Marketing Exam 1 and 2

A firm should compete with ________ competitors in order to sharpen its abilities. Succeeding against these competitors often provides greater returns A)strong B) international C) weak D) distant E) smaller

A

According to the Blue Ocean Strategy, the only way to beat the competition is: A) To stop trying to beat the competition B) To select either a cost leadership, differentiation, or focus position C) Avoid the Holy Grail of customer service D) Innovate, innovate, innovate E) add value

A

Each competitor has a mix of objectives. The company wants to know the relative importance that a competitor places on all of the following EXCEPT _____ A) company history B) current profitability C) market share growth D) cash flow E) technological leadership

A

Gaining _______ requires delivering more value and satisfaction to target consumers than competitors do. A) competitive advantage B) first-mover advantage C) economies of scale D) comparative advantage E) differentiation

A

In conducting ______. the company first identifies the major attributes that customers value and the importance customers place on these attributes. Next, it assess its performance against competitors on those value attributes A) a customer value analysis B) benchmarking C) entrepreneurial marketing D) intrepreneurial marketing E) a customer lifetime estimate

A

In the Boston Consulting Group approach, _______ serves as a measure of company strength in the market. A) relative market share B) SBUs C) cash cows D) market growth rate E) market segmentation

A

Shania works hard to foster an emotional relationship between her Internet customers and the beauty products and services that she and her staff sell. By promoting a company culture that values exceptional value and service, Shania aims to create ________ by going beyond the expected. A) customer delight B) customer satisfaction C) customer equity D) customer value E) customer loyalty

A

The art and science of choosing target markets and building profitable relationships with them is called ______ A)marketing management B) positioning C) segmentation D) selling E)societal marketing

A

The art and science of choosing target markets and building profitable relationships with them is called ________ A) marketing management B) positioning C) segmentation D) selling E) societal marketing

A

The four possible strategies that can be pursued for each SBU are building, holding, ______, and ______. A) harvesting; divesting B) promoting; selling C) downsizing; expanding D) diversifying; penetrating E) developing; growing

A

The proper sequence of Blue Ocean Strategy is: A) Buyer utility, price, cost, adoption B) Buyer utility, cost, price, adoption C) BUM/BEP, cost, price, adoption, hurdle rate D) None of the above E) There is no PROPER sequence

A

When the size, purchasing power, and profiles of a market segment can be determined, it possesses the requirement of being _______ A)measurable B) accessible C) substantial D) actionable E) observable

A

Which customer question is answered by a company's value proposition? A) "Why should I buy your brand rather than a competitor's? B) "How does your brand benefit me and society?" C) "what are the costs and benefits of your brand?" D) "What kind of experience will I have with products and services associated with this brand?" E) "What are the benefits of being a loyal consumer of your brand?"

A

Which of the following is/are not utility lever in the Buyers' Utility Map? A) Form B) Purchase C) Fun and Image D) Risk E)a and b

A

Which of the following marketing management orientations focuses primarily on improving efficiencies along the supply chain? A) production concept B)product concept C) selling concept D)marketing concept E) societal marketing concept

A

Which of the following reflects the marketing concept philosophy? A) We don't have a marketing department, we have a customer department B) Were in the business of making and selling superior products C) We build them so you can buy them D) When its profits versus customers' needs, profit will always win out E) You wont find a better deal anywhere

A

Which of the following terms is used to describe the factors and forces outside marketing that affect marketing management's ability to build and maintain successful relationships with target customers? A) the marketing environment B) strategic planning C) target markets D) the marketing mix E) none of the above

A

________ is the set of actual and potential buyers of a product. A) market B) audience C) group D) segment E) exchange

A

________ is the task of developing and maintaining an overall company strategy for long-run survival and growth. A) strategic planning B) annual market planning C) short-term planning D) long-range planning E) advertising

A

A company that pursues ____ will react much more strongly to a competitor's cost reducing manufacturing breakthrough than to the same competitor's advertising increase. A)product differentiation B) low-cost leadership C) customer intimacy D) a middle-of-the-roaders strategy E) product leadership

