Marketing Final

If the product price is $100, average variable cost $40 per unit, and the total fixed costs are $120,000 what is the break even point?

2,000 units

You have just been promoted to vice president of marketing for your firm. Unlike your processor, you believe the firm can increase in sales in the market by focusing on more than one segment of the market. Do you recognize that doing so means your firm will ensure how your production costs. Based on this information, which of the following targeting strategies are you advocating?

A differentiated targeting strategy

The Procter & Gamble company has a recognized the significant increase in population diversity within the US market. Which of the following best illustrates the companies integration of this knowledge into its marketing strategy?

Ads featuring mixed-race families and dads doing laundry

_____ Provide the businesses with copy writers, artist, production coordinator's, media expert's, researchers, and other highly skilled specialists

Advertising agencies

Some critics including Consumer groups and government officials, suggests that certain products should not be promoted because they

Are potentially harmful

As Alicia enters Autio car electronics department, she is asked by the sales person if she has seen the new plug-in cell phones with coffee warming app. She answers that she didn't know that this type of app for cars was available. Based on this information she is now in what stage of the product adoption process for this item?

Awareness

Glenwood Pet Hospital is considering implementing a new pricing strategy for its veterinarian services. After reviewing the previous three years' revenue, Glenwood finds that most of its customers bring their pets in for the required annual vaccinations and then only if the animal is ill. Glenwood's objective is to generate more income per customer on an annual basis. The hospital has previously priced its services by charging a flat fee for the office visit, a fee for each vaccine, and a fee for each type of examination beyond the basic office visit. Most customers pay the flat office fee and a fee for a rabies vaccine. Glenwood is now considering a new plan where the pet owner would pay one fee that would cover an office visit, the required rabies vaccine, and additional vaccines that prevent heartworm, kennel-cough, and fleas. Glenwood hopes to encourage the pet owners to view their pet's health as part of a prevention program, rather than a one-time annual visit. Refer to Scenario 20.2. Glenwood's new pricing strategy is an example of _____ pricing

Bundle

The Director of marketing for a duck brand tells the rest of the management team, "when it comes to duck tape unit, our strategy will be to use funds generated here to support our adventure in the industrial bonding market." The strategy indicates that the duck tape unit falls into which one of the following classifications?

Cash cow

Many marketers claim that _____ will become the worlds largest market

China

Labeling is _____ packaging

Closely interrelated to

Soft drink companies advertise that their products beat the competition in national "tastes," and they refer to rival brands by name. This type of advertising is best described as

Comparative

Lena is completing her senior year of college and is living in an apartment with three friends. Family has a subscription to HBO go and Lisa is able to use the log-on ID and password while she's still at college. Lena does not have cable TV or satellite TV as she typically streams shows or movies that are available online for free through HBOGo. Several of Lena's friends don't have a subscription to Hulu so Lena has given them her log-on ID and password so they can watch their shows. She doesn't mind sharing the HBO GO subscription with her friends—what could it hurt? She has heard that the entertainment Industry and HBOGo are upset over people sharing their subscription to the streaming services in this way. When is sharing of her families HBOGo subscription is an example of

Consumer misbehavior

Yes which one of the following is not a benefit of multiple packaging

Conveys an overall image of the firm

The public is becoming more aware of how marketers activities affect the welfare of consumers and society. As a result, more firms are working to

Create a responsible approach to developing long-term relationships with customers and society

When determining probably product is conceived, planned, produce, and even its physical appearance and specific characteristics, what is really talking about the product's

Design, styling, and features

You work in the marketing department of a company that sells computers directly to customers. Recently, your CEO decided He wants to expand and begin selling through popular retailers. You have been given the task of identifying retailers that reaches significant portion of the target market but that also fit with the quality of your companies brand. Once these retailers are selected, you are to work with these retailers to negotiate your shelf placement. Your job deals mainly with which marketing mix element?

Distribution

Department stores such as Kohl's in Macy's are interested in learning how much their competitors are charging for similar merchandise. Which of the following practices would these retailers most likely used to identify competitors prices?

Employing comparative shoppers who systematically collect data on prices at competing stores

One way that Kia evaluates the product and service level is by how well it ranks on the J.D. Power & Associates Sales Satisfaction Survey. In doing so, Kia is

Evaluating actual performance

Suhail is shopping for a new suit to wear to an important interview. He really wants to impress his perspective employer and is shopping at many stores to find the right outfit. Suhail is using which type of consumer decision making process?

