Deck 3: Scanning the Marketing Environment

Question 1

of the following statements about these social networks are true EXCEPT:

A) Facebook contains user-generated content that each member supplies to the Web service.
B) Digg allows people to share articles.
C) Ning allows users to create custom social websites.
D) Google is increasingly becoming a fierce competitor to Facebook as a depository of society's information.
E) Today, MySpace is the largest social networking website.

Answer 1

E

Question 2

a period of several decades,coffee consumption declined from 75 percent of the adult population in 1962 to 49 percent in 2004.Then,it increased to 56 percent in 2010.A firm with a good marketing orientation would have

A) found a less volatile product to sell.
B) invested more money into market research.
C) changed to a new promotional firm.
D) explored the reasons behind these changes.
E) demoted coffee from being a "star" to a "dog."

Answer 2

D

Question 3

Which of the following trends identified in an environmental scan is a social trend?

A) Online data collection leading to behavioral targeting will grow dramatically.
B) Microbusiness impact will increase through peer-to-peer websites.
C) International activity from Asia to Africa will grow as countries from these areas become sources of economic growth.
D) There will be increasing regulatory guidance regarding green and environmental marketing claims.
E) Consumer purchase decisions are becoming more values-based and focused on improving the world.

Answer 3

E

Question 4

Which of the following trends identified in an environmental scan is an economic trend?

A) The U.S., Japan, China, and the E.U. countries will increase investments in sustainable living infrastructure.
B) Digital TVs, tablet devices, and smartphones will become increasingly connected.
C) Partnerships, collaborations, and co-creation of value will become important dimensions of business rivalry.
D) Health consciousness will lead to more public and private smoke-free areas.
E) Global media consumption (online and social) will continue to grow dramatically.

Question 5

of the following statements about the growth of social networks like Facebook are true EXCEPT:

A) the Federal Trade Commission (FTC) has had a laissez faire policy of not interfering with the development and marketing of social media websites.
B) Internet access and smartphones became more affordable to consumers around the world.
C) several companies provided many social networking alternatives.
D) advances in data storage, server speed, and software programming made social networks fast and convenient.
E) people became increasingly interested in the social aspects of the Internet.

Question 6

Environmental trends come from all of the following forces EXCEPT:

A) competitive
B) economic
C) regulatory
D) geographical
E) social

Question 7

Which of the following trends identified in an environmental scan is a competitive trend?

A) Online data collection leading to behavioral targeting will grow dramatically.
B) Microbusiness impact will increase through peer-to-peer websites.
C) International activity from Asia to Africa will grow as countries from these areas become sources of economic growth.
D) There will be increasing regulatory guidance regarding green and environmental marketing claims.
E) Consumer purchase decisions are becoming more values-based and focused on improving the world.

Question 8

process of continually acquiring information on events occurring outside the organization to identify and interpret potential trends is referred to as

A) significant trend analysis.
B) organizational scanning.
C) environmental scanning.
D) a SWOT analysis.
E) marketing intelligence.

Question 9

Between 1962 and 2010,adult coffee consumption has

A) steadily increased each year.
B) steadily decreased each year.
C) remained steady.
D) increased significantly due to adults consuming prepared coffee away from home at outlets such as Starbucks.
E) fluctuated, first declining and then increasing.

Question 10

Zuckerberg is a co-founder of the social networking website called __________.

A) MySpace
B) Groupon
C) Facebook
D) LinkedIn
E) Twitter

Question 11

Which of the following trends identified in an environmental scan is a technological trend?

A) New smartphone apps, such as mobile location promotion, quick response (QR) codes, and mobile payments will become increasingly more available.
B) Customer-generated content is growing as a competitive advantage.
C) The slow recovery of the current recession is leading to sustained higher levels of unemployment.
D) Online privacy protection advocacy and regulation will continue to grow.
E) Social networks are becoming the dominant form of communication for consumers.

