Deck 2: Developing Marketing Strategies and Plans

Question 1

Activities involved in building deeper understanding of existing consumers and what the product offerings mean to them would be a part of the ________ process.

A) customer acquisition
B) customer relationship management
C) customer prospecting
D) customer integrating management
E) customer equity

Answer 1

B

Question 2

What is the second phase of the value creation and delivery sequence?

A) choosing the value
B) providing the value
C) communicating the value
D) calculating the value
E) calibrating the value

Answer 2

B

Question 3

What is the traditional view of marketing?

A) Firms should just focus on production because if the products are good then they will automatically sell.
B) Firms should just focus on production and selling because marketing occurs as a part of the selling process.
C) Firms should have a proper marketing team that can increase consumers' awareness of their products and rouse their interest in them.
D) Firms should price their products as low as possible so that marketing them becomes easy.
E) Firms should remember that promotion is the most important of the four Ps.

Answer 3

B

Question 4

________ management allows the company to discover who its target markets are, how they behave, and what they need or want. It also enables the company to respond appropriately, coherently, and quickly to different customer opportunities.

A) Network
B) Supply chain
C) Marketing
D) Customer relationship
E) Total quality

Question 5

The value delivery process can be divided into three phases, out of which "choosing the value" implies ________, which is the essence of strategic marketing.

A) segmentation, developing, and delivering
B) targeting, positioning, and communicating
C) targeting, positioning, and delivering
D) segmentation, targeting, and positioning
E) researching, developing, and delivering

Question 6

Another way to describe a supply chain, where companies partner with specific suppliers and distributors to ensure a smooth functioning of the system, is to call it a ________.

A) teamwork group
B) horizontal integration
C) domestic power center
D) value exploration
E) value delivery network

Question 7

Michael Porter's value chain would identify which of the following as a support activity?

A) shipping out final products
B) marketing products
C) procurement
D) servicing products
E) operations

Question 8

With respect to core business processes, the ________ process includes all the activities involved in gathering external information, disseminating it within the organization, and acting on the information.

A) market-sensing
B) market research
C) target marketing
D) market pulse
E) deployment

Question 9

When a customer places an order at BookBox.com, the company processes the customer's payment information, sends the order to the nearest warehouse, and ships the order via FedEx. This is best described as the ________ process.

A) market-sensing
B) customer acquisition
C) customer relationship management
D) fulfillment management
E) new-offering realization

Question 10

The last step in the value creation and delivery sequence is ________ the value where the sales force, sales promotion, advertising, and other communication tools announce and promote the product.

A) developing
B) positioning
C) communicating
D) reversing
E) researching

Question 11

The fulfillment management process includes all the activities in ________.

A) gathering and acting upon information about the market
B) researching, developing, and launching new high-quality offerings quickly and within budget standards
C) defining target markets and prospecting for new customers
D) building deeper understanding, relationships, and offerings to individual customers
E) receiving and approving orders, shipping the goods on time, and collecting payment

Question 12

The task of any business is to ________.

A) create customer needs
B) differentiate in terms of cost of production
C) deliver customer value at a profit
D) reduce competition
E) communicate similar value as provided by competitors

Question 13

With respect to core business processes, the ________ process includes all the activities involved in developing and launching high-quality products quickly and within budget.

A) market-sensing
B) new-offering realization
C) fulfillment management
D) customer acquisition
E) customer relationship management

Question 14

The first phase of the value creation and delivery sequence is ________ the value that represents the "homework" marketing must do before any product exists.

A) choosing
B) providing
C) communicating
D) considering
E) acquiring

Question 15

The ________ in the value chain cover the sequence of bringing materials into the business (inbound logistics), converting them into final products (operations), shipping out final products (outbound logistics), marketing them (marketing and sales), and servicing them (service).

A) operations processes
B) manufacturing processes
C) primary activities
D) secondary activities
E) tertiary activities

Question 16

Today, the "mass market" is actually splintering into numerous segments, each with its own wants, perceptions, preferences, and buying criteria. This implies that ________.

