Deck 5: Analyzing the Marketing Environment

Question 1

In the immediate environment,the competition has no effect on consumers.

Answer 1

False

Question 2

By paying close attention to customer needs and continuously monitoring the environment in which it operates,a good marketer can identify potential opportunities.

Answer 2

True

Question 3

Members of Generation Y are also called Millennials.

Answer 3

True

Question 4

The next broad wave of mobile applications is likely to center around "m-wallets" which will enable customers' smartphones to be used for wireless payments.

Question 5

The three elements of the consumer's immediate environment are the company,competition,and corporate partners.

Question 6

The 1890 Sherman Antitrust Act prohibited monopolies and other activities that would restrain trade or competition.

Question 7

Burger King no longer uses SpongeBob SquarePants to promote burgers and fries because the character is no longer popular with young children.

Question 8

Inflation refers to the cost of borrowing money.

Question 9

Tweens rarely use any type of technology.

Question 10

The members of Generation X are also referred to as Digital Natives.

Question 11

Culture can broadly be defined as the shared meanings,beliefs,morals,values,and customs of a group of people.

Question 12

Socially responsible marketing is defined as a strategic effort by firms to supply customers with environmentally friendly merchandise.

Question 13

Demographics are transmitted by words,literature,and institutions from generation to generation.

Question 14

As the euro becomes more expensive relative to the dollar,Americans are likely to purchase more European wines.

Question 15

When analyzing the immediate environment and the macroenvironment,marketers must be careful to keep the firm at the center of all analyses.

Question 16

Macroenvironmental factors include the company,competition,and corporate partners.

Question 17

One of the social trends discussed in the text that is shaping consumer values in the United States and around the world is a concern about the vast disparity in income.

Question 18

Demographic profiles of customers provide an easily understood "snapshot" of the typical consumer in target markets.

Question 19

Successful firms focus their efforts on satisfying customer needs that match their core competencies.

Question 20

Firms that disingenuously market products or services as environmentally friendly,with the goal of gaining public approval and sales rather than actually improving the environment,are engaging in greenwashing.

Question 21

The center of all marketing efforts is

A) profits.
B) the consumer.
C) corporate social responsibility.
D) top management.
E) the firm.

Question 22

As a retail clothing store manager,Randy frequently asks his staff what customers are saying and what they are asking for.He also attends the quarterly clothing show at the regional merchandise mart.Randy's efforts will likely help him

A) avoid cognitive dissonance.
B) implement just-in-time marketing promotions.
C) identify potential opportunities.
D) avoid the need to understand regional culture.
E) achieve cost savings.

Question 23

Parties that work with the focal firm are its corporate partners.

Question 24

The centerpiece of the marketing environment analysis framework is

A) the economy.
B) corporate partners.
C) culture.
D) competitive intelligence.
E) consumers.

Question 25

As director of a small art gallery,one of Frederica's major concerns is the preferences of the people who buy her artists' work.Frederica recognizes that the center of her marketing efforts is

A) profits.
B) her target customers.
C) artistic social responsibility.
D) competing art galleries.
E) the arts movement.

Question 26

A firm's macroenvironment includes all of the following except

A) competition.
B) culture.
C) demographics.
D) economics.
E) political / legal issues.

Question 27

The Mayo Clinic in Minnesota is known for top-quality medical care.For decades,even presidents and dictators from around the world flew to the Mayo Clinic to utilize its services.The Mayo Clinic used its reputation to create additional medical facilities in Jacksonville,Florida,and elsewhere.This is an example of a firm focusing its efforts on satisfying customer needs that

A) are easiest to satisfy.
B) provide minimal core value.
C) are important to all generational cohorts.
D) competitors have tried and failed to satisfy.
E) match its core competencies.

Question 28

When you register your telephone number with the National Do Not Call Registry,you are responding to a need for

A) privacy.
B) enhanced information flow.
C) lower phone bills.
D) marketing contact.
E) tactical communication skills.

Question 29

For a marketer,the central focus of the entire business process should be the economy.

Question 30

Select the statement that best describes the key traits of Generation Y.

A) This generation varies the most in age,ranging from teenagers to adults who have their own families.
B) This generation is the largest population of 50-plus consumers.
C) This generation is the group that was born immediately after World War II.
D) This generation was the first generation of latchkey children.
E) Members of this generation-also known as Digital Natives-have had access to the Internet for their entire lives.

