Advertising & IMC: Principles and Practice, 11e (Moriarty et al.)
Chapter 8 Strategic Planning
1) ________ is the process of identifying a problem, determining objectives, deciding upon
strategies, and implementing tactics.
A) Insight mining
B) Situation analysis
C) Strategic research
D) Strategic planning
E) Marketing research
2) ________ are goals to be accomplished with a strategic plan.
A) Strategies
B) Objectives
C) Tactics
D) Motives
E) Needs
3) ________ are concerned with how to accomplish objectives outlined in a strategic plan.
A) Strategies
B) Needs
C) Visions
D) Motives
E) Insights
4) ________ are the actions that make the strategic plan come to life.
A) Strategies
B) Objectives
C) Tactics
D) Motives
E) Insights
5) Strategic planning for the organization as a whole is a process that begins with the ________.
A) marketing plan
B) initial investment
C) business plan
D) brand communication plan
E) SWOT analysis
6) A strategic business unit is best defined as ________.
A) a fully functioning organization within a larger company
B) all of the product lines offered by a corporation
C) a functional department within a corporation
D) a brand
E) a corporation
7) Which concept is a measurement that shows whether, in general, the costs of conducting the
business are more than matched by the revenue produced in return?
A) SWOT
B) SBU
C) IMC
D) the 4 Ps
E) ROI
8) At which planning level are objectives focused on maximizing profit and return on
investment?
A) advertising
B) IMC
C) marketing
D) tactical
E) corporate
9) For most organizations, strategic planning starts with ________.
A) formulating a business mission statement
B) identifying the target market
C) determining the required return-on-investment
D) conducting an internal and external environment analysis
E) creating the marketing mix
10) A(n) ________ assesses the external and internal environments that affect marketing
operations.
A) situation analysis
B) point-in-time analysis
C) strategic business unit analysis
D) mission statement
E) action plan
11) Adam is assisting in the development of his company’s marketing plan, and he has been
assigned to assess the external and internal environments that affect the marketing operations. He
will be looking at the company’s history, products, and brands, as well as the competitive
environment, consumer trends, and other marketplace trends that affect the product category.
What type of analysis is Adam conducting?
A) business analysis
B) competitive analysis
C) internal/external analysis
D) situation analysis
E) category analysis
12) In a SWOT analysis, a(n) ________ is a positive trait or condition.
A) strength
B) win
C) benefit
D) target
E) opportunity
13) SWOT analysis is a type of ________.
A) situation analysis
B) brand strategy
C) feature analysis
D) perceptual analysis
E) consumer insight
14) Which term refers to the percentage of the category purchases that are made by the brand’s
customers?
A) customer equity
B) return-on-investment
C) share of market
D) share of voice
E) customer value
15) What is the most important part of the marketing plan for marcom managers?
A) business objectives
B) perceptual mapping
C) brand strategy
D) insight mining
E) situation analysis
16) Which of the following refers to the fundamental principles that guide the operations of a
business?
A) vision statement
B) mission statement
C) business philosophy
D) social philosophy
E) competitive advantage
17) Which of the following refers to a description of what senior management sees as an
organization’s future?
A) vision statement
B) mission statement
C) business philosophy
D) social philosophy
E) competitive advantage
18) A company with a corporate mission that reflects its desire to do good has a ________
marketing philosophy.
A) competitive
B) societal
C) visionary
D) situational
E) value
19) Which of the following monitors the entire business planning process?
A) strategy formulation
B) tactical formulation
C) implementation
D) research
E) feedback and control
20) Which of the following is typically done first in the process of developing a marketing plan?
A) selecting marketing objectives
B) selecting target markets
C) developing marketing mix strategies
D) identifying threats and opportunities
E) designing action plans
21) How often is the typical marketing plan evaluated?
A) every ten years
B) every five years
C) every year
D) every six months
E) every month
22) The O in SWOT analysis stands for ________.
A) ownership
B) opportunities
C) on-site
D) off-site
E) objectives
23) The T in SWOT analysis stands for ________.
A) time
B) team
C) trade
D) tactics
E) threats
24) The W in SWOT analysis stands for ________.
A) wins
B) wages
C) weaknesses
D) whys
E) websites
25) In the process of developing a marketing plan, differentiating and positioning the product
relative to the competition most likely occurs when a firm is ________.
A) setting objectives
B) assessing consumer needs
C) developing the brand strategy
D) developing the marketing mix strategy
E) implementing tactical programs
26) In the process of developing a marketing plan, determining pricing and distribution most
likely occurs when a firm is ________.
