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A Framework for Marketing Management, 5e (Kotler

)
Chapter 1 Defining Marketing for the 21st Century
1) hi!h of the following statements a"out marketing is true#
A) $t is of little importan!e when pro%u!ts are stan%ar%i&e%'
() $t !an help !reate )o"s in the e!onomy "y in!reasing %eman% for goo%s an% ser*i!es'
C) $t helps to "uil% a loyal !ustomer "ase "ut has no impa!t on a firm+s intangi"le assets'
D) $t is more important for "igger organi&ations than smaller ones'
,) $t is sel%om use% "y nonprofit organi&ations'
Answer- (
.age /ef- 2
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Diffi!ulty- ,asy
2) 11111111 goo%s !onstitute the "ulk of most !ountries+ pro%u!tion an% marketing efforts'
A) Dura"le
() $mpulse
C) .hysi!al
D) 2u3ury
,) $ntangi"le
Answer- C
.age /ef- 4
0")e!ti*e- 2
Diffi!ulty- ,asy
4) Car rental firms, hair %ressers, an% management !onsultants pro*i%e 11111111'
A) goo%s
() e3perien!es
C) e*ents
D) ser*i!es
,) information
Answer- D
.age /ef- 4
0")e!ti*e- 2
AAC5(- Analyti! 5kills
Diffi!ulty- ,asy
1
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9) :he 5o!!er orl% Cup is promote% aggressi*ely to "oth !ompanies an% fans' :his is an
e3ample of marketing a(n) 11111111'
A) i%ea
() pla!e
C) lu3ury item
D) e*ent
,) ser*i!e
Answer- D
.age /ef- 4
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Diffi!ulty- Mo%erate
5) :he ;Malaysia, :ruly Asia; a% !ampaign that show!ase% Malaysia+s "eautiful lan%s!ape an%
its multi!ultural so!iety in or%er to attra!t tourists is an e3ample of 11111111 marketing'
A) e*ent
() property
C) ser*i!e
D) pla!e
,) i%ea
Answer- D
.age /ef- 4
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AAC5(- Analyti! 5kills
Diffi!ulty- Mo%erate
<) $n alt Disney+s Magi! King%om, !ustomers !an *isit a fairy king%om, a pirate ship, or e*en a
haunte% house' Disney is marketing a(n) 11111111'
A) e3perien!e
() ser*i!e
C) e*ent
D) organi&ation
,) goo%
Answer- A
.age /ef- 4
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AAC5(- Analyti! 5kills
Diffi!ulty- ,asy
2
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=) 11111111 are "asi! human re>uirements, while 11111111 are the ways in whi!h those
re>uirements are satisfie%'
A) ants? nee%s
() Deman%s? wants
C) @ee%s? wants
D) @ee%s? %eman%s
,) Deman%s? nee%s
Answer- C
.age /ef- 5
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Diffi!ulty- ,asy
A) hen Frank "uys his own house, he woul% like to ha*e a home theater system an% a )a!u&&i'
8e plans to sa*e enough money in the ne3t three years so that he !an fulfill his wish' Frank+s
%esire for the home theater an% the )a!u&&i is an e3ample of a(n) 11111111'
A) nee%
() want
C) %eman%
D) unstate% nee%
,) latent %eman%
Answer- (
.age /ef- 5
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AAC5(- Analyti! 5kills
Diffi!ulty- Mo%erate
B) hen !ompanies measure the num"er of people who are willing an% a"le to "uy their
pro%u!ts, they are measuring 11111111'
A) %eman%
() pri!e elasti!ity
C) real nee%s
D) stan%ar% of li*ing
,) %isposa"le in!ome
Answer- A
.age /ef- 5
0")e!ti*e- 4
Diffi!ulty- Mo%erate
4
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17) A(n) 11111111 nee% is one that the !onsumer is relu!tant or unwilling to e3pli!itly *er"ali&e'
A) se!on%ary
() unstate%
C) %elight
D) se!ret
,) state%
Answer- D
.age /ef- <
0")e!ti*e- 4
Diffi!ulty- Mo%erate
11) A(n) 11111111 nee% is a nee% that the !onsumer e3pli!itly *er"ali&es'
A) state%
() affirmati*e
C) unsought
D) %elight
,) se!ret
Answer- A
.age /ef- 5
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Diffi!ulty- Mo%erate
12) Companies a%%ress nee%s "y putting forth a 11111111, a set of "enefits that they offer to
!ustomers to satisfy their nee%s'
A) "ran%
() *alue proposition
C) %eal
D) marketing plan
,) %eman%
Answer- (
.age /ef- <
0")e!ti*e- 4
Diffi!ulty- Mo%erate
14) During market segmentation analysis, the marketer i%entifies whi!h segments present the
greatest opportunity' :hese segments are !alle% 11111111'
A) target markets
() !apital markets
C) tertiary markets
D) %emographi! markets
,) %e*eloping markets
Answer- A
.age /ef- <
0")e!ti*e- 4
Diffi!ulty- Mo%erate
9
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19) ________ refle!ts a !ustomer+s )u%gment of a pro%u!t+s performan!e in relation to his or her
e3pe!tations'
A) (ran% e>uity
() 5atisfa!tion
C) Calue
D) .er!eption
,) (ran% image
Answer- (
.age /ef- <
0")e!ti*e- 4
Diffi!ulty- ,asy
15) :he *alue of an offering is %es!ri"e% as 11111111'
A) the pri!e !onsumers are !harge% for a pro%u!t
() the !ost of manufa!turing a pro%u!t
C) the %egree to whi!h !onsumer %eman% for a pro%u!t is positi*e
D) the sum of the tangi"le an% intangi"le "enefits an% !osts to !ustomers
,) the intangi"le "enefits gaine% from a pro%u!t
Answer- D
.age /ef- <
0")e!ti*e- 4
Diffi!ulty- Mo%erate
1<) hen Col*o runs a%s suggesting that its !ars are the safest that money !an "uy, it is trying to
11111111'
A) segment the market
() pro*i%e a ser*i!e
C) enter into a new market
D) %e*elop "ran% loyalty
,) position its pro%u!t
Answer- ,
.age /ef- <
0")e!ti*e- 4
AAC5(- Analyti! 5kills
Diffi!ulty- Mo%erate
1=) $f a marketer uses warehouses, transportation !ompanies, "anks, an% insuran!e !ompanies to
fa!ilitate transa!tions with potential "uyers, the marketer is using a 11111111'
A) ser*i!e !hannel
() %istri"ution !hannel
C) !ommuni!ation !hannel
D) relationship !hannel
,) stan%ar%i&e% !hannel
Answer- A
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Diffi!ulty- Mo%erate
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1A) :he 11111111 is the !hannel stret!hing from raw materials to !omponents to final pro%u!ts
that are !arrie% to final "uyers'
A) !ommuni!ation !hannel
() %istri"ution !hannel
C) supply !hain
D) ser*i!e !hain
,) marketing !hain
Answer- C
.age /ef- =
0")e!ti*e- 4
Diffi!ulty- ,asy
1B) :he a!tual an% potential ri*al offerings an% su"stitutes that a "uyer might !onsi%er are
referre% to as the 11111111'
A) supply !hain
() glo"al market
C) *alue proposition
D) !ompetition
,) marketing en*ironment
Answer- D
.age /ef- =
0")e!ti*e- 4
Diffi!ulty- ,asy
27) :he 11111111 in!lu%es the a!tors in*ol*e% in pro%u!ing, %istri"uting, an% promoting an
offering' :he main a!tors are the !ompany, suppliers, %istri"utors, %ealers, an% the target
!ustomers'
A) e!onomi! en*ironment
() management en*ironment
C) strategi! en*ironment
D) task en*ironment
,) ta!ti!al en*ironment
Answer- D
.age /ef- =
0")e!ti*e- 4
AAC5(- Analyti! 5kills
Diffi!ulty- Mo%erate
<
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21) $n an attempt to !reate greater !ompetition an% growth opportunities, !ountries often
11111111'
A) in!rease tra%e "arriers
() prote!t in%ustries
C) %eregulate in%ustries
D) en!ourage interme%iation
,) re%u!e pri*ati&ation
Answer- C
.age /ef- =DA
0")e!ti*e- 9
AAC5(- Multi!ultural an% %i*ersity un%erstan%ing
Diffi!ulty- Mo%erate
22) /ising promotion !osts an% shrinking profit margins are the result of 11111111'
A) new an% impro*e% te!hnology
() %isinterme%iation
C) in%ustry !on*ergen!e
D) pri*ati&ation
,) heightene% !ompetition
Answer- ,
.age /ef- A
0")e!ti*e- 9
Diffi!ulty- Mo%erate
24) $n%ustry "oun%aries are "lurring rapi%ly as !ompanies i%entify new opportunities at the
interse!tion of two or more in%ustries' :his is !alle% 11111111'
A) glo"ali&ation
() !ustomi&ation
C) in%ustry !on*ergen!e
D) %isinterme%iation
,) pri*ati&ation
Answer- C
.age /ef- A
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Diffi!ulty- ,asy
29) :he su!!ess of online pur!hasing resulte% in 11111111 in the %eli*ery of pro%u!ts an%
ser*i!es "y inter*ening in the tra%itional flow of goo%s through %istri"ution !hannels'
A) %isinterme%iation
() %i*ersifi!ation
C) re%u!e% !ompetition
D) %eregulation
,) pri*ati&ation
Answer- A
.age /ef- A
0")e!ti*e- 9
Diffi!ulty- Mo%erate
=
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25) $n response to threats from su!h !ompanies as A02, Ama&on'!om, EahooF, e(ay,
,G:/AD,, an% %o&ens of others, esta"lishe% manufa!turers an% retailers "e!ame ;"ri!kDan%D
!li!k; oriente% "y a%%ing online ser*i!es to their e3isting offerings' :his pro!ess is known as
11111111'
A) reinterme%iation
() %isinterme%iation
C) retail transformation
D) eD!olla"oration
,) newDmarket syn!hroni&ation
Answer- A
.age /ef- A
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Diffi!ulty- Mo%erate
2<) hen e(ay an% Ama&on'!om !ut out the ma)ority of mi%%lemen that normally woul%
parti!ipate in the e3!hange pro!ess, it is an e3ample of 11111111'
A) %eregulation
() re*erse au!tioning
C) reinterme%iation
D) %isinterme%iation
,) %i*ersifi!ation
Answer- D
.age /ef- A
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AAC5(- Hse of information te!hnology
Diffi!ulty- Mo%erate
2=) Disinterme%iation *ia the $nternet has resulte% in 11111111'
A) higher pri!es
() stronger "ran% loyalty
C) greater emphasis on personal selling
D) wellDesta"lishe% "ran% names
,) greater !onsumer "uying power
Answer- ,
.age /ef- A
0")e!ti*e- 9
AAC5(- Hse of information te!hnology
Diffi!ulty- Mo%erate
A
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2A) ,a!h of the following is true a"out the $nternet+s impa!t on the way "usiness is !on%u!te%
to%ay, ,IC,.: one' $%entify the e3!eption'
A) $t has fa!ilitate% highDspee% !ommuni!ation among employees'
() $t has empowere% !onsumers with easy a!!ess to information'
C) $t !an "e use% as a powerful sales !hannel'
D) $t has fa!ilitate% mass marketing "ut not the sale of !ustomi&e% pro%u!ts'
,) $t ena"les marketers to use so!ial me%ia to a%*ertise their pro%u!ts'
Answer- D
.age /ef- A
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AAC5(- Hse of information te!hnology
Diffi!ulty- ,asy
2B) Kotler an% Casoline suggeste% eight fa!tors that marketers must keep in min% in or%er to %eal
with risk an% un!ertainty' hi!h of the following statements are they most likely to agree with
when the en*ironment is un!ertain#
A) Companies shoul% "e prepare% to implement a% ho! strategies whene*er re>uire%'
() Companies shoul% push aggressi*ely for the market share of their !ompetitors'
C) Companies shoul% fo!us less on their !ore segments, an% more on new target markets'
D) Companies shoul% not in!rease marketing "u%gets in times of un!ertainty'
,) Companies shoul% fo!us an% impro*e their marginal "ran%s'
Answer- (
.age /ef- B
0")e!ti*e- 9
Diffi!ulty- Mo%erate
47) hat are !ustomer tou!h points#
A) all aspe!ts of the offering that %ire!tly affe!t !onsumer preferen!es
() all nee%s an% wants of !ustomers
C) all %ire!t or in%ire!t intera!tions "etween the !ustomer an% the !ompany
D) all intera!tions "etween !ustomers an% !ompetitors
,) all fa!tors that affe!t "uying "eha*ior
Answer- C
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Diffi!ulty- Mo%erate
B
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41) hi!h of the following hol%s that !onsumers prefer pro%u!ts that are wi%ely a*aila"le an%
ine3pensi*e#
A) the pro%u!t !on!ept
() the pro%u!tion !on!ept
C) the selling !on!ept
D) the performan!e !on!ept
,) the marketing !on!ept
Answer- (
.age /ef- B
0")e!ti*e- 9
Diffi!ulty- Mo%erate
