MRKT CH1

Many marketers now use ________ research to dig deeply into consumer psyches and develop better marketing strategies. experiential descriptive analytical interpretive causal

interpretive

Which of the following is a component of a firm's microenvironment? technological changes marketing intermediaries economic recessions customer demographics population shifts

marketing intermediaries

Maria works for Sigma Inc., a firm that helps companies target and promote their products to the right markets. Sigma is most likely a ________. reseller physical distribution firm financial intermediary wholesaler marketing services agency

marketing services agency

Mission statements should be ________. focused on increasing sales or profits meaningful and specific yet motivating strictly product oriented written solely for public relations purposes technology oriented

meaningful and specific yet motivating

Which of the following is NOT an element of the marketing mix? promotion place purchase price product

purchase

Shoez Inc., a manufacturer of shoes, has recently launched a brand of sturdy shoes ideal for hiking and other outdoor activities. Which of the following brand personalities could be best associated with the new brand? excitement sincerity ruggedness sophistication competence

ruggedness

Which of the following is a portfolio-planning tool for identifying company growth opportunities through market penetration, market development, product development, or diversification? SWOT analysis analysis of variance BCG matrix product/market expansion grid Harris matrix

product/market expansion grid

Henry Ford's philosophy was to perfect the Model T so that its cost could be reduced further for increased consumer affordability. This reflects the ________ concept. product production marketing selling societal marketing

production

Many firms today use RFID technology to ________. -move toward environmental sustainability -track patterns of online consumer behavior -identify new target markets -track products through various points in the distribution channel -analyze threats and opportunities in the macroenvironment

track products through various points in the distribution channel

Early adopters are opinion leaders in their communities. They adopt new ideas early but carefully. True False

true

Operating control involves checking ongoing performance against the annual plan and taking corrective action when necessary. True False

true

The four marketing management functions are analysis, planning, implementation, and control. True False

true

The marketing mix refers to the set of marketing tools the firm uses to implement its marketing strategy. True False

true

Customer equity refers to ________. -the amount a customer is spending each year on certain products -the total combined customer lifetime value of all of the company's current and potential customers -a firm's current sales -the share a firm earns of a customer's purchasing in their product categories -a firm's market share

-the total combined customer lifetime value of all of the company's current and potential customers

Which of the following is true with regard to a market segment? -Dividing the market into segments decreases the efficiency of the selling process. -Very few markets have segments. -A market segment consists of consumers who respond in a similar way to a given set of marketing efforts. -Dividing the market into segments reduces composite demand. -A market segment consists of consumers with dissimilar needs and preferences.

A market segment consists of consumers who respond in a similar way to a given set of marketing efforts.

The ________ limits the number of commercials aired during children's programs. Child Protection Act Consumer Product Safety Act Fair Packaging and Labeling Act Children's Television Act Children's Online Privacy Protection Act

Children's Television Act

A business's suppliers are the most important actors in the company's microenvironment. False True

False

Companies that watch variables such as income, cost of living, and interest rates, are more likely to be negatively affected by an economic change such as a recession or boom.

False

Company growth through diversification involves offering modified or new products to the company's current markets. True False

False

Customer brand advocacy can occur with either satisfied or dissatisfied customers. True False

False

Market penetration involves offering modified or new products to current markets. True False

False

People differ greatly in their readiness to try new products. In each product area, there are "consumption pioneers," also referred to as lagging adopters. True False

False

Publics are the most important component in the company's microenvironment True False

False

The buying center is a fixed and formally identified unit within the buying organization. False True

False

Which of the following is NOT an accurate description of modern marketing? -Marketing involves managing profitable customer relationships -Marketing involves satisfying customers' needs -Marketing is building value-laden exchange relationships with customers -Marketing is the creation of value for customers -Marketing emphasizes selling and advertising exclusively

Marketing emphasizes selling and advertising exclusively

Which of the following statements is true of social classes? People within a social class tend to exhibit similar buying behavior. Members of a social class have unique and distinct values, interests, and behaviors. Social classes are society's temporary divisions. Social classes universally exhibit identical product and brand preferences. Income is the single factor that determines social class.

People within a social class tend to exhibit similar buying behavior.

