Professional Documents
Culture Documents
A Company With A Corporate
A Company With A Corporate
A Company With A Corporate
A) business objectives
B) perceptual mapping
C) brand strategy
D) insight mining
E) situation analysis
Answer: C
A company with a corporate mission that reflects its desire to do good has a ________ marketing
philosophy.
A) competitive
B) societal
C) business
D) situational
E) value
Answer: B
Which of the following is typically done first in the process of developing a marketing plan?
A) selecting marketing objectives
B) selecting target markets
C) developing marketing mix strategies
D) identifying threats and opportunities
E) designing action plans
Answer: D
How often is the typical marketing plan evaluated?
A) every ten years
B) every five years
C) every year
D) every six months
E) every month
Answer: C
26) In the process of developing a marketing plan, determining pricing and distribution most likely
occurs when a marketing/firm is ________.
A) setting objectives
B) assessing consumer needs
C) developing the brand strategy
D) developing the marketing mix strategy
E) implementing tactical programs
Answer: D
Difficulty: Moderate
Chapter LO: 7-1
Course LO: Describe the process of market segmentation, targeting, and positioning
27) Which type of communication objective is most closely associated with the Facets Model of
Effects category of perception?
A) cue the psychological appeal
B) create awareness
C) stimulate desire
D) stimulate trial
E) connect to positive brand experiences
Answer: B
Difficulty: Moderate
Chapter LO: 7-2
Course LO: Describe the decisions involved in developing effective promotion mix strategies
AACSB: Written and oral communication
28) Which type of communication objective is most closely associated with the Facets Model of
Effects category of emotion?
A) cue the psychological appeal
B) create awareness
C) connect to positive brand experiences
D) establish brand identity
E) stimulate opinion
Answer: A
Difficulty: Moderate
Chapter LO: 7-2
Course LO: Describe the decisions involved in developing effective promotion mix strategies
AACSB: Written and oral communication
29) Which type of communication objective is most closely associated with the Facets Model of
Effects category of cognition?
A) cue the psychological appeal
B) create awareness
C) stimulate desire
D) establish brand identity
E) connect to positive brand experiences
Answer: D
Difficulty: Moderate
Chapter LO: 7-2
Course LO: Describe the decisions involved in developing effective promotion mix strategies
AACSB: Written and oral communication
30) Which type of communication objective is most closely associated with the Facets Model of
Effects category of persuasion?
A) deliver information
B) create awareness
C) cue the brand personality
D) create conviction
E) connect to positive brand experiences
Answer: D
Difficulty: Moderate
Chapter LO: 7-2
Course LO: Describe the decisions involved in developing effective promotion mix strategies
AACSB: Written and oral communication
31) Which of the following refers to the overall direction of a marcom plan?
A) brand position
B) communication objective
C) brand communication strategy
D) Big Idea
E) consumer insight
Answer: C
Difficulty: Moderate
Chapter LO: 7-2
Course LO: Describe the decisions involved in developing effective promotion mix strategies
32) Establishing in the consumer's mind what a brand offers and how it compares with the competition
is ________.
A) benchmarking
B) targeting
C) segmenting
D) positioning
E) attributing
Answer: D
Difficulty: Easy
Chapter LO: 7-2
Course LO: Describe the decisions involved in developing effective promotion mix strategies
33) Which of the following is a tangible product feature?
A) quality
B) status
C) value
D) ease of use
E) fashion
Answer: D
Difficulty: Moderate
Chapter LO: 7-2
Course LO: Describe the decisions involved in developing effective promotion mix strategies
34) Which strategy is designed to focus attention on product differences that are important to
consumers and that distinguish the company's product from its competitors?
A) product differentiation
B) segmentation
C) feature analysis
D) benchmarking
E) targeting
Answer: A
Difficulty: Easy
Chapter LO: 7-2
Course LO: Describe the decisions involved in developing effective promotion mix strategies
35) Products that really are the same, such as milk, unleaded gas, and over-the-counter drugs, are
referred to as ________ products.
A) generic
B) differentiated
C) parity
D) unpositioned
E) positioned
Answer: C
Difficulty: Moderate
Chapter LO: 7-2
Course LO: Describe the decisions involved in developing effective promotion mix strategies
36) Which type of analysis involves making a chart of a company's product and competitors' products,
listing each product's relevant features, evaluating how well the product and the competitors' products
perform on that feature, and then evaluating how important each feature is to the target audience?
A) situation analysis
B) segmentation analysis
C) feature analysis
D) differential analysis
E) market situation analysis
Answer: C
Difficulty: Moderate
Chapter LO: 7-2
Course LO: Describe the decisions involved in developing effective promotion mix strategies
37) ________ is found where the product has a strong feature in an area that is important to the target
and in which the competition is weaker.
