Marketing Exam 1

When a customer feels uneasy about losing out on the benefits of a brand not purchased, she is likely to experience ________. A) selective retention B) selective attention C) selective distortion D) cognitive dissonance E) consumer ethnocentrism

D

When an effective program can be designed for attracting and serving a particular segment, the segment is best described as ________. A) accessible B) measurable C) competitive D) actionable E) differentiable

D

When consumers are highly involved with an expensive, infrequent, or risky purchase but see little difference among brands, they most likely will exhibit ________. A) habitual buying behavior B) complex buying behavior C) impulse buying behavior D) dissonance-reducing buying behavior E) consumer capitalism

D

When customers have low involvement in a purchase but perceive significant brand differences, they will most likely engage in ________. A) complex buying behavior B) dissonance-reducing buying behavior C) habitual buying behavior D) variety-seeking buying behavior E) consumer ethnocentrism

D

When marketers at Fair & Leigh Inc. selected the Millennials, a demographic group that includes many college students, as an untapped group of potential customers for their new line of products, they were engaging in ________. A) occasion segmenting B) local marketing C) market diversification D) market targeting E) product positioning

D

To the extent that a company can differentiate and position itself as providing superior customer value, it gains ________. A) competitive advantage B) complementary assets C) service life D) core competencies E) contingent liability

A

Tropicana promotes drinking orange juice at any time of day as a cool, refreshing drink. The market segmentation approach Tropicana is using is ________. A) occasion segmentation B) benefit segmentation C) age and life-cycle segmentation D) gender segmentation E) behavioral segmentation

A

Venus Inc., a company designing and marketing branded diamond jewelry, targets wealthy consumers with similar needs and buying behaviors, even though the consumers are located in different countries. This is an example of ________ segmentation. A) intermarket B) loyalty C) life-cycle D) income E) psychographic

A

What is the most important consumer buying organization in society? A) family B) social class C) membership group D) subculture E) reference group

A

When the size, purchasing power, and profile of a market segment can be calculated, the market is ________. A) measurable B) profitable C) substantial D) actionable E) competitive

A

Which consumer group tends to show more brand loyalty and makes shopping a family event, with children having a big say in the purchase decision? A) Hispanic Americans B) African Americans C) Arab Americans D) working class consumers E) middle class consumers

A

Which group includes neighborhood residents and community organizations? A) local publics B) government publics C) internal publics D) citizen-action publics E) media publics

A

Which of the following demographic trends is the most likely cause for a rapid increase in telecommuting? A) the migration toward micropolitan and suburban areas B) the migration from rural to metropolitan areas C) the increasing number of traditional households D) the growing percentage of married couples who do not have children E) the declining number of manufacturing workers in today's workforce

A

Which of the following groups influences the company's ability to obtain funds? A) financial publics B) local publics C) general publics D) citizen-action publics E) internal publics

A

Which of the following is NOT a common variable used by both consumer and business marketers while segmenting markets? A) operating characteristics B) loyalty status C) usage rate D) geographic location E) benefits sought

A

Which of the following is a drawback of local marketing? A) Local marketing increases manufacturing costs by reducing the economies of scale. B) Local marketing requires specialization that is difficult to identify. C) Local marketing is not profitable for most small firms. D) Local marketing cannot accommodate the needs of modern buyers who are technology savvy. E) Local marketing almost always results in brand dilution.

A

Which of the following is a major advantage of the market organization? A) The company is organized around the needs of specific customer segments. B) The company exploits bleeding-edge technologies to keep ahead in the market. C) The company has a flat organizational structure. D) The company allows its salespeople to settle into a specific territory. E) The company caters to a single, small market segment.

A

Which of the following is a market-oriented mission statement? A) "We empower customers to achieve their dreams." B) "We sell jumbo burgers." C) "We are an online library." D) "We are a low-cost airline." E) "We make porcelain figurines."

A

Which of the following states the product's membership in a category and then shows its point of difference from other members of the category? A) a mission statement B) a vision statement C) a general need description D) a positioning statement E) an order-routine specification

D

Which of the following would a marketer LEAST likely do to encourage habitual buying behavior? A) dominate shelf space B) run frequent reminder ads C) keep shelves fully stocked D) stress unique features in ads E) offer lower prices and coupons

D

Almost all major purchases result in ________, or discomfort caused by postpurchase conflict. A) need recognition B) cognitive dissonance C) consumer ethnocentrism D) conspicuous consumption E) consumer capitalism

B

Alpha Motors offers "Green automobiles for a greener world." This refers to the ________ of Alpha automobiles. A) brand resonance B) position C) brand equity D) pleasure value E) added value

B

Although more price-conscious than other population segments, ________ consumers tend to be strongly motivated by quality and selection, and give importance to brands. A) lower upper B) African American C) Asian American D) Filipino E) working class

B

In the context of a company's marketing mix, ________ includes company activities that make the product available to target consumers. A) position B) place C) price D) promotion E) branding

B

Jean Malone, a market researcher, recently found that most people in Bradburg County purchase automobiles with predominantly functional designs and prefer darker colors. Which of the following marketing strategies should Jean most likely recommend to an automobile dealer interested in opening a dealership in Bradburg County? A) one-to-one marketing B) undifferentiated marketing C) segmented marketing D) individual marketing E) direct marketing

B

Josie's FarmFresh creates sustainable, all-natural food products. These products are most likely to become popular with which group? A) SOHO B) environmentally conscious C) LGBT D) business E) Millennials'

B

Katrina Mendoza is a senior manager in a manufacturing firm that hires lobbyists to influence legislation that affects the manufacturing industry. Katrina's firm takes a(n) ________ stance toward the marketing environment. A) reactive B) proactive C) adversarial D) passive E) altruistic

B

With an expected increase in ethnic diversity within the American population, marketers are most likely to place a greater emphasis on ________. A) geographic segmentation B) targeted advertising messages C) mass marketing D) "do well by doing good" missions E) corporate giving

B

Workers, managers, and members of the board are examples of ________ publics. A) general B) internal C) local D) citizen-action E) media

B

________ are ambassadors who enthusiastically share their passion for a company's products with large circles of friends and acquaintances. A) Leading adopters B) Brand evangelists C) Surrogate consumers D) Market mavens E) Innovators

B

________ are groups to which an individual wishes to belong, as when a young basketball player hopes to play someday in the NBA or WNBA. A) Membership groups B) Aspirational groups C) Leading adopters D) Subcultures E) Reference groups

B

________ are low-growth, high-share businesses/products that need less investment to hold their market share. A) Stars B) Cash cows C) Question marks D) Dogs E) Bears

B

________ calls for dividing the market into regions, states, counties, cities, or even neighborhoods. A) Benefit segmentation B) Geographic segmentation C) Demographic segmentation D) Psychographic segmentation E) Occasion segmentation

B

________ consumers are one of the fastest-growing U.S. population subsegments and are expected to surge to nearly one third of the total U.S. population by 2030. A) African American B) Hispanic American C) Asian American D) Baby boomer E) Millennial

B

________ describes changes in an individual's behavior arising from experience. A) Lifestyle B) Learning C) Perception D) Cognitive dissonance E) Selective attention

B

________ help companies stock and move goods from their points of origin to their destinations. A) Retailers B) Physical distribution firms C) Marketing services agencies D) Resellers E) Suppliers

B

________ involves actually distinguishing the firm's market offering to create superior customer value. A) Mass customization B) Differentiation C) Market segmentation D) Diversifying E) Targeting

B

________ is the process by which people select, organize, and interpret information to form a meaningful picture of the world. A) Motivation B) Perception C) Dissonance D) Learning E) Self-actualization

B

________ marketing is more suited for uniform products, such as grapefruit or steel. A) Niche B) Undifferentiated C) One-to-one D) Trigger-based E) Local

B

________ means that consumers are likely to remember good points made about a brand they favor and forget good points made about competing brands. A) Selective attention B) Selective retention C) Cognitive dissonance D) Selective distortion E) Cognitive bias

B

________ positioning involves meeting consumers' lower performance or quality requirements at a much lower price. A) More for less B) Less for much less C) Same for less D) More for more E) More for the same

B

________ refers to activities that communicate the merits of the product and persuade target customers to buy it. A) Position B) Promotion C) Pricing D) Segmentation E) Prospecting

B

________ segmentation has long been used in clothing, cosmetics, toiletries, and magazines. A) Behavioral B) Gender C) Benefit D) Occasion E) Geographic

B

Funco Inc., a toy manufacturer, sold plastic racing cars that were manufactured with toxic materials, which threatened the health of several children. Which purpose of government regulation to protect consumers is involved? A) misleading customers in their advertising B) deceiving consumers through their packaging C) making shoddy products D) deceiving consumers through their pricing E) invading consumer privacy

C

Each culture contains smaller ________, or groups of people with shared value systems based on common life experiences and situations. A) cultural universals B) reference groups C) subcultures D) monocultures E) social networks

C

Effective positioning begins with ________. A) pricing B) diversification C) differentiation D) promotion E) segmentation

C

Elmo Corp., a manufacturer of personal computers and printers, recently established an office furniture exporting business. This is an example of ________. A) niche marketing B) local marketing C) diversification D) product adaptation E) downsizing

C

Emerson Studios has designed its marketing organization along the lines of a ________ organization in which operational specialists head different marketing activities. A) geographic B) product C) functional D) customer E) market

C

Facebook, Snapchat and LinkedIn are all examples of ________. A) brand alliances B) opinion leaders C) social networks D) early adopters E) market mavens

C

Five characteristics are important in influencing an innovation's rate of adoption. Which of the following is NOT one of those characteristics? A) relative advantage B) compatibility C) consumability D) complexity E) communicability

C

In the context of behavioral segmentation, markets segmented by ________ can be categorized into light, medium, and heavy product users. A) benefits sought B) loyalty status C) usage rate D) user status E) occasion

C

In the context of product characteristics that influence the rate of adoption, ________ refers to the degree to which the innovation fits the values and experiences of potential consumers. A) communicability B) relative advantage C) compatibility D) complexity E) divisibility

C

Independent bloggers are self-made influencers. Traits that make them relevant to marketers include ________. A) creative writing skills B) professional Web site C) good fit with the brand D) a few vocal followers E) technological skills

C

James has decided to buy a new vehicle. His brother John has recently purchased a new truck and recommends the same model to James. James finally decides to buy the same truck. Which of the following sources of information has most likely influenced James' purchase decision? A) experiential sources B) public sources C) personal sources D) commercial sources E) market mavens

C

John has decided to buy a particular smartphone that he saw reviewed online. Which of the following sources of information has most likely influenced John's purchase decision? A) laggards B) commercial sources C) public sources D) personal sources E) market mavens

C

Jonathan works for a firm that assists companies in promoting, distributing, and selling their products to end consumers. The firm Jonathan works for is a ________. A) licensor B) supplier C) marketing intermediary D) local public E) general public

C

Juana looked at the September issue of her favorite fashion magazine and did not find anything particularly interesting despite the fact that the magazine had several advertisements that were targeted at Juana's demographic. The only thing that interested her was an article about an upcoming fashion show. Which consumer behavior is being illustrated in this instance? A) subliminal advertising B) groupthink C) selective attention D) social loafing E) consumer ethnocentrism

C

The ________ environment consists of laws, government agencies, and pressure groups that influence or limit various organizations and individuals in a given society. A) socio-legal B) cultural C) political D) technological E) economic

C

The boom in Internet marketing has created a new set of social and ethical issues. Critics worry most about ________. A) accessibility B) puffery in advertising C) online privacy issues D) sustainability E) issues pertaining to efficiency

C

The buyer decision process consists of five stages. Which of the following is NOT one of these stages? A) need recognition B) information search C) conspicuous consumption D) purchase decision E) postpurchase behavior

