Deck 1: An Overview of Marketing

Question 1

The owner of a company that produces copy paper once said,"People buy whatever copy paper is the cheapest,so I spend my time trying to find ways I can cut my price." What kind of orientation toward marketing does this owner have?

A) production
B) sales
C) discount
D) customer

Answer 1

A

Question 2

If the local chapter of the Canadian Diabetes Association (CDA)sponsors a free lifesaving course,city residents will not have to pay to take the class.Why will an exchange take place?

A) The CDA does not have to communicate with class participants.
B) People who take the course have to give nothing of value in return.
C) Both the CDA and the people taking the course will trade something of value.
D) People can decide the course has no value.

Answer 2

C

Question 3

Which of the following orientations to marketing fails to consider whether what the firm produces most efficiently also meets the needs of the marketplace?

A) customer
B) production
C) market
D) product

Answer 3

B

Question 4

Mimi Couturier is a design company that specializes in formalwear for women.The company's fashion innovators use computer-assisted design software to create what they think women should wear.The company regularly hires industry experts to examine construction work areas to find waste and inefficiencies that can be eliminated.However,for the last two years Mimi Couturier has lost money,and it has had to lay off some of its work force.What should the company do to avoid this occurrence in future?

A) increase its sales force to find more potential customers for the firm
B) hire more retail efficiency experts to trace down any production problems
C) have someone to study its target market to see what needs and wants should be met by Mimi Couturier
D) cut prices so that its prices are at least 10 percent below those of its competitors

Question 5

A company that sets its goals and strategies based on what the current plant equipment can produce,what products engineering can design,and what the company itself can do best,has which of the following types of orientation?

A) exchange
B) sales
C) market
D) production

Question 6

A business is concerned with many day-to-day activities.Some of the most important are the planning and conception of the product or service,its pricing policy,and the distribution strategy.What are these activities part of?

A) human resources
B) production
C) marketing
D) accounting

Question 7

What must happen in order for exchange to occur?

A) Each party must have something of value to the other party.
B) A profit-oriented organization must be involved.
C) Organized marketing activities must also occur.
D) Money or other legal tender is required.

Question 8

Kurt Meyer wants to sell a Model T Ford that he inherited from his grandfather.A preliminary investigation has shown many people would be interested in this type of automobile.He has taken out an advertisement in his local auto trade paper and provided customers with a toll-free number to make an appointment to drive the car.He has also read in the auto trade papers that similar cars to the one that he owns are selling for about $4,000.Before selling his Model T,what else should Meyer find out?

A) whether the car can meet the demands of potential customers
B) how to promote the car to generate significant visibility for the ad
C) where the car should be located to secure optimum drive-up business
D) how to price the car so that customers will seek out his vehicle

Question 9

Which of the following is a set of activities used to implement a management orientation that stresses customer satisfaction?

A) a control system
B) customer management
C) planning strategy
D) marketing

Question 10

Firms with which of the following orientations focus on the internal capabilities of the firm rather than on the desires and needs of the marketplace?

A) production
B) customer
C) marketing
D) sales

Question 11

Researchers at PPG Industries spent considerable time,effort,and money developing a bluish windshield that would let in filtered sunlight but block out heat.Little market research was done,but the scientists were convinced that this new product would be significantly better than existing windshields even though they were more expensive and of a different colour than the current models on the market.What type of orientation does PPG most likely have?

A) sales
B) customer
C) production
D) promotion

Question 12

Marketing is an organizational function and a set of processes for creating,communicating,and delivering which one of the following to customers?

A) sales
B) benefits
C) satisfaction
D) value

Question 13

In which of the following situations is a firm with a production orientation most likely to survive?

A) when supply for the product it produces exceeds demand
B) when demand for the product it produces exceeds supply
C) when there are many small competitors in the marketplace
D) when needs of the marketplace are shifting

Question 14

What is the definition of marketing?

A) planning sales campaigns
B) selling
C) advertising and promotion activities
D) a philosophy that stresses customer satisfaction

Question 15

Which orientation assumes that people are resistant to buying products that are not absolutely necessary?

