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210 terms

Prelim

STUDY
PLAY
When a firm develops and maintains a strategic fit between its goals and capabilities, it is performing ______.
* mission planning
* values planning
* strategic planning
* business-portfolio planning
* operations planning
strategic planning
A company's mission statement serves as a statement of ______.
* fact
* sustainability
* purpose
* financial goals
* employee commitment
purpose
The collection of businesses and products that make up a company is called its ______.
* strategic business unit
* mission statement
* strategic plan
* business portfolio
* operational factor
business portfolio
The best-known product portfolio planning method was developed by ______.
* the Boston Consulting Group
* Philip Kotler
* the SWOT Consulting Group
* the SRI Consulting Firm
* James P. Hess
the Boston Consulting Group
The four possible strategis that can be pursued for each SBU are builing, holding, ______, and ______.
* harvesting; divesting
* promoting; selling
* downsizing; expanding
* diversifying; penetration
* developing; growing
harvesting; divesting
While a valueable planning tool, the BCG matrix is problematic that it focuses on ______.
* the future instead of the present
* the present instead of the future
* financial issues instead of the customer
* the customer instead of suppliers
* the past instead of the present
the present instead of the future
Each department in a compan that carries out value-creating activities can be thought of as a link in the company's ______.
* market development
* product development
* business portfolio
* value chain
* supplier chain
value chain
Your firm is attempting to divide up the total market to determine the best segments it can serve. Which is the correct order of doing so?
* market segmentation then marketing targeting
* differentiation then marketing targeting
* positioning then differentiation
* market segmentation then postioning
* market targeting then differentiation
market segmentation then marketing targeting
The process of customer-driven marketing incolves which of the following?
* product; price; promotion; adaptation
* market segmentation; market targeting; differentiation; positioning
* marketing analysis; planning; implementation; feedback
* analysis; targeting; implementation; control
* problem identification; information search; decision; implementation
market segmentation; market targeting; differentiation; positioning
Effective positioning begins with ______ the company's marketing offer in order to give consumers more perceived value.
* pricing
* aligning
* differentiating
* promoting
* placing
differentiating
Today the four Ps are compared to the four Cs. Product and placed are called ______ and ______, respectively.
* convenience; customer solution
* customer cost; convenience
* communication; customer solution
* customer solution; convenience
* communication; convenience
customer solution; convenience
An increasingly large number of firms are changing their organizational focus from ______ to ______.
* product management; functional management
* product management; geographical management
* brand management; customer management
* geographic management; functional management
* global management; regional managment
brand management; customer management
Evaluating the results of marketing strategies and plands and aking corrective action to ensure that objectives are attained is called ______.
* marketing control
* strategic control
* operating control
* developmental control
* efficiency
marketing control
Which of the following measures the profits generated by investments in marketing activities?
* SWOT analysis
* a marketing audit
* an executive summary
* marketing ROI
* a budget
marketing ROI
Starbucks has introduced a debit car that lets customers prepay for coffe and snacks. This effort by Starbucks management is an example of ______.
* market development
* product development
* diversification
* market penetration
* product adaptation
market penetration
Walmart, the world's largest retailer, has successfully launched its stores in Mexico, Canada, the U.K., Germany, and other nations. This is an example of how Walmart is pursuing ______ as a growth strategy.
* market penetration
* product development
* demographic market development
* geographic market development
* diversification
geographic market development
Walmart relies on sound relationships with its low-cost suppliers in order to pass low prices on the consumers. This, forming a______ is crucial to Walmart's success.
* value delivery network
* growth-share matrix
* customer relationship management policy
* market concept philosophy
* diversification
value delivery network
Harris, the marketing manager at a small sports retail chain, has conducted a marketing analysis. He has investigated the company's internal resources and situational factors, as well as factors and trends in the competitive sports retail chain market. Which of the following has Harris completed?
* a SWOT analysis
* a business portfolio analysis
* an executive summary
* a marketing plan
* a marketing mix
a SWOT analysis
Emerson Studios, a chain of 25 portrait stores in five states, has organized its marketing organization into groups headed by a sales manager, an advertising manager, and a customer-service manager. What type of organization is this?
* geographic
* product
* functional
* customer
* market
functional
The pharmaceuticals division of Omni Healthcare holds low market share in a high-growth market. In order to increase market share, managers would be most likely to decide which of the following?
* hold the pharmaceuticals division's share
* implement a harvest strategy
* use money from a cash cow to promote the pharmaceuticals division
* divest the SBU
* diversify the pharmaceutical division
use money from a cash cow to promote the pharmaceuticals division
Consumer perceptions of the product's value set the ______ for prices.
* demand curve
* floor
* ceiling
* variable cost
* image
cceiling
Product costs set a(n) _______ to a product's price.
* demand curve
* floor
* ceiling
* break-even cost
* experience curve
floor
Value-based pricing is the reverse process of ______.
* variable cost pricing
* cost-plus pricing
* cost-based pricing
* good-value pricing
* value-added pricing
cost-based pricing
When there is price competition, many companies adopt ______ rather than cutting prices to match competitors.
* pricing power
* value-added strategies
* fixed costs
* price elasticity
* image pricing
value-added strategies
______ are the sum or the ______ and ______ for any given level of production.
* Fixed costs; variable; total costs
* Fixed costs; total; variable costs
* Variable costs; fixed; total costs
* Total costs; fixed; variable costs
* Break-even costs; fixed; total costs
Total costs; fixed; variable costs
The learning curve is also reffered to as the ______.
* LRAC
* experience curve
* demand curve
* break-even curve
* price elasticity curve
experience curve
With a higher volume of product, most companies can expect to ______.