A) Position
B) Competitive advantage
C) Differentiation
D) Segmentation
E) Brand equity
Answer: B
Difficulty: Easy
Chapter LO: 7-2
Course LO: Describe the decisions involved in developing effective promotion mix strategies
38) Which of the following would a planner use to compare positions of competitors?
A) brand matrix
B) situation matrix
C) differential map
D) perceptual map
E) SWOT map
Answer: D
Difficulty: Easy
Chapter LO: 7-2
Course LO: Describe the decisions involved in developing effective promotion mix strategies
39) Which of the following demographic groups gets the most attention from advertisers?
A) 12-to-18-year-olds
B) 18-to-34-year-olds
C) 25-to-40-year-olds
D) 35-to-55-year-olds
E) 56-to-80-year-olds
Answer: B
Difficulty: Moderate
Chapter LO: 7-2
Course LO: Describe the process of market segmentation, targeting, and positioning
40) As described in "A Matter of Principle," what objective did 7-Up have for its campaign in 1967?
A) repositioning the 7-Up brand
B) penetrating the British consumer market
C) changing the perception that 7-Up was too expensive
D) changing the perception that 7-Up was unhealthy
E) capturing a large share of the family market soft drink expenditures
Answer: A
Difficulty: Moderate
Chapter LO: 7-2
Course LO: Describe the decisions involved in developing effective promotion mix strategies
41) The focus of the ________ consumer response from the Facets Model of Effects is cueing a brand
image.
A) see/hear
B) feel
C) think/understand
D) connect
E) believe
Answer: D
Difficulty: Moderate
Chapter LO: 7-2
Course LO: Describe the decisions involved in developing effective promotion mix strategies
42) The focus of the ________ consumer response from the Facets Model of Effects is cueing brand
position or leadership.
A) see/hear
B) feel
C) think/understand
D) connect
E) believe
Answer: C
Difficulty: Moderate
Chapter LO: 7-2
Course LO: Describe the decisions involved in developing effective promotion mix strategies
43) Which of the following is LEAST likely a behavioral objective of a marcom plan?
A) volunteering
B) redeeming a coupon
C) visiting a website
D) stimulating brand preference
E) visiting a store
Answer: D
Difficulty: Moderate
Chapter LO: 7-2
Course LO: Describe the decisions involved in developing effective promotion mix strategies
44) A brand that consumers describe as loving, trustworthy, or protective has most likely established a
________.
A) leadership position
B) superiority position
C) brand preference
D) brand loyalty
E) brand personality
Answer: E
Difficulty: Moderate
Chapter LO: 7-2
Course LO: Describe the process of market segmentation, targeting, and positioning
45) Brand ________ often comes from being the first brand in the market.
A) leadership
B) personality
C) promise
D) association
E) cognition
Answer: A
Difficulty: Moderate
Chapter LO: 7-2
Course LO: Describe the process of market segmentation, targeting, and positioning
46) Which of the following refers to the mental impression that consumers construct for a product?
A) brand personality
B) brand image
C) brand promise
D) brand loyalty
E) brand preference
Answer: B
Difficulty: Moderate
Chapter LO: 7-2
Course LO: Explain the various product and branding decisions marketers make
47) A brand is sometimes defined as a(n) ________ because it establishes an expectation based on
familiarity, consistency, and predictability.
A) image
B) position
C) promise
D) association
E) personality
Answer: C
Difficulty: Moderate
Chapter LO: 7-2
Course LO: Explain the various product and branding decisions marketers make
51) Being the first brand in a product category often leads to a brand establishing a ________ position.
A) usage
B) preemptive
C) benefit
D) psychological
E) value
Answer: B
Difficulty: Moderate
Chapter LO: 7-2
Course LO: Describe the process of market segmentation, targeting, and positioning
52) Which type of positioning is relatively easy to establish if the brand is faster, fancier, safer, or
newer?
A) superiority
B) preemptive
C) value
D) competitive
E) usage
Answer: A
Difficulty: Moderate
Chapter LO: 7-2
Course LO: Describe the process of market segmentation, targeting, and positioning
53) The principle in repositioning is to move ahead while at the same time maintaining the same
________.
A) brand image
B) brand position
C) value position
D) usage
E) brand essence
Answer: E
Difficulty: Moderate
Chapter LO: 7-2
Course LO: Describe the process of market segmentation, targeting, and positioning
54) ________ is the research-and-analysis process used to gain knowledge and understanding of the
consumer that is expressed as a key consumer insight into how people relate to a brand or product.
A) Account planning
B) Advertising planning
C) Consumer planning
D) Message planning
E) Media planning
Answer: A
Difficulty: Easy
Chapter LO: 7-3
Course LO: Describe the decisions involved in developing effective promotion mix strategies
55) In an advertising agency, who is responsible for researching a brand and its customer relationships
in order to devise advertising message strategies that are effective in addressing consumer needs and
wants?
