Deck 1: Overview of Marketing Strategy and the Strategic Marketing Process

Question 1

Which marketing strategy involves developing the lowest cost structure in order to earn higher margins?

A)cost leadership
B)differentiation
C)segmentation
D)competitive scope

Answer 1

A

Question 2

Which of the following best describes a growth strategy of market development?

A)selling new products to existing markets
B)selling new products to new markets
C)selling existing products to new markets
D)selling existing products to existing markets

Answer 2

C

Question 3

is the logic by which a company hopes to achieve profitable customer relationships.

A)Strategic HR management
B)Corporate branding
C)Product differentiation
D)Marketing strategy

Answer 3

D

Question 4

According to marketing strategy expert Michael Porter,"Competitive strategy is about being ."

A)satisfactory
B)superior
C)efficient
D)different

Question 5

Which of the following marketing strategies is LEAST likely to generate long- term success for a firm?

A)differentiation in a niche market
B)cost leadership in a mass market
C)cost leadership in a niche market
D)differentiation in a mass market

Question 6

A marketing strategy of competitive advantages is typically based on either _ or _.

A)mass global appeal; cost leadership
B)differentiation; reliability
C)cost leadership; differentiation
D)segmentation; globalization

Question 7

Which growth strategy is most likely being used by a firm selling new products to existing markets?

A)market penetration
B)diversification
C)market development
D)product development

Question 8

When Toys- R- Us opened Kids- R- Us and Babies- R- Us,the firm was using the method of .

A)diversification
B)market development
C)product development
D)market penetration

Question 9

The quality a customer receives adjusted for the price a customer pays for a product is known as .

A)dividend
B)perception
C)loyalty
D)value

Question 10

is how a firm differentiates itself from competitors in a way that customers value.

A)Singularity
B)Development
C)Segmentation
D)Diversification

Question 11

A firm could most likely increase the perceived benefits of a product by .

A)reducing the overall purchase price
B)reducing the operating costs associated with the product
C)adding a desirable new feature to the product without increasing the purchase price
D)adding maintenance costs associated with owning the product

Question 12

Which of the following is constantly pushing the value frontier towards higher quality and/or lower prices?

A)innovation
B)government spending
C)wage increases
D)market expansion

Question 13

Targeting very large markets is best known as marketing.

A)niche
B)strategic
C)mass
D)target

Question 14

A _ is a graphical representation of the ratio between a product's benefits and costs.

A)fair value matrix
B)value map
C)data mine
D)customer data graph

Question 15

A firm that has determined which customers to serve,where to conduct business,and how to meet customer needs has most likely developed a _ .

A)business portfolio
B)public relations plan
C)marketing strategy
D)profit analysis

Question 16

Research indicates that a firm with an effective marketing- oriented strategy is more likely to experience higher .

A)start- up costs
B)long- term profits
C)short- term profits
D)production costs

Question 17

What is the first step in the strategic marketing and planning process?

A)strategy formation
B)market segmentation
C)situation assessment
D)product promotion

Question 18

A firm with a marketing strategy of differentiation most likely sells a product with qualities that .

A)competitors offer and that numerous customers demand
B)a wide range of consumers perceive as convenient
C)competitors do not offer and that specific customers value
D)a small segment of consumers demand at a low price

Question 19

The author of the text describes IBM's entry into the area of personal computers as an strategic decision.

A)incompetent
B)advantageous
C)ad ho
D)insightful

Question 20

According to Peter Drucker,which of the following is most essential to defining the purpose and strategy of a business?

A)production efficiencies
B)customer needs
C)cross- cultural sales
D)value added profits

Question 21

Which of the following involves identifying small segments of customers and serving their specific needs?

A)brand leadership strategy
B)customer intimacy strategy
C)cost leadership strategy
D)customer advantage strategy

Question 22

Which of the following is LEAST likely to be used by a firm pursuing a marketing strategy of differentiation?

A)convenience
B)reliability
C)performance
D)cost leadership

Question 23

Which growth strategy involves selling more of a firm's existing products to the firm's existing markets?

A)product development
B)diversification
C)market penetration
D)market development

Question 24

What are the two generic frameworks of most marketing strategies?

A)niche scope,target segmentation
B)competitive advantage,globalization
C)competitive advantage,competitive scope
D)customer intimacy,competitive scope

Question 25

Explain the purpose of a value map,providing details about how the map should be interpreted.

Question 26

A firm's marketing concept should primarily focus on .

A)establishing product trends
B)educating potential buyers
C)meeting specific customer needs
D)reducing labor and production costs

Question 27

Singularity in a marketing strategy asserts that firms should strive to be better than their competitors in all areas.

Question 28

What is a marketing strategy? What questions should a comprehensive marketing strategy answer?

Question 29

According to a value- frontier framework,which of the following is LEAST likely to be an effective long- term marketing strategy?

A)low price,high performance
B)high price,high performance
C)low price,low performance
D)high price,low performance

Question 30

What growth strategies are available to firms that want to expand their sales?

Question 31

According to the product- market growth framework,a firm's strategic growth can only occur through market penetration.

Question 32

A value frontier is based on customer perceptions of price and performance relative to other offerings in the marketplace.

Question 33

For most firms,a niche cost- leadership strategy is difficult to implement and sustain because scale is so closely linked to cost advantage.

Question 34

What are the three basic elements of an effective marketing strategy?

A)singularity,product differentiation,corporate resources
B)singularity,target segments,competitive advantages
C)target segments,customer needs,geographic markets
D)competitive advantages,public relations,business models

Question 35

A firm selling new products to new markets is most likely using a growth strategy of .

A)market penetration
B)diversification
C)market development
D)product development

Question 36

A company can increase the perceived value of its product by increasing the perceived benefits,increasing the perceived costs,or a combination of the two.

Question 37

A product that falls within the fair value zone of a value map is perceived by consumers as delivering benefits that are the product's cost.

A)less than
B)unrelated to
C)equal to
D)greater than

Question 38

Strategic decisions primarily affect a firm's .

A)marketing
B)future
C)present
D)globalization