C

The environmental sustainability movement encourages companies to ________. A) actively resist social change B) operate freely in the black market C) go beyond government regulations D) institute deregulation E) curb organizational anarchy

C

The interrelated departments within a company that influence marketing decisions form the ________ environment. A) cultural B) economic C) company D) political E) technological

C

The main section of the marketing plan most likely presents a detailed ________ analysis of the current marketing situation. A) breakeven B) SBU C) SWOT D) regression E) cluster

C

The major activity in strategic planning is ________, whereby management evaluates the products and businesses that make up the company. A) SWOT analysis B) benchmarking C) business portfolio analysis D) breakeven analysis E) prospecting

C

The most common form of marketing organization is the ________ organization. Under this organization, an operational specialist heads different marketing activities. A) geographic B) product management C) functional D) customer management E) market

C

The pharmaceuticals division of Omni Healthcare holds low market share in a high-growth market. According to the BCG matrix, the pharmaceuticals division of Omni can be classified as a ________. A) star B) bear C) question mark D) cash cow E) dog

C

The process of evaluating each market segment's attractiveness and selecting one or more segments to enter is known as ________. A) market segmentation B) diversification C) market targeting D) prospecting E) downsizing

C

When a company customizes its merchandise store by store to meet shopper needs, it is practicing ________ marketing. A) niche B) mass C) local D) segmented E) trigger-based

C

A women's apparel manufacturer in California recently acquired a Houston-based company that manufactures office furniture. This is an example of ________. A) product development B) market development C) market penetration D) diversification E) product differentiation

D

A(n) ________ is a person's relatively consistent evaluations, feelings, and tendencies toward an object or idea. A) lifestyle B) motive C) belief D) attitude E) perception

D

According to Maslow's hierarchy of needs, which of the following is the LEAST pressing need? A) physiological needs B) social needs C) esteem needs D) self-actualization needs E) safety needs

D

According to the Boston Consulting Group approach, ________ provides a measure of market attractiveness. A) product attribute B) product design C) market penetration D) market growth rate E) market segmentation

D

All of the following steps pertain to the marketing control process EXCEPT ________. A) setting goals B) measuring performance C) taking corrective action D) defining the company's mission E) evaluating the causes of gaps between expected and actual performance

D

An Irish company that manufactures umbrellas and ponchos primarily targeting consumers during the winter months is using ________ segmentation. A) psychographic B) income C) geographic D) occasion E) benefit

D

In the 1950s, Americans made a massive exit ________. A) from the South to the Northeast B) from the West to the Midwest C) to foreign countries D) from the cities to the suburbs E) from the coastal towns to the cities

D

In the model of buyer behavior, which of the following is NOT a major type of force or event in the buyer's environment? A) economic B) technological C) social D) political E) cultural

D

Kinger Auto specializes in selling low-quality used vehicles that are priced a good deal lower than other used cars. Which of the following value propositions is evident here? A) more for the same B) more for less C) same for less D) less for much less E) more for more

D

LandPort Transportation and Omega Warehousing help companies move and stock goods from their manufacturing plants to their destinations. These two businesses are examples of ________. A) resellers B) marketing services agencies C) financial intermediaries D) physical distribution firms E) wholesalers

D

Life-stage changes usually result from ________. A) birthdays B) mentors C) friends D) life-changing events E) siblings

D

Many firms today use RFID technology to ________. A) identify new target markets B) analyze threats and opportunities in the macroenvironment C) move toward environmental sustainability D) track products through various points in the distribution channel E) track patterns of online consumer behavior

D

Many managers think that "doing things right," or ________, is as important as, or even more important than, "doing the right things." A) strategy B) planning C) positioning D) implementation E) targeting

D

Marketers often segment international markets according to the type and stability of government. In such instances, they segment markets based on ________. A) geographic location B) economic factors C) cultural factors D) political factors E) sociocultural factors

D

Marketers who use ________ often segment their markets by consumer lifestyles and base their marketing strategies on lifestyle appeals. A) demographic segmentation B) geographic segmentation C) benefit segmentation D) psychographic segmentation E) occasion segmentation

D

Trends in the natural environment include all of the following EXCEPT ________. A) increased government intervention B) the development of an environmental sustainability movement C) increased pollution D) decreased costs of product development E) shortages of raw materials

D

Many companies use ethnically specific themes in their mainstream marketing strategy because marketers have realized that insights gleaned from ethnic consumers can influence their broader markets. This type of marketing is known as ________. A) total market strategy B) buzz marketing C) social networking D) word-of-mouth marketing E) life-style marketing

A

"To busy multitaskers who need help remembering things, Evernote is a digital content management application that makes it easy to capture and remember moments and ideas from your everyday life using your computer, phone, tablet, and the Web." This is an example of a(n) ________. A) positioning statement B) statement of purpose C) order-routine specification D) vision statement E) product specification

A

A buyer's decisions are influenced by ________ such as the buyer's age and life-cycle stage, occupation, economic situation, lifestyle, personality, and self-concept. A) personal characteristics B) stereotypes C) perceptions D) attitudes E) psychographics

A

A catalog retailer in the United States has identified African American professionals between the ages of 35 and 45 as a group of potential customers for its products. The retailer plans to direct its marketing efforts toward this group of consumers. Which of the following market segmentation variables did the catalog retailer most likely use? A) demographic B) psychographic C) user status D) loyalty status E) usage rate

A

A company can ________ an SBU by selling it or phasing it out and using the resources elsewhere. A) divest B) promote C) expand D) harvest E) hold

A

A company or association's ________ is designed to help guide responses to complex social responsibility issues. A) code of ethics B) marketing plan C) non-disclosure policy D) privacy policy E) non-compete clause

A

A company's broad mission leads it to develop all of the following EXCEPT ________. A) budget objectives B) business objectives C) sales objectives D) marketing objectives E) customer engagement objectives

A

A regional supermarket chain runs print, radio, and television advertisements announcing that 1 percent of its sales is donated to local after-school programs for underprivileged youth. This is an example of ________. A) cause-related marketing B) generational marketing C) sustainable marketing D) market segmentation E) product differentiation

A

According to the Boston Consulting Group approach, ________ serves as a measure of company strength in the market. A) relative market share B) product development C) market diversification D) product attribute E) market segmentation

A

Among the generational groups in U.S population, the ________ are still the wealthiest generation in U.S. history. A) baby boomers B) Generation Xers C) Millennials D) echo boomers E) Silent Generation

A

Andrew Levitt runs a retail store in Norristown. Andrew's store stocks cold weather products as Norristown mostly has sub-zero temperatures. Which of the following is evident here? A) local marketing B) concentrated marketing C) segmented marketing D) mass marketing E) direct marketing

A

Arranging for a product to occupy a clear, distinctive, and desirable place relative to competing products in the minds of target consumers is known as ________. A) positioning B) segmenting C) diversifying D) prospecting E) satisficing

A

Babita Singh, a 51-year-old schoolteacher from Los Angeles, believes that people should choose a profession they like, which is an example of Babita's ________. A) secondary belief B) core belief C) core value D) work ethic E) moral code

A

The single most important demographic trend in the United States is the ________. A) changing age structure of the population B) mobility of families C) changing family structure of the population D) increasing number of professional jobs E) increasing birth rate

A

Boxes, Inc. sells products to end users or to other companies that will sell to end users. Boxes, Inc. is a ________. A) reseller B) marketing services agencies C) financial intermediaries D) physical distribution firms E) wholesalers

A

Business legislation is enacted to protect ________. A) consumers from unfair business practices B) businesses from unfair attacks by consumers C) consumers from competition by businesses D) businesses from achieving unfairly high profits E) society from profitable business activity

A

By 2060, ________ will be an estimated 14 percent of the U.S. population. A) African Americans B) Asians C) Hispanics D) Native Americans E) Native Hawaiians

A

By harvesting its SBU, a company would most likely be ________. A) milking the SBU's short-term cash flow regardless of the long-term effect B) selling the SBU or phasing it out and using the resources elsewhere C) investing just enough to hold the SBU's current market share D) investing more in the business unit to build its share E) diversifying the company's product line

A

Cameron loves to own and be up-to-date on the latest technological gadgets available in the market. Among his friends, he is always the first to own the latest electronic gadgets. He loves trying out new products before others. Cameron most likely belongs to the ________ adopter group. A) innovator B) surrogate consumer C) late mainstream D) early mainstream E) lagging

A

Cleats, Unlimited developed a new style of soccer shoe. This is an example of ________. A) product development B) market development C) market penetration D) diversification E) product differentiation

A

Companies that take a proactive stance toward the marketing environment are most likely to ________. A) develop strategies to change the environment in their favor B) passively accept the marketing environment C) resist organizational change D) discourage innovation E) consider technological advances more disruptive than beneficial

A

Consumers in the "lifestyles of health and sustainability" market are more likely to seek ________. A) alternative medicine B) perfumes made from animal products C) clothing made of fur D) leather goods E) foods high in saturated fat

A

Different soft drinks target different personalities. This is an example of ________ segmentation. A) psychographic B) demographic C) occasion D) life-cycle E) benefits

A

Each company must divide up the total market, choose the best segments, and design strategies for profitably serving chosen segments. This process involves market segmentation, ________, differentiation, and positioning. A) market targeting B) marketing implementation C) supply-chain analysis D) price discrimination E) market diversification

A

Even when competing offers look the same, buyers may perceive a difference based on ________ differentiation. A) image B) people C) price D) channel E) services

A

Government markets consist of government agencies that buy goods and services ________. A) to produce public services B) to resell at a profit C) for further processing D) for personal consumption E) that are generally of poor quality

A

Harris Brown, the marketing manager at a small retail chain, wants to assess his firm's strengths, opportunities, weaknesses, and threats. Which of the following would be best suited for his purpose? A) SWOT analysis B) cluster analysis C) portfolio analysis D) regression analysis E) Porter's five forces analysis

A

Hispanic Americans tend to be deeply family oriented and make shopping a family affair. Older consumers are brand loyal, while younger Hispanics have shown increasing price sensitivity and willingness to choose store brands. Hispanic Americans make up a ________. A) subculture B) social class C) social network D) life-cycle stage E) lifestyle

A

In the context of behavioral segmentation, who among the following is a potential user? A) Anita, who recently had a baby B) Peter, who recently changed his job C) Mary, who enrolled as a graduate student in a university last year D) Gina, who opened a dental clinic in Orange County E) Raj, who is planning a trip to Hawaii with friends

A

In the context of the AIO dimensions for measuring consumers' lifestyles, "A" stands for ________. A) activities B) achievements C) admirations D) attitudes E) associations

A

In the marketing mix, design, packaging, services, and variety can be categorized under ________. A) product B) price C) promotion D) place E) position

A

In the marketing mix, place includes ________. A) logistics B) discounts C) sales promotion D) advertising E) packaging

A

Individuals and households that buy or acquire goods and services for personal consumption make up the ________. A) consumer market B) market offering C) market mix D) subculture E) social class

A

Many companies today are localizing their products, advertising, promotion, and sales efforts to fit the needs of individual regions, cities, and neighborhoods. This is an example of ________. A) geographic segmentation B) product diversification C) branding D) psychographic segmentation E) demographic segmentation

A

Many marketers use the self-concept premise that people's possessions contribute to and reflect their identities—that is, "we are what we consume." According to this premise, consumers ________. A) buy products to support their self-image B) rarely identify with brand personalities C) are affected by opinion leaders D) compare product brands E) conduct primary research

A

Mark has long supported a particular brand of footwear and has always bought that brand. Recently, the footwear manufacturer was embroiled in a controversy for using child labor at its manufacturing plants. Mark doubts the news reports and continues to purchase the same brand of footwear. It is most accurate to say that Mark displays ________. A) selective distortion B) cognitive dissonance C) selective retention D) selective attention E) consumer ethnocentrism

