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108 Test Bank for A Framework for Marketing Management 1st Mutiple Choice Question - Page When Bob sells a TV to Roger and receives $400 in cash, a(n) has just occurred A) transaction B) transfer C) donation D) contribution E) charitable action Intel, one of the largest producers of integrated circuit chips, puts a great deal of effort into expanding production of chips to drive down the cost and thus expand the market This is most indicative of the concept A) societal B) production C) customer D) product E) marketing Which is NOT true about the selling concept? A) The selling concept is practiced most aggressively with unsought goods B) Firms tend to practice the selling concept when they have overcapacity C) It always takes into account the greater societal good D) It focuses on the needs of the seller E) It assumes that consumers must be coaxed into buying is based on the development, design, and implementation of marketing programs, processes, and activities that recognizes their breadth and interdependen cies It recognizes that ʺeverything mattersʺ with marketing A) Relationship marketing B) Just-in-time production C) Holistic marketing D) The Ford Motor Company Light Truck Division E) A marketing network is a set of marketing tools that the firm uses to pursue its mar keting objectives in the target market A) A consumer market B) A business market C) The marketing mix D) Environmental scanning E) Consumer behaviour Under which of the following company orientations toward the marketplac e would we expect to find the ʺbetter mousetrapʺ fallacy? A) marketing concept B) holistic marketing concept C) product concept D) production concept E) selling concept is(are) an organizational function(s) and a set of processes for creating, communicating, and delivering value to customers and for managing customer relationshi ps in ways that benefit the organization and its shareholders A) Strategic Planning B) Management C) Marketing D) Exchange Transactions E) Consumer Behaviour Companies at the greatest risk in todayʹs marketplace are doing all of the f ollowing EXCEPT: A) not monitoring their competitors B) not monitoring their customers C) not lowering prices sufficiently D) taking a short-term, sales-driven view of their business E) failing to continuously improve Producers of unsought products like burial insurance would normally emp loy the concept A) marketing B) production C) product D) customer E) selling The holistic marketing concept rests on which four sets of forces? A) Products, integrated marketing, sales volume, and competition B) Customer needs, competition, sales volume, and profit C) Internal marketing, socially responsible marketing, integrated marketing, and relatio nship marketing D) Customer needs, target market, integrated marketing, and profitability E) Product, price, promotion, and place Which of the following represents the product concept? A) Selling more products will allow for lower production costs and higher profits B) It is a customer-centered, ʺsense and respondʺ philosophy C) It is both a proactive and a reactive form of marketing D) Consumers, if left alone, will not buy enough of the organizationʹs product E) A better mousetrap will lead people to beat a path to the marketerʹs door When IKEA noticed that people wanted good furniture at a substantially lo wer price and created knockdown furniture, they demonstrated marketing savvy and turned a pri vate or social need into a(n) A) invention B) market need C) customer want D) profitable business opportunity E) product development Which is NOT necessary in order for exchange to exist? A) Each party has something that might be of value to the other party B) Each party is free to accept or reject the offer C) At least two parties D) Satisfaction by both parties E) Each party believes it is appropriate or desirable to deal with the other party Which of the following is NOT generally true of marketing networks? A) Customers are independent of marketing networks B) Suppliers are considered part of a companyʹs marketing network C) Building effective marketing networks will result in profit D) Competition is not between companies but between marketing networks E) A marketing network consists of the company and its supporting stakeholders marketing aims to build long-term, mutually satisfying relation ships with key parties, customers, suppliers, distributorsin order to earn and retain their longterm preference and business A) Business-to-business B) Transaction-oriented C) Holistic D) Network E) Relationship Companies selling mass consumer goods and services such as soft drink s, cosmetics, air travel, and athletic shoes and equipment spend a great deal of time trying to establis h a superior brand image in markets called A) global markets B) consumer markets C) nonprofit and governmental markets D) service markets E) business markets Companies that practice both a reactive and proactive marketing orientati on are implementing a(n) and are likely to be the most successful A) external focus B) confrontation process C) total market orientation D) competitive, customer focus E) customer focus Which of the following is an example of a transfer? A) Andi places the winning bid on a vase at an auction B) Anna donates money to the American Cancer Society C) Ms Kelly gives Bonnie a dozen cookies for walking her dog D) Quentin buys a sweater at a flea market E) All of the above are examples of transfers Which of the following is probably the best definition of marketing? A) Using marketing savvy to turn private or social needs into profitable business opport unities B) ʺThe art of selling products.ʺ C) ʺMeeting needs profitably.