Marketing Exam 1

Samuel spent $500 on a new television set. How much of this price is likely to go toward marketing expenses? a. $500 b. About $450 c. About $250 d. Between $100 and $200 e. About $100

About $250

Companies often use social media influencers popular with their target market to promote their products. In this case, the influencers represent a(n) _______. a. dissociative reference group b. membership reference group c. social class d. subculture e. aspirational reference group

Aspirational reference group

Which of the following consists of three major components: cognitive, affective, and behavioral? a. Motive b. Lifestyles c. Attitude d. Learning e. Personality

Attitude

Online marketplaces where buyers and sellers can exchange information, goods, services, ideas, and payments are best described as _______. a. B2C e-commerce sites b. B2B e-commerce sites c. online auction sites d. corporate websites e. buying centers

B2B e-commerce sites

If you purchase an iPad for taking notes in school and to watch videos, you are part of which of the following? a. Organizational market b. Industrial market c. B2B market d. B2C market e. Business market

B2C market

Which of the following types of competition are geared toward market products with similar features and benefits to the same customers at similar prices? a. Brand competitors b. Generic competitors c. Product competitors d. Total budget competitors e. Monopolistic competitors

Brand Competition

When a marketing manager estimates how much of a product a potential buyer in a specific geographic area will purchase in a given period, she is employing the _______. a. breakdown approach b. buildup approach c. breakeven approach d. SWOT analysis e. competitive assessment

Buildup approach

People are sometimes more willing to buy if they have the _______. a. business cycle b. discretionary income c. wealth d. disposable income e. buying power

Buying Power

Proactive organizations often seek to influence the political forces of the environment through _______ and _______. a. bribes; lobbying b. campaign contributions; bribes c. campaign contributions; lobbying d. social media; lobbying e. campaign contributions; social media

Campaign contributions; lobbying

Which of the following is a brand competitor for Dr Pepper? a. Honest Tea b. Starbucks coffee c. Almonds d. Tap water e. Coca-Cola

Coca-Cola

The chief advantage of the _______ is that it allows the firm to specialize in satisfying the needs and characteristics of a specific customer group. a. marketing targeting strategy b. undifferentiated targeting strategy c. homogeneous targeting strategy d. differentiated targeting strategy e. concentrated targeting strategy

Concentrated targeting strategy

Behavior that violates generally accepted norms of a particular society is best described as _______. a. consumer fraud b. consumer misbehavior c. routinized response behavior d. consumer buying behavior e. cognitive dissonance

Consumer misbehavior

Copying computer software, video games, movies, or music without paying the producer for them is an example of _______. a. psychological influences b. situational influences c. routinized response behavior d. social influences e. consumer misbehavior

Consumer misbehavior

Mothers Fighting Added Sugar is sending emails to companies, posting on Facebook and Instagram, lobbying government agencies, running a petition on Change.org, and boycotting companies whose activities they deem irresponsible. This best illustrates _______. a. crusading b. consumerism c. lobbying d. boosterism e. consumer protectionism

Consumerism

Subaru developed a new luxury car model, but, after performing some market tests, it realized that it was pricing its vehicles too high, even for the luxury market. Subaru had to make some changes in its marketing mix. Unfortunately, it made the mistake of launching its product right when a recession hit. As unemployment rose, sales of luxury products such as Subaru's new luxury vehicle tend to decrease. In this case, the pricing of its vehicle is a(n) _______ force for Subaru, while the economic downturn is a(n) _______ factor. a. uncontrollable; controllable b. unpredictable; predictable c. stable; unstable d. controllable; uncontrollable e. predictable; unpredictable

Controllable; uncontrollable

Which of the following equations describes customer value? a. Customer value= customer costs - customer benefits b. Customer value= income - price c. Customer value= customer benefits - customer costs d. Customer value= customer benefits - price e. Customer value= customer benefits - opportunity costs

