MISY 5380 MIDTERM EXAM QUESTIONS

MISY 5380 MIDTERM EXAM QUESTIONS

AND ANSWERS

Question: Mass marketing techniques:

• continue to be cost-effective based on companies' abilities

to measure results.

• are successful based on the continued pull of network

television and mass-oriented national magazines.

• went out of vogue due to companies' inability to measure

results.

• became useful again through the application of SFA and

ERP.

• are still the underlying force of CRM.

Correct Answer: 3. went out of vogue due to companies'

inability to measure results.

Question: Difficulties in integrating customer data include all

but which one of the following?

• disparate databases
• multiple touchpoints
• inconsistent and old customer data
• dissimilar applications
• idiosyncratic-fit

Correct Answer: 5. idiosyncratic-fit

Question: Which is a true finding with respect to the

establishment of CRM systems?

• Shifting the focus from products to customers is not a

major problem since product management systems are often in place.

• Marketing, sales, and even engineering should act on data

collected by the customer contact center.

• Customer information should never be disseminated to

those outside the company in the distribution channel.

• Top management is generally unwavering in its support of

CRM establishment.

• all of the above are true

Correct Answer: 2. Marketing, sales, and even engineering

should act on data collected by the customer contact center.

Question: CRM systems:

• should emphasize platform technology first and problem-

solving second.

• should be functional in nature.
• are too often tied to business goals without consideration

of IT concerns.

• work best in functional silos.
• sometimes consist of CRM suites or CRM point solutions.

Correct Answer: 5. sometimes consist of CRM suites or

CRM point solutions.

Question: Acquaintance relationships are:

• based on satisfaction.
• based on above-parity products and services.
• expected in value added partnerships
• typical in value added networks
• all of the above

Correct Answer: 1. based on satisfaction.

Question: 360 degree view of the customer means:

• a consistent view of the customer from beginning to end of

the relationship.

• customer data from all business areas.

3. Incorrect: customer data from all touch points.

• a hierarchy of effects of customer behavior.
• A, B, and C are all aspects of a 360 degree view.

Correct Answer: 5. A, B, and C are all aspects of a 360

degree view.

Question: Customer Lifetime Value is:

• introduction, growth, maturity, decline, and abandonment

of the customer life cycle

• product life cycle analysis in customer terms.
• a customer's total income minus disposable income spent

on a company's offerings.

• the net present value of future profits to be received from a

customer during a specified period of years.

• none of the above

Correct Answer: 4. the net present value of future profits to

be received from a customer during a specified period of years.

Question: A company is practicing CRM when:

• it has adopted a profitable customer-centric focus through

the use of customer information.

• it analyzes customer information to create data silos.
• sales department personnel are capable of doing marketing

research.

• tactics and strategies are replaced by customer simulations.
• all are true

Correct Answer: 1. it has adopted a profitable customer-

centric focus through the use of customer information.

Question: Why are CRM systems being extensively used

today?

• To foster satisfaction and trust.
• To enhance productivity across all key marketing

functions.

• To increase transaction revenue.
• To improve offensive marketing.
• To enable organizations to better manage ERP, SAP, and

PRM.