Marketing Exam 1
What best reflects how the American population has changed over time?
it has become more diverse, better educated, and more mobile
After creating a company's mission and objectives, the executive team must then plan ____________ by keeping in mind the best fit for its strengths, weaknesses, and opportunities in the environment.
its business portfolio
Tina's Tunes is a music store that has been selling CDs for 20 years. Throughout the last six years, sales have continuously declined and profits have almost completely disappeared. The owner of Tina's Tunes believes resurgence is likely to happen soon and wants to continue business as usual. What is likely to happen to Tina's Tunes?
Tina's Tunes is likely to fail because it is ignoring the technological environment.
The third purpose of government regulation is to _____________________.
protect the interests of society against unrestrained business practices
The ultimate goal of the marketing process is to do which of the following?
receive value from customers
What is the ultimate aim of customer relationship management?
to produce high customer equity
________ refers to striving for good faith and fair dealing so as to contribute toward the efficacy of the exchange process as well as avoiding deception in product design, pricing, communication, and delivery or distribution.
"Foster trust in the marketing system"
What constitutes a marketing information system (MIS)?
A system to generate and validate actionable customer and market insights
center of marketing strategy and programs?
customer engagement, value, and relationships
What are stars in the growth-share matrix?
High-growth, high-share businesses or products
Calvin's Cupcakes is attempting to gather information about its customers in order to improve its customer service. What is the BEST path for this company to start to develop an efficient MIS?
Assess the information needs of the company
Which of the following is enhancing how marketers learn about and interact with customers?
Big data and marketing analytics
Which types of companies would most benefit from conducting marketing research?
Both large multinational firms like Disney and IBM and small local firms
How do the individual components of a SWOT analysis work together to determine the status of a company?
By ascertaining a company's strengths, relating them to opportunities, minimizing weaknesses, and identifying threats to growth and development
Which of the following is NOT one of the marketing management functions? A. Planning B. Implementation C. Promoting D. Analysis E. Control
C. Promoting
Nibbles Pet Food Corporation is in the process of developing its new market strategy. The marketing team has already established the company's niche product--premium, organic dog and cat food--and contracted to sell it in several high-end pet stores. The team has also determined the optimum price to create value for customers and still make a profit. What does the marketing team need to do now?
Create a promotion strategy to increase customer awareness
Which of the following is NOT a step in the marketing research process? A. Implementing the research plan B. Interpreting and reporting the findings C. Developing the research plan D. Comparing research findings to other studies E. Defining the research problem
D. Comparing research findings to other studies
__________________ is a group numbering 55 million or more consumers and sometimes is an overlooked "in-between" consumer group because it is both smaller and less materialistic than other groups and prizes experience, not acquisition.
Generation X
Which generational group seamlessly blends online and offline worlds as they socialize and shop?
Generation Z
Stars, cash cows, question marks, and dogs are the four types of strategic business units (SBUs) defined in which of the following?
Growth-share matrix
The role of a company's marketing intermediaries is to do what?
Help the company find, promote, sell, and distribute products
A value chain consists of which of the following?
Internal departments and other companies that carry out value-creating activities
Denim Blue Jean Corporation is a growing company located in Washington State, but it is beginning to develop a presence in the surrounding states as well. It sells only one product--blue jeans--but it has 12 different lines of jeans that cater to men, women, children, babies, toddlers, and teens. Which type of marketing department organization would BEST suit Denim Blue Jean Corporation?
Market management organization
How do market demands relate to needs and wants?
Needs are satisfied by wants, and buying power converts wants into demand.
what would be good advice for someone conducting marketing research in a foreign country?
Reaching respondents in other parts of the world is more difficult than it is in the United States.
What is the main problem that sellers suffering from marketing myopia face?
They focus more on products than on the customer's underlying need.
A new hardware company is writing its mission statement. Which of the following is the BEST mission statement possible for the new company?
We will help customers build, invigorate, restore, refurbish, or completely redesign their homes or businesses.
Because of deceptive acts or practices by companies, Congress has enacted legislation designed to protect consumers. What was enacted to protect consumers against deceptive acts or practices?
Wheeler-Lea Act of 1938
what identifies a change in the technological environment that could affect the success of a business?
a company develops a new battery that lasts twice as long as its predecessor
A power tool company wants to give its customers access to internal, nonpublic information about how best to use its product in creative ways. What should the company create to provide customers with this information?
a company extranet
The act of obtaining a desired object from someone by offering something in return is known as which of the following?
an exchange
Through sustainable marketing, both businesses and consumers ___________________.
are both called to more responsible actions
Which of the following generational groups represents one of the most powerful forces shaping the marketing environment?
baby boomers
According to the sustainable marketing concept, a company's marketing objectives should support the ___________________________.
best long-run performance of marketing system
To exercise social responsibility, many companies are linking themselves to what type of marketing?
cause-related
The real value of marketing information rests in the _____________________.
