question

Social Forces

answer

Social forces can have a dramatic impact on marketing strategy.

question

A Change in economic forces.

answer

From the start of the war on terrorism, billions have been spent on the war effort in Iraq. According to an environmental scan of the United States, this military expenditure is an example of this.

question

Social

answer

Culture is a component of this type of environmental force that must be scanned to assess its impact on the organization's marketing environment.

question

Purpose of environmental scanning

answer

only identify and interpret trends in the marketplace.

question

Multicultural marketing programs

answer

Combinations of the marketing mix that reflect the unique attitudes, ancestry, communication preferences, and lifestyles of different races.

question

Components of a consumer's income

answer

1. Gross 2. Disposable 3. Discretionary income

question

Discretionary income

answer

The owner of your local KFC franchise had a good year with rising revenues and reduced operating costs that resulted in a personal income of approximately $100,000. One-third of that was take for local, state, and federal income taxes and another third went to pay for a home mortgage, car payments, food, clothing, and other necessities. The remaining third is this.

question

Dramatic technological

answer

example: the increasing use of e-readers like Amazon's Kindle and tablet devices like Apple iPad to read digital books.

question

If taxes rise at a faster rate than incomes consumers will

answer

have less disposable income and try to economize.

question

Economy

answer

The income, expenditures, and resources that affect the cost of running a business and household.

question

Pure Competition

answer

There are many sellers and they each have a similar product, such as commodities common to agribusiness.

question

USPS has had to cope with new competitive forces in the marketplace.

answer

Many firms now use e-mail and the internet to promote their products instead do sending promotional literature to current and prospective customers through the mail. Fedex and UPS continue to grow, as they have both expedited and ground package delivery services.

question

Pure monopoly

answer

the form of competition that occurs when only one firm sells the product.

question

An example of how regulatory forces affect the marketing environment.

answer

F. Hoffman-Laroche Ltd. and BASF AG two international pharmaceutical companies, were ordered to pay 725 million in fines for plotting to raise and fix prices of vitamins used in virtually every home in the US.

question

Barriers to entry

answer

Business practices or conditions that make it difficult for new firms to enter the market.

question

External Search

answer

Needed when past experience or knowledge is insufficient, the risk of making a wrong purchase decision is high, and the cost of gathering information is low.

question

Physical Surroundings

answer

Five Situational influences have an impact on a consumer's purchase decision process. They are: purchase task, social surrounding, ____________, temporal effects, and antecedent states.

question

Cognitive Dissonance.

answer

The feeling of post purchase psychological tension or anxiety consumers may experience when faced with two or more highly attractive alternatives.

question

Evaluative criteria

answer

consumers often have several criteria for evaluating products.

question

consumer behavior includes

answer

The actions a person takes in purchasing services and using products and services, including the mental and social processes that come before and after these actions.

question

Selective retention

answer

If you read a chapter from your marketing textbook the nigh before this test and still cannot remember the correct marketing term to answer this question it may very well be the result of .....

question

Motivation

answer

The energizing force that stimulates behavior to satisfy a need

question

An ideal self-concept

answer

Marketers recognize that people have an actual self-concept and ......

question

The Ford Escape Hybrid SUV was the fist of its kind on the market to use both electricity and gasoline to power this vehicle. Ford is trying to change consumer attitudes by....

answer

Adding a new attribute

question

Brand Loyalty

answer

Brand loyalty results from the positive reinforcement of previous actions.

question

Culture

answer

Set of values, ideas, and attitudes that are learned and shared among the members of a group.

question

Dissociative Group

answer

A reference group that a person wishes to maintain distance from because of differences in values or behaviors.

question

Family life cycle concept

answer

The distinct phases a family progresses through from formation to retirement, each phase bringing with it identifiable purchasing behaviors.

question

Social Class

answer

Determined by a person's occupation, source of income (not level of income, and education.

question

Negative word of mouth

answer

If P and G had not been convinced it would be a very successful product, it would have dropped Febreeze from its product line as a result of this.

question

Discretionary income 2

answer

The money that remains after paying for taxes and necessities.

question

Word of mouth

answer

The influencing of people during conversation

question

Competition

answer

Alternative firms that could provide a product to satisfy a specific market's needs.

question

During a recessionary period this is expected

answer

the use of credit would decline.

question

Regulation

answer

the restrictions that state and federal laws place on business with regard to the conduct of its activities

question

Aspiration group

answer

A local country club has a great golf course, swimming pool, tennis courts, and even a stable for horses. It also has numerous high-profile business people and local politicians as members. To attract new members, the club's board of directors should focus its marketing efforts on people who view its current members as a(n) __________ group.

