WGU D174 EXAM STUDY GUIDE
Porter's Value Chain - Answers - Primary: inbound logistics, operations, outbound
logistics, marketing and sales, service
Support: firm infrastructure, human resource mgmt, tech development, procurement
-primary activities generate revenues
service - Answers - Any activity that fulfills a human want or need and returns money
to those who provide it.
inbound logistics - Answers - The area of logistics that involves bringing raw materials,
packaging, other goods and services, and information from suppliers to producers.
Operations - Answers - the activities and processes used in making both tangible and
intangible products
Outbound logistics - Answers - The area of logistics that involves managing the flow of
finished products and information to business buyers and ultimate consumers (people
like you and me).
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
sales - Answers - performs the function of selling goods or services
Miles and Snow's Strategy Types - Answers - Analyzers, prospectors, defenders, and
reactors
Analyzers - Answers - companies using an adaptive strategy that seeks to minimize
risk and maximize profits by following or imitating the proven successes of prospectors
Prospectors - Answers - companies using an adaptive strategy that seeks fast growth
by searching for new market opportunities, encouraging risk taking, and being the first
to bring innovative new products to market
Defenders - Answers - companies using an adaptive strategy aimed at defending
strategic positions by seeking moderate, steady growth and by offering a limited range
of high-quality products and services to a well-defined set of customers
Reactors - Answers - companies that do not follow a consistent adaptive strategy but
instead react to changes in the external environment after they occur
Form Utility - Answers - the elements of the composition and appearance of a product
that make it desirable
,Time Utility - Answers - Adding value to products by making them available when
they're needed.
place utility - Answers - Adding value to products by having them where people want
them.
Possession Utility - Answers - Usefulness created when ownership of a product is
transferred from the seller to the user
Porter's Five Forces - Answers - threat of entry, threat of substitute, supplier power,
buyer power, and competitive rivalry
SWOT analysis - Answers - strengths, weaknesses, opportunities, threats
BCG Matrix: Stars - Answers - high growth, high market share
BCG Matrix: Dogs - Answers - low growth, low market share
BCG Matrix: Cash Cows - Answers - low growth, high market share
BCG Matrix: Question Marks - Answers - high growth, low market share
Channel Strategy - Answers - involves the decisions a manufacturer makes to
effectively and efficiently move its products to the customer
straight product extension - Answers - marketing a product in a foreign market without
making any changes to the product
product adaptation - Answers - adapting a product to meet local conditions or wants in
foreign markets
product invention - Answers - creating new products or services for foreign markets
Demand-Oriented Pricing - Answers - A pricing method in which the price of a product
is changed according to its demand; a product will have a higher price when the
demand is strong and a lower price when it is weak.
value-based pricing - Answers - setting the price at a level that seems to the customer
to be a good price compared to the prices of other options
price skimming - Answers -
penetration pricing - Answers - a pricing policy whereby a firm charges a relatively low
price for a product initially as a way to reach the mass market
,premium pricing - Answers - a competitor-based pricing method by which the firm
deliberately prices a product above the prices set for competing products to capture
those consumers who always shop for the best or for whom price does not matter
7P's of marketing - Answers - product, price, place, promotion, people, physical
evidence, process
Marketing Mix (4 P's) - Answers - Product, Price, Place, Promotion
Unethical Pricing - Answers - price hiking, predatory pricing, bait and switch
Global secondary data - Answers - -Typical limitations of secondary data
-Additional pitfalls
*Unavailable in some countries
*Questionable accuracy (political influences)
*Lack of standardized research terminology
secondary data - Answers - information that already exists somewhere, having been
collected for another purpose
Market information system - Answers - a system for managing marketing information
that is gathered continually from internal and external sources
primary data - Answers - information that is collected for the first time; used for solving
the particular problem under investigation
Consumer Decision Making Process - Answers - 1. need recognition
2. information search
3. evaluation of alternatives
4. purchase
5. post purchase behavior
Target Market - Answers - one or more specific groups of potential consumers toward
which an organization directs its marketing program
Market Segmentation - Answers - Dividing a market into distinct groups of buyers who
have different needs, characteristics, or behaviors, and who might require separate
products or marketing programs
Categorization of goods - Answers - Convenience, shopping, specialty, unsought
goods.
