Question 1

You are writing an Environmental Analysis for the marketing plan for your company. You were given the following master list of environmental factors that should be addressed in the plan: Foreign exchange rates
Trade policy
Population growth rates
Tax policy
Environmental regulations
Production automation trends
Health and medical trends
You are responsible for the subsection dealing with political and regulatory factors that will impact your company's marketing strategies.
​
Which of the factors from the master list of environmental factors will you include in your subsection?
A)​Foreign exchange rates; Trade policy; Population growth rates
B)​Trade policy; Tax policy; Environmental regulations
C)​Tax policy; Environmental regulations; Health and medical trends
D)​Trade policy; Health and medical trends; Tax policy
E)​Environmental regulations; Foreign exchange rates; Tax policy

Accepted Answer

The political and regulatory factors that will impact the company's marketing strategies are more closely related to trade policy, tax policy, and environmental regulation. Population growth rates, foreign exchange rates, production automation trends, and health and medical trends are not directly related to political and regulatory factors that impact marketing strategies. Therefore, choice B is the best option as it includes the most relevant factors for this subsection.

Question 2

You are the senior financial analyst supporting the marketing department in your company, and head of marketing has asked you to come up with one performance metric that can be used to evaluate how effective each marketing campaign is in terms of contribution to the firm's profits. It should be a metric that can be easily used to compare different marketing campaign against each other. ​
In response, you propose using:
A)​A metric that takes the total new sales dollars generated by a campaign and divides it by the total office expense of the campaign.
B)​A metric that takes the total new sales dollars generated by a campaign and divides it by the total fixed cost of the campaign.
C)​A metric that takes the total new sales dollars generated by a campaign and divides it by the total variable cost of the campaign.
D)​A metric that takes the total new sales dollars generated by a campaign and divides it by the total supplies expense for the campaign.
E)​A metric that takes the total new sales dollars generated by a campaign and divides it by the total cost of the campaign.

Accepted Answer

The most appropriate metric to evaluate the effectiveness of a marketing campaign in terms of profit contribution is Return on Investment (ROI), which is calculated by dividing the total new sales dollars generated by a campaign by the total cost of the campaign. This metric takes into account all the expenses associated with the campaign, including fixed costs, variable costs, and office expenses, and compares them to the revenue generated. By using this metric, marketing departments can compare the profitability of different campaigns and make knowledgeable decisions regarding future investments in marketing.

Question 3

You are leading the breakout session on developing the marketing strategy at your company's strategic planning conference. You have prepared discussion guidelines and rules of engagement to keep all attendees in the session focused on the task at hand. ​
Your guidelines for developing the company's marketing strategy
A)​suggest that the marketing objectives be written in general terms so that the strategy and be change along the way if necessary.
B)​suggest that the target market should be identified before the marketing objectives are established.
C)​suggest that the target market should be selected to fit the marketing mix.
D)suggest that the marketing objectives should be consistent with both the business-unit and the corporate strategies.
E)​suggest that marketing should not worry about the strategy's impact on company profits because the finance department will handle that aspect.

Accepted Answer

The answer of You are leading the breakout session on...

Question 4

You asked your stockbroker to consider buying some shares of Facebook, Inc. for your investment account. But, first you want to review the summary points in the SWOT analysis the stockbroker's firm did on the company. The following summary points were listed in the SWOT analysis: Facebook has a reputation as a market leader and it is quickly establishing a formidable brand loyalty amongst its users.
Because of its position in the industry, it risks incurring high costs associated with creating and marketing new products that are designed to perpetuate its industry leadership.
These summary points suggest
A)that Facebook's products are cash cows.
B)that Facebook has a first-mover advantage.
C)that Facebook's products are question marks.
D)that Facebook has a superior marketing strategy versus its peers.
E)that Facebook has a late-mover advantage.

Accepted Answer

The summary points suggest that Facebook has a first-mover advantage and is establishing brand loyalty, but risks incurring high costs associated with creating and marketing new products to maintain its industry leadership. This aligns with the concept of a first-mover advantage, where a company that is the first in a market has an initial advantage over competitors, but may face higher costs to maintain its position.

