Marketing Midterm Practice Questions
Cupcakes by Cindy is attempting to gather information about its customers in order to improve its customer service. Which of the following is the BEST place for this company to start to develop an efficient MIS? A. Assess the information needs of the company. B. Distribute necessary information to the marketing team. C. Determine how to use the information gathered by market research. D. Conduct surveys or focus groups to gather information. E. Analyze the information gathered in market research.
A. Assess the information needs of the company.
What are the five stages of the consumer adoption process in the correct sequence? A. Awareness, interest, evaluation, trial, and adoption B. Awareness, evaluation, interest, trial, and adoption C. Awareness, interest, trial, evaluation, and adoption D. Awareness, trial, evaluation, interest, and adoption E. Awareness, trial, interest, evaluation, and adoption
A. Awareness, interest, evaluation, trial, and adoption
Which kind of company would most benefit from conducting marketing research? A. Both large multinationals like Disney and IBM and small locals truly need market research. B. Neither large multinationals like Disney and IBM nor small locals truly need market research. C. Only medium-sized companies that are about half the size of Disney and IBM need market research. D. Only small locals like Beatrice's Bistro need market research. E. Only large multinationals like Disney and IBM need market research.
A. Both large multinationals like Disney and IBM and small locals truly need market research.
Which of the following BEST describes a duty that would fall under the jurisdiction of the FDA? A. Checking the quality of food that is served in school lunches B. Ensuring that pollution standards are met by a company C. Evaluating whether an advertisement to be aired in public is fitting D. Protecting the legal status of a company E. Investigating customer complaints about a business
A. Checking the quality of food that is served in school lunches
What are the four steps of the marketing research process in their correct sequence? A. Define the problem and research objectives, develop the research plan, implement the research plan, interpret and report the findings B. Collect the data, analyze the data, develop the research plan, interpret and report the findings C. Develop the research plan, set the research budget, collect the data, interpret and report the findings D. Set the research budget, collect the data, analyze the data, determine how to use the findings E. Develop the research plan, define the problem and research objectives, implement the research plan, interpret and report the findings
A. Define the problem and research objectives, develop the research plan, implement the research plan, interpret and report the findings
What are the four major variables used to segment consumer markets? A. Geographic, demographic, psychographic, and behavioral B. Ethnicity, region, gender, and income C. Income, age, geography, and lifestyle D. Income, gender, age, and ethnicity E. Geographic, demographic, psychographic, and psychological
A. Geographic, demographic, psychographic, and behavioral
This adopter group is skeptical and only adopts new products after a majority of people has tried it. A. Late mainstream. B. Early mainstream. C. Lagging adopters. D. Early adopters. E. Innovators.
A. Late mainstream.
What are the four choices a company has for developing brands? A. Line extensions, brand extensions, multibrands, and new brands B. Line extensions, line supplements, new lines, and new brands C. Single brands, multibrands, line extensions, and licensing D. Line extensions, licensing, brand extensions, and new brands E. Line extensions, brand extensions, new brands, and brand phase out
A. Line extensions, brand extensions, multibrands, and new brands
What do marketers use to analyze big data? A. Marketing analytics B. Marketing metrics C. Customer relationship management D. Marketing research E. Marketing software
A. Marketing analytics
_______ consists of the analysis tools, technologies, and processes by which marketers dig out meaningful patterns in big data to gain customer insights and gauge marketing performance. A. Marketing analytics B. CRM C. Touch points D. Marketing information E. Big data
A. Marketing analytics
What is the first step of the buyer decision process? A. Need recognition B. Information search C. Postpurchase behavior D. Alternative evaluation E. Purchase decision
A. Need recognition
______ consists of arranging for a market offering to occupy a clear, distinctive, and desirable place relative to competing products in the minds of target consumers. A. Positioning B. Mass marketing C. Differentiation D. Market targeting E. Market segmentation
A. Positioning
What is the ultimate aim of customer relationship management? A. Produce high customer equity. B. Increase share of customer. C. Maintain high customer loyalty. D. Produce high customer profitability. E. Establish brand equity.
A. Produce high customer equity.
Which of the following represent market offerings? A. Products, services, information, and experiences B. Products, services, needs, and wants C. Products, services, needs, and exchanges D. Value, satisfaction, sales, and profits E. Needs, wants, products, and advertisements
A. Products, services, information, and experiences
Which of the following correctly identifies the five important decisions marketers must make when developing individual products and services? A. Product attributes, branding, packaging, labeling, and product support services B. Product attributes, branding, quality level, pricing, and distribution C. Branding, pricing, advertising, distribution, and product support services D. Product attributes, pricing, advertising, distribution, and promotion E. Quality level, pricing, advertising, distribution, and promotion
A. Product attributes, branding, packaging, labeling, and product support services
The Children's Online Privacy Protection Act in the United States enforces laws for what reason? A. Prohibits online service operators from collecting personal information from children B. Makes deceptive, misleading, and unfair practices illegal regardless of injury to competition C. Establishes procedures to avoid unwanted telephone solicitations D. Bans the sale of hazardous toys and articles E. Regulates the distribution of unsolicited commercial e-mail
A. Prohibits online service operators from collecting personal information from children
Which of the following is an important trend in the natural environment of which marketers should be aware? A. Shortages of raw materials B. Decreased pollution C. Decreasing costs of nonrenewable resources D. Decreased government intervention E. A decrease in consumer concern towards the environment
A. Shortages of raw materials
Which of the following statements regarding the changing marketing landscape is correct? A. The Great Recession caused consumers to rethink their buying priorities. B. Today's post-recession era consumers buy more, use fewer coupons, use their credit cards more, and save less. C. Digital technology has had little impact on the way we live. D. Companies can safely ignore the environmental movement. E. Global competition affects only large companies.
