armstrong03_tif
Chapter 3
The Marketing Environment
Multiple-Choice
1.All of the following are accurate descriptions of the impact of "millennial fever" on
the nation's baby boomers, except which one?
a.The oldest boomers, now in their mid-to-late fifties, are not resisting the aging
process.
b.People of all ages seem to feel a bit overworked, over-stimulated, overloaded, and
techno stressed.
c. A yearning to turn back the clock, to return to simpler times is evident.
d. A massive nostalgic wave with a consumer appetite for retro products and
designs has been produced.
Answer: (a) Difficulty: (3) Page: 68
2.All of the following examples are accurate descriptions of the consumer appetite for
retro products and designs, except which one?
a.Kellogg has revived old Corn Flakes packaging.
b.Chrysler's PT Cruiser is a hit with baby boomers for its design and looks.
c.The Beetle is just empty nostalgia with a bleak future.
d.Volkswagen has plans to introduce a reincarnation of its old cult
classic flower-power microbus in 2005.
Answer: (c) Difficulty: (3) Page: 68-69
3. A company's _____ consists of actors and forces outside marketing that affect
marketing management's ability to build and maintain successful relationships with target customers.
a.microenvironment
b.macro environment
c.marketing environment
d.marketing plan
Answer: (c) Difficulty: (2) Page: 69
4.The marketing environment is made up of _____ and _____.
a.suppliers; intermediaries
https://www.sodocs.net/doc/304628118.html,petitors; shareholders
c. a microenvironment; a macroenvironment
d.wholesalers; retailers
Answer: (c) Difficulty: (2) Page: 69
5.Forces close to the company, including suppliers, marketing intermediaries, customer
markets, competitors, and publics make up a firm's _____.
a.marketing environment
b.macro environment
c.microenvironment
d.strategic window
Answer: (c) Difficulty: (2) Page: 69
https://www.sodocs.net/doc/304628118.html,rge macro-societal forces that affect the environment, such as demographic,
economic, natural, technological, political, and cultural forces are called the _____.
a.marketing environment
b.strategic window
c.microenvironment
d.macro environment
Answer: (d) Difficulty: (2) Page: 69
7.All of the following are examples of macro-environmental forces, except which one?
a.demographic
b.social and cultural
c.economic
d.research and development
Answer: (d) Difficulty: (2) Page: 69
8.Micro-environmental forces include all of the following, except which one?
a.demographics
b.finance
c.research and development (R&D)
d.purchasing
Answer: (a) Difficulty: (2) Page: 69
9._____ provide the resources needed by the company to produce goods and services.
a.Manufacturers
b.Suppliers
c.Retailers
d.Wholesalers
Answer: (b) Difficulty: (2) Page: 70
10.Wal-Mart, the world's largest retailer, treats its _____ as partners in creating and
delivering superior customer value.
a.managers
b.customers
c.suppliers
d.financial intermediaries
Answer: (c) Difficulty: (2) Page: 70
11.Wholesalers and retailers are also known as _____.
a.marketing intermediaries
b.resellers
c.middlemen
d.all of the above
Answer: (d); Difficulty: (2) Page: 71
12.All of the following are examples of marketing intermediaries which help a company
to promote, sell, and distribute its goods to final buyers, except which one?
a.Resellers
b.Marketing services' agencies
c.Physical distribution firms
d.Customer markets
Answer: (d) Difficulty: (2) Page: 71
13.Manufacturers today do business with large _____ organizations such as Wal-Mart,
Target, Home Depot, Costco, and Best Buy.
a.marketing service agency
b.physical distribution
c.financial service
d.reseller
Answer: (d) Difficulty: (2) Page: 71
14.Manufacturers need to determine the best ways to store and ship goods, balancing
factors such as cost, delivery, speed and safety. Manufacturers need to work with _____ to stock and move goods from their points of origin to their destination.
