4) A store owner wants to find out if the customer satisfactory rating (1 being the lowest and 5 being thehighest) affects the selling power of the store. Listed below is the customer satisfactory rating of theyear and its corresponding sale (in thousands):SatisfactoryRatingSales4.31543.331334.211803.891904.0200

Customer Satisfaction can be one thing that can make all the difference in the business. It is the…

Answered: 4) A store owner wants to find out if…

Principles Of Marketing

17th Edition

ISBN:9780134492513

Author:Kotler, Philip, Armstrong, Gary (gary M.)

Publisher:Kotler, Philip, Armstrong, Gary (gary M.)

Chapter1: Marketing: Creating Customer Value And Engagement

Section: Chapter Questions

Problem 1.1DQ

See similar textbooks

Similar questions

The American Baker's Association reports that annual sales of bakery goods last year rose 15 percent, driven by a 50 percent increase in the demand for bran muffins. Most of the increase was attributed to a report that diets rich in bran help prevent certain types of cancer. You are the manager of a bakery that produces and packages gourmet bran muffins, and you currently sell bran muffins in packages of three. However, as a result of this new report, a typical consumer's inverse demand for your bran muffins is now P= 11 -15Q If your cost of producing bran muffins is C(Q) = 3.5Q, determine the optimal number of bran muffins to sell in a single package and the optimal package price. Instructions: Enter your response for the optimal package price rounded to two decimal places. Optimal package size: Optimal package price: $ units
3. The manager for a manufacturing company must recommend whether to construct a large plant, construct a small plant or do nothing. He estimates the long-run profits in $ as follows: State of Nature Alternative Good Average Poor Market($) Market ($) Market ($) Construct a 100,000 35,000 -60,000 large plant Construct a 75,000 25,000 -40,000 small plant Do nothing -5,000 0 0 Probability 25% 50% 25% Solve using: A. Expected Opportunity Loss B. Expected Value of Perfect Information
Bashaer is a millionaire but always buy a TOYOTA ACCORD even though he can afford Mercedes Benz sports car. Nayef on the other hand cannot afford to buy BMW, but he made a bank loan to purchase the BMW Coupé for half a million dollars. Explain why they choose those cars by describing through the Customer’s Lifetime Value (CLV) Assessments. Explain the importance of the Customer Profile Components of Nayef and Bashaer.
Deborah Kellogg buys Breathalyzer test sets for the Denver Police Department. The quality of the test sets from her two suppliers is indicated in the following table: percent defective probability for winter park probability for technology dayton enterprise 1% 0.65 0.25 3% 0.25 0.25 5% 0.10 0.50 For example the probability of getting a batch of tests that are 1% defective from Winter park technology is 0.65. Because Kellogg orders 10,000 tests per order, this would mean there is a 0.65 probability of getting 100 defective tests out of the 10,000 tests if Winter park technology is used to fill the order. A defectice breathalyzer test can be repaired for $0.50. Although the quality of the…
Sun TV sells TV sets. It does not sell smart TVs so customers do not come to Sun TV if they want to purchase smart TVs. Sun TV wants to start selling smart TVs and will only sell smart TVs to customers to whom they advertise. Managers use customer information (income level, previous purchase history) to decide which customers they should target. The team needs to decide how sure it must be in predicting customer interest in a smart TV. If it is too cautious, it will choose a very high cutoff probability and only market to customers who it believes are very likely to be in the market for a smart TV. This may cause them to miss out on many customers. If they are too aggressive and choose a low cutoff probability, they may identify more individuals interested in buying smart TVs but also end up wasting marketing dollars on customers who are not interested in purchasing smart TVs. To choose a cutoff probability, the team develops the confusion matrices below for two cutoff probabilities on…
Use the following information to answer multiple-choice Questions 21 to 30. A fibre glass company is considering the possibility of introducing a new product. Because of the expense involved in developing the initial moulds and acquiring the necessary equipment to produce fibreglass, it has decided to conduct a pilot study to make sure that the market will be adequate. They estimate that the pilot study will cost £12,000. Furthermore, the pilot study can be either successful or unsuccessful. The basic decisions are to build a large manufacturing facility, a small manufacturing facility, or no facility at all. With a favourable market, the company can expect to make £100,000 from the large facility or £60,000 from the smaller facility. If the market is unfavourable, however, they estimate that they would lose £40,000 with a large facility, while they would lose only £30,000 with the small facility. The company estimates that the probability of a favourable market given a successful…
A new car rental company has decided to differentiate itself by creating a service aimed at people who need to rent a car for a few hours or a few days while their car is repaired. The company believes that it will be profitable as it will win the favor of consumers by providing services that large companies do not offer. For example, bring the car to the customer and pick it up at the end of the rental. Based on this description, which of the following differentiation strategies is the company planning to use? Select one: a. service-based b. based on product c. based on personal treatment d. based on image
Use the below formula to calculate the CLV for the following: A manager of a cable company wants to determine if it is strategic to acquire the Brett family, by estimating their household-level CLV. The manager estimates that it will cost the company $80 (A) to get the Bretts’ to switch, and the Bretts’ will generate $150 profit each year (M), with a $30 annual marketing cost to retain them (C). The estimated retention rate (r) is 65%, and the current discount rate is 5%.(d) i) CLV= ii) Based on your calculation, are the Brett’s profitable to the cable company?
Jane has shortlisted 4 brands of computers and given them the following ratings on a scale of 1 - 10 with 10 the highest. She assigns 40% importance to memory, 30% to graphics, 20% to software and 10% to price. Predict the computer brand she is most likely to buy. Brand Memory Graphics Software Price A 9 8 6 4 B 8 9 8 3 C 6 8 10 5 D 4 3 7 8
The Gorman Manufacturing Company must decide whether to manufacture a component part at its Milan, Michigan, plant or purchase the component part from a supplier. The resulting profit is dependent upon the demand for the product. The following payoff table shows the projected profit (in thousands of dollars): Decision State of Nature Alternative Low Demand (S1) Medium Demand (S2) High Demand )S3) Manufacture, d(1) -20 40 100 Purchase, d(2) 10 45 70 The state-of-nature probabilities are P s1= 0.35, P s2= 0.35, and P s3= 0.30 Use expected value to recommend a decision.
In dividing up the quality and price (MSRP) of similar retail goods, the expression good- better-best is often used. A retailer selects merchandise for sale by: 1. Stocking anything and everything customer segments are likely to buy. 2. Always stocking mostly better quality as the "general" quality level. 3. Choosing mostly from one of these, and having a few items from an adjacent quality rank. 4. Choosing only one rank so customers are never confused about the store's positioining.
One of your company’s products is put into the market and soon found having some quality defects. How do you organize market data (and what kind of data) to evaluate the effect and cost of the quality defects to this model of the product and to the company?