A. The Great Recession caused consumers to rethink their buying priorities.
Which of the following is NOT a problem involving the natural environment that marketers need to consider? A. The aging U.S. population B. Government regulations C. Greenhouse gases D. Raw material shortages E. Pollution
A. The aging U.S. population
How does the microenvironment of a company differ from its macroenvironment? A. The microenvironment deals with the company, suppliers, marketing intermediaries, customer markets, competitors, and publics. B. The microenvironment affects a larger portion of the company than the macroenvironment. C. The microenvironment uses more financial resources than the macroenvironment. D. The microenvironment deals with the big problem, whereas the macroenvironment deals with trivial problems. E. The microenvironment is company-based, whereas the macroenvironment is customer-based.
A. The microenvironment deals with the company, suppliers, marketing intermediaries, customer markets, competitors, and publics.
What determines if a buyer is satisfied or dissatisfied with a purchase? A. The relationship between the consumer's expectations and the product's perceived performance B. How others feel about the purchase C. The number of alternatives considered in the purchase decision D. The amount of information gathered in the decision process E. Whether or not the buyer experiences cognitive dissonance
A. The relationship between the consumer's expectations and the product's perceived performance
According to the model of buyer behavior, what is in a buyer's black box? A. The buyer's characteristics and the buyer's decision process B. Attitudes and preferences C. Cultural forces D. Purchase behavior E. The four Ps
A. The buyer's characteristics and the buyer's decision process
Which of the following is a pure tangible good? A. Toothpaste B. A medical checkup C. A spa treatment D. A meal at a restaurant E. Financial advice
A. Toothpaste
You and seven other people relay your feelings and thoughts about a potential new product to a trained moderator. In exchange, you receive a small payment. You are participating in a(n) ________. A. focus group interview B. ethnographic study C. immersion group D. individual interview E. experiment
A. focus group interview
To develop needed information, marketing information systems utilize _________. A. internal databases, marketing intelligence, and marketing research B. marketing intelligence, marketing research, and the marketing environment C. internal databases, big data, and market research D. internal databases, marketing research, and marketing managers E. marketing managers, information users, and internal databases
A. internal databases, marketing intelligence, and marketing research
According to the text, two major public policy and ethical issues in marketing research are ________. A. intrusions on consumer privacy and the misuse of research findings B. intrusions on consumer privacy and inaccurate data analysis C. deceptive advertising and illegal pricing D. misuse of research findings and improper sampling procedures E. paying research respondents and intrusions on consumer privacy
A. intrusions on consumer privacy and the misuse of research findings
Evaluating each market segment's attractiveness and selecting one or more market segments to enter is called _____. A. market targeting B. positioning C. mass marketing D. differentiation E. market segmentation
A. market targeting
If a company adds a new product line to its existing portfolio, it has increased its _________. A. product mix width B. product line length C. product mix consistency D. product mix depth E. product support services
A. product mix width
Dividing buyers into groups based on social class, lifestyle, or personality characteristics is called ________ segmentation. A. psychographic B. geographic C. behavioral D. age and life cycle E. user status
A. psychographic
Services are characterized by four key aspects: ______________________. A. services are intangible, inseparable, variable, and perishable. B. services are intangible, perishable, consistent, and inseparable. C. services are inexpensive, easy to find, intangible, and variable. D. services are intangible, inexpensive, easy to find, and automated. E. services are intangible, variable, perishable, and inexpensive.
A. services are intangible, inseparable, variable, and perishable.
Digital marketing tools used in digital and social media marketing include ________. A. social media, mobile apps, and blogs. B. social media, mobile apps, and television advertising C. e-mail, telemarketing, and blogs D. mobile apps, online video, and personal selling E. social media, online video, and newspaper coupons
A. social media, mobile apps, and blogs
The group of economic factors that affect consumers' purchasing power and spending patterns is called ________. A. the economic environment B. income distribution C. macroenvironment D. demographic information E. the value market
A. the economic environment
The first step of the marketing process is to ___________________. A. understand the marketplace, which includes customer needs and wants. B. design a customer-driven marketing strategy C. build profitable relationships D. construct an integrated marketing program that delivers superior value E. capture value from customers to create profits and customer equity
A. understand the marketplace, which includes customer needs and wants.
In which step of the buying decision process is the final order with the chosen supplier developed? A. Order-routine specification B. Product specification C. Supplier selection D. General need description E. Proposal solicitation
A. Order-routine specification
______________ is the first stage in the new product adoption process. A. Interest B. Awareness C. Adoption D. Evaluation E. Trial
B. Awareness
The ultimate goal of the marketing process is to do which of the following? A. Create a quality product. B. Capture value from customers. C. Evaluate customer needs. D. Determine a target market. E. Develop relationships with customers.
B. Capture value from customers.
People's views of themselves, others, organizations, and nature are part of which macroenvironmental force? A. Natural forces B. Cultural forces C. Technological forces D. Political forces E. Demographic forces
B. Cultural forces
Sky owns a small hot air balloon company in Albuquerque, New Mexico. He recently started a Facebook page for his company and many of his customers are asking for store-sponsored hot air balloon trips. They believe Sky's expertise would make him the perfect guide. Sky decides to host quarterly hot air balloon trips and experiences a huge increase in sales and customer satisfaction. Which of the following is the BEST conclusion that can be drawn from Sky's situation? A. Customer insights are not dependable. B. Customer insights can provide valuable information to a small businesses. C. Most small businesses have no way of easily accessing customer insights. D. Customer insights are emotional and often irrelevant to a small business. E. Customer insights can be gained only through costly market research
