exam 1 Flashcards
Which of the following is NOT part of a marketing exchange?
A) Sellers provide products or services.
B) Sellers communicate and facilitate delivery.
C) Marketers assess the effectiveness of their
advertising.
D) Buyers complete the exchange by giving money
and information to the seller.
C) Marketers assess the effectiveness of their
advertising.
Promotion is ____________ by a marketer that informs, persuades, and reminds potential buyers about a product or service to influence their opinions or elicit a response.
A) smoke-and-mirrors
B) coercion
C) teasing
D) communication
D) communication
What must firms do to become value driven?
A) Share information, balance benefits and costs, and build customer relationships.
B) Set low prices, put profit above service, and use effective marketing strategies.
C) Make logistics a priority, expand globally, and always offer new goods and services.
D) Keep a vigilant eye on the market-place, undercut competitors, and provide competitive salaries.
A) Share information, balance benefits and costs, and build customer relationships.
Which of the following would NOT be considered part of a supply chain?
A) consumer
B) retailer
C) manufacturer
D) customer service representative
D) customer service representative
What is sustainable competitive advantage?
A) A broad description of the firm’s objectives and scope of its activities.
B) Tool used to evaluate marketing performance.
C) Something the firm can consistently do better
than its competitors, not easily copied.
D) Written document that discusses competitor
strengths and weaknesses, and the firms advantages over them.
C) Something the firm can consistently do better
than its competitors, not easily copied.
Customer excellence focuses on?
A) having products with high perceived value and effective branding and positioning.
B) develops value-based strategies for retaining loyal customers and providing excellent customer service.
C) having a good physical location and Internet presence.
D) efficient operations and excellent supply chain and human resource management
B) develops value-based strategies for retaining loyal customers and providing excellent customer service.
Which of the following refers to a group of consumers who respond
similarly to a firm’s marketing efforts?
A) Market segment
B) Target market
C) Targeting
D) Positioning
A) Market segment
One of the keys in place and value delivery is to provide the consumer
_______________.
A) a wide product selection
B) merchandise they want at the time they want it
C) a variety of media communication methods
D) accessible management personnel to handle
complaints
B) merchandise they want at the time they want it
Which of the following is NOT considered a marketing growth strategy?
A) Market penetration
B) Diversification
C) Product development
D) Sequential planning
D) Sequential planning
A diversification strategy introduces a new product or service to a market
segment that _______________.
A) is currently not served
B) includes many ethnicities
C) already exists
D) does not traditionally respond to mixed media
A) is currently not served
Geographic segmentation is most useful for companies whose satisfy needs that vary by __________.
A) gender
B) region
C) age
D) nationality
B) region
Which of the following tools is widely used for geodemographic segmentation?
A) PSYTE
B) LSAT
C) GNP
D) LIMRA
A) PSYTE
Which of the following factors is NOT a key factor when considering profitability of a market segment?
A) market growth
B) market competitiveness
C) purchase behaviour
D) market access
C) purchase behaviour
Which of the following products is most likely to use an undifferentiated segmentation strategy?
A) shoes
B) jewellery
C) cereal
D) sugar
D) sugar
When positioning a product based on the relationship of price to quality the positioning method being used is _______________.
A) product attributes
B) benefits and symbolism
C) value
D) competition
C) value
Which of the following is NOT considered part of a company’s immediate environment?
A) company’s corporate partners
B) company’s stockholders
C) competition
D) company’s capabilities
B) company’s stockholders
Which of the following are examples of typical demographics?
A) age, gender, race
B) behaviour, dress, physical settings
C) temperature, topology, climate
D) conservative, liberal, independent
A) age, gender, race
This group of Canadians can afford a good life most of the time. They tend to be careful about their spending and are often value conscious. They are known as the ______-class.
A) middle
B) upper
C) working
D) lower
A) middle
Firms like iRobot have a long history of developing robotic machines that help consumers undertake daily chores in the house, such as vacuuming. But other home appliances are joining and extending this trend, producing the new notion of the _______.
