SPH-R388 Marketing Exam 1 Review

T/F: Niche Marketing offers smaller companies an opportunity to compete by focusing on their limited resources on serving niches that may be overlooked by larger companies.

True

T/F: Service perishability means that services cannot be stored for later sale or use.

True

T/F: Customers within the same market segment possess different needs and characteristics.

False

T/F: Jeff's Skis Inc. has developed a new design for skis that their staff believes will offer the most in terms of quality, performance, and innovative features. Jeff's Skis is practicing the production concept here.

False

T/F: Marketing is primarily concerned with engaging customers and secondarily with managing profitable customer relationships

False

T/F: The case on Netflix demonstrates the importance of using personal interviews and focus groups in its effort of making personalized program recommendations.

False

T/F: The four P's of marketing include product, price, promotion and people.

False

T/F: The value proposition refers to a customer's evaluation of the difference between all the benefits and all the costs of a marketing offer relative to those of competing offers.

False

T/F: When a company selects the parts of the market it can serve best and most profitably, it is practicing marketing segmentation

False

Pacific Fisheries groups its customers by regions in the U.S., such as Midwest, Northeast, and Southwest. For each region, Pacific Fisheries tailors a different set of advertisements and promotions. Based on which of the following segmentation variables does the firm divide its market?

Geographic location

Demographic variables are the most popular bases for segmenting customer groups because they ____________________.

are easier to measure

The LEGO group was near bankruptcy a decade ago. However, _________________________ which is the systematic design, collection, analysis, and reporting of data, has helped TLG to become one of the top toy makers in the world.

Market research

What are the four steps (in order) to design a customer value-driven market strategy?

Market segmentation, targeting, differentiation, and positioning

Nordstrom claims superior quality, performance, and style. The owners provide the most upscale products and services and charge a higher price to cover the high costs. What type of positioning does Nordstrom use?

More-for-more

Fitness Firm hires better-skilled employees than the competition by conducting lengthy searches and interviews. Management also trains employees much better than competitors. Fitness Firm has gained a strong competitive advantage through which type of differentiation?

People

Product ________________ refers to the place a product occupies in consumers' minds relative to competing products.

Position

Bose promises "better sound through research." This is an example of ________________.

Product differentiation

Mark recently stayed at Hyatt Place. By attempting to find out if the hotel's perceived performance matched its expectations, Mark was measuring his level of customer ___________________.

Satisfaction

___________ are a form of product that consists of activities, benefits, or satisfactions offered for sale that are essentially intangible.

Services

According to the authors of our text, Lush - a company sells body care products for profit - makes its own products from fresh organic fruits and vegetables using little or no preservatives or packaging. Which of the following best reflects Lush's marketing management orientation?

Societal marketing concept

Which of the following is an advantage of primary data?

They are more relevant than secondary data.

Crowned a "social media all-star" by Fortune Magazine, JetBlue has been a leader in using a full range of social media to get customers talking with each other about the brand. This is an example of ______________________________________ marketing.

Consumer generated OR customer engagement

Stew Leonard, owner/operator of supermarkets, reacts adversely to losing a single customer sale. He feels that this amounts to losing the entire stream of future purchases that a customer is likely to make if he/she remains in the area. This is an illustration of __________________

Customer lifetime value

The video case on Boston Harbor Cruises (BHC) demonstrates how understanding the target markets can guide its business decisions. Specifically, knowing the needs of its international tourists has let BHC to do with of the following?

increasing the budget for online marketing

Consumers' needs and wants are fulfilled through ____________.

market offerings

The marketing manager at Frizzles Eateries targets customers who are working to lose weight but still want to dine out. The restaurant chain offers a wide variety of low-fat, low-calorie meals that appeal to dieters. Frizzles' approach is best referred to as ____________ segmentation.

Benefit sought

CRM analysts use ____________________ and marketing analytics to unearth patterns in customer data.

Big data

_____________ is often the most difficult but most critical step in the research process.

Defining the problem and research objectives

Greg Williams now has the buying power to purchase the golf clubs he has wanted for the last six months. Greg's want now has become a _______________.

Demand

Hammond Corp. operates in the highly aggressive electronics market. The firm aims to obtain early warnings of opportunities and threats caused by the actions of other firms that are doing well in the industry. Which of the following sources would best serve Hammond's purpose?

competitive marketing intelligence

Amazon.com leverages relationships with its 35 million customers by offering them music, videos, gifts, toys, consumer electronics, and office products, among other product items. This helps amazon.com capture a greater _______________.

customer lifetime value

The video case on Domino's Pizza explains that Domino's has identified the various pizza flavors by conducting:

experiments

Harmon, a nationwide department store, uses checkout scanners to record shoppers' purchases. Which term best describes Harmon's checkout scanners?

mechanical instrument

Many firms are making an effort to identify a smaller, better-defined target groups by using _____________________.

multiple segmentation bases

The real value of a company's marketing research and information system lies in the _____________________.

quality of customer insights it provides

When H&M Life uses segmented marketing, it targets several segments and designs separate offers for each one. This approach is called ______________ marketing.

segmented