B. Customer insights can provide valuable information to a small businesses.
Byron Tied 2 Bowties groups its customers by regions in the United States, such as Midwest, Northeast, and Southwest. For each region, Byron Tied 2 Bowties creates a different set of advertisements and promotions. On which of the following segmentation variables does the firm divide its market? A. Behavior B. Geography C. Benefits sought D. Personality E. Demographics
B. Geography
Which of the following correctly defines the consumer market? A. Any business that sells goods and services to other businesses B. Individuals and households that buy goods and services for personal consumption C. Retailers who sell goods and services to consumers D. Manufacturers, retailers, and consumers E. Individuals who spend more than $1,000 a year on purchases
B. Individuals and households that buy goods and services for personal consumption
What are the three general sources from which marketers can obtain information? A. Internal data, big data, and global data B. Internal data, marketing intelligence, and marketing research C. Competitors, the Internet, and the media D. Marketing research, surveys, and scanners E. Sales records, the Internet, and internal databases
B. Internal data, marketing intelligence, and marketing research
Overall, how has the American population changed over time? A. It has become more likely to develop brand loyalty. B. It has become more diverse, better educated, and more mobile. C. It has become closer knit and more family-oriented. D. It has become more skeptical about marketing schemes. E. It has become wealthier, more cultured, and more frivolous in its spending habits.
B. It has become more diverse, better educated, and more mobile.
When Doritos comes out with new flavors of its tortilla chips, what brand development strategy does it employ? A. Multibrand B. Line extension C. Brand extension D. Store brand. E. New brand
B. Line extension
Which of the following would make a segment less attractive to enter? A. Buyers with weak bargaining power B. New entrants finding it easy to enter the segment C. Suppliers with weak bargaining power D. A lack of aggressive competitors E. Very few substitute products
B. New entrants finding it easy to enter the segment
Which of the following are additional variables marketers use to segment business markets but not consumer markets? A. Operating characteristics, purchasing approaches, situational factors, and region B. Operating characteristics, purchasing approaches, situational factors, and personal characteristics C. Operating characteristics, purchasing approaches, situational factors, and loyalty status D. Operating characteristics, purchasing approaches, situational factors, and benefits sought E. Operating characteristics, purchasing approaches, situational factors, and usage rate
B. Operating characteristics, purchasing approaches, situational factors, and personal characteristics
Consumers can obtain information from any of several sources. Which source is the most effective in that they legitimize the product? A. Media sources B. Personal sources C. Commercial sources D. Public sources E. The Internet
B. Personal sources
Which of the following would be good advice for someone that is conducting marketing research in a foreign country? A. You can easily find good secondary data in most foreign markets. B. Reaching respondents in other parts of the world is more difficult than it is in the U.S. C. Language translation will be easy. D. Consumers in foreign markets generally enjoy participating in marketing research. E. Globalization has slowed down, so international research is no longer necessary.
B. Reaching respondents in other parts of the world is more difficult than it is in the U.S.
Which of the following is a social factor that influences consumer buying behavior? A. Economic situation B. Roles and status C. Occupation D. Life-cycle stage E. Personality
B. Roles and status
Your local pizzeria promises "Delivery in 30 minutes or less or the pizza is free." What point of differentiation is this? A. Product differentiation B. Services differentiation C. Channel differentiation D. People differentiation E. Image differentiation
B. Services differentiation
Which of the following correctly lists the actors in a company's microenvironment? A. The company, suppliers, marketing intermediaries, technological forces, competitors, and cultural forces B. The company, suppliers, marketing intermediaries, customer markets, competitors, and publics C. Demographic forces, economic forces, technological forces, cultural forces, political forces, and customers D. The company, customers, suppliers, demographic forces, cultural forces, and competitors E. The company, customers, suppliers, demographic forces, cultural forces, and publics
B. The company, suppliers, marketing intermediaries, customer markets, competitors, and publics
What is MOST likely to cause a variation in customer-perceived value? A. The popularity of a product to the customer B. The customer's opinion of what constitutes value C. The customer's satisfaction with a product D. The cost to produce a product E. The cost of advertising to the target market
B. The customer's opinion of what constitutes value
Why is it important for a company to collect both primary and secondary data when conducting marketing research? A. To avoid complaints that the study is not reliable B. To have a "full picture" of the subject of its study C. To keep costs down D. To ensure the data is usable E. To guarantee the product being researched will be successful
B. To have a "full picture" of the subject of its study
The quality of services depends on who provides them as well as when, where, and how they are provided. Which characteristic of services does this describe? A. Inseparability B. Variability C. Tangibility D. Intangibility E. Perishability
B. Variability
To design a winning marketing strategy, what are the two important questions a marketing manager must answer? A. What customers will we serve? How can we maximize profits? B. What customers will we serve? How can we serve these customers best? C. How can we serve our customers best? How can we maximize profits? D. Who are our competitors? How can we beat our competitors? E. What markets should we enter? How do we maximize sales in those markets?
B. What customers will we serve? How can we serve these customers best?
What advice would you give a firm about how to respond to the changing marketing environment? A. Watch environmental changes but react only when absolutely necessary. B. Whenever possible, take a proactive approach to the environment. C. Accept the fact that things change and not much can be done about it. D. If the current strategy is working, there is no need to respond to environmental changes. E. Do not do anything until competitors respond.
