Devry BUSN319 final exam august 2015

Question

Question 1.1. (TCO 4) Three commonly used methods of evaluating marketing programs are marketing metrics, marketing dashboards, and (Points : 5)

marginal analysis.

marketing audits.

marketing ROI.

marginal analysis.

marketing control boards.

Question 2.2. (TCO 1) Ideally in effective marketing planning, goals should be _____ in terms of what is to be accomplished and when. (Points : 5)

loose and vague

as general as possible

flexible or elastic

quantified and measurable

None of the above

Question 3.3. (TCO 3) Which marketing strategy focuses on a single market segment but adds additional product lines? (Points : 5)

Full coverage

Market specialization

Product specialization

Selective specialization

Market-product concentration

Question 4.4. (TCO 1) Based on relative competitive scope (broad target to narrow target) and source of competitive advantage (lower cost to differentiation), Porter's four generic business strategies are differentiation, cost focus, differentiation focus, and (Points : 5)

exclusivity.

electronic-focus.

quality focus.

cost leadership.

service leadership.

Question 5.5. (TCO 1) Step 3 in the planning phase of the strategic marketing process is (Points : 5)

the situation analysis.

the market-product focus and goal setting.

the marketing program.

implementation.

obtaining resources.

Question 6.6. (TCO 1) The consumer products industry is one with several large competitors, soaring raw materials prices, and strong demands from powerful retailers for lower prices. As a result, Colgate-Palmolive Co. and Unilever Group, the makers of products such as Colgate toothpaste and Ben & Jerry’s ice cream, both reduced their earnings forecasts. Yet Procter & Gamble, another consumer products company, did not. At P & G, innovation is a key attribute, allowing the company to update all 200 of its brands and to invent products, such as Crest Whitestrips, that consumers crave. P & G has also used its marketing know-how to develop unique product placements on television shows that highlight its brands. A SWOT analysis of this information for P & G would indicate that the overall industry situation is a _____, whereas the invention taking place at P & G is a _____. (Points : 5)

strength; weakness

weakness; threat

threat; strength

opportunity; threat

opportunity; strength

Question 7.7. (TCO 3) All of the following steps are part of the planning process used to develop an organization's advertising program, except (Points : 5)

identify the target audience.

specify the advertising objectives.

write the advertising copy.

calculate the marketing ROI.

schedule the advertising program.

Question 8.8. (TCO 2) The proper blend of elements in the promotional mix depends on the type of product. The three specific characteristics to be considered are complexity, _____, and ancillary services. (Points : 5)

risk

size

durability

accessibility

acceptability

Question 9.9. (TCO 4) At which stage in the product life cycle would your promotional objective be to persuade the consumer to buy the product rather than substitutes? (Points : 5)

Introduction

Growth

Incubation

Decline

Maturity

Question 10.10. (TCO 2) The _____ can be used to inform prospective buyers about the benefits of the product. (Points : 5)

SWOT analysis

maturity stage

marketing matrix

promotional mix

target audience

Question 11.11. (TCO 7) Which of the following statements about the terms used for marketing intermediaries is true? (Points : 5)

The most precise terms used to describe marketing intermediaries are dealer and distributor.

A retailer sells to consumers.

An agent has no legal authority to act on behalf of a manufacturer.

A wholesaler is an intermediary who sells to consumers.

Broker is a synonym for a dealer.

Question 12.12. (TCO 7) Which of the following statements about the legal and regulatory aspect of pricing is true? (Points : 5)

The Robinson-Patman Act deals with predatory pricing.

The Consumer Goods Pricing Act is the only federal legislation that deals directly with pricing issues.

The Sherman Act deals only with vertical price fixing.

The Federal Trade Commission Act deals with predatory pricing, deceptive pricing, and geographical pricing issues.

The Consumer Goods Pricing Act and the Robinson-Patman Act deal with price discrimination.

Question 13.13. (TCO 2) Which of the following is not one of the six major pricing objectives? (Points : 5)

Profit

Unit volume

Monopoly

Survival

Market share

Question 14.14. (TCO 3) The ratio of _____ to price is called value. (Points : 5)

perceived benefits

prestige value

value-added pricing

perceived revenue

perceived costs

Question 15.15. (TCO 6) Market segmentation involves aggregating prospective buyers into groups that will respond similarly to a marketing action and (Points : 5)

will pay attention to marketing messages.

have common needs.

be responsive to marketing research.

use the same payment methods.

go shopping on a regular basis.

Question 16.16. (TCO 5) Which of the following statements about environmental scanning is true? (Points : 5)

Environmental scanning changes the marketing environment.

Environmental scanning identifies and interprets potential trends.

Environmental scanning is an annual event.

Environmental scanning focuses primarily on geographical factors.

All of the above

Question 17.17. (TCO 1) The marketing department helps keep the organization focused on creating value both for it and for customers. This is accomplished by (Points : 5)

listening to customers.

developing offerings.

producing offerings.

implementing marketing program activities.

