Question 1

What is the assumed shape of the graph of the sales response function?

Accepted Answer

The sales response function is typically assumed to be S-shaped, indicating that sales initially increase at a decreasing rate, then at an increasing rate, and finally at a decreasing rate again as marketing efforts continue.

Question 2

Toyota is generally acknowledged as the best in the world in revolutionizing the design and manufacture of autos. Toyota managers created the doctrine of kaizen, or

Accepted Answer

Kaizen is a Japanese term meaning "continuous improvement," and it is a key principle in Toyota's manufacturing philosophy, focusing on constantly improving processes and efficiency.

Question 3

Toyota is generally acknowledged as the best in the world in revolutionizing the design and manufacture of autos. Toyota managers created the doctrine of ________, or continuous improvement.

Accepted Answer

Kaizen is a Japanese term meaning "continuous improvement," and it is a key principle in Toyota's manufacturing and management philosophy.

Question 4

Figure 22-1
-According to Figure 22-1 above, an additional annual marketing effort of $1 million is best spent after having already spent how much in marketing effort to date?

Accepted Answer

The figure likely shows diminishing returns on marketing investment, indicating that the optimal additional investment is after $3 million, where the marginal benefit is still significant.

Question 5

Reflecting on the research study of over 200 management tools and techniques, which of the following companies is an example of a firm that excels in terms of operational execution?

Accepted Answer

Toyota is renowned for its operational execution, particularly due to its implementation of the Toyota Production System, which emphasizes efficiency, quality, and continuous improvement.

Question 6

The mathematical function that relates the expense of marketing effort to the marketing results obtained is referred to as

Accepted Answer

A sales response function describes how marketing efforts translate into sales or other marketing results, showing the relationship between marketing expenses and outcomes.

Question 7

The launch of a new cereal typically costs up to $30 million and usually involves

Accepted Answer

Launching a new cereal often involves replacing an existing product due to the large number of competing cereals already available.

Question 8

Recently, General Mills launched all of the following products exceptwhich?

Accepted Answer

Fiber One Gluten-free Bars were not recently launched by General Mills, while the other products were part of their recent launches.

Question 9

The relationship of annual marketing effort to annual sales revenue is assumed to be ________ of the sales response function.

Accepted Answer

The S-shaped curve indicates that initially, sales revenue increases slowly with marketing effort, then increases rapidly in the midrange, and finally levels off, showing diminishing returns at higher levels of marketing effort.

Question 10

In a five-year study, researchers conducted in-depth analysis of 160 companies and more than 200 management tools and techniques. What was their principal finding?

Accepted Answer

The study found that individual management tools and techniques did not have a direct relationship to superior business performance in the companies analyzed.

Question 11

Reflecting on the research study of over 200 management tools and techniques, which of the following companies is an example of a firm that excels based on a performance-oriented culture?

Accepted Answer

Google is known for its performance-oriented culture, which emphasizes innovation, data-driven decision-making, and a strong work ethic.

Question 12

Four basic business and management practices are what matter-"what really works," to use the phrase of the researchers who studied more than 200 management tools and techniques. Which of these is one of these?

Accepted Answer

Execution is one of the four basic business and management practices that are crucial for success, as it involves effectively implementing strategies and plans.

Question 13

Reflecting on the research study of over 200 management tools and techniques, which of the following companies is an example of a firm that excels based on its organizational structure?

Accepted Answer

Lockheed Martin's Skunk Works is renowned for its innovative organizational structure that allows for rapid development and innovation, making it a prime example of a firm excelling due to its organizational structure.

Question 14

The firm's annual marketing effort, such as advertising, personal selling, sales promotion, direct marketing, and public relations expenses is ________ in a sales response function graph.

Accepted Answer

In a sales response function graph, the firm's annual marketing effort is typically plotted on the horizontal (X) axis, while the sales response is plotted on the vertical (Y) axis.

Question 15

Economists recommend that marketing managers allocate the firm's marketing resources to the markets and products where

Accepted Answer

Economists suggest allocating resources where the excess of incremental revenues over incremental costs is greatest, as this maximizes profit.

Question 16

Which of these statements about the four basic business and management practices that researchers identified is most accurate?

Accepted Answer

The effectiveness of business and management practices often depends more on how well they are executed rather than the specific practices themselves. Flawless execution can lead to success even if not all practices are used.

Question 17

Reflecting on the research study of over 200 management tools and techniques, which of the following companies is an example of a firm that excels based on a devising and maintaining a clearly stated, focused strategy?

Accepted Answer

Costco is known for its focused strategy of offering low prices on a limited selection of high-quality products, which has contributed to its success.

Question 18

As the annual marketing effort increases in a sales response function graph, so does the resulting annual sales revenue, which is

Accepted Answer

In a sales response function graph, the annual sales revenue is typically plotted on the vertical (Y) axis, while the marketing effort is plotted on the horizontal (X) axis.

Question 19

Lockheed Martin's Skunk Works is a leader in delivering world-class aircraft. About 50 engineers and designers and 100 expert machinists closely follow this guideline for organizational structure and implementation: Use a small number of good people who

Accepted Answer

The answer of Lockheed Martin's Skunk Works is a leader...

Question 20

Four basic business and management practices are what matter-"what really works," to use the phrase of the researchers who studied more than 200 management tools and techniques. All of these are included except which?

Accepted Answer

Leadership is not listed as one of the four basic business and management practices that matter according to the researchers. The four practices are structure, culture, execution, and strategy.

Quiz 22: Pulling It All Together: the Strategic Marketing Proces