MKT350 Chapter 1-Components of Strategic Marketing

113. Greensprings' main competitive advantage over traditional cemeteries comes from its attention to which element in the marketing mix? a) Product b) Price c) Promotion d) Distribution e) Marketing research

A

116. Greensprings' competitors, the traditional cemeteries, focus on advertising and personal selling of their services. This indicates a(n) _________ orientation. a) sales b) marketing c) production d) environmental e) marketing concept

A

119. Paws and Claws is now in the process of employing the a) marketing concept. b) marketing mix. c) promotion orientation. d) sales orientation. e) product orientation.

A

120. If Paws and Claws employs the philosophy of building a relationship with its dog and cat customers, and their owners, it will be implementing the a) marketing concept. b) production concept. c) sales concept. d) marketing mix. e) marketing environment.

A

115. The owners of Greensprings Cemeteries are apparently operating under which of the following orientations? a) Sales orientation b) Market orientation c) Production orientation d) Business orientation e) Profit orientation

B

114. Compared to Greensprings' approach to funerals, traditional cemeteries are using the _________ concept. a) marketing b) selling c) product d) people e) service

C

121. Previously, Paws and Claws was most likely using which type of orientation? a) Market b) Customer c) Sales d) Production e) Service

C

112. Referrals and a new website have helped Greensprings' business grow. These would come under which of the following marketing mix variables? a) Product b) Price c) Distribution d) Promotion e) Promotion and price

D

118. The fact that Paws and Claws is open 24 hours each day is part of which marketing mix variable? a) Product b) Price c) Promotion d) Distribution e) Environment

D

117. Paws and Claws' target market is most likely to be which of the following? a) The dogs and cats who stay there b) Pet owners who go on vacation frequently c) Families with small children and several pets d) Suburban families with two-income households e) Urban professionals who travel often

E

122. T F Marketing consists primarily of selling and advertising.

False

123. T F The broadest and simplest definition of marketing states that it is the development and efficient distribution of products for consumer segments.

False

127. T F A target market is always defined by demographics.

False

129. T F The marketing mix consists of three major variables: product, price, and distribution.

False

130. T F In marketing, a product can be a good or a service but not an idea.

False

131. T F Marketing efforts do not involve the design and development of products.

False

134. T F The actual physical production of goods is a marketing activity.

False

138. T F Price is seldom used as a competitive tool.

False

139. T F 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 to receive the "something of value" held by the other individual, group, or organization.

False

140. T F For an exchange to occur, at least one of the parties must be willing to give up his or her "something of value."

False

143. T F Changes in the marketing environment always hurt marketing efforts.

False

144. T F The marketing environment is a set of static, unchanging surroundings.

False

148. T F The marketing concept is a philanthropic philosophy aimed at helping customers at the expense of the business organization.

False

150. T F The marketing concept deals only with marketing activities.

False

151. T F Profit, even at the expense of customers' satisfaction, is the major thrust of the marketing concept.

False

152. T F The marketing concept directly affects marketing activities but should have negligible impact on other organizational activities.

False

154. T F The market concept developed out of a sequence of three eras: the production orientation, the marketing orientation, and the industrial orientation.

False

155. T F During the market orientation, businesspeople realized that if they could produce products efficiently, customers would buy them.

False

156. T F During the market orientation, business people realized that products, which by this time could be made relatively efficiently, would have to be promoted through much personal selling and advertising.

False

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

False

163. T F In general, when marketers focus on customers chosen for their lifetime value, they earn lower profits in future periods than when they focus on customers selected for other reasons.

False

164. T F Value = customer costs - customer benefits.

False

166. T F Customer benefits include time and effort.

False

170. T F Organizing marketing activities hinges on coordination of marketing activities, motivation of marketing personnel, and effective communication within the unit.