All of the above

Question 18.18. (TCO 1) Which of the following acts as a barrier to the development of relationship marketing? (Points : 5)

The large number of one-to-one relationships that customers are asked to sustain

The large number of products on the market

The increasing number of retail stores that are closing

The changing regulatory environment

Diluted cultural diversity

Question 19.19. (TCO 1) A local university in Lynchburg, VA offers an outstanding business school education. Cali pays the tuition to attend Daniels and earns her MBA with a concentration in supply chain management. Upon graduating, she is offered a high-paying, fulfilling position. Was this a marketing exchange? (Points : 5)

No, because the university is a private one.

Yes, because the university is profitable.

Yes, because paying tuition was exchanged for knowledge that directly led to Cali's fulfilling new job.

No, because money was exchanged.

No, because the school did not provide Cali with a product.

Question 20.20. (TCO 6) Which of the following is the best description of the target market for the latest Disney animated movie? (Points : 5)

Everyone who can afford to buy a movie ticket

Everyone who likes movies

Professionals who are parents of children between the ages of 6 and 12

People who collect movie memorabilia

People who live near a movie theater

Question 21.21. (TCO 3) The owners of Old School Brand Authentic Antique Foods researched Civil War records to come up with recipes for the old-fashioned products it markets. Concern about the _____ element of the marketing mix would make it eager to be featured in an upcoming edition of Taste of Home magazine. (Points : 5)

product

price

promotion

place

production

Question 22.22. (TCO 5) The Lemon Tree is a high-fashion boutique selling top-of-the-line women's clothing and accessories. The keys to its success include knowing the customers' changing tastes and providing something different from other retailers. In addition, because of the high value of the merchandise, The Lemon Tree's management is exploring the use of computerized inventory controls and sales order processing. From this description, one can infer that the environmental category of least importance to The Lemon Tree is (Points : 5)

economic.

regulatory.

technological.

social.

competitive.

Question 23.23. (TCO 7) Recently, a federal appeals court rendered a unanimous decision that Microsoft Corp. does not have an automatic right to put whatever features it wants into its Windows operating system; rather, each new feature needs to be evaluated separately. Many of these features are also made by much smaller companies. This ruling grew out of the power that Microsoft holds in the software market, because it owns a major share of the marketplace. What purpose did this ruling have? (Points : 5)

Protecting companies from one another

Protecting consumers from unfair trade practices

Protecting the future interests of society from dangerous business practices

Protecting consumers from one another

Protecting businesses from unfair consumer practices

Question 24.24. (TCO 6) Archer Daniels Midland (ADM) Co. is the world's largest cocoa bean processor. It buys cocoa beans and converts the beans into cocoa powder and cocoa butter, which it sells to companies that manufacture consumer products that contain chocolate. The cocoa bean processor is operating in a(n) _____ market. (Points : 5)

reseller

government

psychographic

product-intensive

industrial

Question 25.25. (TCO 1) Several years ago, SwissAir made some unwise investments to pay for a planned expansion. As a result, the company had to make some cost-cutting moves that alienated its customers. Eventually the company declared bankruptcy, regrouped, and found itself able to resume business. Its board of directors recently announced that the company would like to resume flying. Before resuming flying, SwissAir needed to determine what percentage of its former customers it could expect to return to the airline. If not enough former customers were willing to use SwissAir again, the resumption of flights would not be profitable. The determination of the percentage of returning patrons that would be needed to resume operation is an example of a (Points : 5)

research risk.

research objective.

research uncertainty.

research decision.

research definition.

Question 26.26. (TCO 3) Direct Protect is an insurance provider that uses telemarketers rather than insurance agents to sell its insurance and to deal with claims. It wants to introduce its product into new markets, but before it does so, it wants to have a prediction of how successful its sales efforts will be. One of the first things researchers did was to invite a group of eight people with insurance to talk about home and auto insurance with a moderator. One of the purposes of this exploratory research was to gather information about the group members' attitudes toward insurance and their awareness of Direct Protect. Although additional research still needs to be done, the marketing researchers were able to use a focus group to gather _____ data. (Points : 5)

hypothetical

generative

questionnaire

evaluative

experiential

Question 27.27. (TCO 4) Sara Burns is the owner of a company called Spice and was looking for a new product to go with her company's line of food condiments when a customer suggested combining spices with tea. This is an example of (Points : 5)

accidental invention.

idea generation.

bootlegging ideas.

serendipitous management.

serendipitous innovation.

Question 28.28. (TCO 4) In the 1960s, television westerns were extremely popular. The shows were adventure shows with settings and costumes that were very unlike what really existed. There were Bonanza, Wagon Train, The Virginian, Laramie, and so on. When viewers gradually stopped watching this category of programs, production companies found that the networks no longer wanted to televise such shows. The television western as a product category entered the _____ stage. (Points : 5)

decay

diversification

decline

maturity

harvesting

Question 29.29. (TCO 7) When an Avon representative sells cosmetics door-to-door, it is an example of which type of marketing channel? (Points : 5)

Direct channel

Indirect channel

Strategic channel alliances

Marketing channel

Dual distributive channel

Question 30.30. (TCO 2) Disney is using an integrated marketing communications program (IMC) to promote group travel to its theme parks, because (Points : 5)

its strategy includes using all types of promotional activities that deliver a consistent message.

it does not want to reach any member of its target audience more than once.

