BUS 346 Midterm Quiz Questions

Which statement about the changing ethnicity in the United States is TRUE? Select one: a. Hispanics differ vastly from other groups in America in terms of consumer behavior. b. African American U.S. households are more affluent than previous studies suggested. c. Minorities now represent almost half of the population in the United States. d. Asian Americans are the slowest growing minority population. e. In spite of increases in the Hispanic population, Hispanic buying power is expected to maintain its current level.

African American U.S. households are more affluent than previous studies suggested.

Barbara is using a test model of her firm's new inline skates to see whether they work according to the design specifications. Barbara is involved in Select one: a. test marketing. b. product launch. c. alpha testing. d. product development. e. concept testing.

alpha testing.

The Lite beer commercial with the slogan, "less filling, tastes great," was based on __________ segmentation. Select one: a. psychographic b. benefit c. loyalty d. geodemographic e. geographic

benefit

NASCAR redirected its marketing efforts when a survey indicated that almost 50 percent of race fans were female. This is an example of __________ segmentation. Select one: a. psychographic b. benefits c. demographic d. geographic e. behavioral

demographic

If the __________ diffusion of innovation group is relatively small, the number of people who ultimately adopt the innovation likely will also be small. Select one: a. laggard b. late majority c. early majority d. innovator e. early adopter

early adopter

Understanding the causes of performance, regardless of whether that performance exceeded, met, or fell below the firm's goals Select one: a. enables firms to make appropriate adjustments. b. allows managers to demonstrate their effectiveness. c. should be followed by eliminating underperforming SBUs. d. allows firms to better assess customer loyalty. e. offers insights into value-based pricing.

enables firms to make appropriate adjustments.

Martin has hired a market research company to bring together a small group of soft drink consumers and get feedback on the three new advertising slogans his firm is considering. The market research firm might conduct a __________ to provide the information Martin has requested. Select one: a. primary data mining analysis b. industry survey c. observational study d. experiment e. focus group

focus group

What is wrap rage? Select one: a. a reaction by environmentalists when nonrecyclable materials are used for the secondary packaging b. the reaction of a salesperson when the secondary packaging does not bear a bar code c. frustration of a customer when a package is oddly shaped and cannot be easily gift wrapped d. frustration by a customer when the packaging makes it difficult to get at the product e. customer anger when the outside wrapping does not accurately portray what is inside the package

frustration by a customer when the packaging makes it difficult to get at the product

The many demands on consumers today have made it more difficult for marketers to Select one: a. grab consumers' attention. b. deliver products just-in-time. c. decide what to offer. d. offer green marketing solutions. e. differentiate between the needs of seniors and Baby Boomers.

grab consumers' attention.

Marketers must determine the price of a product carefully, based on potential buyers' beliefs about Select one: a. the cost to manufacture the product. b. the environment. c. the product's new advertising campaign. d. its value. e. the economic outlook.

its value.

Nordstrom's, an upscale department store, has a well-known reputation for going the extra mile to serve its customers. This reputation for excellent customer service has probably resulted in Select one: a. mission statement satisfaction. b. a sustainable competitive advantage. c. product design excellence. d. producer excellence. e. sustainable price decreases.

a sustainable competitive advantage.

When Meg planned her trip to Australia, she spent months evaluating packages, airfares, and hotel accommodations. Meg's trip is an example of a ________ product. Select one: a. unsought b. specialty c. shopping d. convenience e. sought

shopping

Value is Select one: a. the highest priced alternative. b. everyday low prices. c. what you get for what you give. d. the lowest cost option. e. represented by brand names.

what you get for what you give.

______________ systems are designed to deliver smaller shipments of merchandise on a more frequent basis to retailers. Select one: a. JIT b. CPFR c. Cross-docking d. UPC e. Lead time

JIT

Which of the following is an example of an unstructured question? Select one: a. Why did you buy this product? b. What would convince you to buy this product? A. lower price, B. larger packaging, C. better taste c. Would you buy this product? A. definitely, B. maybe, C. definitely not d. Please rate the attributes of this product that are important to you. (Rate 1-5, with 1 being most important and 5 being least important.) e. Would you buy this product? (yes, no)

Why did you buy this product?