Extended decision making

T/F: Advertising is one element of the promotion mix that is too expensive for small business firms

False

T/F: Consumers now have less ability to regulate the information they view as well as the rate and sequence of their exposure to that information

False

T/F: Decisions regarding sales promotion do not affect advertising decisions

False

T/F: Generally, sales promotion attempts to influence customers to purchase products but is not normally aimed at resellers

False

T/F: Line extensions or less common than other new products because one extensions are more expensive and more risky

False

T/F: Social responsibility and marketing ethics are the same thing and can be used interchangeably

False

T/F: The marketing mix should be left alone during the maturity stage of the product life cycle; tampering with it may bring an early death to the product.

False

T/F:All marketers interpret laws and regulations conservatively and strictly to avoid violating a vaguely worded law

False

Paper towels and trash-can bags are most likely distributed through _____ and _____

Intensive distribution; multichannel distribution

Lil Angels kids spa offers various treatments designed to appeal to the younger customer. Treatment operations include manicures, pedicures, facials, tea parties, and dress-up photos. Parents can even purchase a birthday party package. Currently will angels offers it services to only girls under the age of 14. Originally began in Delaware, Lil Angels is considering opening its spa/salons in other parts of the country and is planning to extend its offerings to girls age 14 to 17. The company realizes that some changes may be needed. For example, management wants to find out if the older girls will be interested in their birthday party and tea party services. Refer to scenario 6.1. Which of the following best describes Lil Angels current approach to the market?

It is segmenting the market according to demographic variables

Your company provides oil exploration services to major oil companies in Russia the United States government just announced it is imposing economic sanctions on Russia because of the military actions it has taken in Ukraine. The situation is an example of which of the following types of forces that constantly impact a company's dynamic marketing environment.

Legal and regulatory forces

To what level of commitment in the international marketing may be most attractive when the political and economic stability before and country is questionable

Licensing

After determining that customers had concerns about certain ingredients that may cause health issues, Patrizzi's pizza began offering a gluten-free pizza product. The creation of this new product was a result of

Market opportunity

Publix is attempting to forecast sales for a new ice cream cake. To come up with an accurate forecast, Publix places the product in Atlanta supermarket for a period of four months. In this instance, Publix is using which forecasting method?

Market test

And marketing manager for a small laptop manufacture is analyzing the potential effects of it political, legal, social cultural, and economic forces on the firms operations. Marketing manager is examining though_____ that influences the firm's strategy.

Marketing environment

A marketing objectives should be expressed in clear, simple terms; be _____, specify a timeframe for completion; and ensure the marketing objective is _____ with both business unit and corporate strategies.

Measurable; consistent

Capitol Supply's sales and salesforce have continued to expand. Now, the firm plans to add a fleet of company cars as a part of its sales compensation package. For Capitol Supply, these vehicles would represent a _____ purchase

New-task

As a media buyer for the walker agency, Rick knows that no one ever checks to see if his phone calls are business related or personal. With regard to ethical behavior, the situation relate to most closely to

Opportunity

Which of the following gives marketers the greatest freedom to adjust a message to satisfy customers information needs?

Personal selling

Boeing is one of the worlds largest aerospace and defense companies, and it's been $17 million lobbying to pass legalism to protect its interest or to retaliate against its competitors. Dispersed represents which of the following environmental forces?

Political

The General Auto insurance advises its automobile insurance as "For the great low rate you can get online, go to The General and save some time!" General is engaging in

Price competition

Pharmaceutical companies have At times been accused of ugly by taking advantage of customers in the area of

Pricing

Woodworks, Inc. markets furniture directly to business. This is an example of a(n) _____ channel

Producer to business buyer

A potato chip company advertises that its newly launched product can lower cholesterol, although the company cannot provide evidence to substantiate this claim. This situation involves an ethical issue related to which element of the marketing mix?

Promotion

Crisis management plans should be developed and implemented to mitigate potentially damaging effects of unfavorable coverage, which best relates to

Public relations

Which of the following is a broad search of communication efforts used to create and maintain favorable relationships between an organization and its customers, suppliers, employees, shareholders, the media, educators, potential investors, government officials, and society in general?

