STUDY GUIDE FOR ALL MODULES IN WGU D077 (2025)

D077- Module 1 Study questions (25%)

1. Define "marketing".
Business function that identifies, satisfies, and retains customers through a set of activities
related to creating, communicating, delivering, and exchanging offerings that have value for the
customer.

2. Identify 3 functions of Marketing? Lesson 1

Bring value to customers whom the business seeks to identify, satisfy, and retain.

3. What is the marketing concept? Identify 3 important

characteristics of this concept.
Business philosophy holding that a company’s goals can be best achieved by identifying and
satisfying the target customer’s needs and wants.
• Focusing on needs and wants of customers so the organization can distinguish its
product(s) from competitors – products can be goods, services, or ideas.
• Integrating all organizational activities, including production and promotion, to satisfy
wants and needs.
• Achieving long-term goals for the organization by satisfying customer wants and needs
legally and responsibly.

4. Identify the four elements in the Marketing mix. Identify at least

three important characteristics of each of the elements of the
marketing mix.
Marketing mix represents the controllable elements in the marketing environment.
Product: good, service, or idea; good – tires, smart phones, clothing; service – hotels, hair salon,
airlines, accounting/engineering firm; idea – go green, give blood. Products have a life cycle.
Product mix, product lines, product depth and width.
Place: involves how the product gets from producer to customer – supply chain and inventory
management. Direct/indirect distribution. Vertical marketing systems. Omnichannel retailing –
having a uniform customer experience around all ways the customer can engage with the
company.
Price: something given in exchange for a product. Pricing strategy is based on demand, value,
and cost. Pricing strategies include skimming, penetration, leader, bundling, and prestige.
Promotion: methods for informing and influencing customers to buy the product. Create a
unique promotional mix for each product. Promotional mix may include traditional advertising,
sales promotion, public relations, and digital marketing (social media, online advertising, and
content marketing). Integrated Marketing Communications (IMC) is an approach that
coordinates all promotional activities to produce a consistent customer-focused message.

5. What are the four stages of the product life cycle? Identify each
stage of the product life cycle stage based on profit, sales,
competitive pressures? Lesson 2
Introductory – low sales, little or no profit, little or no competition.
Growth – increasing sales, rapidly increasing profit, market has accepted the product and
competitors enter the market.
Maturity – high sales, high then declining profits, high level of competition (may be hard for
original company to compete).
Decline – declining sales, declining profits, competitive pressure remains high and demand falls.

6. What are the variables companies are considering while creating

a product strategy? Lesson 2
Brand name, packaging, colors, a warranty, accessories, and a service program.

7. Define product mix, product lines, and product depth? Lesson 2

Product Mix: the complete range of products offered for sale by a company throughout its
product lines, also known as product assortment.
Product Lines: series of similar products focused on a sector that a company creates under a
single brand.
(Product width is the number of products or series of products a company offers.)
Product Depth: number of versions offered for each product in the product line.

8. Identify 5 characteristics of price skimming strategy. Lesson 2

Price skimming is intentionally pricing a new product high with intention of lowering it over
time as competition increased.
• High initial price helps find out what buyers will pay.
• You can always lower the price later.
• High initial price creates an image of quality and prestige.
• When the price is lowered later, consumer may think they are getting a bargain.
• High prices attract competition.

9. Identify 2 characteristics of Prestige pricing strategy? Lesson 2

Prestige pricing is raising the price of a product to increase the perceived value.
• High prices = high status.
 10. Identify 3 characteristics of Penetration pricing strategy?
Lesson 2
Penetration pricing is intentionally pricing a product lower than the market price to gain market
share into a new market.
• Requires more extensive planning – company must gear up for mass production and
marketing.
• Initial low price might convince customers to switch brands/companies and may
discourage competitors from entering the market.

11. Identify 2 characteristics each of leader pricing? Lesson 2

Leader pricing is pricing products below market price to attract customer to a store they might
otherwise not shop at. Referred to as a loss leader – Costco rotisserie chickens.

12. Identify 2 characteristics each of bundle pricing? Lesson 2

Bundle pricing is grouping two or more related products together and pricing as a single product.

13. Identify 2 characteristics of Competitive pricing? Lesson 2

Competitive pricing involves setting the price of a product according to competitor prices.

14. Define the following components of promotion (Lesson 2)

• personal selling: face to face presentation to a prospective buyer, often
based on a long-term relationship.
• advertising: any paid form of nonpersonal promotion by an identified
sponsor that is delivered through traditional media channels.
• online advertising: advertising through online channels.
• content marketing: creation and sharing of online materials designed to
create interest in a product, service, or idea without directly promoting the
brand.
• social media: using social media platforms to create a buzz about a
product or company.
• e-commerce: using a company’s website to generate sales through online
ordering, information, and interactive components (e.g., games).
• guerilla marketing: innovative and unconventional promotional tactics
that engage customers through a unique experience.
• public relations: creating and maintaining public goodwill through
publicity and nonpaid forms of communication – linking organizational goals
with key aspects of public interest.
 • sales promotion: marketing activities that stimulate consumer buying –
coupons, samples, displays, shows, exhibitions, demonstrations, etc.

15. What are the phases in a business cycle? Lesson 5

Expansion: increasing employment, economic growth, upward pressure on prices.
Peak: highest point of the cycle, economy is producing at maximum allowable output,
employment is at or above full employment, inflationary pressures on prices are evident.
Contraction: growth slows, employment declines (unemployment increases), and pricing
pressures subside.
Trough: economy has bit a bottom from which the next phase of expansion and contraction will
emerge.

16. What does a company consider under Place strategy? Lesson 2

Place involves how the product gets from producer to customer – supply chain and inventory
management. Direct/indirect distribution. Vertical marketing systems. Omnichannel retailing –
having a uniform customer experience around all ways the customer can engage with the
company.

17. What is the difference between Distribution and Supply chain?

Lesson 2
Distribution is the process of acquiring raw materials and moving materials and finished
products from producer to consumer.
Supply chain is the system a company uses for distribution.

18. What are vertical marketing systems? What are the three types
of vertical marketing systems? Lesson 2 Page 9
Vertical marketing systems are cooperation between multiple levels of a distribution channel.
• Corporate vertical marketing system – single company owns all levels of production and
distribution (e.g., apple sells products they design and manufacture through retail stores).
• Contractual vertical marketing system – formal agreement between levels coordinates the
distribution process (e.g., franchises).
• Administered vertical marketing system – one member of the channel controls the system
out of power and size.

19. In general, what are the categories of environmental data that

shape most marketing decisions. Lesson 4 page 11
Competitive: new and shifting competition from domestic and foreign based firms.
Natural/ecological: natural resources, increased pollution, supply of raw materials, practices that
support environmental sustainability.
Political/legal: changes in laws, regulatory agency activities, political movements.
Socio-cultural: buying behaviors of specific cultures and subcultures, values of potential
customers, changing roles of families, other societal trends (e.g., working from home, flexible
work hours, etc.).
Demographic: changes in ages of potential customers (e.g., baby boomers, millennials, etc.),
birth and death rates, locations of various groups of people.
Technological: advances in telecommunications and computer technology.
Economic: changing incomes, unemployment levels, inflation, recession.

20. What does PEST stand for? Lesson 5

Political, Economic, Social, and Technological.
Political: stability, regulation/de-regulation, statues/laws/codes of conduct, government
funding/subsidies/support for specific industries, fiscal/monetary policy, tax rates, trade
agreements.
Economic: trends, stability (inflation, wages growth, GDP, GNP), exchange rates, trade
agreements, seasonality/economic cycles, consumer confidence, consumer purchasing power
(discretionary income).
Social: demographic changes (population growth, age distribution, population density,
geographic distribution), consumer attitudes (tastes/preferences), social influencers (role models,
opinion leaders), shopping habits (preferred channels, channel switching, online/offline
spending).
Technological: innovation/breakthroughs/technological developments, new product materials or
ingredients, new packaging solutions, improved production processes/business models, new
ways of transacting business, new machinery/software.

21. Define the following terms: consumer confidence, inflation,

generation gaps. Lesson 5
Consumer confidence: statistical measure of consumers’ level of optimism about current and
future economic conditions.
Inflation: general increase in prices of goods and services over time and decrease in the
purchasing power of money.
Generation gaps: differences in outlook, opinions, values, and cultural norms between people of
different generations.

22. Identify at least three ethical considerations for product, price,

place, promotion marketing mix variables. Lesson 6
Product:
Is production of the product sustainable for the environment?
Are animals treated humanely in the production of the product?
What are the labor conditions of producers?
Is the product high quality and does it deliver on its promises to customers?
Is the product designed and manufactured in line with the customer’s expectations (and other
elements in the marketing mix)?
Does the product packaging provide clear instructions for the use of the product (and its
limitations?
Will the product truly benefit customers?
Does the product hurt customers or society?
Price:
Price fixing (collusion) – two or more competitors agree (or collude) on how much to charge for
a product.
Price discrimination – company charges different prices to buyers of the same product to
maximize profit.
Predatory pricing (undercutting) – pricing a product extremely low to drive out competition.
Bait and switch – advertising for a lower priced product and switching a customer to a higher
priced product.
Price gouging – company has a monopoly on the market and prices products overly high to drive
profit.
Promotion:
Will the product provide the benefits you say you will?
Will the product deliver the promised value to customers?
Is the company’s story being communicated in a fair and transparent way?
Is the way you are communicating with customers transparent and respectful of the way they
wish to engage with the brand?
Are you aiming your marketing efforts at an appropriate audience for the product?
Place:
Does the distribution channel deliver the product at the price and quality promised?
Do other companies in the distribution channel (wholesalers, retailers, etc.) perform as promised
and deliver on expectations set for product, price, and promotions?
Are labor conditions fair and humane throughout the distribution channel? Do all suppliers,
producers, and transporters provide fair wages and ethical working conditions?
Do all companies in the distribution channel follow best practices for environmental
sustainability?
Can workers who produce, transport, and sell products afford to buy them?
Is data secured and consumer privacy protected in the way transactions and customer interactions
are tracked?
 D077: Module 2 Study questions (15%)
1. What is a marketing plan? Lesson 7
A comprehensive document or blueprint – informed by analysis or the organization, customer,
and market environment – that outlines marketing efforts (including objectives, strategies, and
tactics) for an identified period.

2. What are the key components of the marketing planning

process? Lesson 7
Mission statement, situational analysis, objectives, strategy development, monitoring and
controlling.

3. In the first Paragraph under situational analysis on page 17, the

textbook describes what companies do during the Situational
analysis step of the marketing plan. Summarize the paragraph in
bullet point.
• Controllable (product and organizational capabilities)
• Uncontrollable (customer, competition, business environment)
• Controllable/uncontrollable define the current and future state of the market. Those
factors describe the market environment, how abilities can deliver value relative to
customer needs, and likely actions/reactions of competitors.

