61) Customer profitability-focused marketing ________.
A) tracks costs and revenues of individual customers and then categorizes those consumers into
tiers based on consumption behaviors that are specific to the company’s offerings
B) minimizes the cost of production in order to offer the product at the best price possible
C) aggressively markets products to consumers who do not necessarily think that they need the
product
D) continually updates the product without regard to the needs of the consumer
E) invests money in attracting customers that are very sensitive to price and are not loyal to any
given brand
62) Sophisticated marketers selectively build relationships with customers according to their
profitability by customer retention by ________.
A) monitoring customers’ consumption volume and shopping patterns
B) creating tiers of customers according to their profitability levels
C) developing distinct strategies for each group of customers
D) A, B and C
E) none of the above
63) John is a frequent flier, who travels with American Airlines at least 250,000 miles a year in
first class. According to the text, the profitability classification given him would be ________.
A) emerald
B) sapphire
C) titanium
D) diamond
E) platinum
64) Using the classification system used by airlines in the text, a diamond or an emerald who is
some miles short of keeping his or her status at the end of a given year technically must be
“demoted” to ________.
A) gold
B) sapphire
C) diamond
D) iron
E) platinum
65) Which of the following customer retention measurement methods is described: the
percentage of customers at the beginning of the year that are still customers by the end of the
year?
A) customer valuation
B) retention rate
C) complaint analysis
D) defection rate
E) benchmark
66) Disney gets its cast members to go out of their way to make people happy by valuing its
employees like internal customers, which is also known as ________.
A) termination costs
B) internal manipulation
C) customer gratitude
D) customer gratuity
E) internal marketing
67) The three distinct but interlocking steps of the consumer decision-making process are
________.
A) input, analysis, and output
B) environment, search, and evaluation
C) input, process, and output
D) analysis, decision making, and output
E) analysis, process, and output
68) In the consumer decision-making process, the ________ stage influences the consumer’s
recognition of a product need.
A) analysis
B) evaluation
C) input
D) process
E) output
69) In the consumer decision-making process, the ________ stage focuses on how consumers
make decisions.
A) analysis
B) evaluation
C) input
D) process
E) output
70) In the consumer decision-making process, the ________ stage focuses on how consumers
make decisions.
A) analysis
B) evaluation
C) input
D) process
E) output
71) Ryan runs a store that caters to athletes. He divides the athletic market into different subsets
of shoe consumers, such as runners, basketball players, and golfers, which is known as
________.
A) market targeting
B) product placement
C) product positioning
D) market segmentation
E) social marketing
72) Ryan runs a store that caters to athletes. He divides the athletic market into different subsets
of shoe consumers, such as runners, basketball players, and golfers. Ryan decides to focus his
attention on that segment of the market that is interested in running. This selection of a specific
market segment is known as ________.
A) social marketing
B) market targeting
C) product placement
D) market segmentation
E) product positioning
73) Ryan runs a store that caters to athletes. He portrays his store as a one-stop-shop for all your
running needs, so he has developed a distinct image for his store. This is an example of
________.
A) segmentation
B) targeting
C) placement
D) positioning
E) social marketing
74) Transatlantic Airlines identifies the most profitable customers and offers them specific
incentives, a practice known as ________.
A) social marketing
B) customer profitability-focused marketing
C) market targeting
D) market segmentation
E) product positioning
75) Which of the four disciplines that helps shape our understanding of consumer behavior is
defined as the study of the human mind and the mental factors that impact behavior?
A) psychology
B) sociology
C) anthropology
D) communication
E) economics
76) Which of the four disciplines that helps shape our understanding of consumer behavior is
defined as the study of the development, structure, functioning and problems of human society?
A) psychology
B) sociology
C) anthropology
D) communication
E) economics
77) Which of the four disciplines that helps shape our understanding of consumer behavior
compares human societies’ culture and development?
A) psychology
B) sociology
C) anthropology
D) communication
E) economics
78) In the CAR MINI CASE, Ford’s business strategy focused on ________.
A) targeting the market
B) positioning its product
C) developing a value proposition
D) segmenting the market
E) minimizing production costs
79) In the CAR MINI CASE, Ford’s business approach exhibited a ________.
A) production concept
B) marketing concept
C) societal marketing concept
D) product concept
E) selling concept
80) In the CAR MINI CASE, which of the following elements of the marketing mix was central
to Ford’s business model?
A) promotion
B) product
C) price
D) placement
E) production
81) In the CAR MINI CASE, by offering a variety of cars to choose from, General Motors was
able to differentiate itself from Ford by demonstrating to consumers that it could offer ________.
A) organizational buying power
B) compelling consumer research
C) an effective marketing mix
D) a unique selling proposition
E) significantly lower prices
82) In the RYAN’S RUNNERS MINI CASE, the process of dividing the athletic market into
different subsets of shoe consumers, such as runners, basketball players, and golfers, is known as
________.
A) market targeting
B) product placement
C) product positioning
D) market segmentation
E) social marketing
83) In the RYAN’S RUNNERS MINI CASE, Ryan decides to focus his attention on that
segment of the market that is interested in running. This selection of a specific market segment is
known as ________.
A) social marketing
B) market targeting
C) product placement
D) market segmentation
E) product positioning
84) In the RYAN’S RUNNERS MINI CASE, by portraying his store as a one-stop-shop for all
your running needs, Ryan has developed a distinct image for his store. This is an example of
________.
A) segmentation
B) targeting
C) placement
D) positioning
E) social marketing
85) In the RYAN’S RUNNERS MINI CASE, which of the four elements of the marketing mix
does Ryan use to differentiate his store in the marketplace?
A) place
B) positioning
C) promotion
D) price
E) product/service
86) In the RYAN’S RUNNERS MINI CASE, which of the following is most likely to represent
the unique selling proposition at Ryan’s Runners?
A) Ryan’s Runners offers the widest selection of athletic shoes in town.
B) Ryan’s Runners is the price leader in running gear.
C) At Ryan’s Runners, runners can find high quality products and get recommendations from
employees who share their passion for running.
D) Ryan’s Runners is a place where all athletes can find all the equipment they need for the sport
of their interest.
E) all of the above
87) In the AIRLINE MINI CASE, when Transatlantic upgrades the seat assignment of especially
loyal customers, the airline is attempting to increase ________.
A) net revenue
B) production capacity
C) customer satisfaction
D) social responsibility
E) profit margins
88) In the AIRLINE MINI CASE, by tracking flight searches and developing services to better
meet customers’ unfulfilled needs, Transatlantic adheres to the ________.
A) social marketing concept
B) production concept
C) selling concept
D) marketing concept
E) product concept
89) Consumer behavior includes the behavior that consumers display in searching for,
purchasing, evaluating and disposing of products and services.
90) Marketing-oriented companies try to persuade consumers to buy what the firm has already
produced, regardless of whether those goods satisfy consumers’ needs.
91) The production concept makes sense in developing countries where the main objective is to
make products available to the maximum number of consumers at the lowest prices.
92) Marketing myopia causes companies to focus on crucial changes in the marketplace as they
look through the window rather than into the mirror.
93) The selling concept does not consider customer satisfaction because consumers who are
aggressively induced to buy products they do not want or need will not buy them again.
94) Implementing the marketing concept includes consumer research, market segmentation, a
combination of the product, price, place and promotion strategies, providing value, and long-
term customer satisfaction and retention.