marketing ch. 1

The provision or transfer of goods, services, or ideas in return for something of value

Exchanges

For an exchange situation to arise, only one condition must exist: two or more individuals, groups, or organizations must each possess something that they value and are willing to give up receiving "something of value" held by the other individuals, groups, or organizations. True False

False

Relationship marketing is short-term, mutually beneficial arrangements in which the buyer and seller focus on the creation of satisfying exchanges. True False

False

The marketing concept deals only with marketing activities. True False

False

A firm that adopts the marketing concept will be successful as long as it satisfies customer needs and wants. True False

False (A firm that adopts the marketing concept must satisfy not only its customers' objectives but also its own, or it will not stay in business long.)

A strategic process involving stakeholder assessment to create meaningful long-term relationships with customers while maintaining, supporting, and enhancing the natural environment

Green Marketing

An organization-wide commitment to researching and responding to customer needs

Market Orientation

The process of creating, distributing, promoting, and pricing goods, services, and ideas to facilitate satisfying exchange relationships with customers and to develop and maintain favorable relationships with stakeholders in a dynamic environment

Marketing

A managerial philosophy that an organization should try to satisfy customers' needs through a coordinated set of activities that also allows the organization to achieve its goals

Marketing Concept

The competitive, economic, political, legal and regulatory, technological, and sociocultural forces that surround the customer and affect the marketing mix

Marketing Environment

Four marketing activities—product, distribution, promotion, and pricing—that a firm can control to meet the needs of customers within its target market

Marketing Mix

A good, a service, or an idea

Product

Establishing long-term, mutually satisfying buyer-seller relationships

Relationship Marketing

Constituents who have a "stake," or claim, in some aspect of a company's products, operations, markets, industry, and outcomes

Stakeholders

A specific group of customers on whom an organization focuses its marketing efforts

Target Market

A family that organizes and advertises a garage sale is performing marketing activities. True False

True

Marketing activities do not always result in exchanges. True False

True

Which of the following is the most accurate listing of marketing environmental forces? a. Political, legal and regulatory, technological, sociocultural, competitive, and economic b. Competitive, economic, diversity, political, legal and regulatory, and technological c. Subconscious, competitive, sociocultural, economic, technological, and legal and regulatory d. Economic, competitive, political, legal and regulatory, technological, and subconscious

a. Political, legal and regulatory, technological, sociocultural, competitive, and economic

When McDonald's adds new items to its menu, they must educate its target audience about the new items in order to stimulate purchase and motivate consumers to visit their local McDonald's restaurant. This calls for activity in which of the following marketing mix variables? a. Promotion b. Product c. Price d. Distribution

a. Promotion

_______ can be customers, employees, investors, suppliers, and communities—anyone that has an interest in some aspect of a company's products. a. Stakeholders b. Patrons c. Shareholders d. Board members

a. Stakeholders

When organizations pursue initiatives to improve their ability to make a positive impact on society and the natural environment, they are engaging in _______. a. green marketing b. socially deviant marketing c. energy conscious marketing d. cause-related marketing

a. green marketing

A change in the minimum drinking age in any given state illustrates a change in the _______ for MillerCoors brewing company. a. marketing environment b. marketing task c. marketing mix d. marketing concept

a. marketing environment

According to the marketing concept, firms should achieve their goals and simultaneously _______. a. satisfy consumer needs b. increase their market share c. produce high-quality products d. improve their profitability

a. satisfy consumer needs

The Nike Fuel Band is aimed at active individuals ages 20 to 40 who want to track their fitness goals, connect their smart devices, and share their activities with others. This description of people describes Nike Fuel Band's _______. a. target market b. marketing mix c. target mix d. consumer advocates

a. target market

Walmart has traditionally utilized an everyday low price strategy in its continued efforts to be the number one global retailer. They recently launched an application called the Walmart Savings Catcher to ensure consumers receive the lowest possible prices compared to the competition. Which of the following slogans would be most appropriate for Walmart to use to communicate the message of everyday low prices most effectively? a. "Always on Time...Or You Don't Pay A Dime" b. "Low Prices, Big Value" c. "There Is No Substitute" d. "Every Day You Get Our Best"

b. "Low Prices, Big Value"

Which stakeholders are the focal point of all marketing activities? a. Suppliers b. Customers c. Employees d. Regulators e. Communities

b. Customers!!!