B. Whenever possible, take a proactive approach to the environment.
Many companies build extensive electronic collections of consumer and market information obtained from data sources within the company's network. This is known as ___________. A. marketing intelligence B. an internal database C. an intranet D. marketing research E. online marketing research
B. an internal database
In addition to income levels, marketers need to pay attention to ______, which has created a tiered market. A. interest rates B. income distribution levels C. foreign exchange rates D. savings patterns E. consumer debt
B. income distribution levels
Materials and parts, capital items, and supplies and services are groups of _____ products. A. convenience B. industrial C. unsought D. shopping E. specialty
B. industrial
Service marketing requires ________. This means that the service firm must orient and motivate its customer-contact employees and supporting service people to work as a team to provide customer satisfaction. A. interactive marketing B. internal marketing C. the service firm to focus only on the customer D. external marketing E. image differentiation
B. internal marketing
Grocers in neighborhoods with a large Hispanic population typically carry more brands that Hispanic consumers prefer than grocers in other neighborhoods. This is an example of ________. A. concentrated marketing B. local marketing C. individual marketing D. undifferentiated marketing E. differentiated marketing
B. local marketing
The four major brand strategy decisions involve brand ________. A. equity, identity, name selection, and logo selection B. positioning, name selection, sponsorship, and development C. equity, name selection, sponsorship, and development D. name selection, logo selection, sponsorship, and identity E. equity, value, name selection, and positioning
B. positioning, name selection, sponsorship, and development
The buyer decision process starts with __________. A. satisfaction with past purchases B. recognizing a need C. making a purchase D. evaluating purchase alternatives E. getting information about a purchase
B. recognizing a need
A purse company's ads feature the members of a popular housewives reality show. Product sales increase significantly among the fans. From the fans' viewpoint, the housewives reality show is a(n) _____. A. lagging adopter B. reference group C. family group D. late-majority adopter E. membership group
B. reference group
Competitive marketing intelligence is primarily responsible for _____________. A. using primary data over secondary B. the systematic collection and analysis of publicly available information C. defining the problem D. developing the research plan E. implementing the research plan
B. the systematic collection and analysis of publicly available information
A _______ defines how a company will create differentiated value for targeted segments and what positions it wants to occupy in those segments. A. value statement B. value proposition C. positioning map D. unique proposition E. mission statement
B. value proposition
What are the two keys to building lasting customer relationships? A.Satisfaction and sales promotions B. Value and satisfaction C. Customer service and quality products D. Innovative products and low prices E. Value and customer service
B.Value and satisfaction
Which of the following correctly defines a product? A. A product is not a part of the overall market offering. B. Products are only tangible objects offered to a market to satisfy a want or need. C. A product is anything offered to a market that might satisfy a need or want. D. Products include tangible objects and services but not events or people. E. Products have two levels dash- the actual product and the augmented product.
C. A product is anything offered to a market that might satisfy a need or want.
Which of the following is the correct definition of a product? A. A product is a tangible good or a service that can be offered to a market for attention, acquisition, use, or consumption that does not satisfy a want or need. B. A product is a tangible good or a service that can be offered to a market for consumption that might satisfy a want or need. C. A product is anything that can be offered to a market for attention, acquisition, use, or consumption that might satisfy a want or need. D. A product is anything that can be offered to a market for consumption that does not satisfy a want or need. E. A product is a tangible good that can be offered to a market for attention, acquisition, use, or consumption that might satisfy a want or need.
C. A product is anything that can be offered to a market for attention, acquisition, use, or consumption that might satisfy a want or need.
Which of the following describes the current trend in businesses regarding relationships with customers? A. Avoid developing relationships with customers at all. B. Find a few customers and develop strong relationships with them. C. Build the right relationships with the right customers. D. Gather as many customers as possible on a surface level. E. Maintain strong relationships with as many customers as possible.
C. Build the right relationships with the right customers.
To exercise their social responsibility, many companies are linking themselves to what type of marketing? A. Generational B. Environmental C. Cause-related D. Intermediaries E. Technological
C. Cause-related
A company is conducting market research to determine the best areas to sell its product. It has already determined its research questions. What is the next step of this company's research plan? A. Analyze potential data sources. B. Define the problem. C. Collect the data. D. Share the data with other companies in similar situations. E. Determine the best method to conduct research.
C. Collect the data.
Which type of consumer products are frequently purchased with little planning, little comparison or shopping effort, and low customer involvement? A. Shopping products B. Specialty products C. Convenience products D. Industrial products E. Capital products
C. Convenience products
Which of the following is included in a broad definition of marketing? A. Selling, advertising, and promoting B. Advertising, selling, and developing quality products C. Creating customer value, building customer relationships, and engaging customers D. Creating customer value, building customer relationships, and having a strong selling orientation E. Satisfying customers, beating competitors, and maximizing profits
C. Creating customer value, building customer relationships, and engaging customers
A wedding services company changes its marketing strategy to reflect the fact that more LGBT (lesbian/gay/bisexual/transgender) marriages are taking place. The company is offering a broader range of ceremonies that cater to this market. Which of the following environments must this wedding company analyze? A. Political B. Technological C. Cultural D. Economic E. Natural
C. Cultural
What is big data? A. Data that is obtained from competitors B. Data that proves to be useful to marketers C. Data contained in huge and complex data sets D. Data collected by very large companies E. Data that is collected globally
C. Data contained in huge and complex data sets
What is the nature of demand in business markets? A. Business market demand is independent of consumer market demand. B. Demand in business markets fluctuates less than in consumer markets. C. Demand in business markets is derived demand. D. Demand in business markets does not fluctuate. E. Demand in business markets is elastic.
C. Demand in business markets is derived demand.
Which of the five characteristics identified in the text has an inverse relationship with an innovation's rate of adoption? As this characteristic increases, the rate of adoption is slower. A. Relative advantage B. Communicability C. Divisibility D. Complexity E. Compatibility
C. Divisibility
The demographic, economic, natural, technological, political, and cultural forces that affect a company's ability to serve its customers make up which of the following? A. Technological environment B. Cultural environment C. Macroenvironment D. Microenvironment E. Marketing environment
C. Macroenvironment
Which of the following statements regarding the business market is correct? A. Demand in the business market is more elastic than demand in the consumer market. B. The business market is not as large as the consumer market in terms of dollars spent and items purchased. C. Many sets of business purchases are made for one set of consumer purchases. D. Business buying decisions are less complex than consumer buying decisions. E. The business market has more businesses than the consumer market.