a.financial intermediaries
b.marketing service agencies
c.customers
d.physical distribution firms
Answer: (d) Difficulty: (2); Page: 71
15.In marketing, _____ include banks, credit companies, and insurance firms, which
help finance transactions or insure against the risks associated with the buying and selling of goods.
a.marketing services agencies
b.physical distribution firms
c.customers
d.financial intermediaries
Answer: (d) Difficulty: (2) Page: 71
16.Individuals and households that buy goods and services for personal consumption are
called _____.
a.business markets
b.consumer markets
c.international markets
d.reseller markets
Answer: (b); Difficulty: (1) Page: 72
17._____ buy goods and services to resell at a profit.
a.Business markets
https://www.sodocs.net/doc/304628118.html,ernment markets
c.Reseller markets
d.Consumer markets
Answer: (c) Difficulty: (1) Page: 72
https://www.sodocs.net/doc/304628118.html,ernment agencies that buy goods and services to produce public services or
transfer the goods and services to others who need them are called _____.
https://www.sodocs.net/doc/304628118.html,ernment markets
b.business markets
c.reseller markets
d.consumer markets
Answer: (a) Difficulty: (1) Page: 72
19.In a company's marketing environment _____ carry news, features, and editorial
opinions. They include newspapers, magazines, and radio and television stations.
a.financial publics
https://www.sodocs.net/doc/304628118.html,ernment publics
c.citizen-action publics
d.media publics
Answer: (d) Difficulty: (1) Page: 72
20.The single most important demographic trend in the United States is the _____
of the population.
a.geographical population shifts
https://www.sodocs.net/doc/304628118.html,cational characteristics
c.growing ethnic diversity
d.changing age structure
Answer: (d) Difficulty: (2) Page: 74
21.Today's _____ account for about 28 percent of the population but can earn half of all
personal income.
a.generation X
b.generation Y
c.elderly
d.baby boomers
Answer: (d) Difficulty: (2) Page: 74
22.All of the following are accurate descriptions of the nation's baby boomers, except
which one?
a.Today's baby boomers span a 20-year age range.
b.Almost 25 percent of boomers belong to a racial or ethnic minority.
c.Today's boomers account for about 50 percent of the population and earn less than
half of all personal income.
d.The boomers have presented a moving target, creating new markets as they grow
into their middle-age years.
Answer: (c) Difficulty: (3) Pages: 75-76
23.The _____ lie in the shadow of the boomers and lack distinguishing
characteristics.
a.baby boomers
b.Generation Xers
c.Generation Yers
d.elderly generation
Answer: (b) Difficulty: (2) Pages: 76-77
24.All of the following are accurate descriptions of Generation X consumers, except
which one?
a.Gen. Xers are defined as much by their shared experiences as by their age.
b.Gen. Xers make up the first generation of latchkey kids.
c.Gen. Xers take a cautious outlook towards the economy.
d.Gen. Xers are a non-skeptical bunch and do not care much about the environment.
Answer: (d) Difficulty: (2) Pages: 76-77
25.The _____ are also known by the following names: "baby busters," "shadow
generation," or the "yiffies" -- young, individualistic, freedom-minded few.
a."Generation X" consumers
b."Generation Y" consumers
c.baby boomers
d.elderly
Answer: (a) Difficulty: (1) Pages: 76-77
26.All of the following are accurate descriptions of Generation Y consumers, except
which one?
a.The Generation Yers are also known as echo boomers.
b.The Generation Yers have strongly established their buying preferences
and behaviors.
c.The Generation Y consumers have created large kid and teen markets.
d.Generation Y is extremely fluent and comfortable with computer, digital,
Internet technology.
Answer: (a) Difficulty: (2) Pages: 77-78
27.All of the following are accurate descriptions of the changing American family,
except which one?
a. In the U.S. today, married couples with kids make up over half of the nation's 105
million households, and this percentage is increasing.
b. The needs and buying habits of each household group are distinctively different
from each other.
c. Today, the number of working women in the U.S. is just over 60 percent.
d. Almost one-third of households in the U.S. are made up of non-family
households.
