classmerit.com — The Marketplace to Buy and Sell Study Materials
Test Bank
Downloaded by: Want to earn $1,500
Distribution of this document is illegal extra per year?
, classmerit.com — The Marketplace to Buy and Sell Study Materials
TEST BANK
Strategic Market Management 12th Edition
David A. Aaker and Christine Moorman
This test bank incudes both short essay and objective questions designed for each chapter in the
book. The short essay questions ask students to reflect on key concepts, frameworks, and tools
introduced in the book, while the objective questions ask students to judge statements made
about these concepts, frameworks, and tools as either true or false or to select the best answer
from among those offered. In general, a false answer is markedly at odds with material in the
book. However, it may not be at odds with other written material. Therefore, it is important to
position these questions as a test of a student’s competence with the book material.
Chapter 1 – Strategic Market Management: An Introduction and Overview
Essay Questions:
1.1
How does a company’s purpose influence its marketing strategy, and how can it lead to long-
term success?
1.2
What factors should a company consider when determining its offering and target market? How
do these choices impact the allocation of resources and management attention?
Objective Questions:
1.1
Marketing strategy involves decisions and actions regarding why to compete, where to compete,
how to compete, and ____________.
Answer: Organizing to compete.
1.2
Company purpose is solely about draining profits for social causes.
Answer: False. Purpose goes beyond profits for most companies by acknowledging the
role that companies can play in creating a better world.
1.3
Customer value is stable and does not change over time.
Answer: False. As customers become more experienced and competitors shift priorities,
customer value evolves.
, classmerit.com — The Marketplace to Buy and Sell Study Materials
1.4
Customer value is:
a. The difference between the benefits and costs of a product
b. Determined by product quality
c. Signaled by customer brand loyalty
d. Measured by the price of a product
e. None of the above
Answer: A. This is the definition of customer value.
1.5
Synergy occurs when two businesses can reduce costs by sharing some asset such as a sales force
or distribution system.
Answer: True.
1.6
An offering market refers to the specific products or services a company offers to its customers.
Answer: False. An offering market refers to the broader sector or industry in which a
company competes. It is the place where customers and companies exchange.
1.7
Strategic market analysis considers factors such as market size, growth, cost structure, and
company performance to determine the relative attractiveness of alternative markets.
Answer: True. An important objective of a strategic market analysis is to determine the
attractiveness of alternative markets by assessing market size, growth, cost structure, and
company performance among other factors.
1.8
A customer value proposition is:
a. A strategy focused on offering customers the lowest prices in the market
b. A clear statement about what sources of distinctive value the business wants to offer
customers
c. Supported by most aspects of the company’s strategy
d. Static and unlikely to be altered over the course of a company’s life
e. None of the above
Answer: B. This is the definition of customer value proposition.
1.9
Which of the following is NOT one of the principal criteria for selecting a marketing strategy?
a. Fit with the company’s purpose
b. ROI attractiveness
c. Alignment with macro trends
d. Strategy feasibility
e. Potential for long-term competitive advantage
Answer: C. While marketing strategies may be informed by broader macro trends, this is
not one of the principal criteria used to evaluate and select a strategy.
, classmerit.com — The Marketplace to Buy and Sell Study Materials
1.10
A strategy development process should involve:
a. Spotting important trends
b. Bringing together the right people
c. Adapting planning cycles to the business
d. Implementing a strategy performance system
e. All of the above
Answer: E. The book cites a McKinsey survey that identifies trend spotting, staff
gathering, planning cycle adaptation, and performance system implementation as
important activities in the strategy development process.
1.11
Purpose and profits are inconsistent with each other in marketing strategy.
Answer: False. The text quotes Larry Fink as stating that profits and purpose are
inextricably linked.
1.12
Strategy reviews should only be triggered during the annual planning cycle.
Answer: False. Planning cycles should be adapted to the needs of individual businesses,
which may require different planning frequencies.
1.13
Customer value leadership is:
a. Performing well on all types of value
b. Having a strong brand reputation and customer relationships
c. Providing basic levels of value across all value types
d. Performing well on one type of value and meeting basic levels on others
e. Offering the lowest prices in the market
Answer: D. This is the definition of customer value leadership.
1.14
An external analysis includes the analysis of customers, competitors, markets/submarkets and the
environment.
Answer: True.
1.15
Marketing’s role in strategy includes all of the following except:
a. Driving financial performance
b. Driving strategic analysis
c. Creating customer value
d. Driving growth strategy
e. Managing strong customer and brand assets
Answer: A.
