MAR3023 Exam 1 ACTUAL QUESTIONS
AND CORRECT ANSWERS
Marketing - CORRECT ANSWER the activity, set of institutions, and processes for creating,
communicating, delivering, and exchanging offerings that have value for customers, clients, partners,
and society at large
Customer value - CORRECT ANSWER the unique combination of benefits received by
targeted buyers; includes quality, price, convenience, on-time delivery, and both before-sale and after-
sale service; also means utility or satisfaction; average of several or ongoing buying occasions
Value - CORRECT ANSWER perceived benefits divided by price
Value-based pricing - CORRECT ANSWER setting product price primarily based on the
consumer's perceived value of the product rather than production costs or competitor prices
Utility - CORRECT ANSWER the collection of benefits relative to costs associated with a
particular alternative
Time utility - CORRECT ANSWER having the offering available when consumers need it
Place utility - CORRECT ANSWER having the offering available at a convenient location
when consumers need it
Possession utility - CORRECT ANSWER making an item easy to purchase (e.g., credit cards
or renting)
Form utility - CORRECT ANSWER the value created for a product's design, features, and
functionality; different product forms have different benefits and costs for consumers
Exchange - CORRECT ANSWER the trade of things of value between a buyer and a seller so
that each is better off after the exchange
,Marketing management - CORRECT ANSWER facilitates the exchange of value between
buyers and sellers, which is achieved through implementing the marketing mix
Marketing mix - CORRECT ANSWER the set of controllable factors of product, price, place,
and promotion (the 4 p's) used by marketing managers
Product (marketing mix) - CORRECT ANSWER variety, quality, design, features, brand name,
packaging, services, warranties
Promotion (marketing mix) - CORRECT ANSWER sales promotion, advertising, sales force,
public relations, direct marketing, e-commerce
Price (marketing mix) - CORRECT ANSWER list price, discounts, allowances, payment
period, credit terms
Place (marketing mix) - CORRECT ANSWER channels, locations, inventory, transportation,
atmospherics
Marketing program - CORRECT ANSWER a plan that integrates the marketing mix to provide
a product, service, or idea to prospective customers
Market share - CORRECT ANSWER the ratio of the firm's sales revenue to total industry sales
revenue, including the firm
Market share - CORRECT ANSWER firm's sales revenues divided by total industry sales
revenues
STP marketing - CORRECT ANSWER segmentation, targeting, positioning
Segmentation - CORRECT ANSWER grouping people based on their needs with respect to the
product category
Targeting - CORRECT ANSWER determining which segment(s) to market to
,Positioning - CORRECT ANSWER establishing a distinct, favorable image or identity for a
brand or product in the minds of target customers relative to competitors
Product orientation (1) - CORRECT ANSWER prioritizing high-volume, efficient product
manufacturing to lower costs and maximize product availability
Sales orientation (2) - CORRECT ANSWER prioritizing high sales volume through aggressive
selling (through promotions, personal selling, and persuasion) rather than market research or customer
needs
Marketing orientation (within marketing department) (3) - CORRECT ANSWER prioritizes
identifying customer needs and desires to create products that deliver superior value, driving long-
term profitability
Market orientation (4) - CORRECT ANSWER all individuals in the firm prioritize the
marketing orientation (satisfying customer needs and wants through marketing)
Marketing - CORRECT ANSWER involves (1) identifying consumer needs through market
research and (2) satisfying these needs through executing the marketing mix (4 p's)
Relationship marketing - CORRECT ANSWER long-term marketing strategy focused on
building strong, emotional, and lasting connections with customers (individuals, employees, suppliers,
and other partners) to foster loyalty, engagement, and retention rather than focusing on single
transactions
Societal marketing concept - CORRECT ANSWER business philosophy that companies should
balance 3 key factors: company profits, consumer wants, and long-term societal well-being
Marketing department - CORRECT ANSWER works closely with a network of other
departments and employees to help provide the customer-satisfying products required for the
organization to survive and prosper
Environmental factors - CORRECT ANSWER social, economic, technological, competitive,
and regulatory considerations that affect organizational actions
, 4 factors needed for marketing to occur - CORRECT ANSWER 1. Two or more parties with
unsatisfied needs
2. Desire and ability on their part to have their needs satisfied
3. A way for the parties to communicate
4. Something to exchange
First objective in marketing - CORRECT ANSWER discover customer needs (e.g., through
customer surveys, concept tests, and other forms of marketing research)
3 steps in building a successful product - CORRECT ANSWER (1) focus on customer benefit,
(2) learn from past mistakes, (3) build product that consumers want
Need - CORRECT ANSWER occurs when a person feels deprived of basic necessities (food,
clothing, shelter, etc.)
