The best advertisement is a satisfied customer and best publicity is mouth publicity. Best promotional tool in marketing is word of mouth publicity.

Acid test of a brand is brand loyalty.
Physical assets means tangible assets.
Digital marketing is often referred to as 'online marketing' or 'internet marketing'.
In marketing term, Attitude refers to mental state of the consumer.
Marketing is a collective function of all staff.
The performance of sales person depends on ability and willingness of salesperson.
Good marketing strategy envisages good and proper relationship management.
Customisation means moulding the product or services according to the needs of the customer.
The sole / ultimate aim of marketing is increase profit through customer satisfaction.
Aggressive marketing is needed to cope up with increased competition.
Value added services means extra services in addition to existing ones.
Savings accounts can be opened by all individuals fulfilling KYC norms.
Market information means knowledge of related market. Or knowledge of customer’s profile and product mix.
Efficient marketing style requires proper planning.
Target group means intended or potential buyer.
Target market is that which consist of customers who need the identified product.
A short term loan is repayable within 3 years.
USP in marketing language means Unique Selling Proposition.
An IPO loan is meant for purchase of new shares.
Cross selling means matching other products to existing customer’s needs.
A prospect means potential customer.
A lead means a prospect who is more likely to avail of a product or sevice.
Innovation means implementing new ideas or new methods.
A call means to visit / meet a prospective customer.
Traditional marketing style involves indirect marketing while modern methods include digital, online,email,tele marketing.
Marketing is not required in a seller’s market.
A true marketing requires an active mindset.
Motivation means inspiring employees to perform better.

COLD CALL/WARM CALLS
Cold calling is soliciting potential customers who were not expecting to speak with you. The term 'cold' refers to the fact that you haven't laid any groundwork for your call. If you are calling prospects who have already expressed interest in your products, such as a prospect who fills out a postcard or website request for information, then it's referred to as 'warm calling.'
Different sales experts will refer to both phone calls and physical, drop-in visits as cold calling, but most salespeople think of cold calling in terms of the telephone. When in doubt, you can usually assume that a reference to cold calling relates to phone calls rather than visits.

Many believe that cold calling is the most efficient and effective way to reach new leads. Others feel that cold calling has been eclipsed by the many new sales channels available today, which include email, social media and text message marketing

Direct marketing is a channel-agnostic form of advertising that allows businesses and nonprofits to communicate straight to the customer, with advertising techniques such as mobile messaging, email, interactive consumer websites, online display ads, fliers, catalog distribution, promotional letters, and outdoor advertising.

Campaigns include corporate events and trade shows, business to business and residential marketing, direct mail distribution and telesales. While these campaigns may not garner the attention of more conventional media, they are proactive, flexible, personal and offer measurable results which are key to delivering a return on investment in any business.

These campaigns do not involve the purchasing of media airtime or space, which reduces costs greatly.

Direct marketing is one of the fastest growing mediums available having established itself as a powerful and effective advertising tool.

The highly targeted nature of direct marketing ensures that campaigns receive the maximum level of response whilst minimizing the level of wastage.

Direct marketing gives companies the platform to target virtually every household, public event and business in the UK.

Advantages of Direct Marketing versus Indirect Marketing:

Acquisition of new customers
Relationships built with a high level of Customer Service (it's personal)
No third party advertising - direct to target audience
Cost effective
Measure the success of campaigns accurately by analysing responses
Flexible

Direct selling is distinct from direct marketing because it is about individual sales agents reaching and dealing directly with clients. Direct marketing is about business organizations seeking a relationship with their customers without going through an agent/consultant or retail outlet. Direct selling often, but not always, uses multi-level marketing (salesperson is paid for selling and for sales made by people he recruits or sponsors) rather than single-level marketing (salesperson is paid only for the sales he makes himself).^[7]
Direct selling is the marketing and selling of products directly to consumers away from a fixed retail location. Peddling is the oldest form of direct selling.^[1] Modern direct selling includes sales made through the party plan, one-on-one demonstrations, and other personal contact arrangements as well as internet sales.^[2] A textbook definition is: "The direct personal presentation, demonstration, and sale of products and services to consumers, usually in their homes or at their jobs."^[3]

Indirect Marketing

Campaigns include such things as television and radio commercials as well as newspaper, billboard and magazine advertising.

No one denies that indirect advertising campaigns build brand awareness, make brands famous and have the power to influence sales.

What indirect advertising cannot do is explain about the campaign directly to the customer, talk to them on a face to face basis, answer questions, explain the benefits, get the customer involved and make a sale there and then.