ʺ D) An organizational function employed to offer lower prices and superior selection E) Creating, communicating, and delivering value to chosen customers in ways that be nefit the organization and its stakeholders Marketing is the art and science of choosing target markets a nd getting, keeping, and growing customers through creating, delivering, and communicating supe rior customer value A) integration B) training C) management D) segmentation E) transfer A is someone seeking a response (attention, a purchase, a vot e, a donation) from another party, called the A) salesperson, customer B) politician, voter C) fund raiser, contributor D) marketer, prospect E) celebrity, audience Which of the following is an example of a product that can be marketed? A) a carton of eggs B) a screenplay based on the life of Bill Clinton C) a haircut D) a seminar on time management E) All of the above Good marketing is no accident, but a result of careful planning and A) execution B) research C) selling D) tactics E) strategies The selling concept assumes A) consumers not have to be compelled by promotions to buy what a company is s elling B) consumers will favour products that offer quality, performance, and innovation C) if left alone, consumers will ordinarily not buy enough of the organizationʹs products D) being more effective than competitors in integrating marketing activities will lead to success E) a company has a social responsibility for the effects of its products Nestle Canada began to incorporate peanuts into more of its confectioner y items This action shows the company was practising a A) reactive market orientation B) total market orientation C) proactive marketing orientation D) both reactive and proactive marketing orientation E) marketing network When 3M, HP, and Motorola practice researching or imaging latent needs of consumers through a ʺprobe-andlearnʺ process, they are most likely using which of the following marketin g orientations with respect to their consumers? A) proactive marketing orientation B) supply-side orientation C) promotion orientation D) selling orientation E) reactive market orientation The computer consists of the manufacturers of computer me mory chips, monitors, keyboards, coaxial cables, modems, software, storage systems (disks, har d drives, portable USB media), and those who install, repair, and maintain systems and software A) marketspace B) metamarket C) marketplace D) micromarket E) macromarket Customers, employees, suppliers, and distributors could all be considere d A) channel members B) part of the marketing organization C) stakeholders D) supply chain members E) stockholders The act of obtaining a desired product from someone by offering somethin g in return is known as A) the cost of the product B) customer satisfaction C) an exchange D) product valuation E) the service desired of the product Dinetah Shoes collects information on its customersʹ past purchases, thei r demographics and psychographics, and their media use and preferences The goal is to capt ure a higher share of future purchases and developing stronger loyalty among its most importa nt target segments Dinetah Shoes is using A) knowledge management B) network marketing C) relationship marketing D) integrated marketing E) multidimensional scaling If the automobile industry sends advertising communications and persona l sales messages to prospective buyers in a simple marketing system, it expects i n return if the exchange process is really working A) image enhancement B) goods C) information D) money E) services Which of the following is NOT true? A) Careful marketing homework often results in lots of consumer demand B) The most important part of marketing is not selling C) All that is needed for success is to make a good product or service available D) Ideally, marketing should result in a customer who is ready to buy D) intermediary channel E) service channel Taking into account profitability, customerʹs need, and the greater societal good when marketing is called A) the societal marketing concept B) cause-related marketing C) the customer concept D) the value proposition E) the selling orientation A brand name such as BMW carries many associations in the minds of pe ople: speed, expensive, engineering, status, the BMW logo These associations make up BMWs ʹ A) brand strength B) brand image C) value proposition D) effective demand E) customer value triad The holds that the organizationʹs task is to determine the nee ds, wants, and interests of target markets and to deliver the desired satisfactions more effectively an d efficiently than competitors in a way that preserves or enhances the consumerʹs and the societyʹs well-being A) SWOT concept B) comparative advantage concept C) holistic marketing concept D) societal marketing concept E) customer is king concept A is an offering from a known source A) need B) demand C) brand D) product E) service reflects the perceived tangible and intangible benefits and cos ts to customers A) Loyalty B) Value C) Expectations D) Satisfaction E) Comparison shopping The two key themes of are that: (1) many different marketing a ctivities are employed to communicate and deliver value, and (2) all marketing activities are coordin ated to maximize their joint effects A) product management B) integrated marketing C) bad word-of-mouth communications D) anticipative marketing E) responsive marketing A few years ago, Target Corporation (then called Dayton-Hudson) decided that it would no longer sell tobacco products, giving up avery profitable lin e for them at the time At the time, liability and corporate responsibility we re cited as the reasons for this move This decision by Target illustrates w hich of the following? A) the marketing concept B) relationship marketing C) integrated marketing D) societal marketing concept E) benchmarking are wants for specific products backed by an ability to pay A) Needs B) Morals C) Demands D) Exchanges E) Values According to our text, the centre of all marketing activity should be A) the public B) target customers C) the marketing control system D) stakeholders E) suppliers Marketers can increase the value of a customer offering by A) reducing service B) lowering service and raising price C) increasing price D) not considering the competitive offering E) raising quality All of the following represent types of needs