B

A sound marketing strategy begins with _____. A) positioning B) customer analysis C) differentiation D) promotion E) SWOT analysis

B

Consumer research, product development, communication, distribution, pricing, and service are all most accurately described as core ______ activities. A) exchange B)marketing C)management D)production E)customer relationship management

B

Disney is identifying and developing new markets for its theme parks. Disney is exploring possibilities for _______. A) market penetration B) market development C) downsizing D)diversification E)product development

B

From an industry point of view, Universal Pictures film studio might see its competition as A) West End theatre B) Columbia Pictures C) Tomorrowland D) Summerfest E) HarperCollins

B

In the context of identifying competitors' strategies, the more that one firm's strategy resembles another firm's strategy, the more likely the two firms are to _____ A) merge B) compete C) globalize D) form a partnership E) become market leaders

B

Most companies will compete with ____ rather than _____ A) distant competitors; close competitors B) close competitors; distant competitors C) benchmarkers; distant competitors D) market challengers; market followers E) market challengers; market nichers

B

Mountain Home Farms is now using the product/market expansion grid to develop strategies. The owners of the company have most likely found the grid to be quite useful for identifying ______. A)target markets B) growth opportunities C) key customers D)new products E) suppliers

B

Mountain Home farms is now using the product/ market expansion grid to develop strategies. The owners of the company have most likely found the grid to be quite useful for identifying ______ A) target markets B) growth opportunities C) key customers D) new products E) suppliers

B

Nintendo, producer of the Wii video game consol, might define its competitors as other makers of physically interactive video games. But from an ______ point of view, it would include all firms making physically interactive recreational products A)industry B) market C) segment D) niche E) interdependent

B

There is no Blue Ocean potential unless you can answer the following two questions in the affirmative? A) Do we park the offering or rethink it? B) Does the offering unlock exceptional utility; is there a compelling reason for the mass of people to buy it? C) Are there adoption hurdles and potential resistance to the idea from retailers? D) Do we have barriers to entry and patent protection of our offering? E) Is this a true competitive strategy and are there true advantages in cost leadership?

B

When Burger King targets children, teens, adults, and seniors with different ads and media, it is practicing _______ segmentation A) geographic B) age and life cycle C) psychographic D) behavioral E) usage rate

B

When backed by buying power, wants become ________. A) social needs B) demands C) physical needs D) self-esteem needs E) exchanges

B

_______ are human needs as shaped by individual personality and culture. A) deprivations B) wants C) demands D) values E) exchanges

B

_______ are low-growth, high share businesses of products. They generate a lot of cash that that firm uses to pay its bills and support other SBUs that need investment. A)stars B)cash cows C)question marks D)dogs E)cats

B

A close competitor is one: A)that resides in your neighborhood, city, or zip code area B) that shares a similar UPC code C) that resembles your firm the most D) that resembles your SKU E) all of the above

C

A company that focuses on customer developments in designing its marketing strategies and delivering superior vale to its target customers is known as a A)company that has elected to compete on the basis of Focus B) Company that has elected to compete on the basis of cost leadership C) customer-centered company D) market-orientated company E)company that has marketing myopia

C

Amazon.com leverages relationships with its 35 million customers by offering them music, videos, gifts, toys, consumer electronics, and office products, among other product items. Based on previous purchase history, the company recommends related CDs, books, or videos that might be of interest. This helps Amazon.com capture a greater _______. A) value proposition B) customer ownership C) share of customer D) social network E) customer base

C

An industry often contains "good" and "bad: competitors. Good competitors ____ A) break the rules of fair competition B) ensure minimum competition between firms C) play by the rules of the industry D) typically dominate the market E) share their marketing strategies with other firms

C

Country Kitchen and Perkins are both a chain f family restaurants featuring diner-like menus with reasonably prices items. These companies are in the same _____ A) focus group B) control group C) strategic group D) target group E) experimental group

C

For Hyundai Corporation, customers who care primarily about the price of a car and its operating economy make up one _______ A) market position B) value network C) market segment D) customer extension E) value chain

C

If Under Armour, the successful makers of moisture-wicking shirts and shorts, considered introducing as line of Under Armour fitness equipment, the company would be considering ______ A) market controls B) market development C)diversification D) market penetration E) product adaptation

