Question 1

Trendspotter, Faith Popcorn, has observed that some people have responded to an increasingly depersonalised society, by seeking out products and services that provide them with the recognition they desire. Personalised vehicle license plates are just one example of this shift which Popcorn calls "egonomics." Faith Popcorn is describing a change in which environment?
A) technological
B) economic
C) natural
D) political
E) cultural

Accepted Answer

Faith Popcorn's observation is about a societal change, which falls under the cultural environment.

Question 2

Firms that take aggressive actions to affect the publics and forces in their marketing environment by engaging in such activities as: hiring lobbyists to influence legislation affecting their industries; staging media events to gain favourable press coverage and running advertorials to shape public opinion. Such companies are said to be:
A) change agents.
B) market leaders.
C) industry leaders.
D) opinion leaders.
E) proactive companies.

Accepted Answer

The term "proactive companies" best describes firms that take aggressive actions to affect the public and forces in their marketing environment by using strategies such as hiring lobbyists, staging media events, and running advertorials to shape public opinion.

Question 3

Which of the following statements BEST describes the accelerating pace of technological change?
A) Government has taken a leadership role in technology innovation through supportive state and federal regulations.
B) Corporate investment in research and development has increased.
C) Improved bio- medical technologies have led to increasing human life spans.
D) The decreasing time interval between an innovation's launch and its peak production
E) The speed at which one can communicate with the rest of the world

Accepted Answer

The decreasing time interval between an innovation's launch and its peak production is the best choice to describe the accelerating pace of technological change. This demonstrates how rapidly new technologies are becoming integrated into society and how quickly they are being adopted by consumers.

Question 4

When cultural shifts take place, it is more likely to have occurred by shifts in:
A) dynamic values.
B) ruling class values.
C) sub- cultural values.
D) secondary values.
E) core values.

Accepted Answer

The answer of When cultural shifts take place, it is...

Question 5

Ernst Engel's laws generally have been supported by recent studies. He discovered that as family income rises, the percentage spent on  ________declines and the percentage spent on  ________remains about constant.
A) food; housing
B) clothing; recreation/entertainment
C) food; clothing
D) recreation/entertainment; savings
E) savings; transportation

Accepted Answer

Engel's law states that as income increases, the proportion of income spent on food decreases, while the proportion spent on housing tends to stay relatively constant.

Question 6

A café proprietor is discussing the environment when he tells his customers that Colombia produces some of the finest coffee in the world.
A) cultural
B) geographic
C) natural
D) demographic
E) economic

Accepted Answer

The statement about Colombia producing fine coffee is related to natural factors, specifically the climate and terrain that make it a prime location for growing high-quality coffee beans.

Question 7

Which of the following combinations of expenses use up most household income?
A) housing, insurance, taxes
B) food, housing, transportation
C) food, travel, savings
D) housing, taxes, transportation
E) food, housing, retirement planning

Accepted Answer

Food, housing, and transportation are necessities that most households spend a significant amount of money on. The cost of housing often consumes the largest portion of a household's income, followed by transportation and food. Therefore, option B is the combination that uses up the most household income.

Question 8

In the face of dwindling oil supplies, many international petroleum companies, are investing heavily in alternative fuels such as bio- fuels, compressed air, hydrogen, liquid nitrogen and other possibilities. These petroleum companies are responding to changes in which environment?
A) Natural
B) Cultural
C) Demographic
D) Economic
E) Political

Accepted Answer

Petroleum companies are responding to changes in the natural environment due to the depletion of natural oil resources, prompting them to invest in alternative energy sources.

Question 9

A reactive stance to the marketing environment is BEST described as one where marketers:
A) view change as something that must be investigated occasionally.
B) attempt to forecast changes and develop strategies for minimizing the impact of change.
C) do nothing and hope that change will not impact on operations or markets.
D) treat the environment as an uncontrollable element to which they must respond or adapt.
E) view change as undesirable, threatening and potentially dangerous.

Accepted Answer

A reactive stance to the marketing environment implies that the marketer treats the environment as an uncontrollable element to which they must respond or adapt. This means that they are constantly monitoring the environment and reacting to changes as they occur, rather than trying to predict or minimize their impact.

Question 10

Any group that has an actual or a potential interest in, or impact on, an organisation's ability to achieve its objectives is known as a(n):
A) supplier.
B) public.
C) channel influencer.
D) change- agency.
E) intermediary.

Accepted Answer

The definition provided in the question is that of a "public", which includes any group that has an actual or potential interest in or impact on the organization's ability to achieve its objectives. The other choices (supplier, channel influencer, change-agency, intermediary) do not necessarily encompass all of the groups that fit this definition of a public.

Question 11

Factors that affect consumer buying power and spending patterns are known as:
A) microtrends.
B) economic factors.
C) demographic factors.
D) macrotrends.
E) social factors.

Accepted Answer

Economic factors, such as inflation, unemployment rates, and interest rates, can greatly impact a consumer's buying power and spending patterns. Demographic factors (such as age, gender, and income) and social factors (such as cultural norms and personal values) may also play a role, but they are not as directly tied to economic conditions. Microtrends and macrotrends refer to broader societal or market trends, rather than specific factors affecting consumer behavior.

Question 12

Marketers have some chance of changing  _________ values but little chance of changing values.
A) strong; weak
B) dynamic; persistent
C) socialised; learned
D) tertiary; secondary
E) secondary; core

Accepted Answer

Secondary values are easier to change as they are less core to a person's identity and beliefs. Core values, also known as primary values, are deeply ingrained and formed over a person's lifetime, making them much more difficult to change. Therefore, marketers have a better chance of changing secondary values than core values.

