Principles of Marketing – MKTG350 Chapter 2 – Flashcards
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A mission statement _______.
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Defines the scope of activities a firm plans to undertake.
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Which of the following are the primary strategies used to achieve product excellence? 1 Investing in your brand 2 Strong supplier relations 3 Effective positioning 4 Loyalty programs
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1 & 3
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With _____, the firm first divides the marketplace into subgroups, determines which of those subgroups it should pursue, and finally decides how it should best position its product or service. 1 SWOT 2 The marketing mix 3 STP 4 The Four P's
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3
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Firms achieve operational excellence through which of the following? 1 Efficient operations 2 Excellent supply chain management 3 Focusing on Human Resources as little as possible 4 Strong relationships with suppliers
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1 & 2 & 4
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______ is the element of the 4 P's responsible for communicating value to customers.
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Promotion
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What are the actions organizations have take ignorer to achieve these macro strategies? 1 Operational Excellence 2 Product Excellence 3 Locational Excellence
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1 - Excellent supply chain management, strong supplier relations, and human resource management 2 - Effective branding and positioning 3 - High density of stores and closer proximity to customer
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Some commonly used financial performance metrics include which of the following: 1 Mission Statements 2 Loyalty programs 3 Profits 4 Sales Revenue
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3 & 4
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When a company focuses on having _______ excellence it may also focus on having good Internet presence.
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Locational
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A(n) ______ competitive advantage is an advantage over the competition that is not easily copied and can be maintained over a long period of time.
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Sustainable
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Licensing of the brand, a reputation for quality, and a large number of retail stores are examples of potential _____. These refer to internal attributes during a SWOT analysis.
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Strengths
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Identify the following terms included in a SWOT analysis: 1 Sustainability 2 Threats 3 Opportunities 4 Weaknesses
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2 & 3 & 4
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________ is the quantity of a market comprised by a specific entity.
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Market Share
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Loyalty programs _______. 1 Are part of the locational excellence element of the marketing strategy 2 Are offered only by airlines 3 Give firms the opportunity to learn more about their customers 4 Create little or no emotional attachment toward a certain firm
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3
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Step 5 in the marketing plan process is when a firm ______ the results of the strategy and implementation process.
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Evaluates
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A company that has successfully built a wall around its position in the market, making it hard for competitors outside the wall to enter the market and compete, is an example a company that has established _______.
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Competitive Advantage
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Brand ______ means that customers are reluctant to patronize competing firms.
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Loyalty
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A _________ is a written document that includes the current marketing situation, specified objective and strategies action programs, and projected income statements.
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Marketing Plan
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A market penetration strategy employs the existing marketing mix and focuses the firm's efforts on __________. 1 Diversifying 2 Increasing sales to current customers 3 Developing a new market 4 Reaching new focus group I a new area
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2
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True or False? Organization is one of the three major phases of the marketing plan.
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False. The three phases are: - Planning - Control - Implementation
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What does "weaknesses" refer to in SWOT analysis?
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Negative attributes internal to the firm.
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Why do firms use metrics? 1 To explain why things happen 2 To help stakeholders understand their mission statement 3 To make it possible to compare results across regions, product liens, and time periods 4 To make appropriate adjustments to performance
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1 & 3 & 4
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Step 5 of the marketing plan is part of which phase?
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Control Phase
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A ______ strategy introduces a new product or service to a new market segment, one that currently the firm has not targeted.
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Diversification
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Which of the following are true regarding price? 1 It should be based on the value that the customer perceives. 2 It will not generate much volume if it is too high 3 It should always be based on competitors' prices. 4 It may result in higher-than-necessary margins and profits if it is too low
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1 & 2
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In a SWOT analysis, _______ refer to the positive internal attributes of the firm.
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Strengths
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Step 3 in the marketing planning process ________.
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Involves segmentation, targeting, and positioning (STP).
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Some commonly used financial performance metrics include _______.
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Sales revenue and profits.
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In Step 2 of the marketing planning process, a firm ____________.
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Assesses how various players, both in and outside the organization, affect the firm's potential for success.
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Marketers strive for official operations to provide their customers with all of the following EXCEPT _________. 1 A lower delivered cost than their competitors 2 The merchandise they want 3 The correct quantity 4 Low-quality products
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4
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When conducting a SWOT analysis, adverse economic conditions and intense competition are examples of potential _______ for firms.
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Threats
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A market segment consists of ______ who respond similarly to a firm's marketing efforts.
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Customers
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Step 4 of the marketing planning process ________.
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is the point at which a firm implements the four P's.
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Market ________ is the process of diving the market into groups of customers according to their needs, wants, or characteristics.
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Segmentation
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In a SWOT analysis, _________ pertain to positive aspects of the external environment.
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Opportunities
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A firm needs a marketing plan _________. 1 To implement the marketing mix 2 To explain how overall objectives will be met 3 To clearly state its overall objectives 4 To explain past financial objectives
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1 & 2 & 3
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After a firm has identified a group of market segments, it does all of the following EXCEPT __________. 1 Evaluating each segment's attractiveness 2 Determining which segments to pursue 3 Re-assigning the segments 4 Using a process known as targeting
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3
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A _________ is a measuring system that quantifies a trend, dynamic, or characteristic.
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Metric
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A ______ strategy introduces a new product or service to a new market segment, one that currently the firm has not targeted.
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Diversification
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STP works through each of the following except ______. 1 Planning a marketing strategy 2 Determining which subgroups should be pursued 3 Dividing the marketplace into subgroups 4 Position its products and services to meet the needs of the chosen targets
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1
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In Step 1 of the planning phase, a firm ________.
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Defines the mission and/or vision of the business.
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At each level of an organization, the ______ should be held accountable only for the revenues, expenses, and profits they can control.
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Business Unit Managers
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A firm can begin to implement the marketing mix immediately after which of the following steps?
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It has finished segmentation, targeting, and positioning (STP).
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A diversification strategy introduces a ______ product or service to a new market segment.
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New
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A strategy that employs the existing marketing mix and focuses the firm's efforts on increasing sales to current customers is called _______.
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Market Penetration
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True or False: Using multiple strategies to build a sustainable competitive advantage is rarely employed of enduring success.
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False
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In portfolio analysis, the _______ measures how attractive a particular market is.
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Market Growth Rate
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A market development strategy employs the existing product offering to ______.
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Reach new market segments
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______ is the only marketing activity that actually brings in money.
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Pricing
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Product excellence _______.
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Occurs by having products with high perceived value and effective branding and positioning.
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A ______ ________ is a group of products that consumers perceive as similar in some way and that the firm regards as group.
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Product Line