Companies may want to downsize their business portfolios for all but which of the following reasons? The products might simply age. The firm may have entered areas where it lacks experience. The customers may have purchased all they need. The firm may have grown too fast. The market environment might change.

The customers may have purchased all they need.

Which of the following is true of Gen Xers? They are considerably larger than the boomer generation. They rarely research a product before purchasing it. They are less educated than the baby boomers. They are more skeptical than baby boomers. They are more materialistic than the Millennials.

They are more skeptical than baby boomers.

A product's position is the place it occupies relative to competitors' products in consumers' minds. True False

True

Business markets buy goods and services for further processing or for use in their production processes. False True

True

________ are human needs that are shaped by culture and individual personality. Demands Exchanges Necessities Values Wants

Wants

A gym equipment manufacturer encourages customers to become members of the firm's Web site. Membership provides customers with exercise tips as well as discounts on gym equipment and workout apparel. This is an example of ________. -a club marketing program -consumer-generated marketing -the selling concept -a basic customer relationship -a frequency marketing program

a club marketing program

Sheffield Cargo serves both consumer and business markets, but most of its revenue comes from its business customers. Of late, the business customers of Sheffield Cargo have demanded a change in the packaging of heavy cargo along with a more sophisticated and user-friendly extranet framework. Sheffield Cargo is under pressure to offer better products and services or risk losing a huge portion of its customers. This is an example of ________. a straight rebuy situation trade exchange reverse auction a modified rebuy situation a new task

a modified rebuy situation

Marketers describe the way a consumer processes information to arrive at brand choices as ________. impulse buying consumer capitalism alternative evaluation information search cognitive dissonance

alternative evaluation

If a consumer's drive is strong and a satisfying product is near at hand, the consumer is likely to purchase the product at that time. If not, the consumer may store the need in memory or undertake ________. an information search buyer's remorse consumer ethnocentrism cognitive dissonance a need recognition

an information search

Some companies sell primarily to government buyers as prime contractors or subcontractors. This allows these companies to ________, participate in the product specification phase, gather competitive intelligence, prepare bids carefully, and produce stronger communication to describe and enhance their companies' reputations. -invest in new technologies -lobby elected officials to fund projects -develop relationships with government procurers -anticipate government needs and projects -identify cost-cutting measures

anticipate government needs and projects

Amazon Echo's Alexa is an example of artificial intelligence desktop computing the worldwide web digital learning data analytics

artificial intelligence

During portfolio analysis, a company ________ after identifying the key businesses that make up the company. assesses its strengths and weaknesses assesses the attractiveness of its various SBUs assesses the effectiveness of its various channel intermediaries performs a SWOT analysis formulates a short-term marketing plan

assesses the effectiveness of its various channel intermediaries

Which of the following functions is NOT part of managing the marketing process? planning control implementation budgeting organization

budgeting

Many marketers use the self-concept premise that people's possessions contribute to and reflect their identities-that is, "we are what we consume." According to this premise, consumers ________. -conduct primary research -are affected by opinion leaders -buy products to support their self-image -compare product brands -rarely identify with brand personalities

buy products to support their self-image

P&G "Tide Loads of Hope" program provides mobile laundromats and loads of clean laundry to families in disaster-stricken areas. This is an example of ________ marketing. social environmental cause-related ethical charitable

cause-related

A company's marketing decisions may be questioned by consumer organizations, environmental groups, minority groups, and others. These organizations and groups are also known as ________. internal publics customers citizen-action publics marketing intermediaries media publics

citizen-action publics

A marketer wants to increase its "share of customer." It can do this by offering a greater variety to customers, or by ________. -introducing customers to "brand evangelists" -sending samples directly to customers -decreasing prices -increasing discounts and coupons -creating programs to cross-sell and up-sell to market more products and service to existing customers

creating programs to cross-sell and up-sell to market more products and service to existing customers