A

Marketers describe the way a consumer processes information to arrive at brand choices as ________. A) alternative evaluation B) information search C) impulse buying D) consumer capitalism E) cognitive dissonance

A

Marketers should understand that people's core beliefs and values tend to be ________. A) fixed B) highly flexible C) similar around the world D) constantly and rapidly changing E) easily influenced by secondary beliefs

A

Mary Adams is helping her company develop a marketing program for a new product line. The program is designed to appeal most to less materialistic consumer groups who are likely to prize experience, not acquisition. The marketing program is most likely designed to appeal to which of the following demographic groups? A) Generation X B) Millennials C) Echo Boomers D) Silent Generation E) Lost Generation

A

Mission statements should be ________. A) meaningful and specific yet motivating B) technology oriented C) written solely for public relations purposes D) focused on increasing sales or profits E) strictly product oriented

A

Opinion leaders are also referred to as ________. A) leading adopters B) lower uppers C) innovators D) lagging adopters E) surrogate consumers

A

Ravenshaw Corp. assigns its sales and marketing people to specific countries, regions, and districts. Ravenshaw Corp. is most likely an example of a ________. A) geographic organization B) product organization C) functional organization D) niche marketer E) mass marketer

A

RedFin manufactures diving equipment that is highly regarded by customers worldwide. Each department in RedFin contributes to its success and can be thought of as a(n) ________. A) link in the company's internal value chain B) separate organization C) independent subsidiary of the company D) separate market segment E) SBU

A

Regulations force companies to be responsible. However, most companies want to be responsible. Impacts of government regulations include all of the following EXCEPT ________. A) informing the public that products are safe B) higher research costs C) increased sales because they have been found to be safe D) penalties to companies that fail to meet the regulations E) longer times between new product ideas and their introduction

A

Sam has been directed to study the demographic, economic, political, and cultural forces that affect an organization. In this instance, Sam has been directed to study the ________ of the organization. A) macroenvironment B) microenvironment C) internal environment D) marketing mix E) marketing intermediaries

A

Sparks Inc. has a growing ________ market in the United States consisting of individuals and households that buy Sparks' products for personal use. A) consumer B) government C) business D) international E) financial

A

Stephanie and John wanted to purchase a high-end sports car. They viewed a commercial for a particular sports car that highlighted the cost, design, and power of the car. After viewing the ad, Stephanie felt that the car's price was acceptable, considering the superior and unique design. John thought that the car was expensive owing to the high power engine installed in it. They used the information in different ways, focusing on issues that each considered important. Which of the following concepts does this scenario demonstrate? A) selective distortion B) consumer ethnocentrism C) selective retention D) selective attention E) cognitive dissonance

A

The ________ prohibits monopolies and activities (price-fixing, predatory pricing) that restrain trade or competition in interstate commerce. A) Sherman Antitrust Act B) Lanham Trademark Act C) Fair Packaging and Labeling Act D) CAN-SPAM Act E) Magnuson-Moss Warranty Act

A

The buying decision process starts with ________, in which the buyer spots a problem. A) need recognition B) information search C) impulse purchases D) buyer's remorse E) alternative evaluation

A

The full mix of benefits on which a brand is differentiated and positioned is known as the brand's ________. A) value proposition B) service life C) value stream D) supply chain E) demand chain

A

The managers of Alfredo's Pizza, a popular pizzeria in New York City, have been increasingly encouraging senior citizens to visit the pizzeria's numerous outlets spread across the city. Anticipating a rise in the population of senior citizens in the area, the management of Alfredo's Pizza is seeking to tap into this promising segment that consists of retired, affluent consumers. In this instance, the managers of Alfredo's Pizza are anticipating company growth through ________. A) market development B) product development C) mass customization D) niche marketing E) product differentiation

A

The marketing team of 7 Star Inc., a company manufacturing smartphones, is currently studying the size, density, location, age, and occupation of its target market. Which of the following environments is being studied in this scenario? A) demographic environment B) political environment C) economic environment D) technological environment E) cultural environment

A

The relationship between the consumer's expectations and the product's ________ determines whether the buyer is satisfied or dissatisfied with a purchase. A) perceived performance B) brand personality C) market reach D) consumer market E) market share

A

Which of the following is a true statement about the benefits of RFID technology? A) It allows firms to track products and customers at various points in the distribution channel. B) The chips are used to track shipments but not individual items. C) The chips do not risk invading people's privacy. D) Sharing of data decreases the buying experience for consumers. E) The technology will be available for the foreseeable future, allowing companies to fully invest in its capabilities.

A

Which of the following is an element of the marketing mix? A) place B) education C) needs D) wants E) esteem

A

Which of the following is the first stage in the new product adoption process? A) awareness B) adoption C) evaluation D) interest E) trial

A

Which of the following is the reason a company may choose not to focus on the largest, fastest-growing segments? A) The smaller segments may be more profitable to the firm. B) It may lack the skills to serve larger segments. C) The right size and growth characteristics don't match its goals. D) The segments may be too competitive. E) It may lack the physical and financial resources to serve larger segments.

A

Which of the following is true about the concentrated marketing strategy? A) Companies that rely on a few segments for all of their business will suffer if a segment turns sour. B) Concentrated marketing is not profitable for most firms. C) Niche marketing involves few risks for most firms. D) Concentrated marketing involves going after a small share of a large market. E) The Internet has limited the use and benefits of niche marketing.

A

Which of the following is true of the Millennials? A) They are the children of baby boomers and were born between 1977 and 2000. B) They control an estimated 70 percent of the disposable income in the United States. C) They have reached their peak earning and spending years. D) They were the first to grow up in the Internet era. E) They are less immersed in technology than Gen Xers.

A

Which of the following is true with regard to the diversity segment of U.S. adults with disabilities? A) Most individuals with disabilities are active consumers. B) The market represented by U.S. adults with disabilities is smaller than that represented by African Americans or Hispanics. C) The diversity segment, U.S. adults with disabilities, is a rather unattractive segment for the tourism industry. D) The annual spending power of U.S. adults with disabilities is less than $100 billion. E) Most companies are reluctant to reach out to consumers with disabilities.

A

Which of the following refers to a behavioral segmentation variable that involves segmenting markets into nonusers, ex-users, potential users, first-time users, and regular users of a product? A) user status B) usage rates C) gender status D) income status E) loyalty status

A

Which of the following terms is used to describe the actors and forces outside marketing that affect marketing management's ability to build and maintain successful relationships with target customers? A) marketing environment B) marketing orientation C) strategic planning D) target markets E) marketing mix

A

________ are minor stimuli that determine where, when, and how a person responds to an idea. A) Cues B) Drives C) Reinforcers D) Cognitions E) Impulses

A

________ are people within a reference group who, because of special skills, knowledge, personality, or other characteristics, exert influence on others. A) Opinion leaders B) Innovators C) Surrogate consumers D) Stealth marketers E) Lagging adopters

A

________ are society's relatively permanent and ordered divisions whose members share similar values, interests, and behaviors. A) Social classes B) Societal norms C) Reference groups D) Universal cultures E) Social networks

A

________ include banks, credit companies, insurance companies, and other businesses that help insure against the risks associated with the buying and selling of goods. A) Financial intermediaries B) Physical distribution firms C) Resellers D) Marketing services agencies E) Wholesalers

A

________ is the most basic determinant of a person's wants and behavior. A) Culture B) Brand personality C) Cognitive dissonance D) Motive E) Attitude

A

________ markets buy goods and services for further processing. A) Business B) Reseller C) Wholesale D) Consumer E) Retail

A

________ provides a complete analysis of the company's situation. A) A SWOT analysis B) A marketing audit C) Regression analysis D) Return on marketing investment E) Marketing budget evaluation

A

________ refers to measuring and evaluating the results of marketing strategies and plans and taking corrective action to ensure that the objectives are achieved. A) Marketing control B) Marketing implementation C) Satisficing D) Prospecting E) Benchmarking

A

________ segmentation assumes that nations close to one another will have many common traits and behaviors. A) Geographic B) Occasion C) Psychographic D) Benefit E) Demographic

A

________ segmentation divides buyers into segments based on their knowledge, attitudes, uses, or responses concerning a product. A) Behavioral B) Psychographic C) Age and life cycle D) Gender E) Geographic

A

In the United States, job growth currently is the weakest for ________. A) white collar workers B) manufacturing workers C) salespeople D) telecommuters E) professional workers

B

A ________ consists of the activities an individual is expected to perform, according to the people around him/her. A) motive B) role C) lifestyle D) life cycle E) perception

B

A ________ documents an organization's purpose—what it wants to accomplish in the larger environment. A) vision statement B) mission statement C) business portfolio D) value proposition E) product strategy

B

A company selling child-care products ran a television ad depicting women as being primarily responsible for childcare. Many women viewers considered this regressive, alleging that the ad failed to recognize the much more diversified role of women in today's world. This is an example of ________. A) cause marketing B) stereotyping C) niche marketing D) scapegoating E) positioning

B

A market-coverage strategy in which a firm decides to target several market segments and designs separate offers for each is known as ________. A) mass marketing B) differentiated marketing C) concentrated marketing D) individual marketing E) cross-marketing

B

A marketing research company asked members of a focus group to describe several brands as animals. The purpose of the request is to measure the prestige of the various brands. This is an example of ________. A) brand strength analysis B) interpretive consumer research C) quantitative research D) buzz marketing E) brand extension

B

A shoe manufacturing company uses ads featuring the members of a country music band with the hope that the band's fans will see them wearing the company's shoes and hence purchase the same brand of shoes. The shoe company believes that the band portrays the image of a ________ to the band's fans. A) membership group B) reference group C) status symbol D) subculture E) lifestyle

B

A society's ________ are expressed in how people view themselves and others, organizations, society, nature, and the universe. A) social codes B) cultural values C) demographics D) public policies E) norms

B

According to the model of buyer behavior, which of the following is one of the two primary parts of a "buyer's black box"? A) technological stimuli B) buyer's decision process C) buyer's spending habits D) social stimuli E) promotion stimuli

B

An increasing number of American workers currently work from their homes or remote offices and conduct their business by phone or the Internet. This trend has created a ________. A) booming real estate market in the big cities B) booming SOHO market C) decline in the demand for convenience foods D) decline in the demand for financial services E) steady increase in global enterprises

B

Anchor Tractors focuses on selling its farm equipment in North America and Europe. It has not yet considered expanding into the Middle East. Which factor is likely most important in this decision regarding expansion? A) geographic B) political C) demographic D) personality E) cultural

B

As a consequence of the concern for the natural environment, many companies are developing strategies and practices that support ________. A) government intervention B) environmental sustainability C) deregulation D) mass marketing E) rapid exploitation of natural resources

B

Bailey's Burgers promotes the Bailey's Jumbo Burger as a fun snack for teens and young adults. In this instance, Bailey's Burgers is practicing ________ segmentation. A) benefit B) age and life-cycle C) psychographic D) geographic E) gender

B

Consumer information provider Nielsen uses a life-stage segmentation system that places U.S. households into one of 66 different life-stage groups. According to Nielsen's groups, which of the following refers to the group consisting of hip, single twenty-somethings who are politically liberal, listen to alternative music, and enjoy lively nightlife? A) Striving Singles B) Young Achievers C) Bohemian Mix D) Young Influentials E) Young Digerati

B

Consumers learn about new products for the first time and make the decision to buy those products during the ________. A) need recognition stage B) adoption process C) evaluation process D) trial process E) quality assessment stage

B

Consumers who show their allegiance to brands, stores, or companies help marketers to segment consumers by their ________. A) user status B) degree of loyalty C) income D) geographic location E) benefit-seeking attitudes

B

Consumers' spending patterns since the Great Recession include ________. A) spending freely, without caution B) buying less and looking for greater value in what they buy C) amassing record levels of debt D) experiencing rapid increases in housing values E) participating in a booming stock market

