ba370 ch1 test 1
Henry Ford's statement, "Customers can have any color they want so long as it's black," typified the __________ era of marketing. A. production-oriented B. sales-oriented C. market-oriented D. value-based marketing E. retailing-oriented
a
In the past, manufacturer's representatives did not have real-time inventory data about the products they were selling. Today, manufacturer's representatives are often provided online access to inventory data for the companies they represent. These online inventory systems allow companies to become more value driven by A. sharing information across the organization. B. balancing customers' benefits and costs. C. evaluating strategic competitive partnerships. D. building relationships with government regulators of marketing institutions. E. keeping prices below those charged by competitors.
a
Jami sells construction equipment. Whenever she calls on her building contractor customers, she asks if they are having any problems. In doing so, Jami is addressing which of the following core aspects of marketing? A. satisfying customer needs and wants B. completing the exchange function of marketing C. making product, place, promotion, and price decisions D. making decisions about the setting in which marketing takes place E. creating value
a
Julia is considering a career in marketing. She is concerned about the image of marketers as fast-talking, high-pressure people who care only about making a sale. When reading about the core aspects of marketing, Julia is relieved to see that in marketing A. all parties to an exchange should be satisfied. B. promotion is the most important consideration, followed by pricing decisions. C. decisions are made regarding how a product is designed. D. customers are not considered until the product is ready for sale. E. distribution is controlled by customers.
a
Many inventors struggle with the question, "I made it; now how do I get rid of it?" They have made the error of considering marketing as A. an afterthought. B. an integral part of a business plan. C. an accounting function. D. a profit center. E. important only for new products.
a
Marketers must determine the price of a product carefully, based on potential buyers' beliefs about A. its value. B. the environment. C. the cost to manufacture the product. D. the economic outlook. E. the product's new advertising campaign.
a
Marketing efforts designed to get the product or service to the right customer, when that customer wants it, are called A. supply chain management. B. a transactional orientation. C. wholesaling. D. value cocreation. E. endless chain marketing.
a
Melanie works for a small computer software company. Her boss is constantly improving the company's products but neglects customers, billing, and promoting the company. Her boss is probably stuck in the __________ era of marketing. A. production-oriented B. sales-oriented C. market-oriented D. value-based marketing E. retailing-oriented
a
The idea that a good product will sell itself is associated with the __________ era of marketing. A. production-oriented B. sales-oriented C. market-oriented D. value-based marketing E. retailing-oriented
a
UPS, FedEx, DHL, and other shipping companies support other firms' __________ marketing goals. A. supply chain management B. value communication C. value capture D. retail management E. promotion
a
When a T-shirt manufacturer states, "We sell it only in black because that way we can buy plenty of black fabric and run our plant efficiently," its statement reflects the views that were popular in which era of the evolution of marketing? A. production-oriented B. sales-oriented C. market-oriented D. value-based marketing E. economics-oriented
a
When retailers accumulate merchandise from producers in large amounts and sell to consumers in smaller amounts it is considered _______ marketing. A. B2C B. B2B C. R2C D. C2C E. C2B
a
Whenever Valerie has a new massage therapy customer, she invites the person to be on her e-mail distribution list. In the process, in addition to exchanging her massage therapy service for payment, Valerie is gathering A. information. B. promotional capital. C. pricing data. D. value cocreation. E. feedback.
a
Yolanda is the new restaurant manager in a major hotel. When considering changes in the restaurant that will increase value to customers, Yolanda will likely attempt to either provide the same quality at a lower cost or A. improve products and services at the same cost. B. increase prices to increase revenue. C. offset higher hotel rates with lower restaurant prices. D. reduce customer expectations through reduced service. E. lower the quality and the price.
a
advertised nationally throughout the franchise system. One Monday, she was surprised to find customers asking for specials she hadn't been informed of in advance. The franchise company failed to live up to the value-driven activity of A. sharing information across the organization. B. balancing customers' benefits and costs. C. evaluating strategic competitive partnerships. D. building relationships with customers. E. keeping prices below those charged by competitors.
a
A local art gallery keeps information on its customers regarding their preferences for certain artists as well as the style of art that interests them. The gallery uses this information to inform the customers when new products arrive from their favorite artists and targets them with special promotions. In this way, the gallery is using _______ to build loyalty among its customers. A. value cocreation B. customer relationship management C. transactional marketing D. B2B marketing E. the supply chain
b
A relational orientation is based on the philosophy that buyers and sellers develop A. a complete understanding of one another's needs. B. a long-term relationship. C. a price-value comparison matrix. D. supply chain synergy. E. a marketing value transaction focus.