Question 12

Coffee consumption among consumers 18 to 24 years old has __________ from 2003 to today.

A) increased
B) decreased
C) remained the same
D) fluctuated, first declining and then increasing
E) fluctuated, first increasing and then declining

Question 13

Predicting the future in terms of environmental scanning requires assumptions about

A) the total potential investment required to achieve the company's goals.
B) the total potential revenues that could be generated as a result of additional investment now.
C) the number of years the trends will continue and the factors that cause these trends to change.
D) the skills the marketing department has to be able uncover trends in the marketplace.
E) the effectiveness of the tools employed, such as scenario casting.

Question 14

of late 2011,Facebook has approximately how many members around the globe?

A) 2 million
B) 7 million
C) 250 million
D) 770 million
E) 2 billion

Question 15

Environmental scanning refers to

A) assessing any possible negative impact a firm's activities might have on the local ecology.
B) continually acquiring information on events occurring outside the organization to identify and interpret potential trends.
C) setting up a regular schedule to assess the performance of different divisions within a firm.
D) initiating an internal talent search to identify employees who can think "outside the box" to generate solutions to marketing problems caused by changes in the marketing environment.
E) requiring all employees to spend time outside the office to avoid the "ivory tower" syndrome.

Question 16

of the following reasons explain the change in adult coffee consumption between 1962 and 2010 EXCEPT:

A) many coffee marketers increased the distribution of their coffees in supermarkets and/or other retail outlets.
B) many coffee marketers added new coffee flavors and seasonal blends.
C) there was an increase in coffee consumption among those who are 18 to 24 years old.
D) there was a shift in demand from coffee to other competing beverages such as tea, soft drinks, juices, and bottled water.
E) there was an increase in away-from-home consumption due to an increase in consumers' discretionary incomes.

Question 17

changes in coffee consumption are likely due to all of the following EXCEPT:

A) Coffee shops like Starbucks are using mobile payment systems to make purchases more convenient.
B) Coffee marketers like Caribou Coffee are offering new flavors and seasonal blends.
C) The decreased use of Fair Trade certified coffee due to the added expenses incurred for certification and farmer subsidies given the current economic downturn.
D) Coffee shops are using new machines to automate the brewing and dispensing of coffee faster to reduce order processing time.
E) Supermarkets such as Safeway and booksellers such as Borders have added Starbucks and Seattle's Best (owned by Starbucks) boutiques to their gourmet brands of coffee within their stores.

Question 18

Which of the following statements regarding environmental scanning is the most accurate?

A) Environmental scanning changes the marketing environment.
B) Environmental scanning identifies and interprets potential trends.
C) Environmental scanning should be done at least every five years.
D) Environmental scanning focuses primarily on ecological factors.
E) There is too much information generated from environmental scanning to make it viable for small firms.

Question 19

Changes in coffee consumption affect all of the following EXCEPT:

A) supermarkets.
B) government regulators.
C) coffee shops.
D) coffee growers.
E) coffee processors.

Question 20

purpose of environmental scanning is to

A) only identify trends in the marketplace.
B) only interpret trends in the marketplace.
C) only forecast trends in the marketplace.
D) identify, interpret, and forecast trends in the marketplace.
E) only identify and interpret trends in the marketplace.

Question 21

Which of the following trends identified in an environmental scan is a regulatory trend?

A) Digital TVs, tablet devices, and smartphones will become increasingly connected.
B) Partnerships, collaborations, and co-creation of value will become important dimensions of business rivalry.
C) The U.S., Japan, China, and the E.U. countries will increase investments in sustainable living structures.
D) Health consciousness will lead to more public and private smoke-free areas.
E) Global media consumption (online and social) will continue to grow dramatically.

