Question 1

Discuss why micro is more important than macro to marketers. ANS Many authors, notably Porter, have made a distinction between the very broad forces of the macro marketing environment discussed up to now as political, legal, regulatory, societal, technological, economic/competitive and a set of more company-specific forces often termed the micro marketing environment forces. The distinction is that the broad macro forces have an impact on every organization operating in a particular market, from manufacturers to distributors to customers, and such an impact is largely universally felt by such organizations. The micro forces, on the other hand, are still forces external to the organization and not directly controllable, but often have an organization-specific impact subject to the characteristics and status of the individual business. Organisation, buyers, competitors, publics and distribution channels are examples of the micro-marketing environment. PTS: 2 DIF: Moderate REF: The micro marketing environment 8. What factors influence the willingness to spend?

Accepted Answer

People's willingness to spend is, to som...

Question 2

Credit increases future buying power.

Accepted Answer

A) True 
 B)False

Question 3

Based on Figure 3.3 examine the role of intermediaries.

Accepted Answer

Some businesses sell directly to their t...

Question 4

Through technology assessment, managers try to foresee the effects of new products and processes on the firm's operations and on society.

Accepted Answer

A) True 
 B)False

Question 5

Changes in values have little effect on people's needs for products.

Accepted Answer

A) True 
 B)False

Question 6

Wealth enables consumers to gain buying power.

Accepted Answer

A) True 
 B)False

Question 7

The best approach for a company to take when monitoring its competitors is:

Accepted Answer

A)   watching for increases and decreases in competitors' prices and match them.
B)   analyzing all information that is readily available about competitors.
C)   sending employees to competitors' offices and factories to observe their actions.
D)   developing a system for gathering ongoing information about competitors.
E)   reading important business publications such as The Wall Street Journal .F) B) and D)
G) C) and D)

Question 8

Technology is:

Accepted Answer

A)   the application of scientific knowledge to build products that customers desire.
B)   the application of knowledge and tools to solve problems and perform tasks more efficiently.
C)   applied sciences.
D)   one of the weakest marketing environment forces.
E)   the result of research performed primarily by universities.F) B) and C)
G) A) and E)

Question 9

Consumerism is a:

Accepted Answer

A)   diverse group of individuals and organizations opposed to foreign producers that sell products in Europe that are much cheaper than those produced by overseas manufacturers.
B)   social movement that is trying to encourage consumer satisfaction.
C)   social movement that is looking to encourage high standard of living.
D)   diverse group of individuals and organizations attempting to protect the rights of consumers.
E)   social movement that provides consumers with means for expressing satisfaction and expressing their gratitude to producers.F) A) and E)
G) A) and D)

Question 10

A person's buying power is a function of:

Accepted Answer

A)   disposable income.
B)   past income, natural resources, and financial resources.
C)   wages, rents, and investments.
D)   income, wealth, and credit.
E)   discretionary income.F) C) and E)
G) A) and D)

Question 11

The amount of future income already committed to past credit agreements influences one's ability to use more credit.

Accepted Answer

A) True 
 B)False

Question 12

Consumers begin to become more price and value conscious during periods of

Accepted Answer

A)   inflation.
B)   prosperity.
C)   recession.
D)   depression.
E)   recovery.F) A) and D)
G) A) and E)

Question 13

Consumer protection legislation deals with all of the following legal concerns except

Accepted Answer

A)   consumer safety.
B)   sale of hazardous products.
C)   monopolistic practices.
D)   information disclosure.
E)   health claims on food packages.F) A) and D)
G) C) and E)

Question 14

Firms always adopt and use new technology.

Accepted Answer

A) True 
 B)False

Question 15

Which of the following actions is illegal?

Accepted Answer

A)   Political officials influencing how much a government agency purchases and from whom.
B)   Corporate contributions to candidates.
C)   Corporate contributions to elected officials.
D)   Political officials helping businesses secure foreign markets.
E)   Paying political officials not to enforce a particular law.F) All of the above
G) A) and E)

Question 16

The number of firms that control the supply of a product may affect the strength of competition.

Accepted Answer

A) True 
 B)False

Question 17

Environmental analysis helps managers identify potential threats and opportunities linked to environmental changes.

Accepted Answer

A) True 
 B)False

Question 18

Although numerous regulatory forces arise from governmental sources, nongovernmental regulatory forces may also affect marketing decisions.