Question 31

Successful firms focus their efforts on satisfying customer needs that

A) are easiest to satisfy.
B) provide minimal core value.
C) are important to all generational cohorts.
D) competitors have tried and failed to satisfy.
E) match their core competencies.

Question 32

One of the goals of value-based marketing is

A) to provide the greatest value for the least profit.
B) to sell products for the highest possible price.
C) to offer greater value than competitors offer.
D) to determine the value of the brand.
E) to sell to all consumers,regardless of their needs.

Question 33

Ryan knows that one of the goals of value-based marketing is to provide greater value to consumers than competitors offer.To accomplish this goal,Ryan's firm must look at everything it does

A) in order to value each person in the organization.
B) for each generational cohort.
C) to avoid cultural clashes.
D) from a consumer's point of view.
E) to sensitize organization members to ethical values.

Question 34

Which of the following statements accurately describes the current income distribution in the United States?

A) The purchasing power of lower-income groups has been steadily rising.
B) The middle class is outpacing all other income groups.
C) Wealthy households are outpacing both poor and middle-class households.
D) The income distribution among all households is becoming more equal.
E) Wealthy households are declining rapidly in purchasing power.

Question 35

Lisle Hair Company keeps track of the gender and age of its customers so it can target e-mails to them and be sure to have the right hair products in stock when they visit.This is an example of the use of demographics in marketing.

Question 36

Yuri is considering a new promotional campaign in which he will compare his products to those of his competitors.Before initiating the promotional campaign,Yuri will assess his competitors' strengths,weaknesses,and

A) likely reaction to his promotional activities.
B) demographics.
C) just-in-time processes.
D) satisfaction quotient as perceived by customers.
E) ethical values.

Question 37

Jeanne,who lives in Boston,refers to Pepsi as "tonic," while Paul,who lives in Chicago,calls it "pop." This is an example of a regional culture difference.

Question 38

In the immediate marketing environment,the first factor that affects the consumer is

A) demographics.
B) cultural values.
C) social trends.
D) the firm itself.
E) technological advances.

Question 39

Yvonne knows her firm must look at everything it does from a consumer's point of view.One major difficulty is that consumers' __________ change(s)over time.

A) ethnic background
B) needs,wants,and ability to purchase
C) culture
D) just-in-time processes
E) demographics

Question 40

Applying age as a basis to identify customers is unethical,as it involves stereotyping.

Question 41

The first "latchkey" children belong to which generational cohort?

A) Baby Boomers
B) Generation W
C) Generation X
D) Generation Y
E) Generation Z

Question 42

The difference between a firm's immediate marketing environment and its macroenvironment is that the macroenvironment

A) is external.
B) is easier to understand.
C) is easier to control.
D) has fewer components.
E) is internal.

Question 43

When studying culture,the challenge for marketers is to determine whether culture

A) can help identify a particular group that might be interested in the marketer's products.
B) is regional or subregional.
C) reinforces stereotypes.
D) is related to educational achievement.
E) offers opportunities for competitors.

Question 44

The United States has often been called the "melting pot" society,integrating people from many different cultures into the social fabric of the country.The challenge for marketers is to determine whether a group's culture

A) is socially important.
B) is passed from generation to generation orally or by written guides.
C) competes with or complements U.S.traditional culture.
D) can be used as a relevant identifier for a particular target group.
E) is an important immediate marketing environment variable.

Question 45

Political candidates are notorious for appealing to the different beliefs and values of groups of potential voters in different areas of the country.These politicians are appealing to differences in

A) popular culture.
B) regional culture.
C) demographics.
D) generational cohorts.
E) country culture.

Question 46

Generational cohorts are groups of people of the same generation who have similar __________ because they have shared experiences and are in the same stage of life.

A) regional cultures
B) inflationary expectations
C) political affiliations
D) purchase behaviors
E) cultural values

Question 47

The firms that work along with the focal firm to provide goods and services to consumers are viewed as

A) cultural cohorts.
B) corporate partners.
C) cartels.
D) cooperatives.
E) customers.

Question 48

According to your text,the wealthiest 1 percent of the population controls approximately what percentage of Americans' total net worth?

A) 5.2 percent
B) 15.8 percent
C) 26.9 percent
D) 34.6 percent
E) 51.9 percent

Question 49

Typical demographic data include all of the following except

A) gender.
B) income.
C) race.
D) education.
E) language differences.

