MKTG Policy and Strategy Chapter 4-5

All of the following are benefits of SWOT analysis EXCEPT:
a. It is simple to use.
b. Its structured nature ensures that data and information are correctly categorized.
c. It promotes managerial collaboration.
d. It can synthesize and integrate diverse information.
e. It can reduce costs.
Its structured nature ensures that data and information are correctly categorized.
With respect to the text’s advice in conducting a SWOT analysis, which of the following best describes “Look for Causes, Not Characteristics”?
a. Break down clichés into meaningful customer-oriented issues.
b. Refrain from conducting a single generic analysis for the entire organization.
c. Gauge the actual perceptions of customers that give rise to the firm’s strengths and weaknesses.
d. Focus on the resources possessed by the firm and/or its competitors that are the true causes for the firm’s strengths, weaknesses, opportunities, and threats.
e. Clearly differentiate internal issues from external issues.
Focus on the resources possessed by the firm and/or its competitors that are the true causes for the firm’s strengths, weaknesses, opportunities, and threats.
The failure to understand the difference between internal and external issues is one of the major reasons for a poorly conducted SWOT analysis. This happens because managers:
list their marketing options or strategies as opportunities.
Strengths are typically based on the existence and nature of the __________ possessed by the firm. Weaknesses stem from a lack of these important factors.
resources and relationships
In terms of SWOT analysis, when does a strength become a capability of the firm?
when the strength can be tied to satisfying a customer need
__________ typically occur within the competitive, customer, economic, political/legal, technological, and/or sociocultural environments of the firm.
Opportunities and threats
To successfully utilize SWOT analysis as a catalyst for strategic planning, the marketing manager must focus on several important issues. Which of the following IS NOT one of these issues?
a. The manager must look beyond the firm’s current product offerings.
b. The manager must find ways to connect the firm’s strengths to its opportunities.
c. The manager must strive to convert weaknesses into strengths.
d. The manager must attempt to minimize the firm’s limitations.
e. The manager must find ways to transform key threats into strengths.
The manager must find ways to transform key threats into strengths.
By focusing on efficiency of operations and processes, lower costs, and delivering good value, Southwest Airlines attempts to build a competitive advantage based on:
operational excellence.
Microsoft’s Windows platform dominates the market for personal computer operating systems. By continuously upgrading and stretching the technology underlying its Windows system, Microsoft is pursuing a strategy of:
product leadership.
Firms possessing certain core competencies are more likely to create competitive advantages based on these competencies. However, before a competitive advantage can be translated into specific customer benefits, the firm’s __________ must recognize that its competencies give it an advantage over the competition.
target markets
The overall concept or model that guides the firm as it weaves various marketing elements together into a coherent strategy is called its:
strategic focus.
Expansion and growth, with new products and new markets, are the keys to Google’s __________ approach to marketing strategy. Google uses this approach because it possesses many different strengths that coincide with key market opportunities.
aggressive
May firms, like the Altria Group, focus on diversification in their marketing strategies because they possess:
many internal strengths and many external threats.
As a tool of Blue Ocean Strategy, the strategy canvas provides a way to visualize the firm’s strategy relative to other firms in the industry. The central portion of the strategy canvas is the __________, or the graphic representation of the firm’s relative performance across its industry’s factors.
value curve
With regard to Blue Ocean Strategy, the Four-Actions Framework is designed to challenge traditional assumptions about marketing strategy by asking four key questions. Which of the following IS NOT one of these questions?
a. Which factors should be reduced well below the industry’s standard?
b. Which factors should be raised well above the industry’s standard?
c. Which factors should be created that the industry has never offered?
d. Which factors that the industry takes for granted should be eliminated?
e. Which factors used throughout the industry should be copied?
Which factors used throughout the industry should be copied?
Marketing goals can be defined as:
broad, qualitative statements of desired accomplishments.
Why is it important that marketing goals involve some degree of intangibility?
It makes the goal more motivational and promotes continuous improvement
Your supervisor repeatedly informs you that “Goals without objectives are essentially meaningless.” What is the rationale for such a philosophy?
Progress is impossible to track without measurable performance targets.