* gain economies of scale
* become less efficient
* see fixed costs increase
* have a straight, horizontal learning curve
* find competitors using the experience curve strategically
gain economis of scale
The simplest pricing method is ______.
* value-based pricing
* sealed-bid pricing
* markup pricing
* value-added pricing
* target profit pricing
markup pricing
Many people feel that ______ pricing is fairer to both buyers and sellers. Sellers earn a fair return on their investment but do not take advantage of buyers when buyers' demand becomes great.
* skimming
* markup
* elasticity
* inelasticity
* penetration
markup
Target return pricing uses the concept of a(n) ______, which shows the total cost and total revenue expected at different sales volume levels.
* value-based chart
* break-even chart
* competition-based chart
* demand curve
* experience curve
break-even chart
In industries in which pricing is a key factor, ______ often set the best prices or help others in setting them.
* sales managers
* salespeople
* production managers
* finance managers
* pricing departments
pricing departments
Under ______, the market consists of many buyers and sellers who trade over a range of prices rahter than a single market price.
* pure competition
* monopolistic competition
* oligopolistic competition
* a pure monopoly
* socialism
monopolistic compeition
______ describes how responsive demand will be to a change in price.
* Price elasticity
* Break-even pricing
* The demand curve
* Target costing
* Supply
Price elasticity
Dips in the economy and the instant price comparisons made possible by the internet have both contributed to ______.
* decreased consumer price sensitivity
* increased consumer price sensitivity
* a less direct relationship between supply and demand
* a more direct relationship between supply and demand
* decreased brand loyalty
increased consumer price sensitivity
Trader Joe's offers and assorment of exclusive gourmet products at impossibly low prices. These prices are not limited-time offers or special discounts. Instead, they reflect Trader Joe's ______ strategy.
* everyday low pricing
* cost-plus pricing
* dynamic pricing
* value-based pricing
* cost-based pricing
everyday low pricing
General Motors prices its automobiles to achieve a 15 to 20 percent profit on its investment. This approach is called ______.
* value-based pricing
* going-rate pricing
* cost-plus pricing
* low-price image
* target-return pricing
target-return pricing
A company faces fixed costs of $100,000 and variable costs of $8.00/unit. it plans to directly sell its product to the market for $12.00. How many units must it produce and sell to break even?
* 20,000
* 25,000
* 40,000
* 50,000
* not enough information to calculate
25,000
In Vin del Mar, Chile, there are a dozen stores specializing in selling the same quality of seafood products on one street. An individual store dare not charge more than the going price without the risk of losing busness to the otehr stores that are selling the fish at a common price. This is an example of what type of market?
* pure competition
* monopolistic competition
* oligopolistic competition
* pure monopoly
* socialist
pure competition
Jimmy's Hardware, an independent local retailer, is losing business to Walmart. This is most likely because he cannot match Walmart's pricing strategy of ______.
* EDLP
* EFGF
* fixed prices
* value-added pricing
* skimming pricing
EDLP
Consumers who have less time and patience for watching for supermarket specials and slipping coupons would most likely prefer ______.
* variable pricing
* high-low pricing
* EDLP
* break-even pricing
* value-added pricing
EDLP
Which of the following is a reason that a marketer would choose a penetration pricing strategy?
* to ensure the company has the ability to increase prices once demand decreases
* to focus on the rapid achievement of profit objectives
* to appeal to different consumer segments with different levels of price sensitivity
* to create markets for highly technical products
* to discourage competition from entering the market
to discourage competition from entering the market
Mach 3 razor blades must be used in the Mach 3 razor. Which type of pricing is being used?
* product line pricing
* optional product pricing
* captive product pricing
* by-product pricing
* product bundle pricing
captive product pricing
HiPoint Telephone company uses two-part pricing for its long-distance call charges. Because this is a service, the price is broken into fixed fee pluss a(n) ______.
* fixed usage rate
* variable usage rate
* standard usage rate
* market usage rate
* optional usage rate
variable usage rate
Using product bundle pricing, sellers combine several products and offer the bundle ______.
* as a functional unit
* at a reduced price
* as a complete sel-service package
* as a reward to loyal customers
* at a premium price
at a reduced price
When General Motors provides payments or price reductions to its new car dealers as rewards for participating in advertising and sales support programs, it is granting a______.
* trade discount
* functional discount
* cash discount
* promotional allowance
* trade credit
promitonal allowance
By definition, ______ is used when a firm sells a product or service at two or more prices, even though the differerence in price is not based on differences in cost.
* segmented pricing
* variable pricing
* flexible pricing
* cost-plus pricing
* reference pricing
segmented pricing
When a firm varies its price by the season, month, day or even hour, it is using ______ pricing.
* revenue management
* penetration
* variable
* time-based
* value added
time-based
Which of the following refers to the prices that a buyer carries in his or her mind and refers to when looking at a given product?
* target prices
* reference prices
* promotional prices
* geographical prices
* dynamic prices
reference prices
What type of pricing is being used when a company temporarily prices its product below the list price or even below cost to create buying excitement and urgency?
* segmented pricing
* psychological pricing
* referent pricing
* promotional pricing
* basing-point pricing
promotional pricing
Freight-absorption pricing is used for ______ and ______.
* market penetration; higher profit margins
* holding on to increasingly competitive markets; higer profit margins
* market penentration; holding on to increasingly competitive markets
* generating temporary higher profits; discouraging competitors
* services; installations
market penentration; holding on to increasingly competitive markets
The internet offers ______, where the price can easily be adjusted to meet changes in demand.
* captive pricing
* dynamic pricing
* basing-point pricing
* price bundling
* cost-price pricing
dynamic pricing
Which of the following is a major factor that influences price increases?
