NHM 464 Marketing Test #1

question

Quality
answer

the features and characteristics of a product that bear on its ability to satisfy customer needs
question

*need
answer

a state of felt deprivation
question

product
answer

anything that can be offered to a market to satisfy a want or need
question

value proposition
answer

A company’s ___________ is the set of benefits or values it promises to deliver to consumers to satisfy their needs.
question

*A market is only the set of actual, not potential, buyers who have transacted with a seller. T or F?
answer

False
question

A product can be:
answer

tangible or intangible
question

*Building strong economic and social ties with customers by delivering high-quality products and services is the foundation of:
answer

relationship marketing
question

*In choosing among products, the guiding principle of most consumers is customer value-the most benefit for the price. T or F?
answer

True
question

Instead of simply being defined as “freedom from defects,” QUALITY should be defined:
answer

in terms of customer satisfaction
question

*It is wise to assess the customer’s __________ value and take appropriate actions to ensure a customer’s long-term support.
answer

long-term
question

*Marketing mix elements, 4 P’s:
answer

Product Placement (distribution) Price Promotion
question

Relationship marketing is a process where marketers work at building relationships with customers, distributors, dealers, and:
answer

suppliers
question

The ________________ describes a channel that stretches from raw materials, to components, to final products that are carried to final buyers.
answer

supply chain
question

*The most basic concept underlying marketing is that of:
answer

needs
question

*The product concept holds that customers prefer existing products, and the job of management is to develop good versions of these existing products. T or F?
answer

True
question

*The production concept holds that consumers will favor products that are __________ and highly ____________, and therefore management should focus on production and distribution efficiency.
answer

available; affordable
question

*The selling concept holds that consumers will not buy enough of the organization’s products unless the organization undertakes a large _________ and __________ effort.
answer

selling; promotion
question

The simplest definition of marketing is delivering customer satisfaction at a profit. T or F?
answer

True
question

*The social and managerial process by which individuals and groups obtain what they need through creating and exchanging products and value with others is called:
answer

marketing
question

*The two main industries that comprise the activities we call tourism are:
answer

the hospitality and travel industries
question

*Under the product concept, marketing strategy focuses on making continuous product ___________.
answer

improvements
question

*When backed by buying power, wants become:
answer

demands
question

Which is not a purpose of marketing in a customer-centered firm?
answer

to maximize customer satisfaction
question

____________ are highly loyal but not very profitable.
answer

Barnacles
question

____________ is the act of obtaining a desired object from someone by offering something in return.
answer

Exchange
question

customer touch point
answer

any occasion on which a customer encounters the brand and product—from actual experience to personal or mass communications to casual observation
question

customer expectations
answer

based on past buying experiences, the opinions of friends, and market information
question

customer value
answer

the difference between the benefits that the customer gains from owning and/or using a product and the costs of obtaining the product.
question

market
answer

A set of actual and potential buyers of a product
question

*A casino employee’s uniform and a restaurant’s fancy front lobby are a means of:
answer

tangibilizing the service
question

A system of values and beliefs in an organization that reinforces the idea that providing the customer with quality service is the principal concern of the business is called __________________.
answer

service culture
question

*Because services are characterized by the issue of inseparability, service providers often will have to:
answer

train the customers
question

*Customers cannot take services on a “test drive,” which means that they cannot evaluate them before they use them. This is a problem with the ________ of the service.
answer

inseparability
question

Additions besides 4 P’s to service marketing:
answer

Internal marketing, external marketing, interactive marketing
question

Marketing Strategies:
answer

– Managing service differentiation, service quality, and service productivity – Resolving customer complaints – Employees as part of the product, managing perceived risk, managing capacity and demand
question

Developing a good ______________ policy minimizes the chance of walking a guest.
answer

overbooking
question

Hospitality companies face the task of increasing three major marketing areas:
answer