C

In formulating Blue Ocean Strategy, the main challenge in determining price is A) Understanding the strategic cost B) Understanding focus C) Understanding the price sensitivities of those people who will be buying the product D) Understanding the price sensitivities of those people who will be comparing the new product with a host of very different looking products offered outside the group of traditional competitors E) b and c

C

In the BCG matrix, income from _______ can be used to help finance the company's question marks and stars A) dogs B) SBUs C) cash cows D) sales revenues E) overseas operations

C

Jolene's firm believes that consumers will not buy enough of its products unless the firm undertakes a large-scale selling and promotion effort. Jolene's firm is practicing the __________. A)production concept B) marketing concept C) selling concept D) relationship concept E) social advertising campaign

C

Making more sales without changing a firm's products is _____ A) market development B) market growth C) market penetration D) product development E) market attractiveness

C

Making more sales without changing a firm's products is _______ A) market development B) market growth C) market penetration D) product development E) market attractiveness

C

Most portfolio analysis method evaluate SBUs on two dimensions, namely _____ and ______. A)market share; strength of SBU's position B)market or industry growth rate; market or industry attractiveness C)market or industry attractiveness; strength of the SBU's position D) market growth rate; profits E) market penetration; market development

C

Paul Pierce is busy working with other managers evaluating the products and businesses making up their company. Paul is engaged in __________. A) defining the company's mission statement B) preparing a business portfolio C) portfolio analysis D) marketing planning E) marketing control

C

The BCG growth-share matrix classifies four types of SBUs. They are ______, ______, ______, and______. A)product, price, promotion, placement B) sales, market share, price promotion C) stars, cash cows, question marks, dogs D) planning, organizing, leading, controlling E) market penetration, market development, product development, diversification

C

The three areas of consideration that should be balanced in the societal marketing concept are consumer wants, society's interests, and _____ A) human welfare B) want satisfaction C) company profits D) short-run wants E) long-term needs

C

To reconstruct buyer value elements in crafting a new value curve, we complete A) Michael Porter's Four Competitive Positions questions B) Tierchy and Waldrops Four decisions framework C) The Four Product/ Market Growth Framework D) The BCG Framework E) None of the above

C

What are the four steps, in order, to designing a customer-driven marketing strategy? A)market segmentation, differentiation, positioning, and targeting B)positioning, market segmentation, mass marketing, and targeting C)market segmentation, targeting, differentiation, and positioning D)market alignment, market segmentation, differentiation, and market positioning E)market recognition, market preference, market targeting, and market insistence

C

When a market segment is large or profitable enough to serve, it is termed _____ A)measurable B) accessible C) substantial D) actionable E) differentiable

C

When dealing with a _______. managers must decide whether to invest in it in an attempt to build it into a star or cash cow or whether to phase it out. A) star B) dog C) question mark D) cash cow E) cat

C

Which of the following sentences best summarizes the difference between the red and blue oceans strategies? A) Red oceans are about avoiding head-to-head competition while blue oceans are about rivals fighting over a shrinking profit tool B) Red oceans denote an environment where products are not yet well defined while blue oceans refers to the frequently accessed marketplace where the products are well-defined, competitors are known and competition is based on price, product quality and service C)In the red oceans, industry boundaries are defined and accepted and the competitive rules of the game are known. Blue oceans are occasionally created well beyond existing industry boundaries D) blue oceans are an old paradigm that represents all the industries in existence today while red oceans are those where companies beat competition by focusing on developing compelling value innovations that create uncontested market space E)None of the above BEST summarizes the difference between red and blue ocean strategies

C

Which of the following statements about Blue Ocean Strategy is/are true? A) it purses differentiation and low cost B) it maximizes opportunity while minimizing risk C) it creates uncontested market space D) it provides step-by-step process E) all of the above are true statements about Blue Ocean Strategy

C

_________ involves evaluating each market segment's attractiveness and selecting one or more segments to enter. A) Market segmentation B) Product differentiation C) Market targeting D) Market mixing E) Positioning

