Deck 4: The Marketing Environment

Question 1

Which of the following core values strongly influences the attitudes and lifestyles of Americans?

A) Idealism
B) Self-sufficiency
C) Nonconformity
D) Integrity

Answer 1

B

Question 2

A component lifestyle refers to one in which consumers choose products and services that conform to traditional demographic stereotypes.

Answer 2

False

Question 3

Which of the following is an American value?

A) Self-sufficiency
B) Upward mobility
C) Achievement orientation
D) All of these

Answer 3

D

Question 4

Which of the following statements is true of a target market?

A) Uncontrollable elements continually evolve and create changes in a target market.
B) Managers can control the external environment that molds and reshapes a target market.
C) Environmental scanning is performed by firms in order to prevent changes in a target market.
D) Unlike uncontrollable variables,controllable variables do not affect a target market.

Question 5

Explain the concept of a marketing mix and why firms must alter their marketing mix.

Question 6

A target market is a group of people or organizations for which an organization designs,implements,and maintains a marketing mix intended to meet the needs of that group,resulting in mutually satisfying exchanges.

Question 7

Fincorp,an investment banking firm,promotes its offerings through various social media platforms.Which of the following statements is most likely to be true about Fincorp?

A) The platforms display content solely generated by Fincorp.
B) Fincorp uses its social media platforms to promote one-way communication,similar to network television.
C) Fincorp reduces its reach by promoting its products via social media platforms.
D) Fincorp can create conversations with its customers and establish meaningful connections.

Question 8

The lifestyle characterized by choosing goods and services according to the activities consumers engage in and the interests they express rather than conforming to a single,traditional lifestyle is called a:

A) component lifestyle.
B) fad lifestyle.
C) career lifestyle.
D) military lifestyle.

Question 9

Which of the following statements is true of today's consumers in the United States?

A) They value a lower product price over product quality.
B) They seldom show a high preference for brand names.
C) They are concerned about the nutritional content of their food.
D) They tend to choose expensive products regardless of durability.

Question 10

Which of the following statements is true of the external environment with regard to developing a marketing mix?

A) It is a standard variable that does not change.
B) It does not give an accurate estimation of the target market.
C) It is manually controlled to generate a marketing mix.
D) It continually molds and reshapes the target market.

Question 11

A person's values determine what is important and not important,which actions to take or not to take,and how one behaves in social situations.

Question 12

Identify the core values that have strongly influenced American attitudes and lifestyles and how they influence U.S.consumers' buying habits.

Question 13

When considering the social factors that affect marketing,people with component lifestyles are:

A) becoming non-discriminating and undemanding.
B) choosing products that meet their diverse needs.
C) reducing the complexity of their buying behavior.
D) beginning to prefer products that meet traditional needs and interests.

Question 14

From a contemporary marketing perspective,it could be said that a person's profession defines his or her lifestyle.

Question 15

Social change is one of the easiest external variables for marketing managers to forecast and assimilate into marketing plans.

Question 16

Allen,a Human Resources manager in a multinational firm,is recruiting employees.Rebina,one of the candidates,introduces herself and shares some of her background.From a marketer's point of view,which of the following things she said is considered a demographic factor?

A) She lives in California.
B) She believes in the value of social services.
C) She is a very creative cook.
D) She prefers using a specific brand of electronic gadgets.

Question 17

Which of the following refers to a group of people or organizations for which an organization designs a marketing mix intended to satisfy the needs of that group?

A) Target market
B) Industrial market
C) Virtual market
D) External environment

Question 18

Equality,a core American value that strongly influences the attitudes and lifestyles of people,means that:

A) no one should expect to be treated differently from anybody else.
B) hard work,dedication to family,and frugality are moral and right.
C) success comes to anyone who gets an education,works hard,and plays by the rules.
D) every person should stand on his or her own two feet.

Question 19

As a means of product promotion,unlike television,social media enable firms to create conversations with customers and establish meaningful connections.

Question 20

Web-based and mobile technologies that allow the creation and exchange of user-generated content are called:

A) social media.
B) component lifestyles.
C) competitive marketing.
D) the external environment.

Question 21

Fresnas Cuisine,a restaurant chain,recently introduced fast food on its menu because management recognized that their customers are predominantly young people.This scenario illustrates how _____ influence marketing decisions.