Lebron has recently begun working for Kimberly-Clark, a consumer products company headquartered in Dallas, Texas, manufactures of well-known brands such as Kleenex and Huggies diapers. Lebron completed a degree in marketing and will primarily be responsible for managing inventory levels, transportation, and storage costs as well as fulfilling retail orders and ensuring timely delivery to customer accounts. Lebron will work with vendors who have established relationships with the company and refine Kimberly-Clark's interactions with both its suppliers and other market intermediaries. Lebron's job responsibilities primarily relate to which of the following marketing mix variables? a. Promotion b. Distribution c. Product d. Price

b. Distribution

Which business orientation would best characterize McDonald's decision to show the number of calories of each menu item on the menu boards both inside the restaurant as well as at the drive-thru windows in response to consumer requests for more transparency and interest in healthier menu options? a. Sales orientation b. Market orientation c. Production orientation d. Retail orientation

b. Market orientation

Which of the following is a major benefit of marketing? a. Marketing is the most important function of a business. b. Marketing knowledge enhances consumer awareness. c. Marketing activities are relatively low in cost. d. Marketing activities do not take up much time. e. Marketing prevents the sale of harmful products.

b. Marketing knowledge enhances consumer awareness.

Karl is the owner of a landscaping company and is considering the purchase of a new skid steer. He's evaluating different brands and models to determine the relative value of each model as well as the benefits they offer. Which of the following would NOT be considered a customer benefit as part of his determination of the product's value? a. Long-lasting durability b. Monetary price c. Ease of maintenance d. Reputation for quality

b. Monetary price

Before Volkswagen released the brand-new Atlas SUV, the company needed to be sure consumers were aware of the new vehicle's features. The best way to do this was through which marketing mix variable? a. Product b. Promotion c. Price d. Distribution

b. Promotion

U.S. Electric, the maker of a highly innovative xenon light bulb used in large, manufacturing facilities, finds that it has excess inventory. The firm increases its direct marketing budget by 20% and adds three new sales representatives. This company is operating as if it were in which of the following orientations? a. Production b. Sales c. Market d. Customer

b. Sales

A key measurement that forecasts a customer's lifetime economic contribution based on continued relationship marketing efforts

Customer lifetime value (CLV)

Using information about customers to create marketing strategies that develop and sustain desirable customer relationships

Customer relationship management (CRM)

The purchasers of organizations' products; the focal point of all marketing activities

Customers

One notable belief of the market orientation era is _______. a. create products and persuade customers to buy them b. determine what customers want and develop those products c. improvements in transportation and mass production make production efficient d. advertising and distribution are essential marketing activities

b. determine what customers want and develop those products

The essence of marketing is to develop satisfying _______ from which both customers and marketers benefit. a. values b. exchanges c. environmental factors d. marketing mixes e. target markets

b. exchanges!!!!

General Motors (GM) continues to demonstrate a high level of value to customers and recent industry research reported that 12 million customers made repeat purchases of GM automobile products in 2017. In addition, GM maintains a high level of customer loyalty with an overall loyalty rating of 69.1% indicating that 69.1% of customers buying GM products in 2017 were previous owners of GM automobiles or trucks. GM's ability to generate high levels of customer loyalty demonstrates the firm is engaging in _______. a. production marketing b. relationship marketing c. competitive marketing d. sales-oriented marketing

b. relationship marketing

In April 2015 the restaurant chain Chipotle announced it would stop using genetically modified food products. "This is another step toward the visions we have of changing the way people think about and eat fast food," said Steve Ells, founder and former co-CEO of Chipotle. This decision indicates a response to concerns about _______. a. reduction of marketing costs b. the marketing environment c. target market selection d. marketing mix decisions

b. the marketing environment

Considering the costs associated with implementing marketing activities, if a consumer pays $52 for a pair of jeans, approximately how much of that price is associated with activities related to marketing (promotion, distribution, and profit margins)? a. $15 b. $40 c. $26 d. $8

c. $26 (About 50% of a product's monetary price goes toward marketing costs.)