C

"Build a better mousetrap and the world will beat a path to your door" reflects the ______ concept. A) production B) marketing C) selling D) product E) target marketing

D

A company that offers superior value by offering a continuous stream of leading-edge products, that aim to make its own products and those of the competitors obsolete is a: A) company that focuses on customer intimacy B) company that is myopic C) company that focuses on effortless experience D) company that focuses on product leadership E)none of the above

D

A product's position is based on important attributes as perceived by _____ A)suppliers B) competitors C) market conditions D) consumers E) managers

D

According to the simple five-step model of the marketing process, a company needs to ______ before designing a customer-driven marketing strategy A) determine how to deliver superior value B) build profitable relationships with customers C) use customer relationship management to create full partnerships with key customers D) understand the marketplace and customer needs and wants E) construct key components of a marketing program

D

Afia, a team leader in charge of customer relationship management, is planning strategies for improving the profitability of her firms' least profitable but loyal customers. She is also examining methods for "firing" customers in this group who cannot be made profitable. To which of the following customer relationship groups do these customers belong? A) butterflies B) true friends C) strangers D) barnacles E) short-term customers

D

Family Dollar stores profitably focusing on buyers who have relatively modest means is an example of ______ A) convenience B) value pricing C) market segmentation D) target marketing E) value packing

D

In the BCG approach, _____ are high-share, high-growth businesses or products. They need heavy investment to finance rapid growth. When their growth slows down. When their growth slows down, they turn into _____ A) cash cows; stars B) question marks; dogs C) stars; question marks D) stars; cash cows E) dogs; cash cows

D

In the Boston Consulting Group approach _______ serves as a measure of company strength in the market a) relative market share b) SBUs c) cash cows d) market growth rate e) market segmentation

D

In the Boston Consulting Group approach, _______ provides a measure of market attractiveness. A) relative market share B) SBUs C) cash cows D) market growth rate E) market segmentation

D

Kodak's film business didn't lose out to direct competitor Fujifilm; it lost out to Sony, Canon. and other digital camera makers, along with a host of digital image developers and online image sharing services. This is an example of ______ A) a blue ocean strategy B) competitor back linking C) self-competition D) competitor myopia E) marketing myopia

D

Rather than competing head to head with established competitors, many companies seek out unoccupied positions in uncontested market spaces. They try to create products and services for which there are no direct competitors. This is called a _______ A) horizontal integration approach B) commercialization process C) guerilla marketing technique D) blue ocean strategy E) lean dynamics approach

D

Selecting which segments for a population of customers to serve is called ____ A) market segmentation B) positioning C) customization D) target marketing E)choosing a value proposition

D

Selecting which segments of a population of customers to serve is called _________ A) market segmentation B)positioning C)customization D) target marketing E) choosing a value proposition

D

Stew Leonard, owner/operator of supermarkets, reacts adversely to losing a single customer sale. He feels that this amounts to losing the entire stream of future purchases that a customer is likely to make if he or she remains in the area. This is an illustration of ________ A)share of customer B) market share C) profitability D) customer lifetime value E) market share maintenance

D

The ______ concept calls for aggressive selling and focuses on generating transactions to obtain profitable sales A) marketing B) production C) product D) selling E) societal marketing

D

The collection of businesses and products that make up a company is called its _______ A) strategic business unit B) mission statement C) strategic plan D) business portfolio E) operational factors

D

The first step in initiating competitive marketing strategies is to ____ A)balance customer and competitor orientations B) design broad competitive marketing strategies C) assess long-term organizational objectives D)conduct competitor analysis E) conduct transaction analysis

D

Using the Price Corridor of the Mass format to set prices is an excellent method of A) identifying the three types of competitors for your product or service B) identifying the number of buyers that each competitor attracts C) determining the degree of legal and resource protection your product or service has D) setting the pricing necessary to pull in an ocean of new demand E) all of the above

D

What is the least relevant question to ask when assessing a firm's main competitor? A) What are the competitor's objectives? B) What is the competitors strategy? C) What are the competitors strengths? D) What are the competitors locations? E) What are the competitors weaknesses?

