Question 1

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

Accepted Answer

Cash cows are market leaders that have high market share in a slow-growing or mature market. While they generate substantial profits, their growth rate is typically slower than other products in the company's portfolio.

Question 2

An organization's goals focus on the end results the organization seeks.

Accepted Answer

Goals are what an organization aims to achieve, the desired end results.

Question 3

The marketing plan provides a framework to stimulate thinking and provide strategic direction.

Accepted Answer

A marketing plan is designed to provide a framework for strategic thinking and direction, helping businesses identify their goals, target audience, strategies and tactics to achieve their objectives.

Question 4

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

Accepted Answer

While having products that generate cash and provide acceptable reported profits is important, the long-term health of a firm also depends on factors such as innovation, customer satisfaction, market adaptation, and the ability to manage risks and resources effectively.

Question 5

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

Accepted Answer

The marketing mix is a set of controllable marketing tools that a company uses to achieve specific goals within its target market. Each element (product, price, place, and promotion) must work together in harmony to create a successful marketing strategy. The elements cannot be considered in isolation and should be viewed as an integrated and synchronized unit.

Question 6

The strategic performance evaluation does not monitor the activities of external sources of marketing assistance.

Accepted Answer

Strategic performance evaluation encompasses both internal operations and the activities of external sources of marketing assistance to ensure that all aspects of the strategy are aligned and effective.

Question 7

In a traditional organization, marketing decisions are generally centralized at the top levels of the organization.

Accepted Answer

In a traditional organization, marketing decisions are typically made by executives at the top levels of the company. These decisions are then implemented throughout the organization, with little input or autonomy given to lower-level employees. However, with the rise of newer, more decentralized business models, this approach is becoming less common.

Question 8

Centralized decision making may prove effective in firms that must respond quickly to fluctuations in customer demand.

Accepted Answer

Centralized decision making can slow down the process of responding to fluctuations in customer demand because decisions have to go through the higher levels of management, delaying response times. Decentralized decision making is often more effective in such scenarios as it allows for quicker adjustments by empowering lower-level managers or employees closer to the customer to make decisions.

Question 9

The strategic planning process begins with a detailed analysis of the organization's strengths and weaknesses and the identification of opportunities and threats within the marketing environment.

Accepted Answer

The answer of The strategic planning process begins with a...

Question 10

Marketing cost analysis uses sales figures to evaluate a firm's current performance.

Accepted Answer

Marketing cost analysis primarily focuses on analyzing the costs associated with marketing efforts, rather than using sales figures to evaluate a firm's current performance. Sales figures might be a part of the overall evaluation, but the core of marketing cost analysis is understanding and managing the costs related to marketing activities.

Question 11

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 be easily replicated or surpassed. This can come from a variety of factors such as patents, proprietary technology, brand reputation, or economies of scale. The key is that it must be something that sets the company apart and gives it a lasting edge in the market.

Question 12

In the strategic planning process, marketers conduct their SWOT analyses before developing corporate and business-unit strategies.

Accepted Answer

The answer of In the strategic planning process, marketers conduct...

Question 13

The primary way to reduce the discrepancy between planned and actual performance is to rewrite the performance standard.

Accepted Answer

The primary way to reduce the discrepancy between planned and actual performance is to identify the root cause of the problem and take corrective actions to address the issue. This may include adjusting the plan, providing additional training or resources, or making changes to the process or system. Simply rewriting the performance standard is not always the most effective solution.

Question 14

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

Accepted Answer

This statement is incorrect. Question marks generally offer opportunities for growth but may require additional investment. They are also known as "problem children" and may require strategic decisions to either invest in growth or divest from the product.

Question 15

Selecting an appropriate target market may be the most important decision a company makes in the strategic planning process.

Accepted Answer

Selecting the right target market helps a company in developing an effective marketing strategy, creating a strong brand image, and ultimately increasing its sales and revenue. Therefore, it is considered one of the most crucial decisions in the strategic planning process.

Question 16

Marketing planning and implementation are inextricably linked in successful businesses.

Accepted Answer

Marketing planning lays the foundation for successful implementation of a marketing strategy, and effective implementation is necessary to achieve the goals set out in the plan. The two processes are interdependent and must work together for a business to achieve its marketing objectives.

Question 17

Product development is a strategy of increasing sales by improving present products or developing new products for current markets.

Accepted Answer

Product development is a common strategy used by businesses to increase revenues and improve their market position. This strategy involves either enhancing the quality and features of existing products or introducing entirely new products to meet the needs and expectations of customers in the current market.

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, consisting of product, price, promotion, and place, is determined based on the needs and preferences of the target market. Therefore, a thorough understanding of the target market is essential in making effective decisions in creating the marketing mix.

Question 19

Financial controls information will most likely be found in the performance evaluation section of the marketing plan.

Accepted Answer

The answer of Financial controls information will most likely be...

Question 20

Whenthe right combination of circumstances and timing permits an organization to take action to reach a particular target market, a core competency exists.

Accepted Answer

A core competency is a defining capability or advantage that distinguishes an organization from its competitors, not the ability to reach a target market due to circumstances and timing.

Quiz 2: Planning, Implementing, and Evaluating Marketing Strategies