1. Good marketing is no accident, but a result of careful planning and ________. a. Execution * b. selling c. strategies d. tactics e. research 2.

Marketing is both an art and a science there is constant tension between the

formulated side of marketing and the ________ side. a. Creative * b. selling c. management d. forecasting e. behavior 3. The most formal definition of marketing is ________. a. meeting needs profitably b. identifying and meeting human and social needs c. the 4Ps (Product, Price, Place, Promotion) d. an organizational function and a set of processes for creating, communicating, and delivering, value to customers, and for managing customer relationships in ways that benefit the organization and its stake holders.* e. improving the quality of life for consumers 4. Marketing management is ________. a. managing the marketing process b. monitoring the profitability of the companies products and services

c. selecting target markets d. developing marketing strategies to move the company forward e. the art and science of choosing target markets and getting, keeping, and growing customers through creating, delivering, and communicating superior customer value* 5. A transaction involves ________. a. at least two parties b. each party has something that might be of value to the other party c. each party is capable of communication and delivery d. each party is free to accept or reject the exchange offer e. all of the above * 6. A key ingredient of the marketing management process is insightful, ________ marketing strategies and plans that can guide marketing activities. a. creative * b. measurable c. macro d. micro e. niche 7. The traditional view of marketing is that the firm makes something and then ________ it. a. markets b. sells * c. distributes d. prices e. services

8. The first phase of the value creation and delivery sequence is ________ that represents the homework marketing must do before any product exists. a. choosing the value * b. market research c. target marketing d. service consideration e. projective thinking 9. The Japanese have refined the value delivery process to include a component that emphasizes ________. a. zero servicing b. zero customer feedback time * c. zero promotion d. zero dependency on intermediaries e. zero marketing costs 10. The ________ is a tool for identifying ways to create more customer value. a. value chain * b. customer survey c. brand loyalty index d. promotion channel e. supplier database 11. The major responsibility for identifying significant marketplace changes falls to the ________. a. U.S. Department of Labor b. company s marketers * c. American Marketing Association d. industry lobby groups found in Washington, D.C.

e. marketing research industry 12. All of the following questions EXCEPT ________, would be considered to be forms of information needs probes. a. What decisions do you regularly make? b. What information do you need to make decisions? c. What data analysis programs would you want? d. What magazines and trade reports would you like to see on a regular basis? e. What products would be most closely matched to consumer needs? * 13. ________ consists of people, equipment, and procedures to gather, sort, analyze, evaluate, and distribute needed, timely, and accurate information to marketing decision makers. a. A marketing information system * b. A marketing research system c. A marketing intelligence system d. A promotional campaign e. A marketing database 14. The company s marketing information system should be a cross between what managers think they need, what managers really need, and ________. a. what the marketing research department is able to do b. what consumers are willing to share c. what the competition is doing d. what is acceptable industry practice e. what is economically feasible * 15. Marketing managers rely on internal reports. By analyzing this information, they can

spot ________. a. micro-markets b. opportunities and problems * c. macro-markets d. competitive strategies e. consumer demographic units 16. ________ is the systematic design, collection, analysis, and reporting of data and findings relevant to a specific marketing situation facing the company. a. Marketing intelligence b. MIS (marketing information system) c. Marketing research * d. Demographics e. Marketing management 17. Companies normally budget marketing research at ________ percent of company sales. a. 1 to 2 * b. 2 to 3 c. 4 d. 6.5 e. 10 to 12 18. Which of the following types of marketing research firms would best be described as being one that gathers consumer and trade information which they sell for a fee (e.g., Nielsen Media Research)? a. Custom marketing research firms. b. Syndicated-service research firms. * c. Specialty-line marketing research firms.