Customer Value= customer benefits - customer costs

Anthony works at a local electronics retailer. He has two customers in particular that he sees regularly. One customer, Mr. Johnson, comes in frequently asking about new deals. However, he rarely buys anything, and when he does buy something it is usually small. The other customer, Mr. Montoya, comes in a little less frequently. He does not purchase products all the time, but when he does the products are expensive. Anthony recognizes that Mr. Montoya is a more valuable customer over time than Mr. Johnson. He has therefore worked hard to develop a strong relationship with Mr. Montoya. What marketing method is Anthony most likely using to direct his actions? a. A sales orientation b. Customer lifetime value c. The marketing concept d. A customer loyalty program e. Customer feedback

Customer lifetime value

Which stakeholders are the focal point of all marketing activities? a. Communities b. Employees c. Suppliers d. Regulators e. Customers

Customers

When marketers use age, gender, race, ethnicity, income, education, occupation, family size, family life cycle, religion, and/or social class to segment consumer markets, they are using _______. a. behavioristic variables b. geographic variables c. psychographic variables d. customer size e. demographic variables

Demographic Variables

Commodities and raw materials are typically purchased using which method of business buying? a. Description b. Negotiation c. Reciprocity d. Inspection e. Sampling

Description

If a furniture maker targets the consumer and business markets for office desks with separate marketing mixes for each, it is using the _______. a. heterogeneous strategy b. differentiated strategy c. homogeneous strategy d. undifferentiated strategy e. concentrated strategy

Differentiated Strategy

_______ is a ready source of buying power. a. Credit b. Income c. Willingness to spend d. Discretionary income e. Disposable income

Disposable Income

During the holiday season, a Bluetooth speaker was in such high demand that it sold out quickly at a local Walmart. When Walmart tried to order more, it learned that the suppliers had so many orders to fill that it would not be able to fill Walmart's order for two weeks. What type of marketing mix variable does this problem involve? a. Product b. Distribution c. Promotion d. Pricing e. Exchange

Distribution

Whether fluctuating rapidly or slowly, environmental forces are always _______. a. predictable b. controversial c. static d. weak e. dynamic

Dynamic

Which of the following involves observation; secondary sources such as business, trade, government, and general-interest publications; and marketing research? a. Proactive approach b. Environmental analysis c. Environmental approach d. Technology scanning e. Environmental scanning

Environmental Scanning

What is the first step for marketers in implementing the marketing concept? a. Engage in personal selling or advertising to promote products that customers desire b. Modify a communication system that allows information to be disseminated throughout the organization c. Establish an information system to discover customers' real needs d. Develop a feedback system so customers can describe their thoughts about a product e. Modify existing products to meet customer needs more effectively

Establish and information system to discover customers' real needs

In which of the following stages of the consumer buying decision process does a person use evaluative criteria to assess a consideration set? a. Information search b. Evaluation of alternatives c. Postpurchase evaluation d. Purchase e. Problem recognition

Evaluation ofalternatives

The essence of marketing is to develop satisfying _______ from which both customers and marketers benefit. a. values b. exchanges c. marketing mixes d. target markets e. environmental factors

Exchanges

High-involvement, unfamiliar, and expensive products such as cars are most likely to involve _______. a. enduring involvement b. routinized response behavior c. extended decision making d. impulse buying e. limited decision making

Extended decision making

A company should do more than comply with the law. It should improve the community in which it operates.

False

Business customers are usually better informed than ultimate consumers and are more likely to seek information about a product's features and technical specifications.

False

Few shoppers make the majority of their purchases from online retailers like Amazon.com.

False

I think consumerism is bad for organizations.

False

I think marketers can do very little to influence consumer purchases during times of poor economic conditions.

False

I think marketers should not be concerned with changing demographics.

False

I think technological forces are the most important component of the marketing environment.

False

Marketers do not need to monitor the actions of major competitors to determine what specific strategies competitors are using and how those strategies affect their own.

False

Marketing does require being good in quantitative skills as pricing is one of the key components of marketing and understanding various pricing concepts and setting prices are important skills to have.

False

Marketing is not responsible for materialism.

False

Millions of workers are employed in many facets of sales, relatively few people work in public relations and marketing research. There are many opportunities for promotions and high salaries in these positions as well.

False

Social responsibility is based on the idea that businesses should do more than make profits. They should have a positive impact on society.

False

The environment for marketing is easy to control.

False

The field of marketing involves managing advertising and social media, but it also involves creating, pricing, distributing, and promoting products and services.