4. What are the three tools’ companies are utilizing when

conducting a situational analysis? Lesson 8
SWOT analysis, BCG Matrix, Porter’s Five Forces

5. How will you identify an objective? In short identify the 5

important characteristics of an objective statement (hint use
SMART). Lesson 7
Objectives are measurable outcomes that will be achieved within a particular time frame.
Specific, measurable, achievable, relevant, and time bound.
 6. identify (bullet points) how would you identify each step of the
marketing planning process. Give 2 characteristics for each
step. Lesson 7
Mission statement: what is the marketing planning purpose?
Situational analysis: what controllable and uncontrollable factors impact the organization? What
is the potential for competition and profit?
Objectives: what measurable outcomes do you want to achieve?
Strategy development: what marketing strategies will lead to the objective? What tactics support
those strategies?
Monitoring and control: How will progress be measured and assessed? How will adjustments be
made if necessary?

7. What is a SWOT analysis? Lesson 8

A SWOT analysis examines internal (controllable) and external (uncontrollable) factors –
strengths/weaknesses (financial, technical, competition position, human resources, product line)
and opportunities/threats (technology, competition, economic, political, legal, social trends).

8. Identify the SWOT in each of these situations:

a) A company has developed technical capabilities.
Strength
b) New government policies will help the company in the future.
Opportunity
c) The company has high employee turnover.
Weakness
d) The company is concerned about the country's economic
condition.
Threat

9. What are the four quadrants in the BCG matrix? Lesson 8

High Growth Potential/High Market Share (top left) – star, high market share in a fast-growing
industry, poised to bring a strong return on the funds invested, has potential to become a cash
cow at the end of the product life cycle which can fund future investments.
High Growth Potential/Low Market Share (top right) – question mark, product or business is
consuming financing and creating a low rate of return for now, but direction is unclear, has the
potential to become a star or dog so close monitoring is needed to determine growth potential.
Low Growth Potential/High Market Share (bottom left) – cash cow, bringing in more money
than is being invested, doesn’t have much growth potential, profits can be used to fund high-
growth investments but the cash cow itself warrants low investment.
Low Growth Potential/Low Market Share (bottom right) – dog, no room for growth so no new
funds should be invested.

10. Identify the quadrant in which each product will be placed:

a) Brand X is bringing in money into the business.
Star or cow depending on growth potential.
b) Brand Z should be removed from the product-portfolio of the
company.
Dog
c) Brand Y shows a rapid growth in market share.
Star or cow depending on growth potential.
d) Brand M should be vetted, and close monitoring is required.
Question mark.

11. Why are question mark products very tricky? Page 18 lesson 8
The product has the potential to become a star or dog and requires close monitoring to determine
growth potential.

12. What are key characteristics of Cash Cows? Page 18, lesson 8
Slow growing industry, high market share, more money is being brought in than invested,
doesn’t have much growth potential, warrants low investment, can be used to fund high growth
investments.

What is Market share? What is Market-growth potential? Page 18,

lesson 8
Market share: percentage of a market accounted for by a specific product or entity.
Market growth potential: estimation of what the future market will be, generally includes
analysis of similar markets and analysis of the underlying drivers for market growth.

13. Identify the five forces in Porter's Five Forces model. Lesson 8
Identify two characteristics of each of the five forces in Porter’s
five forces model? Lesson 8
Threat of new entrants: likelihood that new competitors will enter the market, barriers to entry,
high barriers mean that the investment of getting into the industry makes it difficult to compete
with current players in the market.
Threat of substitute products or services: existence of different products that fulfill the same need
increases likelihood of customers switching to alternative products. Not the same as a
competitor’s similar products.
Rivalry: competition from other companies in the industry, how many firms are in the industry
and how do their competitive dynamics reduce profitability? E.g., airlines.
Bargaining power of buyers: the power of customers to drive down price if supply exceeds
demand, customers have the ability to put a company under pressure.
Bargaining power of suppliers: the power of suppliers where there are few alternative sources for
the product components.

14. What purpose does strategic planning serve in the marketing

planning process? Lesson 9
Strategy is how you are going to achieve the specific objectives in the marketing plan. Informed
by a clear understanding of an organization’s strengths/weaknesses, competitive environment,
potential for growth, and target customer.

15. What purpose does tactical planning serve in the marketing

planning process? Lesson 9
Tactical plans are the actions the company implements to affect the controllable elements of the
strategy. Tactics are specific actions (e.g., coupons, commercials, banner ads, social media posts,
etc.) used to execute the strategy. Tactical plans specify the activities and allocation of resources
(e.g., people, money, equipment, etc.) needed to implement the strategic plan over a given
period.
 D077: Module 3 Study questions (5%)
1. Define marketing research?
What are the common subjects for marketing research? use
bullet points to identify each subjects/component. Page 23
Lesson 10
Marketing research is the process of gathering, recording, and analyzing data about consumers,
competitors, and the market.
• Environmental factors and how they affect consumer behavior.
• Customer attitudes, behaviors, and perceptions.
• Product research.
• Marketing, advertising, and promotion research.
• Corporate research.

2. What is Reliability of Data? Lesson 11, Page 24

Reliability is the degree to which a researched method produces stable and consistent results.

3. What is Validity of Data? Lesson 11, Page 24

Validity is the extent to which a research method accurately measures what it is intended to
measure.

4. Define Primary research? Lesson 11-page 24

Primary research can be qualitative or quantitative. Identify how
would you differentiate between these two. Lesson 11 page 24
Primary research is research that is tailored to the specific problem or challenge you are trying to
address. Qualitative (ideas, perceptions, behaviors) and quantitative (counted, tabulated, and
statistically analyzed). If you already have the research, it is secondary research. If you must
conduct the research, it is primary research.

