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

Question 1

A market segment consists of consumers who respond in different ways to a given set of marketing efforts.

Answer 1

False

Question 2

The purpose of strategic planning is to find ways in which your company can best use its strengths to take advantage of attractive opportunities in the environment.

Answer 2

True

Question 3

ABC Fortunes has just developed a formal statement of its purpose.This firm has put together a mission statement.

Answer 3

True

Question 4

At Nike,"we sell athletic shoes and apparel" is a market-oriented business definition.

Question 5

The major activity in strategic planning is strategic business unit planning,whereby management evaluates the products and businesses making up the company.

Question 6

At Nike,"We bring inspiration and innovation to every athlete in the world" is a product-oriented business definition.

Question 7

Mission statements should be realistic and general in nature.

Question 8

A firm's mission should always be stated as making more sales or profits.

Question 9

Holiday Inn has divided the total customer market into smaller segments and selected the most promising segments.Deciding what position it wants to occupy in these segments is called targeting.

Question 10

A company can divest a strategic business unit (SBU)by selling it or phasing it out and using the resources elsewhere.

Question 11

The image of a product in the minds of consumers is called market segmentation.

Question 12

A strategic business unit (SBU)is a company division or product line,never a single product or brand.

Question 13

The growth strategy of diversification involves offering modified or new products to current markets.

Question 14

When a firm finds products or businesses that no longer fit its overall strategy,it must carefully milk,harvest,or better develop them.

Question 15

Mission statements should both emphasize the company's strengths in the marketplace and be motivating.

Question 16

In today's marketplace,competition increasingly takes place between entire value delivery networks rather than between individual competitors.

Question 17

Question marks in the BCG matrix require a lot of cash to hold their share,let alone increase it.

Question 18

To improve its value delivery network,a company needs to examine the value chains of its suppliers and distributors.

Question 19

In the BCG matrix,"dogs" are low-growth businesses and products that do not generate enough cash to maintain themselves.

Question 20

When an organization identifies and develops new markets for its current products and services,it is engaged in market development.

Question 21

The four marketing management functions are analysis,planning,implementation,and control.

Question 22

Beyond standard performance measures,marketers are using customer-centred measures of marketing impact,such as customer acquisition,customer retention,customer lifetime value,and customer equity.

Question 23

The four Ps concept takes the seller's view of the market.

Question 24

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

Question 25

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 26

A company that sells across the country or internationally often uses a product management organization.

Question 27

The ___________ involves adapting the firm to take advantage of opportunities in its constantly changing environment

Question 28

In measuring financial ROI,both the R and the I are uniformly measured in dollars.But there is as of yet no consistent definition of marketing ROI.

Question 29

When a company positions its product,it should first identify possible customer value differences within a market segment that could be the basis of a competitive advantage for the product.

Question 30

One valid criticism of the four Ps concept is that services are not considered.

Question 31

Marketing dashboards are meaningful sets of marketing strategies measures in a single display used to monitor strategic marketing performance.

Question 32

Companies with many very different products or brands often create a market or customer management organization.

Question 33

The chief marketing officer (or CMO)heads up the company's entire marketing operation and represents marketing on the company's top management team.

Question 34

A company that sells one product line to many different types of markets and customers who have different needs and preferences often uses a geographic organization.

Question 35

The marketing mix consists of product,price,place,positioning,and promotion.

Question 36

A brief summary of the main goals and recommendations of the plan belongs in the Objectives and Issues section of a marketing plan.

Question 37

Which of the following involves adapting a firm to take advantage of opportunities in its constantly changing environment?

A) Long-range planning
B) Short-range planning
C) Media planning
D) Strategic planning
E) Annual planning

Question 38

Guided by marketing strategy,the company designs a marketing mix made up of factors under its control: product,price,place,and promotion.

Question 39

Marketing control means measuring and evaluating the results of marketing strategies and plans and taking corrective action to ensure that the objectives are achieved.

Question 40

NASCAR is the number-one televised motorsport in Canada.It is a premier marketing organization that knows how to create customer value that translates into deep and lasting ________.

Question 41

Google's mission statement could be "to be the world's best search engine" yet Google's actual statement is "to organize the world's information and make it universally accessible and useful." This reflects the guideline that mission statements should be ________.

Question 42

When evaluating strategic business units (SBUs),most portfolio analysis methods evaluate on two dimensions,namely ________ and ________.

Question 43

Canadian Tire sells tools and home-improvement products.The retailer defines its ________ as such: "to offer products and services to meet the everyday needs of Canadian families-today and tomorrow."