A) account manager
B) account planner
C) media director
D) creative director
E) research director
Answer: B
Difficulty: Easy
Chapter LO: 7-3
Course LO: Describe the decisions involved in developing effective promotion mix strategies
56) Who in an advertising agency is most accurately described as "speaking for the consumer" or
"speaking with the voice of the consumer"?
A) account manager
B) account planner
C) media director
D) creative director
E) research director
Answer: B
Difficulty: Moderate
Chapter LO: 7-3
Course LO: Describe the decisions involved in developing effective promotion mix strategies
59) Which of the following tasks of an account planner has been described as "peering into nooks and
crannies without losing sight of the big picture in order to identify a key insight that can transform a
client's business"?
A) big idea generating
B) critical thinking
C) creative thinking
D) insight mining
E) insight communicating
Answer: D
Difficulty: Moderate
Chapter LO: 7-3
Course LO: Describe the decisions involved in developing effective promotion mix strategies
60) The outcome of strategic research usually reaches agency creative departments in the form of a
strategy document called a ________.
A) communication brief
B) situation analysis
C) business plan
D) marketing plan
E) competitive brief
Answer: A
Difficulty: Easy
Chapter LO: 7-3
Course LO: Describe the decisions involved in developing effective promotion mix strategies
AACSB: Written and oral communication
61) Which of the following explains the consumer insight and summarizes the basic strategy
decisions?
A) creative brief
B) research brief
C) business plan
D) IMC plan
E) competitive brief
Answer: A
Difficulty: Moderate
Chapter LO: 7-3
Course LO: Describe the decisions involved in developing effective promotion mix strategies
AACSB: Written and oral communication
63) Which component of a communication brief details the brand's essence, personality, and image?
A) communication objectives
B) problem
C) target audience
D) brand imperatives
E) support
Answer: D
Difficulty: Moderate
Chapter LO: 7-3
Course LO: Describe the decisions involved in developing effective promotion mix strategies
AACSB: Written and oral communication
64) Which component of a communication brief states the single-minded thought that the
communication will bring to life in a provocative way?
A) communication objective
B) consumer insight
C) creative direction
D) brand imperative
E) proposition or selling idea
Answer: E
Difficulty: Moderate
Chapter LO: 7-3
Course LO: Describe the decisions involved in developing effective promotion mix strategies
AACSB: Written and oral communication
65) Which component of a communication brief provides the reason to believe the proposition?
A) brand position
B) support
C) creative direction
D) brand imperative
E) proposition or selling idea
Answer: B
Difficulty: Moderate
Chapter LO: 7-3
Course LO: Describe the decisions involved in developing effective promotion mix strategies
AACSB: Written and oral communication
66) Which component of a communication brief explains the target's motivations and the "major
truths" about the target's relationship to the brand?
A) brand position
B) consumer insights
C) creative direction
D) problem
E) brand imperatives
Answer: B
Difficulty: Moderate
Chapter LO: 7-3
Course LO: Describe the decisions involved in developing effective promotion mix strategies
AACSB: Written and oral communication
67) In a(n) ________ sell effort, a brand sets itself against other brands in its product category.
A) category
B) service
C) competitive
D) identity
E) loyalty
Answer: C
Difficulty: Moderate
Chapter LO: 7-3
Course LO: Describe the decisions involved in developing effective promotion mix strategies
AACSB: Written and oral communication
70) The communication brief is the first step in the ________ process.
A) market research
B) perceptual mapping
C) creative
D) insight research
E) SWOT analysis
Answer: C
Difficulty: Moderate
Chapter LO: 7-3
Course LO: Describe the decisions involved in developing effective promotion mix strategies
AACSB: Written and oral communication
71) Market planning is the process of identifying a problem, determining objectives, deciding on
strategies, and implementing the tactics to occur within a specified time frame.
Answer: FALSE
Difficulty: Easy
Chapter LO: 7-1
Course LO: Identify and describe the processes and tools of strategic marketing
73) A business plan always directs the operations of the entire company.
Answer: FALSE
Difficulty: Easy
Chapter LO: 7-1
Course LO: Identify and describe the processes and tools of strategic marketing
74) A business mission statement should be a concise expression of the broad goals and policies of the
business.
Answer: TRUE
Difficulty: Easy
Chapter LO: 7-1
Course LO: Identify and describe the processes and tools of strategic marketing
AACSB: Written and oral communication
75) Many companies have the business philosophy of making a profit.
Answer: TRUE
Difficulty: Moderate
Chapter LO: 7-1
Course LO: Identify and describe the processes and tools of strategic marketing
76) A situation analysis assesses the external and internal environments that affect marketing
operations.
Answer: TRUE
Difficulty: Moderate
Chapter LO: 7-1
Course LO: Identify and describe the processes and tools of strategic marketing
77) The marketing mix strategy includes decisions about the target market, brand position, product
design and performance, pricing, distribution, and marketing communication.