These campaigns have some draw backs including:

They can be expensive
There is no precise way of making sure you reach your target audience
Cannot guarantee a Return On Investment
Rely on the customer to respond/take action
Difficult to monitor their effectiveness
Inflexible to changes in the market
Impersonal
Over exposure (thousands of adverts are shown every day) and desensitisation (because there are so many adverts we mentally or physically switch off to them).

What Is Telesales?

Telesales is a service activity that is used by the seller to sell his products and services to customers directly over the telephone. In this service, the entire selling process is completed during a single telephone call including payment.

Telemarketing

(sometimes known as inside sales,^[1] or telesales in the UK and Ireland) is a method of direct marketing in which a salesperson solicits prospective customers to buy products or services, either over the phone or through a subsequent face to face or Web conferencing appointment scheduled during the call. Telemarketing can also include recorded sales pitches programmed to be played over the phone via automatic dialing.

"Push or Pull"?

Marketing theory distinguishes between two main kinds of promotional strategy - "push" and "pull".

Push

A “push” promotional strategy makes use of a company's sales force and trade promotion activities to create consumer demand for a product.

The producer promotes the product to wholesalers, the wholesalers promote it to retailers, and the retailers promote it to consumers.

A push promotional strategy involves taking the product directly to the customer via whatever means to ensure the customer is aware of your brand at the point of purchase.

"Taking the product to the customer"

Examples of push tactics

Trade show promotions to encourage retailer demand
Direct selling to customers in showrooms or face to face
Negotiation with retailers to stock your product
Efficient supply chain allowing retailers an efficient supply
Packaging design to encourage purchase
Point of sale displays

This may involve setting up distribution channels and persuading middle men and retailers to stock your product. The push technique can work particularly well for lower value items such as fast moving consumer goods (FMCGs), when customers are standing at the shelf ready to drop an item into their baskets and are ready to make their decision on the spot. This term now broadly encompasses most direct promotional techniques such as encouraging retailers to stock your product, designing point of sale materials or even selling face to face. New businesses often adopt a push strategy for their products in order to generate exposure and a retail channel. Once your brand has been established, this can be integrated with a pull strategy

Pull

A “pull” selling strategy is one that requires high spending on advertising and consumer promotion to build up consumer demand for a product.

If the strategy is successful, consumers will ask their retailers for the product, the retailers will ask the wholesalers, and the wholesalers will ask the producers.

A pull strategy involves motivating customers to seek out your brand in an active process.

"Getting the customer to come to you"

Examples of pull tactics

Advertising and mass media promotion
Word of mouth referrals
Customer relationship management
Sales promotions and discounts

A pull strategy requires a highly visible brand which can be developed through mass media advertising or similar tactics. If customers want a product, the retailers will stock it - supply and demand in its purest form and this is the basis of a pull strategy. Create the demand, and the supply channels will almost look after themselves.

Originated by Albert S Humphrey in the 1960s, SWOT Analysis is a serious business strategy tool.

SWOT Analysis is a simple but useful tool for analyzing your organization's strengths and weaknesses, and the opportunities and threats that you face. It helps you focus on your strengths, minimize threats, and take the greatest possible advantage of opportunities available to you.
SWOT Analysis can be used to "kick off" strategy formulation, or in a more sophisticated way as a serious strategy tool. You can also use it to get an understanding of your competitors, which can give you the insights you need to craft a coherent and successful competitive position.

You could also consider using the TOWS Matrix . This is quite similar to SWOT in that it also focuses on the same four elements of Strengths, Weaknesses, Opportunities and Threats. But TOWS can be a helpful alternative because it emphasizes the external environment, while SWOT focuses on the internal environment.

Strengths and weaknesses are often internal to your organization, while opportunities and threats generally relate to external factors. For this reason the SWOT Analysis is sometimes called Internal-External Analysis and the SWOT Matrix is sometimes called an IE Matrix.

What is transactional marketing?/ Relationship marketing.
Transactional marketing is a business strategy that focuses on single, "point of sale" transactions. The emphasis is on maximizing the efficiency and volume of individual sales rather than developing a relationship with the buyer.
The transactional approach is based on the four traditional elements of marketing, sometimes referred to as the four P's:

Product -- Creating a product that meets consumer needs.
Pricing -- Establishing a product price that will be profitable while still attractive to consumers.
Placement -- Establishing an efficient distribution chain for the product.
Promotion -- Creating a visible profile for the product that makes it appealing to customers.