Answer: (a) Difficulty: (2) Page: 81
28.All of the following are accurate descriptions of the changing consumer spending
patterns, except which one?
a.Food, housing, and transportation use up most household income.
b.Consumers at different income levels have different spending patterns.
c.As family income rises, the percentage spent on food increases.
d.As family income rises, the percentage spent on food declines.
Answer: (c) Difficulty: (2) Page: 86
29.The _____ involves the natural resources that are needed as inputs by marketers
or that are affected by marketing activities.
a.natural environment
b.economic environment
c.cultural environment
d.technological environment
Answer: (a) Difficulty: (2) Page: 87
30.3M runs a Pollution Prevention Pays program that helps prevent pollution at the
source -- in products and manufacturing processes. 3M's concern for the _____
environment has spawned such programs.
a.political
b.economic
c.cultural
d.natural
Answer: (d) Difficulty: (2) Page: 87
31.The _____ consists of laws, government agencies, and pressure groups that influence
or limit various organizations and individuals in a given society.
a.economic environment
b.social environment
c.natural environment
d.political environment
Answer: (d) Difficulty: (1) Page: 91
32.All of the following are accurate reasons for enacting business legislation, except
which one?
a.To protect companies from each other.
https://www.sodocs.net/doc/304628118.html,ws are passed to define and prevent unfair competition.
c.To protect consumers from unfair business practices.
d.Unfair business practices are loosely defined and not enforced by various
agencies.
Answer: (d) Difficulty: (2) Page: 92, 93
33. An external macro-environmental factor for Procter and Gamble (P&G) is the _____.
a. number of people working at the store
b. financial condition of its competitors
c. economic environment facing P&G
d. location of distribution centers
Answer: (c) Difficulty: (2) Page: 73
34._____ firms actively seek out ways to protect the long-run interests of their consumers
and the environment.
a. Multi-national
b. Domestic
c.Legal
d. Socially-responsible
Answer: (d) Difficulty: (1) Page: 93
35. All of the following are accurate descriptions of cause-related marketing programs, except which one?
a. Buy Purina cat food and help the American Association of Zoological Parks
and Aquariums save endangered big cat species.
b. Drink Tang and earn money for Mothers Against Drunk Driving.
c. Drive a Dollar rental car and help support the Special Olympics.
d. All of the above are accurate descriptions.
Answer: (d) Difficulty: (2) Page: 94
36. The _____ is made up of institutions and other forces that affect a society's basic
values, perceptions, preferences, and behaviors.
a. political environment
b. cultural environment
c. legal environment
d.technological environment
Answer: (b) Difficulty: (2) Page: 95
37. Over a century ago, Ernst Engel noted how people shifted their spending across food,
housing, transportation, health care, and other services categories as _____ rises.
a. occupation
https://www.sodocs.net/doc/304628118.html,cation
c.family size
d.family income
Answer: (d) Difficulty: (2) Page: 86
38._____ are passed on from parents to children and are reinforced by schools, churches,
business, and government.
a. Family inheritances
b.Core beliefs and values
c.Consumer habits
d.Perceptions
Answer: (b) Difficulty: (2) Page: 95
39. _____ has tracked consumer values’ trends for years.
a. The Yankelovich Monitor
b. Coca-Cola Company
c. Wal-Mart
d. General Electric
Answer: (a) Difficulty: (2) Page: 95
40. All of the following are accurate descriptions of shifts in cultural values, except
which one?
a. A shift from a "me-orientation" to a "we-orientation" has occurred in society.
b. Sociologists say 9/11 actually got more Americans looking for companionship.
c. Materialism, flashy spending, and self-indulgence are in, and saving, family
concerns, and helping others are out.
d.. Mature baby boomers are found spending money on products that improve
their lives instead of boosting their images.
Answer: (c) Difficulty: (2) Page: 95
41. All of the following are accurate descriptions of the changing demographic
environment, except which one?
a. Chinese children are being showered with gifts by their parents and
grand parents due to regulations limiting families to one child each.
b. The growth of the world population has stagnated.
c. The baby boomers were born between 1946 and 1964.
d. Baby boomers create a diverse set of target segments for businesses.
