Chapter 5 Marketing
56) ________ is composed of all parties who participate in the purchasing decision-making process and share common goals and risks associated with their decisions. A) The buying center B) The marketing sales team C) Strategic management D) Engineering support E) The logistics center
Answer: A Diff: 1 LO: 5.5: Who participates in the business buying process, and how are buying decisions
31) When a marketer tries to alter consumers' beliefs about her company's brand to get the consumers to rethink a purchase decision, she is using ________. A) psychological repositioning B) competitive depositioning C) positioning D) repositioning E) biased positioning
Answer: A Diff: 2 LO: 5.3: How do consumers make purchasing decisions? AACSB: Analytical thinking
32) A key driver of sales frequency is the product ________ rate. A) consumption B) disposal C) refusal D) utility E) option
Answer: A Diff: 2 LO: 5.3: How do consumers make purchasing decisions? AACSB: Reflective thinking
46) Shoe manufacturers are not going to buy much more leather if the price of leather falls, nor will they buy much less leather if the price rises, unless they can find satisfactory substitutes. This is an example of ________. A) inelastic demand B) direct purchasing C) decision framing D) a modified rebuy E) a straight rebuy
Answer: A Diff: 2 LO: 5.4: What is the business market, and how does it differ from the consumer market? AACSB: Analytical thinking
45) The purchasing department buys office supplies on a routine basis from a pre-approved list of suppliers. This type of purchase is classified as a ________. A) straight rebuy B) modified rebuy C) new task D) secondary purchase E) procure-to-pay
Answer: A Diff: 2 LO: 5.4: What is the business market, and how does it differ from the consumer market? AACSB: Reflective thinking
61) Patrick J. Robinson and his associates have identified eight stages in the business buying-decision process. This model is called the ________ framework. A) buygrid B) buying/selling C) seller-centered D) commercial E) buy-analysis
Answer: A Diff: 2 LO: 5.5: Who participates in the business buying process, and how are buying decisions made? AACSB: Reflective thinking
4) ________ refers to a set of distinguishing human psychological traits that lead to relatively consistent and enduring responses to environmental stimuli. A) Image B) Personality C) Psychological transformation D) Lifestyle E) Acculturation
Answer: B Diff: 1 LO: 5.1: How do cultural, social, and personal factors influence consumer buying behavior? AACSB: Reflective thinking
42) ________ refers to the decision-making process by which formal organizations establish the need for purchased products and services and identify, evaluate, and choose among alternative brands and suppliers. A) Marketing channels B) Organizational buying C) Corporate retailing D) Brand auditing E) Inventory control
Answer: B Diff: 1 LO: 5.4: What is the business market, and how does it differ from the consumer market? AACSB: Reflective thinking
65) Many business buyers prefer to buy a total solution to a problem from one seller. This process is also known as ________. A) channel consolidation B) systems buying C) vertical buying D) horizontal buying E) supply buying
Answer: B Diff: 1 LO: 5.5: Who participates in the business buying process, and how are buying decisions made? AACSB: Reflective thinking
3) Joe is a computer service technician. People in his neighborhood usually depend on his suggestions for purchasing any computer accessory or hardware, as they believe that he has access to far more information on computer technology than the average consumer. The neighbors are also aware that Joe has the required knowledge and background for understanding the technical properties of the products. Within this context, Joe can be called a(n) ________. A) transactional leader B) opinion leader C) role model D) gate-keeper E) international marketer
Answer: B Diff: 2 LO: 5.1: How do cultural, social, and personal factors influence consumer buying behavior? AACSB: Analytical thinking; Application of knowledge
14) ________ can work to the advantage of marketers with strong brands when consumers make neutral or ambiguous brand information more positive. A) Selective attention B) Selective distortion C) Selective retention D) Selective choice E) Selective embellishment
Answer: B Diff: 2 LO: 5.2: What major psychological processes influence consumer buying behavior? AACSB: Analytical thinking
18) Amtex Electronics, a consumer products brand, frequently advertises its products inside supermarkets and retail stores to promote the process of memory ________ and stimulate purchase. A) verification B) retrieval C) decoding D) formation E) augmentation
Answer: B Diff: 3 LO: 5.2: What major psychological processes influence consumer buying behavior? AACSB: Analytical thinking
30) Even if consumers form brand evaluations, two general factors can intervene between the purchase intention and the purchase decision: one is unanticipated situational factors; what is the other factor? A) amount of purchasing power B) attitudes of others C) short-term memory capabilities D) ability to return merchandise E) the self-concept
Answer: B Diff: 3 LO: 5.3: How do consumers make purchasing decisions? AACSB: Analytical thinking
44) Pittsburgh-based Consol Energy's coal business largely depends on orders from utilities and steel companies which, in turn, depend on broader economic demand from consumers for electricity and steel-based products like automobiles and appliances because of ________. A) fluctuating demand B) derived demand C) professional purchasing D) multiple buying influences E) multiple sales calls
Answer: B Diff: 3 LO: 5.4: What is the business market, and how does it differ from the consumer market? AACSB: Application of knowledge
60) If you were an upper-level marketing executive of a large seller of trucks, which of the following strategies would be most appropriate in reaching buying center targets? A) Concentrate on key buying influencers. B) Use multilevel in-depth selling. C) Use trade-based promotions. D) Concentrate sales efforts on the support staff. E) Move all operations to the Internet.