False

172. T F Marketing costs consume about one-quarter of a buyer's dollar.

False

176. T F Approximately 20 percent of civilian employees in this country perform marketing activities.

False

124. T F Customers are the focal point of all marketing activities.

True

125. T F A family that organizes and advertises a garage sale is performing marketing activities.

True

126. T F A target market is a specific group of customers on whom an organization focuses its marketing efforts.

True

128. T F Target markets can be people who buy the product but do not necessarily use the product.

True

132. T F Products can be goods, services, or ideas.

True

133. T F Services are provided by applying human and mechanical efforts to people or objects.

True

135. T F Promotion can help sustain interest in established products that have long been available.

True

136. T F The distribution variable in a marketing mix is directed toward making products available in the quantities desired to as many target market customers as possible and keeping the total inventory, transportation, and storage costs as low as possible.

True

137. T F Customers are interested in a product's price because they are concerned about the value obtained in an exchange.

True

141. T F Marketing activities do not always result in exchanges.

True

142. T F The outcomes of a marketer's decisions and actions may be affected by the variables in the marketing environment.

True

145. T F The marketing concept stresses that a business organization can best achieve its goal by providing customer satisfaction through coordinated activities.

True

146. T F Achievement of the firm's overall goals is part of the marketing concept.

True

147. T F The marketing concept is a philosophy that a business organization should employ to satisfy customers' needs while achieving the overall goals of the organization.

True

149. T F The marketing concept is a management philosophy, not a second definition of marketing.

True

153. T F The market concept stresses that an organization can best achieve its objectives by being customer-oriented.

True

157. T F A market orientation requires the organization-wide generation of market intelligence pertaining to current and future customer needs, dissemination of the intelligence across departments, and organization-wide responsiveness to it.

True

158. T F To implement the marketing concept, an organization must first establish an information system to discover customers' real needs and then use the information to create products to satisfy those needs.

True

159. T F To satisfy customers' objectives as well as its own, a company must coordinate all its activities.

True

160. T F At the most basic level, profits can be obtained through relationships by acquiring new customers, enhancing the profitability of existing customers, and extending the duration of customer relationships.

True

162. T F Customer relationship management is the use of information about customers to create marketing strategies that develop and sustain desirable customer relationships.

True

165. T F Basic and extended warranties can reduce risk, a major customer cost.

True

167. T F The process people use to determine the value of a product is not highly scientific.

True

168. T F Marketing management is the process of planning, organizing, implementing, and controlling marketing activities to facilitate and expedite exchanges effectively and efficiently.

True

169. T F In marketing management, planning is a systematic process of assessing opportunities and resources, determining marketing objectives, and developing a marketing strategy and plans for implementation and control.

True

171. T F Implementation of marketing plans requires motivating marketing personnel, coordinating their activities, and integrating their activities both with those in other areas of the company and with the marketing efforts of personnel in external organizations.

True

173. T F Marketing costs consume about one-half of a buyer's dollar.

True

174. T F For a business organization to remain healthy and to survive, it must sell products and make profits.

True

175. T F Knowing about marketing can help you evaluate the types of corrective measures needed to stop questionable marketing practices.

True

Approximately what percentage of civilian workers in the United States performs marketing activities? a) 25 to 33 percent b) 81 to 92 percent c) 42 to 50 percent d) 64 to 76 percent e) 10 to 20 percent

a) 25 to 33 percent

Health Care Systems, Inc. rolls out an innovative nurse-on-call information system available online. The product is not widely accepted because patients don't see the need for such a service. This situation represents a failure in which aspect of implementing the marketing concept? a) An information system to determine customer needs b) The organizational structure c) Top-management commitment d) Technological advancement e) Scanning corporate capabilities

a) An information system to determine customer needs

Which of the following companies is the best example of a service marketer? a) FedEx b) Sony c) Abercrombie & Fitch d) The Democratic Party e) General Electric

a) FedEx

Which of the following statements describes the best use of the Internet by a marketer? a) Gain information. b) Relay product information. c) Facilitate the marketing process. d) Accumulate as many friends as possible. e) Facilitate the marketing exchange, obtain customer feedback, and providing product information.

a) Gain information.