Answer: TRUE
Difficulty: Moderate
Chapter LO: 7-1
Course LO: Identify and describe the processes and tools of strategic marketing
78) A business plan often begins with a vision statement or mission statement.
Answer: TRUE
Difficulty: Moderate
Chapter LO: 7-1
Course LO: Identify and describe the processes and tools of strategic marketing
AACSB: Written and oral communication
79) In the typical process of developing a marketing plan, marketing mix strategies are developed
before target markets are identified.
Answer: FALSE
Difficulty: Moderate
Chapter LO: 7-1
Course LO: Identify and describe the processes and tools of strategic marketing
AACSB: Written and oral communication
80) A typical advertising plan involves a SWOT analysis leading to the identification of the key
communication problem.
Answer: TRUE
Difficulty: Moderate
Chapter LO: 7-1
Course LO: Identify and describe the processes and tools of strategic marketing
AACSB: Written and oral communication
84) Stimulating trial, sample or purchase is one type of persuasion objective that might be included in
a marcom plan.
Answer: FALSE
Difficulty: Moderate
Chapter LO: 7-2
Course LO: Explain the various product and branding decisions marketers make
AACSB: Written and oral communication
85) Identifying market segments happens in marketing plans, but targeting audiences for specific
messages happens in brand communication plans.
Answer: TRUE
Difficulty: Moderate
Chapter LO: 7-2
Course LO: Describe the process of market segmentation, targeting, and positioning
86) In advertising, diversity tends to be discussed mostly in terms of representations of age, ability,
and gender.
Answer: FALSE
Difficulty: Moderate
Chapter LO: 7-2
Course LO: Explain the various product and branding decisions marketers make
AACSB: Written and oral communication
87) A position is a location in a consumer's mind where the product or brand is placed relative to its
competitors on the basis of the key factors the consumer uses to make a decision.
Answer: TRUE
Difficulty: Easy
Chapter LO: 7-2
Course LO: Describe the process of market segmentation, targeting, and positioning
88) A brand perception is created from information, feelings, and personal experiences with a brand.
Answer: TRUE
Difficulty: Moderate
Chapter LO: 7-2
Course LO: Explain the various product and branding decisions marketers make
89) Emotions tend to generate conclusions but not necessarily actions, while thoughts and reasoning
more frequently lead to actions.
Answer: FALSE
Difficulty: Moderate
Chapter LO: 7-2
Course LO: Identify and discuss the factors influencing consumer buying behavior
90) The first step in crafting a position is to identify the importance and performance of your brand to
determine competitive advantage.
Answer: FALSE
Difficulty: Moderate
Chapter LO: 7-2
Course LO: Describe the process of market segmentation, targeting, and positioning
91) Account planning is the research-and-analysis process used to gain knowledge and understanding
of the consumer, which is expressed as a key consumer insight into how people relate to a brand or
product.
Answer: TRUE
Difficulty: Easy
Chapter LO: 7-3
Course LO: Discuss the steps involved in developing an advertising campaign
93) The outcome of strategic research usually reaches agency creative departments in the form of a
strategy document called a message brief.
Answer: FALSE
Difficulty: Easy
Chapter LO: 7-3
Course LO: Discuss the steps involved in developing an advertising campaign
94) Under the brand position section of a communication brief, the brand essence, brand personality,
and image are described.
Answer: FALSE
Difficulty: Moderate
Chapter LO: 7-3
Course LO: Discuss the steps involved in developing an advertising campaign
AACSB: Written and oral communication
95) The proposition or selling idea component of a communication brief describes the single thought
that the communication will bring to life in a provocative way.
Answer: TRUE
Difficulty: Moderate
Chapter LO: 7-3
Course LO: Discuss the steps involved in developing an advertising campaign
AACSB: Written and oral communication
97) A brand's position is based on a particular feature or attribute as well as on some notion of
comparison to other brands.
Answer: TRUE
Difficulty: Moderate
Chapter LO: 7-3
Course LO: Explain the various product and branding decisions marketers make
98) Quality and value are both examples of tangible product attributes.
Answer: FALSE
Difficulty: Moderate
Chapter LO: 7-3
Course LO: Explain the various product and branding decisions marketers make
99) Feature analysis is used to assess a brand's features in comparison to competitors' products.
Answer: TRUE
Difficulty: Moderate
Chapter LO: 7-3
Course LO: Describe the process of market segmentation, targeting, and positioning
100) Once a position is established in consumers' minds, it is difficult for marketers to change it.
Answer: TRUE
Difficulty: Moderate
Chapter LO: 7-2
Course LO: Describe the process of market segmentation, targeting, and positioning
102) For advertising to be truly effective, it must focus on only one effect at a time.
Answer: FALSE
Difficulty: Moderate
Chapter LO: 7-2
Course LO: Identify and discuss the factors influencing consumer buying behavior
103) Holiday Inn has divided the total customer market into smaller segments and selected the most
promising segments. Deciding what position it wants to occupy in these segments is called targeting.
