Deck 1: Marketing: the Art and Science of Satisfying Customers

Question 1

When in marketing history did the production era end in North America?

A) late 1800s, with the mass immigration of skilled workers to North America
B) 1920s, with the improvement in production capabilities
C) 1960s, with the establishment of overseas production facilities
D) 21st century, with the introduction of robotics

Answer 1

B

Question 2

Which statement best describes the state of the global marketplace?

A) The global marketplace is diminishing because of Internet technology.
B) The global marketplace is growing because of trade agreements.
C) The global marketplace is growing due to the threat of the ability of a single nation to manufacture, supply, and consume all that it produces.
D) The global marketplace is growing owing to the talent shortage in the home countries of national companies.

Answer 2

B

Question 3

Which factor contributed to the transition from the production era to the sales era?

A) significantly increased consumer demand
B) improved production techniques
C) increased urbanization
D) the Great Depression

Answer 3

B

Question 4

What must all organizations create in order to survive?

A) a variety of goods or services
B) utility
C) an environment of ethics and social consciousness
D) advertising, salesmanship, and consumer-focused sales promotion

Question 5

What do we call the organizational function and set of processes that create, communicate, and deliver value to customers, and that manages customer relationships in ways that benefit the organization and its stakeholders?

A) marketing
B) finance
C) sales
D) administration

Question 6

What do we call the ability to transfer title to goods and services from marketer to buyer?

A) ownership utility
B) place utility
C) time utility
D) form utility

Question 7

What utility does Coach create when the company combines fabric and leather in the production of its high-fashion handbags?

A) ownership
B) form
C) place
D) time

Question 8

What characterizes a buyer's market?

A) more goods and services than buyers
B) more buyers than available goods and services
C) practically no competition in the marketplace
D) slow economic growth

Question 9

Which of the following is NOT a reason for a growing global marketplace?

A) internet technology
B) trade agreements
C) no single country can manufacture, supply, and consume all that it produces
D) changing climate patterns

Question 10

What era of marketing history had a philosophy that could be summarized by the phrase "a good product will sell itself"?

A) production
B) sales
C) development
D) relationship

Question 11

Which statement best describes the marketing era?

A) Marketing and selling would no longer be considered synonymous terms.
B) Marketing was relegated to a supplemental role performed after the production process.
C) The marketing concept was linked to a shift from a buyer's market to a seller's market.
D) Business success often was defined solely in terms of production successes.

Question 12

A company produces a high-quality product, with a maximum monthly output of 10,000 units. Production levels are constant and the company relies on its marketing department to find customers. What era of marketing history is this approach consistent with?

A) production
B) relationship
C) sales era
D) development

Question 13

Fame-us is a talent agency that focuses on youth looking to work in television and movies. As part of its marketing strategy, how will Fame-us generate time and place utility?

A) by creating a nationwide advertising campaign to attract applicants
B) by launching roadshows across Canada and by conducting talent hunts at university campuses during holidays
C) by endorsing its services using famous entertainers and celebrities
D) by opening a well-equipped studio using pre- and post-production facilities

Question 14

What type of orientation does a company have when it assumes that customers will resist purchasing products not deemed essential and, therefore, the marketing department must overcome this resistance through personal selling and advertising?

A) production
B) marketing
C) sales
D) relationship

Question 15

What is the want-satisfying power of a good or service called?

A) utility
B) price
C) buyer's attraction
D) function

Question 16

What characterizes a seller's market?

A) more goods and services than buyers
B) more buyers than available goods and services
C) practically no competition in the marketplace
D) slow economic growth

Question 17

Which statement best describes the idea of marketing?

A) The marketing concept emphasizes creating and maintaining short-term successful relationships with customers and suppliers.
B) Marketing encompasses such a broad scope of activities and ideas that settling on one definition is often difficult.
C) Marketing refers to an activity in which two or more parties give something of value to each other to satisfy perceived needs.
D) The marketing concept is a belief that consumers will resist purchasing nonessential goods and services.

Question 18

What utility is created when a firm's production department converts raw materials and other inputs into finished products?

A) ownership
B) time
C) form
D) place

Question 19

What utility is NOT created when you purchase tickets to a Winnipeg Jets game over the Internet?

A) place
B) time
C) form
D) ownership

Question 20

What utility does Purolator create when the company offers a variety of package delivery services?

A) time
B) place
C) ownership
D) form

Question 21

What best explains the emergence of the marketing concept?