d. General-line marketing research firms. e. Non-profit marketing research firms. 19. If a marketing research firm were also known as a field-service firm (e.g., it sells its field interviewing services to other firms), it would be called a ________. a. custom marketing research firm b. syndicated-service research firm c. specialty-line marketing research firm * d. general-line marketing research firm e. systematic marketing research firm 20. The first step in the marketing research process is to ________. a. develop a research plan b. define the problem and research objectives * c. analyze the internal environment d. read marketing research journals e. contact a professional consultant 21. ________ are adept at building customer relationships, not just products; they are skilled in market engineering, not just product engineering. a. Profit-centered companies b. Customer-centered companies * c. Production-centered companies d. Sales-centered companies e. Promotion-centered companies 22. The opening vignette on Washington Mutual indicates that, as the Washington Mutual experience shows, successful marketers are the ones that fully ________. a. understand promotional strategy b. diversify their product line

c. divorce themselves from a production mentality d. satisfy their customers * e. understand the sales concept 23. In the modern customer-oriented organizational chart, which of the following is considered to be at the top of the organizational pyramid? a. Sales are at the top of the organizational pyramid. b. The president is at the top of the organizational pyramid. c. Front-line people are at the top of the organizational pyramid. d. Customers are at the top of the organizational pyramid. * e. Middle management, because of their importance, is at the top of the organizational pyramid. 24. ________ is the difference between the prospective customer s evaluation of all the benefits and all the costs of an offering and the perceived alternatives. a. Perceived usefulness b. Failure avoidance rate c. Report rating d. Customer perceived value * e. Competitors market share rate 25.The bundle of costs customers expect to incur in evaluating, obtaining, using, and disposing of the given market offering, including monetary, time, energy, and psychic costs is called the ________. a. organizational expense ratio b. shopper s fatigue c. total customer cost * d. analysis paralysis e. comparison shopping to comparison buying ratio

26. ________ is defined as being relatively homogeneous and enduring divisions in a society, which are hierarchically ordered and whose members share similar values, interests, and behavior. a. Culture b. Subculture c. Social class * d. The family e. A group 27. Social classes show distinct product and brand preferences in all the following areas EXCEPT ________. a. clothing b. home furnishings c. leisure activities d. automobiles e. fast food * 28. ________ is the study of how individuals, groups, and organizations select, buy, use, and dispose of goods, services, ideas, or experiences to satisfy their needs and wants. a. Target marketing b. Psychographic segmentation c. Psychology d. Consumer behavior * e. Product differentiation 29. The fundamental determinant of a person s wants and behavior is the person s ________. a. psyche b. national origin

c. culture * d. peer group e. family tree 30. A child growing up in the United States is exposed to all of the following values EXCEPT ________. a. achievement and success b. activity c. efficiency and practicality d. the importance of the group in daily life * e. freedom 31. To create and capture value, sellers need to understand business organizations needs, resources, policies, and ________. a. demands b. protocols c. strategies d. buying procedures * e. personnel policies 32. Webster and Wind define ________ as the decision-making process by which formal organizations establish the need for purchased products and services and identify, evaluate, and choose among alternative brands and suppliers. a. marketing channels b. organizational buying * c. demand-oriented buying d. purchasing e. inventory control

33. The ________ consists of all the organizations that acquire goods and services used in the production of other products or services that are sold, rented, or supplied to others. a. business market * b. consumer market c. e-commerce market d. global market e. supplier market 34. Trained purchasing agents, who must follow their organization s ________, often purchase business goods. a. culture b. past purchasing history c. purchasing policies, constraints, and requirements * d. needs e. financial budgets 35. The demand for business goods is ultimately derived from the demand for ________. a. raw materials b. consumer goods * c. electronics d. business solutions e. e-commerce 36. Instead of scattering their marketing effort (a shotgun approach), many companies are now embracing target marketing where the focus is on those consumers that they have the greatest chance of satisfying (a ________ approach) with their products and services. a. rifle * b. focused c. niche

d. macro e. micro 37. In ________ marketing, the seller engages in the mass production, mass distribution, and mass promotion of one product for all buyers. a. group b. mass * c. general d. segmented e. differentiated 38. The argument for ________ marketing is that it creates the largest potential market, which leads to the lowest costs, which in turn can lead to lower prices or higher margins. a. niche b. micro c. macro d. differentiated e. mass * 39. A ________ consists of a group of customers who share a similar set of needs and wants. a. market target b. market group c. market slice d. market segment * e. market level 40. A ________ consists of two parts: a naked solution and discretionary options. a. differentiated market offering b. flexible market offering *

