intro to marketing chapter 3
code of ethics
A company or association's ________ is designed to help guide responses to complex social responsibility issues.
citizen-action publics
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 ________.
false
A company's marketing environment excludes the actors and forces outside marketing that affect marketing management's ability to build and maintain successful relationships with target customers.
baby boomers
Among the generational groups in U.S population, the ________ are still the wealthiest generation in U.S. history.
booming SOHO market
An increasing number of American workers currently work from their homes or remote offices and conduct their business by phone or the Internet. These trend has created a ________.
) environmental sustainability
As a consequence of the green movement, many companies are developing strategies and practices that support ________.
true
As baby boomers reach their peak earning and spending years, they become lucrative markets for financial services, travel, and entertainment.
true
Business markets buy goods and services for further processing or use in their production processes.
general publics
Cape Sky Inc., an international insurance and financial services company, is the primary sponsor of the annual New York City Marathon, which is attended by over one million fans and watched by approximately 300 million viewers worldwide. The Cape Sky logo and name are displayed throughout the race course. Cape Sky most likely sponsors this event in order to appeal to which of the following types of publics?
corporate giving
Cause-related marketing has become a primary form of ________.
true
Companies in several industries have recognized the buying power of the LGBT segment of the U.S. population and have begun explicitly targeting these consumers with gay-specific ads and marketing efforts.
develop strategies to change the environment in their favor
Companies that take a proactive stance toward the marketing environment are most likely to ________.
microenvironment
Dan has been directed to study the actors close to a company that affect its ability to serve its customers, such as the company, suppliers, marketing intermediaries, customer markets, competitors, and publics. In this instance, Dan has been directed to study the ________ of the company.
false
Environmental sustainability concerns have declined steadily over the past three decades.
Child Protection Act
Funco Inc., a toy manufacturer, sold plastic racing cars that were manufactured with toxic materials, which threatened the health of several children. Under which of the following acts is Funco most likely to be prosecuted?
to produce public services
Government markets consist of government agencies that buy goods and services ________.
) guide commerce
Governments develop public policy to ________.
false
Local publics include consumer organizations, environmental groups, minority groups, and others.
false
Marketers must increasingly consider the special needs of traditional households because this segment of the population is growing more rapidly than nontraditional households.
true
Marketing services agencies are the marketing research firms, advertising agencies, media firms, and marketing consulting firms that help the company target and promote its products to the right markets.
true
Marketing success requires building relationships with other company departments, suppliers, marketing intermediaries, competitors, various publics, and customers, which combine to make up the company's value delivery network.
false
Millennials comprise the most commercially influential group in America today.
true
Millennials represent a larger demographic segment than the baby boomers or Gen Xers
fresh markets and opportunities
New technologies most likely lead to ________.
false
Prior to the Great Recession of 2008/2009, American consumer spending was careful and restrained.
false
Secondary beliefs and values are less open to change than core beliefs and values
false
The American workforce today is less white-collar than before.
true
The Gen Xers are increasingly displacing the lifestyles, culture, and values of the baby boomers.
true
The demographic environment is of major interest to marketers because it involves people, and people make up markets.
false
The introduction of new technologies is equally beneficial to all industries.
false
The popularity of cause-related marketing as a form of corporate giving is rapidly declining.
false
The single most important demographic trend in the United States that marketers should understand is the changing family structure of the population.
false
The technological environment is predominantly static
true
Trudie Jones works for a distribution channel firm that helps several electronics companies find customers or make sales to them. Trudie works for a reseller.
false
When a company hires lobbyists to influence legislation affecting its industry, it is taking a defensive stance toward the marketing environment.
internal
Workers, managers, and members of the board are examples of ________ publics.
Physical distribution firms
________ help companies stock and move goods from their points of origin to their destinations.
Financial intermediaries
________ include banks, credit companies, insurance companies, and other businesses that help insure against the risks associated with the buying and selling of goods.
Business
________ markets buy goods and services for further processing.
Generation X
Mary Adams is helping her company develop a marketing program for a new product line. The program is designed to appeal most to less materialistic consumer groups who are likely to prize experience, not acquisition. The marketing program is most likely designed to appeal to which of the following demographic groups
secondary
Mercury Inc., an American MNC, 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.
likely to offer the same advantages as metropolitan areas
Micropolitan areas are ________.