A) higher production levels
B) a shift from a production to a sales orientation
C) a shift from a seller's market to a buyer's market
D) a focus on product quality

Question 22

Which of the following would be visible in relationship marketing?

A) a focus on producing high quality goods
B) a sales orientation
C) a companywide consumer orientation
D) strategic alliances

Question 23

What type of marketing is an example of traditional marketing, as opposed to non-traditional marketing?

A) services
B) cause
C) event
D) organization

Question 24

Melissa is managing the campaign of her friend for the presidency of the student council. What type of marketing is Melissa's effort an example of?

A) cause
B) person
C) place
D) organization

Question 25

Which statement best describes not-for-profit organizations?

A) The sole common factor between not-for-profit organizations and for-profit firms is the financial bottom line.
B) Not-for-profit organizations hope to generate as much revenue as possible to support their causes.
C) Not-for-profit organizations are all found in the public sector.
D) Historically, not-for-profit firms have had more exact goals and marketing objectives than for-profit firms.

Question 26

Which statement is most accurate when considering not-for-profit organizations against for-profit organizations?

A) Not-for-profit organizations tend to focus their marketing on just one public-their customers.
B) Not-for-profit organizations often possess some degree of monopoly power in a given geographical area.
C) Not-for-profit organizations depend on strategic alliances with for-profits to provide advertising and visibility.
D) A service user of a not-for-profit organization may have more control over the organization's destiny than customers of a profit-seeking firm.

Question 27

What type of relationships do firms focus on in the relationship era?

A) short-term relationships with customers and suppliers
B) long-term relationships with customers and suppliers
C) short-term relationships with customers and distributors
D) long-term relationships with suppliers and distributors

Question 28

What is the biggest distinction between not-for-profit and for-profit organizations?

A) For-profits have more exact marketing goals.
B) Not-for-profits have a different view of what constitutes the bottom line.
C) Customers of not-for-profits have more control.
D) Not-for-profits market services, not goods.

Question 29

You receive a flyer urging you to attend a rally for a local political candidate. You're asked to bring a can of food for the local food bank as the "price of admission." What two types of marketing is this a combination of?

A) event and person
B) event and organization
C) organization and cause
D) cause and person

Question 30

What does the term "bottom line" refer to?

A) the overall company profitability
B) a firm's social responsibility
C) the limit on the marketing budget
D) the ethical and social viability of marketing

Question 31

When did relationship marketing emerge?

A) right after the end of World War II
B) during the mid-1960s
C) during the mid-1980s
D) during the 1990s

Question 32

Assume you want to increase the number of customers by applying the marketing concept. Which strategy would be most likely to use?

A) Reduce product costs.
B) Offer more product variety than competitors.
C) Focus on understanding buying habits.
D) Employ inexpensive labour.

Question 33

Which statement best exemplifies a comparison between not-for-profit organizations to for-profit organizations?

A) Not-for-profit organizations cannot be impacted by contributors' personal agendas.
B) Not-for-profit organizations may only market intangibles.
C) Not-for-profit organizations may form partnerships with for-profit organizations that promote their cause.
D) Not-for-profit organizations must try to find ways to market only their services.

Question 34

How many not-for-profit and charity organizations are there in Canada?

A) under 120,000
B) between 120,000 and 149,000
C) between 150,000 and 169,000
D) over 170,000

Question 35

If a company such as Bison Transport wanted to avoid marketing myopia, how should it define its business?

A) as transportation
B) as trucking
C) as materials handling
D) as freight hauling

Question 36

Which statement would suggest that a firm has avoided marketing myopia?

A) We write computer software.
B) We make our customers' dreams come true.
C) We manufacture high-quality machine tools.
D) We handle freight for our customers.

Question 37

What management approach would most likely endanger the future growth of a company?

A) adopting a consumer orientation
B) becoming aware of the scope of its business
C) committing to maintaining a product-oriented philosophy
D) focusing on providing benefits rather than producing products

Question 38

Who often benefits from an alliance between a not-for-profit organization and a for-profit organization?

A) neither party
B) both parties
C) competitor for-profits
D) the general public

Question 39

Indigo Ltd. wanted to increase its customers by applying the marketing concept. Which strategy would be an appropriate way to achieve this?

A) Maximize production of goods.
B) Focus on meeting the needs of the consumers.
C) Offer more product variety than competitors.
D) Produce high quality goods.

Question 40

Which statement best describes a strong market orientation?