Answer: (b) Difficulty: (2) Page: 73
42. All of the following are accurate descriptions of the teen market, except which one?
a. Today's teens are big spenders.
b.Teenagers are often cautious about their spending habits.
c.The average U.S. teen spends around $100 each week.
d. Action movies, acne creams and cell phones are some of the products
targeted at teens.
Answer: (b) Difficulty: (2) Pages: 78-79
43.All of the following are accurate descriptions of the impact technology has on our
lives, except which one?
a. In the future, retailers can track real-time merchandise movements in their
stores, thus lowering inventory and distribution costs to increase consumer
savings.
b. Smart chips embedded in products can target consumers' needs in a relevant way.
c.Auto-ID technology is a unique partnership among the leading global firms (Wal-
Mart, Home Depot, Target, Procter and Gamble) and the world's leading research universities, to improve customer service.
d. Consumers are eagerly anticipating the arrival of newer innovations; they are
lenient today about the invasion of consumer privacy.
Answer: (d) Difficulty: (2) Page: 88-91
44. Lavanya Pradeep is part of the 45 million consumers born between 1965 and 1976,
characterized as being skeptical and cynical of frivolous marketing pitches. She is part of a group called the _____.
a. "Generation Y"
b. "Baby Boom" generation
c. "Elderly"
d. "Generation X"
Answer: (d) Difficulty: (2) Page: 76
45. All of the following are key U.S. demographic trends, except which one?
a. The U.S. population is aging.
b. The American family is characterized by early marriages and lots of kids.
c. Geographic shifts are characterized by movement to the sunbelt states and
migration to the suburbs and "micropolitan areas."
d. The number of working women has increased greatly to over 60 percent today.
Answer: (b) Difficulty: (2) Page: 80
46. All of the following are examples of nontraditional households, except which one?
a. Nuclear family households.
b. One parent or single parent households with kids.
c. Never-married singles living alone in a househol
d.
d. Couples of the same or opposite sex living together.
Answer: (a) Difficulty: (2) Page: 80
47. The significant number of women in the workforce has spawned all of the following,
except which one?
a. Growth of the child day-care business.
b. Increased consumption of convenience foods and services.
c. Growth of career-oriented women's clothing, financial services, and other
opportunities.
d. Improved supply chain management as evidenced by Wal-Mart's growth as a
logistics company.
Answer: (d) Difficulty: (1) Page: 80
48. Given that the Hispanic segment of the U.S. population is the largest ethnic minority
today, multinationals like P&G are capitalizing on these changes. This reflects that P&G is interested in the study of the _____.
a. technological environment
b. political environment
c.economic environment
d.demographic environment
Answer: (d) Difficulty: (1) Page: 73
49. The _____ is of major interest to marketers because it involves people and people
make up markets.
a. technological environment
b. political environment
c. economic environment
d. demographic environment
Answer: (d) Difficulty: (1) Page: 73
50. All of the following are accurate descriptions of the changing consumer legislation,
except which one?
a. Norway welcomes several forms of sales promotion, such as trading stamps,
contests and premiums.
b.Thailand requires food processors selling national brands to sell lower-priced
versions too.
c. In India, food companies must seek special approval to launch brands that
duplicate those already on the market.
d. The European Commission has been active in establishing a new framework of
laws covering competitive behavior, product standards, etc. for the EU nations.
Answer: (a) Difficulty: (2) Pages: 91-92
51. General Mills now targets the African-American market with separate campaigns for
its Big G cereals: Cheerios, Trix, Honey Nut Cheerios, and Cinnamon Toast Crunch.
