BUS 100 CHAPTER 13, 11 PRE LECTURE QUIZZES

The fixed cost of Brendon Willows, a baseball bat manufacturing company, is $500,000 per year. The cost of wood and labor to manufacture one bat is $5. If the customers pay $25 to buy one bat, how many bats does Brendon Willows need to sell to breakeven?

25,000

In the context of retail stores, which of the following statements is true of a convenience store?

It sells a small range of everyday and impulse products at easy-to-access locations with long hours and quick checkout.

Which of the following is an example of survey research?

Online questionnaires

Crystal Corp. is an independent distributor that distributes cosmetics, apparels, shoes, and bags to other business customers on a large scale. It does not take legal title to the goods it distributes. In this scenario, it can be said that Crystal Corp. is a(n) _____.

broker

Sales above the breakeven point will generate a profit.

true

The price of a product must be relative to the benefits of that product.

true

Which of the following statements is true of ownership utility?

It adds value by making it easier for customers to possess the goods that they purchase.

Which of the following statements is true of product-use-based market segmentation?

It helps small companies in narrowing the target markets for their products.

Which of the following statements is true of demand-based pricing?

It is more market-focused than cost-based pricing.

Which of the following is a similarity between demographic segmentation and psychographic segmentation?

Both divide markets based on consumer characteristics.

Which of the following statements is true of customer relationship management (CRM)?

CRM works best when marketers combine marketing communication with one-on-one personalization.

Lester, a hardware engineer, sells his old hatchback to buy a luxury sedan. As he starts driving the new car, he realizes that it is more difficult to maneuver the sedan than his old hatchback. He also realizes that maintaining the sedan is expensive. Lester is rather uncomfortable with the purchase decision he made. In the context of consumer behavior, which of the following concepts does this scenario best illustrate?

Cognitive dissonance

Keitras is a women's apparel store that specializes in winter clothing. It targets university students aged 20-25 with its trendy collection of sweaters, sweatshirts, stockings, and stoles. In the context of consumer market segmentation, which of the following types of market segmentation does Keitras most likely follow?

Demographic segmentation

Gearjazz, a company that manufactures and sells musical instruments, aims to increase its popularity among music artists and enthusiasts by sponsoring the audio system for the music and arts festival being held in the town of Flavempia. Which of the following marketing strategies does this scenario best illustrate?

Event marketing

Ella runs a handicrafts shop named Pentcrafto, where she sells home décor products made from recycled paper. In the context of marketing, which of following utilities does Pentcrafto's products most likely provide?

Form utility

Which of the following is a characteristic of a well-chosen target market?

Good accessibility

As part of its corporate social responsibility activities, Weslimkur, a tire manufacturer, sponsored 1,000 bikes for the city of Clankofton. On every bike, the company's name is engraved along with these words: "Ride to work; help save earth from global warming." Which of the following marketing strategies does this scenario best illustrate?

Idea marketing

Tyler Connor, a famous politician who supports the ruling party of the island country of Blavanka, endorses a publishing house named Cenzefor that he owns. Many Blavankan writers want to get their books published by Cenzefor because of Connor's connection with the brand. Which of the following marketing strategies does this scenario best illustrate?

People marketing

Jackson runs a chain of small retail stores called Wandmin that sells bottled water, fresh juices, desserts, and some snacks. All outlets of Wandmin are either in the middle of or at the end of walking trails in Jackson's hilly hometown, where several tourists go hiking. In the context of marketing, which of following utilities does Wandmin most likely provide?

Place utility

Plotint Bank, a private bank, waives service charges on its insurance products for its existing customers who have term deposits with the bank. In the context of the evolution of marketing, which of the following eras does this scenario most likely refer to?

The relationship era

Which of the following statements is true of distributors in a channel of distribution?

They add value in a number of different ways to products.

Coastharp, a furniture e-commerce website, allows its customers to book one-hour slots during which they wish to get their furniture delivered. They can also book another one-hour slot to get the delivered furniture assembled at their convenience. The company holds back orders and delays deliveries when customers are not available to receive them. In the context of marketing, which of the following utilities does Coastharp most likely provide through its service?

Time utility

Kiddiecon is a company that makes stationery products for children. The company relies on door-to-door sales strategy to sell its products. It is evident that Kiddiecon is engaged in _____.

direct selling

Which of the following is a form of non store retailing?

direct selling

In the context of pricing strategies, companies usually express volume goals in terms of profitability.

false

Railroads are the slowest mode of transportation.

false

Single Tone, a local music and video store, consistently offers music CDs and movie DVDs at lower prices than its competitors. The pricing strategy that Single Tone uses is high/low pricing.

false

The commerce ministry of Setina Islands, a tax haven country, has been advertising the country's business opportunities and tourist-friendly culture in various international magazines. The advertisements illustrate idea marketing.

false

In the context of consumer pricing perceptions, odd pricing creates a perception of:

greater value

In the context of social responsibility, environmentally friendly fashion, such as clothing made of organic cotton, is an example of _____.

green marketing

In the context of pricing strategies, the _____ tries to increase traffic in retail stores by special sales on a limited number of products, and greater everyday prices on others.

high/low pricing strategy

Marketers who cannot forge a close personal bond with every customer but actively gather data and pursue a connection with customers who initiate contact have a _____ with the customers.

limited relationship

Baylaine is a company that sells affordable, low-end cell phones. Baylaine's customers can register product or service complaints with the company through emails; the company's customer support team replies to customer queries and complaints within five hours of the receipt of an email. In the context of customer relationship management, Baylaine most likely establishes _____ with its customers.

limited relationships

Transcone is an independent distributer that distributes home décor related products to various retailers. The company takes legal possession of the goods it distributes. It warehouses the products and ships them to the retailers, but it does not provide credit or marketing assistance. It is evident that Transcone is a(n) _____.

limited-service merchant wholesaler

Gregory works for Ocan Foods, a food supplier. His main responsibility is to make tactical decisions involving the actual movement of goods along his company's supply chain. Gregory is involved in _____.

logistics

Mauve Inc. purchased a global data collection and management system that provides detailed information about each of its customers. Using this information, Mauve is able to identify the individual needs of all its customers and provide tailored products and services. This scenario illustrates the concept of:

mass customization.

TrinkCan is a soda manufacturing company. People can buy the company's soda from grocery stores, restaurants, vending machines, and online. In this scenario, it is evident that TrinkCan has adopted _____.

multichannel retailing

Gas stations and fast food that often cluster conveniently at the bottom of freeway ramps are examples of:

place utility

In the context of the supply chain for a product, vendor-managed inventory is a strategy that allows suppliers to determine buyer needs and automatically ship product.

true

JEMS Enterprise buys wooden furniture, such as tables and chairs, from a furniture manufacturer and sells them to government schools. In this scenario, JEMS Enterprise is a _____.

wholesaler