Deck 15: Marketing and Strategic Planning

Question 1

Marketers are concerned with organization working towards profit goals.

Answer 1

False

Question 2

At the corporate level, strategic direction becomes very specific and focused.

Answer 2

False

Question 3

A marketing plan is the visual computer display of the essential information related to achieving a marketing objective.

Answer 3

False

Question 4

Communicating the mission statement is a business unit-level marketing function.

Question 5

Goals refer to the statement of an organization's purpose and direction.

Question 6

Transportation, coverage, and outlets are components of promotion, an element of the marketing mix.

Question 7

SBUs that are dogs must be dropped under all circumstances.

Question 8

A firm can divest its SBU by selling it to gain cash.

Question 9

Strategic directions must be profit-focused and provide genuine value and benefits to the owners.

Question 10

To make decisions regarding market allocations, the chief marketing officer of Kallery's LLC wants to see the effect of the company's new radio advertising campaign on the brand's sales.For this, the executive must use a marketing dashboard.

Question 11

Jazzers Inc.is a large corporation with multiple business units, including garment and toy factories.At its functional level, marketing may be called on to implement an advertising campaign.

Question 12

Kloyke Inc.is seeking to maximize its financial return on investment this year.This can be referred to as Kloyke's mission statement.

Question 13

A firm may seek to balance conflicting goals of stakeholders to promote overall welfare, even at the expense of profits.This refers to the firm's social responsibility.

Question 14

Corporate and business unit strategies of a firm can never merge.

Question 15

Swift Buses LLC, which entered the tourist bus industry, saw only other bus operators as its competitors.Swift Buses LLC has been trapped in marketing myopia.

Question 16

Profit is the primary goal of all organizations.

Question 17

A marketing matrix is the road map for the marketing activities of an organization for a specified future period of time.

Question 18

Market penetration involves introducing new products in its new markets.

Question 19

Many organizations have goals that are not profit-related.

Question 20

The market area is the measure of the quantitative value or trend of a marketing activity or result.

Question 21

Which of the following is a visual computer display of the essential information related to achieving a marketing objective?

A)marketing scale
B)marketing dashboard
C)business model
D)right-time marketing

Question 22

The ratio of the sales revenue of the firm to the total sales revenue of all firms in the industry, including the firm itself, is known as _____.

A)sales volume
B)market share
C)industry potential
D)contribution margin

Question 23

Which of the following statements is true?

A)A firm may elect to maintain its sales only if it sees this as an opportunity to increase profits.
B)A firm may elect to increase its sales only to increase its return on investment.
C)A firm may elect to maintain or increase its sales level even though profitability is not going to be maximized.
D)A firm may elect to increase its sales to decrease its social responsibility.

Question 24

Organizations that do not have profit as a goal are normally called

A)Government agencies
B)Corporations
C)Post-profit firms
D)Non-profit organizations

Question 25

Play Along Inc., a manufacturer of toys, introduced a new gaming console and marketed it to a sample segment on a trial basis.Soon, complaints about incorrect programming of the console started pouring in.This suggests that Play Along Inc.needs to adopt _____ goals.

A)profit
B)sales revenue
C)market share
D)quality

Question 26

When Nimble Motors LLC decided to produce the Nimble Fuel Cell vehicle, an important objective considered was the reward for the risk taken by Nimble Motors LLC.The company was concentrating on the project contribution toward:

A)equalizing the company assets to the company liabilities.
B)the company profit.
C)market penetration.
D)training the employees.

Question 27

To make decisions regarding market allocations, the chief marketing officer of Touyer Inc.wants to see what effect the company's new print advertising campaign has on the brand's sales.For this, the executive must use a _____.

A)marketing scale
B)graphical market
C)market penetration strategy
D)marketing dashboard

Question 28

Following a(n) _____ goal, MediPharma Inc.offered senior citizens some of its most sought after prescriptions, for a month, at a price much lower than the normal cost.

A)profit
B)unit sales
C)sales revenue
D)social responsibility

Question 29

At its _____ level, each of Jazzers Inc.'s business units has specialized activities including marketing, finance, manufacturing, and research and development.