* cost inflation
* surplus of raw materials
* governement intervention
* foreign compeition
* excess capacity
cost inflation
Mark's Markers, a manufacturer of color markers, has required its dealers to charge a specified retail price for its markers. Mark's is most likely guilty of ______.
* price fixing
* retail price maintenance
* price discrimination
* price collusion
* unfair price skimming
retail price maintenance
Failure to enter the current price into a retailer's system may result in charges of ______.
* predatory pricing
* scanner fraud
* retail maintenance pricing
* discriminatory pricing
* price fixing
scanner fraud
Valeo Fashions has just introduced a new line of fashion dresses for teens. It will initially enter the market at high prices in a ______ pricing strategy.
* market-penetration
* market-skimming
* competitive market
* psychological
* demographic
market-skimming
When Pepsi came out with Pepsi Blue and priced it at half price to attract buyers, Pepsi was using ______.
* market-skimming pricing
* market-penetration pricing
* new-priduct pricing
* discount pricing
* value-added pricing
market-penetration pricing
Big Mike's Health Food sells nutritional energy-producing foods. The price of the products sold varies according to individual customer accounts and situations. For example, long-time customers receive discounts. This is an example of ______.
* price elasticity
* cost-plus pricing
* dynamic pricing
* everyday low pricing
* penetration pricing
dynamic pricing
In response to price cuts from competitors, a ceral company with several more expensive and higher quality cereals introduced a lower-priced option to its product line. This is an example of which of the following responses to a competitor's price cut?
* raising the perceived value of a product
* improving product quality
* accepting a reduced market share
* launching a "fighter brand"
* using high-low pricing
launching a "fighter brand"
Savings for You, a discount retail chain, is highly competitive. When entering a new market, Savings for you often cuts its prices so deeply that is sells below costs, effectively pushing smaller companies with less purchasing power out of the market. Savings for you is most at risk of being accused of ______.
* market skimming
* price fixing
* deceptive pricing
* price confusion
* predatory pricing
predatory pricing
A manufacturer offers 3/10, net 30 terms to a wholesaler for recent purchase. The wholesaler may deduct ______ percent if the bill is paid within ______ days.
* 10; 30
* 10; 3
* 3; 30
* 3; 10
* 7; 10
3; 10
Marketing may be analyzed as applied ______.
microeconomics
Economists define utility as the ______ ______ power of a good or service.
want satisfying
In 1985, The American Marketing Association approved the following marketing definition:

Marketing is the process of planning and executing the conception, pricing, promotion, and distribution of ideas, good, and services to create ______ that will satisfy individual and organizational objectives.
exchanges
The philosophy of the marketing era is a company-wide ______ orientation.
customer
______ marketing is concerned with establishing long term positive value experiences with consumers and other partners in the marketing chain.
Relationship
CLV is short for ______ ______ ______. The potential sum of all the purchases a satisfied consumer may make over time.
Customer Lifetime Value
In marketing "SALE" is the operational application of microeconomic's concept of ______ ______.
price elasticity
What are the two components of the Boston Consulting Group's (BCG) Market Attractiveness matrix?

Market ______ and Market ______
share; growth
Selling beer on the 4th of July at a deep discount (at cost or a bit below) is an example of pricing known as a ______ ______ promotion.
loss leader
Identify the four (4) steps in customer-driven marketing: ______, ______, ______ and ______.
segmentation, targeting, positioning, differentiation
BE = P (or Q = FC-VC) is also referred to as contribution to ______.
margin
Which customer question is answered by a company's value proposition?
* "Why should I buy your brand rahter than a competitor's?"
* "How does your brand benefit society?"
* "What are the costs and benefits of your brand?"
* What kind of experience will I have with products and services associated with this brand?"
* What are the benefits of being a loyal consumer of your brand?"
"Why should I buy your brand rahter than a competitor's?"
According to the production concept, consumers will favor products that are ______ and ______.
* satisfying; quality focused
* advertising; affordable
* in high demand; hard to find
* segmented; convenient
* available; affordable
available; affordable
The ______ concept is aligned with the philosophy of continuous product improvement and the belief that customers will choose producs that offer the most in quality, performance, and innovative features.
* product
* production
* customer
* marketing
* promotion
product
According to the authors of your text, the ______ concept is a "sense and respond" philosophy rahter than a "make and sell" philosophy.
* product
* production
* marketing
* retailing
* societal marketing
marketing
Which marketing orientation holds that firms must strive to deliver value to custoemrs in a way that maintains or improves the consumer's and society's well-being?
* marketing concept
* selling concept
* product concept
* societal marketing concept
* equity concept
societal marketing concept
The set of marketing tools a firm uses to implement its marketing strategy is called the ______.
* promotion mix
* product mix
* marketing mix
* TQM
* marketing effort
marketing mix
You observe that your marketing manager is heavily involed in the process of building and maintained profitable customer relationships. Your marketing manager frequently speaks about the need to acquire, keep, and grow customers. Your manager is concerned with with one of the following?
* customer development
* customer-managed relationships
* the societal marketing concept
* partner relationship management
* customer relationship management
customer relationship management
It is most accurate to say that customers buy from stores and firms that offer which of the following?
* the highest value for the dollar
* the highest customer-perceived value
* the highest level of customer satisfaction
* the most attractve company image
* the most concern for society's interest
the highest customer-perceived value
The key to delivering customer satisfaction is to match ______ with ______.
* company performancel the competition's performance
* company performance; competitive prices
* relationship building; performance tools
* company performance; unique products
* customer expectations; product performance
customer expectations; product performance
Which of the following best explains why consumers have greater power and control in today's marketplace?
