D174 QUESTIONS AND ANSWERS
Marketing Management - Answers - The leading and managing of the facets of
marketing to improve individual, unit, and organizational performance.
Marketing's stakeholders - Answers - Any person or entity inside or outside a firm with
whom marketing interacts, impacts, and is impacted by.
Societal marketing - Answers - The concept that, at the broadest level, members of
society at large can be viewed as a stakeholder for marketing.
Sustainability - Answers - The practicing of business that meets humanity's needs
without harming future generations.
Value - Answers - A ratio of the bundle of benefits a customer receives from an
offering compared to the costs incurred by the customer in acquiring that bundle of
benefits.
Exchange - Answers - The giving up of something of value for something desired.
Production orientation - Answers - The maximization of production capacity through
improvements in products and production activities without much regard for what is
going on in the marketplace.
Sales Orientation - Answers - The increase of sales and consequently production
capacity utilization by having salespeople "push" product into the hands of customers.
Marketing concept - Answers - Business philosophy that emphasizes an organization-
wide customer orientation with the objective of achieving long-run profits.
Marketing mix (4P's of marketing) - Answers - Product, price, place, and promotion—
the fundamental elements that comprise the marketer's tool kit that can be developed in
unique combinations to set the product or brand apart from the competition.
Customer-centric - Answers - Placing the customer at the core of the enterprise and
focusing on investments in customers over the long term.
Differentiation - Answers - Communicating and delivering value in different ways to
different customer groups.
Market orientation - Answers - The implementation of the marketing concept, based on
an understanding of customers and competitors.
Customer orientation - Answers - Placing the customer at the core of all aspects of the
enterprise.
,Relationship orientation - Answers - Investing in keeping and cultivating profitable
current customers instead of constantly having to invest in gaining new ones.
one-to-one marketing - Answers - Directing energy and resources into establishing a
learning relationship with each customer and connecting that knowledge with the firm's
production and service capabilities to fulfill that customer's needs in as customary a
manner as possible.
mass customization - Answers - Combining flexible manufacturing with flexible
marketing to greatly enhance customer choice.
Marketing - Answers - 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.
Strategic marketing - Answers - The long-term, firm-level commitment to investing in
marketing—supported at the highest organization level—for the purpose of enhancing
organizational performance.
Marketing (Big M) - Answers - The dimension of marketing that focuses on external
forces that affect the organization and serves as the driver of business strategy.
marketing (little m) - Answers - The dimension of marketing that focuses on the
functional or operational level of the organization.
tactical marketing - Answers - Marketing activities that take place at the functional or
operational level of a firm.
marketing metrics - Answers - Tools and processes designed to identify, track,
evaluate, and provide key benchmarks for improvement of marketing activities.
Benefit - Answers - type of utility that a company and its products (and services)
provide its customers.
Utility - Answers - want-satisfying power of a good or service.
Major kinds of utility - Answers - Form, time, Place, Ownership
How is Form utility created? - Answers - firm converts raw materials into finished
products that are desired by the market.
Which Utility is created by Marketing? - Answers - Time, Place, Ownership
Form Utility - Answers - created when the firm converts raw materials into finished
products that are desired by the market.
,Value Proposition - Answers - The whole bundle of benefits a company promises to
deliver to the customer, not just the benefits of the product itself.
Customer Satisfaction - Answers - The level of liking an individual harbors for an
offering
Customer Loyalty - Answers - A customer's commitment to a company and its
products and brands for the long run.
Customer Retention - Answers - Low propensity among a firm's customer base to
consider switching to other providers.
Value Chain - Answers - The synthesis of activities within a firm involved in designing,
producing, marketing, delivering, and supporting its products or services.
Value-Creating Activities - Answers - Activities within a firm's value chain that act to
increase the value of its products and services for its customers. These can take the
form of either primary activities or support activities.
Marketing Planning - Answers - The ongoing process of developing and implementing
market-driven strategies for an organization.
Marketing Plan - Answers - The resulting document that records the marketing
planning process in a useful framework.
Market-Driven strategic planning - Answers - The process at the corporate or strategic
business unit (SBU) level of a firm that acts to marshal the various resource and
functional areas toward a central purpose around the customer.
Strategic Business Units - Answers - A business within a larger company with its own
set of competitors and plan
Corporate-Level Planning - Answers - An umbrella plan for the overall direction of the
corporation developed above the strategic business unit (SBU) level.