b
By allowing consumers to sell their unwanted goods to other consumers, auction sites like eBay cater to __________ marketing. A. B2B B. C2C C. D2C D. C2D E. B2G
b
During the __________ era, firms had excess capacity and used personal selling and advertising to generate customers. A. production-oriented B. sales-oriented C. market-oriented D. value-based marketing E. retailing-oriented
b
Franco uses a database software system to remind him when his customers should be ready to reorder his industrial cleaning products. With this reminder system, Franco contacts his customers when they are most likely to be "in the buying mode." Franco's system is part of A. C2C marketing. B. customer relationship management. C. a transactional marketing orientation. D. supply chain management. E. typical production era marketing practices.
b
Georgia, the outside sales rep for a major building supply company, reads a report stating that building permits are down dramatically in her sales territory. She had noticed that things were slowing down, but now she has data confirming her impression. Based on this information, Georgia will help her company become more value driven if she A. pushes her customers to buy products whether they need them or not. B. advises the production and purchasing departments to produce or order smaller quantities of products. C. avoids contacting her customers until the slowdown ends. D. avoids contact with competing firms in order to maximize value-driven marketing. E. keeps the information to herself.
b
Jenny, the delivery and sales representative for a beer distributor, is calling on a retailer and sees the shelves are almost empty. An unexpected sporting event held nearby resulted in a huge increase in sales. She calls her company's distribution manager and requests a special delivery for her customer. Jenny is providing the important marketing function of A. advising production on how much product to make. B. alerting the logistics department when to ship products. C. advising the customer about new products and markets. D. identifying opportunities to expand. E. synthesizing and interpreting sales, accounting, and customer-profile data.
b
Many catalog companies create special-run issues based on what customers have purchased in the past. For example, customers who frequently order bedding items like sheets and pillows receive a catalog with a larger section of bedding items than do customers who mostly order kitchen tools. This is an example of A. C2C marketing. B. customer relationship management. C. a transactional marketing orientation. D. supply chain management. E. typical production-oriented era marketing practices.
b
Marketing enriches society by A. focusing solely on maximizing profits. B. sponsoring charitable events. C. recognizing that the firm can do very little by itself, and so it should stay focused on its own core competencies. D. facilitating the smooth flow of goods through the supply chain. E. coordinating marketing functions with other functional areas in the company.
b
Near the end of the model year, Move-Them-Out automobile dealership had an unusually high inventory level. The manager increased her advertising spending and gave extra incentives to its salespeople. Move-Them-Out operates as if it were in the __________ era. A. production-oriented B. sales-oriented C. market-oriented D. value-based marketing E. retailing-oriented
b
Some discount stores put products in large bins and let consumers hunt and find bargains. The price these consumers pay includes A. only the actual price they pay at the register. B. the value of their time and energy. C. the excitement they experience in finding an item they desire. D. the savings to the store of not having to display the products neatly on shelves. E. the time the product was full price and didn't sell.
b
The basic difference between a good and a service is that a good A. provides intangible benefits. B. can be physically touched. C. is always less expensive than a corresponding service. D. generates greater interest among consumers. E. is more quickly forgotten by consumers.
b
The marketing goal of getting the "right quantities to the right locations, at the right time" relates to A. communicating the value proposition. B. managing the supply chain. C. performing service marketing. D. capturing value. E. managing price and performance.
b
The prevailing marketing strategy of the __________ era was to find customers for inventories that went unsold. A. production-oriented B. sales-oriented C. market-oriented D. value-based marketing E. retailing-oriented
b
When we say that marketing can be entrepreneurial, it means that entrepreneurs A. attempt to mimic existing products on the market. B. strive to satisfy unfilled needs. C. raise social consciousness. D. gain monopoly power. E. push new technology even if people aren't ready for it.
b
Which of the following best represents how marketing expands firms' global presence? A. when companies hire employees from different backgrounds and cultures B. when companies manufacture and sell their products all over the world C. when companies see a product manufactured overseas and decide to produce it domestically D. when companies require their employees to learn a foreign language E. when companies adhere to government restrictions in overseas markets
b
Which of the following statements reflects the philosophy of the market-oriented era? A. A good product will sell itself. B. The customer is king. C. Firms should take advantage of a seller's market. D. Advertising and personal selling should be emphasized in order to make the sale. E. Firms should focus on value.
b
Xavier is analyzing potential market segments. He should carefully seek potential customers who have both an interest in his products and A. a thorough knowledge of his brand messages. B. the ability to buy them. C. knowledge of competing products. D. the ability to negotiate discounts. E. are removed from traditional marketing alternatives.