A) the traditional marketing approach would be the best approach to follow
B) the producers must consider themselves as a part of the value-chain process
C) the producers should focus on niche markets
D) all market segments are equally profitable
E) target market strategies are no longer effective

Question 17

James Frank has been put in charge of gathering marketing intelligence, disseminating it within his organization, and eventually directing action on the information. Mr. Frank's task is best described as part of the ________ process.

A) market-sensing
B) new-offering realization
C) customer acquisition
D) customer relationship management
E) fulfillment management

Question 18

Angelo made the decision to outsource the software components of his consulting company so he could focus on the company's ________, which are sources of competitive advantage, make a contribution to perceived customer benefits, have application in a wide variety of markets, and are difficult to imitate.

A) core competencies
B) infrastructure
C) market-sensing processes
D) fulfillment management processes
E) outbound logistics

Question 19

Apex Corporation is one of the best in its industry in terms of costs and performance. Many companies in its industry will probably consider Apex as a ________.

A) pioneer
B) benchmark
C) target for acquisition
D) future supplier
E) sounding board for ideas

Question 20

Which of the following can be considered a primary activity in the value chain process?

A) procurement
B) human resource management
C) technology development
D) inbound logistics
E) firm infrastructure

Question 21

Holistic marketing focuses on the integration of value exploration, value creation, and value delivery as a means to build long-term relationships with consumers.

Question 22

Competitors in a given industry can be identified by the similarities in their core competencies.

Question 23

The new-offering realization process involves all activities in defining target markets and prospecting for new customers.

Question 24

Marketing goods that are currently in short supply would require significant marketing talent.

Question 25

Another name for a company's value delivery network is "distribution chain."

Question 26

A firm's core competency has applications only in the specific market in which the firm operates.

Question 27

The marketing plan is the central instrument for directing and coordinating the marketing effort.

Question 28

Briefly summarize the two views of the value delivery process that may be followed by organizations.

Question 29

Companies including Amazon.com, BMW, Disney, eBay, LEGO, Nike, and Toyota are examples of master marketers.

Question 30

A principle of the value chain is that every firm is a synthesis of activities performed to design, produce, market, deliver, and support its product.

Question 31

A ________ has three characteristics: (1) a source of competitive advantage making a significant contribution to perceived customer benefits; (2) has applications in a wide variety of markets; and (3) is difficult to imitate.

A) core competency
B) market sensing process
C) corporate social responsibility effort
D) strategic business unit
E) philanthropic endeavor

Question 32

The traditional view of marketing works best in economies with many different types of people, each with individual wants, perceptions, preferences, and buying criteria.

Question 33

Core competencies tend to refer to areas of special technical and production expertise, whereas ________ tend to describe excellence in broader business processes.

A) process benchmarks
B) distinctive capabilities
C) distributive capabilities
D) facultative benchmarks
E) concentric capabilities

Question 34

Amber oversees the activities at a consumer packaged goods firm that include researching, developing, and launching new, high-quality shampoos, quickly and within budget. With which process is her job most closely aligned?

A) the fulfillment management process
B) the market-sensing process
C) the customer acquisition process
D) the customer relationship management process
E) the new-offering realization process

Question 35

When a manager is trying to identify how the company can efficiently create promising new offerings, he is addressing the question of value delivery.

Question 36

The key to utilizing organizational core competencies is to ________ that make up the essence of the business.

A) force organizational departments to justify the budgetary components
B) vertically integrate and own all intermediaries
C) own and nurture the resources and competencies
D) emphasize global promotions
E) segment the workforces

Question 37

The customer relationship management process involves all the activities related to receiving and approving orders, shipping the goods on time, and collecting payment.

Question 38

The traditional view of marketing is that the firm makes something and then sells it.

Question 39

In the communication stage of the value creation and delivery sequence, marketing must determine specific product features, prices, and distribution channels.

Question 40

As Kodak addresses the digital revolution taking over the photographic industry, it wants customers to see it as a leader in digital photography. Thus, it is moving away from the production of film roll cameras. This would be an example of which of the following value creation steps?

A) abandoning current product lines
B) changing the corporate vision
C) repositioning the company's brand identity
D) redoing the corporate logo
E) realigning core competencies

Question 41

Describe the characteristics a core competency should possess.