Question 5

Your quarterly strategic planning meeting will be held next month. You will schedule all the brainstorming and discussion activities for the meeting in a sequence and structure consistent with the hierarchy of the traditional strategic planning process. ​
Which of the following sequence of activities should you schedule in order to be most consistent with the hierarchy of the traditional strategic planning process?
A)​1: Develop functional area goals and objectives; 2: Complete a SWOT analysis for the company; 3: Develop business unit strategies; 4: Develop the company's mission and goals.
B)​1: Develop the company's mission and goals; 2: Develop business unit strategies; 3: Complete a SWOT analysis for the company; 4: Develop functional area goals and objectives.
C)​1: Complete an economic environment analysis; 2: Develop the company's mission and goals; 3: Develop business unit strategies; 4: Complete a SWOT analysis for each business unit; 5: Develop functional area goals and objectives.
D)​1: Complete a SWOT analysis for the company; 2: develop the company's mission and goals; 3: Develop business unit strategies; 4: Develop functional area goals and objectives.
E)​1: Develop the company's mission and goals; 2: Develop business unit strategies; 3: Complete an economic environment analysis; 4: Develop functional area goals and objectives.

Accepted Answer

The traditional strategic planning process typically begins with developing the company's mission and goals, followed by developing business unit strategies, conducting a SWOT analysis, and finally developing functional area goals and objectives. Therefore, option B - Develop the company's mission and goals; 2: Develop business unit strategies; 3: Complete a SWOT analysis for the company; 4: Develop functional area goals and objectives - is the most consistent sequence with the traditional strategic planning process.

Question 6

The ____________ section of the marketing planstates what the company wants to accomplish through marketing activities, using a(n) ___________ of where the firm stands in the market.
A)marketing objectives; performance evaluation
B)marketing strategies; implementation timetable
C)SWOT analysis; marketing concept
D)marketing objectives; SWOT analysis
E)environmental analysis; SWOT analysis

Accepted Answer

The marketing objectives section of the marketing plan outlines specific goals that the company hopes to achieve through its marketing activities. These objectives should be measurable and tied to the overall strategic goals of the company. In order to determine these objectives, the company must conduct a SWOT analysis to assess its strengths, weaknesses, opportunities, and threats in the market. Therefore, the correct choice is D - marketing objectives; SWOT analysis.

Question 7

Luke Matthews is the supply chain manager for a large plastics manufacturing company. He is responsible for procuring a wide variety of raw materials to be utilized in the manufacturing process of their plastic products. As part of an annual quality control and expense analysis, Luke is reviewing the prices charged by the raw materials suppliers and also seeking bids from competing suppliers to determine whether any savings could be realized. Luke is rewarded by the company with bonuses when he is able to reduce expenses associated with the raw materials as this could lead to higher profit margins on the products they manufacture. Luke knows that saving a few cents can make a dramatic difference since they manufacture thousands of products at their state-of-the-art facility in Indiana. What type of analysis do you believe Luke Matthews can perform utilizing the data related to the prices charged by their current and prospective raw materials suppliers?
A)Cost analysis
B)Sales analysis
C)Advertising analysis
D)Engagement analysis

Accepted Answer

Luke can perform a cost analysis to compare the prices charged by their current and prospective raw materials suppliers. This will help him determine which suppliers offer the best pricing and potential cost savings for the company.

Question 8

In many cases, companies that enter a market after innovative products have been introduced can achieve long-term competitive advantages by continuing to develop a better mousetrap. For example, VisiCalc was the first company to introduce a desktop spreadsheet program, but Lotus Notes cornered a large market share when it introduced the 1-2-3 program. Today, however, Microsoft's Excel is the dominant spreadsheet software program and has continued to endure due to the popularity of the Microsoft Office Suite of products. VisiCalc possessed a ___________ advantage while Microsoft enjoyed a ___________ advantage.
A)first-mover; late-mover
B)late-mover; first-mover
C)sustainable; unsustainable
D)economic; technological

Accepted Answer

VisiCalc had the first-mover advantage as the pioneer in desktop spreadsheet programs, while Microsoft, entering the market later with Excel, capitalized on a late-mover advantage, leveraging its existing Microsoft Office Suite to dominate the market.

Question 9

Cycling Inc. is a manufacturer of bicycles and sells its bikes to retail outlets that serve the consumer market. Trek bicycles are priced at $900 and over and are typically sold to consumers who are recreational riders or those aspiring to compete in amateur cycling or triathlon events. Trek has enjoyed a steady stream of revenue from its line of road bicycles which are more traditional, multispeed bicycles for those who enjoy long rides on city or rural roads. Sales of road bikes are relatively stable and Trek does little to market the bikes to consumers since they have a dominant share of the market. However, hybrid bikes represent a growing segment as younger consumers prefer the upright riding position of the bikes and they can be utilized for either road or mountain biking. Trek is supporting the hybrid line of bikes with extensive advertising in specialty magazines as well as social media marketing. Trek believes the category of hybrid bikes is growing but their market position is not as strong as other manufacturers, such as Cannondale. Using the Boston Consulting Group's Growth Share Matrix, road bicycles would be categorized as __________ while hybrid bikes would fall into the ___________ category.
A)cash cows; question marks
B)stars; question marks
C)cash cows; stars
D)dogs; stars

Accepted Answer

Road bicycles are categorized as cash cows because they generate steady revenue with little need for marketing, indicating a high market share in a low-growth industry. Hybrid bikes are question marks due to their growth potential and Trek's relatively weaker market position, indicating a low market share in a high-growth industry.

