Question 1

The use of information technology to analyze data about customers and their transactions,to identify and target messages toward specific group of potential customers is referred to as _____.

Accepted Answer

A) strategic alliance 
B) relationship marketing 
C) cobranding 
D) frequency marketing 
E) value chain
F)database marketing
G)application service providers
H)customer relationship management
I)Web services
J)internal customers
K)comarketing
L)quick-response merchandising
M)affinity program
N)lifetime value of a customer
O)seller partnership
P)national account selling
Q)transaction-based marketing
R)customer churn
S)buzz marketing
T)grassroots marketing

Question 2

Cannondale Bicycles has a customers' group called "The Chain Gang." Members receive emails listing cycling-related tips,as well as access to a special website dedicated to cycling.In the context of the relationship marketing continuum,this is an example of the _____ level of relationship marketing.

Accepted Answer

A)  first 
B)  second 
C)  fifth 
D)  fourth

Question 3

Database marketing involves the use of information technology to analyze data about customers and their transactions.

Accepted Answer

A) True 
 B)False

Question 4

_____ is a relationship involving long-term exchange of goods or services in return for cash or other valuable consideration.

Accepted Answer

A) strategic alliance 
B) relationship marketing 
C) cobranding 
D) frequency marketing 
E) value chain
F)database marketing
G)application service providers
H)customer relationship management
I)Web services
J)internal customers
K)comarketing
L)quick-response merchandising
M)affinity program
N)lifetime value of a customer
O)seller partnership
P)national account selling
Q)transaction-based marketing
R)customer churn
S)buzz marketing
T)grassroots marketing

Question 5

Which of the following is an example of affinity marketing?

Accepted Answer

A)  University of Iowa branded credit card 
B)  Hallmark's Gold Crown card 
C)  Blockbuster Rewards video card 
D)  United Airlines Mileage Plus program

Question 6

The main objective of internal marketing programs is to:

Accepted Answer

A)  share resources with business partners. 
B)  encourage employees to view each other as competitors. 
C)  create satisfied employees. 
D)  facilitate a vertical integration.

Question 7

A strategic alliance can be formed only between those firms that serve the same industry.

Accepted Answer

A) True 
 B)False

Question 8

_____ involves computer-to-computer exchanges of invoices,orders,and other business documents.

Accepted Answer

A)  Quick-response merchandising 
B)  Electronic data interchange 
C)  Cyberloafing 
D)  Systems polarization

Question 9

The first step in measuring customer satisfaction involves comparing actual sales to forecasted sales.

Accepted Answer

A) True 
 B)False

Question 10

At the third-level of relationship marketing continuum,buyer-seller relationships are transformed structurally into business partnerships.

Accepted Answer

A) True 
 B)False

Question 11

Which of the following statements is true regarding the interaction between a company and its customers?

Accepted Answer

A)  Marketers must adhere to traditional performance measures to formulate customer-based missions and goals. 
B)  Customers have greater loyalty to a company after a conflict has been resolved than if they had never complained at all. 
C)  As happy customers typically talk about their buying experiences more than unhappy customers do, the cost of dissatisfaction incurred by a company tends to be low. 
D)  Any method that makes it easier for customers to complain ends up demonstrating the ineptitude of a firm.

Question 12

Customer relationship management (CRM)requires a top-down commitment to succeed and must penetrate every aspect of a firm's business.

Accepted Answer

A) True 
 B)False

Question 13

The relationship marketing programs at the third level of the relationship marketing continuum usually aim to create:

Accepted Answer

A)  social interaction. 
B)  financial interaction. 
C)  interdependent partnership. 
D)  viral advertising.

Question 14

Lateral partnership is a relationship that involves customers within an organization.

Accepted Answer

A) True 
 B)False

Question 15

Often,the desirability of partnering in the business market is based on the fact that each firm brings to the partnership something the other needs but cannot provide on its own.

Accepted Answer

A) True 
 B)False

Question 16

Internal marketing involves selling products to employees of the firm at a discount.

Accepted Answer

A) True 
 B)False

Question 17

Assume that Ford has established a strategic alliance with Michelin to design an exclusive line of tires for Ford automobiles.The Ford-Michelin strategic alliance would be a horizontal alliance.

Accepted Answer

A) True 
 B)False

Question 18

Customer win-back is a customer relationship management strategy that focuses on acquiring new customers.

Accepted Answer

A) True 
 B)False

Question 19

Companies use knowledge obtained from databases to track customer buying patterns and to customize offerings and sales promotions.

Accepted Answer

A) True 
 B)False

Question 20

In addition to examining the lifetime value of a customer and the payback from a customer relationship,what other techniques can a firm use to evaluate its relationship marketing programs?

Accepted Answer

The answer of In addition to examining the lifetime value...

Exam 11: Relationship Marketing and Customer Relationship Management (CRM)

The use of information technology to analyze data about customers and their transactions,to identify and target messages toward specific group of potential customers is referred to as _____.

Cannondale Bicycles has a customers' group called "The Chain Gang." Members receive emails listing cycling-related tips,as well as access to a special website dedicated to cycling.In the context of the relationship marketing continuum,this is an example of the _____ level of relationship marketing.

Database marketing involves the use of information technology to analyze data about customers and their transactions.

_____ is a relationship involving long-term exchange of goods or services in return for cash or other valuable consideration.

Which of the following is an example of affinity marketing?

The main objective of internal marketing programs is to:

A strategic alliance can be formed only between those firms that serve the same industry.

_____ involves computer-to-computer exchanges of invoices,orders,and other business documents.

The first step in measuring customer satisfaction involves comparing actual sales to forecasted sales.

At the third-level of relationship marketing continuum,buyer-seller relationships are transformed structurally into business partnerships.

Which of the following statements is true regarding the interaction between a company and its customers?

Customer relationship management (CRM)requires a top-down commitment to succeed and must penetrate every aspect of a firm's business.

The relationship marketing programs at the third level of the relationship marketing continuum usually aim to create:

Lateral partnership is a relationship that involves customers within an organization.

Often,the desirability of partnering in the business market is based on the fact that each firm brings to the partnership something the other needs but cannot provide on its own.

Internal marketing involves selling products to employees of the firm at a discount.

Assume that Ford has established a strategic alliance with Michelin to design an exclusive line of tires for Ford automobiles.The Ford-Michelin strategic alliance would be a horizontal alliance.

Customer win-back is a customer relationship management strategy that focuses on acquiring new customers.

Companies use knowledge obtained from databases to track customer buying patterns and to customize offerings and sales promotions.

In addition to examining the lifetime value of a customer and the payback from a customer relationship,what other techniques can a firm use to evaluate its relationship marketing programs?