Question 50

Insight Guides,a line of travel books,provides travelers with background information about people's beliefs,values,and customs in various parts of the world.Insight's books educate travelers about a country's

A) social concerns.
B) political parties.
C) demographics.
D) generational cohorts.
E) culture.

Question 51

The shared meanings,beliefs,morals,values,and customs of a group of people constitute their

A) social concerns.
B) culture.
C) demographics.
D) generational cohorts.
E) religion.

Question 52

Viewers of the World Series are likely to see ads for beer and cars,and viewers of the Academy Awards broadcast are likely to see ads for clothing and hair care products,due to

A) cultural expectations.
B) male domination in corporate boardrooms.
C) differing demographic data for potential and past viewers.
D) marketers' general perceptions.
E) multiyear advertising contracts that cannot be broken.

Question 53

________ is distinguished from the other generational cohorts in that the group's oldest members are now collecting Social Security.

A) Baby Boomers
B) Generation W
C) Generation X
D) Generation Y
E) Generation Z

Question 54

Yellow Trucking provides transportation services for Dan's Delicious Donuts so that Dan's stores always have fresh stock.Yellow Trucking is an example of a

A) cultural cohort.
B) corporate partner.
C) cartel.
D) cooperative.
E) customer.

Question 55

Marketers wanting to use social media to reach consumers should understand that _______ were born into a world that was already full of electronic gadgets and digital technologies such as the Internet and social networks.

A) Baby Boomers
B) Generation W
C) Generation X
D) Generation Y
E) Generation Z

Question 56

In New England foot-long sandwiches are called "grinders," while in many other parts of the country they are called "subs." This is an example of the impact of

A) regional culture.
B) country culture.
C) generational factors.
D) social trends.
E) regulatory factors.

Question 57

Late in the day on September 11,2001,the day of the World Trade Center attacks,Americans purchased all the American flags Walmart stores had available,nationwide.These purchases were indicative of

A) regional culture.
B) generational cohort characteristics.
C) country culture.
D) a red / blue marketing campaign.
E) the Walmart Effect.

Question 58

When marketers look at advertising media they often begin with viewer or listener profiles such as age,income,gender,and race.They then compare the media profile with their target audience.These marketers are using __________ to see if the media "fit" with their advertising agenda.

A) country culture
B) regional culture
C) demographics
D) micromarketing measures
E) scenario planning

Question 59

When considering the use of a radio commercial in England that was designed for U.S.markets,a marketer would likely need to consider which of the following aspects of culture that might be different between the two countries?

A) dress
B) symbols
C) demographics
D) language
E) social trends

Question 60

The shift of population from the Rust Belt in the North to the Sun Belt in the South and Southwest will likely

A) decrease national cultural identity.
B) reduce regional cultural differences.
C) make it difficult to collect demographic information.
D) create a demand for a new generational cohort.
E) make it more difficult for companies to differentiate their products.

Question 61

Strategic efforts to supply consumers with environmentally friendly merchandise are called

A) reduce,reuse,recycle.
B) green marketing.
C) the green generation.
D) the inconvenient truth.
E) earth marketing.

Question 62

If the inflation rate in Mexico was twice the rate in the United States,but the Mexican monetary authorities kept the peso-dollar exchange rate almost constant,which of the following would be true?

A) The high inflation rate in Mexico would increase its citizens' purchasing power.
B) The high inflation rate in Mexico would mean that its products would cost less overall.
C) Mexican products would be less expensive,while U.S.-made products would become comparatively more expensive.
D) Mexican products would be more expensive,while U.S.-made products would become comparatively less expensive.
E) U.S.-made products would become less attractive to purchase.

Question 63

What retailer,in 2013,suffered a massive security breach that allowed hackers to steal credit and debit card information for 40 million customers?

A) Macy's
B) Target
C) Kmart
D) Sears
E) JCPenney

Question 64

Though Asian Americans comprise only about 6 percent of the U.S.population,they represent

A) the fastest-growing minority population.
B) the easiest minority group to access.
C) a large proportion of the minorities in the Midwest.
D) a uniform group of consumers with a common language and cultural background.
E) all of these

Question 65

An advance in technology called RFID makes it easier for manufacturers,distributors,and retailers to track items through production,distribution,and sales.This advance helps the firm

A) increase value to the consumer through media effectiveness promotion.
B) tailor its marketing messages.
C) meet inventory needs.
D) communicate with consumers on social media sites.
E) replace services with products.

