Mktg Exam free essay sample

True/False Indicate whether the statement is true or false. 1. Sara Lee Industries spent considerable money and time developing crustless bread. Prior to the introduction, the company had not conducted market research among its customers, but it was confident that its science and technology department had produced a successful new product. Based on this example, Sara Lee is a good example of a production oriented company. TRUE 2. While most marketing organizations rely on various forms of promotion to succeed, sales oriented organizations make the most effective use of their entire marketing mix. FALSE 3. The company’s objective is to spend ten percent of this fiscal year’s sales revenue on research and development in an effort to introduce at least five new products in the next fiscal year. This is an example of a well stated objective. TRUE 4. A competitive advantage is some unique aspect of a firm’s offering, or of the firm itself, that causes target customers to patronize the firm rather than its competition. TRUE 5. Berkshire Hathaway Inc. , a large property insurance company, owns a large chain of jewelry stores and has recently purchased Russell, a manufacturer of sporting goods. Berkshire Hathaway Inc. uses a market penetration strategy. FALSE 6. Simon needed to rent a trailer for the weekend. Then he learned the rental company offered lower daily rates for seven day rentals. The rental company is clearly using a market development strategy. FALSE 7. Marketing strategies involve the activity of selecting or describing one or more target markets and developing and maintaining a marketing mix that will produce mutually satisfying exchanges with target markets. TRUE 8. Whenever faced with a difficult customer, the owner of a shoe store remembered what the original store founder, his grandfather, had done in similar situations and did the same. In other words, the grandson based his decisions on the casuist ethical theory. 9. When writing codes of ethics, businesses must ensure their codes deal with every possible situation. FALSE 10. Sustainability refers to the idea that socially responsible companies will outperform their peers by focusing on the world’s social problems and viewing them as opportunities to build profits and help the world at the same time. TRUE 11. Exxon Mobil was fulfilling its philanthropic responsibility when it partnered with the National Fish and Wildlife Foundation to save the world’s remaining tigers by donating more than eleven million dollars to establish the Save the Tiger Fund. TRUE 12. The foundation of the pyramid of corporate social responsibility is economic responsibility. TRUE 13. Because social responsibility has proven to have a limited return on investment, the number of businesses opting to act socially responsible is declining. FALSE 14. In May 2008, three Atlanta Braves team members unveiled three Chilean wines that were to be sold with their photos on the labels. The bottles of wine sell for around $14 at retail outlets and the proceeds from the sales benefit The Miracle League, the Rally Foundation for Childhood Cancer Research, and CURE Childhood Cancer. This is an example of cause-related marketing. 15. Everyone agrees that cause-related marketing is beneficial. 16. Marketers can control the external environment in which their organizations operate. FALSE 17. Social factors in the marketing environment influence the products people buy, the prices paid for products, the effectiveness of specific promotions, and how, where, and when people expect to purchase products. TRUE 18. The phenomenon of working women has had a greater effect on marketing than has any other social change. TRUE 19. The clothing style worn by tweens reflects that of their parents. 20. Multiculturalism occurs when all major ethnic groups in an area are roughly equally represented. TRUE 21. Across the U. S. , there are no existing state laws that protect consumers from identity theft. FALSE 22. Having a global vision means management recognizes and reacts to international marketing opportunities, is aware of threats from foreign competitors in all markets, and effectively utilizes international distribution networks. TRUE 23. The US government limits the amount of sugarcane that is imported into the country. This is an example of a tariff. FALSE 24. The US government prohibits the importation of Havana cigars. Because of political differences with Cuba. This is an example of an import quota. FALSE 25. To protect its local vodka industry, Russia allows foreign manufacturers to have only one percent of the Russian vodka market. Russia uses quotas to control foreign competition. TRUE Multiple Choice Identify the choice that best completes the statement or answers the question. 26. Life is good ® no longer encloses its apparel in individual poly bags when shipping to customers because the management feels it harms the environment. This is an example of orientation. Social Marketing 27. Life is good ® developed the â€Å"Good Karma† line of environmentally friendly 100% organic cotton apparel. The production of the â€Å"Good Karma† line would be consistent with a orientation. Social Marketing 28. A retail lighting outlet that wishes to offer customer value should: charge $300 for lighting instead of the inflated price of $1,000 charged by others 29. Which of the following measures would be the best indicator of whether your organization’s personnel have a customer orientation: Surveying customers on how oriented the organizations personnel are to customer needs and desire 30. Some market-oriented firms give employees expanded authority to solve customer problems on the spot. This is known as: Empowerment 31. Jacques Torres Chocolate is a factory and retail store in Brooklyn. Its owner is willing to produce new products when his customers suggest them such as: chili pepper laced chocolate candy. His only condition is that when he adds new products, his customers have the final say on whether the product is of any value. According to Torres, â€Å"If something doesn’t move, that’s the last time you see it. † The primary goal of Jacques Torres Chocolates is to: Market 32. DeFeet International started a cyclist sock company. The founder, Shane Cooper, said that the socks for cyclists were just not of great quality so he made socks for his cycling team by knitting them inside out. The socks were of special materials aimed at giving the cyclists the most comfortable fit. These socks were not the traditional white socks but bright, bold, and flashy colored socks with cool graphics. These high tech socks were priced at around $10 a pair. Their website says â€Å"Defeet is Mafe for Driven Soles. † Soon cycling elites like Lance Armstrong and Greg LeMond were sporting the Defeet brand.