MKTG Learnsmart Notes Ch.1-5

1. Which of the following is not a core aspect of marketing?
• Marketing must occur in a specific setting
Price
• everything the buyer gives up – money, time, and/or energy in exchange for the product
_____ is one of the elements of the 4 Ps that embodies all activities essential to get the product to the right customer when and where that customer wants it
• place, placement, distribution
place the members of a typical supply chain in order from the 1st step in the supply chain to the last from top to bottom
• supplier of raw materials
o manufacturer
• retailer selling finished goods
product
• is the part of the marketing mix that aims at creating value by providing features an benefits that meet consumers’ needs
how do marketers inform, persuade, and remind potential buyers about a product or service to influence their opinions and elicit a response?
• Using promotion
What are the 4 Ps of marketing mix?
• Product
• Price
• Place
• Promotion
Everything always has a ___ it doesn’t always have to be monetary , however this element of the 4 Ps is aimed to capture value
• price
in the marketing mix, place is expected to __ value for the customer
• deliver
promotion
• is the part of the marketing mix that communicates the value of the product to the consumer in many ways, such as advertising, social media, and PR
what are some characteristics marketers seek in potential customers
• customers who have an ability to buy the product or service
• customers who have an interest in the product
in marketing context, customers seek fair return in goods for their hard earned money to scarce time, they are seeking ___ which reflects the relations of benefits to costs
• value
during the sales-oriented era, firms found an answer to their ___ vy focusing on selling
• overproduction
in what ways can marketing impact a firm
• advises production
• develops value
which of the following are members of the supply chain
• manufacturers
• retailers
a __ is any INTANGIBLE offering that involves a performance, or effort that cannot be physically possessed
• service
when a consumer gives up money (or something of value) in order to receive something else of value its called….?
• An exchange
Successful entrepreneurs understand the marketing opportunity, sometimes referred to as the ___
• Unfilled need
Value oriented marketers measure the ___ that customers perceive against the cost of their offerings
• benefits
why is a strong supply chain important
• it helps to get merchandise to customers when and where they want it
most marketers carefully seek customers who have interest in the product they are selling as well as a __ to buy the product
• ability
value-based marketing firms implement their strategies according to what __ value
• customers
___ reflects the relationship of benefits to costs, or what you get for what you give
• value
entrepreneurs use marketing to do which of the following
• examine the marketplace
• communicate value
• combine products
firms use ___ to find opportunities to better satisfy their customers/ needs, keep costs down,, and in turn develop long-term loyalties
• customer data
the 4 Ps or marketing mix, are the __ set of activities that a firm uses to respond to the wants of its target market
• controllable
promotion can __ a product’s or service’s value
• enhance
during the sales-oriented era
• manufacturers had the capacity to produce more than consumers were able to buy
firms become value driven by focusing on which of the following activities
• building relationships
• sharing information
• balancing customer benefits and costs
which of the following adds to marketing global presence
• cheap foreign travels
• entertainment venues
• internet
B2B marketing can impact several aspects of business and society, which of the following factors are affected
• partners
• employees
• customers
a ___ orientation in the supply chain means that the participating parties do not care much about their trading partners as the merchandise passes among them
• transactional
firms must instill good service over the long term to its consumers so that it becomes part of the:
• customer excellence
which of the following are examples of strengths that might be identified in a SWOT analysis
• a strong network of retailers
• constantly innovating products
• licensing of a brand
__ is the element of the 4 ps responsible for communicating value to customers
• promotion
a metric is a ___ that quantifies a trend, dynamic, or characteristic
• measuring system
which of the following are strategies for achieving operational excellence?
• Supply chain management
• Efficient operations
Sustainable competitive advantage
• Is an advantage over the competition that is not easily copied and can be maintained over a long period of time
A marketing strategy
• Outlines what a firm plans to do to appeal to potential customers
In step 1 of planning phase, a firm
• Define the mission/vision of the business
Product excellence:
• Is when a firm focuses on having high perceived value and effective branding and positioning
Place is the component of the 4 Ps responsible for _____ value
• delivering
SWOT
• Strengths and Weaknesses
• Opportunities and Threats
Which of the following is NOT one of the 3 major phases of the marketing plan
• Organization
A firm can build a sustainable competitive advantage
• Through some business activities over a long period of time
• When it outperforms competition
Firms achieve operational excellence through….
