Chapter 1

Question 1

What is marketing?

Answer 1

The activity, set of institutions, and processes for creating, communicating, delivering, and exchanging offerings that have value for customers, clients, partners, and society at large.

Question 2

What are the four elements of the marketing mix?

Answer 2

• Product
• Price
• Place
• Promotion

Question 3

What can be marketed?

Answer 3

• Goods
• Services
• Ideas
• People
• Places

Question 4

What is the value of marketing?

Answer 4

Satisfying customer needs in a profitable manner.

Question 5

What are the perspectives from which value can be understood?

Answer 5

• Customers
• Producers
• Society

Question 6

What is a market?

Answer 6

All consumers who share a common need that can be satisfied by a specific product and have the resources, willingness, and authority to purchase.

Question 7

What is a marketplace?

Answer 7

Any location or medium used to facilitate an exchange.

Question 8

Marketing includes many different activities more than just _______.

Answer 8

sales and advertising

Question 9

What is the definition of exchange in marketing?

Answer 9

Occurs when one party gives up something in return for receiving something else.

Question 10

What are the conditions for exchange?

Answer 10

• At least two people or organizations must be willing to make a trade
• Have something the other party wants
• Agree on value of exchange and terms
• Each party free to accept or reject exchange

Question 11

What are the different types of offerings in marketing?

Answer 11

• Consumer goods/services
• Business-to-business goods/services
• Not-for-profit marketing
• Idea, place, and people marketing

Question 12

What defines the marketing concept?

Answer 12

Identifying and satisfying the needs of consumers to ensure profitability.

Question 13

What is a need in marketing?

Answer 13

Difference between actual and desired state, which can be physiological or psychological.

Question 14

What are wants?

Answer 14

Desire to satisfy a need in a particular way, influenced by history, past experience, and culture.

Question 15

What is demand?

Answer 15

Customers’ desires for products coupled with the resources needed to obtain them.

Question 16

What is collaborative consumption?

Answer 16

Consumers increasingly prefer to rent rather than purchase the products they use.

Question 17

What is utility in marketing?

Answer 17

The sum of benefits a consumer receives from use of a product.

Question 18

List the types of utility.

Answer 18

• Form utility
• Place utility
• Time utility
• Possession utility

Question 19

What is sustainability in marketing?

Answer 19

Creating products that meet present needs while ensuring future generations can have their needs met.

Question 20

The evolution of the marketing concept includes the Production era, Selling era, _______ era, and Triple bottom-line era.

Answer 20

Relationship

Question 21

What characterizes the Production Era?

Answer 21

Marketing dominated by a production orientation, emphasizing efficient production and distribution.

Question 22

What is the focus of the Selling Era?

Answer 22

A managerial view of marketing as a sales function, emphasizing aggressive promotional activities.

Question 23

What is the Relationship Era focused on?

Answer 23

A consumer orientation that emphasizes satisfying customers’ needs and wants.

Question 24

What is the Triple Bottom-Line Era?

Answer 24

Management seeks to maximize financial, social, and environmental bottom lines.

Question 25

What is the value proposition?

Answer 25

The whole bundle of benefits the firm promises to deliver, not just the benefits of the product itself.

Question 26

True or False: Marketing activities lead to value creation through innovations that enhance customer benefits and reduce costs.

Answer 26

True

Question 27

What is green marketing?

Answer 27

A type of sustainable business practice focused on environmentally friendly products.

Question 28

What skills will marketers need to succeed in a 'Big Data' era?

Answer 28

[Skills related to data analysis, ethical decision-making, and digital marketing strategies]

Question 29

What does the term 'microcelebrity' refer to?

Answer 29

People 'packaging' themselves with their social media profiles.

Question 30

What are the benefits of marketing for society?

Answer 30

Profits can be made while contributing positively to society and the planet.

Question 31

Value is the ratio of _______ to perceived costs from the customer's perspective.

Answer 31

perceived benefits

Question 32

What distinctive competency does Coca-Cola utilize to achieve competitive advantage?

Answer 32

Distribution and marketing communications ## Footnote This competency helps maintain brand loyalty and market share.

Question 33

What distinctive competency does Apple use to differentiate itself?

Answer 33

Product quality and design ## Footnote Apple's innovation in design and technology attracts a loyal customer base.

Question 34

What distinctive competency does Amazon.com leverage?

Answer 34

Fulfillment and distribution ## Footnote This competency enhances product availability and customer convenience.

Question 35

What is Starbucks' distinctive competency?

Answer 35

Product quality ## Footnote High product quality contributes to customer satisfaction and loyalty.

Question 36

What does 'Consumer Generated Value' suggest about market dynamics?

Answer 36

Everyday people are generating value instead of just buying it ## Footnote This shift indicates a change in how consumers interact with brands.

Question 37

True or False: Stressing socially responsible decisions is bad for business.

Answer 37

False ## Footnote Socially responsible practices can improve brand image and customer loyalty.

Question 38

What are some criticisms faced by marketing?

Answer 38

Dark side marketing and consumption issues ## Footnote These criticisms highlight ethical concerns within the marketing industry.

Question 39

What does marketing facilitate in terms of value?

Answer 39

Exchanges that create, communicate, and deliver value to customers ## Footnote Marketing plays a crucial role in connecting sellers with customers.

Question 40

What questions do marketers typically ask as part of the marketing process?

Answer 40

Product benefits, capabilities, additional customer groups, changes in technology, changes in social and cultural values, environmental issues, legal and regulatory issues ## Footnote These questions guide strategic marketing decisions.

Question 41

A marketing _______ outlines the strategies for targeting specific customer segments.

Answer 41

plan ## Footnote A marketing plan is essential for organized and effective marketing efforts.

Question 42

A _______ market consists of a broader audience without differentiation.

Answer 42

mass ## Footnote Mass marketing targets a wide audience with a single marketing approach.

Question 43

What is a market segment?

Answer 43

A subgroup of a larger market ## Footnote Identifying market segments helps in targeted marketing efforts.

Question 44

What does positioning refer to in marketing?

Answer 44

The process of creating a distinct image of a product in the consumer's mind ## Footnote Effective positioning can enhance competitive advantage.