Marketing Final Revision PDF

MARKETING FINAL REVISION 1. Which of these is true about marketing? A. Marketing is used to promote the product and services B. Marketing is concerned about the sales only C. Marketing is the activity, set of institutions, and processes for creating, communicating, delivering, and ex...

MARKETING FINAL REVISION 1. Which of these is true about marketing? A. Marketing is used to promote the product and services B. Marketing is concerned about the sales only C. Marketing is 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. D. Marketing considers only the needs of the organization and not the society Explanation: Marketing is 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. 2. Which one is not a part of the 4 Ps? A. Product B. People C. Price D. Place Explanation: People are a part of the 7 Ps. The concept of the 7 Ps is used in service marketing. 3. Who is the Father of Modern Marketing? A. Philip Kotler B. Peter F Drucker C. Abraham Maslow D. Raymond Kroc Explanation: Philip Kotler is the father of modern marketing. He is an American marketing author and professor emeritus. 4. ____defined marketing as the science and art of exploring, creating, and delivering value to satisfy the needs of a target market at a profit? A. Steve Jobs B. Philip Kotler C. Peter Drucker D. Abraham Maslow Explanation: Philip Kotler is the father of modern marketing. He is an American marketing author and professor emeritus. 5. The term "Marketing" refers to? A. Promotion of the product B. Focusing on sales and profit C. Strategizing and implementing the organization process D. Set of activities to deliver customer value and satisfaction Explanation: The latest idea of marketing is that it is a set of activities to deliver customer value and satisfaction. There were different phases when marketing was considered more about production and selling. 6. ____ is the key term in AMA's definition of marketing? A. Sales B. Promotion C. Value D. Profit Explanation: In its standard definition of marketing, the American Marketing Association focuses on Value to the customers. 7. Why must the marketers monitor the competitor's activities? A. The competitor may destroy the organization B. The competitor may threaten the monopoly position of the company C. New offerings of a competitor may need alterations in one or more components of the company's marketing mix D. The competitor may be violating the law to gain an advantage Explanation: Monitoring the competitor's activities helps the company to modify its plans and activities to remain profitable and sustained in the market. 8. Different price points for a different level of quality for a company's related products is a part of which pricing strategy? A. Product line pricing B. Incremental pricing C. Optional product pricing D. By-product pricing Explanation: In product line pricing the company adds features to the base product and charges more for the features, as compared to the base product. 9. In today's time marketing must be understood and developed as? A. Getting the first mover’s advantage B. Creating value for the customers C. Pushing for higher sales and profits D. Creating innovative products Explanation: The concept of marketing has evolved from production to creating value for the customers. Today the customers don't buy the product simply because they are available, but if they add value to the customer. 10. Which one of these is an appropriate definition of "want"? A. The desires of consumers B. Needs related to society C. Basic human needs D. Needs directed to the product Explanation: When a buyer sees a gap or problem it is a need. Only when the buyer decides that his need can be fulfilled by a particular product does it become a want. 11. In the evolution of marketing the production period ended in ? A. Late 1800s B. After the second world war C. In the 1920s D. Early 20th century Explanation: Before the 1920s demand was related to production. The companies focused on producing new products and a demand was created automatically. 12. According to Philip Kotler marketing is____? A. A science B. An art C. Both science and art D. None of the above Explanation: Marketing, according to Philip Kotler, is neither a science nor an art. It is a mix of both. A smart marketer understands when to depend on data and when to use intelligence. 13. Which concept holds that consumers will favor the products that are easily available at an affordable price? A. Production concept B. Product concept C. Marketing concept D. Production cost concept Explanation: In the Product Concept the marketers believed that if a product is readily available at a lower price, the customers will prefer to buy it over a product that is difficult to find and expensive. 14. What does the term "marketing" refer to? A. New product development B. Advertising and other promotional activities C. Achieving sales and profit targets D. Creating customer value and satisfaction Explanation: The latest idea of marketing is to focus on creating customer value and satisfaction. When you can create value for customers, they will prefer your products and services over others. 15. Which part of the consumer's income interests the marketers? A. Gross Income B. Disposable Income C. Inflationary Income D. Discretionary Income Explanation: Discretionary Income is the amount of income that is left for spending or investing after the customer has paid for the personal necessities and taxes. 16. Catalogues, sponsored events, and digital media presence are closely associated with the marketing mix activity of? A. Product development B. Pricing C. Promotion D. Sales Explanation: These mediums are primarily used to spread awareness among consumers and promote the products and services among the target consumers. 17. Early adopters and opinion leaders tend to? A. Buy new products in their circles first and voice their opinion B. Buy tried and tested products C. Being from upper class, users from other classes are followers D. Don’t take risks easily Explanation: The early adopters are willing to take the risk and try new things. They often buy new products in their circles first. They also share their opinions about the products among their social circles. 