An alternative to the transactional model, relationship marketing, emphasizes customer retention and future interaction with the company. Customer relationship marketing (CRM) is a business process in which client relationships, customer loyalty and brand value are built through marketing strategies and activities. CRM also Provides cross-selling opportunities.

Customer Relationship Management is a different concept.

Customer relationship management (CRM) refers to a strategy widely used by companies and organizations (including related integrated information systems and technology, often in the form of software) to record and manage their overall data and interactions with current, past and potential customers.

CRM manages, stores and disseminates customer information with many built-in tools that can be applied to raw data pertaining to a customer or any given category of customer. For example, data may be analyzed to segregate customers according to demographic, occupation and age, etc.
CRM plays a vital role in an organization’s marketing and research departments. For example, if data indicates that a majority of customers are from Texas, a sales and marketing department can customize strategies for that state. These and other data-mining efforts may show trends to help businesses make better strategic decisions, utilizing technology wisely to serve the needs and wants of customers.

Integrated marketing

Strategy aimed at unifying different marketing methods such as mass marketing, one-to-one marketing, and direct marketing. Its objective is to complement and reinforce the market impact of each method, and to employ the market data generated by these efforts in product development, pricing, distribution, customer service, etc.

Integrated marketing attempts to create synergy among various online and offline channels and adopt a holistic approach to their marketing efforts. Its aim is to ensure all marketing and communications messages are consistent and compliment the brand.

Online marketing channels which can be integrated into marketing strategy include website optimization (search engine optimization), pay per click, RSS feeds, sponsored advertisements, banner advertisements, and email marketing campaigns. Offline campaigns include direct marketing, print advertisements, television, radio, and public relations management.

Definition of 'Augmented Product'

A commodity that has both the primary physical attributes and the non-physical attributes that are added to increase the product's value. Non-physical attributes of an augmented product may include a product warranty, service or installation, and may increase the price of the basic product being purchased, and allow the company selling the good to provide the consumer with other services that may make using the product easier.

What is Brand Equity.

The value premium that a company realizes from a product with a recognizable name as compared to its generic equivalent. Companies can create brand equity for their products by making them memorable, easily recognizable and superior in quality and reliability. Mass marketing campaigns can also help to create brand equity. If consumers are willing to pay more for a generic product than for a branded one, however, the brand is said to have negative brand equity. This might happen if a company had a major product recall or caused a widely publicized environmental disaster.

MARKET RESEARCH

Definition: The process of gathering, analyzing and interpreting information about a market, about a product or service to be offered for sale in that market, and about the past, present and potential customers for the product or service; research into the characteristics, spending habits, location and needs of your business's target market, the industry as a whole, and the particular competitors you face
Market research is any organized effort to gather information about markets or customers. It is a very important component of business strategy. Market research is a key factor to get advantage over competitors. Market research provides important information to identify and analyze the market need, market size and competition.
Market research, includes social and opinion research, [and] is the systematic gathering and interpretation of information about individuals or organizations using statistical and analytical methods and techniques of the applied social sciences to gain insight or support decision making.
Market research provides relevant data to help solve marketing challenges that a business will most likely face--an integral part of the business planning process. In fact, strategies such as market segmentation (identifying specific groups within a market) and product differentiation (creating an identity for a product or service that separates it from those of the competitors) are impossible to develop without market research.

The term is commonly interchanged with marketing research; however, expert practitioners may wish to draw a distinction, in that marketing research is concerned specifically about marketing processes, while market research is concerned specifically with markets.

Market research involves two types of data:

Primary information. This is research you compile yourself or hire someone to gather for you.
Secondary information. This type of research is already compiled and organized for you. Examples of secondary information include reports and studies by government agencies, trade associations or other businesses within your industry. Most of the research you gather will most likely be secondary.

Primary information through 1) Questionnaire 2) Personal interview

One of the most effective forms of marketing research is the personal interview. They can be either of these types:

A group survey. Used mostly by big business, group interviews or focus groups are useful brainstorming tools for getting information on product ideas, buying preferences, and purchasing decisions among certain populations.
The in-depth interview. These one-on-one interviews are either focused or nondirective. Focused interviews are based on questions selected ahead of time, while nondirective interviews encourage respondents to address certain topics with minimal questioning.