42) :he 11111111 !on!ept hol%s that !onsumers will fa*or offerings with the "est >uality,
performan!e, or inno*ati*e features'
A) pro%u!t
() marketing
C) pro%u!tion
D) selling
,) holisti! marketing
Answer- A
.age /ef- B
0")e!ti*e- 9
Diffi!ulty- ,asy
44) hi!h of the following !ategories of goo%s an% ser*i!es is most likely to re>uire an
aggressi*e use of the selling !on!ept#
A) shopping goo%s
() unsought goo%s
C) ne!essary goo%s
D) lu3ury goo%s
,) !omplementary goo%s
Answer- (
.age /ef- B
0")e!ti*e- 9
AAC5(- Analyti! 5kills
Diffi!ulty- Mo%erate
17
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49) As a ma)or steel manufa!turer, 5teelMakers $n!' fo!uses on ha*ing the most effi!ient
manufa!turing pro!esses in pla!e' :he !ompany "elie*es that its !ompetiti*e e%ge lies in its
a"ility to offer the "est pri!es' :hey also maintain an e3!ellent %istri"ution network that ensures
wi%e a*aila"ility of their pro%u!ts' 5teelMakers has a 11111111'
A) selling orientation
() pro%u!tion orientation
C) pro%u!t orientation
D) marketing orientation
,) so!ial orientation
Answer- (
.age /ef- B
0")e!ti*e- 9
AAC5(- Analyti! 5kills
Diffi!ulty- Mo%erate
45) e"ma3 $n!' pro%u!e% an% markete% !ameras' After !onsi%era"le resear!h an% %e*elopment,
they %e*elope% a new %igital !amera that ha% an array of new features' e"ma3 was so sure
a"out the new offering that they e*en re%u!e% their marketing "u%get' hat sort of orientation
%oes e"ma3 ha*e towar% the marketpla!e#
A) pro%u!tion orientation
() pro%u!t orientation
C) selling orientation
D) marketing orientation
,) holisti! marketing orientation
Answer- (
.age /ef- B
0")e!ti*e- 9
AAC5(- Analyti! 5kills
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4<) /i!k Johnson trains his !ompany+s sales for!e to go after the !onsumer' 8e repeate%ly asks
his team to "ear in min% the essential fa!t that it is the sales team+s responsi"ility to rouse the
!onsumer+s interest an% make him feel that he nee%s the pro%u!t' A true salesman is one who !an
!on*ert an in%ifferent !onsumer walking into the store into a new !ustomer' Johnson "elie*es in
the 11111111 !on!ept'
A) pro%u!t
() pro%u!tion
C) selling
D) marketing
,) so!ial responsi"ility
Answer- C
.age /ef- B
0")e!ti*e- 9
AAC5(- Analyti! 5kills
Diffi!ulty- Mo%erate
11
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4=) Marketers at Johnny $n!' "elie*e in putting their !ustomers ahea% of e*erything else' :heir
pro%u!ts are !arefully %esigne% to meet !ustomer re>uirements an% the entire fo!us is on
a!hie*ing !ustomer satisfa!tion' Johnny $n!' follows the 11111111 !on!ept in %oing "usiness'
A) pro%u!tion
() pro%u!t
C) selling
D) marketing
,) so!ial responsi"ility
Answer- D
.age /ef- 17
0")e!ti*e- 9
AAC5(- Analyti! 5kills
Diffi!ulty- Mo%erate
4A) :he 11111111 !on!ept hol%s that !onsumers an% "usinesses, if left alone, will or%inarily not
"uy enough of the organi&ation+s pro%u!ts'
A) pro%u!tion
() selling
C) marketing
D) pro%u!t
,) holisti! marketing
Answer- (
.age /ef- B
0")e!ti*e- 9
Diffi!ulty- ,asy
4B) :he marketing !on!ept hol%s that 11111111'
A) a firm shoul% fin% the right pro%u!ts for its !ustomers, an% not the right !ustomers for its
pro%u!ts
() !ustomers who are !oa3e% into "uying a pro%u!t will most likely "uy it again
C) a new pro%u!t will not "e su!!essful unless it is pri!e%, %istri"ute%, an% sol% properly
D) !onsumers an% "usinesses, if left alone, won+t "uy enough of the organi&ation+s pro%u!ts
,) a "etter pro%u!t will "y itself lea% people to "uy it without mu!h effort from the sellers
Answer- A
.age /ef- 17
0")e!ti*e- 9
Diffi!ulty- Mo%erate
12
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97) 11111111 is "ase% on the %e*elopment, %esign, an% implementation of marketing programs,
pro!esses, an% a!ti*ities that re!ogni&e their "rea%th an% inter%epen%en!ies'
A) @i!he marketing
() 8olisti! marketing
C) /elationship marketing
D) 5upply !hain marketing
,) Deman%D!entere% marketing
Answer- (
.age /ef- 17
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AAC5(- /efle!ti*e :hinking
Diffi!ulty- Mo%erate
91) hat are the four "roa% !omponents of holisti! marketing#
A) relationship, internal, position, an% performan!e marketing
() integrate%, internal, position, an% performan!e marketing
C) relationship, integrate%, internal, an% performan!e marketing
D) integrate%, relationship, so!ial responsi"ility, an% position marketing
,) relationship, so!ial responsi"ility, internal, an% performan!e marketing
Answer- C
.age /ef- 17
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Diffi!ulty- Mo%erate
92) 11111111 marketing aims to "uil% mutually satisfying longDterm !olla"oration with key
!onstituents, su!h as !ustomers, employees, suppliers, %istri"utors, an% other marketing partners,
in or%er to earn an% retain their "usiness'
A) $ntegrate%
() Deman%D"ase%
C) Dire!t
D) /elationship
,) $nternal
Answer- D
.age /ef- 11
0")e!ti*e- 9
Diffi!ulty- ,asy
14
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94) :he ultimate out!ome of relationship marketing is a uni>ue !ompany asset !alle% the
11111111, !onsisting of the !ompany an% its supporting stakehol%ers'
A) "ran%
() supply !hain
C) marketing network
D) *alue proposition
,) ser*i!e !hannel
Answer- C
.age /ef- 11
0")e!ti*e- 9
Diffi!ulty- Mo%erate
99) hi!h of the following is most !onsistent with the integrate% marketing approa!h#
A) A goo% pro%u!t will sell itself'
() $f left alone, !onsumers are in!line% to pur!hase only ine3pensi*e pro%u!ts'
C) All !ommuni!ation to !onsumers must %eli*er a !onsistent message irrespe!ti*e of the
me%ium'
D) $n or%er to su!!ee%, the main fo!us shoul% "e on ha*ing an effi!ient pro%u!tion pro!ess in
pla!e'
,) 0nline marketing is less important than tra%itional marketing efforts'
Answer- C
.age /ef- 11
0")e!ti*e- 9
Diffi!ulty- Mo%erate
95) hi!h aspe!t of holisti! marketing moti*ates employees an% ensures that e*eryone in the
organi&ation em"ra!es appropriate marketing prin!iples, espe!ially senior management#
A) relationship marketing
() integrate% marketing
C) internal marketing
D) network marketing
,) performan!e marketing
Answer- C
.age /ef- 11
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AAC5(- Analyti! 5kills
Diffi!ulty- Mo%erate
19
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9<) Finan!ial a!!ounta"ility an% so!ial responsi"ility marketing are elements of 11111111'
A) performan!e marketing
() relationship marketing
C) internal marketing
D) so!ial marketing
,) mass marketing
Answer- A
.age /ef- 12
0")e!ti*e- 9
Diffi!ulty- Mo%erate
9=) Companies are re!ogni&ing that mu!h of their market *alue !omes from 11111111,
parti!ularly their "ran%s, !ustomer "ase, employees, %istri"utor an% supplier relations, an%
intelle!tual !apital'
A) *aria"le assets
() *alue propositions
C) intangi"le assets
D) market offerings
,) in%ustry !on*ergen!e
Answer- C
.age /ef- 12
0")e!ti*e- 9
AAC5(- /efle!ti*e :hinking
Diffi!ulty- ,asy
9A) :he 11111111 hol%s that the organi&ation+s task is to %etermine the nee%s, wants, an%
interests of target markets an% to %eli*er the %esire% satisfa!tions more effe!ti*ely an% effi!iently
than !ompetitors in a way that preser*es or enhan!es the !onsumer+s an% the so!iety+s wellD"eing'
A) selling !on!ept
() integrate% marketing !on!ept
C) so!ial responsi"ility marketing !on!ept
D) pro%u!tion !on!ept
,) relationship marketing !on!ept
Answer- C
.age /ef- 12
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AAC5(- Analyti! 5kills
Diffi!ulty- ,asy
15
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9B) Joanna owns a !hain of fastDfoo% )oints' As the !hain "e!ame more an% more su!!essful, she
%e!i%e% to !ontri"ute a share of her profits ea!h year to support !an!er resear!h' :his is an
e3ample of 11111111'
A) !orporate !ommunity in*ol*ement
() en*ironmental marketing
C) !auseDrelate% marketing
D) "enefit marketing
,) responsi"le marketing
Answer- C
.age /ef- 14
0")e!ti*e- 9
AAC5(- Analyti! 5kills
Diffi!ulty- Mo%erate
57) M!Carthy !lassifie% marketing a!ti*ities into the four .s of the marketing mi3' :hese four .s
stan% for 11111111'
A) pro%u!t, positioning, pla!e, an% pri!e
() pro%u!t, pro%u!tion, pri!e, an% pla!e
C) promotion, pla!e, positioning, an% pri!e
D) pla!e, promotion, pro%u!tion, an% positioning
,) pro%u!t, pri!e, promotion, an% pla!e
Answer- ,
.age /ef- 14
0")e!ti*e- 9
Diffi!ulty- ,asy
51) $n!orporating the holisti! *iew of marketing, the four .s of the marketing mi3 !an "e
up%ate% to 11111111'
A) pro%u!t, positioning, people, an% pri!e
() people, pro!esses, pla!e, an% promotion
C) pro%u!t, pro!esses, pri!e, an% people
D) people, pro!esses, programs, an% performan!e
,) pro%u!t, pri!e, promotion, an% people
Answer- D
.age /ef- 14
0")e!ti*e- 9
AAC5(- Multi!ultural an% %i*ersity un%erstan%ing
Diffi!ulty- Mo%erate
1<
Copyright 6 2712 .earson ,%u!ation, $n!' .u"lishing as .renti!e 8all
52) hi!h of the following refle!ts the ;people; !omponent of the marketing mi3#
A) the !reati*ity, %is!ipline, an% stru!ture "rought to marketing management
() the %e*elopment of new pro%u!ts "y the marketers
C) the firm+s !onsumerD%ire!te% a!ti*ities
D) the right set of pro!esses to gui%e a!ti*ities an% programs within the firm
,) the internal marketing of the firm
Answer- ,
.age /ef- 19
0")e!ti*e- 9
AAC5(- /efle!ti*e :hinking
Diffi!ulty- Mo%erate
54) hi!h of the four new .s en!ompasses the ol% four .s as well as a range of other marketing
a!ti*ities that might not fit well into the ol% *iew of marketing#
A) programs
() pro!esses
C) promotion
D) people
,) performan!e
Answer- A
.age /ef- 19
0")e!ti*e- 9
Diffi!ulty- Mo%erate
59) At the heart of any marketing program is the firm+s 11111111, its tangi"le offering to the
market'
A) strategy
() pro%u!t
C) "ran%
D) *alue
,) people
Answer- (
.age /ef- 19
0")e!ti*e- 5
Diffi!ulty- ,asy
55) 11111111 a!ti*ities in!lu%e those the !ompany un%ertakes to make the pro%u!t a!!essi"le
an% a*aila"le to target !ustomers'
A) 2ine e3tension
() 5egmentation
C) Marketing resear!h
D) Channel
,) @ewDpro%u!t %e*elopment
Answer- D
.age /ef- 15
0")e!ti*e- 5
Diffi!ulty- Mo%erate
1=
Copyright 6 2712 .earson ,%u!ation, $n!' .u"lishing as .renti!e 8all
5<) A short %efinition of marketing is ;meeting nee%s profita"ly';
Answer- :/H,
.age /ef- 2
0")e!ti*e- 2
AAC5(- Analyti! 5kills
Diffi!ulty- ,asy
5=) :he H'5' e!onomy to%ay !onsists of a =7D47 ser*i!esDtoDgoo%s mi3'
Answer- :/H,
.age /ef- 4
0")e!ti*e- 2
Diffi!ulty- Mo%erate
5A) .roperties are tangi"le rights of ownership to either real property (real estate) or finan!ial
property (sto!ks an% "on%s)'
Answer- FA25,
.age /ef- 4
0")e!ti*e- 2
Diffi!ulty- ,asy
5B) ;Frien%s Don+t 2et Frien%s Dri*e Drunk,; is an e3ample of marketing information to an
intereste% au%ien!e'
Answer- FA25,
.age /ef- 9
0")e!ti*e- 2
AAC5(- /efle!ti*e :hinking
Diffi!ulty- Mo%erate
<7) 5hops an% stores ha*e a physi!al e3isten!e an% as su!h are e3amples of marketspa!e'
Answer- FA25,
.age /ef- 9
0")e!ti*e- 2
AAC5(- Hse of information te!hnology
Diffi!ulty- ,asy
<1) ants are "asi! human re>uirements, su!h as foo% an% shelter'
Answer- FA25,
.age /ef- 5
0")e!ti*e- 4
Diffi!ulty- ,asy
<2) Deman%s are wants for spe!ifi! pro%u!ts "a!ke% "y an a"ility to pay'
Answer- :/H,
