Exam Questions Ch.1 Interpersonal Process

Chapter 1: Interpersonal Process

Test Bank

Type: multiple choice question

Title: Chapter 01 Question 01

1) The key focus of the American Marketing Association's (AMA) 2013 definition of marketing is:

a. Organizational activities.

b. Product components.

c. Shareholder returns.

d. Customers.

Type: multiple choice question

Title: Chapter 01 Question 02

2) The key difference between a customer and a consumer is that:

a. A customer purchases a product while a consumer uses a product offering.

b. A consumer purchases a product and a customer consumes it.

c. A consumer only exists in B2B marketing contexts.

d. A customer both purchases and uses the product, where as a consumer only purchases it.

Type: multiple choice question

Title: Chapter 01 Question 03

3) The __________ element in the 7Ps is to emphasize that the tangible components of services were strategically important.

a. process

b. physical evidence

c. people

d. product

Type: multiple choice question

Title: Chapter 01 Question 04

4) Organizations during the __________ period were characterized by a focus on the internal capabilities, where demand exceeded supply and little competition existed.

a. sales

b. production

c. marketing

d. customer

Type: multiple choice question

Title: Chapter 01 Question 05

5) Organizations during the ________ period believe that they exist 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.

a. production

b. sales

c. marketing

d. societal

Type: multiple choice question

Title: Chapter 01 Question 06

6) More recently, there has been a realization that marketing needed to shift beyond a goods-based paradigm towards a ___________.

a. service-dominant logic

b. servicescape

c. servitization

d. service pull

Type: multiple choice question

Title: Chapter 01 Question 07

7) From the 1970s onwards came the development of the idea of marketing as an exchange process. This refers to marketing as:

a. A two-way process.

b. Developing relationships between parties in the supply chain.

c. Both economic and social exchanges.

d. All of the options above are correct.

Type: multiple choice question

Title: Chapter 01 Question 08

8) As intangible services have increased in their importance the marketing mix, the 4Ps theory has been further developed to incorporate an additional 3Ps; creating the 7Ps of services marketing. These new 3Ps include:

a. People, profit, and processes.

b. Processes, promotion, and people.

c. Physical evidence, people, and processes.

d. Place, people, and processes.

Type: multiple choice question

Title: Chapter 01 Question 09

9) An organization that is characterized as developing a market orientation:

a. Is characterized the same as an organization that has a marketing orientation.

b. Places increasing importance of marketing within the organization.

c. Will appoint a marketing person to its board of directors, or trustees in the case of a charity, or part of the executive team in a limited company or partnership.

d. Will foster organization-wide responsiveness to market information generated and disseminated within the organization.

Type: multiple choice question

Title: Chapter 01 Question 10

10) The term ‘marketing mix’ describes:

a. The relationship between a firm’s marketing strengths and its business weaknesses.

b. A series of business decisions that aid in selling a product.

c. A composite analysis of all environmental factors inside and outside the firm.

d. A blending of four strategic elements to satisfy specific target markets.

Type: true-false

Title: Chapter 01 Question 11

11) The aggregate marketing system delivers to us a wide array of offerings, either directly or indirectly through business markets, to serve our wants and needs.

a. True

b. False

Type: true-false

Title: Chapter 01 Question 12

12) A market-oriented firm defines its business in terms of the benefits it offers to its customers.

a. True

■ Customer orientation—concerned with creating superior value by continuously developing and redeveloping offerings to meet customer needs.

■ Competitor orientation—requires an organization to develop an understanding of its competitors’ short-term strengths and weaknesses and its long-term capabilities and strategies (Slater and Narver, 1994).

■ Interfunctional coordination—requires all functions of an organization to work together for long-term profit growth.

b. False

■ Customer orientation—concerned with creating superior value by continuously developing and redeveloping offerings to meet customer needs.

■ Competitor orientation—requires an organization to develop an understanding of its competitors’ short-term strengths and weaknesses and its long-term capabilities and strategies (Slater and Narver, 1994).

