Deck 2: Company and Marketing Strategy: Partnering to Build

Question 1

Which of the following is NOT a step in the strategic planning process?

A) defining the company mission
B) setting company objectives and goals
C) designing the business portfolio
D) planning marketing and other functional strategies
E) evaluating all members of the value chain

Answer 1

evaluating all members of the value chain

Question 2

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

A) market share; strength of the SBU's position
B) market diversification; relative market share
C) market growth rate and relative market share
D) market growth rates; profits
E) market penetration; market development

Answer 2

market growth rate and relative market share

Question 3

Which of the following can be a company division,a product line within a division,or sometimes a single product or brand?

A) a market
B) the BCG
C) an SBU
D) a PLC
E) a value delivery network

Answer 3

an SBU

Question 4

Which of the following is the principle objective of a market-oriented mission statement?

A) to satisfy basic customer needs
B) to satisfy basic supplier needs
C) to satisfy basic stockholder needs
D) to satisfy basic owner needs
E) to satisfy basic partnership needs

Question 5

Business portfolio planning involves two steps: ________ and ________.

A) identifying SBUs; assessing the attractiveness of SBUs
B) analyzing the current business portfolio; shaping the future business portfolio
C) identifying internal strengths; identifying external opportunities
D) conducting a SWOT analysis; establishing marketing controls
E) identifying growth opportunities; evaluating growth opportunities

Question 6

Which of the following is the first step in strategic planning?

A) set objectives and goals
B) develop the business portfolio
C) define the company mission
D) plan marketing strategies
E) identify threats and weaknesses

Question 7

The best-known product portfolio planning method was developed by ________.

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

Question 8

Which of the following provides an answer to these questions: What is our business? Who are our customers? What do our customers value? What should our business be?

A) objectives and goals
B) a mission statement
C) a business portfolio
D) marketing and functional strategies
E) operational strategies

Question 9

In the Boston Consulting Group approach,________ provides a measure of market attractiveness.

A) relative market share
B) market development
C) market penetration
D) market growth rate
E) market segmentation

Question 10

The process of developing and maintaining a strategic fit between the organization's goals and capabilities and its changing market opportunities is called _________________.

A) long-range planning
B) short-range planning
C) media planning
D) strategic planning
E) annual planning

Question 11

After management has identified the key businesses making up its company,what is the next step in portfolio analysis?

A) identifying businesses in which to invest
B) assessing the attractiveness of its SBUs
C) deciding whether to harvest any businesses
D) completing short-range planning
E) identifying SBUs

Question 12

The company needs to turn its mission into detailed ___________________ for each level of management.

A) sets of strategies
B) sets of tactics
C) product mixes
D) supporting objectives
E) sets of promotional tools

Question 13

All of the following are examples of product-oriented mission statements EXCEPT which one?

A) "We provide China's best online search engine."
B) "We make cosmetics."
C) "We sell shoes."
D) "We sell lifestyle and self-expression; success and status; memories, hopes, and dreams."
E) "We rent rooms."

Question 14

All of the following are accurate guidelines for a company's mission statement EXCEPT which one?

A) Be motivating.
B) A mission statement should be narrow.
C) Be market oriented.
D) Fit the market environment.
E) Be based on distinctive competencies.

Question 15

When a firm develops and maintains a strategic fit between its goals and capabilities,it is performing ________.

A) mission planning
B) values planning
C) strategic planning
D) business-portfolio planning
E) operations planning

Question 16

OSIM evaluates the products and businesses making up the company.OSIM is engaged in ________.

A) defining the company's mission statement
B) preparing a business portfolio
C) portfolio analysis
D) marketing planning
E) marketing control

Question 17

Which of the following is NOT a market-oriented business definition?

A) "We make the Internet buying experience fast, easy, and enjoyable"
B) "To sell tools and home repair and improvement items"
C) "We help organize the world's information and make it accessible and useful to the Chinese."
D) " We sell lifestyle and self-expression; success and status; memories, hopes, and dreams."
E) " We create the Shangri-La experience-one that enlivens the senses, instills well-being, and fulfills even the unexpressed wishes and needs of our guests."