c. rigid market offering d. vertical market offering e. horizontal market offering 41. At the heart of a successful brand is ________, backed by creatively designed and executed marketing. a. price b. promotion c. a great product or service * d. a great slogan e. a brand concept 42. The strategic branch management process involves four main steps. Which of the following would NOT be among those steps? a. Measuring consumer brand knowledge. * b. Identifying and establishing brand positioning. c. Planning and implementing brand marketing. d. Measuring and interpreting brand performance. e. Growing and sustaining brand value. 43. The American Marketing Association defines a ________ as a name, term, sign, symbol, or design, or a combination of them, intended to identify the goods or services of one seller or group of sellers and to differentiate them from those of competitors. a. holistic product concept b. product concept c. service concept d. brand *

e. brand image 44. The earliest signs of branding in Europe were medieval ________ requirement that craftspeople put trademarks on their products to protect themselves and consumers against inferior quality. a. kings b. churches c. consumers d. governments e. guilds * 45. Consumers learn about brands through ________ and product marketing programs. a. the mass media b. past experiences with the product * c. the sales force d. shopping bots e. independent information sources 46. As part of the strategic brand management process, each company and offering must represent a distinctive ________ in the mind of the target market. a. promotion b. cell c. big idea * d. ad e. organizational concept 47. All marketing strategy is built on STP segmentation, targeting, and ________. a. Positioning * b. product c. planning

d. promotion e. performance 48. ________ is the act of designing the company s offering and image to occupy a distinctive place in the mind of the target market. a. Positioning * b. Product conceptualization c. Promotion presentation d. Performance imaging e. Pre-product launching 49. A(n) ________ is a group of firms that offer a product or class of products that are close substitutes for one another. a. industry b. cartel * c. cooperative d. monopoly e. demand field 50. When only one firm provides a certain product or service in a certain country or area a ________ exists. a. duopoly b. monopoly * c. oligopoly d. monopolistic competition e. pure competit

Multiple Choice
1. Good marketing is no accident, but a result of careful planning and ________. a. execution

b. selling c. strategies d. tactics e. research

2. The most formal definition of marketing is ________. a. meeting needs profitably b. identifying and meeting human and social needs c. the 4Ps (Product, Price, Place, Promotion) d. an organizational function and a set of processes for creating, communicating, and delivering, value to customers, and for managing customer relationships in ways that benefit the organization and its stake holders. e. improving the quality of life for consumers

3. Charles Revson of Revlon observed: In the factory, we make cosmetics; in the store, ________. a. we make profits b. we challenge competitors c. we implement ads d. we sell hope e. we sell quality

4. A key ingredient of the marketing management process is insightful, ________ marketing strategies and plans that can guide marketing activities. a. creative

b. measurable c. macro d. micro e. niche

5. The task of any business is to deliver ________ at a profit. a. customer needs b. products c. customer value d. products and services e. improved quality

6. Today, the mass-market is actually splintering into numerous ________, each with its own wants, perceptions, preferences, and buying criteria. a. micromarkets b. market targets c. macromarkets d. customer cliques e. demographic units

7. The Japanese have refined the value delivery process to include a component that emphasizes ________. a. zero servicing b. zero customer feedback time

c. zero promotion d. zero dependency on intermediaries e. zero marketing costs

8. The firm s success depends not only on how well each department performs its work, but also on how well the various departmental activities are coordinated to conduct ________. a. core strategies b. satellite businesses c. core values d. core business processes e. core technologies

9. The major responsibility for identifying significant marketplace changes falls to the ________. a. Ministry of Labor & Social Affairs b. company s marketers c. American Marketing Association d. industry lobby groups found in Washington, D.C. e. marketing research industry

10. Marketers have extensive information about how consumption patterns vary across countries. On a per capita basis within Western Europe, the ________ smoke the most cigarettes. a. Swiss b. Greeks

c. Irish d. Austrians e. French

11. The company s marketing information system should be a cross between what managers think they need, what managers really need, and ________. a. what the marketing research department is able to do b. what consumers are willing to share c. what the competition is doing d. what is acceptable industry practice e. what is economically feasible

12. A ________ is unpredictable, short-lived, and without social, economic, and political significance. a. fad b. fashion c. trend d. megatrend e. style

13. Which of the following countries is known for having 99 percent of its population literate? a. England b. Germany

c. France d. United States e. Japan

14. The twenty-first century saw ________ markets grow more rapidly again due to a higher birth rate, a lower death rate, and rapid growth from foreign immigration. a. suburban b. urban c. rural d. coastal e. secondary