question

Which of the following statements about the VALS framework is NOT true?

answer

The different levels of resources people may possess (money, time, talents, etc.) have no effect on the expression of their primary motivation.

question

Monopolistic competition

answer

During the Christmas season, many catalog retailers offer buyers price reductions, coupons, two-for-one buying opportunities and/or free delivery. This is because these catalog retailers operate in a(n) __________ environment

question

Generation Y

answer

The first generational cohort to have no collective memory of the dramatic changes of the past 30 years.

question

Recession

answer

a time of declining economic activity when businesses decrease production, unemployment rises, and many consumers have less money to spend.

question

The Diamond of National Competitive Advantage

answer

Michael Porter has identified four key elements to explain why some companies and industries succeed globally while others fail. These four elements are collectively referred to as this.

question

United States

answer

World's leading importer

question

Four trends in the past decade which have significantly influenced the landscape of global marketing. One of these

answer

Global competition among global companies for global customers

question

Three types of companies that populate and compete in the global marketplace

answer

International firms, multinational firms, and transnational firms.

question

A global brand marketed under the same name in multiple countries with similar and centrally coordinated marketing programs., However, adaptation of global brands are:

answer

only when necessary to better connect the brand to consumers in different markets.

question

Currency Exchange Rates

answer

Fluctuations in exchange rates among the world's currencies are of critical importance in global marketing.

question

Measurement of consumer income in different countries.

answer

Since global marketing is affected by economic considerations a scan of the global marketplace should include this facotor

question

Values

answer

The reverence that Japan shows towards its elderly is an example of this.

question

Developed and Developing

answer

Two major classifications of stages of economic development helpful to global marketers.

question

Customs

answer

KFC in Japan sells tempura crispy strips . In northern England, it stresses gravy and potatoes. In Thailand, it offers fresh rice.These examples illustrates that KFC exhipbits an understanding of and appreciation for this in other societies

question

Product adaptation Strategy

answer

Global companies have five strategies for matching products and their promotion efforts to global markets. Changing product in some way to make it more appropriate for a country's climate or preferences is an example of this strategy.

question

Financial commitment and risk.

answer

a firm's profit potential and control over marketing activities increases as it moves from exporting to direct investment as a global market-entry strategy. But so does the firm's

question

Product Extension strategy

answer

Global companies have five strategies for matching products and their promotion efforts to global markets. According to Figure 7-6 above, "A" refers to which type of strategy.

question

Licensing

answer

A form of low-risk and capital-free entry into international markets that includes local manufacturing and local assemble.

question

Indirect Exporting

answer

A small Canadian winery located in BC has developed a superior tasting wine. It has no overseas contacts but wants to get it wine on the shelves in selected Asian and European markets where growth has been substantial in the last two years. What type of exporting option would best suit this company?

question

Collect Relevant Information

answer

After defining the problem and developing the research plan, the next step in the five-step marketing research approach is to

question

Two most common constraints in marketing problem solving

answer

Limitations on the time and money available.

question

Do Marketing research to identify what needs were not being satisfied.

answer

Grape-Nuts was one of the first cereals Post Cereal Company ever marketed. it scores well in brand awareness studies, but recently its sales have been steadily declining. Rather than assume the product was a "dog" the Grape-Nuts marketing manager decided Post should first

question

Methods

answer

The approaches that can be used to collect data to solve all or part of a marketing research problem .

question

Exploratory research, causal research, and descriptive research.

answer

In setting research objectives, marketers have to be clear on the purpose of research they are about to do that leads to marketing actions. The three main types of Marketing research include :

question

Personal Observation

answer

Personal observation is both useful and flexible , but has reliability issues when different observers watching the same event report different results.

question

Data mining

answer

Many consumers often buy soft drinks and potato chips together when they shop at a grocery, convenience, or mass merchandise store. The convenience store used this to extract the hidden information from its MIS to find the statistical link between the two product categories.

question

Fixed Alternative Question

answer

another name of a closed-end question

question

Two important disadvantages of secondary data

answer

not up-to-date; not specific enough for the project.

question

Syndicated Panel Data

answer

Several market research companies pay households and busineeses to record all their purchases using a paper or electronic diary, which allows for an economical way to collect consistent data over time.

question

The final step in the five-step marketing research approach

answer

Includes making action recommendation, implementing action recommendations, and evaluating the results.