A) internet of things
B) robotics
C) artificial intelligence
D) superficial intellect
A) internet of things
Which of the following is NOT one of the factors affecting consumers’ search processes?
A) the perceived benefits versus perceived costs of search.
B) the locus of control
C) the actual or perceived risk
D) the kind of search
D) the kind of search
Decision heuristics are ________ that help a consumer narrow down his or her choices.
A) mental shortcuts
B) breathing exercises
C) logical steps
D) compensatory decision rules
A) mental shortcuts
Which of the following is NOT a step to use to ensure postpurchase satisfaction?
A) Providing money-back guarantees and warranties.
B) Build unrealistic expectations.
C) Encourage customer feedback.
D) Demonstrate correct product use.
B) Build unrealistic expectations.
When retailers and service providers have developed unique images that are
based at least in part on their internal environment, they are using?
A) Salespeople
B) Store atmospherics
C) Crowding
D) In-store demonstrations
B) Store atmospherics
What type of buying decision requires the least amount of time and effort?
A) extended
B) habitual decision making
C) limited problem solving
D) impulse buying
B) habitual decision making
Which of the following statements is NOT correct regarding why marketers find research valuable?
A) helps reduce some of the uncertainty under which marketers
currently operate
B) marketing research provides a marginal link between firms
and their environments
C) ongoing marketing research can identify emerging
opportunities and new and improved ways of satisfying
consumer needs and wants
D) firms can anticipate and respond quickly to competitive
moves
B) marketing research provides a marginal link between firms
Data can be collected from many different sources, including both secondary and primary sources. All of the following about primary data sources is true EXCEPT:
A) It is data that has been collected prior to the start of the
project.
B) It is data that addresses specific research needs.
C) It can include surveys.
D) It includes focus groups.
A) It is data that has been collected prior to the start of the
project.
Pieces of information that have been collected prior to the start of the focal research project is referred to as:
A) Panel data
B) Syndicated data
C) Scanner data
D) Secondary data
D) Secondary data
A type of quantitative research that uses data obtained from UPC codes at checkout counters is referred to as:
A) Panel data
B) Syndicated data
C) Scanner data
D) Primary data
C) Scanner data
Which of the following represents a key advantage of using social
media in research?
A) Conversations are observed only
B) No consent to study data
C) Contributors to social-media sites rarely are shy about
providing their opinions
D) Anonymity
C) Contributors to social-media sites rarely are shy about
providing their opinions
What is the typical response rate for online surveys?
A) 1 – 2 percent
B) 10 – 15 percent
C) 30 – 35 percent
D) 40 – 45 percent
C) 30 – 35 percent
What are the seven P’s of marketing?
Product, place, promotion, price, process, physical, people
What are target markets?
customer segment to whom the firm is interest in selling its products and services
What exchanges occur in marketing?
customers give money and information to receive goods and services from sellers. sellers give communication and delivery to customers
Price is everything the buyer gives up in exchange for the product… what 3 things does this include?
money, time and energy
which field examines the activities necessary to get the product ot the right customer when they want it?
supply change management
What are the four orientations of marketing?
product, market, sales and value-based
which orientated companies focus on developing and distributing innovative products with little concern about whether the product’s best satisfy customers’ needs?
product-oriented
which orientated companies view marketing as a selling function where companies try to sell as many of their products as possible rather than focus on making products consumers really want?
sales orientation
which orientated companies start out by focusing on what consumer’s want and need before they design, make, or attempt to sell their products and services?
market orientation
which orientated companies focus on the triple bottom line?
value-based orientation
what is the triple bottom line for value based orientated firms?
- people (consumer needs and wants)
- profits (long-term profitable relationships)
- planet (social and environmental responsibility)
what are the steps in the supply chain?
raw materials suppliers -> manufacturer -> distributer -> customer
a good marketing strategy identifies what?