18. To achieve market expansion a company must? A. Use distribution channels more effectively B. Use advertising campaigns more effectively C. Price their products more strategically D. All of the above Explanation: Focusing on only one or two will not yield the desired results. For market expansion, the marketer must take a broader approach and focus on all the activities to achieve the goals of expansion. 19. In an organization strategic marketing planning must begin with? A. Hiring a senior planning consultant B. Establishing organizational goals and objectives C. Writing the mission statement D. Writing the vision statement Explanation: Writing the mission statement is essential to create a successful marketing plan. A well-written mission statement gives a clear direction and the marketing plan can be developed to achieve the goals. 20. In the service industry how many Ps comprise the marketing mix? A. 4 Ps B. 7 Ps C. 10 Ps D. 8 Ps Explanation: The concept of 7Ps is followed in the service industry. The product industry mainly uses 4Ps. 21. Which period worked on the marketing philosophy of "A good product will sell itself"? A. Marketing B. Production C. Sales D. Relationship Explanation: During the Production Period the marketers focused more on the quality of their products. Whether the products add value to the customers was not considered much. 22. Which of the following describes "diversification"? A. New products in new markets B. New products in existing markets C. Existing products in an existing market D. Existing products in new markets Explanation: Diversification is a concept where a company not only focuses on new products but also explores new markets. 23. Which traits are desired of marketers today? A. Only creativity B. Only critical thinking C. Both creativity and critical thinking D. Neither creativity nor critical thinking Explanation: In today's time a marketer has to be both a creative and critical thinker. With these two capabilities, the marketer can better understand the consumers and come up with solutions that add value. 24. What is motive development? A. The imbalance between the customer's actual and desired state in which gap or problem-solving is recognized B. The gap between the customer's current state and past state C. The balance between the customer's actual and desired state D. The gap between the customer's and his colleague's current state Explanation: There is always an imbalance between the customer's actual and desired state. A marketer's key role is to recognize this gap and recognize a feasible solution. 25. Producers, wholesalers, and retailers act as a unified system to form a? A. Vertical marketing system B. Horizontal marketing system C. Traditional marketing system D. Hierarchical marketing system Explanation: The producers, wholesalers, and retailers work in a straight chain and fulfill the task to make the products available to the end user. 26. Select the strategic marketing planning tool? A. A BCG matrix B. Market analysis C. Consumer analysis and scanning model D. Market vulnerability/business opportunity analysis Explanation: BCG matrix uses market share and market growth to understand a product's position in the market to its competing products. 27. Achieving strategic marketing objectives using marketing plans and strategies is called? A. Target achievement B. Marketing implementation C. Market penetration D. Goal setting Explanation: When the marketing goals are achieved through successful utilization of strategies and plans it is said to be well implemented. 28. Using a successful brand name to launch a new product in a different category is called? A. Line extension B. Brand expansion C. Brand extension D. Branding Explanation: When a company uses an established brand name and launches a new product category that may or may not relate to the existing product it is called Brand extension. 29. The marketer focuses on product awareness, trial, and expansion in this stage of the product life cycle? A. Growth Stage B. Decline Stage C. Maturity stage D. Introduction stage Explanation: At the Introduction stage the marketer should not focus on profits or sales. The main objective at this stage should be to make customers aware of the product and willing to try it. 30. The major objective of any marketing activity is to? A. Sell B. Promote C. Create D. Increase awareness Explanation: All marketing activities have one primary objective. This aim is to achieve sales. If the product is not selling despite all the marketing activities, either the marketing plan or the product is at fault. 31. When a firm believes that competitive edge depends purely on its ability to innovate, it is following? A. Competitive model B. Conventional model C. Out-of-the-box thinking D. None of the above Explanation: In the Conventional model a marketer believes that a better product will sell itself. Whether the product adds value to the customer or not is not a consideration under the conventional model. 32. Which of the following is important for the success of a differentiated product with unique customer benefits? A. Early recognition of the need B. Large scale promotion C. Product superiority D. Detailed analysis Explanation: When a product is offering some unique benefits to the customers it must be superior to its counterparts. If the solutions offered are not superior to its competitors, customers may not show interest in switching to that product. 33. Choose the correct sequence of activities for brand building? A. Selecting brand elements > Leveraging secondary associations > Developing a marketing program B. Developing marketing program > Selecting brand elements > Leveraging secondary associations C. Leveraging secondary associations > Developing marketing program > Selecting brand elements D. Selecting brand elements > Developing marketing program > Leveraging secondary associations Explanation: Selecting brand elements > Developing marketing program > Leveraging secondary associations. 34. Which marketing channel makes the products available to end users without intermediaries? A. Indirect channel B. Direct channel C. Dynamic channel D. Flexible channel Explanation: In Direct Channel the company does not depend on intermediaries like distributors, wholesalers, or retailers to make the products available to the customers. 