MGT 103 Final Exam Questions with
Complete Solutions
Four P's - Answer-PRODUCT - features, brand name, packaging, service, warranty
PRICE - list price, discounts, allowances, credit terms, payment period
PLACE - advertising, personal selling, public relations, sales promotion, direct
marketing
PROMOTION - outlets, channels, coverage, transportation, stock levels
Cohesive marketing program - Answer-Also known as an integrated marketing program
Its a combination of 4 P's
Do the 4P's stay the same all the time? - Answer-No its always evolving. Tend to have
one of the p's off, look at metrics and evaluation plan and adjust accordingly
SWOT - Answer-Tell company where they are at any given time
INTERNAL= (more control over/can be fixed )Strengths, Opportunities
EXTERNAL= (can fix but can respond/ and be prepared) Weaknesses,Threats
Market Segmentation - Answer-the process of dividing a market into (1)Identify market
needs -what problem do I need to solve for the market- in terms of product feature,
expense, quality, convenience (2) Link needs to actions- target market, who has that
problem. (3) Execute marketing program actions - Marketing mix, 4ps
Seven stages of the new-product process - Answer-1. new product strategy
development
2. idea generation (get from customers, employees, close to product)
3. screening and evaluation
4. business analysis
5. development
6. market testing
7. commercialization
Services - Answer-Equipment based OR People based
Equipment based --> Automated self service (ATM) Operated by unskilled operators
(taxis) Operated by skilled operators (Electric utilities)
People based --> Unskilled labor (lawn care) Skilled labor (plumbers) Professionals
(lawyers)
, What would drive services to be equipment based OR people based - Answer-Skilled
vs. Unskilled labor. Unskilled labor costs too much money so equipment based labor
makes more sense bc it is has lower labor costs.
Which services create the most value - Answer-the ones that have skilled/professionals
that have had lots of education
Last 3 P's of 7 P's - Answer-People - provide customer service, internal marketing,
Customer Experience management
Physical Environment - wheres the right place to send the right message abt your
service. CONVENIENCE!
Process - Capacity management, scale you business so that you have the capacity to
grow/shrink based on the forecast
Which of the 7 P's have the best - Answer-Process - think airlines and rental cars, they
have good workflow and process with steps
Value Equation - Answer-Value = Perceived Benefits / Price
Perceived benefits are different for each customer - Benefits are personal
cannot raise price if the perceived benefits are not high bc its not valuable for customers
Six Steps in Setting Price - Answer-1. Identify pricing objectives and constraints
2. Estimate demand and revenue
3. Determine cost, volume, and profit relationships
4. Select an approximate price level
5. Set list or quoted price
6. Make special adjustments to list or quoted price
If your late to the market you want to penetrate and undercut the market competition
If your early to the market you want to price high - easier to start high and go down - you
get old
price elasticity - Answer-if we put on sale will people buy more of it
clothes not toothpaste, commodity products
pure competition - Answer-many sellers who follow the market price for identical,
commodity products (bread, milk) inelastic pricing that people need to survive
monopolistic competition - Answer-many sellers who compete on non-price factors
(shoes, laptops) buys the brand that has differentiator from competitors (Kim K wears
CK)
The benefits of buying summaries with Stuvia:
Guaranteed quality through customer reviews
Stuvia customers have reviewed more than 700,000 summaries. This how you know that you are buying the best documents.
Quick and easy check-out
You can quickly pay through credit card or Stuvia-credit for the summaries. There is no membership needed.
Focus on what matters
Your fellow students write the study notes themselves, which is why the documents are always reliable and up-to-date. This ensures you quickly get to the core!
Frequently asked questions
What do I get when I buy this document?
You get a PDF, available immediately after your purchase. The purchased document is accessible anytime, anywhere and indefinitely through your profile.
Satisfaction guarantee: how does it work?
Our satisfaction guarantee ensures that you always find a study document that suits you well. You fill out a form, and our customer service team takes care of the rest.
Who am I buying these notes from?
Stuvia is a marketplace, so you are not buying this document from us, but from seller lectknancy. Stuvia facilitates payment to the seller.
Will I be stuck with a subscription?
No, you only buy these notes for $12.49. You're not tied to anything after your purchase.
