Quiz Ch1-5 MKT3350

When integrating conscious marketing into a marketing strategy, a key task is to ensure that all managers are evaluated on their actions from a conscious marketing perspective. This action would take place during which stage of the strategic marketing planning process?

control phase

The basic difference between a good and a service is that a good

can be physically touched

As it pertains to the marketing plan, understanding the causes of performance, regardless of whether that performance exceeded, met, or fell below the firm's goals

enables firms to make appropriate adjustments

What is the focus of a firm that develops a relational orientation with its customers?

gaining lifetime profitability from customer relationships

When Kimberly-Clark introduced rolls of toilet paper without the cardboard core, what social trend did this product respond to?

green marketing

Charges that firms are using "sweatshop" labor to produce their products are likely to occur during the ________ phase of the strategic marketing planning proces

implementation

What is most likely to happen when inflation increases?

Consumers buy lower-priced foods.

Courses of action such as halting the market research project, making responses anonymous, and instituting training on the AMA Code of Ethics for all researchers would be identified during the ________ stage.

brainstorming

Eugene uses a database software system to remind him when his customers should be ready for their next lawn and/or garden service. With this reminder system, Eugene contacts his customers when they are most likely to be "in the buying mode." Eugene's system is part of

customer relationship management

Disney's My Magic system, which enables visitors to swipe their Magic Band wristbands to get on rides, make purchases, and open their hotel room door, is an example of ________ excellence.

customers

Walmart donates more than $1 billion in cash and in-kind items to charitable causes every year. This form of social responsibility most directly impacts

customers

Viewers of the World Series are likely to see ads for beer and cars, and viewers of the Academy Awards broadcast are likely to see ads for clothing and hair care products, due to

differing demographic data for potential and past viewers.

Introducing newly developed products or services to a market segment the company is not currently serving is called

diversification

The definition of corporate social responsibility addresses

environmental impact

Justine offers design and consulting services on a fee-only basis. She has found that different customers are willing to pay different rates for her services. This shows that her pricing decisions should depend primarily on

how different customers perceive the value of her services.

Rashid has been directed by his regional marketing manager to cut prices on seasonal items, place an ad in the local paper, and tell distributors to reduce deliveries for the next month. Rashid is engaged in

implementing marketing mix and resources.

The persistent increase in the prices of goods and services is known as

inflation

A competitive advantage based on location is often sustainable because

it is not easily duplicated.

Value creation through place decisions for a consumer product involves

making sure the product is available in the stores where customers will want to find it, and that it is always in stock so they can buy it when they want to

The process of dividing the market into groups of customers with different needs, wants, or characteristics is called

market segmentation

A former advertising campaign for GEICO Insurance used the slogan "So easy, even a caveman could do it" to emphasize the ease of buying insurance on GEICO's website. This campaign was part of GEICO's

positioning strategy.

For most makers of ________, especially those that resonate strongly with consumers' sense of nostalgia and childhood memories, changing ingredients to healthier options represents a grave risk.

processed foods

Generational cohorts are groups of people of the same generation who have similar ________ because they have shared experiences and are in the same stage of life.

purchase behaviors

One of the UN Sustainable Development Goals is to

reduce hunger

The first objective in the evaluate performance phase of the marketing planning process is to

review implementation programs and results using metrics.

Which of the following are commonly found in distribution and fulfillment centers to fill orders for stores or individual customers?

robots

Cliff sells construction equipment. Whenever he calls on his building contractor customers, he asks if they are having any problems. In doing so, Cliff is addressing which of the following core aspects of marketing?

satisfying customer needs and wants

Even when large discount retailers enter a market, a few small, local retailers survive and prosper. These small retailers have probably developed a(n) ________ that allows them to survive.

sustainable competitive advantage

The decision-making metric includes

the publicity test

Generally, to build a sustainable competitive advantage, companies should

use multiple approaches to solidify their position

Subway is a large chain of franchise sandwich shops. Elgin owns three Subway stores in a large city. At the end of the year, he notes that sales rose from 2 to 5 percent over last year's sales at Stores 1 and 2 but fell 2 percent at Store 3. Based on this information, which of the following is the best course of action as to how Elgin should reward (or punish) his store managers?