A) It reflects the adoption by a firm of a sales orientation.
B) It is consistent with a production orientation.
C) It becomes necessary with a shift from a buyer's market to a seller's market.
D) It generally improves market success and overall performance.

Question 41

Some Canadian drivers have decals of their college or university on their car windows. What type of marketing is this an example of?

A) organization
B) cause
C) place
D) event

Question 42

Which of the following would be an example of interactive marketing?

A) a customer creating his or her own products, as in the case of Subway or Build-a-Bear
B) an intermediary wholesaler who links sale of goods from manufacturer to consumer
C) buyer-seller communication through the Internet and virtual reality kiosks
D) sponsoring local sports teams

Question 43

What is the basic objective of place marketing?

A) to attract visitors or new businesses to a particular area
B) to influence others to accept the goals of the sponsoring organization
C) to convince people to attend a sporting or cultural event
D) to bring to the attention of the public some charitable issue

Question 44

What does interactive marketing refer to?

A) sequential marketing efforts beginning with frontline salespersons and proceeding to detailed instructions by a technical expert
B) marketing efforts through interactive programs where customers can post their queries directly to the management
C) buyer-seller communications in which the customer controls the amount and type of information received from a marketer
D) software-controlled marketing strategies which use central databases to segment the market on various demographic and psychographic factors

Question 45

A music star promotes her concerts, but also uses her concerts to promote a charitable cause. What two types of marketing is this example a combination of?

A) event and person
B) cause and person
C) cause and event
D) person and organization

Question 46

What type of marketing do federal and provincial departments of tourism typically engage in?

A) organization
B) person
C) place
D) cause

Question 47

The application of relationship marketing requires attention to levels of customer loyalty. What is the highest level, as defined by this type of marketing?

A) loyal supporter of the company and its goods and services
B) advocate who buys the products and recommends them to others
C) regular purchaser of the company's products
D) shareholder who literally buys into the organization and its mission

Question 48

Which of the following is a combination of person, cause, and organization marketing?

A) Tiger Woods' endorsement of Nike, a sports company and Accenture, a consulting company
B) The Nobel Peace Prize for Al Gore for his work on global warming
C) UNICEF's work to improve the living conditions of children across the world
D) Angelina Jolie's role as a UN Goodwill Ambassador for refugees

Question 49

What type of marketing does the Coca-Cola Company engage in as an official sponsor of the Olympics?

A) place marketing
B) event marketing
C) person marketing
D) organization marketing

Question 50

Sally Myers, head of marketing at Sally's Salon, serviced six new customers over the past two weeks. Through a feedback form, Sally learned that all of them had acted upon the opinions of their friends and family members. What did Sally encounter?

A) transaction-based marketing
B) sales orientation
C) marketing myopia
D) buzz marketing

Question 51

What are companies able to do by converting indifferent customers into loyal ones through relationship marketing?

A) Minimize lifetime value.
B) Start a process by which customers become bound contractually to the business.
C) Avoid the necessity of improving customer service in the long run.
D) Generate repeat sales.

Question 52

What do we refer to when we discuss the revenues and intangible benefits accrued to the firm, minus the investment to attract and keep a customer?

A) gradient of return on investment
B) intangible benefit stream
C) investment-benefit differential
D) lifetime value of the customer

Question 53

Why does relationship marketing focus more attention on existing customers?

A) New customers are less expensive to acquire.
B) New customers are unnecessary.
C) New customers are more expensive to acquire.
D) New customers are more predictable.

Question 54

What does mobile marketing refer to?

A) running promotional campaigns on transport media like trains and airplanes
B) marketing messages transmitted via wireless technology
C) promoting associated products or services alongside mobile technologies
D) the use of online social media as a communications channel for marketing messages

Question 55

Wild Escape advertises jungle safaris, chimpanzee tracking, and gorilla tracking tours. What is this type of advertising an example of?

A) form utility creation
B) place marketing
C) organization utility
D) sports marketing

Question 56

In the practice of relationship marketing, the definition of a customer is taken to another level. Which scenario best illustrates how a company practising relationship marketing is different from a traditional transaction-based marketer?

A) The city pool allows children aged 12 years and younger to swim for free on Fridays.
B) A local coffee shop distributes coupons for $.50 off each cup of coffee.
C) The purchasing department of a defense contractor invites its suppliers to attend an annual golf outing.
D) The heads of the financial departments meet with the Chief Financial Officer to discuss year-end financial reporting.