Answer: FALSE
Difficulty: Moderate
Chapter LO: 7-2
Course LO: Describe the process of market segmentation, targeting, and positioning
AACSB: Analytical thinking
104) A product must be differentiated on tangible differences in order to create long-lasting product
differentiation.
Answer: FALSE
Difficulty: Moderate
Chapter LO: 7-2
Course LO: Describe the process of market segmentation, targeting, and positioning
AACSB: Application of knowledge
106) Compare and contrast a business plan, a marketing plan, and a brand communication plan.
Answer: Strategic planning is a tiered process that starts with the business plan, then moves to
functional areas of the company such as marketing, where a marketing plan is developed that outlines
objectives, strategies, and tactics for all areas of the marketing mix. Both the business plan and the
marketing plan contribute direction to specific plans for specialist areas, such as advertising and other
areas of brand communication.
A business plan may cover a specific division of the company or a strategic business unit. The
objectives for planning at this level tend to focus on maximizing profit and ROI. To a large extent, the
marketing plan parallels the business strategic plan and contains many of the same components.
Finally, brand communication planning operates with the same concern for objectives, strategies, and
tactics that are outlined for business and marketing plans.
Difficulty: Difficult
Chapter LO: 7-1
Course LO: Identify and describe the processes and tools of strategic marketing
AACSB: Written and oral communication
107) Richard is tasked with developing the marketing plan for his family's business. Give a general
outline of the major components of this type of plan.
Answer: A typical outline for a marketing plan includes the following:
(1) Conduct a situation analysis based on extensive market research.
(2) Set objectives, which will likely focus on sales and share of market.
(3) Assess consumer needs and wants, segment the market, and target specific audiences.
(4) Develop the brand strategy, differentiating and positioning the product relative to the
competition.
(5) Develop the marketing mix strategy.
(6) Implement the tactical programs.
Difficulty: Difficult
Chapter LO: 7-1
Course LO: Identify and describe the processes and tools of strategic marketing
AACSB: Written and oral communication
108) Explain how 7-Up, described in "A Matter of Practice," repositioned its brand.
Answer: 7-Up wanted to turn a medicinal product, which was also used as a mixer with whisky, into a
soft drink without changing anything about the product or its packaging. In 1967, a soft drink was a
cola, and a cola was a soft drink. 7-Up had to find a way to take that green bottle (7-Up), pick it up
mentally in consumers' minds, and move it over to where Coke and Pepsi were. And until they did
that, anything 7-Up did that looked like soft-drink advertising was going to be rejected by consumers.
The 7-Up advertising team thought of "Uncola"—it did everything they wanted to do. In one word, it
did it all. It positioned 7-Up as a cola, yet not a cola. Today, the 7-Up Uncola campaign is regarded as
perhaps the classic example of brand repositioning, and a classic example of how the right brand
positioning can lead to marketing magic.
Difficulty: Difficult
Chapter LO: 7-2
Course LO: Describe the process of market segmentation, targeting, and positioning
AACSB: Analytical thinking
111) Kimball Gardens is a company that operates as two distinct businesses: one that sells lawn and
garden products and one that markets booklets. Each business is called a(n) ________.
A) return on investment (ROI)
B) strategic business unit (SBU)
C) integrated media company (IMC)
D) key account
E) business portfolio
Answer: B
Difficulty: Moderate
Chapter LO: 7-1
Course LO: Identify and describe the processes and tools of strategic marketing
AACSB: Analytical thinking
112) The following statement appeared in an organization's business plan: "Quick and Dirty Auto
Repair aims to offer high-quality auto repair services and a full range of auto parts, focusing on
personalized, convenient, and rapid service." Which part of a business plan does this represent?
A) business objectives
B) business mission
C) marketing objectives
D) corporate tactics
E) business strategy
Answer: B
Difficulty: Moderate
Chapter LO: 7-1
Course LO: Identify and describe the processes and tools of strategic marketing
AACSB: Analytical thinking
113) In a SWOT analysis, a(n) ________ is an area in which the company could develop an advantage
over its competition.
A) win
B) weakness
C) opportunity
D) threat
E) leverage
Answer: C
Difficulty: Moderate
Chapter LO: 7-1
Course LO: Identify and describe the processes and tools of strategic marketing
AACSB: Application of knowledge
114) Harris, the marketing manager at a small sports retail chain, has investigated the company's
internal resources and situational factors, as well as factors and trends in the competitive sports retail
chain market. Which of the following has Harris completed?
A) a SWOT analysis
B) a business plan
C) a creative brief
D) a marketing plan
E) a marketing mix
Answer: A
Difficulty: Moderate
Chapter LO: 7-1
Course LO: Identify and describe the processes and tools of strategic marketing
AACSB: Analytical thinking
115) FEED USA + Target is a new line of accessories and clothing sold at Target outlets nationwide.