He should seek more information about why the stores had different results before making a decision.

Nau works with its ________ to develop socially responsible outdoor and urban apparel.

corporate partners

For every consumer who purchases a pair of TOMS shoes, the company promises that a needy child will receive a pair of shoes. TOMS shoes is actively engaging in

corporate social responsibility

Marketers want their firms to develop excellent supply chain management and strong supplier relations so they can

create a sustainable competitive advantage.

Many corporations are shifting from defined benefit to defined contribution retirement programs. When considering changes to retirement programs, the primary stakeholders are the

employees

After major hurricanes like Katrina, many ethical home repair and building supply businesses continue to charge pre-hurricane prices to their customers, even though they could charge much more due to the huge increase in demand. These firms probably recognize that

lifetime profitability of relationships matters more than profits from a particular transaction.

A(n) ________ is a group of products that consumers may use together or perceive as similar in some way.

product line

Juanita studies her customer profiles, market research data, complaints, and other information, attempting to better understand what her customers want. Juanita most likely operates in the ________ era of marketing.

value-based marketing

Which of the following is true with regard to mobile advertising?

Within just a couple of years, mobile advertising will be a bigger market than digital advertising.

Which of the following is true of changing gender roles?

Women graduate from high school and college at greater rates than men.

When Volkswagen owners began to report problems with rear coil springs, Volkswagen at first ignored or rejected the claims. Eventually, the company evaluated the issue and issued a recall. Which of the four steps of the ethical decision-making framework was Volkswagen performing when it recalled several of its models?

choose a course of action

The fundamental goal of marketers when creating goods, services, or combinations of both is to

create value.

A firm's macroenvironment includes

economics.

The four overarching strategies to create and deliver value and to develop sustainable competitive advantages include locational, customer, operational and _______ excellence.

product

Binder & Sons is considering buying out a competing firm and closing most of the competitor's factories. The firm has identified the various stakeholders and their issues and gathered the available data. Everyone with an interest in the issue has engaged in brainstorming and evaluating alternatives. Management reviewed and refined the alternatives, and then chose a course of action. If the managers are not confident about the decision, they should

reexamine their alternatives

Kenisha's company is facing a difficult ethical issue. The firm has identified the various stakeholders and their issues and gathered the available data. Everyone with an interest in the issue has engaged in brainstorming and evaluating alternatives. Management reviewed and refined the alternatives. It should now choose the course of action that

seems best after weighing the concerns of all stakeholders

When positioning products relative to competitors' offerings, firms typically are most successful when they focus on opportunities

that build on their strengths relative to those of their competition.

Many American consumers are replacing older versions of washing machines and dishwashers with water- and energy-saving models and to invest in phosphate-free laundry detergent and mercury-free and rechargeable batteries. These consumers

value contributing to a greener environment

In the summer of 2002, the euro was valued at slightly less than US$1. By 2008, it had risen to an all-time high of $1.60, but in late 2017, the euro was once again slightly less than $1. This change in value is called

foreign currency fluctuations

Traditionally, marketing activities have been divided into product, price, place, and promotion. Select the term that best describes the four Ps.

marketing mix

Marketing traditionally has been divided into a set of four interrelated decisions and consequent actions known as the

marketing mix.

Many inventors struggle with the question, "I made it; now how do I get rid of it?" They have made the error of not creating a(n)

marketing plan.

Effective promotion enhances a product or service's

perceived value.