Question 22

important social trend is the continued concern for health and well-being in the United States.This is most likely evidenced by

A) First Lady Michelle Obama's Let's Move! initiative to eliminate childhood obesity.
B) the increased sales of Cigar Aficionado magazine.
C) the opening of more Starbucks coffee boutiques in supermarkets.
D) the upsizing of menu items at fast food restaurants.
E) the introduction of tablet devices such as the iPad.

Question 23

of the world's largest publishers was totally unprepared for recent increases in the demand for digital books.During 2011,the sale of e-books exceeded the sales of traditional printed paperback books for the first time.If the publisher had __________,it would have been more prepared for this shift in demand.

A) optimized its distribution by eliminating local and chain store bookstores (like Borders) that failed to meet their sales quotas
B) noticed the change in the demographics of book readers in general
C) noticed the behavioral changes in moviegoers, who now prefer to view 3D movies in IMAX theaters
D) shifted funds from product development to advertising
E) tracked, as part of its ongoing environmental scanning activities, the sales of e-books sold by other publishers as well as e-book readers sold by Amazon.com (Kindle) and Barnes and Noble (Nook)

Question 24

the start of the war on terrorism,billions have been spent on the war effort in Iraq.According to an environmental scan of the United States,this military expenditure is an example of a change in __________ forces.

A) economic
B) competitive
C) technological
D) social
E) regulatory

Question 25

Demographics describe all of the following population characteristics EXCEPT:

A) income.
B) age.
C) gender.
D) zip code.
E) ethnicity/race.

Question 26

2050,the world's population is expected to be __________.

A) 5.0 billion
B) 5.7 billion
C) 6.9 billion
D) 7.9 billion
E) 9.4 billion

Question 27

social forces of the environment include the ____________ of the population and its values.

A) living standards
B) social classes
C) cohorts
D) ethics
E) demographic characteristics

Question 28

is predicted that the number of people in the United States over the age of 65 will __________ by 2030.

A) almost double
B) be significantly less than the growth of children under 16 years old
C) increase at the same worldwide rate
D) decrease at the same worldwide rate
E) begin to decrease, relative to previous growth rates

Question 29

the director of marketing for Littleton Hospital,you must conduct an environmental scan to help create a five-year marketing plan for the hospital.Which of the following environmental trends should you consider to be the MOST IMPORTANT?

A) The number of people in the geographic area who are 65 years or older will increase by 23 percent during the next five years.
B) By the year 2015, baby boomers will control more than 50 percent of all consumer expenditures in the United States.
C) The Littleton community has seen a rise in dual-income households.
D) By the year 2025, robotics will play a major role in surgical procedures.
E) Twenty percent of the local population is of Hispanic origin.

Question 30

most recent estimate indicates that the population of the world today is about __________.

A) 5.0 billion
B) 5.7 billion
C) 6.9 billion
D) 7.9 billion
E) 9.4 billion

Question 31

Which of the following statements regarding social forces is most accurate?

A) Social forces can have a dramatic impact on marketing strategy.
B) As a social force, consumer incomes have more impact on marketing strategy than demographics.
C) Social forces within an organization motivate employees to improve their productivity.
D) Social forces determine all the other environmental forces that affect an organization.
E) Of all the environmental forces, social forces are the easiest for a marketer to manipulate.

Question 32

demographic characteristics of the population and its values are referred to as

A) attitudinal forces.
B) psychographic forces.
C) social forces.
D) cultural forces.
E) market forces.

Question 33

Demographics refers to

A) the description of a population according to its values or cultural beliefs.
B) an objective measurement of a person's likelihood to purchase a product or service.
C) the psychological profile of prospective consumers.
D) the density of a population in a geographic area.
E) the description of a population according to selected characteristics such as age, gender, ethnicity, income, and occupation.

Question 34

Lemon Tree is a high-fashion boutique selling top-of-the-line women's clothing and accessories.The keys to its success include knowing customers' changing tastes and providing something different from other retailers.In addition,because of the high value of the merchandise,The Lemon Tree's management is exploring the use of computerized inventory controls and sales order processing.From this description,one can infer that the LEAST IMPORTANT environmental force to The Lemon Tree at this particular time would be

A) economic.
B) competitive.
C) technological.
D) social.
E) regulatory.

