No two SBUs within a firm compete for the same customers with similar products.
Which SBU characteristic is being emphasized here?
A.A heterogeneous set of markets
B.Responsibility for their own profitability
C.Control over factors necessary for successful performance
D.A unique set of product-markets
In which stage of the consumer experience process does cash flow from the producer to
the consumer?
A.Product delivery
B.Product return or disposal
C.Customer support and service
D.Customer insight
A business avoids direct confrontation with its major competitors by concentrating on
narrowly defined market niches. According to Michael Porter, which of the following
competitive strategies does this exemplify?
A.Maintaining cost leadership in a specific market segment
B.Using market penetration strategies to gain a foothold in a saturated market
C.Focusing on an elite customer segment
D.Differentiating between competitors’ products
_____ divides the market according to the characteristics of the buying organization
using attributes such as age of firm, firm size, and industry affiliation.
A. Microsegmentation
B. Geographic segmentation
C. Behavioral segmentation
D. Macrosegmentation
Which controversial system gauges a customer’s desire to buy, measures his means, and
sets the price accordingly?
A.Dynamic pricing
B.Price pooling
C.Price skimming
D.Hedonic pricing
Which of the following characteristics is true of adopter groups?
A.Innovators are not receptive to new ideas and tend to adopt a product late.
B.Laggards are more venturesome than later adopters.
C.Late majority adopt a new product for either economic or social reasons.
D.Early adopters want to be sure that a new product will prove successful before
adoption.
Which of the following increases a buyer’s bargaining power?
A.Higher switching costs
B.Low buyer profitability
C.Higher importance of the product to the buyer
D.Backward integration by suppliers
Which of the following is true of a mass-market strategy?
A. It involves serving one or more segments with customers seeking
somewhat-specialized benefits from a product.
B. It works on the principle that an undifferentiated marketing strategy generates more
sales than a differentiated strategy.
C. It involved using a differentiated marketing strategy to decrease manufacturing and
promotion costs.
D. It involves designing a single product-and-marketing program that will appeal to the
largest number of consumers.
Theaters, orchestras, and other performing arts organizations often reach audiences
outside major metropolitan areas by promoting matinee performances at lower prices
and free transportation to attract senior citizens and students. Identify the strategy being
employed in this case.
A.Expansion by diversifying
B.Expansion by selling existing products to new segments
C.Expansion by developing new products for current customers
D.Expansion by increasing penetration of current product-markets
A _____ policy relates to the breadth or diversity of product lines, their level of
technical sophistication, and the target level of product quality relative to competitors.
A. pricing
B. product
C. promotion
D. distribution
The calculated market value added (MVA) for Triptych Inc. is positive. Which of the
following is indicated by this result?
A.The amount of wealth the company has created
B.The amount of debt the company has accumulated
C.The total amount of resources available to the company
D.The success of the company’s efforts at sustainability
Which of the following types of business strategies is characterized by a moderate level
of SBU autonomy?
A.Differentiated defender
B.Prospector
C.Low-cost defender
D.Reactor
In which stage of the consumer experience process is information about price, terms,
delivery, warranty, etc. shared between both the producer and the consumer?
A.Customer insight
B.Product disposal
C.Promotion and brand building
D.Transaction
Identify the step of the contingency planning process that requires a specification of
both the level at which an alert will be called and the combination of events that must
occur before the firm reacts.
A.Specifying response options
B.Activating the contingency plan
C.Tracking and monitoring the action plan
D.Identifying critical assumptions
Which of the following is an appropriate strategic objective for repositionings?
A.Use excess or off-season capacity
B.Provide a cash generator
C.Capitalize on distribution strengths
D.Exploit technology in a new way
Which of the following adopters forms the smallest group in the diffusion of innovation
curve?
A. Innovators
B. Laggards
C. Early adopters
D. Late majority
Which of the following is a factor of the economic environment?
A. Fitness and nutrition patterns
B. Corporate social responsibility
C. Rise and fall in interest rates
D. Aging population