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Marketing Management, 17th edition Philip Kotler Kevin Lane Keller Alexander Chernev
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Copyright 2026 st
Chapter 1-21 st
Chapter 1 st Defining Marketing for the New Realities st st st st st
1) Which of these is an accurate characterization of the contemporary view of marketing?
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A) Marketing is synonymous with selling. st st st st
B) With the rise of social commerce, company-driven marketing is no longer important.
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C) Marketing's emphasis within the firm continues to decline. st st st st st st st
D) To improve efficiency, most firms now restrict marketing activities within the "official" bo
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undaries of the marketing department. st st st st
E) Marketing is about identifying and meeting human and social needs in a way that harmonizes wit
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h the goals of the organization.
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Answer: E Dif s t st
f: 3 st
LO: 1.1: Define the scope of marketing. AACSB:
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s Reflective thinking
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2) With regard to the selling function, what did Peter Drucker have to say about the aim of ma
st st st st st st st st st st st st st st st st st
rketing?
A) Selling should replace marketing. st st st
B) Selling should have equal importance in the corporate hierarchy.
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C) To know and understand the customer so well that the product or service fits the individual and sells
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itself.
D) The sales function should set strategy, while the marketing function owns tactics.
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E) Selling and marketing are synonymous. st st st st st
Answer: C s t
Diff: 2 st
LO: 1.1: Define the scope of marketing. AACSB:
s t st st st st st st
s Reflective thinking
t st
3) Which of these was identified as a key reason why Toyota had a hit with the Prius and Apple wit
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h the iPad?
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A) Both companies designed the right product based on thoughtful research.
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B) Both products were flukes that happened to hit the market at the right time.
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C) Neither product led its category, but both were sold aggressively.
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D) Both products underpriced their competition.
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E) American consumers have enough disposable income to afford luxury gadgets. A st st st st st st st st st st
nswer: A s t
Diff: 2 st
LO: 1.1: Define the scope of marketing. AACSB:
s t st st st st st st
s Reflective thinking
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1
.
,4) Which of these entities represent the largest fraction of the U.S. economy?
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A) Experiences
B) Services
C) Goods
D) Events
E) Places A st
nswer: B s t st
Diff: 1 st
LO: 1.1: Define the scope of marketing. AACSB:
s t st st st st st st
s Reflective thinking
t st
5) Which of the following marketing domains is represented by the phrase "What Happens Here, Sta
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ys Here"?
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A) Organizations
B) Persons
C) Events
D) Places
E) Experiences s
Answer: D D
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iff: 2 st
LO: 1.1: Define the scope of marketing. AACSB:
s t st st st st st st
s Reflective thinking
t st
6) A public service announcement (PSA) encouraging people to wear masks during a pandemic ou
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tbreak represents what kind of marketing domain?
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A) Ideas
B) Services
C) Experiences
D) Information
E) Social good st st
Answer: A D s t st
iff: 3 st
LO: 1.1: Define the scope of marketing. AACSB:
s t st st st st st st
s Reflective thinking
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7) Which of these is NOT one of the ten marketing domains?
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A) Ideas
B) Places
C) Entities
D) Events
E) People A st
nswer: C s t st
Diff: 2 st
LO: 1.1: Define the scope of marketing. AACSB:
s t st st st st st st
s Reflective thinking
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2
.
,8) How does successful marketing create jobs?
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A) By raising the standard of living
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B) By encouraging conspicuous consumption
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C) By increasing brand equity
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D) By promoting capitalism st st
E) By building consumer and business demand
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Answer: E s t
Diff: 3 st
LO: 1.1: Define the scope of marketing. AACSB:
s t st st st st st st
s Reflective thinking
t st
9) Which of the following is the starting point and the ultimate goal of the marketing function?
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A) Sales generation st
B) Efficiency
C) Resource allocation st
D) Value creation st
E) Idea generation st st
Answer: D s t
Diff: 2 st
LO: 1.1: Define the scope of marketing. AACSB:
s t st st st st st st
s Reflective thinking
t st
10) The decline of companies such as Yahoo! and Blockbuster can be attributed at least in part to whi
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ch of these marketing mistakes?
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A) Failing to update their business model st st st st st
B) Failing to articulate a clear customer message st st st st st st
C) Overpricing in a declining economy st st st st
D) Confusing markets with unclear corporate branding st st st st st
E) Failing to use marketing intermediaries effectively st st st st st st
Answer: A s t
Diff: 2 st
LO: 1.1: Define the scope of marketing. AACSB:
s t st st st st st st
s Reflective thinking
t st
11) Which of these reasons was identified as a success factor for the British firm RB (formerly Re
st st st st st st st st st st st st st st st st
ckitt Benckiser)?st
A) Strong sales teams st st
B) Emotional advertising st
C) Culture of innovation st st
D) Government subsidies st
E) Undercutting competitors on prices st st st st
Answer: C s t
Diff: 2 st
LO: 1.1: Define the scope of marketing. AACSB:
s t st st st st st st
s Reflective thinking
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3
.