SBU-Level Strategic plan - Answers - Planning that occurs within each of the firm's
strategic business units (SBUs) designed to meet individual performance requirements
and contribute satisfactorily to the overall corporate plan
Portfolio analysis - Answers - A tool used in strategic planning for multibusiness
corporations that views SBUs, and sometimes even product lines, as a series of
investments from which it expects maximization of returns.
Boston Consulting Group BCG or Growth Share Matrix - Answers - A popular
approach for in-firm portfolio analysis that categorizes business units' level of
, contribution to the overall firm based on two factors: market growth rate and competitive
position.
Functional level plans - Answers - Plans for each business function that makes up one
of the firm's strategic business units (SBUs). These include core business functions
within each SBU such as operations, marketing, and finance, as well as other pertinent
operational areas.
Mission Statement - Answers - The verbal articulation of an organization's purpose, or
reason for existence.
Strategic Vision - Answers - Often included within a firm's mission statement, it is a
discussion of what the company would like to become in the future.
Goals - Answers - General statements of what the firm wishes to accomplish in
support of the mission and vision.
Objectives - Answers - specific, measurable, and potentially attainable milestones
necessary for a firm to achieve its goals.
Strategy - Answers - A comprehensive plan stating how the organization will achieve
its mission and objectives.
Generic Strategy - Answers - An overall directional strategy at the business level.
Competitive Strategy - Answers - An organization-wide strategy designed to increase a
firm's performance within the marketplace in terms of its competitors.
Core Competencies - Answers - The activities a firm can do exceedingly well.
Distinctive competencies - Answers - A firm's core competencies that are superior to
those of their competitors.
Sustainable Competitive advantage - Answers - The resulting advantage a firm has
when it invests in distinctive competencies.
strategic type - Answers - strategic type have a common strategic orientation and a
similar combination of structure, culture, and processes consistent with that strategy.
first-mover advantage - Answers - When a firm introduces a new market offering, thus
defining the scope of the competitive marketplace.
Situation analysis - Answers - An analysis of the macro- and micro-level environment
within which a firm's marketing plan is being developed.
Marketing Management - Answers - The leading and managing of the facets of
marketing to improve individual, unit, and organizational performance.
Marketing's stakeholders - Answers - Any person or entity inside or outside a firm with
whom marketing interacts, impacts, and is impacted by.
Societal marketing - Answers - The concept that, at the broadest level, members of
society at large can be viewed as a stakeholder for marketing.
Sustainability - Answers - The practicing of business that meets humanity's needs
without harming future generations.
Value - Answers - A ratio of the bundle of benefits a customer receives from an
offering compared to the costs incurred by the customer in acquiring that bundle of
benefits.
Exchange - Answers - The giving up of something of value for something desired.
Production orientation - Answers - The maximization of production capacity through
improvements in products and production activities without much regard for what is
going on in the marketplace.
Sales Orientation - Answers - The increase of sales and consequently production
capacity utilization by having salespeople "push" product into the hands of customers.
Marketing concept - Answers - Business philosophy that emphasizes an organization-
wide customer orientation with the objective of achieving long-run profits.
Marketing mix (4P's of marketing) - Answers - Product, price, place, and promotion—
the fundamental elements that comprise the marketer's tool kit that can be developed in
unique combinations to set the product or brand apart from the competition.
Customer-centric - Answers - Placing the customer at the core of the enterprise and
focusing on investments in customers over the long term.
Differentiation - Answers - Communicating and delivering value in different ways to
different customer groups.
Market orientation - Answers - The implementation of the marketing concept, based on
an understanding of customers and competitors.
Customer orientation - Answers - Placing the customer at the core of all aspects of the
enterprise.
,Relationship orientation - Answers - Investing in keeping and cultivating profitable
current customers instead of constantly having to invest in gaining new ones.
one-to-one marketing - Answers - Directing energy and resources into establishing a
learning relationship with each customer and connecting that knowledge with the firm's
production and service capabilities to fulfill that customer's needs in as customary a
manner as possible.
mass customization - Answers - Combining flexible manufacturing with flexible
marketing to greatly enhance customer choice.
Marketing - Answers - 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.