Question 10

Buddy's Smokin' Bar-B-Que restaurant opened in 2014 and struggled to build a customer base for lunch, dinner, or event catering options. When the owners were planning the restaurant, they had projected they would sell 60 to 80 lunches daily with an average lunch price of $8.00 They believed that dinner business would be higher and they would also benefit from their approved liquor license, which could generate between 100 and 120 plates per day at $12 per customer. However, the actual daily lunch and dinner totals were much less and the owners were barely breaking even and wondered if they should close the business. However, Buddy's restaurant began an aggressive marketing effort, offered lunch and dinner specials and promoted the restaurant as a family-friendly place where everyone could enjoy fresh, smoked bar-b-que meats. As a result of their marketing efforts, the restaurant is selling out of its product almost daily and has built a take-away business as well. They are selling 100 lunches daily with an average price of $10 and approximately 200 dinner plates at $15. The restaurant is pleased with the revenue stream they're generating from the restaurant and considering opening a second location or adding space to accommodate more customers at the existing location. Using the data regarding number of plates sold and the average order amount generated, what kind of analysis can the owners of the restaurant perform to assist them in understanding their business opportunities?
A)Sales analysis
B)Cost analysis
C)Advertising analysis
D)Engagement analysis

Accepted Answer

The owners can perform a sales analysis to understand which meals generate the most revenue and which menu items are the most popular. This analysis can help them identify areas where they should focus their marketing efforts or determine if they need to adjust their menu prices to increase profits. By comparing their projected sales figures to the actual sales figures, the owners can also identify which areas of the business are underperforming and make changes accordingly.

Question 11

SUP ATX is the largest stand-up paddle board maker based in Austin, Texas, that markets their products directly to consumers via their website. SUP ATX mission is to spread the sport of stand up paddle surfing from oceans to lakes and rivers around the world. Stand up paddle surfing or boarding is a relatively new sport but is growing due to the relatively low price of the boards, ease in transportation and storage of the boards as well as the sport providing a fun way to exercise and allow users to enjoy the outdoors. Which of the following would be the "best" target market for SUP ATX paddle board products?
A)​active adults aged 24 to 40 who enjoy outdoor recreational activities
B)​high school students aged 15 to 18 who are looking for alternatives to traditional sports activities
C)​sporting goods retailers such as Dicks Sports who are seeking new products to sell in their retail stores
D)​professional surfers who compete in surfing competitions across the globe

Accepted Answer

Active adults aged 24 to 40 who enjoy outdoor recreational activities would be the best target market for SUP ATX paddle board products. This age group typically has more disposable income to spend on leisure activities and is more likely to be interested in and able to participate in stand-up paddle surfing. Additionally, this group is more likely to value the health and fitness benefits of the sport, making it a good match with SUP ATX's mission. High school students and professional surfers represent smaller target markets, with less potential for sustained growth, while focusing on selling to retailers may limit direct customer reach and the opportunity to spread the sport of stand-up paddle surfing.

Question 12

Wilson Window and Siding Company is a closely held family-owned company that sells exterior siding and windows to businesses and homeowners. The business-to-business market is designed to serve a variety of businesses by replacing wood siding with vinyl siding. In addition, they can customize windows to match any size that a business or homeowner might desire. Wilson Window and Siding employs approximately 35 individuals who report directly to the company president and owner, Max Wilson. Max learned about managing and leading the company from his father, who was a strict but friendly man. Max has developed a reputation as a shrewd businessperson who believes that his way is the right way. He sets all company policies and standards, and expects all employees to follow the rules and standards he has implemented. Employees enjoy the work environment at Wilson Window and Siding Company but are sometimes frustrated because they're not able to quickly respond to customer requests or changes in their needs and are not empowered to make decisions. It's likely that Wilson Window and Siding Company has implemented a ____________ organizational structure.
A)centralized
B)decentralized
C)controlled
D)paternal

Accepted Answer

The description of the company president and owner setting all company policies and standards and expecting all employees to follow them, as well as employees not being empowered to make decisions, suggests that Wilson Window and Siding Company has a centralized organizational structure. In a centralized structure, decision-making and control are concentrated at the top of the organization, with little autonomy given to employees at lower levels.