Answer: B Diff: 3 LO: 5.5: Who participates in the business buying process, and how are buying decisions made? AACSB: Analytical thinking; Application of knowledge
63) The approach to cost reduction that studies whether components can be redesigned or standardized or made by cheaper methods of production without adversely impacting product performance is termed as ________. A) maintenance, repair, and operating (MRO) B) product value analysis (PVA) C) vendor managed inventories (VMI) D) supplier performance management (SPM) E) supplier added value effort (SAVE)
Answer: B Diff: 3 LO: 5.5: Who participates in the business buying process, and how are buying decisions made? AACSB: Reflective thinking
2) The relatively homogeneous and enduring divisions in a society, which are hierarchically ordered and whose members share similar values, interests, and behavior constitute a ________. A) culture B) subculture C) social class D) family E) group
Answer: C Diff: 1 LO: 5.1: How do cultural, social, and personal factors influence consumer buying behavior? AACSB: Reflective thinking
29) ________ are rules of thumb or mental shortcuts in the decision process. A) Attitudes B) Beliefs C) Heuristics D) Discriminations E) Biases
Answer: C Diff: 1 LO: 5.3: How do consumers make purchasing decisions?
5) ________ portrays the "whole person" interacting with his or her environment. A) Attitude B) Personality C) Lifestyle D) Self-concept E) Subculture
Answer: C Diff: 2 LO: 5.1: How do cultural, social, and personal factors influence consumer buying behavior? AACSB: Reflective thinking
15) ________ is the tendency to interpret information in a way that will fit our preconceptions. A) Selective retention B) Cognitive dissonance C) Selective distortion D) Subliminal perception E) Selective embellishment
Answer: C Diff: 2 LO: 5.2: What major psychological processes influence consumer buying behavior? AACSB: Reflective thinking
25) The milder information search state where a person simply becomes more receptive to information about a product is called ________. A) active information search B) information search C) heightened attention D) purchase decision E) dynamic information search
Answer: C Diff: 2 LO: 5.3: How do consumers make purchasing decisions? AACSB: Reflective thinking
26) Brands that meet consumers' initial buying criteria are called the ________ set. A) total B) awareness C) consideration D) choice E) decision
Answer: C Diff: 2 LO: 5.3: How do consumers make purchasing decisions? AACSB: Reflective thinking
43) Which of the following is TRUE for business marketers? A) They deal with more and larger buyers than consumer marketers. B) They deal with more and smaller buyers than consumer marketers. C) They deal with fewer and larger buyers than consumer marketers. D) They deal with fewer and smaller buyers than consumer marketers. E) They deal with the same kind of buyers as consumer marketers.
Answer: C Diff: 2 LO: 5.4: What is the business market, and how does it differ from the consumer market? AACSB: Analytical thinking
76) Which of the following is a form of cheating or undersupply relative to an implicit or explicit contract which usually takes place when buyers cannot easily monitor supplier performance? A) institutional sale B) business buying C) opportunism D) vertical integration E) contractual transactionism
Answer: C Diff: 2 LO: 5.6: How can companies build strong relationships with business customers? AACSB: Reflective thinking
16) Anne is a frequent purchaser of Yoplait strawberry yogurt. For once, she decides to try a different flavored yogurt. Instead of trying out the flavors offered by competing brands, Anne selects a different flavor offered by Yoplait. Here, her past experience with the brand prompts her to make the choice. Anne's behavior can be best described as ________. A) fallacy of proposition B) associative networking C) generalization D) heuristic thinking E) self-actualization
Answer: C Diff: 3 LO: 5.2: What major psychological processes influence consumer buying behavior? AACSB: Analytical thinking; Application of knowledge
33) A consumer tells another consumer, "Every time I eat at Big Bill's Steakhouse, I get poor service." Whether this is true or not, it is the consumer's perception. This is an example of consumers basing future predictions on the quickness and ease with which a particular example of an outcome comes to mind. This scenario would be an illustration of the ________ heuristic. A) discrimination B) differentiation C) availability D) screening E) representativeness
Answer: C Diff: 3 LO: 5.3: How do consumers make purchasing decisions? AACSB: Analytical thinking
58) In which of the following is a person performing the role of an influencer? A) Dan decides on the product requirements and makes the final choice of suppliers. B) Luke has the authority to pick out the supplier and negotiate the terms of purchase. C) Liam heads the Tech team at LKG and provides information for evaluating the possible alternatives. D) LKG gets many calls from potential suppliers, and it is Leah's job to weed out the good prospects and refer them to others in LKG. E) Dana authorizes the actions of the deciders and buyers in LKG.
