Download homework_marketing_1

PM Exam 1g (16e) Ch. 1-5
True/False
Indicate whether the statement is true or false.
__T__ 1. An exchange process is an activity in which two or more parties give something of value to each other to satisfy
perceived needs.
__T__ 2. Product-oriented rather than customer-oriented management endangers the future growth of an organization.
__T__ 3. The most obvious distinction between not-for-profit organizations and for-profit firms is the focus on generating
revenues above and beyond the costs.
__T__ 4. A theater group promoting a performance to raise funds in the fight against cancer is an example of both cause
marketing and event marketing.
__F__ 5. Marketing of sporting, cultural, and recreational activities to selected target markets is known as cause marketing.
__T__ 6. The traditional view of marketing can be described as transaction-based marketing.
__T__ 7. Compared to transaction marketing, relationship marketing relies more heavily on information technologies.
__F__ 8. Information technology has enhanced the effectiveness of relationship marketing by leveraging mass-marketing
campaigns.
__F__ 9. Buzz marketing excludes visual aspects as it does not consist of a tangible expression of an issue or position.
__T__ 10. Intermediaries that operate between producers and resellers are known as wholesalers.
__T__ 11. The planning process creates a blueprint that everyone in the organization must follow in order to
achieve the organizational objectives.
__T__ 12. As the senior vice-president of marketing, Naomi will be closely involved in her firm’s strategic
planning.
____ 13. The statement of Starbucks to “inspire and nurture the human spirit – one person, one cup and one
neighborhood at a time.” is an example of a mission statement.
__T__ 14. A mission can be defined as an essential purpose that differentiates one company from others.
__T__ 15. A SWOT analysis helps planners compare internal organizational strengths and weaknesses with
external opportunities and threats.
__F__ 16. Matching an external opportunity with an internal weakness produces a situation known as leverage.
__T__ 17. A customer-driven organization begins its marketing strategy with a detailed description of its target
market.
__T__ 18. In addition to planning for change, marketers must set goals to meet the concerns of customers,
employees, shareholders, and members of the general public.
__F__ 19. The antitrust laws in the United States were designed to protect the interests of organizations having
monopoly positions.
____ 20. The success or failure of a product is independent of the competitive environment.
__T__ 21. The Sherman Antitrust Act, Clayton Act, and Federal Trade Commission Act are evidence of federal
commitment to maintaining a competitive business environment in the United States.
____ 22. The first phase of federal regulation of business was aimed at protecting competitors and included the
Robinson-Patman Act, passed in the 1930s.
____ 23. The Federal Trade Commission was established to facilitate trade by removing tariffs and other trade
barriers among Canada, Mexico, and the United States.
____ 24. During an economic recession, marketers look to emphasize value in their offerings by reducing prices
in order to help consumers stretch their budget dollars.
____ 25. Laura decided to quit her job and travel for a year. She can be considered a part of the population that is
unemployed.
__T__ 26. Colleges and universities, and other not-for-profit institutions play major roles in the development of
new technology.
____ 27. The federal government has imposed strict regulations on food advertising for children based on their
nutritional standards.
____ 28. Paying universities for the use of their logo, team name, and mascot in advertising products and services
to their students is considered ethical.
____ 29. CafeMom is a website that provides a platform for mothers and mothers-to-be to interact with each
other. The website also provides information on various topics such as parenting dilemmas, baby care,
and green living. CafeMom can be regarded as a social networking site.
____ 30. The content programmer of a social news site decides which news postings get the most prominent
display on the site.
____ 31. Microblogging allows people to communicate extensively through lengthy blog postings.
____ 32. Wonderlist is a task and note manager for mobile phones that helps users to organize “to-do” lists and
increase efficiency. Wonderlist is an app.
____ 33. Marketers direct some parts of their social media marketing efforts toward trust building in order to
facilitate the two-way conversation between the company and the consumer.
__F__ 34. The target audience for a social media marketing campaign depends on the goal of the marketing effort.
____ 35. Marketing efforts aimed at creating brand awareness will have a broader target audience compared to
those aimed at strengthening relationships with existing customers.
____ 36. The goal of content marketing is to drive the target audience toward a desired action.
____ 37. An effective social media marketing campaign should contain good keywords that the targeted audience
are most likely to search for when looking for information about goods and services.
____ 38. Comment Sniper helps companies to monitor the comments on their products and also the discussions
on online forums. Comment Sniper is an example of social media analytics tool.
__T__ 39. An online community manager is the primary decision maker who runs the firm’s social media program.
____ 40. Online marketing differs from e-marketing as online marketing encompasses digital technologies that do
not involve computers.