Question 44

A vendor for Ford Motor Company received the following message from one of Ford's marketing managers: "As we move forward during the 21st century,Ford is committed to building profitable customer relationships by creating more environmentally friendly cars and getting them to market faster at lower costs." The marketing manager is referring to Ford's ________.

Question 45

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

Question 46

The world leader in advising companies in their business strategies is considered to be ________.

Question 47

When the makers of a ballpoint pen state they are in the communication equipment business,they are defining their mission too ________.

Question 48

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

Question 49

A statement of the organization's purpose-what it wants to accomplish in the larger environment-is called _______.

Question 50

A market-oriented mission statement should seek to ____________ because ___________.

Question 51

The key businesses that make up a company are called _________.These can be a company division,a product line within a division,or sometimes a single product or brand.

Question 52

Four types of SBUs are defined by the BCG growth-share matrix.They are ________,________,________,and ________.

Question 53

________ are high-share,high-growth businesses or products according to the Boston Consulting Group approach.

Question 54

Which of the following provides an answer to this question: What is our purpose and what do we want to achieve?

A) Objectives and goals
B) A business portfolio
C) A mission statement
D) Marketing and functional strategies
E) Operational strategies

Question 55

Which of the following is a product-oriented business definition?

A) "To make the Internet buying experience fast, easy, and enjoyable"
B) "To bring aspiration and innovation to every athlete in the world"
C) "To deliver low prices every day"
D) "To be the guardian of our customers' financial dreams"
E) "To rent rooms"

Question 56

McDonald's new mission says "being our customers' favorite place and way to eat." To be successful,McDonald's needs to now turn this mission into detailed ________.

Question 57

A company's mission statement should be ________ and defined in terms of satisfying basic customer needs

Question 58

Once all of strategic business units (SBUs)have been identified,successful companies will often __________.

Question 59

A(n)________ mission statement defines the business in terms of satisfying ________.

Question 60

Guided by the mission statement and objectives,management must plan the collection of businesses and products that make up a company.This collection is called its ________.

Question 61

Which of the following is a useful tool for identifying 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 62

Armour offers an ever-increasing range of styles and colours in its original apparel lines.It also added direct-to-consumer distribution channels.This effort by Armour management is an example of ________.

Question 63

According to the Boston Consulting Group approach,________ are low-growth,high-share businesses or products.

Question 64

In the Boston Consulting Group (BCG)matrix,________ require less investment to hold their market share.

Question 65

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

Question 66

Disney is identifying and developing new markets for its theme parks.Disney is exploring possibilities for ________.

Question 67

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

Question 68

Which of the following entails reducing the business portfolio by eliminating products that no longer fit the company's overall strategy?

A) Market segmentation
B) The BCG approach
C) Product-line extension
D) Downsizing
E) Market redesign

Question 69

Fence Patrol has developed an entirely new mounting system for chain link fences.Although it is a local company,through the acquisition of a distributor it now has the ability to market its products nationwide.Fence Patrol is most likely to be following a ________ strategy

Question 70

The four possible strategies that can be pursued for each strategic business units (SBUs)are ________,________,harvesting,and divesting.

Question 71

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

A) Price
B) A consistent product mix
C) The value delivery network
D) Marketing strategy
E) Differentiation

Question 72

The pharmaceuticals division of Omni Healthcare holds low market share in a high-growth market.In order to increase market share,managers would be most likely to decide to do which of the following?

A) Hold the pharmaceuticals division's share
B) Implement a harvest strategy
C) Use money from a cash cow to promote the pharmaceuticals division
D) Divest the SBU
E) Diversify the pharmaceutical division

Question 73

If Under Armour were move into non-performance leisure wear or begin making and marketing Under Armour fitness equipment,this would represent which strategy for growth?

A) Product development
B) Market development
C) Market penetration
D) Diversification
E) Partner development

Question 74

Multinationals like Honda Motor Co.and Wal-Mart stores have designed programs to work closely with their suppliers to help them reduce their costs and improve quality.This illustrates the importance of an efficient ________.

Question 75

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 76

Walmart,the world's largest retailer,has successfully launched its stores in Mexico,Canada,the U.K.,and Germany,and other nations.This is an example of how Walmart is pursuing ________ as a growth strategy.

Question 77

Kimball Gardens is a company that operates as two distinct businesses: one that sells lawn and garden products and one that markets booklets.Each business is called a ________.

Question 78

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

Question 79

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

Question 80

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