Deck 3: Analyzing the Marketing Environment

Question 1

________ are distribution channel firms that help the company find customers or make sales to them.

A)Resellers
B)Suppliers
C)Producers
D)Consumers
E)Government agencies

Answer 1

A

Question 2

Which of the following is considered to be a part of the marketing microenvironment of a firm?

A)the political state of the country
B)the cultural forces that exist in a society
C)the suppliers of the company
D)the technological resources available
E)the different demographic trends in the market

Answer 2

C

Question 3

JiJi Distributors Ltd.buys products from manufacturers for wholesale,and sells them to retailers.Which of the following markets does JiJi Distributors Ltd.cater to?

A)business markets
B)reseller markets
C)manufacturer markets
D)supplier markets
E)niche markets

Answer 3

B

Question 4

Which of the following is true of the U.S.age demographics?

A)The Millennial generation accounts for nearly half of all the discretionary consumer spending in the U.S.
B)The Generation Xers are the most educated section of the population.
C)The baby boomers are the poorest segment of the population.
D)The Generation Xers form the largest segment of the population.
E)The Millennials are the most financially secure segment of the population.

Question 5

The dimension of citizen-action publics is most likely to include ________.

A)company directors and managers
B)stockholders and investment analysts
C)government trade agencies
D)consumer organizations and environmental groups
E)magazines and news channels

Question 6

Large societal forces like demographic,economic,natural,technological,political,and cultural forces that affect the microenvironment are considered to be part of the ________ of an organization.

A)supplier chain
B)macroenvironment
C)marketing intermediaries
D)internal environment
E)distribution channels

Question 7

Reseller markets involve ________.

A)government agencies that buy goods and services to produce public services
B)individuals who buy goods and services for personal consumption
C)firms that buy goods and services for further processing in their production processes
D)firms that buy goods and services and then sell them at a profit
E)firms that buy intermediate goods and services for use in production of the final product

Question 8

Which of the following factors would come under the demographic environment for marketers?

A)the company's competitors
B)the company's suppliers
C)the company's shareholders
D)the level of technological advancement in the company's production processes
E)the educational level of the company's customers

Question 9

Kelstone Developers is planning to build a new shopping mall which requires the partial taking of a nearby park.Walking Green,an environmental group,challenged the plan,citing environmental destruction.In response to the demands of Walking Green,Kelstone Developers promised to build a park-like walkway around the mall.Walking Green is an example of a(n)________ in this scenario.

A)financial public
B)government public
C)citizen-action public
D)internal public
E)media public

Question 10

Secure is a financial services and insurance company that has grown substantially since the recession hit.Recently,Secure started a range of new insurance and savings plans for customers that target customers belonging to different sections of the American population.The Secure Future plan started by the company provides greatest benefits for consumers who want long-term savings so they can remain financially independent in the later years of their life.It provides insurance on their homes,covers all health expenses for them and their spouses,and also has tie-ups with travel and tour agencies to provide cheaper holiday options for people who were too busy to travel in their employment years.The marketing team of Secure has most likely targeted the Secure Future plan at the ________.

A)Millennials
B)baby boomers
C)Generation X
D)Generation Y
E)echo boomers

Question 11

Dextora Technologies manufactures microprocessors and caters exclusively to companies that produce high-end computers.Which of the following types of markets does Dextora target in this scenario?

A)retail markets
B)government markets
C)consumer markets
D)business markets
E)reseller markets

Question 12

Which of the following has resulted from the increased educational levels of the U.S.population?

A)decreased dependency on technology
B)increased job growth for professional workers
C)rise in the number of manufacturing jobs
D)decreased mobility of the population within the U.S.
E)a decrease in the number of women workers

Question 13

Which of the following would be a component of a company's marketing microenvironment?

A)a just-in-time inventory system followed by the company when making purchase decisions
B)a set of laws that require the company to scale down its promotional phone calls to customers
C)a changing demographic picture that the firm has to constantly adapt its products to
D)a new technology that would ensure significant cost-cutting if implemented in the firm
E)a set of environmental sustainability laws that significantly impact the company's production processes

Question 14

The town of Genter has just witnessed a devastating hurricane,which crippled the town's infrastructure.Rondoll Mart,a retail chain that has plans to open a new retail store in Genter organized a program to help the people of Genter.The program consisted of providing free meals to those who had lost their dwellings in the hurricane.By providing such a service,what section of the marketing microenvironment did Rondoll Mart best utilize to its advantage?

