Marketing 2 Quiz Review

Which statement best describes the most significant difference between a for-profit organization or a business firm and a nonprofit organization?

• Business firms earn a profit each year while nonprofits operate at a deficit annually.

• Nonprofit organizations do not carry on economic activities while business firms do.

• Nonprofit organizations are concerned with social issues and business firms are not.

• Both serve customers, but business firms seek a profit while nonprofit organizations do not.

• Nonprofit organizations are publicly owned and business firms are privately owned.

Cree, Inc. markets LED (light-emitting diode) bulbs, selling them for a profit. A Cree LED bulb replaces the traditional incandescent bulb, consuming 85 percent less energy and lasting for 25,000 hours. Cree is an example of a(n)

• cooperative.

• industry.

• nonprofit organization.

• business firm.

• government agency.

______ can use a variety of organizational models to address social needs that inspire passion, including health care delivery, the cost of higher education, and agricultural efficiency.

• Corporate welfare

• Social entrepreneurs

• Sustainable development

• Cause marketing

• Societal capitalism

Which of these statements about strategy is most accurate?

• An organization can be all things to all people because it has access to all the resources it needs to discover and satisfy the needs and wants of its target markets.

• The marketing department helps to both set an organization’s direction and move it there.

• The American Marketing Association (AMA) recently has established the definition of strategy.

• Strategy is an organization’s short-term course of action designed to deliver a specific customer experience while achieving its internal standards.

• Only start-up organizations must develop strategies to help them raise capital as well as focus and direct their efforts to accomplish their goals.

Large organizations are extremely complex, and usually consist of organizational levels overseen by a board of directors.

• two
• three

• five

• seven or more

Overseeing strategic marketing efforts at the corporate level would most likely be the responsibility of the

• CEO.

• CMO.

• CPM.

• CPO.

• COO.

Which statement regarding an organization’s strategic business unit level is most accurate?

• The strategic business unit level is the level that works most directly with an organization’s targeted customers.

• The overall strategy for the organization is directed at the strategic business unit level.

• In the most complex organizations, the corporate level and the strategic business unit level may merge.

• More end-user analysis is provided at the strategic business unit level than at the functional level.

• The strategic direction is more specific at the strategic business unit level than at the corporate level.

Which statement is most likely to be heard at the functional level of an organization?

• A) "We need to divest our Canadian operations that are performing poorly."

• B) "How large a budget can we allot to the marketing department?"

• C) "We plan to implement an Instagram advertising initiative within 30 days."

• D) "We should hire the most culturally diverse cross-functional team possible in order to generate the best new-product ideas."

• E) "What dividends should we pay stockholders next quarter?"

IBM regularly creates what it calls global action teams, which take people from functional groups and bring them together to work on large client projects. These global action teams are a type of

• innovation group.

• business consortium.

• tactical group.

• SWOT team.

• cross-functional team.

In general, a visionary organization asks which three types of questions to specify its foundation, set a direction, and formulate strategies?

• why, when, where

• what, by whom, how

• how, when, where

• why, what, how

• who, why, when