* The production concept and competition have lowered prices.
* Implementation of the product concept has resulted in continually improving products
* Customer-drive marketing creates products and service that meet customers' future needs.
* More companies are implementing societal marketing and weighing long-term costs and benefits
* Through new communication technologies, customer have more access to information and more methods of sharing their opinions with other customers.
Through new communication technologies, customer have more access to information and more methods of sharing their opinions with other customers.
Through ______, many companies today are strengthening their connections to all partners, from providers of raw materials to components to final products that are deliverd to final buyers.
* supply chain management
* direct marketing
* partnership relationship marketing
* customized marketing
* equity marketing
supply chain management
Stew Leonard reacts adversely to losing a single customer sale. He feels that this amounts to losing the entire stream of future purchaces that a customer is likely to make is she remains in the area. Leonard's conern is an illustration of which of the following?
* share fo customer
* market share
* partner relationship management
* customer lifetime value
* market share maintenance
customer lifetime value
______ is one of the best ways to increase share of customer.
* Targeting new customers
* Using bait and switch
* Cross-selling
* Divesting
* Partnership marketing
Cross-selling
Which of the following is the total combined customer lifetime values of all a company's current and potential customers?
* share of customer
* customer lifetime value
* customer equity
* profitability
* share of market
customer equity
A potentially highly profitable, short-term customer is a ______.
* true friend
* butterfly
* stranger
* barnacle
* true believer
butterfly
Since the beginning of the Great Recession, marketers have been emphasizing the ______ of their products more than ever.
* image
* value
* personality
* safety
* uniqueness
value
Which of the following is currently the fastest-growing form of marketing?
* consumer-generated marketing
* online marketing
* mass media marketing
* societal marketing
* word-of-mouth marketing
online marketing
Greh Williams now has the buying power to purchase the computer system he has wanted for the last six months. Greg's want now has become a(n) ______.
* need
* necessity
* demand
* exchange
* transaction
demand
Jolene's firm markets preplanning services for a mortician. She finds that most of her target market wants to avoid discussing their future funeral needs, and she must somehow first get their attention. Jolene's firm most likely practices the ______.
* production concept
* marketing concept
* selling concept
* social marketing concept
* societal marketing concept
selling concept
Elisandra has decided to sponsor a contest calling for customers to create commercials for the restaurant. Winning enteries will be posted on the organization's home page. Elisandra's plan is an example of ______.
* consumer-generated marketing
* partnership relationship management
* customer lifetime value
* community development around a brand
* customer divestment
consumer-generated marketing
Gaining ______ requires delivering more value and satisfaction to target consumers than competitors do.
* competitive advantage
* competitor analysis
* benchmarking
* a market-center
* a target advantage
competitive advantage
To plan effective marketing strategies, the company needs to find out all it can about its competitors. It must constantly compare its marketing strategies, products, prices, channels, and promotion with those of close competitors. This is an example of ______.
* benchmarking
* competitor analysis
* customer value analysis
* product leadership
* continuous innovation
competitor analysis
Companies need to know each competitor's product wuality, features, and mix; cusomter services; pricing policy; distribution coverage; sales force strategy; and advertising and sales promotion programs. These are all the dimensions that identify ______ groups within the industry
* target
* leading
* geographic
* strategic
* competing
strategic
Rather than competing head to head with established competitors, many companies sekk out unoccupied positions in uncontested market spaces. They try to create products and services for which there are no direct competitors. This is called a ______.
* "red ocean strategy"
* " strategic sweet spot"
* "common platform"
* "blue ocean strategy"
* "strategic platform"
"blue ocean strategy"
There are specific kinds of information that companies need about their competitors. The ______ system first identifies the vital types of competitive information and the best scources of this information.
* marketing information
* global network
* competitive intelligence
* marketing research
* marketing database
competitive intelligence
Approaches to marketing strategy and practice often pass through which of the three following marketing stages?
* formulated, intrepreneurial, innovative
* entrepreneurial, intrepreneurial, innovative
* entrepreneurial, formulated, strategic
* entrepreneurial, formulated, intrepreneurial
* innovative, strategic, formulated
entrepreneurial, formulated, intrepreneurial
Michael Porter suggests four basic competitive positioning strategies that companies can follow-three winning strategies and one losing one. Which of the following are considered wining strategies?
* middle-of-the-roader, focus, overall cost leadership
* focus, differentiation, middle-of-the-roader
* overall cost leadership, differentiation, middle-of-the-roader
* overall cost leadership, differentiation, focus
* differentiation, operational excellence, focus
overall cost leadership, differentiation, focus
Sears and Holiday Inn encountered difficult times because they did not stand out as teh lowest in cost, highest in perceived value, or best in serving some market segment. Both companies are ______.
* nichers
* challenger risk-takers
* middle-of-the-roaders
* differentiated
* formulated
middle-of-the-roaders
Although it might seem that the market leader has the most going for it, challengers often have what some strategists call a ______. The challenger observes what has made the leader successful and improves upon it.
* "competitor myopia"
* "second mover advantage"
* strategic sweet spot"
* "blue ocean strategy"
* "red ocean strategy"
"second mover advantage"
The market follower must keep its manufacturing costs and prices ______ or its product quality and services ______.
* stable; low
* low; high
* high; low
* fair; low
* low; fair
low; high
Whereas the mass marketer achieves ______, the nicher achieves ______.
* low margins; low volume
* low volume; high margins
* high volume; high margins
* high volume; low margins
* high margins; high volume
high volume; high margins
Kodak's film business didn't suffer at the hands of direct competitor Fujifilm; it lost out to Sony, Canon, and other digital camera makers, along with a host of digital image developers and online image sharing services. This is an example of ______.