B

Dan has been directed to study the forces close to a company that affect its ability to serve its customers, such as the company, suppliers, marketing intermediaries, customer markets, competitors, and publics. In this instance, Dan has been directed to study the ________ of the company. A) macroenvironment B) microenvironment C) technological environment D) demographic environment E) political environment

B

During portfolio analysis, a company ________ after identifying the key businesses that make up the company. A) formulates a short-term marketing plan B) assesses the attractiveness of its various SBUs C) assesses its strengths and weaknesses D) performs a SWOT analysis E) assesses the effectiveness of its various channel intermediaries

B

Family is one of the ________ factors that influence consumer behavior. A) regional B) social C) personal D) psychological E) business

B

FencePro, a local company, has developed an entirely new mounting system for chain link fences. After acquiring a distributor, FencePro now has the ability to market its products nationwide. FencePro is most likely following a ________ strategy. A) market penetration B) market development C) downsizing D) product adaptation E) product development

B

Ferrari sports cars claim superior quality, performance, and style. Ferrari provides "perfection" at a premium price to keep its brand image intact. Which type of value proposition does Ferrari most likely position its products with? A) more for the same B) more for more C) less for much less D) the same for less E) more for less

B

For the past ten years, Bill and Margaret have saved money to go to the Super Bowl should their team, the Chicago Bears, reach the finals of the NFC championship. This is the year, and several tour companies offer attractive, but very similar, packages to the game. Since all packages are pretty much the same, they have chosen one that fits their budget. Bill and Margaret are most likely exhibiting ________. A) complex buying behavior B) dissonance-reducing buying behavior C) habitual buying behavior D) consumer capitalism E) consumer ethnocentrism

B

GamaPix makes point-and-shoot cameras and handycams for amateur photographers and hobbyists. It also has a separate line of cameras dedicated to professional photographers. Additionally, it designs separate offers for each segment. Which of the following marketing strategies does GamaPix most likely use in this instance? A) mass marketing B) differentiated marketing C) individual marketing D) local marketing E) direct marketing

B

Generally, the consumer's purchase decision will be to buy the most preferred brand, but two factors can come between the purchase intention and the purchase decision. Which of the following is one of these factors? A) economic risks B) attitudes of others C) cognitive dissonance D) alternative evaluation E) buyer's remorse

B

George is buying his first house. He has spent a month looking at houses and comparing attributes such as price and location. He has contacted several real estate agents to look at different types of houses. George is most likely exhibiting ________. A) variety-seeking buying behavior B) complex buying behavior C) consumer capitalism D) dissonance-reducing buying behavior E) marketing myopia

B

Lark Inc., an American electronics company, is currently reviewing new geographical markets to sell its highly popular televisions. By 2020, it plans to open new stores across all the major South Asian cities. Lark is most likely following a ________ strategy. A) local marketing B) market development C) diversification D) product adaptation E) product development

B

Laws are passed to define and prevent unfair competition primarily because ________. A) business executives tend to favor pure monopolies B) businesses sometimes try to neutralize threatening firms C) governments in free market economies tend to nationalize ailing firms D) private lobbying hurts the interests of national and state governments E) most multinational entities in advanced economies are averse to invest in emerging markets

B

Making more sales to current customers without changing a firm's products is known as ________. A) market segmentation B) market penetration C) product diversification D) product development E) prospecting

B

Many marketers now use ________ research to dig deeply into consumer psyches and develop better marketing strategies. A) analytical B) interpretive C) causal D) descriptive E) experiential

B

Market segmentation can be best described as the process of ________. A) assigning specific human attributes to a given brand B) dividing a market into distinct groups of buyers who have different needs, characteristics, or behaviors, and who might require separate marketing programs C) evaluating each market segment's attractiveness and selecting one or more segments to enter D) turning marketing plans into marketing actions to accomplish strategic marketing objectives E) maintaining a strategic fit between organizational goals and changing marketing opportunities

B

Market segments that can be effectively reached and served are ________. A) measurable B) accessible C) substantial D) actionable E) profitable

B

Marketing ________ addresses the what and why of marketing activities, while marketing ________ addresses the who, where, when, and how. A) analysis; planning B) planning; implementation C) implementation; planning D) organization; implementation E) control; planning

B

Marketing plays a key role in the company's strategic planning in all of these ways EXCEPT ________. A) providing input to identify attractive market opportunities B) designing new products from scratch C) creating customer value and building profitable relationships with customer groups D) designing strategies for reaching a unit's objective E) providing a guiding philosophy

B

Marketing stimuli consist of the four Ps. Which of the following is NOT one of these? A) product B) packaging C) price D) promotion E) place

B

Marketing stimuli include which of the following? A) economic stimuli B) price stimuli C) technological stimuli D) social stimuli E) cultural stimuli

B

Mercury Inc., an American multinational corporation, is currently planning to enter the promising consumer goods market in India. The firm will most likely discover that ________ beliefs and values are more open to change in India. A) inherited B) secondary C) primary D) core E) traditional

B

Mission statements should be defined in terms of ________. A) the advantages a company's products provide B) satisfying basic customer needs C) the value a company's products provide D) the profitability of a company's products E) the variety they offer to a customer

B

Modern strategic planning ________. A) exclusively consists of a company's short-term goals B) is decentralized C) does not involve cross-functional teams D) does not take the overall mission of the company into consideration E) is highly centralized

B

Papillon, a popular retailer of chic women's clothing, segments its market according to consumer lifestyles. Papillon most likely uses ________ segmentation for segmenting its market. A) geographic B) psychographic C) benefit D) age and life-cycle E) occasion

B

Paul Robinson has identified a group of potential customers who seem to respond in a similar way to a series of magazine and radio advertisements for his company's product. Paul has identified a ________. A) target market B) market segment C) niche market D) product attribute E) product design

B

People tend to interpret new information in a way that will support what they already believe. This is called ________. A) selective retention B) selective distortion C) cognitive dissonance D) selective attention E) cognitive bias

B

People vary in their attitudes toward their society—while ________ defend it, malcontents want to leave it. A) reformers B) patriots C) activists D) environmentalists E) historical revisionists

B

Rachel works for a furniture company in Ireland. She is responsible for buying and selling goods at a profit to small retailers. Rachel most likely operates in a ________ market. A) business B) reseller C) wholesale D) consumer E) retail

B

Rather than assuming that strategic options are bounded by the current environment, firms adopting a(n) ________ to the marketing environment develop strategies to change the environment. A) environmental stance B) proactive stance C) reactive stance D) relativist approach E) no-compromise approach

B

Rex Steelworks makes steel sheets which the firm markets and sells to companies all over the world. Which of the following marketing strategies is most suitable for Rex Steelworks? A) one-to-one marketing B) undifferentiated marketing C) individual marketing D) local marketing E) trigger-based marketing

B

Rob has been asked by his manager to identify a group of potential customers who would respond in a similar way to a given set of marketing efforts. In this instance, Rob has been asked to identify a ________. A) new product B) market segment C) marketing intermediary D) brand E) product line

B

Which of the following is a trend that depicts the increasingly nontraditional nature of today's American families? A) the low percentage of working women in the workforce B) the low percentage of married couples with children C) the sharply declining number of dual-income families D) the sharply declining number of stay-at-home dads E) the decreasing reliance on convenience foods and services

B

Robert has taken up cycling as a hobby and as a way to maintain his physical fitness. He wants to buy a hydration system since he will need a lot of water as he cycles. Having gathered a great deal of information, he has finally narrowed down his choices to three systems: Waterbags for Roadies, Supertanker Hydropacks, and Fast Water. Robert is in the ________ stage of the buyer decision process. A) need recognition B) evaluation of alternatives C) product trial D) postpurchase evaluation E) information search

B

Several structural factors affect long-run segment attractiveness. These include all of the following EXCEPT ________. A) easy entry by new competitors B) the segment does not match the company's long-run objectives C) strong and aggressive competitors D) many substitute products E) power of buyers

B

Shine Enterprises mass produces an all-purpose floor cleaner that is aimed at the whole market. This firm uses a(n) ________ marketing strategy. A) segmented B) undifferentiated C) individual D) niche E) one-to-one

B

Since a person's economic situation will affect her store and product choices, marketers watch trends in spending, personal income, interest rates, and ________. A) employment B) savings C) home purchases D) rents E) fuel prices

B

Some consumers worry that they will be affected by marketing messages without even knowing it. They are concerned about ________. A) alternative evaluation B) subliminal advertising C) selective retention D) cognitive dissonance E) selective communication

B

Sparex Inc. is a manufacturer of metal bolts that are used by Boilex Inc. to manufacture heavy machineries. In this instance, Sparex acts as a ________. A) financial intermediary B) supplier C) retailer D) customer E) local public

B

Symbols such as the McDonald's golden arches, the colorful Google logo, the Nike swoosh, or Apple's "bite mark" logo provide strong company or brand recognition and are indicative of ________ differentiation. A) people B) image C) channel D) services E) product

B

The BCG matrix approach is problematic in that it ________. A) focuses on planning for the future at the cost of ignoring the present B) focuses solely on current businesses and provides little scope for future planning C) tends to undermine the importance of market growth rate as a measure of market attractiveness D) tends to undermine the importance of relative market share as a measure of company strength in the market E) fails to classify SBUs

B

The Jay Group hires better employees than its competition by conducting effective searches and multi-tiered interviews. The company also provides high quality training to its employees, an aspect often neglected by competitors. The Jay Group is most likely to gain a strong competitive advantage through which type of differentiation? A) image differentiation B) people differentiation C) services differentiation D) product differentiation E) channel differentiation

B

The ________ environment consists of institutions and other forces that affect a society's basic values, perceptions, preferences, and behaviors. A) social B) cultural C) political D) physical E) natural

B

The best business portfolio is the one that ________. A) provides the greatest opportunity for increasing profits B) best fits the company's strengths and weaknesses to opportunities in the environment C) ensures that the company will realize increased share of market D) allows the company to decrease its overall costs E) entices customers to purchase even more products from the company

B

The key businesses of Kimberley and Price consist of a division that produces and sells breakfast cereals and another that manufactures gardening tools. Each of these businesses is called a ________. A) market segment B) strategic business unit C) question mark D) prospect E) product portfolio

B

The physical environment affecting marketing activities is referred to as the ________ environment. A) economic B) natural C) cultural D) political E) social

B

The purpose of ________ is to ensure that the company achieves the sales, profits, and other goals set out in its annual marketing plan. A) benchmarking B) operating control C) strategic control D) SWOT analysis E) a marketing audit

B

The winning value proposition would be to offer ________. A) more for the same B) more for less C) more for more D) same for less E) same for more

B

When consumers are highly involved with the purchase of an expensive product and they perceive significant differences among brands, they most likely will exhibit ________. A) consumer capitalism B) complex buying behavior C) consumer ethnocentrism D) dissonance-reducing buying behavior E) variety-seeking buying behavior

B

When it first opened stores across the United States, Bateman's, an office supply chain store, had the best product selection, the best service, and the lowest prices compared to other office supply chain stores. As a result, Bateman's captured a significant chunk of the market in the short run. Which of the following positioning strategies did Bateman's most likely use? A) more for the same B) more for less C) same for less D) less for much less E) more for more

B

Which of the following generational groups is most comfortable with digital technology and embraces that technology? A) Generation X B) Millennials C) Baby Boomers D) Silent Generation E) Lost Generation

B

Which of the following is NOT a market-oriented business definition? A) "We empower customers to realize their dreams." B) "We make high-quality consumer food products." C) "We sell success and status." D) "We create the Hilton experience." E) "We bring innovation to every home."