Secondary research uses outside information assembled by government agencies, industry and trade associations, labor unions, media sources, chambers of commerce, and so on. It's usually published in pamphlets, newsletters, trade publications, magazines, and newspapers. Secondary sources include the following:

Public sources. These are usually free, often offer a lot of good information, and include government departments, business departments of public libraries, and so on.
Commercial sources. These are valuable, but usually involve cost factors such as subscription and association fees. Commercial sources include research and trade associations, such as Dun & Bradstreet and Robert Morris & Associates, banks and other financial institutions, and publicly traded corporations.
Educational institutions. These are frequently overlooked as valuable information sources even though more research is conducted in colleges, universities, and technical institutes than virtually any sector of the business community.

Simulated test market/ Test Marketing

Marketing research technique in which consumers are exposed to staged advertising and purchase decisions to observe their response to a new product.

Standard Test Market Full marketing campaign in a small number of representative cities. Simulated Test Market Test in a simulated shopping environment to a sample of consumers. Controlled Test Market A few stores that have agreed to carry new products for a fee.

Integrated marketing

What is Causal Research?

Written by DJS Research Ltd

Causal Research, as explained by DJS Research Ltd.

Causal Research explores the effect of one thing on another and more specifically, the effect of one variable on another.
The research is used to measure what impact a specific change will have on existing norms and allows market researchers to predict hypothetical scenarios upon which a company can base its business plan.
For example, if a clothing company currently sells blue denim jeans, causal research can measure the impact of the company changing the product design to the colour white.
Following the research, company bosses will be able to decide whether changing the colour of the jeans to white would be profitable.
To summarise, causal research is a way of seeing how actions now will affect a business in the future.

Consumer information sources.

How might a marketer influence a consumer’s information search through each of the four information sources discussed in the chapter?

A marketer might influence a consumer information search through several information sources include personal sources (family, friends, neighbors, acquaintances), commercial sources (advertising, salespeople, dealer Web sites, packaging, displays), public sources (mass media, consumer rating organizations, Internet searches), and experiential sources (Handling, examining, using the product). The relative influence of these information sources varies with the product and the buyer. Generally, the consumer receives the most information about a product from commercial sources where those controlled by the marketer. The most effective sources, however, tend to be personal sources. Commercial sources normally inform the buyer, but personal sources legitimize or evaluate products for the buyer.

WHO IS A BANKER

Banking has been defined as “ Accepting for the purpose of lending or investment of deposits of money from the public, repayable on demand or otherwise and withdrawals by check, draft or otherwise.

Who is a customer

A Customer is a person who maintains an account with the bank irrespective of duration and frequency of operation of his account.

relationship banking

Financial services marketing in which a bank's customer service representative (also called account officer, customer relationship representative, personal banking officer, etc.) attempts to meet a customer's needs with a complete package of facilities. The package may include most or all of services such as cash management, credit cards, deposits, loans, money market investments, etc., that may be summarized on a single bank statement.

A strategy used by banks to enhance their profitability. They accomplish this by cross-selling financial products and services to strengthen their relationships with customers and increase customer loyalty. Relationship banking involves offering customers a broad array of financial products and services that go beyond simple checking and savings accounts.

In addition to these two basic products, relationship-banking products may include certificates of deposit, safe deposit boxes, insurance, investments, credit cards, loans and business services (e.g., credit card processing). They may also include specialized financial products designed for specific demographics, such as students, seniors or the wealthy.

What is marketing

Meeting human and social needs profitably.

To focus on customer satisfaction.

Internet marketing is a subset of digital marketing

Digital marketing is a broad term that describes a set of marketing processes that utilize all available digital channels to promote a product or service or build a digital brand. Digital marketing has come to succeed traditional marketing and the transition from paper and newspaper ads to Facebook and PPC campaigns.
The channels that make up digital marketing include: Web sites, Social media platforms, Banner placement, email marketing, mobile marketing, SEO, pay per click campaigns, Web TV, SMS, billboards and anything else with a digital foundation.
Internet marketing components

What is the Marketing Department's Role?

The marketing department must act as a guide and lead the company's other departments in developing, producing, fulfilling, and servicing products or services for their customers. Communication is vital. The marketing department typically has a better understanding of the market and customer needs, but should not act independently of product development or customer service. Marketing should be involved, and there should be a meeting of the minds, whenever discussions are held regarding new product development or any customer-related function of the company.

service marketing

Services are economic activities, rather than tangible products, offered by one party to another. Rendering a service to recipients, objects, or other assets depends on a time-sensitive performance to bring about the desired result. In exchange for money, time, and effort, service customers expect value from access to goods, labor, professional skills, facilities, networks, and systems; but they do not normally take ownership of any of the physical elements involved.^[1]

Common examples of service marketing are found in telecommunications, air travel, health care, financial services, all types of hospitality services, car rental services, and professional services.