A)suppliers
B)marketing intermediaries
C)local publics
D)competitors
E)employees

Question 15

Which of the following is an example of an internal public in a company's marketing environment?

A)a community organization that tries to bridge the gap between the company and the community
B)a supplier responsible for sourcing most of the raw materials used in production
C)a company director who is working to improve the company's image in the society
D)a bank that helps the company acquire loans
E)a consumer organization that questions the actions taken by the company

Question 16

Which of the following is a characteristic of the Millennials with regard to mass marketing?

A)Companies typically favor mass marketing, rather than market segmentation, as a marketing technique for this generation.
B)They do very little research before buying new products and services.
C)The use of traditional marketing methods, like direct selling, have been highly successful with the Millennials.
D)They like to seek out product information and engage in two-way brand conversations.
E)They typically avoid using technology as a mode of buying products.

Question 17

Which of the following is true of the baby boomer generation?

A)They are the first generation to grow up with computers.
B)They are the largest demographic group in the U.S.
C)They were born at a time period between 1965 to 1976.
D)They are the most educated generation of Americans.
E)They are the wealthiest generation in U.S. history.

Question 18

Which of the following customer markets would be categorized as business markets?

A)government agencies that buy goods and services to produce public services
B)individuals who buy goods and services for personal consumption
C)firms that buy goods and services for further processing in their production processes
D)firms that buy goods and services to resell at a profit
E)retail outlets that buy goods and services to sell them at a discount

Question 19

Which of the following is an example of a marketing intermediary?

A)a firm that acts as a liaison between the company and the government
B)a firm that provides technical expertise on the production design of a particular product
C)a firm that is a direct competitor to the company's products
D)a firm that supplies raw materials needed for manufacturing the company's products
E)a firm that helps move the company's stocks from production points to distribution centers

Question 20

Which of the following comprises the internal publics dimension of the microenvironment?

A)newspapers, magazines, television stations, blogs, and other Internet media
B)governmental departments and agencies that regulate businesses
C)neighborhood residents and community organizations
D)the managers, board of directors, and workers of the company
E)general public that is directly affected by the company

Question 21

Which of the following is a similarity between the Wheeler-Lea Act and the Sherman Antitrust Act?

A)Both acts are specifically involved in the way drugs are sold in the U.S.
B)Both acts prohibit unfair business activities that restrain trade or competition.
C)Both acts are used to protect consumers from online fraud.
D)Both acts are specifically used to protect children.
E)Both acts are used to protect consumers from faulty packaging or labeling of food products.

Question 22

Which of the following is true of the Wheeler-Lea Act?

A)It regulates the distribution and content of unsolicited commercial e-mail.
B)It prohibits monopolies and activities that restrain trade or competition in interstate commerce.
C)It protects and regulates distinctive brand names and trademarks.
D)It forbids the manufacture or sale of adulterated or fraudulently labeled foods and drugs.
E)It makes deceptive, misleading, and unfair practices illegal regardless of injury to competition.

Question 23

Which of the following developments has resulted from a combination of changes in technological shifts and the geographical shifts of the U.S.population?

A)a decrease in ethnic diversity and culture
B)a decrease in manufacturing jobs and workers
C)an increase in the conservative consumption patterns
D)an increase in the number of marriages with no intent to bear children
E)an increase in the small office/home office markets

Question 24

A developing country has established laws that prevent large and monopolistic firms from driving smaller companies out of the market.To help the smaller industries become stable,the government has provided them with numerous protections and tax exemptions.In this scenario,the political environment is operating primarily to ________.

A)protect consumers from cyclic economic fluctuations in prices
B)protect the environment from pollution caused by industries
C)protect workers from exploitation by their managers and superiors
D)protect companies from unfair competition in the market
E)enhance the standard of living for the society as a whole

Question 25

Which of the following is a trend that marketers should be aware of in the natural environment?

A)the reduced need to change to alternative sources of energy in manufacturing industries
B)the increased need for larger countries to directly regulate the pollution levels in smaller countries
C)the shift from renewable resources to nonrenewable resources
D)an increase in governmental intervention in natural resource management
E)the decrease in cost prices for continuous use of nonrenewable resources

Question 26

Which of the following defines a nation with a subsistence economy?