A) economic factors
B) demographic factors
C) legal factors
D) ethical factors

Question 22

Which statement is true about younger Millennials?

A) They graduated from college during the Great Recession.
B) They tend to look at unemployment in the same way as done by the older generations.
C) They do not spend time surfing the Web or on social media.
D) They are quick to change jobs if they are unsatisfied.

Question 23

The study of people's essential statistics,such as age,race and ethnicity,and location is called:

A) demography.
B) a component lifestyle.
C) social networking.
D) social marketing.

Question 24

With access to information,opinions,and sophistication well beyond their years,_____ are directly or indirectly responsible for sales of over $200 billion annually.

A) Baby Boomers
B) Millennials
C) teens
D) tweens

Question 25

Which of the following statements is true of the attitude of teens in the United States?

A) Most teens prefer to carry out offline shopping
B) According to a Packaged Facts study,75 percent would rather have a new pair of shoes than 50 new MP3 downloads,and 63 percent would choose a new pair of jeans over concert tickets
C) Teens spend more on food than any other cohort group.
D) Most teens are influenced by traditional advertising,sales reps,and word-of-mouth recommendations than any other cohort.

Question 26

Saving money is a major priority for _________,who are generally economical and look for value when making purchases.

A) Gen Xers
B) Millennials
C) teens
D) tweens

Question 27

Which of the following statements is true of American teenagers?

A) They spend about six hours per week tuned in to electronic media.
B) They make the largest cohort group.
C) They prefer face-to-face communication to communicating electronically.
D) They prefer Tumblr and Instagram to Facebook.

Question 28

The population group born between 1965 and 1978,who value education and knowledge,and who tend to do significant research before making a major purchase is known as:

A) Millennials.
B) Gen Xers.
C) tweens.
D) Baby Boomers.

Question 29

Which of the following statements is true of Generation Y?

A) Its members are not as hardworking and motivated as other generations.
B) Its members have been raised from childhood to adulthood in the digital world.
C) Its members have the least spending power than any other cohort.
D) Its members are the first generation of latchkey children.

Question 30

Which statement is true about tweens?

A) Tweens are especially influenced by sales reps and word-of-mouth recommendations.
B) Most tweens own a mobile phone and almost half of them have smartphones.
C) Most tweens prefer and value traditional media over social media,unlike other cohorts.
D) Tweens have little spending money and rely on their parents and relatives to make purchases for them.

Question 31

Jane is a 16-year-old sophomore.She stays abreast of the latest technology and educates her parents about the latest trends in technology.She convinced them to replace her old cell phone with a new one.Given this information,Jane is a _____.

A) tween
B) teen
C) Gen Xer
D) Gen Yer

Question 32

Jessica was born in 1994.She spends more time on Facebook than reading magazines.Despite her preference for spending time online at social networking sites,she does listen to the radio and read occasionally.Given this information,which of the following statements is true of Jessica?

A) She does not expect brands to be on social media.
B) She is a younger Millennial.
C) She is one of the first generation of latchkey children.
D) She would have graduated from college during the Great Recession.

Question 33

Jason was born in 1970.He spent most of his childhood without much adult guidance as both his parents were working professionals.In this case,which of the following is most likely to be true of Jason?

A) He is independent,resilient,adaptable,cautious,and skeptical.
B) He has a pessimistic outlook.
C) His generation outspends other generations on consumer goods and services.
D) He possesses a negligible amount of spending power.

Question 34

Which of the following accurately reflects current population trends in the United States?

A) Baby Boomers are now the smallest population group
B) In many parts of the country,multigenerational households are increasingly rare.
C) The populations in the rural regions of the United States are aging.
D) Tweens are now the largest population group.

Question 35

Which statement is true of today's tweens in the United States?

A) They are the first generation of latchkey children.
B) Mobile devices account for 41 percent of all screen time for tweens.
C) They are a larger cohort than Baby Boomers.
D) They are aged between 14 and 18 years.

Question 36

Paulina is an eleven-year-old girl.She spends a lot of time on social media and likes mobile games.In this case,Paulina is most likely to be a

A) Baby Boomer.
B) Millennial.
C) Gen Xer.
D) tween.