____ 41. A private exchange is also called c-business because of its relatively more collaborative nature.
__T__ 42. The term e-tailing refers to online retail sales.
__T__ 43. Bots are programs that aid online consumers in comparison shopping.
____ 44. The public key in the Secure Sockets Layer (SSL) technology is used to decipher encrypted information.
____ 45. A firewall is an electronic barrier between a company’s internal network and the Internet that limits
access into and out of the network.
____ 46. Phishing is the voice equivalent of vishing.
____ 47. To be successful at e-business, firms must establish and maintain competitive standards for customer
service.
____ 48. Blogs have created interest among marketers as they can be effective at quickly forming public opinion.
____ 49. Internet advertising includes banner ads, pop-up ads, and links listed with major search engines.
__F__ 50. The first step to be taken in developing a Web presence for a company is to determine the domain name
for the website.
Multiple Choice
Identify the choice that best completes the statement or answers the question.
__D__ 1. A company produces a high-quality product, with a maximum monthly output of 10,000 units. Production levels
are constant and the company relies on its marketing department to find customers for its output. This approach is
consistent with which era in marketing history?
a Production era
.
b Relationship era
.
c Marketing era
.
d Sales era
.
____
2. The emergence of the marketing concept can best be explained by:
a higher production levels.
.
b greater sophistication in the production of goods.
.
c the shift from a seller’s market to a buyer’s market.
.
d a focus on product quality.
.
____
3. The business philosophy incorporating the marketing concept that emphasizes first determining unmet consumer
needs and then designing a system for satisfying them is known as:
a customer persuasion.
.
b consumer orientation.
.
c aggressive marketing.
.
d sales orientation.
.
____
4. Which of the following is true regarding the marketing concept?
a During tough economic times, the marketing concept focuses on the objective of achiev. ing short-term profits instead of long-run success.
b The marketing concept believes that consumers will resist purchasing nonessential
. goods and services.
c The marketing concept emphasizes cutting costs and boosting revenues during tough
. economic times.
d A firm’s survival and growth are built into the marketing concept.
.
____
5. State bureaus of tourism and conventions typically engage in _____ marketing.
a organization
.
b person
.
c place
.
d
.
cause
__D__ 6. Which of the following is a combination of person, cause, and organization marketing?
a Tiger Woods’ endorsement of Nike, a sports company and Accenture, a consulting com. pany
b The Nobel Peace Prize for Al Gore for his work on global warming
.
c UNICEF’s work to improve the living conditions of children across the world
.
d Angelina Jolie’s role as a UN Goodwill Ambassador for refugees
.
____
7. Which of the following is true of relationship marketing?
a It focuses on finding new customers.
.
b It prefers not to maintain existing customers due to high costs.
.
c It does not believe in generating repeat sales.
.
d It believes in maintaining existing customers.
.
____
8. Relationship marketing focuses more attention on _____ customers because new customers are _____ to acquire
compared to existing customers.
a existing; less expensive
.
b new; less expensive
.
c existing; more expensive
.
d new; more expensive
.
____
9. Which of the following is a facilitating function of marketing?
a Buying
.
b Selling
.
c Standardization and grading
.
d Distribution
.
____ 10. Manufacturers create goods and services based on research and their belief that consumers need them. In doing
so, what marketing function are they performing?
a Financing
.
b Standardizing and grading
.
c
.
d
.
Risk taking
Physical distribution
____ 11. ADA Inc. stopped its production of oral care goods after determining apparel production to be its new
primary objective. This is a direct result of the _____ planning process at ADA Inc.
a tactical
.
b
.
c
.
d
.
research
strategic
economic
____ 12. If an automobile manufacturer was planning to introduce a sports car powered by a hydrogen-oxygen
fuel cell when the price of gasoline in the United States reached $4 per gallon, this would best be described as a direct result of its _____ plan.
a short-term
.
b
.
c
.
d
.
operational
strategic
tactical
____ 13. The U.S. Sports and Fitness Federation is determining where they should build their permanent training
facility. They want it to be located near a populated center but it must also provide ample access to those
who don’t reside in cities. The federation is engaged in _____ planning.
a strategic
.
b
.
c
.
d
.
short-term
operational
economic
____ 14. Operational planning:
a should be used to establish the fundamental strategies of the organization.
.
b is used to determine departmental rules and procedures.
.
c is the primary responsibility of the top management.
.
d should be completed at the same time the total budget is prepared.
.
