Question 1

Mission statements should be defined in terms of ________.
A) the advantages a company's products provide
B) satisfying basic customer needs
C) the value a company's products provide
D) the profitability of a company's products
E) the variety they offer to a customer

Accepted Answer

B

Question 2

Which of the following companies has a product-oriented business definition?
A) A luxury hotel, whose business definition is: "We sell out-of-the-world experiences to our guests."
B) A real estate company, whose business definition is: "We sell dreams."
C) A cosmetic company, whose business definition is: "We offer hope and self-expression."
D) A shoe manufacturer, whose business definition is: "We manufacture affordable and long-lasting shoes for all."
E) A high-technology company, whose business definition is: "We sell inspirations."

Accepted Answer

The shoe manufacturer has a product-oriented business definition, which focuses on the manufacturing of affordable and long-lasting shoes. The other options have more abstract business definitions focused on emotions, experiences or concepts rather than products.

Question 3

Which of the following is the first step in strategic planning?
A) setting short-term goals
B) developing the business portfolio
C) defining the organizational mission
D) formulating the key marketing strategies
E) identifying the organization's weaknesses and the threats it faces

Accepted Answer

Defining the organizational mission is typically the first step in strategic planning as it sets the direction for the organization and informs all other decisions and actions. Setting short-term goals, developing the business portfolio, formulating key marketing strategies, and identifying weaknesses and threats are important steps in the strategic planning process but typically come after defining the organizational mission.

Question 4

Orion Inc. operates in many industries, including pharmaceuticals and food products. The company's goal is to create "abundant and affordable food for all and a healthy environment." This represents Orion's ________.
A) marketing plan
B) product mix
C) business portfolio
D) marketing mix
E) mission statement

Accepted Answer

Orion's statement represents their mission, which outlines their overarching goal and purpose as a company. A marketing plan, product mix, and marketing mix all relate to specific strategies or tactics employed by a company, while a business portfolio typically refers to the collection of businesses or products a company manages.

Question 5

A mission statement serves as a ________.
A) statement of the organization's net profits
B) plan for short-term sustainability
C) statement of the organization's purpose
D) statement of the organization's current liabilities
E) reward plan for the organization's highly skilled employees

Accepted Answer

A mission statement is a statement of the organization's purpose, outlining what the organization aims to achieve and why it exists. It provides direction and guidance for decision-making within the organization.

Question 6

The purpose of strategic planning is to find ways in which your company can best use its strengths to take advantage of attractive opportunities in the environment.

Accepted Answer

Strategic planning is a process of identifying a company's strengths, weaknesses, opportunities, and threats (SWOT analysis) and using that information to develop a plan of action that will help the company achieve its goals and objectives. The purpose of strategic planning is to find ways to leverage the company's strengths to take advantage of attractive opportunities while addressing any weaknesses or threats that may impede progress.

Question 7

A company's broad mission leads it to develop all of the following EXCEPT ________.
A) budget objectives
B) business objectives
C) sales objectives
D) marketing objectives
E) customer engagement objectives

Accepted Answer

A company's broad mission typically guides its overall direction and purpose, including areas such as business development, sales, marketing, and customer engagement. Budget objectives, however, are generally more specific and tactical in nature, and are often constructed based on other objectives such as sales or marketing goals. Therefore, the development of budget objectives may not necessarily be directly driven by a company's broad mission.

Question 8

Which of the following is a market-oriented mission statement?
A) "We empower customers to achieve their dreams."
B) "We sell jumbo burgers."
C) "We are an online library."
D) "We are a low-cost airline."
E) "We make porcelain figurines."

Accepted Answer

A market-oriented mission statement focuses on the customer and their needs or desires. Option A clearly states that the company empowers customers to achieve their dreams, indicating a customer-centric approach. The other options either focus on the product or the business itself, indicating a more inwardly-focused approach.