A) sales
B) marketing
C) customer
D) production

Question 16

Four competing philosophies strongly influence the role of marketing and marketing activities within an organization.Which if the following is a marketing management philosophy?

A) accounting orientation
B) sales orientation
C) profitability orientation
D) social networking orientation

Question 17

Which orientation of people will buy more goods and services if aggressive marketing techniques are used?

A) sales
B) production
C) customer
D) marketing

Question 18

The idea that people give up something in order to receive something that they would rather have is a key ingredient in marketing.What is this called?

A) exchange
B) synergy
C) reciprocity
D) promotion

Question 19

Why is the concept of exchange important to marketing?

A) Marketing activities help to create exchange.
B) Money is the only medium of exchange for business marketers.
C) Exchange provides money to marketers.
D) Marketing activities are a requirement for exchange to take place.

Question 20

For an exchange to take place,what must happen?

A) At least one person must have something of value.
B) Each party must feel obligated to accept the offer.
C) Money must be present.
D) There must be at least two parties.

Question 21

For years,the slogan used in all the advertising done by British Airways was "Putting people first." In this short phase,what did British Airways capture the idea of?

A) the marketing concept
B) the societal concept
C) Maslow's hierarchy of needs
D) the sales orientation philosophy

Question 22

The statement "Marketing should be introduced at the beginning rather than the end of the production cycle and integrated into each phase of the business" is consistent with which orientation?

A) market
B) sales
C) enterprise
D) production

Question 23

What do the marketing concept and market orientation recognize?

A) Sales depend predominantly on an aggressive sales force.
B) What the customer thinks he is buying is what is important.
C) Price is the most important variable for customers.
D) Selling and marketing are essentially the same thing.

Question 24

Which of the following measures would be the best indicator of whether your organization's personnel have a customer orientation?

A) Test employees on their knowledge of customer service techniques.
B) Assess each employee's impact on the profitability of the firm.
C) Ask each employee's boss if that person is customer oriented.
D) Survey customers on how oriented the organization's personnel are to customer needs and desire.

Question 25

Lawler Landscaping Company sells all kinds of ornamental plants.Lawler's management believes that its customers will buy more plants if its salespeople use aggressive marketing techniques because ornamental plants are nonessential items for most homeowners.What type of orientation does Lawler have?

A) production
B) marketing
C) sales
D) customer

Question 26

Which of the following is a viable method a company can use to become more marketing oriented?

A) Implement employee-only meetings.
B) Make sure all employees are customer oriented.
C) Train employees to focus on profit maximization.
D) Train employees in the latest aggressive selling techniques.

Question 27

For many years,Procter & Gamble (P&G)viewed its Ivory soap as just plain old soap-and not as a cleansing product that could provide other benefits as well.When it came to Ivory soap,P&G focused on how well it made the soap and not on what customers wanted from a bar of soap.What sort of orientation did P&G have?

A) customer
B) product
C) sales
D) market

Question 28

If a company uses a sales orientation,what will consumer complaints most likely result in?

A) attempts to cut production costs
B) product reinvention
C) continuous market research
D) a modification of the sales presentation

Question 29

Walmart has become the leading discount retailer in Canada and the world by focusing on the customer's needs and wants.This philosophy is at the heart of which orientation?

A) production
B) market
C) sales
D) retail

Question 30

Because organizations that sell unsought products,such as cemetery plots,are marketing products that most people do not want,which sort of orientation might the companies adopt?

A) product
B) customer
C) marketing
D) sales

Question 31

The marketing concept includes a goal orientation to remind managers of which of the following?

A) The only reason for any business to exist is to make a profit.
B) Achieving long-term organizational goals is as important as satisfying customers.
C) The objective is to find a target market that differs from that of the competition.
D) Customers must be satisfied no matter what the organizational costs.

Question 32

The manufacturer of Rossignol brand skis has a market orientation and adheres to the marketing concept.What would the company most likely do first when reacting to consumer dissatisfaction?