b
Yesenia, the new university course scheduling manager, is struggling with adjustments to the fall schedule. She is trying to determine how to offer the classes students need at the times when students need them. Yesenia is struggling with the marketing function of A. communicating the value proposition. B. managing the supply chain. C. creating value. D. capturing value. E. cocreating value.
b
__________ is communication by a marketer that informs, persuades, or reminds potential customers about a product. A. Pricing B. Promotion C. Placement D. A relational orientation E. Value cocreation
b
the prices of their offerings. A. information B. benefits C. relationships D. rebates E. merchandise
b
After the previous sales representative in his territory infuriated an important customer, Benjamin visited the customer once a month, never asking for business but hoping to rebuild trust through listening and expressing concern. Finally, after more than two years, the customer gave Benjamin an order. Benjamin was providing the important marketing function of A. advising production on how much product to make. B. alerting the logistics department when to ship products. C. engaging customers and developing long-term relationships. D. identifying opportunities to expand. E. synthesizing and interpreting sales, accounting, and customer-profile data.
c
Brian is struggling with the choice of publishing his new book, How to Cook Polish Barbeque, as an e-book or a paperback. Brian is addressing which core marketing aspect? A. developing a promotional plan B. managing the exchange function of marketing C. making product decisions D. deciding where and how to sell the product E. pricing the product
c
During the __________ era, manufacturers and retailers began to focus on what consumers wanted and needed before they designed, made, or attempted to sell their products. A. production-oriented B. sales-oriented C. market-oriented D. value-based marketing E. retailing-oriented
c
Effective promotion enhances a product or service's A. supply chain management system. B. wholesaling capabilities. C. perceived value. D. design features. E. trialability.
c
Greenbelt Construction has been a successful small home-building firm for years. The owner pays subcontractors slightly more than the usual rate for different tasks, reducing the company's gross margin. Greenbelt rarely changes subcontractors, has relatively few complaints from home buyers, and is able to get quick responses from subcontractors when buyers do have problems. Greenbelt is engaged in A. a traditional transactional orientation. B. C2C value-driven marketing. C. effective supply chain management. D. value cocreation. E. a virtual monopoly.
c
Henriette offers financial counseling and management on a fee-only basis. She has found that different customers are willing to pay different rates for her services. This shows that her pricing decisions should depend primarily on A. choosing an average price that she will charge all her clients. B. changes in technology allowing consumers to manage their own affairs. C. how different customers perceive the value of her services. D. changes in the economy. E. how much her competitors charge for similar services.
c
If a firm adopts a CRM business philosophy, it most likely has a(n) _______ orientation with its customers. A. transactional B. external C. relational D. internal E. divisional
c
In delivering value, marketing firms attempt to find the most desirable balance between A. the need for value and the perception of value. B. explicit versus implicit value. C. the need to provide benefits to customers and keep down costs. D. the desire to satisfy customers and the desire to satisfy employees. E. the need for product improvement and the need for advertising.
c
Many U.S. companies first discovered marketing during the __________ era. A. production-oriented B. sales-oriented C. market-oriented D. value-based marketing E. retailing-oriented
c
Marketers involved in value-oriented marketing are constantly balancing A. promotional effectiveness with ethical advertising standards. B. the problem of price maximization with cost-efficiency. C. perceived customer benefits with the costs of their offerings. D. the desire to achieve with the need for a stable source of supply. E. the goal of efficiency with the price charged by competitors.
c
Marketing has traditionally been divided into a set of four interrelated decisions known as the marketing mix, or four Ps, including all of the following except A. product. B. place. C. performance. D. promotion. E. price.
c
One of the benefits of value-driven marketing is that attention to customer needs and wants will likely result in A. higher prices than the market leader charges. B. increased competition. C. long-term relationships. D. strong connections among competing firms in the marketplace. E. lower prices.
c
The "Got Milk" advertising campaign, designed to increase consumption of milk, was intended to help market a(n) A. service. B. firm. C. industry. D. organization. E. specific product.
c
use of the Internet took off, car manufacturers were tempted to sell directly to consumers, but decided instead to continue to sell through their existing dealer networks. The car manufacturers considered switching from __________ to __________ marketing. A. B2C; B2B B. B2C; C2C C. B2B; B2C D. B2B; C2C E. C2C; B2C
c
was during the market-oriented era that firms first discovered "marketing." In what timeframe did this occur? A. around the turn of the 20th century B. shortly before the Great Depression C. just after World War II D. during the Roaring Twenties E. during the civil rights movement
c
After major hurricanes like Katrina, many ethical home repair and building supply businesses continue to charge pre-hurricane prices to their customers, even though due to the huge increase in demand they could charge much more. These firms probably recognize that A. they can make more money from government contracts than from sales to customers. B. a transactional orientation is the key to long-term profitability. C. none of their competitors would be raising prices. D. lifetime profitability of relationships matters more than profits from a particular transaction. E. if they raised prices they would be in violation of Commerce Department regulations.