Public relations

Samsung is entertaining the home appliance market with its new French door refrigerator. In designing the production facility, it has a need for various pieces of equipment, including the perpetual assembly belt drive, quasi-assembly pods, and finishing stations. The purchasing agent for the appliance division is inquiring about two will be needed for input on the purchasing decision. Samsung has already contracted several producers of that quasi-pods, and has begin negotiations with their sales representatives. Referred to scenario 8.1. What was the first step of the barn decision process and Samsung went through when looking for the quasi-assembly pods?

Recognizing the problem or need

Individuals and business organizations that but I finished it and resell them to make a profit without changing the physical characteristics of the product are classified as _____ markets

Reseller

Exclusive distribution be most appropriate

Rolls Royce automobile

Peet's Coffee Will spend $500,000 marketing its newest latte drink. It expects to sell 1 million of these lattes over the next year. These 1 million lattes are a _____ for Peet's Coffee.

Sales forcast

Alan is planning a trip to Playacar for spring break. She will likely be able to evaluate the hotels size, amenities offered, and prices by looking at information on its website. However, he won't be able to evaluate the comfort level of the bed or the friendliness of the employees until he actually spends time at the hotel. The type of evaluation attributes Alan is using before his trip are called_____ and since he is us during the trip are called _____

Search; experience

Which of the following is not one of the ways in which a firm can obtain profit through customer relationships?

Shortening the duration of customer relationships

Information provided by one firm on household demographics, consumer purchases, television viewing behavior, and responses to promotions is called _____ data

Single-source

Cisco has developed a website that allows employees to create a profile and connect with coworkers for the purpose of getting acquainted and building a work related network. This is an example of a

Social network

Thoughts about who was around when the product is purchased relate to which of the following situational influences?

Social surroundings

Is a certain country considered handshakes and business transactions to be taboo and preferred to use not in, this would be an example of differences in _____ forces

Sociocultural

Which of the following statements about conducting marketing research internationally is false?

Specific differences among countries have no affect on data gathering or the marketing research process.

Corporate executives often prefer marketing research findings to be put into a report (hint if you were a corporate executive what would you want to read?)

That is clear, short and simply expressed

The federal reserve bank just issued a economic report on the US economy for the quarter just ended. The following are some of the key points mentioned in the report: 1. " economic activity has continued to grow at a moderate pace since the last report" 2. " manufactures report that the business activity has picked up considerably in recent weeks" 3. " tourism activity has strengthened, no longer held back by harsh weather" 4. " General merchandise retailers report that sales rebounded strongly in April and early May" 5. " retail contracts generally say that inventories are satisfactory levels, the prices are mostly steady, and that the degree of discounting is little changed from a year ago" Based on these economic forces, you can conclude

The economy is in the prosperity stage of the business cycle and consumers buying power is increasing

Business customers today turn first to _____ Just search for information and signed sources for their product needs

The internet

In many service industries, customer-contact employees are

The lowest paid and least trained employees

You're being quizzed on your knowledge of marketing. A question on the quiz asks, "what is the ultimate goal of marketing research for a firm?" What each of the following is the best answer to this question?

To improve organizational performance

T/F: A quota is the suspension, by a government, of trade in a particular product

True

T/F: Although nonprofit goals differ from for-profit goals, certain business marketing concepts can be adopted to enhance nonprofit operations

True

T/F: Because of inseparability the consumption and production of services, customers are often present when a service is produced

True

T/F: Conflicts with the retailer may develop if the dealer decides to place too much emphasis on competing product lines

True

T/F: Goods can be defined in terms of their physical attributes, but services cannot because they are intangible

True

T/F: If integrated marketing communications works as intended, customers should receive clear and consistent messages

True

T/F: Intangibility of services creates promotional challenges because it is difficult to display a service in a store and to demonstrate the quality of service

True

T/F: People learn values and principles through socialization by family members, social groups, religion, and formal education

True

T/F: Product placement is a form of advertising that strategically locates products or product promotions within entertainment media to reach the products target market(s)

True

T/F: Reinforcement advertising tells the current users how to get the most satisfaction from the brand they have chosen

True

T/F: Signs and symbols that can have more than one meaning should be avoided

True

T/F: Sure atmospheres are used to create emotional effects that enhance the profitability of purchasing