.age /ef- 5
0")e!ti*e- 4
AAC5(- Analyti! 5kills
Diffi!ulty- ,asy
1A
Copyright 6 2712 .earson ,%u!ation, $n!' .u"lishing as .renti!e 8all
<4) :he !ustomer *alue tria% !onsists of a !om"ination of >uality, %ura"ility, an% pri!e'
Answer- FA25,
.age /ef- <
0")e!ti*e- 4
AAC5(- Analyti! 5kills
Diffi!ulty- Mo%erate
<9) A %istri"ution !hannel in!lu%es %istri"utors, wholesalers, retailers, an% agents that %isplay,
sell, or %eli*er the physi!al pro%u!t or ser*i!e(s) to the "uyer or user'
Answer- :/H,
.age /ef- <
0")e!ti*e- 4
Diffi!ulty- ,asy
<5) :he task en*ironment of a firm !onsists of %emographi!, e!onomi!, natural, an%
te!hnologi!al en*ironments, as well as the politi!alDlegal system an% the so!ialD!ultural arena'
Answer- FA25,
.age /ef- =
0")e!ti*e- 4
AAC5(- Analyti! 5kills
Diffi!ulty- Mo%erate
<<) /egulation of in%ustries has !reate% greater !ompetition an% growth opportunities "e!ause
the playing fiel% has "een le*ele%'
Answer- FA25,
.age /ef- =DA
0")e!ti*e- 9
AAC5(- /efle!ti*e :hinking
Diffi!ulty- ,asy
<=) Companies !an fa!ilitate an% spee% e3ternal !ommuni!ation among !ustomers "y !reating
online an% offline ;"u&&; through "ran% a%*o!ates an% user !ommunities'
Answer- :/H,
.age /ef- A
0")e!ti*e- 9
Diffi!ulty- Mo%erate
<A) :he selling !on!ept hol%s that !onsumers will fa*or those pro%u!ts that offer the most
>uality, performan!e, or inno*ati*e features'
Answer- FA25,
.age /ef- B
0")e!ti*e- 9
AAC5(- Analyti! 5kills
Diffi!ulty- Mo%erate
1B
Copyright 6 2712 .earson ,%u!ation, $n!' .u"lishing as .renti!e 8all
<B) /elationship marketing aims to "uil% mutually satisfying longDterm relationships with key
parties'
Answer- :/H,
.age /ef- 11
0")e!ti*e- 9
Diffi!ulty- ,asy
=7) 0ne of the key themes of integrate% marketing is that there are *ery few marketing a!ti*ities
that !an effe!ti*ely !ommuni!ate an% %eli*er *alue'
Answer- FA25,
.age /ef- 11
0")e!ti*e- 9
AAC5(- /efle!ti*e :hinking
Diffi!ulty- Mo%erate
=1) .roponents of holisti! marketing !onsi%er internal marketing to "e as important as marketing
to !onsumers'
Answer- :/H,
.age /ef- 11
0")e!ti*e- 9
AAC5(- /efle!ti*e :hinking
Diffi!ulty- Mo%erate
=2) $ntegrate% marketing is the task of hiring, training, an% moti*ating a"le employees who want
to ser*e !ustomers well'
Answer- FA25,
.age /ef- 11
0")e!ti*e- 9
Diffi!ulty- ,asy
=4) .erforman!e marketing in*ol*es re*iewing metri!s assessing market share, !ustomer loss
rate, !ustomer satisfa!tion, an% pro%u!t >uality in the e*aluation of the effe!ti*eness of
marketing a!ti*ities'
Answer- :/H,
.age /ef- 12
0")e!ti*e- 9
Diffi!ulty- Mo%erate
=9) CauseDrelate% marketing in*ol*es %onating a per!entage of re*enues to a spe!ifi! !ause
"ase% on the re*enue o!!urring %uring the announ!e% perio% of support'
Answer- :/H,
.age /ef- 14
0")e!ti*e- 9
AAC5(- Analyti! 5kills
Diffi!ulty- Mo%erate
27
Copyright 6 2712 .earson ,%u!ation, $n!' .u"lishing as .renti!e 8all
=5) Making gifts of money, goo%s, or time to help nonprofit organi&ations, groups, or in%i*i%uals
is known as !orporate philanthropy'
Answer- :/H,
.age /ef- 14
0")e!ti*e- 9
Diffi!ulty- ,asy
=<) Marketers are in*ol*e% in marketing 17 types of entities' 2ist an% "riefly !hara!teri&e these
entities'
Answer- :he types of entities that are markete% are (1) goo%sKphysi!al goo%s, (2) ser*i!esK
hotels an% !ar rental ser*i!es, (4) e*entsKtimeD"ase% e*ents su!h as tra%e shows, (9)
e3perien!esKalt Disney+s Magi! King%om, (5) personsK!ele"rity marketing, (<) pla!esK!ities,
states, regions, an% e*en whole nations, (=) propertiesKintangi"le rights of ownership of either
real property or finan!ial property, (A) organi&ationsK!orporate i%entity, (B) informationK
information pro%u!e% an% markete% as a pro%u!t, an% (17) i%easKmarketing the "asi! i%ea of a
market offering'
.age /ef- 4D9
0")e!ti*e- 2
AAC5(- Analyti! 5kills
Diffi!ulty- Mo%erate
==) A!!or%ing to 5tar"u!ks Chairman 8owar% 5!hult&, ;Consumers now !ommonly engage in a
!ultural au%it of Lpro%u!t an% ser*i!eM pro*i%ers' .eople want to know your *alue an% ethi!s
%emonstrate% "y how you treat employees, the !ommunity in whi!h you operate'; Dis!uss the
!on!ept of so!ial responsi"ility marketing an% how it impa!ts "oth !ompanies an% !onsumers'
Answer- :he so!ial responsi"ility marketing !on!ept hol%s that the organi&ation+s task is to
%etermine the nee%s, wants, an% interests of target markets an% to %eli*er the %esire% satisfa!tion
more effe!ti*ely an% effi!iently than !ompetitors in a way that preser*es or enhan!es the
!onsumer+s an% so!iety+s longDterm wellD"eing' Many !ompanies a!ti*ely engage% in !orporate
so!ial responsi"ility !ampaigns to "oth moti*ate employees an% attra!t !onsumers' As goo%s
"e!ome more !ommo%iti&e%, an% as !onsumers grow more so!ially !ons!ious, some !ompanies
are a%%ing so!ial responsi"ility as a way to %ifferentiate themsel*es from !ompetitors, "uil%
!onsumer preferen!e, an% a!hie*e nota"le sales an% profit gains' :hey "elie*e !ustomers will
in!reasingly look for signs of goo% !orporate !iti&enship'
.age /ef- 12
0")e!ti*e- 9
AAC5(- ,thi!al /easoning
Diffi!ulty- Mo%erate
21
Copyright 6 2712 .earson ,%u!ation, $n!' .u"lishing as .renti!e 8all
=A) $%entify an% %efine the tra%itional four .s' Also i%entify the new four .s an% the reason for
%e*eloping the new interpretation'
Answer- :he tra%itional four .s are- .ro%u!t (pro%u!t *ariety, >uality, %esign, features, "ran%
name, pa!kaging, si&es, ser*i!es, warranties, returns), .ri!e (list pri!e, %is!ounts, allowan!es,
payment perio%, !re%it terms), .romotion (sales promotion, a%*ertising, sales for!e, pu"li!
relations, %ire!t marketing), an% .la!e (!hannels, !o*erage, assortments, lo!ations, in*entory,
transportation)' 8owe*er, gi*en the "rea%th, !omple3ity, an% ri!hness of marketing, as
e3emplifie% "y holisti! marketing, these 9 .s are not the whole story any more' Hp%ating them to
refle!t the holisti! marketing !on!ept, resear!hers in this fiel% arri*e% at a more representati*e set
that en!ompasses mo%ern marketing realities- people, pro!esses, programs, an% performan!e'
.age /ef- 12D14
0")e!ti*e- 9
AAC5(- Analyti! 5kills
Diffi!ulty- Mo%erate
=B) Dis!uss the !on!ept of %isinterme%iation an% pro*i%e an e3ample'
Answer- Disinterme%iation grew out of the rush to em"ra!e the %otD!oms an% eD!ommer!e'
,ssentially, the %otD!oms remo*e% many of the tra%itional interme%iaries "y en!ouraging
!onsumers to %eal %ire!tly with the !ompany *ia the $nternet' ;(ri!kDan%D!li!k; "usinesses
e*entually "rought some of the interme%iaries "a!k through a pro!ess !alle% reintermediation.
.age /ef- A
0")e!ti*e- 9
AAC5(- Hse of information te!hnology
Diffi!ulty- ,asy
A7) Eou ha*e "een gi*en the assignment of )ustifying !auseDrelate% marketing to your "oar% of
%ire!tors' hat woul% "e your primary argument in fa*or of su!h a proposal#
Answer- Companies see !auseDrelate% marketing as an opportunity to enhan!e their !orporate
reputation, raise "ran% awareness, in!rease !ustomer loyalty, "uil% sales, an% in!rease press
!o*erage' :hey "elie*e !ustomers will in!reasingly look for signs of goo% !orporate !iti&enship
that go "eyon% supplying rational an% emotional "enefits' :his shoul% "e the main line of
argument in support of any !auseDrelate% marketing effort'
.age /ef- 12D14
0")e!ti*e- 9
AAC5(- Analyti! 5kills
Diffi!ulty- Mo%erate
1' :he most formal %efinition of marketing is 11111111'
a' meeting nee%s profita"ly
"' i%entifying an% meeting human an% so!ial nee%s
22
Copyright 6 2712 .earson ,%u!ation, $n!' .u"lishing as .renti!e 8all
!' the four .s (pro%u!t, pri!e, pla!e, promotion)
%' an organi&ational fun!tion an% a set of pro!esses for !reating, !ommuni!ating, an% %eli*ering
*alue to !ustomers an% for managing !ustomer relationships in ways that "enefit the organi&ation
an% its stakehol%ers
e' impro*ing the >uality of life for !onsumers
Answer- % .age- 5 Diffi!ulty- Me%ium
2' 11111111 takes pla!e when at least one party to a potential e3!hange thinks a"out the means
of a!hie*ing %esire% responses from other parties'
a' Marketing management
"' Fore!asting
!' 5egmentation
%' :argeting
e' Distri"ution
Answer- a .age- 5 Diffi!ulty- Me%ium AAC5(- Communi!ation
24
Copyright 6 2712 .earson ,%u!ation, $n!' .u"lishing as .renti!e 8all
4' Marketing management is 11111111'
a' managing the marketing pro!ess
"' monitoring the profita"ility of the !ompanyNs pro%u!ts an% ser*i!es
!' sele!ting target markets
%' %e*eloping marketing strategies to mo*e the !ompany forwar%
e' the art an% s!ien!e of !hoosing target markets an% getting, keeping, an% growing !ustomers
through !reating, %eli*ering, an% !ommuni!ating superior !ustomer *alue
Answer- e .age- 5 Diffi!ulty- ,asy
9' A so!ial %efinition of marketing says 11111111'
a' effe!ti*e marketing re>uires !ompanies to remo*e interme%iary parties to a!hie*e a !loser
!onne!tion with %ire!t !onsumers
29
Copyright 6 2712 .earson ,%u!ation, $n!' .u"lishing as .renti!e 8all
"' a !ompany shoul% fo!us e3!lusi*ely on a!hie*ing high pro%u!tion effi!ien!y, low !osts, an%
mass %istri"ution to fa!ilitate the "roa%est possi"le a!!ess to the !ompanyNs pro%u!ts
!' marketing is a so!ietal pro!ess "y whi!h in%i*i%uals an% groups o"tain what they nee% an%
want through !reating, offering, an% freely e3!hanging pro%u!ts an% ser*i!es of *alue with others
%' marketing is the pro!ess of e3tra!ting ma3imal *alue from !onsumers to fa!ilitate !orporate
growth
e' marketing is the pro!ess of aggressi*e selling an% promotion to en!ourage the pur!hase of
pro%u!ts that might otherwise "e unsought "y the !onsumer
Answer- ! .age- 5 Diffi!ulty- Me%ium
5' 11111111 goo%s !onstitute the "ulk of most !ountriesN pro%u!tion an% marketing efforts'
a' Dura"le
"' $mpulse
!' .hysi!al
%' 5er*i!e
e' ,*ent
25
Copyright 6 2712 .earson ,%u!ation, $n!' .u"lishing as .renti!e 8all
Answer- ! .age- < Diffi!ulty- Me%ium
<' As e!onomies a%*an!e, a growing proportion of their a!ti*ities fo!uses on the pro%u!tion of
11111111'
a' pro%u!ts
"' e*ents
!' e3perien!es
%' pla!es
e' ser*i!es
Answer- e .age- < Diffi!ulty- ,asy AAC5(- Analyti! 5kills
=' 11111111 a!ti*ely work to "uil% a strong, fa*ora"le, an% uni>ue image in the min%s of their
target pu"li!s'
a' $nformation
2<
Copyright 6 2712 .earson ,%u!ation, $n!' .u"lishing as .renti!e 8all
"' 5hopping goo%s
!' Dura"le goo%s
%' 0rgani&ations
e' .roperties
Answer- % .age- = Diffi!ulty- Me%ium AAC5(- Analyti! 5kills
A' Charles /e*son of /e*lon o"ser*e%- O$n the fa!tory, we make !osmeti!s? in the store,
11111111'P
a' we make profits
"' we !hallenge !ompetitors
!' we implement a%s
%' we sell hope
2=
Copyright 6 2712 .earson ,%u!ation, $n!' .u"lishing as .renti!e 8all
e' we sell >uality
Answer- % .age- = Diffi!ulty- ,asy AAC5(- /efle!ti*e :hinking
B' A 11111111 is someone seeking a response (attention, a pur!hase, a *ote, a %onation) from
another party, !alle% the 11111111'
a' salesperson? !ustomer
"' fun%Draiser? !ontri"utor
!' politi!ian? *oter
%' marketer? prospe!t
e' !ele"rity? au%ien!e
Answer- % .age- = Diffi!ulty- 8ar% AAC5(- Analyti! 5kills
17' $n 11111111, !onsumers may share a strong nee% that !annot "e satisfie% "y an e3isting
pro%u!t'
2A
Copyright 6 2712 .earson ,%u!ation, $n!' .u"lishing as .renti!e 8all
a' negati*e %eman%
