Chapter 7 Flashcards
1
Q
- The _____for an organization assembles all the pertinent facts about the organization, the markets it serves, and its products, services, customers, and competition.
A
marketing plan
2
Q
- The written marketing plan must reflect the goals of top management and:
A
be consistent with company’s mission and capabilities
3
Q
- What is the first step in the traditional top-down marketing plan?
A
conducting a situation analysis
4
Q
- Black Hills Distributing has just completed a detailed, factual study of the distribution company’s current situation and how it got there. Its next step in the development of its marketing plan is to:
A
determine specific marketing objectives
5
Q
- What is the most common format used to develop a marketing plan?
A
top-down
6
Q
- Baxter International, Inc., maintains manufacturing facilities around the world, one of which in North Carolina is the world’s largest manufacturer of IV solutions in flexible containers. A(n) _____ would reveal to Baxter changes in its environments that the company would need to address to maintain its standing as the leading producers of IV solutions in flexible containers.
A
situation analysis
7
Q
- The exhibition and trade show industry, after decades of fabulous growth, is experiencing business declines. The _____ for the Center for Exhibition Industry Research, reported, “The exhibition industry will face more competition for marketing dollars in the next five years than it has in the last 25 years.”
A
situation analysis
8
Q
- Pyramid Breweries Inc. has stated that partnering with committed wholesalers capable of delivering first class customer service is an important _____ objective for the company if the microbrewery is to maintain its reputation for customer satisfaction.
A
corporate
9
Q
- _____ objectives can be stated in terms of profit, return on investment, net worth, growth, or corporate reputation.
A
Corporate
10
Q
- Within a timeframe of five to seven years, Orco Construction Supply, a specialty distributor of tools and hardware to framing and foundation contractor markets in California, Arizona, and Nevada plans to hit a revenue mark of $500 million which will more than double its 2003 gross sales that are expected to approach $200 million. This would be an example of a(n) _____ objective.
A
sales-target
11
Q
- _____ objectives can be categorized as either general need-satisfying objectives or specific sales-target objectives.
A
Marketing
12
Q
- Why would a company set need-satisfying objectives?
A
to shift the organization’s view from a production orientation to concern for the needs of its target market
13
Q
- Harry & David is a catalog retailer that specializes in fruit gifts, but it does not see itself as just a merchant of fruit. By setting _____ objectives, the retailers views itself as a gift provider.
A
need-satisfying
14
Q
- Assume a bakery that wholesales gourmet pies and cakes to upscale restaurant chains has developed marketing objectives. Which of the following is the BEST sales-target objective for the bakery to use?
A
to increase sales of pecan pies by 3 percent during the next six months
15
Q
- _____ is the third section of the marketing plan and explains how the company plans to accomplish its marketing objectives.
A
The marketing strategy
16
Q
- Silly Putty has been around for years. It began as a gag gift sold in specialty stores alongside fake vomit. It has always avoided direct confrontation with other toy companies by finding a market that was small enough to defend and never really acting like a marketing leader. Which of the following strategies has Silly Putty successfully followed?
A
guerrilla
17
Q
- As the leading manufacturer of bleach in the nation, Clorox must guard itself against challenges from detergent manufacturers who are using bleach as a detergent additive. According to Jack Trout and Al Reis’s Marketing Warfare, which type of a strategy should Clorox use?
A
defensive
18
Q
- In November 2005, MTV World launched MTV Chi, a channel catering to Chinese living teenagers in the United States. Chinese teenagers in the U.S. are the cable station’s:
A
target market
19
Q
- Hops Grillhouse & Brewery, formerly known as Hops Restaurant/ Bar/Brewery, has unveiled a multimillion dollar brand strategy featuring a new menu intended to “capture consumer preferences for high quality, freshness and grilled tastes as well as an array of aromas, textures and price points.” Its product mix of handcrafted beer and superior food is unlike that offered by other similar restaurant chain and describes its _____ strategy.
A
positioning
20
Q
- _____ refers to the place a brand occupies competitively in the minds of consumers.
A
Positioning
21
Q
- Which of the following is NOT one of the distinct approaches to developing a positioning strategy?
A
marketing mix
22
Q
- Clos du Bois wine, for example, pursues an advertising campaign targeting the gay and lesbian community that has been remarkably successful. Its ad in gay publications features a wine cork emblazoned with the Gay Pride rainbow–an instantly recognizable symbol in the gay community. What approach to positioning is the winery using?
A
product user
23
Q
- The University of Phoenix has been described as more like an office building or industrial park than a place of higher education. It has no library building, and its bookstore only sells textbooks. The university is a subsidiary of a for-profit company called the Apollo Group. It proudly billed itself as “the largest private university in the United States.” What approach to positioning is the university using?
A
product class
24
Q
- Entrepreneur Chrissy Azzaro is founder of My-Tee, a Los Angeles fashion company. Besides its signature product, the My-Tee T-shirt, the company makes its own line of skirts, shoes, tank tops and accessories that retail from $32 to $78. Publicists and buyers browse My-Tee’s trendy showroom in Los Angeles for the latest trends and clothing lines. The company’s promotional strategy relies on publicity. Celebrities from Hilary Duff to Courteney Cox have been photographed in My-Tee clothing. This exposure helped the company rack up $1 million in sales last year. This is a brief description of My-Tee’s:
A
marketing mix
25
Q
- _____ determine the specific short-term actions to be taken, internally and externally, by whom, and when.