Apple's ability to deliver products that customers want to buy and generate high levels of customer satisfaction as well as profits and shareholder wealth demonstrates Apple's ability to facilitate _______. a. technology transfer b. corporate discipline c. exchanges d. transference

c. exchanges

Marketing managers strive to develop a marketing mix that _______. a. minimizes marketing costs b. matches what competitors are offering c. matches the needs of the target market d. best matches the abilities of the firm

c. matches the needs of the target market

Capri Sun uses the tagline, "Good for Moms, Awesome for Kids." This advertising tagline emphasizes that Capri Sun is promoting the product for moms even though kids are likely to be consuming the product. Thus, the moms represent Capri Sun's _______. a. marketing mix b. consumer advocates c. target market d. target mix

c. target market

From _______ % of all civilian workers in the United States performs marketing activities. a. 10 to 15 b. 5 to 10 c. 15 to 20 d. 25 to 33

d. 25 to 33

Which of the following statements best exemplifies the requirements for maintaining exchange relationships? a. Buyers must receive a discount b. Sellers must make a profit c. Buyers must be satisfied with the good, service, or idea obtained d. Both the buyer and seller must be satisfied

d. Both the buyer and seller must be satisfied

Caterpillar, Inc. a manufacturer of heavy construction and mining equipment works with its dealer network to conduct extensive consumer research such as customer satisfaction studies, focus group interviews regarding new products, and listening to customer opinions through social media outlets. Which orientation is Caterpillar most likely utilizing? a. Societal b. Production c. Sales d. Market

d. Market

Focusing on the share of customer requires that marketers recognize that not all customers in a target market have the same needs and wants—they need to be considered individually. Which of the following is the best application of this idea? a. Customer loyalty programs b. Niche marketing c. The marketing concept d. The 80/20 rule

d. The 80/20 rule

Walmart has embraced sustainability practices to enhance its relationships with customers as well as supporting or enhancing the natural environment. For example, in 2005, Walmart switched to the use of LED lights in refrigerator and freezer cases. These lights offer many benefits such as using 70% less energy than fluorescent tube lights and generating significantly less heat. The switch also led to improved energy efficiency and reduced maintenance costs. Based upon this information, it seems that Walmart is engaging in _______. a. eco-marketing b. environmental marketing c. cause-related marketing d. green marketing

d. green marketing (meaningful long-term relationships with customers while maintaining, supporting, and enhancing the natural environment.)

Marketing environmental forces are often _______. a. easy to predict b. non-influential c. controllable d. interdependent e. stable

d. interdependent!!!!

The most flexible variable of the marketing mix is _______. a. distribution b. promotion c. product d. price

d. price

Which of the following sentences is true about a marketing exchange? a. Products in an exchange must be traded for money. b. An exchange will always take place if four conditions are met. c. Seeing an advertisement is an example of an exchange. d. An exchange only needs to provide a benefit to one party. e. It requires four conditions to take place.

e. It requires four conditions to take place.!!!!!!!!

A customer's subjective assessment of benefits relative to costs in determining the worth of a product

Value

Which of the following statements is true about target markets? a. Companies can target multiple markets. b. Target markets consist of large groups of people. c. All companies are competing for the same set of customers. d. Target markets are determined by ethnicity.

a. Companies can target multiple markets.

