1. Is it true that the more loyal the firmâ??s profitable customers, the higher the firmâ??s…

1. Is it true that the more loyal the firm’s profitable
customers, the higher the firm’s customer equity?
a. no
b. yes
c. maybe
d. cannot tell accurately
e. only if the value proposition is understood

2. Surveys show that in markets with few customers and
high margins, sellers want to create ________ with key customers.
a. basic relationships
b. relationship marketing
c. extreme partnerships
d. full partnerships
e. marketing myopia

3. Many organizations today realize that in addition to
providing financial benefits to customers, they must also add ________
a. social
b. emotional
c. rational
d. psychographic
e. product-use

4. By supplying customers with special equipment or
computer linkages that help them manage their orders, payroll, or inventory, a
business marketer would be building customer relationships by adding ________.
a. greater customer service
b. partnership marketing
c. structural ties
d. value-added services
e. none of the above

5. Besides just acquiring customers, marketing ultimately
involves both keeping and ________ profitable customers.
a. tracking
b. placing in a database
c. growing
d. satisfying
e. none of the above

6. We can say that the major forces behind the new
ability to bring value to customers are the explosive advances in computers,
information, transportation, and ________.
a. telecommunications
b. improved market research
c. better-trained marketing departments
d. Web sites
e. customer–vendor relations

7. A tremendous advantage of modern communication and
advertising tools is that marketers can zero in on selected customers with
carefully ________.
a. selected customer profiles
b. standardized products
c. flexible pricing ranges
d. identified behaviors
e. targeted messages

8. A recent study confirms that Internet-based shopping
in the United States has reached about what percent?
a. 40 percent
b. 50 percent
c. 65 percent
d. 70 percent
e. 80 percent

9. Many marketers use a concept today to determine which
customers can be served profitably and which ones cannot. They target the
winning ones for pampering. This concept is called ________.
a. selective relationship management
b. target marketing
c. market segmenting
d. selective targeting
e. partnership marketing

10. There is a trend today to do away with unprofitable
customers. This ends up improving the ________ of the firm.
a. database
b. profitability
c. image
d. customer relationships
e. market share