5. What is secondary research and how is secondary data

collected. Lesson 11 page 24
Secondary research is research that uses data that already exists and may be relevant to what you
want to know.
 6. Identify benefits and limitations of primary and secondary data?
lesson 12 page 25.

7. What are the common Primary Marketing Research Techniques?

Lesson 13, Page 26

8. What is Ethnographic research? Lesson 13, Page 26

Study through direct observation of users in their natural environment (as opposed to a
laboratory environment).

9. What is the Group Think problem? Lesson 13, Page 26

When individual members of a group accept a viewpoint/conclusion that represents a perceived
group position – even when it conflicts with their own opinion.
 10. What are Closed-ended questions and Open-ended questions?
Lesson 13, Page 26
Open-ended questions: questions where a researcher asks participants to provide a verbal or
textual response.
Closed-ended questions: questions where a researcher provides a set of options from which to
choose a response – structured questions.

11. What are some common techniques for sourcing secondary

data? lesson 13, Page 26

12. What is Syndicated Marketing research? Lesson 13, Page 26

Source of secondary data for marketing research that is collected by a marketing research
company and can be purchased by organizations.

13. What are Database Marketing organizations? Lesson 13, Page 26

Companies that collect and analyze massive data sets on consumers which can be used as
secondary data for marketing research – also known as customer insights service providers.
 14. Ethical considerations are placed under three broad categories.
Identify each one of them in bullet points? lesson 14, Page 27
Gathering Content
• Ask participants consent to gather data.
• Be transparent about how data gathered about consumers will be used by the
organization.
• Do not use stereotypes or discriminatory practices to screen participants who will be
interviewed or selected for focus groups and surveys.
• Ensure interview, focus group, and survey questions are clear.
• Do not lead the participant to a particular “correct” or “desired” answer.
• Permit participants to decline to answer particular questions if they choose.

Analyzing and Using Content:

• In mining primary data, avoid stereotyping customers based on gender, race, age,
religion, or other characteristics.
• Use data for the purposes stated to participants.
• Disclose to participants if the data collected will be sold to third parties.
• If the data will be sold, also disclose how that information might be used by those who
purchase the data.
• Avoid conflicts of interest, including relationships with partners, vendors, and other
organizations who might use or purchase the data collected. If potential conflicts exist,
disclose them to participants.

Storing Content:
• Take steps to protect participants’ privacy, including personal and financial data.
• Put measures in place to securely store data collected.
• If a data breach occurs, quickly notify participants of any potential security concerns.

15. What should marketers consider when they gather secondary

data. lesson 14, Page 27
• Evaluate whether the source is credible and reliable.
• Clearly cite the source of the information to avoid plagiarizing content.
• Do not distort or misrepresent the original intent of the information, such as by applying
it to a different context than the one stated in the original source.
• Ensure usage of the information is compliant with any copyright laws or other applicable
laws and regulations.
 D077: Module 4 Study questions (5%)
1. What is a Strategic Opportunity Matrix? (Lesson 15, Page 34)
Framework that maps the four growth strategies (market penetration, market development,
product development, and diversification) to a grid based on whether they address new or
existing products and markets.

2. What are the two areas a company examines while focusing on

growth strategies? (Lesson 15, Page 34)
New vs. existing markets and new vs. existing products.

3. Ansoff opportunity Matrix or Strategic-opportunity matrix has

four possible growth combination based on markets and
products. What are the combinations? (Lesson 16, Page 35)

4. What is the product-market combinations for each of the growth

strategies? (Lesson 16, Page 35)
Market penetration: uses current products and current markets with the goal to increase market
share.

Market development: uses existing products to capture new markets.

Product development: uses new products in an existing market.
Diversification: creates new opportunities for a company by creating new products and new
markets.
 5. Identify the growth strategies- (Lesson 17, Page 36)
a) A company uses pricing, promotion, and distribution
strategies to grow their market share.
Market penetration

b) Chik-fil-A sells its signature Chik-fil-A sauce in grocery

stores.
Market development

c) Disneyland is now positioning their theme parks to retired

couples also.
Market development

d) Apple introduced iPhone 14 which is new, improved, faster

version of the previous generations of iPhones.
Product development

e) Amazon was created with the intention of being a book

selling website, but then Amazon used its success as a
book seller and went into selling electronic, movies,
medicines etc.
Diversification
 D077: Module 5 Study Questions (5%)
1. In your own words, describe customer relationship management
(CRM) and the purpose of implementing CRM in an organization.
Lesson 18, Page 40
Customer relationship management (CRM) is a combination of policies, processes, and strategies
that companies implement to unity the customer interaction and provide a way to track customer
information. Companies want the customer to perceive the business as a single entity while
interacting with a variety of employees in different roles/departments.

2. CRM systems are powerful software systems that serve several

essential functions for marketing, sales, and account
management. What are some of the uses of CRM systems?
Lesson 18, Page 40
• Capture internal data about customers and customer interactions and house these data in a
central location.
• Provide business users with access to customer data to inform a variety of customer touch
points and interactions.
• Conduct data analysis and generate insights about how to better meet the needs of target
segments and individual customers.
• Deliver a marketing mix tailored to the needs and interests of these target segments and
individual customers.

3. Identify and describe operational, analytical, and collaborative

benefits of CRM? Lesson 19, Page 41
 4. What are the challenges in CRM? Lesson 19, Page 41
Concerns about privacy, risk of ignoring a subset of consumers if their needs differ from the
majority, integrating CRM into normal workflows.

5. What is Customer life cycle. Identify all the steps in Customer

Life cycle? Lesson 20, Page 42
Reach – getting a prospective customer’s attention.

Acquisition – bringing a prospective customer into a sphere of influence.

Conversion – turning a prospect into a paying customer.
Retention – engaging an existing customer to keep them.
Loyalty and Advocacy – turning a customer into an advocate for the company.

6. Why is customer lifetime value (CLV) utilized by organizations?

How is CLV calculated? Lesson 21, Page 43
CLV is the total profit associated with customers throughout their lifetime relationship with a
company. CLV can help marketers assess the effectiveness of marketing efforts and the value of
specific customer segments.
 7. What is customer equity and why is this an important measure
for organizations? Lesson 22, Page 44
Customer equity is the total combined customer lifetime values of all a company’s customers.
The greater the customer equity, the more future revenue in the lifetime of a company’s
customer.
Value equity - how the customer assesses the value of the product or service provided by the
company.
Brand equity - how the customer assesses the value of the brand, above its objective value.

Retention equity - the tendency of the customer to stick with the brand, even when it is priced
higher than an otherwise equal product.

8. What is the role of marketing in setting expectations in assuring

customer satisfaction? Lesson 23, Page 45
 9. Identify in bullet points all the Customer Satisfaction strategies?
Lesson 23, Page 45
Empower customer acing personnel – empowering these employees to care about the customer
experience can delight customers.
Offering customers warranties/guarantees – warranties serve as an agreement that the product
will perform as promised or restitution will be made to the customer.

10. Identify and briefly describe the four guidelines regarding fair
information practices in an electronic marketplace. Lesson 24,
Page 46
Notice – consumers should be given notice of a company’s information practices before
collecting personal information.
Choice – consumers should be given options to control how their data is used (opt in/out).
Access – consumers should have the ability to view the data collected to verity and contest its
accuracy.
Security – information collectors should ensure data collected is accurate and secure.

11. Briefly describe the following terms (Lesson 24, Page 46)
a) CAN-SPAM act
The Controlling the Assault of Non-Solicited Pornography and Marketing Act – consumers must
be given the opportunity to opt out of future solicitation.

b) Permission Marketing
Expectation that marketers will ask for permission to sell or to offer potential customers
marketing messages.

c) Nondisclosure Agreements (NDAs)

Signed documents when entering a business relationship detailing what information cannot be
disclosed about another company.

d) Cookies
Small packet of information stored on your web browser to help a website keep track of your
visits and activity.
 D077: Module 6 study questions (15%)
1. Distinguish between a Consumer and Customer? Lesson 25
Page 50
Consumer: the individual who uses the product.
Customer: the individual (or company) who buys the product from a business.

2. In bullet points identify what are some important characteristics

of the B2B market? Lesson 25 page 50
• Uses more personal selling.
• Little need for mass advertising.
• Company websites are a primary way for B2B organizations to share information and
promote offerings.

3. Define Market Segmentation? Lesson 26

Dividing the market into subgroups of consumers (segments).

4. Why do companies use market segmentation? lesson 26 page

51
Market segmentation helps to be able to study of buyer behavior which helps marketing
managers better understand why people make purchases.

5. Identify in bullet points the four methods used by marketers to

segment markets.

6. What are the three types of product related segmentation

strategy? Lesson 27 Page 52
Benefits of the product, usage rates, and brand loyalty.

7. Identify the four types of targeting strategies. Read lesson 29,

page 54
Differentiated, Undifferentiated, Concentrated, Micromarketing
 8. Describe (use bullet points) to identify 3-4 features of each of the
four types of targeting strategies. Lesson 29
Differentiated Marketing: targeting strategy where a company provides separate offerings to
each different market segment that it targets.
Undifferentiated Marketing: targeting strategy involving a single offer and marketing mix for all
segments, also called mass marketing.
Concentrated Marketing: targeting strategy that focuses on a very limited, specific segment(s) of
the market, also called niche marketing.
Micromarketing: targeting strategy that focuses narrowly on catering to the needs of individuals
or very small segments in a targeted geography.

9. What are two major disadvantages of differentiated target

marketing? Lesson 29
Differentiated marketing is very expenses and each product/segment requires its own marketing
plans and execution.

10. What are the major advantages of undifferentiated target

marketing? Lesson 29
This type of marketing aims to reach the largest audience possible and exposure to the product is
maximized.

11. What is the primary disadvantage of concentrated marketing?

Page 29
Concentrated marketing makes companies vulnerable to demand because the markets they serve
are so narrow. If demand drops the company has nothing to cushion the blow.

12. What is Micromarketing? What are the different terms for

Micromarketing? Lesson 29
Micromarketing is a targeting strategy that focuses on more narrow segments.
Individual marketing: targeted micromarketing focused on needs of individuals, sometimes
called mass customization or one-to-one marketing.
Local marketing: targeted micromarketing focused on very small segments of a given geography.

13. What is positioning statement? What are the five things a

company must consider while developing a positioning
statement? Lesson 30 page 55
A positioning statement is a single sentence that concisely identifies the target market for a
product and what marketers want customers to think about it.
• Target market.
• Brand name.
• Key points of differentiation.
• Product and service category or frame of reference in which you are establishing this
market position.
• Reasons why customers should believe the positioning claims.