A)strategic
B)tactical
C)functional
D)corporate

Question 30

A strategic business unit markets a set of:

A)unrelated products to a clearly defined group of customers.
B)related products to everyone.
C)related products to a clearly defined group of customers.
D)unrelated products solely to government agencies.

Question 31

Marketing tactics are the detailed decisions, such as writing ads or setting prices, required to successfully implement a marketing program.

Question 32

Flyaway, which entered the airline industry, saw only other airlines as competitors.Flyaway has been trapped in marketing myopia because it:

A)is trying to compete with heterogeneous industries.
B)defined its business too narrowly.
C)has entered a business with a narrow profit margin.
D)priced its services as low as other airlines.

Question 33

Frosty & Tasty, a manufacturer of ice creams, has explicit goals that state its intention to improve work conditions by adding more lighting and providing the workers with more and better safety equipment.This specifically implies that Frosty & Tasty recognizes the critical importance of _____.

A)social responsibility
B)sales revenue
C)employee welfare
D)quality

Question 34

An organization's _____ has an inspirational theme-something that can ignite the loyalty of customers, employees, and others with whom the organization comes in contact.

A)point of difference
B)mission statement
C)business portfolio
D)internal situation analysis

Question 35

At the functional level:

A)work is mostly directed at the targeted customers.
B)the overall strategy for the organization is directed.
C)managers set the direction for individual products and markets.
D)strategic direction becomes very specific and focused.

Question 36

_____ is the reward to a business firm for the risk it undertakes in offering a product for sale.

A)Shareholders' equity
B)Profit
C)Inventory turnover
D)Contribution margin

Question 37

The stockholder's report of Drive Inc., a manufacturer of automobile parts, reads that the company's goal for the next five-year period is to double its return on investment.Drive Inc.'s goals are _____ goals.

A)profit
B)sales revenue
C)market share
D)unit sales

Question 38

Carl Garell is the CEO of WethePeople, a company that automates human resource functions such as tracking check-in times.Garell operates at the _____ level of WethePeople.

A)business unit
B)functional
C)corporate
D)traditional

Question 39

As an organizational goal, Cooper & Howard Associates always seeks to maximize its long-run _____, achieving as high a financial return on its investment as possible.

A)profit
B)sales revenue
C)market share
D)quality

Question 40

The mission statement is normally formulated by which level of the organization?

A)Functional unit
B)Corporate
C)Strategic business unit
D)tactical

Question 41

Porter Agency, a strategic business unit of Seashore Inc., is generating large amounts of cash, far more than it can invest profitably in its own product line.Which of the following best describes Porter Agency?

A)dog
B)cash cow
C)question mark
D)star

Question 42

A strategic business unit of Positive Associates requiring large injections of cash just to maintain its market share is an example of _____.

A)dogs
B)cash cows
C)question marks
D)stars

Question 43

When Sharp Associates requires no change in the product but wants to seek out new customers in new markets, it must use a _____ strategy.

A)market penetration
B)market development
C)product development
D)diversification

Question 44

Yummeria Foods Inc.advertises its baking soda by prompting consumers to leave open a box of the product inside the refrigerator to remove food odour.It also advises consumers to keep an open box in all kitchen closets, and to pour down the contents of the box into the kitchen sink every month to freshen the drains.Yummeria Foods is using a _____ strategy to sell more of its baking soda.

A)market penetration
B)market development
C)product development
D)diversification

Question 45

_____ is the sales of an SBU divided by the sales of the largest firm in the industry.

A)Relative market share
B)Diversification rate
C)Market growth rate
D)Market share

Question 46

Which market-product strategy involves selling a new product to existing markets?

A)Market penetration
B)Market development
C)Divestment
D)Product development

Question 47

OP & G Inc., a 27-year-old IT company, owns several subsidiaries, of which Global G is one of the leading wholesalers of computer peripherals, an industry that is growing worldwide.According to the BCG portfolio matrix, Global G, which needs extra cash to finance its growth in this industry, would most likely be classified as a _____.

A)dog
B)cash cow
C)question mark
D)star

Question 48

Printmark Publishers engaged in a _____ strategy when it sold its famous weekly, You, in Canada for the first time.

