BUS5113 Marketing Management Units 1-4 Test Bank —
Fundamentals, Consumer Behavior, STP, and Product
Management
Course:
BUS5113 Marketing Management — University of the People (UoPeople)
Level:
MBA
Year:
2025/2026
Format:
Comprehensive Test Bank — 60 Q&A with Verified Answers
BUS5113 Units 1-4 Test Bank
60 Questions with Verified Correct Answers | 100% Complete Solutions
Question 1 — Unit 1:
Scenario: TechNova Inc. focuses entirely on refining its manufacturing process to reduce the cost
of its smartwatches, believing consumers will always prefer the most affordable option. However,
sales are dropping because competitors are offering watches with health-tracking features that
consumers actually want. Which marketing orientation is TechNova incorrectly relying on?
A) The Production Concept
B) The Societal Marketing Concept
C) The Marketing Concept
D) The Selling Concept
Answer: A
Explanation:
The production concept assumes that consumers will favor products that are available and highly
affordable, leading management to focus on production and distribution efficiency. TechNova is
suffering from marketing myopia by ignoring actual consumer needs (health features) in favor of
internal cost efficiencies.
,Question 2 — Unit 1:
Within the context of the Boston Consulting Group (BCG) Matrix, how should an MBA-level
marketing manager handle a "Cash Cow" product?
A) Heavily invest in research and development to turn it into a Star.
B) Milk its short-term cash flow to fund new or growing business units.
C) Liquidate the asset immediately to avoid future losses.
D) Rebrand the product entirely to appeal to a completely new demographic.
Answer: B
Explanation:
Cash Cows exist in low-growth markets but hold a high market share, generating more cash than
they consume. Strategic managers use this surplus revenue to fund other units, like Stars and
Question Marks, rather than over-investing in the Cash Cow itself.
Question 3 — Unit 1:
When a company like Starbucks decides to sell its existing coffee products in a new demographic
market (e.g., expanding into a new country), which Ansoff Matrix strategy is it utilizing?
A) Market Penetration
B) Product Development
C) Market Development
D) Diversification
Answer: C
Explanation:
Market development involves identifying and entering new markets for existing products.
Starbucks is not changing its core product (coffee) but is seeking growth by capturing a
completely new geographical or demographic customer base.
Question 4 — Unit 1:
Which element of the macroenvironment is a company analyzing when it evaluates the impact of
new data privacy laws on its digital advertising strategies?
A) Sociocultural Environment
B) Economic Environment
C) Technological Environment
, D) Political-Legal Environment
Answer: D
Explanation:
The political-legal environment encompasses laws, government agencies, and pressure groups
that influence and limit various organizations. Data privacy regulations directly fall under this
category, forcing marketers to adapt their data collection and advertising methods.
Question 5 — Unit 1:
Scenario: A fast-food chain introduces a new line of plant-based burgers wrapped in fully
biodegradable packaging, explicitly stating their goal is to improve human health and reduce
landfill waste, even if it slightly reduces short-term profit margins. This approach is best defined
as:
A) The Societal Marketing Concept
B) The Product Concept
C) Greenwashing
D) The Selling Concept
Answer: A
Explanation:
The societal marketing concept holds that a company's marketing decisions should consider
consumers' wants, the company's requirements, consumers' long-run interests, and society's
long-run interests. The fast-food chain is balancing profitability with environmental sustainability
and public health.
Question 6 — Unit 1:
Customer Lifetime Value (CLV) is a crucial metric for modern marketers. What is the primary
strategic benefit of calculating CLV?
A) It determines the exact price at which a product should be sold.
B) It helps allocate marketing acquisition budgets by showing the long-term worth of a customer.
C) It measures the immediate short-term ROI of a single social media campaign.
D) It tracks the depreciation of physical assets over time.
Answer: B
Explanation:
Fundamentals, Consumer Behavior, STP, and Product
Management
Course:
BUS5113 Marketing Management — University of the People (UoPeople)
Level:
MBA
Year:
2025/2026
Format:
Comprehensive Test Bank — 60 Q&A with Verified Answers
BUS5113 Units 1-4 Test Bank
60 Questions with Verified Correct Answers | 100% Complete Solutions
Question 1 — Unit 1:
Scenario: TechNova Inc. focuses entirely on refining its manufacturing process to reduce the cost
of its smartwatches, believing consumers will always prefer the most affordable option. However,
sales are dropping because competitors are offering watches with health-tracking features that
consumers actually want. Which marketing orientation is TechNova incorrectly relying on?
A) The Production Concept
B) The Societal Marketing Concept
C) The Marketing Concept
D) The Selling Concept
Answer: A
Explanation:
The production concept assumes that consumers will favor products that are available and highly
affordable, leading management to focus on production and distribution efficiency. TechNova is
suffering from marketing myopia by ignoring actual consumer needs (health features) in favor of
internal cost efficiencies.
,Question 2 — Unit 1:
Within the context of the Boston Consulting Group (BCG) Matrix, how should an MBA-level
marketing manager handle a "Cash Cow" product?
A) Heavily invest in research and development to turn it into a Star.
B) Milk its short-term cash flow to fund new or growing business units.
C) Liquidate the asset immediately to avoid future losses.
D) Rebrand the product entirely to appeal to a completely new demographic.
Answer: B
Explanation:
Cash Cows exist in low-growth markets but hold a high market share, generating more cash than
they consume. Strategic managers use this surplus revenue to fund other units, like Stars and
Question Marks, rather than over-investing in the Cash Cow itself.
Question 3 — Unit 1:
When a company like Starbucks decides to sell its existing coffee products in a new demographic
market (e.g., expanding into a new country), which Ansoff Matrix strategy is it utilizing?
A) Market Penetration
B) Product Development
C) Market Development
D) Diversification
Answer: C
Explanation:
Market development involves identifying and entering new markets for existing products.
Starbucks is not changing its core product (coffee) but is seeking growth by capturing a
completely new geographical or demographic customer base.
Question 4 — Unit 1:
Which element of the macroenvironment is a company analyzing when it evaluates the impact of
new data privacy laws on its digital advertising strategies?
A) Sociocultural Environment
B) Economic Environment
C) Technological Environment
, D) Political-Legal Environment
Answer: D
Explanation:
The political-legal environment encompasses laws, government agencies, and pressure groups
that influence and limit various organizations. Data privacy regulations directly fall under this
category, forcing marketers to adapt their data collection and advertising methods.
Question 5 — Unit 1:
Scenario: A fast-food chain introduces a new line of plant-based burgers wrapped in fully
biodegradable packaging, explicitly stating their goal is to improve human health and reduce
landfill waste, even if it slightly reduces short-term profit margins. This approach is best defined
as:
A) The Societal Marketing Concept
B) The Product Concept
C) Greenwashing
D) The Selling Concept
Answer: A
Explanation:
The societal marketing concept holds that a company's marketing decisions should consider
consumers' wants, the company's requirements, consumers' long-run interests, and society's
long-run interests. The fast-food chain is balancing profitability with environmental sustainability
and public health.
Question 6 — Unit 1:
Customer Lifetime Value (CLV) is a crucial metric for modern marketers. What is the primary
strategic benefit of calculating CLV?
A) It determines the exact price at which a product should be sold.
B) It helps allocate marketing acquisition budgets by showing the long-term worth of a customer.
C) It measures the immediate short-term ROI of a single social media campaign.
D) It tracks the depreciation of physical assets over time.
Answer: B
Explanation:
