UTA MARK 3321 Richarme Exam 1 Review (Chapters 1-5)

Which of the following is true of marketing?

Marketing efforts are performed by many departments in an organization.

Marketing is the activity, set of institutions, and processes for creating,_______, _______, and exchanging offerings that have _______ for customers, clients, partners, and society at large.

Communicating, delivering, value

Which of the following is true of an exchange?

Marketing can occur even if an exchange does not take place.

The four marketing management philosophies are _______.

Production, sales, market, and societal marketing orientations.

A production orientation is successful when _______.

Consumer wants and needs match what the company can best produce.

Which of the following strategies would be most appropriate for a market-oriented firm?

Understanding what products and services customers want and need and offering those in order to meet organizational objectives.

A disadvantage of a sales orientation is _______.

A lack of understanding customers' wants and needs.

Market-oriented companies are _______ focused while sales-oriented companies are _______ focused.

Externally; internally

Which of the following is true of customer value?

Good value is signified by the quality a customer expects at the price they are willing to pay.

Successful relationship marketing strategies depend on all the following EXCEPT _______.

Offering high-quality products.

For a market-oriented firm, the advantages of considering the benefits customers seek include which of the following?

Allows the company to create new products and to modify products due to changing customer needs, bolsters creativity and innovation by encouraging employees to come up with new ways to satisfy customers, and the company remains focused on the customer rather than the products it produces.

A market-oriented company targets its products to _______ while a sales-oriented company targets its products to _______.

Specific group of customers; everyone.

Broadly speaking, customer relationship management (CRM) allows marketers to _______.

Collect information about customers and create marketing promotions and communications specific to groups of consumers.

A market-oriented company _______.

Sees marketing as a company-wide activity.

Market-oriented companies create long-term relationships with customers by doing which of the following?

Providing value to customers.

Delivering products to customers at the right time, in the right place, and at the right price is illustrated by which of the following reasons to study marketing?

Marketing plays an important role in society.

Which reason to study marketing supports the idea that, as a consumer, you will better understand the buying process?

Marketing impacts your everyday life.

Strategic marketing management addresses which of the following questions?

What is the organization's main activity at a specific time? How will the company reach its goals?

Strategic planning is usually conducted by _______.

Top managers.

Which of the following is NOT true about strategic business units (SBUs)?

Each SBU shares its mission statement with the parent company.

A _______ strategy increases sales by introducing new products into new markets, while a _______ strategy entails creating a new product targeted to its current customers.

Diversification; product development

The innovation matrix identifies three levels of change and innovation. They include _______, _______, and _______.

Transformational innovation, adjacent innovation, core innovation.

Harvesting is an appropriate strategy for all the following products or SBUs EXCEPT _______, _______, and _______.

Cash cows, problem children, dogs.

An organization that chooses a _______ strategy attempts to maintain the product's market share in order to take advantage of the positive cash flow.

Hold

In the GE model, the appropriate action for areas of the matrix with high attractiveness is _______.

Invest/grow

A _______ is a written document that acts as a guidebook of marketing activities for the marketing manager.

Marketing plan

Key performance indicators _______.

Help managers compare outcomes to stated objectives.

_______ occurs when a company defines its business in terms of goods and services rather than in terms of the benefits customers seek.

Marketing myopia

When conducting a SWOT analysis, managers can identify opportunities and threats by _______.

Analyzing the external marketing environment.

In a SWOT analysis, the prospect of entering new markets and launching new products would be listed under _______.

Opportunities

A _______ is _______ to the company and is a limitation that puts the company at a disadvantage.

Weakness; internal

Which of the following are ways that a company choosing a cost competitive advantage can reduce costs?

Reverse engineering competitors' products, utilizing technology to reduce production costs, outsourcing low-skill, labor-intensive tasks.

A _______ is an advantage that cannot be copied by the competition in the near future.

Sustainable competitive advantage.

A company that focuses on a unique aspect of its product is likely using a _______.

Product/service differentiation competitive advantage.

Carefully specified objectives should have all of the following characteristics EXCEPT _______.

To have unspecified end dates.

A marketing objective should be_______, _______, _______, and _______.

Realistic, measurable, time specific, compared to a benchmark.

The three general strategies for selecting target markets include which of the following?

Concentrate on one segment with one marketing mix, appeal to the entire market with one marketing mix, appeal to multiple market segments using multiple marketing mixes.

A _______ is the description and estimation of the size and sales potential of market segments that are of interest to the firm and the assessment of key competitors in these market segments.

Market opportunity analysis (MOA)

_______ is the most flexible of the four Ps because it is the easiest and quickest component to change.

Price

Elements of product strategy can include all of the following EXCEPT _______.

Where the product is sold.

_______ provides the mechanisms for evaluating marketing results in light of the plan's objectives and for correcting actions that do not help the organization reach those objectives within budget guidelines.

Control

Which of the following are reasons for failing to achieve a marketing objective?

Changes in the environment after the objective was specified, unrealistic marketing objectives, inappropriate marketing strategies in the plan, poor implementation.

A control device that marketing managers use is a _______.

Marketing audit

Which of the following is NOT a requirement of effective strategic planning?

Resource allocation

Standards of proper or acceptable behavior are known as _______.

Behavioral norms

Moral principles of values that generally govern the conduct of an individual or group is which mode of social control?

Ethics

_______ uses previous examples of ethical dilemmas and applies those rules to a current ethical dilemma.

Casuist ethical theory

Which ethical theory considers a person's character, not just their actions?

Virtue ethics

_______ says that a person's individual environment shapes their moral obligations and beliefs.

Moral relativism

Which ethical theory says that when people are faced with an ethical dilemma, they should focus on their duties or responsibilities?

