MKTG 321 Final Exam "Learn it" Questions

Which of the following is the market value of a nation's total output of goods and services in a specific period? 1. Gross domestic product (GDP) 2. Balance of trade 3. Exchange control 4. Import tariff

1. Gross domestic product (GDP)

Which of the following are advantages of penetration pricing? (Select two) 1. Helps increase sales volume, which leads to production economies of scale 2. Helps recover high research and development costs more quickly 3. Allows more flexibility in making price changes 4. Encourages customers to try the new product 5. Holds down demand when the firm has limited production capability at the introduction

1. Helps increase sales volume, which leads to production economies of scale 4. Encourages customers to try the new product

Which of the following are advantages of direct mail? (Select three) 1. Hidden from competitors 2. Circulation controlled by advertiser 3. Personal use of novelty 4. Difficult to measure performance 5. Competitors can easily access

1. Hidden from competitors 2. Circulation controlled by advertiser 3. Personal use of novelty

Measuring the number of repeat sales is which type of social media metric? 1. Impact 2. Engagement 3. Exposure 4. Advocacy

1. Impact

Which of the following support personnel take orders, follow up on deliveries, and provide technical information? 1. Inside salespeople 2. Customer success manager (CSM) 3. Technical salespeople 4. Outside salespeople

1. Inside salespeople

Which type of advertising is a form of advertising that promotes organizational images, ideas, and political issues? 1. Institutional 2. Pioneer 3. Comparative 4. Competitive

1. Institutional

The change in total revenue that would be received when one additional unit is sold is known as _______ revenue. 1. marginal 2. variable 3. fixed 4. average

1. Marginal

Which form of trade sales promotion is a manufacturer's agreement to pay resellers a certain amount of money for providing special promotion efforts? 1. Merchandise allowance 2. Buy-back allowance 3. Scan-back allowance 4. Cooperative advertising

1. Merchandise allowance

Which of the following is not one of the five opportunities for creating value generated by a global presence? 1. Minimizing the transfer of knowledge across locations 2. Mining optimal locations for activities and resources 3. Exploiting economies of global scale 4. Adapting to local market differences

1. Minimizing the transfer of knowledge across locations

Which of the following is contracting of noncore operations or jobs from internal production within a business to an external entity that specializes in that operation? 1. Outsourcing 2. Licensing 3. Offshoring 4. Offshore outsourcing

1. Outsourcing

Some companies now use online advertising campaigns and contests to help develop better goods, services, or ideas. This is most closely related to what variable of the marketing mix? 1. Product considerations 2. Promotion considerations 3. Pricing considerations 4. Distribution considerations

1. Product considerations

Carefully choosing salespeople describes which function of sales management? 1. Recruiting and selecting salespeople 2. Establishing sales-force objectives 3. Controlling and evaluating the sales force performance 4. Motivating salespeople

1. Recruiting and selecting salespeople

Which one of the following is not an element that a firm should consider when it determines a specific price for its product? 1. Target market elasticity 2. Current economic conditions 3. Governmental actions 4. Changes in demand

1. Target market elasticity

Which of the following are types of pricing used in business markets? (Select three) 1. Transfer pricing 2. Price leaders 3. Comparison discounting 4. Trade discounts 5. Geographic pricing

1. Transfer pricing 4. Trade discounts 5. Geographic pricing

To more accurately gauge the target market's evaluation of price, firms should look at which of these? (Select three) 1. What product quality customers expect 2. How sensitive a customer is to the purchase situation 3. How different customers respond to the marketing mix 4. The importance customers place on a product 5. How much value customers expect from a product

1. What product quality customers expect 4. The importance customers place on a product 5. How much value customers expect from a product

Monitoring customer satisfaction and retention describes which function of sales management? 1. Controlling and evaluating the sales-force performance 2. Establishing sales-force objectives 3. Motivating salespeople 4. Recruiting and selecting salespeople

