Marketing Fundamentals Ch. 1

According to the AMA definition, what is marketing?

• The process of planning, pricing, promoting, selling and distributing ideas, goods, or services to create exchanges that satisfy customers

• The idea that a business should strive to satisfy customers’ needs and wants while generating a profit for the firm

• The activity, set of institutions, and processes for creating, communicating, delivering, and exchanging offerings that have value for customers, clients, partners, and society at large

• Understanding and satisfying customers

What is the focus of the marketing concept? (choose 2)

• The product

• The competition

• The customer

• The business's profit

Which of the following is form utility?

• The exchange of a product for money

• Having a product where customers can buy it

• Having a product available at a certain time of year or a convenient time of day

• Involves changing raw materials or putting parts together to make them more useful

What does possession utility involve?

• Having a product where customers can buy it

• Involves communication with the customer

• The exchange of a product for money

• Having a product available at a certain time of year or a convenient time of day

What is market segmentation?

• The process of classifying customers by needs/wants

• The percentage of the total sales volume generated by all companies that compete in a given market

• The process of planning, pricing, promoting, selling and distributing ideas, goods, or services to create exchanges that satisfy customers

• The group that is identified for a specific marketing program/campaign

What are the 4 Ps of the marketing mix?

• Product, Price, Place, Promotion

• Price, Place, Promotion, Profit

• Product, Price, Profit, Promotion

• Product, Promotion, Profit, Place

What is the 80-20 principle in marketing?

• 80% of the sales come from about 20% of the marketing efforts

• 80% of the sales come from about 20% of the employees

• 80% of the sales come from about 20% of your customers

• 80% of the sales come from about 20% of the products

What is the purpose of customer profile?

• To list information about the target market

• To identify the percentage of the total sales volume generated by all companies that compete in a given market

• To create exchanges that satisfy customers

• To combine customer information with customer service and marketing communications

What is the role of marketing in an economy?

• To create exchanges that satisfy customers

• To satisfy customers' needs and wants while generating a profit for the firm

• To combine customer information with customer service and marketing communications

• To provide the means for competition to take place

What is the definition of market share?

• The process of classifying customers by needs/wants

• The group that is identified for a specific marketing program/campaign

• The percentage of the total sales volume generated by all companies that compete in a given market

• The idea that a business should strive to satisfy customers’ needs and wants while generating a profit for the firm