• Efficient operations
• Excellent supply chain management
• Strong relationships with suppliers
____ is the only marketing activity that actually brings in money
• pricing
step 5 in the marketing plan process is when a firm ___ the results of the stratefy and implementation process
• evaluates
a diversification strategy introduces a ___ product or service to a new market segment
• it defines a product’s strength in a particular market
• it is the percentage of a market accounted for by a specific entity
STP:
• Segmentation
• Positioning
In portfolio analysis
• Management evaluates the firm’s various products and businesses
• Firms typically perform it at the SBU or product line level of the firm
• Management allocates its resources to products with the greatest potential to be profitable
___ is the element of the 4 Ps responsible for communicating value to customers
• promotion
with ______, the firm first divides the marketplace into subgroups, determines which of those subgroups it should pursue and finally decides how it should best position its product or service
• STP
Marketing positioning involves the process of defining the marketing mix variables so that target customers:
• Clearly understand the product’s unique benefits in comparison with competing products
Once a marketer has earned a good service reputation, it can sustain its advantage for a long time because:
• A competitor is hard pressed to develop a comparable reputation
In ___ analysis, management evaluates the firm’s various products and businesses and then allocates resources according to potential profit outlook
• Portfolio
Why do firms use metrics
• To explain why things happen
• To project the future
• To make it possible to compare results across regions, product
Examples of how firms use information from loyalty programs
• Analyzing buying habits of customers
• Tailor their offering to meet the needs of customers
• Identifying customers in advance who might stop doing business with the company
firms consider pursuing various ____ as part of their overall growth strategies
• market segments
whats true regarding price
• it may result in lower than necessary margins and profits if it is too low
• it should be based on the value that the customer perceives
• it will not generate much volume if it is too high
brand ___ means that customers are reluctant to patronize competing firms
• loyalty
market ___ is the process of dividing the market into groups of customers according to their needs, wants, or characteristics
• segmentation
product line
• is a group of products that consumers may use together or perceive as similar in some way and that the firm regards as group
a market development strategy employs the existing product offering to:
• reach new market segments
what do “opportunities” represent in SWOT
• the positive aspects of the external environment
why a firms needs a marketing plan
• to implement the marketing mix
• to explain how overall objectives will be met
• to clearly state its overall objectives
locational excellence is particularly important for…
• retailers
small business unit (SBU)
• is a division of the firm itself that can be managed and operated independently from other divisions
market penetration strategy:
• employs the existing marketing mix and focuses the firm’s efforts on increasing sales to current customers
customer excellence
• as a competitive advantage, focuses on retaining loyal buyers and offering excellent service
targeting
• the process of deciding which specific segments to pursue
relative market share is used to provide managers with a product’s
• relative strength
in portfolio analysis, ___ measures how attractive a particular market is
• market growth rate
sustainable competitive advantage
• one key to long term financial performance
step 3 in marketing planning process
• involves segmentation, targeting, and positioning
a firm can begin to implement the marketing mix IMMEDIATELT after which of the following steps?
• It has finished segmentation, targeting, and positioning
A competitive advantage based on location
• Is sustainable when real estate is difficult or expensive to obtain
3 major phases of the marketing plan are…..
• planning
• implementation
• control
value – based marketing
• requires firms to charge a price that customers perceive to be a good value for the product
an example of corporate social responsibility is when firm
• lessens the impact it has on the environment
when a company decides to take voluntary action and address ethical, social, and environmental impacts of its business, it is choosing to engage in corporate
• social responsibility
in the early days of corporate social responsibility, It was primarily ___ that were under consideration by government agencies
• products
when Kellogg’s sells nutritional products and advocates healthier lifestyles, they are actively engaging in ___ social responsibility
• corporate
in brainstorming alternatives, a firm
• considers alternative courses of action
the balancing act firms have to maintain is essentially ….
