SB Ch2

Which of the following is LEAST effective when building a sustainable competitive advantage? -Using two or three strategies -Using only a single strategy -Using four or five strategies -Using six or more strategies

Using only a single strategy

Which of the following is the primary question a mission statement should answer? -Where do we want to be in 5 years? -What specific tasks should we perform in the next year? -What type of business are we? -What are our short-term goals?

What type of business are we?

A marketing plan includes all of the following EXCEPT ____. -marketing objectives and strategy -a SWOT analysis -a plan on how to pitch investors -an analysis of the current marketing situation

a plan on how to pitch investors (would be part of your business plan)

A market penetration strategy employs the existing marketing mix and focuses the firm's efforts on ____. -diversifying -developing a new market -reaching new focus group in a new area -increasing sales to current customers

increasing sales to current customers

A competitive advantage based on location ____. -is sustainable when real estate is difficult or expensive to obtain -is sustainable when close to similar stores -is unsustainable because customer service is more important -is unsustainable because location is unimportant

is sustainable when real estate is difficult or expensive to obtain

A strategy that employs existing products or services to reach new market segments is called ____. -diversification -market penetration -product development -market development

market development

A strategy that employs the existing marketing mix and focuses the firm's efforts on increasing sales to current customers is called ____. -diversification -market penetration -product development -market development

market penetration

Firms consider pursuing various ____ as part of their overall growth strategies. -mission statements -metrics -portfolio analyses -market segments

market segments

The macro strategies for developing customer value include each of the following EXCEPT ____. -product excellence -operational excellence -locational excellence -marketing excellence

marketing excellence

A ____ is a written document that includes the current marketing situation, specified objectives and strategies, action programs, and projected income statements. -financial plan -strategic plan -marketing plan -business plan

marketing plan

A ____ identifies a firm's target markets, a related marketing mix, and the bases upon which the firm plans to build a sustainable competitive advantage. -marketing strategy -market segment -mission statement -marketing metric

marketing strategy

A metric is a ____ that quantifies a trend, dynamic, or characteristic. -marketing plan -promotional plan -product or service -measuring system

measuring system

The product development strategy incorporates a ____ product or service to a firm's ____ target market. -new; current -new; new -current; new -current; current

new; current

Product excellence ____. -occurs by having products with high perceived value and effective branding and positioning -yields cost savings -is achieved through efficient operations and efficient production -does not achieve competitive advantage

occurs by having products with high perceived value and effective branding and positioning

A marketing strategy ____. -is a step-by-step blueprint for all functions of a firm, identifying specific actions to take -outlines what a firm plans to do to dissuade certain segments of the population to purchase the product. -outlines what a firm plans to do to appeal to potential customers -is the same thing as locational excellence

outlines what a firm plans to do to appeal to potential customers

In Stage 5, the purpose of a(n) ____ evaluation is to figure out problem areas.

performance

In ____ analysis, management evaluates the firm's various products and businesses, and then allocates resources according to potential profit outlook. -portfolio -operations -contingency -growth options

portfolio

Firms that achieve a sustainable competitive advantage through their merchandise and service offerings, and effective branding and positioning, are doing so using ____ excellence. -operational -customer -product -locational

product

The ____ strategy offers a new product or service to a firm's current target market. -product development -market development -market penetration -product expansion

product development

A market development strategy uses an existing product offering to ____. -reach new market segments -sell more product to current buyers -diversify -offer new products to the existing market

reach new market segments

In a(n) ____ diversification, the current target market and/or marketing mix shares something in common with the new opportunity.

related

A marketing strategy identifies each of the following EXCEPT ____. -staffing requirements for the marketing department -a firm's target market -a related marketing mix -the bases upon which the firm plans to build a sustainable competitive advantage

staffing requirements for the marketing department

STP stands for segmentation, ____, and positioning.

targeting

A firm can begin to implement the marketing mix immediately after which step? -After it has finished segmentation, targeting, and positioning -After it has employed marketing metrics to evaluate performance -After it has selected the product or service it will market -After it has written its mission statement -After it has completed a SWOT analysis

After it has finished segmentation, targeting, and positioning

Which of the following is an example of loyalty to a company in a consumer's daily life? -Ordering from Pizza Hut because there was a coupon in the mail offering a significant discount. -Buying a Pepsi product from the campus vending machine because Pepsi is the only vendor allowed on campus. -Getting a haircut from the one barber in town who had an opening in his schedule this afternoon. -Continuing to shop at Dunkin' Donuts even if Starbucks opens more convenient locations and offers slightly lower prices.

Continuing to shop at Dunkin' Donuts even if Starbucks opens more convenient locations and offers slightly lower prices.