A)The agricultural products are imported, while the industrial outputs are produced within the nation.
B)The agricultural and industrial outputs are just enough for the nation to survive.
C)The economical outputs of the nation are in abundance and are mostly exported.
D)The economy offers outstanding marketing opportunities only for industrial products.
E)Both agriculture and industrial components are produced indigenously by the country and exported in large quantities.

Question 27

In a marketer's macroenvironment,the ________ consists of laws,government agencies,and pressure groups that influence or limit various organizations and individuals in a given society.

A)political environment
B)cultural environment
C)technological environment
D)natural environment
E)internal environment

Question 28

In which of the following ways is the Wheeler-Lea Act influential to the food and drug industry?

A)It provides for the regulation of packaging and the labeling of food products.
B)It forbids the manufacture or sale of adulterated or fraudulently labeled foods and drugs.
C)It establishes the Food and Drug Administration.
D)It places advertising of food and drugs under FTC jurisdiction.
E)It requires that food product labels provide detailed nutritional information.

Question 29

One of the demographic trends seen in the United States over the last few decades is the decrease in the proportion of ________.

A)professional workers
B)manufacturing workers
C)white-collar workers
D)telecommuters
E)women employees

Question 30

Which of the following is true of the different demographics in the U.S.?

A)There is an increase in the telecommuting workforce.
B)There is a decrease in the number of married women in the workforce.
C)There is a decrease in the educational levels in the U.S. population.
D)There is a decrease in the number of people migrating to suburbs.
E)There is a steep rise in jobs in the manufacturing industry.

Question 31

Which of the following is true of the Clayton Act?

A)It authorizes the FTC to determine rules and regulations for consumer warranties and provides consumer access to redress.
B)It protects and regulates distinctive brand names and trademarks.
C)It establishes the Consumer Product Safety Commission and authorizes it to set safety standards for consumer products.
D)It supplements the Sherman Act by prohibiting certain types of price discrimination, exclusive dealing, and tying clauses.
E)It establishes the Environmental Protection Agency and authorizes it to set a national policy on the environment.

Question 32

Which of the following would be considered a factor of the company's marketing economic environment?

A)suppliers to the competitor
B)distributional channels adopted by competitors
C)consumer spending patterns
D)migratory patterns of the population
E)race and ethnicities of different populations

Question 33

Which of the following represents a change in the technological dimension of the macroenvironment of a marketing firm?

A)increased use of cause-related marketing
B)increased use of RFID system to track products
C)increased need to comply with government regulations on environment sustainability
D)increased use of value marketing
E)increased need to engage in mass marketing over market segmentation

Question 34

The ________ empowers the FTC to establish limits on quantity discounts,forbid some brokerage allowances,and prohibit promotional allowances except when made available on proportionately equal terms.

A)Taft-Hartley Act
B)Robinson-Patman Act
C)Lanham Trademark Act
D)Wheeler-Lea Act
E)CAN-SPAM Act

Question 35

The ________ of 1890 prohibits monopolies and activities that restrain trade or competition in interstate commerce.

A)Robinson-Patman Act
B)Magnuson-Moss Warranty Act
C)Sherman Antitrust Act
D)Lanham Trademark Act
E)Consumer Product Safety Act

Question 36

Which of the following is true of the Robinson-Patman Act?

A)It bans the sale of hazardous toys and articles.
B)It protects and regulates distinctive brand names and trademarks.
C)It establishes the Federal Trade Commission to monitor and remedy unfair trade methods.
D)It amends the Clayton Act to define price discrimination as unlawful.
E)It regulates the distribution and content of unsolicited commercial e-mail.

Question 37

Hysterias Inc.is a soft drink manufacturer that has many manufacturing plants around the world.They are planning to shift from using thermal power to wind power for their manufacturing plants in the Netherlands to decrease dependency on nonrenewable sources of energy.In which of the following segments of the company's marketing environment would this change be categorized?

A)the economic environment
B)the natural environment
C)the demographic environment
D)the political environment
E)the cultural environment

Question 38

Which of the following is the reason for marketers shifting to value-marketing techniques post the Great Recession of 2008/2009?

