Question 1

Each of the marketing mix elements must work together with the others.

Accepted Answer

The marketing mix elements (product, price, place, and promotion) are interdependent and must be coordinated in order to create a cohesive and effective marketing strategy. This is known as the 4Ps framework.

Question 2

The Boston Consulting Group's model serves as a diagnostic tool to spotlight strategic business units that have an opportunity to grow rather than as a guide for making strategy prescriptions.

Accepted Answer

The Boston Consulting Group's model is primarily used to identify growth opportunities in strategic business units, rather than prescribing specific strategies.

Question 3

A sustainable competitive advantage is one that cannot be copied by a firm's competitors.

Accepted Answer

A sustainable competitive advantage is a unique advantage that a company has over its competitors that cannot easily be replicated or imitated. This allows the company to maintain an advantage in the marketplace for an extended period of time.

Question 4

Cash cows are market leaders that are growing fast, with substantial reported profits.

Accepted Answer

Cash cows are actually market leaders that have a large market share but are growing slowly, and generate a lot of cash which can be used to support other areas of the business. Their profits may be consistent but not necessarily substantial.

Question 5

Corporate strategic planners focus on dimensions such as competition, diversification, differentiation, environmental focus, and interrelationships among SBUs.

Accepted Answer

Corporate strategic planners do focus on dimensions such as competition, diversification, differentiation, environmental focus, and interrelationships among SBUs as they develop plans for the entire organization.

Question 6

An organization's goals focus on the ends or results that the firm seeks.

Accepted Answer

An organization's goals focus on the desired outcomes or results that the company aims to achieve.

Question 7

Marketing objectives state what is to be accomplished through marketing activities.

Accepted Answer

Marketing objectives are specific goals or outcomes that a company aims to achieve through its marketing efforts. These objectives should be specific, measurable, and achievable, and should align with the overall business goals and objectives.

Question 8

The long-term health of the firm depends solely on having products that generate cash and provide acceptable reported profits.

Accepted Answer

The long-term health of a firm also depends on factors such as innovation, market adaptation, customer satisfaction, employee engagement, and sustainable practices, in addition to financial performance.

Question 9

The Boston Consulting Group approach is based on a philosophy that a product's market growth rate and its market share relative to competition should be helpful in determining its marketing strategy.

Accepted Answer

The statement accurately describes the Boston Consulting Group (BCG) approach, which is commonly known as the BCG matrix or the growth-share matrix. The matrix uses market growth rate and market share as key factors to guide marketing strategy for a product or business unit. The BCG approach is widely used in strategic management and marketing planning.

Question 10

A market is a group of individuals and/or organizations that have needs for products in a product class and have the ability, willingness, and authority to purchase these products.

Accepted Answer

This is the definition of a market as commonly understood in marketing.

Question 11

Corporate strategy determines the means for utilizing resources in the functional areas of business to reach the organization's goals.

Accepted Answer

Corporate strategy is the overall plan for utilizing resources and managing activities to achieve the organization's objectives. It guides the functional areas of the business towards a common goal.

Question 12

Marketing objectives should be stated in such a way that the degree of accomplishment can be measured accurately.

Accepted Answer

Marketing objectives should be specific, measurable, achievable, relevant, and time-bound (SMART). By stating objectives in a measurable way, progress can be tracked, and adjustments can be made as necessary to reach the desired outcome.

Question 13

Marketing mix decisions must have two characteristics: consistency and timeliness.

Accepted Answer

The answer of Marketing mix decisions must have two characteristics:...

Question 14

A marketing objective need not be consistent with the firm's overall objectives.

Accepted Answer

A marketing objective should be consistent with the firm's overall objectives to ensure that all aspects of the business are aligned towards achieving the same goals.

Question 15

Question marks exist at a cost disadvantage and exhibit few opportunities for growth at a reasonable cost.

Accepted Answer

This statement is not necessarily true. The cost disadvantage and growth opportunities of question marks depend on the specific situation and industry. In some cases, there may be growth opportunities for question marks that come at a reasonable cost.

Question 16

Stars are profitable products that usually generate more cash than is required to maintain share.

Accepted Answer

The answer of Stars are profitable products that usually generate...

Question 17

Marketing managers can classify a firm's products into four basic types: stars, cash cows, dogs, and question marks.

Accepted Answer

This statement is true. The four basic types of products are commonly known as the Boston Matrix or the BCG Matrix. Stars represent products with high market share and high market growth, cash cows represent products with high market share and low market growth, dogs represent products with low market share and low market growth, and question marks represent products with low market share and high market growth.

Question 18

The decisions made in creating a marketing mix are only as good as the organization's understanding of the target market.

Accepted Answer

The marketing mix should be tailored to meet the needs and preferences of the target market. However, if the organization's understanding of the target market is inadequate or inaccurate, the marketing mix will not effectively reach and resonate with the intended audience. Therefore, a solid understanding of the target market is crucial in creating an effective marketing mix.

Question 19

A strategic business unit is not self-supporting in terms of sales, markets, production, and other resources.

Accepted Answer

A strategic business unit (SBU) is a fully functional and self-supporting entity, responsible for its own sales, marketing, production, and other resources. It operates as a separate unit within a larger company, with its own strategy and objectives.

Question 20

When properly implemented, a good marketing strategy enables a company to achieve its business-unit and corporate objectives.

Accepted Answer

A well-designed and executed marketing strategy helps a company achieve its goals and objectives by identifying and satisfying consumer needs and wants, creating brand awareness, and building long-term customer relationships.

Quiz 2: Planning, Implementing, and Evaluating Marketing Strategies