False

The most successful companies are those that use the market targeting strategy that works best for the markets they are most closely related in regards to characteristics of individuals, groups, or organizations. Size isn't the only variable to target, location, age, gender, and rate of product usage can all be bases for different markets to target.

False

To be ethical in marketing is to not be deceitful or misrepresent a good or service

False

Transactions that involve business customers differ from consumer transactions.

False

The process through which a person acquires the knowledge and skills to function as a consumer is best related to which of the following social influences on the buying decision process? a. Social class b. Culture c. Reference groups d. Roles e. Family influence

Family Influence

Which of the following regulatory agencies has the greatest influence over marketing activities? a. Better Business Bureau b. Consumer Product Safety Commission c. Federal Trade Commission d. National Advertising Review Board e. Food & Drug Administration

Federal Trade Commission

ACME Corp. divides its markets into segments based on the part of the U.S. in which the business customer operates. This illustrates segmentation based on _______. a. demographics b. customer size c. type of organization d. product use e. geographic location

Geographic Loation

Which of the following markets may have complex buying procedures due in part to their public accountability? a. Government markets b. Producer markets c. Institutional markets d. Reseller markets e. College markets

Government markets

Research into marketing ethics suggests that the _______ associated with an issue, the more likely it will be recognized as an ethics issue and the more important it will be in making an ethical decision. a. greater the consequences b. lesser the consequences c. greater the publicity d. greater the price e. greater the value

Greater the consequences

An ethical issue in the area of promotion is _______, which occurs when products are promoted as being more environmentally friendly than they really are. a. green marketing b. product recalls c. greenwashing d. cause-related marketing e. sustainability

Greenwashing

Which of the following is the first step in the target market selection process? a. Select specific target markets b. Identify the appropriate targeting strategy c. Develop market segment profiles d. Determine which segmentation variables to use e. Evaluate relevant market segments

Identify the appropriate targeting strategy

A price increase or decrease does not significantly alter demand for a product with _______. a. derived demand b. reciprocity c. joint demand d. elastic demand e. inelastic demand

Inelastic demand

Marketing environmental forces are often _______. a. controllable b. interdependent c. non-influential d. easy to predict e. stable

Interdependent

You are thinking about buying a tablet to help with your classes and for entertainment purposes. When you search your memory for information about products that might address these needs, you are engaging in which aspect of the consumer buying decision process? a. External information search b. Cognitive dissonance c. Consideration set d. Internal information search e. Evaluative criteria

Internal Information search

Which of the following sentences is true about a marketing exchange? a. It requires four conditions to take place. b. Products in an exchange must be traded for money. c. An exchange will always take place if four conditions are met. d. Seeing an advertisement is an example of an exchange. e. An exchange only needs to provide a benefit to one party.

It requires four conditions to take place

Which of the following is most closely related to the political forces of the marketing environment? a. Economic forces b. Technological forces c. Legal and regulatory forces d. Sociocultural forces e. Competitive forces

Legal and regulatory forces

When buyers purchase products occasionally or from unfamiliar brands within a product category, they are most likely to use _______. a. impulse buying b. enduring involvement c. limited decision making d. extended decision making e. routinized response behavior

Limited decision making

The marketing concept is based upon the idea that an organization should try to provide products that satisfy customers' needs through a coordinated set of activities that also allows the organization to achieve its goals. During which orientation (time period) are marketers most likely to adopt the marketing concept? a. Promotion orientation b. Market orientation c. Production orientation d. Sales orientation e. Exchange orientation

Market Orientation

The total amount of product that customers will purchase within a specified period at a specific level of industry-wide marketing activity is best described as _______. a. market potential b. competitive assessment c. buildup approach d. company sales potential e. breakdown approach

Market potential

ACME Corp. is adopting a strategic focus for fulfilling the economic, legal, ethical, and philanthropic social responsibilities that its stakeholders expect of it. This best describes _______. a. ethics b. marketing citizenship c. cause-related marketing d. stakeholder orientation e. social responsibility

Marketing Citizenship

Which of the following is a major benefit of marketing? a. Marketing activities are relatively low in cost. b. Marketing activities do not take up much time. c. Marketing knowledge enhances consumer awareness. d. Marketing prevents the sale of harmful products. e. Marketing is the most important function of a business.

