Question 1

Coca-Cola vending machines are found all over the world.The newest machines have an interactive screen that runs advertisements and allows users to obtain free photos of themselves and ringtones after they have bought a drink.The reason for the introduction of this new style of vending machine is to "allow the company to interact more directly with its customers." According to a SWOT analysis,the technology used by these machines is an example of a(n):

Accepted Answer

Technological advances represent an external opportunity.

Question 2

Marketing plans should be written to do all of the following EXCEPT:

Accepted Answer

Marketing environment variables cannot be controlled.See also Exhibit 2.4.

Question 3

The set of unique features of a company and its products that are perceived by the target market as significant and superior to the competition is known as a(n):

Accepted Answer

This is the definition of competitive advantage.

Question 4

The annual report of Albertson's grocery has the following statement: "Guided by relentless focus on our five imperatives,we will constantly strive to implement the critical initiatives required to achieve our vision.In doing this,we will deliver operational excellence in every corner of the Company and meet or exceed our commitments to the many constituencies we serve.All of our long-term strategies and short-term actions will be molded by a set of core values that are shared by each and every associate." This statement is an example of Albertson's:

Accepted Answer

A mission statement answers the question,"What business are we in?"

Question 5

Which of the following is NOT a commonly studied macroenvironmental force?

Accepted Answer

The six most often studied macroenvironmental forces are social,demographic,economic,technological,political,and legal.

Question 6

After learning that many of their customers were shopping at a nearby health-food store for free-range chickens and organic produce,IGA grocery stores began stocking more organic items.IGA adjusted its market strategy based on:

Accepted Answer

Environmental scanning helps identify market opportunities and threats and provides guidelines for the design of marketing strategy.

Question 7

By defining its business as "printing books" instead of "empowering imaginations," a children's book publishing company would more than likely experience:

Accepted Answer

Publishing books focuses on one product rather than a broad range of opportunities as found in "empowering imaginations."

Question 8

Briggs & Stratton is a company that makes small engines.The company is looking at customer trends,its competitors,and the economy to see if there are any threats or opportunities on the horizon.It has also examined its production policies and sales histories to determine its strengths and weaknesses.Briggs & Stratton is conducting a(n):

Accepted Answer

A situation analysis identifies internal strengths (S)and weaknesses (W)and also examines external opportunities (O)and threats (T).

Question 9

The _____ answers the question,"What business are we in,and where are we going?"

Accepted Answer

A mission statement is a statement of the firm's business based on a careful analysis of benefits sought by present and potential customers and on analysis of existing and anticipated environmental conditions.

Question 10

Coca-Cola vending machines are found all over the world.The newest machines have an interactive screen that runs advertisements and allows users to obtain free photos of themselves and ringtones after they have bought a drink.Critics of these new vending machines are concerned that entertaining technology is being used to market sugary products.In terms of a SWOT analysis,this concern would be an example of a(n):

Accepted Answer

A threat is an external condition that may lessen the success of the strategy.

Question 11

The SWOT acronym refers to a firm's analysis of its:

Accepted Answer

SWOT stands for strengths,weaknesses,opportunities,and threats.

Question 12

In 2011,Diamond Foods,Inc.purchased Pringles from Procter & Gamble.The decision to purchase Pringles represented a(n)_____ to Diamond Foods.

Accepted Answer

An opportunity is a favorable option external to the organization.

Question 13

BMW offers customers a four-year,50,000 mile maintenance cost-free program called "BMW Ultimate Service." The service includes free replacement of brake pads and rotors,wiper blades,scheduled maintenance,oil changes,and roadside maintenance.This marketing gives BMW a:

Accepted Answer

A competitive advantage is set of unique features of a company and its products that are perceived by the target market as significant and superior to the competition.

Question 14

A _____ is a study conducted by an organization to identify its internal strengths and weaknesses and also examine external opportunities and threats.

Accepted Answer

A situation analysis is sometimes referred to as a SWOT analysis and involves identifying internal strengths (S)and weaknesses (W)and also examining external opportunities (O)and threats (T).

Question 15

A statement of the firm's business based on a careful analysis of benefits sought by present and potential customers and an analysis of existing and anticipated environmental conditions is known as a(n):

Accepted Answer

This is the definition of a mission statement,which answers the question,"What business are we in?"

Question 16

Tub King is a small company that refinishes antique claw foot bathtubs and antique sinks,and provides training for bathtub refinishing.The company's management is currently conducting a formal study of its current strengths and weaknesses by looking at the company's profit and sales histories and searching for opportunities and threats by studying consumer trends.Tub King is conducting a(n):

Accepted Answer

A SWOT analysis attempts to ascertain the present situation.

Question 17

The focus of an organization's mission statement should be on:

Accepted Answer

A mission statement should focus on the market or markets the organization is attempting to serve rather than on the good or service offered.The choice of the market to serve determines the product and technology decisions.

Question 18

All of the following are elements of the marketing plan EXCEPT:

Accepted Answer

Portfolio analysis is not an element of a marketing plan.

Question 19

As a customer entered the Hornady store,which sells muzzleloading rifles,a salesperson approached her and said,"Hornady lead round balls are the musket balls you ought to buy.They are the most uniform in size and shape,and they are made of pure lead.Our shot is used by the Muzzle Loading World Champion." The salesperson was describing Hornady's:

Accepted Answer

A competitive advantage is a set of unique features of a company and its product that are perceived by the target market as significant and superior to the competition.

Question 20

_____ occurs when a business is defined in terms of goods and services rather than in terms of the benefits customers seek.

Accepted Answer

This is the definition of marketing myopia.

Quiz 2: Strategic Planning for Competitive Advantage