Exam 20: Managing Marketings Link With Other Functional Areas

Marketing cost analysis usually requires a new way of classifying accounting data based on natural accounts rather than the functional accounts that are typically used for financial analysis.

Promotion spending is wasted if a new marketing mix is more successful than expected and demand quickly outstrips supply.

Coordinating the linkages between different functional areas is likely to be more difficult and critical when a strategy involves development of a totally new product idea rather than a minor change to an existing plan.

It's often hard for a marketing manager to be familiar with all of the costs associated with a product (or customer) without help from the firm's accountants.

A good marketing manager knows that:

Overseas production:

Marketing strategies and plans that the marketing manager recommends are more likely to be accepted--and then successfully implemented--if the links between marketing and other functional areas have been carefully considered from the outset.

Which of the following would NOT be paid for using working capital?

Accounts such as rent, salaries, taxes and auto expenses are called ______________ accounts.

Which of the following statements regarding marketing cost analysis is FALSE?

A bank (or other institution) that provides debt financing to fund a marketing plan is usually more willing to take risks than are investors who buy stock.

Human resource issues include:

Forecasting the amount of cash that will be available after paying expenses is straightforward because it's always equal to the firm's "bottom line"--the net profit figure shown on the operating statement.

Kikkoman is a good example of a company that took advantage of both production capacity and production flexibility to introduce a new line of specialized condiments to appeal to additional market segments.

Finding and allocating capital is usually the responsibility handled by a firm's chief financial officer.

Marketing cost analysis:

A virtual corporation may not make anything at all.

At Dell's Web site, a student can order a laptop computer with the exact memory capability and software that she wants, and have it shipped to her dorm room within 48 hours. This is an example of:

Starbucks ran a full-page ad in THE WALL STREET JOURNAL proclaiming that its baristas can make more than 87,000 possible combinations of an espresso coffee drink. This is an example of: