Question 1

As small companies achieve success,they inevitably move toward more ________ marketing.They pore over the latest Nielsen numbers,scan market research reports,and try to fine-tune their competitive strategies and programs.

Accepted Answer

A)  niched 
B)  formulated 
C)  entrepreneurial 
D)  intrepreneurial 
E)  targeted

Question 2

An integrated group is a group of firms in an industry following the same or a similar strategy in a given target market.

Accepted Answer

A) True 
 B)False

Question 3

Nintendo,producer of the Wii video game console,might define its competitors as other makers of physically interactive video games.But from a(n)________ point of view,it would include all firms making physically interactive recreational products.

Accepted Answer

A)  industry 
B)  market 
C)  segment 
D)  niche 
E)  interdependent

Question 4

Small firms that can't afford a competitive intelligence system often resort to using "in-house" experts to study competitors.

Accepted Answer

A) True 
 B)False

Question 5

Companies can pursue any of which of the following three strategies,called value disciplines,for delivering superior customer value?

Accepted Answer

A)  operational excellence, overall cost leadership, and differentiation 
B)  customer intimacy, operational excellence, and focus 
C)  employee relations, product leadership, and overall cost leadership 
D)  product leadership, customer intimacy, and focus 
E)  operational excellence, customer intimacy, and product leadership

Question 6

Which of the following is most critical for successful niching?

Accepted Answer

A)  having only a few specific customers 
B)  buzz marketing 
C)  follow-up 
D)  specialization 
E)  mass appeal of one idea

Question 7

A company can become so ________ centered that it loses its even more important focus on maintaining profitable ________ relationships.

Accepted Answer

A)  customer; competitor 
B)  competitor; customer 
C)  market; customer 
D)  market; competitor 
E)  competitor; product

Question 8

How can companies learn about their competitors' strengths and weaknesses?

Accepted Answer

The answer of How can companies learn about their competitors'...

Question 9

Gaining ________ requires delivering more value and satisfaction to target consumers than competitors do.

Accepted Answer

A)  competitive advantage 
B)  competitor analysis 
C)  benchmarking 
D)  a market-center 
E)  a target advantage

Question 10

Lovelies is the leading workout center in its area for women.The regional chain of gyms has traditionally catered to women forty and older who are interested in strength and cardiovascular training.Lovelies has recently begun promotions to bring younger women into its gyms.This is an example of how the market leader ________.

Accepted Answer

A)  develops new competitors 
B)  changes its products 
C)  develops new rules 
D)  develops new users 
E)  challenges competition

Question 11

The more that one firm's strategy resembles another firm's strategy,the more likely the two firms are to ________.

Accepted Answer

A)  compete 
B)  join 
C)  grow 
D)  partner 
E)  succeed

Question 12

Why is niching profitable?

Accepted Answer

The answer of Why is niching profitable?...

Question 13

Companies that have been in existence for some time often lose the marketing creativity and passion that they had at the start.They now need to refresh their marketing strategies and try new approaches.This is known as ________.

Accepted Answer

A)  network marketing 
B)  formulated marketing 
C)  entrepreneurial marketing 
D)  intrepreneurial marketing 
E)  blue sky marketing

Question 14

________ is profitable because the company knows the needs of the target customer segment better than other firms that casually attempt to sell to the same segment.

Accepted Answer

A)  Benchmarking 
B)  Undifferentiated marketing 
C)  Market niching 
D)  Vertical marketing 
E)  Dynamic marketing

Question 15

Many firms avoid direct competition with P&G and look for easier prey because firms cannot succeed by challenging the strongest competitor in a market.

Accepted Answer

A) True 
 B)False

Question 16

The goal of a "red ocean strategy" is to make competition irrelevant.

Accepted Answer

A) True 
 B)False

Question 17

Having identified and evaluated its major competitors,the company now must design broad competitive marketing strategies by which it can gain competitive advantage through superior ________.

Accepted Answer

A)  customer value 
B)  compensation 
C)  employee value 
D)  employee service 
E)  target locations

Question 18

Under which of the following conditions would higher market share be most likely to produce higher profits?

Accepted Answer

A)  when unit costs fall as market share increases 
B)  when unit costs increase as market share increases 
C)  when production volume drops as market share increases 
D)  when production volume increases as market share increases 
E)  when the company charges a break-even price

Question 19

According to management at hotel chain Ritz-Carlton,"It's all about providing a unique,personal,memorable experience" for guests.Ritz-Carlton most likely pursues which of the following strategies?

Accepted Answer

A)  overall cost leadership 
B)  market follower 
C)  focus 
D)  customer intimacy 
E)  product leadership

Question 20

There are specific kinds of information that companies need about their competitors.The ________ system first identifies the vital types of competitive information and the best sources of this information.

Accepted Answer

A)  marketing information 
B)  global network 
C)  competitive intelligence 
D)  marketing research 
E)  marketing database

Exam 18: Creating Competitive Advantage

As small companies achieve success,they inevitably move toward more ________ marketing.They pore over the latest Nielsen numbers,scan market research reports,and try to fine-tune their competitive strategies and programs.

An integrated group is a group of firms in an industry following the same or a similar strategy in a given target market.

Nintendo,producer of the Wii video game console,might define its competitors as other makers of physically interactive video games.But from a(n) ________ point of view,it would include all firms making physically interactive recreational products.

Small firms that can't afford a competitive intelligence system often resort to using "in-house" experts to study competitors.

Companies can pursue any of which of the following three strategies,called value disciplines,for delivering superior customer value?

Which of the following is most critical for successful niching?

A company can become so centered that it loses its even more important focus on maintaining profitable relationships.

How can companies learn about their competitors' strengths and weaknesses?

Gaining ________ requires delivering more value and satisfaction to target consumers than competitors do.

The more that one firm's strategy resembles another firm's strategy,the more likely the two firms are to ________.

Why is niching profitable?

Companies that have been in existence for some time often lose the marketing creativity and passion that they had at the start.They now need to refresh their marketing strategies and try new approaches.This is known as ________.

________ is profitable because the company knows the needs of the target customer segment better than other firms that casually attempt to sell to the same segment.

Many firms avoid direct competition with P&G and look for easier prey because firms cannot succeed by challenging the strongest competitor in a market.

The goal of a "red ocean strategy" is to make competition irrelevant.

Having identified and evaluated its major competitors,the company now must design broad competitive marketing strategies by which it can gain competitive advantage through superior ________.

Under which of the following conditions would higher market share be most likely to produce higher profits?

According to management at hotel chain Ritz-Carlton,"It's all about providing a unique,personal,memorable experience" for guests.Ritz-Carlton most likely pursues which of the following strategies?

There are specific kinds of information that companies need about their competitors.The ________ system first identifies the vital types of competitive information and the best sources of this information.