Q&A Hero

Q: The acting out of a decision to give something up in return for something of greater value is known as _____. a. exchange b. touchpoint c. differentiation d. showrooming e. alternative evaluation

Q: Renee Samson has been invited to take part in a formal dance programme next month. Though she has a lot of gowns, she decides to go shopping for a new one that she had seen at a sale. The gown is an example of a(n) _____ in the basic consumption process. a. need b. want c. reaction d. outcome e. touchpoint

Q: A(n) _____ is a specific desire that spells out a way a consumer can go about addressing a recognized need. a. touchpoint b. exchange c. want d. reaction e. attribute

Q: What is the last step in the basic consumption process? a. Exchange b. Value perception c. Need realization d. Want specification e. Experience costs and benefits

Q: The first step in the basic consumption process is _____. a. cost and benefit analysis b. purchase decision c. value assessment d. want specification e. need realization

Q: A market researcher focuses on the psychological process, including thoughts, feelings, and behavior that people experience once they realize that they have an unmet need. The human behavior that constitutes this set of value-seeking activities that the researcher is examining is best described as _____. a. opportunistic behavior b. consumer behavior c. cognitive psychology d. social interaction e. deviant behavior

Q: From which of the following pairs of perspectives can consumer behavior be defined? a. Primary and secondary b. Human thought and behavior, and as a field of study c. Social and psychological d. Inputs and outcomes e. Needs and wants

Q: One demographic trend shaping consumer behavior is the decreasing birth rates in the U.S. and Europe.

Q: Changing demographics have no impact on consumer behavior.

Q: The Internet has made geographical distance almost a non-issue.

Q: Companies must deal only with geographical distances when operating in different countries.

Q: Quantitative research is more likely to stand on its own and does not require deep interpretation.

Q: Interpretive research better enables researchers to test hypotheses as compared to quantitative research.

Q: Interpretation of quantitative research data is a function of the researcher's opinion.

Q: A researcher measuring consumers' attitudes toward different brands on a scale ranging from 1 (very negative) to 5 (very positive) is using qualitative research.

Q: Netnography applies ethnographic tools to study the behavior of online cultures and communities.

Q: An ethnographic approach to studying consumer behavior often involves analyzing the artifacts associated with consumption.

Q: Two common interpretative orientations are psychology and sociology.

Q: Data generated from qualitative research are considered researcher independent.

Q: Qualitative research tools gather data in a highly structured way.

Q: The phenomenological researcher relies on experimentation to establish causal relationships in the area of consumer behavior.

Q: Interpretive research seeks to explain the inner meanings associated with specific consumption experiences.

Q: Researchers agree that the interpretive approach is the best approach to study consumer behavior.

Q: Niche marketers specialize in serving one market segment with unique demand characteristics.

Q: One-to-one marketing treats each customer as a segment of one.

Q: Undifferentiated marketing adopts the consumer orientation.

Q: A market orientation means innovation is geared primarily toward making the production process as efficient and economic as possible.

Q: Undifferentiated marketers generally adopt a market orientation.

Q: Undifferentiated marketing means that the same basic product is offered to all customers.

Q: Touchpoints are the physical parts of a product.

Q: A product is a potentially valuable bundle of benefits.

Q: The resource advantage theory primarily explains the manner in which human resources must be managed in a company.

Q: A market orientation represents a much narrower focus than a strategic orientation that focuses more solely on production.

Q: Interaction points refer to direct contacts between the firm and a customer.

Q: Relationship marketing is based on the belief that firm performance is enhanced through repeat business.

Q: Mass media and trade organizations are two of the primary stakeholders of a firm.

Q: A market-oriented firm stresses the importance of creating value for customers among all employees.

Q: A highly competitive marketplace in which consumers have many alternatives is more likely to result in better customer service than a marketplace with little competition.

Q: Neuroscience focuses primarily on the study of groups of people within a society.

Q: Marketing actions begin with inputs and end when the completed product is ready for sale.

Q: Cognitive psychology is helpful in understanding how consumers process information from marketing communications such as advertisements.

Q: Social psychology essentially deals with the intricacies of mental reactions involved in information processing within the individual, rather than between individuals.

Q: Social psychology focuses on the thoughts, feelings, and behaviors that people have as they interact with other people.

Q: Marketing has its origins in economics with respect to the production and distribution of goods.

Q: Consumer behavior has family roots in anthropology.

Q: Benefits are the only result of consumption.

Q: Costs involve more that just the price of the product.

Q: The process by which goods, services, or ideas are used and transformed into value is referred to as cost behavior analysis.

