MKT 205 Ch 1-5,7 Example Problems - Flashcards

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What are the steps of the marketing process?

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1. Understand the Market Place 2. Design a Customer Driven Mkt Strategy 3. Construct an integrated Mkt program that delivers superior value 4. Build proper relationship and customer delight 5. Capture value from customers, create profit and customer equity

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To capture value (money) from consumers, marketers must___

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create value for the consumers

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The key element of successful marketing today is to__

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create value

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What is Marketing?

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The process of creating customer value

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The basic concept underlying marketing is that of...

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customer needs

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Which core marketing concept is the key building block to develop and manage customer relationships?

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Value and Satisfation

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The actual and potential buyers in a market share which of the following characteristics?

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They share a particular need and or want

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___ is the act of obtaining a desired object from someone by offering something in return

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Exchange

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A brand's ____ involves the set of benefits or values it promises to deliver to consumers

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value proposition

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The first step to a successful value-driven marketing strategy is to determine whom to serve with a market offering. To make this decision, marketers engage in which two activities?

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Segmenting & Targeting

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Companies that care about well-being of consumers, natural resources, viability of suppliers, and local community reflects ____

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Societal Marketing Concept marketing philosophy

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The ___ concept holds that consumers will favor products that are available and affordable

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Production concept

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Marketing Mix

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Product, Price, Place, Promotion

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There is little fit between the company's market offerings and the needs of which customer group?

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Strangers

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FedEx offers its customers fast and reliable package delivery. When FedEx customers weigh those benefits against the monetary costs and other costs of using the services, they are acting on

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customer-perceived value

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Which of the following is an accurate statement about building customer relationships in the modern marketing era?

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Building relationships through consumer-generated marketing is expensive and time consuming

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The total combined lifetime value of a company's current and potential customers is called

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customer equity

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Although a "customer-centered" firm seeks to deliver high customer satisfaction relative to its competitors it

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does not attempt to maximize customer satisfaction

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___ marketing is perhaps the fastest-growing digital marketing platform

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Mobile

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Social media campaigns provide exciting opportunities to___

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extend customer engagement and get people talking about a brand

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Which of the following statements regarding the changing marketing landscape is correct?

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Digital technology has changed the way we live

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Which of the following statements regarding the current economic environment is correct?

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Consumer spending values now emphasize simpler living and more value for the dollar

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A company's mission statement should be focused on ____

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Customers

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Nike states that it wants to "bring inspiration and innovation to every athlete in the world" This is Nike's

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Market-oriented mission statement

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Which of the following steps in the strategic planning process is done at the business unit level?

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Planning marketing strategies

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In the strategic planning process, the business portfolio is designed after____

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setting company objectives and goals

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The primary purpose of a strategic plan is to___

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develop and maintain a strategic fit between a company's goal and capabilities and its changing marketing opportunities

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Within the growth-share matrix, "cash cows" are

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Low Growth, high-share businesses or products

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In 2005, Proctor and Gamble purchased Gillette, makers of shaving products, and added these to the existing P&G portfolio. Which growth strategy did P&G use in acquiring Gillette Stadium?

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Diversification

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According to BCG matrix___ are high share, high growth product. When the market growth slows, these products become___

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Stars; cash cows

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What are the two measures the BCG matrix uses to classify SBUs (strategic business units) and products in the portfolio

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Relative market share and market growth rate

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The major activity in strategic planning is the analyses of a business

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portfolio

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Which one of the following statements about marketing's role in strategic planning is correct?

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Marketing provides inputs to strategic planners

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___ plans a key role in the company's strategic planning

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Marketing

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Each department can be though of as a link in the company's

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value chain

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Marketing can disrupt the internal value chain and cause conflicts to develop because it can potentially___

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increase production cost, increase inventories, cause budget headaches, and disrupt production schedules

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One way for companies to improve the performance of the ___ is by partnering with suppliers, distributors, and customers

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value delivery network

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___ refers to activities that communicate the merits of the product and persuade target customers to buy it

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Promotion

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The Dollar Store or Family Dollar profitably focus on buyers with modest means with their market offerings. This is an example of ___

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Market targeting

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What is one primary purpose of a product's position

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differentiation

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___ is at the core of any marketing strategy

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Customer value and relationships

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___ involves evaluating each market segments attractiveness and selecting one or more segments to enter

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Market targeting

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Which of the following is a true statement regarding managing and measuring marketing ROI?

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Marketers are increasingly using measures such as customers acquisition and retention, customer engagement, and customer equity as measures of ROI

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Which of the following is not one of the five marketing management functions? Implementation, control, customer services, analysis, planning

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Customer Service

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Assume the economy is in a recession. Mario's custom jewelry is expensive and sales are down in a situation (SWOT) analysis, the state of the economy is a ____ and Mario's pricing structure is a ___

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Threat; weakness

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The most common form of marketing organization is___

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Functional organization

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What are the main components of a marketing plan?

