Multiple Choice Chapter 21 Implementing Interactive and Multichannel Marketing questions and answers 2020 docs

Multiple Choice 1. At the Panasonic website (www.panasonic.com), the “Learn About it” section allows the consumer to __________. a) purchase digital cameras in bulk b) understand the mechanism of digital cameras c ...

Multiple Choice 1. At the Panasonic website (www.panasonic.com), the “Learn About it” section allows the consumer to __________. a) purchase digital cameras in bulk b) understand the mechanism of digital cameras c) consider the prices of different cameras d) read details on what to look out for when buying a digital camera e) do all of the above Ans: d Feedback: A consumer, due to her busy work schedule, decides to shop online at the Panasonic website (www.panasonic.com ). She is extremely glad to find that under “Digital Cameras” there is a “Learn About It” section. After reading details on what to look out for when buying a digital camera, she is better informed on what type of camera suits her best.  Page: 587 Learning Objective: 1 2. At the Panasonic website (www.panasonic.com), the “Compare Selected” section allows the consumer to __________. a) design his own camera b) compare the different camera models and select one that he would prefer. c) order the cameras d) repair the spoilt cameras e) none of the above Ans: b Feedback: The “Compare Selected” function is especially helpful for a consumer as she is able to compare the different camera models and select one that she prefers.  Page: 587 Learning Objective: 1 3. Companies can make use of Internet technology to create customer value, _________, and produce customer experiences in novel ways a) connect with its customers b) enable customers to get deeply involved in the process of building the product c) allow customers to track the production of their products d) improve the customer experience e) build customer relationships Ans: e Feedback: Companies design and implement interactive marketing programs that capitalize on the unique valuecreation capabilities of Internet technology. This technology can create customer value, build customer relationships, and produce customer experiences in novel ways.  Page: 587 Learning Objective: 1 4. (p. 588) When buyers and sellers engage in exchange relationships in a material environment inhabited by people, facilities (stores and offices) and physical objects, they are in __________. a) the traditional marketplace b) the marketspace c) an e-commerce storefront d) a virtual shopping mall e) an exchange portal Ans: a Page: 588 Learning Objective: 1 5. _________ is an Internet-enabled digital environment characterized by face-to-screen exchange relationships and electronic images and offerings. a) An extranet b) A power center c) The traditional marketplace d) The marketspace e) A portal exchange Ans: d Page: 588 Learning Objective: 1 6. Jennifer just bought a birthday gift for her best friend at www.Amazon.com. Where did this transaction occur? a) In the marketspace b) In the traditional marketplace c) At an ATM d) In a bricks-and-mortar store e) On a televised shopping network Ans: a Feedback: Amazon.com is a leading Internet retailer and the archetype of companies that compete in marketspace. Page: 588 Learning Objective: 1 7. The key difference between the traditional marketplace and the new marketspace is that the marketspace is a(n) __________ environment. a) tangible b) electronic c) completely transactional d) information-oriented e) marketing Ans: b Feedback: The marketspace is an information- and communication-based electronic exchange environment while the marketplace is a material environment. Both the marketspace and the marketplace are commercial exchange environments where marketing takes place. Page: 588 Learning Objective: 1 8. The growth trend in online shoppers and online retail sales is __________. a) growing year after year b) leveling off after a large growth spurt in the 1990s c) finished d) declining e) recovering after a major decline in 2001 Ans: a Feedback: Figure 21-1 shows growth in both online shoppers and online retail sales year after year. Page: 588, figure 21-1 Learning Objective: 1 9. The key to success in the marketspace depends on a company's __________. a) transactional abilities b) ability to capitalize on the value-creation capabilities of Internet technology c) salespeople d) non-Internet promotional abilities e) marketing ability Ans: b Feedback: Regardless of origin, a company's success in achieving a meaningful marketspace presence hinges largely on designing and executing a marketing program that capitalizes on the unique customer value-creation capabilities of Internet technology. Page: 588 Learning Objective: 1 10. Although the economic significance of electronic commerce is small compared to the traditional marketplace, it has captured the eye and imagination of marketers because the marketspace __________. a) will totally replace the traditional marketplace in the near future b) is less competitive than the traditional marketplace c) offers unique possibilities for customer value creation d) mainly attracts male customers e) will do all of the above Ans: c Feedback: Marketers believe that the possibilities for customer value creation, in the form of time, place, possession and form utilities, are greater in the marketspace than in the traditional marketplace. Page: 