Question 42

Most large companies consist of four organizational levels: the corporate level, the ________ level, the business unit level, and the product level.

A) board of director
B) major stakeholder
C) management team
D) division
E) strategic

Question 43

Identify the elements of a tactical marketing plan for a new kind of cola.

Question 44

The marketing plan, the central instrument for directing and coordinating the marketing effort of a company, operates at the ________ levels.

A) functional and operational
B) strategic and tactical
C) corporate and operational
D) customer and expenditure
E) corporate and division

Question 45

In the cycle of complete strategic planning, taking corrective action is a part of ________.

A) planning
B) implementation
C) controlling
D) organizing
E) analyzing

Question 46

Which of the following is one of the five major characteristics of good mission statements?

A) They focus on a large number of goals.
B) They expand the range of individual employee discretion.
C) They define the major competitive spheres within which the company will operate.
D) They take a short-term view.
E) They are long and comprehensive to ensure that all critical concepts are included.

Question 47

Which of the following plans would most likely include directions for implementing and addressing daily challenges and opportunities in product features, promotion, merchandising, pricing, sales channels, and service areas?

A) the tactical marketing plan
B) the target marketing plan
C) the deployment plan
D) the product-launch plan
E) the product-development plan

Question 48

Over the past 10 years, Cisco Systems has drastically reduced its number of suppliers and aligned itself more closely with its remaining suppliers for each of its product-based teams. How might this have helped Cisco improve its new-offering realization process?

Question 49

The ________ sphere is the number of channel levels, from raw materials to final product and distribution, in which a company will participate.

A) industry
B) vertical
C) product/application
D) competence
E) market segment

Question 50

Juan Garcia plans the daily promotional releases about his company's products and services. He can be described as a(n) ________ planner.

A) strategic
B) selective
C) tactical
D) niche
E) operational

Question 51

"Enriching Women's Lives" is a three-word mantra that is used by Mary Kay. This is an example of which of the following characteristics of good mission statements?

A) It is focused on a limited number of goals.
B) It is short, memorable, and meaningful.
C) It defines the major competitive spheres in which the company will operate.
D) It takes a long-term view.
E) It stresses the company's major policies and values.

Question 52

Which of the following is NOT one of the four planning activities undertaken by all corporate headquarters?

A) defining the corporate mission
B) establishing strategic business units
C) assigning resources to each SBU
D) assessing growth opportunities
E) deciding sales channels

Question 53

Of the four organizational levels, the corporate level is likely to make which of the following decisions?

A) entering a new market
B) resource allocation for each product
C) strategic plan for individual business units
D) choosing specific suppliers for each business unit
E) marketing plan for each product

Question 54

Critics of Nike often complain that its shoes cost almost nothing to make, yet are priced so high. Identify the elements of providing and communicating value that add to Nike's cost structure and result in the high price of Nike shoes.

Question 55

Hot Topic, a chain that sells rock-band-inspired clothes for teens, recently launched Torrid to give plus-size teens the same fashion options. Identify the three parts of the value delivery process and their function for Hot Topic.

Question 56

A clear, thoughtful mission statement provides employees with a shared sense of purpose, direction, and ________.

A) profitability
B) target market feasibility
C) opportunity
D) continuous improvement
E) quality products

Question 57

The ________ lays out the target markets and the value proposition that will be offered, based on an analysis of the best market opportunities.

A) organizational plan
B) strategic marketing plan
C) corporate tactical plan
D) corporate mission
E) customer-value statement

Question 58

Mission statements are at their best when they reflect a ________.

A) market
B) strength
C) competency
D) vision
E) value

Question 59

During Jill's market research study, many customers indicated that traditional oven mitts made it very difficult to hold baking dishes, resulting in frequent spills. Jill brought her findings to the research department, and her company leveraged its engineering and design competencies to develop a new handheld hotpad that allows for significantly greater dexterity in handling hot cooking implements, while protecting the cook from burns. This is an example of the ________ element of the holistic marketing framework.

