Question 1

Which of the following statements regarding environmental scanning is most accurate?
A)Environmental scanning focuses primarily on geographical factors.
B)Environmental scanning identifies and interprets potential trends.
C)Environmental scanning should be done at least every five years.
D)Environmental scanning changes the marketing environment.

Accepted Answer

Environmental scanning involves the process of identifying, gathering, and interpreting information about the external environment including potential trends that could impact the marketing environment. It is an ongoing process that should be done continuously to stay current with changing trends and factors that can impact the organization. It is not solely focused on geographical factors and it does not change the marketing environment, but rather helps the organization to understand and adapt to changes in the environment.

Question 2

Changes in the marketing environment are a source of ________ and_______ to be managed.
A)competitive advantage; competition
B)opportunities; threats
C)strengths; weaknesses
D)income; growth

Accepted Answer

Changes in the marketing environment bring new opportunities that can be capitalized on, but also pose threats that must be addressed and managed. This is a fundamental concept in strategic marketing planning. Options A, C and D are not relevant to the context of the question.

Question 3

Responding to the movement towards reducing our carbon footprint, the federal government recently made financial incentives available to Canadians who made their homes more energy-efficient. According to an environmental scan of Canada, this Growth in eco-consciousness reflects a change in_______ forces.
A)economic
B)competitive
C)social
D)technologic al

Accepted Answer

The movement towards reducing carbon footprint and growth in eco-consciousness reflects a change in social forces as it reflects a shift in societal values, attitudes and beliefs towards environmental sustainability.

Question 4

According to one of the world's largest publishers, it was unprepared for recent increases in the demand for books about security. To prepare for the shift in demand, the publisher should have engaged in:
A)tracking environmental trends as a part of its ongoing operation
B)noticing changes in ethnic composition
C)noticing changing demographics
D)shifting funds from its product development department

Accepted Answer

Tracking environmental trends, such as increases in security concerns, is a key part of market research and monitoring for any business. It allows for proactive strategic planning and preparedness for changes in demand. Noticing changes in ethnic composition and demographics may also be important factors depending on the publisher's target audience, but they are not directly related to the increase in demand for books about security. Shifting funds from product development would not necessarily address the issue of unpreparedness for shifts in demand.

Question 5

Use of Facebook for purchases has grown over the last couple of years as Internet and smartphone connectivity has increased as well in these countries. This rising trend is an example of _________forces.
A)social
B)competitive
C)technologic al
D)economic

Accepted Answer

The rising trend in the use of Facebook for purchases due to increased Internet and smartphone connectivity is an example of technological forces.

Question 6

Boston Consulting Group is giving a presentation to one of their clients and highlights different trends that are affecting the business environment. They conclude that all of the following are environmental trends that typically arise from each of the following sources except:
A)managerial forces
B)technological forces
C)competitive forces
D)economic forces

Accepted Answer

The question is asking for the trend sources that typically arise from all of the given options except one. Therefore, the correct answer is A because managerial forces are not considered as an environmental trend source. Rather, managerial forces are considered as an internal factor that can influence the business environment. The other options, technological forces, competitive forces, and economic forces, are all external factors that can impact the business environment.

Question 7

Statistics Canada revealed that tea consumption in Canada has been rising in recent years and is now at 10 billion cups or 83 litres per person per year. But soft drink consumption actually declined. This type of information is the result of:
A)macroeconomic analysis.
B)strategic planning.
C)environmental scanning.
D)ecological/technological forecasting.

Accepted Answer

The given information is the result of environmental scanning, which is the process of gathering and analyzing information about trends, events, and relationships in an organization's external environment. This helps in identifying opportunities and threats that may impact the organization's strategy and performance. In this case, the data about tea and soft drink consumption helps in understanding the changes in consumer preferences and market trends.

Question 8

A company that experiences truncated future growth when launching a new product, may have failed to initially engage in:
A)Competitive intelligence gathering
B)Environmental scanning
C)Company protection
D)Business modeling

Accepted Answer

Environmental scanning involves the analysis of external factors that can impact a company's growth and success, including market trends, competition, and economic conditions. Failing to conduct environmental scanning can make it difficult for a company to anticipate and respond to changing market conditions, which may lead to truncated future growth. While competitive intelligence gathering, company protection, and business modeling are all important factors in a company's success, they are not directly related to a company's ability to anticipate and respond to external factors.

Question 9

With more individuals wanting tools for obtaining information, offering opinions, and interacting with friends, Facebook was influenced by which major force?
A)competitive
B)technologic al
C)economic
D)social

Accepted Answer

Facebook was influenced by the social force, as it emerged as a major platform for social networking, communication, and interaction among individuals. Facebook's success can be attributed to its ability to tap into the social needs of people and provide a platform for socializing and sharing information.