d
By promoting perfume based on youth, style, and sex appeal, Calvin Klein is attempting to A. influence social norms regarding sexuality. B. encourage consumers to participate in product redesign. C. stimulate supply chain management cooperation. D. increase the perceived value of its products. E. demonstrate social responsibility.
d
During the __________ era, manufacturers and retailers recognized they needed to give their customers greater value than their competitors did. A. production-oriented B. sales-oriented C. market-oriented D. value-based marketing E. retailing-oriented
d
Even though they operate from out-of-the-way airports and offer few extra services, discount, no-frill airlines like Ryanair and EasyJet have been successful. Consumers obviously consider A. the extra services offered by these airlines to be the most thorough in the industry. B. the long-term relationships established by these airlines to be a critical benefit. C. the prices to be slightly lower, but not low enough to have much influence. D. the benefit of lower prices to be greater than the cost of reduced services and less convenience. E. the major airlines to be worthless.
d
Four Winds Art Gallery recently began offering appraisals of customers' art collections, in addition to continuing to sell paintings. Four Winds is A. expanding from offering just services to also offering goods. B. implementing a market segmentation strategy. C. capturing value through multiple pricing strategies. D. expanding from offering just goods to also offering services. E. increasing customer value through inflated appraisal evaluations.
d
Leah is the marketing manager for an electronics company. While on vacation in Ecuador, she visited electronics stores in the major malls in Quito, the capital city. Most of her company's products were available, except for smartphones. When she returned to work, she mentioned this observation to her international sales manager. Leah was providing the important marketing function of A. advising production on how much product to make. B. alerting the logistics department when to ship products. C. engaging customers, developing long-term relationships. D. identifying opportunities to expand. E. synthesizing and interpreting sales, accounting, and customer-profile data.
d
Many universities provide physical or electronic bulletin boards to facilitate ride-sharing and exchange of used books among students. These bulletin boards increase __________ marketing. A. B2C B. C2B C. B2B D. C2C E. underground
d
Serena studies her customer profiles, market research data, complaints, and other information, attempting to better understand what her customers want. Serena most likely operates in the __________ era of marketing. A. production-oriented B. sales-oriented C. market-oriented D. value-based marketing E. retailing-oriented
d
The evolution of marketing progressed along the following continuum: A. sales, marketing, value-based marketing, production. B. marketing, value-based marketing, production, sales. C. value-based marketing, production, sales, marketing. D. production, sales, marketing, value-based marketing. E. sales, value-based marketing, marketing, production.
d
The four Ps make up the marketing mix, which is the __________ set of activities that the firm uses to respond to the wants and needs of its target markets. A. unpredictable B. external C. internal D. controllable E. global
d
The goal of customer relationship management is to A. manage every customer relationship differently. B. manage every customer relationship to maximize short-term profitability. C. eliminate customers who are profitable, but not highly profitable. D. identify and build loyalty among a firm's most valued customers. E. generate relationships with competitor's customers.
d
The importance of supply chain management is often overlooked in the study of marketing because A. marketing has no responsibility for supply chain management. B. supply chain management doesn't add much value for customers. C. companies do not want customers to know anything about the supply chain. D. many of the activities take place behind the scenes. E. supply chain management is already transparent.
d
To become a more value-driven organization, Pokrah University is holding regular coffee-hour discussions with its students and surveying its graduates regarding students' educational needs and desires. By doing so, Pokrah University is becoming more value driven through A. sharing information across the organization. B. balancing its customers' benefits and costs. C. evaluating strategic competitive partnerships. D. building relationships with customers. E. keeping the faculty members happy.
d
Trey sells consumer electronics. He knows his customers weigh the costs versus the benefits associated with the different options available. He decides which products to offer and what prices to charge based on the way his customers think. Trey operates as if he were in the __________ era. A. production-oriented B. sales-oriented C. market-oriented D. value-based marketing E. retailing-oriented
d
Which of the following is a core aspect of marketing? A. satisfying as many needs as possible B. creating a product that everyone will want to buy C. setting prices lower than all competitors D. making product, place, promotion, and price decisions E. increasing the company's profit
d
A friend of yours comments, "I'm starting my own business. I have a perfect product that no one else can touch, but I have no use for marketing. That's just for the mega-corporations." Which of the following arguments would you not use in talking about marketing? A. Marketing helps new ventures organize, operate, and assess risk. B. Marketers help address unmet customer needs, regardless of the size of the firm. C. Marketing focuses on the product, but only as one element. Three other areas are promotion, price, and place. D. Marketers are skilled at communicating the value of the product to potential customers. E. Marketing isn't essential now, but it will be in a year or two when the product takes off.
