Marketing Principles Mid-term (Ch.1-Ch.5) Quizes – Flashcards
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All of the following should be determined by the marketing department of a firm EXCEPT: A) storing the product. B) actually making the product. C) advertising the product. D) designing the packaging for the product. E) setting the price of the product.
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B) actually making the product. Marketing should determine storing, advertising, designing the packaging, setting the price of the product, etc. Making goods or performing services is called production.
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The fact that US car companies are located in the upper Midwest while their customers are located throughout the U.S. is an example of: A) separation in values. B) discrepancies of assortment. C) separation of information. D) spatial separation. E) separation in time.
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D) spatial separation. In spatial separation, producers tend to locate where it is economical to produce, while consumers are located in many scattered places.
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An economic system in which government officials determine production levels is known as: A) pure subsistence. B) macro-marketing. C) market-directed. D) production-oriented. E) command.
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E) command. In a command economy, government officials decide what and how much is to be produced and distributed by whom, when, to whom, and why.
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Which of the following is the BEST example of management thinking during the "production era"? A) "We need to make whatever products are easy to produce." B) "We need to find out what the customer wants." C) "The more salespeople we have, the more we can sell." D) "We need to work hard to sell the product to our customers." E) "If we produce a good product, customers will find us and buy it."
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E) "If we produce a good product, customers will find us and buy it." "If we can make it, it will sell" is management thinking characteristic of the production era due to shortage of products.
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The owner of a company that produces electronic circuit boards sees many competitors with extra capacity and says "the only hope is that our sales manager, who makes all of our marketing decisions, will find a way to sell more boards." It seems that this company is run as if it were in the: A) production era. B) sales era. C) excess capacity era. D) marketing company era. E) marketing department era.
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B) sales era. The sales era is a time when a company emphasizes selling because of increased competition.
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A firm with a marketing orientation is MOST likely to: A) view advertising as an unnecessary expense. B) recognize that effective advertising is the key to sales. C) advertise how a product meets customers' needs. D) focus advertising on product features. E) not use any advertising.
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C) advertise how a product meets customers' needs. As stated in Exhibit 1-4, marketing-oriented firm tries to offer customers what they need instead of just trying to get customers to buy what the firm has produced.
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Which of the following statements about customer value is true? A) Customer value is the difference between the benefits a customer sees from a market offering and the costs of obtaining those benefits. B) The greater the competition, the less important customer value is. C) The sure way to achieve high customer value is to offer a lower price. D) It is the manager's view of customer value that matters, not the customer's. E) None of these statements is true.
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A) Customer value is the difference between the benefits a customer sees from a market offering and the costs of obtaining those benefits. Customer value is the difference between the benefits a customer sees from a market offering and the costs of obtaining those benefits.
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The term "micro-macro dilemma" means that: A) most people are both producers and consumers. B) marketing people cannot agree on whether marketing should be viewed as activities or as a social process. C) macro-marketing is just a small part of a larger micro-marketing system. D) the micro view of marketing is concerned with the flow of goods and services from producers to consumers--while the macro view is not. E) what is "good" for some producers and consumers may not be good for society as a whole.
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E) what is "good" for some producers and consumers may not be good for society as a whole. The micro-macro dilemma refers to what is "good" for some firms and consumers may not be good for society as a whole.
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A marketing manager made a speech in which he described his organization as having "really embraced the marketing concept over ten years ago." A critic in the audience argued that the manager didn't understand the "socially conscious" view of the marketing concept. Given the critic's argument, the marketing manager may work for: A) a fruit processor. B) the public library. C) a firm that recycles aluminum cans. D) a soap producer. E) a motorcycle producer.
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E) a motorcycle producer. Some consumers want products that may not be safe or good for society in the long run. Companies that produce such products follow the marketing concept to satisfy customer needs but fail to be socially responsible. A motorcycle manufacturer may be considered one such example.
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Which of the following criticisms focuses most directly on a macro view of marketing, rather than a micro view? A) Products often wear our right after the warranty expires. B) Much TV advertising is annoying. C) Marketing exploits the poor and the uneducated. D) Prices for very similar products vary a lot from store to store. E) Door-to-door salespeople are trained to be pushy.
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C) Marketing exploits the poor and the uneducated. Marketing activity is especially open to criticism because it is the part of business most visible to the public. As stated in Exhibit 1-8, marketing serves the rich and exploits the poor.