A
Tactics
26
Q
- Smaller companies typically use a bottom-up marketing format plan because:
A
handling day-to-day problems leaves little time for formal planning
27
Q
- Randall Grahm, the owner of Bonny Doon Vineyards, made a name for his wines by injecting an irreverent sense of humor into everything associated with the winery. One of the _____ he used was to host a black mask dinner this fall to celebrate “the death of wine corks” when his company decided to use screw tops.
A
action program
28
Q
- _____ is the creating, maintaining, and enhancing long-term relationships with customers and other stakeholders that result in exchanges of information and other items of mutual value.
A
Relationship marketing
29
Q
- _____ is the ratio of perceived benefits to the price of the product in a consumer study.
A
Value
30
Q
- According to the text, which of the following would be an example of a stakeholder?
A
all of the above
31
Q
- Clos du Bois wine pursues an advertising campaign that targets the gay and lesbian community. Its ad in gay publications features a wine cork emblazoned with the Gay Pride rainbow. Gay publications are examples of _____ for Clos du Bois wine.
A
stakeholders
32
Q
- Kotler and Armstrong have identified five levels of relationships that can be formed between a company and its various stakeholders. Roy Harold purchased a new washer/dryer for his apartment. Shortly after the appliances had been installed, a store representative called Harold and asked if he were satisfied with the washer/dryer and how they were installed. The store representative also asked Harold to call if he had any further needs for appliances. This is an example of which relationship level?
A
accountable relationship
33
Q
- Kotler and Armstrong have identified five levels of relationships that can be formed between a company and its various stakeholders. Charlotte purchased a book on how to crochet from a Web site. After purchasing the book, she was pleased to receive regular e-mail from the site offering her other products that she might be interested in. The e-mail also told her about current trends in yarn and offered troubleshooting advice as well as free patterns. The relationship between Charlotte and the Web site is at what level?
A
proactive relationship
34
Q
- Which of the following statements about IMC (integrated marketing communications) is true?
A
All of the above statements about IMC are true.
35
Q
- The full-page ad that Delta Airlines ran in Fast Company magazine is an example of which type of company/brand-related messages that are sent to company stakeholders?
A
planned
36
Q
- The price of a model vintage wine, the use of Federal Express delivery by Lands’ End, and the workmanship found in a finely crafted Persian rug are all examples of which type of company/brand-related messages that are sent to company stakeholders?
A
product
37
Q
- Stakeholders receive a(n) _____ message when a Six Flags amusement park discovers a lost child and cares for that child until he or she can be reunited with its parents.
A
service
38
Q
- Jerome stopped at Brewster’s and purchased himself a chocolate ice cream cone. As he was exiting the store, the cone developed a leak and dripped ice cream all over his expensive suit. At that point, he swore to never buy Brewster’s ice cream ever again. In terms of the messages that stakeholders receive, Jerome received a(n) _____ message.
A
unplanned
39
Q
- Think about the various sources of brand messages. Which message form is considered to be a confirm message because that is what others say and confirm (or not) about what the company says or does?
A
unplanned
40
Q
- What should be the advertising manager’s first step when he or she is asked to develop an advertising plan?
A
review the company’s marketing plan
41
Q
- The SWOT analysis part of the marketing plan for a microbrewery would contain information about:
A
all of the above
42
Q
- Mood-lites are colored light bulbs that were developed according to research on how colors affect moods. According to the advertising pyramid, the first task of the original advertising for Mood-lites, was to create:
A
awareness
43
Q
- According to the advertising pyramid, the second task of advertising is to:
A
communicate enough information about the product and its features to persuade a certain number of people to believe in its value
44
Q
- Mycogen Seeds has announced details of its Over-the-Top program for 2005-06. This unique program offers cash rebates to customers who purchase both Mycogen brand products and any of 16 selected crop protection products from Dow AgroSciences. According to the advertising pyramid, the purpose of this rebate is to encourage:
A
action
45
Q
- The two substrategies of the advertising strategy are the:
A
creative strategy and media strategy
46
Q
- Which of the following statements about the relationship of advertising to sales and profits is true?
A
Increases in market share are more directly related to increases in the marketing budget than to price reductions.
47
Q
- Research about the relationship of advertising to sales and profits is far from perfect. However, based on that research several generalizations are possible. Which of the following statements is NOT consistent with that research?
A
There will be no sales if there is no advertising.
48
Q
- According to the text, the _____ method is NOT a method typically used by national advertisers for the allocation of advertising funds.
A
budget breakdown
49
Q
- The percentage-of sales method:
A
is accurately described by all of the above
50
Q
- Mood-lites are colored light bulbs that were developed according to research on how colors affect moods. In allocating funds for advertising the new light bulbs, its manufacturer decided to budget 5 percent of last year’s sales for advertising expenditures. Which allocation method was the manufacturer using?
A
percentage-of-sales
51
Q
- What is the greatest shortcoming for the percentage-of-sales method of setting the advertising budget?
A
The basis for setting the percentage is often determined arbitrarily.
52
Q
- The FoldzFlat Pen flat pen that folded in half to the size of a business card. Its flat surface is a perfect “billboard” on which to print advertising and company logos, and it can be shaped into a bookmark, a business card, a race car or a skateboard. Its manufacturer wants to advertise this new product to people in the specialty products industry. Which method of setting its advertising budget should the new product use?
A
share-of-market/share-of-voice
53
Q
- According to the text, a firm that has used the share-of-market/share-of-voice method for allocating advertising funds for a number of years is may have a tendency to:
A
become complacent
54
Q
- When used to determine how to allocate funds for advertising, the _____ method has three steps: defining objectives, determining strategy, and estimating costs.
A
objective/task
55
Q
- Which of the following statements about the objective/task method for allocating advertising expenditures is true?
A
It is often difficult to determine in advance the amount of money needed to reach a specific goal.