Question 37

People born between 1979 and 1994 and who comprise the largest group in America's workforce are known as

A) Millennials.
B) Gen Xers.
C) tweens.
D) teens.

Question 38

Unlike the youngest Gen Yers,many of the oldest members of Generation Y:

A) are entering adulthood.
B) were the least affected by the Great Recession.
C) turned 50 years old in 2016.
D) have become parents.

Question 39

The population group that falls between ages 9 to 12 and presents great opportunity to American marketers with a huge spending power is known as:

A) Generation X.
B) teens.
C) Generation Y.
D) tweens.

Question 40

Which of the following statements is true of the incomes of Baby Boomers in the United States?

A) Baby Boomers accumulated little amount of savings over their working years.
B) Baby Boomers' purchasing power is discretionary and guided by their parents.
C) Baby Boomers' current incomes are relatively low because many have retired.
D) Baby Boomers' does not get retired at their specific retirement ages.

Question 41

Demography is a controllable variable in the external environment.

Question 42

Millennials tend to be influenced more by traditional advertising,sales reps,and word-of-mouth recommendations than through digital media.

Question 43

Which of the following statements is true of Gen Xers?

A) They graduated from college during the Great Recession and had difficulty in finding good jobs.
B) They are currently in two different stages of the life cycle.
C) They have acquired a disproportionate amount of spending power.
D) They have very low spending power because of a lack of a stable source of income.

Question 44

Hispanic Americans in the United States:

A) are prejudiced towards relationships.
B) are much older than the general U.S.population.
C) are the largest segment of the population to use mobile devices for any type of transaction.
D) are the most homogenous ethnic group.

Question 45

Marketers targeting Baby Boomers should use words such as "senior" and "elderly," to signal and attract their target audience.

Question 46

Jack,a Hispanic Millennial,completed his bachelor's degree in the year 2017 and is looking forward to having a successful career.Which of the following behaviors is Jack most likely to be associated with?

A) Jack favors Spanish media over English media.
B) Jack embraces parts of his original culture.
C) Jack is not prone to accept future family obligations and the difficulties of supporting parents and grandparents.
D) Jack is most likely to be monolingual.

Question 47

Unlike Hispanic Americans,most:

A) Asian Americans are born outside the United States.
B) Asian Americans' average family income is less.
C) Asian Americans seldom retain their core Asian values.
D) Asian Americans are less educated.

Question 48

A difference between Gen Yers and Baby Boomers is that,unlike Gen Yers,Baby Boomers:

A) are currently in two different stages of the life cycle.
B) are the most tech-savvy people yet.
C) outspend in categories such as gifts and medical care.
D) have a strong preference for full service restaurants

Question 49

Define Baby Boomers and their relevance for marketers.

Question 50

Baby Boomers typically are to be influenced by information gained through social media.

Question 51

Teens possess a negligible amount of buying power.

Question 52

Gen Xers have lower average incomes than their Millennial and Baby Boomer counterparts.

Question 53

Given current demographics in the United States,Millennials:

A) are now greater in number than Baby Boomers.
B) spend the most on food than any other cohort.
C) have been the least affected by the Great Recession.
D) are less interested in technology than any other group.

Question 54

Which of the following about African Americans is true?

A) They do not believe in strong cultural connections.
B) In African American homes,husbands alone make decisions regarding large purchases.
C) They generally expect brands to support social causes.
D) They make up the largest group to use mobile devices for banking transactions.

Question 55

Identify which statement is true regarding African Americans.

A) Most African Americans are 50 years old or older,so they don't drive current music trends.
B) Because of their rich heritage,African Americans believe in strong cultural connections.
C) Most African Americans are not heavy users of technology.
D) Lower household incomes,coupled with overall population growth,are causing the purchasing power of the African American consumers to decrease significantly.

Question 56

Which of the following statements is true of Baby Boomers?

A) The youngest Baby Boomers were around 34 years old in 2013.
B) They are most concerned with price and quality when making purchase decisions.
C) The size of the Baby Boom cohort group has been increasing in size since 2012.
D) They are a small market with minimal spending power.

Question 57

Which of the following statements is true about the trends prevalent among the various ethnicities in U.S.ethnic markets?