question

Linear trend extrapolations

answer

In trend extrapolation, the pattern used to describe a straight line

question

Linear trend extrapolation

answer

Similar to trend extrapolation except the pattern is always a straight line.

question

Lost-Horse Forecast

answer

Involves starting with the last known value of the item being forecast, listing the factors that could affect the forecast, assessing whether they have a positive or negative impact, and making the final forecast.

question

3 frequently used sales forecasting techniques

answer

1. judgments of the decision maker 2. surveys of knowledgeable groups 3. Statistical methods

question

Global marketing strategy

answer

Refers to the strategy of transnational firms that employ the practice of standardizing marketing activities when there are cultural similarities and adapting them when cultures differ.

question

Even though primary data can be especially valuable to an individual firm, it often plays "second fiddle" to secondary data because

answer

primary data is usually more costly and time consuming to collect.

question

Bribery

answer

It is illegal for a W.S. corporation to bribe an official of a foreign government or political party to obtain or retain business in a foreign country.

question

Develop Findings

answer

The next step in the five-step marketing research approach once a a market researcher has defined the problem, developed the research plan, and collected the relevant information.

question

Direct Forecast

answer

Involves estimating the vlalue to be forecasnt and making decisions without any intervening steps.

question

Semantic differential scale

answer

What kind of question is the following? Place and X in the space

question

Filipino Custom

answer

3M Company executives were perplexed. 3M changed the shape of the pad to a foot and sales soared. #m changed its product in response to a Filipino

question

Survey of Buyers' intentions forecast

answer

involve asking prospective customers if they are likely to buy the product during some future time period.

question

Joint Venture

answer

Refers to when a foreign company and a local firm invest together to create a local business.

question

Product extension

answer

Seems to work best when the consumer market target for the product is alike across countries and cultures- that is,, consumers share the same desires, needs and use for the product.

question

All of the following are criterion used for selecting target market segments except:

answer

simplicity and cost of assigning potential buyers to segments.

question

The best segmentation approach is one that

answer

maximizes the opportunity for future profit and ROI

question

Market-Product grid

answer

A framework to relate the market segments of potential buyers to products offered or potential marketing actions by an organization.

question

Third stem in segmenting and targeting markets that link customer needs to marketing actions

answer

develop a market-product grid and estimate size of markets.

question

Market Segmentation

answer

involves aggregating prospective buyers into groups that have common needs and will respond similarly to a marketing action.

question

If Wendy's customers are buying an eating experience, which of the following rationales would make the most sense if you were to group the products Wendy's sells?

answer

Grouping by meal occasion

question

The largest potential market segment consists of

answer

students that live in a dormitory

question

The strategy most likely to exploit marketing synergies and efficiencies would be to target

answer

students that live in an apartment

question

Each cell of the market-product grid shows the

answer

estimated market size.

question

When developing a new breakfast menu, Wendy's had to consider not only the offerings of Burger King and McDonald's but also the

answer

Quick-serve breakfast items from gas stations and convenience stores.

question

Recently, U.S. dairies, struggling to increase milk sales tried to change the way adults thought about milk

answer

The dairies wanted to reposition chocolate milk in the minds of adult consumers.

question

According to the apple market product grid, apple would most likely get the least market synergies from

answer

College staff

question

Perceptual map

answer

A means of displaying or graphing in two dimensions the location of products or brands in the minds of consumers to enable a manager to see how consumers perceive competing products or brands, as well as its own product or brand.

question

A perceptual map can be used to identify a firm's product in terms of how closely it fits the "ideal perceptions of

answer

Consumer and where it fits in relationship to competitors' products.

question

Which of the following data are collected from consumers to develop a perceptual map for a particular product?

answer

The important attributes for a product or brand class.

question

An IMac personal pcomputer from Apple can be classified according to all of the following categories except:

answer

Nondurable good

question

Services

answer

intangible activities or benefits that an organization provides to satisfy consumers' needs in exchange for money or something else of value.

question

Which of the following statements about product lines is MOST accurate

answer

An advantage of broad product lines is increased likelihood of access to large retail chain distribution

question

which of the following statements regarding goods is MOST accurate

answer

Nondurable goods would rely more on advertising than durable goods

question

Into which classification of consumer products would the Waterford crystal serving bowls fall?

answer

Specialty products

question

Using an existing brand name to introduce a product that is new to the company into a totally new, unfamiliar market seems like a good idea.