1. controlling and evaluating the sales force performance

The World Trade Organization (WTO) aims to do which of the following? (Select three) 1. Mediate trade disputes 2. Work to reduce global trade barriers 3. Adopt a common currency 4. Offer low-interest loans 5. Serve as a forum for trade negotiations

1. mediate trade disputes 2. work to reduce global trade barriers 5. serve as a forum for trade negotiations

A country's _______ is the difference between the value of a country's exports and the value of its imports. 1. import tariff 2. balance of trade 3. quota 4. exchange control

2. Balance of trade

What happens in a normal demand curve, where there is an inverse relationship between price and quantity? 1. The price goes up as demand goes up. 2. Demand goes up as the price goes down. 3. Demand goes down as the price goes down. 4. The price goes down as demand goes up.

2. Demand goes up as the price goes down

Which one of the following types of products is not subject to inelastic demand? 1. Electricity 2. Dining room furniture 3. Status-symbol cars 4. Gasoline

2. Dining room furniture

_______ is/are often a political necessity because of nationalism and government restrictions on foreign ownership. 1. Direct ownership 2. Joint ventures 3. Strategic alliances 4. Contract manufacturing

2. Joint ventures

To use price competition most effectively, an organization should focus on _______ and _______. (Select two) 1. keeping product quality high 2. keeping its costs low 3. meeting demand as it changes 4. responding to rivals' price changes

2. Keeping its costs low 4. responding to rivals' price changes

Which of the following appropriation techniques multiplies the firm's past and expected sales by a standard percentage? 1. Objective-and-task approach 2. Percent-of-sales approach 3. Arbitrary approach 4. Competition-matching approach

2. Percent of sales approach

What is an evaluation of advertisements performed before a campaign begins? 1. Inquiries 2. Pretest 3. Recognition test 4. Aided recall test

2. Pretest

When a company sets a high price for the introduction of a new product, it is using which type of pricing? 1. Differential pricing 2. Price skimming 3. Demand-based pricing 4. Penetration pricing

2. Price skimming

What type of pricing involves a firm setting a low price for a basic product and a higher price for something needed to operate that product? 1. Premium 2. Captive 3. Bundle 4. Customary

2. captive (think printer and printer ink)

Which media selection consideration relates to the percent of target audience exposed to the ad at least once during a specified period? 1. Target audience 2. Reach 3. Frequency 4. Objectives

2. reach

A company considering culture when marketing a product in a foreign country would want to be sure that promotional messages _______, _______, and _______. (select three) 1. consider consumer income 2. reflect the country's social values 3. convey the intended meaning 4. are translated correctly

2. reflect the country's social values 3. convey the intended meaning 4. are translated correctly

Which of the following provide proactive support to customers to help them increase customer value realization over time? 1. Technical salespeople 2. Inside salespeople 3. Customer success manager (CSM) 4. Trade salespeople

3. Customer success manager (CSM)

Which media schedule involves the advertiser scheduling "on" times and "off" times for the ad based on the best sales periods? 1. Frequency media schedule 2. Pulsing media schedule 3. Flighted media schedule 4. Continuous media schedule

3. Flighted media schedule

If a firm sells a prestige product, what kind of relationship between price and quantity demanded should it expect? 1. It should expect to sell more when it lowers the price. 2. It should expect to sell more at ever-higher prices. 3. It should expect to sell more at higher prices, up to a point. 4. It should expect to sell less at ever-higher prices.

3. It should expect to sell more at higher prices, up to a point.

What happens when the firm achieves the breakeven point? 1. It will increase costs on each unit sold after that point. 2. It will lose money on each unit sold after that point. 3. It will make money on each unit sold after that point. 4. It will meet demand on each unit sold after that point.

