Marketing Fundamentals - Business 115. Test 1
Why are marketers interested in consumers' levels of disposable income?
It is a ready source of buying power.
What type of competitive structure exists when a firm produces a product that has no close substitutes?
Monopoly
If all the gas stations in a city collaborated to determine what gas prices should be charged, they would be violating the
Sherman Antitrust Act.
When PepsiCo takes the information collected through research and attempts to assess and interpret what it means for its soft-drink marketing efforts, PepsiCo is engaged in environmental
analysis.
A ____ is created when a company matches its core competency to opportunities it has discovered in the marketplace.
competitive advantage
All marketing mix decisions must have two characteristics: ____ and ____.
consistency; flexibility
A ____ is something that an organization does extremely well and may give a company an advantage over its competition.
core competency
The focal point of all marketing activities is
customers.
Consumers buying products online have dramatically affected the ____ variable of the marketing mix.
distribution
To monitor changes in the marketing environment effectively, marketers must engage in
environmental scanning and analysis.
The 1990 Nutritional Labeling and Education Act directly prohibits
exaggerated health claims on food packages
When using credit to make purchases, consumers are
increasing current buying power at the expense of future buying power.
Realizing that consumers have begun to seek vehicles that use less gasoline, Toyota heavily promotes its hybrid automobiles to capitalize on this ____ while the strategic window is open.
market opportunity
The percentage of a market which actually buys a specific product from a specific company is referred to as that product's
market share
Deciding to add gel insoles to its running shoes would be a change in the ____ element of the marketing mix for Nike.
product
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.
promotional
The three basic forms that a product can take are
services, ideas, and goods.
Successful business organizations should take actions to convert internal weaknesses into ____ and external threats into ____.
strengths; opportunities
Kashi Heart to HeartTM cereal is aimed at people concerned about their heart health. These people represent the Kashi
target market.
Distribution, price, promotion, and product are all elements of
the marketing mix.