Strategic marketing - Answers - The long-term, firm-level commitment to investing in
marketing—supported at the highest organization level—for the purpose of enhancing
organizational performance.
Marketing (Big M) - Answers - The dimension of marketing that focuses on external
forces that affect the organization and serves as the driver of business strategy.
marketing (little m) - Answers - The dimension of marketing that focuses on the
functional or operational level of the organization.
tactical marketing - Answers - Marketing activities that take place at the functional or
operational level of a firm.
marketing metrics - Answers - Tools and processes designed to identify, track,
evaluate, and provide key benchmarks for improvement of marketing activities.
Benefit - Answers - type of utility that a company and its products (and services)
provide its customers.
Utility - Answers - want-satisfying power of a good or service.
Major kinds of utility - Answers - Form, time, Place, Ownership
How is Form utility created? - Answers - firm converts raw materials into finished
products that are desired by the market.
Which Utility is created by Marketing? - Answers - Time, Place, Ownership
Form Utility - Answers - created when the firm converts raw materials into finished
products that are desired by the market.
,Value Proposition - Answers - The whole bundle of benefits a company promises to
deliver to the customer, not just the benefits of the product itself.
Customer Satisfaction - Answers - The level of liking an individual harbors for an
offering
Customer Loyalty - Answers - A customer's commitment to a company and its
products and brands for the long run.
Customer Retention - Answers - Low propensity among a firm's customer base to
consider switching to other providers.
Value Chain - Answers - The synthesis of activities within a firm involved in designing,
producing, marketing, delivering, and supporting its products or services.
Value-Creating Activities - Answers - Activities within a firm's value chain that act to
increase the value of its products and services for its customers. These can take the
form of either primary activities or support activities.
Marketing Planning - Answers - The ongoing process of developing and implementing
market-driven strategies for an organization.
Marketing Plan - Answers - The resulting document that records the marketing
planning process in a useful framework.
Market-Driven strategic planning - Answers - The process at the corporate or strategic
business unit (SBU) level of a firm that acts to marshal the various resource and
functional areas toward a central purpose around the customer.
Strategic Business Units - Answers - A business within a larger company with its own
set of competitors and plan
Corporate-Level Planning - Answers - An umbrella plan for the overall direction of the
corporation developed above the strategic business unit (SBU) level.
SBU-Level Strategic plan - Answers - Planning that occurs within each of the firm's
strategic business units (SBUs) designed to meet individual performance requirements
and contribute satisfactorily to the overall corporate plan
Portfolio analysis - Answers - A tool used in strategic planning for multibusiness
corporations that views SBUs, and sometimes even product lines, as a series of
investments from which it expects maximization of returns.
Boston Consulting Group BCG or Growth Share Matrix - Answers - A popular
approach for in-firm portfolio analysis that categorizes business units' level of
, contribution to the overall firm based on two factors: market growth rate and competitive
position.
Functional level plans - Answers - Plans for each business function that makes up one
of the firm's strategic business units (SBUs). These include core business functions
within each SBU such as operations, marketing, and finance, as well as other pertinent
operational areas.
Mission Statement - Answers - The verbal articulation of an organization's purpose, or
reason for existence.
Strategic Vision - Answers - Often included within a firm's mission statement, it is a
discussion of what the company would like to become in the future.
Goals - Answers - General statements of what the firm wishes to accomplish in
support of the mission and vision.
Objectives - Answers - specific, measurable, and potentially attainable milestones
necessary for a firm to achieve its goals.
Strategy - Answers - A comprehensive plan stating how the organization will achieve
its mission and objectives.
Generic Strategy - Answers - An overall directional strategy at the business level.
Competitive Strategy - Answers - An organization-wide strategy designed to increase a
firm's performance within the marketplace in terms of its competitors.
Core Competencies - Answers - The activities a firm can do exceedingly well.
Distinctive competencies - Answers - A firm's core competencies that are superior to
those of their competitors.
Sustainable Competitive advantage - Answers - The resulting advantage a firm has
when it invests in distinctive competencies.
strategic type - Answers - strategic type have a common strategic orientation and a
similar combination of structure, culture, and processes consistent with that strategy.
first-mover advantage - Answers - When a firm introduces a new market offering, thus
defining the scope of the competitive marketplace.
Situation analysis - Answers - An analysis of the macro- and micro-level environment
within which a firm's marketing plan is being developed.