_________ of marketing plans hinges on coordination of marketing activities, motivation of marketing personnel, and effective communication within the marketing unit. a) Implementation b) Planning c) Organizing d) Marketing control e) Strategic planning

a) Implementation

For most firms, the costs of marketing activities consume approximately what portion of the consumer's dollar? a) One-half b) One-fifth c) One-fourth d) One-third e) One-sixth

a) One-half

When Burger King offers 99-cent Whoppers to increase store traffic, it is altering which aspect of the marketing mix? a) Price b) Promotion c) Distribution d) Product e) Target market

a) Price

A marketing manager decides what combination of variables is needed to satisfy customers' needs for a general type of product. What are the essential variables that the marketing manager combines? a) Product, price, distribution, and promotion variables b) Marketing environment variables c) Product and promotion variables d) Product, price, and customer variables e) Product, price, customer, and promotion variables

a) Product, price, distribution, and promotion variables

The Jackson Hewitt company wants to adopt the marketing concept as a business philosophy. To be consistent with this decision, it should adopt which of the following philosophies? a) The customer is always right. b) Making money is our business. c) Sell, sell, sell. d) Keep prices low. e) Focus on today.

a) The customer is always right.

Which of the following best describes the acceptance of the marketing concept by American organizations? a) The marketing concept has yet to be fully accepted by all organizations. b) All organizations fully utilize the marketing concept to run their businesses. c) Nearly half of all organizations are still in the sales orientation and have not implemented the marketing concept. d) Most organizations have really not accepted the marketing concept because of its many costs and problems. e) Although American organizations fully accept the marketing concept, many foreign companies do not.

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

Which of the following statements about marketing environment forces is correct? a) They influence customers by affecting their lifestyles, standards of living, and preferences and needs for products. b) They do not influence customers' reactions to a firm's marketing mix. c) They fluctuate slowly and thereby create threats to a firm's marketing mix. d) They never fluctuate quickly. e) They do not influence the way a marketing manager performs certain marketing activities.

a) They influence customers by affecting their lifestyles, standards of living, and preferences and needs for products.

Which one of the following statements by a company president best reflects the marketing concept? a) We have organized our business to make certain that customers get what they want. b) We believe that the marketing department must organize to sell what we produce. c) We have organized an aggressive sales force in our company to promote our products. d) We try to produce only high-quality, technically efficient products. e) We try to encourage company growth.

a) We have organized our business to make certain that customers get what they want.

The marketing concept is a) a management philosophy. b) synonymous with exchange. c) a component of the marketing mix. d) a function of the marketing environment. e) focused solely on satisfying customer objectives.

a) a management philosophy.

The forces of the marketing environment primarily affect marketers in three ways: They influence customers by affecting their lifestyles and preferences for products; they determine whether or how a marketing manager can perform certain marketing activities; and they a) affect a marketing manager's decisions and actions by influencing buyers' reactions to the firm's marketing mix. b) dictate that changes be made to the existing marketing mix despite any negative reactions from customers. c) make most new products obsolete very quickly so that research and development must continually develop new products. d) cause most advertising to be ineffective at communicating product benefits due to rapidly changing environmental forces. e) change a customer's decisions about the appropriate marketing mix for the company and its various products.

a) affect a marketing manager's decisions and actions by influencing buyers' reactions to the firm's marketing mix.

Issues of inventory levels and storage costs are both concerns relating to the _____ variable of the marketing mix. a) distribution b) product c) exchange d) price e) promotion

a) distribution

The forces of the marketing environment include a) political, legal and regulatory, sociocultural, technological, economic, and competitive. b) sociocultural, legal, regulatory, economic, and competitive. c) legal, regulatory, political, and sociocultural. d) competitive and noncompetitive forces that affect most lifestyles. e) fairly static components.

a) political, legal and regulatory, sociocultural, technological, economic, and competitive.