■ Interfunctional coordination—requires all functions of an organization to work together for long-term profit growth.

Type: true-false

Title: Chapter 01 Question 13

13) The Chartered Institute of Marketing’s (CIM) definition of marketing differs to the definition offered by the American Marketing Association (AMA) in that it focuses on ‘satisfying customer requirements profitably’ as opposed to ‘delivery of value’?

a. True

b. False

Type: true-false

Title: Chapter 01 Question 14

14) The behaviours of a customer and the behaviours of a consumer are the same.

a. True

b. False

Type: true-false

Title: Chapter 01 Question 15

15) Newsletters, catalogues, and invitations to organization-sponsored events are most closely associated with the marketing mix activity of pricing.

a. True

b. False

Type: true-false

Title: Chapter 01 Question 16

16) The development of marketing has been characterized by some as comprising four main periods of development. One of these periods includes the sales period of 1920s-1950s where the focus was on personal selling, supported by research and advertising.

a. True

the production period, 1890s-1920s;

the sales period, 1920s-1950s;

the marketing period, 1950s – 1980s;

the societal marketing period, 1980s to present.

b. False

the production period, 1890s-1920s;

the sales period, 1920s-1950s;

the marketing period, 1950s – 1980s;

the societal marketing period, 1980s to present.

Type: true-false

Title: Chapter 01 Question 17

17) Companies employing a relationship marketing approach stressed customer retention over customer acquisition.

a. False

b. True

Type: true-false

Title: Chapter 01 Question 18

18) Originally, when identifying the responsibilities of a marketing manager, early theories in the 1950s-1960s saw a marketing manager as a ‘mixer of ingredients’ of a marketing recipe that comprised about 12 ingredients.

a. True

The emphasis was on the creative fashioning of a mix of marketing procedures and policies to produce the profitable enterprise. He composed a 12-item list of elements which the manufacturer should consider when developing their marketing mix policies and procedures.

b. False

The emphasis was on the creative fashioning of a mix of marketing procedures and policies to produce the profitable enterprise. He composed a 12-item list of elements which the manufacturer should consider when developing their marketing mix policies and procedures.

Type: true-false

Title: Chapter 01 Question 19

19) Relationship marketing focuses on the need to engage in transactions and, as such, is only concerned with the development of relationships with customers.

a. True

b. False

Type: true-false

Title: Chapter 01 Question 20

20) The way in which the product is delivered to meet the customers’ needs refers to promotion activities.

a. True

b. False

Type: multiple choice question

Title: Chapter 01 Question 21

21) Four competing philosophies strongly influence the role of marketing and marketing activities within an organization. Which if the following is not a component of market orientation?

a. Profitability orientation.

Customer orientation—concerned with creating superior value by continuously developing and redeveloping offerings to meet customer needs.

Competitor orientation—requires an organization to develop an understanding of its competitors’ short-term strengths and weaknesses and its long-term capabilities and strategies (Slater and Narver, 1994).

Interfunctional coordination—requires all functions of an organization to work together for long-term profit growth.

b. Interfunctional coordination.

Customer orientation—concerned with creating superior value by continuously developing and redeveloping offerings to meet customer needs.

Competitor orientation—requires an organization to develop an understanding of its competitors’ short-term strengths and weaknesses and its long-term capabilities and strategies (Slater and Narver, 1994).

Interfunctional coordination—requires all functions of an organization to work together for long-term profit growth.

c. Customer orientation.

Customer orientation—concerned with creating superior value by continuously developing and redeveloping offerings to meet customer needs.

Competitor orientation—requires an organization to develop an understanding of its competitors’ short-term strengths and weaknesses and its long-term capabilities and strategies (Slater and Narver, 1994).

Interfunctional coordination—requires all functions of an organization to work together for long-term profit growth.

d. Competitor orientation.

Customer orientation—concerned with creating superior value by continuously developing and redeveloping offerings to meet customer needs.

Competitor orientation—requires an organization to develop an understanding of its competitors’ short-term strengths and weaknesses and its long-term capabilities and strategies (Slater and Narver, 1994).

