Question 1

The value to consumers that comes from the production or alteration of a product or service constitutes __________ utility.

Accepted Answer

A) time 
B) place 
C) possession 
D) market 
E) form

Question 2

Studies of new product launches indicate that about __________ percent of the products fail.

Accepted Answer

A) 33 
B) 50 
C) 67 
D) 75 
E) 40

Question 3

Some people may assume that for a marketer, the only thing of value for which he or she would "exchange" would be monetary (check, credit/debit, currency, and/or coin transactions). But what else can be exchanged? Provide an example of a nonmonetary transaction that still fits the criteria of exchange.

Accepted Answer

The answer of Some people may assume that for a...

Question 4

For marketing to occur, there must be two or more parties with unsatisfied needs. Dr. Pepper Snapple Group distributes Country Time lemonade in cans through supermarkets at a price comparable to that of soft drinks. The most likely "second" party needed for marketing to occur would be

Accepted Answer

A) people who are nostalgic about childhood lemonade stands they had during hot summers. 
B) people with a desire for a beverage other than soda or water. 
C) product demonstrators who offer samples of Country Time lemonade to shoppers at local supermarkets. 
D) a local distributor of alcoholic beverages. 
E) a nutritionist promoting the benefits of fresh fruit in people's diets.

Question 5

What are the two key objectives of marketing? Define "exchange" and explain how it supports these objectives.

Accepted Answer

The answer of What are the two key objectives of...

Question 6

The cluster of benefits that an organization promises customers to satisfy their needs is referred to as a

Accepted Answer

A) core benefit proposal. 
B) product protocol. 
C) marketing program. 
D) marketing mix. 
E) customer value proposition.

Question 7

A good, service, or idea consisting of a bundle of tangible and intangible attributes that satisfies consumers' needs and is received in exchange for money or something else of value is known as

Accepted Answer

A) a utility. 
B) an item. 
C) a service. 
D) a marketing program. 
E) a product.

Question 8

What kinds of organizations should engage in marketing?

Accepted Answer

A) only those that can afford to advertise 
B) only very large and established for-profit organizations 
C) only Fortune 5,000 companies 
D) every organization regardless of the kind 
E) only if the organization has a profit motivation

Question 9

Which of the following statements about customer value is most accurate?

Accepted Answer

A) Target customers assess customer value in terms of the combination of benefits (quality, convenience, etc.), regardless of the price. 
B) Loyal customers are less profitable to firms in the long run since they expect lower prices over time in order to remain loyal. 
C) Research suggests that firms can be most successful by being all things to all consumers. 
D) It is impossible to place a dollar value on a loyal, satisfied customer. 
E) To create value for targeted buyers, firms must build long-term relationships with them.

Question 10

The people who use the products and services purchased for a household are called

Accepted Answer

A) organizational buyers. 
B) household prospects. 
C) ultimate consumers. 
D) a target market. 
E) sellers.

Question 11

According to the textbook, Starbucks provides its customers with the best

Accepted Answer

A) branding. 
B) products/services. 
C) price. 
D) customer service. 
E) availability.

Question 12

In 1952, General Electric's annual report stated, "The concept introduces…marketing…at the beginning rather than the end of the production cycle and integrates marketing into each phase of the business." This is a brief statement of what has come to be known as the

Accepted Answer

A) sustainability perspective. 
B) age of consumerism. 
C) sales concept. 
D) marketing concept. 
E) customer relationship management concept.

Question 13

All of the following are examples of ideas that can be marketed except

Accepted Answer

A) state governments in Arizona and Florida marketing the notion of taking a warm, sunny winter vacation in their states. 
B) Apple using a TV ad to explain the features of an iPad mini (camera, screen resolution, user interface, etc.). 
C) the Nature Conservancy marketing the cause of protecting the environment. 
D) conservative politicians who attempt to persuade voters of the need to slash government spending to reduce the $17 trillion debt. 
E) charities like the Red Cross marketing the idea that it's worthwhile for you to donate your time or money to their causes to benefit society.

Question 14

Which of the following statements about marketing activities is most accurate?

Accepted Answer

A) Marketing is affected by society but rarely, if ever, affects society as a whole. 
B) The marketing department both shapes and is shaped by its relationship with internal and external groups. 
C) Marketing activities are the sole responsibility of the marketing department; other departments are involved only if there is an emergency (such as a product recall). 
D) Environmental forces do not affect marketing activities as long as a firm closely monitors its environment through rigorous market research. 
E) Marketing is essentially developing the right product and convincing potential customers that they "need" it, not just "want" it.

Question 15

Describe two different target markets for two different products or services you, your friends, or your family have recently purchased or used.

Accepted Answer

The answer of Describe two different target markets for two...

Question 16

Explain the difference between a market and a target market. Provide a specific example of each.

Accepted Answer

The answer of Explain the difference between a market and...

Question 17

The Hermitage, a famous Russian art museum, was suffering financial difficulties as the result of lost funding and a decline in tourists. The decrease in visitors was blamed on a lack of awareness of the treasures contained in the museum. The Hermitage's director used a strategic alliance with IBM to create a website where people view some of the wonders of the Hermitage in an online virtual tour. The hope is that this sampling of paintings, sculptures, artifacts, etc., will encourage visitors to make a trip to the Hermitage and spend enough money there to cover operational costs. The Hermitage is a(n) __________ that uses online virtual tours to market itself worldwide.

Accepted Answer

A) good 
B) idea 
C) service 
D) assembly 
E) charity

Question 18

A live theater performance cannot be touched like a physical object, but is still considered a product. To a marketer, this is an example of

Accepted Answer

A) a utility. 
B) a production. 
C) a value. 
D) a service. 
E) an idea.

Question 19

The internal response that customers have to all aspects of an organization and its offerings is referred to as

Accepted Answer

A) customer experience. 
B) relationship marketing. 
C) internal customer audit. 
D) internal marketing. 
E) customer relationship management.

Question 20

Which of the following statements about 3M's marketing program for Post-it Flag Highlighters is most accurate?

Accepted Answer

A) In his first attempt, David Windorski, a 3M inventor, designed the Post-it Flag Highlighter in exactly the right way to appeal to its target market. 
B) Paralegals were initially the intended target market for the Post-it Flag Highlighter. 
C) David Windorski, a 3M inventor, also developed the Post-it Flag Pen for the office worker segment. 
D) The Post-it Flag Highlighter was not successful and was deleted from the Post-it Flag product line. 
E) In development of the Post-it Flag Highlighter, David Windorski examined similar products of 3M's major competitors and simply made changes that would provide the "wow" factor.

Exam 1: Creating Customer Relationships and Value Through Marketing