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) promotional b) distributional c) pricing d) targeting e) production

a) promotional

SunnyD is aimed at mothers with children under age twelve. These mothers represent SunnyD's a) target market. b) consumer advocates. c) marketing strategy. d) marketing mix. e) marketing tactic.

a) target market.

The primary value that a marketer expects to receive from a customer in an exchange relationship is a) the price charged for the product. b) customer satisfaction. c) references to other potential customers. d) quality merchandise that meets expectations. e) few returns of the merchandise purchased.

a) the price charged for the product.

______ is the degree to which an exchange helps achieve an organization's objectives. a) Controlling b) Effectiveness c) Success rate d) Efficiency e) Objectivity

b) Effectiveness

_________ is the process of establishing performance standards, comparing actual performance with established standards, and reducing the difference between desired and actual performance. a) Internal control analysis b) Marketing control c) Market flow regulation d) Environmental market analysis e) External analysis

b) Marketing control

When DuPont develops new carpet fibers that are highly stain-resistant and durable, it must educate consumers about the product's benefits. This calls for activity in which of the following marketing mix variables? a) Price b) Promotion c) Distribution d) Product e) Packaging

b) Promotion

U.S. Electric, the maker of a highly innovative xenon light bulb, finds that it has excess inventory. The firm increases its advertising budget by 50 percent and doubles its sales staff. This company is operating as if it were in which of the following orientations? a) Production b) Sales c) Market d) Customer e) Societal

b) Sales

The marketing concept is best defined as a) a second definition of marketing. b) a philosophy stating that an organization should try to satisfy customers' needs through a coordinated set of activities that allows the organization to achieve its goals. c) the performance of business activities that direct the flow of goods and services from producer to customer or user. d) a philosophy stating that an organization should attempt to accomplish its goals with no regard for the needs of customers. e) the inclusion of marketing activities in the activities of an organization.

b) a philosophy stating that an organization should try to satisfy customers' needs through a coordinated set of activities that allows the organization to achieve its goals.

The marketing concept is a management philosophy that affects a) only marketing activities. b) all efforts of the organization. c) mainly the efforts of sales personnel. d) mainly customer relations. e) only business organizations.

b) all efforts of the organization.

The marketing concept affects a) just the marketing department. b) all organizational activities. c) only marketing and finance. d) only production and marketing. e) few decisions in an organization.

b) all organizational activities.

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

b) buying behavior

The product variable of the marketing mix can include all of the following except a) creation of brand names. b) consumer perception of the product price. c) development of product packaging. d) warranty issues. e) repair services.

b) consumer perception of the product price.

Marketing is the process of a) promoting products through personal selling and advertising to develop and maintain favorable relationships with customers and stakeholders. b) creating, distributing, promoting, and pricing products to facilitate satisfying exchange relationships with customers and to develop and maintain favorable relationships with stakeholders in a dynamic environment. c) delivering a standard of living to a society. d) creating, distributing, promoting, and pricing goods, services, and ideas to facilitate the achievement of the firm's objectives. e) focusing on customers' needs.

b) creating, distributing, promoting, and pricing products to facilitate satisfying exchange relationships with customers and to develop and maintain favorable relationships with stakeholders in a dynamic environment.

Long-term relationships with profitable customers is the key objective of a) personal selling. b) customer relationship management. c) production oriented firms. d) e-marketing. e) distribution channels.

b) customer relationship management.

Marketing knowledge and skills a) are not necessary for a nonprofit organization. b) enhance consumer awareness and help provide people with satisfying goods and services. c) constitute the marketing mix. d) were most important during the production era. e) are most valuable for advertising executives but less important for wholesalers and distributors.

b) enhance consumer awareness and help provide people with satisfying goods and services.

A market orientation is an organization-wide effort that includes all of the following activities except a) researching customers' needs. b) focusing on the marketing department only. c) generating marketing intelligence for use in the organization. d) being responsive to customers' ever-changing wants and needs. e) disseminating marketing intelligence across departments within the organization.

b) focusing on the marketing department only.