Question 57

Mars Inc.'s M&M's division donates 50 cents of specially marked candy sales to the Special Olympics. What is this an example of?

A) event marketing
B) person marketing
C) cause marketing
D) place marketing

Question 58

A university sells customized sweat shirts, pull overs, and jerseys to its students and staff. What type of marketing is this an example of?

A) cause
B) organization
C) person
D) event

Question 59

An alumni association at a university sends out announcements promoting the upcoming football game and an alumni association function. What two types of marketing is this example a combination of?

A) place and person
B) event and organization
C) person and organization
D) event and place

Question 60

Which statement best describes relationship marketing?

A) It applies only to individual consumers and employees.
B) It affects distributors as well as other types of corporate partnerships.
C) It does not allow marketers and customers to customize their communication.
D) It is a buyer-seller communication in which the marketer controls the amount and type of information received from a customer.

Question 61

A biotechnology company and a university medical school work to develop a new drug to treat arthritis. What is this an example of?

A) a joint marketing agreement
B) marketing research
C) a one-to-one marketing program
D) a strategic alliance

Question 62

What are the moral standards of behaviour expected by society called?

A) social responsibilities
B) marketing concepts
C) facilitating functions of marketing
D) ethics

Question 63

A gaming corporation and a mobile manufacturer work together to develop unique games which are made available for use on smartphones. What is this an example of?

A) an exchange function
B) marketing research
C) social marketing
D) a strategic alliance

Question 64

Approximately what percentage of large companies offer some sort of ethics training for workers?

A) less than one-quarter
B) around one-third
C) around one-half
D) more than one-half

Question 65

When a firm contributes to environment protection and human welfare programs, which type of behaviour is it exhibiting?

A) relationship marketing
B) social responsibility
C) economic neutrality
D) one-to-one marketing

Question 66

What is included in the facilitating functions of marketing?

A) securing marketing information and risk taking
B) buying and selling
C) transportation and storage
D) typing and separation

Question 67

What are the physical distribution functions of marketing?

A) storing and transporting
B) standardization and grading
C) financing and risk taking
D) buying and selling

Question 68

Many hotel chains offer free stays and other perks to repeat customers. What is this an example of?

A) relationship marketing
B) transaction-based marketing
C) team marketing
D) a strategic alliance

Question 69

Honda Canada provides credit to Honda dealers, as well as buyers. What function is this an example of?

A) financing
B) exchange
C) distribution
D) securing marketing information

Question 70

Manufacturers create goods and services based on research and their belief that consumers need them. In doing so, what marketing function are they performing?

A) financing
B) standardizing and grading
C) risk taking
D) physical distribution

Question 71

Which function of marketing helps determine what potential consumers want and need, and how to offer goods and services to satisfy them?

A) financing
B) securing market information
C) risk taking
D) physical distribution

Question 72

What function is Future Shop performing when it sells a person a new television or DVD player?

A) facilitation
B) buying
C) distribution
D) risk taking

Question 73

Schwann's Foods sells its products through both grocery stores and door-to-door sales. Selling, order taking, delivery, and limited customer service are all conducted by the drivers. What two marketing functions overlap as a result of the drivers' required responsibilities?

A) facilitation and distribution
B) exchange and facilitation
C) distribution and exchange
D) exchange and financing

Question 74

Which of the following involves marketing philosophies, policies, procedures, and actions whose primary objective is the enhancement of society?

A) social responsibility
B) green marketing
C) ethics
D) relationship marketing

Question 75

What function is financing a part of?

A) exchange
B) pricing
C) commercial
D) facilitating

Question 76

Why do marketers apply quality and quantity control standards?

A) to engage in the process of exchange
B) to reduce the need for purchasers to inspect each item they purchase
C) to determine the amount an individual will be allowed to buy on credit
D) to develop channels of distribution for a product

Question 77

What is involved in the selling function of marketing?

A) making sufficient quantities of goods available in the marketplace
B) ensuring products meet established quality and quantity standards
C) securing marketing information
D) using advertising, personal selling, and sales promotion

Question 78

Which function of marketing involves advertising?

A) standardizing
B) buying
C) selling
D) storing

Question 79

What does the financing function of marketing involve?

A) making sufficient quantities of goods available in the marketplace
B) ensuring products meet established quality and quantity standards
C) providing funds to buyers for building inventories prior to sales
D) using advertising, personal selling, and sales promotion to match goods and services to customers

Question 80

What is a facilitating function of marketing?

A) buying
B) selling
C) standardization and grading
D) distribution