1) firm’s target market (s)
2) related marketing mix (4 p’s)
3) how the firm plans on building a sustainable competitive advantage
what 4 things define customer value?
customer excellence, operational excellence, locational excellence, product excellence
what are the 5 steps to developing a marketing plan? and which 3 phases do they belong to?
planning phase:
1) business mission and objectives
2) situation analysis (SWOT)
implementation phase (marketing strategy):
3) identify opportunities (STP: segmentation targeting, positioning)
4) implement marketing mix
control phase:
5) evaluate performance by using marketing metrics (BCG matrix)
what are the four growth strategies and how do they relate to markets & products/services
1) market penetration: same market & P/S. ex. put on sale
2) market development: same product, new market segments. ex: serving domestic/international
3) product development: new product, same market
4) diversification: new product and market
what are the microenvironmental factors for doing a marketing environment analysis?
consumers: company, corporate partners, competition
what are the macroenvironmental factors for doing a marketing environment analysis?
CDSTEP: culture, demographics, social/nature, technology, economic, political/legal
age, gender, race, income, and education are examples of what?
ways to segment markets
marketers that are embracing AI primarily use it for what?
1) advanced customer segmentation
2) media selection and buying
3) customer engagement
what is the internet of things?
when smart devices combine the data they have collected to help consumers and companies consume more efficiently
what is the marketing strategy that involves effort to supply customers with environmentally friendly merchandise?
green consumers
As many as _____ percent of new consumer goods products fail.
A) 95
B) 75
C) 50
D) 30
A) 95
The theory surrounding diffusion of innovation helps marketers understand _______________.
A) the likelihood that consumers will adopt a new
product or service
B) the rate at which consumers are likely to adopt a
new product or service
C) the failure rate of a new product or service
D) the motivation that causes consumers to adopt a
new product or service
B) the rate at which consumers are likely to adopt a
new product or service
which factors affect product diffusion
1) relative advantage
2) compatibility
3) complexity and trialability
4) observability
what are the six steps for developing a new product?
- idea generation
- concept testing
- product development
- market testing
- product launch
- evaluation of results
A firm can use its own internal R&D efforts, collaborate with other firms and institutions, license technology from research-intensive firms, brainstorm, research competitors’ products and services, and/or conduct consumer research. This step in the product development process is known as ______.
A) product development
B) concept testing
C) idea generation
D) product launch
C) idea generation
what are the 5 sources of ideas for idea generation?
- internal R&D
- licensing
- customer input
- brainstorming
- competitors’ products
irms will often buy the rights to use the technology or ideas from other research-intensive firms. This is called:
A) Reverse innovation
B) External research and development
C) Licensing
D) Industrial design
C) Licensing
what is a concept?
a brief written description of the product to determine if R&D should be invested
By using premarket testing, a firm can generate a _______________ for the new product that enables it to decide whether to introduce the product or make modifications.
A) stockholder report
B) sales estimate
C) loyal customer base
D) marketing plan
B) sales estimate
what is involved in premarket tests? test marketing?
premarket test: customer’s exposed, customer’s surveyed, firms make decisions
test marketing: mini product launch, more expensive than premarket tests, market demand is estimated
what four things are involved in a product launch?
promotion, timing, place, price
The introduction stage of the product life cycle is often characterized by _______________.
A) a spike in revenue
B) consumer complaints
C) initial losses
D) industry shakeout
C) initial losses
describe the stages and characteristics of the product life cycle
introduction: low sales, negative or low profits, innovators, one or few competitors
growth: rising sales, rapidly rising profits, early adopters and early majority, few but increasing competitors
maturity: peak sales, peak to declining profits, late maturity, high number of competitors and competitive products
decline: declining sales and profits, laggards, low number of competitors and products
what are the four variations of the product life cycle curve?
high-learning product, low-learning product, fashion product, fad product
what are some strategies for extending the product life cycle?
develop new uses, modify products, increase frequency of use, increase # of users, find new users, reposition product, tweak marketing strategy
true or false: managers know what stage their product is in
false, the shape each product life cycle will take is not exactly known
what is the consumer decision process?
need recognition -> information search -> alternative evaluation -> purchase decision -> postpurchase
what are the two types of of needs (in need recognition)
functional and psychological
what are the two types of information searches?
internal and external
which factors affect consumer’s search processes?