In the marketing strategy for Amazon, the following statement appears: Our strategy is designed to increase the percentage of repeat customers from 80 percent to 85 percent in the next 12 months. This statement is an example of a:
continuous objective.
In terms of setting goals and objectives, what is considered to be one of the major benefits gained from applying for the Malcolm Baldrige National Quality Award?
It promotes the development of discontinuous objectives.
The consumer buying process begins when:
consumers recognize that they have unsatisfied needs.
From the viewpoint of the consumer buying process, what is the difference between a need and a want?
Needs are based on discrepancies between actual and desired satisfaction, whereas wants occur relative to specific products that can fulfill a need.
With respect to the consumer buying process, __________ is perhaps the most important factor that affects the time, effort, and expense dedicated to the search for information.
the degree of risk
If a researcher were to ask consumers to quickly name the top 3 brands of computers they might consider purchasing, the most common brands in the __________ would most likely be Dell, Apple, and HP.
evoked set
After enrolling in the MBA program at Minor State University, Sheri began having second thoughts. Although MSU seemed to be a good choice based on location, reputation, and price, Sheri was not convinced she had made the right choice. Sheri is suffering from:
cognitive dissonance.
__________ is/are the primary reason why the consumer buying process varies across customers, products, and situations.
The complexity of the purchase
Each of the following statements describes a unique characteristic of the business buying process EXCEPT:
a. Business buyers have an easier time identifying their needs as compared to consumers.
b. Business buyers must be keenly aware of both hard and soft costs.
c. Groups of people, rather than individuals, often make purchase decisions.
d. Business buyers are less likely to be dependent upon each other.
e. Business buying is sometimes based on reciprocity where each firm buys products from the other.
Business buyers are less likely to be dependent upon each other.
The basic assumption of __________ is that all customers in the market have similar needs and wants that can be reasonably satisfied with a single marketing program.
mass marketing
The main advantage of __________ is specialization, as it allows the firm to focus its resources toward understanding and serving a single segment.
market concentration
Firms that sell luxury products, custom-made products, and services often take the time to significantly modify their products in an effort to precisely match the needs of individual customers. These firms are pursuing what type of approach to market segmentation?
one-to-one marketing
Advances in supply chain management now allow companies to customize products to meet the needs of individual customers on a mass scale. This individualized approach to market segmentation is called:
mass customization.
Which of the following IS NOT an example of mass customization?
a. A college creates a custom degree program to match your unique needs.
b. A customer orders a custom teddy bear from Build-A-BearWorkshop.com.
c. Dell offers fully customized computers based on your needed configuration.
d. A bank employee logs into the e-procurement system to browse a fully customized catalog of office supplies.
e. You order a customized vase of flowers from 1-800-Flowers.com.
A college creates a custom degree program to match your unique needs.
Although a market segment can meet all criteria for viability, a firm may choose to not pursue the segment. Which of the following is a reason why this might occur?
A. competitor has already targeted the segment.
B. Targeting the segment could lead to antitrust concerns.
C. The segment has no synergy with the firm’s mission.
D. The segment is difficult to reach via communication and/or distribution.
E. The segment’s members are not easily identifiable.
The segment has no synergy with the firm’s mission.
__________ segmentation is the most powerful form of segmentation in consumer markets because it uses actual product usage to make distinctions among market segments.
Behavioral
What is the key to using behavioral segmentation successfully in consumer markets?
The firm must clearly understand the basic needs and benefits sought by different consumer groups.
What type of segmentation divides consumer markets into segments using individual factors such as gender, age, income, and education?
demographic segmentation
One of the most successful and well-known tools of __________ segmentation is VALS™ developed by Strategic Business Insights.
psychographic
Which of the following IS NOT a typical basis used to segment business markets?
a. type of organization
b. organizational characteristics
c. benefits sought
d. organizational culture
e. relationship intensity
organizational culture
Firms engage in __________ when their intimate knowledge and expertise in one market allows them to offer customized marketing programs that not only deliver needed products but also provide needed solutions to customers’ problems.
market specialization
Only the largest firms can execute __________, which involves the development of multiple marketing programs to serve all customer segments simultaneously.
mass market targeting