Question 66

The results of the 2010 census suggest what about the 42 million African American U.S.households?

A) They are more affluent and suburban.
B) They are younger and less affluent.
C) They are less affluent,but more suburban.
D) They are older and less affluent.
E) They are older and more urban.

Question 67

Marketers in the United States are paying increasing attention to ethnic groups because

A) they represent a majority of the population in nonurban areas of the country.
B) approximately 80 percent of all population growth in the next 20 years is expected to come from minority groups.
C) they are more susceptible to marketing messages.
D) government subsidies assist marketers attempting to communicate value to these groups.
E) country culture is replacing regional culture as a key marketing consideration.

Question 68

ABC Company knew that its customers were interested in environmentally friendly business practices,so it began marking all of its products as environmentally friendly because they were made with all-natural ingredients,even though ABC's plant was one of the worst polluters in town.The new term for this practice is

A) deceptive advertising.
B) greenwashing.
C) environmental exploitation.
D) virtual greening
E) enviromarketing.

Question 69

Marketers are more likely to find higher concentrations of foreign-born Americans and recent immigrants in

A) rural areas.
B) smaller states.
C) New York,Los Angeles,and Chicago.
D) coastal resort areas.
E) Great Lakes agricultural areas.

Question 70

Marketers know that,compared to high school graduates who are working full time,college students

A) will earn less over their working lifetime.
B) spend their disposable income differently.
C) are less likely to buy textbooks.
D) have almost identical spending patterns.
E) are more likely to drink beer and less likely to drink wine.

Question 71

Population estimates show that by the year 2050,nearly 30 percent of the population in the United States will come from which group?

A) Hispanics
B) Asians
C) Pacific Islanders
D) Native Americans
E) Eastern Europeans

Question 72

When marketers monitor the economic situation affecting their target markets,they are likely to monitor changes in all of the following except

A) purchasing power.
B) interest rates.
C) inflation.
D) age.
E) currency exchange rates.

Question 73

When considering income as a demographic variable affecting marketing efforts,marketers need to recognize that

A) everyone is equal.
B) income in the United States has become more unevenly distributed.
C) everyone has been equally affected by the recession.
D) there is increasing purchasing power among lower-income groups.
E) middle-income consumers are quickly becoming upper-income consumers.

Question 74

Which of the following is true regarding modern gender roles?

A) Gender roles are a constant cultural norm.
B) Modern standards require firms to produce gender neutral advertising for every product.
C) Gender roles have been blurred in the past several years.
D) Gender boundaries should never be crossed in marketing efforts.
E) Gender roles are unimportant to marketers.

Question 75

Astute marketers recognize that the increasing disparity of income between upper- and lower-income groups

A) will create inflationary expectations.
B) will disappear as ethnicity becomes a stronger cultural determinant.
C) creates opportunities to provide value to each group.
D) will vanish once the recession ends.
E) is attributable to technological expertise of immigrant groups.

Question 76

By offering environmentally responsible products,green marketers

A) undercut prices of nonenvironmentally responsible marketers.
B) keep costs much lower than those of competitors.
C) make consumers feel guilty for buying other products.
D) add value that other products do not have.
E) all of these

Question 77

Many American consumers are purchasing hybrid automobiles even though they are more expensive than compact conventional autos.These consumers

A) value contributing to a greener environment.
B) are economically irrational.
C) are responding to global corporate pressure for social responsibility.
D) would prefer an SUV.
E) are greenwashing.

Question 78

What technological advancement enables a firm to track an item from the moment it was manufactured,through the distribution system,to the retail store,and into the hands of the final consumer?

A) RFID tags
B) JIT inventory systems
C) data mining systems
D) greenwashing
E) Internet cookies

Question 79

Every time a consumer surfs the web and clicks on a site,online marketers can place _____ on that user's computer,showing them how that consumer navigates the web and what he or she does or does not buy.

A) web portals
B) cookies
C) browsers
D) bookmarks
E) pirates

Question 80

For some products,marketers can combine education level with other data like occupation and income to obtain

A) a sense of consumers' regional culture.
B) consumers' value sensitivity quotient (VSQ).
C) the educational value equation.
D) complete profiles of individual consumers.
E) useful predictions of purchase behavior.