MKT 111 IC: Introduction To Marketing Principles Examination ✓ Solved

MKT 111 IC: Introduction to Marketing Principles Examination

Directions: This examination consists of four sections: I through IV.

Section I: Select the best answer to complete each statement or question.

1. Customers typically seek to satisfy a set of needs when evaluating a product or service offering. Using Maslow’s Needs Hierarchy theory as a reference, which of the following is an example of primary or lower level need:

a) Social acceptance

b) Status

c) Autonomy

d) Hunger and Thirst

2. Which of the following IS NOT part of the marketing mix?

a) Distribution

b) Packaging

c) Advertising

d) Competitors

3. A marketer’s strategy to make its brand or company “stand out” from competitor’s offerings is called__________:

a) Positioning

b) Differentiation

c) SWOT Analysis

d) Situational Analysis

4. The process used to “break down” a large group of potential, different customers into smaller groups having similar characteristics is called ________________:

a) Perception

b) Segmentation

c) Competitive bidding

d) Convergence

5. This business philosophy is focused upon achieving the highest manufacturing output so the unit cost is low:

a) Sales orientation

b) Production orientation

c) Social marketing concept

d) Maximization

6. A _______________ is a group of customers/potential customers having similar needs and characteristics:

a) Population

b) Reference group

c) Culture

d) Segment

7. One of the ways that we filter the stimuli around us is to pay attention to things that are interesting or important. This is called ________________________:

a) Selective Absorption

b) Voluntary Stimuli Reception (VSR)

c) Selective Perception

d) Attention-Response Model

8. Which of the following is not an example of a market research survey?

a) Questionnaire

b) Focus group

c) Mall intercept

d) Individual or group observation

9. An ATM (Automated Teller Machine) is an example of how technology is changing marketing strategy. These machines provide various services to customers on a 24/7 basis year round. This best reflects the ________________ marketing mix variable.

a) Price

b) Product

c) Place or Distribution Channel

d) Promotion

10. When marketers use birth dates to distinguish among various groups of customers, it would be an example of _____________ segmentation.

a) Behavioral

b) Demographic

c) Geography

d) Psychographic

Section II: Indicate your response as “T” if the statement is correct or “F” if incorrect.

1. A key element of the marketing concept is establishing short-term, mutually beneficial customer relationships.

2. The marketing mix variables are controllable factors within an organization’s marketing strategy.

3. Researchers have described needs as a basic force that motivates a person or group.

4. A market development strategy is used when organizations want to increase purchases from existing customers.

5. The demand for business products derives from the demand for final consumer products.

6. The marketing process functions whether or not exchange occurs.

7. When an organization meets the minimum requirements established by law or customer expectation, this might be described as social responsibility.

8. Primary data is information collected for another purpose that can be used for your research project.

9. When demand changes in relation to a change in price, we describe this as inelasticity.

10. For learning to occur, it must always result from direct experience.

11. Customers, organizational resources and competition represent direct market forces.

12. A marketer is considering changing the formulation of liquid laundry detergent. This represents the “Product” variable within the marketing mix.

13. “Positioning” is a marketing strategy to make products and brands stand out from others.

14. When all the conditions of exchange are present, an agreement (transaction) is always reached by the parties.

15. “The meaning of words lie in people not in the words themselves.”

Section III: Match each term to the correct description or example. Use each selection once.

Terms: Primary, Competitive advantage, Market Penetration, Market Development, Secondary, Buying Center, Observation, Diversification, Experimentation or Experiential Method, Social Responsibility, Utility, Marketing Concept or Orientation, Product Development, New Task, Routine (Habitual) Response

1. U.S. Census information used for marketing purposes would be an example of _______________ data.

2. A mechanical traffic counter, when used in a marketing research project, is an example of ___________________.

3. A firm that seeks to develop new products/services for new customers and markets is using a _________________ ______________marketing strategy.

4. New product testing is an example of the _________________________ method of market research.

5. The _________________________ seeks to satisfy customers’ needs and expectations while achieving profitability.

6. Consumers follow the _____________________ decision-making process when purchasing convenience items such as carbonated beverages, snacks, newspapers, chewing gum, etc.

7. A marketing strategy that is focused upon new markets and customers for existing products is called ________________.

8. The value or benefit received through exchange is called ______________.

9. _____________________ is the business decision process typically associated with consumption of products and services that are costly and represent a significant risk to the purchaser.

10. A group of individuals within an organization that is responsible for the purchase of goods or services is typically described as a ____________________.

Section IV: Short answer questions.

1. What is a “SWOT Analysis”? Of what value is it to marketing effort?

2. Identify and describe one of the three ways an organization targets customer groups for marketing purposes.

3. Define the term “Exchange.” What five conditions are necessary for exchange to happen?

Paper For Above Instructions

This response provides answers and brief explanations to the cleaned examination items and addresses the short-answer questions. Section I — Multiple choice answers with brief rationale: 1) d. Hunger and Thirst — Maslow identifies physiological needs as the lowest-level needs (Maslow, 1943). 2) d. Competitors — the marketing mix (4 Ps) includes product, price, place (distribution) and promotion; competitors are part of the environment, not a P (Kotler & Keller, 2016). 3) a. Positioning — positioning makes a brand stand out in consumers’ minds (Kotler & Keller, 2016). 4) b. Segmentation — splitting a market into groups with similar characteristics is market segmentation (Smith, 1956; Kotler, 2017). 5) b. Production orientation — emphasizes high output and low unit cost (Armstrong & Kotler, 2017). 6) d. Segment — a segment is a group with similar needs (Kotler & Keller, 2016). 7) c. Selective Perception — consumers filter stimuli through selective perception and attention processes (Solomon, 2017). 8) d. Individual or group observation — surveys include questionnaires, focus groups and intercepts; observation is a research method but not a survey form (Churchill & Iacobucci, 2009). 9) c. Place or Distribution Channel — ATMs extend distribution and accessibility (Zeithaml & Bitner, 2003). 10) b. Demographic segmentation — birth dates are demographic variables (Kotler & Keller, 2016).

