Question 1

Internal environmental factors are all under the firm's control.

Accepted Answer

A) True 
 B)False

Question 2

Open Sesame is a chain of Thai restaurants located in the western United States. The marketing manager has discovered that there is a growing demand for Spanish food, and the appetite for Asian food is declining. In the context of SWOT analysis, this information would be included under ________.

Accepted Answer

A)  strengths 
B)  threats 
C)  opportunities 
D)  strategies 
E)  weaknesses

Question 3

Green Scene Co., a struggling start-up firm that needs a huge cash injection, has an environmentally friendly pesticide that is approved for use by commercial organic farmers. The pesticide is made from all-natural ingredients and has great potential. A small investment firm has injected cash in Green Scene. In the context of the BCG matrix, Green Scene is most likely considered a ________.

Accepted Answer

A)  star 
B)  cash cow 
C)  dog 
D)  question mark 
E)  top gun

Question 4

The best place in a SWOT analysis for a wristwatch manufacturer to identify the presence of competitive substitute products is ________.

Accepted Answer

A)  external opportunities 
B)  external threats 
C)  internal opportunities 
D)  internal strengths 
E)  internal weaknesses

Question 5

Malala, the marketing manager of an automobile dealership, is crafting a SWOT analysis. In this case, she should include the downturn in the U.S. economy and tightening of the credit markets under ________.

Accepted Answer

A)  strengths 
B)  threats 
C)  opportunities 
D)  strategies 
E)  weaknesses

Question 6

The best place in a SWOT analysis for an airline to identify the possibility of acquiring a competitor is ________.

Accepted Answer

A)  external opportunities 
B)  external threats 
C)  internal opportunities 
D)  internal strengths 
E)  internal weaknesses

Question 7

Which of the following competitive forces is NOT addressed directly by Michael Porter?

Accepted Answer

A)  threat of new entrants 
B)  threat of substitute products 
C)  relative power of other stakeholders 
D)  bargaining power of suppliers 
E)  rivalry among existing firms

Question 8

Strategy has two key phases: formulation and execution.

Accepted Answer

A) True 
 B)False

Question 9

The last element in the value chain is margin, which refers to profit made by the firm.

Accepted Answer

A) True 
 B)False

Question 10

A mission statement does NOT include a discussion of the firm's strategic vision.

Accepted Answer

A) True 
 B)False

Question 11

According to the 2010 U.S. Census, Asian Americans are a high-income, fast-growing racial group in America. In the context of situation analysis, under which of the following macro-level external environmental factors will this be included?

Accepted Answer

A)  natural factors 
B)  legal and ethical issues 
C)  technological advancements 
D)  sociocultural/demographic factors 
E)  firm structure and systems

Question 12

According to the BCG matrix, a business that is classified as a star has high growth and low market share.

Accepted Answer

A) True 
 B)False

Question 13

Market development strategies allow a firm to invest additional resources to have existing customers consume new products.

Accepted Answer

A) True 
 B)False

Question 14

Which of the following is NOT one of the four strategic types of firms proposed by Miles and Snow?

Accepted Answer

A)  prospectors 
B)  analyzers 
C)  defenders 
D)  reactors 
E)  compromisers

Question 15

Form utility is ________.

Accepted Answer

A)  marketing's task in creating an offering that has value 
B)  production's task in creating an offering that is desired by the market 
C)  the firm's task in deciding where to distribute the product 
D)  created when products are available to customers at a convenient location 
E)  that which allows for transfer of the product ownership from seller to buyer

Question 16

Mary's firm has delayed making a decision on acquiring a new product line because her marketing team members took more than three months to analyze the numbers. Which of the following tips for successful marketing planning experience did the firm fail to use?

Accepted Answer

A)  Stay inflexible. 
B)  Utilize input, but don't become paralyzed by information and analysis. 
C)  Don't underestimate the implementation part of the plan. 
D)  Stay strategic, but also stay on top of the tactical. 
E)  Give yourself and your people room to fail and try again.

Question 17

Hot and Cold Corp. makes disposable coffee and soft drink cups for use in fast-food restaurants, hospitals, convenience stores, and the like. The company is working on a sturdy new product that will biodegrade within five years of being put in a landfill. According to the BCG matrix, this promising new product line would most likely be classified as a ________.

Accepted Answer

A)  star 
B)  cash cow 
C)  dog 
D)  problem child 
E)  question mark

Question 18

Automobile manufacturers must comply with regulations set by the National Transportation and Safety Board. In the context of situation analysis, which of the following macro-level external environmental factors does this exemplify?

Accepted Answer

A)  sociocultural/demographic 
B)  firm structure and systems 
C)  political, legal, and ethical 
D)  firm resources 
E)  threat of new entrants

Question 19

A ________ articulates an organization's reason for existence and defines the unique purpose that sets it apart from competitors and identifies the scope of the company's operations, products, and markets.

Accepted Answer

A)  mission statement 
B)  functional-level plan 
C)  value chain 
D)  marketing strategy 
E)  value proposition

Question 20

Tyler's event planning company hired a new marketing assistant who focuses only on long-term organizational goals and objectives, ignoring the functional or operational level aspects of planning. For having a successful marketing planning experience, in which concept should the new assistant be trained?

Accepted Answer

A)  Stay flexible. 
B)  Utilize input, but don't become paralyzed by information and analysis. 
C)  Don't underestimate the implementation part of the plan. 
D)  Stay strategic, but also stay on top of the tactical. 
E)  Give yourself and your people room to fail and try again.

Exam 3: Elements of Marketing Strategy, Planning, and Competition

Internal environmental factors are all under the firm's control.

Open Sesame is a chain of Thai restaurants located in the western United States. The marketing manager has discovered that there is a growing demand for Spanish food, and the appetite for Asian food is declining. In the context of SWOT analysis, this information would be included under ________.

The best place in a SWOT analysis for a wristwatch manufacturer to identify the presence of competitive substitute products is ________.

Malala, the marketing manager of an automobile dealership, is crafting a SWOT analysis. In this case, she should include the downturn in the U.S. economy and tightening of the credit markets under ________.

The best place in a SWOT analysis for an airline to identify the possibility of acquiring a competitor is ________.

Which of the following competitive forces is NOT addressed directly by Michael Porter?

Strategy has two key phases: formulation and execution.

The last element in the value chain is margin, which refers to profit made by the firm.

A mission statement does NOT include a discussion of the firm's strategic vision.

According to the 2010 U.S. Census, Asian Americans are a high-income, fast-growing racial group in America. In the context of situation analysis, under which of the following macro-level external environmental factors will this be included?

According to the BCG matrix, a business that is classified as a star has high growth and low market share.

Market development strategies allow a firm to invest additional resources to have existing customers consume new products.

Which of the following is NOT one of the four strategic types of firms proposed by Miles and Snow?

Form utility is ________.

Mary's firm has delayed making a decision on acquiring a new product line because her marketing team members took more than three months to analyze the numbers. Which of the following tips for successful marketing planning experience did the firm fail to use?

Automobile manufacturers must comply with regulations set by the National Transportation and Safety Board. In the context of situation analysis, which of the following macro-level external environmental factors does this exemplify?

A ________ articulates an organization's reason for existence and defines the unique purpose that sets it apart from competitors and identifies the scope of the company's operations, products, and markets.