• How to put the company on the firmest footing possible
• How to protect consumers and make a profit
T/F – the short-term goals of each employee must be aligned with the long-term goals of the firm
• True
A firm’s attempt to apply sound, ethical principles must be a __ process
• Dynamic & continuous
When a company engages in CSR they must appeal to a variety of ___ who are affected by the firm. This group can include customers, employees, as well as the community
• Key stakeholders
During the __ phase of the marketing plan, marketers are identifying potential markets and must consider several ethical issues related to the product or service being delivered
• Implementation
By using the ethical decision-making framework, decision makers are more likely to:
• Include the relevant ethical issues
• Choose a course of action that will help them to avoid serious ethical lapses
• Evaluate the alternatives
T/F – firms should implement programs that are socially responsible and its employees shouldn’t act in an ethically responsible way
• False
Firms with strong ethical clients tend to be ___ socially responsible than the less-than ethical firm
• More
Stakeholders can include which of the following
• The government
• Employees
• Members of the community
The 4th step in ethical decision making is:
• Choosing a course of action
T/F: an ethical decision framework is not useful because it cant be relied on to give the manager any guidance to ethical questions
• False
Firms need to have which of the following in order to align personal and corporate goals
• A system of rewarding and punishing behavior
• A strong ethical climate
• A code of ethics
Issues that might arise in the process of ethical decision making about consumer research include:
• The data collection method used
• Whether participants in a study are informed of the real purpose
• Whether the collected data will be used to mislead or harm the public
Ethical issues related to evaluating performance can arise during the ___ phase of the marketing plan
• Control
Firms should introduce ethics:
• At the beginning of the planning process
A code of ethics:
• Is a guide that those in a certain profession agree to abide by
• Addresses universal norms of conduct and specific values for a profession or firm
• Typically deals with specific issues that arise for specific subareas
Which of the following is an example of unethical marketing practices
• Deceptive advertising
• Promoting shoddy products
What is the best way for a firm to establish a strong ethical climate
• By having a set of values that guides decision making and behavior
The first step in ethical decision making is to :
• Identify the issue
The ethical dilemma companies face is finding a way to balance
• Shareholder interests with the needs of society
Why is doing business ethically a continuous process
• Firms should always be on the lookout for ethical implications of their business decisions
In the early days of corporate social responsibility, it was primarily ___ that were under consideration by government agencies
• Products
Corporate social responsibility programs must be designed considering trends in the issues of importance to customers. Trends receiving the most current attention include
• Ensuring healthiness of products
• Respecting and protecting privacy
Today, companies are undertaking a wide range of corporate social responsibility initiatives such as:
• Supporting nonprofit groups
• Establishing charitable foundations
• Supporting minority activities
Ethical issues arise continually as __ emerge
• New markets
• New technologies
T/F – creating an ethical climate that establishes the health and well-being of consumers as the firm’s number one priority makes good business sense
• True
Marketers have the opportunity to build ___ because they interact so regularly with people in all areas, not just the corporate world
• Public trust
Top management must commit to ___ an ethical climate; employees must be dedicated to those ethical ___
• Establishing; values
Firms know that many consumers give their business to firms they perceive as socially ____ by stakeholders in order to earn their business
• Responsible
In the event a production manager realizes there are some major safety issues with the products being manufactured which of the following is the most ethical action the production manager should follow
• Stop production and fix the issue
Inappropriate groups that are not intended to be targeted could be responsive to the firms efforts. However, firms __ target these groups
• Should not
Firms must perform the ___ phase from an ethical perspective, and systems must be in place to check whether each potentially ethical issue was successfully addressed
• Control
During the planning phase, a firm can typically address ethical issues at the outset through all of the following
• Vision statement
• Credo
• Mission
During the planning phase, a firm can typically address ethical issues at the outset through all of the following EXCEPT
• Financial results
Consumers and investors increasingly want to purchase from and invest in companies that
• Act in socially responsible ways
Marketers face the difficult decision between ___ benefits for themselves and possibly the firm, and doing what is right in the ____ for the firm and society
• Short term ; long-term
If one firm in an industry decides to develop a corporate social responsibility program, its competitors are often forced to
• Develop their own CSR programs
A firm whose employees engage in honest transactions, but which does not contribute to the larger community, is:
• Ethical but not socially responsible
According to a recent survey, the vast majority of CEOs believe
• That society expects companies to engage in CSR programs
Firms that are socially responsible but unethical
• Contribute to charities but have questionably ethical sales employees
The most basic form of corporate social responsibility to employees is
• Provide a safe working environment
Advertising fall between __ and ___ in terms of general attitudes about the ethical standards of various professions
• Congress people; lawyers
A code of ethics:
