Deck 3: The Role of Marketing in Strategic Planning

Question 1

A hotel company acquiring a tour operator is an example of:

A) Backward integration
B) Forward integration
C) Horizontal integration
D) None of the above

Answer 1

B

Question 2

The number of channel levels from raw materials to final product and the distribution in which the company will engage is an example of ________ scope.

A) Industry
B) Vertical
C) Competencies
D) Market-segment

Answer 2

B

Question 3

Companies that diversify too broadly into unfamiliar products or industries can ________ their market focus.

A) Capitalize
B) Enhance
C) Depreciate
D) Lose

Answer 3

D

Question 4

The ideal target market for a firm is the one in which it can profitably generate the greatest customer ________ and ________ it over time.

A) Sales; sustain
B) Value; sustain and grow
C) Loyalty; grow
D) Satisfaction; spread

Question 5

________ growth makes sense when good opportunities can be found outside the present businesses.

A) Diversification
B) Multi-lateral
C) Bi-lateral
D) Product development

Question 6

The "red" in Project RED, in addition to being a color that is almost universally associated with a sense of urgency, stands for Revenue growth, Expense management, and optimum:

A) Demand generation
B) Deployment of resources
C) Deployment of labor
D) Deployment of capital

Question 7

A hotel company acquiring one or more of its competitors is an example of:

A) Backward integration
B) Forward integration
C) Horizontal integration
D) None of the above

Question 8

According to the Ansoff product-market expansion grid, management should first consider whether:

A) It should develop new markets for its current products
B) It should find or develop new products for its current market
C) It should find new products for a new market
D) It should gain more market share with its current products in their current market

Question 9

The example of the Las Vegas Hilton's change in strategic focus underscores how companies are increasingly refocusing their attention on the need to manage ________ instead of departments.

A) People
B) Processes
C) Industry scope
D) Planning

Question 10

"Project RED" was the name given to the long term strategy of which restaurant chain?

A) Red Lobster
B) Red Robin
C) Red Burrito
D) Red Rooster

Question 11

If a hotel chain buys one of its suppliers, it is engaging in what type of growth?

A) Backward integration
B) Vertical integration
C) Forward integration
D) Horizontal integration

Question 12

A well worked-out ________ provides company employees with a shared sense of purpose, direction, and opportunity.

A) Mission statement
B) Company profile
C) Set of objectives
D) Strategic plan

Question 13

A hotel company acquiring a food distributor is an example of:

A) Backward integration
B) Forward integration
C) Horizontal integration
D) None of the above

Question 14

Most large companies consist of four organizational levels: corporate, division, business unit and:

A) Promotional
B) Product
C) Employee
D) Management

Question 15

The principle objective of a market-oriented mission statement is to:

A) Satisfy basic partnership needs
B) Satisfy basic supplier needs
C) Satisfy basic stockholder needs
D) Satisfy basic customer needs

Question 16

Studies have shown that a well-crafted mission statement aids a firm's performance as the mission statement serves as a statement of:

A) Fact
B) Financial goals
C) Purpose
D) Values

Question 17

Market definitions of a business are ________ to product definitions.

A) Superior
B) Inferior
C) Parallel
D) Equivalent

Question 18

When hotel chains enter such markets as the retirement home industry, they are practicing which type of strategy?

A) Differential diversification
B) Concentric diversification
C) Horizontal diversification
D) Conglomerate diversification

Question 19

A company may discover additional sources of ________, by investigating possible integration moves.

A) Sales volume
B) Guest loyalty
C) Employee satisfaction
D) Customer satisfaction

Question 20

Red Royalty™, a loyalty program designed to not only increase frequency of guest visits, but also to establish true customer loyalty by understanding guest purchase behavior and preferences to tailor incentives for repeat visits, was implanted by:

A) Red Lobster
B) Red Robin
C) Red Burrito
D) Red Rooster

Question 21

When a market's annual growth rate falls below 10 percent, a star will become a dog if it still has the largest market share.

Question 22

Explain the role of the target market as the marketer attempts to build the marketing mix.

Question 23

Selecting one or more market segments to enter is part of:

A) Market segmentation
B) Market targeting
C) Market differentiation
D) Market positioning

Question 24

What role does the marketing mix play in target marketing?

Question 25

Critics of strategic alliances point out the high failure rate of such alliances, which is probably unfair, since short-term objectives may have been met.

Question 26

Define a strategic business unit (SBU). What is contained in one?

Question 27

One of the major effects of the marketing plan process is that it forces marketing managers to objectively review all steps in the marketing process.

Question 28

Which of the following is one of the four Ps of the marketing mix?

A) People
B) Profits
C) Propaganda
D) Place

Question 29

An internal environmental analysis is essentially a strengths and weaknesses analysis.

Question 30

A business portfolio is the collection of businesses and products that make up the company.

Question 31

Which of the following is NOT part of the four Ps of the marketing mix?

A) Product
B) Price
C) Promotion
D) Profits

Question 32

Market penetration refers to the strategy of creating new products to sell to small niche markets.

Question 33

Discuss the differences in approach between the traditional four Ps and the current four Cs.

Question 34

A company starts the strategic planning process at the customer level by defining its values statement and mission.

Question 35

________ is the marketing logic by which the company hopes to create customer value and achieve profitable relationships.

A) Marketing alignment
B) Marketing integration
C) Marketing diversification
D) Marketing strategy

Question 36

A company's mission statement should provide direction for the company for no more than five years at a time.

Question 37

Mission statements should be realistic and general in nature.

Question 38

The process of dividing a market into distinct groups of buyers who have different needs, characteristics, or behavior who might require separate products or marketing programs is called ________.

A) Market segmentation
B) Market targeting
C) Market differentiation
D) Market positioning

Question 39

A critical and sometimes overlooked stakeholder group is that of owners of hotels managed by a hotel management company.

Question 40

Briefly mention the components of a strategic plan.