Marketing knowledge enhances consumer awareness

Which of the following is NOT an example of illegal anticompetitive practices? a. Price fixing b. Obtaining confidential information from a competitor's employees c. False advertising d. Mislabeling products e. Stealing trade secrets

Mislabeling Products

ACME Corp. has ordered widgets from Wiley Widgets several times before, but now it would like Wiley Widgets to offer a lower per-unit price in exchange for a larger order. ACME is using which of the following types of business purchases? a. Modified rebuy purchase b. Straight rebuy purchase c. New-task purchase d. Modified-task purchase e. New-rebuy purchase

Modified rebuy purchase

An internal energizing force that directs a person's activities toward satisfying needs or achieving goals is best described as _______. a. learning b. perception c. a motive d. self-concept e. attitudes

Motive

_______ considers cases in which an advertiser challenges issues raised by the National Advertising Division (NAD) about an advertisement. a. Consumer Product Safety Commission (CPSC) b. National Advertising Review Board (NARB) c. Bureau of Consumer Financial Protection d. Better Business Bureau (BBB) e. Federal Trade Commission (FTC)

National Advertising Review Board

In the absence of ethics and compliance programs, employees will generally make decisions based primarily on their _______. a. observations of how coworkers and superiors behave b. financial situation c. observations of how society behaves d. assessment of the law e. personal values

Observations of how coworkers and superiors behave

Which of the following types of competitive structure often exists because of the difficulty and expense of entering a market? a. Monopoly b. Brand competition c. Oligopoly d. Pure competition e. Monopolistic competition

Oligopoly

Which of the following is often a better predictor of unethical activities than are personal values? a. Organizational relationships b. Individual factors c. Organizational pressure d. The CEO e. Opportunity

Opportunity

Which of the following is NOT one of the ways that business transactions differ from consumer transactions? a. Orders by business customers tend to be much larger than individual consumer sales. b. Suppliers of large, expensive, or complex goods often must sell products in large quantities to make profits. c. Purchasing decisions are often made by a committee. d. Orders by businesses are frequently small and inexpensive. e. Discussions and negotiations associated with business purchases can require considerable marketing time and selling effort.

Orders by businesses are frequently small and inexpensive.

ACME Corp. is striving to foster a set of ethical values, beliefs, goals, norms, and rituals that members of an organization share. This is best described as _______. a. social responsibility b. code of conduct c. opportunity d. organizational culture e. marketing citizenship

Organizational

To estimate the purchase potential of business customers, a marketer must find a relationship between a variable available in industrial classification data, such as number of employees, and the size of _______. a. potential customers' sales b. potential customers' products c. current customers' sales d. potential customers' purchases e. potential customers

Potential customers' purchases

Gorton's Seafood buys large amounts of fish to use in its frozen dinners and dinner components. Gorton's Seafood belongs in which of the following business markets? a. Producer market b. Institutional market c. B2C market d. Government market e. Reseller market

Producer market

Lime is using social media to ask consumers about the qualities they desire in an electric scooter. The firm hopes to develop a new type of electric scooter based on the feedback it receives. Which marketing mix variable is Lime addressing? a. Promotion b. Exchange c. Pricing d. Product e. Distribution

Product

Marketers use market segment profiles to assess the degree to which their products fit potential customers' _______. a. product needs b. type of business c. psychographic profiles d. demographics e. geographic location

Product Needs

Lumos Labs, the maker of brain-training app Lumosity, released advertisements that claimed its app was able to prevent Alzheimer's. The Federal Trade Commission fined Lumos Labs $2 million, saying that the company did not have the science to back up its ads. What type of marketing mix variable is involved in this situation? a. Distribution b. Product c. Promotion d. Pricing e. Exchange

Promotion

ACME Corp. managers view environmental forces as uncontrollable and thus adjust their marketing strategies to changes in the marketing environment. This approach is best described as _______. a. static b. offensive c. proactive d. reactive e. controversial