Test Bank
Downloaded by: Want to earn $1,500
Distribution of this document is illegal extra per year?
, classmerit.com — The Marketplace to Buy and Sell Study Materials
TEST BANK
Strategic Market Management 12th Edition
David A. Aaker and Christine Moorman
This test bank incudes both short essay and objective questions designed for each chapter in the
book. The short essay questions ask students to reflect on key concepts, frameworks, and tools
introduced in the book, while the objective questions ask students to judge statements made
about these concepts, frameworks, and tools as either true or false or to select the best answer
from among those offered. In general, a false answer is markedly at odds with material in the
book. However, it may not be at odds with other written material. Therefore, it is important to
position these questions as a test of a student’s competence with the book material.
Chapter 1 – Strategic Market Management: An Introduction and Overview
Essay Questions:
1.1
How does a company’s purpose influence its marketing strategy, and how can it lead to long-
term success?
1.2
What factors should a company consider when determining its offering and target market? How
do these choices impact the allocation of resources and management attention?
Objective Questions:
1.1
Marketing strategy involves decisions and actions regarding why to compete, where to compete,
how to compete, and ____________.
Answer: Organizing to compete.
1.2
Company purpose is solely about draining profits for social causes.
Answer: False. Purpose goes beyond profits for most companies by acknowledging the
role that companies can play in creating a better world.
1.3
Customer value is stable and does not change over time.
Answer: False. As customers become more experienced and competitors shift priorities,
customer value evolves.
, classmerit.com — The Marketplace to Buy and Sell Study Materials
1.4
Customer value is:
a. The difference between the benefits and costs of a product
b. Determined by product quality
c. Signaled by customer brand loyalty
d. Measured by the price of a product
e. None of the above
Answer: A. This is the definition of customer value.
1.5
Synergy occurs when two businesses can reduce costs by sharing some asset such as a sales force
or distribution system.
Answer: True.
1.6
An offering market refers to the specific products or services a company offers to its customers.
Answer: False. An offering market refers to the broader sector or industry in which a
company competes. It is the place where customers and companies exchange.
1.7
Strategic market analysis considers factors such as market size, growth, cost structure, and
company performance to determine the relative attractiveness of alternative markets.
Answer: True. An important objective of a strategic market analysis is to determine the
attractiveness of alternative markets by assessing market size, growth, cost structure, and
company performance among other factors.
1.8
A customer value proposition is:
a. A strategy focused on offering customers the lowest prices in the market
b. A clear statement about what sources of distinctive value the business wants to offer
customers
c. Supported by most aspects of the company’s strategy
d. Static and unlikely to be altered over the course of a company’s life
e. None of the above
Answer: B. This is the definition of customer value proposition.
1.9
Which of the following is NOT one of the principal criteria for selecting a marketing strategy?
a. Fit with the company’s purpose
b. ROI attractiveness
c. Alignment with macro trends
d. Strategy feasibility
e. Potential for long-term competitive advantage
Answer: C. While marketing strategies may be informed by broader macro trends, this is
not one of the principal criteria used to evaluate and select a strategy.
, classmerit.com — The Marketplace to Buy and Sell Study Materials
1.10
A strategy development process should involve:
a. Spotting important trends
b. Bringing together the right people
c. Adapting planning cycles to the business
d. Implementing a strategy performance system
e. All of the above
Answer: E. The book cites a McKinsey survey that identifies trend spotting, staff
gathering, planning cycle adaptation, and performance system implementation as
important activities in the strategy development process.
1.11
Purpose and profits are inconsistent with each other in marketing strategy.
Answer: False. The text quotes Larry Fink as stating that profits and purpose are
inextricably linked.
1.12
Strategy reviews should only be triggered during the annual planning cycle.
Answer: False. Planning cycles should be adapted to the needs of individual businesses,
which may require different planning frequencies.
1.13
Customer value leadership is:
a. Performing well on all types of value
b. Having a strong brand reputation and customer relationships
c. Providing basic levels of value across all value types
d. Performing well on one type of value and meeting basic levels on others
e. Offering the lowest prices in the market
Answer: D. This is the definition of customer value leadership.
1.14
An external analysis includes the analysis of customers, competitors, markets/submarkets and the
environment.
Answer: True.
1.15
Marketing’s role in strategy includes all of the following except:
a. Driving financial performance
b. Driving strategic analysis
c. Creating customer value
d. Driving growth strategy
e. Managing strong customer and brand assets
Answer: A.
