Deck 3: Analyzing the Marketing Environment

Question 1

Sam has been directed to study the demographic, economic, political, and cultural forces that affect an organization. In this instance, Sam has been directed to study the ________ of the organization.

A) macroenvironment
B) microenvironment
C) internal environment
D) marketing mix
E) marketing intermediaries

Answer 1

A

Question 2

The interrelated departments within a company that influence marketing decisions form the ________ environment.

A) cultural
B) economic
C) internal
D) political
E) technological

Answer 2

C

Question 3

Which of the following groups influences the company's ability to obtain funds?

A) financial publics
B) local publics
C) general publics
D) citizen-action publics
E) internal publics

Answer 3

A

Question 4

LandPort Transportation and Omega Warehousing help companies move and stock goods from their manufacturing units to their destinations. These two businesses are examples of ________.

A) resellers
B) marketing services agencies
C) financial intermediaries
D) physical distribution firms
E) wholesalers

Question 5

Which of the following terms is used to describe the actors and forces outside marketing that affect marketing management's ability to build and maintain successful relationships with target customers?

A) marketing environment
B) marketing orientation
C) strategic planning
D) target markets
E) marketing mix

Question 6

Maria works for Sigma Inc., a firm that helps companies target and promote their products to the right markets. Sigma is most likely a ________.

A) financial intermediary
B) physical distribution firm
C) marketing services agency
D) reseller
E) wholesaler

Question 7

________ markets buy goods and services for further processing.

A) Business
B) Reseller
C) Wholesale
D) Consumer
E) Retail

Question 8

A consumer organization in Ohio has challenged the marketing decision of a local firm alleging it to be against the larger social interest. In this instance, the firm is challenged by a ________ public.

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

Question 9

Which of the following is a component of a firm's microenvironment?

A) customer demographics
B) economic recessions
C) population shifts
D) marketing intermediaries
E) technological changes

Question 10

Which of the following is true with regard to media publics?

A) The primary function of this group is to protect the interests of minority groups.
B) This group carries news, features, and editorial opinion.
C) The primary function of this group is to critique the marketing decisions of companies.
D) This group includes neighborhood residents and community organizations.
E) This group directly influences the company's ability to obtain funds.

Question 11

________ include banks, credit companies, insurance companies, and other businesses that help insure against the risks associated with the buying and selling of goods.

A) Financial intermediaries
B) Physical distribution firms
C) Resellers
D) Marketing services agencies
E) Wholesalers

Question 12

Rachel works for a furniture company in Ireland. She is responsible for buying and selling goods at a profit to small retailers. Rachel most likely operates in a ________ market.

A) business
B) reseller
C) wholesale
D) consumer
E) retail

Question 13

Price & Malone Corp., a company based in Houston, caters to a market of individuals and households that buy goods and services for personal consumption. Price & Malone caters to a ________ market.

A) business
B) reseller
C) government
D) consumer
E) wholesale

Question 14

Which group includes neighborhood residents and community organizations?

A) local publics
B) government publics
C) internal publics
D) citizen-action publics
E) media publics

Question 15

________ provide the resources needed by a company to produce its goods and services.

A) Retailers
B) Marketing services agencies
C) Resellers
D) Suppliers
E) Financial intermediaries

Question 16

Dan has been directed to study the actors close to a company that affect its ability to serve its customers, such as the company, suppliers, marketing intermediaries, customer markets, competitors, and publics. In this instance, Dan has been directed to study the ________ of the company.

A) macroenvironment
B) microenvironment
C) technological environment
D) demographic environment
E) political environment

Question 17

Workers, managers, and members of the board are examples of ________ publics.

A) general
B) internal
C) local
D) citizen-action
E) media

Question 18

________ help companies stock and move goods from their points of origin to their destinations.

A) Retailers
B) Physical distribution firms
C) Marketing services agencies
D) Resellers
E) Suppliers

Question 19

A company's marketing decisions may be questioned by consumer organizations, environmental groups, minority groups, and others. These organizations and groups are also known as ________.

A) media publics
B) marketing intermediaries
C) customers
D) citizen-action publics
E) internal publics

Question 20

Government markets consist of government agencies that buy goods and services ________.

A) to produce public services
B) to resell at a profit
C) for further processing
D) for personal consumption
E) that are generally of poor quality

Question 21

Which of the following is a result of a significant increase in the number of women in the workforce?

A) increase in the consumption of convenience foods
B) decrease in the number of vacation trips planned and booked by women
C) increase in the number of single income households among couples
D) decrease in the demand for consumer goods
E) decrease in the demand for financial services

Question 22

Cape Sky Inc., an international insurance and financial services company, is the primary sponsor of the annual New York City Marathon, which is attended by over one million fans and watched by approximately 300 million viewers worldwide. The Cape Sky logo and name are displayed throughout the race course. Cape Sky most likely sponsors this event in order to appeal to which of the following types of publics?