Reactive

During which of the following economic conditions does unemployment begin to decline, total disposable income increase, and consumers' willingness to buy begin to rise? a. Business cycle b. Recovery c. Recession d. Prosperity e. Depression

Recovery

When marketing managers look for a relationship between past sales and one or more independent variables, such as population, per capita income, or gross domestic product, they are engaging in _______. a. time-series analysis b. market tests c. regression analysis d. forecasting surveys e. executive judgment

Regression analysis

Sheryl works at Southwest Airlines as a digital marketer. A major part of her job is communicating with customers, answering questions and letting them know about how the airline offers them the best in customer value. Sheryl is working to create long-term, mutually beneficial arrangements in which both the buyer and seller focus on value enhancement through the creation of more satisfying exchanges with customers. This is an example of _______. a. relationship marketing b. customer loyalty programs c. customer lifetime value d. a sales orientation e. the marketing mix

Relationship marketing

Which of the following markets includes wholesalers or retailers? a. Reseller markets b. Government markets c. Buying centers d. Producer markets e. Institutional markets

Reseller markets

When a business buyer invites vendors to bid to supply a specified good or service in competition with each other, with the lowest bidder winning the right to sell to the buyer, this is best described as _______. a. reverse auction b. online auction c. B2B e-commerce site d. buying center e. B2B exchange

Reverse auction

Charlotte loves her mom's edible cookie dough recipe, and she assumes everyone else will too. She starts a cookie dough business. Charlotte views promotion, such as advertising and personal selling, as the most important activities needed to sell her product. She figures that consumers only have to learn about her product before becoming loyal and steadfast customers. What type of orientation does Charlotte seem to embrace? a. Sales orientation b. Exchange orientation c. Market orientation d. Production orientation e. Promotion orientation

Sales Orientation

Online marketing efforts make the buying process far more efficient because it _______ and _______. a. saves time; increases costs b. saves time; reduces costs c. takes more time; reduces costs d. saves time; is more professional e. removes emotion, reduces costs

Saves time; reduces costs

Purchasing agents at ACME Corp. are looking in company files and trade directories, contacting suppliers for information, soliciting proposals from known vendors, and examining various online and print publications. They are in which of the following stages of the buying decision process? a. Recognizing the problem b. Developing product specifications c. Selecting the product to be purchased and the supplier d. Evaluating the supplier's and product's performance by comparing it with specifications e. Searching for and evaluating potential products and suppliers

Searching for and evaluating potential products and suppliers

When you are using the internet to research a school project, and you ignore the banner ads on websites even though you see them flashing on the page, you are probably engaging in the process of _______. a. learning b. selective exposure c. selective distortion d. self-concept e. selective retention

Selective Exposure

Which of the following aspects of technology relates to the fact that technology acts as a catalyst to spur even faster development? a. Self-sustaining b. Reach c. Disruption d. Dynamics e. Internet

Self-sustaining

When retailers go to great lengths to create physical settings that appeal to their target market and are conducive to making purchase decisions, they are attempting to shape which of the following influences on consumer buying behavior? a. Situational b. Cultural c. Psychological d. Social e. Enduring

Situational

Which of the following influences on the consumer buying decision process result from time, circumstances, and location? a. Psychological b. Situational c. Social d. Cultural e. Subcultural

Situational

John's lawnmower stopped working midway through mowing his front yard. His interest in researching replacement lawnmower brands is most likely to be _______. a. low involvement b. situational involvement c. enduring involvement d. routinized response behavior e. extended decision making

Situational involvement

Which of the following is an open aggregate of people with similar social rank? a. Subculture b. Reference group c. Opinion leader d. Culture e. Social class

Social Class

Customers choose to go to Buffalo Wild Wings based upon the value they place on the total product—including the food, service, atmosphere of the restaurant, and more. The process consumers use to determine value is highly _______. a. subjective b. narrow c. scientific d. detailed e. objective

Subjective

Which of the following is the potential for the long-term well-being of the natural environment, including all biological, as well as the interaction among nature and individuals, organizations, and business strategies? a. Consumerism b. Sustainability c. Marketing citizenship d. Cause-related marketing e. Ethics

