Question 1

If a business marketer is particularly concerned with over- or under- spending on a particular marketing strategy element,such as advertising,which of the following tools would be most useful?

Accepted Answer

Expense-to-sales ratio analysis is a tool that helps a business marketer evaluate the effectiveness of the marketing strategy by calculating the overall marketing expenses in relation to the sales revenue. It helps to identify if the business is over-spending or under-spending on a particular marketing strategy element such as advertising, enabling the marketer to adjust the budget accordingly. Market share analysis, sales analysis, marketing audit, and profit analysis may not provide specific insights into the effectiveness of a particular marketing strategy element in terms of over or under-spending.

Question 2

If a business marketer is concerned with how the firm is performing relative to competition,which of the following tools would be most useful?

Accepted Answer

Market share analysis is the tool that helps a business marketer to understand how their firm is performing relative to the competition. It compares the sales of the business with that of the competition in a particular market, giving insights into the market share of both the business and the competition. This helps marketers to make necessary adjustments and strategies to improve the performance of the business. The other tools may provide important information, but they do not directly measure the business's performance relative to the competition.

Question 3

The purpose of annual plan control is to:

Accepted Answer

The purpose of annual plan control is to examine whether the planned performance standards are being achieved, which includes evaluating both financial and non-financial results. The other choices are important considerations for overall business strategy and analysis, but do not directly relate to the purpose of annual plan control.

Question 4

_____ reveals the links between performing particular activities and the demands that those activities make on the organization's resources.

Accepted Answer

An activity-based cost system reveals the links between performing particular activities and the demands that those activities make on the organization's resources. It focuses on identifying the costs of specific activities and linking them to the products, services, or customers that use those activities.

Question 5

The process that translates marketing plans into action assignments and ensures that such assignments are executed in a manner to accomplish a plan's defined objectives is called:

Accepted Answer

Marketing implementation is the process that involves translating marketing plans into action assignments and making sure that such assignments are carried out in a manner that accomplishes the plan's defined objectives. Marketing control involves monitoring and adjusting the implementation of marketing plans to ensure that specified objectives are achieved. Strategic marketing is the process of developing and maintaining a strategic fit between the organization's goals and capabilities and the changing marketing opportunities. Marketing accountability involves tracking and analyzing marketing performance and making the marketing function accountable for the organization's overall performance. Competitive advantage refers to the advantage that one company has over its competitors, allowing it to generate greater sales or profits. Therefore, only option B is the correct choice.

Question 6

The level of marketing control that examines how well resources have been utilized in each element of the marketing strategy is:

Accepted Answer

Efficiency and effectiveness control examines how well resources have been utilized in each element of the marketing strategy. Strategic control focuses on whether the overall strategy is achieving its objectives, annual plan control monitors whether the plan is being implemented correctly, profitability control examines the financial performance of the strategy, and incremental control evaluates the success of small changes to the strategy.

Question 7

Marketing managers who are flexible and intelligent in dealing with the firm's information and control systems are exhibiting good _____ skills.

Accepted Answer

The answer of Marketing managers who are flexible and intelligent...

Question 8

The balanced scorecard measures the performance of a business unit from:

Accepted Answer

The balanced scorecard measures the performance of a business unit from multiple perspectives, including customer, financial, learning and growth, and internal processes. Therefore, the correct answer is (D) all of the above.

Question 9

____ is an assessment of how the firm is doing relative to competition.

Accepted Answer

Market share analysis assesses the firm's performance relative to its competitors, by examining how much of the market the firm is able to capture.

Question 10

_____ provides a visual representation of the cause-and-effect relationships among the components of a company's strategy.

Accepted Answer

A Strategy Map is designed to illustrate how specific activities of a company are linked to its overall strategic objectives. It visually shows the cause-and-effect relationship between different elements of a company's strategy.

Question 11

Which of the following could assume a role in the marketing strategy centre?

Accepted Answer

All of the listed roles can contribute to the marketing strategy centre by providing insights and expertise relevant to their areas, which can influence marketing decisions and strategies.