Question 13

You are preparing the marketing budget for the next fiscal year and the finance department staff has given you the following guidelines to follow when estimating certain aspects of the budget: You should allocate $250,000 for the total annual office expense for the marketing department.
For each marketing campaign that you plan to run, you should allocate $10,000 for supplies expense.
For each new product introduction that you plan to execute, you should allocate $5,000 for travel expenses.
You should allocate $25,000 for storage expenses for the entire year.
With respect to the costs included in the guidelines communicated from finance you can conclude that
A)​office expense and travel expenses are both fixed costs.
B)​office expense and storage expenses are both variable costs.
C)​storage expenses and travel expenses are both variable costs.
D)​travel expenses and supplies expenses are variable costs.
E)​office expense and supplies expenses are fixed costs.

Accepted Answer

Based on the given guidelines, the costs for supplies and travel expenses vary depending on the number of campaigns and new product introductions planned. Therefore, both supplies expenses and travel expenses are variable costs. The office expense, as stated, is fixed, as it has a set amount allocated for the entire year regardless of the number of campaigns or new product introductions. The storage expense is also fixed, as there is a set amount allocated for the entire year.

Question 14

The American Eagle chain of retail stores has a reputation as one of the "coolest" brands according to Teen Research Unlimited. Their stores feature quality merchandise, the latest trends, must-have styles, and the hottest deals for its shoppers. The retail stores are typically found in shopping malls across the country and are comfortable places to shop-featuring interesting displays, pop music, and bright lights. American Eagle's selection of denim is the most popular product appealing to both genders and has helped them achieve double-digit growth. Which of the following would most likely be the "best" target market for American Eagle?
A)Men and women aged 40 to 60
B)Children aged 12 or under
C)Mand women aged 16 to 22
D)Active seniors-men and women aged 61 or older

Accepted Answer

The language used in the description of American Eagle suggests that it caters to a younger demographic. The fact that their selection of denim is popular with both genders supports this idea further. Therefore, the best target market for American Eagle would be men and women aged 16 to 22.

Question 15

The following passage is an often-expressed critique of one of the two types of decision-making structures: Another disadvantage of this structure is that the organization may become fragmented. Business units may lose their sense of team spirit and cooperation. Some business units may put their own interests ahead of those of the company as a whole. Innovative ideas that once spread through the company quickly may now remain within individual business units.
Which one of the following decision-making structures is this critique referring to?
A)​Centralized organizational structure
B)​Remote organizational structure
C)​Functional organizational structure
D)​Process organizational structure
E)​Decentralized organizational structure

Accepted Answer

The critique is referring to a decentralized organizational structure where multiple business units operate independently and may prioritize their own interests over the interests of the entire company. This can lead to fragmentation and lack of cooperation within the organization.

Question 16

Marketers understand that the best marketing strategy in the world is doomed to fail if it is not properly implemented. With that in mind, an effective implementation strategy
A)​begins with identifying the activities to be performed, and ends with assigning responsibility for each activity to one or more team members.
B)​begins with identifying team members, and ends with assigning activities to each team member.
C)​has an open-ended timetable to allow for unexpected delays.
D)​organizes all activities in sequential order even if they can be performed simultaneously.
E)​organizes tasks in order according to their level of complexity.

Accepted Answer

Option A correctly identifies the sequence of activities required for effective implementation - starting with identifying the activities and then assigning responsibility for each activity to team members. This approach ensures that all necessary tasks are accounted for and that each team member knows exactly what their responsibilities are. Option B is not ideal as team members should be assigned tasks based on their skill sets and availability rather than being identified first. Option C is not recommended as having an open-ended timetable can lead to delays and cost overruns. Option D is not always necessary as some tasks can be performed simultaneously. Option E may not be effective as tasks should be organized based on their dependencies, not just their level of complexity.