Which of the following expressions best characterizes the concept of value to consumers? a. Customer benefits - customer costs = value b. Customer benefits + corporate profit = value c. Customer costs > customer benefits = customer value d. Customer costs + perceived risk = value

a. Customer benefits - customer costs = value

You are starting a new job next week at a consumer products company in Redmond, Washington. You will be responsible for managing the company's inventory levels, as well as the related transportation and storage costs. You will rely heavily on some previously-established relationships as you refine the firm's interactions with its various intermediaries. Your job responsibilities primarily relate to which of the following marketing mix variables? a. Distribution b. Price c. Promotion d. Product

a. Distribution

You are starting a new job next week at a consumer products company in Redmond, Washington. You will be responsible for managing the company's inventory levels, as well as the related transportation and storage costs. You will rely heavily on some previously-established relationships as you refine the firm's interactions with its various intermediaries. Your job responsibilities primarily relate to which of the following marketing mix variables? a. Distribution b. Product c. Promotion d. Price

a. Distribution

Zappos, an online shoe retailer, realizes that there is some risk involved in buying shoes online. Customers may order the wrong size, or simply not like the shoes once they receive them. In order to help increase value and eliminate risk, which of the following is appropriate for Zappos? a. Free shipping and free returns b. Build more distribution centers so items are shipped faster c. Provide deeper discounts on its most popular shoes d. Increase variety by adding more products to its website

a. Free shipping and free returns

Ballast Point, a brewery based in San Diego, recently introduced a new cocktail-inspired product to its growing portfolio: Moscow Mule Ale. Moscow Mule Ale is available nationwide is the first cocktail-inspired beer for the brewery. The Moscow Mule Ale was developed to appeal to customers who are choosing mixed drinks instead of beer products. In this case, Ballast Point is most likely utilizing which approach to marketing? a. Market orientation b. Production orientation c. Competitive orientation d. Sales orientation

a. Market orientation

The marketing concept is based upon the idea that an organization should try to provide products that satisfy customers' needs through a coordinated set of activities that also allows the organization to achieve its goals. During which orientation (time period) are marketers most likely to adopt the marketing concept? a. Market orientation b. Promotion orientation c. Production orientation d. Sales orientation e. Exchange orientation

a. Market orientation!!!!

Marketing is important to businesses and the economy. Which of the following statements best summarizes the importance of marketing activities? a. Marketing helps create a successful economy and contributes to the well-being of society. b. Marketing activities ensure an organization is profitable by focusing exclusively on selling and promotion activities. c. Marketing activities are not applicable to nonprofit organizations d. Marketing activities are important only when a firm is developing new products or entering new markets

a. Marketing helps create a successful economy and contributes to the well-being of society.

Which areas or functions of an organization are impacted when a company chooses to adopt the marketing concept? a. Marketing, management, finance, and accounting functions b. Finance and accounting functions c. Only the management function d. Only the marketing function

a. Marketing, management, finance, and accounting functions

Which element of the marketing mix is utilized to create consumer awareness of the organization and its products? a. Promotion b. Distribution c. Product d. Price

a. Promotion

Charlotte loves her mom's edible cookie dough recipe, and she assumes everyone else will too. She starts a cookie dough business. Charlotte views promotion, such as advertising and personal selling, as the most important activities needed to sell her product. She figures that consumers only have to learn about her product before becoming loyal and steadfast customers. What type of orientation does Charlotte seem to embrace? a. Sales orientation b. Exchange orientation c. Production orientation d. Promotion orientation e. Market orientation

a. Sales orientation!!!

Which of the following is NOT true regarding the marketing environment forces? a. They are predictable and controllable by marketers b. Changes in one force may also cause changes in others c. They impact marketers' decisions on marketing mix elements d. They are dynamic and can change quickly

a. They are predictable and controllable by marketers

A commercial for the drink SunnyD explains how nutritious it is in comparison to other, more "sugary" drinks. While children under 12 are the most likely consumers of SunnyD, the commercial is aimed at mothers. These mothers represent SunnyD's _______. a. target market b. consumer advocates c. marketing strategy d. marketing mix

a. target market

A customer's subjective assessment of benefits relative to costs in determining the worth of a product is known as _______. a. value b. perceived satisfaction c. price assessment d. cognitive evaluation