Sunbelt states
Over the past two decades, the U.S. population has shifted toward the ________.
patriots
People vary in their attitudes toward their society—while ________ defend it, malcontents want to leave it.
consumer
Price & Malone Corp., a company based in Houston, caters to a market of individuals and households that buy goods and services for personal consumption. Price & Malone caters to a ________ market.
reseller
Rachel works for a furniture company in Ireland. She is responsible for buying and selling goods at a profit to small retailers. Rachel most likely operates in a ________ market.
proactive stance
Rather than assuming that strategic options are bounded by the current environment, firms adopting a(n) ________ to the marketing environment develop strategies to change the environment.
macroenvironment
Sam has been directed to study the demographic, economic, political, and cultural forces that affect an organization. In this instance, Sam has been directed to study the ________ of the organization.
proactive
Sarah Parker is a senior manager in a manufacturing firm that hires lobbyists to influence legislation that affects the manufacturing industry. Sarah's firm takes a(n) ________ stance toward the marketing environment.
implement a mass marketing campaign
Seth Hoffman's chain of travel agencies has identified the lesbian, gay, bisexual, and transgender community as a growing market that spends an increasing percentage of its income on travel. Which of the following would be the LEAST effective component of a marketing plan for Seth to take advantage of this opportunity?
supplier
Sparex Inc., is a manufacturer of metal bolts that are used by Boilex Inc., to manufacture heavy machineries. In this instance, Sparex acts as a ________.
consumer
Sparks Inc. has a growing ________ market in the U.S. consisting of individuals and households that buy Sparks' products for personal use.
LOHAS
Taurus Automobile's Arrow is the first mass-produced hybrid vehicle, known for its fuel efficiency and environmental friendliness. The Arrow is most likely to become popular in the ________ market
Millennials
The 83 million children born between 1977 and 2000 are known as the ________
cultural
The ________ environment consists of institutions and other forces that affect a society's basic values, perceptions, preferences, and behaviors.
political
The ________ environment consists of laws, government agencies, and pressure groups that influence or limit various organizations and individuals in a given society.
Children's Television Act
The ________ limits the number of commercials aired during children's programs
Sherman Antitrust Act
The ________ prohibits monopolies and activities (price-fixing, predatory pricing) that restrain trade or competition in interstate commerce
true
The aim of the entire value delivery network is to serve target customers and create strong relationships with them.
online privacy issues
The boom in Internet marketing has created a new set of social and ethical issues. Critics worry most about ________.
consumer purchasing power
The economic environment consists of economic factors that affect ________.
spirituality
The fact that people are dropping out of organized religion doesn't mean that they are abandoning their faith. Some futurists have noted a renewed interest in ________, perhaps as a part of a broader search for a new inner purpose.
internal
The interrelated departments within a company that influence marketing decisions form the ________ environment.
false
The macroenvironment consists of the factors close to the company that affect its ability to serve its customers, such as suppliers, customer markets, competitors, and publics.
demographic environment
The marketing team of 7 Star Inc., a company manufacturing smartphones, is currently studying the size, density, location, age, and occupation of its target market. Which of the following environments is being studied in this scenario?
falses
The microenvironment consists of larger societal forces that affect a company, such as demographic, economic, political, and cultural forces.
natural
The physical environment affecting marketing activities is referred to as the ________ environment.
changing age structure of the population
The single most important demographic trend in the United States is the ________.
) go beyond government regulations
The so-called green movement encouraged companies to ________.
secondary belief
Ursula Jenkins, a fifty-one-year-old school teacher from Nebraska, believes that people should choose a profession they like, which is an example of Ursula's ________.
Millennials
Which among the following generational groups is most fluent and comfortable with digital technology?
local publics
Which group includes neighborhood residents and community organizations?
the migration toward micropolitan and suburban areas
Which of the following demographic trends is the most likely cause for a rapid increase in telecommuting?
Generation X
Which of the following generation groups is the most educated to date?
Baby Boomers
Which of the following generational groups is most likely to represent the present owners of cottages surrounding Witmer Lake?
Millennials
Which of the following generational groups, born between 1977 and 2000, is also referred to as the echo boomers?
financial publics
Which of the following groups influences the company's ability to obtain funds?
the Northeast states
Which of the following has lost population in the past two decades?
marketing intermediaries
Which of the following is a component of a firm's microenvironment?
Patriotism could be viewed as an attempt to gain from a nation's triumphs.
Which of the following is a potential downside to using patriotic themes in marketing programs?
increase in the consumption of convenience foods
Which of the following is a result of a significant increase in the number of women in the workforce?
the low percentage of married couples with children
Which of the following is a trend that depicts the increasingly nontraditional nature of today's American families?