customer insights it provides
According to the principle of ________ marketing, the company should put most of its resources into customer value-building marketing investments.
customer value
What is a type of marketing calls for building long-run consumer engagement, loyalty, and relationships?
customer value marketing
Exaggerating package contents through subtle design, using misleading labeling, or describing size in misleading terms is known as ____________________.
deceptive packaging
A company's marketing information system (MIS) is valuable because it ___________________.
enables a company to use customer insights to improve relationships with customers
What describes an organized movement of concerned citizens, businesses, and government agencies designed to protect and improve people's current and future living environment?
environmentalism
what type of research is used to help define the research problem and suggest hypotheses?
exploratory research
You and seven other people relay your feelings and thoughts about a potential new product to a trained moderator. In exchange, you receive a small payment. You are participating in a(n) ________.
focus group
The goal of a market development growth strategy is to......
identify and develop new markets for current products of a company's market
The principle of ________ marketing requires that a company continuously seek real product and marketing improvements.
innovative
The demographic, economic, natural, technological, political, and cultural forces that affect a company's ability to serve its customers make up what?
macroenvironment
A local drama club wants to increase the membership and attendance at its performances. To do so, it hosts free shows, starts poetry-reading nights, and sends volunteers to the local high school. What is the drama club engaging in?
market exchange
___________consists of the analysis tools, technologies, and processes by which marketers dig out meaningful patterns in big data to gain customer insights and gauge marketing performance.
marketing analytics
A marketing dashboard is used to do which of the following?
monitor strategic marketing performance
The difference between the marketing concept and the sustainable marketing concept is that the marketing concept ___________________________.
recognizes that companies thrive by fulfilling the day-to-day needs of customers
________ products have low immediate appeal but might benefit consumers in the long run--for instance, bicycle helmets or some insurance products.
salutary
what information must a researcher evaluate to make certain it is relevant, accurate, and impartial?
secondary information
_________________marketing means that the company should define its mission in broad social terms rather than narrow product terms.
sense-of-mission
Selling and advertising are part of a larger set of marketing tools that work together to satisfy customer needs and build customer relationships known as ________.
the marketing mix
includes shortages of certain raw materials, higher pollution levels, and more government intervention
the natural environment
How does the new concept of marketing differ from the old concept of marketing ("telling and selling")?
the new concept focuses on customer needs
The major cultural values of a society are expressed by people's views of ____________________.
themselves, other, organizations, society, nature, and the universe
Why is marketing return on investment (ROI) so difficult to measure?
there is no consistent definition
What is the importance of selling and advertising in marketing?
they work in tandem with building customer relationships
what best describes the purpose of customer insights?
to create more value for customers
what is the primary reason firms use competitive marketing intelligence?
to gain early insights into competitor moves and strategies, and to prepare quick responses
what is a result of big data?
One result of big data is that marketing managers are often overloaded and overwhelmed with information.
To be successful, why should companies try to adopt a proactive stance on marketing?
A proactive stance allows a company to take advantage of opportunities as they arise.
Which of the following is NOT a step in the strategic planning process? A. Set revenue and financial goals B. Development of individual detailed departmental plans C. Define overall purpose and mission D. Decisions regarding portfolio of business and products E. Creation of overall supporting objectives for the company
A. Set revenue and financial goals
Proactive businesses often take aggressive actions to affect consumers and the forces in their marketing environments. Which of the following does NOT depict a proactive company? A. A small family winery offering a broader selection of red wines in response to a growing preference for red wines B. A jewelry company taking advantage of the new trend of charm bracelets C. A local restaurant refusing to counter false allegations of salmonella D. A dairy creating new flavors of organic yogurt in response to a trend toward healthy eating E. A utility company hiring lobbyists to influence legislation regarding climate change
C. A local restaurant refusing to counter false allegations of salmonella
Which of the following is NOT part of an overall SWOT analysis evaluation of a company? A. Weakness B. Strengths C. Strategy D. Opportunities E. Threats
C. Strategy
A company's value chain is only as strong as its weakest link. What should a company do to properly gauge the strength of its links and continually improve?
Examine how well each group performs its work of adding customer value.
Asher Airlines instituted a marketing program whose intent is to create a relationship with customers with seat upgrades and free miles for their continued patronage. What customer relationship tool is Asher Airlines using?
Frequency marketing program
In analyzing a company's current business portfolio, what is management's first step?
Identify strategic business units
what is a valid concern when it comes to the four Ps concept?
It may omit or underemphasize certain important activities.
Using the BCG growth-share matrix as a guide, Masumura Technologies identified question marks in its business portfolio but is currently maintaining its market share. At a recent meeting with the company's senior management team, the CEO of Masumura and her team members decided to allocate all of the company's profits toward the growth and expansion of these question marks, in order to cause the question marks to become stars. What is likely to happen to this company?
The growth of the company will be unpredictable because there is no guarantee that a question mark will become a star.
Why is good marketing management critical?