Question 13

Which of the following is an example of a secondary value?
A) Marriage is a union between a man and a woman.
B) People should always repay their debts.
C) Capital punishment is wrong.
D) Young people should go to clubs with their friends to celebrate 21st birthdays.
E) Children have the right to feel secure.

Accepted Answer

Secondary values are those that are not universal and can vary significantly between different cultures or societies. Choice D, suggesting that young people should go to clubs with their friends to celebrate 21st birthdays, is an example of a secondary value because it is specific to certain cultural practices and not a universally held belief or value.

Question 14

A marketer of herbicides is likely to be the LEAST concerned about which of the following?
A) increased pollution
B) increased government intervention
C) chemical pollutants in the food supply
D) persistence of cultural values
E) shortages of raw materials

Accepted Answer

A marketer of herbicides is unlikely to be concerned about the persistence of cultural values as it does not directly affect their product or its sales. The other options may have a direct impact on the marketer's business, as increased pollution may lead to stricter regulations and increased government intervention, chemical pollutants in the food supply may lead to negative perceptions of herbicides, and shortages of raw materials may affect the production and availability of the herbicides.

Question 15

The state planning authority of Canberra intends to make significant increases in its investment in aged care services over the next three decades. Strategic planning documents provide an explanation for this shift in spending, explaining that, "The population aged 65 years and over is projected to increase from 10.4% of the population in 2010 to 16.5% in 2030 and 21.9% by 2059." The state planning authority is responding to changes in which environment?
A) Economic
B) Cultural
C) Demographic
D) Natural
E) Political

Accepted Answer

The state planning authority is responding to demographic changes, specifically the projected increase in the population aged 65 years and over.

Question 16

Which of the following would NOT be considered to be an internal public?
A) volunteers
B) workers
C) board of directors
D) suppliers
E) managers

Accepted Answer

Suppliers would not be considered an internal public as they are external stakeholders who provide goods or services to the organization. Internal publics refer to individuals or groups who are employees, board members, or volunteers within the organization.

Question 17

Trendspotter, Faith Popcorn, has noticed more and more people are living what she calls "99 lives" -a phenomenon that refers to the way that we occupy multiple roles seemingly simultaneously. Many people increasingly find themselves as part of a family, a work group, an online virtual world, a social network along with other groups and clubs. These "lives" frequently intersect and intrude on each other when, for example, a person seeks to relax with their family and their beeper or pager sounds, demanding attention from their working world. Faith Popcorn is describing a change in which environment?
A) cultural
B) natural
C) technological
D) political
E) economic

Accepted Answer

Faith Popcorn's observation about the "99 lives" phenomenon is related to changes in cultural environment, specifically how individuals navigate and prioritize various roles and identities in their lives.

Question 18

The so- called "sea- change phenomenon" in which professional households swap their urban homes for rural lifestyles has placed considerable pressure on small seaside towns which often lack the necessary infrastructure like railway lines, schools, hospitals and government services to accommodate rapidly increasing population sizes. Many local governments are being forced to provide additional services with limited budgets to cope with the unexpected influx of new developments spawned by the sea- changers. These local governments are responding to changes in which environment?
A) Natural
B) Demographic
C) Cultural
D) Economic
E) Political

Accepted Answer

The sea-change phenomenon refers to a demographic shift, as people swap their urban homes for rural lifestyles. The pressure on small seaside towns, lack of necessary infrastructure, and the unexpected influx of new developments all point towards a demographic change. Therefore, the changes are in a demographic environment.

Question 19

A manufacturer of skincare products observed considerable channel switching amongst the target market. Instead of purchasing their preferred brands from pharmacies, customers are switching to supermarkets and department stores for skincare products. This manufacturer has observed a change in which environment?
A) macroenvironment
B) microenvironment
C) economic environment
D) competitive environment
E) external environment

Accepted Answer

The microenvironment includes factors close to the company that affect its ability to serve its customers, such as changes in distribution channels. The shift from pharmacies to supermarkets and department stores is a change in the microenvironment.

Question 20

Which of the following is an example of a core value?
A) Professionals should wear business clothes to work.
B) Marriage is a union between a man and a woman.
C) The comforts of home are more important than entertainment outside of the home.
D) Australians should display their patriotism.
E) Extended warranties are never worth the money consumers pay for them.

Accepted Answer

Core values are beliefs or principles that guide an individual or organization's behavior and decision-making. Option B represents a belief that is important and fundamental to certain groups, especially those who hold traditional views on marriage.

Quiz 5: The Global Marketing Environment

Which of the following statements BEST describes the accelerating pace of technological change?

When cultural shifts take place, it is more likely to have occurred by shifts in:

Ernst Engel's laws generally have been supported by recent studies. He discovered that as family income rises, the percentage spent on declines and the percentage spent on remains about constant.

A café proprietor is discussing the environment when he tells his customers that Colombia produces some of the finest coffee in the world.

Which of the following combinations of expenses use up most household income?

In the face of dwindling oil supplies, many international petroleum companies, are investing heavily in alternative fuels such as bio- fuels, compressed air, hydrogen, liquid nitrogen and other possibilities. These petroleum companies are responding to changes in which environment?

A reactive stance to the marketing environment is BEST described as one where marketers:

Any group that has an actual or a potential interest in, or impact on, an organisation's ability to achieve its objectives is known as a(n) :

Factors that affect consumer buying power and spending patterns are known as:

Marketers have some chance of changing _________ values but little chance of changing values.

Which of the following is an example of a secondary value?

A marketer of herbicides is likely to be the LEAST concerned about which of the following?

Which of the following would NOT be considered to be an internal public?

Which of the following is an example of a core value?