This reflects the _____.
a. changing education levels of the African-American population
b. African-American workforce is becoming more white-collar
c. U.S. is becoming increasingly diverse and large companies are developing
specially-designed products for each ethnic group
d. spending power of African Americans
Answer: (c) Difficulty: (2) Page: 82
52. All of the following are accurate descriptions of the income distribution patterns in
the U.S., except which one?
a. Income distribution in the United States is still skewed across the social classes.
b. Upper-class consumers include those whose spending patterns are not affected by
current economic events.
c. The income levels of the middle class have grown over the past three decades.
d. The underclass (welfare, retirees) must count their pennies even for the most basic
purchases.
Answer: (c) Difficulty: (3) Page: 85
53. The distribution of income in the United States has created a(n) _____ .
a. unhealthy economy
b. comfortable middle class
c. shrinking middle class
d. two-tiered market
Answer: (d) Difficulty: (3) Page: 85
54. All of the following are accurate descriptions of the major economic environmental variables, except which one?
a. Marketers should be aware of the shortage of raw materials.
b. Cost-of-living increases affect spending patterns.
c. Interest-rate fluctuations affect home buying patterns.
d. Saving and borrowing patterns of consumers vary by income levels.
Answer: (a) Difficulty: (2) Page: 87
55. Marketers typically have paid the most attention to the smaller upper crust of the
_____. These segments have gone by other names: "yuppies", "bumpies"
and "DINKS".
a. Generation X
b. Generation Y
c. baby boomer generation
d. Elderly generation
Answer: (c) Difficulty: (2) Page: 75
56.All of the following are accurate descriptions of the major cultural values of U.S.
society today, except which one?
a.Products and services that serve basic needs and provide real value are replacing
those that rely on glitz and hope.
b.Today, people are adopting more conservative behaviors and ambitions.
c.In the aftermath of the corporate scandals, consumers have lost confidence in big
business.
d. Religious conviction and practice have been growing gradually over the years.
Answer: (d) Difficulty: (2) Page: 95
57. Wal-Mart, the world's largest retailer has mastered the art of dealing with suppliers
and manufacturers alike. Marketing channel firms, including suppliers, make up
Wal-Mart's _____.
a. macro environment
b. microenvironment
c.economic environment
d. supply chain environment
Answer: (b) Difficulty: (2) Page: 70
58. Wholesalers, online retailers, including https://www.sodocs.net/doc/304628118.html, and physical distribution firms,
make up a firm's _____.
a. social environment
b. macro environment
c. customer market
d. microenvironment
Answer: (d) Difficulty: (2) Page: 70
59. All of the following forces make up Volkswagen's macro-environment, except which one?
a. The Beetle blossomed during the 1960s, as young boomers were buying their first
cars.
b. Today Volkswagen appeals to the youth market as well as older boomers.
c. Built into the dashboard of the Volkswagen is a high-tech multi-speaker system,
with airbags and power outlets for cell phones.
d. Volkswagen has excellent relationships with its supplier network.
Answer: (d) Difficulty: (2) Page: 73
60. Nassau University Medical Center (NUMC) in Long Island, N.Y. buys medical
supplies and other services to support patient needs. NUMC makes up the _____ market.
a. government
b.consumer
c.international
d.reseller
Answer: (a) Difficulty: (1) Page: 72
61. Wal-Mart buys products from P&G and resells them at a profit. Wal-Mart makes up the _____ market.
a. government
b. reseller
c. international
d. consumer
Answer: (b) Difficulty: (1) Page: 71
62. Major retailers, including Food World of India, buys detergents from P&G. Resellers
like Food World make up the _____.
a. government market
b. consumer market
c. business market
d. international market
Answer: (d) Difficulty: (1) Page: 72
63. Major corporations today take aggressive actions to affect the publics and forces
in their marketing environment. Rather than watching and reacting, such companies hire lobbyists to influence legislation affecting their industries. This reflects _____ on the part of the corporations.
a. a reactive approach
b. an environmental management perspective
c. an arrogant attitude
d. a prayer
Answer: (b) Difficulty: (2) Page: 99
64._____ factors that affect consumer purchasing power and spending patterns make up
a firm's _____ environment.
