Marketing Strategy Flashcards
7 cards from real PCM practice questions. Tap to flip, then mark Knew It or Still Learning — missed cards come back until you master them.
Read the first 7 Marketing Strategy flashcards as text
A brand with high brand equity benefits most directly from:
Answer: Greater pricing power, customer loyalty, and easier new product acceptance
Strong brand equity enables premium pricing, lowers customer churn, and creates a halo effect that eases acceptance of brand extensions.
In a competitive intelligence context, the term 'competitive benchmarking' refers to:
Answer: Systematically comparing a company's processes and metrics against best-in-class competitors
Competitive benchmarking identifies performance gaps by measuring the company against rivals or industry leaders on key operational and strategic metrics.
A company that reduces product line breadth to focus on fewer, stronger SKUs is executing a strategy of:
Answer: Portfolio pruning or rationalization
Portfolio rationalization eliminates underperforming or redundant SKUs to concentrate resources on products with the strongest margins and market positions.
Which element of a SWOT analysis represents external factors the company cannot control but can exploit?
Answer: Opportunities
Opportunities are favorable external conditions—market trends, regulatory changes, or competitor weaknesses—that the firm can leverage to its advantage.
A company using a 'focus' generic strategy (Porter) differs from broad differentiators primarily because it:
Answer: Targets a narrow customer segment or niche rather than the broad market
A focus strategy tailors competitive advantages—cost or differentiation—to the specific needs of a well-defined, narrow segment rather than the whole market.
Net Promoter Score (NPS) is strategically relevant to marketers because it:
Answer: Correlates customer advocacy levels with organic growth potential and customer retention
NPS measures the likelihood of customers to recommend the brand, which research links to word-of-mouth growth, retention, and overall business performance.
When a company shifts from a product-centric to a customer-centric marketing strategy, the most fundamental change is:
Answer: Organizing strategy around customer needs, relationships, and lifetime value rather than product attributes
Customer-centricity reorients the entire organization to understand and serve customer needs profitably, measuring success through customer metrics like CLV and satisfaction rather than product metrics.