A)reduced customer spending
B)increased taxation of industries
C)increase in purchasing power of consumers
D)decreased levels of debt for consumers
E)a general trend in product price stabilization across industries

Question 39

Valhalla Woods is a luxury furniture manufacturing firm that is planning to release a new line of maple wood furniture.Which of the following slogans would help Valhalla Woods reach out to more customers,in the period after the Great Recession of 2008/2009,if they followed a value-marketing technique?

A)Greatness is promised to the few
B)Luxury and price in harmony
C)Pay more, value more
D)No compromises on luxury
E)Making luxury affordable

Question 40

Why is the U.S.population considered a "salad bowl" of homogeneity?

A)because most groups are shedding their ethnic culture and shifting towards a unified American culture
B)because different ethnic groups have mixed together in America and lost their original identity, diversity, and cultural nuances
C)because ethnic and cultural differences have been retained by a lack of mixing between different ethnic groups
D)because groups have mixed together but have maintained their diversity by retaining cultural differences
E)because cultural differences have not been assimilated even though a mix in ethnicities has been traced in the population

Question 41

Which of the following is a criticism of online marketing techniques that involves consumer information?

A)that companies fail to provide value-priced products for online customers
B)that companies track, share, and misuse browsing details of unknowing customers
C)that companies provide too many alternative products online which confuses customers
D)that companies don't follow the marketing orientation when devising promotional offers online
E)that companies have failed to reach their target customers through online marketing

Question 42

Which of the following enforces the Truth-in-Lending Act?

A)Financial Reform Law
B)Wheeler-Lea Act
C)Robinson-Patman Act
D)Sherman Antitrust Act
E)Consumer Product Safety Act

Question 43

The ________ regulates the distribution and content of unsolicited commercial e-mail.

A)Wheeler-Lea Act
B)Magnuson-Moss Warranty Act
C)Telephone Consumer Protection Act
D)CAN-SPAM Act
E)Do-Not-Call Implementation Act

Question 44

Resellers are seen as a part of the publics involved in selling the company's product exclusively to governmental organizations.

Question 45

Which of the following acts directly affects a marketers ability to market products online?

A)Consumer Product Safety Act
B)Wheeler-Lea Act
C)CAN-SPAM Act
D)Do-Not-Call Implementation Act
E)Telephone Consumer Protection Act

Question 46

Which of the following is true of the Telephone Consumer Protection Act?

A)It establishes the Consumer Product Safety Commission and authorizes it to set safety standards for telephones and related accessories.
B)It authorizes the FTC to determine rules and regulations for consumer warranties.
C)It authorizes the implementation of the National Do-Not-Call Registry.
D)It prohibits discrimination against hiring people with disabilities in the telecommunication business.
E)It limits marketers' use of automatic dialing systems and artificial or prerecorded voices.

Question 47

Customer markets are considered to be a factor of a manufacturer's microenvironment.

Question 48

When a customer buys a can of Pepsi from a Walmart store,Walmart here acts as a supplier in the microenvironment of the company.

Question 49

Marketing intermediaries help supply resources needed by the company to produce its goods and services.

Question 50

Which of the following is an example of cause-related marketing?

A)a firm selling groceries without using retail outlets
B)a firm selling fruit juices catering to health conscious people
C)a firm selling health insurances only through online sites
D)a firm selling cars mandating that the car can only be serviced by their own dealers
E)a firm selling books where a percentage of sales goes to a charity

Question 51

The National Traffic and Safety Act (1958)provides for the creation of compulsory safety standards for ________.

A)automobiles and tires
B)peak hour traffic volumes
C)exposure to vehicular pollution
D)speed limits and emission checks
E)periodic testing of license holders

Question 52

Which of the following comes under the purview of the Bureau of Consumer Financial Protection?

A)to determine rules and regulations for consumer warranties
B)to provide financial resources to environmentally friendly businesses
C)to enforce rules for the marketing of financial products to consumers
D)to enforce and implement the National Do-Not-Call Registry
E)to prohibit monopolies and activities that restrain trade or competition in interstate commerce

Question 53

Which of the following provides for the creation of compulsory safety standards for automobiles and tires?

A)CAN-SPAM Act
B)National Traffic and Safety Act
C)Consumer Product Safety Act
D)National Environmental Policy Act
E)Wheeler-Lea Act

Question 54

The ________ establishes the Bureau of Consumer Financial Protection.