Want - CORRECT ANSWER a need that is shaped by a person's knowledge, culture, and
personality
Market - CORRECT ANSWER people with both the desire and ability to buy a specific
offering
Offering - CORRECT ANSWER a product or service
Management - CORRECT ANSWER establishes a firm's mission and objectives
Target market - CORRECT ANSWER one or more specific groups of potential consumers
toward which an organization directs its marketing program
Controllable factors - CORRECT ANSWER factors that are under control of management (or a
specific department) in an organization (e.g., the 4 P's in the marketing mix)
AND CORRECT ANSWERS
Marketing - CORRECT ANSWER the activity, set of institutions, and processes for creating,
communicating, delivering, and exchanging offerings that have value for customers, clients, partners,
and society at large
Customer value - CORRECT ANSWER the unique combination of benefits received by
targeted buyers; includes quality, price, convenience, on-time delivery, and both before-sale and after-
sale service; also means utility or satisfaction; average of several or ongoing buying occasions
Value - CORRECT ANSWER perceived benefits divided by price
Value-based pricing - CORRECT ANSWER setting product price primarily based on the
consumer's perceived value of the product rather than production costs or competitor prices
Utility - CORRECT ANSWER the collection of benefits relative to costs associated with a
particular alternative
Time utility - CORRECT ANSWER having the offering available when consumers need it
Place utility - CORRECT ANSWER having the offering available at a convenient location
when consumers need it
Possession utility - CORRECT ANSWER making an item easy to purchase (e.g., credit cards
or renting)
Form utility - CORRECT ANSWER the value created for a product's design, features, and
functionality; different product forms have different benefits and costs for consumers
Exchange - CORRECT ANSWER the trade of things of value between a buyer and a seller so
that each is better off after the exchange
,Marketing management - CORRECT ANSWER facilitates the exchange of value between
buyers and sellers, which is achieved through implementing the marketing mix
Marketing mix - CORRECT ANSWER the set of controllable factors of product, price, place,
and promotion (the 4 p's) used by marketing managers
Product (marketing mix) - CORRECT ANSWER variety, quality, design, features, brand name,
packaging, services, warranties
Promotion (marketing mix) - CORRECT ANSWER sales promotion, advertising, sales force,
public relations, direct marketing, e-commerce
Price (marketing mix) - CORRECT ANSWER list price, discounts, allowances, payment
period, credit terms
Place (marketing mix) - CORRECT ANSWER channels, locations, inventory, transportation,
atmospherics
Marketing program - CORRECT ANSWER a plan that integrates the marketing mix to provide
a product, service, or idea to prospective customers
Market share - CORRECT ANSWER the ratio of the firm's sales revenue to total industry sales
revenue, including the firm
Market share - CORRECT ANSWER firm's sales revenues divided by total industry sales
revenues
STP marketing - CORRECT ANSWER segmentation, targeting, positioning
Segmentation - CORRECT ANSWER grouping people based on their needs with respect to the
product category
Targeting - CORRECT ANSWER determining which segment(s) to market to
,Positioning - CORRECT ANSWER establishing a distinct, favorable image or identity for a
brand or product in the minds of target customers relative to competitors
Product orientation (1) - CORRECT ANSWER prioritizing high-volume, efficient product
manufacturing to lower costs and maximize product availability
Sales orientation (2) - CORRECT ANSWER prioritizing high sales volume through aggressive
selling (through promotions, personal selling, and persuasion) rather than market research or customer
needs
Marketing orientation (within marketing department) (3) - CORRECT ANSWER prioritizes
identifying customer needs and desires to create products that deliver superior value, driving long-
term profitability
Market orientation (4) - CORRECT ANSWER all individuals in the firm prioritize the
marketing orientation (satisfying customer needs and wants through marketing)
Marketing - CORRECT ANSWER involves (1) identifying consumer needs through market
research and (2) satisfying these needs through executing the marketing mix (4 p's)
Relationship marketing - CORRECT ANSWER long-term marketing strategy focused on
building strong, emotional, and lasting connections with customers (individuals, employees, suppliers,
and other partners) to foster loyalty, engagement, and retention rather than focusing on single
transactions
Societal marketing concept - CORRECT ANSWER business philosophy that companies should
balance 3 key factors: company profits, consumer wants, and long-term societal well-being
Marketing department - CORRECT ANSWER works closely with a network of other
departments and employees to help provide the customer-satisfying products required for the
organization to survive and prosper
Environmental factors - CORRECT ANSWER social, economic, technological, competitive,
and regulatory considerations that affect organizational actions
, 4 factors needed for marketing to occur - CORRECT ANSWER 1. Two or more parties with
unsatisfied needs
2. Desire and ability on their part to have their needs satisfied
3. A way for the parties to communicate
4. Something to exchange
First objective in marketing - CORRECT ANSWER discover customer needs (e.g., through
customer surveys, concept tests, and other forms of marketing research)
3 steps in building a successful product - CORRECT ANSWER (1) focus on customer benefit,
(2) learn from past mistakes, (3) build product that consumers want
Need - CORRECT ANSWER occurs when a person feels deprived of basic necessities (food,
clothing, shelter, etc.)
Want - CORRECT ANSWER a need that is shaped by a person's knowledge, culture, and
personality
Market - CORRECT ANSWER people with both the desire and ability to buy a specific
offering
Offering - CORRECT ANSWER a product or service
Management - CORRECT ANSWER establishes a firm's mission and objectives
Target market - CORRECT ANSWER one or more specific groups of potential consumers
toward which an organization directs its marketing program
Controllable factors - CORRECT ANSWER factors that are under control of management (or a
specific department) in an organization (e.g., the 4 P's in the marketing mix)