a. Natural; microenvironment
b.Natural; macroenvironment
c. Social; macroenvironment
d. Economic; macroenvironment
Answer: (d) Difficulty: (2) Page: 84
65.Young and Rubicam, a leading global ad agency, Burke Marketing Research and
other media firms are also known as _____ .
a. physical distribution firms
b. suppliers
c. marketing intermediaries
d. business marketers
Answer: (c); Difficulty: (2) Page: 71
66.A _____ is any group that has an actual or potential interest in or impact on an
organization's ability to achieve its objectives.
a. corporation
b. group of nations
c. a cartel
d. public
Answer: (d) Difficulty: (2) Page: 72
67.Wal-Mart's decision to sell goods and services using its website upset their suppliers.
The suppliers' feared that the website would jeopardize their business. The website makes up a company’s _____.
a. macro-environment
b. economic environment
c. natural environment
d. marketing intermediary
Answer: (d) Difficulty: (3) Page: 71
68.All of the following are accurate descriptions of "generational marketing,”
except which one?
a. Boomers are split into three groups: leading, core and trailing boomers, each
with their own beliefs and behaviors
b.Generation Y is split into Gen. Y adults, Gen. Y Teens, and Gen. Y kids.
c.Defining people by their birth date is more effective than segmenting them by
their lifestyle or life stage.
d. Tommy Hilfiger has big brand logos on his clothes for teenagers and little
pocket polo logos on his shirts for baby boomers.
Answer: (c) Difficulty: (2) Page: 79
69.Ikea, the Swedish furniture retailer has successfully targeted the needs of
divorced couples and one parent households. These households make up _____.
a. traditional households
b.non-family households
c.family households
d.working households
Answer: (b); Difficulty: (2) Page: 80
70.All of the following are trends in the natural environment, except which one?
a. Increased pollution is affecting the quality of the natural environment.
b. Countries are uniform in their concern and efforts to promote a clean
environment.
c. Concern for the natural environment has spawned the green movement.
d. Multinationals are doing very little to protect the natural environment.
Answer: (d) Difficulty: (2) Page: 87
71.AT&T uses a special software package to choose the least harmful materials, cut
hazardous waste, and improve product recycling in its operations. This reflects
that marketers have concern towards the _____.
a. economic environment
b. legal environment
c. social environment
d. natural environment
Answer: (d) Difficulty: (2) Page: 88
72.The recent rash of business scandals and increased concerns about the environment
have created fresh interest in the issues of _____.
a. federal regulation
b.ethics and social responsibility
c.preservation of natural environment
d.consumer privacy
Answer: (b) Difficulty: (2) Page: 93
73.Intel and Microsoft have been accused of covert, high-tech computer chip and
software invasions of customers' personal computers to obtain information for marketing purposes. This reflects interest in the issues of _____.
a. technology
b. ethics and social responsibility
c. preservation of the natural environment
d. economic environment
Answer: (b) Difficulty: (2) Page: 93
74._____ are more open to change than _____.
a. Core beliefs; secondary beliefs and values
b.Core beliefs; consumer perceptions
c.Consumer perceptions; secondary beliefs
d.Secondary beliefs and values; core beliefs
Answer: (d) Difficulty: (2) Page: 95
75.Belief in marriage is a _____; believing that people should get married early in life is
a _____.
a. secondary belief; core belief
b. universal belief; primary belief
c. core belief; secondary belief
d. universal belief; core belief
Answer: (c) Difficulty: (2) Page: 95
76.The number of Americans who refinance their mortgages continues to grow. This
reflects how _____ impacts a company's macro-environment.
a. politics
b. the economy
c. society
d. culture
Answer: (b) Difficulty: (2) Page: 84
77._____ consume most of their own agricultural and industrial output.
a. Industrial economies
b.Subsistent economies
c.Newly industrialized economies
d.Rich nations
Answer: (b) Difficulty: (2) Page: 84
78. All of the following are accurate descriptions of countries with subsistence
economies, except which one?
a. Countries with subsistence economies consume most of their own industrial
output.
b. Countries with subsistence economies consume most of their own agricultural
output.
c. Countries with subsistence economies offer few market opportunities.
d.Countries with subsistence economies constitute rich markets for some kinds
of goods and services.