* a blue ocean strategy
* benchmarking
* competitor phobia
* competitor myopia
* marketing myopia
competitor mypoia
PepsiCo conducts a survey of Coca-Cola drinkers to assess the Pepsi's and Coke's strengths and weaknesses in product qualities value by both company's target customers. PepsiCo is using a(n) ______.
* innovative market analysis
* global marketing strategy
* coompetitive marketing strategy
* customer value analysis
* blue ocean strategy
customer value analysis
Most competitors in the music download industry see Apple's iTunes Music Store as a ______ because it created a closed system with mass appeal.
* good competitor
* marginal competitor
* bad competitor
* benchmarked competitor
* distanct competitor
bad competitor
Walmart, Costco, and Southwest Airlines serve customers who want reliable, good-wuality products or services, but who want them cheaply and easily. These companies are all known for pursing a value discipline known as _______.
* operational excellence
* customer intimacy
* middle-of-the-roader
* product leadership
* marketing insight
operational excellence
50 percent of the market is in the hands of Company A. Another 30 percent is in the hands of Company B. 15 percent is in the hands of Company C, and the remaining 5 percent is in teh hands of Company D. Based on these hypothetical numbers, Company B is the market ______.
* leader
* challenger
* follower
* nicher
* strategist
challenger
50 percent of the market is in the hands of Company A. Another 30 percent is in the hands of Company B. 15 percent is in the hands of Company C, and the remaining 5 percent is in teh hands of Company D. Based on these hypothetical numbers, Company B is the market ______.
* leader
* challenger
* follower
* nicher
* strategist
nicher
Cozy Country Market entered the candle market with a niche product: flamless candles. Cozy Country Market sold its new line for about twice what you would pay for candles from a chain gift shop such as Hallmark. The product was sold online and in unconventional outlets not dominated by the market leaders. in this case, CCM was using ______ against the market leaders.
* a direct attack
* an individual attack
* a leadership attack
* an indirect attack
* a frontal attack
an idirect attack
Which of the collowis is the best response a company can make to competitive threats?
* continuous innovation
* a frontal attack
* an indirect attack
* to find partners
* to ignore them
continuous innovation
The marketing team at The Grass Is Greener, a lawn care company, carefully tracks the moves of competing companies, watching for shifting strategies and new promotions. The marketing term is also in constant touch with customers, using surveys and other feedback methods to find out what kind of services customer value most. The Grass Is Greener is most accurately described as having a ______ orientation.
* market
* product
* customer
* competitor
* leadership
market
You are directed to study the actors close to the company that affect its ability to serve its customers-departments within the company, suppliers, marketing intermediaries, customer markets, competitors, and publics. What are you studying?
* the macroenvironment
* the microenvironment
* the internal environment
* the marketing mix
* the global environment
the microenvironment
You are directed to study the demographic, economic, natural, technological, political, and cultural factors that are larger societal forces affecting your company. What are you studying?
* the macroenvironment
* the microenvironment
* the internal environment
* the marketing mix
* the global environment
the macroenvironment
Banks, credit companies, insurance companies, and other businesses that help finance transactions or insurance against the risks associated with the buying and selling of goods and services are referred to as ______.
* financial intermediaries
* physical distribution firms
* marketing services agencies
* resellers
* wholesalers
financial intermediaries
Percy Original caters to a market of indivisuals and households that buys goods and services for personal consumption. Percy original caters to a ______ market.
* business
* reseller
* government
* consumer
* marketing intermediary
consumer
Which type of market buys goods and services for further processing or for use in the production process?
* business
* reseller
* wholesale
* consumer
* retail
business
The three largest generational groups in America are the baby boomers, Generation X, and ______.
* seniors
* Millennials
* teens
* tweens
* toddlers
Millennials
Which demographic group is also referred to as the echo boomers?
* Generation X
* Millennials
* Generation Z
* baby boomers
* baby busters
Millennials
Large tween and teen markets belong to which demographic group?
* Generation X
* Millennials
* baby busters
* baby boomers
* Generation Z
Millennials
An increasing number of American workers currently work out of their homes with technological conveniences such as PCs, Internet access, and fax machines. These workers are referred to as the ______ market.
* micropolitan
* SOHO
* mobile
* independent
* contract
SOHO
Of the following, which ethnic minority is expected to be nearly 25% of the U.S. population by 2050?
* African Americans
* Asian Americans
* Hispanics
* Native Americans
* Arab Americans
Hispanics
The ______ environment consists of factors that affect consumer purchasing power and spending patterns.
* cultural
* political
* technological
* economic
* natural
economic
Many firms today use RFID technology to ______.
* identify new target markets
* analyze threats and opportunities in the macroenvironment
* move toward environmental sustainability
* track products through various points in the distribution channel
* track patterns of consumer online behavior
track products through various points in the distribution channel
Marketers should be aware of laws, government agencies, and pressure groups that influence or limit various organizations and individual in a given societ. This is most accurately described as the ______ envrionment.
* socio-legal
* cultural
* political
* legal-technological
* economic
political
The recent rash of business scandals and increased concerns about the envrionment have created fresh interest in the issues of ______ and _______.
* ethics; promotion responsibility
* ethics; social responsibility
* finances; employee discrimination
* management ethics; insider trading
* promotion; pricing
ethics; social responsibility
The primary concern for consumers with the boom in internet marketing is ______. * accessibility
* false advertising
* privacy
* sustainabilit
* social responsibility
privacy
A society's basic value, perceptions, preferences, and behaviors are all part of its ______ environment.