A) hire more salespeople
B) increase the number of sporting goods stores that carry Rossignol skis
C) increase its advertising to underserved markets
D) conduct research to determine if its customers' needs have changed

Question 33

Which of the following statements about a typical sales-oriented business is true?

A) The company directs its products to specific groups of people.
B) The company is in business to satisfy customers' wants and needs and deliver superior value.
C) The company invests the majority of its resources in promoting its products and services.
D) The primary goal of the company is profit through customer satisfaction.

Question 34

What does achieving a market orientation involve?

A) implementing actions to provide satisfaction for employees
B) determining how to deliver superior customer value
C) doing research on suppliers and competitors
D) establishing and maintaining mutually satisfying relationships with suppliers

Question 35

When a homeowner visited The Home Depot to buy what he thought he needed to fix a leaking toilet,he gathered up materials totalling almost $70.One his way to checkout,an employee asked him what was he trying to fix.After some discussion,the employee convinced the homeowner that a $5.99 replacement part would fix the problem better than the materials he thought he needed and with less trouble.This sort of discussion between employees and customers is commonplace at The Home Depot.What sort of orientation does the retail store have?

A) market
B) sales
C) production
D) product

Question 36

World Wrestling Entertainment (formerly the World Wrestling Federation)is very focused on what its fans want in terms of product licensing and,more importantly,in terms of plot lines and character development.All of the company's activities are integrated so that no employee ever loses sight of the company's desire to satisfy its fans.What sort of orientation does World Wrestling Entertainment have?

A) sales
B) production
C) product
D) market

Question 37

What does the marketing concept involve?

A) selling as much product as possible under the assumption that people will buy more goods and services if aggressive selling techniques are used
B) satisfying management's needs and wants with the idea of maximizing profits in the short run
C) focusing on customers' wants so that the organization can distinguish its product (or products)from the competitors' products
D) selling as much as possible under the assumption that consumers will buy more at lower prices

Question 38

The marketing concept stresses that the social and economic justification for an organization's existence is the satisfaction of customer needs and wants while doing which of the following?

A) simultaneously meeting organization objectives
B) applying scientific management techniques to improve efficiency
C) producing a good or service at the lowest possible cost
D) constantly increasing sales volumes

Question 39

What is the main focus of a marketing-oriented firm?

A) outward upon the wants and needs of customers
B) inward upon the abilities to deliver goods and services
C) outward upon societal responsibilities
D) inward upon the organization's needs

Question 40

What does a company do if it has a market orientation and adheres to the marketing concept?

A) integrate all the activities of the firm to satisfy customer wants
B) differentiate a firm's current products from its past products
C) focus on consumer complaints
D) fuel sales growth through the application of aggressive sales techniques

Question 41

What does Xerox emphasize by replacing at its own expense any dissatisfied customer's equipment 87.Canada Post argues that its express service is comparable to that offered by FedEx and that its prices are much lower.Yet FedEx dominates with more than a 45 percent share of the express-delivery market.Which of the following statements most accurately describes this situation?

A) Canada Post should lower its prices even further to increase market share.
B) Canada Post is perceived as offering greater customer value.
C) FedEx is perceived as offering greater customer value.
D) Customer value is not an issue in deciding which express-delivery service to use.

Question 42

Which of the following statements about the societal orientation is true?

A) Companies that protect the environment by using all-natural materials in their products are showing a societal marketing orientation.
B) The societal marketing concept is very different from the market concept.
C) Marketers try to deliver all benefits sought by customers even if that results in a negative effect on the environment.
D) Organizations have either a social or economic justification for their existence.

Question 43

What does Xerox emphasize by replacing at its own expense any dissatisfied customer's equipment?

A) direct selling
B) transactional marketing
C) management-customer synergy
D) customer satisfaction

Question 44

Most companies become sensitized to community issues after they've done enough damage to draw the locals' anger.Dofasco,Inc. ,a highly successful steel company in Ontario,tries to get ahead of business and community issues by annually bringing together representatives from the local area and deciding what projects to improve the local environment will be implemented.What type of orientation does Dofasco have as indicated by this annual community-wide meeting?