A number is printed on each product, indicating how many meals for families and children across
America Target will donate as a result of your purchase. Target's marketing of this new line is an
example of ________.
A) viral marketing
B) societal marketing
C) business marketing
D) situational marketing
E) value marketing
Answer: B
Difficulty: Moderate
Chapter LO: 7-1
Course LO: Identify and describe the processes and tools of strategic marketing
AACSB: Analytical thinking
116) Newman's Own is a brand of salad dressing. In 2004, low-carbohydrate dieting became the craze
among consumers, with millions attempting to follow a low-carb lifestyle. In print advertising,
Newman's Own featured the fact that several of its dressings are low in carbohydrates. In terms of a
SWOT analysis, the low-carb diet trend among consumers represents a(n) ________.
A) objective
B) weakness
C) opportunity
D) threat
E) trend
Answer: C
Difficulty: Moderate
Chapter LO: 7-1
Course LO: Identify and describe the processes and tools of strategic marketing
AACSB: Analytical thinking
117) In Party People's marketing plan, two of the company goals are "Achieve growth rate in sales of
15% for the year 2013" and "Maintain a gross margin of 40% each month." As indicated by these two
examples, an objective should be ________.
A) measurable
B) general
C) creative
D) company-wide
E) set by management
Answer: A
Difficulty: Moderate
Chapter LO: 7-1
Course LO: Identify and describe the processes and tools of strategic marketing
AACSB: Analytical thinking
118) For Hyundai Corporation, customers who care about the price of a car and its operating economy
make up one ________.
A) market position
B) market value
C) market segment
D) strategic business unit (SBU)
E) share of mind
Answer: C
Difficulty: Moderate
Chapter LO: 7-1
Course LO: Describe the process of market segmentation, targeting, and positioning
AACSB: Analytical thinking
119) Delia's is a clothing retailer that targets teenage girls. It runs coordinated promotions for its
catalogs, website, and retail outlets. It uses the same models in its catalog and in its print ads as well as
on its website. Delia's works to make sure its public relations activities as well as its sales promotions
harmonize with its advertising in all venues. From this information, you can infer that Delia's is using
________.
A) repositioning
B) insight mining
C) integrated marketing communication
D) feature analysis
E) benchmarking
Answer: C
Difficulty: Moderate
Chapter LO: 7-1
Course LO: Identify and describe the processes and tools of strategic marketing
AACSB: Analytical thinking
120) Harpo Enterprises maintains the Oprah Winfrey show, a website, and O magazine. Because
Harpo Enterprises practices integrated marketing communications, these different brand contacts all
maintain ________ in design and tone.
A) variety
B) feedback
C) consistency
D) creativity
E) convenience
Answer: C
Difficulty: Moderate
Chapter LO: 7-1
Course LO: Identify and describe the processes and tools of strategic marketing
AACSB: Analytical thinking
121) When the makers of a ballpoint pen state they are in the communication equipment business, they
are defining their mission too ________.
A) narrowly
B) realistically
C) specifically
D) broadly
E) futuristically
Answer: D
Difficulty: Moderate
Chapter LO: 7-1
Course LO: Identify and describe the processes and tools of strategic marketing
AACSB: Analytical thinking
122) Tony developed the following objective for his advertising plan: "Increase market share in the
consumer market from 10 percent to 15 percent in one year." What is wrong with this advertising plan
objective?
A) It is an objective more appropriate for a marketing plan.
B) It does not have a specific effect that can be measured.
C) The goal is not realistic.
D) It does not include a time frame.
E) It does not provide a percentage change.
Answer: A
Difficulty: Difficult
Chapter LO: 7-1
Course LO: Identify and describe the processes and tools of strategic marketing
AACSB: Application of knowledge
123) Saturn is "a different kind of company, different kind of a car"; the Hummer is "like nothing
else." Statements such as these reflect a firm's ________.
A) brand personality
B) target markets
C) positioning
D) marketing mix
E) brand preference
Answer: C
Difficulty: Moderate
Chapter LO: 7-2
Course LO: Describe the process of market segmentation, targeting, and positioning
AACSB: Analytical thinking
124) Tiffany's website declares "Since 1837, Tiffany & Co. has been the world's premier jeweler and
America's house of design." Which type of brand positioning does this most clearly indicate?
A) superiority position
B) value position
C) benefit position
D) usage position
E) societal position
Answer: A
Difficulty: Moderate
Chapter LO: 7-2
Course LO: Describe the process of market segmentation, targeting, and positioning
AACSB: Analytical thinking
125) Advertisements for Netflix, a provider of on-demand streaming videos, feature the slogan "Watch
anytime, anywhere, instantly." Which type of brand positioning does this most clearly indicate?
