A Profit B Earnings C Operating profit D Customer equity E Net value AACSB

A profit b earnings c operating profit d customer

This preview shows page 132 - 134 out of 164 pages.

A. ProfitB. EarningsC. Operating profitD.Customer equityE. Net valueAACSB: Reflective ThinkingBloom's: KnowledgeDifficulty: EasyLearning Objective: 02-06 understand what customer equity is and why marketing strategy planners seek to increase it.222.(p. 43)Customer equity A. is of concern to top management, but not very relevant in planning a particular marketing strategy.B.takes the perspective of the owners of (investors in) a firm.C. always increases over time, at least as long as a firm can stay in business.D. is important to marketing managers but of little interest to investors.E. increases as long as the number of customers that a firm serves increases over time.AACSB: Reflective ThinkingBloom's: ComprehensionDifficulty: MediumLearning Objective: 02-06 understand what customer equity is and why marketing strategy planners seek to increase it.223.(p. 43)Customer equity is A. simply the financial result achieved by a single marketing strategy.B. the total difference between the benefits of a firm's whole marketing program and total costs of obtaining those benefits, as the group of target customers sees it.C.increased when a firm is able to increase the earnings stream expected from current or prospective customers.D. decreased whenever the firm's costs of offering a marketing mix increase.E. the difference between the benefits of a firm's marketing mix and the cost of obtaining those benefits--as a particular customer sees it.AACSB: Reflective ThinkingBloom's: ComprehensionDifficulty: MediumLearning Objective: 02-06 understand what customer equity is and why marketing strategy planners seek to increase it.2-132
Background image
Chapter 02 - Marketing Strategy Planning224.(p. 42-44)Which of the following is NOT a reason the marketing program should build customer equity? A.Marketing strategies do not contribute to customer equity.B. Expected profits depend on customer equity.C. Owners expect financial returns.D. Profit growth comes from customers.E. Customers are the source of revenue.AACSB: Reflective ThinkingBloom's: ComprehensionDifficulty: MediumLearning Objective: 02-06 understand what customer equity is and why marketing strategy planners seek to increase it.225.(p. 43-44)Which of the following is mostlikely to increase a firm's customer equity? A. The firm offers a more costly marketing mix that attracts more customers.B. The firm offers customer value that is at least as good as what is offered by competitors.C.The lifetime value of the firm's individual customers increases.D. The competition in the firm's market increases.E. The firm cuts costs by reducing promotion efforts.AACSB: Reflective ThinkingBloom's: ComprehensionDifficulty: HardLearning Objective: 02-06 understand what customer equity is and why marketing strategy planners seek to increase it.226.(p. 43)____ is the difference between the firm's revenues (total dollar sales) and the total costs it runs up to make those sales.
Background image
Image of page 134

You've reached the end of your free preview.

Want to read all 164 pages?

  • Left Quote Icon

    Student Picture

  • Left Quote Icon

    Student Picture

  • Left Quote Icon

    Student Picture