Service differentiation, service quality, and service productivity
question

*If you manage a 200-room hotel, and only sell 150 rooms tonight, you can’t stockpile the extra 50 rooms to sell tomorrow. This is a problem with the ________ of services.
answer

perishability
question

In a well-run hospitality organization, there are two customers-the paying customers and the ___________.
answer

employees
question

It is better to give the customer a time ____________ the anticipated wait time.
answer

more than
question

*Marketing by a service firm to effectively train and motivate its customer-contact employees and all the supporting service people to work as a team to provide customer satisfaction is called ___________________ marketing.
answer

internal
question

Most restaurant kitchens would be considered examples of invisible organizations. T or F?
answer

True
question

Overbooking is another method that hotels, restaurants, trains, and airlines use to match:
answer

demand with capacity
question

*Perhaps the best measure of service quality is:
answer

customer retention
question

Price is ____________ related to demand for most products.
answer

inversely
question

Revenue management grew out of ___________ management, which was introduced in the 1980s.
answer

yield
question

*Service marketing requires both internal marketing and ______________ marketing.
answer

interactive
question

Studies have shown the best way to deal with service failure is to:
answer

Give the unhappy customer timely information regarding the failure
question

*The perishability of a service is especially a problem when demand fluctuates. T or F?
answer

True
question

*To reduce uncertainty caused by service intangibility, buyers look for whatever tangible evidence they can find that will provide information about the service. T or F?
answer

True
question

Which of the following is NOT a link in the service-product chain?
answer

increasingly intangible services
question

Which of the following is not part of the service profit chain?
answer

external service quality
question

____________ form(s) when capacity exceeds demand and guests are willing to wait.
answer

Queues
question

A business portfolio is the collection of businesses and products that make up the company.
answer

True
question

A company may discover additional sources of ________________ by investigating possible integration moves.
answer

sales volume
question

Steps in corporate strategic planing:
answer

1. Define the company mission 2. Set company objectives and goals 3. Design business portfolio 4. Plan marketing and other business strategies
question

A critical and sometimes overlooked stakeholder group is that of owners of hotels managed by a hotel management company. T or F?
answer

True
question

*A hotel company acquiring a food distributor is an example of:
answer

backward integration
question

3 types of diversification growth:
answer

1. Concentric diversification – seek new products that expand the company’s market 2. Horizontal diversification – new products that appeal to current customers 3. Conglomerate diversification – company seeks new business that has nothing to do with their current situation
question

3 types of integrative growth:
answer

1. Backward integration – company acquires one of its suppliers or distributors 2. Forward integration – company acquires wholesalers or travel agencies 3. Horizontal integration – company acquires one of its competitors
question

*A hotel company acquiring a tour operator is an example of:
answer

forward integration
question

A hotel company acquiring one or more of its competitors is an example of:
answer

horizontal integration
question

A well worked-out ________ provides company employees with a shared sense of purpose, direction, and opportunity.
answer

mission statement
question

*According to the Ansoff product-market expansion grid, management should first consider whether:
answer

It should gain more market share with its current products in their current market
question

An internal environmental analysis is essentially a strengths and weaknesses analysis. T or F?
answer

True
question

Companies that diversify too broadly into unfamiliar products or industries can ______ their market focus.
answer

lose
question

Critics of strategic alliances point out the high failure rate of such alliances, which is probably unfair, since short-term objectives may have been met. T or F?
answer

True
question

*If a hotel chain buys one of its suppliers, it is engaging in what type of growth?
answer

Backward integration
question

Market definitions of a business are ___________ to product definitions.
answer

superior
question

Mission statements should be realistic and general in nature. T or F?
answer

False
question

Most large companies consist of four organizational levels: corporate, division, business unit, and:
answer

product
question

One of the major effects of the marketing plan process is that it forces marketing managers to objectively review all steps in the marketing process. T or F?
answer

