Question 1

A company should consider downsizing when products of an SBU no longer fit the company's overall strategy.

Accepted Answer

A) True 
 B)False

Question 2

In the BCG approach, ________ are high-share, high-growth businesses or products. They need heavy investment to finance rapid growth. When their growth slows down, they turn into ________.

Accepted Answer

A) cash cows; stars 
B) question marks; dogs 
C) stars; question marks 
D) stars; cash cows 
E) dogs; cash cows

Question 3

Most portfolio analysis methods evaluate SBUs on two dimensions, namely ________ and ________.

Accepted Answer

A) market share; strength of the SBU's position 
B) market or industry growth rate; market or industry attractiveness 
C) market or industry attractiveness; strength of the SBU's position in that market or industry 
D) market growth rate; profits 
E) market penetration; market development

Question 4

Starbucks has introduced a debit card that lets customers prepay for coffee and snacks. This effort by Starbucks management is an example of ________.

Accepted Answer

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

Question 5

Why should a mission statement be "motivating" instead of stated in terms of sales or profits?

Accepted Answer

The answer of Why should a mission statement be "motivating"...

Question 6

To be successful at marketing, companies must effectively turn marketing planning into ________.

Accepted Answer

A) marketing analysis 
B) marketing implementation 
C) marketing control 
D) marketing audits 
E) marketing budgeting

Question 7

Acme, Inc., has modified the distribution process of its widgets and gadgets in order to tap into the Eastern European market. Acme is likely following a ________ strategy.

Accepted Answer

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

Question 8

The process of dividing a market into distinct groups of buyers with different needs, characteristics, or behaviors is called ________.

Accepted Answer

A) market targeting 
B) positioning 
C) marketing strategy 
D) market segmentation 
E) market extension

Question 9

At Google, "we help you organize the world's information and make it universally accessible," is a product-oriented mission.

Accepted Answer

A) True 
 B)False

Question 10

When dealing with a ________, managers must decide whether to invest in it in an attempt to build it into a star or cash cow or whether to phase it out.

Accepted Answer

A) star 
B) dog 
C) question mark 
D) cash cow 
E) cat

Question 11

In the four Ps of the marketing mix, design, packaging, services, and variety all fall under the category of ________.

Accepted Answer

A) product 
B) price 
C) promotion 
D) place 
E) position

Question 12

Fun-Spot Fun Park began as a small amusement park in 1985. Starting with nothing more than a merry-go-round, a slide, pony rides, and an ice cream stand, Fun-Spot grew into a popular family attraction with 20 rides, a restaurant, and an outdoor performing arts theater.

"My wife, Gail, and I didn't know what we were getting into," commented Ron Hart, the owner. "We just knew that weekenders coming to the lakes in our rural area represented an untapped market."

Today, thousands of visitors flock to Fun-Spot—families, children of all ages, and even senior citizens who enjoy strolling through the gardens and arbor.

"There's something here for everyone," Gail Hart said with a smile. "Dozens of companies hold annual company picnics here. We have welcomed class field trips. And we even had one wedding here at the park!"

"Here's the funny thing," Ron chimed in. "We really don't know why we've been so successful! There is nothing else like Fun-Spot Fun Park in the area. We were just lucky."

"I think it's the ambience of the park," Gail added, "that has brought so many visitors. We provide a 'total package' of entertainment. Plus, we try to change our rides and various attractions from time to time."

Ron and Gail Hart admitted that making every visitor happy is a priority. "That has always been our philosophy," they said. "And we've always been able to deliver on that because we've never allowed ourselves to grow too big too quickly."

-Describe two critical factors affecting the strategic plan at Fun-Spot.

Accepted Answer

The answer of Fun-Spot Fun Park began as a small...

Question 13

________ is the process of developing and maintaining a strategic fit between the organization's goals and capabilities and its changing marketing opportunities.

Accepted Answer

A) Strategic planning 
B) Annual market planning 
C) Short-term planning 
D) Long-range planning 
E) Advertising

Question 14

For Hyundai Corporation, customers who care primarily about the price of a car make up one ________.

Accepted Answer

A) market position 
B) value network 
C) market segment 
D) customer extension 
E) value chain

Question 15

The marketing department alone cannot produce superior value for customers.

Accepted Answer

A) True 
 B)False

Question 16

Most companies today enter a new market by serving a ________; if this proves successful, they ________.

Accepted Answer

A) single market segment; add segments 
B) multitude of segments; add more segments 
C) few segments; add more segments 
D) niche; differentiate 
E) target market; reposition

Question 17

According to the text the best known product portfolio planning method was developed by ________.

Accepted Answer

A) Philip Kotler 
B) Harvard University 
C) the SRI Consulting Firm 
D) the Boston Consulting Group 
E) James P. Hess

Question 18

Why is marketing analysis such an important part of marketing management?

Accepted Answer

The answer of Why is marketing analysis such an important...

Question 19

Memories R Us specializes in serving market segments that major competitors overlook and ignore. Which of the following best describes Memories R Us'?

Accepted Answer

A) market follower 
B) marketer challenger 
C) market seeker 
D) market nicher 
E) full market coverer

Question 20

________ involves looking at whether a company's basic strategies are well matched to its opportunities.

Accepted Answer

A) Operating control 
B) Market management organization 
C) Marketing control 
D) Strategic control 
E) Distribution

Exam 2: Company and Marketing Strategy: Partnering to Build Customer Relationships

A company should consider downsizing when products of an SBU no longer fit the company's overall strategy.

In the BCG approach, are high-share, high-growth businesses or products. They need heavy investment to finance rapid growth. When their growth slows down, they turn into .

Most portfolio analysis methods evaluate SBUs on two dimensions, namely and .

Starbucks has introduced a debit card that lets customers prepay for coffee and snacks. This effort by Starbucks management is an example of ________.

Why should a mission statement be "motivating" instead of stated in terms of sales or profits?

To be successful at marketing, companies must effectively turn marketing planning into ________.

Acme, Inc., has modified the distribution process of its widgets and gadgets in order to tap into the Eastern European market. Acme is likely following a ________ strategy.

The process of dividing a market into distinct groups of buyers with different needs, characteristics, or behaviors is called ________.

At Google, "we help you organize the world's information and make it universally accessible," is a product-oriented mission.

When dealing with a ________, managers must decide whether to invest in it in an attempt to build it into a star or cash cow or whether to phase it out.

In the four Ps of the marketing mix, design, packaging, services, and variety all fall under the category of ________.

________ is the process of developing and maintaining a strategic fit between the organization's goals and capabilities and its changing marketing opportunities.

For Hyundai Corporation, customers who care primarily about the price of a car make up one ________.

The marketing department alone cannot produce superior value for customers.

Most companies today enter a new market by serving a ; if this proves successful, they .

According to the text the best known product portfolio planning method was developed by ________.

Why is marketing analysis such an important part of marketing management?

Memories R Us specializes in serving market segments that major competitors overlook and ignore. Which of the following best describes Memories R Us'?

________ involves looking at whether a company's basic strategies are well matched to its opportunities.