* social
* cultural
* political
* cultural-economic
* natural
cultural
A chain of travel agencies have identified the lesbian, gay, bisexual, and transgender community as a growing market that spends an increasing percentage of its income on travel. Which of the following would be LEAST effective component of a marketing plan fo them to take advantage of this opportunity?
* develop a presence on LGBT-oriented social networking sites
* position the agency as focused on specialized experiences
* implement a mass marketing campaign
* place specially-targeted ads in gay-themed publications
* advertise on LOGO
implement a mass marketing campaign
A regional supermarket chain runs print, radio, and television advertisements announcing that 1% of each of its sales is donated to local after-school programs for underprivileged youth. This is an example of ______ marketing.
* cause-related
* generational
* sustainable
* tiered
* cultural
cause-related
Toyota's Prius was the first mass-produced hybrid vehicle, known for its fuel efficiency and environmental friendliness. The Prius was initially most likely marketed to which of the following groups?
* the SOHO market
* the LOHAS market
* the LGBT market
* the Asian American market
* the Millennials market
the LOHAS market
Which of the following best explains why Gen Xers who are parents tend to put family before career?
* Gen Xers were the first generation of latchkey kids.
* Gen Xers were minimally affected by the recent economic downturn
* Gen Xers are more skeptical about marketing that members of other generations are.
* Gen Xers are not as educated as members of other generations are
* Gen Xers do not face as many economic pressures as members of other generations do.
Gen Xers were the first generation of latchkey kids.
Marketing provides three (3) utilities to the consumers: ______, ______ and ______.
time; place; ownership
In 1960 Ted Levitt wrote the influential Harvard Business Review article "______ ______" which argued that most managers focused on the product and confused selling with marketing.
Marketing Myopia
Consumer satisfaction is defined as meeting of ______ customer ______.
exceeding; expectations
The 4 Ps
product, price, place (distribution), promotion
The 4 Cs
consumer solution, consumer cost, convenience, communication
A company's total marketing communications mix consists of a special blend of advertising, sales promotion, public relations, personal selling, and direct-marketing tools that the company uses to communicate customer value and build customer relationships. This is also called ______.
the promotion mix
Companies are doing less ______ and more ______ as a result of an explosion of more focused media that better match today's targeting strategies.
broadcasting; narrowcasting
Today, marketers are moving toward viewing communications as managing the ______ over time.
customer relationship
A consumer is reading a magazine with an advertisement, but is distracted from reading the advertisement or its key points. This unplanned static or distortion during the communication process is called ______.
noise
The AIDA model identifies the characteristics of an effective ______.
marketing message
A message showing a product's quality, economy, value, or performance is called a(n) ______ appeal
rational
Though the ______ model of setting an advertising budget is simple to use and helps management think about the relationships among promotion spending, selling price, and profit per unit, it wrongly views sales as the cause of promotion rather that the result
percentage-of-sales
Perhaps the most logical budget-setting method is the ______ method because it is based on spending necessary to accomplish specific promotion goals
objective-and-task
"Buy it now" is the message of ______.
publicity
Business-to-Consumer companies are more likely to emphasize a ______ promotion strategy, while business-to-business companies are more likely to emphasize a ______ promotion strategy
pull; push
Delia's is a clothing retailer that targets teenage girls. it runs coordinated promotions for is catalogs, web site, and retail outlets. It uses the same models in its catalog and in its print ads as well as on its Web site. Delia's works to make sure its public relations activities as well as its sales promotions harmonize with its advertising in all venues. From this information, you can infer that Delia's is using ______.
Integrated marketing communication
An example of a(n) ______ appeal is the Salvation Army appeal, "While you are trying to figure out what to get the man who has everything, don't forget the man who has nothing."
moral
A manufacturer os a variety of technological devices asked its marketing department to develop inexpensive methos of building and maintaining brand awareness and excitement. The marketing department then recruited consumers who were early adopters of technological devices to spread the word about the company's new products. This is an example of ______.
buzz marketing
An ad for Maybelline age-minimizing makeup in Ladies' Home Journal magazine featured atress Melina Kanakaredes and offered readers a $1-off coupon when they try the new makeup. In terms of the communication model, which of the following would be the best way for the source to measure feedback?
the number of people who redeem the coupon
Mariah Goldberg, a marketing manager for a manufacturer of children's toys, is looking for ways to reach potential customers who typically avoid salespeople and advertisements. Which of the following would be the most economical promotional tool for Mariah to use?
public relations
______ advertising becomes more important as competition increases. The company's objective is to build selective demand
persuasive
What is a potential problem associated with comparative advertising?
* Consumers confuse the positive and negative aspects of the brands involved in the ad war
* Competitors develop new and improved products in an attempt to win the advertising contest
* Consumers are bombarded with competing ads, which cause them to leave the market completely
* Competitors respond with their own ads, which often result in negative publicity for both brands
* Consumers alternate between competing products ad never develop brand loyalties
Competitors respond with their own ads, which often result in negative publicity for both brands
Which of the following may require heavy advertising in order to be set apart from similar products?
* undifferentiated brands
* specialty brands
* international brands
* mature brands
* high-share brands
undifferentiated brands
Which of the following represents the merge between advertising and entertainment?
* Madison & Vine
* Wall St. & Fifth Ave
* buzz marketing
* podcasting
* webisodes
Madison & Vine
Branded Coca-Cola cups have been prominently featured on episodes of American Idol. This is an example of ______
* advertising
* sponsorship
* consumer-generated messages
* sales promotion
* product placement
product placement
The number of items an average person in the target market is exposed to an ad is known as the ______
* impact
* reach
* frequency
* exposure
* engagement
frequency
Which of the following statements about radio as an advertising medium is true?
