Firms generally only use one method of segmentation at a time.
Customers in the B2B market place demand not only a personal relationship with their
vendors but also an efficient one.
A push strategy doesn’t mean a manufacturer wouldn’t engage in any channel
incentives, but rather that the incentives would likely be greatly reduced versus a pull
strategy.
If the essential benefit of a product is not met, the other value-added product
experiences the marketer creates have little or no meaning to the customer.
Customer satisfaction refers to the degree to which a customer will resist switching
from one offering to another.
Price skimming is used for market share maximization.
The way a company ultimately connects its value proposition to a target market is
through its __________.
A.Targeting
B.Market segmentation
C.Churn analysis
D.Positioning
E.None of the above
Positioning relies on the communication of one or more sources of value to customers
in a way that the customer can easily make the connection between his or her needs and
wants and what the product has to offer.
The insurance and financial services firm that consistently rates high in customer
satisfaction due to its CRM system is ____________.
A.Wells Fargo
B.USAA
C.Bank of North America
D.Morgan Stanley
E.Washington Mutual
USAA is a broad-based insurance and financial services provider. The company has one
of the most sophisticated and best-managed CRM systems in the world.
As the sugar price has gone up, a good portion of the profit margin of a candy bar has
been preserved by simply reducing the size of the bar. The candy manufacturers are
utilizing the principle of ____________.
A.Price fixing
B.Price discrimination
C.Deceptive pricing
D.Just noticeable difference (JND)
E.Predatory pricing
Just noticeable difference (JND) in a price, is the amount of price increase that can be
taken without affecting customer demand. In order to restrict the increase in the price of
the candy bar in spite of the rising sugar prices, the manufacturers have reduced the size
of the bar.
Small portable computers, powerful statistical software packages and Internet enabled
supply chain management systems are all examples of how _________ influences
marketing.
A.Knowledge
B.Information
C.Economics
D.Technology
E.Training
Technology has been one of the major catalysts for change in the marketplace. Faster,
smaller, and easier-to-use computers and powerful software facilitate sophisticated
analyses right on the desks of front-line managers from anywhere in the world.
______________________ is a characteristic of a great sales presentation.
A.Explaining the value proposition
B.Maximizing change conflict
C.Developing win-lose solutions
D.Focusing on technology
E.Emphasizing features over benefits
The goal of a sales presentation is not simply to make the sale but to create a strong
value proposition that will lead to a mutually beneficial long-term relationship.
The _____________ aspect of a firm is generally the most visible to people outside the
organization.
A.Financial management
B.Accounting
C.Marketing
D.Information technology
E.Operations management
A good portion of marketing is very public. Of all the business fields, marketing is
almost certainly the most visible to people outside the organization.
__________________ overtly attempts to consider the role of price as it reflects the
bundle of benefits sought by the customer.
A.Penetration pricing
B.Price skimming
C.Target ROI
D.Competitor based pricing
E.Value pricing
Firms that have an objective of utilizing pricing to communicate positioning use a value
pricing strategy. Value pricing overtly attempts to consider the role of price as it reflects
the bundle of benefits sought by the customer.
Customer __________ is usually based on a high level of perceived value derived from
the offering and a strong relationship with the provider and its brand(s).
A.Loyalty
B.Satisfaction
C.Acquisition
D.Retention
E.Profitability
Loyalty is usually based on high satisfaction coupled with a high level of perceived
value derived from the offering and a strong relationship with the provider and its
brand(s).
It is said that B2B demand is more _____________ in general than B2C demand for
products or services.
A.Elastic
B.Bimodal
C.Inelastic
D.Systemic
E.Price-sensitive
Business products experience fairly inelastic demand, meaning changes in demand are
not significantly affected by changes in price.
When new-to-the-world products are better, faster versions of existing products that
target, for the most part, existing customers it is said that these products are
___________.
A.Neo innovations
B.Subtle innovations
C.Left handed innovations
D.Sustaining innovations
E.Disruptive innovations
Sustaining innovations are newer, better, faster versions of existing products that target,
for the most part, existing customers.
The account manager of a marketing research firm is conducting secondary research on
consumer preferences in energy drinks for his clients. His client’s drink is 100%
organic, but all of the secondary data he has found is for beverages that contain a
majority of artificial ingredients. This is an example of the __________ disadvantage of
using secondary data.
A.Timeliness
B.Cost
C.Speed
D.Fit
E.Accuracy
Secondary data will almost always not fit the research problem exactly, so a specific
answer to the research problem will not be possible using secondary data alone.
_______ is/are often referred to as the “baby bust” because it represents a natural
cyclical downturn in birthrate.
A.Millennials
B.Generation X
C.Generation Y
D.The silent generation
E.Baby boomers
Gen X is often referred to as the “baby bust” because it represents a natural cyclical
downturn in birthrate.
_____ is referred to as outsourcing the sales force.
A.Organizing a company sales force by geographic orientation
B.Having a separate sales force for each product
C.Structuring the sales force by customer type
D.Using independent sales agents
E.Classifying all the company’s customers into categories
One option is to use independent agents instead of company salespeople. It is not
unusual for a company, such as IBM, to use both company salespeople and independent
agents. Using independent sales agents is referred to as outsourcing the sales force.
______ is a unique set of personal qualities that produce distinctive responses across
similar situations.
A.Attitude
B.Personality
C.Situational state
D.Personal characteristic
E.A mind-set
Personality is a set of consistent, enduring personal characteristics which varies from
person to person. It is a set of unique qualities that produce distinctive responses across
similar situations.
______________ is/are an assortment of items considered substitutes for each other.
A.Merchandising categories
B.National brands
C.Private-label brands
D.Product mix
E.Inventory
Merchandising categories are an assortment of items considered substitutes for each
other. A mother, for example, looking to purchase pants for her son might consider a
number of options (jeans or corduroys, dress or play). Those options represent a
merchandise category.
To better take into account the differential impact of fixed and variable costs, marketing
managers can use ________________.
A.Cost plus pricing
B.Price war
C.Markup on sales price
D.Average-cost pricing
E.Target return pricing
Target return pricing takes into account the differential impact of fixed and variable
costs.
Jos© and Maria’s son Jorge is a talented swimmer. The pool where he takes swimming
lessons is 45 miles from their home in suburban Atlanta. ________ utility is NOT part
of the round trip they make six days a week.
A.Exchange
B.Time and place
C.Ownership
D.Form and ownership
E.Place
The time and place are not convenient for the family as suggested by the travel time in a
metropolitan area.
Vincent has just flown from his home in France to Chicago to visit his aunt. Upon
landing he realized that he left his jacket at home, so on his way to his aunt’s house he
stops at a department store to purchase a coat. When he gets to the counter Vincent
looks at the price tag and then offers to pay 10% less than the printed price. What kind
of pricing strategy is Vincent used to?
What is an essential benefit? List five products and their essential benefits.
How has the demand for biofuels affected the demand for corn?
Why does technology play a critical role in connecting the buyer and the seller in the
B2B market?
Describe the analysis and refinement phase of the CRM process cycle.
List and describe the four factors that help to determine the kind of research that needs
to be done. Explain why each is an important consideration and give a specific example
of how failing to account for each could harm the research process.
Describe the relationship between customer loyalty and satisfaction.