Deck 11: Unique Marketing Issues

Question 1

Creating ________ means creating awareness and a sense of anticipation about a company and its offerings.

A) ruckus
B) noise
C) clatter
D) clamor
E) buzz

Answer 1

E

Question 2

Which of the following statements is incorrect regarding the process of building a company's brand?

A) A firm's name, logo, Web site design, and even its letterhead are part of its brand.
B) One of the keys to effective branding is to create a strong personality for a firm.
C) Some companies monitor the integrity of their brands through brand management.
D) Startups must build a brand from scratch, which starts with selecting the company's name.
E) Most experts recommend a heavy reliance on advertising in building a firm's brand.

Answer 2

E

Question 3

Andy Sanders owns a sporting good store that appeals to hunters and fishermen. The market that Andy is trying to appeal to is called his:

A) focal market
B) objective market
C) target market
D) critical market
E) intention market

Answer 3

C

Question 4

Research in Motion (RIM) is a handheld computer company that focuses specifically on business users that need dependable access to e-mail and the Internet while away from their office. For RIM, this specific type of user within the large business market segment is referred to as its:

A) gap market
B) task market
C) position market
D) hole market
E) niche market

Question 5

According to the textbook, a brand is all of the following except:

A) reputation
B) collection of memories
C) a pledge
D) a promise
E) a written warrantee

Question 6

Which of the following is the correct sequence of events in regard to the process of selecting a target market and position strategy?

A) creating a unique positioning strategy, selecting a target market, segmenting the market
B) segmenting the market, creating a unique positioning strategy, selecting a target market
C) segmenting the market, selecting a target market, creating a unique positioning strategy
D) selecting a target market, creating a unique positioning strategy, segmenting the market
E) creating a unique positioning strategy, segmenting the market, selecting a target market

Question 7

The first step in selecting a target market is to study the industry in which the firm intends to compete and determine the different potential target markets in that industry. This process is called:

A) market positioning
B) market splitting
C) market targeting
D) market subdividing
E) market segmentation

Question 8

Nike's familiar phrase "Just do it" is an example of a:

A) attention-line
B) tagline
C) notice-line
D) catchline
E) grabline

Question 9

A product attribute map is used to help a firm determine if its:

A) if it is emphasizing benefits rather than features
B) branding strategy is appropriate
C) market segmentation is correct
D) positioning strategy is appropriate
E) target market is appropriate

Question 10

Miss Misa, the company profiled in the opening feature in Chapter 11, sells jewelry. Partly as a result of reading The Tipping Point by Malcolm Gladwell, Misa Chien, the company's founder, has transitioned the company's advertising from traditional techniques to:

A) YouTube
B) Google AdWords
C) Google AdSense
D) Facebook
E) television

Question 11

One a firm has segmented the market, the next step is to:

A) decide on a position within the segment
B) select a critical market
C) select a target market
D) select a focal market
E) immediately decide on the "4Ps" of the marketing strategy

Question 12

A ________ illustrates a firm's positioning strategy relative to its major rivals.

A) product attribute map
B) positioning analysis grid
C) positioning plot
D) competitive analysis grid
E) positioning diagram

Question 13

A ________ is a place within a market segment that represents a narrower group of customers with similar interests.

A) position market
B) niche market
C) slot market
D) spot market
E) gap market

Question 14

________ is a term that denotes the set of assets and liabilities that are linked to a brand and enable it to raise a firm's valuation.

A) Trademark equity
B) Brand equity
C) Logo equity
D) Trademark value-added
E) Trade name strength

Question 15

Yelp's phrase "Real People. Real Reviews" is an example of a:

A) tagline
B) grabline
C) notice-line
D) catchline
E) grabline

Question 16

It is more effective to sell:

A) features rather than benefits
B) features and benefits are equal in their importance
C) features are more important for service firms and benefits are more important for manufacturing firms
D) benefits rather than features
E) features are more important for manufacturing firms and benefits are more important for service firms

Question 17

Which of the following selections is incorrect regarding a firm's "positioning" strategy?

A) Position is concerned with how the firm is situated relative to its competitors.
B) A firm's decision about how to position itself relative to its competitors starts with a product or service idea that is tested and refined through feasibility analysis and marketing research.
C) Position is concerned with how a firm is situated relative to competitors.
D) One a firm positions itself in a certain way, it must be able to follow through with a product or service offering that lives up to the image it has created.
E) After selecting a positioning strategy, the firm's next step is to select a target market.

Question 18

A ________ is the set of attributespositive or negativethat people associate with a company.

A) emblem
B) logo
C) symbol
D) brand
E) trade name

Question 19

Some companies monitor the integrity of their brands through a program of:

A) brand administration
B) brand persistence
C) brand determination
D) brand resolution
E) brand management

Question 20

Brenda Berry is thinking about starting a computer company. After doing some research, she has decided that the computer industry can be divided into the following product categories: hand-held computers, laptops, PCs, minicomputers, and mainframes. She is now trying to decide which product category she is the most interested in competing in. The process that Brenda is going through is called:

A) market splitting
B) market subdividing
C) market segmentation
D) market dividing
E) market separating

Question 21

According to the textbook, most experts recommend ________ pricing because it hinges on the perceived value of a product or service.

