Principles of Marketing Ch. 1-5

Decisions about all of the following should be handled by the marketing department of a firm EXCEPT

making the product.

In a firm that has a total company effort in implementing the marketing concept,

departments—even very specialized ones—are guided by what customers want.

The difference between the benefits a customer sees from a market offering and the costs of obtaining those benefits is called customer

value.

Which of the following statements about a market-directed economic system is true?

Consumers enjoy substantial freedom of choice.

A manager with a production orientation would

think of customers as existing to buy the firm's output.

Which of the following is the best example of a life changing customer benefit?

A gym institutes a buddy program in which a staff member checks in weekly with new enrollees to offer encouragement and advice.

Which of the following statements best describes the modern view of marketing?

It anticipates customer needs.

The owner of a food truck implemented a new location strategy so that she would be better positioned near a crowded office park during the lunch hour. How should she evaluate her new location strategy?

She should use marketing metrics to compare performance between the old location and the new location.

________ is/are NOT the government's job in a market-directed economy.

Determining what and how much is to be produced

Which of the following is one of the three basic ideas in the "marketing concept"?

customer satisfaction

Which of the following statements about S.W.O.T. analysis is true?

All of these statements about S.W.O.T. analysis are true.

It's best to think of breakthrough opportunities as opportunities that

help innovators develop hard-to-copy marketing mixes.

A retailer's operational decision to hire new salespeople would best relate to the marketing mix decision area of

Promotion.

A marketing plan should include

All of these are included in a marketing plan.

________ assume(s) that everyone is the same and consider(s) everyone to be a potential customer.

Mass marketing

Big Fizz Co., a manufacturer of cola-flavored drinks, wants to add packaged fruit juices to its existing product line. Big Fizz needs to make some decisions regarding packaging and branding of the fruit juices. These decisions would fall under which variable of the marketing mix?

Product

Tropicana is trying to get its customers to drink orange juice more often with ads that say, "It's not just for breakfast anymore." What type of opportunity is the company pursuing?

market penetration

________ means trying to increase sales by selling present products in new markets.

Market development

When a firm tries to increase sales by selling its present products in new markets, it is called

market development.

Which of the following is NOT a Product-area decision?

market exposure

Which of the following U.S. antimonopoly laws deals with conspiracy to fix prices?

Sherman Act (1890)

The recent interest in physical fitness has forced producers of food, clothing, and other products to reconsider their marketing strategies. Which of the following does this trend illustrate?

cultural and social environment

Since IKEA is known for fashionable modern-style home furnishings, the company would be likely to screen out business opportunities in

antique furniture reproductions.

Which of the following is an example of a use of artificial intelligence?

All these answers are correct.

How might an organization ensure that marketing objectives are compatible and aligned with top-level company objectives?

by involving marketing managers in setting company objectives

When developing a strategy, how should marketing managers use information on trends and patterns about the different generations, including Baby Boomers, Generation X, and Millennials?

Marketing managers should use generalizations about generations as a starting point only.

The Federal Trade Commission Act of 1914 is primarily concerned with

unfair methods of competition.

A mission statement

sets out the organization's basic purpose for being.

Which of the following statements about artificial intelligence (AI) in marketing is most accurate?

AI can create customer value by delivering better service to customers.

When setting objectives for the whole firm, top management should

involve the marketing manager in the process.

Which of the following statements about positioning is FALSE?

Positioning issues are especially important when competitors in a market are highly dissimilar.

Which of the following offers a firm the greatest potential for profit?

These can all offer profit potential equally—depending on the situation.

Clustering techniques

try to find similar patterns within sets of data.

Which of the following statements about market-oriented strategy planning is true?

Both "segmenters" and "combiners" can be target marketers.

When PepsiCo asked its advertising agency to develop an advertising program for its Mountain Dew soft drink, it gave the agency a statement describing the age and fun-loving spirit of its target market and the one-of-a-kind citrus flavor of the new product. What type of statement was this?

positioning

Segmenting in international markets can be more challenging than segmenting in domestic markets because

critical data is often less available and less dependable.

Which of the following is the best example of a generic market?

the senior citizen recreation market

When doing positioning, a marketing manager should

rely on how customers think about proposed and/or existing brands in a market.

Which of the following is NOT true of a product-market?

Very different types of products may compete for consumer dollars.

In the context of segmenting international markets, which of the following statements is true?

Segmenting based on demographic, cultural, and other characteristics helps find regional or national submarkets that are similar.

The social class system in the United States

may put people with the same income level in different social classes.

U.S.-based Myva Foods Inc. is expanding its business to the Asian market. Which of the following will NOT be effective in the company's efforts to expand to international markets?

applying the same marketing mix Myva uses in the U.S. market to the Asian market.

Which of the following is true of the impact that social media has on the consumer decision process?

Social media amplifies the voices of opinion leaders.

Consumers remembering only what they want to remember is called

selective retention.

Ginny Paulson was just promoted to marketing manager for her company. She also gets a big raise with the promotion. Because Ginny's discretionary income will increase, which of the following products/services is most likely to see additional spending?

a smart TV

Harley Owners Group connects motorcycle riders to one another. This group is focusing on satisfying which level in the hierarchy of needs?

social

Psychographics may also be called

lifestyle analysis.

Opinion leaders are

people who influence others.

Which of the following is NOT one of the selective processes?

selective distribution

Which of the following social influences will likely have the greatest impact on a teenager's purchase of a skateboard?

reference group