A) sales
B) societal marketing
C) production
D) product

Question 45

Kinko's copy shops use the equivalent of 10.5 square miles of forest to produce all of the paper needed by the corporation annually.While the company is committed to making a profit,it is also committed to preserving the environment.In 1997,Kinko's wrote an environmental vision in which it committed the company to conserving natural resources.With this 1997 environmental vision,what sort of orientation did Kinko's adopt?

A) sales
B) product
C) societal marketing
D) production

Question 46

Jewellery stores want to provide their customers with the highest quality of diamonds available at the lowest possible prices.Unfortunately,the lowest-priced diamonds these days are sold by African rebels who use the profits to engage in genocide.Human rights organization have asked jewellers to buy diamonds that are "conflict-free," that is from South Africa,Australia,or Canada.LeeBrant is one retail jewellery store that sells only diamonds that are certified to be from these countries.One could say that LeeBrant has a societal marketing orientation.Which type of orientation do jewellers that are willing to sell the higher priced non-conflict diamonds have?

A) production
B) product
C) market
D) sales

Question 47

Due to consumer concerns about skin cancer and other negative outcomes associated with sun exposure,the trend in sun-care products throughout most of the 1990s was in favour of higher-SPF sunscreens.This seems to be changing now,at least for some target segments.In response to the latest trends of teenagers using baby oil,Crisco,and even motor oil to enhance tanning effects,Coppertone and Hawaiian Tropic have introduced new low-UV-protection products.While giving customers want they want indicates a market orientation,creating a potential problem (an increase in skin cancer fatalities)shows a potential absence of which type of orientation?

A) sales
B) production
C) societal marketing
D) market

Question 48

What does Xerox emphasize by replacing at its own expense any dissatisfied customer's equipment 57.What can marketers interested in offering customer value do?

A) offer organization-wide commitment to service and after-the-sale support
B) offer unrealistic pricing
C) offer products that perform up to legal safety standards
D) give consumers only what they expect

Question 49

You are in charge of the marketing program at Cedarstream,a manufacturer of recreational vehicles,and have been asked to create a company that acts in compliance with the marketing concept and has a market orientation.What will you most likely do as your first action?

A) hire new salespeople to find new customers for Cedarstream vehicles
B) create cross-functional entrepreneurial teams to overcome the difficulty of getting people from different functional areas to work together in developing new products.
C) reorganize the company and make marketing the most important department
D) expand the advertising budget so that potential customers will be more aware of Cedarstream's products

Question 50

Levi Strauss developed a Naturals line of jeans that do not use any chemical dyes to colour the pants.Consumers liked the look of the pants,and Levi's use of all-natural dyes is good for the environment.What type of orientation would the production of the Naturals line be consistent with?

A) societal marketing
B) supplier
C) sales
D) production

Question 51

Which of the following is the ratio of benefits to the sacrifice necessary to obtain those benefits?

A) marketing utility
B) opportunity cost
C) market quality
D) customer value

Question 52

Canada Post argues that its express service is comparable to that offered by FedEx and that its prices are much lower.Yet FedEx dominates with more than a 45 percent share of the express-delivery market.Which of the following statements most accurately describes this situation?

A) Customer value is not an issue in deciding which express-delivery service to use.
B) FedEx is perceived as offering greater customer value.
C) Canada Post is perceived as offering greater customer value.
D) Canada Post should lower its prices even further to increase market share.

Question 53

Greenberg Smoked Turkey,Inc. ,is a nationwide mail-order business that operates without any advertising.It does not accept credit cards and has no toll-free number.The hopelessly old-fashioned company is also a very profitable with thousands of devoutly loyal customers-some of whom have ordered Greenberg smoked turkeys every year for the last 50 years.Greenberg more than likely uses which of the following to maintain these long-term ties to its customers?

A) reactive marketing
B) relationship marketing
C) management empowerment
D) a sales orientation

Question 54

Canada Post argues that its express service is comparable to that offered by FedEx and that its prices are much lower.Yet FedEx dominates with more than a 45 percent share of the express-delivery market.Which of the following statements most accurately describes this situation?