e
Christie has just started with a travel agency, and she has been offering clients and prospective clients a range of packaged tours. She is concerned, because the commissions she is earning on her sales are lower than she had hoped. Her colleague Peter, who has been with the agency for several years, is having a great deal of success by working closely with the clients, seeking their ideas, and building customized tour packages for each one based on their suggestions. Peter's approach is based on A. transaction-oriented marketing. B. premium pricing. C. his seniority at the firm. D. special incentives from tour operators. E. value cocreation.
e
Marketing channel management is also known as A. endless chain marketing. B. a transactional orientation. C. wholesaling. D. production management. E. supply chain management.
e
Marketing involves all of the following except A. conducting exchanges. B. satisfying customer needs and wants. C. creating value. D. efforts by individuals and organizations. E. production scheduling. Production scheduling is the responsibility
e
The fundamental goal of marketers when creating goods, services, or combinations of both is to A. defeat the competition. B. serve all consumers. C. operate according to government regulations. D. stimulate short-term sales. E. create value.
e
Value is A. the lowest cost option. B. represented by brand names. C. the highest-priced alternative. D. everyday low prices. E. what you get for what you give.
e
What is the focus of a firm that develops a relational orientation with its customers? A. relating product knowledge to customer's interests B. gaining profit from each customer transaction C. generating profits quickly before customers shop elsewhere D. working with competitors to simplify product offerings for customers E. gaining lifetime profitability from customer relationships
e
When referring to "exchange," marketers are focusing on A. the location where products and services are traded. B. the price charged, adjusted for currency exchange rates. C. location-based tactics for creating value. D. promotional offers designed to stimulate barter. E. the trading of things of value.
e
Which element of the marketing mix deals with supply chain management? A. product B. price C. promotion D. production E. place
e
A group of firms that makes and delivers a given set of goods and services is known as a distribution network.
false
Approximately half of marketers say they now use social media tools for marketing purposes
false
Effectively managing supply chains has a minimal effect on profitability.
false
Marketing is an activity that only large firms with specialized departments can execute.
false
Marketing's fundamental purpose is to create value by developing a variety of offerings that will earn income for the company.
false
Over the past decade or so, marketers have begun to realize that it is best to structure a firm's customer orientation in terms of transactions rather than relationships.
false
The four Ps of the marketing mix include product, promotion, planning, and place.
false
Unlike large corporations, small entrepreneurs are unable to understand and control their marketing mixes.
false
When a manufacturer sells truck and car parts to Toyota, this is an example of B2C marketing.
false
According to the American Marketing Association, marketing is the activity, set of institutions, and processes for creating, capturing, communicating, delivering, and exchanging offerings that have value for customers, clients, partners, and society at large.
true
As it relates to marketing, the trade of things of value between the buyer and the seller so that each is better off as a result is known as an exchange.
true
Buffalo Wild Wings suggests that its diners check in to its locations using their phones. This demonstrates the use of social media to market a product.
true
Firms become value driven, in part, by focusing on the competition.
true
Firms have come to realize that good corporate citizenship through socially responsible actions should be a priority because it will help their bottom line in the long run. Firms have come to realize that good corporate citizenship through socially responsible actions should be a priority because it will help their bottom line in the long run.
true
Garage sales and online classified ads are examples of C2C marketing.
true
Good marketing is not a random activity.
true
Happy Cow is an example of a location-based social media application.
true
In value cocreation, the customer participates in the creation of a good or service, which provides additional value to the customer.
true
Margo likes her morning coffee, and she always stops at Starbucks because it is on her way to work. Margo is being influenced by the place element of the marketing mix.
true
Marketers might wish to sell their products to everyone, but it is not practical to do so.
true
The group of firms that makes and delivers a given set of goods and/or services is called a supply chain.
true
The power adapters Dell sells with its computers are built by small companies that specialize in power-related accessories. When Dell purchases its power adapters from these small companies, it is engaged in B2B marketing.
true
Understanding a customer's needs and wants is fundamental to marketing success
true
Value is what you get for what you give.
true
When a good or service is promoted, the purpose of the promotion is to inform, persuade, or remind customers about the good or service.
true
