Marketing: Real People, Real Choices, 4e

1. Marketing: Real People, Real Choices, 4e Chapter 2

2. Products that produce profit and market share with very little effort are referred to as ________ in the BCG matrix.

3. Products that produce profit and market share with very little effort are referred to as ________ in the BCG matrix.

4. A growth strategy that emphasizes both new products and new markets is called diversification.

5. A growth strategy that emphasizes both new products and new markets is called diversification.

6. A competitive advantage is • a superior capability of a company in comparison to its direct competitors. • a growth strategy designed to increase market share. • the ability of the company to outperform its competition. • a growth strategy to increase profitability.

7. A competitive advantage is • a superior capability of a company in comparison to its direct competitors. • a growth strategy designed to increase market share. • the ability of the company to outperform its competition. • a growth strategy to increase profitability.

8. SWOT refers to the analysis of a company’s sales, workforce, ownership, and talent.

9. SWOT refers to the analysis of a company’s sales, workforce, ownership, and talent.

10. When managers compare a marketing planning objective to an actual occurrence, they are implementing control aspects of the plan.

11. When managers compare a marketing planning objective to an actual occurrence, they are implementing control aspects of the plan.

12. If Chappy Chip Company is developing a brand new flavor of baked potato chips, they are implementing a ___________ plan. • market development • product development • strategic • diversification

13. If Chappy Chip Company is developing a brand new flavor of baked potato chips, they are implementing a ___________ plan. • market development • product development • strategic • diversification

14. Automobile dealerships in rural America are having a difficult time selling automobiles because of the high price of gasoline. This is due most likely to the __________. • internal environment of the automobile industry • values in our society • demographics of rural America • changing dynamics of the external business environment

15. Automobile dealerships in rural America are having a difficult time selling automobiles because of the high price of gasoline. This is due most likely to the __________. • internal environment of the automobile industry • values in our society • demographics of rural America • changing dynamics of the external business environment

16. Companies that introduce new products into new markets are penetrating that market.

17. Companies that introduce new products into new markets are penetrating that market.

18. A patent will always give a company a slight competitive advantage.

19. A patent will always give a company a slight competitive advantage.

20. A company creates a product portfolio to reduce the risks of doing business.

21. A company creates a product portfolio to reduce the risks of doing business.

22. MADD, the Mothers Against Drunk Driving, seeks to prevent drunk driving, support the victims of this crime, and prevent underage drinking. This philosophy is most likely the organization’s __________. • internal analysis • marketing plan • mission statement • profit objective

23. MADD, the Mothers Against Drunk Driving, seeks to prevent drunk driving, support the victims of this crime, and prevent underage drinking. This philosophy is most likely the organization’s __________. • internal analysis • marketing plan • mission statement • profit objective

24. The for-profit business schools like the University of Phoenix most likely compete in a structure defined as _________.

25. The for-profit business schools like the University of Phoenix most likely compete in a structure defined as _________.

26. When a company tries to develop an edge over its competitors based on a superior product, better distribution, better services, or lower selling price based on lower costs, it is trying to establish a(n): • business-to-business advantage • industrial advantage • competitive advantage • production advantage • market segment

27. When a company tries to develop an edge over its competitors based on a superior product, better distribution, better services, or lower selling price based on lower costs, it is trying to establish a(n): • business-to-business advantage • industrial advantage • competitive advantage • production advantage • market segment

28. Which of the following is not an example of a competitive advantage? • a superior product in relation to the competition • a technology level equal to the competition • better distribution and services • low costs and selling prices

29. Which of the following is not an example of a competitive advantage? • a superior product in relation to the competition • a technology level equal to the competition • better distribution and services • low costs and selling prices

30. A company will be more successful in its marketing planning if it has a knowledge of changes in the marketing environment.

31. A company will be more successful in its marketing planning if it has a knowledge of changes in the marketing environment.

32. The more a company knows about the weaknesses in a competitor’s marketing strategy, the better able it will be in exploiting the weakness to gain competitive advantage.

33. The more a company knows about the weaknesses in a competitor’s marketing strategy, the better able it will be in exploiting the weakness to gain competitive advantage.

34. Discovering threats to marketing success, like Kodak’s finding out about Sony’s new digital camera technology, forces companies to rethink their strategic planning.

35. Discovering threats to marketing success, like Kodak’s finding out about Sony’s new digital camera technology, forces companies to rethink their strategic planning.

36. If companies do not have a sufficient knowledge of the competitive nature of the environment, they will most likely make poor marketing decisions in that environment.

37. If companies do not have a sufficient knowledge of the competitive nature of the environment, they will most likely make poor marketing decisions in that environment.

38. Objectives are the part of a marketing plan that define marketing opportunities.

39. Objectives are the part of a marketing plan that define marketing opportunities.

40. Strategic planning focuses on one product in the firm’s product mix.

41. Strategic planning focuses on one product in the firm’s product mix.

42. Evaluation of a marketing plan should be an ongoing process.

43. Evaluation of a marketing plan should be an ongoing process.

44. It is important to have information to help make marketing decisions. Two of the most important areas of information needed to exploit opportunities in marketing are a knowledge of: • stock prices and interest rates • competitors and environmental changes • competitors and average inventory • the fluctuating dollar and the global environment

45. It is important to have information to help make marketing decisions. Two of the most important areas of information needed to exploit opportunities in marketing are a knowledge of: • stock prices and interest rates • competitors and environmental changes • competitors and average inventory • the fluctuating dollar and the global environment

46. Strategic planning begins with the notion that consumers: • are ignorant • can be exploited • have one need to satisfy • have a set of needs to satisfy

47. Strategic planning begins with the notion that consumers: • are ignorant • can be exploited • have one need to satisfy • have a set of needs to satisfy

48. When Nintendo introduced the Game Cube, it was implementing: • product line extension • product development • market expansion • market penetration

49. When Nintendo introduced the Game Cube, it was implementing: • product line extension • product development • market expansion • market penetration