Product Life Cycle - Answers - introduction, growth, maturity, decline
Innovators - Answers - those buyers who want to be the first to have the new product
or service
, early adopters - Answers - People who adopt new products early, choose new
products carefully, and are viewed as "the people to check with" by later adopters
early majority - Answers - individuals who adopt a new product just prior to the
average person
late majority - Answers - the last group of buyers to enter a new product market; when
they do, the product has achieved its full market potential
Laggards - Answers - consumers who like to avoid change and rely on traditional
products until they are no longer available
service profit chain - Answers - the chain that links service firm profits with employee
and customer satisfaction
Service Attributes - Answers - search, experience, credence
customer satisfaction - Answers - the extent to which a product's perceived
performance matches a buyer's expectations
service quality - Answers - expected and perceived quality of a service offering
Service Classification - Answers - Tangible, Intangible, People, Possesions
Pricing Strategies - Answers - Cost based, competitor based, value based
pricing tactics - Answers - Short-term methods, in contrast to long-term pricing
strategies, used to focus on company objectives, costs, customers, competition, or
channel members; can be responses to competitive threats (e.g., lowering price
temporarily to meet a competitor's price reduction) or broadly accepted methods of
calculating a final price for the customer that is short term in nature.
Pricing Methods - Answers - * Cost‑based
* Market‑based pricing
* Competition‑based
geographic pricing - Answers - reductions for transportation and other costs related to
the physical distance between buyer and seller
Distribution Strategies - Answers - intensive distribution, selective distribution,
exclusive distribution
intensive distribution - Answers - a form of distribution aimed at having a product
available in every outlet where target customers might want to buy it
Porter's Value Chain - Answers - Primary: inbound logistics, operations, outbound
logistics, marketing and sales, service
Support: firm infrastructure, human resource mgmt, tech development, procurement
-primary activities generate revenues
service - Answers - Any activity that fulfills a human want or need and returns money
to those who provide it.
inbound logistics - Answers - The area of logistics that involves bringing raw materials,
packaging, other goods and services, and information from suppliers to producers.
Operations - Answers - the activities and processes used in making both tangible and
intangible products
Outbound logistics - Answers - The area of logistics that involves managing the flow of
finished products and information to business buyers and ultimate consumers (people
like you and me).
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
sales - Answers - performs the function of selling goods or services
Miles and Snow's Strategy Types - Answers - Analyzers, prospectors, defenders, and
reactors
Analyzers - Answers - companies using an adaptive strategy that seeks to minimize
risk and maximize profits by following or imitating the proven successes of prospectors
Prospectors - Answers - companies using an adaptive strategy that seeks fast growth
by searching for new market opportunities, encouraging risk taking, and being the first
to bring innovative new products to market
Defenders - Answers - companies using an adaptive strategy aimed at defending
strategic positions by seeking moderate, steady growth and by offering a limited range
of high-quality products and services to a well-defined set of customers
Reactors - Answers - companies that do not follow a consistent adaptive strategy but
instead react to changes in the external environment after they occur
Form Utility - Answers - the elements of the composition and appearance of a product
that make it desirable
,Time Utility - Answers - Adding value to products by making them available when
they're needed.
place utility - Answers - Adding value to products by having them where people want
them.