A) integrated marketing
B) value creation
C) negative demand
D) value networking
E) value focus

Question 60

The firm's success depends not only on how well each department performs its work, but also on how well the various departmental activities are coordinated to conduct core business processes. List and briefly describe the five core business processes.

Question 61

Which of the following is an example of intensive growth?

A) a company improves its market share with its current products in the current markets
B) a company enters a new market with current products
C) a company develops new products for its existing markets
D) a company improving sales by integrating backward
E) a company developing new products for new markets

Question 62

A company that seeks to increase its sales and profits through backward, forward, or horizontal integration within the industry is said to be employing a(n) ________ growth strategy.

A) diversification
B) intensive
C) target
D) integrative
E) conglomerate

Question 63

A strategic-planning gap can be corrected by ________.

A) changing the company's mission
B) adjusting its core values
C) choosing integrative growth strategies
D) redefining organizational culture
E) increasing resource use

Question 64

A(n) ________ market definition of a business focuses on selling a product or service to an existing market.

A) target
B) strategic
C) mass
D) differentiated
E) integrated

Question 65

Once Starbucks established its presence in thousands of cities internationally, the company sought to increase the number of purchases by existing customers with a ________ strategy that led to new in-store merchandise, including compilation CDs and high-speed wireless access.

A) product-development
B) market-penetration
C) diversification
D) market-development
E) conglomerate

Question 66

A characteristic of a ________ unit is that it can be a single business or collection of related businesses that can be planned separately from the rest of the company.

A) strategic business
B) subsidiary
C) merged
D) niche market
E) specialized business

Question 67

A company seeking to expand the number of existing products sold to its current markets, would be using a "market-penetration strategy."

Question 68

Which of the following is an example of growth by diversification?

A) a company introducing its existing products in a new market
B) a company introducing new product category in a new market
C) a company increases its product line in an existing market
D) a company introducing a new product category in an existing market
E) a company integrates backward to cut costs

Question 69

An intensive growth strategy involving marketing current products to new markets is a market-development strategy.

Question 70

Which of the following is best described as a market-oriented business definition?

A) Missouri-Pacific Railroad: We run a railroad.
B) Xerox: We make copying equipment.
C) Standard Oil: We sell gasoline.
D) Encyclopedia Britannica: We distribute information.
E) Columbia Pictures: We make movies.

Question 71

If you were the CEO of a company that was looking to implement strategies to fill a perceived strategic-planning gap, you would most likely explore ________ strategy first because it is easier to improve an existing business than to build a new one.

A) market-penetration
B) market-development
C) diversification
D) product-development
E) exclusive

Question 72

What are hollow corporations?

A) companies that market their products through franchisees
B) companies that have liabilities exceeding their assets
C) companies that outsource all production to suppliers
D) companies that do not have any physical presence and only operate online
E) companies that are horizontally integrated

Question 73

If Xerox Corporation defined its scope of business as "making copying equipment," it can be classified as a marketing definition.

Question 74

Good mission statements should be long and clear, should emphasize on a wide range of goals, and stress on the company's major policies and values.

Question 75

Market-penetration, product-development, and market-development strategies would all be examples of ________ strategies.

A) concentric growth
B) conglomerate
C) horizontal
D) intensive growth
E) integrative growth

Question 76

While viewing businesses in terms of customer needs can suggest additional growth opportunities, a ________ definition tends to focus on selling a product or service to a current market.

A) strategic market
B) target market
C) cognitive
D) product
E) tactical

Question 77

A(n) ________ is when a company might seek new businesses to purchase that have no relationship to its current technology, products, or markets.

A) concentric strategy
B) conglomerate strategy
C) horizontal strategy
D) intensive growth strategy
E) integrative strategy

Question 78

A strategy is a game plan for achieving what the business unit wants to achieve.

Question 79

Mission statements that express unrealistic visions are usually unable to inspire employees to achieve their targets.

Question 80

Which of the following terms can be defined as "the shared experiences, stories, beliefs, and norms that characterize an organization"?

A) organizational dynamics
B) a business mission
C) an ethical/value statement
D) customer relationships
E) corporate culture