"' latent %eman%
!' %e!lining %eman%
%' irregular %eman%
e' none3istent %eman%
Answer- " .age- A Diffi!ulty- Me%ium
11' $n 11111111, more !ustomers woul% like to "uy the pro%u!t than !an "e satisfie%'
a' latent %eman%
"' irregular %eman%
!' o*erfull %eman%
%' e3!essi*e
e' negati*e %eman%
2B
Copyright 6 2712 .earson ,%u!ation, $n!' .u"lishing as .renti!e 8all
Answer- ! .age- A Diffi!ulty- Me%ium
12' $n 11111111, !onsumers %islike the pro%u!t an% may e*en pay a pri!e to a*oi% it'
a' none3istent %eman%
"' o*erfull %eman%
!' irregular %eman%
%' negati*e %eman%
e' %e!lining %eman%
Answer- % .age- A Diffi!ulty- Me%ium
14' Marketers often use the term 11111111 to !o*er *arious groupings of !ustomers'
a' people
47
Copyright 6 2712 .earson ,%u!ation, $n!' .u"lishing as .renti!e 8all
"' "uying power
!' %emographi! segment
%' so!ial !lass position
e' market
Answer- e .age- B Diffi!ulty- 8ar% AAC5(- Analyti! 5kills
19' Companies selling mass !onsumer goo%s an% ser*i!es su!h as soft %rinks, !osmeti!s, air
tra*el, an% athleti! shoes an% e>uipment spen% a great %eal of time trying to esta"lish a superior
"ran% image in markets !alle% 11111111'
a' "usiness markets
"' glo"al markets
!' !onsumer markets
%' nonprofit an% go*ernmental markets
e' ser*i!e markets
41
Copyright 6 2712 .earson ,%u!ation, $n!' .u"lishing as .renti!e 8all
Answer- ! .age- B Diffi!ulty- Me%ium AAC5(- Analyti! 5kills
15' Mu!h of a "ran%Ns strength in !onsumer markets %epen%s on 11111111'
a' %e*eloping a superior pro%u!t
"' !reating superior pa!kaging
!' ensuring the pro%u!tNs a*aila"ility
%' "a!king the pro%u!t with engaging !ommuni!ations an% relia"le ser*i!e
e' all of the a"o*e
Answer- e .age- B Diffi!ulty- 8ar% AAC5(- Analyti! 5kills
1<' $n "usiness markets, a%*ertising !an play a role, "ut a stronger role may "e playe% "y the
sales for!e, 11111111, an% the !ompanyNs reputation for relia"ility an% >uality'
a' "ran% image
"' %istri"ution
42
Copyright 6 2712 .earson ,%u!ation, $n!' .u"lishing as .renti!e 8all
!' promotion
%' pri!e
e' performan!e
Answer- % .ages- BK17 Diffi!ulty- 8ar% AAC5(- Communi!ation
1=' Qlo"al marketers must %e!i%e 11111111'
a' whi!h !ountries to enter
"' how to enter ea!h !ountry (as an e3porter, li!enser, )oint *enture partner, !ontra!t
manufa!turer, or solo manufa!turer)
!' how to a%apt their pro%u!t an% ser*i!e features to ea!h !ountry
%' how to pri!e their pro%u!ts in %ifferent !ountries
e' all of the a"o*e
Answer- e .age- 17 Diffi!ulty- Me%ium AAC5(- /efle!ti*e :hinking
44
Copyright 6 2712 .earson ,%u!ation, $n!' .u"lishing as .renti!e 8all
1A' Mohan 5awhney has propose% the !on!ept of 11111111 to %es!ri"e a !luster of
!omplementary pro%u!ts an% ser*i!es that are !losely relate% in the min%s of !onsumers "ut are
sprea% a!ross a %i*erse set of in%ustries'
a' metamarket
"' *erti!al integration
!' hori&ontal integration
%' "etamarket
e' syn!hroni&e% marketing
Answer- a .age- 17 Diffi!ulty- 8ar%
1B' :he 11111111 pro!ess !onsists of analy&ing marketing opportunities, sele!ting target
markets, %esigning marketing strategies, %e*eloping marketing programs, an% managing the
marketing effort'
a' marketing planning
49
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"' strategi! planning
!' market resear!h
%' opportunity analysis
e' share of !ustomer
Answer- a .age- 11 Diffi!ulty- Me%ium AAC5(- Analyti! 5kills
27' 11111111 are "asi! human re>uirements? 11111111 are the ways in whi!h we satisfy those
re>uirements, an% they are shape% "y our so!iety'
a' ants? nee%s
"' Deman%s? wants
!' @ee%s? wants
%' @ee%s? %eman%s
e' Deman%s? nee%s
45
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Answer- ! .age- 12 Diffi!ulty- Me%ium AAC5(- ,thi!al /easoning
21' A(n) 11111111 nee% is a nee% that the !onsumer e3pli!itly *er"ali&es'
a' state%
"' real
!' unstate%
%' %elight
e' se!ret
Answer- a .age- 12 Diffi!ulty- 8ar% AAC5(- /efle!ti*e :hinking
22' :he i%entifi!ation an% profiling of %istin!t groups of "uyers who might prefer or re>uire
*arying pro%u!t an% ser*i!e mi3es is known as 11111111'
a' segmentation
"' integration
4<
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!' %isinterme%iation
%' targeting
e' partner relationship management
Answer- a .age- 14 Diffi!ulty- Me%ium
24' Companies a%%ress nee%s "y putting forth a(n) 11111111, a set of "enefits that they offer to
!ustomers to satisfy their nee%s'
a' "ran%
"' *alue proposition
!' offering
%' target market
e' %eman%
Answer- " .age- 14 Diffi!ulty- Me%ium
4=
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29' A(n) 11111111 nee% is one that moti*ates the !onsumer "ut that the !onsumer is relu!tant or
unwilling to e3pli!itly *er"ali&e'
a' real
"' unstate%
!' %elight
%' se!ret
e' state%
Answer- % .age- 14 Diffi!ulty- 8ar% AAC5(- /efle!ti*e :hinking
25' During market segmentation analysis, the marketer i%entifies whi!h segments present the
greatest opportunity' :hese segments are !alle% 11111111'
a' target markets
"' primary markets
4A
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!' tertiary markets
%' %emographi! markets
e' fo!use% markets
Answer- a .age- 14 Diffi!ulty- Me%ium AAC5(- Analyti! 5kills
2<' For ea!h target market, the firm %e*elops a 11111111' :he offering is then positione% in the
min%s of the target "uyers as %eli*ering some !entral "enefit(s)'
a' *alue offering
"' ni!he offering
!' market offering
%' segment offering
e' so!ial offering
Answer- ! .age- 14 Diffi!ulty- Me%ium
4B
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2=' 11111111 refle!ts a !ustomerNs )u%gment of a pro%u!tNs performan!e in relation to his or her
e3pe!tations'
a' 2oyalty
"' 5atisfa!tion
!' Calue
%' ,3pe!tations
e' Comparison shopping
Answer- " .age- 19 Diffi!ulty- Me%ium AAC5(- /efle!ti*e :hinking
2A' $f a marketer %e!i%es to use warehouses, transportation !ompanies, "anks, an% insuran!e
!ompanies to fa!ilitate transa!tions with potential "uyers, the marketer is using what is !alle% a
11111111'
a' ser*i!e !hannel
"' %istri"ution !hannel
!' "ran% !hannel
97
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%' relationship !hannel
e' interme%iary !hannel
Answer- a .age- 19 Diffi!ulty- Me%ium AAC5(- Analyti! 5kills
2B' :he 11111111 is a long !hannel stret!hing from raw materials to !omponents to final
pro%u!ts that are !arrie% to final "uyers'
a' !ommuni!ation !hannel
"' %istri"ution !hannel
!' supply !hain
%' ser*i!e !hannel
e' marketing !hannel
Answer- ! .age- 19 Diffi!ulty- Me%ium
91
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47' Calue refle!ts 11111111'
a' the pri!e !onsumers are !harge% for a pro%u!t
"' the !ost of manufa!turing a pro%u!t
!' the %egree to whi!h !onsumer %eman% for the pro%u!t is positi*e
%' the sum of the per!ei*e% tangi"le an% intangi"le "enefits an% !osts to !ustomers
e' all of the a"o*e
Answer- % .age- 19 Diffi!ulty- 8ar% AAC5(- ,thi!al /easoning
41' 11111111 in!lu%es all the a!tual an% potential ri*al offerings an% su"stitutes that a "uyer
might !onsi%er'
a' Competition
"' :he pro%u!t offering
!' A *alue proposition
%' :he supply !hain
92
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e' :he marketing en*ironment
Answer- a .age- 19 Diffi!ulty- ,asy AAC5(- /efle!ti*e :hinking
42' :he 11111111 in!lu%es the a!tors in*ol*e% in pro%u!ing, %istri"uting, an% promoting the
offering' :he main a!tors are the !ompany, suppliers, %istri"utors, %ealers, an% the target
!ustomers'
a' operations en*ironment
"' management en*ironment
!' strategi! en*ironment
%' task en*ironment
e' ta!ti!al en*ironment
Answer- % .age- 15 Diffi!ulty- Me%ium AAC5(- Analyti! 5kills
94
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44' Many !ountries ha*e 11111111 in%ustries to !reate greater !ompetition an% growth
opportunities'
a' openDmarket
"' %eregulate%
!' regulate%
%' s!ientifi!ally segmente%
e' !reate% mass market
Answer- " .age- 15 Diffi!ulty- Me%ium AAC5(- Multi!ulturalRDi*ersity
49' /ising promotion !osts an% shrinking profit margins are the result of 11111111'
a' !hanging te!hnology
"' glo"ali&ation
!' %eregulation
99
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%' pri*ati&ation
e' heightene% !ompetition
Answer- e .age- 15 Diffi!ulty- 8ar% AAC5(- /efle!ti*e :hinking
45' $n%ustry "oun%aries are "lurring rapi%ly as !ompanies i%entify new opportunities at the
interse!tion of two or more in%ustriesSthis is !alle% 11111111'
a' glo"ali&ation
"' !ustomi&ation
!' in%ustry !on*ergen!e
%' heightene% !ompetition
e' a!>uisition
Answer- ! .age- 15 Diffi!ulty- Me%ium
4<' $n response to giant retailers an% !ategory killers, entrepreneurial retailers are "uil%ing
95
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entertainment into stores with !offee "ars, le!tures, %emonstrations, an% performan!es' :hey are
marketing a(n) 11111111 rather than a pro%u!t assortment'
a' e3perien!e
"' !ustomer *alue
!' !ustomer %elight
%' total ser*i!e solution
e' intangi"le "enefit(s)
Answer- a .age- 15 Diffi!ulty- Me%ium AAC5(- /efle!ti*e :hinking
4=' $n response to threats from su!h !ompanies as A02, Ama&on'!om, EahooF, e(ay,
,G:/AD,, an% %o&ens of others, esta"lishe% manufa!turers an% retailers "e!ame O"ri!kDan%D
!li!kP oriente% "y a%%ing online ser*i!es to their e3isting offerings' :his pro!ess "e!ame known
as 11111111'
a' reinterme%iation
"' %isinterme%iation
!' eD!ommer!e
9<
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%' eD!olla"oration
e' newDmarket syn!hroni&ation
Answer- a .age- 1< Diffi!ulty- 8ar% AAC5(- Hse of $:
4A' Many "ri!kDan%D!li!k !ompetitors "e!ame stronger !onten%ers in the marketpla!e than the
pureD!li!k firms "e!ause they ha% a larger pool of resour!es to work with an% 11111111'
a' "etter pri!es
"' greater *alue
!' wellDesta"lishe% "ran% names
%' oneDonDone !ommuni!ations
e' %ire!tDselling !apa"ility
Answer- ! .age- 1< Diffi!ulty- Me%ium AAC5(- Hse of $:
9=
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4B' Managers of 11111111Doriente% "usinesses !on!entrate on a!hie*ing high pro%u!tion
effi!ien!y, low !osts, an% mass %istri"ution'
a' selling
"' pro%u!t
!' pro%u!tion
%' marketing
e' !onsumer
Answer- ! .age- 1A Diffi!ulty- Me%ium AAC5(- /efle!ti*e :hinking
97' :he feasi"ility of !ompanies %ealing with !ustomers one at a time has risen as a result of
a%*an!es in 11111111, !omputers, the $nternet, an% %ata"ase marketing software'
a' impro*e% !ommuni!ation flow
"' information te!hnology
!' )ustDinDtime manufa!turing
9A
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%' fa!tory !ustomi&ation
e' !ustomerD!entere% strategies
Answer- % .age- 1A Diffi!ulty- 8ar% AAC5(- Hse of $:
91' :he 11111111 !on!ept hol%s that !onsumers will fa*or those pro%u!ts that offer the most
>uality, performan!e, or inno*ati*e features'
a' pro%u!t
"' marketing
!' pro%u!tion
%' selling
e' holisti! marketing
Answer- a .age- 1A Diffi!ulty- ,asy
92' :he 11111111 is pra!ti!e% most aggressi*ely with unsought goo%s, goo%s that "uyers
9B
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normally %o not think of "uying, su!h as insuran!e, en!y!lope%ias, an% !emetery plots'
a' marketing !on!ept
"' selling !on!ept
!' pro%u!tion !on!ept
%' pro%u!t !on!ept
e' holisti! marketing !on!ept