* Radio advertising is typically quite expensive
* National radio advertising opportunities are simple to purchase
* One advantage of radio advertising is its high demographic selectivity
* radio prohibits the use of segmentation strategies
* radio is defined as an outdoor medium
One advantage of radio advertising is its high demographic selectivity
When selecting a media vehicle, the media planner looks both at the total cost of using a medium and at the ______
* cost per thousand persons reached
* cost of premium offers
* cost of the magazine it is using
* profit margin
* continuity cost
cost per thousand persons reached
Scheduling ads unevenly, which is called ______, builds awareness that is intended to be carried over to the next advertising period
* continuity
* pulsing
* shuffling
* sequencing
* segmenting
pulsing
One way to measure the ______ effecs of advertising is to ______ past sales and past advertising expenditures
* communication; average
* promotion; analyze
* communication; identify
* sales; compare
* sales; combine
sales; compare
Quaker Oats is a trusted leader in the oatmeal market. What will be the most likely objective of advertisements for a new flavor of oatmeal being introduced by Quaker Oats?
* build a company image
* encourage customers to switch brands
* correct false impressions
* maintain customer relationships
* change customer perceptions
maintain customer relationships
Which of the following is an example of user-generated content?
* Toyota's presence in online communities
* Nike's Nike Plus running Web site
* MasterCard's use of "Priceless" commercials shot by customers
* Neiman Marcus's InCircle Rewards program for its best customers
* The Lexus Covenant aimed at creating customer delight
MastCard's use of "Priceless" commercials shot by customers
You receive a report that 68% of your target market has been exposed to your ad campaign during a given period of time. The information in the report relates to ______
* reach
* frequency
* impact
* engagement
* qualitative value
reach
In an attempt to set the company apart from its competitors, United Parcel Service has its employees wear brown uniforms and drive brown trucks. What type of public relations tool is UPS using?
* buzz marketing
* corporate logos
* corporate identity materials
* product publicity
* public service materials
corporate identity materials
U-Frame-It is a small sompany that has hired a local ad agency to put together an advertising campaign. Which of the following questions should be answered first?
* What percentage of the budget should be allocated for U-Frame-It radio ads?
* Which type of media vehicle is more appropriate for U-Frame-It ads?
* What are the communication and sales objectives of U-Frame-It?
* How does U-Frame-It's competition advertise?
* What is the demographic of U-Frame-It's cusomter base?
What are the communication and sales objectives of U-Frame-It?
A ______ is an individual acting on behalf of a company who perfroms one or more of the following activities: prospecting, communicating, servicing, and information gathering.
* press agent
* media planner
* marketing director
* salesperson
* publicist
salesperson
Which sales management tool helps a salesperson known which customers to visit and which activities to carry out during a week?
* time-and-duty analysis
* sales force automation systems
* call plan
* sales quota plan
* positive incentives plan
call plan
Prospecting is the step in the selling process in which the salesperson ______
* gathers information about a prospective customer before making a sales call
* meets the customer for the first time
* identifies qualified potential customers
* tells the product's "value story" to the customer
* clarifies and overcomes customer objections to buying
identifies qualified potential customers
During the prospecting stage, a salesperson needs to discriminate between good leads and poor leads, a process known as ______
* closing
* referring
* presenting
* qualifying
* approaching
qualifying
A salesperson should seek out, clarify, and overcome an customer objections during the sales presentation in order to _______
* offer the buyer a discount for placing an order
* minimize the buyer's concerns about the product
* compliment the buyer for mentioning the objections
* turn the objections into reasons for buying
* turn the objections into an opportunity for humor
turn the objections into reasons for buying
Salespeople should be trained to recognize ______ signals from the buyer, which can include physical actions such as leaning forward and nodding or asking questions about prices and credit terms.
* qualifying
* approach
* objection
* closing
* follow-up
closing
Of the main consumer promotion tools, which is the MOST effective for introducing a new product or creating excitement for an existing one?
* coupons
* samples
* cash refunds
* price packs
* contests
samples
Manufacturers direct more sales promotion dollars toward ______ than to ______.
* consumers; retailers
* customers; wholsesalers
* retailers and wholesalers; consumers
* salespeople; retailers
* retailers; wholesalers
retailers and wholesalers; consumers
A manufacturer that offers cash or gifts to dealers for encouraging the purchase of the manufacturer's goods is using ______
* price-offing
* push money
* off-listing
* off-invoicing
* allowances
push money
Which of the following questions would be the best one to help a marketer evaluate the return on a sales promotion investment?
* Did the promotion run too long or too short?
* Did customers enjoy the events associated with the promotion?
* Did customers search the promotion's Web site for additional product information?
* Did the promotion increase purchases from current customers or attract new customers
* Did the distribution of the promotional information match consumer expectations and needs?
Did the promotion increase purchases from current customers or attract new customers
An IBM sales representative is giving a product demonstation to a Best Buy representative. Assisting with the demonstartion are an engineer, a fiancial analyst, and an information ysstems specialist. If IBM wins the Best Buy account, then all four IBM representatives will service the Best Buy account. This is an example of ______
* team selling
* territorial selling
* inside selling
* prospecting
* sales promoting
team selling
Marlene Arau is a member of the sales force at Urban Fashions, a clothing manufacturer. Marlene is preparing for a first meeting with a wholesaler who is a potential customer. Marlene is learning as much as she can about the wholesaler's organization. Marlene is in the ______ step of the personal selling process.
* prospecting
* qualifying
* preapproach
* approach
* handling objections
preapproach
An insert in a Land's End catalog offers free shipping on your next purchase. This is an example of a ______
* sales promotion
* POP promotion
* trade promotion
* price pack
* premium
sales promotion
An example of a(n) ______ is a 5ft tall cardboard display of Tony the Tiger next to Frosted Flakes cereal boxes.
