MKTG Exam 1 (Ch. 1 Practice Questions)
marketers are said to suffer from marketing myopia when they ignore underlying consumer needs and focus excessively on____
consumers existing wants
the ___ concept holds that achieving organizational goals depends on knowing the needs and wants of target markets and delivering the desired satisfactions better than competitors do
marketing
many leading business and marketing thinkers are now preaching the concept of "shared value" which recognizes that ___ needs, not just economic needs, define markets
societal
marketing process
five step mode. the first four steps, companies work to understand consumers, create customer value, and build strong customer relationships. in the final step, companies reap the rewards of creating superior customer value. by creating value for consumers, they in turn capture value from consumers in the form of sales, profits, and long term customer equity
cosmetic retailer lush knows that doing whats right benefits both customers and the company. their premium beauty products are made by hand from the freshest possible natural ingredients. this is an example of the ____ concept
societal marketing
companies that practice marketing by ____ create offerings and messages that engage consumers rather than interrupt them
attraction
abel now has the buying power to purchase the computer that he wanted to buy six months ago. abel's want has most likely become a ____
demand
when sellers pay less attention to the specific products they offer and more attention to the benefits and experiences produced by these products, they suffer from marketing myopia
false
xenon corp, releases frequent updates to improve its expensive software products. this marketing approach used by the firm is most likely based on the production concept
false
which of the following is an example of consumer-generated marketing
fun & run, a local park, promotes its services by allowing consumers to upload videos and write reviews about the park
dividing a market into several sections of customers is known as
market segmentation
____ is the art and science of choosing target markets and building profitable relationships with them
marketing management
___ refers to working closely with people inside and outside the company to jointly bring more value to customers
partner relationship management
the ultimate aim of customer relationship management is to
produce higher customer equity
the ___ concept holds that consumers will favor goods and services that offer the most in quality, performance, and innovative features
product
Henry Ford's philosophy was to perfect the model-t so that its cost could be reduced further for increased consumer affordability. this most likely reflects the ___
production concept
PC manufacturer, Lenovo, focuses on low labor costs and mass distribution to ensure the continuous availability of its products at reasonable prices. lenovo most likely follow the ____
production concept
Sally purchased a newly introduced moisturizing lotion. by attempting to find out if the lotion's perceived performance matched her expectations, sally was measuring her level of customer ____
satisfaction
____ refers to the portion of the customers' purchase that a company gets in its product categories
share of customer
various government agencies have launched campaigns to encourage energy conservation and concern for the environment as well as discourage smoking, illegal drug use, and obesity. this illustrates ___ marketing
social
Customer evangelists are those who ___
spread the word about their good experiences with a brand or product
in which of the following customer relationship groups do organizations generally avoid investing
strangers
____ are customers who show low potential profitability and little projected loyalty
stranglers
____ marketing is defined as socially and environmentally responsible marketing that meets the present needs of consumers and businesses while also preserving or enhancing the ability of future generations to meet their needs
sustainable
dollar general profitably appeals to families with more modest means. the retailer's approach is most likely referred to as
target marketing
customers who are classified as true believers
tell others about their good experiences with a company
which of the following transforms marketing strategies into real values for consumers
the four Ps of marketing
which of the following concepts is based on a customer-centered philosophy
the marketing concept
which of the following is a difference between the marketing concept and the selling concept
the marketing concept focuses on customer needs, whereas the selling concept focuses on existing products
what is marketing
the process by which companies create value for customers and build strong customer relationships in order to capture value from customers in return.
which of the following concepts calls for sustainable marketing
the societal marketing concept
a brands value proposition is the set of benefits or values it promises to deliver to consumers to satisfy their needs
true
a market is a segment of potential consumers who share a common need or want
true
companies like coca-cola and facebook deliver customer satisfaction by spreading happiness and connecting individuals through shared experiences
true
customer-percieved value is defined as a customer evaluation of the perceived difference between all the benefits and all the costs of a market offering relative to those of competing offers
true
market offerings including entities such as people, places, information, and ideas
true
organizations that follow the societal marketing concept most likely practice socially and environmentally responsible marketing
true
product, price, place, and promotion make up the elements of a firms marketing mix
true
success at delivering customer value rests on how well a company's entire
true
the marketing concept is a customer-centered, sense-and-respond philosophy
true
the product concept holds that consumers will favor products that offer the most in quality performance, and innovative features
true
through consumer-generated marketing, consumers themselves are playing a bigger role in shaping their own brand experiences and those of others.