15. ________ is the systematic design, collection, analysis, and reporting of data and findings relevant to a specific marketing situation facing the company. a. Marketing intelligence b. MIS (marketing information system) c. Marketing research d. Demographics e. Marketing management

16. Companies normally budget marketing research at ________ percent of company sales. a. 1 to 2 b. 2 to 3

c. 4 d. 6.5 e. 10 to 12

17. All of the following would be among the ways that small companies can conduct marketing research in creative and affordable ways EXCEPT ________. a. using the Internet b. engaging students to design and carry out projects c. checking out rivals d. engaging professors to design and carry out projects e. hiring syndicated-service research firms to conduct projects

18. The marketing manager needs to know the cost of the research project before approving it. During which of the following stages of the marketing research process would such a consideration most likely take place? a. Step 1 defining the problem. b. Step 1 creating decision alternatives. c. Step 1 drafting the research objectives. d. Step 2 develop the research plan. e. Step 3 information collection.

19. Some marketers prefer more ________ methods for gauging consumer opinion because consumer actions do not always match their answers to survey questions. a. quantitative

b. qualitative c. psychographic d. covert e. subliminal

20. If a marketing researcher selects the most accessible population members, he or she would have selected the ________ sampling method. a. simple random b. stratified random c. cluster d. judgment e. convenience

21. ________ are adept at building customer relationships, not just products; they are skilled in market engineering, not just product engineering. a. Profit-centered companies b. Customer-centered companies c. Production-centered companies d. Sales-centered companies e. Promotion-centered companies

22. ________ is the difference between the prospective customer s evaluation of all the benefits and all the costs of an offering and the perceived alternatives. a. Perceived usefulness

b. Failure avoidance rate c. Report rating d. Customer perceived value e. Competitors market share rate

23. One key to customer retention is ________. It would be wise for a company to measure this factor frequently. a. heavy promotion b. deep discounts for intermediaries c. to have an ethics officer d. customer satisfaction e. to have customers on the board of directors

24. A ________ customer is a person, household, or company that over time yields a revenue stream that exceeds by an acceptable amount the company s cost stream of attracting, selling, and servicing that customer. a. profitable b. semi-profitable c. unprofitable d. niche e. target

25. ________ is the study of how individuals, groups, and organizations select, buy, use, and dispose of goods, services, ideas, or experiences to satisfy their needs and wants. a. Target marketing

b. Psychographic segmentation c. Psychology d. Consumer behavior a. Product differentiation

26. The fundamental determinant of a person s wants and behavior is the person s ________. a. psyche b. national origin c. culture d. peer group e. family tree

27. A person s ________ consist(s) of all the groups that have a direct (face-to-face) or indirect influence on his/her attitudes or behavior. a. culture b. subculture c. psychographics d. reference groups e. demographics

28. Webster and Wind define ________ as the decision-making process by which formal organizations establish the need for purchased products and services and identify, evaluate, and choose among alternative brands and suppliers. a. marketing channels

b. organizational buying c. demand-oriented buying d. purchasing e. inventory control

29. The demand for business goods is ultimately derived from the demand for ________. a. raw materials b. consumer goods c. electronics d. business solutions e. e-commerce

30. Some customers are willing to handle price-oriented buyers by setting a lower price, but establishing restrictive conditions. All of the following would be among those conditions EXCEPT ________. a. limiting the quantity that can be purchased b. no refunds c. no adjustments d. no services e. no customer advertising

Answers to Multiple Choice Questions

3. Answer: d 4. Answer: a 5. Answer: c 6. Answer: a 7. Answer: b 8. Answer: d 9. Answer: b

Page: 9 Page: 35 Page: 36 Page: 37 Page: 38 Page: 38 Page: 72

10. Answer: d Page: 72 11. Answer: e Page: 73 12. Answer: a Page: 77 13. Answer: e Page: 83 14. Answer: b Page: 84 15. Answer: c Page: 102 16. Answer: a Page: 103 17. Answer: e Page: 103 18. Answer: d Pages: 104 112 19. Answer: b Page: 107 20. Answer: e Page: 110 21. Answer: b Page: 139 22. Answer: d Page: 141 23. Answer: d Page: 145 24. Answer: a Page: 149 25. Answer: d Page: 173

26. Answer: c Page: 174 27. Answer: d Page: 177 28. Answer: b Page: 210 29. Answer: b Page: 211 30. Answer: e Page: 216