Answer- " .age- 1B Diffi!ulty- Me%ium AAC5(- Analyti! 5kills
94' :he 11111111 !on!ept hol%s that !onsumers an% "usinesses, if left alone, will or%inarily not
"uy enough of the organi&ationNs pro%u!ts'
a' pro%u!tion
"' selling
!' marketing
%' pro%u!t
57
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e' holisti! marketing
Answer- " .age- 1B Diffi!ulty- Me%ium
99' 5e*eral s!holars ha*e foun% that !ompanies who em"ra!e the marketing !on!ept a!hie*e
superior performan!e' :his was first %emonstrate% for !ompanies pra!ti!ing a 11111111S
un%erstan%ing an% meeting !ustomersN e3presse% nee%s'
a' rea!ti*e market orientation
"' proa!ti*e marketing orientation
!' total market orientation
%' impulsi*e market orientation
e' holisti! market orientation
Answer- a .age- 1B Diffi!ulty- Me%ium
95' A!!or%ing to :heo%ore 2e*itt, who %rew !ontrasts "etween the selling an% marketing
!on!epts, 11111111 is preo!!upie% with the nee% to !on*ert pro%u!ts into !ash'
51
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a' marketing
"' selling
!' %ire!t marketing
%' holisti! marketing
e' ser*i!e marketing
Answer- " .age- 1B Diffi!ulty- Me%ium
9<' Companies that pra!ti!e "oth a rea!ti*e an% proa!ti*e marketing orientation are
implementing a 11111111 an% are likely to "e the most su!!essful'
a' total market orientation
"' e3ternal fo!us
!' !ustomer fo!us
%' !ompetiti*e, !ustomer fo!us
52
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e' !onfrontation pro!ess
Answer- a .age- 1B Diffi!ulty- Me%ium AAC5(- /efle!ti*e :hinking
9=' Companies that a%opt an% employ the marketing !on!ept swit!h from "eing solely pro%u!t
!entere% to "eing more 11111111 !entere%'
a' !ompeten!y
"' strategy
!' marketing
%' !ustomer
e' sales
Answer- % .age- 1B Diffi!ulty- 8ar% AAC5(- Analyti! 5kills
9A' 11111111 !an "e seen as the %e*elopment, %esign, an% implementation of marketing
programs, pro!esses, an% a!ti*ities that re!ogni&es the "rea%th an% inter%epen%en!ies of their
effe!ts'
54
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a' @i!he marketing
"' 8olisti! marketing
!' /elationship marketing
%' 5upply !hain marketing
e' Deman%D!entere% marketing
Answer- " .ages- 1BK27 Diffi!ulty- Me%ium AAC5(- /efle!ti*e :hinking
9B' 11111111 marketing aims to "uil% mutually satisfying longDterm relations with key parties
su!h as !ustomers, suppliers, %istri"utors, an% other marketing partners'
a' 8olisti!
"' Deman%D"ase%
!' Dire!t
%' /elationship
e' 5yntheti!
59
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Answer- % .age- 27 Diffi!ulty- ,asy AAC5(- Communi!ation
57' :he strength of the 11111111 %epen%s on the mutually profita"le "usiness relationships "uilt
"y the !ompany an% its supporting stakehol%ers'
a' sales network
"' holisti! union
!' marketing network
%' supply !hain network
e' integrate% network
Answer- ! .age- 22 Diffi!ulty- 8ar% AAC5(- Communi!ation
51' 0ne tra%itional %epi!tion of marketing a!ti*ities is in terms of the marketing mi3 or four .s'
:he four .s are !hara!teri&e% as "eing 11111111'
a' pro%u!t, positioning, pla!e, an% pri!e
55
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"' pro%u!t, pro%u!tion, pri!e, an% pla!e
!' promotion, pla!e, positioning, an% pri!e
%' pla!e, promotion, pro%u!tion, an% positioning
e' pro%u!t, pri!e, promotion, an% pla!e
Answer- e .age- 22 Diffi!ulty- Me%ium
52' From a "uyerNs point of *iew, ea!h marketing tool is %esigne% to %eli*er a !ustomer "enefit'
:he 5$CA !ustomerD!entri! "reak%own of marketing a!ti*ities in!lu%es 11111111'
a' sale, intera!tion, *oi!e, an% a*aila"ility
"' solution, information, *alue, an% a!!ess
!' satisfa!tion, intention, *alue, an% a!!ount
%' situation, importan!e, *aria"ility, an% awareness
e' none of the a"o*e
5<
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Answer- " .age- 24 Diffi!ulty- Me%ium AAC5(- Multi!ulturalRDi*ersity
54' A firm !an 11111111 only in the long run'
a' re%u!e its salesDfor!e si&e
"' %e*elop new pro%u!ts
!' !hange its pri!e
%' mo%ify a%*ertising e3pen%itures
e' All of the a"o*e may "e %one in the short or long run'
Answer- " .age- 24 Diffi!ulty- Me%ium AAC5(- /efle!ti*e :hinking
59' 8olisti! marketing in!orporates 11111111, ensuring that e*eryone in the organi&ation
em"ra!es appropriate marketing prin!iples, espe!ially senior management'
a' profit o")e!ti*es
"' share of !ustomer
5=
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!' internal marketing
%' the marketing mi3
e' strategi! planning
Answer- ! .age- 29 Diffi!ulty- 8ar% AAC5(- Analyti! 5kills
55' Companies are re!ogni&ing that mu!h of their market *alue !omes from 11111111,
parti!ularly their "ran%s, !ustomer "ase, employees, %istri"utor an% supplier relations, an%
intelle!tual !apital'
a' *aria"le assets
"' the *alue proposition
!' intangi"le assets
%' tangi"le assets
e' !ustomer preferen!es
Answer- ! .age- 2< Diffi!ulty- ,asy AAC5(- /efle!ti*e :hinking
5A
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5<' 8olisti! marketing in!orporates 11111111, an un%erstan%ing of "roa%er !on!erns in the
ethi!al, en*ironmental, legal, an% so!ial !onte3t of marketing a!ti*ities'
a' safe pro%u!t %esign
"' !ultural marketing
!' so!ial responsi"ility marketing
%' !rossDfun!tional teams
e' %ire!tDsales poli!ies
Answer- ! .age- 2< Diffi!ulty- Me%ium
5=' :he 11111111 hol%s that the organi&ationNs task is to %etermine the nee%s, wants, an%
interests of target markets an% to %eli*er the %esire% satisfa!tions more effe!ti*ely an% effi!iently
than !ompetitors in a way that preser*es or enhan!es the !onsumerNs an% the so!ietyNs wellD
"eing'
a' !ustomerD!entere% "usiness
5B
Copyright 6 2712 .earson ,%u!ation, $n!' .u"lishing as .renti!e 8all
"' fo!use% "usiness mo%el
!' so!ietal marketing !on!ept
%' ethi!ally responsi"le marketing manager
e' pro%u!tionD!entere% "usiness
Answer- ! .age- 2= Diffi!ulty- Me%ium AAC5(- Analyti! 5kills
5A' At the heart of any marketing program is the 11111111Sthe firmNs tangi"le offering to the
market'
a' ser*i!e offer
"' pro%u!t
!' sales support team
%' pa!kaging
e' au3iliary offer
Answer- " .age- 2B Diffi!ulty- Me%ium AAC5(- Analyti! 5kill
<7
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5B' 11111111 a!ti*ities in!lu%e those the !ompany un%ertakes to make the pro%u!t a!!essi"le
an% a*aila"le to target !ustomers'
a' Consumer "eha*ior
"' Market segmentation
!' Marketing resear!h
%' Channel
e' @ewDpro%u!t %e*elopment
Answer- % .ages- 2BD47 Diffi!ulty- Me%ium AAC5(- Communi!ation
<7' Marketing fee%"a!k an% 11111111 pro!esses are ne!essary to un%erstan% the effi!ien!y an%
effe!ti*eness of marketing a!ti*ities an% how "oth !oul% "e impro*e%'
a' !ontrol
"' analysis
!' measurement
<1
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%' retrospe!ti*e
e' !onsumer "eha*ior
Answer- a .age- 47 Diffi!ulty- Me%ium AAC5(- Analyti! 5kills
:rueRFalse
<1' A short %efinition of marketing is Omeeting nee%s profita"ly'P
Answer- :rue .age- 5 Diffi!ulty- ,asy AAC5(- Analyti! 5kills
<2' Calue marketing is the Oart an% s!ien!e of !hoosing target markets an% getting, keeping, an%
growing !ustomers through !reating, %eli*ering, an% !ommuni!ating superior !ustomer *alue'P
Answer- False .age- 5 Diffi!ulty- Me%ium
<2
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<4' 5er*i!es !onstitute the "ulk of most !ountriesN pro%u!tion an% marketing effort'
Answer- False .age- < Diffi!ulty- Me%ium AAC5(- Analyti! 5kills
<9' :he H'5' e!onomy to%ay !onsists of a =7K47 ser*i!esDtoDgoo%s mi3'
Answer- :rue .age- < Diffi!ulty- Me%ium
<5' OFrien%s DonNt 2et Frien%s Dri*e Drunk,P is an e3ample of marketing an e3perien!e to an
intereste% au%ien!e'
Answer- False .age- = Diffi!ulty- 8ar% AAC5(- /efle!ti*e :hinking
<<' Hnwholesome %eman% o!!urs when !onsumersN pur!hases *ary on a seasonal, monthly,
weekly, %aily, or e*en hourly "asis'
Answer- False .age- A Diffi!ulty- 8ar% AAC5(- Analyti! 5kills
<4
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<=' hen !onsumers share a strong nee% that !annot "e satisfie% "y an e3isting pro%u!t, they are
engage% in latent %eman%'
Answer- :rue .age- A Diffi!ulty- Me%ium
<A' Companies selling goo%s an% ser*i!es in the glo"al marketpla!e ha*e the a%*antage of "eing
a"le to sell the goo%s an% ser*i!es in almost the same way as they %o in their %omesti! market'
Answer- False .age- 17 Diffi!ulty- ,asy AAC5(- Multi!ulturalRDi*ersity
<B' Companies selling their goo%s to nonprofit organi&ations may !harge an e3tra premium o*er
their normal pri!es "e!ause these organi&ations are largely in%ifferent to pri!e'
Answer- False .age- 17 Diffi!ulty- Me%ium AAC5(- /efle!ti*e :hinking
=7' A marketspa!e is physi!al, as when you shop in a store'
Answer- False .age- 17 Diffi!ulty- Me%ium AAC5(- Hse of $:
<9
Copyright 6 2712 .earson ,%u!ation, $n!' .u"lishing as .renti!e 8all
=1' ants are "asi! human re>uirements su!h as foo% or air'
Answer- False .age- 12 Diffi!ulty- Me%ium
=2' Deman%s are wants for spe!ifi! pro%u!ts "a!ke% "y an a"ility to pay'
Answer- :rue .age- 12 Diffi!ulty- ,asy AAC5(- Analyti! 5kills
=4' Most marketers satisfy e*eryone in a marketSthatNs how they stay in "usiness'
Answer- False .age- 14 Diffi!ulty- Me%ium
=9' :he !ustomerD*alue tria% !onsists of a !om"ination of >uality, ser*i!e, an% pri!e'
Answer- :rue .age- 19 Diffi!ulty- 8ar% AAC5(- Analyti! 5kills
=5' A %istri"ution !hannel in!lu%es %istri"utors, wholesalers, retailers, an% agents that %isplay,
sell, or %eli*er the physi!al pro%u!t or ser*i!e(s) to the "uyer or user'
<5
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Answer- :rue .age- 19 Diffi!ulty- ,asy
=<' :he main a!tors in the task en*ironment are the !omponents of %emographi!s, e!onomi!s,
physi!al setting, te!hnology, the politi!alDlegal system, an% the so!ialD!ultural arena'
Answer- False .age- 19 Diffi!ulty- Me%ium AAC5(- Analyti! 5kills
==' /egulation of in%ustries has !reate% greater !ompetition an% growth opportunities "e!ause
the playing fiel% has "een le*ele%'
Answer- False .age- 15 Diffi!ulty- 8ar% AAC5(- /efle!ti*e :hinking
=A' $n%ustry "oun%aries are "lurring at an in!re%i"le rate as !ompanies are re!ogni&ing that new
opportunities lie at the interse!tion of two or more in%ustries'
Answer- :rue .age- 15 Diffi!ulty- Me%ium
=B' :he o*era"un%an!e of information a*aila"le on the $nternet has ma%e it more %iffi!ult for
<<
Copyright 6 2712 .earson ,%u!ation, $n!' .u"lishing as .renti!e 8all
!onsumers to !ompare pro%u!t features an% pri!es'
Answer- False .age- 1< Diffi!ulty- ,asy AAC5(- /efle!ti*e :hinking
A7' Companies !an fa!ilitate an% spee% e3ternal !ommuni!ation among !ustomers "y !reating
online an% offDline O"u&&P through "ran% a%*o!ates an% user !ommunities'
Answer- :rue .age- 1= Diffi!ulty- ,asy AAC5(- Communi!ation
A1' :he proliferation of targete% me%ia an% !ommuni!ation !hannels has allowe% marketers to
"e!ome mu!h more aware of their target !onsumersN preferen!es an% to !ustomi&e "oth pro%u!ts
an% messages for in%i*i%ual !onsumers'
Answer- :rue .age- 1= Diffi!ulty- Me%ium AAC5(- Communi!ation
A2' :he marketing !on!ept is one of the ol%est !on!epts in "usiness'
Answer- False .age- 1A Diffi!ulty- Me%ium
<=
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A4' :he selling !on!ept hol%s that !onsumers will fa*or those pro%u!ts that offer the most