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An executive summary, situation analysis, objectives, strategy, action programs, budgets, and controls

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One challenge that marketers face regarding the macroenvironment is that

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changes in this environment are often unforeseeable and uncontrollable

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Which of the following correctly lists actors in a company's microenvironment?

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Competitors, marketing intermediaries, suppliers, and publics

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The microenvironment consists of all of the following except____ publics, suppliers, competitors, companies, demographics

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demographics

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The most important actors in the company's microenvironment are

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customers

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The macroenvironment consists of larger societal forces, which include

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economic, political and cultural forces

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According to the text, what is the single most important demographic trend in the United States today

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The changing age structure of the population

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Demography studies statistics include

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age, race, gender, and occupation

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The "echo boomers" is another name for

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Millennials

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Which of the following statements is correct regarding the current demographic environment?

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The U.S. population is rapidly getting older

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The ___ environment consists of economic factors that affect consumer purchasing power and spending patterns

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economic

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Shortages of certain raw materials is a major trend related to the ___ environment

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natural

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The___ environment is the most dramatic force shaping the destiny of the markets and marketing

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technologica

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One important new technology is ___, which can track products from point of production to their usage and disposal.

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RFID

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Which of the following is an important trend in the natural environment that marketers should be aware of?

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Products that require scarce resources facing large cost increases

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Which of the following is true of environmental sustainability?

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Companies are learning that engaging in sustainable practices is good for business

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The ___ environment consists of institutions and other forces that affect society's basic values

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Cultural

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Business legislation has been enacted for a number of reasons which include all of the following except____ to make firms take responsibility for the social costs of their production or products Protecting consumers from unfair business practices Protecting interest of society Developing a code of ethics Protecting companies from each other

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Developing a code of ethics

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In the US, patriotism has increased in recent years. Marketers have responded with increased use of the "Made in America" appeal and patriotic themes. That reflects which aspect of culture?

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People's views towards society

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One important reason that business legislation is enacted is to ___

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protect consumers from unfair business practices

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As a direct result of the explosion in the digital technology, one area that advocates and policy makers are taking action is ___

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Invasion of privacy

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A firm is concerned about how to prepare for changes in its marketing environment. What advice would you give the firm?

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Whenever possible, take a proactive approach to the environment

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A firm can be proactive by

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pressing lawsuits to keep competitors in line

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Companies who passively accept the marketing environment

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View it as uncontrollable and do not attempt to change it

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Being proactive toward the marketing means that

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Company develops strategies to change the environment

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Many companies view the marketing environment as a(n)___ element to which they must react and adapt.

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Uncontrollable

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Which of the following statements discussing big data is not true

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Marketers can access and easily sift through data once its available

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Which of the following about big data is correct?

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One result of big data is that marketing managers are often overloaded and overwhelmed with inforamtion

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What is the overall purpose of customer insight teams?

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To develop customer insights from which the company can create more value for customers

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To deliver real value to marketers, marketing information must___

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provide useful customer insights

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MIS interacts with information users in several ways which include all of the following except

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Providing concise information

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To develop needed information, marketing information systems utilize___

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internal databases, marketing intelligence, and marketing research

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___ is the systematic monitoring, collection, and analysis of publicly available information about consumers, competitors, and developments in the market place

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Competitive marketing intelligence

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Competitive marketing intelligence uses ___ data sources

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publicly available

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One advantage to using internal databases for information is that___

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they can be accessed quickly and cheaply

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MIS begins and ends with information users. Which of the following statements is not an advantage of MIS?

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MIS may provide information to external partners, such as suppliers, resellers, or marketing services agencies

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____ is the first step in the marketing research process

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Defining the problem and research objectives

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You and seven other people are talking with a trained moderator about your feelings and thoughts regarding a potential new product. For doing this, you receive a small payment. you are participating in a(n)

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Focus group interview

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The objectives of ___ research is to gather preliminary information that will help define the problem and suggest hypotheses

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exploratory

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A colleague needs to collect descriptive data about her customer's attitudes. She has not done this type of research before. What research approach would you recommend to best suit this research project?

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survey

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Which of the following statements about online research is correct?

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Online surveys generally have higher response rates than those conducted by mail or phone

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The main purpose of CRM is to___

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build stronger customer relationships

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Companies can allow key customers and value-network members to access account, product, and other data through___

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CRM

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Any contact between a customer and a company is called a ___

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extranets

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Many companies manage detailed information about individual customers by using all of the following methods except___ customer touch points Customer relationship management Marketing analytics Collecting and storing huge amounts of data Big data analytics

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Collecting and storing huge amounts of data

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Companies set up ___, which allow key customers and value-networks members to access product, account, and other data anytime they need to

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extranets

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In response to concerns about intrusions of privacy, most large companies now appoint a ___ to safeguard the information of consumers who do business with the company

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Chief Privacy Officer (CPO)

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The marketing research industry is considering several options for responding to the intrusion and privacy issues, which includes all of the following except___

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sharing information widely

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Which one of the following statements about marketing research in small business and non profit organizations is correct?