A) financial publics
B) citizen-action publics
C) government publics
D) general publics
E) internal publics

Question 23

The marketing team of 7 Star Inc., a company manufacturing smartphones, is currently studying the size, density, location, age, and occupation of its target market. Which of the following environments is being studied in this scenario?

A) demographic environment
B) political environment
C) economic environment
D) technological environment
E) cultural environment

Question 24

Which of the following is true of the Millennials?

A) They are the children of baby boomers and were born between 1977 and 2000.
B) They control an estimated 80 percent of the personal wealth in the U.S.
C) They have reached their peak earning and spending years.
D) They were the first to grow up in the Internet era.
E) They are less immersed in technology than Gen Xers.

Question 25

Jonathan works for a firm that assists companies in promoting, distributing, and selling their products to end consumers. The firm Jonathan works for is a ________.

A) licensor
B) supplier
C) marketing intermediary
D) local public
E) general public

Question 26

Which among the following generational groups is most fluent and comfortable with digital technology?

A) Generation X
B) Millennials
C) Baby Boomers
D) Silent Generation
E) Lost Generation

Question 27

Among the generational groups in U.S population, the ________ are still the wealthiest generation in U.S. history.

A) baby boomers
B) Generation Xers
C) Millennials
D) echo boomers
E) Silent Generation

Question 28

The 83 million children born between 1977 and 2000 are known as the ________.

A) Generation X
B) Millennials
C) baby boomers
D) Silent Generation
E) Lost Generation

Question 29

Which of the following generational groups, born between 1977 and 2000, is also referred to as the echo boomers?

A) Generation Xers
B) Millennials
C) Lost Generation
D) baby boomers
E) Silent Generation

Question 30

Which of the following is true of the baby boomers?

A) They tend to see themselves as far older than they actually are.
B) They represent a rapidly shrinking market for new housing and home remodeling.
C) They are long past their peak earning and spending years.
D) They control an estimated 80 percent of the United States' personal wealth.
E) They have utter fluency and comfort with digital technology.

Question 31

Sparks Inc. has a growing ________ market in the U.S. consisting of individuals and households that buy Sparks' products for personal use.

A) consumer
B) government
C) business
D) international
E) financial

Question 32

Which of the following generation groups is the most educated to date?

A) Lost Generation
B) baby boomers
C) Millennials
D) Generation X
E) Silent Generation

Question 33

Marketers often split the ________ into teens and young adults.

A) Generation X
B) Millennials
C) Silent Generation
D) baby boomers
E) Lost Generation

Question 34

Which of the following is a trend that depicts the increasingly nontraditional nature of today's American families?

A) the low percentage of working women in the workforce
B) the low percentage of married couples with children
C) the sharply declining number of dual-income families
D) the sharply declining number of stay-at-home dads
E) the decreasing reliance on convenience foods and services

Question 35

In the context of geographical shifts in population, the migration toward ________ areas has resulted in a rapid increase in the number of people who telecommute.

A) urban
B) remote
C) rural
D) metropolitan
E) micropolitan

Question 36

The single most important demographic trend in the United States is the ________.

A) changing age structure of the population
B) mobility of families
C) changing family structure of the population
D) increasing number of professional jobs
E) increasing birth rate

Question 37

Over the past two decades, the U.S. population has shifted toward the ________.

A) Northern states
B) Northeast states
C) Sunbelt states
D) Midwest states
E) Cornbelt states

Question 38

Which of the following is true of Gen Xers?

A) They are considerably larger than the boomer generation.
B) They were the first to grow up in the Internet era.
C) They are less educated than the baby boomers.
D) They are more materialistic than the Millennials.
E) They rarely research a product before purchasing it.

Question 39

Sparex Inc., is a manufacturer of metal bolts that are used by Boilex Inc., to manufacture heavy machineries. In this instance, Sparex acts as a ________.

A) financial intermediary
B) supplier
C) retailer
D) customer
E) local public

Question 40

Which of the following has lost population in the past two decades?

A) California
B) Florida
C) the Western states
D) the Northeast states
E) the Southern states

Question 41

Currently, in the United States, job growth is the strongest for ________.

A) blue collar workers
B) manufacturing workers
C) professional workers
D) construction workers
E) sanitation workers

Question 42

Which of the following is true with regard to the diversity segment of U.S. adults with disabilities?

A) Most individuals with disabilities are active consumers.
B) The market represented by U.S. adults with disabilities is smaller than that represented by African Americans or Hispanics.
C) The diversity segment, U.S. adults with disabilities, is a rather unattractive segment for the tourism industry.
D) The annual spending power of U.S. adults with disabilities is less than $100 billion.
E) Most companies are reluctant to reach out to consumers with disabilities.