>uality, performan!e, or inno*ati*e features'
Answer- False .age- 1A Diffi!ulty- Me%ium AAC5(- Analyti! 5kills
A9' :he marketing !on!ept stresses a !ustomerD!entere% approa!h to marketing'
Answer- :rue .age- 1B Diffi!ulty- ,asy AAC5(- Analyti! 5kills
A5' :he selling !on!ept is "ase% on the %e*elopment, %esign, an% implementation of marketing
programs, pro!esses, an% a!ti*ities that re!ogni&es their "rea%th an% inter%epen%en!ies'
Answer- False .age- 1B Diffi!ulty- Me%ium AAC5(- Analyti! 5kills
A<' /elationship marketing aims to "uil% mutually satisfying longDterm relationships with key
parties'
Answer- :rue .age- 27 Diffi!ulty- Me%ium
<A
Copyright 6 2712 .earson ,%u!ation, $n!' .u"lishing as .renti!e 8all
A=' Attra!ting a new !ustomer may !ost fi*e times as mu!h as %oing a goo% enough )o" to retain
an e3isting one'
Answer- :rue .age- 22 Diffi!ulty- Me%ium AAC5(- Analyti! 5kills
AA' :he marketingDmi3 !omponent !alle% promotion in!lu%es su!h items as pro%u!t *ariety,
%esign, pa!kaging, ser*i!es, an% warranties'
Answer- False .age- 24 Diffi!ulty- Me%ium
AB' hen a marketer makes %e!isions in*ol*ing !hannels, assortments, lo!ations, an%
transportation, the marketer is making what are !alle% pla!e %e!isions'
Answer- :rue .age- 24 Diffi!ulty- Me%ium
B7' A%*ertising, sales promotion, an% %ire!t marketing are all part of what is !alle% the offering
mi3'
Answer- False .age- 24 Diffi!ulty- Me%ium
<B
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B1' 0ne of the key themes of integrate% marketing is that there are *ery few marketing a!ti*ities
that !an effe!ti*ely !ommuni!ate an% %eli*er *alue'
Answer- False .age- 22 Diffi!ulty- Me%ium AAC5(- /efle!ti*e :hinking
B2' $nternal marketing is an appropriate pra!ti!e to "e use% in holisti! marketing'
Answer- :rue .age- 29 Diffi!ulty- ,asy AAC5(- /efle!ti*e :hinking
B4' $n most !ompanies, marketing shoul% fo!us on the !ustomer an% other %epartments shoul%
fo!us on the "usiness itself'
Answer- False .age- 29 Diffi!ulty- ,asy AAC5(- /efle!ti*e :hinking
B9' .erforman!e marketing in*ol*es re*iewing metri!s assessing market share, !ustomer loss
rate, !ustomer satisfa!tion, an% pro%u!t >uality in the e*aluation of the effe!ti*eness of
marketing a!ti*ities'
=7
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Answer- :rue .age- 2< Diffi!ulty- Me%ium
B5' :he selling relationship !on!ept hol%s that !onsumers will prefer pro%u!ts that are ethi!al,
en*ironmentally responsi"le, legal, an% so!ial in the !onte3t of marketing a!ti*ities an%
programs'
Answer- False .age- 2= Diffi!ulty- Me%ium AAC5(- Analyti! 5kills
B<' :he so!ietal marketing !on!ept hol%s that the organi&ationNs task is to %etermine the nee%s,
wants, an% interests of target markets an% to %eli*er the %esire% satisfa!tions more effe!ti*ely an%
effi!iently than !ompetitors in a way that preser*es or enhan!es the !onsumerNs an% the so!ietyNs
wellD"eing'
Answer- :rue .age- 2= Diffi!ulty- ,asy
B=' CauseDrelate% marketing in*ol*es %onating a per!entage of re*enues to a spe!ifi! !ause "ase%
on the re*enue o!!urring %uring the announ!e% perio% of support'
Answer- :rue .age- 2= Diffi!ulty- Me%ium AAC5(- Analyti! 5kills
=1
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BA' Making gifts of money, goo%s, or time to help nonprofit organi&ations, groups, or in%i*i%uals
is known as !orporate philanthropy'
Answer- :rue .age- 2= Diffi!ulty- Me%ium
BB' :o un%erstan% what is happening insi%e an% outsi%e the !ompany, the !ompany nee%s a
relia"le marketing information system'
Answer- :rue .age- 2A Diffi!ulty- ,asy AAC5(- /efle!ti*e :hinking
177' (e!ause of surprises an% %isappointments that !an o!!ur as marketing plans are
implemente%, the !ompany will nee% fee%"a!k an% !ontrol to impro*e itself'
Answer- :rue .age- 47 Diffi!ulty- ,asy AAC5(- /efle!ti*e :hinking
,ssay
171' Marketing has "een %es!ri"e% "eing "oth an OartP an% a Os!ien!e'P Dis!uss the %ifferen!es
an% similarities "etween these two marketing thrusts' .ro*i%e your theoreti!al response an% a
OrealDlifeP e3ample where you ha*e seen "oth pro!esses work effe!ti*ely at !reating !ustomer
=2
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*alue an% loyalty'
5uggeste% Answer- :he stu%ent shoul% %emonstrate his or her un%erstan%ing that the marketer
must use %ata to un%erstan% !ustomer nee%s an% translate this un%erstan%ing into properly
%esigne% pro%u!ts an% ser*i!es' :hey shoul% also see the OartP si%e of human "eha*ior, where the
!ustomer makes %e!isions "ase% on emotions, su!h as the per!ei*e% "enefits'
.age- 5 Diffi!ulty- Me%ium AAC5(- /efle!ti*e :hinking
172' Marketing people are in*ol*e% in marketing 17 types of entities' 2ist an% "riefly
!hara!teri&e those entities'
5uggeste% Answer- :he types of entities that marketing people are in*ol*e% in marketing are (1)
goo%sSphysi!al goo%s, (2) ser*i!esShotels an% !ar rental, (4) e*entsStimeD"ase% e*ents su!h
as tra%e shows, (9) e3perien!esSalt DisneyNs Magi! King%om, (5) personsS!ele"rity
marketing, (<) pla!esS!ities, states, regions, an% e*en whole nations, (=) propertiesSintangi"le
rights of ownership of either real property or finan!ial property, (A) organi&ationsS!orporate
i%entity, (B) informationSinformation pro%u!e% an% markete% as a pro%u!t, an% (17) i%easS
marketing the "asi! i%ea of a market offering'
.ages- <K= Diffi!ulty- 8ar% AAC5(- Analyti! 5kills
=4
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174' Marketers are skille% in stimulating %eman% for a !ompanyNs pro%u!ts, "ut this is too
limite% a *iew of the tasks they perform' Just as pro%u!tion an% logisti!s professionals are
responsi"le for supply management, marketers are responsi"le for %eman% management'
Marketing managers seek to influen!e the le*el, timing, an% !omposition of %eman% to meet the
organi&ationNs o")e!ti*es' 2ist an% "riefly !hara!teri&e the eight %eman% states %es!ri"e% in the
te3t'
5uggeste% Answer- :he eight %ifferent %eman% states are (1) negati*e %eman%S!onsumers
%islike the pro%u!t an% may e*en pay a pri!e to a*oi% it, (2) none3istent %eman%S!onsumers
may "e unaware or unintereste% in the pro%u!t, (4) latent %eman%S!onsumers may share a
strong nee% that !annot "e satisfie% "y an e3isting pro%u!t, (9) %e!lining %eman%S!onsumers
"egin to "uy the pro%u!t less fre>uently or not at all, (5) irregular %eman%S!onsumer pur!hases
*ary on a seasonal, monthly, weekly, %aily, or e*en hourly "asis, (<) full %eman%S!onsumers are
a%e>uately "uying all pro%u!ts put into the marketpla!e, (=) o*erfull %eman%Smore !onsumers
woul% like to "uy the pro%u!t than !an "e satisfie%, an% (A) unwholesome %eman%S!onsumers
may "e attra!te% to pro%u!ts that ha*e un%esira"le so!ial !onse>uen!es'
.age- A Diffi!ulty- 8ar% AAC5(- Analyti! 5kills
179' e !an %istinguish among fi*e types of !ustomer nee%s' 2ist an% pro*i%e an e3ample of
ea!h of those !ustomer nee%s'
5uggeste% Answer- :he fi*e types of !ustomer nee%s are (note the e3ample from the te3t)- (1)
state% nee%sSthe !ustomer wants an ine3pensi*e !ar, (2) real nee%sSthe !ustomer wants a !ar
whose operating !ost, not its initial pri!e, is low, (4) unstate% nee%sSthe !ustomer e3pe!ts goo%
=9
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ser*i!e from the %ealer, (9) %elight nee%sSthe !ustomer woul% like the %ealer to in!lu%e an
on"oar% na*igation system, an% (5) se!ret nee%sSthe !ustomer wants to "e seen "y frien%s as a
sa**y !onsumer'
.ages- 12K14 Diffi!ulty- Me%ium AAC5(- Analyti! 5kills
175' Distinguish "etween the !on!epts of *alue an% satisfa!tion'
5uggeste% Answer- :he offering will "e su!!essful if it %eli*ers *alue an% satisfa!tion to the
target "uyer' :he "uyer !hooses "etween %ifferent offerings on the "asis of whi!h is per!ei*e% to
%eli*er the most *alue' Calue refle!ts the per!ei*e% tangi"le an% intangi"le "enefits an% !osts to
!ustomers' Calue !an "e seen as primarily a !om"ination of >uality, ser*i!e, an% pri!e (!alle% the
!ustomerD*alue tria%)' 5atisfa!tion refle!ts a personNs !omparati*e )u%gments resulting from a
pro%u!tNs per!ei*e% performan!e (or out!ome) in relation to his or her e3pe!tations'
.ages- 14K19 Diffi!ulty- Me%ium AAC5(- /efle!ti*e :hinking
17<' ,3amine an% %o!ument the fa!tors that ha*e "rought a"out !ustomersN higher e3pe!tations
of their suppliers' hat are the ma)or shifts in marketing management that ha*e "rought a"out
these !hanges#
5uggeste% Answer- 5tu%ents may not un%erstan% that our worl%Ns !apa!ity to pro%u!e pro%u!ts
=5
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e3!ee%s the nee%s' :herefore, !ustomers ha*e more !hoi!es an% !an "e more %eman%ing' :he
time !run!h has allowe% new pro*i%ers to enter the market' For e3ample, @etfli3 !ompetes
effe!ti*ely with (lo!k"uster Ci%eo "e!ause they %eli*er *i%eos to your home' $tNs ser*i!e like
this that fits the !ustomer nee%s to satisfy what money !an "uyStime' 5tu%ents may use
appropriate marketing management shifts as %es!ri"e% in the !hapter'
.ages- 1<K1= Diffi!ulty- 8ar% AAC5(- /efle!ti*e :hinking
17=' :he !ompeting !on!epts un%er whi!h organi&ations ha*e !on%u!te% marketing a!ti*ities
in!lu%e- the pro%u!tion !on!ept, pro%u!t !on!ept, selling !on!ept, marketing !on!ept, an%
holisti! marketing !on!ept' ,*aluate the a%*antages an% %isa%*antages of ea!h !on!ept as
%efine% an% presente% in your te3t"ook' hi!h !on!ept %o you "elie*e is the most effe!ti*e#
hy#
5uggeste% Answer- Although stu%ents will "e e3pe!te% to resear!h ea!h !on!ept, they shoul%
!on!lu%e the most effe!ti*e !on!ept is the holisti! marketing !on!ept, where !ompanies nee% to
ha*e a more !omplete, !ohesi*e approa!h that goes "eyon% tra%itional appli!ations of the
marketing !on!ept'
.ages- 1AK22 Diffi!ulty- Me%ium AAC5(- /efle!ti*e :hinking
17A' $n!reasingly, a key goal of marketing is to %e*elop %eep, en%uring relationships with all
people or organi&ations that !oul% %ire!tly or in%ire!tly affe!t the su!!ess of the firmNs marketing
a!ti*ities' /elationship marketing has the aim of "uil%ing mutually satisfying longDterm relations
with key partiesS!ustomers, suppliers, %istri"utors, an% other marketing partnersSin or%er to
earn an% retain their "usiness'
=<
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Dis!uss the merits of relationship marketing' Des!ri"e in %etail a !ompany who is in "usiness
to%ay that mo%els relationship marketing'
5uggeste% Answer- 5tu%ents shoul% un%erstan% the relationship "etween any supplier an%
!ustomer is not )ust in the me!hani!s of the transa!tion, "ut more importantly how the !ustomer
is treate% %uring the transa!tion' :he "etter the relationship, the more apt the !ustomer will
remain loyal' :hey shoul% pi!k a !ompany that has ser*e% them well an% ma%e them feel spe!ial
ea!h an% e*ery time'
.ages- 27K22 Diffi!ulty- Me%ium AAC5(- Communi!ation
17B' $%entify an% %efine the four .s an% the !orrespon%ing !onsumerDoriente% 5$CA %imensions'
5uggeste% Answer- :he four .s are- .ro%u!t (pro%u!t *ariety, >uality, %esign, features, "ran%
name, pa!kaging, si&es, ser*i!es, warranties, returns), .ri!e (list pri!e, %is!ounts, allowan!es,
payment perio%, !re%it terms), .romotion (sales promotion, a%*ertising, sales for!e, pu"li!
