Nova Southeastern University

MKT 5070

1)The_lays out the target markets and the value proposition that will be offered, based on an analysis of the best market opportunities.

1. 1. organizational plan
   2. strategic marketing plan
   3. corporate tactical plan
   4. corporate mission
   5. customer-value statement

2. Which of the following plans would most likely include directions for implementing and addressing daily challenges and opportunities in product features, promotion, merchandising, pricing, sales channels, and service areas?
   1. the tactical marketing plan
   2. the target marketing plan
   3. the deployment plan
   4. the product-launch plan
   5. the product-development plan

3. Which of the following is NOT one of the four planning activities undertaken by all corporate headquarters?
   1. defining the corporate mission
   2. establishing strategic business units
   3. assigning resources to each SBU
   4. assessing growth opportunities
   5. deciding sales channels

4. A clear, thoughtful mission statement provides employees with a shared sense of purpose, direction, and .
   1. profitability
   2. target market feasibility
   3. opportunity
   4. continuous improvement
   5. quality products

5. Which of the following is one of the five major characteristics of good mission statements?
   1. They focus on a large number of goals.
   2. They expand the range of individual employee discretion.
   3. They define the major competitive spheres within which the company will operate.
   4. They take a short-term view.
   5. They are long and comprehensive to ensure that all critical concepts are included.

6. The                        is the number of channel levels, from raw materials to final product and distribution, in which a company will participate.
   1. industry sphere
   2. vertical sphere
   3. product/application sphere
   4. competence sphere
   5. market segment sphere

7. Gerber primarily serves the baby food market. In choosing to focus on this market, Gerber is defining its competitive sphere on the basis of                                                                       .
   1. vertical segmentation
   2. backward integration
   3. market segmentation
   4. diversification
   5. differentiation

8. While viewing businesses in terms of customer needs can suggest additional growth opportunities, a        tends to focus on selling a product or service to a current market.
   1. strategic market definition
   2. target market definition
   3. cognitive definition
   4. product definition
   5. tactical definition

9. What are hollow corporations?
   1. companies that market their products through franchisees
   2. companies that have liabilities exceeding their assets
   3. companies that outsource all production to suppliers
   4. companies that do not have any physical presence and only operate online
   5. companies that are horizontally integrated

10. A characteristic of a                            is that it can be a single business or collection of related businesses that can be planned separately from the rest of the company."
    1. strategic business unit
    2. subsidiary unit
    3. merged unit
    4. niche market unit
    5. specialized business unit

11. Market-penetration, product-development, and market-development strategies would all be examples of        strategies.
    1. concentric growth
    2. conglomerate
    3. horizontal
    4. intensive growth
    5. integrative growth

12. Which of the following is an example of growth by diversification?
    1. a company introducing its existing products in a new market
    2. a company introducing new product category in a new market
    3. a company increases its product line in an existing market
    4. a company introducing a new product category in an existing market
    5. a company integrates backward to cut costs

13. A company that seeks to increase its sales and profits through backward, forward, or horizontal integration within the industry is said to be employing a(n)                                                                             strategy.
    1. diversification growth
    2. intensive growth
    3. target growth
    4. integrative growth
    5. conglomerate growth

14. If you were the CEO of a company that was looking to implement strategies to fill a perceived strategic-planning gap, you would most likely explore a(n)                                                                                           strategy first because it is easier to improve an existing business than to build a new one.
    1. market-penetration
    2. market-development
    3. diversification
    4. product-development
    5. exclusive  

15. Once Starbucks had established its presence in thousands of cities internationally, the company sought to increase the number of purchases by existing customers with a

                      strategy that led to new in-store merchandise, including compilation CDs and high-speed wireless access.

1. 1. product-development
   2. market-penetration
   3. diversification
   4. market-development
   5. conglomerate Answer:   A

16. A(n)                         is when a company might seek new businesses that have no relationship to its current technology, products, or markets.
    1. concentric strategy
    2. conglomerate strategy
    3. horizontal strategy
    4. intensive growth strategy
    5. integrative strategy

17. Which of the following terms can be defined as "the shared experiences, stories, beliefs, and norms that characterize an organization"?
    1. organizational dynamics
    2. a business mission
    3. an ethical/value statement
    4. customer relationships
    5. corporate culture

18. The first step in the business unit strategic-planning process deals with which of the following?
    1. formulate goals
    2. define business mission
    3. implement strategies
    4. execute programs
    5. conduct SWOT analysis

19. Through its cutting-edge point-of-sale inventory management technology and highly efficient shipping practices, Wal-Mart is able to keep its inventory expenditure extremely low and to pass these savings on to consumers in the form of low prices. Wal-Mart's strategy is best described as  .
    1. a focused approach
    2. integrative growth
    3. differentiation
    4. market development
    5. overall cost leadership

20. When a firm aims to underprice competitors and win market share, it is using a(n)

                      strategy that requires relatively less marketing skills as compared to other strategies.

1. 1. product differentiation
   2. overall cost leadership
   3. focus
   4. domestic customer relationship
   5. price skimming

21. After analyzing their company's strengths and weaknesses, top managers at Loan Bright decided that they would serve individual loan officers who typically only wanted to purchase small sets of homebuyer data, rather than bigger institutional clients. To meet the needs of this segment, Loan Bright simplified its sales contract, restructured its advertising efforts to focus on Google ads, and created a separate customer-service department. Loan Bright's strategy is best described as a(n)                                                         strategy.
    1. overall cost leadership
    2. focus
    3. differentiation
    4. diversification
    5. promotional  

22. Unlike its competitors in the online air travel industry, Travelocity provides its customers with a greater variety of services such as cruise reservations, package tours, hotel bookings, and car rentals. This is an example of a(n)                                                                                                                   strategy.
    1. overall cost leadership
    2. focus
    3. differentiation
    4. diversification
    5. promotional  

23. McDonald's has often teamed up with Disney to offer products related to current Disney films as part of its meals for children. The best description of this form of alliance would be a         .
    1. product alliance
    2. logistics alliance
    3. pricing collaboration
    4. network alliance
    5. promotional alliance

24. Abbott Laboratories warehouses and delivers 3M's medical and surgical products to hospitals across the United States. The best description of this form of alliance would be a(n)           .
    1. product alliance
    2. logistics alliance
    3. pricing collaboration
    4. indirect collaboration
    5. promotional alliance

25. MasterCard and Visa may team up with university alumni associations to offer affinity credit cards that typically display an iconic image associated with the university on the card itself and may include an incremental donation program associated with purchases made using the card. The best description of this form of alliance would be called a    .
    1. product alliance
    2. logistics alliance
    3. pricing collaboration
    4. network alliance
    5. promotional alliance

26. When one company licenses another to produce its offerings, or two companies jointly market their complementary offerings, it is called a                                                                      .
    1. pricing collaboration
    2. product or service alliance
    3. promotional alliance
    4. logistics collaboration
    5. total quality management

27. To keep their strategic alliances thriving, corporations have begun to develop organizational structures to support them and have come to view the ability to form and manage strategic alliances as core skills. This is called                                                                                                                               .
    1. value managed partnership
    2. decentralized partnership
    3. centralized partnership
    4. partner relationship management
    5. intensive growth management