Question 43

Seth Hoffman's chain of travel agencies has identified the lesbian, gay, bisexual, and transgender community as a growing market that spends an increasing percentage of its income on travel. Which of the following would be the LEAST effective component of a marketing plan for Seth to take advantage of this opportunity?

A) develop a presence on LGBT-oriented social networking sites
B) position his agency as focused on specialized experiences
C) implement a mass marketing campaign
D) place specially-targeted ads in gay-themed publications
E) advertise on LOGO, the cable television network aimed at gays and lesbians and their friends and family

Question 44

A country with a(n) ________ economy consumes most of its own agricultural and industrial outputs and offers few market opportunities.

A) industrial
B) service
C) technological
D) subsistence
E) developing

Question 45

Which of the following is an accurate statement about the diversity of the American population?

A) African Americans represent the largest non-white segment of the population.
B) More than 40 million people living in the United States were born in another country.
C) By 2050, the Asian population is estimated to hold steady at 4.7 percent.
D) By 2050, Hispanics are estimated to be 10 percent of the population.
E) The United States has become more of a "melting pot" than a "salad bowl."

Question 46

In the 1950s, Americans made a massive exit ________.

A) from the South to the Northeast
B) from the West to the Midwest
C) to foreign countries
D) from the cities to the suburbs
E) from the coastal towns to the cities

Question 47

A value marketer is most likely to ________.

A) offer consumers superior quality of goods and services at a very high price
B) offer consumers only those products that are associated with status and prestige
C) offer consumers low quality goods and services at very low prices
D) offer consumers a balanced combination of product quality at a fair price
E) deny discounts to consumers to increase profits

Question 48

Which of the following situations is expected to enhance the use of targeted advertising messages by marketers?

A) increase in derived demand in the market
B) increase in ethnic populations
C) rising global inflation rates
D) inadequate quality control
E) low advertising budgets

Question 49

Micropolitan areas are ________.

A) likely to have a higher crime rate than metropolitan areas
B) less likely to attract telecommuters
C) likely to offer the same advantages as metropolitan areas
D) less likely to offer market expansion opportunities
E) generally unattractive to niche marketers

Question 50

Which of the following demographic trends is the most likely cause for a rapid increase in telecommuting?

A) the migration toward micropolitan and suburban areas
B) the migration from rural to metropolitan areas
C) the increasing number of traditional households
D) the growing percentage of married couples who do not have children
E) the declining number of manufacturing workers in today's workforce

Question 51

A country with a(n) ________ has rich markets for many different kinds of goods.

A) industrial economy
B) gift economy
C) barter economy
D) subsistence economy
E) natural economy

Question 52

Which of the following statements about income distribution in the United States is NOT true?

A) Over the past several decades, the rich have grown richer.
B) Over the past several decades, the middle class has grown phenomenally.
C) Over the past several decades, the poor have remained poor.
D) The top 20 percent of earners capture over 50 percent of all income.
E) The top five percent of American earners get nearly 22 percent of the country's adjusted gross income.

Question 53

By 2050, ________ will be an estimated 30 percent of the U.S. population.

A) African Americans
B) Asians
C) Hispanics
D) Native Americans
E) Native Hawaiians

Question 54

Mary Adams is helping her company develop a marketing program for a new product line. The program is designed to appeal most to less materialistic consumer groups who are likely to prize experience, not acquisition. The marketing program is most likely designed to appeal to which of the following demographic groups?

A) Generation X
B) Millennials
C) Echo Boomers
D) Silent Generation
E) Lost Generation

Question 55

Wholesome Soups, a maker of organic soups, is starting a new marketing campaign emphasizing the ease of preparing and eating Wholesome Soups. Print, television, and Internet ads feature teens enjoying Wholesome Soups in between classes and during study breaks. Wholesome Soups' new marketing campaign is most likely aimed at which of the following?

A) Baby Boomers
B) the LOHAS market
C) Gen Xers
D) Millennials
E) the SOHO market

Question 56

An increasing number of American workers currently work from their homes or remote offices and conduct their business by phone or the Internet. These trend has created a ________.

A) booming real estate market in the big cities
B) booming SOHO market
C) decline in the demand for convenience foods
D) decline in the demand for financial services
E) steady increase in global enterprises

Question 57

With an expected increase in ethnic diversity within the American population, marketers are most likely to place a greater emphasis on ________.

A) geographic segmentation
B) targeted advertising messages
C) mass marketing
D) "do well by doing good" missions
E) corporate giving

Question 58

The physical environment affecting marketing activities is referred to as the ________ environment.

A) economic
B) natural
C) cultural
D) political
E) social

Question 59

The economic environment consists of economic factors that affect ________.