Interfunctional coordination—requires all functions of an organization to work together for long-term profit growth.

Type: multiple choice question

Title: Chapter 01 Question 22

22) In order for exchange to occur:

a. Organized marketing activities must also occur.

b. A complex societal system must be involved.

c. A profit-oriented organization must be involved.

d. Each party must have something of value to the other party.

Type: multiple choice question

Title: Chapter 01 Question 23

23) Marketers interested in offering customer value can:

a. Offer products that perform.

Customer orientation—concerned with creating superior value by continuously developing and redeveloping offerings to meet customer needs.

Competitor orientation—requires an organization to develop an understanding of its competitors’ short-term strengths and weaknesses and its long-term capabilities and strategies (Slater and Narver, 1994).

Interfunctional coordination—requires all functions of an organization to work together for long-term profit growth.

b. Give consumers more than they expect.

Customer orientation—concerned with creating superior value by continuously developing and redeveloping offerings to meet customer needs.

Competitor orientation—requires an organization to develop an understanding of its competitors’ short-term strengths and weaknesses and its long-term capabilities and strategies (Slater and Narver, 1994).

Interfunctional coordination—requires all functions of an organization to work together for long-term profit growth.

c. Offer organization-wide commitment to service and after-the-sale support.

Customer orientation—concerned with creating superior value by continuously developing and redeveloping offerings to meet customer needs.

Competitor orientation—requires an organization to develop an understanding of its competitors’ short-term strengths and weaknesses and its long-term capabilities and strategies (Slater and Narver, 1994).

Interfunctional coordination—requires all functions of an organization to work together for long-term profit growth.

d. Do all of these.

Customer orientation—concerned with creating superior value by continuously developing and redeveloping offerings to meet customer needs.

Competitor orientation—requires an organization to develop an understanding of its competitors’ short-term strengths and weaknesses and its long-term capabilities and strategies (Slater and Narver, 1994).

Interfunctional coordination—requires all functions of an organization to work together for long-term profit growth.

Type: multiple choice question

Title: Chapter 01 Question 24

24) An organization that has a market orientation does not:

a. Integrate all the activities of the firm to satisfy customer wants.

Customer orientation—concerned with creating superior value by continuously developing and redeveloping offerings to meet customer needs.

Competitor orientation—requires an organization to develop an understanding of its competitors’ short-term strengths and weaknesses and its long-term capabilities and strategies (Slater and Narver, 1994).

Interfunctional coordination—requires all functions of an organization to work together for long-term profit growth.

b. Focus on consumer needs and wants.

Customer orientation—concerned with creating superior value by continuously developing and redeveloping offerings to meet customer needs.

Competitor orientation—requires an organization to develop an understanding of its competitors’ short-term strengths and weaknesses and its long-term capabilities and strategies (Slater and Narver, 1994).

Interfunctional coordination—requires all functions of an organization to work together for long-term profit growth.

c. Differentiate a firm's products from its competitor's products.

Customer orientation—concerned with creating superior value by continuously developing and redeveloping offerings to meet customer needs.

Competitor orientation—requires an organization to develop an understanding of its competitors’ short-term strengths and weaknesses and its long-term capabilities and strategies (Slater and Narver, 1994).

Interfunctional coordination—requires all functions of an organization to work together for long-term profit growth.

d. Fuel sales growth through the application of aggressive sales techniques.

Customer orientation—concerned with creating superior value by continuously developing and redeveloping offerings to meet customer needs.

Competitor orientation—requires an organization to develop an understanding of its competitors’ short-term strengths and weaknesses and its long-term capabilities and strategies (Slater and Narver, 1994).

Interfunctional coordination—requires all functions of an organization to work together for long-term profit growth.

Type: multiple choice question

Title: Chapter 01 Question 25

25) A key ingredient in the philosophy of marketing is _____, or the idea that people give up something in order to receive something that they would rather have.

a. exchange

b. synergy

c. promotion

d. reciprocity