MBA 706 Exam 1 || Answers 100% Rated Correct.
Commoditization correct answers the curse of mature markets whereby products lack any real
means of differentiation and customers see competing products as offering roughly the same
benefits
Environmental scanning correct answers involves the analysis of economic, political, legal,
technological, and cultural events and trends that may affect the future of the organization and its
marketing efforts.
Tactical Planning correct answers This type of planning deals with specific markets or market
segments and the development of marketing programs that will fulfill the needs of customers in
those markets
What is needed to develop goals and objectives? correct answers Mission Statement
What are the challenges and opportunities in today's economy? correct answers • Power shift to
customers
• Massive increase in product selection
• Audience and media fragmentation
• Changing value propositions
• Shift in demand patterns
• Privacy, security, and ethical concerns
• Unclear legal jurisdiction
Market correct answers Group of individuals or institutions with similar needs that can be met by
a specific product (collection of buyers and sellers)
Marketspace correct answers Electronic marketplaces unbound by time or space (ex: Ebay or
Etsy)
,Meta market correct answers Cluster of closely related goods and services that center around a
specific consumption activity (Ex: automotive, homeownership, parenting, etc.)
Today's economy is characterized by what? correct answers Rapid technological change,
economic/financial anxiety, and increasing consumer skepticism.
In 2005, the definition of marketing stressed what two critical success factors? What was added
in 2006 to the definition? correct answers Value and customer relationship; meeting human and
social needs
Metamediary correct answers Provides a single access point where buyers can locate and contact
many different sellers in the metamarket (ex: homeownership = www.zillow.com, parenting =
www.babycenter.com)
Exchange correct answers Traditionally defined as the process of obtaining something of value
from someone by offering something in return; this usually entails obtaining products for money.
What are the 5 conditions of an exchange? correct answers •There must be at least two parties for
the exchange.
•Each party should have something that the other party values.
•Each party must be capable of communication and delivery.
•Each party must be free to accept or reject exchange.
•Each party must believe it is desirable to exchange with the other party.
Product correct answers Something acquired through an exchange to satisfy a need or want
Utility correct answers Ability of a product to satisfy a customer's need or want. Customer seek
out exchanges with marketers who offer products that are high in one or more type of utility.
, Form Utility correct answers Products high in form utility have attributes or features that set
them apart from the competition. Often these differences result from the use of high-quality raw
materials, ingredients, or components, or from the use of highly efficient product processes. In
many product categories, higher priced product lines offer more form utility because they have
more features or bells-and-whistles. Luxury cars are a good example.
Time Utility correct answers Products high in time utility are available when customers want
them. Typically, this means that products are available now rather than later. Restaurants, grocery
stores, and other retailers that are open around the clock provide exceptional time utility. Many
customers are willing to pay more for products available in a shorter time frame or for products
available at the most convenient times.
Place Utility correct answers Products high in place utility are available where customers want
them, which is typically wherever the customer happens to be or where the product needs to be at
that moment. Home delivery of any product, convenience stores, vending machines, and e-
commerce are examples of good place utility.
Possession Utility correct answers Possession utility deals with the transfer of ownership or title
from marketer to customer. Products higher in possession utility are more satisfying because
marketers make them easier to acquire. Marketers often combine supplemental services with
tangible goods to increase possession utility (e.g., furniture stores + home delivery services).
Psychological Utility correct answers Products high in psychological utility deliver positive
experiential or psychological attributes that customers find satisfying. For example, sporting
events provide customers with atmosphere, energy, and excitement associated with being at the
game, which create psychological benefits for customers.
Strategy/Strategic Planning correct answers A strategy outlines the organization's game plan for
success.
Marketing Plan correct answers provides the outline for how the organization will combine
product, pricing, distribution, and promotion decisions to create an offering that customers will
find attractive. The marketing plan also addresses the implementation, control, and refinement of
these decisions.
Commoditization correct answers the curse of mature markets whereby products lack any real
means of differentiation and customers see competing products as offering roughly the same
benefits
Environmental scanning correct answers involves the analysis of economic, political, legal,
technological, and cultural events and trends that may affect the future of the organization and its
marketing efforts.
Tactical Planning correct answers This type of planning deals with specific markets or market
segments and the development of marketing programs that will fulfill the needs of customers in
those markets
What is needed to develop goals and objectives? correct answers Mission Statement
What are the challenges and opportunities in today's economy? correct answers • Power shift to
customers
• Massive increase in product selection
• Audience and media fragmentation
• Changing value propositions
• Shift in demand patterns
• Privacy, security, and ethical concerns
• Unclear legal jurisdiction
Market correct answers Group of individuals or institutions with similar needs that can be met by
a specific product (collection of buyers and sellers)
Marketspace correct answers Electronic marketplaces unbound by time or space (ex: Ebay or
Etsy)
,Meta market correct answers Cluster of closely related goods and services that center around a
specific consumption activity (Ex: automotive, homeownership, parenting, etc.)
Today's economy is characterized by what? correct answers Rapid technological change,
economic/financial anxiety, and increasing consumer skepticism.
In 2005, the definition of marketing stressed what two critical success factors? What was added
in 2006 to the definition? correct answers Value and customer relationship; meeting human and
social needs
Metamediary correct answers Provides a single access point where buyers can locate and contact
many different sellers in the metamarket (ex: homeownership = www.zillow.com, parenting =
www.babycenter.com)
Exchange correct answers Traditionally defined as the process of obtaining something of value
from someone by offering something in return; this usually entails obtaining products for money.
What are the 5 conditions of an exchange? correct answers •There must be at least two parties for
the exchange.
•Each party should have something that the other party values.
•Each party must be capable of communication and delivery.
•Each party must be free to accept or reject exchange.
•Each party must believe it is desirable to exchange with the other party.
Product correct answers Something acquired through an exchange to satisfy a need or want
Utility correct answers Ability of a product to satisfy a customer's need or want. Customer seek
out exchanges with marketers who offer products that are high in one or more type of utility.
, Form Utility correct answers Products high in form utility have attributes or features that set
them apart from the competition. Often these differences result from the use of high-quality raw
materials, ingredients, or components, or from the use of highly efficient product processes. In
many product categories, higher priced product lines offer more form utility because they have
more features or bells-and-whistles. Luxury cars are a good example.
Time Utility correct answers Products high in time utility are available when customers want
them. Typically, this means that products are available now rather than later. Restaurants, grocery
stores, and other retailers that are open around the clock provide exceptional time utility. Many
customers are willing to pay more for products available in a shorter time frame or for products
available at the most convenient times.
Place Utility correct answers Products high in place utility are available where customers want
them, which is typically wherever the customer happens to be or where the product needs to be at
that moment. Home delivery of any product, convenience stores, vending machines, and e-
commerce are examples of good place utility.
Possession Utility correct answers Possession utility deals with the transfer of ownership or title
from marketer to customer. Products higher in possession utility are more satisfying because
marketers make them easier to acquire. Marketers often combine supplemental services with
tangible goods to increase possession utility (e.g., furniture stores + home delivery services).
Psychological Utility correct answers Products high in psychological utility deliver positive
experiential or psychological attributes that customers find satisfying. For example, sporting
events provide customers with atmosphere, energy, and excitement associated with being at the
game, which create psychological benefits for customers.
Strategy/Strategic Planning correct answers A strategy outlines the organization's game plan for
success.
Marketing Plan correct answers provides the outline for how the organization will combine
product, pricing, distribution, and promotion decisions to create an offering that customers will
find attractive. The marketing plan also addresses the implementation, control, and refinement of
these decisions.