Section II — True/False with short explanations: 1) False. The marketing concept emphasizes long-term mutually beneficial relationships, not merely short-term ones (Kotler & Keller, 2016). 2) True. Marketing mix variables are controllable elements marketers adjust (Armstrong & Kotler, 2017). 3) True. Needs are basic motivating forces in consumer behavior theory (Maslow, 1943; Solomon, 2017). 4) False. Market development targets new markets for existing products; increasing purchases from existing customers is market penetration (Kotler & Keller, 2016). 5) True. Business demand is typically derived from final consumer product demand (derived demand concept) (Kotler, 2017). 6) True. Marketing processes (research, segmentation, strategy) operate prior to and to facilitate exchange even if exchange hasn’t yet occurred (Kotler & Keller, 2016). 7) False. Social responsibility goes beyond merely meeting legal minima; it involves voluntary commitments to social and ethical standards (AMA). 8) False. Primary data is collected for the current research; data collected for other purposes is secondary (Malhotra & Birks, 2007). 9) False. The relationship between price and demand is described by price elasticity; inelasticity specifically means demand changes little with price changes (Kotler & Keller, 2016). 10) False. Learning can be vicarious or observational as well as direct (Solomon, 2017). 11) True. Customers, organizational resources and competition are direct market forces affecting strategy. 12) True. Changing formulation affects the product variable. 13) True. Positioning makes brands stand out in target consumers’ minds (Kotler & Keller, 2016). 14) False. Even if exchange conditions exist, parties may not reach agreement. 15) True. Meaning is constructed socially and lies in people’s interpretation (Solomon, 2017).

Section III — Matching answers: 1) Secondary. 2) Observation. 3) Diversification (new products for new markets). 4) Experimentation or Experiential Method. 5) Marketing Concept or Orientation. 6) Routine (Habitual) Response. 7) Market Development. 8) Utility. 9) New Task. 10) Buying Center. These pairings reflect standard marketing research and strategy terminology (Churchill & Iacobucci, 2009; Kotler & Keller, 2016).

Section IV — Short answers:

1. SWOT analysis: SWOT stands for Strengths, Weaknesses, Opportunities and Threats. It is a strategic audit tool that assesses internal strengths and weaknesses and external opportunities and threats. For marketing, SWOT helps firms align capabilities with market opportunities, identify competitive advantages, prioritize resource allocation, design differentiation and positioning strategies, and anticipate threats to strategy execution (Kotler & Keller, 2016; Wheelen & Hunger, 2012).

2. One targeting approach — Concentrated (niche) targeting: the firm selects a single, well-defined market segment and tailors product, price, distribution and promotion to that segment. Advantages include deeper customer understanding, focused resource use, stronger positioning and potential for higher margins; drawbacks include dependence on a single segment and vulnerability to market shifts. An example is a premium athletic shoe brand focusing exclusively on trail running enthusiasts (Armstrong & Kotler, 2017).

3. Exchange definition and five necessary conditions: Exchange is the act of obtaining a desired object from another party by offering something of value in return. Five necessary conditions are: (1) at least two parties with something to exchange, (2) each party has something of value to the other, (3) communication and delivery capability, (4) freedom to accept or reject the offer, and (5) each party believes it is desirable to deal with the other (Kotler & Keller, 2016; AMA). These conditions ensure voluntary, informed, and feasible transactions that form the basis of market relationships.

Conclusion: The answers above summarize foundational marketing principles — needs and motivation, the marketing mix, segmentation and targeting, research methods, and strategic tools such as SWOT and positioning — and provide concise rationales and textbook-backed references for each response.

References

• Kotler, P., & Keller, K. L. (2016). Marketing Management (15th ed.). Pearson.
• Armstrong, G., & Kotler, P. (2017). Marketing: An Introduction (13th ed.). Pearson.
• Maslow, A. H. (1943). A theory of human motivation. Psychological Review, 50(4), 370–396.
• Solomon, M. R. (2017). Consumer Behavior: Buying, Having, and Being (12th ed.). Pearson.
• Churchill, G. A., & Iacobucci, D. (2009). Marketing Research: Methodological Foundations (10th ed.). Cengage.
• Malhotra, N. K., & Birks, D. F. (2007). Marketing Research: An Applied Approach. Pearson.
• Smith, W. R. (1956). Product differentiation and market segmentation as alternative marketing strategies. Journal of Marketing, 21(1), 3–8.
• Zeithaml, V. A., & Bitner, M. J. (2003). Services Marketing: Integrating Customer Focus Across the Firm. McGraw-Hill.
• American Marketing Association. (n.d.). Definitions of Marketing. https://www.ama.org
• U.S. Census Bureau. (n.d.). About the Census. https://www.census.gov