________ occurs when satisfied customers initiate favorable interactions with others about a brand. Customer brand advocacy Customer-engagement marketing Customer intrusion Targeting new customers Partnership marketing

customer brand advocacy

________ marketing is practiced by an organization that understands and anticipates customer needs even better than customers themselves do and creates products and services to meet current and future needs. Ambush Societal Customer-driven Affinity Customer-driving

customer driven- THIS IS WRONG

Which of the following terms refers to customers who make repeat purchases and tell others about their positive experiences with a product or service? market mavens barnacles surrogate customers butterflies customer evangelists

customer evangelists

Kao Corp., a deodorant manufacturer, invited teenage girls to make an ad that would encourage other girls to buy the product. This program is an example of ________. partner relationship management the selling concept the production concept consumer-generated marketing societal marketing

customer-generated marketing

In routine buying, buyers are often the ________, or at least the approvers. gatekeepers monitors influencers primary advertisers deciders

deciders

A women's apparel manufacturer in California recently acquired a Houston-based company that manufactures office furniture. This is an example of ________. product differentiation product development market penetration diversification market development

diversification

The major influences on the buying process at General Aeronautics Limited include supply conditions and technological changes, which would both be categorized as ________ factors. interpersonal organizational systemic individual environmental

environmental

Josie's FarmFresh creates sustainable, all-natural food products. These products are most likely to become popular with which group? environmentally conscious business Millennials SOHO LGBT

environmentally conscious

In a straight rebuy, the buyer wants to alter product specifications, prices, terms, or suppliers. False True

false

Market offerings are limited to physical products. True False

false

Marketers should understand that people's core beliefs and values tend to be ________. constantly and rapidly changing easily influenced by secondary beliefs highly flexible similar around the world fixed

fixed

The most common form of marketing organization is the ________ organization. Under this organization, an operational specialist heads different marketing activities. functional product management market customer management geographic

functional

Marketing control involves four steps including all the following EXCEPT ________. -measuring the marketing plan's performance in the marketplace -setting specific marketing goals -increasing the staffing in the planning department -taking corrective action to close the gaps between goals and performance -evaluating the causes of any differences between expected and actual performance

increasing the staffing in the planning department

________ refer to people in an organization's buying center who affect the buying decision; they often help define specifications and provide information for evaluating alternatives. Users Influencers Gatekeepers Buyers Deciders

influencers

Life-stage changes usually result from ________. birthdays mentors siblings friends life-changing events

life-changing events

Marketers can group people in a number of ways, including by birth date. However, the following combination of groups has proven to be more effective: -place of residence, life stage, lifestyle -income, lifestyle, life stage -profession, common values they seek in products they buy, lifestyle -race or nationality, lifestyle, common values they seek in products they buy -lifestyle, life stage, common values they seek in products they buy

lifestyle, life stage, common values they seek in products they buy

Which group includes neighborhood residents and community organizations? internal publics government publics local publics media publics citizen-action publics

local publics

According to management guru Peter Drucker, "The aim of marketing is to ________." -emphasize customer wants and not -customer needs -make selling unnecessary -maximize profits of the company -sell products -fulfill unrealistic customer expectations

make selling unnecessary

Funco Inc., a toy manufacturer, sold plastic racing cars that were manufactured with toxic materials, which threatened the health of several children. Which purpose of government regulation to protect consumers is involved? -deceiving consumers through their packaging -misleading customers in their advertising -deceiving consumers through their pricing -making shoddy products -invading consumer privacy

making shoddy products

Crocus, a gift store, specializes in serving customer segments that major competitors overlook and ignore. Which of the following best describes Crocus? market nicher market follower early adopter market challenger laggard

market nicher

Paul Robinson has identified a group of potential customers who seem to respond in a similar way to a series of magazine and radio advertisements for his company's product. Paul has identified a ________. target market market segment niche market product attribute product design

market segmentation

The process of evaluating each market segment's attractiveness and selecting one or more segments to enter is known as ________. market segmentation prospecting downsizing market targeting diversification

