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Marketing Fundamentals
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Marketing Fundamentals
Marketing Fundamentals
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1
Question
How does marketing create value for customers and organizations?
Page 3
Answer
Marketing creates, communicates, and delivers value to customers. It manages customer relationships in ways that benefit the organization and its stakeholders.
2
Question
Which activities are included in the formal definition of marketing?
Page 3
Answer
Marketing is an organizational function and a set of processes for creating, communicating, and delivering value, while managing customer relationships.
3
Question
How does marketing management differ from marketing as a broader function?
Page 4
Answer
Marketing is the organizational function and process of creating, communicating, and delivering value. Marketing management is the art and science of choosing target markets and acquiring, retaining, and growing customers through superior customer value.
4
Question
Which customer outcomes does marketing management seek to achieve?
Page 4
Answer
Marketing management seeks to get, keep, and grow customers.
5
Question
How does superior customer value support marketing management?
Page 4
Answer
Marketing management uses superior customer value to create, deliver, and communicate value that attracts, retains, and grows customers.
6
Question
Which broad categories of offerings can be marketed?
Page 5
Answer
Offerings can include goods, services, events, experiences, persons, places, properties, organizations, information, and ideas.
7
Question
Which two categories describe intangible activities or encounters that can be marketed?
Page 5
Answer
Services and experiences are intangible activities or encounters that can be marketed.
8
Question
Which categories connect marketing with people, locations, and ownership?
Page 5
Answer
Persons, places, and properties are categories of offerings that can be marketed.
9
Question
Which categories show that marketing can promote nonphysical content?
Page 5
Answer
Organizations, information, and ideas can all be marketed even though they are not physical goods.
10
Question
How can the ten marketed-offering categories be remembered in sequence?
Page 5
Answer
The sequence is goods, services, events, experiences, persons, places, properties, organizations, information, and ideas. A memory hook is “Good Sailors Enjoy Every Port; Pleasant Properties Organize Interesting Ideas.”
11
Question
Which customer groupings are identified as types of markets?
Page 6
Answer
Markets may be grouped as need markets, product markets, demographic markets, geographic markets, or other markets.
12
Question
How does a market function as a grouping of customers?
Page 6
Answer
A market is a grouping of customers organized according to a relevant basis, such as needs, products, demographics, or geography.
13
Question
Which market type groups customers according to basic requirements?
Page 6
Answer
A need market groups customers according to their needs.
14
Question
Which market type groups customers according to location?
Page 6
Answer
A geographic market groups customers according to geographic location.
15
Question
Who is called a marketer in a marketing exchange?
Page 7
Answer
A marketer is someone who seeks a response from another party, called a prospect.
16
Question
How are a marketer and a prospect related?
Page 7
Answer
The marketer seeks a response, and the prospect is the other party from whom that response is sought.
17
Question
Which responsibility involves using customer needs to guide new products?
Page 8
Answer
The CMO drives new product development based on customer needs.
18
Question
Which CMO function evaluates whether marketing activities work effectively?
Page 8
Answer
The CMO measures marketing effectiveness.
19
Question
Which five stages constitute the marketing process?
Page 9
Answer
The marketing process consists of analyzing marketing opportunities, selecting target markets, designing marketing strategies, developing marketing programs, and managing the marketing effort.
20
Question
Why does the marketing process begin by analyzing opportunities?
Page 9
Answer
The process begins by analyzing marketing opportunities before selecting target markets, designing strategies, developing programs, and managing the effort.
21
Question
Which concepts distinguish a customer’s need, want, and demand?
Page 11
Answer
A need is a basic human requirement. A want is directed toward a specific object that might satisfy the need. A demand is a want for a specific product backed by an ability to pay.
22
Question
How does a demand differ from a want in marketing?
Page 11
Answer
A want is directed toward a specific object that might satisfy a need. A demand is a want for a specific product backed by an ability to pay.
23
Question
Which three buyer differences does segmentation examine?
Page 12
Answer
Segmentation examines demographic, psychographic, and behavioral differences among distinct groups of buyers.
24
Question
How does segmentation help a marketing organization?
Page 12
Answer
It identifies and profiles distinct groups of buyers.
25
Question
Which market segments are selected as target markets?
Page 12
Answer
Target markets are the segments presenting the greatest opportunity.
26
Question
How does positioning describe an offering to target buyers?
Page 12
Answer
Positioning describes what the offering means in the minds of target buyers as delivering central benefits.
27
Question
Which concept connects an offering with customer needs?
Page 13
Answer
A value proposition is a set of benefits offered to satisfy customers’ needs.
28
Question
How does an offering differ from a single product?
Page 13
Answer
An offering combines products, services, information, and experiences.
29
Question
Which characteristic distinguishes a brand from an offering?
Page 13
Answer
A brand is an offering from a known source.
30
Question
How should value be evaluated from the customer’s perspective?
Page 14
Answer
Value is the sum of perceived tangible and intangible benefits and costs to customers.