C. Many sets of business purchases are made for one set of consumer purchases.
When a company divides the market into groups of customers, it is engaging in which of the following? A. Target marketing B. Differentiation C. Market segmentation D. Societal marketing E. Demand management
C. Market segmentation
Which of the following correctly identifies the five core customer and marketplace concepts? A. Needs, wants, and demands; market offerings; value; satisfaction; and markets B. Needs, wants, and demands; market offerings; value and satisfaction; competitors; and profits C. Needs, wants, and demands; market offerings; value and satisfaction; exchanges and relationships; and markets D. Needs, wants, and demands; products; value; customers; and competitors E. Needs, wants, demands, market offerings, and markets
C. Needs, wants, and demands; market offerings; value and satisfaction; exchanges and relationships; and markets
Which of the following lists the five steps of the buyer decision process in the correct order? A. Need recognition, purchase decision, information search, evaluation of alternatives, and postpurchase behavior. B. Purchase decision, need recognition, information search, evaluation of alternatives, and postpurchase behavior. C. Need recognition, information search, evaluation of alternatives, purchase decision, and postpurchase behavior. D. Need recognition, evaluation of alternatives, information search, purchase decision, and postpurchase behavior. E. Need recognition, information search, purchase decision, evaluation of alternatives, and postpurchase behavior.
C. Need recognition, information search, evaluation of alternatives, purchase decision, and postpurchase behavior.
Which of the following statements about online research is correct? A. Online research is only feasible for large companies. B. Focus groups are rarely conducted online. C. Online surveys generally have higher response rates than those conducted by mail or phone. D. It is more expensive to conduct online research than to do a mail, phone, or personal interview. E. Experiments cannot be conducted online.
C. Online surveys generally have higher response rates than those conducted by mail or phone.
Which of the following needs in Maslow's hierarchy is generally satisfied first? A. Safety needs B. Self-actualization needs C. Physiological needs D. Esteem needs E. Social needs
C. Physiological needs
_________ refers to the degree to which innovation appears superior to existing products. A. Complexity B. Communicability C. Relative advantage D. Compatibility E. Divisibility
C. Relative advantage
Wonders such as robotic surgery, miniaturized electronics, and antibiotics can be attributed to which marketing environment? A. Social B. Cultural C. Technological D. Political E. Natural
C. Technological
What is the main problem that sellers suffering from marketing myopia face? A. They focus more on brand image than the quality. B. They focus more on the customer's experience than the product itself. C. They focus more on products than the customer's underlying need. D. They focus more on profit than the customer's benefit. E. They focus on customer wants instead of demands.
C. They focus more on products than the customer's underlying need.
Why do companies use customer relationship management? A. To maximize sales and revenue B. To get to know their customers personally C. To capture and use customer data D. To find new customers E. To avoid using big data
C. To capture and use customer data
Which of the following is true regarding international marketing research? A. The use of international marketing research has decreased in recent years. B. Consumers in different countries are very alike in their attitudes toward marketing research. C. Translating questionnaires from one language to another is not an easy task. D. Most countries have ample sources of secondary data available for marketing researchers. E. Primary data cannot be collected when conducting international marketing research.
C. Translating questionnaires from one language to another is not an easy task.
Roper's Radical Racers is an upscale company that sells cars primarily to racecar drivers and movie producers. In the past, Roper's Radical Racers marketed itself to the fun-loving driverlong dash—the driver who wanted to "race with life." However, in the current economy, Roper's has changed its slogan to "superior speed, superior savings." Roper's Radical Racers is engaging in which of the following? A. Diversity targeting B. Price slashing C. Value marketing D. Income distribution E. Market consideration
C. Value marketing
The value of customer relationships that a brand creates is called _______. A. customer value B. brand equity C. customer equity D. brand differentiation E. brand value
C. customer equity
Firms that manufacture seasonal products target their consumers primarily through ________ segmentation. A. demographic B. psychographic C. occasion D. age and life cycle E. income
C. occasion
In a _________, the business-to-business buyer reorders something without modifications. A. system selling B. buying decision C. straight rebuy D. new task E. modified rebuy
C. straight rebuy
When a company lengthens a product line by adding more items beyond its current range, they are ________. A. decreasing the depth of the line B. filling the line C. stretching the line D. increasing the width of their product mix E. decreasing the width of their product mix
C. stretching the line
Selling and advertising are part of a larger set of marketing tools that work together to satisfy customer needs and build customer relationships known as _____________. A. customer-engagement marketing B. market offerings C. the marketing mix D. the marketing concept E. customer equity
C. the marketing mix
Which of the following identifies a change in the technological environment that could affect the success of a business? A. A company develops a new warranty that lasts as long as its predecessor. B. A company packages its product to be twice the size of its predecessor. C. A company develops a customer support program that customers rate twice as responsive as the previous program. D. A company develops a new battery that lasts twice as long as its predecessor. E. A company develops a new battery that costs twice as much as its predecessor.
