MBA 706 test 1 study guide ACTUAL UPDATED QUESTIONS AND CORRECT
ANSWERS
Choosing the value ___represents the "homework" marketers must do before any product exists.
"segmentation, targeting, positioning (STP)" The formula which is the essence of strategic marketing.
Providing the value- Phase of Value Creation where marketing must determine specific product
features, prices, and distribution.
value chain. per Michael Porter the ___ is a tool for identifying ways to create more customer
value.
primary activities Below are the primary or secondary activities of the value chain?
(1) inbound logistics, (2) operations, or converting materials into final products; (3)
outbound logistics, or shipping out final products; (4) marketing
secondary _—(1) procurement, (2) technology development, (3) human resource
management, and (4) firm infrastructure.
are __ activities of the value chain
Core business processes activities which are necessary for the the survival of the firm.
core competency A ___ has three characteristics
1) It is a source of competitive advantage and makes a significant contribution to
perceived customer benefits
2) It has applications in a wide variety of markets
3) It is difficult for competitors to imitate
SBU (strategic business unit) •It is a single business or collection of related businesses
Strategic Business Unit (SBU) a subgroup of a single business or a collection of related businesses within the
larger organization
A distinct mission and specific target market An SBU has...
Control over its resources
Its own competitors
Plans independent of other SBUs
Market penetration market ___ increases market share among existing customers
, Market development Market ___is; attracting new customers to existing products
Diversification ___ is introducing new products into new markets
Corporate culture the shared experiences, stories, beliefs, and norms that characterize an
organization
Internal environment Controllable elements inside of an organization (human capital, organizational
culture-Google, financial stability, corporate reputation, quality products, brand
strength, etc.)
These elements represent key strengths and weaknesses of the firm
• Situation analysis •An assessment of a firm's internal and external environments
External environment •Uncontrollable elements outside of an organization that may affect its
performance either positively or negatively (economy, competition, technology,
political unrest, etc.) (Greece)
SWOT enables the firm to develop strategies that maximize strengths and capitalize
upon opportunities
customer groups, customer needs, and technology. A business is defined on three dimensions
Overall cost leadership- ______________________________________ is when firms work to achieve the lowest production and distribution costs
so they can underprice competitors and win market share
Differentiation concentrates on achieving superior performance in an important customer
benefit area valued by a large part of the market
Focus focuses on one or more narrow market segments, gets to know them intimately,
and pursues either cost leadership or differentiation within the target segment
Product or service alliances One company licenses another to produce its product, or two companies jointly
market their complementary products or a new product is known as ____
Marketing an organizational function that creates, communicates, and delivers value to
customers
market a collection of buyers and sellers who transact over a particular product or
product class (such as the housing market).
Consumers sell their labor and receive money with which they pay for goods and services
Consumer Markets Companies selling mass consumer goods/services focus on establishing a strong
brand image by developing a superior product and packaging, ensuring
availability, and backing it with engaging communications and reliable service
ANSWERS
Choosing the value ___represents the "homework" marketers must do before any product exists.
"segmentation, targeting, positioning (STP)" The formula which is the essence of strategic marketing.
Providing the value- Phase of Value Creation where marketing must determine specific product
features, prices, and distribution.
value chain. per Michael Porter the ___ is a tool for identifying ways to create more customer
value.
primary activities Below are the primary or secondary activities of the value chain?
(1) inbound logistics, (2) operations, or converting materials into final products; (3)
outbound logistics, or shipping out final products; (4) marketing
secondary _—(1) procurement, (2) technology development, (3) human resource
management, and (4) firm infrastructure.
are __ activities of the value chain
Core business processes activities which are necessary for the the survival of the firm.
core competency A ___ has three characteristics
1) It is a source of competitive advantage and makes a significant contribution to
perceived customer benefits
2) It has applications in a wide variety of markets
3) It is difficult for competitors to imitate
SBU (strategic business unit) •It is a single business or collection of related businesses
Strategic Business Unit (SBU) a subgroup of a single business or a collection of related businesses within the
larger organization
A distinct mission and specific target market An SBU has...
Control over its resources
Its own competitors
Plans independent of other SBUs
Market penetration market ___ increases market share among existing customers
, Market development Market ___is; attracting new customers to existing products
Diversification ___ is introducing new products into new markets
Corporate culture the shared experiences, stories, beliefs, and norms that characterize an
organization
Internal environment Controllable elements inside of an organization (human capital, organizational
culture-Google, financial stability, corporate reputation, quality products, brand
strength, etc.)
These elements represent key strengths and weaknesses of the firm
• Situation analysis •An assessment of a firm's internal and external environments
External environment •Uncontrollable elements outside of an organization that may affect its
performance either positively or negatively (economy, competition, technology,
political unrest, etc.) (Greece)
SWOT enables the firm to develop strategies that maximize strengths and capitalize
upon opportunities
customer groups, customer needs, and technology. A business is defined on three dimensions
Overall cost leadership- ______________________________________ is when firms work to achieve the lowest production and distribution costs
so they can underprice competitors and win market share
Differentiation concentrates on achieving superior performance in an important customer
benefit area valued by a large part of the market
Focus focuses on one or more narrow market segments, gets to know them intimately,
and pursues either cost leadership or differentiation within the target segment
Product or service alliances One company licenses another to produce its product, or two companies jointly
market their complementary products or a new product is known as ____
Marketing an organizational function that creates, communicates, and delivers value to
customers
market a collection of buyers and sellers who transact over a particular product or
product class (such as the housing market).
Consumers sell their labor and receive money with which they pay for goods and services
Consumer Markets Companies selling mass consumer goods/services focus on establishing a strong
brand image by developing a superior product and packaging, ensuring
availability, and backing it with engaging communications and reliable service