answer

This is what Harley-Davidson magazine did when it introduced perfume, and it failed quickly.

question

LG Electronics Inc. has entered into an agreement with Google to offer selected models of its mobile phones that use a multi-touch interface installed on them rather than button to make calls with Google's Android operating system software.

answer

This is an example of dynamically continuous innovation .

question

At the time of its introduction, which of the following products was the Best example of a continuous innovation?

answer

Disposable lighter

question

From an organization's perspective regarding its new products and innovations, which of the following new-product strategies has the highest level of risk?

answer

Radical invention

question

The emphasis of a marketing strategy for a discontinuous innovation would most likely be to

answer

educate consumers about entirely new consumption patterns through product trial and personal selling.

question

Dragon, a speech recognition software program that allows you to use your voice instead of a keyboard to input text into a word processing program is an example of

answer

discontinuous innovation

question

Microsoft introduced its Zune player a few years after Apple launched its iPod and other competitors offered their new MP3 players. sales were very disappointing. According to the textbook, the primary reason for the Zune's failure was due in large part to

answer

bad timing

question

Factors such as specifying product features, marketing strategy, and financial projections are a part of which stage of the new-product process?

answer

Business analysis

question

business researchers emphasize that firms must actively involve customers and suppliers in the new-product development process. This means that the focus should be on what the new product will

answer

do for them rather than simply what they want.

question

The new-product process an organization goes through to identify business opportunities and convert them into salable products or services contains

answer

seven stages from new product strategy development to commercialization.

question

The most expensive stage in the new-product process for most products and services is

answer

commercialization

question

Considering the classification of consumer products, which of the following products will have the most limited distribution?

answer

Rolex watches

question

Specialty products

answer

products a consumer will make a special effort to search out and buy.

question

Product postitioning

answer

the place a product offering occupies in consumers' minds on important attributes.

question

Which stage in the new-product process has as its purpose to identify the strategic role the new product might serve in the firm's overall objectives?

answer

new-product strategy development

question

Test marketing involves offering a product for sale

answer

on a limited basis in a defined area.

question

The screening and evaluation stage of the new-product process involves

answer

internal and external evaluation of new-product ideas.

question

consumer products

answer

products purchased by the ultimate consumer

question

Barbie , this type of safety test occurs during the

answer

development stage of the new-product process.

question

all of the following are criteria used for forming market segments except

answer

cost of reaching the segment.

question

The lack of profit in the introductory stage of the product life cycle is very often the result of

answer

the large investment costs in product development.

question

The two most common pricing alternatives for products in the introduction stage of the product life cycle are

answer

skimming pricing; penetration pricing

question

Which of the following statements regarding the maturity stage of the product life cycle is MOST accurate

answer

sales increase at a decreasing rate as fewer new buyers enter the market.

question

Your product has been suffering from steadily eroding sales. You have tried a number of options to revitalize the product's sales and profits, but after seven changes in your strategy, you have yet to find success. Which of the following actions would be the LEAST appropriate next step?

answer

Stimulate primary demand

question

Stage in the product life cycle is characterized by a rapid increase in sales and the appearance of competitors.

answer

Growth

question

Which of the following products would have a low-learning product life cycle curve?

answer

Fusion razor

question

Which of the following quotes from a new product adopter would signal the need for a firm to counteract a value barrier?

answer

"Big deal, the only difference is the shape of the package."

question

Which of the following products would have a high-learning product life cycle curve?

answer

Electric car

question

As product adopters, members of the late majority

answer

are skeptical and have below average social status.

question

The consumers represented by C in Figure 5 above are called the

answer

early majority

question

An organization seeks to protect its brand for all of the following reasons except

answer

People are reluctant to buy products without well-known brands

question

The swoosh that appears on every Nike product is an example of a

answer

brand name

question

Brand personality refers to

answer

a set of human characteristics associated with a brand name

question

The primary purpose of a trademark is to

answer

legally protect a product's brand name or trade name and prevent others from using it.

question

Branding

answer

an organization's use of a name, phrase, design, symbol, or combination of these to identify its products and distinguish them from those of competitors.

question

When banks are closed, they can offer value to their customers through automatic teller machine (ATMs). This self-service technology also comes with a down side since the ATMs are perceived as being less

answer

personal

question

the four I's of services consist of

answer

intangibility , inconsistency, inseparability, and inventory

question

What do a security guard, a plumber, and a management consultant share in common?

answer

They are all people-based services.