B

Which of the following is NOT an element of the marketing mix? A) place B) purchase C) product D) price E) promotion

B

Which of the following is an accurate statement about the income distribution of the American population? A) The top 20 percent of earners achieves 68 percent of the country's adjusted gross income. B) The bottom 40 percent of earners captures just 11 percent of total income. C) The top 5 percent of American earners captures 18 percent of all income. D) The distribution of income allows most companies to target earners of all income levels. E) Changes in income and interest rates minimally impact spending patterns.

B

Which of the following is one of the other stimuli present in a buyer's environment apart from marketing stimuli? A) product stimuli B) cultural stimuli C) price stimuli D) place stimuli E) promotion stimuli

B

Which of the following is the first step of business portfolio planning? A) shaping the future portfolio by developing strategies for growth and downsizing B) determining which businesses should receive more, less, or no investment C) identifying internal strengths and weaknesses D) identifying future opportunities E) determining short-term goals

B

Which of the following is true about behavioral segmentation on the basis of the loyalty variable? A) Consumers tend to pay more for products that are targeted at their respective age group or generation. B) By looking at customers who are shifting away from its brand, a company can learn about its marketing weaknesses and take actions to correct them. C) Highly loyal customers of a brand are less likely to engage in word-of-mouth publicity than those who are not. D) Completely loyal customers of a brand are typically loyal to two or three brands of a given product. E) Only consumers who seek premium or luxury services are subjected to behavioral segmentation based on the loyalty variable.

B

Which of the following is true of Gen Xers? A) They are considerably larger than the boomer generation. B) They were the first to grow up in the Internet era. C) They are less educated than the baby boomers. D) They are more materialistic than the Millennials. E) They rarely research a product before purchasing it.

B

Which of the following is true with regard to a market segment? A) A market segment consists of consumers with dissimilar needs and preferences. B) A market segment consists of consumers who respond in a similar way to a given set of marketing efforts. C) Very few markets have segments. D) Dividing the market into segments decreases the efficiency of the selling process. E) Dividing the market into segments reduces composite demand.

B

Which of the following is true with regard to cash cows? A) They are high-growth, high-share businesses or products. B) They can be used to help finance the company's question marks and stars. C) They require significant cash to maintain market share. D) They are low-share businesses and products. E) They do not promise to be large sources of cash.

B

Which of the following is true with regard to media publics? A) The primary function of this group is to protect the interests of minority groups. B) This group carries news, features, and editorial opinion. C) The primary function of this group is to critique the marketing decisions of companies. D) This group includes neighborhood residents and community organizations. E) This group directly influences the company's ability to obtain funds.

B

Which of the following is true with regard to the product/expansion grid? A) It classifies SBUs into four distinct categories. B) It is a useful device for identifying growth opportunities. C) It helps companies analyze their internal strengths and weaknesses. D) It functions on the premise that firms should downsize to regain market share. E) It is a useful device for segregating customers into distinct categories.

B

Which of the following refers to the process of dividing a market into distinct groups of buyers with different needs, characteristics, or behaviors? A) market diversification B) market segmentation C) downsizing D) customer relationship management E) prospecting

B

Which of the following situations is expected to enhance the use of targeted advertising messages by marketers? A) increase in derived demand in the market B) increase in ethnic populations C) rising global inflation rates D) inadequate quality control E) low advertising budgets

B

Which of the following statements about income distribution in the United States is NOT true? A) Over the past several decades, the rich have grown richer. B) Over the past several decades, the middle class has grown faster than other classes. C) Over the past several decades, the poor have remained poor. D) The top 20 percent of earners capture over 50 percent of all income. E) The top five percent of American earners get nearly 22 percent of the country's adjusted gross income.

B

Which of the following statements is true of cultural factors that influence consumer behavior? A) Cultural influences on buying behavior are identical across countries. B) Social classes show distinct product and brand preferences in areas such as clothing and travel. C) Subcultures include nationalities and racial groups, but exclude religions. D) Subcultures are groups within which each individual has a unique and distinct value system. E) Hispanic Americans and African Americans are examples of racially segregated groups and not subcultures.

B

) Eduardo usually purchases the same breakfast cereal, the kind he grew up eating. Eduardo exhibits ________. A) dissonance-reducing buying behavior B) complex buying behavior C) habitual buying behavior D) variety-seeking buying behavior E) conspicuous consumption behavior

C

) Which of the following is NOT part of a company's decision about which customers it will serve and how? A) differentiation B) targeting C) budgeting D) segmentation E) positioning

C

) ________ traditionally has been considered the main purchasing agent for the family in the areas of food, household products, and clothing, although this is changing as more work outside the home. A) A teenager B) The husband C) The wife D) The couple together E) The parent

C

Customers can be grouped and served in various ways based on several factors. These include all of the following EXCEPT ________ factors. A) psychographic B) behavioral C) technological D) demographic E) geographic

C

A current trend in the United States involves rediscovering the benefits of home-cooked food and the use of organic ingredients. People are choosing to spend hours in the kitchen using only the freshest ingredients to cook healthy and nutritious meals. This change in ________ is one of the reasons for the increasing demand for organic ingredients. A) self-concept B) subculture C) lifestyle D) personality E) life-cycle

C

A market segment that is large enough or profitable enough to serve is ________. A) measurable B) accessible C) substantial D) profitable E) differentiable

C

A marketer of women's hair care products targeting Chinese customers created an advertising message that told women their hair could be worn any way they wanted as opposed to wearing it straight. The message suggested the women did not need to conform to the mainstream media definition of beauty. It is most accurate to say that this ad was based on an understanding of customers' ________. A) social class B) life-cycle stage C) self-concept D) status E) role

C

A mission statement serves as a ________. A) statement of the organization's net profits B) plan for short-term sustainability C) statement of the organization's purpose D) statement of the organization's current liabilities E) reward plan for the organization's highly skilled employees

C

A person's buying choices are influenced by four major psychological factors. Which of the following is NOT one of these factors? A) motivation B) perception C) association D) learning E) beliefs

C

A recent study conducted by Estelle Cosmetics Company showed that heavy users of Estelle's products comprise a small percentage of the market. The study indicated that less than 7 percent of all shoppers buy nearly 71 percent of Estelle's products in the United States. This is an example of ________. A) benefit segmentation B) segmentation by loyalty status C) segmentation by usage rate D) psychographic segmentation E) occasion segmentation

C

A(n) ________ is a descriptive thought that a person has about something. A) lifestyle B) motive C) belief D) attitude E) cognition

C

After the purchase of a product, consumers will be either satisfied or dissatisfied and engage in ________. A) consumer capitalism B) alternative evaluation C) postpurchase behavior D) consumer ethnocentrism E) information searches

C

All of the following are ways a company can differentiate itself or its product EXCEPT ________. A) services B) channels C) price D) people E) image

C

Amor, a successful brand of women's clothing, recently introduced a line of fitness equipment. This is an example of ________. A) mass customization B) niche marketing C) diversification D) prospecting E) product adaptation

C

An invitation to go skiing over the weekend forced Donna to look at her current wardrobe. She realized that she required a warmer coat. Which of the following stages of the buyer decision process does Donna exemplify? A) product evaluation B) situational analysis C) need recognition D) problem screening E) information search

C

Apex describes its clothing line as, "Elegance and attitude, now as one. For the daily office-goer, who takes pride in what he or she wears everyday, Apex makes sure you get noticed." This exemplifies a ________. A) statement of purpose B) vision statement C) positioning statement D) general need description E) product specification

C

Arrow is "a different kind of company, manufacturing a different kind of a car"; the RoadPro is "like nothing else." Statements such as these reflect a firm's ________. A) portfolio B) marketing segment C) positioning D) marketing mix E) mission statement

C

Calypso Motors recently rolled out its Proteus hatchback. Proteus combines the attractiveness of a luxury car with the excellent agility of a sports car. Calypso Motors is confident that Proteus will appeal to both sports car enthusiasts as well as the luxury segment. Which of the following types of market segmentation is evident here? A) gender segmentation B) income segmentation C) benefit segmentation D) geographic segmentation E) age and life-cycle segmentation

C

Cause-related marketing has become a primary form of ________. A) quality control B) corporate fraud protection C) corporate giving D) legislative lobbying E) price discrimination

C

Chronos Inc. designs and markets different brands of cycling watches. Each brand has a single unique feature: the Chronos Cosmos has a heart rate monitor, the Chronos Acumen is designed for older cyclists who prefer a large display, and the Chronos Aegis has a GPS function. Which of the following is evident here? A) channel differentiation B) service differentiation C) product differentiation D) people differentiation E) image differentiation

C

Companies and their products often create ________. A) new consumers B) new technologies C) new industries and their structures D) new advertising campaigns E) new manufacturing methods

C

Companies can research many aspects of buying decisions. However, the one that is the most difficult to identify is ________. A) what consumers buy B) how and how much they buy C) why they buy D) when they buy E) where they buy

C

Companies may want to downsize their business portfolios for all but which of the following reasons? A) The firm may have grown too fast. B) The firm may have entered areas where it lacks experience. C) The customers may have purchased all they need. D) The market environment might change. E) The products might simply age.

C

Companies that use brand ambassadors are most likely involved in ________ marketing. A) ambush B) spam C) buzz D) viral E) database

C

Currently, in the United States, job growth is the strongest for ________. A) blue collar workers B) manufacturing workers C) professional workers D) construction workers E) sanitation workers

C

Laws in the United States and many other countries have many business-oriented laws covering issues such as competition, environmental protection, pricing, packaging and labeling, product safety, truth in advertising, consumer privacy, and ________. A) land ownership B) taxation C) fair-trade practices D) education E) interdepartmental communication

C

Malcolm Sanders, a graduate student from Boston, makes customized snowboards for local snowboarding enthusiasts. The demand for snowboards peaks during the winter months, a busy time for Malcolm. He advertises more aggressively and sells most of his snowboards around this time. Which market segmentation approach does Malcolm most likely use? A) gender segmentation B) psychographic segmentation C) occasion segmentation D) geographic segmentation E) age and life-cycle segmentation

C

Maria works for Sigma Inc., a firm that helps companies target and promote their products to the right markets. Sigma is most likely a ________. A) financial intermediary B) physical distribution firm C) marketing services agency D) reseller E) wholesaler

C

Market targeting can bring up concerns about privacy and abuse in all of the following ways EXCEPT ________. A) when marketing toward children B) when entertainment and commercial content blend C) when customers opt in to receive focused content D) when deceptive messaging is used E) when e-mails are personalized based on Internet searches by the customer

C

Market targeting is ________. A) arranging for a market offering to occupy a clear, distinctive, and desirable place relative to competing products in the minds of target consumers B) dividing a market into distinct groups of buyers who have different needs and characteristics C) evaluating segment attractiveness and deciding how many and which segment(s) to serve D) marketing to buyers with separate marketing strategies or mixes E) differentiating the firm's market offering to create customer value

C

Marketers can group people in a number of ways, including by birth date. However, the following combination of groups has proven to be more effective: ________. A) income, lifestyle, life stage B) profession, common values they seek in products they buy, lifestyle C) lifestyle, life stage, common values they seek in products they buy D) place of residence, life stage, lifestyle E) race or nationality, lifestyle, common values they seek in products they buy

C

Marketers target Generation Z because they ________. A) listen to their parents and follow their examples B) dislike technology C) spend an estimated $44 billion annually of their own money D) prefer shopping in brick-and-mortar stores with actual products E) have long attention spans and are easily targeted

C

Micropolitan areas are ________. A) likely to have a higher crime rate than metropolitan areas B) less likely to attract telecommuters C) likely to offer the same advantages as metropolitan areas D) less likely to offer market expansion opportunities E) generally unattractive to niche marketers

C

More and more, companies are shifting their brand management focus from brand profitability toward ________. A) technology management B) product management C) customer management D) functional management E) geographic management