A) cultural patterns of communities
B) entrepreneurial orientation of a population
C) the quality of technological innovation
D) consumer purchasing power
E) the natural environment

Question 60

Currently, in the United States, job growth is the weakest for ________.

A) white collar workers
B) manufacturing workers
C) salespeople
D) telecommuters
E) professional workers

Question 61

The boom in Internet marketing has created a new set of social and ethical issues. Critics worry most about ________.

A) accessibility
B) puffery in advertising
C) online privacy issues
D) sustainability
E) issues pertaining to efficiency

Question 62

The ________ prohibits monopolies and activities (price-fixing, predatory pricing) that restrain trade or competition in interstate commerce.

A) Sherman Antitrust Act
B) Lanham Trademark Act
C) Fair Packaging and Labeling Act
D) CAN-SPAM Act
E) Magnuson-Moss Warranty Act

Question 63

The ________ environment consists of institutions and other forces that affect a society's basic values, perceptions, preferences, and behaviors.

A) social
B) cultural
C) political
D) physical
E) natural

Question 64

New technologies most likely lead to ________.

A) economic imbalance in society
B) reduced exports
C) trade deficits
D) an increased demand for unskilled labor
E) fresh markets and opportunities

Question 65

Marketers should understand that people's core beliefs and values tend to be ________.

A) fixed
B) highly flexible
C) similar around the world
D) constantly and rapidly changing
E) easily influenced by secondary beliefs

Question 66

The ________ limits the number of commercials aired during children's programs.

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

Question 67

A society's ________ are expressed in how people view themselves and others, organizations, society, nature, and the universe.

A) social codes
B) cultural values
C) demographics
D) public policies
E) norms

Question 68

As a consequence of the green movement, many companies are developing strategies and practices that support ________.

A) government intervention
B) environmental sustainability
C) deregulation
D) mass marketing
E) rapid exploitation of natural resources

Question 69

The so-called green movement encouraged companies to ________.

A) actively resist social change
B) operate freely in the black market
C) go beyond government regulations
D) institute deregulation
E) curb organizational anarchy

Question 70

Many companies use RFID product labels on their goods, which exemplifies the ________ environment in business.

A) natural
B) political
C) economic
D) demographic
E) technological

Question 71

Laws are passed to define and prevent unfair competition primarily because ________.

A) business executives tend to favor pure monopolies
B) businesses sometimes try to neutralize threatening firms
C) governments in free market economies tend to nationalize ailing firms
D) private lobbying hurts the interests of national and state governments
E) most MNEs in advanced economies are averse to invest in emerging markets

Question 72

A company or association's ________ is designed to help guide responses to complex social responsibility issues.

A) code of ethics
B) marketing plan
C) non-disclosure policy
D) privacy policy
E) non-compete clause

Question 73

A firm dumping chemical wastes in the local waterbody is ________.

A) actively resisting social change
B) contributing to organizational anarchy
C) engaging in a "do well by doing good" mission
D) adopting a proactive stance toward the marketing environment
E) contributing to increased pollution

Question 74

Governments develop public policy to ________.

A) encourage deregulation
B) identify demographic patterns
C) identify cultural patterns
D) guide commerce
E) protect marketers

Question 75

Funco Inc., a toy manufacturer, sold plastic racing cars that were manufactured with toxic materials, which threatened the health of several children. Under which of the following acts is Funco most likely to be prosecuted?

A) Child Protection Act
B) Children's Online Privacy Protection Act
C) Magnuson-Moss Warranty Act
D) CAN-SPAM Act
E) Wheeler-Lea Act

Question 76

Mercury Inc., an American MNC, is currently planning to enter the promising consumer goods market in India. The firm will most likely discover that ________ beliefs and values are more open to change in India.

A) inherited
B) secondary
C) primary
D) core
E) traditional

Question 77

Cause-related marketing has become a primary form of ________.

A) quality control
B) corporate fraud protection
C) corporate giving
D) legislative lobbying
E) price discrimination

Question 78

Which of the following is most likely a result of regulations set up by the Food and Drug Administration and the Consumer Product Safety Commission?

A) The time between new product ideas and their introduction to the market has decreased.
B) Annual spending on research and development has decreased.
C) Research costs for companies have risen.
D) Product innovation has significantly declined.
E) Marketers have grown increasingly apathetic toward meeting safety standards.

Question 79

Many firms today use RFID technology to ________.

A) identify new target markets
B) analyze threats and opportunities in the macroenvironment
C) move toward environmental sustainability
D) track products through various points in the distribution channel
E) track patterns of online consumer behavior

Question 80

The ________ environment consists of laws, government agencies, and pressure groups that influence or limit various organizations and individuals in a given society.

A) socio-legal
B) cultural
C) political
D) technological
E) economic