Question 17

Bree Spencer is director of career services at a major Midwestern university and works with corporations who are seeking to recruit recent college graduates. Bree is interested in attracting DePuyOrthopaedics, Inc., a division of Johnson & Johnson, to recruit entry-level marketing and sales representatives. Bree has received very favorable word-of-mouth communication from alumni about DePuyOrthopaedics, and employees are extremely satisfied with the company's culture and feel empowered to make decisions. In addition, they report that they are given a high degree of flexibility and autonomy, which enables them to quickly respond and adapt rapidly to changing customer needs. It's likely that DePuyOrthopaedics has implemented a ____________ organizational structure.
A)controlled
B)centralized
C)decentralized
D)paternal

Accepted Answer

The given information suggests that DePuyOrthopaedics has a highly flexible and empowered workforce that is able to respond quickly to changing customer needs. This points towards a decentralized organizational structure, where decision-making is pushed down to lower levels of the hierarchy, giving employees more autonomy and flexibility to respond to local market conditions. A centralized structure, on the other hand, would be more top-down, with decision-making concentrated at the top levels of management, and less flexibility for lower-level employees. Therefore, option C is the best choice.

Question 18

You want to include a detailed marketing organizational chart in the company marketing plan. ​
Which of the following sections of the marketing plan will you include this chart in?
A)​SWOT Analysis
B)​Performance Evaluation
C)​Marketing Implementation
D)​Marketing Objectives
E)​Environmental Analysis

Accepted Answer

The marketing organizational chart is part of the marketing implementation section, which outlines the specific actions and tactics the company will take to achieve its marketing objectives. This section typically includes a description of the marketing team's roles and responsibilities, as well as any external agencies or vendors involved in executing the marketing plan. Therefore, the marketing organizational chart would be most appropriately included in this section.

Question 19

Ethan Hathaway recently graduated from an East Coast university and has joined a small start-up based in New York City. One of his first assignments is to work collaboratively with other members of the marketing team to draft the marketing plan for the next fiscal year. Ethan is highly skilled in conducting secondary research and, as an alumnus of his university, he continues to have complimentary access to the university's library resources. He's now realizing how important data analysis is to firms and is glad he took a marketing research course. Ethan is utilizing the library resources to uncover information about a variety of external factors that could provide opportunities or threats and is exploring such factors as competitive, economic, political, legal, regulatory, technological, and sociocultural. Which section of the marketing plan would be most appropriate for the information that Ethan is obtaining through secondary market research?
A)Environmental analysis
B)Executive summary
C)Marketing objectives
D)SWOT analysis

Accepted Answer

Ethan is conducting an external analysis of factors that could impact the company's marketing plan, which would be included in the environmental analysis section of the marketing plan. The environmental analysis examines factors outside of the company's control that could impact its operations or profitability. Factors such as competitive, economic, political, legal, regulatory, technological, and sociocultural would all fall under this category.

Question 20

Karen Santiago is responsible for the traditional media marketing activities for her company and currently utilizes billboards, radio advertising, newspaper advertising, and cable TV advertising to communicate with customers, reinforce customer relationships, and drive revenues and profitability. Karen's company has invested in a proprietary technology scheduling program that allows her to plan the various media investments, messages, and timing over the year to match the various media content to specific marketing objectives, according to the days or months of the year that are most appropriate for the company. Therefore, the proprietary scheduling program assists Karen's with which of the following marketing implementation activities?
A)Establishing a timetable for implementation
B)Coordinating marketing activities
C)Communicating within the marketing unit
D)Motivating marketing personnel

Accepted Answer

The proprietary scheduling program assists Karen with establishing a timetable for implementation by allowing her to plan the various media investments, messages, and timing over the year to match the various media content to specific marketing objectives.

Quiz 2: Planning, Implementing, and Evaluating Marketing Strategies

The __ section of the marketing planstates what the company wants to accomplish through marketing activities, using a(n) _ of where the firm stands in the market.

Marketers understand that the best marketing strategy in the world is doomed to fail if it is not properly implemented. With that in mind, an effective implementation strategy

You want to include a detailed marketing organizational chart in the company marketing plan. Which of the following sections of the marketing plan will you include this chart in?

Quiz 2: Planning, Implementing, and Evaluating Marketing Strategies

The ____________ section of the marketing planstates what the company wants to accomplish through marketing activities, using a(n) ___________ of where the firm stands in the market.

Marketers understand that the best marketing strategy in the world is doomed to fail if it is not properly implemented. With that in mind, an effective implementation strategy

You want to include a detailed marketing organizational chart in the company marketing plan. ​ Which of the following sections of the marketing plan will you include this chart in?

The __ section of the marketing planstates what the company wants to accomplish through marketing activities, using a(n) _ of where the firm stands in the market.

You want to include a detailed marketing organizational chart in the company marketing plan. Which of the following sections of the marketing plan will you include this chart in?