Cross selling

The strategy of pushing new products to current customers based on their past purchases. Cross-selling is designed to widen the customer's reliance on the company and decrease the likelihood of the customer switching to a competitor.

MIS-SELLING

By definition, mis-selling means selling a product by giving a wrong picture of a product, it may include, giving wrong information, giving unrealistic information, not giving full information about the product.

Misselling is the deliberate, reckless, or negligent sale of products or services in circumstances where the contract is either misrepresented, or the product or service is unsuitable for the customer's needs

A Prospect – Someone in your target demographic and in your target market.
A Lead – Someone in your target demographic and in your target market, who has expressed a need, and is open to learning more about the solutions you have to offer.

Chapter 22: Managing a Holistic Marketing Organization

GENERAL CONCEPT QUESTIONS

Multiple Choice

1. ________ is the appointment of teams to manage customer-value–building processes and break down walls between departments.

a. Reengineering

b. Outsourcing

c. Benchmarking

d. Supplier partnering

e. Customer Partnering

Answer: a Page: 696 Level of difficulty: Easy

2. ________ is the greater willingness to buy more goods and services from outside domestic or foreign vendors.

a. Benchmarking

b. Merging

c. Globalizing

d. Outsourcing

e. Accelerating

Answer: d Page: 696 Level of difficulty: Easy

3. ________ is the study of “best practice companies” to improve performance.

a. Empowering

b. Globalizing

c. Flattening

d. Focusing

e. Benchmarking

Answer: e Page: 696 Level of difficulty: Easy

4. ________ is the trend to increase partnering with fewer but better value-adding suppliers.

a. Supplier partnering

b. Benchmarking

c. Customer partnering

d. Flattening

e. Empowering

Answer: a Page: 696 Level of difficulty: Easy

5. ________ is working more closely with customers to add value to their operations.

a. Reengineering

b. Outsourcing

c. Customer partnering

d. Merging

e. Globalizing

Answer: c Page: 696 Level of difficulty: Easy

6. ________ is the acquiring or merging with firms in the same or complementary industries to gain economies of scale or scope.

a. Merging

b. Globalizing

c. Accelerating

d. Empowering

e. Outsourcing

Answer: a Page: 696 Level of difficulty: Easy

7. Increasing the effort to “think global” and “act local” is ________.

a. flattening

b. benchmarking

c. globalizing

d. focusing

e. empowering

Answer: c Page: 696 Level of difficulty: Easy

8. ________ is reducing the number of organizational levels to get closer to the customer.

a. Flattening

b. Globalizing

c. Accelerating

d. Empowering

e. Draft the report

Answer: a Page: 696 Level of difficulty: Easy

9. Determining the most profitable businesses and customers and focusing on them is called ________.

a. empowering

b. focusing

c. flattening

d. merging

e. outsourcing

Answer: b Page: 696 Level of difficulty: Easy

10. Designing the organization and setting up processes to respond more quickly to changes in the environment is called ________.

a. flattening

b. reengineering

c. customer partnering

d. globalizing

e. accelerating

Answer: e Page: 696 Level of difficulty: Easy

11. ________ encourages and empowers personnel to produce more ideas and take more initiative.

a. Empowering

b. Accelerating

c. Benchmarking

d. Merging

e. Flattening

Answer: a Page: 696 Level of difficulty: Easy

12. The role of marketing in the organization is changing. Traditionally marketers have played the roles of ________.

a. middlemen

b. customers

c. clients

d. internal customers

e. external consumers

Answer: a Page: 696 Level of difficulty: Medium

13. Today marketing no longer has sole ownership of customer interactions; rather marketing needs to ________ all the customer-facing processes so that the customers see a single face and hear a single voice when they interact with the firm.

a. collect

b. examine

c. review

d. integrate

e. distribute

Answer: d Page: 696 Level of difficulty: Hard

14. _________ requires that everyone in the organization buy into the concepts and goals of marketing and engage in choosing, providing, and communicating customer value.