A physical product you can touch is a(n) a) service. b) good. c) idea. d) concept. e) philosophy.

b) good.

Initiatives intended to improve an organization's positive impact on society and the natural environment are called a) environmental marketing b) green marketing c) socially-responsible marketing d) energy-conscious marketing e) socially-conscious marketing

b) green marketing

Mothers Against Drunk Driving (MADD) is a group that works to change attitudes and laws about driving under the influence of alcohol. MADD primarily markets a) goods. b) ideas. c) services. d) political figures. e) applications.

b) ideas.

Target market a) involves a large number of customers. b) is a specific group of customers on whom a company focuses its marketing efforts. c) already has several competitors vying for customers' business. d) is the same as a salesperson's prospective client list. e) is a customer group classified as people with similar demographic characteristics.

b) is a specific group of customers on whom a company focuses its marketing efforts.

A change in the minimum drinking age in any given state illustrates a change in the ___________ for Miller Brewing. a) marketing mix b) marketing environment c) marketing concept d) marketing task e) product concept

b) marketing environment

A marketing manager for a small computer manufacturer is analyzing the potential effects of political, legal, sociocultural, and economic forces on the firm's operations. The marketing manager is examining the ___________ that influence(s) the firm's strategy. a) operating situation b) marketing environment c) surroundings d) economic conditions e) trends

b) marketing environment

Today, establishing long-term, mutually beneficial arrangements in which both the buyer and seller focus on value enhancement through the creation of more satisfying exchanges is known as a) marketing synthesis. b) relationship marketing. c) a marketing orientation. d) the marketing concept. e) strategic marketing.

b) relationship marketing.

Rob Donaldson runs a successful wholesale business that sells equipment to restaurants throughout the Midwest. He is considering purchasing his own fleet of trucks to deliver the equipment instead of relying on a shipper as he is currently doing. This most closely represents a decision about a) which market he should target. b) the best way to distribute his products. c) how to effectively promote his business. d) the product he provides to his customer. e) which supplier he should use.

b) the best way to distribute his products.

StarKist Tuna announced a dolphin-safe policy and stopped buying tuna from fishing vessels that net dolphins. This decision indicates a response to concerns about a) target market selection. b) the marketing environment. c) the reduction of marketing costs. d) marketing mix decisions. e) efficiency in marketing activities.

b) the marketing environment.

Distribution, price, promotion, and product are all elements of a) marketing strategy. b) the marketing mix. c) a target market. d) a consumer good. e) a business strategy.

b) the marketing mix.

For an exchange to occur, four conditions must exist: first, two or more individuals, groups, or organizations must participate, and each must possess "something of value" that the other desires; second, the exchange must provide a benefit or satisfaction to both parties; third, each must have confidence in the promise of the "something of value" held by the other; and fourth, a) the parties must agree to participate in the trading of "something of value." b) to build trust, parties to the exchange must meet expectations. c) both parties must participate in the trading of the "something of value." d) one party must be willing to compromise. e) one party must have sufficient bank credit to finance the exchange.

b) to build trust, parties to the exchange must meet expectations.

If a family spends $2,000 a month on goods and services, how much of that $2,000 goes for marketing activities? a) $2,000 b) $1,500 c) $1,000 d) $500 e) $0

c) $1,000

In today's market environment, you might pay $15 for a CD by your favorite musical artist. Approximately how much of that price goes to activities related to marketing (promotion, distribution, profit margins)? a) $1.70 b) $3.40 c) $5.10 d) $7.50

c) $5.10

Which of the following is not an example of the implementation of the marketing concept? a) Jimmy Dean's Sausage introduces turkey sausage patties for a healthier alternative to pork. b) Mar's Candy asks customers to vote online for a new color for its M&M's candy. c) Burger King reduces the labor costs to produce its sausage-egg biscuits. d) Microsoft offers rewards for users who can find flaws in its new software. e) Saab introduces pop-up rollover bars in its convertibles to protect its consumers in the event of a serious collision.

c) Burger King reduces the labor costs to produce its sausage-egg biscuits.