Question 35

magazine is a publication designed to appeal to women aged 40 and over.Demand for such magazines is an example of how changing __________ characteristics impact the marketing environment.

A) cultural
B) behavioral
C) psychographic
D) occupational
E) demographic

Question 36

MySpace.com is a social network that is targeted primarily to people under the age of 25.In 2005,when MySpace was the leading social network,News Corp.,owner of The Wall Street Journal and Fox News,bought the firm for $580 million.Since then,its membership has declined precipitously due to changing consumer tastes.As a result,News Corp.sold MySpace to a group of investors for a paltry $38 million in mid-2011.This is an example of how __________ forces impact the marketing environment.

A) economic
B) competitive
C) social
D) technological
E) regulatory

Question 37

social forces of the environment include the demographic characteristics of the population and its __________.

A) geographic locations
B) social classes
C) cohorts
D) values
E) ethics

Question 38

description of a population according to selected characteristics such as age,gender,ethnicity,income,and occupation is referred to as __________.

A) product group profiling
B) demographics
C) behavioral analysis
D) psychographics
E) statistical analysis

Question 39

set of environmental forces that consists of the demographic characteristics of the population and its values is referred to as

A) social forces.
B) economic forces.
C) consumer forces.
D) cultural forces.
E) market forces.

Question 40

term that describes the rapid growth in world population is called the __________.

A) population expansion
B) population inversion
C) population migration
D) population explosion
E) population eruption

Question 41

Which of the following global trends has significant implications to global marketers?

A) the declining populations of Latin/South American countries
B) the size of the markets in India and China
C) the tripling of the population of consumers under 40 years old
D) the decreasing interest in entrepreneurship in developing countries
E) the increased saving rates of elderly populations in developed countries

Question 42

generation of children born between 1946 and 1964 is referred to as

A) baby busters.
B) baby boomlets.
C) Generation Y.
D) baby boomers.
E) Generation X.

Question 43

Demographers predict that the number of people in the U.S.aged 65 and over will __________ by 2030.

A) almost double
B) be significantly less than the number of children under 18 years old
C) increase at the same rate as the rate for developing countries
D) increase at the same rate as the rate for developed countries
E) stay the same as today

Question 44

Frito-Lay will be releasing a succession of reformulated snacks to address boomers' concerns about salt and saturated fat to address __________ health-related concerns.

A) echo-boomers'
B) baby boomers'
C) Generation Xers'
D) Generation Yers'
E) baby busters'

Question 45

population explosion has occurred

A) primarily in the developing countries of Latin America, Asia, and Africa.
B) evenly throughout the world.
C) primarily in the United States due to high birth rates and immigration.
D) primarily in the countries of the European Union due to high birth rates and immigration.
E) primarily in developed countries due to better economic, infrastructure, and healthcare conditions.

Question 46

2030,the U.S.population is expected to exceed

A) 273 million.
B) 308 million.
C) 323 million.
D) 373 million.
E) 408 million.

Question 47

a recent issue of AARP The Magazine,a print ad for State Farm Insurance annuities advises readers that "The company has helped you enjoy your time with the kids and it can now help you enjoy your time without them." The ad is most likely targeted toward which generational cohort?

A) Generation X
B) baby busters
C) Generation Y
D) the Greatest Generation
E) baby boomers

Question 48

Projections show that the population of the world is __________.

A) growing
B) declining
C) decreasing in Africa
D) increasing in Europe
E) decreasing in Latin America

Question 49

term "minority" is currently defined as "a relatively small group of people who differ from others with respect to race,religion,language,or political persuasion." Why will the term have different implications in the future?