a. value

Anthony works at a local electronics retailer. He has two customers in particular that he sees regularly. One customer, Mr. Johnson, comes in frequently asking about new deals. However, he rarely buys anything, and when he does buy something it is usually small. The other customer, Mr. Montoya, comes in a little less frequently. He does not purchase products all the time, but when he does the products are expensive. Anthony recognizes that Mr. Montoya is a more valuable customer over time than Mr. Johnson. He has therefore worked hard to develop a strong relationship with Mr. Montoya. What marketing method is Anthony most likely using to direct his actions? a. The marketing concept b. Customer lifetime value c. A sales orientation d. A customer loyalty program e. Customer feedback

b. Customer lifetime value

Janelle has just graduated with a degree in marketing. She accepted a job with Westfield Corp. and will be responsible for maintaining the flow of products through physical distribution activities. She will be responsible for acquiring resources and inventory and making products available to customers through purchasing, logistics, and operations. Janelle's job will be in _______. a. distribution management b. customer relationship management c. supply chain management d. operations management

c. supply chain management

Which of the following statements is true regarding the marketing concept? a. Implementing the marketing concept should only benefit customers. b. The marketing concept is a managerial philosophy guiding all aspects of an organization's business. c. The marketing concept is a second definition of marketing. d. In order to satisfy customer desires, society's long-term welfare must be sacrificed.

b. The marketing concept is a managerial philosophy guiding all aspects of an organization's business.

You are advising a local nonprofit on strategy. The nonprofit supports cancer research and relies entirely on donations. You recommend that the nonprofit engage in marketing activities. The executive director tells you that because it is a nonprofit that does not engage in selling activities and has a small budget, the nonprofit has no use for marketing. You disagree and explain that marketing is not just for for-profit organizations. You explain the different ways the nonprofit can engage in marketing without changing its practices or the mission. Which of the following marketing activities would be most feasible for this nonprofit? a. Send out coupons for the organization's products in the local bulletin b. Use inexpensive digital marketing tools to inform the community about an upcoming fundraising event c. Get volunteers to sell T-shirts and other items at the nonprofit's major events d. Engage in extensive marketing research to determine what its contributors want e. Purchase an advertisement in a state newspaper that is popular in the local community about the nonprofit

b. Use inexpensive digital marketing tools to inform the community about an upcoming fundraising event

Firms utilizing customer relationship management (CRM) must first identify patterns of _______ and then use that information to focus on the most promising and profitable customers. a. competitive behavior b. buyer behavior c. economic factors d. political and legal factors

b. buyer behavior

Companies today are seeking ways to create stronger and more frequent interactions with customers to establish beneficial long-term relationships. For example, Southwest Airlines encourages customers to join its membership program and provide key contact information such as their email, address, and phone number. Southwest Airlines offers benefits such as upgrades and free travel based on the number of flights or points a customer has accumulated. This example demonstrates how Southwest Airlines is utilizing _______. a. marketing mix deployment b. customer relationship management c. marketing technology d. competitive insight

b. customer relationship management

Trader Joe's customizes store inventory by listening to feedback from customers. Feedback comes from store captains and crew members having conversations with customers. Trader Joe's has adopted a _______ orientation. a. customer b. market c. product d. sales

b. market

Sheryl works at Southwest Airlines as a digital marketer. A major part of her job is communicating with customers, answering questions and letting them know about how the airline offers them the best in customer value. Sheryl is working to create long-term, mutually beneficial arrangements in which both the buyer and seller focus on value enhancement through the creation of more satisfying exchanges with customers. This is an example of _______. a. customer loyalty programs b. relationship marketing c. the marketing mix d. customer lifetime value e. a sales orientation

b. relationship marketing

Marketing is_______. a. the selling of goods to consumers for personal or household consumption and communicating your company's ideas through advertising in order to develop personal relationships with customers b. the process of creating, distributing, promoting, and pricing goods, services, and ideas to facilitate satisfying exchange relationships with customers and to develop and maintain favorable relationships with stakeholders in a dynamic environment c. the act of calling public attention to one's product or service d .the act of promoting and distributing a product or service to customers for their personal or household use

b. the process of creating, distributing, promoting, and pricing goods, services, and ideas to facilitate satisfying exchange relationships with customers and to develop and maintain favorable relationships with stakeholders in a dynamic environment