To ensure that the company serves as many customers as it can and as well as it can
Why is it important for a company to collect both primary and secondary data when conducting marketing research?
To have a "full picture" of the subject of its study
What is the purpose of the marketing mix as part of the overall marketing strategy?
To produce a response that influences a demand for the product from the customers the company is targeting
The purpose of business legislation is primarily based on ________.
protecting companies from each other
Bertram's Beer structures its company in such a way as to encourage its most profitable older customers to remain loyal while also targeting a new generation of customers. What is Bertram's Beer attempting to build?
consumer equity
_______ marketing means that the company should view and organize its marketing activities from the consumer's point of view.
consumer-oriented
A wedding services company changes its marketing strategy to reflect the fact that more LGBTQ (lesbian/gay/bisexual/transgender/queer) marriages are taking place. The company is offering a broader range of ceremonies that cater to this market. Which of the following environments must this wedding company analyze?
cultural
________ includes practices such as falsely advertising "factory" or "wholesale" prices or a large price reduction from a phony high retail list price.
deceptive pricing
Practices such as misrepresenting the product's features or performance or luring customers to the store for a bargain that is out of stock are considered ____________________.
deceptive promotion
When a company starts the strategic planning process at the corporate level, it begins by _____________________________.
defining its overall purpose and mission
Julie's Jump Rope Emporium is a new company. From a marketing standpoint, what is the FIRST thing Julie's Jump Rope Emporium needs to do?
determine who in the community wants or needs to jump rope
Which of the following is included in the American Marketing Association's (AMA) Code of Ethics and stresses consciously avoiding harmful actions or omissions by embodying high ethical standards and adhering to all applicable laws and regulations in the choices we make?
do not harm
The group of factors that affect consumers' purchasing power and spending patterns is called the _________________.
economic environment
Which of the following means striving for building relationships and enhancing consumer confidence in the integrity of marketing by affirming these core values: honesty, responsibility, fairness, respect, transparency, and citizenship?
embrace ethical values
A company is conducting market research to determine the best areas in which to sell its product. It has developed the research plan. What is the next step of this company's research plan?
implement the plan
An international company has appointed a CPO to ensure the privacy and confidentiality of the consumer data it collects. what is the CPO MOST likely to do as a function of his or her job?
inform customers of the company's privacy policy
Sustainable marketing should be guided by five sustainable marketing principles. what are they?
innovative marketing, sense-of-mission marketing, customer value marketing, societal marketing
marketers obtain needed marketing information from what?
internal data, marketing intelligence, and marketing research
what is a correct statement about online research?
online surveys generally have higher response rates than those conducted by mail or phone
the four Ps of the marketing mix?
place, price, promotion, product
__________ products give high immediate satisfaction but might hurt consumers in the long run.
pleasing
Which marketing philosophy holds that consumers will favor products that offer the most in quality, performance, and innovative features?
product concept
Which of the following actions helps a company find the game plan for long-run survival and growth that makes the most sense given its specific situation, opportunities, objectives, and resources?
strategic planning
what are the dramatic changes in the political environment that affect marketing?
strong government agency enforcement, increasing legislation regulating business, greater emphasis on ethics, greater emphasis on social responsibility
Companies embracing environmental sustainability policies develop strategies to implement them. The strategies include what two components?
sustain the environment and produce profits for the company
a type of marketing that calls for meeting the present needs of consumers and businesses while preserving or enhancing the ability of future generations to meet their needs
sustainable marketing
When a company chooses a group of customers to serve, it is engaging in which of the following?
target marketing
Wonders such as smartphones, driverless cars, and antibiotics can be attributed to which marketing environment?
technological
Which of the following correctly describes customer purchases, sales force contacts, service and support calls, web and social media site visits, satisfaction surveys, credit and payment interactions, and market research studies?
touch points
The second purpose of government regulation is to _____________________.
protect consumers from unfair business practices
When consumers respond in a similar way to a given set of marketing efforts, they can be referred to as a _________.
market segment
Which of the following states that managers must look beyond what is legal and allowable and develop standards based on personal integrity, corporate conscience, and long-term consumer welfare?
the sustainable marketing concept
Criticism has been leveled at marketing for negative impact on other businesses. What are those criticisms?
-harming competitors through acquisitions -practices that create barriers to entry -unfair competitive marketing practices -reducing competition through acquisitions
what are the primary goals of competitive marketing intelligence?
-improving strategic decision making -providing early warnings of threats -providing early warnings of opportunities -assessing and tracking competitors' actions
what best describes research relationships?
Observation is best suited for exploratory research, surveys for descriptive research, and experiments for causal research.
How has the internet MOST affected companies and customers?
The internet has allowed consumers to take marketing content and share it.
How does the microenvironment of a company differ from its macroenvironment?
The microenvironment deals with the company, suppliers, marketing intermediaries, customer markets, competitors, and publics.
To create value for customers, marketers must improve the performance of the ______________, which includes partnering with suppliers, distributors, and customers.
value delivery network