A) There will be stronger limits on immigration, so the presence of minorities will be less noticeable.
B) Members of Generation Y are more socially conscious and embrace diversity.
C) The term "minority" has become politically incorrect.
D) The meaning of the word won't change at all; the group with the smallest population, regardless of its absolute size, will always be labeled "minority."
E) The size of most ethnic groups will double during the next two decades.

Question 50

Generally,the U.S.population is becoming

A) smaller, younger, and more diverse.
B) smaller, older, and more diverse.
C) larger, older, and less diverse.
D) larger, younger, and more diverse.
E) larger, older, and more diverse.

Question 51

Which age segment of the U.S.population is expected to grow to 72 million people or almost 20 percent of the population by 2030?

A) children under the age of 18
B) people aged 65 and over
C) children of baby boomers
D) children of Generation X
E) children of Generation Y

Question 52

Studies of the __________ characteristics of the U.S.population suggest that it is becoming larger,older,and more diverse.

A) cultural
B) psychographic
C) geographic
D) demographic
E) economic

Question 53

country expected to have the largest population in 2050 is __________.

A) India
B) the United States
C) China
D) Russia
E) Brazil

Question 54

Which of the following statements regarding baby boomers is most accurate?

A) Baby boomers are an important consumer market segment because of their relatively high wealth and workforce participation.
B) Baby boomers are more educated and therefore more proactive in making their needs known.
C) Baby boomers are important to marketers because they are leaving significant amounts of wealth to their children.
D) Baby boomers are more personally and financially secure because they did not have to live through any major wars.
E) Baby boomers are much more likely to spend their money on others than on themselves.

Question 55

generation of children born between 1946 and 1964 is referred to as

A) baby busters.
B) millennials.
C) Generation Y.
D) baby boomers.
E) Generation X.

Question 56

World population projections show that the number of people 60 years of age and older is expected to __________ by 2050.

A) decline by 1 billion
B) double to 4 billion
C) reach 2 billion
D) triple to 3 billion
E) reach 6 billion

Question 57

boomers can be defined as the generation of children born __________.

A) between 1918 and 1945
B) between 1946 and 1964
C) between 1965 and 1976
D) between 1977 and 1994
E) since 1995

Question 58

boomers are an important target market because

A) their workforce participation has made them the wealthiest generation in U.S. history, accounting for an estimated 50 percent of all consumer spending.
B) they include most of the important business leaders in the United States.
C) they represent a small proportion of the population but have large disposable incomes.
D) they have the longest life expectancies, remaining an active participant in the marketplace for a long time.
E) they will be able to pass along significant wealth to their children, the generation that will succeed them.

Question 59

Olay's promotions for its Total Effects cleansing cloths,which fight signs of aging,are targeted toward

A) echo-boomers.
B) Generation Xers.
C) Generation Yers.
D) baby boomers.
E) baby busters.

Question 60

of the following factors contribute to the growth of a country's population EXCEPT:

A) life expectancy (the average number of years a population lives from birth).
B) immigration (the number of people who enter a country for the purpose of permanent residence).
C) population density (defined as the total number of people per square mile/kilometer).
D) birth rate (the number of births during a specified time period).
E) death rate (the number of deaths during a specified time period).

Question 61

Generation X is the label often given to

A) persons born between 1965 and 1976.
B) persons 65 years old and older.
C) the "upbeat" or "carefree" generation.
D) the "greatest generation" born between the baby boomer generation and their parents, Generation W-the World War II generation.
E) those people who were born during the millennium.

Question 62

Americans born between 1977 and 1994 are referred to as __________.

A) Generation X
B) baby boomers
C) Generation Y
D) baby busters
E) Generation Z

Question 63

Which of the following marketing activities targets baby boomers?