Question 10

Bell Canada frequently commissions numerous studies of the market to gather information on events outside the organization and learn and interpret any trends. Bell is engaging in which activity?
A)Outsourcing
B)Environmental scanning
C)Competitive intelligence gathering
D)Company protection

Accepted Answer

Bell Canada is engaging in environmental scanning, which involves gathering information on events outside the organization and interpreting trends. It helps organizations stay up-to-date with changes in the market and adjust their strategies accordingly. Outsourcing involves contracting out a business function to an external provider, competitive intelligence gathering involves collecting information on competitors, and company protection involves safeguarding against threats to the organization's assets and operations.

Question 11

As the cost of wireless connectivity, Internet service, and smartphones declined, social networking became affordable for consumers around the world. Facebook has leveraged this _______ force.
A)social
B)economic
C)competitive
D)technologic al

Accepted Answer

The decrease in cost of wireless connectivity, Internet service, and smartphones is an economic force that allowed more consumers to afford social networking. Facebook leveraged this economic force.

Question 12

You are in charge of the marketing program for a consumer electronics company. You have been asked to think about developing a plan that will allow the firm to grow sales by at least 10 percent each year for the next five years. Prior to developing these plans you should engage in which of the following processes?
A)environmental scanning
B)macroeconomic analysis.
C)strategic planning.
D)ecological/technological forecasting.

Accepted Answer

Environmental scanning is the process of gathering information about the external environment in order to identify opportunities and threats. This information can be used to develop strategies that will help the firm to grow sales.

Question 13

A company engaged in environmental scanning is:
A)maintaining a time constant horizon in its strategic planning process.
B)continually acquiring information on events occurring outside the organization to identify and interpret potential trends.
C)maintaining retail customer databases.
D)taking into account the effect its marketing activities can have on plants and animals in our environment.

Accepted Answer

Environmental scanning involves gathering information about external events and interpreting potential trends. It is focused on identifying changes in the external environment that may have an impact on the organization. Maintaining a time constant horizon in strategic planning (A) is not related to environmental scanning. Maintaining retail customer databases (C) is a different aspect of marketing and not related to environmental scanning. While taking into account the impact of marketing activities on the environment (D) is important, it is not the same as actively scanning the environment for potential trends and changes.

Question 14

You are the Director of Marketing for Starbucks. You are doing an environmental scan to help you create a three-year marketing plan for the Canadian market. Which of the following environmental trends should you consider the MOST important?
A)The largest cities in Canada have all seen a rise in dual-income couples who bring with them larger disposable incomes.
B)By the year 2019, robotics will play a major role in North American society.
C)Coffee consumption in Canada has fallen by 3% annually in recent times.
D)Video bloggers are growing in popularity and influence.

Accepted Answer

As the Director of Marketing for Starbucks, the most important trend to consider would be the falling coffee consumption rate in Canada. This trend could potentially have a negative impact on Starbucks' sales and market share, making it a critical consideration for the marketing plan. The rise in dual-income couples and the growth of video bloggers may also be important to consider, but they are not as directly linked to Starbucks' core products as coffee consumption rates. The trend of robotics may be important to the business overall, but it is not as relevant for a marketing plan focused on the Canadian market.

Question 15

A manufacturer of major appliances uses environmental scanning and identifies various trends. Which of the following trends might be more relevant to this manufacturer's success in terms of product development?
A)advances in biotechnology, cosmetic surgery, and cancer drugs.
B)eco-consciousness.
C)new legislation related to digital copyright, intellectual property protection, and consumer privacy.
D)the growth in electronic commerce.

Accepted Answer

The trend of eco-consciousness would be more relevant to a manufacturer of major appliances as consumers are becoming increasingly environmentally aware and may be more likely to choose appliances that are energy efficient and more sustainable. This trend would directly impact the success of the manufacturer's product development. Advances in biotechnology, digital legislation, and electronic commerce may not be as directly relevant to the success of the manufacturer's product development in the context of major appliances.

Question 16

Facebook has faced significant scrutiny from many privacy regulators since its creation, including from Canada's Privacy Commissioner, which forced Facebook to undergo numerous account changes to make controlling your privacy settings easier. Facebook was influenced by which force?
A)social
B)regulatory and legal
C)technological
D)economic

Accepted Answer

Facebook was influenced by regulatory and legal forces, specifically the scrutiny and pressure from privacy regulators like Canada's Privacy Commissioner.

Question 17

Statistics Canada revealed that out-of-home coffee consumption in Canada has been decreasing by 3% each year. The rise of single-brew machines in homes, such as Tassimo and Keurig are blamed. This type of information is the result of:
A)ecological/technological forecasting.
B)macroeconomic analysis.
C)strategic planning.
D)environmental scanning.