question

Students from Berry College attended a performance at nearby Shorter College and were extremely impressed with the dance troupe that was the opening act.

answer

Inconsistency

question

Idle Production capacity

answer

A situation where a service provider is available but there is no demand for the service.

question

As a dimension of service quality, the willingness to help customers and provide prompt service is referred to as

answer

responsiveness

question

Andrea Arenas is the owner of 2 Places and 1 Time, a concierge company. She and her staff of 60 perform everyday services such as walking the dog, picking up cleaning, waiting for the repairman, and going t the post office for people who are too busy to perform these simple acts.

answer

Only during consumption or after they are purchased

question

there are five key dimensions of service quality.

answer

reliability, tangibility, responsiveness, assurance, and empathy

question

services performed by surgeons or lawyers are primarily evaluated on

answer

credence properties.

question

Characteristics of tangible goods, such as color,size and style are considered

answer

search properties

question

All of the following comprise the seven Ps of services marketing EXCEPT

answer

Profitability

question

Integrating the service component of the marketing mix with efforts to influence consumer demand is referred to as

answer

capacity management

question

Which of the following statements regarding service branding is MOST accurate?

answer

Service firms with a well-established brand reputation will also find it easier to introduce new services than firms without a brand reputation.

question

Which of the following statements regarding the place element of services is Most accurate?

answer

Until recently, customers generally had to go to the service provider's physical location to purchase the service.

question

Changes in the services industry in the future will primarily be driven by two factors.

answer

They are technological development and sustainable development

question

all of the following are important aspects of product life cycles EXCEPT

answer

how many competitors create "me too" products.

question

Services provided by specialized professionals such as medical diagnoses and legal services have certain properties or characteristics that the consumer may find impossible to evaluate even after purchase and consumption. What are these properties called

answer

credence properties

question

The buildings, landscaping, vehicles, furnishings, signage, brochures, and equipment comprise which of the seven Ps of services marketing?

answer

Physical environment

question

apple launched its iPhone in 2007 and has become the world's best smartphone with its multitouch user interface and its "apps"

answer

growth stage

question

The apple with a bite taken out of it that appears on every Apple product is an example of a

answer

logotype

question

Customer Contact audit

answer

is very important to the process aspect of services because it helps identify steps that will ultimately lead to better service creation and delivery processes.

question

In the seven Ps of services, the term process refers to

answer

the procedures, mechanisms, and flow of activities by which the service is created and delivered.

question

which stage in the product life cycle is characterized by a rapid increase in sales and the appearance of competitors?

answer

Growth

question

Which of the following quotes from a new product adopter would signal the need for a firm to counteract a psychological barrier?

answer

"But it might make me fat."

question

to handle products in the decline stage of the product life cycle, companies often use either a

answer

deletion or a harvesting strategy

question

One of the primary benefits of branding for consumers is that branding

answer

makes decision making easier for consumers.

question

Which of the following quotes from a new product adopter would signal the need for a firm to counteract a usage barrier?

answer

"I don't want to try this if it means I have to swallow it with milk."

question

The marketing of low-cost copies of popular brands not manufactured by the original produce is referred to as

answer

product counterfeiting

question

The main reason many stores and companies offer after sales service agreements

answer

the agreements are profitable.

question

Social Forces

answer

The set of environmental forces that consists of the demographic characteristics of the population and its values .

question

Which of the following statements best illustrates geographic segmentation?

answer

In Chine, KFC sells a spicier chicken the farther away its restaurants are from the coastal areas.

question

According to economists, protectionism

answer

protects a nations political security

question

Which of the following new products is the best example of the lowest level of risk from the company's point of view?

answer

adding chocolate cheerios in addition to traditional cheerios.

question

In the sneaker market, Reebok and Nike practice

answer

head-to-head positioning since both manufacturers compete in the same target market with similar product attributes.

question

Which of the following examples best demonstrates a company's appreciation of another country's values?

answer

McDonald's restaurants in India serve a full line of products except for hamburgers made from beef.

question

The axes on a perceptual map are

answer

Customer perceptions of the firm's product versus the average of all brands in the industry

question

Determining the size of specific markets using a market product grid is helpful in determining which target market segments to select and

answer

which product groupings to offer

question

The European Union (EU) has created abundant marketing opportunities because it is no longer necessary to

answer

continually monitor currency exchange rates.

Marketing Management Weeks 1-4 – Flashcards

Unlock all answers in this set

Haven't found what you were looking for?

Search for samples, answers to your questions and flashcards