More than 40 million people living in the United States were born in another country.
Which of the following is an accurate statement about the diversity of the American population?
Research costs for companies have risen
Which of the following is most likely a result of regulations set up by the Food and Drug Administration and the Consumer Product Safety Commission?
) media
Which of the following is most likely influenced by marketers?
The past two decades have seen a sharp decrease in confidence in and loyalty toward America's business organizations.
Which of the following is most likely true with regard to people's views of organizations in contemporary America?
the natural environment
Which of the following is the macroenvironmental force that benefitted The Landing the most?
the demographic environment
Which of the following is the macroenvironmental force that has had the greatest effect on The Landing?
They were the first to grow up in the Internet era.
Which of the following is true of Gen Xers?
They are the children of baby boomers and were born between 1977 and 2000.
Which of the following is true of the Millennials?
They control an estimated 80 percent of the United States' personal wealth
Which of the following is true of the baby boomers?
This group carries news, features, and editorial opinion
Which of the following is true with regard to media publics?
Most individuals with disabilities are active consumers.
Which of the following is true with regard to the diversity segment of U.S. adults with disabilities?
competitors
Which of the following microenvironment actors has had the most influence on The Landing?
increase in ethnic populations
Which of the following situations is expected to enhance the use of targeted advertising messages by marketers?
Over the past several decades, the middle class has grown phenomenally
Which of the following statements about income distribution in the United States is NOT true?
marketing environment
Which of the following terms is used to describe the actors and forces outside marketing that affect marketing management's ability to build and maintain successful relationships with target customers?
Millennials
Wholesome Soups, a maker of organic soups, is starting a new marketing campaign emphasizing the ease of preparing and eating Wholesome Soups. Print, television, and Internet ads feature teens enjoying Wholesome Soups in between classes and during study breaks. Wholesome Soups' new marketing campaign is most likely aimed at which of the following?
targeted advertising messages
With an expected increase in ethnic diversity within the American population, marketers are most likely to place a greater emphasis on ________.
Suppliers
________ provide the resources needed by a company to produce its goods and services.
citizen-action
A consumer organization in Ohio has challenged the marketing decision of a local firm alleging it to be against the larger social interest. In this instance, the firm is challenged by a ________ public.
subsistence
A country with a(n) ________ economy consumes most of its own agricultural and industrial outputs and offers few market opportunities.
industrial economy
A country with a(n) ________ has rich markets for many different kinds of goods
contributing to increased pollution
A firm dumping chemical wastes in the local waterbody is ________.
core belief
A pastor from Kansas believes that adultery is immoral. This refers to the pastor's ________.
cause-related marketing
A regional supermarket chain runs print, radio, and television advertisements announcing that 1 percent of each of its sales is donated to local after-school programs for underprivileged youth. This is an example of ________.
cultural values
A society's ________ are expressed in how people view themselves and others, organizations, society, nature, and the universe
offer consumers a balanced combination of product quality at a fair price
A value marketer is most likely to ________.
Hispanics
By 2050, ________ will be an estimated 30 percent of the U.S. population.
Millennials
Marketers often split the ________ into teens and young adults.
alternative medicine
Consumers in the "lifestyles of health and sustainability" (LOHAS) market are more likely to seek ________.
professional workers
Currently, in the United States, job growth is the strongest for ________.
manufacturing workers
Currently, in the United States, job growth is the weakest for ________.
fixed
Marketers should understand that people's core beliefs and values tend to be ________.
from the cities to the suburbs
In the 1950s, Americans made a massive exit ________.
micropolitan
In the context of geographical shifts in population, the migration toward ________ areas has resulted in a rapid increase in the number of people who telecommute. A) urban
marketing intermediary
Jonathan works for a firm that assists companies in promoting, distributing, and selling their products to end consumers. The firm Jonathan works for is a ________.
physical distribution firms
LandPort Transportation and Omega Warehousing help companies move and stock goods from their manufacturing units to their destinations. These two businesses are examples of ________.
businesses sometimes try to neutralize threatening firms
Laws are passed to define and prevent unfair competition primarily because ________.
) technological
Many companies use RFID product labels on their goods, which exemplifies the ________ environment in business.
track products through various points in the distribution channel
Many firms today use RFID technology to ________.
marketing services agency
Maria works for Sigma Inc., a firm that helps companies target and promote their products to the right markets. Sigma is most likely a ________.