D

When the makers of a ballpoint pen state they are in the communication equipment business, they are defining their mission too _____ A) narrowly B) realistically C) specifically D) broadly E) early

D

Which of the following is NOT an example of a market-orientated mission statement? A) We make the Internet buying experience fast, easy, and enjoyable B) We create customer connectivity anytime, anywhere C) We create fantasies D) We hold online auctions E) We empower customer to achieve the homes of our dreams

D

Which of the following is the most likely result of a marketing strategy that attempts to serve all customers? A) All customers will be delighted B) Customer-perceived value will be increased C) Customer evangelists will become unpaid salespersons for the service or product D) Few customers will be satisfied E)The company will likely need to follow up with a de-marketing campaign

D

______ is the set of benefits a company promises to delver to its consumers to satisfy their needs. A) a money-back guarantee B) low pricing C) good customer service D) a value proposition E) an attribute

D

______ refers to sellers being preoccupied with their own products and losing sight of underlying consumer needs. A) selling myopia B) marketing management C) value proposition D) marketing myopia E) the product concept

D

_______ is the process of comparing the company's products and processes to those of competitors or leading firms in other industries to find ways to improve quality and performance. A)segmenting B) positioning C) sales promotion D) benchmarking E) publicity

D

________ is the set of benefits a company promises to deliver to its consumers to satisfy their needs. A) a money-back guarantee B)low pricing C) good customer service D)a value proposition E) an attribute

D

An example of a company exhibiting a blue ocean strategy is _____ A) Amazons online shopping convenience B) a Starbucks opening in the same vicinity of an independent coffee house C) Nike's brand image of the "swoosh" D) Whirlpool's full line of medium-priced, energy-saving appliances E) the first digital tablet iPad released by Apple

E

At Gina's Nails, the posted policy is "Without our customers, we don't exist." Gina and her staff aim to delight each customer, and they are quick to offer discounts or extra services whenever a customer is anything less than satisfied. Instead of focusing on each individual transaction, Gina and her staff put a priority on _______ A) maintaining customer-perceived value B)managing partner relationships C) attracting "butterflies" D) converting "strangers" E) capturing customer lifetime value

E

Competition is most intense within: A) a strategic group B) a red ocean C) an industry group D) a market group E) a and b

E

From a market point of view, Universal Pictures film studio might see its competition as ______ A)Paramount Pictures B) Warner Bros. Pictures C) Walt Disney Pictures D) 20th Century Fox E) Broadway

E

Starbucks has an annual plan in place to deal with the company's current SBUs and their operations. However, as a growth-orientated firm, Starbucks is interested in both domestic and international markets. This requires Starbucks to closely monitor the environment and adapt to the opportunities with which is presented. To take advantage of its changing marketing opportunities, it is most important for Starbucks to have which of the following in place? A) value-delivering network B) mission statement C) supporting objectives D) profit analysis E) strategic plan

E

Value innovation, the cornerstone of Blue Ocean Strategy is the result of: A) the simultaneous pursuit of differentiation and low cost B) driving costs down while driving differentiation up C) reducing or eliminating some factors the industry has taken for granted, while raising or creating other factors the industry has ignored D) driving down costs while driving up value E) all of the above

E

Which of the following are examples of close competitors? A) Applesbee's and Subway B) Taco Bell and TGI Fridays C) Pizza Hut and Burger King D) McDonald's and Taco Bell E) McDonalds and Burger King

E

Which of the following are likely competitor reactions to a price cut: A)create a fighting brand B) follow the price cut with one of their own C) increase promotion D) do nothing E) all of the above

E

Which of the following is an example of a type of market offering? A)persons B) ideas C) information D)experiences E) all of the above

E

Which of the following is most likely result of a middle-of-the-road strategy that attempts to serve all customers? A) All customers will be delighted B) Michael Porter says this strategy will not succeed C) Customer evangelists will become unpaid salespersons for the service or product D) few customers will be satisfied E) b and d

E

Which of the following is/are true about Good vs. Bad Competitors A) Good competitors play by the rules and increase total demand in the market B) Bad competitors try to buy share, rather than earn it C) Bad competitors often create disruptive innovations D) Good competitos play by the rules E) All of the above

E