Based on the market attractiveness/competitive position matrix, which of the following
strategies should a firm consider when the market attractiveness is high and the
competitive position is strong?
A. It should protect existing strengths and invest to improve position only in areas
where risk is low.
B. It should defend its current position and stop all further investments.
C. It should sell when possible to maximize cash value and cut fixed costs in the
meantime.
D. It should invest more to grow at a maximum rate and concentrate on maintaining
strengths.
Which of the following is the critical determinant of success in mature markets?
A. Continually working to improve the value of offerings
B. Hostile takeover of competitors in the market
C. Lowering the price of offerings instead of differentiating
D. Considerably downsizing the firm to cut costs
Which of the following share-growth strategies involves attacking the leader within its
primary target market?
A.Flanker strategy
B.Frontal attack strategy
C.Encirclement strategy
D.Guerrilla attack strategy
Which of the following involves buying keywords for which consumers are likely to
search on the Internet?
A. Benchmarking
B. Search engine optimization
C. Search engine marketing
D. Electronic data interchange
_____ entails designing product offerings and marketing programs that can establish an
enduring competitive advantage in the target market by creating a unique brand image,
or position, in the customer’s mind.
A.Brand positioning
B.Market segmentation
C.Brand preference
D.Brand dilution
For an industry, attractive opportunities are available at the micro level when:
A. the business has inferior organizational processes or resources.
B. the company possesses something proprietary that is easily duplicable.
C. the company’s business model is economically viable.
D. the source of customer pain and its resolution is unknown.
Product management organizations:
A.rely primarily on hierarchical mechanisms for resolving conflicts across functional
areas.
B.are characterized by decentralized decision making and an increased amount of
product specialization within the SBU.
C.are the most specialized type of organization.
D.are the most common organizational form among entrepreneurial start-ups, including
many dot-com companies.
_____ is the simplest way to enter a foreign market because it involves the least
commitment and risk.
A.Exporting
B.Countertrade
C.Franchising
D.Overseas direct investment
The transition from market growth to maturity typically begins:
A. when the market is still growing but the rate of growth starts to decline.
B. when the market growth starts to accelerate.
C. after the market ceases to grow.
D. when the demand for a product outstrips its rate of production.
E-tailers such as Amazon and iTunes are examples of _____ category of e-commerce.
A.business-to-business
B.consumer-to-business
C.business-to-consumer
D.consumer-to-consumer
The design, collection, analysis, and reporting of study intended to gather data pertinent
to a particular marketing challenge or situation is referred to as _____.
A.benchmarking
B.marketing research
C.marketing myopia
D.marketing mix
Which of the following is characteristic of a market expansion strategy?
A.Make product modifications or improvements to match or beat superior competitive
offerings.
B.Develop a second brand or product line with features or price more appealing to a
specific segment of potential customers.
C.Meet or beat lower prices or heavier promotional efforts by competitors when
necessary to retain customers and when lower unit costs allow.
D.Develop multiple-line extensions or brand offerings targeted to the needs of various
potential user applications or geographical segments within the market.
The gap between management perceptions and service quality specifications occurs
when:
A. a firm’s policies concerning customer service are unclear or haphazardly enforced.
B. a firm does not have an accurate understanding of service evaluation by customers.
C. a firm’s marketing communications causes unrealistically high expectations in
customers.
D. a firm fails to give its employees adequate reward structures for good performance.
In which of the following stages of the customer experience process does information
flow from the producer to the customer?
A. Customer insight
B. Product delivery
C. Product return or disposal
D. Production promotion, customer acquisition, and brand building
In expressing corporate objectives aimed at enhancing shareholder value, a firm
combining its debt and market value of its stock, and then subtracting the capital
invested in the company, is using the _____ approach.
A.return on capital
B.economies of scale
C.economic value added
D.cash conversion cycle
Which of the following share-growth strategies is appropriate when the needs and
preferences of customers in most segments are currently satisfied by competing brands?
A. Leapfrog
B. Flank attack
C. Encirclement
D. Guerrilla attack
Which of the following is characteristic of perceptual positioning analysis of a brand?
A.Technical orientation
B.R&D implications need to be interpreted
C.Physical brand properties
D.Large number of dimensions
FirstEnergy Corp. combined several autonomous business units that worked together to
make different electrical and energy products. The units shared the production facilities,
marketing activities, and had a common sales force. By sharing, the group was able to
reduce the costs of both per-unit production and marketing. Which dimension does
FirstEnergy exemplify in this scenario?
A.Synergy of operating facilities
B.Scope of strategic domain
C.Resource deployment
D.Goals and objectives
Each macroenvironmental trend has a distinct impact on the consumer and industrial
market. Identify the situation where industries such as check-cashing outlets and pawn
shops will face a tough time staying in business.
A.Increased immigration
B.Robust economy
C.Economic recession
D.Aging population