D. A company develops a new battery that lasts twice as long as its predecessor.
Which type of business buying situation offers marketers the greatest opportunity but also the greatest challenge? A. A modified rebuy B. A straight rebuy C. A request for proposal D. A new task situation E. A buying center purchase
D. A new task situation
A colleague needs to collect descriptive data about his customer's attitudes. He has not done this type of research before. What research approach would you recommend to best suit this research project? A. An experiment B. Secondary data C. Observation D. A survey E. An ethnographic study
D. A survey
What are the four general characteristics that influence consumer purchases? A. Cultural characteristics, technological characteristics, social characteristics, and personal characteristics B. Cultural characteristics, social characteristics, demographic characteristics, and brand loyalty C. Economic characteristics, technological characteristics, demographic characteristics, and political characteristics D. Cultural characteristics, social characteristics, personal characteristics, and psychological characteristics E. Technological characteristics, social characteristics, personal characteristics, and the buyer decision process
D. Cultural characteristics, social characteristics, personal characteristics, and psychological characteristics
Craig's Craft Beer structures its company in such a way to encourage its most profitable older customers to remain loyal while also targeting a new generation of customers. What is Craig's Craft Beer attempting to build? A. Customer lifetime value B. Share of customer C. Customer loyalty D. Customer equity E. Partner relationships
D. Customer equity
Forces in a company's macroenvironment that shape opportunities and pose threats to the company include what? A. Competitors, marketing intermediaries, publics, natural, and customers B. Competitors, marketing intermediaries, demographics, political, and technology C. Competitors, suppliers, natural, publics, and culture D. Demographic, economic, natural, technological, political/social, and cultural forces E. Demographics, technology, culture, political, and publics
D. Demographic, economic, natural, technological, political/social, and cultural forces
Advantage Airlines has instituted a loyalty rewards program that rewards customers with free Wi-Fi, seat upgrades, and free miles for their continued patronage. What relationship tool is Advantage Airlines using? A. Mass-media marketing B. Consumer-generated marketing C. Club marketing program D. Frequency marketing program E. Customer-perceived value
D. Frequency marketing program
Which type of market segmentation has long been used in clothing, cosmetics, toiletries, and magazines? A. Income B. Usage rate C. Occasion D. Gender E. Benefits sought
D. Gender
When we see Hello Kitty on children's clothing, Disney characters on lunchboxes, and Sponge Bob Squarepants on breakfast cereals, which form of brand sponsorship is being used? A. Private branding B. Co-branding C. National branding D. Licensing E. Store branding
D. Licensing
________ involves dividing a market into smaller segments of buyers with distinct needs or behaviors that might require separate marketing strategies. A. Mass marketing B. Positioning C. Market targeting D. Market segmenting E. Differentiation
D. Market segmenting
Which of the following statements about big data is correct? A. Analyzing big data will always lead to useful customer insights. B. Big data actually refers to very small data sets. C. Analyzing big data is a very easy task. D. One result of big data is that marketing managers are often overloaded and overwhelmed with information. E. Big data is very important because marketers today need more information to make good decisions.
D. One result of big data is that marketing managers are often overloaded and overwhelmed with information.
__________ show consumer perceptions of their brands versus those of competing products on important buying dimensions. A. Competitive maps B. Competitively positioned maps C. Target segment maps D. Perceptual positioning maps E. Psychographic maps
D. Perceptual positioning maps
What are the eight steps in the business buying decision process in the correct sequence? A. Problem recognition, general need description, product specification, supplier search, supplier selection, proposal solicitation, order-routine specification, and performance review B. Performance review, problem recognition, general need description, product specification, supplier search, proposal solicitation, supplier selection, and order-routine specification C. General need description, problem recognition, product specification, supplier search, proposal solicitation, supplier selection, order-routine specification, and performance review D. Problem recognition, general need description, product specification, supplier search, proposal solicitation, supplier selection, order-routine specification, and performance review E. Problem recognition, general need description, product specification, supplier selection, supplier search, proposal solicitation, order-routine specification, and performance review
D. Problem recognition, general need description, product specification, supplier search, proposal solicitation, supplier selection, order-routine specification, and performance review
Which of the following is NOT one of the four Ps of the marketing mix? A. Place B. Promotion C. Product D. Profit E. Price
D. Profit
Which marketing philosophy holds that consumers will not buy enough of the firm's products unless it undertakes a large-scale selling and promotion effort? A. Production concept B. Societal marketing concept C. Marketing concept D. Selling concept E. Product concept
D. Selling concept
What is the single most important demographic trend in the U.S. today? A. Changes in the American family B. Increasing diversity C. Geographic population shifts D. The changing age structure of the population E. A better educated population
D. The changing age structure of the population
Which marketing management orientation holds that a firm should have a customer focus to achieve sales and profits? A. The production concept B. The selling concept C. The societal marketing concept D. The marketing concept E. The product concept
D. The marketing concept
How does the new concept of marketing differ from the old concept of marketing? A. The new concept focuses on making money. B. The new concept requires less work from marketing executives. C. The new concept focuses on having a well-developed product. D. The new concept focuses on the needs of the customer. E. The new concept is more cost efficient.
D. The new concept focuses on the needs of the customer.
What is a product's position? A. How much consumers are willing to pay for a product B. Where a product is located on store shelves C. How the company advertises a product D. The way a product is defined by consumers on important attributes E. The market share of a product
D. The way a product is defined by consumers on important attributes
Tina's Tunes is a music store that has been selling CDs for 20 years. Throughout the last six years, sales have continuously declined and profits have almost completely disappeared. The CEO of Tina's Tunes believes resurgence is likely to happen soon and wants to continue business as usual. What is likely to happen to Tina's Tunes? A. Tina's Tunes is likely to fail because it is ignoring the current political environment. B. Tina's tunes are likely to prosper as mistrust in the digital age increases. C. Tina's Tunes is likely to fail because it is ignoring the natural environment. D. Tina's Tunes is likely to fail because it is ignoring the technological environment. E. Tina's Tunes will experience a rebound as the fear of the Great Recession declines.