Accepted Answer

This information is the result of environmental scanning, which involves analyzing external factors that could impact a business or industry. In this case, Statistics Canada is monitoring trends and changes in consumer behavior that could affect the coffee industry.

Question 18

As a consultant with Accenture, you frequently engage in environmental scanning on behalf of your clients. Which of the following statements about environmental scanning best describes what actually happens?
A)Environmental scanning is an annual event.
B)Environmental scanning changes the marketing environment.
C)Environmental scanning focuses primarily on geographical and meteorological factors.
D)Environmental scanning identifies and explains potential trends.

Accepted Answer

Environmental scanning involves the systematic collection and analysis of information about external factors such as social, economic, technological, political, and legal trends that may impact an organization's current and future operations. The purpose of environmental scanning is to identify potential opportunities and threats that could affect an organization's strategic plans and to develop strategies to address them. It is an ongoing process rather than a one-time event, and it does not change the marketing environment or focus solely on geographic and meteorological factors.

Question 19

A marketing manager for Foster Parent's Plan of Canada reads in Macleans that despite the Internet and television, Canadians are actively engaged in their communities. Over fifty percent have performed volunteer work and almost 80 percent have donated money to charities. She asks research and development personnel to identify possible new ad campaigns that will encourage this high levels of community-connectedness to continue. This ad campaign change is the result of the managerial activity:
A)macroeconomic analysis.
B)ecological/technological forecasting.
C)strategic planning.
D)environmental scanning.

Accepted Answer

Environmental scanning involves the process of gathering, analyzing, and dispensing information for tactical or strategic purposes. The marketing manager is responding to information about societal trends (Canadians' engagement in their communities) to inform strategic decisions about ad campaigns, which is a classic example of environmental scanning.

Question 20

A marketing manager for United Way reads in a business journal that despite the Internet and television, North Americans are actively engaged in their communities. 54 percent have performed volunteer work and 78 percent have donated money to
Charities. She asks research and development personnel to identify possible new ad campaigns that will encourage this high levels of community-connectedness to
Continue. This ad campaign change is the result of the managerial activity:
A)environmental scanning.
B)macroeconomic analysis.
C)strategic planning.
D)ecological/technological forecasting.

Accepted Answer

Environmental scanning involves the process of gathering information about events and their relationships within an organization's internal and external environments. The marketing manager's action of using information from a business journal to guide the development of new ad campaigns based on community engagement trends is an example of environmental scanning.

Quiz 3: Scanning the Marketing Environment

Which of the following statements regarding environmental scanning is most accurate?

Changes in the marketing environment are a source of __ and_ to be managed.

According to one of the world's largest publishers, it was unprepared for recent increases in the demand for books about security. To prepare for the shift in demand, the publisher should have engaged in:

Use of Facebook for purchases has grown over the last couple of years as Internet and smartphone connectivity has increased as well in these countries. This rising trend is an example of _________forces.

Boston Consulting Group is giving a presentation to one of their clients and highlights different trends that are affecting the business environment. They conclude that all of the following are environmental trends that typically arise from each of the following sources except:

Statistics Canada revealed that tea consumption in Canada has been rising in recent years and is now at 10 billion cups or 83 litres per person per year. But soft drink consumption actually declined. This type of information is the result of:

A company that experiences truncated future growth when launching a new product, may have failed to initially engage in:

With more individuals wanting tools for obtaining information, offering opinions, and interacting with friends, Facebook was influenced by which major force?

Bell Canada frequently commissions numerous studies of the market to gather information on events outside the organization and learn and interpret any trends. Bell is engaging in which activity?

As the cost of wireless connectivity, Internet service, and smartphones declined, social networking became affordable for consumers around the world. Facebook has leveraged this _______ force.

A company engaged in environmental scanning is:

You are the Director of Marketing for Starbucks. You are doing an environmental scan to help you create a three-year marketing plan for the Canadian market. Which of the following environmental trends should you consider the MOST important?

A manufacturer of major appliances uses environmental scanning and identifies various trends. Which of the following trends might be more relevant to this manufacturer's success in terms of product development?

Facebook has faced significant scrutiny from many privacy regulators since its creation, including from Canada's Privacy Commissioner, which forced Facebook to undergo numerous account changes to make controlling your privacy settings easier. Facebook was influenced by which force?

Statistics Canada revealed that out-of-home coffee consumption in Canada has been decreasing by 3% each year. The rise of single-brew machines in homes, such as Tassimo and Keurig are blamed. This type of information is the result of:

As a consultant with Accenture, you frequently engage in environmental scanning on behalf of your clients. Which of the following statements about environmental scanning best describes what actually happens?