Marketing 3310 Final Exam
The ____________ concept holds that achieving organizational goals depends on knowing the needs and wants of target and delivering the desired satisfactions better than competitors do. A) marketing B) product C) production D) selling E) societal marketing
marketing
Which of the following is a shortcoming of advertising? A) It does not allow dramatization of the brand or company. B) It only provides one-way communication with customers. C) It can be too customized and only attracts small, niche markets. D) It reaches targeted customers too slowly in most cases. E) It is the most costly promotion tool for companies.
B) It only provides one-way communication with customers.
____________ refers to the portion of the customer's purchase that a company gets in its product categories. A) Value proposition B) Share of customer C) Brand equity D) Customer lifetime value E) Customer equity
B) Share of customer
In which of the following customer relationship groups do organizations generally avoid investing? A) barnacles B) strangers C) butterflies D) true believers E) true friends
B) Strangers
_______ pricing is when a firm tries to determine the price at which it will break even or earn the profit it is seeking. A) Competition-based B) Target return C) Cost-plus D) Good-value E) Value-added
B) Target return
A firm has a huge amount of individual customer data saved in different databases. Which of the following can be used to integrate, analyze, and apply the available information effectively? A) online market research tools B) integrated marketing systems C) CRM systems D) internal survey methods E) quality assurance tools
C) CRM systems
Marketers are said to suffer from marketing myopia when they ignore underlying consumer needs and focus excessively on______________. A) consumers' brand experiences B) competitors' threats C) Consumers' existing wants D) Competitors strengths E) Consumers' future demands
C) Consumers' existing wants
____________ is the total combined customer lifetime values of all the company's current and potential customer A) Share of customer B) Value proposition C) Customer equity D) Market share E) Customer-perceived value
C) Customer-perceived value
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____________. A) Need B) Value C) Demand D) Marketing offering E) desire
C) Demand
________ is the sum of all the values that customers give up to gain the benefits of having or using a product or service. A) Payroll B) Profit C) Price D) Cost E) Salary
C) Price
________ segmentation factors divide buyers into different groups based on social class, lifestyle, or personality characteristics. A) Geographic B) Demographic C) Psychographic D) Behavioral E) User status
C) Psychographic
_______________ are customers who show low potential profitability and little projected loyalty. A) True friends B) Barnacles C) Strangers D) True believers E) Butterflies
C) Strangers
What country has the highest rate of inflation in the world right now? A) Monaco B) Germany C) Venezuela D) Brazil E) United States
C) Venezuela
Which of the following is true about customer relationship management (CRM)? A) It eliminates the need for primary research. B) It minimizes the need for costly marketing analytics. C) It relies on the use of exploratory and causal research. D) It consists of sophisticated software and analytical tools. E) It excludes data on existing customers to focus on potential customers.
D) It consists of sophisticated software and analytical tools.
Which of the following is true of strategic planning in a firm? A) It deals with maintaining the company's current business ventures. B) It focuses on the firm's internal environment rather than the external environment. C) It occurs at the business-unit, product, and market levels rather than at the corporate level. D) It deals with adapting the firm to take advantage of changing marketing opportunities. E) It involves preparing short-term investment objectives at the product level.
D) It deals with adapting the firm to take advantage of changing marketing opportunities
________ is the process of dividing a market into distinct groups of buyers who have different needs, characteristics, or behavior. A) Differentiation B) Mass marketing C) Market targeting D) Market segmentation E) Positioning
D) Market segmentation
The authors suggest that the term "supply chain" may be too limited because it takes a "make-and-sell" view of the business. They believe the term ________ is more appropriate because it suggests a "sense-and-respond" view of the market. A) "upstream chain" B) "downstream chain" C) "market chain" D) "production chain" E) "demand chain"
E) "demand chain"
________ is the only element in the marketing mix that produces revenue. A) Price B) Place C) Promotion D) Product E) Profit
A) Price
Which of the following concepts is based on a customer-centered philosophy? A) the product concept B) the marketing concept C) the production concept D) the selling concept E) the distribution concept
the product concept
Consumers' needs and wants are fulfilled through____________ A) value B) demand C) desire D) market offerings E) ideas
D) market offering
When establishing prices, it's important for a manager to understand that "good value" is not the same as ________. A) "low price" B) "high price" C) "bargain basement" D) "perceived value" E) "everyday value"
A) "low price"
Dividing a market into several sections of customers is known as_____________. A) mass customization B) market positioning C) market segmentation D) value engineering E) undifferentiated marketing
Market segmentation
_________ is the art and science of choosing target markets and building profitable relationships with them. A) Differentiation B) Marketing management C) Positioning D) Segmentation E) Customer-perceived value
Marketing management
Amazon Prime strives to convert casual shoppers into loyal customers. An Amazon Prime customer can be classified as a______________. A) barnacle B) true believer C) stranger D) laggard E) butterfly
