BADM 320 Midterm 1 – Practice Questions, Key Concepts & Exam Review
What are the 4 Ps of Marketing or The Marketing Mix? - correct answer ✔✔Product, Price,
Place, Promotion
When firms pay sole attention to the development of their products, but neglect getting input
from their customers, this would be a definition of what? - correct answer ✔✔Marketing
Myopia
Which of the 4 Ps of Marketing "Creates Value?" - correct answer ✔✔Product
What is a firm's value proposition? - correct answer ✔✔The reason why a client would buy from
a company
Why do people actually buy products? - correct answer ✔✔Both 1. They Have a Problem they
think your product will solve, and 2. They see your product as an opportunity for growth
Which of the 4 Ps of Marketing "Captures Value?" - correct answer ✔✔Price
If Mark buys his son a more expensive pair of sport shoes with a picture of Sesame Street's
Cookie Monster on the side, because his son really wants shoes with Cookie Monster on them,
which competitive strategy would the shoe company be using? - correct answer
✔✔Differentiation Strategy
If Apple decides to make a video game console that attaches to a TV (like XBox or PlayStation)
for young children which growth strategy would they be using? - correct answer
✔✔Diversification
, A firm that has an excellent management team and has a human resource department that can
find and train the best people in the industry can help a firm achieve which sustainable
competitive advantage? - correct answer ✔✔Operational Excellence based Sustainable
Competitive Advantages
Sustainable Competitive Advantages are easy to imitate in the short term. - correct answer
✔✔False
If McDonald's increases it store opening hours and introduces a "Big Mac Reward Card" for their
best Big Mac sandwich eaters which growth strategy would they be using? - correct answer
✔✔Market Penetration
Focusing on building lifetime customers will not help you achieve customer loyalty. - correct
answer ✔✔False
The Strengths and Weaknesses of a Situation Analysis (SWOT) represent things... - correct
answer ✔✔Inside the company that they could control
When Walgreen's Pharmacies open up stores in Suburbs and other residential areas near where
people live, they are trying to develop which kind of Sustainable Competitive Advantage? -
correct answer ✔✔Locational Excellence based Sustainable Competitive Advantages
When Microsoft (a software firm) developed their brand new XBOX console gaming system and
released it into a new market, they were using which kind of growth strategy? - correct answer
✔✔Diversification
Hang Ten is a surfer-themed bar chain in Hawaii. Most of the customers are tourists. In a SWOT
analysis for Hang Ten, the possibility that a cyclone may hit the islands might cut back on
tourism in Hawaii would be considered a what in a SWOT analysis? - correct answer ✔✔Threat
Macroeconomic effects affect all businesses in the same manner. - correct answer ✔✔False
What are the 4 Ps of Marketing or The Marketing Mix? - correct answer ✔✔Product, Price,
Place, Promotion
When firms pay sole attention to the development of their products, but neglect getting input
from their customers, this would be a definition of what? - correct answer ✔✔Marketing
Myopia
Which of the 4 Ps of Marketing "Creates Value?" - correct answer ✔✔Product
What is a firm's value proposition? - correct answer ✔✔The reason why a client would buy from
a company
Why do people actually buy products? - correct answer ✔✔Both 1. They Have a Problem they
think your product will solve, and 2. They see your product as an opportunity for growth
Which of the 4 Ps of Marketing "Captures Value?" - correct answer ✔✔Price
If Mark buys his son a more expensive pair of sport shoes with a picture of Sesame Street's
Cookie Monster on the side, because his son really wants shoes with Cookie Monster on them,
which competitive strategy would the shoe company be using? - correct answer
✔✔Differentiation Strategy
If Apple decides to make a video game console that attaches to a TV (like XBox or PlayStation)
for young children which growth strategy would they be using? - correct answer
✔✔Diversification
, A firm that has an excellent management team and has a human resource department that can
find and train the best people in the industry can help a firm achieve which sustainable
competitive advantage? - correct answer ✔✔Operational Excellence based Sustainable
Competitive Advantages
Sustainable Competitive Advantages are easy to imitate in the short term. - correct answer
✔✔False
If McDonald's increases it store opening hours and introduces a "Big Mac Reward Card" for their
best Big Mac sandwich eaters which growth strategy would they be using? - correct answer
✔✔Market Penetration
Focusing on building lifetime customers will not help you achieve customer loyalty. - correct
answer ✔✔False
The Strengths and Weaknesses of a Situation Analysis (SWOT) represent things... - correct
answer ✔✔Inside the company that they could control
When Walgreen's Pharmacies open up stores in Suburbs and other residential areas near where
people live, they are trying to develop which kind of Sustainable Competitive Advantage? -
correct answer ✔✔Locational Excellence based Sustainable Competitive Advantages
When Microsoft (a software firm) developed their brand new XBOX console gaming system and
released it into a new market, they were using which kind of growth strategy? - correct answer
✔✔Diversification
Hang Ten is a surfer-themed bar chain in Hawaii. Most of the customers are tourists. In a SWOT
analysis for Hang Ten, the possibility that a cyclone may hit the islands might cut back on
tourism in Hawaii would be considered a what in a SWOT analysis? - correct answer ✔✔Threat
Macroeconomic effects affect all businesses in the same manner. - correct answer ✔✔False
