing Research

the systematic design, collection, analysis, and reporting of data relevant to a specific marketing situation facing an organization

customer equity

the total combined customer lifetime values of all of the company's current and potential customers. As such, it's a measure of the future value of the company's customer base.

A(n) __________ is defined as any contact between a customer and a company.

touch point

For which customer relationship group should a company make continuous relationship investments to​ delight, engage,​ retain, and grow​ them?

true friends

Many companies view the marketing environment as​ a(n) __________ element to which they must react and adapt.

uncontrollable

Which core marketing concept is the key building block to develop and manage customer​ relationships?

value and satisfaction

A​ brand's __________ involves the set of benefits or values it promises to deliver to consumers.

value proposition

A​ firm's strategy is set into action through plans and programs that consist of the marketing mix. The marketing mix is referred to as the four Ps of marketing. Which of the following are the four​ Ps?

​Product, price,​ place, promotion