Question 12

Which of the following statements concerning an activity-based cost (ABC)system is(are)correct?

Accepted Answer

Choice A is correct because ABC analysis identifies individual activities and determines their costs, which is useful in understanding the costs of different products, services, or customer segments.

Choice B is incorrect because ABC analysis does not rely on arbitrary percentage allocations, but rather on actual cost driver activity data.

Choice C is correct because ABC analysis breaks down indirect and support resources into specific activities, allowing for a more accurate assessment of the costs associated with each activity.

Therefore, the best choice is E.

Question 13

Flagstaff Electrical Supply wonders whether they are spending too much or too little on various elements in their marketing program.Which of the following tools would appear to be most appropriate in examining the efficiency of operations?

Accepted Answer

The expense-to-sales ratio analysis would be the most appropriate tool to examine the efficiency of operations because it compares the expenses incurred in marketing to the sales generated. This analysis would provide insights into whether Flagstaff Electrical Supply is spending too much or too little on marketing expenses in relation to the sales achieved.

Question 14

Using this approach,the costs of producing a printed circuit board are determined by first evaluating the activities required to produce the board and then costing out each of the activities.This describes:

Accepted Answer

The approach of evaluating activities required to produce something and then costing out each activity is characteristic of an activity-based cost system.

Question 15

St.Paul Equipment Company experienced a 15 percent sales gain that,on the surface,appears favorable.However,if total industry sales are up 30 percent,an analysis of ____ could suggest that the firm has not fared well relative to competitors.

Accepted Answer

The best choice is market share. A 15 percent sales gain may seem favorable, but if the total industry sales are up by 30 percent, it indicates that the company's increase in sales is not keeping up with the overall market growth. This suggests that the firm has lost market share to competitors who are experiencing a more significant sales increase. Therefore, analyzing market share could suggest that the firm has not fared well relative to competitors.

Question 16

If marketing implementation is poor:

Accepted Answer

If marketing implementation is poor, management may never become aware of the soundness of the strategy, and the cause of failure is hard to diagnose because poor strategy might be masked by the inability to execute. While management can sometimes see the problem immediately, this is not always the case. Therefore, choices (a) and (b) are correct, and choice (c) is not always true. Therefore, the best answer is E, (a) and (b) only.

Question 17

The ____ is a comprehensive,periodic and systematic evaluation of the firm's marketing operation which analyzes the market environment and the firm's internal marketing activities.

Accepted Answer

A marketing audit is a comprehensive evaluation of a firm's marketing operation that analyzes the market environment and the firm's internal marketing activities. The other options, such as environmental audit or competitive audit, may focus on specific elements of the marketing audit but do not encompass the breadth of the entire evaluation process. The profit audit and annual plan are not directly related to a marketing audit.

Question 18

Which of the following are steps in the planning process that utilizes the Balanced Scorecard and a Strategy Map to build a tightly integrated marketing strategy?

Accepted Answer

All three options are part of the planning process that utilizes the Balanced Scorecard and a Strategy Map to build a tightly integrated marketing strategy. Financial objectives provide the financial targets that the organization wants to achieve, while the customer value proposition defines the value the organization's product or service will provide to customers. Identifying the critical strategic themes and internal processes helps to ensure that the organization's key priorities and processes are aligned with its overall strategy.

Question 19

When using strategy maps,shareholder value can be created via:

Accepted Answer

The answer of When using strategy maps,shareholder value can be...

Question 20

The level of marketing control that examines whether the strategy is being implemented as planned and whether it produces the intended results is termed:

Accepted Answer

Strategic control is the level of marketing control that examines whether the strategy is being implemented as planned and whether it produces the intended results. It involves reviewing progress towards the achievement of the organization's strategic goals and objectives, and making adjustments to the strategy if necessary. Annual plan control looks at whether specific annual plans are being achieved, strategic component control examines whether each component of the marketing strategy is contributing to the overall success of the strategy, profitability control focuses on financial performance, and incremental control looks at the small changes made to the strategy over time.

Quiz 14: Marketing Performance Measurement