Patterns of Entrepreneurship Management 4th Edition by Kaplan – Test Bank

Patterns of Entrepreneurship Management 4th Edition by Kaplan – Test Bank

Chapter 4: Analyzing the Market, Customers, and Competition

True/False

1. Entrepreneurs usually engage in marketing research for two reasons: (1) to identify the need and opportunity for the venture and (2) to understand marketing and customer issues that relate to the product or service.

Ans: True Page: 79

1. Fortunately, market research is not a costly exercise for a startup company.

Ans: False Page: 79

1. Google also offers free software tools to monitor web site effectiveness called Google Maps.

Ans: False Page: 81

1. Marketing objectives are likely to be based on sales revenues and market share.

Ans: True Page: 83

1. Given the rising cost of target marketing, generic marketing is the strategy used by most successful businesses today.

Ans: False Page: 85

1. One-to-one marketing is rapidly becoming a competitive imperative.

Ans: True Page: 85

1. Marketing plans often place a great deal of emphasis on acquisition but not on customer loyalty.

Ans: True Page: 86

1. Once the marketing analysis and competition review are established, the entrepreneur should begin to develop the product research plan.

Ans: False Page: 91

1. The advantage of using sales agents is that they usually sell other competitors’ products or services as part of a complete line.

Ans: False Page: 94

1. After the trade show, the company should develop screening questions to identify solid sales leads.

Ans: False Page: 95

Short Answer / Fill in the Blank

1. The ________ is the first step in determining what further information is required to build out a marketing plan and is the basis for a method for collecting information, analyzing results, and communicating findings.

Ans: embedded survey Page: 83

1. A(n) ________ is a small segment of a large market ignored by other companies.

Ans: niche market Page: 84

1. Marketing tactics are developed for each target market, which is called ________.

Ans: strategic market segmentation Page: 85

1. _________ marketing required learning the profile or details about individual customers to identify which are most valuable to the company.

Ans: One-to-one marketing Page: 85

1. _______ segmentation divides customers into cultural groups, value groups, social sets, or other interesting categories that might be useful for classifying customers.

Ans: Psychographic Page: 88

1. ________ is the process of establishing and maintaining a distinctive place in the market for the start-up and/or its products offerings.

Ans: Positioning Page: 90