When the publisher of the well-known Berenstain Bears books wanted to celebrate the 50th anniversary of the series, it initiated a $150,000 campaign. Which of the four Ps does this campaign represent?

promotion

Some banks offer special accounts designed to attract junior high school students. These kids save in such small amounts that the accounts cost banks more to maintain than they are worth; however, bankers know that consumers are creatures of habit and hope that the young people they serve now will become adult customers. These banks recognize

the lifetime value of customer

Marketing ethics is concerned with

the sale of products or services that may damage the environment

According to your text, the wealthiest 10 percent of the population control approximately what percentage of Americans' total net worth?

76 percent

Which of the following factors, listed in a situation analysis for a major U.S. auto manufacturer, is the best example of a threat?

A New York law firm has filed a $10 million class action suit against the company on behalf of car owners whose gas tanks exploded.

Which of the following is an example of greenwashing?

A company donates money to a school reading project so it can advertise itself as environmentally friendly.

________ is(are) distinguished from the other generational cohorts in that the group's oldest members are now collecting Social Security.

Baby Boomers

By allowing consumers to sell their unwanted goods to other consumers, auction sites like eBay, Poshmark, and Mercari cater to ________ marketing.

C2C

A meat-packing company discovers that six months ago it unknowingly distributed meat from a cloned cow. The firm is unaware of any specific risks to humans consuming the meat; however, some scientists have raised questions, and some consumers are afraid of possible future problems. The meat company has to decide whether or not to make this matter public. How should it begin the process of making an ethical decision?

Identify the issues raised by the situation.

________ is the cost to the customers or the fee the bank charges those customers for borrowing money.

Interest

Which of the following statements regarding conscious marketing is correct?

It recognizes that business is a subset of society, and that society is a subset of the planet.

Nike, the global athletic footwear market is expected to experience only very slow growth over the next several years. Nike is the market leader. According to Boston Consulting Group portfolio analysis, how should Nike treat its athletic shoe business?

Nike's athletic shoe business still requires some investment, but it is likely to produce excess resources that can be invested in other divisions of the company.

When Maria, the keynote speaker at a major business leaders' conference, arrived in the middle of the night at the Ritz-Carlton, she was exhausted, and her suit was wrinkled from her 10-hour plane trip. The night clerk found someone to dry clean Maria's suit and have it ready for her morning presentation. She has been a loyal Ritz-Carlton customer ever since. In this example, Ritz-Carlton demonstrated the macro strategy of

customer excellence

Audi's mission statement addresses urbanization, the need to work on traffic flows and safety in urban areas. To that end, Audi is working with Airbus to develop the Pop.Up Next driving and flying transport system that will enable vertical individual mobility. The strategic planners are engaged in

defining the business mission.

Golden Gate Hair Company keeps track of the gender and age of its customers so it can target emails to them and be sure to have the right hair products in stock when they visit. This is an example of the use of ________ in marketing.

demographics

Ironically, while the leaders of Enron Corporation were manipulating the company's finances for their personal benefit, the company was a major donor to Houston area charities. Enron had unethical business practices but was also

demonstrating corporate social responsibility

According to one definition, CSR can be described as context-specific actions and policies, taking stakeholders' expectations into account, to achieve what is referred to as the triple bottom line. The triple bottom line includes ________ performance.

economic, social, and environmental

After the previous sales representative in his territory infuriated an important customer, Sonja visited the customer once a month, never asking for business but hoping to rebuild trust through listening and expressing concern. Finally, after more than two years, the customer gave Sonja an order. Sonya was providing the important marketing function of

engaging customers and developing long-term relationships.

When marketers use a variety of communication disciplines—advertising, personal selling, sales promotion, public relations, direct marketing, and online marketing including social media—in combination to communicate a value proposition to the customer, it is referred to as

integrated marketing communications

Using the BCG portfolio analysis, a "dog" should be phased out unless

it complements or boosts the sales of another product.