A) preemptive position
B) value position
C) psychological position
D) usage position
E) competitive position
Answer: D
Difficulty: Moderate
Chapter LO: 7-2
Course LO: Describe the process of market segmentation, targeting, and positioning
AACSB: Analytical thinking
126) Of the following, it is most important for marketers to develop ________ for their brands.
A) preemptive positions
B) unique market positions
C) cross-functional organizations
D) marketing ROI data
E) value positions
Answer: B
Difficulty: Moderate
Chapter LO: 7-2
Course LO: Describe the process of market segmentation, targeting, and positioning
AACSB: Application of knowledge
127) Mean Jeans is a brand of durable and fashionable jeans marketed to 14-to-24-year-old boys and
men. In the data analysis process, an account planner for Mean Jeans discovers that the total amount of
money spent on jeans by all 14-to-24-year-old males has decreased by 8% in the past year. This
represents a(n) ________ problem.
A) preemptive
B) insight
C) perceptual
D) category sell
E) competitive sell
Answer: D
Difficulty: Moderate
Chapter LO: 7-3
Course LO: Describe the process of market segmentation, targeting, and positioning
AACSB: Analytical thinking
Susan is working on the advertising plan for her company's shampoo named Silkience. She has
conducted a SWOT analysis and learned that her company enjoys a strong financial position and has
good working relations with the resellers of its brands. The primary target customers for this brand are
women between the ages of 35 and 50, and demographic analysis indicates that this age demographic
will grow in double digits over the next 10 years. Silkience targets women who may be having
concerns about graying hair. It is a gentle shampoo that will not wash out color, especially semi-
permanent color that women of this age tend to use. However, Susan also learned that the target
customers do not perceive her company's brand of shampoo as a brand for them but rather for a
younger consumer because previous ads tended to use younger-looking models. There was also
nothing in the previous advertising campaigns that really explained the benefits of the brand, such as
suggesting that it was gentler for semi-permanent-colored hair.
128) In terms of the SWOT analysis, the fact that the demographic analysis indicated that this age
group of women will increase considerably in the next 10 years represents a(n) ________.
A) trend
B) weakness
C) opportunity
D) threat
E) win
Answer: C
Difficulty: Moderate
Chapter LO: 7-1
Course LO: Identify and describe the processes and tools of strategic marketing
AACSB: Analytical thinking
129) Silkience's place in consumers' minds among other brands targeted to younger women represents
Silkience's ________.
A) position
B) competitive advantage
C) competitive disadvantage
D) target
E) perceptual map
Answer: A
Difficulty: Moderate
Chapter LO: 7-2
Course LO: Describe the process of market segmentation, targeting, and positioning
AACSB: Analytical thinking
130) Silkience really is different from other shampoos because it is so gentle that it does not fade semi-
permanent hair color, allowing a woman to go for a longer period of time before having to color her
hair again. What does this product attribute represent?
A) opportunity
B) product differentiation
C) brand position
D) brand target
E) brand imperative
Answer: B
Difficulty: Difficult
Chapter LO: 7-2
Course LO: Describe the process of market segmentation, targeting, and positioning
AACSB: Analytical thinking
131) Massiel, the account planner for Silkience, investigated all of the research on the brand, looking
for possible reasons that the target market has not responded and for ideas about how they could be
motivated to respond in the desired way. Which of the following was Massiel doing?
A) perceptual mapping
B) repositioning
C) insight mining
D) feature analyzing
E) brand positioning
Answer: C
Difficulty: Moderate
Chapter LO: 7-3
Course LO: Identify and describe the processes and tools of strategic marketing
AACSB: Analytical thinking
133) Sarah is trying to think of ways to better define the marketing problem she is facing. List three
"What's going on?" type questions that might be helpful to Sarah in defining the marketing problem.
Answer: Students can give any three of the following:
(1) What is happening with the brand and the category?
(2) How is it happening?
(3) Where is it happening?
(4) When is it happening?
(5) To whom is it happening?
Difficulty: Moderate
Chapter LO: 7-1
Course LO: Identify and describe the processes and tools of strategic marketing
AACSB: Application of knowledge
134) Eric is an account planner at a major advertising agency. What three elements are at the heart of
an advertising plan and represent the decisions Eric is responsible for as the account planner?
Answer: The three elements at the heart of an advertising plan are audience insight leading to a Big
Idea, message strategy, and medium.
Difficulty: Moderate
Chapter LO: 7-1
Course LO: Identify and describe the processes and tools of strategic marketing
AACSB: Application of knowledge
136) Tom was given the task of writing the objectives for a marcom plan. Briefly explain the logic of
objectives.
Answer: Given the huge amounts of money spent on marcom, it is important for marketers to know
what to expect from a plan. Objectives are formal, specific statements of the goals to be accomplished
during a specified time period. They outline what the message is designed to achieve and how it will
be measured.