A) setting objectives
B) assessing consumer needs
C) developing the brand strategy
D) developing the marketing mix strategy
E) implementing tactical programs
27) Kimball Gardens is a company that operates as two distinct businesses: one that sells lawn
and garden products and one that provides landscape design services. Each business is called
a(n) ________.
A) return on investment (ROI)
B) strategic business unit (SBU)
C) integrated media company (IMC)
D) key account
E) business portfolio
28) The following statement appeared in an organization’s business plan: “Quick and Dirty Auto
Repair aims to offer high-quality auto repair services and a full range of auto parts, focusing on
personalized, convenient, and rapid service.” Which part of a business plan does this represent?
A) business objectives
B) business mission
C) marketing objectives
D) corporate tactics
E) business strategy
29) In a SWOT analysis, a(n) ________ is an area in which the company could develop an
advantage over its competition.
A) objective
B) weakness
C) opportunity
D) threat
E) tactic
30) Harris, the marketing manager at a small sports retail chain, has investigated the company’s
internal resources and situational factors, as well as factors and trends in the competitive sports
retail chain market. Which of the following has Harris completed?
A) a SWOT analysis
B) a business plan
C) a creative brief
D) a marketing plan
31) FEED USA + Target is a line of accessories and clothing sold at Target outlets nationwide. A
number is printed on each product, indicating how many meals for families and children across
America Target will donate as a result of your purchase. Target’s marketing of this new line is an
example of ________.
A) viral marketing
B) societal marketing
C) business marketing
D) situational marketing
E) value marketing
32) Newman’s Own is a brand of salad dressing. Recently, low-carbohydrate dieting became the
craze among consumers, with millions attempting to follow a low-carb lifestyle. In print
advertising, Newman’s Own featured the fact that several of its dressings are low in
carbohydrates. In terms of a SWOT analysis, the low-carb diet trend among consumers
represents a(n) ________.
A) objective
B) weakness
C) opportunity
D) threat
E) trend
33) In Party People’s marketing plan, two of the company goals are “Achieve growth rate in sales
of 15% for the year 2013″ and “Maintain a gross margin of 40% each month.” As indicated by
these two examples, an objective should be ________.
A) measurable
B) general
C) creative
D) company-wide
E) set by management
34) For Hyundai Corporation, customers who care about the price of a car how efficiently it
operates make up one ________.
A) market position
B) market value
C) target market
D) strategic business unit (SBU)
E) market mix
35) An organization with a triple bottom line is focused on improving ________.
A) profits, its people, and the planet
B) profits, market share, and ROI
C) strengths, opportunities, and threats
D) profits, product, and price
E) society, the planet, and the economy
36) When the makers of a ballpoint pen state they are in the communication equipment business,
they are defining their mission too ________.
A) narrowly
B) realistically
C) specifically
D) broadly
E) futuristically
37) Tony developed the following objective for his brand communication plan: “Increase market
share in the consumer market from 10 percent to 15 percent in one year.” What is wrong with
this advertising plan objective?
A) It is an objective more appropriate for a marketing plan.
B) It does not have a specific effect that can be measured.
C) The goal is not realistic.
D) Its time frame is too narrow.
E) It focuses on a percent change.
38) Which communication objective is most closely associated with the Facets Model of Effects
category of perception?
A) cue the psychological appeal
B) create awareness
C) stimulate desire
D) stimulate trial
E) connect to positive brand experiences
39) Which communication objective is most closely associated with the Facets Model of Effects
category of emotion?
A) cue the psychological appeal
B) create awareness
C) connect to positive brand experiences
D) establish brand identity
E) stimulate opinion
40) Which communication objective is most closely associated with the Facets Model of Effects
category of cognition?
A) cue the psychological appeal
B) create awareness
C) stimulate desire
D) establish brand identity
E) connect to positive brand experiences
41) Which communication objective is most closely associated with the Facets Model of Effects
category of persuasion?
A) deliver information
B) create awareness
C) cue the brand personality
D) create conviction
E) connect to positive brand experiences
42) Which of the following refers to the overall direction of a marcom plan?
A) brand position
B) communication objective
C) brand communication strategy
D) Big Idea
E) consumer insight
43) Which of the following involves establishing in the consumer’s mind what a brand offers and
how the brand compares to the competition?
A) benchmarking
B) targeting
C) segmenting
D) positioning
E) attributing
44) Which of the following is a tangible product feature?