____ 15. General Electric’s NBC division acquired Universal Studios and the highest executive who approved
this acquisition was most likely GE’s CEO. This decision is the direct result of _____ planning process
at GE.
a tactical
.
b
.
c
.
d
.
strategic
operational
technological
____ 16. The _____ is the organizational program for selecting a target market and satisfying customers in that
market through the marketing mix.
a operational plan
.
b
.
c
.
d
.
marketing strategy
relationship marketing approach
short-term plan
____ 17. Which of the following would qualify as an example of a firm’s weakness?
a A bill passed by the government regarding the work timings of all organizations
.
b A competitor planning to open a new branch close to the firm’s place of opera. tions
c The firm’s failure to pay its taxes on time leading to a poor reputation in the
. market
d A ban imposed on the use of animals for testing cosmetics
.
____ 18. The term marketing mix describes:
a a composite analysis of all environmental factors inside and outside the firm.
.
b a series of business decisions that aid in selling a product.
.
c the relationship between a firm's marketing strengths and its business weakness. es.
d a blend of the four strategic marketing elements to satisfy specific target markets.
.
____ 19. An international apparel manufacturer changed its pricing strategy as it entered a new market where
recessionary trends are being observed. This implies that the _____ factors of the marketing environment led the firm to change its pricing decisions.
a legal
.
b
.
c
.
d
.
political
environmental
economic
____ 20. As chief executive of Stalwart Shipfitting Company, a diversified producer of marine supplies and
equipment, John needs a method for spotting promising product lines that warrant commitment of additional resources, as well as those that should be removed from the firm's product portfolio. A good
choice for this firm at this stage would be to use:
a computer models.
.
b
.
c
.
d
.
strategic business units.
a marketing audit.
an industry analysis.
____ 21. One of General Electric’s business units produces a variety of light bulbs and generates healthy revenue.
The revenues of this business unit are used to finance the growth of other business units with higher
growth potentials. How would this unit be classified on the BCG market share/market growth matrix?
a Cash cow
.
b
.
c
.
d
.
Star
Question mark
Dog
____ 22. A pharmaceutical company that works with the Food and Drug Administration to create new regulations
is practicing:
a strategic planning.
.
b
.
c
.
d
.
environmental scanning.
marketing research.
environmental management.
____ 23. When Kevin analyzes recent data from the U.S. Census Bureau to uncover new markets for his firm’s
product, he is engaging in:
a demarketing.
.
b
.
time-based competition.
c
.
d
.
environmental scanning.
marketing management.
____ 24. Last summer, the Thomas family had to decide whether to buy a new car, go to Disney World, or
remodel their basement. They chose the vacation. This illustrates:
a that competition can be defined in terms of dissimilar products vying for a limited
. supply of discretionary buying power.
b how the most direct form of competition plays a role in a consumer’s decision
. making.
c how competition for essential items leaves unlimited discretionary funds for
. non-essentials.
d that there can be no competition among dissimilar products.
.
____ 25. Lockheed Martin won the largest military contract ever by proving it could be the first company to
develop and fly a new model plane. This illustrates the importance of _____.
a rapid prototyping of new products
.
b
.
c
.
d
.
demarketing
time-based competition
the legal environment
____ 26. Which of the following is the newest regulatory frontier for federal and state regulators in the United
States?
a Protecting competitors
.
b
.
c
.
d
.
Industry deregulation
Antimonopoly
Cyberspace
____ 27. When Jonathan was contacted by his insurance firm regarding certain medical claims he had made
recently, he realized that someone else had used his name and insurance information without his consent
to make false claims for medical services and goods. Which of the following acts will enable Jonathan to
take action against the person who stole his personal information?
a The Clayton Act
.
b
.
c
.
The Identity Theft Enforcement and Restitution Act
The Sherman Antitrust Act
d
.
The Digital Millennium Copyright Act
____ 28. Which of the following components of the marketing environment consists of factors that influence
consumer buying power and marketing strategies?
a Competitive environment
.
b
.
c
.
d
.
Cultural environment
Economic environment
Regulatory environment
____ 29. When marketers offer new products, increase their promotional efforts, and expand their distributional
limits, it is a sign of:
a low inflation and low unemployment.
.
b
.
c
.
d
.
low inflation and high unemployment.
high inflation and high unemployment.
high inflation and low unemployment.
__A__ 30. Which of the following usually indicates a strong economy?
a Growth in services such as banking and restaurants
.
b Cautious spending by businesses and consumers
.
c A focus on basic, functional products with lower price tags
.
d Increase in purchasing power coupled with uncertain consumer demand
.
____ 31. Which technology creates a common interface for data to be carried across networks between different
devices?
a IMS
.
b
.
c
.
d
.
Wi-Fi
VoIP
RFID
____ 32. Oneview is a social media platform that provides a space for its users to save, organize, and tag links of
their favorite websites. The users can also share these links with other members of the platform. Oneview is an example of a _____.
a
.
b
.
c
.
d
.
social networking site
social news site
blogging site
bookmarking site
__D__ 33. In a B2B context, businesses use social media mainly to:
a share views and make final buying decisions.