True

T/F: The analysis of strengths and weaknesses focuses on internal factors that give the organization certain advantages and disadvantage in meeting the needs of its target markets

True

T/F: The atmosphere and decor of a retail store, the variety and depth of product choices, the customer support, even the sounds and smells all contribute to the experiential element of its total product

True

T/F: The graphic distribution of affirms customers can affect the combination of promotional methods used

True

T/F: The importance of price depends on the type of product, the type of target market, and the purchase situation

True

T/F: The way marketers use pricing in the marketing mix will affect the final price

True

T/F: When a firms management is making the final selection of specific target markets to enter, it should consider whether the organization has the financial resources, managerial skills, expertise, and facilities needed to effectively complete the selected segments

True

Political candidates may use marketing research to

Understand the scope of issues their constituents consider important

In an efficient supply chain, _____ provide direct or indirect input to make the product, and _____ are responsible for delivery of the product and after-market services to ultimate customers

Upstream firms; downstream firms

What is one method of sales managers use to balance territorial workloads and earning potential?

Use differential commission rates

Old Spice created a series of online videos on YouTube through it's "The Man Your Man Could Smell Like" campaigning in which the main character responded to view or questions. These entertaining videos were shared by thousands of people spreading the message created by Old Spice. This is an example of

Viral marketing

When a product tries to capitalize on the brand equity of two separate brands, marketers are using

co-branding

Purposeful actions to take advantage of or harm others during a transaction is best described as

consumer fraud

The difference between consumer sales promotion methods and trade sales promotion methods is

consumer sales promotions focus on getting consumers to buy their products, whereas trade sales promotions focus on getting wholesalers and retailers to carry the product and/or to market it more aggressively.

In general, differences between goods and services are determined by the

degree of tangibility

The depth of a product mix is measured by the average number of

different products offered in each product line

Brand-name, product characteristics, packaging, and labeling are some of the _____ marketing mix variables to standardize for international markets

easiest

When the more information is needed about a problem and a tentative hypothesis needs to be made more specific marketers usually conduct _____ research

exploratory

Information from the US Census Bureau is commonly used as ______ by a variety of agencies and organizations

external secondary data

To promote overall company image, packages of Pillsbury cake and cookie mixes have similar designs and colors. This approach is known as

family packaging

The maker of Huggies diapers is developing a media plan that involves trying to expose its target audience to its new advertisement about ten times. This is advertising

frequency

Merchant wholesalers can be divided into two basic categories:

full service and limited service

Cheetos Fat-free Crunchies is a product developed through advanced technology. Cheetos engineered a technique for making reduced-fat snacks that taste cheesier and stay fresh longer. About 18 months later, a series of competitors' ads was run to counter claims that Cheetos Crunchies actually contained 1.5 grams of fat, and that they contained preservatives and additives. Research showed that the taste of Cheetos Crunchies was also perceived negatively by some people. To save the product, Cheetos reduced the remaining fat to 0 grams, took out the preservatives, and improved the taste. Referred to scenario 12.1. Suppose that cheetoh stops the production of Cheetos Fat-free Crunchies and sells all of its remaining inventory to a warehouse club. This would be an example of a(n)

immediate-drop decision

Traditionally, most firms entered the international markets

incrementally

The three most widely recognized types of consumer decision making are

limited problem solving, extended problem solving, and routinized response behavior.

_____ relates to perceptions of value and is the most flexible element of the marketing mix

pricing

In an attempt to attract customers, service marketers often promise great results and satisfaction to customers, but marketers should be careful not to

promise too much and cause customer expectations beyond what they can deliver.

Which of the following relates to activities used to inform and persuade or create a desired response

promotion

If Umbro faces a standard demand curve that exists for most products, as it raises the price of its soccer balls, the

quantity demanded goes down

Factors such as climate, seasons, and holidays tend to lead to the promotional objective of

reducing sales fluctuations

Age, rate of product use, location, and gender are all examples of common

segmentation variables

Which of the following products is most likely to be marketed to using an undifferentiated approach?

table salt

Price is a key element in the marketing mix because it relates most directly to

the generation of total revenue

Generally speaking, individuals who are unemployed would not be considered a target market for lawn care services because

they would not have the ability to purchase such products