Difficulty: Moderate
Chapter LO: 7-2
Course LO: Describe the decisions involved in developing effective promotion mix strategies
AACSB: Analytical thinking
137) While working on a campaign plan for a client, Madeleine was given the task of understanding
the brand's position within the competitive marketplace. What is a position of a brand?
Answer: A position is a place in consumers' minds where the product or brand stands in comparison to
its competitors. A position is usually based on a particular feature or attribute, although it can be
psychological or both.
Difficulty: Moderate
Chapter LO: 7-2
Course LO: Describe the process of market segmentation, targeting, and positioning
AACSB: Analytical thinking
138) Explain the purpose of a perceptual map.
Answer: A perceptual map is used to compare positions of different brands in a product category. The
perceptual map plots all of the competitors on a matrix based on the two most important consumer
decision factors.
Difficulty: Moderate
Chapter LO: 7-2
Course LO: Describe the process of market segmentation, targeting, and positioning
AACSB: Analytical thinking
140) What are two possible marcom objectives in the association category of the Facets Model of
Effects?
Answer: Establish or cue the brand personality or image; create links to symbols and associations;
connect to positive brand experiences.
Difficulty: Moderate
Chapter LO: 7-2
Course LO: Describe the decisions involved in developing effective promotion mix strategies
AACSB: Analytical thinking
141) What are two possible marcom objectives in the behavior category of the Facets Model of
Effects?
Answer: Stimulate trial, sample, or purchase; generate other types of response such as coupon use,
volunteering, or calling in; create word-of-mouth buzz; create advocacy and referrals.
Difficulty: Moderate
Chapter LO: 7-2
Course LO: Describe the decisions involved in developing effective promotion mix strategies
AACSB: Analytical thinking
145) Jana is an account planner at an advertising agency. She conducts consumer research to gain a
better understanding of her clients' brands and their customers. How is the outcome of this strategic
research communicated to the creative teams that work on these clients' accounts?
Answer: The outcome of strategic research usually reaches agency creative departments in the form of
a strategy document called a communication brief or creative brief, which explains the consumer
insight and summarizes the basic strategy decisions (position, targeting, objectives, and brand
strategy).
Difficulty: Moderate
Chapter LO: 7-3
Course LO: Describe the steps involved in developing an advertising campaign
AACSB: Analytical thinking
146) Identify three questions account planners can use to gain useful insights from consumer and
market research.
Answer: Students can describe any three of the following:
(1) What is a realistic response objective (perception, knowledge, feelings, attitudes, symbolic
meanings, behavior) for this target group?
(2) What are the causes of their lack of response?
(3) What are the barriers to the desired response?
(4) What could motivate them to respond in the desired way?
(5) What is the role of each element in the communication mix to motivate them or remove a
barrier?
Difficulty: Moderate
Chapter LO: 7-3
Course LO: Identify and describe the processes and tools of strategic marketing
AACSB: Analytical thinking
147) Contrast the roles of account manager and account planner.
Answer: An account manager is seen as the voice of the client, while the account planner is seen as
the voice of the consumer.
Difficulty: Moderate
Chapter LO: 7-3
Course LO: Describe the steps involved in developing an advertising campaign
AACSB: Analytical thinking
148) What is the difference between a category sell problem and a competitive sell problem?
Answer: A category sell problem occurs when sales or profits are down across the category, meaning
for all of the brands in a product category. On the other hand, a competitive sell problem occurs when
sales or profits remain the same across the category but your brand has lost sales, profit, or market
share.
Difficulty: Difficult
Chapter LO: 7-3
Course LO: Describe the decisions involved in developing effective promotion mix strategies
AACSB: Analytical thinking
Bob works at a major advertising agency, and his job entails understanding the meaning of the client's
brand and the target audience's relationship to the brand. He must also articulate communication
strategies, prepare a creative brief based on an understanding of the consumer and the brand, and
finally, evaluate the effectiveness of the communication in terms of how the target reacts to it.
150) What should Bob include in the creative brief that he prepares for the creative department?
Answer: The creative brief or communication brief includes the problem, target audience, consumer
insights, brand imperatives, communication objectives, proposition or selling idea, support, creative
direction, and media imperatives.
Difficulty: Difficult
Chapter LO: 7-3
Course LO: Identify and describe the processes and tools of strategic marketing
AACSB: Application of knowledge
151) For one of the agency's clients, Bob is involved in assisting the team in crafting a position by
identifying features of the company's brand as well as the competition's brand to determine where the
brand has an advantage over its competitors. Name and describe a technique Bob can use to help
structure this analysis.
Answer: Bob can use feature analysis. First, he'll need to make a chart of a client's product and
competitors' products, listing each product's relevant features. Then he'll evaluate how well the product
and the competitors' products perform on that feature. Next, he'll evaluate how important each feature
is to the target audience.
Difficulty: Moderate
Chapter LO: 7-2
Course LO: Identify and describe the processes and tools of strategic marketing
AACSB: Application of knowledge