, 12) Which of these is a reason senior management should encourage fresh ideas from un
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derrepresented groups of employees? st st st
A) To challenge company orthodoxy
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B) To lower costs by engaging lower-paid worker in research
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C) To avoid charges of discrimination
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D) To copy what benchmark competitors are doing
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E) To promote employee morale
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Answer: A s t
Diff: 1 st
LO: 1.1: Define the scope of marketing. AACSB:
s t st st st st st st
s Reflective thinking
t st
13) Which of the following statements about marketing is true?
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A) Marketing is of little importance when products are standardized. st st st st st st st st
B) Selling is only the tip of the marketing iceberg with respect to marketing.
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C) Marketing helps to build a loyal customer base but has no impact on a firm's intangible assets.
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D) Marketing is more important for bigger organizations than smaller ones. st st st st st st st st st
E) Effective marketing is seldom necessary for nonprofit organizations. A
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nswer: B s t
Diff: 1 st
LO: 1.1: Define the scope of marketing. AACSB:
s t st st st st st st
s Reflective thinking
t st
14) management is the art and science of choosing target markets and getting, keeping, an st st st st st st st st st st st st st
d growing customers through creating, delivering, and communicating superior customer value.
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A) Marketing
B) Knowledge
C) Operations
D) Strategic
E) Distribution s
Answer: A D
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iff: 1 st
LO: 1.1: Define the scope of marketing. AACSB:
s t st st st st st st
s Reflective thinking
t st
4
.
Marketing Management, 17th edition Philip Kotler Kevin Lane Keller Alexander Chernev
st st st st st st st st st st
Copyright 2026 st
Chapter 1-21 st
Chapter 1 st Defining Marketing for the New Realities st st st st st
1) Which of these is an accurate characterization of the contemporary view of marketing?
st st st st st st st st st st st st
A) Marketing is synonymous with selling. st st st st
B) With the rise of social commerce, company-driven marketing is no longer important.
st st st st st st st st st st st
C) Marketing's emphasis within the firm continues to decline. st st st st st st st
D) To improve efficiency, most firms now restrict marketing activities within the "official" bo
st st st st st st st st st st st st
undaries of the marketing department. st st st st
E) Marketing is about identifying and meeting human and social needs in a way that harmonizes wit
st st st st st st st st st st st st st st st
h the goals of the organization.
st st st st st
Answer: E Dif s t st
f: 3 st
LO: 1.1: Define the scope of marketing. AACSB:
s t st st st st st st
s Reflective thinking
t st
2) With regard to the selling function, what did Peter Drucker have to say about the aim of ma
st st st st st st st st st st st st st st st st st
rketing?
A) Selling should replace marketing. st st st
B) Selling should have equal importance in the corporate hierarchy.
st st st st st st st st
C) To know and understand the customer so well that the product or service fits the individual and sells
st st st st st st st st st st st st st st st st st st
itself.
D) The sales function should set strategy, while the marketing function owns tactics.
st st st st st st st st st st st
E) Selling and marketing are synonymous. st st st st st
Answer: C s t
Diff: 2 st
LO: 1.1: Define the scope of marketing. AACSB:
s t st st st st st st
s Reflective thinking
t st
3) Which of these was identified as a key reason why Toyota had a hit with the Prius and Apple wit
st st st st st st st st st st st st st st st st st st st
h the iPad?
st st
A) Both companies designed the right product based on thoughtful research.
st st st st st st st st st
B) Both products were flukes that happened to hit the market at the right time.
st st st st st st st st st st st st st
C) Neither product led its category, but both were sold aggressively.
st st st st st st st st st
D) Both products underpriced their competition.
st st st st
E) American consumers have enough disposable income to afford luxury gadgets. A st st st st st st st st st st
nswer: A s t
Diff: 2 st
LO: 1.1: Define the scope of marketing. AACSB:
s t st st st st st st
s Reflective thinking
t st
1
.