A)market penetration
B)market development
C)product development
D)diversification

Question 49

_____ is the annual rate of growth of the specific market or industry in which a given SBU is competing.

A)Relative market share
B)Diversification rate
C)Market growth rate
D)Market share

Question 50

Keller Associates, a business unit of Marcus Inc., has a high share of high-growth markets and one that is growing rapidly.Which of the following names from the BCG matrix best describes Keller Associates?

A)dog
B)cash cow
C)question mark
D)star

Question 51

Lawrell Associates, an SBU of Help Agencies, has a really low share of the low-growth markets.Lawrell Associates is a _____.

A)dog
B)cash cow
C)question mark
D)star

Question 52

Although it is a small market with little growth, Rolls has a large market share and requires no investment from Photoperfect for promotion.Rolls is an example of a(n) _____.

A)star
B)cash cow
C)question mark
D)exclamation mark

Question 53

In a marketing dashboard, a _____ is a measure of the quantitative value or trend of a marketing activity or result.

A)marketing scale
B)graphical axis
C)business value
D)marketing metric

Question 54

People's Agent distributes candies and coffee through its vending machines in Canada.The addition of sandwich vending machines to the same market is an example of a _____ strategy.

A)market penetration
B)market development
C)product development
D)product placement

Question 55

_____ must be customer-focused and provide genuine value and benefits to present and prospective customers.

A)Competencies
B)Strategic directions
C)Statements of competitive advantage
D)Working conditions

Question 56

MedRelief LLC, a manufacturer of pharmaceuticals, has a significant number of Nobel Prize winners working in its laboratories due to the resources it makes available for research.This ability to attract some of the finest minds in science to its workforce is an example of a(n) _____.

A)competency
B)market accomplishment
C)unsought benefit
D)opportunity

Question 57

When Uncle Tom's Pizza requires no change in the product line, but an increase in sales to existing customers through innovative pricing, promotion, or distribution strategies, it must use a _____ strategy.

A)market development
B)market penetration
C)product development
D)diversification

Question 58

_____ have a dominant share of a slow-growth market and provide cash to pay large amounts of company overhead and to invest in other SBUs.

A)Dogs
B)Cash cows
C)Question marks
D)Stars

Question 59

_____ is/are an organization's special capabilities, including skills, technology, and resources, that distinguish it from other organizations.

A)Accomplishments
B)Opportunities
C)Competencies
D)Employee strength

Question 60

Since last year, the market for Rolls has been decreasing.People are increasingly becoming interested in using digital cameras.Due to limited sales, Photoperfect has stopped production of Rolls.Since Rolls no longer generates sufficient cash to sustain its own production, the BCG portfolio would classify it as a _____.

A)dog
B)cash cow
C)question mark
D)star

Question 61

_____ is an approach whereby an organization allocates its marketing mix resources to reach its target markets and achieve its goals.

A)Calibrated marketing process
B)Strategic marketing process
C)Situational marketing process
D)Developmental market analysis

Question 62

A toothbrush manufacturer sells several lines of toothbrushes, which include a line for small children, one for people with gum problems, and one for people who wear dentures.Offering these different product lines is the result of _____.

A)market development
B)market programming
C)market segmentation
D)product placement

Question 63

The key steps of planning, implementation, and evaluation are part of _____.

A)gap analysis
B)the strategic marketing process
C)the situational marketing process
D)the developmental market analysis

Question 64

Quick Relief Pharmaceuticals currently sells its products only in United States.It recently developed a new pharmaceutical drug for cancer.The company was thinking of selling this new prescription drug in Canada, which would be a new market for Quick Relief Pharmaceuticals.The company was implementing a _____ strategy.

A)market penetration
B)market development
C)product development
D)diversification

Question 65

In order to remain better than its substitutes, Wines United employs at its stores wine tasters who help to choose the best wines for the stores.This gives Wines United a _____ over the other wine sellers.

A)market penetration benefit
B)product differentiation advantage
C)competitive advantage
D)business divergence

Question 66

An effective technique a firm can use to appraise in detail its internal strengths and weaknesses and external opportunities and threats is called _____.