relations, %ire!t marketing), an% .la!e (!hannels, !o*erage, assortments, lo!ations, in*entory,
transportation)' A !omplementary "reak%own of marketing a!ti*ities that approa!hes the pro!ess
from a !ustomerD!entri! *iewpoint is the 5$CA framework- 5olution (8ow !an $ sol*e my
pro"lem#), $nformation (here !an $ learn more a"out it#), Calue (hat is my total sa!rifi!e to
==
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get the solution#), an% A!!ess (here !an $ fin% it#)'
.age- 24 Diffi!ulty- 8ar% AAC5(- Analyti! 5kills
117' A!!or%ing to 5tar"u!ks Chairman 8owar% 5!hult&, OConsumers now !ommonly engage in
a !ultural au%it of Lpro%u!t an% ser*i!eM pro*i%ers' .eople want to know your *alue an% ethi!s
%emonstrate% "y how you treat employees, the !ommunity in whi!h you operate'P Dis!uss the
!on!ept of so!ial responsi"ility marketing an% how it impa!ts "oth !ompanies an% !onsumers'
5uggeste% Answer- :he so!ietal marketing !on!ept hol%s that the organi&ationNs task is to
%etermine the nee%s, wants, an% interests of target markets an% to %eli*er the %esire% satisfa!tion
more effe!ti*ely an% effi!iently than !ompetitors in a way that preser*es or enhan!es the
!onsumerNs an% so!ietyNs longDterm wellD"eing' Many !ompanies a!ti*ely engage% in !orporate
so!ial responsi"ility !ampaigns to "oth moti*ate employees an% attra!t !onsumers' As goo%s
"e!ome more !ommo%iti&e%, an% as !onsumers grow more so!ially !ons!ious, some !ompanies
are a%%ing so!ial responsi"ility as a way to %ifferentiate themsel*es from !ompetitors, "uil%
!onsumer preferen!e, an% a!hie*e nota"le sales an% profit gains' :hey "elie*e !ustomers will
in!reasingly look for signs of goo% !orporate !iti&enship'
.ages- 2<K2= Diffi!ulty- Me%ium AAC5(- ,thi!al /easoning
A..2$CA:$0@ TH,5:$0@5
=A
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Multiple Choi!e
111' hen $K,A noti!e% that people wante% goo% furniture at a su"stantially lower pri!e an%
!reate% kno!k%own furniture, they %emonstrate% marketing sa**y an% turne% a pri*ate or so!ial
nee% into a(n) 11111111'
a' market nee%
"' profita"le "usiness opportunity
!' pro%u!t %e*elopment
%' in*ention
e' !ustomer want
Answer- " .age- 5 Diffi!ulty- Me%ium AAC5(- /efle!ti*e :hinking
=B
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112' Car rental firms, "ar"ers, an% management !onsultants pro*i%e 11111111'
a' goo%s
"' e3perien!es
!' pla!es
%' ser*i!es
e' information
Answer- % .age- < Diffi!ulty- ,asy AAC5(- Analyti! 5kills
114' alt DisneyNs Magi! King%om represents 11111111 marketing- Customers *isit a fairy
king%om, a pirate ship, or a haunte% house'
a' e3periential
"' ser*i!es
!' e*ent
%' !ele"rity
A7
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e' goo%s
Answer- a .age- < Diffi!ulty- Me%ium AAC5(- Analyti! 5kills
119' Janet is *ery upset that she !anNt get ti!kets to the new /olling 5tones !on!ert' Ohy %o
they keep a%*ertising the show if you !anNt get ti!kets#P won%ers Janet' hi!h of the following
%eman% states applies to JanetNs situation#
a' none3istent %eman%
"' latent %eman%
!' full %eman%
%' unwholesome %eman%
e' o*erfull %eman%
Answer- e .age- A Diffi!ulty- Me%ium AAC5(- Analyti! 5kills
A1
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115' hen Ja!k pur!hases his airD!on%itioning unit in the winter to a*oi% the high pri!es foun% in
the summer, he is e3hi"iting 11111111 %eman%'
a' irregular
"' %e!lining
!' impulse
%' latent
e' negati*e
Answer- a .age- A Diffi!ulty- Me%ium AAC5(- Analyti! 5kills
11<' Julia hates smoking an% is willing to pay an e3tra ta3 )ust to help eliminate smoking in her
!ity' 5he is e3hi"iting 11111111 with respe!t to smoking'
a' negati*e %eman%
"' none3istent %eman%
!' latent %eman%
A2
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%' %e!lining %eman%
e' unwholesome %eman%
Answer- a .age- A Diffi!ulty- Me%ium AAC5(- Analyti! 5kills
11=' $n a mo%ern e3!hange e!onomy, all of the following markets are likely to e3ist ,IC,.:
11111111'
a' resour!e market
"' manufa!turer market
!' go*ernment market
%' !onsumer market
e' !lass market
Answer- e .age- B Diffi!ulty- Me%ium AAC5(- /efle!ti*e :hinking
A4
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11A' $n a simple marketing system, if the automo"ile in%ustry sen%s a%*ertising an% personal
sales messages to prospe!ti*e "uyers, it e3pe!ts 11111111 in e3!hange'
a' goo%s
"' ser*i!es
!' money
%' information
e' image enhan!ement
Answer- % .age- B Diffi!ulty- Me%ium AAC5(- Analyti! 5kills
11B' Automo"ile manufa!tures, new !ar an% use% !ar %ealers, finan!ing !ompanies, an%
insuran!e !ompanies are all part of the automo"ile 11111111'
a' marketpla!e
"' marketspa!e
!' metame%iary
A9
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%' marketportal
e' metamarket
Answer- e .age- 17 Diffi!ulty- Me%ium
127' hen Frank i%entifies a marketing opportunity to market his !ompanyNs ski an% snow"oar%
helmets to "a"y "oomers intereste% in winter sports through a%*ertisements in enthusiast
maga&ines, Frank is going through the 11111'
a' metamarket
"' marketing planning pro!ess
!' so!ial marketing !on!ept
%' supply !hain !onglomeration
e' negati*e %eman%
Answer- " .age- 11 Diffi!ulty- Me%ium AAC5(- Analyti! 5kills
A5
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121' hen a !ustomer has a(n) 11111111 nee%, the !ustomer might e3pe!t something like
a%miration from frien%s "e!ause he or she has pur!hase% something that might in%i!ate a !ertain
market sa**y'
a' real
"' unstate%
!' %elight
%' se!ret
e' state%
Answer- % .age- 14 Diffi!ulty- 8ar% AAC5(- Analyti! 5kills
122' hen Col*o runs a%*ertisements suggesting that it is the safest !ar money !an "uy, it is
engaging in whi!h of the following forms of marketing programming#
a' :e!hnologi!al
"' 5er*i!e
!' Market segmentation
A<
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%' .u"li! relations
e' .ositioning
Answer- e .age- 14 Diffi!ulty- Me%ium AAC5(- Communi!ation
124' hen online %otD!oms, su!h as e(ay an% Ama&on'!om !ut out the ma)ority of mi%%lemen
that normally woul% parti!ipate in the e3!hange pro!ess, they were a%*o!ating 11111111'
a' !ategory killers
"' e*eryD%ayDlow pri!es
!' reinterme%iation
%' %isinterme%iation
e' supply !hain !onglomeration
Answer- % .age- 1< Diffi!ulty- Me%ium AAC5(- Hse of $:
A=
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129' Hn%er whi!h of the following !ompany orientations towar% the marketpla!e woul% we
e3pe!t to fin% the O"etter mousetrapP falla!y#
a' .ro%u!tion !on!ept
"' .ro%u!t !on!ept
!' 5elling !on!ept
%' Marketing !on!ept
e' 8olisti! marketing !on!ept'
Answer- " .age- 1A Diffi!ulty- 8ar% AAC5(- /efle!ti*e :hinking
125' $f marketers are !hara!teri&e% as Ogar%eningP rather than Ohunting,P the 11111111 is most
likely to "e the !on!ept the marketers are following'
a' pro%u!tion !on!ept
"' pro%u!t !on!ept
!' selling !on!ept
AA
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%' marketing !on!ept
e' so!ial responsi"ility !on!ept
Answer- % .age- 1B Diffi!ulty- 8ar% AAC5(- /efle!ti*e :hinking
12<' hen 4M, 8., an% Motorola pra!ti!e resear!hing or imaging latent nee%s of !onsumers
through a Opro"eDan%DlearnP pro!ess, they are most likely using whi!h of the following
marketing orientations with respe!t to their !onsumers#
a' 5elling orientation
"' .romotion orientation
!' 5upplyDsi%e orientation
%' /ea!ti*e market orientation
e' .roa!ti*e marketing orientation
Answer- e .age- 1B Diffi!ulty- Me%ium AAC5(- /efle!ti*e :hinking
AB
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12=' Companies that pra!ti!e 11111111 are implementing a total market orientation an% are
likely to "e the most su!!essful'
a' rea!ti*e market orientation
"' proa!ti*e marketing orientation
!' "oth rea!ti*e an% proa!ti*e marketing orientation
%' !onsoli%ation an% a!>uisition
e' Oin*ent an% marketP
Answer- ! .age- 1B Diffi!ulty- Me%ium AAC5(- /efle!ti*e :hinking
12A' $n whi!h of the following %imensions of holisti! marketing might we fin% an emphasis on
!ommuni!ations, pro%u!ts an% ser*i!es, an% !hannels#
a' $nternal marketing
"' $ntegrate% marketing
!' 5o!ially responsi"le marketing
B7
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%' Qlo"al marketing
e' /elationship marketing
Answer- " .age- 21 Diffi!ulty- Me%ium AAC5(- Analyti! 5kills
129. Kroger supermarkets are aggressively pursuing a strategy of capturing a larger share of the
customer’s “stomach.” Which of the following shifts in marketing management is most appropriate for
this example
a. !rom relying on ol" market positions to uncovering new ones.
#. !rom marketing "oes the marketing to everyone "oes the marketing.
c. !rom a focus on gaining market share to a focus on #uil"ing customer share.
". !rom focusing on profita#le transactions to focusing on customer lifetime value.
e. !rom #uil"ing #ran"s through a"vertising to #uil"ing #ran"s through performance an" integrate"
communications.
$nswer% c &age% 22 'ifficulty% (ar" $$)*+% $nalytic *kills
1,-. $ num#er of companies.inclu"ing the +o"y *hop/ +en 0 1erry’s/ an" &atagonia.have achieve"
nota#le sales an" profit gains #y a"opting an" practicing a form of the societal marketing concept
calle" 22222222/ #y which a company with an image/ pro"uct/ or service to market #uil"s a
relationship or partnership with a cause/ or a num#er of causes/ for mutual #enefit.
a. social marketing
#. environmental marketing
c. cause3relate" marketing
". #enefit marketing
e. responsi#le marketing
$nswer% c &age% 24 'ifficulty% 5asy
*hort $nswer
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1,1. What woul" #e a goo" social "efinition of marketing
*uggeste" $nswer% 6arketing is a societal process #y which in"ivi"uals an" groups o#tain what they
nee" an" want through creating/ offering/ an" freely exchanging pro"ucts an" services of value with
others.