Question 18

________ should be market oriented and defined in terms of ________.

A) Annual plans; product needs
B) Strategic plans; company needs
C) Long-range plans; company needs
D) Mission statements; customers' needs
E) Objectives; competitors' threats

Question 19

A company's mission statement serves as a statement of ________.

A) fact
B) sustainability
C) purpose
D) financial goals
E) employee commitment

Question 20

The collection of businesses and products that make up a company is called its ________.

A) strategic business unit
B) mission statement
C) strategic plan
D) business portfolio
E) operational factor

Question 21

Which of the following is NOT a reason that a firm might want to abandon products or markets?

A) The market has changed, making some of the products less profitable.
B) The firm introduces new products that do not offer superior customer value.
C) The economic environment is showing signs of recovery.
D) The firm has grown too rapidly.
E) The firm has not properly researched foreign markets which it has entered.

Question 22

A common practice among marketers is to identify and develop new markets for their current products.This practice is called ________.

A) market development
B) product development
C) market penetration
D) market skimming
E) dual adaptation

Question 23

Unlike strategic-planning efforts of the past,which were conducted primarily by senior managers,today's strategic planning is ________.

A) short-term oriented
B) decentralized
C) limitation-free
D) product oriented
E) centralized

Question 24

While a valuable planning tool,the BCG matrix is problematic in that it focuses on classifying current businesses but provides little advice for __________________.

A) strategic planning
B) future planning
C) financial issues
D) operational planning
E) manpower planning

Question 25

In the BCG matrix,income from ________ can be used to help the company pay its bills and to support other SBUs that need investment.

A) dogs
B) cash cows
C) exclamation marks
D) pruned SBUs
E) holding SBUs

Question 26

Making more sales to current customers without changing a firm's products is ________.

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

Question 27

The BCG growth-share matrix classifies four types of SBUs.They are ________,________,________,and ________.

A) product; price; promotion; placement
B) sales; market share; price; promotion
C) stars; cash cows; question marks; dogs
D) planning; implementing; leading; controlling
E) market penetration; market development; product development; diversification

Question 28

According to your text,which department in a company carries the primary responsibility for achieving profitable growth?

A) accounting
B) product development
C) operations
D) human resources
E) marketing

Question 29

Starbucks is now using the product/market expansion grid to develop strategies.The company have most likely found the grid to be quite useful for identifying _______________.

A) target markets
B) growth opportunities
C) key customers
D) new products
E) suppliers

Question 30

Which of the following does NOT accurately reflect a problem with the BCG matrix approach?

A) It focuses on planning for the future.
B) It can be costly to conduct.
C) It can be time consuming to implement.
D) It is difficult to define SBUs and measure market share and growth.
E) It focuses on classifying current businesses.

Question 31

In the Boston Consulting Group approach,________ serves as a measure of company strength in the market.

A) relative market share
B) market development
C) market diversification
D) market growth rate
E) market segmentation

Question 32

Each department in a company that carries out value-creating activities can be thought of as a link in the company's ________.

A) market development
B) product development
C) business portfolio
D) value chain
E) supplier chain

Question 33

Starbucks has partnered with Lion's Gate to coproduce movies and then market them in Starbucks coffee houses; the company has gone into __________________.

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

Question 34

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 ________.

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

Question 35

Which of the following entails reducing the business portfolio by eliminating the products or business units that are not profitable or that no longer fit in the company's overall strategy.

A) market segmentation
B) the BCG approach
C) product line extension
D) downsizing
E) market redesign

Question 36

The four possible strategies that can be pursued for each SBU are building,holding,________,and ________.

A) harvesting; divesting
B) promoting; selling
C) downsizing; expanding
D) diversifying; penetrating
E) developing; growing

Question 37

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

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

Question 38

Which of the following is a useful tool for identifying company growth opportunities?

