Question 1 The equation a buyer applies to assess a product's value is value = monetary price – customer benefits. value = customer costs – customer benefits. value = customer benefits – customer costs. value = customer benefits – monetary price. value = customer benefits – time and effort. Question 2 In managing customer relationships, the three primary ways profits can be obtained are by Answer acquiring new customers, enhancing the profitability of new customers, and shortening the duration of relationships with existing customers. enhancing the profitability of existing customers, eliminating customers who provide smaller profits, and finding new customers. extending the length of relationships with customers, cutting organizational costs, and enhancing the profitability of new customers. eliminating long-term customers who have decreased purchases, finding new customers, and increasing sales to existing customers. enhancing the profitability of existing customers, extending the duration of relationships with customers, and obtaining new customers. Question 3 Marketing activities are Answer used by all sizes of organizations including for-profit, nonprofit, and government agencies. limited to use by larger for-profit and nonprofit organizations. implemented only to increase profits for the organization and to expand the scope of its customer base. used by all types and sizes of businesses but are not used by nonprofit organizations. used by small businesses and small nonprofit organizations the most. Question 4 ____ refers to minimizing the resources an organization must spend to achieve a specific level of desired exchanges. Answer Effectiveness Productivity Efficiency Objectivity Cost cutting Question 5 From the 1920s to the 1950s, demand for manufactured goods decreased, leading to the ____ orientation. Answer production market revolutionary sales reduction Question 6 A physical product you can touch is a(n) Answer service. good. idea. concept. philosophy. Question 7 The three basic forms that a product can take are Answer markets, products, and images. goods, ideas, and intangibles. brands, services, and tangibles. services, ideas, and goods. ideas, services, and things. Question 8 Marketing management is defined as a process of Answer maintaining an appropriate and efficient marketing mix for a target market. establishing performance standards and evaluating actual performances against these standards. providing products that satisfy customers' needs through a coordinated set of activities. facilitating satisfying exchanges between an organization and its customers. planning, organizing, implementing, and controlling marketing activities. Question 9 The marketing concept is a philosophy that states that an organization should try to satisfy customers' needs and also Answer increase market share. increase sales. achieve the organization's goals. produce high-quality products. coordinate its activities to increase production. Question 10 Issues of inventory levels and storage costs are both concerns relating to the ____ variable of the marketing mix. Answer distribution product exchange price promotion