a. Internal marketing

b. External marketing

c. Integrated marketing communications

d. Sales department

e. External relations

Answer: a Page: 697 Level of difficulty: Medium

15. The most common form of marketing organization consists of ________ reporting to a marketing vice president.

a. sales staff

b. functional specialists

c. departmental head

d. interns

e. none of the above

Answer: b Page: 697 Level of difficulty: Medium

16. The main advantage of a functional marketing organization is it ________.

a. ease of reporting

b. reduced staff requirements

c. administrative simplicity

d. overlapping responsibilities

e. increased work load requirements

Answer: c Page: 697 Level of difficulty: Medium

17. A functional marketing organization can lose its ________ as products and markets increase.

a. focus

b. effectiveness

c. leader

d. reporting relationships

e. vice president

Answer: b Page: 697 Level of difficulty: Medium

18. A company selling in a national market often organizes its sales force along ________ lines.

a. territory

b. geographic

c. psychographic profiles

d. convenience

e. product lines

Answer: b Page: 698 Level of difficulty: Easy

19. Several companies are new adding ________ to support the sales efforts in high-volume markets.

a. behavior specialists

b. consumer specialists

c. area market specialists

d. regional managers

e. district managers

Answer: c Page: 698 Level of difficulty: Medium

20. Improved information and marketing research technologies have spurred regionalization. This has allowed firms to produce more ________ aimed at consumers in their cities and neighborhood.

a. national programs

b. multiple programs

c. local programs

d. product specific programs

e. brand specific programs

Answer: c Page: 699 Level of difficulty: Medium

21. Product and brand management is sometimes characterized as a ________ system.

a. hub-and-spoke

b. wheel

c. flattening organization

d. layered organization

e. regional system

Answer: a Page: 699 Level of difficulty: Easy

22. The product-management organization has several advantages. Which of the following is NOT one of the advantages of the product-management system?

a. can concentrate on developing cost-effective marketing mix for the product.

b. he/she can react quickly to new products in the marketplace

c. the company’s smaller brands have a product advocate

d. the product manager is an expert in his/her category only

e. provides for management succession

Answer: d Page: 699 Level of difficulty: Hard

23. A second alternative available to firms with a product-management organization is to switch from product managers to ________.

a. brand managers

b. co-brand leaders

c. a flattening organization

d. hub-and-spoke system

e. product teams

Answer: e Page: 700 Level of difficulty: Easy

24. There are three types of potential product-team structures. These are ________.

a. vertical, triangular, and horizontal product teams

b. vertical, horizontal, and circular product teams

c. horizontal, vertical, and rectangular product teams

d. horizontal, vertical, and flattened product teams

e. vertical, rectangular, and circular product teams

Answer: a Page: 700 Level of difficulty: Hard

25. A Brand-asset management team (BAMT) ________.

a. concerns itself with the brand only during the marketing audit

b. consists of key brand managers from other companies

c. consists of management personnel from other departments

d. consists of top evel mangers reviewing the brand during an audit

e. consists of key representatives from major functions affecting the brand’s performance

Answer: e Page: 700 Level of difficulty: Hard

26. When customers fall into different user groups with distinct buying preferences and practices, a ________ is desirable.

a. market-management organization

b. product-management organization

c. brand-management organization

d. BAMT organization

e. flattened organization

Answer: a Page: 701 Level of difficulty: Easy

27. ________ is when the marketing activity is organized to meet the needs of distinct customer groups rather than being focused on marketing functions, regions, or products.

a. Product-centered organization

b. Brand-centered organization

c. Customer-management organization

d. Market-centered organizations

e. Brand asset organization

Answer: d Page: 702 Level of difficulty: Hard

28. In a ________, companies can organize themselves to understand and deal with individual customers rather than with the mass market or even market segments.

a. market-centered organization

b. brand-centered organization

c. brand-asset organization

d. customer-management organization

e. product centered organization

Answer: d Page: 702 Level of difficulty: Medium

29. Companies that product many products flowing into many markets may adopt a ________ marketing organization.

a. flat organization

b. brand organization

c. product organization

d. matrix organization

e. top-down organization

Answer: d Page: 702 Level of difficulty: Medium

30. Several forces are driving companies to practice a higher level of corporate social responsibility. These include ________.

a. rising customer expectations

b. changing employee expectations

c. government legislation

d. investor interests

e. all of the above

Answer: e Page: 706 Level of difficulty: Hard

31. Raising the level of socially responsible marketing calls for a three-pronged attack that relies on ________.

a. proper legal, ethical, and socially responsibility behavior

b. proper legal, ethical, and marketing communications

c. legal, ethical, and acceptable behavior

d. ethical, responsible, and clear behavior

e. none of the above

Answer: a Page: 707 Level of difficulty: Medium

32. _________ is marketing that links the firm’s contributions to a designated cause to customers’ engaging directly or indirectly in revenue-producing transactions with the firm.