Some universities offer online degree programs, competing with traditional colleges based on the convenience of taking online courses. These online programs are most likely pursuing which macro strategy?

locational excellence

Learn to Go sells its foreign language dictionaries to college students throughout the United States. Samuel Marcus, the owner, wants to start selling these products to international students abroad. Marcus wants to pursue a ________ growth strategy.

market development

Woods, Inc. is a small, local heating and air conditioning business. The local military base is a potential source of growth, and Woods already installs and services the type of equipment the military would require, but it is difficult to get established as a certified government contractor. Woods is considering a ________ growth strategy.

market development

To determine how attractive a particular market is using the BCG portfolio analysis, ________ is(are) established as the vertical axis.

market growth rate

Andy decides to add new sales representatives and increase advertising to increase sales in her existing market for her current line of security systems. Andy is pursuing a ________ growth strategy.

market penetration

Marvel has increased its market penetration by expanding the distribution of its films. Marvel movies can be seen in theaters, accessed on Xfinity, and viewed on DVDs available in discount stores, grocery stores, and a host of other stores, including book and comic stores. This is an example of a ________ growth strategy.

market penetration

During the ________ era, firms had excess capacity and used personal selling and advertising to generate customers.

sales-oriented

Jacob was thrilled to find out that his company had just decided to invest a great deal of money in the product he was managing. He knows that even with its recent high rate of growth and the fact that it dominates its market, he would need more money to establish it firmly. Using the BCG portfolio analysis, his product would be classified as a(n)

star

When Walmart pressured its vendors to supply it with environmentally friendly merchandise with labels to prove it, this effort most relates to the concept of

sustainability

The first "latchkey" children belong to which generational cohort?

Generation X

________ is communication by a marketer that informs, persuades, and reminds potential buyers about a product or service so as to influence their opinions and elicit a response.

Promotion

Which of the following specifically prohibits monopolies?

Sherman Antitrust Act

________ provides a detailed, multipronged "Statement of Ethics" that can serve as a foundation for marketers.

The American Marketing Association

Which test asks the question, "Would I like to be on the receiving end of this action and all its potential consequences?"

The Golden Rule Test

Zara is a women's clothing retailer headquartered in Spain, with stores located in many countries. Zara has developed a "quick response" system that allows store merchandise to be adjusted rapidly to fit changing customer preferences. Every aspect of Zara's operation is optimized for this system, making it difficult for competitors like The Gap to duplicate. Zara has established

a sustainable competitive advantage.

Giorgio sees that his company's quarterly sales and profits are significantly above projections and says, "That's great. Let's keep doing what we've been doing." Giorgio is ignoring the ________ step of the marketing planning process.

evaluate performance

Nice 'n Easy sells handcrafted furniture. They have also recently begun offering appraisals of customers' antiques. Nice 'n Easy is

expanding from offering just goods to also offering services.

Because it was able to deliver merchandise overnight, in the required quantities and at a lower delivered cost than its competitors, Tim's Sports Shack was given exclusive rights to sell clothing with school logos for the school district. Tim's demonstrates ________ excellence.

operational

For U.S. businesses with strong export capabilities, expansion of U.S. trade agreements with other countries creates

opportunities

Roderick is charged with assessing his company's external environment as part of a SWOT analysis. Roderick will study her company's

opportunities and threats

Many small businesses whose competitors are national franchises advertise "we are locally owned" or "we have been serving the community since 1951." These claims are part of these firms'

positioning strategy.

Suppose your university made a sizable investment in its career services—additional counselors, increased efforts to bring in recruiters, and other services aimed at helping students find jobs. This investment would enhance the university's ________ in an attempt to create value for students and recent graduates

product value

Mario works for a small computer software company. His boss is constantly improving the company's products but neglects customers, billing, and promoting the company. Mario's boss is probably stuck in the ________ era of marketing.

production-oriented

New real estate disclosure regulations require sellers and their agents to tell prospective buyers about any existing problems with the property. Previously, they were expected only to answer buyers' questions. The new regulation addressed the marketing ethics problem of

withholding information