.
b learn about new goods and services.
.
c connect with the general public.
.
d build relationships, including partnerships with other companies.
.
__B__ 34. Not-for-profit organizations use social media to:
a learn about new methods of production.
.
b connect with the general public, the business community, and each other.
.
c learn about new goods and services.
.
d lobby for political gains.
.
____ 35. The content for a social media marketing campaign is said to be effective if it:
a focuses on promoting the company outright.
.
b contains detailed information about competing product offerings in the market.
.
c has a strong brand focus.
.
d presents the SMM effort as a one-way conversation, much like traditional mar. keting.
____ 36. Job seekers can use social media to improve their job prospects in the market by:
a being active on most of the social media sites.
.
b including friends and family on their LinkedIn network.
.
c accepting all LinkedIn requests in order to widen their network.
.
d being proactive on LinkedIn and connecting with people who work for compa. nies of interest.
____ 37. Jonathan, who has experience in graphics designing, was hired by a firm to oversee the look and feel of
its Facebook page. Jonathan was most likely hired as a _____.
a social media designer
.
b
.
c
.
d
.
copywriter
social media developer
brand manager
____ 38. Sharon Rice is part of a team that handles the social media marketing campaign of a company. She is
responsible for managing external engagement with customers in social media channels such as Facebook, Twitter, and other blogging sites. Sharon can be regarded as a(n) _____.
a social media designer
.
b
.
c
.
d
.
social media developer
brand manager
online community manager
____ 39. An e-business vendor who creates products, such as clothing or computers, to the exact specifications of
individual customers is practicing:
a personalization.
.
b
.
c
.
d
.
interactive marketing.
integrated marketing.
right-time marketing.
____ 40. The corporate website of a company is established with an intention to:
a sell its goods and services directly to the consumers.
.
b increase the purchase of its products by consumers by engaging them in interac. tions.
c increase the visibility of the company and promote their offerings.
.
d provide a transaction gateway for goods and services.
.
____ 41. The most important goal of a marketing website is to:
a give prospective employees the opportunity to apply for jobs online.
.
b provide financial information to investors.
.
c
.
d
.
increase purchases by visitors.
build relationships with customers.
____ 42. TechnoMarket, a retailer of consumer electronics, has its branches worldwide in around 25 countries.
The company is looking for a website that will allow it to communicate with its employees worldwide.
The website should also enable the employees to access details regarding the new products, their functionality, and their availability in the store. Which of the following will best suit this purpose?
a Private exchange
.
b
.
c
.
d
.
Extranet
Electronic storefront
Intranet
____ 43. Simply-Fyde Shopping’s website has an online catalog with the details of the products on offer. When
customers pick their choices from the list, the items are automatically populated into a(n):
a online trading database.
.
b
.
c
.
d
.
electronic shopping cart.
point-of-sale system.
Web browser.
____ 44. Aaron Corporation is an insurance firm that provides a range of consumer directed health insurance
products. The company has detailed personal information of its patients including their date of birth,
email address, health related and occupation details, and address. Which of the following types of software can the company use to protect the consumer information from hackers?
a Spyware
.
b
.
c
.
d
.
Shopbot
Webtrends Analytics
Firewall
____ 45. Seth reads an online tour journal from his favorite musician. With the help of this journal, fans can post
comments or occasionally ask questions to the musician. This online journal is an example of a(n):
a blog.
.
b
.
c
social network.
electronic bulletin board.
.
d
.
newsgroup.
____ 46. Josh is interested in mountain biking and regularly visits a specialized online service that provides
information on various topics related to mountain biking. Josh is most likely to be visiting a(n):
a corporate website.
.
b
.
c
.
d
.
podcast.
electronic bulletin board.
electronic storefront.
____ 47. A _____ is a Web page anyone can edit, so that a reader can, in addition to asking questions or posting
comments, actually make changes to the Web page.
a blog
.
b
.
c
.
d
.
wiki
tweet
news feed
____ 48. Which of the following is the most common form of Internet advertising?
a Preroll video ad
.
b Pop-up ad
.
c Search marketing
.
d Banner ad
.
____ 49. Keith is a marketer for Olympus cameras. He arranged for an agreement with a search engine whereby
Olympus would pay the search engine for listing its products among the top three results whenever a
computer user ran a search for digital cameras. This is an example of:
a integrated marketing.
.
b
.
c
.
d
.
active marketing.
search marketing.
interactive marketing.
____ 50. The first step in creating an effective website is to:
a
.
b
.
c
.
d
.
create an eye-catching home page.
establish the layout of the website.
determine the tools to be used and their graphical content.
understand the purpose of the site.