Chapter 2 - Partnering to build customer relationships

Which of the following is true of strategic planning in a firm?

• It deals with maintaining the company's current business ventures.

• It focuses on the firm's internal environment rather than the external environment.

• It involves preparing short-term investment objectives at the product level.

• It deals with adapting the firm to take advantage of changing marketing opportunities.

A ________ is purposeful, specifying what an organization wants to accomplish in the larger

environment.

• marketing strategy

• marketing objective

• mission statement

• strategic plan

Which of the following best describes a company's business portfolio?

• the collection of businesses and products that make up the company

• the list of all the marketing activities in which the company invests

• the target segments of the company's various businesses

• the company's strengths in terms of technology, people, and products

Which of the following provides a measure of market attractiveness in the Boston Consulting Group approach?

• relative market share

• market sentiment

• return on marketing investment

• market growth rate

According to the BCG matrix, products or businesses with a low share of market in a high- growth industry are considered ________.

• cash cow

• dog

• stars

• question mark

Both product development strategies and diversification strategies involve ________.

• selling a company's current products

• leaving the current market

• selling in a company's current market

• developing a new product

The product/market expansion grid, like the BCG matrix, is used to identify growth

opportunities.

• TRUE

• FALSE

A ________ is made up of a company, its suppliers, its distributors, and its customers who partner with each other to improve the performance of the entire system.

• value chain

• value delivery network

• growth-share matrix

• shareholder network

A company's customer value delivery network does not include members external to the organization.

• TRUE

• FALSE

________ refers to the process of evaluating each market segment's attractiveness and selecting one or more segments to enter.

• Market divesting

• Market diversification

• Market targeting

• Market positioning