A) FedEx is perceived as offering greater customer value.
B) Customer value is not an issue in deciding which express-delivery service to use.
C) Canada Post is perceived as offering greater customer value.
D) Canada Post should lower its prices even further to increase market share.

Question 55

Which of the following strategies entails forging long-term partnerships with customers?

A) commitment selling
B) transactional marketing
C) relationship marketing
D) market engineering

Question 56

Networkcar.com sells a plug-in device that connects to computer diagnostic ports that are standard on cars.The device beams signals to dealers who can remotely diagnose or spot trouble.The device allows car dealerships to maintain a closer bond with their customers by offering maintenance before a problem leaves customers with an inoperable or possibly dangerous car.With the device,what can dealers better engage in?

A) relationship marketing
B) management-customer synergy
C) transactional marketing
D) direct selling

Question 57

Frequent-flyer programs are an example of financial incentives to customers in exchange for their continuing patronage.After flying a certain number of miles or flying a specified number of times,the frequent-flyer program participant earns a free flight or some other award such as free lodging.What are airlines that use frequent-flyer programs practising?

A) relationship marketing
B) transformational marketing
C) commitment selling
D) marketing engineering

Question 58

Canada Post argues that its express service is comparable to that offered by FedEx and that its prices are much lower.Yet FedEx dominates with more than a 45 percent share of the express-delivery market.Which of the following statements most accurately describes this situation?

A) Canada Post should lower its prices even further to increase market share.
B) FedEx is perceived as offering greater customer value.
C) Customer value is not an issue in deciding which express-delivery service to use.
D) Canada Post is perceived as offering greater customer value.

Question 59

Suppose an organization believes that it exists not only to satisfy customer wants and needs and to meet organizational objectives but also to preserve or enhance individuals' and society's long-term best interests.What type of orientation does it have?

A) sales orientation
B) marketing orientation
C) focused target market strategy
D) societal orientation

Question 60

What is created when customer expectations regarding product quality,service quality,and value-based price are met or exceeded?

A) expectation satisfaction
B) planning excellence
C) customer satisfaction
D) a value line

Question 61

What is the collaborative effort of people to achieve common objectives?

A) empowerment
B) effort training
C) teamwork
D) mediation

Question 62

What is the primary tool used by a sales-oriented organization to achieve its corporate goals?

A) price
B) product design
C) place (distribution)
D) promotion

Question 63

In a buyer's market where production exceeds demand,some businesses are most likely to adopt what type of orientation?

A) market
B) sales
C) profit
D) production

Question 64

Some marketing-oriented firms give employees expanded authority to solve customer problems on the spot.What is this known as?

A) mediating
B) deregulation
C) training
D) empowerment

Question 65

Which of the following is NOT a good reason to study marketing?

A) Marketing plays an important role in society,coordinating the huge numbers of transactions needed to provide goods and services.
B) Marketing teaches businesses how to sell products that people do not need.
C) Marketing is the key function in business.
D) Marketing affects part of your life as a consumer.

Question 66

What is the effect of redefining the business mission of a mattress manufacturer as "a good night's sleep," rather than stating the mission as "the manufacture of high-quality mattresses"?

A) It stifles creativity in discovering opportunities to serve customers.
B) It is too broad a statement to be of any real use in serving customers.
C) It helps ensure that the firm retains its focus on consumers and does not become preoccupied with its products and internal needs.
D) It ensures that the core products will be retained.

Question 67

One way to identify the orientation of a firm is to examine its primary goal.If a firm sells to achieve profitability through sales volume,what would it probably be?

A) sales oriented
B) retail oriented
C) production oriented
D) price oriented

Question 68

What is one-to-one marketing a form of?

A) societal marketing
B) a sales orientation
C) relationship marketing
D) a marketing network

Question 69

Taxi companies in many large metropolitan areas are requiring newly licensed taxi drivers to undergo a two-day training seminar during which they learn basic etiquette and acquire a familiarity with common landmarks and street names.What is the purpose of this training?