true believer
The selling concept holds that______________. A) Consumers will not buy enough of a firms products unless the firm undertakes large-scale persuasion and promotion efforts B) a company's marketing decisions should consider consumers' wants, the company's requirements, consumers' long-run interests, and society's long-run interests C) consumers will only favor products that are available and highly affordable D) achieving organizational goals depends on knowing the needs and wants of target markets and delivering the desired satisfactions better than competitors do E) Consumers will favor products that offer the most in quality, performance, and innovative features
A) Consumers will not buy enough of a firms products unless the firm undertakes large-scale persuasion and promotion efforts
________ uses buyers' perceptions of what a product is worth as the key to pricing. A) Customer value-based pricing B) Target return pricing C) Cost-plus pricing D) Psychological pricing E) Competition-based pricing
A) Customer value-based pricing
Which of the following is true of a conventional distribution channel? A) It has each channel member acting as a separate business unit trying to maximize its own profits. B) It consists of producers selling their products directly to customers without the use of intermediaries. C) It has one channel member owning the other channel members. D) It is a distribution channel where a producer is owner of all the other channel members. E) It has all members of the channel working together as a single organization
A) It has each channel member acting as a separate business unit trying to maximize its own profits.
_____________ are defined as states of felt deprivation A) Needs B) ideas C) Demands D) values E) Exchanges
A) Needs
. ________ is the only element in the marketing mix that produces revenue. A) Price B) Place C) Promotion D) Product E) Profit
A) Price
________ data consist of information collected for the specific purpose at hand. A) Primary B) Secondary C) Derived D) Archival E) Historical
A) Primary
________ marketing calls for socially and environmentally responsible actions that meet the present needs of consumers and businesses while also preserving or enhancing the ability of future generations to meet their needs. A) Sustainable B) Customer driving C) Mass D) Customer-driven E) Differential
A) Sustainable
11. Producers use marketing intermediaries because they ________. A) create greater efficiency in making goods available to target markets B) supply inexpensive raw materials for manufacturing products C) provide technical expertise for faster production D) monitor day-to-day activities during production E) form a part of the company's direct channel
A) create greater efficiency in making goods available to target markets
Changes in variables, such as income, cost of living, interest rates, and savings and borrowing patterns most likely reflect changes in the ________ environment of a company. A) economic B) natural C) demographic D) political E) cultural
A) economic
Which of the following is a personal factor that influences a consumer's buying behavior? A) life-cycle stage B) motivation C) status D) family E) social networks
A) life-cycle stage
The first generation Apple iPod was introduced in 2001 and sold for $500. The following year a mini version was introduced for $250. Apple initially used a ________ strategy to price their digital music innovation. A) market-skimming B) target costing C) deceptive D) market-penetration E) predatory
A) market-skimming
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. A) marketing B) product C) production D) selling E) societal marketing
A) marketing
The______________ concept holds that achieving organizational goals depends on knowing the needs and wants of target markets and delivering the desired satisfaction better than competitors do. A) marketing B) product C) production D) selling E) societal marketing
A) marketing
The ultimate aim of customer relationship management is to_____________. A) produce high customer equity B) divide markets into distinct segments C) evaluate customer lifetime value D) turn "strangers" into "butterflies" E) evaluate current sales share
A) produce high customer equity
Both market penetration strategies and market development strategies primarily involve ________. A) selling a company's current products B) modifying the company's product line C) selling in new as well as existing markets D) developing a new product E) leaving the current market
A) selling a company's current products
JetBlue's promise to put "You Above All" by bringing humanity back to travel" is their____________. A) value proposition D) Segmentation strategy C) market offering D) selling concept E) production concept
A) value proposition
________ is the art and science of choosing target markets and building profitable relationships with them. A) Differentiation B) Marketing management C) Positioning D) Segmentation E) Value engineering
B) Marketing management
________ creates a seamless cross-channel buying experience that integrates in-store, online, and mobile shopping. A) Shopper marketing B) Omni-channel retailing C) Test marketing D) Online marketing E) Consolidation marketing
B) Omni-channel retailing
________ pricing is when a firm tries to determine the price at which it will break even or earn the profit it is seeking. A) Competition-based B) Target return C) Cost-plus D) Good-value E) Value-added
B) Target return
The societal marketing concept holds that____________. A) consumers will not buy enough of a firm's product unless the firm undertakes a large-scale selling an promotion effort B) a company's marketing decisions should focus on creating economic value in a way that also creates value for the surrounding environment C) the society will only favor products that are available and highly affordable D) achieving organizational goals depends on knowing the needs and wants of target markets and delivering the desired satisfactions better than competitors do E) consumers will favor products that offer the most in quality, performance, and innovative features