14. What are the specific questions that companies answer when
they position their brands? Lesson 30
• Place: What place does the offering occupy in its market?
• Rank: How does the product or service fare against its competitors in the areas evaluated
by customers deciding what to buy?
• Attitude: How does the company want customers to think about this offering and the
benefits it offers them?
• Outcomes: What must it do to ensure the product or service delivers on the positioning
selected?

15. What are positioning maps? What are the benefits of creating a
positioning map? Lesson 31
A positioning map is a graphical depiction of how potential customers view a brand or product
and the competition against key criteria that influence customer decisions in the target segment.
Marketers can use the map as a tool to understand where their product fits in the market with
respect to competition and select the most effective positioning strategy.

16. Identify all the 7 different positioning strategies and define each
one of them. Lesson 31
 D077: Module 7 Study guide questions (15%)
1. In your own words, describe consumer behavior and the role of
consumer buying behavior in the marketing process. Lesson 32
page 60
Consumer behavior is the study of individuals, groups, or organizations and the activities
associated with the purchase, use, and disposal of goods and services – including the consumer’s
emotional, mental, and behavioral responses that precede or follow the activities. This is
important in the marketing process because it analyzes how emotions, attitudes, and preferences
affect buying behavior which is detrimental to the marketing process when deciding how to
market products (goods, services, ideas).

2. Identify all steps in consumer decision making process. page 61

Lesson 33

3. How does a marketer influence the problem and opportunity

step of the consumer decision making process? page 61 Lesson
33
• Knowing what problems consumers are facing so they can develop a marketing mix to
address these problems.
• Activating problem recognition to trigger the start of the purchasing process.
• Shaping how consumers define the need or problem to influence their wants as they look
for a solution.

4. How does a marketer influence the search step of the consumer

decision making process? page 61 Lesson 33
The promotion element of the marketing mix should provide information to assist customers
during the search process. When marketers understand which information sources their target
customers use during the search process they can/should develop promotion strategy and tactics
that put their offerings into the search path of the consumer. The search process can also identify
new needs – e.g., tire shopper might realize they just need a new car.
 5. How does a marketer influence the Evaluation step of the
consumer decision making process? page 61 Lesson 33
By understanding your target consumer’s evaluation criteria (different for each consumer) you
can demonstrate the qualifies they value to be short-listed in the selection set. Overall, selection
is unpredictable because everyone thinks differently and circumstances for purchasing are
unique.

6. How does a marketer influence the Decision step of the

consumer decision making process? page 61 Lesson 33
Simplifying the purchasing process is attractive to buyers when making their decision. Be aware
of factors influencing decisions and shape them to your advantage whenever possible.

7. How does a marketer influence the Buy step of the consumer

decision making process? page 61 Lesson 33
Marketers should look for opportunities to influence things in their favor at the point of
purchasing. Product pricing, labeling, and packaging can be influential at this stage.

8. Identify the interpersonal influences that influence buying

decision. (Page 62, Lesson 34)
 9. Identify the personal influences that influence buying decision.
(Lesson 34, page 62)

10. Define Selective perception? (Lesson 34, Page 62)

Selective perception is the process by which consumers see what they want to in media messages
while ignoring contradictory viewpoints.

11. What are the five different levels in hierarchy of human needs?
Identify as least 2 products that will satisfy each level of human
needs? (Lesson 34, page 62)
• Physiological (hunger, thirst – lowest)
• Safety/Security (physical and financial security, health, physical well-being)
• Love/Belonging (need to feel accepted by social groups)
• Esteem (need to feel good about yourself, be respected/valued by others, have a positive
self-image)
• Self-Actualization (need to reach full potential and accomplish all you can with
talents/abilities - highest)

12. What is the theory about individual motivation? (Lesson 34,

Page 62)
Lower-level needs must be met before an individual can focus on upper-level needs in Maslow’s
hierarchy of needs.
 13. What is the key difference between Experiential learning and
non-experiential learning? (Page 62, lesson 34)
Experiential learning – changes in behavior in response to direct experience (learning as a
reflection of doing)
Non-experiential learning – changes in behavior in response to a secondary input (e.g., celebrity
endorsement)

14. What is Reinforcement? (Page 62, lesson 34)

Process of having learning validated through rewards or consequences – confirming that what
you learned was correct.

15. What is syncratic decision-making? (Page 62, Lesson 34)

A joint decision made between family members where both partners have an equal say –
marriage.

16. Identify the difference between Aspirational group and

Reference group. (Page 62 lesson 34)
Reference group – formal or informal group of people whose shared attitudes, behavior, beliefs,
opinions, and values are adopted by a consumer.
Aspirational group – a reference group a consumer hopes to belong to one day.

17. What are sub-cultures? According to the course material,

around what areas do subcultures exist?
Subcultures are cohesive groups that exist within a larger culture – they develop around
communities that share common values, beliefs, and experiences.

18. What is the difference between a high- involvement purchase

decision and a low-involvement purchase decision and identify a
 consumer purchase decision involving each. (Page 63 Lesson
35)
High-involvement purchase decision: complex purchase decisions that are important to the
consumer and involve some risk (e.g., buying a car).
Low-involvement purchase decision: straightforward, often routine purchases that require less
effort and pose lower risk to the consumer (e.g., buying a box of cereal).

19. What is complex decision making and Simple decision making?

(Lesson 35, Page 63)

20. Describe the three types of problem-solving processes and

identify a customer's level of involvement with each type.
(Lesson 36, Page 64)
Routine problem solving: automatic, low involvement purchase decision process based on
limited information or information gathered in the past (e.g., ordering diet coke with lunch).
Extended problem solving: complex, high-involvement purchase decision process with
significant investment in information searching and product comparison (e.g., buying a new
laptop).
Limited problem solving: moderately involved purchase decision making process where a
consumer has some prior knowledge but still conducts light research (e.g., new backpack for
hiking trip).

