Question 1

Which of the following bootstrap marketing tactic(s) allow a small company to utilize relationship marketing successfully?

Accepted Answer

A)  Keep in close contact with customers with "thank you's" and other personal communication techniques. 
B)  Organize and sponsor a service or community-oriented project. 
C)  Launch a loyalty or frequent buyer program. 
D)  All of the above 
A)  Keep in close contact with customers with "thank you's" and other personal communication techniques. 
B)  Organize and sponsor a service or community-oriented project. 
C)  Launch a loyalty or frequent buyer program. 
D)  All of the above D

Question 2

Why is it important for small business owners to clearly define their target market(s) as part of their marketing strategies?

Accepted Answer

It is important that small businesses define the specific group of customers at whom the company aims its goods or services. Many companies try a "shotgun approach" to marketing, where the company fires marketing blasts at every customer they see, hoping to capture some of them. Unfortunately, most small businesses do not have the deep pockets to continue this type of marketing approach. Small businesses must be more focused on the types of customers they want to target. Small firms are ideally suited to reaching market segments that their larger rivals overlook or consider too small to be profitable. A clear, concise target market allows a small business to be profitable.

Question 3

To be useful, market research must be structured, formal, and highly sophisticated.

Accepted Answer

A) True 
 B)False  False

Question 4

If employees are committed to quality, management's commitment becomes unimportant.

Accepted Answer

A) True 
 B)False

Question 5

For many small businesses, nonprice competition (focusing on factors other than price) is a more effective strategy than trying to beat larger competitors in a price war.

Accepted Answer

A) True 
 B)False

Question 6

Why is it important for a small business to keep existing customers satisfied? How can a company achieve such customer satisfaction?

Accepted Answer

It is important to retain existing custo

Question 7

A ________ is a company's "face" in the marketplace and communicates a key message to the target market.

Accepted Answer

A)  blog 
B)  logo 
C)  unique selling proposition (USP) 
D)  brand 
A)  blog 
B)  logo 
C)  unique selling proposition (USP) 
D)  brand

Question 8

The philosophy of producing a high-quality product or service and achieving quality in every aspect of the business and its relationship with the customer, with a focus on continuous improvement in the quality delivered to customers is ________.

Accepted Answer

A)  total quality management, or TQM 
B)  time compression management, or TCM 
C)  bootstrap marketing 
D)  customer experience management, or CEM 
A)  total quality management, or TQM 
B)  time compression management, or TCM 
C)  bootstrap marketing 
D)  customer experience management, or CEM

Question 9

Most dissatisfied customers complain about rude or discourteous service to the owner or the manager.

Accepted Answer

A) True 
 B)False

Question 10

Research shows that repeat customers spend ________ percent more than new customers.

Accepted Answer

A)  5 
B)  52 
C)  67 
D)  97 
A)  5 
B)  52 
C)  67 
D)  97

Question 11

What marketing potential does the Internet offer small business owners?

Accepted Answer

The Internet offers a vast network conne

Question 12

Market research requires a business owner to define the objective, collect data, analyze and interpret that data, and draw conclusions and act.

Accepted Answer

A) True 
 B)False

Question 13

Most businesses are finding technology provides efficiency and speed in providing a wide array of services to their customers.

Accepted Answer

A) True 
 B)False

Question 14

Which of the following is not one of the objectives a bootstrap marketing plan should accomplish?

Accepted Answer

A)  Determine customer needs and wants through market research. 
B)  Determine how the company will be able to serve all customers. 
C)  Analyze the firm's competitive advantages and build a marketing strategy around them. 
D)  Create a marketing mix that meets customer needs and wants. 
A)  Determine customer needs and wants through market research. 
B)  Determine how the company will be able to serve all customers. 
C)  Analyze the firm's competitive advantages and build a marketing strategy around them. 
D)  Create a marketing mix that meets customer needs and wants.

Question 15

An effective marketing program depends on a clear, concise definition of the firm's target market.

Accepted Answer

A) True 
 B)False

Question 16

Total quality management (TQM) works best when it becomes an integral part of a small company's strategy and focuses on continuous improvement in the quality the company delivers to customers.

Accepted Answer

A) True 
 B)False

Question 17

A global customer loyalty consulting firm reports that a company must land ________ to ________ new customers to offset the impact of one lost loyal customer.

Accepted Answer

A)  2; 12 
B)  6; 18 
C)  12; 20 
D)  20; 30 
A)  2; 12 
B)  6; 18 
C)  12; 20 
D)  20; 30

Question 18

Because a majority of the average company's sales come from present customers, few can afford to alienate any customers.

Accepted Answer

A) True 
 B)False

Question 19

It takes much less money and time to keep existing customers than it does to attract new ones.

Accepted Answer

A) True 
 B)False

Question 20

Small entrepreneurial companies are at a definite disadvantage compared to larger ones when it comes to conducting market research since it is so expensive.

Accepted Answer

A) True 
 B)False

Which of the following bootstrap marketing tactic(s) allow a small company to utilize relationship marketing successfully?