The equation: value = customer benefits - customer costs is known as _______. a. subjective assessment b. value c. perceived risk d. price

b. value

The activities related to making products available in the quantities desired to as many target market customers as possible is part of which element of the marketing mix? a. Promotion b. Price c. Distribution d. Product

c. Distribution

During the holiday season, a Bluetooth speaker was in such high demand that it sold out quickly at a local Walmart. When Walmart tried to order more, it learned that the suppliers had so many orders to fill that it would not be able to fill Walmart's order for two weeks. What type of marketing mix variable does this problem involve? a. Promotion b. Pricing c. Distribution d. Product e. Exchange

c. Distribution!!!!!

What is the first step for marketers in implementing the marketing concept? a. Modify existing products to meet customer needs more effectively b. Modify a communication system that allows information to be disseminated throughout the organization c. Establish an information system to discover customers' real needs d. Develop a feedback system so customers can describe their thoughts about a product e. Engage in personal selling or advertising to promote products that customers desire

c. Establish an information system to discover customers' real needs

Which of the following activities would NOT be part of a market orientation? a. Developing new products in response to customer needs b. Changing product formulations and manufacturing processes to be more environmentally friendly in response to consumers' desires to protect the environment c. Focusing on building short-term relationships with customers to drive revenue and profitability d. Using research to identify and understand customer needs

c. Focusing on building short-term relationships with customers to drive revenue and profitability

Which of the following are the three primary ways firms can achieve profits through managing customer relationships? a. Finding new customers, "firing" customers who are too expensive, and implementing cost cutting measures b. Implementing cost cutting measures, reacquiring "lost" customers, and gaining new customers c. Keeping customers for a longer period of time, enhancing profitability of existing customers, and acquiring new customers d. Extending the length of relationships with customers, cutting organizational costs, and enhancing the profitability of new customers

c. Keeping customers for a longer period of time, enhancing profitability of existing customers, and acquiring new customers

Recent research conducted by Aeropostale was focused on understanding the shopping habits and desires of its target market—the Millennial generation. The results indicate that Millennials are more interested in spending time shopping as a source of entertainment rather than purchasing products or services. The research identified that approximately 50% of surveyed customers enjoy browsing for items but have no intention of purchasing. In addition, those surveyed state that they only purchase products they believe are necessary and many young consumers are willing to pay full retail price. Based upon the results of this research, the Aeropostale organization must consider how to redesign the stores and shopping experiences to create an enhanced entertainment experience for its customers. Based upon this information, which orientation best applies to Aeropostale? a. Sales orientation b. Target market orientation c. Market orientation d. Production orientation

c. Market orientation

A junior marketing major is interviewing for a marketing internship position for the summer and has been asked to make a presentation about marketing to the interview team. Which of the following statements should the student make when defining marketing or marketing activities? a. Marketing involves identifying only appropriate target markets and creating advertising or promoting messages to motivate the customers to purchase a firm's products. b. Marketing activities occur in a stable or static environment. c. Marketing can be defined as the process of creating, distributing, promoting, and pricing goods, services, and ideas to facilitate satisfying exchange relationships with customers. d. Marketing is applicable only to for-profit organizations.

c. Marketing can be defined as the process of creating, distributing, promoting, and pricing goods, services, and ideas to facilitate satisfying exchange relationships with customers.

Customer costs can be defined as anything the buyer must give up in order to obtain the benefits the product provides. Which of the following is the most obvious customer cost? a. Time consumers spend finding and purchasing products b. Effort consumers expend to find and purchase products c. Monetary price of the product d. Risk that the product may not live up to the customer's expectations

c. Monetary price of the product

Which of the following statements best reflects the level of acceptance of the marketing concept by firms in the United States? a. The marketing concept is more accepted as a business philosophy in the United States than in other countries. b. All organizations and businesses around the world have adopted the marketing concept as a business philosophy. c. The marketing concept has yet to be fully accepted by all organizations. d. Approximately 50% of all business organizations use a sales orientation today instead of a market orientation.

c. The marketing concept has yet to be fully accepted by all organizations.