B) a company's marketing decisions should focus on creating economic value in a way that also creates value for the surrounding environment
The societal marketing concept holds that_____________ A) consumers will not buy enough of a firm's products unless the firm undertakes a large-scale selling and promotion effort B) a company's marketing decisions should focus on creating economic value in a way that also creates value for the surrounding environment C) the society will only favor products that are available and highly affordable D) achieving organizational goals depends on knowing the needs and wants of target markets and delivering the desired satisfactions better than competitors do. E) consumers will favor products that offer the most in quality, performance, and innovative features
B) a company's marketing decisions should focus on creating economic value in a way that also creates value for the surrounding environment
Which of the following would be considered an upstream partner in a company's supply chain? A) a firm that resells a finished product and shares the net sales with the producer B) a firm that provides technical expertise in the production of a product C) a firm that markets a product to consumers through social media D) a firm that buys products at wholesale cost from the company E) a firm that exclusively markets a product to other businesses
B) a firm that provides technical expertise in the production of a product
The simplest way to enter a foreign market is through ________. A) joint ownership B) exporting C) direct investment D) licensing E) contract manufacturing
B) exporting
Safari Unlimited recently conducted national research to generate ideas for a new line of fatigues geared to women. The company uncovered a number of ideas about clothing and accessory preferences as well as important benefits such as built-in sunblock and durability. The Safari Unlimited product development team will most likely use ________ next to arrive at a realistic number of products for the new fatigues line. A) crowdsourcing B) idea screening C) concept testing D) concept development E) business analysis
B) idea screening
Which of the following represents a change in the technological environment of a marketing firm? A) increased use of cause-related marketing B) increased use of RFID systems to track products C) increased need to comply with environmental regulations D) increased use of value marketing techniques and promotions E) increased need to engage in mass marketing over market segmentation
B) increased use of RFID systems to track products
Demographic, economic, natural, technological, political, and cultural forces form the ________ of an organization. A) supply chain B) macroenvironment C) marketing intermediary network D) internal environment E) microenvironment
B) macroenvironment
Specialty stores are characterized by ________. A) the sale of convenience and staple items B) narrow product lines with deep assortments C) a wide range of products and categories D) low prices on a wide range of goods E) routinely purchased food products and services
B) narrow product lines with deep assortments
Fargo Inc. is a carbonated beverage manufacturer that has many manufacturing plants around the world. It is planning to shift from using thermal power to wind power for its manufacturing plants in the Netherlands to decrease dependency on nonrenewable sources of energy. This scenario depicts Fargo's concern for its ________ environment. A) economic B) natural C) demographic D) political E) cultural
B) natural
Outbound logistics refers to moving ________. A) unwanted, excess products from resellers to producers B) raw materials from suppliers to the factory C) excess materials from the factory to suppliers D) products from the factory to resellers and ultimately to customers E) broken, damaged products from customers to producers
B) raw materials from suppliers to the factory
Sally purchased a newly introduced moisturizing lotions. By attempting to find out if the lotion's perceived performance matched her expectations, Sally was measuring her level of customer_____________. A) loyalty B) satisfaction C) equity D) engagement E) lifetime value
B) satisfaction
The ________ concept specifically focuses on future company needs, but not the future welfare of customers. A) societal marketing B) strategic planning C) sustainable marketing D) global marketing E) cause marketing
B) strategic planning
The ________ environment is perhaps the most dramatic force shaping the destiny of individuals and offering exciting opportunities for marketers. A) demographic B) technological C) political D) social E) cultural
B) technological
Which of the following concepts is based on a customer-centered philosophy? A) the product concept B) the marketing concept C) the production concept D) the selling concept E) the distribution concept
B) the marketing concept
Which of the following concepts is based on a customer-centered philosophy? A) the product concept B) the marketing concept C) the production concept D) the selling concept E) the distribution concept
B) the marketing concept
Which of the following is true of a good marketing information system? A) It focuses solely on maximizing the amount of data generated irrespective of relevance. B) It typically uses only external sources of data in marketing research. C) It balances the information that a firm would like to have against what they really need. D) It develops a way of offering information about future plans of action that might not be very feasible or cost-effective. E) It eliminates the time-consuming task of assessing the information needs of a firm.