D. Tina's Tunes is likely to fail because it is ignoring the technological environment.
Which of the following is considered part of an augmented product rather than that of an actual product or core customer value? A. Packaging B. Product features C. Design D. Warranty E. Brand name
D. Warranty
The major product line decision involves the line's ______, or the number of items in the product line. A. mix B. portfolio C. depth D. length E. scope
D. length
The people and procedures dedicated to assessing information needs, developing the needed information, and helping decision makers use the information to generate and validate actionable customer and market insights comprise a ________. A. marketing research department B. marketing consulting team C. marketing technology system D. marketing information system E. marketing analytic system
D. marketing information system
Toyota allows Scion buyers to customize their cars to meet their exact needs and preferences. This is an example of ____________. A. segmented marketing B. differentiated marketing C. undifferentiated marketing D. micromarketing E. concentrated marketing
D. micromarketing
If competitors cannot easily copy the benefit a company chooses to promote, that benefit is said to be _________. A. superior B. profitable C. affordable D. preemptive E. distinctive
D. preemptive
Firms that develop strategies to change the environmentlong dash—instead of assuming that strategic options are bounded by the current environmentlong dash—are being _______. A. passive B. shortsighted C. unethical D. proactive E. reactive
D. proactive
To deliver real value to marketers, marketing information must _________. A. come from big data sources B. have a positive impact on profits C. be collected inexpensively D. provide useful customer insights E. include information on competitors
D. provide useful customer insights
A company rarely gets 100% of a customer's purchases for a product category. The share it does get of the customer's purchasing in its product categories is called ________. A. customer defections B. customer lifetime value C. customer equity D. share of customer E. share of market
D. share of customer
According to the text, __________ are perhaps the most dramatic forces affecting today's marketing strategies. A. natural forces B. political forces C. economic forces D. technological forces E. demographic forces
D. technological forces
All the people involved in the buying decision in an organization are collectively known as _______. A. the buying nucleus B. buying agents C. buying actors D. the buying center E. the purchasing team
D. the buying center
Many marketers think that companies should aggressively promote only one benefit to the target market. The benefit promoted is known as a(n) ________. A. unique position proposition B. unique product proposition C. unique difference proposition D. unique selling proposition E. unique benefit proposition
D. unique selling proposition
Kroger sponsors such brands as Private Selection, Heritage Farm, and Simple Truth. Kroger does not manufacture any of these products. Which type of brand sponsorship is Kroger using? A. A licensed brand B. A national brand C. A co-brand D. A manufacturer's brand E. A private brand
E. A private brand
The act of obtaining a desired object from someone by offering something in return is known as which of the following? A. A trade B. A swap C. A sale D. A barter E. An exchange
E. An exchange
In which targeting strategy does a firm go after a large share of one or a few smaller segments? A. Mass marketing B. Micromarketing C. Undifferentiated marketing D. Differentiated marketing E. Concentrated marketing
E. Concentrated marketing
What are the two broad classifications of products? A. Consumer products and household products B. Grocery products and luxury products C. Consumer products and business products D. Necessity products and luxury products E. Consumer products and industrial products
E. Consumer products and industrial products
Bob's Bicycle Sales and Repair is a brand new company. From a marketing standpoint, what is the FIRST thing Bob's Bicycle Sales and Repair needs to do? A. Develop a plan to sell as many bicycles as possible. B. Develop relationships with the customers who come to purchase bicycles or repair services. C. Advertise the company as a location in which to purchase bicycles or repair services. D. Develop the best bicycle selection to sell. E. Determine who in the community wants or needs a bicycle or repair service.
E. Determine who in the community wants or needs a bicycle or repair service.
What is market segmentation? A. Evaluating each market segment's attractiveness and selecting one or more market segments to enter B. Arranging for a market offering to occupy a clear, distinctive, and desirable place relative to competing products in the minds of target consumers C. Differentiating the firm's market offering to create superior customer value D. Marketing to a mass market of homogenous buyers E. Dividing a market into distinct groups of buyers who have different needs, characteristics, or behaviors and who might require separate marketing strategies or mixes
E. Dividing a market into distinct groups of buyers who have different needs, characteristics, or behaviors and who might require separate marketing strategies or mixes
What are the three types of objectives a marketing research project might have? A. Demographic research, exploratory research, and attitudinal research B. Descriptive research, survey research, and causal research C. Exploratory research, secondary research, and primary research D. Exploratory research, descriptive research, and survey research E. Exploratory research, descriptive research, and causal research
E. Exploratory research, descriptive research, and causal research
Which of the following statements is true regarding the marketing of services? A. Customer-facing employees are not important in the marketing of services. B. Buyer-seller interaction during the service encounter has little impact on service quality. C. Service providers do need to use segmentation and target marketing. D. Service providers do not need to differentiate their offerings. E. For service providers, a solution to price competition is to develop a differentiated offer, delivery, and image.
E. For service providers, a solution to price competition is to develop a differentiated offer, delivery, and image.
The role of a company's marketing intermediaries is to do which of the following? A. Purchase the company's product B. Determine which products a company should market C. Manage the company's human resources efforts D. Provide the resources needed by the company to produce goods and services E. Help the company find, promote, sell, and distribute products
E. Help the company find, promote, sell, and distribute products
How do market demands relate to needs and wants? A. Demands result in customers needing and wanting a particular product. B. Needs and wants outweigh demands in the customer's mind. C. Wants and demands are equivalent, and both satisfy needs at the same rate. D. Needs, wants, and demands all describe the same state in the customer. E. Needs are satisfied by wants, and buying power converts wants into demand.