21. Define the following (Lesson 37, Page 65)

Fair trade
Organized social movement that seeks to hep producers in developing countries achieve
better trading conditions while promoting sustainability.
Ethical consumerism
Type of consumerism activism where ethical products are favored, and unethical products
or companies are avoided.
Corporate social responsibility
CSR – way of conducting business with commitment to the values, norms, and
expectations of society for social responsibility.

22. What are some of the companies that provide CSR and
sustainability ratings? (Lesson 37, Page 65)
Business-to-business corporate social responsibility and sustainability ratings have become
commonplace, such as those provided by Innovest, Calvert Foundation, Domini, IRRC, TIAA–
CREF, and KLD Analytics. Today, Bloomberg and Reuters provide environmental, social, and
governance ratings direct to the financial data screens of hundreds of thousands of stock market
traders.
 D077: Module 8 Study questions (7%)
1. What are salespeople accountable to deliver? (Page 72 Lesson
38)
Salespeople are accountable to deliver sales to generate revenue and profit. Revenue and profit
are required to operate and invest in the company.

2. Define personal selling? (Page 72 Lesson 38)

A type of selling that uses person-to-person interaction to sell products and services.

3. What is the core of personal selling? (Page 72 Lesson 38)

The human exchange between the buyer and the seller. The interaction is based on fulfilling a
need or desire with the product or service that is offered and paid for.

4. What does an effective personal selling do? (Page 72 Lesson 38)

Effective personal selling addresses the needs and preferences of the customer without making
them feel pressured.

5. Briefly discuss the main types of sales approaches discussed in

the book. (Page 73 lesson 39)
Relationship selling: same as consultative selling?
Consultative selling: sales approach where the seller becomes a trusted advisor to the customer
and builds a relationship to truly understand their needs.
Solution selling: sales approach where the seller diagnoses the customer’s problem then
recommends a mix of products and services (a solution) to solve it.
Team selling: sales approach that involves multiple people from an organization joining forces to
advance a customer opportunity.
Telemarketing: method of direct marketing by a salesperson over the phone.

6. Identify how would you differentiate between Solution selling

and consultative selling? (Page 73 lesson 39)
Consultative selling focuses more on individual products or services tailored to specific pain
points, solution selling is more comprehensive and creates a “complete package.”
 7. Briefly discuss digital approach to personal selling. (Page 73
lesson 39)
Customers use blogs/wikis/social networking as tools to learn about a product as much as
companies can use them as tools to learn about the customers (their wants and needs). Digital
approaches have shifted power from the seller to the buyer.

8. What is Adaptive selling? (Page 74 Lesson 40)

Using social styles to customize a sales approach to the specific customer.

9. What is integrated marketing communication? (Page 74 Lesson

40)
Immersive and targeted communication with customers to help move them through the various
stages of the buying process.

10. In figure titled “IMC support for the sales process”, what
common IMC support tools would a salesperson use during the
handling objections phase of the Sales process. (Page 74,
Lesson 40)
Case studies, comparisons, videos, white papers, testimonials.
11. Identify all the six steps in the sales process. Give two features
identified in each step. (Page 75, Lesson 41)
• Prospecting and qualifying.
o Salesperson conducts research to identify customers (prospecting).
o Qualifying questions help separate prospects from those who don’t have potential
to buy.
• Approaching customers and building relationships.
o After identifying a prospect, the salesperson explains the reason for the
appointment – build interest. “I think my product can cut your shipping/delivery
time by 2 days.”
• Presenting and demonstrating the product or solution.
o Automated (structured) or unstructured or in-between.
o Unstructured with no set format is a much more successful approach.
• Handling objections.
o Anticipate objections so you can counter quickly with confidence and assurance.
o Having a thorough knowledge of the products is a quick way to offer a solution to
concerns or questions.
• Closing the sale.
o Act as though the deal has been concluded (trial close) and if there is no objection
you can conclude.
o This stage can be awkward.
• Following up.
o Write the order and turn it in promptly.
o Can be more complex for B2B vs. B2C.
o After delivery, make a routine visit to ensure customer is satisfied.
 12. What is loT and AI? (Page 74, lesson 40)
Artificial intelligence (AI) is intelligent machines (computers) capable of learning and
interacting.
The internet of things (IoT) is embedding computers in everyday things, turning them into smart
and connected devices that can be monitored and used for data analytics.

13. In figure titled “IMC support for the sales process”, what
common IMC support tools would a salesperson use during the
prospecting and qualifying phase of the sales process? (Page 74,
Lesson 40)
Advertising, trade shows, conferences, social media, websites.
 14. What is the difference between Structured presentation and
Unstructured presentation. (Page 75, Lesson 41)
Unstructured presentation is a presentation that has no set format – it may be a casual
conversation, allows for more personalization = more success.
Structured presentation is a fully automated presentation – the salesperson could show a slide or
movies then answer questions and take orders.

15. What is a Trial close? (Page 75, Lesson 41)

Salesperson asks a question or makes an assumptive statement to gauge whether or not a
potential customer sees value in the product, service, or solution before asking for a decision.