Question 9

Which of the following is true with regard to strategic planning?
A) At the corporate level, the company starts the strategic planning process by determining what portfolio of businesses and products is best for the company.
B) A strategic plan deals with a company's short-term goals.
C) The focus of strategic planning is to define a game plan for long-run survival and growth.
D) The strategic plan is a statement of an organization's purpose.
E) Strategic planning involves identifying segments of consumers with identical preferences.

Accepted Answer

The focus of strategic planning is indeed to define a game plan for long-run survival and growth. Answer A is not entirely correct since the strategic planning process at the corporate level includes not only determining the portfolio of businesses and products, but also evaluating each business and product. Answer B is not correct since a strategic plan deals with long-term goals, not short-term goals. Answer D is also not entirely accurate since a strategic plan includes more than just the organization's purpose; it also includes objectives and action plans. Answer E is not correct since strategic planning involves identifying segments of consumers with different preferences, not identical preferences.

Question 10

Mission statements should be ________.
A) meaningful and specific yet motivating
B) technology oriented
C) written solely for public relations purposes
D) focused on increasing sales or profits
E) strictly product oriented

Accepted Answer

Mission statements should be meaningful and specific yet motivating, providing employees and stakeholders with a clear understanding of the organization's purpose and goals. Technology orientation, PR-driven writing, and profit-focused language can detract from the mission's authenticity and broader appeal. While products are a key aspect of most organizations, narrowly defining a mission around a single product ignores broader purposes and community impact.

Question 11

Mission statements should ________ and be defined in terms of ________.
A) be technology oriented; meeting the self-actualization needs of customers
B) be product oriented; satisfying the esteem needs of customers
C) embody the company's short-term plans; current opportunities
D) be market oriented; satisfying basic customer needs
E) address sales and profits; the net return on investments

Accepted Answer

Mission statements should be market-oriented and define how a company intends to satisfy the basic needs of its customers. This ensures that the company is focused on creating value for its customers and meeting their expectations.

Question 12

Companies that define their missions in terms of products or technologies are considered myopic primarily because ________.
A) products and technologies result in low returns on investment
B) consumer preferences with regard to products and technology are difficult to predict
C) consumer preferences for different product categories vary from time to time
D) products and technologies eventually become outdated
E) most consumers are not comfortable using sophisticated technology during the buying process

Accepted Answer

Products and technologies eventually become outdated, so if a company's mission is solely focused on a particular product or technology, they will struggle to adapt and innovate as consumer preferences and market trends shift over time. A more forward-thinking approach would be to define a mission based on meeting customer needs or solving a broader problem, rather than being tied to a specific product or technology.

Question 13

Which of the following is NOT a market-oriented business definition?
A) "We empower customers to realize their dreams."
B) "We make high-quality consumer food products."
C) "We sell success and status."
D) "We create the Hilton experience."
E) "We bring innovation to every home."

Accepted Answer

The answer of Which of the following is NOT a...

Question 14

A company's mission statement provides the depth needed for all segments of the company to reach their goals.

Accepted Answer

A company's mission statement provides a broad overview of its purpose and objectives, not the detailed guidance needed for all segments of the company to reach their specific goals.

Question 15

Which of the following is NOT an example of product-oriented mission statements?
A) "We are an online library."
B) "We run theme parks."
C) "We sell athletic shoes."
D) "We sell memorable experiences."
E) "We rent hotel rooms."

Accepted Answer

Mission statements that focus on selling experiences or emotions are customer-oriented, not product-oriented. The other statements focus on the products or services being provided.

Question 16

________ is the process of developing and maintaining a crucial fit between the organization's goals and capabilities and its changing marketing opportunities.
A) Benchmarking
B) SWOT analysis
C) Market segmentation
D) Strategic planning
E) Diversification

Accepted Answer

The process described in the question is strategic planning, which involves analyzing the organization's goals and capabilities as well as the external environment (such as changing marketing opportunities) in order to develop a long-term plan to achieve success. Benchmarking and SWOT analysis are tools that can be used during this process, but they are not the process itself. Market segmentation and diversification are marketing tactics that may be part of the overall strategy, but they do not encompass the entire strategic planning process.

