Marketing Management Exam 1 Multiple Choice Practice Questions
and Answers
Four Marketing Management Philosophies (Ch.1) - correct answer ✔✔ Help to strongly
influence an organization's marketing process.
Production: focuses on the internal capabilities of the firm rather than on the desires and needs
of the marketplace
Sales: based on the belief that people will buy more goods and services if aggressive sales
techniques are used and that high sales result in high profits
Market: a simple and intuitively appealing philosophy that articulates a market orientation
Societal Marketing: extends the marketing concept by acknowledging that some products that
customers want may not really be in their best interests or the best interests of society as a
whole
Relationship Marketing (Ch.1) - correct answer ✔✔ a strategy that focuses on keeping and
improving relationships with current customers
Decisions Associated with Each Element of the Marketing Mix or 4 P's (Ch.2) - correct answer
✔✔ Product: the starting point, and includes not only the physical unit but also its package,
warranty, after-sale service, brand name, company image, value, and more
Price: what a buyer must give up in order to obtain a product
, Place: physical distribution, which includes all the business activities concerned with storing and
transporting raw materials or finished products
Promotion: includes advertising, public relations, sales promotion, and personal selling
Boston Consulting Group Matrix Categories (Ch.2) - correct answer ✔✔ Stars: Fast growing
market leader
Cash Cows: an SBU that generates more cash than it needs to maintain its market share
Problem Children/Question Mark: shows rapid growth but poor profit margins
Dogs: low growth potential and a small market share
Ansoff's Strategic Opportunity Matrix (Ch.2) - correct answer ✔✔ Market Penetration: to
increase market share among existing customers
Product Development: the creation of new products for present markets
Market Development: attracting new customers to existing products
Diversification: strategy of increasing sales by introducing new products into new markets
Niche Strategy (Ch.2) - correct answer ✔✔ Only serve a limited geographic market
Marketing to Hispanic Americans (Ch.4) - correct answer ✔✔ 60% of Hispanic Americans are of
Mexican descent, just under 10% of Puerto Ricans, as well as Central Americans, Dominicans,
South Americans, and Cubans. Hispanic consumers spend more than $95 billion a year on
and Answers
Four Marketing Management Philosophies (Ch.1) - correct answer ✔✔ Help to strongly
influence an organization's marketing process.
Production: focuses on the internal capabilities of the firm rather than on the desires and needs
of the marketplace
Sales: based on the belief that people will buy more goods and services if aggressive sales
techniques are used and that high sales result in high profits
Market: a simple and intuitively appealing philosophy that articulates a market orientation
Societal Marketing: extends the marketing concept by acknowledging that some products that
customers want may not really be in their best interests or the best interests of society as a
whole
Relationship Marketing (Ch.1) - correct answer ✔✔ a strategy that focuses on keeping and
improving relationships with current customers
Decisions Associated with Each Element of the Marketing Mix or 4 P's (Ch.2) - correct answer
✔✔ Product: the starting point, and includes not only the physical unit but also its package,
warranty, after-sale service, brand name, company image, value, and more
Price: what a buyer must give up in order to obtain a product
, Place: physical distribution, which includes all the business activities concerned with storing and
transporting raw materials or finished products
Promotion: includes advertising, public relations, sales promotion, and personal selling
Boston Consulting Group Matrix Categories (Ch.2) - correct answer ✔✔ Stars: Fast growing
market leader
Cash Cows: an SBU that generates more cash than it needs to maintain its market share
Problem Children/Question Mark: shows rapid growth but poor profit margins
Dogs: low growth potential and a small market share
Ansoff's Strategic Opportunity Matrix (Ch.2) - correct answer ✔✔ Market Penetration: to
increase market share among existing customers
Product Development: the creation of new products for present markets
Market Development: attracting new customers to existing products
Diversification: strategy of increasing sales by introducing new products into new markets
Niche Strategy (Ch.2) - correct answer ✔✔ Only serve a limited geographic market
Marketing to Hispanic Americans (Ch.4) - correct answer ✔✔ 60% of Hispanic Americans are of
Mexican descent, just under 10% of Puerto Ricans, as well as Central Americans, Dominicans,
South Americans, and Cubans. Hispanic consumers spend more than $95 billion a year on