• Addresses universal norms of conduct and specific values for a profession or firm
• Is a guide that those in a certain profession agree to abide by
• Typically deals with specific issues that arise for specific subareas
The ethical dilemma companies face is finding a way to balance
• Shareholder interests with the needs of society
The first step in ethical decision making is to
• Identify the issue
A firms attempt to apply sound, ethical principles must be a __ process
• Dynamic
• Continuous
When a company engages in CSR, they must appeal to a variety of __ who are affected by the firm. This group can include customers, employees, as well as the community
• Key stakeholders
Which represent an ethical problem in the marketing domain
• Promoting a shoddy product
• Advertising cigarettes to minors
Business ethics refers to:
• Moral and ethical dilemmas that might arise in a business setting
An example of corporate social responsibility is when a firm
• Lessens the negative impact it has on the environment
When Kellogg’s sells nutritional products and advocates healthier lifestyles, they are actively engaging in ___ social responsibility
• Corporate
originally, corporate social responsibility was predominantly just applied to ___ but now it has expanded in definition and application
• how the firm made its products
customers stop supporting a company when they feel
• they can no longer trust the company
• the company isn’t acting responsibly
in the implementation phase of the marketing plan, ethical issues can happen in which of the following actions
• positioning
• targeting
• segmentation
by using the ethical decision-making framework, decision makers are likely to
• choose a course of action that will help them to avoid serious ethical lapses
• evaluate the alternatives
• include the relevant ethical issues
ethics problems are likely to arise if a firm’s ___ goals do not line up with the employees _____ goals
• long-term; short term
which of the following is an example of unethical marketing practices
• deceptive advertising
• promoting shoddy products
in choosing a course of action, firms should
• investigate any potential legal issues with each option
• choose an option that uses ethical business practices
• rank options in order of preference
in brainstorming alternatives, a firm
• considers alternative courses of action
corporate social responsibility starts with
• the firm understanding its impact on its employees’ actions
firms can introduce ethics at the beginning of the planning process by:
• including ethical statements in the firm’s vision statement
ethical issues related to evaluating performance can arise during the ___ phase of the marketing plan
• control
stakeholders can include which of the following
• the government
• employees
• members of the community
firms need to have which of the following n order to align personal and corporate goals
• a code of ethics
• a strong ethical climate
• a system for rewarding and punishing behavior
a firm creates a strong ethical climate within a marketing division by having a set of ___ that guides ___
• values; decision making
T/F – firms should implement programs that are socially responsible and its employees shouldn’t act in an ethically responsible way
• False
In the early days of corporate social responsibility, it was primarily ____ that were under consideration by government agencies
• Products
Ethical issues arise continually as ___ emerge
• New technologies
• New markets
Corporate social responsibility programs must be designed considering trends in the issues of importance to customers. Trends receiving the most current attention include:
• Respecting and protecting privacy
• Ensuring healthiness of products
The third step in ethical decision making is
• Brainstorming alternatives
T/F – an ethical decision framework is not useful because it cant be relived on to give the manager any guidance to ethical questions
• False
Today, companies are undertaking a wide range of corporate social responsibility initiatives such as:
• Establishing charitable foundations
• Supporting nonprofit groups
• Supporting minority activities
T/F – in business decisions, people never have to choose between conflicting outcomes
• False
Adverting practitioners fall between __ and ___ in terms of general attitudes about the ethical standards of various professions
• Congress people; lawyers
T/F – creating an ethical climate that establishes health and well-being of consumers as the firm’s number 1 priority makes good business sense
• True
If one firm in an industry decides to develop a corporate social responsibility program, its competitors are often forced to
• Develop their own CSR programs
Which of the following is an example of a decision that would not be made by an ethical marketer who is sensitive to social issues
• Hiring child labor
Consumers and investors increasingly want to purchase from and invest in companies that
• Act in socially responsible ways
Inappropriate groups that are not intended to be targeted could be responsive to the firm’s efforts. However, firms __ target these groups
• Should not
Marketers have the opportunity to build ___ because they interact so regularly with people in all areas, not just the corporate world
• Public trust
During the planning phase, a firm can typically address ethical issues at the outset through all of the following EXCEPT:
• Financial results
Top management must commit to __ an ethical climate; employees must be dedicated to those ethical ___
• Establishing; values
The most basic form of corporate social responsibility to employees is:
• To provide a safe working environment
Firms that are socially responsible but unethical
• Contribute to charities but have questionably ethical sales employees
Marketers face the difficult decision between __ benefits for themselves and possibly the firm, and doing what is right in the ___ for the firm and society
• Short-term; long-term
Firms must perform the __ phase from an ethical perspective, and systems must be in place to check whether each potentially ethical issue was successfully addressed
• Control
Stages of the marketing planning process
a. Planning phase
b. Implementation phase
c. Control phase
