Midterm Study Guide

Explain the four major steps in designing a customer-driven marketing strategy.

1. Segmentation 2. Targeting 3. Differentiation 4. Positioning

To keep customers coming back, Stew Leonard created the "Disneyland of dairy stores." Rule #1 - The customer is always right. Rule #2 - If the customer is ever wrong, reread Rule #1. This is an example of:

Sales Driven

Big data refers to the huge data sets generated by sophisticated information generation, collection, storage, and analysis technologies.

True

Business marketers use variables such as customer operating characteristics, purchasing approaches, situational factors, and personal characteristics.

True

Which of the following is part of the microenvironment of a firm's marketing environment?

the suppliers who work with the company

Which of the following demonstrates the real value of a company's marketing research and information system?

the customer insights it provides

Describe the components of a marketing information system (MIS), and list its three main functions.

1. Determine information needs 2. Find the needed information 3. Help decision makes use to generate and validate actionable customer insights

What is marketing? Briefly define and describe the 5-step marketing process.

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

Which of the following products would the electronics company CypressSound classify as a cash cow in its BCG matrix?

Apple—an Ipad that has a high market share in a market that is not expected to grow significantly

Cosmetics firm SatinSilk is revamping its mission statement and advertising strategy. The CEO stresses that the new mission statement should be market-oriented rather than product-oriented. Which of the following mission statements will best suit the company?

To give customers the complexion they dream about by providing products suited to their needs

Many marketers now embrace a ________ strategy, integrating ethnic and cross-cultural perspectives within their mainstream marketing.

Total market

Companies have set up social media command centers that monitor real-time brand-related online mobile media activity.

True

Place marketing involves activities undertaken to create, maintain, or change attitudes or behavior toward particular places.

True

Hammond Corp. operates in the highly aggressive electronics market. The firm aims to obtain early warnings of opportunities and threats caused by the actions of other firms that are doing well in the industry. Which of the following sources would best serve Hammond's purpose?

Competitive marketing intelligence

Marketers are said to suffer from marketing myopia when they ignore underlying consumer needs and focus excessively on ________

Consumers' existing wants

Companies today are moving away from target marketing and toward mass marketing.

False

What is the most important consumer buying organization in society?

Family

________ is the process of dividing a market into distinct groups of buyers who have different needs, characteristics, or behavior.

Market segmentation

A shoe company's ads feature the members of a popular Christian music band. Product sales increase significantly among the band's fans. From the fans' viewpoint, the band is a ________.

Reference group

________ refer to a form of product that consists of activities, benefits, or satisfactions offered for sale that are essentially intangible.

Services

Product planners must build a(n) ________ product around the core benefit and actual product by offering additional consumer services and benefits.

augmented

Kelstone Developers is planning to build a new shopping mall that would require the partial acquisition of a nearby public park. Walking Green, an environmental group, challenges the plan citing environmental destruction. In response to the demands of Walking Green, Kelstone Developers promises to build a huge park-like walkway around the mall. Walking Green is an example of a(n) ________ in this scenario

citizen-action public

________ products are consumer products and services that customers usually buy frequently, immediately, and with minimal comparison and buying effort.

convenience

Harley-Davidson disciples share a common, deeply held attraction to the brand. Harley appeals include: freedom, independence, power, and authenticity. Harley-Davidson doesn't just sell motorcycles. It sells self-expression, lifestyles, aspirations, and dreams. This illustrates ________.

core customer values

A child in the United States is exposed to many values including achievement and success, freedom, individualism, hard work, and material comfort. These are symbolic of American

culture

Demographic, economic, natural, technological, political, and cultural forces form the _____________

macroenvironment

Which of the following has the primary function of helping a company target and promote its products to the right markets?

marketing services agencies

Bakeries and coffee bistros that offer pumpkin-flavored items only during the autumn season target their consumers primarily through ________ segmentation.

occasion

________ involves enlisting or even creating opinion leaders to serve as brand ambassadors who spread the word about a company's products.

social marketing

Which of the following are examples of internal publics of a company?

the managers, board of directors, and workers of the company