A) value-based
B) cost-based
C) competitive-based
D) tactical
E) strategic

Question 22

The amount of money consumers pay to buy a product is its:

A) price
B) fee
C) value
D) cost
E) charge

Question 23

In ________, the list price of an item is determined by adding a markup percentage to a product's cost.

A) cost-based pricing
B) compliance-based pricing
C) value-based pricing
D) competitive-based pricing
E) economic-based pricing

Question 24

A firm's marketing mix consists of the following four elements:

A) product, price, promotion, and place
B) passion, pride, promotion, and place
C) passion, pleasure, product, and price
D) enthusiasm, passion, product, and price
E) place, promotion, passion, and product

Question 25

Which of the following is not one of the four elements that constitute a firm's marketing mix?

A) price
B) promotion
C) passion
D) place (or distribution)
E) product

Question 26

A firm's ________, in the context of its marketing mix, is the good or service it offers to its target market.

A) conception
B) idea
C) formation
D) product
E) invention

Question 27

The Google ________ program allows people who know a lot about a particular topic to launch a Web site, populate it with articles, tips, and videos, and make money by essentially selling access (via click thro through ads) to the people attracted to the Web site

A) AdGoogle
B) Adcenter
C) Search Marketing
D) AdSense
E) AdWords

Question 28

The What Went Wrong feature in Chapter 11 focuses on Quaker Oats' botched acquisition of Snapple. What was the major problem that Quaker Oats' experienced during the time it owned Snapple?

A) poor pricing strategy
B) poor promotions strategy
C) focusing on features rather than benefits
D) poor market segmentation
E) failing to understand the real meaning of its brand

Question 29

A firm's ________ is the set of controllable, tactical marketing tools that is uses to produce the response it wants in the target market.

A) tactical mix
B) promotional blend
C) organizational mix
D) marketing mix
E) selling mix

Question 30

A ________ is something that takes on a physical form, such as an MP3 player or a laptop computer. A ________ is an activity or benefit that is intangible, such as an airplane trip or advice from an attorney.

A) product, service
B) service, component
C) component, service
D) formation, service
E) service, product

Question 31

Michael Jones owns a Web design firm. The way Michael prices his products is to determine what consumers are willing to pay, and then he backs off a bit to provide a cushion. The method that Michael used to determine his prices is called:

A) predatory pricing
B) technical pricing
C) cost-based pricing
D) competitive-based pricing
E) value-based pricing

Question 32

A ________ is an early user of a firm's product who is willing to give a testimonial regarding his or her experience with the product.

A) tribute account
B) reference account
C) approval report
D) appreciation account
E) acknowledgment report

Question 33

Before Kim Green opened her jiffy print store, she processed several large print jobs for local merchants for free, to demonstrate the quality of her service and to solicit feedback. Two of the merchants wrote favorable review's of Kim's service, and agreed to let Kim post the review's on her company's Web site. The companies that wrote the favorable reviews are referred to as:

A) appreciation reports
B) acknowledgement accounts
C) referent accounts
D) tribute reports
E) approval reports

Question 34

The Google program called ________ allows advertisers to buy keywords on the Google Home Page.

A) AdSense
B) Adcenter
C) AdWords
D) Search Marketing
E) AdGoogle

Question 35

In ________, the list price is determined by estimating what consumers are willing to pay for a product and then backing off a bit to provide a cushion.

A) value-based pricing
B) tactical pricing
C) strategic pricing
D) cost-based pricing
E) economic-based pricing

Question 36

Which element of the marketing mix is the only one that produces revenue?

A) product
B) place (or distribution)
C) advertising
D) price
E) promotion

Question 37

________ refers to the activities the firm takes to communicate the merits of its product to its target market.

A) Sponsorship
B) Advertising
C) Endorsement
D) Promotion
E) Price

Question 38

According to the textbook, a successful brand can increase the market value of a company by:

A) 5 to 10 percent
B) 20 to 30 percent
C) 40 to 50 percent
D) 50 to 75 percent
E) 75 to 100 percent

Question 39

Pat Walker owns an environmental services company. The way Pat prices her services is to figure her cost and then add a 22 percent markup. The method that Pat uses to determine her prices is called:

A) economic-based pricing
B) value-based pricing
C) competitive-based pricing
D) cost-based pricing
E) conformity-based pricing

Question 40

Karen Simon recently purchased a digital camera. She considered three cameras, a Kodak that was priced at $139.00, a Panasonic priced at $189.00, and a Nikon priced at $229.00. Karen couldn't tell much difference between the cameras, so he bought the Nikon, figuring that because it was the most expensive of the three, it must be the best. According to the textbook, Karen was making a:

A) price-quality attribution
B) price-merit attribution
C) cost-value acknowledgement
D) cost-worth attribution
E) price-worth acknowledgement

Question 41

A niche market is a place within a market segment that represents a narrow group of customers with similar interests.