Answer: (d) Difficulty: (2) Page: 84
79. All of the following are accurate descriptions of the period called the "roaring
eighties" by some, except which one?
a. American consumers were caught in a consumption frenzy, amassing record
levels of debt.
b. Some consumers described themselves as "born to shop."
c.The decade of the 1980s was also called the decade of the "squeezed
consumer."
d.There was a rapid increase in housing segments during the 1980s.
Answer: (c) Difficulty: (3) Page: 85
80.All of the following are accurate descriptions of the 1990s, except which one?
a. The 1990s became the decade of the "squeezed consumer."
b. Increased financial burdens plagued the 1990s.
c. Consumers were extravagant in their spending habits and did not seek
value in the products and services they bought.
d. Value marketing became the watchword for some marketers.
Answer: (c) Difficulty: (2) Page: 85
81.According to the authors of your text, baby boomers will be driven by the
following factors in the 2000s, except which one?
a. a sense of adventure, fueled by a sense of youthfulness
b.smarts, fueled by a sense of empowerment and willingness to accept change
c.intergenerational support
d.redefining the good life, i.
e., being highly motivated to improve their
economic well-being mind-set and active lifestyle.
Answer: (d) Difficulty: (3) Page: 75
82.Generation Xers will be driven by the following factors, except which one?
a. Redefining the good life to improve economic well being and remain in
control.
b. Returning to traditional values but with a tolerant mind-set and active
lifestyle.
c. Balancing work, play and other aspects of life.
d. Intergenerational support (caring for the young and old alike).
Answer: (d) Difficulty: (3) Page: 76
83.Samantha Hayes, who is in her 20s, is driven by a sense of traditional values, but
with a tolerant mind-set and an active lifestyle. She has learned to balance work, play, sleep, family and other aspects of her life. Samantha belongs to the _____.
a. baby boomer generation
b. Generation X
c. Generation Y
d. elderly generation
Answer: (b) Difficulty: (3) Page: 76
84. In his mid-40s, Arthur Hughes is driven by a sense of adventure, fueled by
youthfulness. He has the willingness to accept change, but at the same time he cares for both old and young alike. Arthur most likely belongs to the _____.
a. Generation X
b.Generation Y
c.elderly generation
d.baby boomer generation
Answer: (d) Difficulty: (3) Page: 74
85. The 1980s was labeled the _____. Personal ambition, materialism and greed
abounded during the period.
a. "we-society"
b. decade of shortages
c. "me-society"
d. decade of innovations
Answer: (c); Difficulty: (2) Page: 96
True/False
86.As we move into the new millennium, materialism, flashy spending, and self-
indulgence have been replaced by more sensible spending, saving and family concerns.
Answer: (True), Difficulty: (2) Page: 68
87.During this decade, the "millennial fever" has resulted in companies successfully
riding the nostalgia wave.
Answer: (True), Difficulty: (2) Page: 68
88.During the 1960s, as young Generation Xers by the thousands were buying their
first cars, the VW Beetle blossomed into an unlikely icon.
Answer: (False) Difficulty: (1) Page: 68
89."Millennial fever" results from the convergence of a wide range of forces in the
macro environment: from marketing intermediaries, suppliers, customers and competitors.
Answer: (False), Difficulty: (3) Page: 68
90. A company's marketing environment consists of actors and forces outside
marketing that affect marketing management's ability to build and maintain successful relationships with target customers.
Answer: (True), Difficulty: (2) Page: 69
91.The marketing environment is made up of a microenvironment and a macro
environment.
Answer: (True), Difficulty: (1) Page: 69
92.The microenvironment consists of actors close to the company that affect its ability
to serve its customers -- demographic, technological, natural, economic, political, and cultural forces.
Answer: (False), Difficulty: (1) Page: 69
93.The macro environment consists of the larger societal forces that affect the
microenvironment - demographic, economic, natural and cultural forces.