_____ refers to minimizing the resources an organization must spend to achieve a specific level of desired exchanges. a) Effectiveness b) Productivity c) Efficiency d) Objectivity e) Cost cutting

c) Efficiency

Which of the following is essentially an uncontrollable factor in developing a marketing mix? a) Product adaptations b) Pricing strategies c) Government regulations d) Advertising campaigns e) Retail locations

c) Government regulations

American Express implements a program of calling its current cardholders to find out what changes they would like to see in the services provided. The firm is exhibiting characteristics associated with which of the following orientations? a) Production b) Sales c) Market d) Social e) Development

c) Market

The marketing concept is a philosophy that states that an organization should try to satisfy customers' needs and also a) increase market share. b) increase sales. c) achieve the organization's goals. d) produce high-quality products. e) coordinate its activities to increase production.

c) achieve the organization's goals.

A junior marketing executive at MegaGrain Cereals suggests increasing the package size and price of its best-selling brand without increasing the amount of cereal inside the box. Her superior warns that this might be a bad idea because MegaGrain's long-term survival, like most companies, depends on a) cost-cutting measures. b) continually selling to new customers and markets. c) creating and maintaining satisfying exchange relationships. d) high-volume, low-margin sales. e) increasing shelf space for their brands.

c) creating and maintaining satisfying exchange relationships.

The marketing mix is built around the a) product. b) company. c) customer. d) employee. e) retail outlet.

c) customer.

Changing the hours of operation for a service business involves the _____ component of the marketing mix. a) product b) price c) distribution d) promotion e) marketing concept

c) distribution

Consumers buying products online have dramatically affected the ___________ variable of the marketing mix. a) product b) price c) distribution d) research e) promotion

c) distribution

The marketing unit can be organized by ________. a) profitability. b) functions and products only. c) functions, products, regions, types of customers, or a combination of all four. d) geographical regions and best-selling products. e) customer demographics and frequency of purchases.

c) functions, products, regions, types of customers, or a combination of all four.

Taco Bell is introducing some of its products into supermarkets, vending machines, college campuses, and other locations to increase its product availability and convenience. One reason Taco Bell is doing so is to a) decrease customer benefits. b) increase customer costs. c) increase customer value. d) increase distribution expenses. e) decrease promotion expenses.

c) increase customer value.

When Wonder introduced a new bread made with white whole wheat in response to customer demand, it was following which of the following philosophies? a) selling concept b) production concept c) marketing concept d) customer concept e) retailing concept

c) marketing concept

Customer costs include anything the buyer must give up in order to obtain the benefits the product provides. The most obvious customer cost is a) risk. b) time. c) monetary price. d) effort. e) availability.

c) monetary price.

Deciding to add gel insoles to its running shoes would be a change in the _____ element of the marketing mix for Nike. a) price b) good c) product d) promotion e) distribution

c) product

According to the marketing concept, an organization should try to a) consider short-run objectives and cash flow needs before developing new products. b) define its business as "making a product." c) provide products that satisfy customers' needs and allow the organization to achieve its goals. d) put most of its emphasis on marketing activities and be less concerned with finance, accounting, and personnel. e) view selling activities as the major means of increasing profits.

c) provide products that satisfy customers' needs and allow the organization to achieve its goals.

Kashi Heart to HeartTM cereal is aimed at people concerned about their heart health. These people represent the Kashi a) marketing mix. b) marketing strategy. c) target market. d) marketing tactic. e) consumer advocates.

c) target market.

The equation a buyer applies to assess a product's value is a) value = monetary price - customer benefits. b) value = customer costs - customer benefits. c) value = customer benefits - customer costs. d) value = customer benefits - monetary price. e) value = customer benefits - time and effort.

c) value = customer benefits - customer costs.