SEE MORE QUESTIONS

Recommended textbooks for you

Principles Of Marketing

Marketing

ISBN:

9780134492513

Author:

Kotler, Philip, Armstrong, Gary (gary M.)

Publisher:

Pearson Higher Education,

Marketing

ISBN:

9781259924040

Author:

Roger A. Kerin, Steven W. Hartley

Publisher:

McGraw-Hill Education

Foundations of Business (MindTap Course List)

Marketing

ISBN:

9781337386920

Author:

William M. Pride, Robert J. Hughes, Jack R. Kapoor

Publisher:

Cengage Learning

Principles Of Marketing

Marketing

ISBN:

9780134492513

Author:

Kotler, Philip, Armstrong, Gary (gary M.)

Publisher:

Pearson Higher Education,

Marketing

ISBN:

9781259924040

Author:

Roger A. Kerin, Steven W. Hartley

Publisher:

McGraw-Hill Education

Foundations of Business (MindTap Course List)

Marketing

ISBN:

9781337386920

Author:

William M. Pride, Robert J. Hughes, Jack R. Kapoor

Publisher:

Cengage Learning

Marketing: An Introduction (13th Edition)

Marketing

ISBN:

9780134149530

Author:

Gary Armstrong, Philip Kotler

Publisher:

PEARSON

MKTG 12:STUDENT ED.-TEXT

Marketing

ISBN:

9781337407595

Author:

Lamb

Publisher:

Cengage

Contemporary Marketing

Marketing

ISBN:

9780357033777

Author:

Louis E. Boone, David L. Kurtz

Publisher:

Cengage Learning

SEE MORE TEXTBOOKS