Deontological theory

A person who is practicing a conventional level of morality would _______.

Consider the actions of others.

Which of the following statements is true in regards to ethical decision-making?

When the length of time between a decision and the onset of consequences is shorter, marketers will perceive the problem as unethical.

Marketers in healthier ethical environments are _______ to take a strong stand against unethical practices.

More likely

A(n) _______ can help employees understand what their company considers acceptable behavior.

Code of ethics

Which group of stakeholders in an organization expects good citizenship from the firm and benefits from the taxes paid by corporations and workers?

The local community

Which group of stakeholders in an organization have a financial stake in the company and expect a reasonable return based on the inherent risk of their investment?

Owners/stockholder

The most basic level of social responsibility requires that a company _______.

Be profitable

Companies that are ethically responsible have already met _______ responsibilities.

Economic and legal

Which of the following statements is an argument AGAINST corporate social responsibility?

Management that focus on being socially responsible are spending shareholders' money to further their own agendas.

Small companies that are actively involved in sustainability and social responsibility may seek a _______ certification.

B Corp

_______ is the idea that socially responsible companies will outperform their peers by focusing on the world's social, economic, and environmental problems.

Sustainability

_______ is the cooperative marketing efforts between a for-profit firm and a nonprofit organization.

Cause-related marketing

A target market is a group of people or organizations for which an organization designs, _______, and maintains a _______ intended to meet the needs of that group, resulting in mutually satisfying exchanges.

Implements; marketing mix

Through a process called _______, marketers collect and evaluate information about the marketing environment.

Environmental scanning

Knowing how customers research products and reach decisions is part of understanding _______.

How consumers make decisions.

Which of the following are influenced by social factors?

If specific promotions are effective, the prices people are willing to pay, the products people buy.

Setting goals, planning, and measuring results are keys to getting things done. This describes which American value?

Achievement orientation

Which American value is illustrated by ensuring that the disadvantaged and people with disabilities have what they need to become productive members of society?

Helping others

Which generational cohort has never known a world without smartphones?

Generation Z

Which generational cohort accounts for the majority of prescription drug sales?

Baby Boomers

_______ are the largest U.S. minority.

Hispanics

_______ represent 7 percent of the U.S. population and often live in multigenerational households, which can impact purchases based on age, dietary habits, and health.

Asian Americans

_______ is a measure of the decrease in the value of money, expressed as the percentage reduction in value since the previous year.

Inflation

Which of the following are factors that influence the economic environment?

Recession, purchasing power, inflation.

Marketers making product decisions during a recession should _______.

Lower prices and offer special deals to get consumers to buy.

_______ aims to expand knowledge, not to develop new or improved products.

Basic research

A firm that conducts research attempting to develop new or improved products is conducting _______.

Applied research

The _______ prohibits price discrimination in sales to wholesalers, retailers, or other producers.

Robinson-Patman Act

The _______ is an international trade agreement among Canada, Mexico, and the United States designed to facilitate trade by removing tariffs and other trade barriers among the three nations.

North American Free Trade Agreement (NAFTA)

Which legislation created the Consumer Financial Protection Bureau (CFPB) to oversee checking accounts, private student loans, mortgages, and other financial products?

The Dodd-Frank Wall Street Reform and Consumer Protection Act.

Which is true of the competitive market?

Marketers must consider the size of the competitors in their industry, marketers must consider the degree of interdependence within the industry, marketers must consider the number of competitors within their industry.

Marketers have _______ control over the competitive environment, but keeping up with competitors' actions can help marketers _______.

Little; prepare for potential threats.

_______ means recognizing and reacting to international marketing opportunities, using effective global marketing strategies, and being aware of threats from foreign competitors in all markets.

Global vision

When a country can produce and sell a product at a lower cost than any other country or when it is the only country that can provide a product, it is said to have ______.

An absolute advantage

Free trade means _______.

Allowing people to buy and sell in other countries without restrictions.

In _______ of global business development, companies set up foreign subsidiaries to hands sales in one country.

Stage 2

A company that allows its individual subsidiaries to compete independently in domestic markets with unique or slightly varied products is using a _______.

Multidomestic strategy

A company considering culture when marketing a product in a foreign country would want to be sure that promotional messages _______, _______, and _______.

Are translated correctly, convey the intended meaning, reflect the country's social values.

A country's _______ is the difference between the value of a country's exports and the value of its imports over a given period.

Balance of trade

Companies must consider a country's economic factors because nations with _______ may be poor markets for expensive industrial machinery but good ones for _______.

Low per-capita incomes; agricultural hand tools.

_______ regulates international trade among importing organizations by restricting access to foreign currencies, while _______ is a deal to stimulate trade.

Exchange control; trade agreement

The World Trade Organization (WTO) aims to do which of the following?

Monitor national trade policies, serve as a forum for trade negotiations, mediate trade disputes.

The _______ offers low-interest loans, advice, and information to developing nations.

World Bank

The trade agreement formally known as the North American Free Trade Agreement (NAFTA) is an agreement between _______.

The United States, Canada, and Mexico.

Although _______ provides the least amount of return, many companies choose this method as a first step in international marketing because it is also low risk.

Exporting

Employees working long hours and enduring sweatshop conditions are a concern in ______.

Contract manufacturing

Direct foreign investment can occur through _______.

Acquisition of a foreign company or building an international division.

A company that alters a basic product to fit in a local market is using a _______ strategy.

Product adaptation

A company chooses to use the same product in every foreign market that it serves and does not alter any promotional messaging. The company is using a _______ strategy.

Straight extension

The _______ is the price of one country's currency in terms of another country's currency.

Exchange rate