Fitbit, manufacturer and marketer of wearable activity tracker devices faced an obstacle when its Force product had to be recalled due to skin irritations. The company responded to a class action lawsuit and was required to provide full refunds to all consumers who had purchased the Force. However, Fitbit quickly redeemed itself, launching several new and improved products, like the Charge HR and the Surge, which were designed and tested to make sure the chances of skin irritation were significantly reduced. In addition, Fitbit conducted extensive consumer research to determine the product design and functional modifications desired most by consumers. Despite the stumble with the Force product, Fitbit remains competitive in the activity tracker market. This example represents a success in which aspect of implementing the marketing concept? a. Restructuring the organization to implement quality manufacturing enhancements b. Ability of top leadership to create a production-oriented culture c. Use of an information system to discover customers' real needs and the use of the information to create satisfying products d. Successful use of advertising and publicity to generate consumer demand for the products

c. Use of an information system to discover customers' real needs and the use of the information to create satisfying products

Boca Burger's website features information about products, recipes, and nutritional values, but customers cannot actually purchase products from the website. This website is most likely used primarily as a _______ marketing tool. a. distributional b. targeting c. promotional d. pricing

c. promotional

Following the time period associated with the production orientation, competition increased, and demand for products declined. During this time frame between the 1920s and the 1950s, organizations followed a _______ orientation. a. competitive b. market c. sales d. production

c. sales

Samuel spent $500 on a new television set. How much of this price is likely to go toward marketing expenses? a. About $100 b. Between $100 and $200 c. About $450 d. About $250 e. $500

d. About $250

Value can be defined as a customer's subjective assessment of benefits relative to costs in determining the worth of a product. Which of the following would NOT be considered a cost associated with purchasing a product and determining its value? a. The monetary cost of the product b. The amount of effort consumers spend to identify the right product to purchase c. The time consumers spend to search and find desired products d. Benefits received in exchange for the product

d. Benefits received in exchange for the product

Which of the following equations describes customer value? a. Customer value= income - price b. Customer value= customer benefits - opportunity costs c. Customer value= customer costs - customer benefits d. Customer value= customer benefits - customer costs e. Customer value= customer benefits - price

d. Customer value= customer benefits - customer costs!!!!!!

The chief marketing officers of most multinational corporations consider the marketing function as very complex. The practice of marketing is difficult due to the long list of variables and factors that impact a company's marketing success, which are part of the marketing environment. One important factor impacting organizations is the unemployment rate. Which environmental factor is most associated with unemployment rates or the percentage of people employed? a. Sociocultural b. Technological c. Regulatory and legal d. Economic

d. Economic

Which of the following is the best example of a firm implementing the marketing concept? a. Harley Davidson's decision to select a different advertising agency to promote the organization and its products b. Cinemark Theatres' decision to reduce employee staffing to improve profitability c. McDonald's restructuring its franchise agreements to produce additional revenues for the firm d. Frito-Lay's sponsorship of the contest, "Do Us A Flavor" to gain involvement of customers in new chip flavors through online voting and purchase volume

d. Frito-Lay's sponsorship of the contest, "Do Us A Flavor" to gain involvement of customers in new chip flavors through online voting and purchase volume

Which of the following statements best describes the application of marketing activities to organizations? a. Marketing activities simply apply to promotional or advertising activities. b. Selling and marketing activities are synonymous or essentially the same. c. Marketing activities are often too complex and complicated to be applied to nonprofit organizations. d. Marketing activities can be utilized by a variety of organizations, such as governmental agencies, nonprofit, and for-profit businesses.

d. Marketing activities can be utilized by a variety of organizations, such as governmental agencies, nonprofit, and for-profit businesses.