1) actual vs perceived risk
2) perceived benefit vs perceived costs
3) locus of control
what is the difference between an internal and external locus of control?
internal: some control over outcomes
external: external factors control all outcomes
what are the three consumer decision rules
1) decision heuristics
2) compensatory
3) noncompensatory
give 3 examples of decision heuristics
price, brand and product presentation
which decision rule is when consumers are willing to make tradeoffs?
compensatory
what are the three potential postpurchase outcomes?
1) customer satisfaction
2) postpurchase dissonance
3) CUSTOMER LOYALTY
explain Maslow’s hierachal needs.. starting at the bottom
physiological -> safety -> love -> esteem -> self-actualization
list some social factors
family, reference groups, culture
list and explain the 3 situational factors that drive consumer behaviour
1) purchase: occasion for purchasing something
2) sensory: external influences that change a consumer’s state i.e., displays, atmosphere, smells
3) temporal state: what mood they’re in
What are the 4 types of buying decisions?
1) extended problem solving
2) limited problem solving
2a) impulse buying
2b) habitual decision making
what is the segmentation-targeting-position process?
segmentation:
1. strategy or objectives
2. segmentation bases
targeting:
3. evaluate segment attractiveness
4. select target market
positioning:
5. identify and develop positioning strategy
what are the 4 ways barns will look at segmentation bases?
geographic, demographic, psychographic, behavioural
how is the behavioural segmentation broken up?
occasion, benefits, usage rate, loyalty
what four things do firms look at when evaluating segment attractiveness?
identifiable, reachable, substantial and profitable, responsive
when the product/service is perceived to provide the same benefits to everyone, and no separate strategies for different groups are employed, is this an example of:
a) undifferentiated targeting/mass marketing
b) differentiated targeting
c) concentrated (niche) targeting
d) micromarketing
a) undifferentiated targeting/mass marketing
which strategy targets several market segments with a different offering for each?
a) undifferentiated targeting/mass marketing
b) differentiated targeting
c) concentrated (niche) targeting
d) micromarketing
b) differentiated targeting
which strategy is when an organization selects a single, primary target market and focuses all of its energy providing a product to fit that markets needs?
a) undifferentiated targeting/mass marketing
b) differentiated targeting
c) concentrated (niche) targeting
d) micromarketing
c) concentrated (niche) targeting
which strategy is a form of segmentation that tailors a product/service to suit an individual customer’s needs/wants?
a) undifferentiated targeting/mass marketing
b) differentiated targeting
c) concentrated (niche) targeting
d) micromarketing
d) micromarketing
what are the five positioning methods to consider?
value, product attributes, benefits and symbolism, competition, market leadership
what’s the strategy called when marketers change the brand’s focus to target new markets/realign the brand’s core emphasis with changing market preferences?
repositioning
define marketing research
set of techniques/principles for systematically collecting, recording, analyzing and interpreting data that can aid decision makers involved in marketing goods/services/ideas
what’s the marketing research process?
define research problem and objectives -> design the research plan -> collect data -> analyze data and develop insights -> determine action plan
which of the following is the problem?
a) Dip/Reduction in sales of $2,000,000.00 this past quarter at Safeway is the problem!
b) Losing four staff this past year has reduced our sales by 15%.
c) A frozen strawberry crop has forced Safeway to increase its prices
due to increased outsourcing. This is the problem since it has
caused a decrease in our profit margin by 15%.
c
what are the 3 types of research?
exploratory, descriptive, casual
define secondary and primary data
secondary: pieces of information collected prior to start of project, can be internal or external i.e., data mining, syndicated data
primary: collected to address specific research needs. i.e., focus groups, interviews, surveys
observation, social media, interviews and focus groups are examples of which type of research methods?
qualitative