Which of the following is most likely to be an idea marketer? a) Car salesperson b) Airline pilot c) Attorney d) Abuse counselor e) Orthodontist

d) Abuse counselor

Which of the following would not be a customer cost considered in determination of product value? a) Product's purchase price b) Time spent purchasing the product c) Effort spent purchasing the product d) Benefits received in the exchange for the products e) Risk of purchasing the product

d) Benefits received in the exchange for the products

Marketers often speak of the "controllable" variables in the practice of marketing. Which of the following is not considered one of the controlled variables? a) Product b) Price c) Distribution d) Competition e) Promotion

d) Competition

Which of the following scenarios involves the distribution element of the marketing mix? a) Deciding whether or not a certain product should continue to be sold b) Determining whether an advertising message would be more effective on television or in magazines c) Choosing between a company jet or the airlines for executive travel d) Deciding whether or not to have retail outlets in addition to a website e) Developing a new warranty policy for an existing product

d) Deciding whether or not to have retail outlets in addition to a website

If McDonald's runs a promotion advertising Big Macs for $1.50, it must ensure that each of the company's restaurants has sufficient staff and product on hand to handle expected demand. This relates to which of the following marketing management activities? a) Strategic planning b) Planning c) Organizing d) Implementation e) Marketing control

d) Implementation

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) Selling concept b) Production concept c) Customer concept d) Marketing concept e) Retailing concept

d) Marketing concept

The concept of "exchange" is fundamental to the definition of marketing. What is the best description of exchange? a) Activities that are performed primarily by producers and manufacturers b) Development of products, distribution channels, promotional strategies, and pricing objectives to satisfy customer requirements c) Transfer of products in return for monetary considerations d) Provision or transfer of goods, services, or ideas in return for something of value e) Transfer of products that takes place only between for-profit organizations

d) Provision or transfer of goods, services, or ideas in return for something of value

The definition of marketing implies that ______ should receive benefits from exchange relationships. a) only customers b) only businesses c) company management d) both customers and businesses e) only the most important customers

d) both customers and businesses

The marketing environment is best described as being a) composed of controllable variables. b) composed of variables independent of one another. c) an indirect influence on the performance of marketing activities. d) dynamic and changing. e) slow, with infrequent fluctuations.

d) dynamic and changing.

Customer relationship management (CRM) begins its focus on customers with a) communication. b) product. c) distribution. d) information. e) promotion.

d) information.

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

d) matches the needs of the target market.

When DataComp Corp., a producer of computer software, delayed the introduction of its new spreadsheet program to modify the package, its scheduled magazine advertisements announcing the new product needed to be revised. In this case, a change in the ___________ variable caused changes in the ___________ variable of the marketing mix. a) distribution; promotion b) distribution; product c) product; price d) product; promotion e) promotion; price

d) product; promotion

From the 1920s to the 1950s, demand for manufactured goods decreased, leading to the ______ orientation. a) production b) market c) revolutionary d) sales e) reduction

d) sales

The three basic forms that a product can take are a) markets, products, and images. b) goods, ideas, and intangibles. c) brands, services, and tangibles. d) services, ideas, and goods. e) ideas, services, and things.

d) services, ideas, and goods.

During the Industrial Revolution demand for manufactured goods was a) weak. b) nonexistent. c) declining. d) strong. e) mediocre.

d) strong.

Mark goes to a vending machine, deposits $1.00, and receives a Sprite. Which one of the following aspects of the definition of marketing is illustrated here? a) Production conception b) Satisfaction of organizational goals c) Distribution of ideas d) Product planning e) Exchange

e) Exchange

Scott, a buyer for a medium-sized company, is assessing the value of competing software products for use in his firm. Which of the following would not be a customer benefit considered in his determination of this product's value? a) Speed of delivery b) Ease of installation c) Availability of technical support d) Availability of training assistance e) Monetary price

e) Monetary price

A systematic process of assessing opportunities and resources, determining marketing objectives, and developing a marketing strategy and plans for implementation and control describes which of the following marketing management activities? a) Strategic planning b) Marketing control c) Implementation d) Organizing e) Planning

e) Planning

Marketing facilitates exchange relationships between buyers and sellers. What is marketing's intended outcome for this relationship? a) Profits for the seller b) A good bargain on the product for the buyer c) Reducing the seller's inventory d) One party having to compromise in the exchange e) Satisfaction for both the buyer and seller

e) Satisfaction for both the buyer and seller

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) These forces change dramatically over time, but a change in one force is unlikely to impact another force. e) The forces change dramatically and quickly, and a change in one force is likely to affect the other forces.