Question 42

________ occurs when two or more separate marketing channels are in conflict over their roles in selling a firm's products or services.

A) Channel conflict
B) Disintermediation
C) Marketing clash
D) Channel clash
E) Channel inconsistency

Question 43

A ________ is a route a product takes form the place it is made to the customer who is the end user.

A) trade channel
B) product channel
C) allotment channel
D) promotion channel
E) distribution channel

Question 44

A firm's "position" is concerned with how it is situated relative to its rivals.

Question 45

A brand is the set of attributespositive or negativethat people associate with a company.

Question 46

A product attribute map illustrated the strength of a firm's niche (or target) market relative to competing markets.

Question 47

________ marketing is a low-budget approach to marketing that relies on ingenuity, cleverness, and surprise rather than traditional techniques.

A) Rebel
B) Bug
C) Catching
D) Guerrilla
E) Revolutionary

Question 48

Every year, thousands of electronic products manufacturers gather in Las Vegas to display their products and to see what their competitors are up to. This type of event is called a:

A) trade show
B) promotions show
C) deal show
D) goods show
E) skill show

Question 49

A firm runs the risk of upsetting its channel partners if it sells through two channels simultaneously which compete for the same customer. For example, if Electronic Arts sold its electronic games through retailers like Wal-Mart and Best Buy, and then started selling the same games online, Wal-Mart and Best Buy might get upset, because the online sales undermine their ability to sell the games through their stores. This type of situation is referred to as:

A) channel clash
B) marketing clash
C) channel piracy
D) disintermediation
E) channel conflict

Question 50

It is better to emphasize a product or service's features rather than its benefits.

Question 51

When Hotmail first started distributing free e-mail accounts, it put a tagline on every message sent out by Hotmail users that read "Get free e-mail with Hotmail." This technique, which encouraged people to pass along Hotmail's marketing message to others, is called:

A) echo marketing
B) duplicate marketing
C) infectious marketing
D) repeat marketing
E) viral marketing

Question 52

The process of eliminating layers of middlemen, such as distributors and retailers, to sell directly to customer is called:

A) middleman lockout
B) channel conflict
C) disintermediation
D) value chain reduction
E) dislocation

Question 53

Markets can be segmented in a number of ways, including by product type, price point, distribution channel used, and customers served.

Question 54

Which of the following is not one of the public relations techniques identified in the textbook?

A) monthly newsletter
B) blogging
C) articles in industry press and periodicals
D) radio advertising
E) civic, social, and community involvement

Question 55

A firm's target market is the limited group of individuals or businesses that it goes after or tries to appeal to.

Question 56

The Savvy Entrepreneurial Firm feature in Chapter 10 provides several examples of firms that created positive awareness of its product of service by producing cleaver video spots. According to the feature, the firms were utilizing:

A) viral marketing techniques
B) echo marketing techniques
C) nontraditional marketing techniques
D) spot marketing techniques
E) guerrilla marketing techniques

Question 57

The proper sequence in selecting a target market and positioning strategy is (1) craft a unique positioning strategy, (2) select a target market, and (3) segment the market.

Question 58

Creating buzz means creating awareness and a sense of anticipation about a company and its offerings.

Question 59

Brand premium is the term that denotes the set of assets and liabilities that are linked to a brand and enable it to raise a firm's valuation.

Question 60

Efforts to establish and maintain a company's image with the public are referred to as:

A) open relations
B) public relations
C) civic relations
D) community relations
E) advertising

Question 61

In value-based pricing, the list price is determined by estimating what customers are willing to pay for a product and then backing off a bit to provide a cushion.

Question 62

Channel conflict occurs when two or more separate marketing channels are in conflict over their roles in selling a firm's products.

Question 63

Describe the concept of guerrilla marketing. Why is guerrilla market particularly suitable for entrepreneurial firms?

Question 64

Many start-ups emphasize advertising over public relations primarily because it's cheaper and helps build the firm's creditability.

Question 65

Because of the weaknesses associated with advertising, most startups do not advertise their products broadly.

Question 66

What is a brand? How does a new firm develop a brand?

Question 67

What is the purpose of market segmentation? How are market typically segmented? Can a company segment its market on more than one dimension?

Question 68

A firm's marketing mix is the assortment of products and services that it sells.

Question 69

Why is it better to sell benefits rather than features? Provide an example that illustrated this point.

Question 70

An important distinction should be made between a firm's core product and its actual product. While the core product may be a CD that contains an antivirus software program, the actual product may have a number of characteristics, include a quality level, features, design, a brand name, and packaging.

Question 71

A reference account is an early user of a firm's product who is willing to give a testimonial regarding his or her experience with the product.

Question 72

A distribution channel is the route a product takes from the place it is made to the customer who is the end user.

Question 73

What is a tagline? Provide an example of a popular tagline, and discuss why you think it has been effective?

Question 74

The Google AdWords program allows advertisers to buy ads that will be shown on other Web sites instead of Google's Home Page.

Question 75

Promotion is the only element in the marketing mix that produces revenue; all other elements represent costs.