Accepted Answer

A) True 
 B)False

Question 19

An individual can have a high income and very little wealth.

Accepted Answer

A) True 
 B)False

Question 20

The three major components of sociocultural forces are demographic and diversity characteristics, cultural values, and consumerism.

Accepted Answer

A) True 
 B)False

Exam 3: The Marketing Environment

Based on Figure 3.3 examine the role of intermediaries.

Correct Answer
verified
Some businesses sell directly to their t...
View Answer

The amount of future income already committed to past credit agreements influences one's ability to use more credit.

Correct Answer
verified

Which of the following actions is illegal?

Correct Answer
verified

The three major components of sociocultural forces are demographic and diversity characteristics, cultural values, and consumerism.

Correct Answer
verified

Consumerism is a:

Correct Answer
verified

Credit increases future buying power.

Correct Answer
verified

Through technology assessment, managers try to foresee the effects of new products and processes on the firm's operations and on society.

Correct Answer
verified

Technology is:

Correct Answer
verified

Correct Answer
verified
People's willingness to spend is, to som...
View Answer

Consumer protection legislation deals with all of the following legal concerns except

Correct Answer
verified

A person's buying power is a function of:

Correct Answer
verified

The number of firms that control the supply of a product may affect the strength of competition.

Correct Answer
verified

Firms always adopt and use new technology.

Correct Answer
verified

Changes in values have little effect on people's needs for products.

Correct Answer
verified

The best approach for a company to take when monitoring its competitors is:

Correct Answer
verified

Wealth enables consumers to gain buying power.

Correct Answer
verified

Consumers begin to become more price and value conscious during periods of

Correct Answer
verified

Environmental analysis helps managers identify potential threats and opportunities linked to environmental changes.

Correct Answer
verified

An individual can have a high income and very little wealth.

Correct Answer
verified

Although numerous regulatory forces arise from governmental sources, nongovernmental regulatory forces may also affect marketing decisions.

Correct Answer
verified

Exam 3: The Marketing Environment

Based on Figure 3.3 examine the role of intermediaries.

Correct AnswerverifiedSome businesses sell directly to their t...View AnswerShow Answer

The amount of future income already committed to past credit agreements influences one's ability to use more credit.

Correct AnswerverifiedShow Answer

Which of the following actions is illegal?

Correct AnswerverifiedShow Answer

The three major components of sociocultural forces are demographic and diversity characteristics, cultural values, and consumerism.

Correct AnswerverifiedShow Answer

Consumerism is a:

Correct AnswerverifiedShow Answer

Credit increases future buying power.

Correct AnswerverifiedShow Answer

Through technology assessment, managers try to foresee the effects of new products and processes on the firm's operations and on society.

Correct AnswerverifiedShow Answer

Technology is:

Correct AnswerverifiedShow Answer

Correct AnswerverifiedPeople's willingness to spend is, to som...View AnswerShow Answer

Consumer protection legislation deals with all of the following legal concerns except

Correct AnswerverifiedShow Answer

A person's buying power is a function of:

Correct AnswerverifiedShow Answer

The number of firms that control the supply of a product may affect the strength of competition.

Correct AnswerverifiedShow Answer

Firms always adopt and use new technology.

Correct AnswerverifiedShow Answer

Changes in values have little effect on people's needs for products.

Correct AnswerverifiedShow Answer

The best approach for a company to take when monitoring its competitors is:

Correct AnswerverifiedShow Answer

Wealth enables consumers to gain buying power.

Correct AnswerverifiedShow Answer

Consumers begin to become more price and value conscious during periods of

Correct AnswerverifiedShow Answer

Environmental analysis helps managers identify potential threats and opportunities linked to environmental changes.

Correct AnswerverifiedShow Answer

An individual can have a high income and very little wealth.

Correct AnswerverifiedShow Answer

Although numerous regulatory forces arise from governmental sources, nongovernmental regulatory forces may also affect marketing decisions.

Correct AnswerverifiedShow Answer

Correct Answer
verified
Some businesses sell directly to their t...
View Answer

Correct Answer
verified

Correct Answer
verified

Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
verified
People's willingness to spend is, to som...
View Answer

Correct Answer
verified

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Correct Answer
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