C

Most standard portfolio analysis methods evaluate SBUs on the ________. A) potential for niche or global marketing B) degree of product differentiation C) strength of the market or industry position D) accessibility to rural markets E) number of successful business acquisitions

C

Over the past two decades, the U.S. population has shifted toward the ________ states. A) Northern B) Northeast C) Sunbelt D) Midwest E) Corn belt

C

Pacific Fisheries divides its customers into different regional units, such as Asia, Australia, and the Americas. This is an example of ________ segmentation. A) demographic B) psychographic C) geographic D) occasion E) benefit

C

Pat thought he had received the best deal on his new car. Shortly after buying the car, Pat started to notice certain disadvantages of his new car as he learned more about other cars available in the market. Pat is experiencing ________. A) dissonance-reducing buying behavior B) need recognition C) postpurchase dissonance D) marketing myopia E) complex buying behavior

C

Rachel loves fashion and is always seen wearing the trendiest fashion outfits. She actively shares her knowledge with a wide group of friends and colleagues about where to shop for the latest fashion at great deals. Most of her friends and colleagues follow her fashion tips. Rachel portrays the image of a(n) ________. A) surrogate consumer B) lagging adopter C) opinion leader D) brand personality E) social networker

C

Relative advantage, compatibility, complexity, divisibility, and communicability are all characteristics of ________. A) alternative evaluations B) the degree of buyer involvement C) a product's rate of adoption D) unexpected situational factors E) postpurchase behaviors

C

Soon-Yi Park's chain of travel agencies has identified the lesbian, gay, bisexual, and transgender community as a growing market that spends an increasing percentage of its income on travel. Which of the following would be the LEAST effective component of a marketing plan for Soon-Yi to take advantage of this opportunity? A) develop a presence on LGBT-oriented social networking sites B) position his agency as focused on specialized experiences C) implement a mass marketing campaign D) place specially targeted ads in gay-themed publications E) advertise on LOGO, the cable television network aimed at gays and lesbians and their friends and family

C

Stores such as Walmart, Best Buy, PetSmart, David's Bridal, and DSW Shoes use ________ positioning. A) more for the same B) more for less C) same for less D) less for much less E) more for more

C

Teenagers are expected to respond in a similar way to a set of marketing efforts. In other words, this group represents a ________. A) channel intermediary B) line extension C) market segment D) product attribute E) brand personality

C

When order requests come in, the designers of Titus Furniture often go to a client's location to note their requirements, budget, and expected date of delivery. In this way, Titus Furniture is successful in tailor-making products for its customers. This is an example of ________. A) market diversification B) undifferentiated marketing C) mass customization D) differentiated marketing E) trigger-based marketing

C

Which of the following Ps in the marketing mix describes the goods-and-services combination the company offers to the target market? A) price B) promotion C) product D) place E) package

C

Which of the following best describes a strategic business unit? A) the internal value chain of a company B) the supply chain of a company C) the key businesses that make up a company D) the key channel intermediaries of a service company E) the key competitors of a company

C

Which of the following consumer buying behaviors is related to conditions of low-consumer involvement and little significant brand difference? A) complex buying behavior B) dissonance-reducing buying behavior C) habitual buying behavior D) variety-seeking buying behavior E) consumer capitalism

C

Which of the following functions is NOT part of managing the marketing process? A) planning B) control C) budgeting D) implementation E) organization

C

Which of the following is NOT a benefit of using multivariable segmentation systems? A) help companies identify key customer segments B) help companies reach key customer segments more efficiently C) help companies more accurately price their products to appeal to key customer segments D) help companies better understand key customer segments E) help companies tailor market offering to the needs of the key customer segments

C

Which of the following is NOT one of the major variables used in segmenting consumer markets? A) demographic B) behavioral C) ethical D) geographic E) psychographic

C

Which of the following is NOT part of Maslow's hierarchy of needs? A) physiological needs B) safety needs C) spiritual needs D) esteem needs E) social needs

C

Which of the following is a disadvantage of using a differentiated marketing strategy? A) It generates far lower sales compared to an undifferentiated marketing strategy. B) Customer loyalty is negatively impacted and difficult to obtain. C) The costs of doing business increase. D) Quality control problems increase. E) Product safety decreases.

C

Which of the following is a portfolio-planning tool for identifying company growth opportunities through market penetration, market development, product development, or diversification? A) BCG matrix B) analysis of variance C) product/market expansion grid D) Harris matrix E) SWOT analysis

C

Which of the following is a potential downside to using patriotic themes in marketing programs? A) Consumers rarely respond to patriotic marketing messages in a favorable manner. B) A consumer's societal orientation has no visible impact on product consumption. C) Patriotism could be viewed as an attempt to cash in on the nation's emotions. D) Patriotic Americans may have less disposable income than reformers. E) Mass marketing has limited appeal among patriotic Millennials.

C

Which of the following is most likely a result of regulations set up by the Food and Drug Administration and the Consumer Product Safety Commission? A) The time between new product ideas and their introduction to the market has decreased. B) Annual spending on research and development has decreased. C) Research costs for companies have risen. D) Product innovation has significantly declined. E) Marketers have grown increasingly apathetic toward meeting safety standards.

C

Which of the following is most likely true with regard to people's views of organizations in contemporary America? A) In the American workplace, there has been an overall increase in organizational loyalty. B) Most Americans are confident in their employers and are unlikely to switch jobs as frequently as in the past. C) The past two decades have seen a sharp decrease in confidence in and loyalty toward America's business organizations. D) Most U.S. workers view work as a source of personal satisfaction and organizational pride. E) In the last decade, corporate scandals and layoffs had little impact on people's confidence in U.S. firms.

C

Which of the following is the adoption process stage at which the consumer considers whether trying the new product makes sense? A) awareness B) interest C) evaluation D) adoption E) trial

C

Which of the following is the first step in strategic planning? A) setting short-term goals B) developing the business portfolio C) defining the organizational mission D) formulating the key marketing strategies E) identifying the organization's weaknesses and the threats it faces

C

Which of the following is true of the BCG matrix approach? A) It is inexpensive to implement. B) It does not have any limitations. C) It considers market growth rate to be a measure of market attractiveness. D) It describes consumer motivations and needs. E) It does not consider relative market share to be a measure of company strength in the market.

C

Which of the following is true with regard to a SWOT analysis? A) It classifies SBUs into four distinct categories. B) It measures customer response to a new product. C) It evaluates the company's overall strengths. D) It evaluates the growth potential of a market segment. E) It ignores the threats faced by a company while assessing its situation in the market.

C

Which of the following is true with regard to strategic planning? A) At the corporate level, the company starts the strategic planning process by determining what portfolio of businesses and products is best for the company. B) A strategic plan deals with a company's short-term goals. C) The focus of strategic planning is to define a game plan for long-run survival and growth. D) The strategic plan is a statement of an organization's purpose. E) Strategic planning involves identifying segments of consumers with identical preferences.

C

Which of the following marketing strategies is most suitable for smaller firms with limited resources? A) mass marketing B) undifferentiated marketing C) niche marketing D) differentiated marketing E) one-to-one marketing

C

Which of the following statements is true of social classes? A) Social classes are society's temporary divisions. B) Members of a social class have unique and distinct values, interests, and behaviors. C) People within a social class tend to exhibit similar buying behavior. D) Income is the single factor that determines social class. E) Social classes universally exhibit identical product and brand preferences.

C

Which of the following statements is true regarding social classes in the United States? A) Social class is determined by income alone. B) Lines between social classes in the United States are fixed and rigid. C) Social classes show distinct product preferences in clothing and automobiles. D) Wealth is more critical than education level in measuring social class. E) People are relegated to a permanent social class in the United States.

C

Which of the following terms refers to a specific mix of human traits that may be attributed to a particular brand? A) brand perception B) brand identity C) brand personality D) brand concept E) brand equity

C

Which of the following variables are the most popular for marketers to use in segmenting customer groups? A) ethical B) psychographic C) demographic D) behavioral E) geographic

C

While Jenkins Stationeries was selling branded stationery at premium prices, Pembroke Stationeries, a store across the street, was selling the same branded stationery at discount prices. Which of the following value propositions best describes Pembroke's product positioning? A) more for less B) more for the same C) same for less D) less for much less E) more for more

C

With a(n) ________ marketing strategy, a firm goes after a large share of one or a few smaller niches. A) individual B) mass C) concentrated D) differentiated E) local

C

________ are a type of SBU that often require heavy investments to finance their rapid growth. A) Cash cows B) Question marks C) Stars D) Dogs E) Bears

C

________ are low-share business units in high-growth markets that require a lot of cash to hold their share. A) Stars B) Dogs C) Question marks D) Cash cows E) Bears

C

________ consists of evaluating each market segment's attractiveness and selecting one or more segments to enter. A) Positioning B) Mass customization C) Market targeting D) Market segmentation E) Differentiation

C

________ consumers are the most affluent U.S. demographic segment and are expected to have an annual buying power approaching $1 trillion by 2017. A) Hispanic American B) African American C) Asian American D) Baby boomers E) Generation X

C

________ involves dividing a market into smaller segments of buyers with distinct needs, characteristics, or behaviors that might require separate marketing strategies or mixes. A) Mass customization B) Market targeting C) Market segmentation D) Differentiation E) Positioning

C

________ involves looking at whether a company's key action plans are well-matched to its opportunities. A) Operating control B) Benchmarking C) Strategic control D) Regression analysis E) Portfolio analysis

C

________ is a person's pattern of living as expressed in his/her psychographics, and it includes the individual's activities, interests, and opinions. A) Personality B) Culture C) Lifestyle D) Motive E) Social class

C

________ is the process by which firms interact one-to-one with masses of customers to design products and services tailor-made to individual needs. A) Product diversification B) Micromarketing C) Mass customization D) Differentiated marketing E) Local marketing

C

________ refers to qualitative research designed to probe consumers' hidden, subconscious motivations. A) Perception analysis B) Subliminal analysis C) Motivation research D) Need recognition E) Market segmentation

C

________ requires finding the major advantages people look for in a product class, the kinds of people who look for each positive aspect of a product, and the major brands that deliver it. A) Gender segmentation B) Psychographic segmentation C) Benefit segmentation D) Geographic segmentation E) Age and life-cycle segmentation

C

________ segmentation refers to dividing the market into segments according to occasions when buyers get the idea to buy, actually make their purchase, or use the purchased item. A) Gender B) Psychographic C) Occasion D) Geographic E) Income

C

) Sunny Brews is a coffeehouse chain based in Boston. It recently introduced Eva, a mild roast, which became immensely popular. This exemplifies ________. A) benchmarking B) diversification C) mass customization D) product development E) downsizing

D

A ________ is a need that is sufficiently pressing to direct a person to seek satisfaction. A) stimulus B) perception C) culture D) motive E) tradition

D

A ________ refers to the way a product is defined by consumers on important attributes— the place the product occupies in consumers' minds relative to competing products. A) core competency B) value stream C) value proposition D) product position E) product specification

D

A company's broad mission leads to ________. A) increasing profits and more customers B) increasing sales and decreasing costs C) a higher share price D) a hierarchy of objectives, including business objective and marketing objectives E) increased market share and increasing profitability

D

A company's marketing decisions may be questioned by consumer organizations, environmental groups, minority groups, and others. These organizations and groups are also known as ________. A) media publics B) marketing intermediaries C) customers D) citizen-action publics E) internal publics

D

A consumer organization in Ohio has challenged the marketing decision of a local firm alleging it to be against the larger social interest. In this instance, the firm is challenged by a(n) ________ public. A) internal B) general C) government D) citizen-action E) media

D

A marketing plan begins with a(n) ________, which presents a brief summary of the main goals and recommendations of the plan for management review. A) budget B) opportunity analysis C) threat analysis D) executive summary E) action program