A) the BCG matrix
B) the business portfolio
C) the product/market expansion grid
D) the value chain
E) the value delivery network

Question 39

________ are low-growth,high share businesses or products.They generate a lot of cash that the firm uses to pay its bills and support other SBUs that need investment.

A) Stars
B) Cash cows
C) Question marks
D) Dogs
E) Cats

Question 40

L'Oréal's supplier network is crucial to its success and it treats suppliers as respected partners.This illustrates the importance of an efficient ________.

A) business portfolio
B) low-cost operator
C) product mix
D) value delivery network
E) value chain

Question 41

In SWOT analysis,which of the following would be considered a strength?

A) internal limitations
B) trends in the market
C) favorable factors in the environment
D) factors that challenge the company's performance
E) internal capabilities

Question 42

Which of the following is the marketing logic by which a company hopes to create customer value and achieve profitable relationships?

A) price
B) a consistent product mix
C) the value delivery network
D) marketing strategy
E) differentiation

Question 43

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

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

Question 44

Which of the following involves evaluating each market segment's attractiveness and selecting one or more segments to enter?

A) market segmentation
B) differentiation
C) market targeting
D) servicing
E) positioning

Question 45

The process of customer-driven marketing involves which of the following?

A) product; price; promotion; adaptation
B) market segmentation; target marketing; differentiation; market positioning
C) marketing analysis; planning; implementation; feedback
D) analysis; targeting; implementation; control
E) problem identification; information search; decision; implementation

Question 46

Which of the four Ps describes the goods-and-services combination the company offers to the target market?

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

Question 47

In a basic SWOT analysis,the "S" stands for ________.

A) situation
B) solutions
C) satisfactions
D) strengths
E) strategies

Question 48

Which of the following is the process of dividing a market into smaller groups with distinct needs,characteristics,or behaviors who might require separate products or marketing mixes?

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

Question 49

Sound marketing requires which of the following?

A) customer analysis
B) positioning
C) differentiation
D) promotion
E) BCG analysis

Question 50

In SWOT analysis,which of the following refers to favorable factors in the external environment?

A) strengths
B) strategies
C) weaknesses
D) opportunities
E) trends

Question 51

Today the four Ps are compared to the four Cs.Product and place are called ________ and ________,respectively.

A) convenience; customer solution
B) customer cost; convenience
C) communication; customer solution
D) customer solution; convenience
E) communication; convenience

Question 52

Effective positioning begins with ________ the company's marketing offer in order to give consumers more perceived value.

A) pricing
B) aligning
C) differentiating
D) promoting
E) placing

Question 53

In the marketing management functions,a SWOT analysis should ________ a marketing plan.

A) precede
B) replace
C) follow
D) evaluate
E) take priority over

Question 54

McDonald's successfully partners with its franchisees,suppliers,and others to jointly deliver exceptionally high _____________.

A) sales
B) customer value
C) company objectives
D) customer retention rates
E) quality

Question 55

Which of the following is the arranging for a product to occupy a clear,distinctive,and desirable place,relative to competing products,in the minds of target consumers?

A) positioning
B) placement
C) market segmentation
D) market targeting
E) product promotion

Question 56

In a basic SWOT analysis the "T" stands for ________.

A) timing
B) trust
C) threats
D) trade
E) tangible

Question 57

The main section of the marketing plan presents a detailed ________ analysis of the current marketing situation.

A) who, when, where
B) when, where, how
C) SWOT
D) competitor
E) economic

Question 58

Your new employer has asked you,as a new marketing graduate,to develop a group of potential customers who respond in a similar way to a given set of marketing efforts.You have been asked to develop a(n)________.

A) target market
B) market segment
C) market
D) market strategy
E) undefined niche

Question 59

Yakult,the Japanese health drink,targets kids,teens,and adults with the same healthy
lifestyle-themed products-regular Yakult and Yakult Light.It is serving special segments or _____________.

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

Question 60

Your firm is attempting to divide up the total market to determine the best segments it can serve.Which is the correct order of doing so?