A)Clayton Act
B)Consumer Product Safety Act
C)Sherman Antitrust Act
D)Financial Reform Law
E)Wheeler-Lea Act

Question 55

Which of the following is authorized to implement and enforce the National Do-Not-Call Registry?

A)Federal Communications Commission
B)Consumer Product Safety Commission
C)Bureau of Consumer Financial Protection
D)National Communications System
E)Federal Trade Commission

Question 56

Ursa Martin,a book publisher,has decided to tie up with Hope in Children,a charity foundation that helps feed and educate children in poor countries.Ursa Martin has decided that a percentage of every book it sells will go to the charity.Their books are marketed by conveying this message to customers.Which of the following marketing techniques describes Ursa Martin's association with Hope in Children?

A)tying arrangement
B)cause-related marketing
C)niche marketing
D)green marketing
E)test marketing

Question 57

The Red Panda Toy Company,headquartered outside the U.S.,released a line of toy cars in the U.S.Six months after the release of the toys,the Consumer Product Safety Commission started getting complaints of children falling sick after playing with these toy cars.Upon inspection of the toys,it was found that the paint used in them contained lead.The line of toys were then banned from being sold and the Red Panda Toy Company recalled the toys from retailers.Which of the following acts protects U.S.citizens from being exposed to hazardous toys and articles?

A)Children's Television Act
B)Child Protection Act
C)Nutrition Labeling and Education Act
D)Fair Packaging and Labeling Act
E)Magnuson-Moss Warranty Act

Question 58

Which of the following legislations sets standards for child resistant packaging for products?

A)Consumer Product Safety Act
B)Fair Packaging and Labeling Act
C)Child Protection Act
D)Clayton Act
E)Children's Television Act

Question 59

The ________ authorizes the FTC to determine rules and regulations for consumer warranties and provides consumer access to redress,such as the class action suit.

A)Federal Trade Commission Act
B)Magnuson-Moss Warranty Act
C)Wheeler-Lea Act
D)Nutrition Labeling and Education Act
E)Lanham Trademark Act

Question 60

The ________ prohibits Web sites operators from collecting personal information from children without obtaining consent from a parent and allowing parents to review information collected from their children.

A)Children's Online Privacy Protection Act
B)Do-Not-Call Implementation Act
C)CAN-SPAM Act
D)Telephone Consumer Protection Act
E)Consumer Product Safety Act

Question 61

The U.S.population is considered to be a homogeneous population where different ethnic groups have assimilated and lost their diversities.

Question 62

The Consumer Product Safety Commission has created complex regulations for testing new drugs before they are sold to the public.

Question 63

The baby boomer generation has been the poorest generation in U.S.history.

Question 64

Marketers have a better chance of taking advantage of a person's secondary beliefs than his or her core beliefs.

Question 65

Physical distribution firms that help the company stock and move goods from their points of origin to their destinations are considered to be marketing intermediaries.

Question 66

The primary purpose of governmental regulation in business is to protect the environment.

Question 67

The rapid increase in people telecommuting has increased the SOHO market in the United States.

Question 68

The income distribution in the United States is equal across all demographics.

Question 69

Value marketing requires providing a customer products with greater value at fairly high prices like specialty service stores.

Question 70

The single most important demographic trend in the United States is the changing age structure of the population.

Question 71

The marketing tactics employed by a firm in a first-mover market are known as cause-related marketing techniques.

Question 72

A company that adopts a reactive marketing stance would view the marketing environment as an uncontrollable element to which it must adapt.

Question 73

A bank that helps a company finance transactions can be seen as both a financial intermediary and a financial public.

Question 74

Subsistence economies provide the best marketing opportunities to companies.

Question 75

Running advertorials to shape public opinion is an example of a proactive marketing stance taken by a company.

Question 76

Generation X is the largest age demographic in the U.S.

Question 77

The purchasing power of a population is categorized as being part of the technological environment of a company's macroenvironment.

Question 78

Customer markets that consist of individuals and households are known as business markets.

Question 79

Stringent product regulations have helped to lower research costs and decrease time between new product ideas and their introduction to the market.

Question 80

The Federal Trade Commission enforces laws that prevent unfair trade methods.