Sustainability

Kroger decided to introduce a new product that appeals to Hispanic consumers. While the product is highly successful among Hispanic consumers, other ethnic groups seem to like the product as well. For this product, Hispanic consumers comprise Kroger's _______. a. marketing mix b. marketing environment c. exchange d. community e. target market

Target Market

At ACME Corp., managers are trying to foresee the effects of new products and processes on their firm's operations, on other business organizations, and on society in general. This is best described as _______. a. technology scanning b. technology assessment c. environmental scanning d. environmental analysis e. SWOT analysis

Technology Assesment

The growing demand for health-care services, recreation, tourism, retirement housing, and selected skin-care products most closely relates to _______. a. consumerism b. cultural values c. the demographic characteristic of gender d. the demographic characteristic of age e. the demographic characteristic of marital status

The Demographic characteristic of age

Which of the following is the major source of cultural values? a. Laws and regulations b. Social class c. Religion d. The workplace e. The family

The Family

Teenagers are not part of the market for alcohol because they do not have _______. a. the ability to buy alcohol b. the authority to buy alcohol c. the ability to resell them d. the desire to buy alcohol e. the willingness to buy alcohol

The authority to buy alcohol

The group of people within an organization who make business buying decisions are best described as _______. a. gatekeepers b. influencers c. the buying center d. the purchasing unit e. vendors

The buying center

When an ethical issue arises in the supply chain, which of the following is most likely to be held accountable for misconduct? a. The channel member wholesaling the product b. The channel member making the product c. The channel member selling the product d. The channel member shipping the product e. The channel member managing the product

The channel member managing the product

Marketing managers at ACME Corp. have had experts create initial forecasts, averaged their results, and then returned the averages to the experts to refine their individual forecasts. This best describes _______. a. regression analysis b. executive judgment c. the Delphi technique d. the sales force forecasting survey e. the expert forecasting survey

The delphi technique

Which of the following promises consumers fair treatment when they complain to marketers about products? a. The right to be heard b. The right to lower prices c. The right to choose d. The right to safety e. The right to be informed

The right to be heard

Which of the following do codes of ethics NOT do? a. They specify formalized rules and standards that describe what the company expects of its employees. b. They let employees know both what is expected of them and what kind of punishment they face if they violate the rules. c. They promote ethical behavior by reducing opportunities for unethical behavior. d. They take every situation into account. e. They help marketers deal with ethical issues or dilemmas that develop in daily operations by prescribing or limiting specific activities.

They take every situation into account

Which of the following sales forecast methods uses historical sales data to discover a pattern in sales over time? a. Regression analysis b. Surveys c. Executive judgment d. Market tests e. Time series analysis

Time series analysis

A B2B e-commerce site is an online marketplace where buyers and sellers from around the world can exchange information, goods, services, ideas, and payments.

True

A company's marketing efforts focus on satisfying customers.

True

A heterogeneous market is made up of individuals or organizations with diverse needs for products in a specific product class.

True

A homogeneous market is one in which a large proportion of customers have similar needs for a product.

True

A marketing ethical issue exists whenever customers feel cheated or manipulated.

True

A primary objective of most marketers is to develop and maintain long-term customer relationships, this builds customer lifetime value as happy customers make repeat purchases.

True

Advertisements for perfume suggest that this product will lead to love and social acceptance.

True

Although business customers do not depend solely on price when making purchases, price is important because it directly influences a firm's profitability.

True

Because of misleading ads, customers are wary of any promises made by companies.

True

Because services influence costs, sales, and profits, factors such as market information, on-time delivery, and availability of parts are important to a business buyer.

True

Behavioristic variables include end use and volume use, which affect size and packaging. Travelers need 2-ounce bottles of shampoo to carry on airplanes.

True

Benefit segmentation divides a market according to benefits that consumers want such as low prices.

True

Big companies take advantage of their size and squeeze little companies out of business. This is wrong.

True

Business buyers can obtain information from online catalogs, blogs, videos, webinars, white papers, and peer reviews to help them find the best products and suppliers.

True

Business customers are particularly concerned about quality, service, price, and supplier relationships.

True

Business transactions tend to be larger and negotiations occur less frequently than in consumer transactions.

