Question 1

Customer lifetime value refers to the total potential revenue from each customer over a certain time span minus the cost of attracting and keeping that customer.

Accepted Answer

A) True 
 B)False

Question 2

Many Web sites use stealth marketing,letting visitors sign up for specific content streams with the promise that they won't be bombarded with information they don't care about.

Accepted Answer

A) True 
 B)False

Question 3

Demographics differs from psychographics in that demographics ________.

Accepted Answer

A)  involves analyzing customers' self-concept and behavior 
B)  involves segmenting the market into geographic units 
C)  involves grouping customers according to characteristics such as age, gender, and income 
D)  involves grouping customers according to their relationship with products 
E)  involves grouping customers according to their response to product characteristics

Question 4

Mass marketing differs from differentiated marketing in that mass marketing ________.

Accepted Answer

A)  has one marketing mix for the entire market 
B)  focuses on only a single market segment 
C)  requires substantial resources 
D)  sells a variety of products to several target customer groups 
E)  targets a single location or even a single customer

Question 5

Social commerce refers to a type of information system that captures,organizes,and capitalizes on all the interactions that a company has with its customers.

Accepted Answer

A) True 
 B)False

Question 6

A firm's marketing mix consists of product,price,distribution,and customer communication.

Accepted Answer

A) True 
 B)False

Question 7

What is marketing mix? Discuss the four main components of the marketing mix.

Accepted Answer

The answer of What is marketing mix? Discuss the four...

Question 8

Tension that exists when a person's beliefs don't match his or her behaviors is called ________.

Accepted Answer

A)  cognitive dissonance 
B)  anchoring 
C)  hindsight bias 
D)  self-serving bias 
E)  fundamental attribution error

Question 9

Marks Inc.,a company that manufactures carbonated soft drinks called Quick Drinks,classifies its target market based on the occasions that prompt customers to buy Quick Drinks,their frequency of purchasing the drinks,and their preference for the Quick Drinks brand.This data enables the firm to better market its products.In this example,Marks Inc.uses which of the following targeting strategies?

Accepted Answer

A)  geographic segmentation 
B)  demographic segmentation 
C)  behavioral segmentation 
D)  horizontal integration 
E)  cause-related marketing

Question 10

High Fashion,a firm that manufactures and sells ready-to-wear fashion apparel in Chicago,becomes a very popular brand within a few years of its launch.After examining the current market situation,Fernanda Rhone,the owner of the firm,decides to pursue market opportunities through market development.Which of the following actions is she most likely to take based on this decision?

Accepted Answer

A)  She offers discount coupons to her current market through a popular lifestyle magazine. 
B)  She opens another store in Cincinnati, which stocks the same ready-to-wear fashion apparel that she sells in Chicago. 
C)  She starts selling new home decor products such as quilts, wall hangings, and table cloths at her current fashion outlet in Chicago. 
D)  She opens a new home furnishing outlet in Cincinnati, which sells home furnishings and home decor items at affordable prices. 
E)  She changes the layout and decor of her current fashion outlet in Chicago, to make it more attractive and customer friendly.

Question 11

Consumer purchasing differs from organizational purchasing in that consumer purchasing ________.

Accepted Answer

A)  is influenced more by subconscious and emotional factors 
B)  follows a formal buying process 
C)  has greater complexity in product usage 
D)  involves a closer relationships between buyers and sellers 
E)  has a greater emphasis on economic payback

Question 12

Creating new products for new markets is called ________.

Accepted Answer

A)  market penetration 
B)  vertical integration 
C)  diversification 
D)  horizontal integration 
E)  decentralization

Question 13

Successful marketers try to identify sources of competitive advantage and areas that need improvement.

Accepted Answer

A) True 
 B)False

Question 14

Strategic marketing planning refers to the process of examining an organization's current marketing situation,assessing opportunities and setting objectives,and then developing a marketing strategy to reach those objectives.

Accepted Answer

A) True 
 B)False

Question 15

The process of examining an organization's current marketing situation,assessing opportunities and setting objectives,and then developing a marketing strategy to reach those objectives is called ________.

Accepted Answer

A)  stealth marketing 
B)  strategic marketing planning 
C)  marketing research 
D)  social commerce 
E)  marketing concept

Question 16

Compare and contrast the influence of customer relationship management (CRM)systems on the marketing process with that of social commerce.

Accepted Answer

The answer of Compare and contrast the influence of customer...

Question 17

Ethnographic research refers to research that measures brain activity while customers are viewing or interacting with product,Web site,or other elements.

Accepted Answer

A) True 
 B)False

Question 18

Compare and contrast marketing concept with product and sales concept.

Accepted Answer

The answer of Compare and contrast marketing concept with product...

Question 19

Just Read,an online retailer of books,encourages users to write reviews of the books which they purchase and rate them.This allows potential customers to know more about the books offered for sale.In this example,Just Read uses which of the following strategies?

Accepted Answer

A)  diversification 
B)  product development 
C)  social commerce 
D)  market segmentation 
E)  vertical integration

Question 20

Lifestyle Apparels Inc.,an international fashion and apparel manufacturing and selling company,divides its target market segment into groups based on the climatic conditions of the locations where the customers reside.This enables the firm to offer products that are suited to the climatic conditions of the place where the customers reside.In this example,Lifestyle Apparels Inc.uses which of the following strategies?

Accepted Answer

A)  market development 
B)  vertical integration 
C)  market segmentation 
D)  horizontal integration 
E)  cause-related marketing

Exam 13: The Art and Science of Marketing

Customer lifetime value refers to the total potential revenue from each customer over a certain time span minus the cost of attracting and keeping that customer.

Many Web sites use stealth marketing,letting visitors sign up for specific content streams with the promise that they won't be bombarded with information they don't care about.

Demographics differs from psychographics in that demographics ________.

Mass marketing differs from differentiated marketing in that mass marketing ________.

Social commerce refers to a type of information system that captures,organizes,and capitalizes on all the interactions that a company has with its customers.

A firm's marketing mix consists of product,price,distribution,and customer communication.

What is marketing mix? Discuss the four main components of the marketing mix.

Tension that exists when a person's beliefs don't match his or her behaviors is called ________.

Consumer purchasing differs from organizational purchasing in that consumer purchasing ________.

Creating new products for new markets is called ________.

Successful marketers try to identify sources of competitive advantage and areas that need improvement.

Strategic marketing planning refers to the process of examining an organization's current marketing situation,assessing opportunities and setting objectives,and then developing a marketing strategy to reach those objectives.

The process of examining an organization's current marketing situation,assessing opportunities and setting objectives,and then developing a marketing strategy to reach those objectives is called ________.

Compare and contrast the influence of customer relationship management (CRM)systems on the marketing process with that of social commerce.

Ethnographic research refers to research that measures brain activity while customers are viewing or interacting with product,Web site,or other elements.

Compare and contrast marketing concept with product and sales concept.

Just Read,an online retailer of books,encourages users to write reviews of the books which they purchase and rate them.This allows potential customers to know more about the books offered for sale.In this example,Just Read uses which of the following strategies?