Firms that use multiple strategies to build a sustainable competitive advantage have difficulty maintaining long-term success. -True -False

False

The purpose of a marketing strategy is to maximize short-term profits. -True -False

False

During which step of the marketing plan do marketers make important decisions about how they will allocate their scarce resources to their various products and services? -Identify and evaluate opportunities -Evaluate performance -Define the business mission -Implement marketing mix

Implement marketing mix

Firms achieve operational excellence through which of the following? (Select all that apply.) -Efficient operations -Reducing focus on human resources -Good supply chain management -Strong relationships with suppliers

-Efficient operations -Good supply chain management -Strong relationships with suppliers

What are the four components of a SWOT analysis? (Select all that apply.) -Work -Opportunities -Threats -Weaknesses -Organization -Strengths -Technology

-Opportunities -Threats -Weaknesses -Strengths

What are components of SWOT analysis? (Select all that apply.) -Opportunities -Weaknesses -Target markets -Segmentation

-Opportunities -Weaknesses

STP includes which of the following? (Select all that apply.) -Pricing -Segmentation -Strengths -Positioning

-Segmentation -Positioning

What factors that affect a sales manager's performance are outside the manager's control? (Select all that apply.) -Poor implementation of a sales strategy -Inadequate sales force -Successful competition -An economic downturn

-Successful competition -An economic downturn

What are the main purposes of metrics during Step 5? (Select all that apply.) -To understand the needs of a market segment -To explain why things happened -To predict what will happen -To evaluate how best to position the firm

-To explain why things happened -To predict what will happen

Why do firms use metrics in Step 5 of the marketing plan? (Select all that apply.) -To help stakeholders understand the firm's mission statement -To make it possible to compare results across regions, product lines, and time periods -To make appropriate adjustments to performance -To develop integrated marketing communications

-To make it possible to compare results across regions, product lines, and time periods -To make appropriate adjustments to performance

Which of the following are components of a SWOT analysis? (Select all that apply.) -Weaknesses -Sustainability -Opportunities -Threats

-Weaknesses -Opportunities -Threats

Which of the following is NOT one of the four major growth strategies? -Market penetration -Market analysis -Product development -Market development

Market analysis

What is NOT an example of customer loyalty? -Only purchasing organic products -Only purchasing holiday decorations from World Market -Only purchasing light fixtures at Home Depot -Only purchasing dresses at Anthropolgie

Only purchasing organic products

What are reasons why strategic planning may NOT occur sequentially? (Select all that apply.) -When the implementation plan cannot move forward because there are too few resources -When new strategic opportunities arise -When a situation analysis necessitates that the mission statement be revised -When the economy has had six consecutive months of steady growth and projections indicate that the trend will continue

-When the implementation plan cannot move forward because there are too few resources -When new strategic opportunities arise -When a situation analysis necessitates that the mission statement be revised

____ is achieved through efficient operations, excellent supply chain, and human resource management. -Operational excellence -Customer excellence -Locational excellence -Product excellence

Operational excellence

Step 2 of a marketing plan involves which of the following? -Performing a situation analysis using SWOT -Evaluating performance -Creating a mission statement -Evaluating opportunities

Performing a situation analysis using SWOT

In portfolio analysis, ___. (Check all that apply.) -management evaluates the firm's various products and businesses -management allocates its resources to products with the greatest potential to be profitable -firms typically perform the task for the entire company as a unit -management develops the marketing mix for each SBU

-management evaluates the firm's various products and businesses -management allocates its resources to products with the greatest potential to be profitable

Which of the following is one of the macro strategies for developing customer value through effective branding and positioning? -Supply excellence -Advertising excellence -Communication excellence -Product excellence

Product excellence

Locational excellence is particularly important for which type of firm? -Retailers -Science research facility -Call centers -Manufacturers

Retailers

Which of the following statements about strategic planning is true? -Skipping a step of the process is fine, but the steps should not be performed out of order. -The steps of the process must always be followed in order. -Creating a strategy without following the steps in order usually ends up failing or doing poorly. -The process can move back and forth between steps, depending on the situation.

The process can move back and forth between steps, depending on the situation.

What is the purpose of evaluating performance during Step 5? -To identify potential layoffs or additional employees required -To identify growth and effectiveness relative to the competitors -To highlight employee successes -To identify and explain performance above and below expectations

To identify and explain performance above and below expectations

In which type of diversification does a firm enter into an entirely new business? -Metric-driven -Unrelated -Related -Question mark

Unrelated

A mission statement ____. -details how a firm can avoid risks -maximizes profits and dividends -enhances the value of a firm's products -defines the scope of activities a firm plans to undertake

defines the scope of activities a firm plans to undertake

Step 5 in the marketing plan process is when a firm ____ the results of the strategy and implementation process. -cancels -evaluates -sustains -builds

evaluates

Step 5 of the marketing plan involves ____. -performing the STP process -defining the firm's mission and objectives -evaluating the results of the strategy and implementation program -implementing the marketing mix elements for customers

evaluating the results of the strategy and implementation program