3. It will make money on each unit sold after that point.

Which of the following is not an aspect of technological forces? 1. Targeting specific markets 2. Developing social media campaigns 3. Paying people to influence policy decisions of foreign governments 4. Enabling robots or drones to perform a service

3. Paying people to influence policy decisions of foreign governments

Which of the following are not examples of promotional pricing? (Select two) 1. Comparison discounting 2. Price leaders 3. Price lining 4. Reference pricing 5. Special-event pricing

3. Price lining 4. Reference pricing

What is one of the biggest mistakes a marketer can make when it comes to digital marketing? 1. They forge relationships with stakeholders. 2. They use all types of digital media instead of just the internet. 3. They treat it like they would traditional marketing. 4. They use social media over emails

3. They treat it like they would traditional marketing.

Costs that don't change with the level of production, such as rent, are referred to as _______ costs. 1. inelastic 2. variable 3. fixed 4. marginal

3. fixed

Any attempt to conduct dishonest activities online would be described as _______. 1. credit card fraud 2. transparency 3. online fraud 4. identity theft

3. online fraud

What consists of basic issues or selling points to be included in an advertising campaign? 1. Target audience 2. Objectives 3. Advertising campaign 4. Advertising platform

4. Advertising platform

What is the manner in which a salesperson contacts a potential customer? 1. Prospecting 2. Preapproaching 3. Presenting 4. Approaching

4. Approaching

Which type of advertising is designed to influence demand for a specific brand? 1. Pioneer 2. Institutional 3. Comparative 4. Competitive

4. Competitive

Which of the following refers to the strategic process of distributing, promoting, and pricing products, and discovering the desires of customers using digital media and digital marketing? 1. Digital media 2. Digital marketing 3. Social networking 4. Electronic marketing (e-marketing)

4. Electronic marketing (e-marketing)

The use of bribes, which are illegal for U.S. companies, relate best to which of the following environmental forces? 1. Sociocultural forces 2. Political forces 3. Economic forces 4. Ethical and social responsibility forces

4. Ethical and social responsibility forces

The ________ has adopted a common currency, works to remove trade restrictions, permits the free flow of goods and workers throughout member nations, and promotes human rights within member countries and around the world. 1. United States-Mexico-Canada Agreement (USMCA) 2. Southern Common Market (MERCOSUR) 3. Asia-Pacific Economic Cooperation (APEC) 4. European Union (EU)

4. European Union (EU)

During which step in the sales process must the salesperson ensure that the order was delivered on time and installed properly? 1. Making the presentation 2. Following up 3. Overcoming objections 4. Closing the sale

4. Following up

What is the physical arrangement of an advertisement's photos and copy? 1. Storyboard 2. Illustrations 3. Artwork 4. Layout

4. Layout

With demand-based pricing, a company will typically set a _______ price during slow periods to boost demand. 1. equal to competitors 2. lower than competitors 3. higher 4. lower

4. Lower

Which type of advertising is intended to stimulate demand for a new product or category? 1. Competitive 2. Institutional 3. Comparative 4. Pioneer

4. Pioneer

What is an activity or material intended to induce salespeople to sell a product or consumers to buy it? 1. Personal selling 2. Prospecting 3. Team selling 4. Sales promotion

4. Sales promotion

When a firm sets one price in its home market and a different, higher price in a higher-cost market far away, it is using which type of pricing? 1. Price skimming 2. Periodic discounting 3. Negotiated pricing 4. Secondary-market pricing

4. Secondary market pricing

In a competitive marketplace, why would a firm price its product slightly higher than those of its rivals? 1. To achieve a certain markup 2. To increase market share 3. To deliver revenue in the long term 4. To send a signal of high quality

4. To send a signal of high quality

Measuring the number of online ratings about the company or product on social media is which type of social media metric? 1. Exposure 2. Engagement 3. Impact 4. Advocacy

4. advocacy

Which are sales-promotion techniques that encourage consumers to patronize specific stores or try particular products? 1. Personal selling methods 2. Team selling methods 3. Prospecting methods 4. Consumer-sales-promotion methods

4. consumer sales promotion methods

When a company looks at its product's sales relative to total sales for that industry, it is calculating its _______. 1. revenue 2. profit 3. price 4. market share 5. Assessment question

4. market share

Assessing how customers in the target market evaluate price is the _______ stage in the pricing process. 1. first 2. third 3. eighth 4. second

4. second

Which of the following are changing personal selling? (Select three) 1. The way customers make purchase decisions 2. New technologies 3. How customers gain information about products 4. Old technologies

Answer: 1, 2, 3

According to the AIDA model, the copy should create _______________ , produce _____________ , create desire, and ultimately result in an action.