According to a recent survey, the vast majority of CEOs believe
• That society expects companies to engage in CSR programs
1. At the center of all analysis of the marketing environment is the ___ and his specific behavior and attitudes
• Consumer
2. Corporate Partners
• Parties that work with the focal firm
3. When developing marketing plans, a firm should consider which of the following things about it competitors
• Likely reactions to the firms plans
4. Match the social trend with the illustrative examples provided
• Green marketing = investing in phosphate-free laundry powder
• Health and wellness concerns popularity of hand sanitizer gel
• Privacy concerns = the do not call registry for cell phones
5. Consumers in a _ _ are a group of people of the same generation having similar purchase behaviors because they have shared experiences and are in the same stage of life
• Generational cohorts
6. When interest rates are high, customers have a greater incentive to ____ more, but when interest rates are low, consumers have a greater incentive to ____
• Save ; borrow
7. Components of culture
• Meanings
• Beliefs
• Morals
• Values
• Customs of a group of people
8. Sitting within the macro-environment and related to elements of the competitive industry in which the firm operates is the ___ environment
• immediate
9. the political / regulatory environment consists of
• political parties
• government organizations
• legislation
• laws
10. macro-environmental factors include all of the following elements
• culture
• demographics
• social trends
• technological advances
• economic situation
• political/regulatory environment
11. macro-environmental factors include all of the following elements EXCEPT
• the CEO and his behavior
12. when the ways people within a particular nation refer to product categories differently from people in other parts of the nation, it is called a ___ culture
• regional
13. the most important immediate environmental factors that impact consumers are the ___ ____ and ___
• company, competition, corporate suppliers
14. which of the following are among the goals of value-based marketing
• provide greater value to consumers
• recognize consumers’ needs and wants
15. ____ are characteristics of human populations such as geneder, race, age, and income
• demographics
16. which cohort includes more than 60 million members in the US alone. It also varies in ages ranging from teenagers to young adults who ahave their own families
• gen Y
17. what are some characteristics that describe Gen X
• born between 1965-1976
• latchkey children
• represent 41 million americans
18. ______ refers to the increase in the process of goods and services
30. which of the following generational cohorts consists of people born between 1965-1976
• generation X
21. particularly in larger countries, marketers may have to respond to diverse consumer groups that refer to product categories differently, while some areas say they “go to a movie” others say they are “going to a show”. This illustrates ___ culture
• regional
22. one of the goals of ___ marketing is to provide a greater benefit relative the cost to consumers than competitors offer
• valued-based
23. a company must be able to focus on its ___ competencies as an opportunity to deliver new products to its customers
• existing
24. which of the following demographic factors can help to predict consumer buying patterns
• education attained
• income earned
25. which are the traits that best describe Baby Boomers
• born between 1946-1964
• largest population of 50+ consumers
26. _____ is when a company uses more resources advertising grenn projects versus actually spending these resources on environmentally sound practices
• greenwashing
27. which of the following industries is most likely to suffer a downturn when interest rates rise
• housing market
28. which best describe the mean income by education level for individuals over 25 years old
31. T/F – currently firms have the technology to track an item from the moment it was manufactured until it is in the hands of the consumer
• True
32. Having a broad range in incomes creates marketing opportunities at the
• BOTH: high and low end of the market
33. What are some components of a country’s culture
• Artifacts
• Behavior
• Dress
• Symbols
• Physical settings
• Ceremonies
• Languages differences
• Colors
• Tastes
• Food preferences
• What is most valued
34. Which of the following are examples of government legislation designed to protect the consumer
• Nutrition labeling and education act
• Children’s television act
• Consumer product safety act
which is the largest generational cohort since the Baby Boomers
Gen Y
35. How do demographics affect the launching of a new product
• A product may be for a specific gender
• A product may be targeted towards a specific age group or generational cohort
36. In response to the social trend of _____ the Federal Trade Commissin established the Do Not Call Registry
• Privacy concerns
37. Which of the following groups are NOT expected to experience population growth in the United States in the next 20 years
• Caucasian
38. Which of the following groups are expected to experience population growth in the United States in the next 20 years
• African American
• Hispanic
• Asian
39. What are some distinct characteristics that may be causing the increase in wealthy families
• Maturing of the general population
• increase in dual-income households
• higher overall level of education
40. which of the following firms would be the most likely to see food sales suffer as a result of inflation
• red lobster
41. marketers can use an analysis of the external and internal environments such as
• SWOT
42. Which income group’s purchasing power is growing relative to others income groups
43. A company may choose to launch the same advertising campaign globally. This particular campaign may be launched with identical pictures and messages just in different language. Advertisers might try to bridge the cultural gap by appealing to
• The same target market
______ culture is exemplified by the ways people within a particular geographic area refer to product categories differently from people in other areas of the country
Regional