Question 17

Which of the following companies has a market-oriented business definition?
A) An electronics company, whose business definition is: "We produce microchips."
B) A hotel, whose business definition is: "We rent rooms."
C) An apparel company, whose business definition is: "We make and sell women's clothing."
D) A cosmetic company, whose business definition is: "We sell hope and self-esteem."
E) A pizzeria, whose business definition is: "We sell the world's most delicious thin-crust pizzas."

Accepted Answer

A market-oriented business definition is customer-focused, emphasizing the company's ability to satisfy customer needs and wants. The cosmetic company's definition of "selling hope and self-esteem" is customer-focused, making it the best choice for a market-oriented business definition. The other options are all product-focused, emphasizing what the company produces or sells rather than addressing customer needs and wants directly.

Question 18

A ________ documents an organization's purpose-what it wants to accomplish in the larger environment.
A) vision statement
B) mission statement
C) business portfolio
D) value proposition
E) product strategy

Accepted Answer

A mission statement is a declaration of an organization's overall purpose. It is typically short, concise, and communicates the company's reason for being, including its values and goals. A vision statement, on the other hand, describes an organization's aspirations for the future, and can be more long-term and visionary. Business portfolio refers to the collection of businesses or products that a company owns or invests in, and a value proposition is a statement that outlines the benefits or value that a product or service offers to customers. A product strategy is a plan for how a company will develop and market its products or services.

Question 19

Which of the following is NOT a step in the strategic planning process?
A) defining the company mission
B) setting company objectives and goals
C) designing the business portfolio
D) planning marketing and other functional strategies
E) evaluating members of the company's value chain

Accepted Answer

Evaluating members of the company's value chain is not a step in the strategic planning process. The strategic planning process typically involves defining the company mission, setting objectives and goals, designing the business portfolio, and planning marketing and other functional strategies. While evaluating members of the company's value chain may be important for operations and performance management, it is not a core step in the strategic planning process.

Question 20

A company's broad mission leads to ________.
A) increasing profits and more customers
B) increasing sales and decreasing costs
C) a higher share price
D) a hierarchy of objectives, including business objective and marketing objectives
E) increased market share and increasing profitability

Accepted Answer

A broad mission typically leads to a hierarchy of objectives, including business objectives and marketing objectives, which are more specific and measurable goals aimed at achieving the company's overall mission. The other options focus mainly on specific outcomes such as profits, sales, share price, market share, and profitability, which may be influenced by a company's mission but do not necessarily reflect its broader purpose.

Quiz 2: Company and Marketing Strategy: Partnering to Build Customer Engagement, Value, and Relationships

Mission statements should be defined in terms of ________.

Which of the following companies has a product-oriented business definition?

Which of the following is the first step in strategic planning?

Orion Inc. operates in many industries, including pharmaceuticals and food products. The company's goal is to create "abundant and affordable food for all and a healthy environment." This represents Orion's ________.

A mission statement serves as a ________.

The purpose of strategic planning is to find ways in which your company can best use its strengths to take advantage of attractive opportunities in the environment.

A company's broad mission leads it to develop all of the following EXCEPT ________.

Which of the following is a market-oriented mission statement?

Which of the following is true with regard to strategic planning?

Mission statements should be ________.

Mission statements should and be defined in terms of .

Companies that define their missions in terms of products or technologies are considered myopic primarily because ________.

Which of the following is NOT a market-oriented business definition?

A company's mission statement provides the depth needed for all segments of the company to reach their goals.

Which of the following is NOT an example of product-oriented mission statements?

________ is the process of developing and maintaining a crucial fit between the organization's goals and capabilities and its changing marketing opportunities.

Which of the following companies has a market-oriented business definition?

A ________ documents an organization's purpose-what it wants to accomplish in the larger environment.

Which of the following is NOT a step in the strategic planning process?

A company's broad mission leads to ________.