True
question

*Selecting one or more market segments to enter is part of:
answer

market targeting
question

Studies have shown that a well-crafted mission statement aids a firm’s performance, as the mission statement serves as a statement of:
answer

purpose
question

The example of the Las Vegas Hilton’s change in strategic focus underscores how companies are increasingly refocusing their attention on the need to manage ________ instead of departments.
answer

processes
question

The ideal target market for a firm is the one in which it can profitably generate the greatest customer ________ and ________ it over time.
answer

value; sustain and grow
question

The number of channel levels from raw materials to final product and the distribution in which the company will engage is an example of ________ scope.
answer

vertical
question

The principal objective of a market-oriented mission statement is to:
answer

satisfy basic customer needs
question

*The process of dividing a market into distinct groups of buyers who have different needs, characteristics, or behavior and might require separate products or marketing programs is called _______________________.
answer

market segmentation
question

*When hotel chains enter such markets as the retirement home industry they are practicing which type of strategy?
answer

conglomerate diversification
question

____________ growth makes sense when good opportunities can be found outside the present businesses.
answer

Diversification
question

_________________ is the marketing logic by which the company hopes to create customer value and achieve profitable relationships.
answer

Marketing strategy
question

share of market
answer

the competitor’s share of the target market
question

share of mind
answer

The percentage of customers who named the competitor in responding to the statement, “Name the first company that comes to mind in this industry.” – who do you first think of?
question

share of heart
answer

The percentage of customers who named the competitor in responding to the statement, “Name the company from whom you would prefer to buy their product.
question

Product form competition (1)
answer

Companies that offer similar services to the same customers at a similar price
question

Product category competition (2)
answer

Companies that make the same products or class of products
question

General competition (3)
answer

companies that supply the same service
question

Budget competition (4)
answer

companies that compete for the same consumer dollars
question

types of hospitality intermediaries
answer

travel agents, wholesale tour operators, hotel representatives, and online travel agencies (OTAs)
question

A ____________ is any group that has an actual or potential interest in or impact on an organization’s ability to achieve its objectives.
answer

public
question

The Internet has created both __________________________________ transparency.
answer

disintermediation and pricing
question

Target Marketing
answer

1. Dividing a market into groups (market segmentation) 2. Selecting one or more (market targeting) 3. Developing competitive position and a marketing mix (market positioning)
question

“Unaware,” “Aware,” and “Informed” are three examples of which behavioristic segmentation variable?
answer

buyer readiness stage
question

*A product’s ________ is the way the product is defined by consumers on important attributes.
answer

position
question

*A segment may have desirable size and growth and still not offer attractive profits. T or F?
answer

true
question

*Dividing a market into groups based on consumers’ knowledge, attitude, use, or response to a product is called:
answer

behavioral segmentation
question

*Evaluating each market segment’s attractiveness and selecting one or more of the market segments to enter is called:
answer

market targeting
question

*Formulating competitive positioning for a product and a detailed marketing mix is called:
answer

market positioning
question

*In using a(n) ________ marketing strategy, a company ignores market segmentation and goes after the entire market with one market offer.
answer

undifferentiated
question

*Instead of going for a small share of a large market, the firm pursues a large share of one or a few small markets. This marketing strategy is called:
answer

concentrated marketing
question

Loyal customers are price _____________ compared to brand-shifting patrons.
answer

insensitive
question

Offering consumers greater value either through lower prices or by providing more benefits that justify higher prices is called:
answer

competitive advantage
question

Overpositioning is defined as:
answer

giving buyers too narrow a picture of the company
question

The degree to which effective programs can be designed for attracting and serving segments is the ____________ of the market segment.
answer

actionability
question

The degree to which segments can be assessed and served is the ____________ of the market segment.
answer

accessibility
question

3 factors for evaluating and selecting market segments
answer

1. Size & growth 2. Structural attractiveness 3. Company objectives and resources
question

5 ways to differentiate position:
answer

-physical attributes -service -personnel -location -image

Get instant access to
all materials

Become a Member