Exam 1: Chapter 2

Question 1

Marketing Myopia; definition and

Answer 1

• Lose focus of what you do and who your customers are.

- If you lose focus on your customers, you’ll be in trouble

Question 2

Current Examples of Marketing Myopia

Answer 2

Hotels in Las Vegas, gambling, hotel entertainment

Question 3

Four causes of Marketing Myopia

Answer 3

1. A belief that growth is assured by an expanding population
2. A belief that your industry has no competitive substitute
3. Too much faith in production improvement and cost saving
   4 A focus on products and not markets

Question 4

Four celled strategy framework: penetration, market/product development, diversification

Answer 4

• Market penetration – Current Products/Current Markets
  Product development - New Products/Current Markets
  Market development –New Markets/Current Products
  Diversification – New Markets/New Products

Question 5

Market penetration –

Answer 5

–Current Products/Current –Markets

–Selling more Ben & Jerry’s super premium ice cream to Americans.

Question 6

Product development -

Answer 6

–New Products/Current Markets

–Selling a new product such as children’s clothing under the Ben & Jerry’s brand to Americans.

Question 7

Market development

Answer 7

–New Markets/Current Products

Selling Ben & jerry’s super premium ice cream to Brazilians for the first time.

Question 8

Diversification

Answer 8

– New Markets/New Products
–Selling a new product such as children’s clothing under the Ben & Jerry’s brand to Brazilians markets for the first time.