A) quality
B) status
C) value
D) ease of use
E) fashion
45) Which strategy is designed to focus attention on product characteristics that are important to
consumers and that distinguish the company’s product from its competitors?
A) product differentiation
B) segmentation
C) feature analysis
D) benchmarking
E) targeting
46) Products that really are the same, such as milk, unleaded gas, and over-the-counter drugs, are
referred to as ________ products.
A) generic
B) differentiated
C) parity
D) unpositioned
E) positioned
47) Which of the following involves making a chart of a company’s product and competitors’
products, listing each product’s relevant features, evaluating how well the product and the
competitors’ products perform on that feature, and then evaluating how important each feature is
to the target audience?
A) situation analysis
B) segmentation analysis
C) Fishbein multiattribute model
D) perceptual map
E) position map
48) ________ is found where the product has a strong feature in an area that is important to the
target and in which the competition is weaker.
A) Position
B) Competitive advantage
C) Differentiation
D) Segmentation
E) Brand equity
49) Which of the following would a planner use to compare positions of competitors?
A) brand matrix
B) situation matrix
C) differential map
D) perceptual map
E) SWOT map
50) Which of the following demographic groups gets the most attention from advertisers?
A) 12-to-18-year-olds
B) 18-to-34-year-olds
C) 25-to-40-year-olds
D) 35-to-55-year-olds
E) 56-to-80-year-olds
51) As described in “A Matter of Principle,” what objective did 7-Up have for its campaign in
1967?
A) repositioning the 7-Up brand
B) penetrating the British consumer market
C) changing the perception that 7-Up was too expensive
D) changing the perception that 7-Up was unhealthy
E) capturing a large share of family soft drink expenditures
52) The focus of the ________ consumer response from the Facets Model of Effects is cueing a
brand image.
A) see/hear
B) feel
C) think/understand
D) connect
E) believe
53) The focus of the ________ consumer response from the Facets Model of Effects is cueing
brand position or leadership.
A) see/hear
B) feel
C) think/understand
D) connect
E) believe
54) Which of the following is LEAST likely a behavioral objective of a marcom plan?
A) volunteering
B) redeeming a coupon
C) visiting a website
D) stimulating brand preference
E) visiting a store
55) A brand that consumers describe as loving, trustworthy, or protective has most likely
established a ________.
A) leadership position
B) superiority position
C) brand preference
D) brand loyalty
E) brand personality
56) Which of the following often comes from being the first brand in the market?
A) category leadership
B) brand personality
C) brand promise
D) brand association
E) brand identity
57) Which of the following refers to the mental impression that consumers construct for a
product?
A) brand personality
B) brand image
C) brand promise
D) brand loyalty
E) brand preference
58) A brand is sometimes defined as a(n) ________ because it establishes an expectation based
on familiarity, consistency, and predictability.
A) image
B) position
C) promise
D) association
E) personality
59) A brand ________ is what makes consumers brand loyal.
A) image
B) association
C) personality
D) perception
E) relationship
60) Fashion and safety are both examples of ________.
A) tangible product features
B) intangible product attributes
C) brand category factors
D) brand identities
E) value positions
61) Walmart’s “Always Low Prices” is a classic example of a ________ position.
A) superiority
B) preemptive
C) value
D) psychological
E) usage
62) Being the first brand in a product category often leads to a brand establishing a ________
position.
A) usage
B) preemptive
C) benefit
D) psychological
E) value
63) Which type of positioning is relatively easy to establish if the brand is faster, fancier, safer,
or newer than other brands?
A) superiority
B) preemptive
C) value
D) competitive
E) usage
64) The principle of repositioning is to move ahead while maintaining the same ________.
A) brand image
B) brand equity
C) value position
D) usage
E) brand essence
65) A marcom plan for a brand designed around nonproduct differences will most likely be
designed to establish a(n) ________ position.
A) superiority
B) psychological
C) benefit
D) preemptive
E) value
66) Saturn is “a different kind of company, different kind of a car”; the Hummer is “like nothing
else.” Statements such as these reflect a firm’s ________.
A) brand personality
B) target markets
C) positioning
D) marketing mix
E) brand preference
67) Tiffany’s website declares “Since 1837, Tiffany & Co. has been the world’s premier jeweler
and America’s house of design.” Which type of brand positioning does this most clearly indicate?
A) superiority position
B) value position
C) benefit position
D) usage position
E) societal position