Possession Utility - Answers - Usefulness created when ownership of a product is
transferred from the seller to the user
Porter's Five Forces - Answers - threat of entry, threat of substitute, supplier power,
buyer power, and competitive rivalry
SWOT analysis - Answers - strengths, weaknesses, opportunities, threats
BCG Matrix: Stars - Answers - high growth, high market share
BCG Matrix: Dogs - Answers - low growth, low market share
BCG Matrix: Cash Cows - Answers - low growth, high market share
BCG Matrix: Question Marks - Answers - high growth, low market share
Channel Strategy - Answers - involves the decisions a manufacturer makes to
effectively and efficiently move its products to the customer
straight product extension - Answers - marketing a product in a foreign market without
making any changes to the product
product adaptation - Answers - adapting a product to meet local conditions or wants in
foreign markets
product invention - Answers - creating new products or services for foreign markets
Demand-Oriented Pricing - Answers - A pricing method in which the price of a product
is changed according to its demand; a product will have a higher price when the
demand is strong and a lower price when it is weak.
value-based pricing - Answers - setting the price at a level that seems to the customer
to be a good price compared to the prices of other options
price skimming - Answers -
penetration pricing - Answers - a pricing policy whereby a firm charges a relatively low
price for a product initially as a way to reach the mass market
,premium pricing - Answers - a competitor-based pricing method by which the firm
deliberately prices a product above the prices set for competing products to capture
those consumers who always shop for the best or for whom price does not matter
7P's of marketing - Answers - product, price, place, promotion, people, physical
evidence, process
Marketing Mix (4 P's) - Answers - Product, Price, Place, Promotion
Unethical Pricing - Answers - price hiking, predatory pricing, bait and switch
Global secondary data - Answers - -Typical limitations of secondary data
-Additional pitfalls
*Unavailable in some countries
*Questionable accuracy (political influences)
*Lack of standardized research terminology
secondary data - Answers - information that already exists somewhere, having been
collected for another purpose
Market information system - Answers - a system for managing marketing information
that is gathered continually from internal and external sources
primary data - Answers - information that is collected for the first time; used for solving
the particular problem under investigation
Consumer Decision Making Process - Answers - 1. need recognition
2. information search
3. evaluation of alternatives
4. purchase
5. post purchase behavior
Target Market - Answers - one or more specific groups of potential consumers toward
which an organization directs its marketing program
Market Segmentation - Answers - Dividing a market into distinct groups of buyers who
have different needs, characteristics, or behaviors, and who might require separate
products or marketing programs
Categorization of goods - Answers - Convenience, shopping, specialty, unsought
goods.
Product Life Cycle - Answers - introduction, growth, maturity, decline
Innovators - Answers - those buyers who want to be the first to have the new product
or service
, early adopters - Answers - People who adopt new products early, choose new
products carefully, and are viewed as "the people to check with" by later adopters
early majority - Answers - individuals who adopt a new product just prior to the
average person
late majority - Answers - the last group of buyers to enter a new product market; when
they do, the product has achieved its full market potential
Laggards - Answers - consumers who like to avoid change and rely on traditional
products until they are no longer available
service profit chain - Answers - the chain that links service firm profits with employee
and customer satisfaction
Service Attributes - Answers - search, experience, credence
customer satisfaction - Answers - the extent to which a product's perceived
performance matches a buyer's expectations
service quality - Answers - expected and perceived quality of a service offering
Service Classification - Answers - Tangible, Intangible, People, Possesions
Pricing Strategies - Answers - Cost based, competitor based, value based
pricing tactics - Answers - Short-term methods, in contrast to long-term pricing
strategies, used to focus on company objectives, costs, customers, competition, or
channel members; can be responses to competitive threats (e.g., lowering price
temporarily to meet a competitor's price reduction) or broadly accepted methods of
calculating a final price for the customer that is short term in nature.
Pricing Methods - Answers - * Cost‑based
* Market‑based pricing
* Competition‑based
geographic pricing - Answers - reductions for transportation and other costs related to
the physical distance between buyer and seller
Distribution Strategies - Answers - intensive distribution, selective distribution,
exclusive distribution
intensive distribution - Answers - a form of distribution aimed at having a product
available in every outlet where target customers might want to buy it