a. Asset marketing

b. Direct marketing

c. Multi-level marketing

d. Cause-related marketing

e. Socially-responsible marketing

Answer: d Page: 709 Level of difficulty: Easy

33. Cause-related marketing has also been called a part of _________.

a. action marketing

b. corporate societal marketing (CSM)

c. socially-responsible marketing

d. trade marketing

e. pro-active marketing

Answer: b Page: 709 Level of difficulty: Easy

34. Some of the specific means by which cause-marketing programs can build brand equity withy consumers include _________.

a. building brand awareness and enhancing brand image

b. establishing brand credibility

c. evoking brand feelings and creating a sense of brand community

d. eliciting brand engagements

e. all of the above

Answer: e Page: 710 Level of difficulty: Medium

35. There are three potential options for branding a cause-marketing program. These are _________.

a. self-branding, co-branding, jointly branding

b. self –branding, jointly branding, team branding

c. self-branding, team branding, co-branding

d. ethical branding, third-party branding, co-branding

e. cause branding, third-party branding, co-branding

Answer: a Page: 711 Level of difficulty: Medium

36. ________ is done by a nonprofit or government organization to further a cause.

a. Issue marketing

b. Brand marketing

c. Causal marketing

d. Social marketing

e. Non-profit marketing

Answer: d Page: 712 Level of difficulty: Easy

37. ________ is the process that turns marketing plans into action assignments and ensures that such assignments are executed in a manner that accomplishes the plan’s stated objectives.

a. Marketing implementation

b. Marketing research

c. Marketing management

d. Brand management

e. Product management

Answer: a Page: 715 Level of difficulty: Easy

38. Thomas Bonoma identifies four sets of skills for implementing marketing programs. These include ________.

a. diagnostic skills

b. people skills

c. listening skills

d. marketing skills

e. identification skills

Answer: a Page: 715 Level of difficulty: Medium

39. One of the four types of marketing control needed by companies would be ________.

a. operational control

b. financial control

c. logistical control

d. annual plan control

e. inter-departmental control

Answer: d Page: 717 Level of difficulty: Medium

40. A company’s or division’s marketing effectiveness is reflected in the degree to which it exhibits the five major attributes of a marketing orientation. These five major attributes include ________.

a. integrated marketing organization,

b. customer relationships

c. the customer is always right

d. advertising efficiency

e. none of the above

Answer: a Page: 719 Level of difficulty: Hard

41. _________ is a comprehensive systematic, independent, and periodic examination of a company’s or business unit’s marketing environment, objectives, strategies, and activities with a view to determining problem areas and opportunities and recommending a plan of action to improve the company’s marketing performance.

a. Marketing plan

b. Marketing management

c. Marketing audit

d. Marketing intelligence

e. Marketing metrics

Answer: c Page: 719 Level of difficulty: Easy

42. The four characteristics of a marketing audit are ________.

a. product orientation, market orientation, innovation orientation, productivity orientation

b. comprehensive, systematic, independent, periodic

c. comprehensive, systematic, periodic, corporate

d. systematic, as needed, comprehensive, independent

e. compartmentalized, systematic, periodic, independent

Answer: b Page: 719 Level of difficulty: Hard

43. Four areas for efficiency control that firms must evaluate are ________.

a. personnel efficiency, distribution efficiency, advertising efficiency, brand profitability

b. sales force efficiency, profitability efficiency, brand efficiency, distribution efficiency

c. sales force efficiency, brand margin efficiency, distribution efficiency, advertising efficiency

d. sales force efficiency, advertising efficiency, sales promotion efficiency, distribution efficiency

e. sales force efficiency, advertising efficiency, brand profitability, distribution efficiency

Answer: d Pages: 717–718 Level of difficulty: Medium

44. The control process includes the following ________.

a. goal setting, performance measurement, performance diagnosis, corrective action

b. goal setting, brand review, marketing audit, corrective action

c. brand audit, control review, efficiency control, corrective action

d. management scorecard, goal setting, marketing audit, corrective action

e. efficiency control, strategic control, goal setting, corrective action

Answer: a Page: 717 Level of difficulty: Medium

45. Modern marketing departments may be organized in a number of different, sometimes, overlapping ways by ________.

a. function, by brand, by product group, by customer, by matrix

b. design, by brand, by product, by territory, by matrix

c. matrix, by brand, by function, by geography, by customer

d. customer, by brand, by geography, by territory

e. functionally, geographically, by product or brand, by market, in a matrix, by

corporate/division

Answer: e Page: 696 Level of difficulty: Easy

46. A fourth alternative available to a company that uses a product-management organization is to introduce ________ in which a company focuses on product ________ to manage its brands.

