MKTG 301 EXAM 1 CHAPTER 1 REVIEW QUESTIONS WITH CORRECT ANSWERS LATEST UPDATE
2026
Marketing - Answers * Managing profitable customer relationships.
* Attracting new customers by promising superior value and to keep and grow current
customers by delivering satisfaction.
* Satisfying customer needs
* Peter Drucker: "The aim of marketing is to make selling unnecessary."
* The process by which companies create value for customers and build strong customer
relationships in order to capture value from customers in return.
5 Core Customer and Marketplace Concepts - Answers Marketers need to understand customer
needs and wants and the marketplace within which they operate:
1) Needs, wants, and demands
2) Market offerings (products, services, and experiences)
3) Value and satisfaction
4) Exchanges and relationships
5) Markets
1) Customer needs, wants, and demands - Answers * Human needs: states of felt deprivation.
Include physical needs (food, clothing, warmth, and safety), social needs (belonging, affection),
and individual needs (knowledge, self-expression). Part of the human makeup, not created by
marketers.
* Wants: the form human needs take as they are shaped by culture and individual personality,
described in terms of objects that will satisfy needs. (You could need food, but want a Big Mac
or rice, depending on your culture).
* Demands: human wants that are backed by buying power. Given their wants and resources,
people demand products with benefits that add up to the most value and satisfaction.
, =Outstanding marketing companies go to great lengths to learn about and understand their
customers' needs, wants, and demands, conducting customer research (ethnography) and
analyzing mountains of customer data (reviewing feedback and comments).
2) Market offerings: products, services, and experiences - Answers * Market offerings: some
combination of products, services, information, or experiences offered to a market to satisfy a
need or want.
= Not only limited to physical products. Can be services, such as banking, airline, hotel, tax
preparation, etc. Also includes persons, places, organizations, information, and ideas.
* Marketing myopia: the mistake of paying more attention to the specific products a company
offers than to the benefits and experiences produced by these products, leads to losing sight of
underlying customer needs.
=In these cases, brand experiences make the difference. Example: NASCAR.
3) Customer value and satisfaction - Answers Customers form expectations about the value and
satisfaction that various market offerings will deliver and buy accordingly. Satisfied customers
will buy again and tell others about their good experiences. Dissatisfied customers will often
switch to competitors and disparage the products to others.
* Low expectations: satisfy customers but can't attract new ones
* High expectations: buyers will be disappointed.
Customer value and satisfaction are the two key building blocks for developing and managing
customer relationships.
4) Exchanges and relationships - Answers Marketing occurs when people decide to satisfy needs
and wants through exchange relationships.
* Exchange: the act of obtaining a desired object from someone by offering something in return.
2026
Marketing - Answers * Managing profitable customer relationships.
* Attracting new customers by promising superior value and to keep and grow current
customers by delivering satisfaction.
* Satisfying customer needs
* Peter Drucker: "The aim of marketing is to make selling unnecessary."
* The process by which companies create value for customers and build strong customer
relationships in order to capture value from customers in return.
5 Core Customer and Marketplace Concepts - Answers Marketers need to understand customer
needs and wants and the marketplace within which they operate:
1) Needs, wants, and demands
2) Market offerings (products, services, and experiences)
3) Value and satisfaction
4) Exchanges and relationships
5) Markets
1) Customer needs, wants, and demands - Answers * Human needs: states of felt deprivation.
Include physical needs (food, clothing, warmth, and safety), social needs (belonging, affection),
and individual needs (knowledge, self-expression). Part of the human makeup, not created by
marketers.
* Wants: the form human needs take as they are shaped by culture and individual personality,
described in terms of objects that will satisfy needs. (You could need food, but want a Big Mac
or rice, depending on your culture).
* Demands: human wants that are backed by buying power. Given their wants and resources,
people demand products with benefits that add up to the most value and satisfaction.
, =Outstanding marketing companies go to great lengths to learn about and understand their
customers' needs, wants, and demands, conducting customer research (ethnography) and
analyzing mountains of customer data (reviewing feedback and comments).
2) Market offerings: products, services, and experiences - Answers * Market offerings: some
combination of products, services, information, or experiences offered to a market to satisfy a
need or want.
= Not only limited to physical products. Can be services, such as banking, airline, hotel, tax
preparation, etc. Also includes persons, places, organizations, information, and ideas.
* Marketing myopia: the mistake of paying more attention to the specific products a company
offers than to the benefits and experiences produced by these products, leads to losing sight of
underlying customer needs.
=In these cases, brand experiences make the difference. Example: NASCAR.
3) Customer value and satisfaction - Answers Customers form expectations about the value and
satisfaction that various market offerings will deliver and buy accordingly. Satisfied customers
will buy again and tell others about their good experiences. Dissatisfied customers will often
switch to competitors and disparage the products to others.
* Low expectations: satisfy customers but can't attract new ones
* High expectations: buyers will be disappointed.
Customer value and satisfaction are the two key building blocks for developing and managing
customer relationships.
4) Exchanges and relationships - Answers Marketing occurs when people decide to satisfy needs
and wants through exchange relationships.
* Exchange: the act of obtaining a desired object from someone by offering something in return.