true
a customer who is both loyal and profitable is referred to as a
true believer
the amazon prime program strives to convert casual shoppers into loyal customers. an amazon prime customer can be classified as a ___
true believer
According to the five-step model of the marketing process, the first step in marketing is ____
understanding the marketplace and customer needs and wants
JetBlue's promise to put "you above all" by "bringing humanity back to travel" is their
value proposition
a brands ____ is the set of benefits that it promises to deliver to consumers to satisfy their needs
value proposition
____ are the form human needs take as they are shaped by culture and individual personality
wants
in which of following circumstances is an organization likely to engage in full partnerships with key consumers
when the market has few customers and high margins
cylog, a leading provider of personal computer systems, began manufacturing tablet devices after predicting a future consumer needs for portability. which of the following was most likely implemented by cylog?
customer-driven marketing
the social marketing concept holds that ____
a companys marketing decisions should focus on creating economic value in a way that also creates value for the surrounding environment
___ refers to a channel stretching from raw materials to components to final products that are carried to final buyers
a supply chain
when backed by buying power, wants become needs
false
consumers needs and wants are fulfilled through
market offerings
_____ are defined as state of felt deprivation
needs
why do companies generally divide a market into segments of customers
a company decides whom it will serve by dividing the market into segments of customers and selecting which segments it will go after. some people think of marketing management as finding as many customers as possible and increasing demand. marketing managers know that they cannot serve any customer well. hence, companies usually want to select only customers they can serve well and profitably. ultimately, marketing manager must decide which customers they want to target and on the level, timing, and nature of their demand.
Carla, a team leader in charge of customer relationship management, is planning strategies to improve the profitability of her firm's least profitable but loyal customers. She is also examining methods for "firing" customers in this group who cannot be made profitable. To which of the following customer relationship groups do these customers belong?
barnacles
procter & gamble's tide detergents does not phone or call on all of its consumer to get to know them personally. instead, tide creates engagement and relationships through brand-building advertising, websites, and social media presence. which of the following types of associations would be most profitable for the firm to develop with these customers?
basic relationships
mattel's american girl doll creates special ____ between the dolls and the girls who adore them
brand experiences
efforts to convert ____ into loyal customers are rarely successful
butterflies
a consumer who is potentially profitable but not loyal to a firms offerings is referred to as a
butterfly
stew's leonards has created what has been the "disneyland of dairy stores" complete with costumed characters, scheduled entertainment and a petting zoo. its built 30 additions onto the original store, which now serves more than 300,000 customers each week. the legion of loyal shoppers is largely a result of the stores passionate approach to customer service. instead of focusing on individual transactons, stew and his straff are putting a priority on ___
capturing customer lifetime value
the final step in the marketing process is ____
capturing value from customers
customer driven marketing is most effective when
clear needs exist and customers know what they want
Apple encourages customers to form local Apple user groups. This is an example of a___
club marketing program
for the past 9 years, pepsico doritos brand has held a Crash the Super Bowl contest in which it invites 30 second ads from consumers and runs the best ones during the game. this is an example of ___
consumer generated marketing
the selling concept holds that ____
consumers will not buy enough of a firms products unless the firm undertakes large scale persuasion
Ritz-Carlton is fervently dedicated to anticipating customers' slightest needs. Without ever asking, they seem to know when customers want a king-size bed, non-allergenic pillow, extra body gel or the blinds open upon arrival. An amazing 95 percent of departing guests report that their stay has been a truly memorable experience. This is an example of ________.
customer delight
________ is the total combined customer lifetime values of all the company's current and potential customers.
customer equity
___ companies research customers deeply to learn about their desires, gather new product ideas and test product improvements
customer-driven
____ is the act of obtaining a desired object from someone by offering something in return
exchange
a greater focus on underlying customer needs than on existing customer wants leads to market myopia
false
club marketing programs reward who buy frequently or in large amounts
false
customer equity is a measure of the past value of a companys customer base
false
customer relationship management focuses on retaining existing customers but not on acquiring new customers
false
in markets with few customers and high margins, sellers should try to develop basic relationships rather than full partnerships
false
market offerings are limited to physical products
false
marketing is primarily concerned with engaging customers and secondarily with profitable customer relationships
false
the more loyal a firm's profitable customers, the lower its customer equity
false
compare and contrast the concepts of needs, wants, and demands
human needs are states of felt deprivation. needs are part of the human make-up, they are not created by external forces. wants are not innate, they are shaped by culture, society, and individual personality. for example, an american needs food, wants a big mac and demands lunch at mcdonalds. wants become demands when they are backed by consumers buying power. marketers conduct extensive research to understand customers needs, wants, and demands. they then attempt to fulfill customers needs, wants ,and demands through their market offerings.
the "stop the texts. stop the wrecks" campaign co-sponsored by the ad council and the National Highway Traffic Safety Administration is an example of a marketing offering for a
idea
Imaginative Web sites, smartphone apps, and social media allow marketers to deliver messages that are direct and personal so consumers can ________.
live the brand