True

Buying Starbucks coffee because the company supports literacy projects is motivated by the desire to be a caring individual.

True

Buying a Porsche or a BMW brings recognition and respect from others.

True

Cause-related marketing links products to a social cause, such as pink products linked to breast-cancer awareness and treatment.

True

Colgate brand toothpaste appeals to safety needs because it fights tooth decay, resulting in better health.

True

Companies can design a marketing mix that matches the needs of those individuals or groups within a specific market segment.

True

Companies face ethical issues relating to product, price, distribution, and promotion.

True

Companies should address the needs of all stakeholders, including communities and special-interest groups.

True

Companies should be proactive in caring for the environment because it is the right thing to do.

True

Computer owners buy anti-virus software as a safety measure to prevent computer viruses and loss of important data.

True

Demographic characteristics that marketers use include age, gender, income, ethnicity, family size, education, and occupation.

True

Geographic variables--climate, terrain, city size, and urban/rural areas--- influence consumer product needs.

True

Good marketing citizenship means adopting a strategic perspective that considers the diverse perspectives of stakeholders.

True

Grocery stores put candy and gum at the check-out counter because hungry shoppers will buy them.

True

I think economic forces affect marketers and consumers.

True

I think it is appropriate for companies to influence legislation through lobbying.

True

I think it is important for marketers to understand cultural values in the countries in which they conduct business.

True

I think marketers should analyze the marketing environment on an ongoing basis.

True

I think that there are legal and regulatory restrictions that affect marketing.

True

I think the forces that affect the marketing environment are interdependent.

True

If a market segment is too small, it may not be profitable.

True

Industrial demand derives from demand for consumer products. Businesses produce the products that consumers need and want.

True

Internet tracking and privacy issues are so prevalent that lawmakers are considering limiting the types of information marketers can gather online.

True

It is unethical to divulge personal information about customers.

True

Joining a fitness center is a motivator for those who want to get in shape and improve their health.

True

Lifestyle segmentation, a psychographic variable, groups people according to how they spend their time.

True

Market segmentation is the process of dividing a total market into groups with similar market needs.

True

Marketing is important in corporate strategies, as well as at other functional areas including production, finance, research and development, and human resources to achieve the organization's goals.

True

Marketing is important to consumers as it creates value, which is a customer's subjective assessment of benefits relative to the cost of the product. Consumers develop a sense of value through their perceptions of a product's quality and cost.

True

Marketing is important to future careers as it impacts many fields of business and elsewhere and is visible almost everywhere in everyday life.

True

Marketing is just as important to a firm's success as are other business functions such as accounting, finance, management, and information technology.

True

Marketing is the primary business function that directly generates revenue.

True

One of the behavioristic variables is brand loyalty.

True

Online auctions are popular for liquidating unsold, returned, and used merchandise.

True

Online exchanges are beneficial for small businesses because they can expand their customer base while reducing the costs of marketing to and buying from other companies.

True

Organizational buyers can purchase directly from a company's website, from an online retailer, from a B2B e-commerce site, or through an online auction.

True

Psychographic variables such as motives are used to segment markets. Luxury brands appeal to those motivated by personal appearance and status.

True

Quality directly affects the products the buyer's firm produces. To achieve an exact level of quality, organizations often buy products on the basis of a set of specifications.

True

Segmentation variables are the characteristics of individuals, groups, and organizations used to divide a market into segments.

True

Segmentation variables should be used to select the most attractive segments and give a company a competitive advantage.

True

Shirts emblazoned with a company logo appeal to a customer's need to belong.

True

Shopping online allows consumers to read the reviews and hear about the experiences of others on Facebook or Instagram.

True

Sometimes marketers combine several variables when segmenting a market such as age and gender.

True

Students that major in marketing will have good career opportunities, almost one-third of the civilian workforce in the United States is employed in marketing-related jobs.

True

Taking an online continuing education class on opera or Roman history helps an individual grow and develop.

True

The internet has become a major facilitator of business transactions with business buyers beginning the buying process by searching online for information to solve a problem or address a need.

True

The internet has transformed B2B buying, making the buying process more efficient by saving time and reducing costs.

True

When the weather turns cold, shoppers are motivated to buy new winter coats.