E. Needs are satisfied by wants, and buying power converts wants into demand.
When Coca-Cola saw the growth of the bottled water category, they launched Dasani, its brand of bottled water. Which brand development strategy did Coca-Cola use in launching Disani? A. Multibranding B. Licensing C. Brand extension D. Line extension E. New brand
E. New brand
Which of the following BEST describes the research relationships? A. Observation is best suited for causal research, surveys for exploratory research, and experiments for descriptive research. B. Observation is best suited for descriptive research, surveys for exploratory research, and experiments for causal research. C. Observation is best suited for descriptive research, surveys for causal research, and experiments for exploratory research. D. Observation is best suited for exploratory research, surveys for causal research, and experiments for descriptive research. E. Observation is best suited for exploratory research, surveys for descriptive research, and experiments for causal research.
E. Observation is best suited for exploratory research, surveys for descriptive research, and experiments for causal research.
Which of the following statements is true regarding packaging? A. Packaging does not influence the consumer buying decision. B. Packaging is not used to gain a competitive advantage. C. Packaging is not an important consideration in product strategy. D. Packaging does not impact product safety. E. Packaging can be an important part of a brand's identity.
E. Packaging can be an important part of a brand's identity.
Which of the following is a variable used to segment consumer buyers that is not used to segment business buyers? A. Personal characteristics B. Operating characteristics C. Purchasing approaches D. Situational factors E. Psychographics
E. Psychographics
What are the five characteristics that are especially important in influencing an innovation's rate of adoption? A. Product, price, place, promotion, and packaging B. Relative advantage, complexity, compatibility, availability, and promotion C. Price, features, complexity, relative advantage, and promotion D. Product, price, place, promotion, and relative advantage E. Relative advantage, complexity, compatibility, divisibility, and communicability
E. Relative advantage, complexity, compatibility, divisibility, and communicability
What determines whether the buyer is satisfied or dissatisfied with a purchase? A. The relationship between the price of the product and the level of customer service provided B. The relationship between the price of the product and the product's perceived performance C. The relationship between the consumer's expectations and where the product was purchased D. The relationship between the consumer's expectations and how others evaluate the product E. The relationship between the consumer's expectations and the product's perceived performance
E. The relationship between the consumer's expectations and the product's perceived performance
From a marketing standpoint, which of the following BEST describes Baby Boomers? A. They blend the online and offline worlds seamlessly as they socialize and shop. B. They are more likely to be receptive to irreverent ad pitches that make fun of convention and tradition. C. They are slowing down as they age. D. They tend to research products before they consider a purchase. E. They constitute a lucrative market for financial services, new housing and home remodeling, new cars, travel and entertainment, eating out, and health and fitness products.
E. They constitute a lucrative market for financial services, new housing and home remodeling, new cars, travel and entertainment, eating out, and health and fitness products.
Which of the following is a reason for business legislation? A. To provide legal guidelines for businesses and marketers without actually enforcing them B. To ensure that companies make profits C. To ensure that competition is unregulated D. To remove legal regulations from the free market economy E. To protect consumers from unfair business practices
E. To protect consumers from unfair business practices
Which structural factor would make a market segment attractive to enter? A. Powerful buyers B. New entrants can easily come into the segment C. Powerful suppliers D. Many strong and aggressive competitors E. Very few actual or potential substitute products
E. Very few actual or potential substitute products
H2Coast, an automobile manufacturer, produces fuel-efficient hybrid vehicles that are targeted toward middle-income consumer groups. H2Coast most likely segments the consumer market based on ________ variables. A. psychographic B. behavioral C. geographic D. universal E. demographic
E. demographic
According to the five-step model of the marketing process, which of the following is the final step in the process? a) building profitable relationships and creating customer delight b) capturing value from customers to create profit and customer equity c) understanding the marketplace and customer needs d) designing a customer-driven marketing strategy e) constructing an integrated marketing program that delivers superior value
b) capturing value from customers to create profit and customer equity
Demographic, economic, natural, technological, political, and cultural forces form the ________ of an organization. a) supply chain b) macroenvironment c) marketing intermediary network d) internal environment e) microenvironment
b) macroenvironment
The practice of tailoring products and marketing programs to suit the tastes of specific individuals and locations is referred to as ________. a) niche marketing b) micromarketing c) segmented marketing d) global marketing e) undifferentiated marketing
b) micromarketing
Which of the following is the correct order for the five steps in the five step decision making process (assuming the consumer goes through the model in the "typical" order)? a) Need recognition, evaluation of alternatives, information search, purchase decision, post-purchase phase b) Evaluation of alternatives, need recognition, information search, purchase decision, post-purchase phase c) Need recognition, information search, evaluation of alternatives, purchase decision, post-purchase phase d) Information search, need recognition, evaluation of alternatives, purchase decision, post-purchase phase e) Information search, evaluation of alternatives, purchase decision, post-purchase phase, problem recognition
c) Need recognition, information search, evaluation of alternatives, purchase decision, post-purchase phase
Dividing a market into several sections of customers is known as ________. a) mass customization b) market positioning c) market segmentation d) value engineering e) undifferentiated marketing
c) market segmentation
Brooke's Boutique plans to launch a new clothing line. For this purpose, the firm first conducts a survey to understand its target audience and identify the demographics of potential buyers. It then conducts experimental research to test whether customers associate discounted prices with lower product quality. Which types of research has the boutique employed in this case? a) exploratory followed by causal b) exploratory followed by descriptive c) descriptive followed by exploratory d) descriptive followed by causal e) causal followed by descriptive
d) descriptive followed by causal
Brands vary in the amount of power and value they hold in the marketplace. Iconic brands like Apple, Google, and Harley-Davidson have achieved substantial brand ________. a) capital b) personality c) perception d) esteem e) equity
e) equity