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

________ is a customer's subjective assessment of benefits relative to costs in determining the worth of a product. a) Marketing orientation b) Monetary price c) Product assessment d) Price assessment e) Value

e) Value

The public is becoming more aware of how marketers' activities affect the welfare of consumers and society. As a result, more firms are working to a) raise prices in order to increase their profits so that they can contribute to philanthropic causes. b) reduce the quality of their products in order to save money and provide less expensive products to their consumers. c) reduce their profits by donating more time and money to improve social welfare and environmental conditions. d) enact laws requiring companies to work toward the welfare of customers and society. e) create a responsible approach to developing long-term relationships with customers and society.

e) create a responsible approach to developing long-term relationships with customers and society.

The focal point of all marketing activities is a) products. b) the marketing mix. c) profits. d) sales. e) customers.

e) customers.

In managing customer relationships, the three primary ways profits can be obtained are by a) acquiring new customers, enhancing the profitability of new customers, and shortening the duration of relationships with existing customers. b) enhancing the profitability of existing customers, eliminating customers who provide smaller profits, and finding new customers. c) extending the length of relationships with customers, cutting organizational costs, and enhancing the profitability of new customers. d) eliminating long-term customers who have decreased purchases, finding new customers, and increasing sales to existing customers. e) enhancing the profitability of existing customers, extending the duration of relationships with customers, and obtaining new customers.

e) enhancing the profitability of existing customers, extending the duration of relationships with customers, and obtaining new customers.

Marketing activities a) are aimed at persuading customers through advertising. b) involve mainly distribution and promotion decisions. c) and selling activities are basically the same. d) are important only when a firm is developing new products or entering new markets. e) help sell an organization's products and generate financial resources for the firm.

e) help sell an organization's products and generate financial resources for the firm.

Organizations should define themselves not according to the products they produce but according to a) how profitable they are. b) the price of their stock. c) the abundance of their product selection. d) how they treat employees. e) how they satisfy customers.

e) how they satisfy customers.

The Church of the Latter Day Saints has used advertising for many years to market its a) goods. b) services. c) experiences. d) production. e) ideas.

e) ideas.

Marketing management is defined as a process of a) maintaining an appropriate and efficient marketing mix for a target market. b) establishing performance standards and evaluating actual performances against these standards. c) providing products that satisfy customers' needs through a coordinated set of activities. d) facilitating satisfying exchanges between an organization and its customers. e) planning, organizing, implementing, and controlling marketing activities.

e) planning, organizing, implementing, and controlling marketing activities.

Making modifications to packaging or brand names involves the _____ component of the marketing mix. a) price b) promotion c) market d) distribution e) product

e) product

As the Industrial Revolution came to the United States, most firms operated in a(n) ___________ orientation. a) market b) societal c) sales d) evolutionary e) production

e) production

The element of the marketing mix used to increase awareness of a product or company is a) communication. b) product. c) price. d) distribution. e) promotion.

e) promotion.

The marketing concept focuses on a) achieving the goals of top executives. b) creating maximum visibility for the firm. c) maximizing sales. d) maximizing market share. e) satisfying customers' needs in a way that helps to achieve organizational objectives.

e) satisfying customers' needs in a way that helps to achieve organizational objectives.

The application of mechanical and human efforts to either people or objects to provide intangible benefits to customers is known as a(n) a) issue. b) experience. c) idea. d) good. e) service.

e) service.