a. product managers/categories

b. category specialists/managers

c. category management/categories

d. product brand managers/categories

e. category management/specialists

Answer: c Page: 700 Level of difficulty: Medium

47. Another rationale for category management is the increasing power of the ________.

a. consumer

b. customer

c. trade

d. distribution partners

e. competition

Answer: c Page: 701 Level of difficulty: Easy

48. In a typical organization, each business function has a potential impact on customer satisfaction. Under the marketing concept, all departments need to _________ and work together to satisfy_________ .

a. profits/customers

b. market share/customers

c. think customer/customer needs and expectations

d. think customer/corporate goals and objectives

e. think customer/short term bonuses

Answer: c Page: 703 Level of difficulty: Medium

49. Market leaders tend to miss trends when they are risk-adverse, obsessed about protecting their existing markets and physical resources, and more interested in ________ than innovation.

a. profits

b. efficiency

c. customer loyalty

d. customer selectivity

e. price selectivity

Answer: b Page: 705 Level of difficulty: Medium

50. Effective _________ marketing must be matched by a strong sense of social responsibility.

a. internal

b. social marketing

c. external

d. cause-marketing

e. ethical behavior

Answer: a Page: 706 Level of difficulty: Easy

51. Cause-related marketing began in earnest in the _________.

a. 1940s

b. 1990s

c. 1980s

d. 1970s

e. 1960s

Answer: c Page: 709 Level of difficulty: Medium

52. A successful cause marketing program can produce a number of benefits: improving social welfare; creating differentiated brand positioning; building strong consumer bonds; enhancing the company’s public image with government officials and other decision makers; creating a reservoir of goodwill; boosting internal morale and galvanizing employees; and _________.

a. increased profit margins

b. increased brand recognition

c. driving sales

d. increasing the rate of return on net worth

e. increased stock pricing

Answer: c Page: 710 Level of difficulty: Medium

53. Some experts believe that the positive impact on a brand from cause-related marketing may be lessened by __________.

a. sporadic involvement with numerous causes

b. involvement in “orphan causes”

c. involvement in popular causes

d. involvement in “unpopular causes”

e. involvement in politically unacceptable causes

Answer: a Page: 710 Level of difficulty: Medium

54. _________ with an existing cause is a means for firms to complement their existing brand image with specific associations that are “borrowed” or “transferred” from a cause.

a. Promoting

b. Branding

c. Advertising

d. Co-branding

e. Sales promotions

Answer: d Page: 711 Level of difficulty: Medium

55. Choosing the right goal or objective for a social marketing program is critical. Some examples of the range of possible objectives include ________.

a. cognitive campaigns, action campaigns, behavioral campaigns, value campaigns

b. cognitive campaigns, behavioral campaigns, marketing campaigns, advertising campaigns

c. cognitive campaigns, marketing campaigns, brand campaigns, value campaigns

d. “shock” campaigns, marketing campaigns, brand campaigns, action campaigns

e. behavioral campaigns, action campaigns, “shock” campaigns

Answer: a Pages: 713–714 Level of difficulty: Hard

56. Strategy addresses the ________ and the _________ of marketing activities.

a. who/how

b. what/when

c. what/how

d. what/why

e. what/who

Answer: d Page: 715 Level of difficulty: Medium

57. Implementation addresses the ________.

a. potential market, available markets, and target market

b. who, where, when, and how

c. who, when, the target market, and the price

d. the who, the where, the consumer, and the price

e. the who, the when, the how, and the product choices

Answer: b Page: 715 Level of difficulty: Medium

58. To implement programs successfully, marketers need other skills. One additional skill needed by marketers includes ________.

a. market skills

b. organizing skills

c. personality skills

d. analytical skills

e. interpersonal skills

Answer: b Page: 715 Level of difficulty: Medium

59. Going forward, there are a number of imperatives to achieve marketing excellence. Marketing must be _________ and less departmental.

a. holistic

b. comprehensive

c. integrated

d. developed

e. functional

Answer: a Page: 721 Level of difficulty: Medium

60. One of the cardinal rules in conducting the marketing audit is ________.

a. it has to be independent

b. do not rely solely on company managers for data and opinions

c. it has to be conducted periodically and comprehensively

d. a “short version” of a marketing audit is satisfactory

e. a marketing audit is not necessary except when the company is in trouble

Answer: b Page: 721 Level of difficulty: Hard

True/False

61. Reengineering is the appointment of teams to manage customer-value-building processes and break down walls between departments.