D

A pastor from Kansas believes that adultery is immoral. This refers to the pastor's ________. A) secondary belief B) acquired belief C) social identity D) core belief E) cultural orientation

D

A public relations firm tailors its advertising and promotional services according to the needs and preferences of specific customers. This exemplifies ________. A) trigger-based marketing B) mass marketing C) segmented marketing D) individual marketing E) concentrated marketing

D

A segment is less attractive if it ________. A) is difficult for new entrants to enter B) is substantial C) is actionable D) already contains many strong and aggressive competitors E) contains weak suppliers

D

A value marketer is most likely to ________. A) offer consumers superior quality of goods and services at a very high price B) offer consumers only those products that are associated with status and prestige C) offer consumers low quality goods and services at very low prices D) offer consumers a balanced combination of product quality at a fair price E) deny discounts to consumers to increase profits

D

Berman Electronics, a chain of appliance stores in North America, caters to a wide range of customers. It has a marketing organization in which different operational specialists head different marketing activities. Berman Electronics is a(n) ________. A) customer management organization B) niche marketer C) early adopter D) functional organization E) laggard

D

Business information services such as Experian Marketing Services and Nielsen help marketers to ________. A) save significant amounts of money on shipping products B) spend more time identifying potential customers C) learn more specific details from consumers about their products D) segment people and locations into marketable groups of like-minded consumers E) expand their product offerings to interested clients and provide high-quality service to them

D

Cape Sky Inc., an international insurance and financial services company, is the primary sponsor of the annual New York City Marathon, which is attended by over one million fans and watched by approximately 300 million viewers worldwide. The Cape Sky logo and name are displayed throughout the racecourse. Cape Sky most likely sponsors this event in order to appeal to which of the following types of publics? A) financial publics B) citizen-action publics C) government publics D) general publics E) internal publics

D

Carrie tends to purchase various brands of bath soap. She has never been loyal to a specific brand; instead she does a lot of brand switching. Carrie exhibits ________. A) dissonance-reducing buying behavior B) complex buying behavior C) habitual buying behavior D) variety-seeking buying behavior E) conspicuous consumption behavior

D

Companies know they cannot appeal to all buyers in the marketplace, or at least not in the same way. Reasons for this include all of the following EXCEPT ________. A) buyers are too numerous B) companies vary widely in their abilities to serve different market segments C) buyers are varied in their needs and buying practices D) companies need more information to offer the right products to the right customers E) buyers are widely scattered

D

Companies that define their missions in terms of products or technologies are considered myopic primarily because ________. A) products and technologies result in low returns on investment B) consumer preferences with regard to products and technology are difficult to predict C) consumer preferences for different product categories vary from time to time D) products and technologies eventually become outdated E) most consumers are not comfortable using sophisticated technology during the buying process

D

Consumer purchases are influenced strongly by characteristics that marketers cannot control but must take into account, including cultural, social, psychological, and ________ characteristics. A) economic B) professional C) medical D) personal E) genetic

D

Crocus, a gift store, specializes in serving customer segments that major competitors overlook and ignore. Which of the following best describes Crocus? A) market follower B) market challenger C) early adopter D) market nicher E) laggard

D

Delta Motorworks markets its cars based on the age, gender, and income of its customers. Which of the following types of market segmentation is evident here? A) geographic segmentation B) benefit segmentation C) occasion segmentation D) demographic segmentation E) psychographic segmentation

D

Donna wants to buy a new coat. During the ________ stage of the buyer decision process she will ask her friends to recommend stores that sell good quality winterwear clothing. She will also go through newspapers and magazines to look out for offers and sales on coats. A) product evaluation B) alternative evaluation C) need recognition D) information search E) purchase decision

D

Double Drill Inc. segments its foreign markets by per capita income. This firm segments the international markets based on ________. A) political factors B) legal factors C) geographic location D) economic factors E) cultural factors

D

Each department in a company that carries out value-creating activities can be thought of as a link in the company's ________. A) channel of intermediaries B) external value stream C) demand chain D) internal value chain E) supplier chain

D

Gen Zers are highly mobile, connected, and social. They base their purchases on ________. A) input from their friends B) text messages C) social media ratings D) product research on their own E) their parents' opinions

D

Gilron Holidays runs a premium membership club that caters to customers whose annual salary exceeds $100,000. Members of this club are offered seasonal discounts at select luxury hotels in select cities worldwide. Gilron Holidays most likely follows a(n) ________ segmentation approach. A) gender B) benefit C) occasion D) income E) geographic

D

Governments develop public policy to ________. A) encourage deregulation B) identify demographic patterns C) identify cultural patterns D) guide commerce E) protect marketers

D

Harley-Davidson promotes its motorcycles with images of independence, freedom, and power. Harley-Davidson has created a ________. A) motive B) life-cycle stage C) self-concept D) brand personality E) self-actualization need

D

Harvey's Bookstore is a popular online bookstore that has differentiated itself through smooth-functioning delivery networks. This is an example of ________ differentiation. A) product B) image C) price D) channel E) people

D

If a consumer's drive is strong and a satisfying product is near at hand, the consumer is likely to purchase the product at that time. If not, the consumer may store the need in memory or undertake ________. A) consumer ethnocentrism B) buyer's remorse C) a need recognition D) an information search E) cognitive dissonance

D

In a SWOT analysis, ________ include favorable trends in the external environment. A) strengths B) challenges C) weaknesses D) opportunities E) threats

D

Marketing control involves four steps including all the following EXCEPT ________. A) setting specific marketing goals B) measuring the marketing plan's performance in the marketplace C) evaluating the causes of any differences between expected and actual performance D) increasing the staffing in the planning department E) taking corrective action to close the gaps between goals and performance

D

Maslow's theory is that ________ can be arranged in a hierarchy. A) marketing stimuli B) personal beliefs C) perceptions D) human needs E) decisions

D

Mission statements should ________ and be defined in terms of ________. A) be technology oriented; meeting the self-actualization needs of customers B) be product oriented; satisfying the esteem needs of customers C) embody the company's short-term plans; current opportunities D) be market oriented; satisfying basic customer needs E) address sales and profits; the net return on investments

D

Omega Inc. makes lightweight sunglasses with 100-percent UV protection for people who love to hunt, hike, and ride bikes. The company's long-term plans include the development of lenses that, in addition to protecting users from UV rays, would help reduce lens spotting through effective water-sheeting methods. This new feature would be valuable to people who fish. Given the rising popularity of recreational fishing in the United States, Omega products clearly have a huge market potential. In terms of a SWOT analysis, Omega has recognized a market ________. A) weakness B) strength C) threat D) opportunity E) challenge

D

People cannot focus on all of the stimuli that surround them each day. A person's tendency to screen out most of the information is called ________. A) subliminal retention B) selective distortion C) cognitive dissonance D) selective attention E) cognitive inertia

D

Phoenix, a popular coffee shop chain in North America, recently opened 400 stores to cater to its rapidly increasing number of patrons. This exemplifies ________. A) product differentiation B) product development C) diversification D) market penetration E) market segmentation

D

Pierre's Mart, a grocery store in New Orleans, Louisiana, offers less merchandise selection and fairly low levels of service. Despite the lackluster service and limited selection of merchandise, customers still flock to Pierre's because it charges rock-bottom prices. Pierre's Mart most likely uses the ________ positioning. A) more for the same B) more for less C) same for less D) less for much less E) more for more

D

Price & Malone Corp., a company based in Houston, caters to a market of individuals and households that buy goods and services for personal consumption. Price & Malone caters to a ________ market. A) business B) reseller C) government D) consumer E) wholesale

D

Sanguine Services is a small company that uses a marketing strategy in which its limited resources are employed to target a large share of two small market segments. Sanguine most likely uses which of the following marketing strategies? A) individual marketing B) one-to-one marketing C) mass marketing D) concentrated marketing E) trigger-based marketing

D

Subcultures include nationalities, religions, geographic regions, and ________. A) genders B) ages C) professions D) racial groups E) income levels

D

Teen Mania Inc., a company marketing adventure sports merchandise for teenagers, targets the world's teenagers, who have similar needs and buying behavior even though they are located in different countries. Which market segmentation is evident here? A) income segmentation B) psychographic segmentation C) gender segmentation D) intermarket segmentation E) occasion segmentation

D

The collection of businesses and products that make up a company is called its ________. A) strategic business unit B) supply chain C) strategic plan D) business portfolio E) internal value chain

D

The economic environment consists of economic factors that affect ________. A) cultural patterns of communities B) entrepreneurial orientation of a population C) the quality of technological innovation D) consumer purchasing power E) the natural environment

D

The fact that people are dropping out of organized religion doesn't mean that they are abandoning their faith. Some futurists have noted a renewed interest in ________, perhaps as a part of a broader search for a new inner purpose. A) interacting with nature B) the fine arts C) charitable giving D) spirituality E) materialism

D

The information sources that are the most effective at influencing a consumer's purchase decision are ________. These sources legitimize or evaluate products for the buyer. A) commercial B) public C) experimental D) personal E) attitudinal

D

The managers of Arrow, an American retail chain, are currently reviewing new demographic markets to sell the firm's current products. This is an example of ________. A) market penetration B) product development C) mass marketing D) market development E) product adaptation

D

The marketing logic by which a company hopes to create customer value and achieve profitable customer relationships is referred to as the ________. A) price B) marketing implementation C) value chain D) marketing strategy E) downsizing

D

The network made up of the company, its suppliers, its distributors, and, ultimately, its customers who partner with each other to improve the performance of the entire system is known as the ________. A) business portfolio B) supply chain C) marketing mix D) value delivery network E) internal value chain

D

Through ________ differentiation, brands can be differentiated on features, performance, or style and design. A) services B) channel C) people D) product E) price

D

Which of the following best describes divisibility of an innovation that influences the rate of adoption? A) It is the degree to which the innovation is difficult to understand. B) It is the degree to which the results of using the innovation can be observed or described to others. C) It is the degree to which the innovation appears superior to existing products. D) It is the degree to which the innovation may be tried on a limited basis. E) It is the degree to which the innovation fits the values and experiences of potential consumers.

D

Which of the following companies has a market-oriented business definition? A) An electronics company, whose business definition is: "We produce microchips." B) A hotel, whose business definition is: "We rent rooms." C) An apparel company, whose business definition is: "We make and sell women's clothing." D) A cosmetic company, whose business definition is: "We sell hope and self-esteem." E) A pizzeria, whose business definition is: "We sell the world's most delicious thin-crust pizzas."

D

Which of the following companies has a product-oriented business definition? A) A luxury hotel, whose business definition is: "We sell out-of-the-world experiences to our guests." B) A real estate company, whose business definition is: "We sell dreams." C) A cosmetic company, whose business definition is: "We offer hope and self-expression." D) A shoe manufacturer, whose business definition is: "We manufacture affordable and long-lasting shoes for all." E) A high-technology company, whose business definition is: "We sell inspirations."

D

Which of the following generations is the most educated to date? A) Lost Generation B) Baby boomers C) Millennials D) Generation X E) Silent Generation

D

Which of the following has lost population in the past two decades? A) California B) Florida C) the Western states D) the Northeast states E) the Southern states

D

Which of the following is LEAST relevant when a firm evaluates different market segments? A) segment size and growth B) company resources C) segment structural attractiveness D) core competencies of competitors E) company objectives

D

Which of the following is NOT an example of product-oriented mission statements? A) "We are an online library." B) "We run theme parks." C) "We sell athletic shoes." D) "We sell memorable experiences." E) "We rent hotel rooms."