Answer: (True), Difficulty: (1) Page: 69
94.Wal-Mart works closely with its suppliers, engendering good partnership
relationship management, resulting in success for Wal-Mart, suppliers and, ultimately, its customers.
Answer: (True), Difficulty: (1) Page: 70
95.Marketing intermediaries include resellers, physical distribution firms, marketing
services agencies, and financial intermediaries.
Answer: (True), Difficulty: (1) Page: 71
96.Physical distribution firms help companies finance transactions or insure against the
risks associated with the buying and selling of goods.
Answer: (False), Difficulty: (2) Page: 71
97.Individuals and households that buy goods and services for personal consumption
are called business markets.
Answer: (False), Difficulty: (2) Page: 72
https://www.sodocs.net/doc/304628118.html,ernment markets are made up of government agencies that buy goods and
services to produce public services or transfer the goods and services to others who need them.
Answer: (True), Difficulty: (1) Page: 72
99. A group that has an actual or potential interest in or impact on an organization's
ability to achieve its objectives is called a public.
Answer: (True), Difficulty: (2) Page: 72
100.The study of human populations in terms of size, density, location, age, gender, race, occupation, and other statistics is called demography.
Answer: (True), Difficulty: (1) Page: 73
101.The Generation Xers were born between 1946 and 1964.
Answer: (False), Difficulty: (2) Page: 74
102.The Generation Xers go by other names too, "yuppies" (young urban professionals) and "DINKS" (dual income, no-kids couples).
Answer: (False), Difficulty: (2) Page: 76
103.Baby boomers cut across all walks of life, creating a diverse set of target segments for businesses.
Answer: (True), Difficulty: (2) Page: 74
104.According to the authors of your text, the Generation Xers have evolved from the "youthquake" generation to the "backache generation."
Answer: (False), Difficulty: (3) Page: 76
105.More than half of all home remodeling expenditures last year were made by baby boomers.
Answer: (True), Difficulty: (3) Page: 74
106.45 million babies born between 1965 and 1976 lie in the shadows of the boomers and lack obvious distinguishing characteristics. They are the Generation Y segment.
Answer: (False), Difficulty: (2) Page: 76
107.Born between 1977 and 1994, Generation Xers are also known as the echo boomers.
Answer: (False), Difficulty: (2), Page: 77
108.One distinguishing characteristic of Generation Xers is their utter fluency and comfort with computer, digital, and internet technology.
Answer: (False), Difficulty: (2) Page: 76
109.The echo boom has created large kid and teen markets.
Answer: (True), Difficulty: (2) Page: 77
110.The economic environment consists of factors that affect consumer purchasing power and spending patterns.
Answer: (True), Difficulty: (2) Page: 84
111.The 1980s was labeled as the "we society." Personal ambition, materialism and greed abounded during the period.
Answer: (False), Difficulty: (2) Page: 96
112.In her mid-40s, Sarah Hughes is driven by a sense of adventure, fueled by youthfulness. She has the willingness to accept change, but at the same time she
cares for both old and young alike. Sarah most likely belongs to the baby boomer generation.
Answer: (True), Difficulty: (2) Page: 74
113.The number of Americans who continue to refinance their mortgages continues to grow. This reflects how societal forces impact a company's macro-environment.
Answer: (False), Difficulty: (2) Page: 68
114.Industrial economies consume most of their own agricultural and industrial output.
Answer: (False), Difficulty: (2) Page: 84
115.Marketing intermediaries are also known as middlemen.
Answer: (True), Difficulty: (1) Page: 71
Essay
116.Define the term macroenvironment. The single most important demographic trend is the changing age structure of the U.S. population. Discuss the
implications for major marketers. (Hint: pick any one age group.)
Answer:
The large societal forces that affect the microenvironment -- demographic, economic, natural, technological, political and cultural forces -- make up the macro environment of a company. Baby boomers, 76 million strong were born between 1946 and 1964.