When Campbell's introduced a line of low-sodium soups in response to customer demand, it was following which one of the following philosophies? a. Customer concept b. Production concept c. Selling concept d. Marketing concept

d. Marketing concept

Which of the following statements is true regarding marketing knowledge and skills? a. Individuals who possessed marketing knowledge and skills were most important to businesses during the selling era. b. Marketing knowledge and skills are only valuable to for-profit businesses. c. Individuals possessing marketing knowledge and skills can seek employment only in nonprofit organizations. d. Marketing knowledge and skills are valuable personal and professional assets.

d. Marketing knowledge and skills are valuable personal and professional assets.

Pringles recently announced the introduction of Pringles Double Stacks—wider cans that hold two rows of potato snack chips. Which variable of the marketing mix is Pringles modifying with this introduction? a. Distribution b. Promotion c. Price d. Product

d. Product

Lime is using social media to ask consumers about the qualities they desire in an electric scooter. The firm hopes to develop a new type of electric scooter based on the feedback it receives. Which marketing mix variable is Lime addressing? a. Exchange b. Distribution c. Promotion d. Product e. Pricing

d. Product!!!

Lumos Labs, the maker of brain-training app Lumosity, released advertisements that claimed its app was able to prevent Alzheimer's. The Federal Trade Commission fined Lumos Labs $2 million, saying that the company did not have the science to back up its ads. What type of marketing mix variable is involved in this situation? a. Product b. Exchange c. Distribution d. Promotion e. Pricing

d. Promotion!!!!

Which of the following would NOT be a value required by organizations striving to become more market oriented? a. Respect b. Honor promises c. Collaboration d. Recognition e. Trust f. Openness

d. Recognition

Which of the following best characterizes the forces of the marketing environment? a. The forces are relatively stable over time and are interrelated with one another. b. There are few overlapping aspects of these forces; therefore, a change in one is unlikely to result in a change in another. c. The various forces ensure that the marketing environment will remain fairly certain in the future. d. The forces change dramatically and quickly, and a change in one force is likely to affect the other forces.

d. The forces change dramatically and quickly, and a change in one force is likely to affect the other forces.

Managing customer relationships requires identifying patterns of _______ and then using that information to focus on the most promising and profitable customers. a. personality differences b. demographics c. retailer information d. buying behavior

d. buying behavior

Subaru developed a new luxury car model, but, after performing some market tests, it realized that it was pricing its vehicles too high, even for the luxury market. Subaru had to make some changes in its marketing mix. Unfortunately, it made the mistake of launching its product right when a recession hit. As unemployment rose, sales of luxury products such as Subaru's new luxury vehicle tend to decrease. In this case, the pricing of its vehicle is a(n) _______ force for Subaru, while the economic downturn is a(n) _______ factor. a. predictable; unpredictable b. stable; unstable c. unpredictable; predictable d. controllable; uncontrollable e. uncontrollable; controllable

d. controllable; uncontrollable!!!!

Customers choose to go to Buffalo Wild Wings based upon the value they place on the total product—including the food, service, atmosphere of the restaurant, and more. The process consumers use to determine value is highly _______. a. objective b. narrow c. detailed d. subjective e. scientific

d. subjective!!!!

Kroger decided to introduce a new product that appeals to Hispanic consumers. While the product is highly successful among Hispanic consumers, other ethnic groups seem to like the product as well. For this product, Hispanic consumers comprise Kroger's _______. a. marketing environment b. marketing mix c. exchange d. target market e. community

d. target market!!!

Pursuit of product innovation and product development has been a key component to ensure Apple's success over the years. The company has licensed a variety of patents including ones that allow multiple finger and palm contacts with devices. In addition, they have patents that allow for integration of typing, resting, pointing, scrolling, 3D manipulation, and handwriting. The patents and innovation demonstrate how Apple has been able to leverage _______ changes in the marketing environment by providing customers with a variety of new products such as the Apple Watch, iPad, iPhone, and Mac laptops/desktops. a. economic b. sociocultural c. political d. technological

d. technological