market targeting

Refer to the scenario below to answer the following question(s).Carol Veldt, owner of Seagull Terrace, watched her investment grow from a small, seaside motel to a thriving year-round resort in just a few years. Atop a cliff overlooking the Maine coast, Seagull Terrace had attracted thousands of visitors during summer, but then faced a tremendous downturn in business during winter. "But, given the established industries in the nearby towns, very little year-round competition, and our close proximity to Portland," Carol added, "I couldn't understand why seasonality had to hit Seagull Terrace so hard!"So Carol spent her first winter devising a new marketing plan. She put together a promotional package designed to attract business travelers year-round. Carol's plan also involved a seasonal promotional gimmick-to be implemented from early winter to late spring-that would attract the same numbers as the large summer crowd. Her idea worked! During her second winter, Carol greeted numerous business travelers-both satisfied repeat guests as well as new guests who had been snagged by her promotional appeals."We still have a long way to go," Carol admitted. "Our delicatessen offers entrees that are a part of the local cuisine, but we'd like to expand that. We provide health club privileges off-site, but we'd like to eventually provide our own. These are goals I hope to achieve in a few years. Our first project, however, included a renovation of our guest rooms and I'm quite proud of the results." Carol then added, "Actually there are so many possibilities. With an indoor pool area, I will eventually offer weekend getaways throughout winter."Carol Veldt has decided to ask selected guests to participate in an extensive survey about their experience at Seagull Terrace and about their requirements in terms of amenities and cuisines. By implementing the suggestions she receives from guests, Carol would be following the ________ concept. marketing selling product societal marketing production

marketing

New technologies most likely lead to ________. economic imbalance in society trade deficits reduced exports new markets and opportunities an increased demand for unskilled labor

new markets and opportunities

Buyers who face a ________ usually go through all stages of the buying process. routine buying situation modified rebuy straight rebuy new task buying situation need for limited problem solving

new task buying situation

The boom in Internet marketing has created a new set of social and ethical issues. Critics worry most about ________. puffery in advertising sustainability accessibility online privacy issues issues pertaining to efficiency

online privacy issues

The purpose of ________ is to ensure that the company achieves the sales, profits, and other goals set out in its annual marketing plan. strategic control benchmarking SWOT analysis operating control a marketing audit

operating control

Arranging for a product to occupy a clear, distinctive, and desirable place relative to competing products in the minds of target consumers is known as ________. segmenting satisficing prospecting positioning diversifying

positioning

Katrina Mendoza is a senior manager in a manufacturing firm that hires lobbyists to influence legislation that affects the manufacturing industry. Katrina's firm takes a(n) ________ stance toward the marketing environment. reactive adversarial passive altruistic proactive

proactive

Ross Stuart is a purchasing manager in a Texas-based manufacturing company. He sources most of the raw materials needed by his company from Kramer Corp. However, Ross is unhappy with Kramer's prices. Additionally, he thinks that the quality of the raw materials supplied by Kramer is substandard. Which of the following stages in the business buying process is Ross' company currently in? -general needs description -order-routine specification -performance review -problem recognition -product specification

problem recognition

Railroads were once operated based on the thinking that users wanted trains that would offer the most in quality, performance, and innovative features. The railroad managing companies overlooked the fact that there could be other modes of transportation. This reflects the ________ concept. product selling production marketing societal marketing

product

Mercury Inc., an American multinational corporation, is currently planning to enter the promising consumer goods market in India. The firm will most likely discover that ________ beliefs and values are more open to change in India. secondary primary traditional inherited core

secondary

Some fast-food restaurants offer tasty and convenient food at affordable prices, but in doing so they contribute to a national obesity epidemic and environmental problems. These fast-food restaurants overlook the ________ philosophy. marketing concept selling concept product concept societal marketing concept production concept

societal marketing concept

Researchers have discovered that they can send hidden commands to affect the behavior of smart devices without the consumer knowing it. These commands are known as ________. selective perception learning stimuli stimulus response messages subliminal messages digital stimuli

subliminal messages

Through ________, companies today are strengthening their connections with all partners, from providers of raw materials and components to those involved in the delivery of final goods and services. -direct marketing -supply chain management -inventory management -customer relationship marketing -customized marketing

supply chain management

________ refers to buying a packaged solution to a problem from a single seller, thus avoiding all the separate decisions involved in a complex buying situation. Proposal solicitation Performance review Systems selling Problem recognition General need specification

systems selling

Selecting which segments of a population to serve is called ___________ -market segmentation -positioning -customization -differentiation -target marketing

target marketing