Answer: C Diff: 3 LO: 5.5: Who participates in the business buying process, and how are buying decisions made? AACSB: Analytical thinking
59) Small sellers to a buying center should first concentrate their marketing efforts on reaching ________. A) approvers B) initiators C) influencers D) users E) initiators
Answer: C Diff: 3 LO: 5.5: Who participates in the business buying process, and how are buying decisions made? AACSB: Reflective thinking
74) Value Central has a partnership of high trust and commitment with certain suppliers and gives them access to its sophisticated and detailed daily, individual store-based sales data. In exchange, those suppliers are responsible for managing Value Central's inventory of their products. This relationship is best described as ________. A) basic buying and selling B) contractual transaction C) collaborative D) customer supply E) customer is king
Answer: C Diff: 3 LO: 5.6: How can companies build strong relationships with business customers? AACSB: Analytical thinking; Application of knowledge
1) ________ is the study of how individuals, groups, and organizations select, buy, use, and dispose of goods, services, ideas, or experiences to satisfy their needs and wants. A) Target marketing B) Mind mapping C) Consumer activism D) Consumer behavior E) Product differentiation
Answer: D Diff: 1 LO: 5.1: How do cultural, social, and personal factors influence consumer buying behavior? AACSB: Reflective thinking
28) The expectancy-value model of attitude formation posits that consumers evaluate products and services by combining their ________. A) needs B) wants C) desires D) brand beliefs E) consuming attitudes
Answer: D Diff: 2 LO: 5.3: How do consumers make purchasing decisions? AACSB: Reflective thinking
47) In a ________ purchasing situation, the buyer wants to make some change to existing product specifications, prices, delivery requirements, or other terms. A) new rebuy B) regular buy C) straight rebuy D) modified rebuy E) new task
Answer: D Diff: 2 LO: 5.4: What is the business market, and how does it differ from the consumer market? AACSB: Reflective thinking
57) If you performed the role of the ________ in a buying center, you would be the person that has the power to prevent sellers or information from reaching other members of the buying center. A) initiator B) influencer C) decider D) gatekeeper E) approver
Answer: D Diff: 2 LO: 5.5: Who participates in the business buying process, and how are buying decisions made? AACSB: Analytical thinking
13) The starting point for understanding consumer behavior is the ________ model in which marketing and environmental stimuli enter the consumer's consciousness, and a set of psychological processes combine with certain consumer characteristics to result in decision processes and purchase decisions. A) self-reliance B) self-perception C) psychogenic D) stimulus-response E) projective
Answer: D Diff: 3 LO: 5.2: What major psychological processes influence consumer buying behavior? AACSB: Reflective thinking
64) Which of the following is an example of a functional hub? A) Plastics.com allows plastics buyers to search the best prices among thousands of plastics sellers. B) ChemConnect.com is an online exchange for buyers and sellers of bulk chemicals. C) SteelMart.com concentrates on steel buyers from the United States. D) SupplyLink.com offers manufacturers from different industries information on ensuring workplace safety. E) PaperTiger.com offers paper buyers a comprehensive look at the prices and quality in the paper market.
Answer: D Diff: 3 LO: 5.5: Who participates in the business buying process, and how are buying decisions made? AACSB: Analytical thinking
27) ________ are a person's enduring favorable or unfavorable evaluations, emotional feelings, and action tendencies toward some object or idea. A) Discriminations B) Values C) Beliefs D) Feelings E) Attitudes
Answer: E Diff: 1 LO: 5.3: How do consumers make purchasing decisions? AACSB: Reflective thinking
6) Marketers who target consumers on the basis of their ________ believe that they can influence purchase behavior by appealing to people's inner selves. A) time famine B) sophistication C) money constrain D) social class E) core values
Answer: E Diff: 2 LO: 5.1: How do cultural, social, and personal factors influence consumer buying behavior? AACSB: Reflective thinking
17) The associative network memory model views long-term memory as ________. A) a subliminal perception B) the interplay of drives C) a strong internal stimulus impelling action D) a temporary and limited repository of information E) a set of nodes and links
Answer: E Diff: 2 LO: 5.2: What major psychological processes influence consumer buying behavior? AACSB: Reflective thinking
62) In reordering office supplies, the only stages that the buyer passes through are the product specification stage and the ________ stage. A) problem recognition B) general need description C) order-routine specification D) supplier search E) performance review
Answer: E Diff: 2 LO: 5.5: Who participates in the business buying process, and how are buying decisions made? AACSB: Reflective thinking
75) In the ________ category of buyer-supplier relationship, although bonded by a close, cooperative relationship, the seller adapts to meet the customer's needs without expecting much adaptation or change on the part of the customer in exchange. A) contractual transaction B) cooperative system C) collaborative D) mutually adaptive E) customer is king
Answer: E Diff: 2 LO: 5.6: How can companies build strong relationships with business customers?
