Seneca College of Applied Arts and Technology

Chapter 1 Exercise ANSWERS____9.Dominos Pizza is offering racing fans a chance to earn points toward NASCAR-branded merchandise via the NASCAR RacePoints loyalty program. Consumers who buy $20 worth of Dominos Pizza will receive 100 NASCAR RacePoints. NASCAR RacePoints will be credited to members accounts. Racing fans can collect points to earn NASCAR merchandise, including apparel and hats or one-of-a-kind experiences, such as driving a real race car. A(n) _____ will occur when a NASCAR fan trades in his or her points for a mug autographed by a favourite driver.

a.synergy

b.sublimation

c.Exchange C

d.reciprocity

____20.A firm that adopts a(n) _____ orientation to marketing will fail to consider whether what the firm produces most efficiently also meets the needs of the marketplace.

a.customer

b.product

c.market

d.Production D

____55.Most companies become sensitized to community issues only after theyve done enough damage to draw the locals anger. Dofasco, Inc., a highly successful steel company in Ontario, tries to get ahead of business and community issues by annually bringing together representatives from the local area and deciding what projects to improve the local environment will be implemented. This annual community-wide meeting indicates Dofasco has a _____ orientation.

a.societal marketing A

b.sales

c.product

d.philanthropic

____65.When customer expectations regarding product quality, service quality, and value-based price are met or exceeded, _____ is created.

a.a value line

b.a quality rift

c.planning excellence

d.customer satisfaction D

____77.The management at Fairmont Hotels has authorized its hotel staff to provide whatever amenitysuch as a special magazine or a hypoallergenic pillowtheir frequent stayers request as quickly as possible. Fairmont management uses _____ to provide customer value.

a.training

b.deregulation

c.Empowerment C

d.commissioning

____85._____ is the primary tool used by a sales-oriented organization to achieve its corporate goals.

a.Price

b.Promotion B

c.Product design

d.Place (distribution)

Chrysler Minivans

In 1995, Chrysler Corporation launched the first complete remake of its minivan category since the firm invented the vehicle category in 1984. The minivans were redesigned with more curves on the outside and more space on the inside. One of Chryslers goals was to broaden the minivans appeal beyond the traditional buyer base of practical families. Advertising showed minivans being used to cart everything from senior citizens to canoes. A minivan is for any time, any place, everyone, was one of the promotional slogans used. To reach other customer groups, Chrysler developed a sports version and a short-wheel-base version of the upscale Town and Country model for sophisticated buyers. Chrysler hoped the $2.6 billion vehicle development cost would pay off as the market expanded. However, competitors also began to offer a wider range of sophisticated models, and competition has become fierce.

____92.Refer to Chrysler Minivans. When Chrysler first launched the minivan, the company offered only one version and was focused on generating sales volume through intensive advertising. This approach suggests the company had a _____ orientation.

a.Sales A

b.market

c.production

d.societal

____93.Refer to Chrysler Minivans. The minivans were developed through an extensive investment in research and development to completely redesign the minivans and provide customers with new and updated features. This effort is designed to better meet consumers wants and needs, and suggests the company has adopted a _____ orientation.

a.societal

b.sales

c.production

d.Market D

____94.Refer to Chrysler Minivans. By introducing sporty, value-priced, and upscale minivans, Chrysler hoped to forge a long-term relationship with customers as they replace their older minivan. Chrysler engaged in

a.empowerment.

b.customer valuation.

c.relationship marketing. C

d.outward focus management.

____95.Refer to Chrysler Minivans. Chrysler set up a team of special customer-service representatives who assist minivan buyers and who are authorized to solve problems immediately. These employees were given

a.authority training.

b.customer value giving.

c.cross-utilization.

d.empowerment. D

136.How is marketing important to business? Give 2 reasons.______________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________