Awareness and Interest

Companies known as ______________ were founded with the knowledge and resources to accelerate their participation and investment in the global marketplace.

Born globals

_________________ is increasingly a concern for online advertisers who are demanding more control over where their ads run.

Brand safety

The point at which the salesperson asks the prospect to buy the product describes which stage in the sales process? 1. Making the presentation 2. Closing the sale 3. Following up 4. Overcoming objections

Closing the sale

Using all digital media, including the internet and mobile and interactive channels, to develop communication and exchanges with customers is best described as ______________

Digital marketing

Digital marketing can be viewed as a new ________________ channel that helps businesses increase efficiency.

Distribution

social network

Facebook, twitter, snapchat, youtube, tiktok, and linkedin

________________ is when consumer demand is insensitive to price changes, and __________________ is when consumer demand is sensitive to price changes.

Inelastic demand and Elastic demand

Media sharing sites

Instagram, vimeo, and podcasts

__________________ involves developing and performing marketing across national boundaries.

International marketing

When the buyer pays for delivery of a business product, the price as quoted as F.O.B. ________________ but when the seller pays for delivery the price is quoted as F.O.B. ______________

Origin and Destination

____________ is a paid personal communication that tries to inform customers and persuade them to buy a product in an exchange.

Personal selling

A business must decide whether it will use __________________ competition only or ________________ competition before setting a price for its product. Assessment question

Price and Nonprice

Salespeople seek names of potential customers from company sales records, trade shows, commercial databases, newspaper announcements (of marriages, births, deaths, and so on), public records, trade association directories, and many other sources. This is best described as ______________

Prospecting

_____________ involves building mutually beneficial long-term associations with a customer through regular communications over prolonged periods of time.

Relationship selling

Mobile marketing

SMS messages, multimedia messages, and mobile advertisements

Paying salespeople a specific amount per time period regardless of selling effort is a __________________. Paying salespeople according to the amount of their sales in a given period is a _________________

Straight salary compensation plan and straight commission compensation plan

The group of people at whom advertisements are aimed is called the___________________

Target audience

Which of the following involves the salesperson joining with people from the firm's financial, engineering, and other functional areas? 1. Relationship selling 2. Personal selling 3. Customer relationship management (CRM) 4. Team selling

Team selling

Companies that lack the will and resources to develop international marketing strategies often sell products to a(n) _______________, which then sells them internationally.

Trading company

blogs and wikis

Tumblr and wikipedia

Two trends have elevated the importance of consumer-generated information: (1) the growing tendency of consumers to publish their own thoughts, opinions, reviews, and product discussions; and (2) ____________________

consumers' tendencies to trust other consumers over corporations

Sales promotion can increase sales by providing _______________

extra purchasing incentives

To calculate the breakeven point, a firm divides ________________ costs by per-unit contribution to ___________________ costs

fixed and fixed

_______________ involves developing marketing strategies as though the entire world (or its major regions) were a single entity.

globalization

Digital advertising that matches the appearance and purpose of the content in which it is embedded is called _____________

native advertising

The first stage in the pricing process is to set pricing _________________ , and the final stage is to determine the product's _______________ price

objectives and specific

Using a(n) __________________, respondents are shown the actual advertisement and asked whether they recognize it.

recognition test

One of the most important benefits of e-marketing is the ability of marketers and customers to ___________________

share information

Applications and widgets

starbucks app and tripadvisor alerts on its website

Costs that change with the level of production, such as raw materials costs, are referred to as __________________

variable costs