True

If segmentation analysis shows that customer needs are essentially homogenous, what action may be most appropriate? a. Segregated approach b. Differentiated approach c. Demographic approach d. Concentrated approach e. Undifferentiated approach

Undifferentiated approach

You are advising a local nonprofit on strategy. The nonprofit supports cancer research and relies entirely on donations. You recommend that the nonprofit engage in marketing activities. The executive director tells you that because it is a nonprofit that does not engage in selling activities and has a small budget, the nonprofit has no use for marketing. You disagree and explain that marketing is not just for for-profit organizations. You explain the different ways the nonprofit can engage in marketing without changing its practices or the mission. Which of the following marketing activities would be most feasible for this nonprofit? a. Send out coupons for the organization's products in the local bulletin b. Get volunteers to sell T-shirts and other items at the nonprofit's major events c. Engage in extensive marketing research to determine what its contributors want d. Use inexpensive digital marketing tools to inform the community about an upcoming fundraising event e. Purchase an advertisement in a state newspaper that is popular in the local community about the nonprofit

Use inexpensive digital marketing tools to inform the community about an upcoming fundraising event

Examining quality, design, materials, and possibly item reduction or deletion to acquire the product in the most cost-effective way is best described as _______. a. multiple sourcing b. sole sourcing c. vendor analysis d. specification analysis e. value analysis

Value analysis

If other organizational members approve of the activity and it is legal and customary within the industry, chances are that the activity is _______ from both an ethical and a social responsibility perspective. a. inappropriate b. unacceptable c. acceptable d. moral e. improper

acceptable

Ethics relates to individual and group decisions whereas social responsibility _______. a. links products to a particular social cause on an ongoing or short-term basis b. considers the diverse perspectives of stakeholders in their daily operations and strategic planning c. is the synergistic use of organizational core competencies and resources to address key stakeholders' interests and achieve both organizational and social benefits d. deals with the total effect of marketing decisions on the environment e. deals with the total effect of marketing decisions on society

deals with the total effect of marketing decisions on

During the final stage of the consumer buying decision process, a person might experience cognitive dissonance, which is _______. a. doubts in the buyer's mind about whether purchasing the product was the right decision b. additional information sought from outside sources c. a group of brands that a buyer views as possible alternatives d. objective characteristics (such as the size, speed, capacity) and subjective characteristics (such as style and color) that are important to him or her e. when a buyer becomes aware of a difference between a desired state and an actual condition

doubts in the buyer's mind about . whether purchasing the product was the right decision

According to your text, a well-implemented _______ and a strong _______ result in the greatest decrease in ethical risks for an organization. a. regulatory system; corporate culture b. ethics program; opportunity c. corporate culture; opportunity d. ethics program; corporate culture e. ethics program; regulatory system

ethics program; corporate culture

Geodemographic segmentation allows marketers to engage in micromarketing, which _______. a. refers to the number of potential customers within a unit of land area, such as a square mile b. aggregate population characteristics such as the distribution of age and gender, fertility rates, migration patterns, and mortality rates c. groups individuals according to how they spend their time, the importance of things in their surroundings (homes or jobs, for example), beliefs about themselves and broad issues, and some demographic characteristics, such as income and education d. involves focusing precise marketing efforts on very small geographic markets, such as community and even individual neighborhoods e. divides a market according to benefits that consumers want from the product

involves focusing precise marketing efforts on very small geographic markets, such as community and even individual neighborhoods

Ethical choices in marketing are most often made _______. a. at home b. individually c. at church d. in a vacuum e. jointly

jointly

The North American Industry Classification System (NAICS) is a(n) _______. a. commercial database b. single industry classification system used by the United States, Canada, and Mexico to generate comparable statistics c. single industry classification system used in Europe to generate comparable statistics d. state directory of businesses e. single industry classification system used globally to generate comparable statistics

single industry classification system used by the United States, Canada, and Mexico to generate comparable statistics

A large proportion of customers in the total market must be homogeneous in order to effectively use a(n) _______. a. undifferentiated strategy b. differentiated targeted strategy c. concentrated strategy d. corporate strategy e. segmented strategy

undifferentiated strategy