A)a SWOT analysis
B)market-product focus
C)market segmentation
D)market programming

Question 67

How could Fresh'n'Healthy Mornings engage in a product development strategy?

A)by opening a new store in Mexico
B)by developing a line of Fresh'n'Healthy Mornings clothing merchandise to be sold through renowned stores such as The Bay, Sears, and Walmart
C)by adding a line of sugar-free cookies to the menu of existing Fresh'n'Healthy Mornings stores
D)by running a promotion based on Jeopardy, the quiz show, whereby customers get a chance to answer questions with each purchase, and win prizes for every correct answer

Question 68

At which step of the planning stage of the strategic marketing process does a firm develop the program's marketing mix?

A)situation analysis
B)goal setting
C)marketing program
D)sales forecasting

Question 69

How could Fresh'n'Healthy Mornings engage in a market development strategy?

A)by opening a new store in Mexico
B)by developing a line of Fresh'n'Healthy Mornings clothing merchandise to be sold through renowned stores such as The Bay, Sears, and Walmart
C)by adding a line of sugar-free cookies to the menu of existing Fresh'n'Healthy Mornings stores
D)by running a promotion based on Jeopardy, the quiz show, whereby customers get a chance to answer questions with each purchase, and win prizes for every correct answer

Question 70

The first step in the planning phase of the strategic marketing process is:

A)establishing the budget.
B)developing advertising appeals.
C)goal setting.
D)situation analysis.

Question 71

Quick Read, a company that rents books by mail using the Internet, stepped into an industry where no leaders existed.This situation proved to be an opportunity for Quick Read to establish a loyal clientele through reliable shipment of books overnight.This delivery system gave Quick Read its _____.

A)viable mission
B)competitive advantage
C)tactical innovation
D)benchmarking focus

Question 72

A _____ is a road map for the marketing activities of an organization for a specified future period of time, such as one year or five years.

A)shareholders' vision
B)market-product analysis
C)marketing plan
D)mission statement

Question 73

Dustywinds Inc., operating in many parts of Canada, had to face several strikes in the early months of 2008.For the company, these strikes would be an example of a(n) _____.

A)strength
B)weakness
C)threat
D)opportunity

Question 74

Eggstock Inc.is taking stock of where the firm or product has been recently, where it is now, and where it is headed in light of its plans and the external factors and trends affecting it.Which of the following is Eggstock doing?

A)systems analysis
B)market-product focus
C)goal setting
D)situation analysis

Question 75

How could Fresh'n'Healthy Mornings engage in a diversification market-product strategy?

A)by opening a new store in Mexico
B)by developing a line of organic breads and selling them in stores such as Loblaws, Loeb, and Safeway
C)by adding a line of sugar-free cookies to the menu of existing Fresh'n'Healthy Mornings stores
D)by running a promotion based on Jeopardy, the quiz show, whereby customers get a chance to answer questions with each purchase, and win prizes for every correct answer

Question 76

Which market-product strategy requires a company to both develop new products and seek out new markets?

A)market penetration
B)market development
C)product development
D)diversification

Question 77

The strategic marketing process is so central to the activities of most organizations that they formalize it as a _____.

A)marketing plan
B)market-product analysis
C)growth-share matrix
D)market segmentation

Question 78

The goal of a SWOT analysis is to:

A)identify those critical factors that can have a major effect on the firm.
B)keep top management happy.
C)discover areas for diversified investment outside the firm's marketing areas.
D)develop new products for new market segments.

Question 79

How could Fresh'n'Healthy Mornings engage in a market penetration strategy?

A)by opening a new store in Mexico
B)by developing a line of Fresh'n'Healthy Mornings clothing merchandise to be sold through renowned stores such as The Bay, Sears, and Walmart
C)by adding a line of sugar-free cookies to the menu of existing Fresh'n'Healthy Mornings stores
D)by running a promotion based on Jeopardy, the quiz show, whereby customers get a chance to answer questions with each purchase, and win prizes for every correct answer

Question 80

Traveller's Plan LLC has been aggregating prospective buyers into groups that have common needs and will respond similarly to a marketing action.Which of the following is Traveller's Plan's undertaking?

A)aggregation marketing
B)market segmentation
C)market clustering
D)profiling