IMC is less expensive than other forms of promotion, such as public service announcements.

if it didn't, Disney would have to use indirect personal selling.

it is more concerned about frequency than reach.

Question 31.31. (TCO 2) When a news story covers a terrible disaster and viewers are asked to send donations to the American Red Cross, the American Red Cross is receiving (Points : 5)

publicity.

advertising.

direct marketing.

personal selling.

a public service announcement.

Question 32.32. (TCO 7) For several years, advertisements for Arm & Hammer Baking Soda have prompted consumers to place an opened box of the product in the refrigerator to lessen food odor and to replace that box monthly. The same ads advise customers to pour the used box down their kitchen sinks to freshen drains. Arm & Hammer employed a _____ strategy in its attempt to sell more baking soda. (Points : 5)

market penetration

market development

product development

diversification

product penetration

Page 2

Question 1. 1. (TCO 1) In China, many people are removing their money from the state banks and lending it out themselves. The interest rate earned in a state bank account is about one half the rate of inflation. On the other hand, loaning money to friends, relatives, and even unrelated entrepreneurs can often earn the investor double or more over the inflation rate. The gray market, an underground network of investors and private businesses, moves the cash from lenders to businesses. Judge whether marketing occurred in this situation, and justify your conclusions. Appraise the effectiveness of government regulation in controlling markets. (Points : 30)

Question 2. 2. (TCO 3) Imagine that you are creating a marketing plan for a company that will sell motor scooters. As you consider the marketing program, what types of strategy should you consider including in the plan? Propose one specific example of each type of strategy that you are considering, and present your rationale (reasoning) for your strategy selections. (Points: 30)

Question 3. 3. (TCO 4) You are the product manager responsible for a horrible product failure, but in your wisdom, you are evaluating why the product failed. What factors would you consider in your evaluation? What actions could you have taken to prevent the failure? Does product innovation need a willingness to accept failure? (Points: 30)

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    ****** *** **** near a ***** ********

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    Protecting ********* from *** ********

    Protecting ********* **** unfair ***** **********

    Protecting *** ****** ********* ** ******* **** ********* ******** practices

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    ********** businesses from ****** ******** **********

    ******** **** (TCO ** ****** ******* ******* (ADM) ** ** *** *********** ******* ***** **** processor It buys ***** beans and ******** *** ***** **** cocoa ****** *** ***** ****** ***** ** ***** to ********* that *********** consumer ******** **** contain ********* *** cocoa **** ********* ** ********* in **** ***** market ******* : ***

    reseller

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    **************

    product-intensive

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    research *********

    research ***********

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    *************

    generative

    questionnaire

    evaluative

    experiential

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    ********** **********

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    ******

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    Question **** (TCO 2) **** * **** ***** ****** a terrible ******** and ******* *** asked to send donations to the American *** Cross the ******** *** ***** ** receiving (Points * ***

    **********

    ************

    direct marketing

    ******** ********

    a ****** service *************

    ******** **** (TCO ** For several ***** ************** *** Arm & Hammer ****** Soda **** prompted ********* ** ***** an ****** *** ** *** ******* ** *** refrigerator ** ****** **** **** and to replace **** box monthly The **** ads advise ********* ** **** *** **** *** down their ******* ***** ** freshen ****** *** & ****** ******** * _____ ******** ** its attempt ** **** **** ****** **** ******* * ***

    ****** ************

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    ******* ************

    ****************

    product penetration

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    ******** * * **** ** In ***** **** ****** *** removing ***** ***** from *** ***** ***** *** ******* it *** themselves *** ******** **** earned ** * ***** **** ******* ** ***** one **** *** **** of ********* ** *** ***** hand ******* ***** to ******* ********* and even ********* ************* *** ***** earn the ******** ****** or **** **** *** ********* **** *** **** ****** ** *********** ******* ** ********* and ******* ********** ***** *** cash from lenders ** businesses Judge whether marketing ******** ** **** ********* *** ******* your conclusions ******** the ************* ** ********** ********** ** *********** markets ******* : 30)

    Question * * (TCO 3) Imagine **** *** *** ******** * ********* plan *** * ******* **** will **** ***** ******** ** you consider *** ********* ******* **** types ** ******** should *** consider including ** *** plan? Propose *** specific example of each type ** ******** **** you *** considering *** ******* your rationale *********** *** **** ******** selections ******** ****

    ******** * * **** 4) *** are *** ******* ******* responsible for * ******** ******* failure *** in **** ****** you *** ********** why *** ******* ****** **** ******* ***** you ******** ** your evaluation? What actions ***** you **** ***** ** ******* *** ******** **** product ********** **** * *********** ** accept ******** ******** ***

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