114) During which phase of the marketing planning process does a firm evaluate performance
using marketing metrics?
A) planning phase
B) implementation phase
C) production phase
D) control phase
E) strategy phase
115) During a SWOT analysis, a company should assess the opportunities and uncertainties of
the marketplace due to changes in several CDSTEP factors. The “E” in this acronym stands for
which factor?
A) ethical
B) environmental
C) ecological
D) economic
E) elemental
116) The process of dividing the market into groups of customers with different needs, wants, or
characteristics is called
A) target marketing.
B) market segmentation.
C) positioning.
D) allocation.
E) value capture.
117) ________ involves the process of defining the marketing mix variables so that target
customers have a clear, distinctive, desirable understanding of what the product does or
represents in comparison with competing products.
A) Target marketing
B) Market segmentation
C) Market positioning
D) Allocation
E) Value capture
118) Which of the following statements regarding marketing metrics is true?
A) Metrics are used at the beginning of the planning process.
B) They are only reliable for comparing results among SBUs.
C) They cannot be used to project the future.
D) They quantify a trend, dynamic, or characteristic.
E) They make it difficult for a firm to appropriately adjust to its marketing plan.
119) A product that is in a high-growth market but has a low market share would be classified as
a ________ on the BCG matrix.
A) ladder
B) dog
C) cash cow
D) star
E) question mark
120) Of what use is a sustainable competitive advantage to a firm?
121) The text states, “Viewing customers with a lifetime value perspective rather than on a
transaction-by-transaction basis is key to modern customer retention programs.” Create an
example demonstrating a lifetime value perspective. Why is customer retention almost always a
profitable marketing strategy?
122) Although most people do not have a personal marketing plan, when would one be
appropriate?
123) One of the benefits of taking marketing courses is the opportunity to apply marketing
concepts to marketing yourself. When selling yourself, you are a product including all the skills,
aptitudes, and attitudes you bring to the market. What is a sustainable competitive advantage?
What can you do to give yourself a sustainable competitive advantage in the marketplace?
124) Your marketing professor, Dr. Wilson, has been asked to participate in the university’s
strategic marketing planning process. During the planning phase of the process, what questions
will Dr. Wilson likely ask? Be specific to the university’s strategic marketing planning process.
125) The text describes Southwest Airlines, which operates in a competitive market but
successfully differentiates itself from the competition. This gives Southwest a sustainable
competitive advantage. What is a sustainable competitive advantage? Describe an example of a
product or business you have encountered that has developed a sustainable competitive
advantage. Why is that product’s or firm’s advantage sustainable?
126) Your marketing professor, Dr. Murphy, has been asked to participate in the university’s
strategic marketing planning process. After completing the planning phase of the process, Dr.
Murphy has been asked to assist with the STP analysis. What questions will Dr. Murphy ask
during the STP analysis? Be specific to the university’s strategic marketing planning process.
127) Explain how Marvel, the superhero entertainment giant, employed a market penetration
strategy using its existing marketing mix and focusing its efforts on existing customers.
128) Your marketing professor, Dr. Sullivan, has been asked to participate in the university’s
strategic marketing planning process. After completing the first three steps of the process, Dr.
Sullivan has been asked to assist with implementing the marketing mix and allocating resources.
What questions will Dr. Sullivan ask? Be specific to the university’s strategic marketing planning
process.
129) Jamie, a sales manager for an industrial materials company, reviews each sales
representative’s performance quarterly. She knows business has been good, but is surprised to see
some reps are selling much more than their goals while others are not meeting their goals. What
should Jamie do?
130) You and your friend Alison work in different parts of a large firm. In a recent analysis, your
area was labeled a “cash cow” and hers was labeled a “question mark.” What things would you
do differently in your area than Alison would do in hers?
131) Boston Consulting Group’s portfolio analysis classifies a company’s products or product
lines into a two-by-two matrix. What are the bases of classification and what are the products or
product lines in each of the four quadrants called? What marketing strategies are usually
considered for each of the four classifications?
132) Your new sales manager, who previously worked for Boston Consulting Group, directs
each sales rep to “toss out the dogs,” “exploit the stars,” and “milk the cows.” Translate this into
everyday English: What is the sales manager asking the sales reps to do?
133) After finishing his marketing degree, Ryan inherited the family Shrimp Shack restaurant.
The restaurant is a small, local institution that beach visitors have been coming to for decades.
Ryan wants to make his business grow and is considering either a market penetration or market
development strategy. Describe what Ryan will likely do if he pursues either strategy.
134) Garden Gate is a one-location nursery business, selling plants and flowers for home
gardeners. The new owners want to grow through either a product development or diversification
strategy. What will the owners likely do if they pursue either strategy?
135) Southwest Airlines is known for being the low-cost provider in the U.S. airline industry.
What type of macro strategy has Southwest pursued?
136) Every summer, university administrators attempt to estimate how many students will show
up in the fall. When August arrives, they hire part-time instructors and reassign faculty to teach
the courses students want. In the spring, administrators often go on a retreat to consider how to
do things differently next year. What phase of the strategic planning process do they engage in
during each of the three seasons (summer, fall, and spring)?
137) When catalog companies send sale catalogs to their current customers, which type of
growth strategy are they pursuing?
138) When musicians and their concert promoters began offering CDs of a live concert
immediately after the concert ended, what type of growth strategy were they pursuing?
139) Several years ago, the Florida Orange Juice Growers Association ran a promotional
campaign with the slogan “Orange juice. It isn’t just for breakfast anymore.” Based on this
slogan, which of the four growth strategies was the association pursuing? Briefly explain your
reasoning.
140) Suppose that you and a friend decide to turn your favorite sports activity—inline skating—
into a business. You plan to design a line of fashionable clothing that integrates elbow and
kneepads. For each of the four macro strategies, briefly describe the most important thing your
company should do if you intend to focus on that strategy. Your answers should be specific to
the inline skating business.
141) Conduct a brief SWOT analysis of your prospects of finding a good job related to your
major when you graduate (if you already have such a job, think about finding a job with more
responsibility). Be sure to include at least one factor representing each of the four major sections
of a SWOT analysis, and be sure to label each factor to indicate which of those four sections it
belongs in.
142) In July 2010, Microsoft discontinued the Kin, its social networking phone, after just six
weeks of disappointing sales. During what step of the strategic marketing planning process
would Microsoft have made the decision to stop offering the product?
143) Nike, the prominent athletic shoe manufacturer, relies heavily on athlete sponsorships to
build demand for its products. Spectators at major sporting events—both those attending in
person and those watching at home—frequently see the Nike “swoosh” logo worn by elite
athletes. Given the vast worldwide audience for Olympics broadcasts, an Olympic year gives
Nike increased exposure. On a Nike situation analysis in an Olympic year, would you consider
this exposure to be a strength or an opportunity? Explain your reasoning; be specific.