A) African Americans do not consider cultural/ethnic heritage as a critical part of their identity.
B) Hispanics of older generations are more likely to be bilingual than Hispanic Millennials.
C) Asian Americans retain strong core values even if they embrace American values.
D) Asian Americans are less educated than any other minority group.

Question 58

Which of the following is accurate with regard to Asian Americans?

A) The Asian American population growth has been fueled primarily by immigration.
B) Asian Americans embrace the values of the larger U.S.population and don't follow the cultural values of their particular subgroup.
C) Asian Americans usually don't speak their native tongue at home.
D) A large percentage of Asian Americans categorize themselves as "American."

Question 59

Gen Xers tend to be frugal and seek value when making purchases.

Question 60

Unlike people who belong to Generation X,Baby Boomers:

A) do not use social media or other technologies to buy products.
B) tend to be influenced more by traditional advertising and word-of-mouth recommendations.
C) spend less on gifts,personal care products,medical care,food away from home,and entertainment.
D) graduated from college during the Great Recession.

Question 61

A period of economic activity characterized by negative growth,which reduces demand for goods and services is called ________.

A) a recession
B) inflation
C) a depression
D) purchasing power

Question 62

When income is high in comparison to the cost of living,people have more discretionary income.

Question 63

During a period of low inflation,there is nothing businesses can do to increase their profit margins.

Question 64

Which term refers to a comparison of income versus the relative cost of a standard set of goods and services in different geographic areas?

A) Purchasing power
B) Inflation
C) Recession
D) Personal income

Question 65

The specific form of research that attempts to develop new or improved products is called _________.

A) basic research
B) applied research
C) innovative research
D) scientific research

Question 66

Which of the following about the Great Recession is true?

A) The economy completely recovered from the Great Recession in 2009.
B) The Great Recession spread around the globe by 2008.
C) The middle class was the least affected by the Great Recession.
D) The Great Recession increased employment rates to almost 10 percent.

Question 67

Martha visits a department store and discovers that a box of exotic candles will cost 10 percent more than what she had paid six months ago.Similar increases in prices across most goods and services is happening throughout the country.In this scenario,which statement is true?

A) Martha's purchasing power would remain unchanged if she has a pay raise to match the inflation.
B) She would have to pay 12 percent more than what she paid last month.
C) The department store's marketing strategy is to increase its profit margin by increasing the prices of its goods.
D) The candles' subjective value increases with the increase in inflation.

Question 68

Which statement about the Great Recession of 2007-2009 is true?

A) Tweens were the most affected population group.
B) Inflation rates increased to almost 10 percent.
C) It began with the collapse of inflated housing prices.
D) It increased employment opportunities in the United States.

Question 69

In times of high inflation,businesses seeking to increase their profit margins can do so only by increasing their efficiency.

Question 70

Discuss how inflation and recession affect the economic environment.

Question 71

The term Hispanic encompasses people of many different racial backgrounds.

Question 72

Discuss how marketers view the characteristics of,and respond to,the African American market.

Question 73

In terms of purchasing power,when income is low relative to the cost of living,people have more discretionary income.

Question 74

Business firms can stimulate innovation by:

A) hiring employees who have a low tolerance for risk.
B) letting employees know that they have the freedom to fail.
C) using micromanagement techniques.
D) talking to late adopters.

Question 75

Which of the following statements is true of incomes in the United States?

A) The real median household income has fallen since 2009.
B) The median household income is the same across different states.
C) Demographics influence a person's earning potential.
D) Those who hold a college degree typically earn the same wages as a nondegree holder.

Question 76

In terms of consumers' incomes,a nondegree holder will earn more than twice the total income as a degree holder over a lifetime.

Question 77

Which of the following is true about inflation?

A) Inflation is an indicator of the decrease in the value of money.
B) During periods of low inflation,businesses that seek to increase their profit margins can do so by increasing their prices significantly.
C) Inflation is a period of economic activity characterized by negative growth.
D) Inflation occurs when the gross domestic product falls for two consecutive quarters.

Question 78

The form of research that aims to confirm an existing concept or to learn more about a phenomenon is called ________.

A) basic research
B) applied research
C) innovative research
D) the scientific method

Question 79

Gross domestic product is the total market value of all final goods and services produced during a period of time.

Question 80

Asian Americans,who represent only 6 percent of the U.S.population,are the least influenced by technology.