C) It balances the information that a firm would like to have against what they really need.
Which of the following is true of personal selling? A) It is the most effective promotional tool for geographically dispersed buyers. B) It allows firms to dramatize product offers through arts and visuals. C) It is the most expensive promotional tool for companies to utilize. D) It is an ineffective method for building long-term customer relationships. E) It presents a firm's message as news rather than as a sales-directed communication.
C) It is the most expensive promotional tool for companies to utilize.
________ are sets of interdependent organizations that help make the product or service of a company available for use by consumers or business users. A) Research and development channels B) Upstream channels C) Marketing channels D) Raw materials suppliers E) Backward integration chains
C) Marketing channels
Hollingsworth is a retail company that is planning to release a new line of luxury personal care products. Its managers are now reviewing the sales history of similar products and conducting marketing surveys to estimate minimum and maximum sales for the product. In which of the following stages of the new product development process is the product? A) test marketing B) idea screening C) business analysis D) marketing strategy development E) concept testing
C) business analysis
Which of the following sets the price ceiling for a product's pricing? A) profits B) product costs C) consumer perceptions of value D) elements of the product mix E) competition
C) consumer perceptions of value
Which of the following sets the upper limit for a product's pricing? A) profits B) product costs C) consumer perceptions of value D) elements of the product mix E) competition
C) consumer perceptions of value
Lovely Skin is establishing a pricing strategy for a new moisturizer. The total cost to produce each unit is $3.50. The company has decided to add a $1.50 markup, so the unit price to distributors will be $5. Lovely Skin is using a ________ approach to price the new moisturizer. A) value-added B) good-value C) cost-plus D) competitor-based E) break-even
C) cost-plus
The overall process of building and maintaining profitable customer relationships by delivering superior customer value and satisfaction is referred to as ________. A) perceived-value management B) societal marketing C) customer relationship management D) partner relationship management E) enterprise resource planning
C) customer relationship management
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___________ A) need B) value C) demand D) market offerings E) desire
C) demand
A strategy for company growth that involves increasing sales to current market segments without changing the product is known as ________. A) market development B) market differentiation C) market penetration D) product development E) diversification
C) market penetration
In which of the following structures does a company organize its sales force along customer or industry lines? A) demographic sales-force structure B) service sales-force structure C) market sales-force structure D) territorial sales-force structure E) product sales-force structure
C) market sales-force structure
Dividing a market into several sections of customers is known as________________. A) mass customization B) market positioning C) market segmentation D) value engineering E) undifferentiated marketing
C) market segmentation
A consumer who is potentially profitable but not loyal to a firm's offerings is referred to as a_____________. A) true friend B) butterfly C) stranger D) barnacle E) true believer
C) stranger
Managing upstream and downstream value-added flows of materials, final goods, and related information among suppliers, the company, resellers, and final consumers is known as ________. A) marketing logistics B) distribution system management C) supply chain management D) full-line forcing E) physical distribution
C) supply chain management
Which of the following sources constitutes the internal database of a company? A) commercial online databases B) conversations on social media C) the company's sales records D) reports sold by market research firms E) the Web
C) the company's sales records
Which of the following is part of the microenvironment of a firm's marketing environment? A) the political state of the country in which the firm exists B) the cultural forces that exist in a society C) the suppliers who work with the company D) the technological resources available to the company E) the different demographic trends in the market
C) the suppliers who work with the company
Which mode of transportation is best for carrying perishable goods to distant markets? A) railroads B) water carriers C) trucks D) air carriers E) pipelines
C) trucks
A customer who is both loyal and profitable is referred to as a___________________. A) barnacle B) stranger C) true believer D) laggard E) butterfly
C) true believer
Which of the following is true of product positioning? A) A product's position is defined by the number of competitors in a market. B) Product positioning has little influence on the design of marketing mixes. C) Consumers generally reevaluate products every time they make a buying decision. D) To simplify the buying process, consumers are likely to position products in their minds. E) Consumers cannot position products with or without the help of marketers.
D) To simplify the buying process, consumers are likely to position products in their minds.