discussed in the text EXCEPT A) unstated needs B) obvious needs C) stated needs D) real needs E) delight needs Which of the following best represents the societal marketing concept? A) Nordstrom strives at all costs to give the customers what they want B) McDonaldʹs develops a new, brighter package for the Filet-O-Fish C) Wal-Mart promises to sell at the lowest price D) A Dunkinʹ Donuts portable breakfast sandwich adds convenience for the consumer E) Target Corporation chooses to eliminate profitable cigarette sales in their stores Which is true? A) Needs preexist marketers B) Demand strictly means desire for some object C) Wants become needs when they are directed at specific objects that might satisfy t he want D) Marketers create needs E) A personʹs need for food or shelter is a creation of marketers When the design and implementation of any one marketing activity is don e with all other activities in mind, this is called A) integrated marketing B) marketing consistency C) internal marketing D) target marketing E) cause-related marketing The process consists of analyzing marketing opportunities; s electing target markets; designing marketing strategies; developing marketing programs; and man aging the marketing effort A) opportunity analysis B) market research C) strategic planning D) share of customer E) marketing planning A number of companiesincluding the Body Shop, Loblaws, and the Can adian Imperial Bank of Commercehave achieved notable sales and profit gains by adopting and practicing a form of the societal marketing concept called by which a company with a n image, product, or service to market builds a relationship or partnership with a cause, or a nu mber of causes, for mutual benefit A) social marketing B) environmental marketing C) responsible marketing D) benefit marketing E) cause-related marketing For each target market, the firm develops a The offering is po sitioned in the minds of the target buyers as delivering some central benefit(s) A) market offering B) segment offering C) niche offering D) value offering E) social offering includes all the actual and potential rival offerings and substit utes that a buyer might consider A) The supply chain B) Competition C) The product offering D) A value proposition E) The marketing environment Which of the following is NOT one of the major shifts in marketing manage mentsʹ responsibilities? A) Stakeholders are the new focus B) Marketers are partnering with fewer but better suppliers C) Every employee is now recognized to impact the marketing effort D) Brand building is now accomplished through strong and effective advertising alone E) There is a movement from local to both global and local When an athletic apparel marketer such as Sporthill ensures that direct an d indirect channels work together to maximize sales and brand equity, they are practising which ap proach to holistic marketing? A) relationship marketing B) internal marketing C) integrated marketing D) global marketing E) socially responsible marketing Which of the following is NOT true? A) Marketing channels connect the marketer to the target buyer B) The supply chain includes the final customer C) The supply chain for womenʹs leather purses includes the supplier of the hides and the tanning process D) The distribution channel is used to display or deliver the physical product or service s to the buyer or user E) The supply chain is longer than the marketing channel When Caitlin Peterson began OldeTowne Spice Company, she had one pr oduct, an all -purpose seasoning mix called OldeTowne Special Blend for adding flavor to bland casseroles She sold 5.5ounce bottles of her seasoning mix for $6.95 Her only outlets were booths at craft fairs throughout the Northeast She relied on word-ofmouth advertising and a few feature articles in regional newspapers to tell people about her product The above describe s OldeTowne Spice Companys ʹ A) method of exchange B) marketing mix C) transfer marketing D) transaction marketing E) marketing tactics is a combination of quality, service, and price A) The consumer cost-benefit ratio B) Benefit evaluation C) A customer satisfaction level D) Price-setting E) The customer value triad The environment includes the immediate actors involved in pr oducing, distributing, and promoting the offering such as the company, suppliers, distributors, d ealers, and the target customers A) management B) operations C) task D) tactical E) strategic Free Text Questions discuss the marketerʹs argument for why an organization should embrace the marketing concept Answer Given The companyʹs assets have little value without the existence of customers The ke y company task, therefore, is to attract and retain customers Customers are attracted through competitively superior offe rings and retained through satisfaction Marketingʹs task is to develop a superior offering and deliver custome r value and satisfaction Customer satisfaction is affected by the performance of other departments Marketing needs to influence those other departments to cooperate in delivering customer satisfaction describe the supply chain for denim jeans Answer Given The supply chain begins with cotton growers, then on to cloth textile processors, c utting operations and sewing operations Next, the jeans are sent through distribution channels, such as wholes alers and retailers From there, consumers purchase them In a short essay, explain the five types of needs associated with a consum er who says she wants a ʺnice mp3 player.