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Although the research methods used by small businesses and nonprofits are less complex and costly, they still must be conducted carefully

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According to the text, two major public policy and ethical issues in marketing research are___

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Intrusions on consumer privacy and the misuse of research findings

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Which of the following would be good advice for someone that is conducting marketing research in a foreign country?

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Reaching respondents in other parts of the world is more difficult than it is in the United States

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Which of the following correctly defines the consumer market?

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Individuals and households that buy goods and services for personal consumption

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Forces and events in the buyer's environment enter the buyer's black box, where they are turned into a set of buyer responses. These buyer responses include___

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brand choice, purchase location and timing, and brand engagement and relationship behavior

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According to the model of buyer behavior, what are the two parts of a buyer's black box?

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The buyer's characteristics and the buyer's decision process

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Compared to the mainstream buying public, Hispanic consumers tend to be deeply___ oriented, making this a special characteristic and behavior

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family

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According to the stimulus-response model of the buyer behavior, marketing and other stimuli enter the consumer's ___ and produce certain responses

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black box

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Which of the following correctly identifies the personal factors that influence consumer buyer behavior?

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Age and lifecycle stage, lifestyle, economic situation, occupation, and personality and self concept

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Consumer motivation, perception and learning are related to the___ factors influencing consumer behavior

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psychological

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Some of the cultural factors that influence buyer behavior include___

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subculture and social class

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The statements, "I only buy the best" and "The Japanese make the best cars in the world" represent

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attitudes

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Consumer purchases are influenced strongly by certain characteristics which include all of the following except

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Cognitive

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Variety-seeking behavior would result from which of the following conditions

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Low Involvement and significant differences between brands

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What determines whether a buyer is satisfied or dissatisfied with a purchase?

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Satisfaction is determined by the relationship between the consumer's expectations and the products perceived performance

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In the buyer decision process, after a consumer has recognized a need, he or she will next___

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search for information

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___ behavior occurs when consumers are highly involved with an expensive, infrequent, or risky purchase but see little difference among brands

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Dissonance reducing buying

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When consumers engage in ___ buying behavior, they go through a learning process, so it is most important that marketers understand information gathering and evaluation behavior

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complex

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Which adopter group is skeptical and adopts a new product only after a majority of people have tried it?

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Late Mainstream

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The first group marketers try to bring their new products to the attention to are potential

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innovators

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___ is the first stage in the new product adoption process

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Awareness

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In the product adoption process

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There are five stages: awareness, interest, evaluation, trial, adoption

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Which of the following correctly identifies the first two adopter groups that adopt a new product?

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Innovators Early adopters

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What is positioning

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Arranging for a market offering to occupy a clear, distinctive, and desirable place relative to competing products in the minds of target consumersMa

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Market___ evaluates each market segment's attractiveness and selects one or more segments to serve

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targeting

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The step in designing a customer value-driven marketing strategy in which a company divides a market into distinct groups of buyers is known as market___

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segmentation

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Which of the following statements about segmentation is true?

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Different segments might require different marketing strategies or mixes

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What is the purpose of differentiation?

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To create superior customer value

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Which of the following statements regarding segmentation is correct

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Consumer and business marketers use many similar variables, but business marketers use additional variables to segment their markets

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Toothpastes claim they "whiten teeth, fight bad breath, and reduce plaque". Which base of segmentation is being used in this example

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Benefits sought

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___ segmentation divides buyers into different segments based on lifestyle or personality characteristics

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Psychographic

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If men and women respond similarly to the same marketing mix, they do not constitute different segments. Gender would not be effective in the example because the segment is not___

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differentiable

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___ segmentation divides buyers into segments based on their knowledge, attitudes, uses, or responses to a product

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Behavioral

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Instead of going after a small share of a large market, a firm goes after a large share of a smaller niche segment. This type of marketing strategy is known as___

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Concentrated marketing

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On of my M&Ms web sites, users can place custom orders. They can choose their own colors, personalized messages on the candies, and even upload a photo to be placed on each candy. Which targeting strategy are they using?

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Individual Marketing

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One important consideration in using a differentiated targeting strategy___

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It can increase costs

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Using a(n) ___ marketing strategy, a firm might decide to ignore market segment differences

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undifferentiated

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A colleague wants to evaluate the attractiveness of a particular market segment. Which of the following would be good advice for your colleague

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Carefully consider the degree of competition and ease of entry into the segment

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What are perceptual positioning maps used for?

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To show consumer perceptions of different brands on important buying dimensions

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Amazon and GEICO set themselves apart with their smooth-functioning direct delivery strategy referred to as ___ differentiation

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channel

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The Westin Stamford Hotel in Singapore failed when it once advertised itself as the world's tallest hotel. The difference was not worth establishing because it did not satisfy which of the following criteria

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Important

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The winning value proposition by discount stores such as Walmart and Best Buy can be categorized as ___

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The same for less

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Which value proposition is difficult to sustain in the long run?

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More for less

MKT 205 Ch 1-5,7 Example Problems – Flashcards

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