MKG 300 Midterm – 3

A marketer will likely need to reposition a product if:
customers see the product as very similar to other products in the market.
Emergency products:
need widespread distribution near probable points of use.
Teenagers:
Have become a target for many firms.
If a brand consistently delivers on a promise that purchasers consider important, those purchasers are likely to develop a _______ for the brand.
trust
Wu Chen frequently travels to Caracas, Venezuela where the only hotel he will stay at is the Crown Prince Hotel. His level of brand familiarity toward the Crown Prince Hotel is ______
brand insistence.
A target marketer who uses two different marketing mix strategies to make two separate appeals to office tablet computer users and home tablet computer users is applying:
the multiple target market approach.
Marketing can be viewed as a set of activities performed by organizations, but not as a social process.
FALSE – We can view marketing in two ways: from a micro view as a set of activities performed by organizations and also from a macro view as a social process.
The Consumer Product Safety Commission
can order costly returns of products it considers unsafe.
Marketers at General Mills found that lots of people try to check e-mail or drive a car while eating breakfast or lunch. For many of these target customers the real _____ dimension in picking a snack is whether it can be eaten “one-handed.”
geodemographic
An ROI estimate is needed during the ______________ step of the new-product development process.
As stated in Exhibit 9-4, an ROI estimate is needed during the screening, idea evaluation, development and commercialization stages of a new product development processes.
Which of the following countries has the highest literacy rate?
Finland
Why might the demand for business products be INELASTIC, while the demand facing individual sellers of those products is extremely ELASTIC?
Because the demand for business products is derived, and some industries have many sellers of essentially homogeneous products.
When selling ____ products, a marketing manager should recognize that consumers have low price sensitivity and the product should have widespread distribution near the probable point of need.
emergency
Of the following, which are the most receptive to new products and new brands?
Young people
The segmenting step of the segmentation process
looks for similarities in needs.
Customer equity
is the expected earnings stream of a firm’s current and prospective customers over some time period.
Ideally, a good marketing mix should:
flow logically from all the relevant dimensions of a target market.
Regarding the business (manufacturing) market, small firms (with fewer than 10 employees)
are the majority of all firms, but account for less than 3 percent of “value added” by manufacturing.
VoiceSys, Inc. produces voice-mail switchboard systems used in large office buildings, hotels, and other facilities. VoiceSys’s products are selling so well that it has decided to buy new equipment that will increase its production capacity. This example best illustrates
derived demand. – The demand for business products derives from the demand for final consumer products.
When a marketing manager notices that customer reaction to a new product does not meet expectations, they need to be prepared to _____ or move to a new marketing mix.
pivot – Marketing managers often need to pivot, or move to a new marketing mix, when the product fails to perform well in the market introduction stage.
Which of the following countries has the highest population density?
Singapore
Between 2005 and 2025, the largest projected increase in the U.S. population is projected to occur in the:
65 or over age group.
Straight rebuy
vendor selections are likely to be made by a purchasing manager—without consulting anyone else.
Which of the following research methods can not be employed in a market research online community?
focus groups
Regarding product life cycle planning, good marketing managers know that:
a “me-too” new brand may immediately enter during market growth or market maturity.
Customer equity
takes the perspective of the selling firm.
Regarding buying by intermediaries,
buying committees are a way for supermarkets to handle the flood of new products.
Why can’t marketing managers be satisfied just planning present activities?
Marketing managers are not satisfied just planning present activities since markets are usually dynamic and consumers’ needs, competition, and the environment keep changing.
A close buyer-seller relationship in a business market:
A close buyer-seller relationship in a business market may require relationship-specific adaptations by both parties, obligatory price reductions by the supplier, obligatory switching costs for the buyer, and negotiated contract buying.
Which of the following gives the correct order of the steps in the new-product development process?
Idea generation, screening, idea evaluation, development, commercialization
Regarding the organization of the product classes, an impulse product is to an emergency product as
a new unsought product is to a regularly unsought product.
Billy Longstreet had just bought a new car and was a bit uncertain about whether or not he had done the right thing in buying it. Two days after he purchased it, he decided to take it back to the dealer so that the dealer could install some additional optional equipment. When Billy went to the dealership to pick up the car after the installation, the salesman who sold Billy the car said, “You know, in the last two hours three different customers told me how much they liked the looks of your new car. One of them even wanted to know if it was for sale!” This attempt by the salesman to confirm the wisdom of Billy’s purchase decision seems to be aimed at reducing:
dissonance. – Dissonance is a feeling of uncertainty about whether the correct decision was made. This may lead a customer to seek additional information to confirm the wisdom of the purchase.
The term “micro-macro dilemma” means that:
what is “good” for some producers and consumers may not be good for society as a whole.
Whether a particular macro-marketing system is judged fair and effective depends on the objectives of the society.
TRUE – The effectiveness and fairness of a particular macro-marketing system must be evaluated in terms of that society’s objectives.
Which of the following statements about packaging is TRUE?
Better protective packaging is very important to manufacturers and wholesalers. They sometimes have to pay the cost of goods damaged in shipment. Retailers need protective packaging too. It can reduce storing costs by cutting breakage, spoilage, and theft. Good packages also save space and weight so they are easier to transport, handle, and display.
The Federal Fair Packaging and Labeling Act:
requires that consumer goods be clearly labeled in understandable terms—to give more information.
Gina Williams wanted to start a decorating business. She identified several possible target markets, but decided to serve a market composed of recently married couples that owned their first home. Gina appears to be following:
A single target market approach.
The text discusses a four-level hierarchy of needs. Which of the following is NOT included in that model?
Psychological needs.
Which of the following statements about social class is false?
Income by itself can be a pretty good measure of social class.
Regarding product life cycles, which is true?
Product life cycles describe industry sales and profits for a product idea within a particular product-market.
When planning a marketing strategy, managers have control over:
their response to forces in the external market environment.
Regarding component parts,
The original equipment market and aftermarket are separate target markets. Since component parts go into finished products, a replacement market often develops. Car tires are components originally sold in the original equipment market that become consumer products in the aftermarket. Quality is important with components and requires dependable suppliers.
Marketing
applies to both profit and nonprofit organizations.
A young working couple earned $50,000 last year. Of that, they paid $16,000 in taxes and $15,000 in rent, food, insurance and other necessities. Their discretionary income for the year was:
$19,000.
Regarding gross domestic product (GDP) and gross national income (GNI):
Widely used measures of national income are GDP and GNI. GNI does not include income earned by foreigners but GDP does include foreign income. Using GDP income measures can give the impression that people in less-developed countries have more income than they really do. Both GDP and GNI are highest in more developed industrial nations.