ʺ Answer Given (1) Stated Needthe consumer wants a nice mp3 player (2) Real Needthe cons umer wants a portable music device that is not too expensive or flashy, but above the ʺaverageʺ player (3) Unstated N eedthe consumer does not want to have to deal with a poorlymade or nonworking product (4) Delight Needthe consumer would like to have a colour screen and an FM tuner included (5) Secret Needthe consumer would like to be seen as someone who has the good taste to buy the best mp3 player available Answers may vary describe the buying interaction between a customer and Wal-Mart, incorp orating the five conditions that must be satisfied so that exchange can happen Answer Given (1) There are at least two parties involved, the consumer and Wal-Mart (2) The co nsumer has money that is valuable to Wal-Mart, and WalMart has merchandise that is valuable to the consumer (3) The consumer can sp eak with representatives of WalMart and can deliver the money in the form of cash, check, or credit/debit card W al -Mart communicates its offerings via displays and advertisements (4) The consumer is f ree to business or not with Wal-Mart WalMart is free to accept that business (5) The consumer feels it is desirable and app ropriate to deal with Wal-Mart and vice versa describe how the four Ps of marketing relate to the four Cs of customers Answer Given The four Ps correspond to the four Cs as seen below: Marketing Element Customer Perspective Product → Customer Solution Price → Customer Cost Place/Distribution → Convenience Promotion → Communication Products are not what is being bought, solutions are A person buys gasoline, but i s really purchasing the solution to getting around more easily Consumers determine their cost by comparing the pric e of the marketing offering to all other possibilities for their money A consumer does not think about retail outlets in esoteric terms, but rather considers how convenient it will be to get to, get in and get out of the retailer The consumer sees advertising, spam email, direct mail, and other forms of marketing communication as a way of knowing and judgin g a market offering True - False Questions Wants are basic human requirements such as food or air True False Exchange is synonymous with transfer True False The following are entities which are commonly marketed: goods, services, experiences, ideas, and information True False For exchange potential to exist, there must be at least parties willing to n egotiate: the seller, the buyer, and the manufacturer True False The socially responsible marketing concept takes the marketing concept o ne step further by considering long-run societal welfare True False The marketing concept holds that the key to achieving organizational goal s consists of the company being more effective than competitors in creating, delivering, and commu nicating superior customer value to its chosen target markets True False Cause-related marketing is a form of internal marketing True False Marketers and economists agree on the definition of the term ʺmarket.ʺ True False Your are in a desperate financial position and MUST sell your car You tell your best friend that she HAS TO buy the care from you or you will no longer be her friend This sit uation has exchange potential even though your methods are suspect True False A marketplace is physical whereas a marketspace is virtual True False The ʺfour Csʺ that correspond to the ʺfour Psʺ of the marketing mix are c ustomer solution, customer confidence, convenience, and communication True False McDonaldʹs has decided to engage in cause marketing An appropriate act ion would be to sponsor an endangered species at a national or city zoo True False Marketing is both an art and a sciencethere is constant tension between the formulated side and the creative side True False Demands are wants for specific products backed by an ability to pay True False The customersʹ 4Cs are customer solution, customer price, customer serv ice, and customer information technology True False Holistic marketing considers each of the following: relationship marketing, production marketing, integrated marketing, and social responsibility marketing True False The production concept holds that consumers will prefer products that are widely available and inexpensive True False The supply chain for Wendys ʹ includes beef cattle farmers True False The task environment of an organization consists of the demographic envi ronment, the economic environment, the natural environment, the technological environment, the political-legal environment, and the socio-cultural environment True False The selling concept holds that consumers will favour those products that offer the most quality, performance, or innovative features True False An unstated need occurs when a consumer expects good service at a rest aurant True False A marketspace is physical, as when you shop in a store True False The computer metamarket consists of the manufacturers of computer me mory chips, monitors,keyboards, coaxial cables, modems, software, stora ge systems (disks, hard drives, portable USB media), and those who install, repair, and maintain systems and software True False Marketing is both an art and a science; doing it well requires creativity as well as knowledge of the formulated side of the discipline True False Today, even large, well known businesses have newly empowered custom ers and have had to rethink their business models True False A concert by Nickelback is an example of an event-type entity which can b e marketed True False In the most generic sense, marketers seek to elicit a behavioural response from another party True False Simplifying the marketing concept and lucky for marketers is the fact that the interests of organizations, customers and society are often the same True False Internal marketing refers to efforts directed internally (within the company) to ensure that everyone in the organization embraces appropriate marketing principles True False ... organization and its shareholders A) Strategic Planning B) Management C) Marketing D) Exchange Transactions E) Consumer Behaviour Companies at the greatest risk in todayʹs marketplace are doing all... D) A marketspace is a stall in a flea market E) A marketspace is a digital shopping ʺarea.ʺ Which of the following is most closely associated with a proactive marketi ng orientation? A) The marketer... increase customer loyalty, build sales, and increase press cov erage A) equity marketing B) recognition marketing C) cause-related marketing D) direct marketing E) brand marketing A few years ago,