16. Define the following (Page 76, Lesson 42)

I. Bait and Switch
Form of fraud where an advertised product is unavailable, so a customer is guided to a more
expensive product.
II. Planned Obsolescence
Selling products that will need to be replaced frequently because they are, by design, obsolete.
III. Pyramid scheme
Unethical/Unsustainable business model where those higher up on the pyramid profit from
recruitment fees of those below.
IV. Hard Selling
Sales approach using psychological pressure and insistent language to push a customer to a quick
purchase decision.
V. Kickbacks
Decision maker at the customer business receives some sort of monetary or other reward in
exchange for supporting the sale.
 D077: Module 9 Study questions (8%)
1. Explain the differences between consumer and organizational
buying as related to each of the following: Target Market,
Purchasers, Buying Process, Sales Cycle, and Sales Drivers.
Make sure to know these differences well. Page 80 Lesson 43

2. What are the factors that influence B2B Sales? Make sure to
identify (in bullet points) identifying characteristics if each
influencing factors. (Page 80, lesson 43)
Interpersonal:
• Job position, tenure, and level in the organization may all play a role influencing a
purchase decision.
• Relationships with peers, managers, and purchasing professionals or members of a
procurement department could lead them to exert more (or less) influence over the final
selection.
Organizational:
• Purchasing decisions may be influenced by organizational strategies, priorities, and
performance.
• Decision makers and providers competing for the business must present a compelling
explanation for how the new purchase will help the organization be more effective at
achieving its mission and goals.
Environmental:
• Health of the economy and industry a company is in may determine a purchase decision.
• Competitive pressures can create a strong sense of urgency surrounding organizational
decision making and purchasing.
 3. Briefly describe the three major buying situations (straight
rebuy, modified rebuy, and new task) and explain the key
differences between each. Lesson 44 Page 81
Straight rebuy: organization reorders a product or service without modifications. Routine
transaction. Selection has already occurred.
Modified rebuy: organization reorders a product or service with modifications. Negotiation of
terms and there may be new participants in the buying decision.
New task: buying situation where an organization considers buying a product or service for the
first time. Participants and amount of information tend to increase with cost and risks associated
with the transaction. Winning new business.

4. Identify the six roles (participants) involved in the organizational

buying center and describe their function/functions in the
organizational buying process.
• Initiators: suggest purchasing a product or service
• Influencers: try to affect the outcome decision with their opinions
• Deciders: have the final decision
• Buyers: responsible for the contract
• End users: users of the item being purchased
• Gatekeepers: control the flow of information

5. What are the roles the decision-making units have in a hi-tech

sector. Page 82 lesson 45
Economic buyer – responsible for buying products that enable the company to achieve business
advantage.
Infrastructure buyer – (also known as influencers) influence the buying decision at the executive
level.
User buyer – initiates the purchase process and influences the buying decision at the user level.

6. Identify the five approaches utilized by various organizations to

implement negotiating strategies. (Lesson 46, Page 83)
 7. What are the specific steps taken in integrative approach?
(Lesson 46 Page 83)
Enter the negotiation from a cooperative stance, listening as you develop trust and learn what
both parties want (mutual understanding), all parties explore ways to achieve individual goals.
Putting your heads together finds a solution that meets all needs – win/win situation. Parties look
for ways to integrate their goals under a larger umbrella.

8. What are the Five phases in Negotiations? In bullet points

identify at least two important characteristics of each of these
phases. (Lesson 46, Page 83)
Investigation: information gathering stage. Begin with yourself – what do you want to achieve?
What are your goals for the negotiation?
Determining your desired outcome: thinking about desired outcome or best alternative to a
negotiated agreement. Helps you to know whether to accept an offer.
Presentation: assemble information gathered in a way that supports your position.
Bargaining: parties discuss goals and seek an agreement. Making concessions to demonstrate
cooperativeness and move negotiation toward a conclusion.
Closure: at the close of the negotiation, both parties have come to an agreement on the terms, or
one party has decided that the final offer is unacceptable, so they walk away.

9. What is the difference between a distributive view and integrative

view of negotiation? (Lesson 46, Page 83)
Divide the pie (win/lose) vs. expand the pie/umbrella (win/win)

10. Based on the Dual Concern Model, explain the five common
styles involved in handling conflict. (Lesson 47, Page 84).
Avoidance – low concern for others, low concern for self. Uncooperative and unassertive, seek to
avoid conflict by denying it is there.
Accommodation – high concern for others, low concern for self. Cooperative and unassertive,
person gives in to one side, sacrificing personal goals.
Compromise – middle of both. Each person sacrifices something valuable.
Competition – low concern for others, high concern for self. Want to reach your goal regardless
of others.
Collaboration – high concern for others, high concern for self. High on assertiveness and
cooperation, achieve the best outcome from conflict. Goal is to find a win/win.

11. Describe the two competing concerns explained in the Dual

Concerns Model. (Lesson 47, Page 84)
Cooperation – concern for the needs of others.
Assertiveness – concern for your own needs/self-interest.

12. As described in the course material, what are the four reasons
for B2B sales processes having fewer controls than B2C
processes. (Lesson 48, Page 85)
Personal sales are relationship based, requiring the seller to tailor the process for the specific
buyer’s personality and approach.
B2B sales are often large and complex requiring personalizing the market mix to the individual
buyer.
Pricing is negotiated rather than set and uniform.
Communication about the product/pricing takes place mainly through presentations and
discussions.

13. What are some of the ethical responsibilities of sales and

marketing employees. (Lesson 48, Page 85)
Demonstrate respect for your target customer.
Demonstrate high personal standards in business relationships.
Provide fair value to the target customer.
Play nicely in the competitive environment.
Be truthful.