D

Which of the following is NOT something a company must determine when analyzing its current business portfolio? A) which businesses should receive more investment B) which businesses should receive less investment C) which businesses should receive no investment D) which businesses should be sold or closed E) which businesses shape the future portfolio

D

Which of the following is a component of a firm's microenvironment? A) customer demographics B) economic recessions C) population shifts D) marketing intermediaries E) technological changes

D

Which of the following is an accurate statement about the diversity of the American population? A) African Americans represent the largest non-white segment of the population. B) More than 20 percent of the people living in the United States were born in another country. C) By 2050, the Asian population is estimated to remain at 4.7 percent. D) By 2060, Hispanics are estimated to be 28 percent of the population. E) The United States has become more of a "melting pot" than a "salad bowl."

D

Which of the following is true of the baby boomers? A) They tend to see themselves as far older than they actually are. B) They represent a rapidly shrinking market for new housing and home remodeling. C) They are long past their peak earning and spending years. D) They control an estimated 70 percent of the United States' disposable income. E) They have utter fluency and comfort with digital technology.

D

Which of the following is true with regard to the same for less value proposition? A) Discount stores and "category killers" rarely use the same-for-less value proposition. B) The same-for-less value proposition is mostly offered by marketers who sell higher quality upscale products or services. C) The same-for-less value proposition cannot generate profits. D) Offering the same for less can be a powerful value proposition because everyone likes a good deal. E) The same-for-less positioning involves meeting consumers' lower performance or quality requirements at a much lower price.

D

Which of the following product characteristics refers to the degree to which the innovation appears superior to existing products? A) compatibility B) divisibility C) communicability D) relative advantage E) complexity

D

Wholesome Soups, a maker of organic soups, is starting a new marketing campaign emphasizing the ease of preparing and eating Wholesome Soups. Print, television, and Internet ads feature college students enjoying Wholesome Soups in between classes and during study breaks. Wholesome Soups' new marketing campaign is most likely aimed at which of the following? A) Baby Boomers B) Gen Zers C) Gen Xers D) Millennials E) the SOHO market

D

Within a company, who is most likely to perform strategic planning? A) the president and vice presidents B) the accounting and finance departments C) the marketing and sales departments D) cross-functional teams of divisional managers close to their markets E) the manufacturing and production departments

D

________ analysis is an overall evaluation of the company's strengths, weaknesses, opportunities, and threats. A) Porter's five forces B) A breakeven C) A regression D) A SWOT E) A cluster

D

________ is the process of developing and maintaining a crucial fit between the organization's goals and capabilities and its changing marketing opportunities. A) Benchmarking B) SWOT analysis C) Market segmentation D) Strategic planning E) Diversification

D

________ marketing is more suited for products that vary in design. A) Mass B) Local C) Direct D) Differentiated E) Individual

D

________ marketing tailors brands and promotions to the needs and wants of regional customer groups, such as cities, neighborhoods, and even specific stores. A) Undifferentiated B) Differentiated C) Niche D) Local E) Individual

D

________ measures the profits generated by investments in marketing activities. A) A SWOT analysis B) A marketing audit C) Regression analysis D) Return on marketing investment E) Marketing budget evaluation

D

________ provide the resources needed by a company to produce its goods and services. A) Retailers B) Marketing services agencies C) Resellers D) Suppliers E) Financial intermediaries

D

________ refer(s) to meaningful sets of marketing performance measures in a single display used to monitor strategic marketing performance. A) Field automation systems B) Market segments C) Market share D) Marketing dashboards E) Line extensions

D

________ refers to a market-coverage strategy in which a firm decides to ignore market segment differences and go after the whole market with one offer. A) Individual marketing B) Local marketing C) Niche marketing D) Undifferentiated marketing E) Segmented marketing

D

________ refers to how a company will create differentiated value for targeted segments and what positions it wants to occupy in those segments. A) Targeted marketing B) Market segmentation C) Product positioning D) Value proposition E) Niche marketing

D

________ refers to the unique psychological characteristics that distinguish an individual or group. A) Attitude B) Belief C) Perception D) Personality E) Self-awareness

D

________ segments are conceptually distinguishable and respond differently to different marketing mix elements and programs. A) Complex B) Measurable C) Competitive D) Differentiable E) Homogeneous

D

________ show(s) consumer perceptions of a company's brands versus competing products on important buying dimensions. A) Differentiation B) Positioning C) Market targeting D) Perceptual positioning maps E) Market segmentation

D

A ________ consists of a set of buyers who share common needs or characteristics that the company decides to serve. A) marketing channel B) citizen-action group C) distribution channel D) customer franchise E) target market

E

A firm dumping chemical wastes in the local lake is ________. A) actively resisting social change B) contributing to organizational anarchy C) engaging in a "do well by doing good" mission D) adopting a proactive stance toward the marketing environment E) contributing to increased pollution

E

A particular automobile company works to keep its customers happy after each sale, aiming to delight each one of them in order to increase their customer lifetime value. Which of the following steps of the buyer decision process does the company exemplify? A) need recognition B) information search C) evaluation of alternatives D) purchase decision E) postpurchase behavior

E

According to Freud, a person's buying decisions are primarily affected by ________. A) family influences B) societal expectations C) brand images D) cultural norms E) subconscious motives

E

An American cola-manufacturing company that primarily targets rebellious and adventurous people most likely uses ________ segmentation. A) occasion B) geographic C) income D) benefit E) psychographic

E

Business marketers use geographic, demographic, benefit, user status, usage rate, and loyalty status to segment their markets. They also use ________, customer operating characteristics, purchasing approaches, and situational factors. A) weather patterns B) psychographics C) ethical traits D) budgets and financial status E) personal characteristics

E

Buyer responses are influenced by marketing stimuli. The responses to the stimuli include all of the following EXCEPT ________. A) brand engagement B) buying attitudes C) purchasing behavior D) buying preferences E) the "why" regarding the responses

E

Companies can succeed against their competitors by all of the following EXCEPT ________. A) providing greater customer value and satisfaction B) better meeting the needs of target customers C) positioning their offerings strongly against competitors' offerings in the minds of consumers D) considering their own size and position compared to the competition E) providing the same product as the competition

E

In a SWOT analysis, which of the following would be considered a strength? A) industry trends B) technological shifts C) environmental demands D) performance challenges E) internal capabilities

E

In the context of geographical shifts in population, the migration toward ________ areas has resulted in a rapid increase in the number of people who telecommute. A) urban B) remote C) rural D) metropolitan E) micropolitan

E

Leona bought two different brands of wine from vineyards in Australia. When asked for her opinion about the wines, she said that one brand of wine tasted like alcoholic grape juice, but the other had a crisp taste that she really enjoyed. These statements were most likely made during the ________ stage of the buyer decision process. A) information search B) need recognition C) alternative evaluation D) purchase decision E) postpurchase behavior

E

Life-stage segmentation allows marketers to create targeted, actionable, and ________ campaigns based on how people consume and interact with brands. A) inexpensive B) professional C) multimedia D) social media E) personalized

E

Many companies use RFID product labels on their goods, which exemplifies the ________ environment in business. A) natural B) political C) economic D) demographic E) technological

E

Marketers realize that their commercial sources ________ the buyer. A) legitimize products B) attract C) evaluate products D) personalize products to E) inform

E

New technologies most likely lead to ________. A) economic imbalance in society B) reduced exports C) trade deficits D) an increased demand for unskilled labor E) new markets and opportunities

E

Orion Inc. markets luxury watches. It targets the wealthy global elite segment, regardless of their geographic location. Orion most likely uses ________ segmentation. A) income B) age-group C) occasion D) benefit E) cross-market

E

Orion Inc. operates in many industries, including pharmaceuticals and food products. The company's goal is to create "abundant and affordable food for all and a healthy environment." This represents Orion's ________. A) marketing plan B) product mix C) business portfolio D) marketing mix E) mission statement

E

Sara is about to purchase a new television. She is using several attributes to evaluate her choices. Which of the following is least likely to be a criterion Sara is using? A) price B) size of screen C) color of body D) network connectivity E) availability

E

Shoez Inc., a manufacturer of shoes, has recently launched a brand of sturdy shoes ideal for hiking and other outdoor activities. Which of the following brand personalities could be best associated with the new brand? A) sincerity B) excitement C) sophistication D) competence E) ruggedness

E

The process of arranging for a product to occupy a clear, distinctive, and desirable place relative to competing products in the minds of target consumers is known as ________. A) market segmentation B) differentiation C) target marketing D) market targeting E) positioning

E

Using ________ segmentation, marketers form segments of consumers who have similar needs and buying behaviors even though they are located in different countries. A) psychographic B) demographic C) occasion D) benefit E) intermarket

E

Which is NOT part of the company environment that influences marketing decisions? A) accounting B) engineering C) manufacturing D) sales E) retailers

E

Which of the following is NOT a step in the strategic planning process? A) defining the company mission B) setting company objectives and goals C) designing the business portfolio D) planning marketing and other functional strategies E) evaluating members of the company's value chain

E

Which of the following is characteristic of online social networks? A) use of one-way communication techniques B) negligible adoption rates C) guaranteed positive results D) easy methods to measure results E) interactive media content

E

Which of the following is most likely influenced by marketers? A) population shifts B) core cultural values C) income distribution D) ethnic diversity E) media

E

Which of the following is true about multivariable segmentation systems? A) Marketers using multiple segmentation bases tend to ignore smaller markets. B) Marketers often use multiple segmentation bases to control inflation. C) Multiple segmentation rarely involves the use of demographic data. D) Multiple segmentation is ineffective in large markets. E) Multiple segmentation bases help identify smaller, better-defined target groups.

E

Which of the following is true with regard to geographic organization? A) It is the most common form of marketing organization. B) Different marketing activities are headed by a functional specialist. C) It requires salespeople to have international experience. D) It reduces the overall efficiency of salespeople. E) It allows salespeople to work with a minimum of travel time and cost.

E

Which of the following refers to a cultural factor in the context of segmenting international markets? A) receptivity of foreign firms B) economic development of the country C) population income levels D) stability of the government E) values and attitudes

E

While there may be many differences between brands, not all are meaningful or relevant to consumers. Which of the following is NOT a criterion for establishing the value of a difference to promote? A) superior; the difference is superior to other ways that customers might obtain the same benefit B) affordable; buyers can afford to pay the difference C) profitable; the company can introduce the difference profitably D) important; the difference delivers a highly valued benefit to target buyers E) visually appealing; customers will be able to see and appreciate the difference

E

Word-of-mouth influence comes to consumers from family, colleagues, and ________. A) investors B) athletes C) neighbors D) entertainment celebrities E) friends

E

________ can be a poor predictor of a person's health, work or family status, needs, or buying power. A) Occupation B) Education C) Ethnicity D) Religion E) Age

E

________ consists of arranging for a market offering to occupy a clear, distinctive, and desirable place relative to competing products in the minds of target consumers. A) Mass customization B) Targeting C) Segmentation D) Differentiation E) Positioning

E

________ consumers are the most brand conscious of all the ethnic groups, are extremely brand loyal, and shop frequently. A) African American B) Native American C) Hispanic American D) Italian American E) Asian American

E

________ is the practice of tailoring products and marketing programs to suit the tastes of specific individuals and locations. A) Mass marketing B) Trigger-based marketing C) Differentiated marketing D) Concentrated marketing E) Micromarketing

E

________ positioning involves providing the most upscale product or service and charging a higher price to cover the higher costs. A) More for the same B) More for less C) Same for less D) Less for much less E) More for more

E

________ segmentation divides buyers into different segments based on lifestyle or personality characteristics. A) Benefit B) Occasion C) Geographic D) Demographic E) Psychographic

E

________ segmentation divides buyers into different segments based on social class, lifestyle, or personality characteristics. A) Benefit B) Occasion C) Geographic D) Demographic E) Psychographic

E

________ segmentation divides the market into segments based on variables such as age, life-cycle stage, gender, income, occupation, education, religion, ethnicity, and generation. A) Geographic B) Benefit C) Occasion D) Psychographic E) Demographic

E