One reason demographic variables are the most popular bases for segmenting customer groups is because they ________. A) create smaller segments B) create more easily accessible segments C) do not involve stereotypes D) are easier to measure than other variables E) involve fewer attributes to consider
D) are easier to measure than other variables
A(n) ________ describes a person's relatively consistent evaluations, feelings, and tendencies toward an object or idea. A) role B) cue C) drive D) attitude E) motive
D) attitude
A tax on an imported product designed to raise revenue or protect domestic firms is referred to as a(n) ________. A) exchange B) excise C) fine D) quota E) tariff
E) tariff
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? A) butterflies B) true friends C) strangers D) barnacles E) innovators
D) barnacles
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. A) butterflies B) true friends C) strangers D) barnacles E) innovators
D) barnacles
PetSafe Pet Supplies, a pet-food company, divides the pet market according to the pet owners' gender, occupation, income, and family life cycle. In this case, which of the following variables has the company used for market segmentation? A) geographic B) psychographic C) benefit D) demographic E) occasion
D) demographic
Becca wants to buy a new coat. She asks her friends to recommend a store and/or a style of coat. She looks for sale advertisements for coats in newspapers and also visits nearby stores to check if she can find a coat in her budget. In this case, Becca is most likely in the ________ stage of the buyer decision process. A) product evaluation B) evaluation of alternatives C) need recognition D) information search E) purchase decision
D) information search
Consumers' needs and wants are fulfilled through ________. A) value B) demand C) desire D) market offerings E) ideas
D) market offerings
Consumers' needs and wants are fulfilled through___________. A) value B) demand C) Demand D) marketing offering E) Ideas
D) marketing offering
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 follows the ________. A) customer-driving marketing concept B) marketing concept C) societal marketing concept D) production concept E) selling concept
D) production concept
Dollar General profitably appeals to families with more modest means. The retailer's approach is most likely referred to as___________. A) mass distribution B) cost leadership C) consumer-generated marketing D) target marketing E) undifferentiated marketing
D) target marketing
Dollar General profitably appeals to families with more modest means. The retailer's approach is most likely referred to as A) mass distribution B) cost leadership C) consumer-generated marketing D) target marketing E) undifferentiated marketing
D) targeting marketing
Customers who are classified as true believers___________. A) are attracted to a company's competitor's deals and offers. B) have needs and wants that do not fit a company's offerings C) are not very profitable for a company D) tell others about their good experiences with a company E) are projected to be less loyal to any brand
D) tell others about their good experiences with a company
According to the five-step model of the marketing process, the first step in marketing is ________. A) capturing value from customers to create profits and customer equity B) constructing an integrated marketing program that delivers superior value C) engaging customers, building profitable relationships, and creating customer delight D) understanding the marketplace and customer needs and wants E) designing a customer-driven marketing strategy
D) understanding the marketplace and customer needs and wants
According to the five-step model of the marketing process, the first step in marketing is_____________. A) capturing value from customers to create profits and customer equity B) constructing an integrated marketing program that delivers superior value C) engaging customers, building a profitable relationships, and creating customer delight D) understanding the marketplace and customer needs and wants E) designing a customer-driven marketing strategy
D) understanding the marketplace and customer needs and wants
A ________ is made up of a company, its suppliers, distributors, and, ultimately, customers who "partner" with each other to improve the performance of the entire system. A) manufacturing chain B) distribution center C) marketing intermediary D) value delivery network E) disintermediation system
D) value delivery network
A brand's ____________ is the set of benefits that it promises to deliver to consumers to satisfy their needs A) dominant effect B) fringe benefit C) perquisite D) value proposition E) Divided yield
D) value proposition
Which of the following is most likely true of a global firm? A) A global firm typically operates from one country. B) A global firm engages in joint partnerships overseas. C) A global firm sees the world as many different markets. D) A global firm maximizes the importance of national boundaries. E) A global firm manufactures and markets goods wherever it can do the best job.
E) A global firm manufactures and markets goods wherever it can do the best job.
Efforts to convert ___________ into loyal customers are rarely successful. A) barnacles B) strangers C) true believers D) laggards E) butterflies
E) Butterflies
In a(n) ________ marketing system, leadership over production and distribution is assumed through the size and power of one or a few dominant channel members. A) direct B) contractual vertical C) horizontal D) corporate vertical E) administered vertical
E) administered vertical
The Fashion Store, a new startup, sets product prices so that revenues will equal manufacturing and marketing costs. The pricing strategy used by the company is referred to as ________ pricing. A) good-value B) value-added C) cost-plus D) competition-based E) target return
E) target return
A ________ consists of producers, wholesalers, and retailers acting as a unified system. The system can be dominated by any one of the interdependent members. A) direct marketing system B) horizontal distribution channel C) lateral marketing system D) conventional distribution channel E) vertical marketing system
E) vertical marketing system
______________ is the act of obtaining a desired object from someone by offering something in return. A) Targeting B) Segmentation C) Differentiation D) Exchange E) Positioning
Exchange