A) Some educational institutions have developed degree programs that emphasize sustainable practices.
B) Some hoteliers have remodeled their rooms to make them more casual and "tech-friendly."
C) Some consumer packaged goods firms have reformulated their products to address concerns about salt, sugar, and saturated fat.
D) Some travel agencies have developed distinctive, memorable, and personal vacations (cruises, sightseeing trips, etc.)
E) Some greeting card firms have created birthday cards with sentiments designed for stepparents and stepchildren.

Question 64

Generation Y is sometimes referred to as

A) echo-boomers.
B) baby boomers.
C) baby busters.
D) millennials.
E) Generation Zers.

Question 65

15 percent of the population born between 1965 and 1976,also called the baby bust,refers to __________.

A) Generation X
B) millennials
C) Generation Y
D) Generation Z
E) baby boomers

Question 66

Generation X

A) is the least healthy generation since the 1940s.
B) accounts for the largest amount of consumer spending.
C) is the largest segment of business travelers.
D) is interested in distinctive, memorable, and personal experiences.
E) includes younger members known as millennials.

Question 67

Generation Y is defined as the generation of children born __________.

A) between WWI and WWII
B) between 1946 and 1964
C) between 1965 and 1976
D) between 1977 and 1994
E) since the millennium

Question 68

Which generational cohort is adept at managing their lives to create a work-life balance?

A) baby boomers
B) Generation Z
C) Generation Y
D) Generation X
E) baby busters

Question 69

name given to the group of consumers who are described as self-reliant,supportive of racial and ethnic diversity,and better educated than previous generations is __________.

A) Generation Z
B) Generation Y
C) millennials
D) Generation X
E) baby boomers

Question 70

Which generational cohort is interested in distinctive,memorable,and personal experiences?

A) baby busters
B) Generation Y
C) baby boomers
D) Generation X
E) Generation Z

Question 71

15 percent of the population born between 1965 and 1976,also called the __________,refers to Generation X.

A) Generation Y
B) baby bust
C) millennials
D) baby boomers
E) Generation Z

Question 72

Generation X is defined as the generation of children born __________.

A) between 1946 and 1964
B) between WWI and WWII
C) between 1965 and 1976
D) between 1977 and 1994
E) since the millennium

Question 73

of the following statements about Generation X are true EXCEPT:

A) Generation X is not prone to extravagance.
B) Generation X is replacing baby boomers as the largest segment of business travelers.
C) Generation X is the first generation to have less than the previous generation.
D) Generation X was born during the "baby bust" era because the number of children born each year was declining.
E) Generation X was born during the "echo boom" or "baby boomlet" era because the number of children born each year was rising.

Question 74

Generation X consumers are

A) people that like to rely on others.
B) collaborative decision-makers.
C) somewhat prone to extravagance.
D) generally not supportive of racial and ethnic diversity.
E) poorly educated.

Question 75

compared to baby boomers,members of Generation X are more likely to invest their money in __________.

A) entertainment
B) non-durables
C) discretionary spending
D) diamonds
E) real estate

Question 76

Ameritrade Ad
Ameritrade ad shown above is targeted at which generational cohort?

A) echo-boomers
B) Generation Xers
C) Generation Yers
D) baby boomers
E) baby busters

Question 77

Which of the following is an example of how Generation Y members are different from other generations?

A) They are parents of the baby boomers.
B) They represent the first generation that has less than the previous generation.
C) They represent the greatest generation: parents of post-WWII babies.
D) They have little interest in communication relative to other generations.
E) They are attracted to purposeful work where they have control.

Question 78

compared to Generation X,members of Generation Y are more likely to influence

A) children's designer clothing lines.
B) health care and insurance.
C) retirement plans.
D) all forms of communication.
E) automobile design.

Question 79

Which generation (1)feels passionate about the environment and (2)is optimistic about the future?

A) Generation X
B) baby boomers
C) Generation Y
D) baby busters
E) Generation Z

Question 80

generation of children born to baby boomers is sometimes referred to as

A) echo busters.
B) baby busters.
C) the lost generation.
D) baby boomerangs.
E) baby boomlets.