MKT 100 – Principles of Marketing Midterm Exam Chapters 1-8. Questions and Answers Download to score an A+

Which marketing management philosophy focuses on the question, “What do customers want and need, and how can we benefit society?” Answer Internal External Sales Societal marketing Production _____ is defined as the relationship between benefits and the sacrifice necessary to obtain those benefits. Answer Opportunity cost Marketing utility Market quality Satisfaction percentage Customer value Which of the following is the customers’ evaluation of a good or service in terms of whether that good or service has met their needs and expectations? Answer Value Perception Attitude Dissonance Satisfaction _____ is a strategy that focuses on keeping and improving relationships with current customers. Answer Commitment selling Relationship marketing Transactional marketing Market engineering Organization-customer synergy Companies that rely on the marketing concept and that have implemented a market orientation strategy recognize that: Answer price is the most important variable for customers. sales depend predominantly on an aggressive sales force. what the customer thinks he or she is buying is what is important. a company has to apply scientific management techniques to survive. selling and marketing are essentially the same thing. The marketing concept involves: Answer focusing on customers’ wants and needs so that the organization can distinguish its product (or products) from competitors’ products. satisfying management’s needs and wants with the idea of maximizing profits in the short run. selling as much product as possible under the assumption people will buy more goods and services if aggressive selling techniques are used. selling as much as possible under the assumption consumers will buy more at lower prices. focusing on production in order to increase product quality and lower prices. 2 The marketing concept stresses that the social and economic justification for an organization’s existence is the satisfaction of customer needs and wants while: Answer producing a good or service at the lowest possible cost improving the general standard of living. constantly increasing sales volumes. applying scientific management techniques to improve efficiency. simultaneously meeting organization objectives. An organization with a(n) _____ believes that it exists not only to satisfy customer wants and needs and to meet organizational objectives but also to preserve or enhance individuals’ and society’s long-term best interests. Answer sales orientation market orientation ethical business mission focused target market strategy societal marketing orientation A market-oriented firm defines its business in terms of: Answer goods and services the benefits its customers seek employee empowerment competitive position customer satisfaction What is the fundamental objective of most businesses? Answer employee empowerment, teamwork, and relationship marketing satisfied stakeholders low costs and high quality customer loyalty and retention survival, profits, and growth Martina spent $30 at the grocery store this afternoon. About how much of that sum paid for marketing costs? Answer $3.00 $7.00 $10.00 $15.00 $25.00 Some market-oriented firms give employees expanded authority to solve customer problems on the spot. This is known as: Answer training. deregulation. empowerment. commissioning. mediating. _____ gives customers the feeling their concerns are being addressed and at the same time gives employees the feeling their expertise matters to management. Answer Management-employee synergy Organizational entropy Managerial reciprocity Empowerment Delegation _____ is the collaborative efforts of people to achieve common objectives. Answer Effort training Teamwork Empowerment OJT training Mediation 3 A sales-oriented firm defines its business (or mission) in terms of: Answer employees goods and services customers competitors benefits For an exchange to take place: Answer there must be at least two parties involved. money must be used in the transaction. each party must feel obligated to accept the offer. at least one party must have something of value that the other party desires. neither party must communicate with the other. Which of the following occurs when people give up something in order to receive something they would rather have? Answer Exchange Synergy Transformation Leveraging Reciprocity A company that sets its goals and strategies based on what its current equipment can produce, what products engineering can design, and what the company itself can do best, has a(n) _____ orientation. Answer marketplace sales market exchange production Firms with a _____ orientation focus on the internal capabilities of the firm rather than on the desires and needs of the marketplace. Answer sales production market customer customer-benefit One facet of marketing is that it is: Answer an approach that focuses on maximizing sales a short-term oriented approach to profit maximization an approach that requires diversity a philosophy that stresses customer satisfaction independent of value creation The American Marketing Association’s definition of marketing: Answer is limited to promotional activities focuses on the value of empowerment, teamwork, and customer value shows how marketing benefits the marketer relies on the synergy created by exchange includes creating, communicating, delivering, and exchanging offerings that have value for customers, clients, partners, and society at large. _____ is a set of activities used to implement a management orientation that stresses customer satisfaction. Answer Planning strategy Customer management Marketing A control system Reciprocity 4 Which marketing management philosophy focuses on the question, “How can we sell more aggressively?” Answer Production Marketing Sales External Internal