Why is it important for small business owners to clearly define their target market(s) as part of their marketing strategies?

To be useful, market research must be structured, formal, and highly sophisticated.

If employees are committed to quality, management's commitment becomes unimportant.

For many small businesses, nonprice competition (focusing on factors other than price) is a more effective strategy than trying to beat larger competitors in a price war.

Why is it important for a small business to keep existing customers satisfied? How can a company achieve such customer satisfaction?

A ________ is a company's "face" in the marketplace and communicates a key message to the target market.

The philosophy of producing a high-quality product or service and achieving quality in every aspect of the business and its relationship with the customer, with a focus on continuous improvement in the quality delivered to customers is ________.

Most dissatisfied customers complain about rude or discourteous service to the owner or the manager.

Research shows that repeat customers spend ________ percent more than new customers.

What marketing potential does the Internet offer small business owners?

Market research requires a business owner to define the objective, collect data, analyze and interpret that data, and draw conclusions and act.

Most businesses are finding technology provides efficiency and speed in providing a wide array of services to their customers.

Which of the following is not one of the objectives a bootstrap marketing plan should accomplish?

An effective marketing program depends on a clear, concise definition of the firm's target market.

Total quality management (TQM) works best when it becomes an integral part of a small company's strategy and focuses on continuous improvement in the quality the company delivers to customers.

A global customer loyalty consulting firm reports that a company must land to new customers to offset the impact of one lost loyal customer.

Because a majority of the average company's sales come from present customers, few can afford to alienate any customers.

It takes much less money and time to keep existing customers than it does to attract new ones.

Small entrepreneurial companies are at a definite disadvantage compared to larger ones when it comes to conducting market research since it is so expensive.

The Foundations of Entrepreneurship

Ethics and Social Responsibility: Doing the Right Thing

Inside the Entrepreneurial Mind: From Ideas to Reality

Conducting a Feasibility Analysis and Designing a Business Model

Crafting a Business Plan and Building a Solid Strategic Plan

Forms of Business Ownership and Buying an Existing Business

Franchising and the Entrepreneur

E-Commerce and the Entrepreneur

Pricing and Credit Strategies

Creating a Successful Financial Plan

Managing Cash Flow

Sources of Financing: Debt and Equity

Choosing the Right Location and Layout

Global Opportunities

Building a Team and Management Succession

Filters

Exam 8: Building a Powerful Bootstrap Marketing Plan

Which of the following bootstrap marketing tactic(s) allow a small company to utilize relationship marketing successfully?

Why is it important for small business owners to clearly define their target market(s) as part of their marketing strategies?

To be useful, market research must be structured, formal, and highly sophisticated.

If employees are committed to quality, management's commitment becomes unimportant.

For many small businesses, nonprice competition (focusing on factors other than price) is a more effective strategy than trying to beat larger competitors in a price war.

Why is it important for a small business to keep existing customers satisfied? How can a company achieve such customer satisfaction?

A ________ is a company's "face" in the marketplace and communicates a key message to the target market.

The philosophy of producing a high-quality product or service and achieving quality in every aspect of the business and its relationship with the customer, with a focus on continuous improvement in the quality delivered to customers is ________.

Most dissatisfied customers complain about rude or discourteous service to the owner or the manager.

Research shows that repeat customers spend ________ percent more than new customers.

What marketing potential does the Internet offer small business owners?

Market research requires a business owner to define the objective, collect data, analyze and interpret that data, and draw conclusions and act.

Most businesses are finding technology provides efficiency and speed in providing a wide array of services to their customers.

Which of the following is not one of the objectives a bootstrap marketing plan should accomplish?

An effective marketing program depends on a clear, concise definition of the firm's target market.

Total quality management (TQM) works best when it becomes an integral part of a small company's strategy and focuses on continuous improvement in the quality the company delivers to customers.

A global customer loyalty consulting firm reports that a company must land ________ to ________ new customers to offset the impact of one lost loyal customer.

Because a majority of the average company's sales come from present customers, few can afford to alienate any customers.

It takes much less money and time to keep existing customers than it does to attract new ones.

Small entrepreneurial companies are at a definite disadvantage compared to larger ones when it comes to conducting market research since it is so expensive.

The Foundations of Entrepreneurship

Ethics and Social Responsibility: Doing the Right Thing

Inside the Entrepreneurial Mind: From Ideas to Reality

Conducting a Feasibility Analysis and Designing a Business Model

Crafting a Business Plan and Building a Solid Strategic Plan

Forms of Business Ownership and Buying an Existing Business

Franchising and the Entrepreneur

E-Commerce and the Entrepreneur

Pricing and Credit Strategies

Creating a Successful Financial Plan

Managing Cash Flow

Sources of Financing: Debt and Equity

Choosing the Right Location and Layout

Global Opportunities

Building a Team and Management Succession

Filters

A global customer loyalty consulting firm reports that a company must land to new customers to offset the impact of one lost loyal customer.