,4) Which of these entities represent the largest fraction of the U.S. economy?
st st st st st st st st st st st
A) Experiences
B) Services
C) Goods
D) Events
E) Places A st
nswer: B s t st
Diff: 1 st
LO: 1.1: Define the scope of marketing. AACSB:
s t st st st st st st
s Reflective thinking
t st
5) Which of the following marketing domains is represented by the phrase "What Happens Here, Sta
st st st st st st st st st st st st st st
ys Here"?
st
A) Organizations
B) Persons
C) Events
D) Places
E) Experiences s
Answer: D D
t s t st
iff: 2 st
LO: 1.1: Define the scope of marketing. AACSB:
s t st st st st st st
s Reflective thinking
t st
6) A public service announcement (PSA) encouraging people to wear masks during a pandemic ou
st st st st st st st st st st st st st
tbreak represents what kind of marketing domain?
st st st st st st
A) Ideas
B) Services
C) Experiences
D) Information
E) Social good st st
Answer: A D s t st
iff: 3 st
LO: 1.1: Define the scope of marketing. AACSB:
s t st st st st st st
s Reflective thinking
t st
7) Which of these is NOT one of the ten marketing domains?
st st st st st st st st st st
A) Ideas
B) Places
C) Entities
D) Events
E) People A st
nswer: C s t st
Diff: 2 st
LO: 1.1: Define the scope of marketing. AACSB:
s t st st st st st st
s Reflective thinking
t st
2
.
,8) How does successful marketing create jobs?
st st st st st
A) By raising the standard of living
st st st st st
B) By encouraging conspicuous consumption
st st st
C) By increasing brand equity
st st st
D) By promoting capitalism st st
E) By building consumer and business demand
st st st st st st
Answer: E s t
Diff: 3 st
LO: 1.1: Define the scope of marketing. AACSB:
s t st st st st st st
s Reflective thinking
t st
9) Which of the following is the starting point and the ultimate goal of the marketing function?
st st st st st st st st st st st st st st st
A) Sales generation st
B) Efficiency
C) Resource allocation st
D) Value creation st
E) Idea generation st st
Answer: D s t
Diff: 2 st
LO: 1.1: Define the scope of marketing. AACSB:
s t st st st st st st
s Reflective thinking
t st
10) The decline of companies such as Yahoo! and Blockbuster can be attributed at least in part to whi
st st st st st st st st st st st st st st st st st
ch of these marketing mistakes?
st st st st
A) Failing to update their business model st st st st st
B) Failing to articulate a clear customer message st st st st st st
C) Overpricing in a declining economy st st st st
D) Confusing markets with unclear corporate branding st st st st st
E) Failing to use marketing intermediaries effectively st st st st st st
Answer: A s t
Diff: 2 st
LO: 1.1: Define the scope of marketing. AACSB:
s t st st st st st st
s Reflective thinking
t st
11) Which of these reasons was identified as a success factor for the British firm RB (formerly Re
st st st st st st st st st st st st st st st st
ckitt Benckiser)?st
A) Strong sales teams st st
B) Emotional advertising st
C) Culture of innovation st st
D) Government subsidies st
E) Undercutting competitors on prices st st st st
Answer: C s t
Diff: 2 st
LO: 1.1: Define the scope of marketing. AACSB:
s t st st st st st st
s Reflective thinking
t st
3
.
, 12) Which of these is a reason senior management should encourage fresh ideas from un
st st st st st st st st st st st st st
derrepresented groups of employees? st st st
A) To challenge company orthodoxy
st st st
B) To lower costs by engaging lower-paid worker in research
st st st st st st st st
C) To avoid charges of discrimination
st st st st
D) To copy what benchmark competitors are doing
st st st st st st
E) To promote employee morale
st st st st
Answer: A s t
Diff: 1 st
LO: 1.1: Define the scope of marketing. AACSB:
s t st st st st st st
s Reflective thinking
t st
13) Which of the following statements about marketing is true?
st st st st st st st st
A) Marketing is of little importance when products are standardized. st st st st st st st st
B) Selling is only the tip of the marketing iceberg with respect to marketing.
st st st st st st st st st st st st
C) Marketing helps to build a loyal customer base but has no impact on a firm's intangible assets.
st st st st st st st st st st st st st st st st
D) Marketing is more important for bigger organizations than smaller ones. st st st st st st st st st
E) Effective marketing is seldom necessary for nonprofit organizations. A
st st st st st st st st
nswer: B s t
Diff: 1 st
LO: 1.1: Define the scope of marketing. AACSB:
s t st st st st st st
s Reflective thinking
t st
14) management is the art and science of choosing target markets and getting, keeping, an st st st st st st st st st st st st st
d growing customers through creating, delivering, and communicating superior customer value.
st st st st st st st st st st
A) Marketing
B) Knowledge
C) Operations
D) Strategic
E) Distribution s
Answer: A D
t s t st
iff: 1 st
LO: 1.1: Define the scope of marketing. AACSB:
s t st st st st st st
s Reflective thinking
t st
4
.