35. One company adjusts its marketing budget by observing another company's budget. This process is called? A. Objective and task method B. Competitor analysis C. Competitive parity method D. Affordable budget allocation Explanation: A company does competitor analysis and makes changes to its budget and plans to stay competitive in the market by adjusting to the practices of the competitor. 36. At which stage of the product cycle is the profit typically negative? A. Decline stage B. Growth stage C. Maturity stage D. Growth stage Explanation: At the Growth stage the product gains market share and the sales go high. However, a lot of efforts and expenses are occurred to achieve this growth. The net profit is generally negative at this stage. 37. Which of the following facts defines the break-even point? A. Total revenue is less than the total cost B. Total revenue is the same as the total cost C. Total profit is more than the total cost D. The total cost is less than the total cost Explanation: A company is said to have achieved the breakeven point when the total revenue generation is the same as the total cost incurred. 38. The expenses paid to workers for overtime are considered as? A. Fixed cost B. Variable cost C. Dependent cost D. Total cost Explanation: The overtime done by workers changes and depends on the emphasis to achieve goals. Thus it qualifies as a Variable cost. 39. During the societal marketing period what was firms' main concern for marketing? A. Producing high-quality products B. Social and ethical concerns in marketing C. Achieving sales target D. Understanding consumer insights Explanation: The companies focused on social and ethical concerns in their marketing activities during this period. In the current times, the focus has shifted to adding value to the customers. 40. ____is achieved when customer expectations are met regarding the quality of products and services along with the value-based price? A. Quality excellence B. Customer satisfaction C. Value proposition D. None of the above Explanation: The customer is satisfied with his purchase when the quality of the product is par with expectations and he feels he is not being over-charged for the product or the service.  CASE STUDY ANALYSIS 1. Using the marketing mix theoretical to analyze this case study by 4ps (product, price, promotion, place) – 6 marks PRODUCT PRICE - Hospitality: core service and peripheral - Pricing in Hotels: General Pricing, Trade Discounts, service Special Discounts, Pricing for room tariffs, pricing for - Service: Hospitable & welcoming FnB manner - Pricing for function: B-Breakfast, L-Lunch, D-Dinner. - Product mix: reception, boarding, 1. European plan: Room lodging, entertainment, shopping & 2. Continental Plan: Room + B personal care - Professional skill services make 3. Modified American plan/ Half board: Room + B + L/D customer satisfaction increase 4. American plan/ Full board: room + B + L +D PROMOTION PLACE + Advertising: - Business Publications to attract The choice of location is for proprietor – owned restaurant, business class people guest house, and small tourist attraction - Tourist Publications to attract tour Middlemen, travel agent is good distribution channel travelers - Zero level distribution - Directories like Yellow Pages - Inside -> Selling Hotel Companies -> End User especially by small hotels - Direct mail to tour operators - One Level Distribution: - Print and television media is also Outside Companies -> Selling Hotel Travel Agent -> End User heavily used + Personal Selling: It is rightly said that - Two Level Distribution Systems: “Receptionist is the nerve of the hotel”. Outside Companies -> Selling Hotel Tour -> operator Travel Mentioned all thing of sale promotion perspective Agent End User  2. Applying SWOT analysis to clarify some elements relate to 4Ps – 6 marks STRENGH WEAKNESS Good core service, it follow the rule of India - Number of customers depend on for “the guest is God” middlemen & travel agent - The hospitable and welcoming manner - Limited on functional of entertainment - High number of tourists visit India and technologies - Suitable price for service for every - Limited experiences workers (it level of customer depend on service so it leads to - Promotion mix by advertising to consumption of HR in India is quite promotion strategies and based on higher) CRM services OPPORTUNITY THREAT - The growth of travelers to India - Seasonal usually run out of services - Young labors in domestic countries is - Pressure of competition in India is high high - Training HR is quite simple - Traditional of CRM on India is good 3. Base on ur SWOT analysis, please using BCG Matrix to evaluate what is star product in this case study – 4 marks - Pricing for Function: 1) European plan: Room 2) Continental Plan: Room + B 3) Modified American plan/ Half Board: Room+ B + L/D 4) American plan/ Full Board: Room+ B + L + D As the new technology was developing, corporate travel departments, as well as the independent consumer, turned to travel agents to get the best discounts. As the GDS technolody influenced booking and buying practices, additional segments were created, resulting in the following market segment model: - Rack rates: Without any affiliations to warrant discounts, the Rack Rated customer paid the published rate, which was the highest rate. - Consortia Rates: This was the same customer who booked through a travel agent using the GDS and received a 5% - 10% discount off Rack Rates - Corporate Rates: Having met the hotel’s qualifying criteria, such as volume, businesses were guaranteed discounted rates - Group Rates: With a block of rooms, rates varied based on time of year and the nature of the group - Weekend Rates: Individual leisure travelers, usually within a drive distance to the hotel 4. Give out recommendation what strategies can be apply to help business imrprove their service – 4 marks - Create strategies to persuade loyal customers comeback - Upgrade the Technology to make sure that the entertainment and peripheral service has variable services - Create agent license to connect customers effectively & potential customers - Already training employees & employers to maintain HR management, the training cost is quite low and it need time to prepare HR for seasonall time - Improving technologies to make sure that services of hospitality improve well in the future.