Q: The final step in the consumption process is exchange.

Q: Consumption is a value producing process in which the marketer and the consumer interact to produce value.

Q: Costs are the positive results of consumption.

Q: An exchange is the acting out of a decision to give something up in return for something of equal value.

Q: The basic consumption process begins with the consumer recognizing that he or she wants something new.

Q: A need is a specific desire that spells out a way a consumer can go about addressing a recognized want.

Q: Consumer behavior is the set of value-seeking activities that take place as people go about addressing realized needs.

Q: While consumer behavior refers to human thought and action, it is not considered a field of study.

Q: An understanding of consumer behavior can translate into better public policy for governments.

Q: Based on the location of customers on the loyalty ladder against the supplier's cost-to-serve, explain the four types of customers created: most valuable customer, partner, switcher, and undesirable customer.

Q: Explain the basic principle of the Loyalty Ladder.

Q: Explain the service recovery system.

Q: Explain the importance of promoting honest and open communication between suppliers and customers.

Q: After a working relationship with a customer firm is established, business market managers pursue growth and continuity. Explain these concepts.

Q: The business network is interconnections among relevant people and organizations within which each dyadic relationship is embedded.

Q: Business market managers should limit the evaluation of relationships to quantitative, activity-based costing data and transaction price data especially in partnering when qualitative measures do not contribute good information.

Q: In mature business markets, a large number of high-purchase-volume customers tend to be switchers, according to the Loyalty Ladder.

Q: A risk-sharing, gain-sharing agreement is the bundling of customer strategy and processes, supported by relevant software, for the purpose of improving customer loyalty and, eventually, corporate profitability.

Q: Managing customers is the process of differentiating transactional and collaborative customers, delivering offerings that fulfill the respective requirements and preferences of a portfolio of customers in a superior way, and getting a fair return in exchange.

Q: ________ is mechanisms that partner firms can use to better align their self-interests. In these arrangements, a supplier assists its customers in becoming more profitable and exposes itself to potential or actual losses in accomplishing this. a. Flare out by unbundling b. Flare out with augmentation c. Arbitration d. Risk-sharing, gain-sharing agreement

Q: To _______, managers draw on the practices of more collaborative industries and add new programs and systems that collaborative accounts will value to the standard offering, or as options. Significantly, the supplier may not offer a number of these new programs and systems to transactional customers, even as options. a. flare out by unbundling b. flare out with augmentation c. harvest d. risk share

Q: To _______, business market managers either eliminate certain standard elements from the market offering entirely or transform them into options. a. flare out by unbundling b. flare out with augmentation c. harvest d. risk share

Q: Under _______ the firms legally agree to have a third party settle the disagreement and the decision is final and legally binding. a. cooperation b. mediation c. arbitration d. coordination

Q: ________ is the process in which a third party is brought in to help resolve a dispute by either refocusing discussion on key issues or suggesting viable solutions. a. Cooperation b. Mediation c. Commitment d. Coordination

Q: _______ entails actions firms take in interdependent relationships to achieve mutual or singular outcomes with expected reciprocation over time. To encourage it, business market managers promote shared norms concerning how to work together, how to jointly create value, and how to share benefits. a. Cooperation b. Mediation c. Commitment d. Coordination

Q: A _______ balances supply and demand for a given offering. a. service recovery system b. market-clearing price c. commitment d. coordination

Q: By _______ is the customer firm's and supplier firm's synchronization of activities, resources, and capabilities to accomplish a collective set of tasks. a. service recovery system b. trust c. commitment d. coordination

Q: A _______ entails the resources, procedures, and authority that empower and enable front-line personnel to resolve customer problems or compensate customers for unexpected lapses in service. a. service recovery system b. trust c. commitment d. guarantee

Q: Through a _______, one firm promises through a legally binding contract or warranty to absorb the risk and costs associated with unfulfilled promises made to a partner firm. a. bridging b. trust c. commitment d. guarantee

Q: _______ captures the perceived continuity or growth in the relationship between two firms. It entails a desire to develop a stable relationship, a willingness to make short-term sacrifices to maintain the relationship, and a confidence in the stability of the relationship. a. Bridging b. Trust c. Commitment d. Guarantee

Q: _______ in a working relationship is the firm's belief that another company will perform actions that will result in positive outcomes for the firm, as well as not take unexpected actions that would result in negative outcomes for the firm. a. Bridging b. Trust c. Commitment d. Guarantee

Q: _______ is the establishment of multiple levels of communications between firms, across functions, management levels, and business strands. a. Bridging b. Trust c. Commitment d. Guarantee