&age% 7 'ifficulty% 6e"ium
1,2. 'iscuss the eight "eman" states with respect to #ifocal lenses for glasses.
*uggeste" $nswer% *tu"ent answers may vary/ #ut a possi#le answer inclu"es the following% 819 negative
"eman".many people "on’t want to a"mit they nee" #ifocals/ 829 nonexistent "eman".when #ifocal
lenses were first intro"uce"/ people "i"n’t know they existe"/ 8,9 latent "eman".#efore they were
intro"uce"/ many people thought such a pro"uct woul" #e nice/ #ut "i"n’t think it woul" ever exist/
8:9 "eclining "eman".this will occur when something #etter is invente"/ such as surgery to repair the
eyes/ 879 irregular "eman".the consumer perceives a nee" for eye care "evices only perio"ically/
possi#ly when they #egin having trou#le seeing/ 8;9 full "eman".the manufacturers of the lenses are
making all they possi#ly can/ 849 overfull "eman".the manufacturers of the lenses can’t make enough
an" inventories are low/ an" 8<9 unwholesome "eman".seeking alternatives/ consumers may fin" that
alternatives have un"esira#le social conse=uences.
&age% < 'ifficulty% (ar" $$)*+% >eflective ?hinking
1,,. @ew terms are now #eing use" to "escri#e where marketing is "one. Asing the automo#ile market/
"escri#e automotive #uying #ehavior for a% 819 marketplace/ 829 marketspace/ an" 8,9 metamarket.
*uggeste" $nswer% >esponses to this =uestion shoul" inclu"e a reference to the following% 819
marketplace.shopping for an automo#ile at a "ealer’s lot/ 829 marketspace.shopping for an
automo#ile via the Bnternet/ e+ay/ or even "esigning your own car via a manufacturer’s We# site/ an"
8,9 metamarket.8a cluster of complementary pro"ucts an" services that are closely relate" in the
customer’s min" #ut are sprea" across a "iverse set of in"ustries9 that might inclu"e insurance
companies/ the racing in"ustry/ the travel in"ustry/ the customiCation in"ustry/ et cetera. Bn"ivi"ual
answers might vary.
&age% 1- 'ifficulty% 6e"ium $$)*+% $nalytic *kills
1,:. B"entify the five key functions of the )6D in lea"ing marketing within the organiCation.
*uggeste" $nswer% ?he five key functions of the )6D in lea"ing marketing within the organiCation are%
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819 strengthening #ran"s/ 829 measuring marketing effectiveness/ 8,9 "riving new3pro"uct "evelopment
#ase" on customer nee"s/ 8:9 getting meaningful customer insights/ 879 utiliCing new marketing
technology.
&age% 11 'ifficulty% 6e"ium $$)*+% >eflective ?hinking
1,7. $ssume that you have #een given the task of assisting a company in "esigning its marketing
planning process. What components shoul" #e in such a process +e specific in your answer.
*uggeste" $nswer% ?he marketing planning process consists of analyCing marketing opportunities/
selecting target markets/ "esigning strategies/ "eveloping marketing programs/ an" managing the
marketing effort. *tu"ents might also review !igure 1.; for a""itional information.
&age% 11 'ifficulty% (ar" $$)*+% $nalytic *kills
1,;. )onsumers often have many nee"s that are not rea"ily o#vious. 1ust o#serving their #ehavior
insi"e a retail store is not enough to get a true feel for their “nee"s.” Eist an" #riefly "escri#e the five
types of nee"s that most consumers have.
*uggeste" $nswer% ?he various consumer nee"s are% 819 state" nee"s.what the consumer says he or
she wants.a car/ 829 real nee"s.the customer wants a car whose operating costs/ not its initial price/
is low/ 8,9 unstate" nee"s.the customer expects goo" service an" honesty from the "ealer/ 8:9 "elight
nee"s.the customer woul" like a 'F' player set3up thrown in to guarantee a =uick signing of the
purchase agreement/ an" 879 secret nee"s.inner fantasies such as gaining prestige with mem#ers of
the opposite sex or frien"s.
&ages% 12G1, 'ifficulty% (ar" $$)*+% $nalytic *kills
1,4. Wal36art knows that to reach its target markets three kin"s of marketing channels may #e use".
What are these three marketing channels an" how might Wal36art use each of them
*uggeste" $nswer% ?he three marketing channels are communication/ "istri#ution/ an" service
channels. Wal36art coul" use a"vertising to communicate price specials to consumers 8communication
channel9/ use wholesalers to assem#le merchan"ise assortments to #e sol" in the Wal36art stores
8"istri#ution channels9/ an" use transportation companies 8service channels9 to exten" Wal36art’s
glo#al reach.
&age% 1: 'ifficulty% (ar" $$)*+% $nalytic *kills
1,<. ?he marketplace isn’t what it use" to #e. Eist an" #riefly "iscuss what new #ehaviors/ new
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opportunities/ an" new challenges await the marketer in the 21st century.
*uggeste" $nswer% >esponses to this =uestion shoul" inclu"e% 819 changing technology/ 829 glo#aliCation/
8,9 "eregulation/ 8:9 privatiCation/ 879 customer resistance/ 8;9 heightene" competition/ 849 in"ustry
convergence/ 8<9 retail transformation/ an" 899 "isinterme"iation.
&ages% 17G1; 'ifficulty% (ar" $$)*+% >eflective ?hinking
1,9. ?he "igital revolution has place" a whole new set of capa#ilities in the han"s of consumers an"
#usinesses. )onsi"er what consumers have to"ay that they "i"n’t have yester"ay. $s in"icate" in the
chapter/ what woul" appear on such a list
*uggeste" $nswer% >esponses to this =uestion shoul" inclu"e% 819 a su#stantial increase in #uying
power/ 829 a greater variety of availa#le goo"s an" services/ 8,9 a great amount of information a#out
practically anything/ 8:9 a greater ease in interacting an" placing an" receiving or"ers/ an" 879 an
a#ility to compare notes on pro"ucts an" services.
&age% 1; 'ifficulty% (ar" $$)*+% Ase of B?
1:-. 'iscuss the concept of "isinterme"iation an" provi"e an example.
*uggeste" $nswer% 'isinterme"iation grew out of the rush to em#race the "ot3coms an" e3commerce.
5ssentially/ the "ot3coms remove" many of the tra"itional interme"iaries that #rought goo"s an"
services to consumers #y encouraging consumers to "eal "irectly with the "ot3coms via the Bnternet.
“+rick3an"3click” #usinesses eventually #rought some of the interme"iaries #ack through a process
calle" reinterme"iation.
&age% 1; 'ifficulty% 6e"ium $$)*+% Ase of B?
1:1. ?he Bnternet has given to"ay’s companies a new set of capa#ilities. $mong those capa#ilities is the
a#ility to operate a new information channel. 'escri#e how information can #e use" #y the marketer in
this new channel.
*uggeste" $nswer% )ompanies can operate a powerful new information an" sales channel/ the Bnternet/
with augmente" geographical reach to inform an" promote their #usinesses an" pro"ucts worl"wi"e.
+y esta#lishing one or more We# sites/ a company can list its pro"ucts an" services/ its history/ its
#usiness philosophy/ its Ho# opportunities/ an" other information of interest to visitors. !or a""itional
information/ see chapter section.
&age% 14 'ifficulty% 6e"ium $$)*+% Ase of B?
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1:2. $rthur 1ones has "eci"e" to #uil" his manufacturing #usiness 8lawn mowers9 aroun" the
pro"uction concept. Bf this approach is taken/ what will #e 6r. 1ones’ primary areas of concentration as
he #uil"s his #usiness
*uggeste" $nswer% ?his orientation hol"s that consumers will prefer pro"ucts that are wi"ely availa#le
an" inexpensive. 6anagers of pro"uction3oriente" #usinesses concentrate on high pro"uction
efficiency/ low costs/ an" mass "istri#ution. ?his approach is also use" when a company wants to
expan" the market. *tu"ents may use these facts as they "esign their answer.
&age% 1< 'ifficulty% 6e"ium $$)*+% $nalytic *kills
1:,. Bllustrate the "ifferences #etween a reactive market orientation an" a proactive marketing
orientation. Iive an example of a company that uses a proactive marketing orientation
*uggeste" $nswer% Bn a reactive market orientation a company might #e content to keep up with
un"erstan"ing an" meeting customers’ expresse" nee"s. Bn a proactive market orientation a company
such as 6otorola might prefer to make a practice of researching an" imagining latent nee"s through a
“pro#e3an"3learn” process. *tu"ents’ answers may vary #ut the #asic concepts of reaction an"
proactivity shoul" #e clear in answers.
&age% 19 'ifficulty% 6e"ium $$)*+% $nalytic *kills
1::. ?he ultimate outcome of relationship marketing is the #uil"ing of a uni=ue company asset calle" a
marketing network. What woul" #e the parts of a marketing network for a motorcycle company such as
(arley3'avi"son
*uggeste" $nswer% $ marketing network consists of the company an" its supporting stakehol"ers. ?hese
stakehol"ers 8in (arley3'avi"son’s case9 might #e customers/ employees/ suppliers/ "istri#utors/
retailers/ repair services/ a" agencies/ lo##y groups/ an" motorcycle support clu#s. ?he operating
principle is simple% +uil" an effective network of relationships with key stakehol"ers/ an" profits will
follow.
&age% 22 'ifficulty% 6e"ium $$)*+% $nalytic *kills
1:7. Ein"a 5vans has #een given the task of "eveloping the pro"uct portion of her company’s marketing
mix. Eist the components that will likely #e inclu"e" in this element of the marketing mix.
*uggeste" $nswer% &ro"uct variety/ =uality/ "esign/ features/ #ran" names/ packaging/ siCes/ services/
warranties/ an" returns are the key elements of the pro"uct portion of the marketing mix. ?o see a
more complete "iagram of the four &s process/ see !igure 1.7.
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&age% 2, 'ifficulty% 6e"ium $$)*+% $nalytic *kills
1:;. 'iscuss how companies can use the Bnternet to #uil" their #ran"s. Iive an example of a company
that has "one so.
*uggeste" $nswer% Dnline marketing activities can #e use" to #uil" #ran"s #y increasing consumer
exposure to the #ran" an" creating an interactive experience #etween the customer an" the #ran"/
giving consumers access not only to company3create" information #ut also consumer3generate"
content. !or example/ )arnival )onnections/ an online cruise3#ooking site/ ma"e it easy for cruise fans
to compare notes on cruise "estinations an" on#oar" entertainment.
&ages% 2,G2: 'ifficulty% 6e"ium $$)*+% >eflective ?hinking
1:4. 'efine internal marketing an" its role in the company. Dutline how various "epartments within the
company outsi"e marketing can "emonstrate a customer focus.
*uggeste" $nswer% Bnternal marketing must take place on two levels. $t one level/ the various
marketing functions must work together. $t the secon" level/ other "epartments must em#race
marketing an" “think customer.” *tu"ents may use ?a#le 1.1 to furnish various examples of customer3
centric focus outsi"e the marketing "epartment.
&ages% 2:G27 'ifficulty% (ar" $$)*+% >eflective ?hinking
1:<. $ccor"ing to information provi"e" in the chapter/ 6c'onal"’s has #een involve" in a variety of
corporate social initiatives. Iive an example of how 6c'onal"’s might initiate cause3relate" marketing/
an" "efine what cause3relate" marketing is.
*uggeste" $nswer% )ause3relate" marketing is "onating a percentage of revenues to a specific cause
#ase" on revenue occurring "uring the announce" perio" of support. ?he example use" in the chapter
note" 6c'onal"’s earmarking of J1 for >onal" 6c'onal" )hil"ren’s )harities from the sale of every +ig
6ac an" piCCa sol" on 6c(appy 'ay. *tu"ents may create a""itional examples #ut each shoul" meet
the parameters set a#ove.
&age% 24 'ifficulty% 6e"ium $$)*+% $nalytic *kills
1:9. Kou have #een given the assignment of Hustifying cause3relate" marketing to your #oar" of
"irectors. What woul" #e your primary argument in favor of such a proposal
*uggeste" $nswer% )ompanies see cause3relate" marketing as an opportunity to enhance their
corporate reputation/ raise #ran" awareness/ increase customer loyalty/ #uil" sales/ an" increase press
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coverage. ?hey #elieve customers will increasingly look for signs of goo" corporate citiCenship that go
#eyon" supplying rational an" emotional #enefits.
&age% 24 'ifficulty% (ar" $$)*+% 5thical >easoning
17-. Kour firm is in the process of moving from focusing on a financial scorecar" as the #asis for running
an" evaluating your organiCation to a marketing scorecar" approach. What is a marketing scorecar"
approach an" what might #e some of its components
*uggeste" $nswer% ?op management is going #eyon" sales revenue alone to examine the marketing
scorecar". ?o"ay/ the shift to the marketing scorecar" attempts to interpret what is happening to
market share/ customer loss rate/ customer satisfaction/ pro"uct =uality/ an" other measures.
6anagers know changes in marketing in"icators pre"ict changes in financial results.
&ages% 2;G24 'ifficulty% (ar" $$)*+% >eflective ?hinking
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