* sample
* POP promotion
* POP pack
* advertising specialty
* premium
POP promotion
Sales have been slow recently at B&B Materials, so management has organized a training program to improve the performance of its sales force. Which of the following would most likely lead to improved sales for B&B Materials?
* tests to measure the analytic and organizational skills of the sales force
* information about the marketing strategies used by competitors
* tests to identify the personality traits of sales force members
* a time-and-duty analysis for reach salesperson
* instructions on completing expense reports
information about the marketing strategies used by competitors
Amazon.com, eBay, and GEICO employ ______ as their only method of doing business with customers
* mass marketing
* sales promotion
* direct marketing
* public relations
* personal selling
direct marketing
What are the two main goals of direct marking?
* to identify a potential customer and obtain an immediate response
* to obtain an immediate response and to facilitate a purchase
* to obtain an immediate response and build a lasting customer relationship
* to provide information and build a lasting customer relationship
* to save marketing dollars and facilitate a purchase
to obtain an immediate response and build a lasting customer relationship
Psychographic data in a customer database used by direct marketers includes information regarding a customer's ______ and ______
* interests; income
* activities; opinions
* age; buying preferences
* opinions; age
* hobbies; income
activities; opinions
According to your text, ______ "bridge the gap between old-fashioned stores and online shopping"
* kiosks
* home shopping channels
* online catalogs
* informercials
* mobile phones
kiosks
Which of the following is NOT one of the four major online marketing domains?
* B2C (business-to-consumer)
* B2R (business-to-retailer)
* B2B (business-to-business)
* C2C (consumer-to-consumer)
* C2B (consumer-to-business)
B2R (business-to-retailer)
Overstock.com Auctions and eBay are popular market spaces that facilitate that online exchange of goods and information and examples of ______ online marketing
* B2C
* B2B
* C2C
* C2B
* global commerce
C2C
What does the term 'viral marketing' mean?
* it is another term for online privacy
* it is another term for online security
* it refers to problems associated with computer viruses
* it refers to word-of-mouth marketing that occurs online
* it refers to negative publicity associated with company blogs
it refers to word-of-mouth marketing that occurs online
Gutter Guys used to generate most of its sales through telemarketing but now uses direct mail to reach prospective customers. Which of the following most likely explains the reason that Gutter Guys switched from telemarketing to direct mail?
* Federal Trade Commission's Anti-Spam Act
* Privacy Promise to American Consumers
* California Online Privacy Protection Act
* Children's Online Privacy Protection Act
* National Do Not Call Registry
National Do Not Call Registry
Oscar Aviation has a corporate Web site. Prospective cusomters are most likely able to do all of the following on the site EXCEPT ______
* learn about Oscar's philosophy
* ask online questions
* enjoy entertainment features on the site
* purchase products
* register to receive more information from the company
purchase products
Runners can compare performances, set up profiles, and meet new friends on Nike's Nike Plus Web site. Nike Plus is an example of a ______
* C2C marketing site
* viral marketing site
* Web community
* content sponsorship program
* contextual advertisement
Web community
Charlie Putnam received an e-mail promotion a new financial services and simply asked him to enter personal information. When Charlie research the company, he found the ramil was a fruad. This is an example of ______.
* online eavesdropping
* phishing
* malware
* heat marketing
* viral marketing
phishing
Organic Designs stores are located in urban areas, considering using direct marketing to reach potential customers who live outside of the company's existing markets, with the goal of creating emotional connections and long-term relationships with a new group of customers. Which of the following mehtods of direct marketing would most likely be effective in accompishing this goal?
* mobile phone marketing
* interactive TV marketing
* catalog marketing
* kiosk marketing
* direct-response television marketing
catalog marketing
Which of the following best explains why direct-response television commercials have seen an increase in popularity in recent years?
* It has become simpler to replicate the success of classic direct-response TV ads
* Traditional broadcast and cable ads has become prohibitively expensive
* Return on ad investment can be easily measured
* the popularity of home shopping channels has lent direct-response commercials more credibility
* Consumers are more likely to respond to this type of marketing than to other forms of direct marketing
Return on ad investment can be easily measured
A producer of beverages and snack foods wants to market its products to the 18 to 14 year old demographic by providing incentives to respond instantly to time-saving offers. Which of the following forms of direct marketing would this producer most likely choose?
* interactive TV
* direct-response TV
* mobile phone
* direct mail
* podcasting
mobile phone
When customers are unable to find a product they need on the shelves, the marketing department wants them to search for the product on the Web site. Which of the following marketing devices is the best match for this goal?
* kiosks
* email
* podcasting
* telemarketing
* catalog marketing
kiosks
A broad definition of advertising is that it is ______ selling
nonpersonal
the three objective of advertising are to: ______ ______ and ______
inform persuade and remind
In marketing terms, when you wear apparel or carry a shopping bag that prominently displays the retailer's or designer's logo you are ______
billboarding
In economic terms advertising maybe looked upon as ______ competition
nonprice
in the communications process, any distraction is termed as "______"
noise
the ______ the price the more the reliance upon advertising
lower
the ______ the price the more reliance upon personal selling
higher
"Act now there's only two left and one is spoken for" is an example of ______ ______ ______ (SRO) close
Standing room only
______ marketing refers to word-of-mouth online marketing
viral
Advertising wants to be the ______
atmosphere
Communication drives ______
commerce
Should the pitch be to the ______ or ______
head; heart
According to this video, brand managers create and maintain a ______ system
meaning
"The Persuaders" see consumer choice as 80% ______ and 20% ______
emotions; reason