A) to increase employment levels
B) to promote company image by increasing public awareness
C) to improve customer service
D) to reduce the need of empowerment

Question 70

What is the objective of one-to-one marketing?

A) to reduce customer satisfaction
B) to build and maintain customer loyalty
C) to decrease revenue
D) to increase costs

Question 71

Jamie owns a small moving company in Winnipeg.She has decided to take a few night school business courses because her company is growing quickly and there are many things she does not understand.Should Jamie enroll in a marketing course?

A) No,because Jamie can hire an ad agency and will not need firsthand marketing knowledge.
B) Yes,because marketing is synonymous with selling,and Jamie will want to learn aggressive sales techniques to continue the growth of the company.
C) Yes,because marketing helps businesses sell products that people don't need.
D) Yes,because the concept of marketing will help Jamie to better satisfy her customers.

Question 72

For a market-oriented organization,what is the primary tool used to achieve its goals?

A) a blend of product,place,promotion,and pricing decisions
B) price
C) promotion
D) place (distribution)

Question 73

Many companies are jazzing up plant tours and making store visits more exciting to increase customer loyalty.For example,at the Crayola Factory,kids watch how crayons are made and then play with their favourite colours in a 20,000 square-foot discovery centre.Which of the following would be necessary for a visit to the Crayola Factory to increase customer loyalty?

A) customer empowerment
B) customer-oriented personnel
C) reciprocal exchange
D) a societal marketing orientation

Question 74

One of the reasons given for the decline of the passenger rail industry in Canada is the fact the industry defined its mission as trains and not as transportation sources.What did the railroad industry fail to do?

A) empower the consumer
B) ignore the marketing concept of serving customer needs and wants
C) define its mission in terms of the benefits its customers seek
D) have a sales orientation

Question 75

What gives customers the feeling that their concerns are being addressed and gives employees the feeling that their expertise matters?

A) empowerment
B) management-employee synergy
C) a hierarchically responsive organization
D) delegation

Question 76

When light bulbs were first introduced,manufacturers offered one size for all light fixtures.Today you can buy light bulbs in different shapes,different wattages,and different colours.They also differ as to how much electricity they use and their duration.Which of the following BEST describes light bulb manufacturers?

A) They are aiming at a goal of profit through maximum sales volume.
B) They are sales-oriented companies.
C) They miss sales by not concentrating on the average customer.
D) They recognize that different customer groups have different needs and wants.

Question 77

Wilson is an agriculture and dairy science major at a university.After graduation,he hopes to modernize and expand his family's dairy farm in a scientific and efficient manner.His adviser at school has suggested that he take a marketing course in the school of business as an elective.Wilson thinks this is an absurd idea.You are his friend and a marketing major.What do you advise?

A) Marketing knowledge will help Wilson to understand that he must satisfy wholesalers,retailers,and consumers.
B) More biology and agriculture classes will be most useful for Wilson.
C) The main reason to take marketing is to teach Wilson how to advertise milk.
D) Marketing is not relevant for a business such as a family dairy farm.

Question 78

The management at Canadian Pacific (CP)Hotels has authorized its hotels' staffs to provide whatever amenity-such as a special magazine or a hypoallergenic pillow-their frequent stayers request as quickly as possible.What is this an example of?

A) commissioning
B) empowerment
C) training
D) deregulation

Question 79

The manufacturer of MaMa Haman's peach salsa knows marketing can make her company a success.She wants to rely solely on promotion as the technique for attracting customers.She advertises extensively in cooking magazines,offers coupons,and provides retailers who carry her product with attractive displays.From this information,what type of orientation does the business have?

A) sales
B) production
C) product
D) market

Question 80

As part of instituting an empowerment program,what should a marketing director do?

A) create a customer-service department and place a key staff person in charge of the department
B) train the company's staff to judge of the quality of the products the firm produces
C) allow all non-management employees to resolve problems on their own without prior approval from their immediate supervisors
D) hire 30 new university graduates who have the latest training in marketing management techniques