588-589 Learning Objective: 1 11. Although the economic significance of electronic commerce is small compared to the traditional marketplace, it has captured the eye and imagination of marketers because the marketspace __________. a) will totally replace the traditional marketplace in the near future b) is less competitive than the traditional marketplace c) offers possibilities for customer value creation that are greater in marketspace than in the traditional marketplace d) mainly attracts male customers e) will do all of the above Ans: c Feedback: Marketers believe that the possibilities for customer value creation, in the form of time, place, possession and form utilities, are greater in the marketspace than in the traditional marketplace. Page: 588-589 Learning Objective: 1 12. Which of the following characteristics of electronic commerce creates customer value by contributing to time and place utility? a) Electronic commerce makes goods and services available to customers to use faster b) Comparison shopping is easier in the marketspace than in the marketplace c) Customers can shop in the marketspace anywhere at any time d) Products available in the marketspace are customized e) Consumers can tell marketers exactly what they want in the marketspace Ans: c Feedback: Geographical constraints and operating hours do not exist in the marketspace. Page: 589 Learning Objective: 1 13.Although Amazon.com, the Internet retailer, is located in the U.S., twenty percent of its book sales are to customers who live outside the United States. This shows how electronic commerce contributes to customer value through the creation of __________. a) service utility b) place utility c) possession utility d) form utility e) all of the above Ans: b Feedback: Electronic commerce creates place utility because there are no geographical constraints in the marketspace. Customers anywhere can shop its website. Page: 589 Learning Objective: 1 14. Although Recreational Equipment (www.rei.com), has typical retail store hours, thirty-five percent of its sales are made between the hours of 10 PM and 7AM. This shows how electronic commerce contributes to customer value through the creation of __________. a) time utility b) place utility c) possession utility d) form utility e) all the above Ans: a Feedback: Electronic commerce creates time utility because there are no time constraints in the marketspace. Customers can shop its website at any time. Page: 589 Learning Objective: 1 15.Although Marks & Spencer, the well-known British department store, is located in the U.K., customers from Chicago or Dallas can shop for clothing as easily as a person living in London. This shows how electronic commerce contributes to customer value through the creation of __________. a) service utility b) place utility c) possession utility d) form utility e) all the above Ans: b Feedback: Electronic commerce creates place utility because there are no geographical constraints in the marketspace. Customers anywhere can shop its website. Page: 589 Learning Objective: 1 16. Airline, car rental and lodging electronic reservation systems such as Orbitz allow comparison shopping for the lowest fares, rents and rates and almost immediate access to and confirmation of travel arrangements and accommodations. This shows how electronic commerce contributes to customer value through the creation of __________. a) service utility b) place utility c) possession utility d) form utility e) all the above Ans: c Feedback: Electronic commerce creates possession utility by getting a product or service to consumers so they can own or use it in an accelerated fashion. Page: 589 Learning Objective: 1 17. In the marketspace, consumers can tell marketers exactly what their requirements are, making customization of a product or service to fit the buyer's exact needs possible. This means that marketers can use electronic commerce to enhance customer value by contributing to __________. a) place utility b) form utility c) time utility d) possession utility e) none of the above Ans: b Feedback: Electronic commerce creates form utility through the interactive two-way Internet/Web-based communication capabilities in marketspace, which invites consumers to tell marketers specifically what their requirements are. Marketers can then develop customized offerings that fit the buyer's exact needs. Page: 589 Learning Objective: 1 18. Which of the following examples shows how electronic commerce creates customer value through form utility? a) Recreational Equipment, an outdoor gear marketer, receives 35 percent of its orders on its website between 10:00 p.m. and 7:00 a.m. when its retail stores are closed b) Twenty percent of book sales at Amazon.com are from buyers who live outside the U.S. c) Travelocity.com provides almost immediate access to and confirmation of travel arrangements and accommodations d) Bluefly.com, an apparel company, encourages customers to develop their own catalog free of unwanted items e) All of the above examples show how e-commerce creates customer value through form utility Ans: d Feedback: Interactive two-way Internet/Web-based communication capabilities in the marketspace invite consumers to tell marketers exactly what their requirements are, making customization of a product or service to fit the buyer's exact needs possible. This enhances form utility. Page: 589 Learning Objective: 1