A) market segmentation then market targeting
B) differentiation then market targeting
C) positioning then differentiation
D) market segmentation then positioning
E) market targeting then differentiation

Question 61

Which of the following involves looking at whether a company's basic strategies are well matched to its opportunities?

A) operating control
B) marketing control
C) strategic control
D) ROMI
E) portfolio analysis

Question 62

Which of the following is the most common form of marketing organization?

A) geographic
B) product management
C) functional
D) divisional
E) combination

Question 63

When a retailer like The Cocoa Trees opens stores in Vietnam,Malaysia,India and the Maldives,it is pursuing ________ as a growth strategy.

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

Question 64

The Starbucks card lets customers prepay for coffee and snacks.This effort by Starbucks management is an example of ________.

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

Question 65

Singapore Airlines' business operations in passenger transport and cargo transport are distinct from each other.Each business is called a ________.

A) return on investment (ROI)
B) strategic business unit (SBU)
C) cash cow
D) star
E) business portfolio

Question 66

An increasingly large number of firms are shifting their organizational focus from ________ to ________.

A) product management; functional management
B) product management; geographic management
C) brand management; customer management
D) geographic management; functional management
E) global management; regional management

Question 67

IBM has its sales and marketing people assigned to markets in specific countries,regions,and districts.This is an example of which type of marketing organization?

A) geographic
B) product
C) functional
D) divisional
E) psychographic

Question 68

According to the textbook,your boss is most likely referring to ________ when she mentions "doing things right."

A) strategy
B) planning
C) objectives
D) implementation
E) efficiency

Question 69

Ensuring that the company achieves the sales,profits,and other goals set out in its annual marketing plan is the purpose of ________.

A) marketing control
B) operating control
C) strategic control
D) ROMI
E) a marketing audit

Question 70

A marketing plan begins with a(n)________,which quickly overviews main goals and recommendations.

A) ROI
B) marketing dashboard
C) SWOT analysis
D) executive summary
E) action program

Question 71

The ________ organizational system's main advantage is that the company is organized around the needs of specific market segments.

A) market management
B) geographic
C) product management
D) vertical
E) functional

Question 72

Marketing control entails the following steps in order: setting goals,________,evaluating performance,and ________.

A) evaluating goals; measuring performance
B) achieving goals; measuring performance
C) taking corrective action; measuring performance
D) measuring performance; taking corrective action
E) taking corrective action; following up

Question 73

Which of the following would NOT be useful in determining marketing ROI?

A) a marketing dashboard
B) brand awareness
C) market share
D) SWOT analysis
E) customer equity

Question 74

Which of the following is the net return from a marketing investment divided by the costs of the marketing investment?

A) SWOT analysis
B) a marketing audit
C) an executive summary
D) marketing ROI
E) a budget

Question 75

Measuring and evaluating the results of marketing strategies and plans and taking corrective action to ensure that objectives are achieved is called ________.

A) marketing control
B) strategic control
C) operating control
D) developmental control
E) efficiency

Question 76

Modern marketing departments are arranged in the following ways EXCEPT which one?

A) functional organization
B) geographic organization
C) product management organization
D) market management organization
E) strategic management organization

Question 77

A well crafted mission statement should lead to _______ business and marketing objectives.

A) clear
B) realistic
C) broad
D) specific
E) futuristic

Question 78

Electronics chain Harvey Norman has a marketing organization in which specialists head different marketing activities.What is this type of organization called?

A) geographic
B) product
C) organic
D) functional
E) market

Question 79

Monsanto operates in many businesses,including pharmaceuticals and food products.The company defines its ________ as "improving the future of farming … improving the future of food … abundantly and safely."

A) strategy
B) marketing development
C) business portfolio
D) value-delivery network
E) mission

Question 80

Which of the following is NOT a step in marketing control?

A) setting goals
B) measuring performance
C) taking corrective action
D) defining the mission
E) evaluating the causes of gaps between expected and actual performance