Zan wants to collect considerable information about the current opinions of his ten most important customers. Zan will probably use the __________ research method. Select one: a. in-depth interview b. experimental c. primary data mining d. social media monitoring e. observation

in-depth interview

Randall wants to do an online survey of college professors about the factors that influence their textbook selection. He would like to use a structured survey but is not sure what responses to include for each question. Randall could use __________ to help him develop his survey. Select one: a. observation b. surveys c. experiments d. in-depth interviews e. primary data mining

in-depth interviews

In a corporate vertical marketing system, Select one: a. transaction selling is the norm, with the invisible hand guiding the overall functioning. b. conflict tends to be a major problem. c. there is no common ownership, and the dominant member has significant power to impose its ideas and objectives. d. independent firms join together formally to decide how the marketing channel will operate. e. participants—such as warehouses, transportation companies, and retail outlets—are typically owned by a parent company to ensure harmonious relations throughout the supply chain.

participants—such as warehouses, transportation companies, and retail outlets—are typically owned by a parent company to ensure harmonious relations throughout the supply chain.

Effective promotion enhances a product or service's Select one: a. supply chain management system. b. trialability. c. perceived value. Correct d. design features. e. wholesaling capabilities.

perceived value

Maryam called her auto insurance agent to renew her policy. The agent told her about new types of insurance that are now available--to cover her apartment, or even the engagement ring she just got from her fiancé. The agent was pursuing a ________________ growth strategy. Select one: a. market penetration b. diversification c. market development d. product development e. product proliferation

product development

Which of the following is NOT part of the "actual product" level of the product offer? Select one: a. brand name b. quality c. design d. features e. product warranty

product warranty

After assessing the market growth potential for his company's baby products in Mexico, Harmon wanted to evaluate market competitiveness. To do this, Harmon would consider Select one: a. the current size of the market and the expected growth rate. b. profitability and customer buying behavior. c. ease of pricing control and number of promotional outlets. d. the number of competitors, entry barriers, and product substitutes. e. mass marketing distribution potential and logistical support.

the number of competitors, entry barriers, and product substitutes.

Salina is working to create greater brand awareness for her company's new line of personal digital assistants. To increase brand awareness, the LEAST important information that should be included in promotions is Select one: a. the packaging. b. the logo. c. the brand name. d. the slogan. e. the product history

the product history

Heather has been assessing a number of her firm's products using, the Boston Consulting Group approach to portfolio analysis. She has been trying to assess the strength in a particular market and is looking at the sales of the product and the overall market as well as the sales of competitors. Heather is trying to determine: Select one: a. the product's relative market share. b. a source of competitive advantage. c. the impact of population shifts on future demand. d. the market growth rate. e. cash equivalent values for each product.

the product's relative market share.

The diffusion of innovation theory focuses on Select one: a. the rate at which consumers are likely to adopt a new product or service. b. the psychological traits of innovators. c. the geographic boundaries of innovation. d. the relationship between pioneer brands and imitators. e. the way a product moves through the product life cycle.

the rate at which consumers are likely to adopt a new product or service.

Pioneer or breakthrough products Select one: a. must be geographically centered. b. require the use of concept testing services. c. can change consumer preferences. d. incorporate reverse engineering outputs. e. will likely result in late maturity buying.

can change consumer preferences.

In many cases, pioneers lose their market lead and initial market share to imitators who Select one: a. create similar products with reduced value to consumers. b. capitalize on the pioneers' weaknesses. c. utilize alpha-beta testing. d. target late maturity consumers. e. ignore patents and copyrights.

capitalize on the pioneers' weaknesses.

The number of customers who discontinue their use of a service divided by the average number of total participants is called Select one: a. cancellation cost. b. churn. c. customer loyalty. d. customer retention. e. customer lifetime value.

churn.

If a firm declared that it wanted to develop a strategic relationship, but was unwilling to commit funds or any effort to make it succeed, there would be an obvious lack of Select one: a. credible commitments. b. mutual trust. c. common goals. d. a contractual arrangement. e. open communication.

credible commitments.

If you were a marketer for a clothing manufacturer and you wanted to improve revenues from irregulars, production overruns, and returns, you would be attracted to using Select one: a. department stores. b. category specialists. c. off-price retailers. d. supercenters. e. specialty stores.

off-price retailers.

Felicia had just taken over her family's business after spending ten years in the marketing department of a large corporation. She met with a representative from one of her firm's biggest customers, who told her, "We should think about how we can make the pie bigger rather than fighting over the size of the slices." She had expected a more cutthroat approach rather than this call for a Select one: a. corporate vertical marketing system. b. linked supply chain. c. common marketing system. d. partnering relationship. e. shared mission statement.

partnering relationship.

A __________ is a document used by a forklift driver, indicating how much of each item to get from specific storage areas. Select one: a. warehouse receipt b. certificate of origin c. bill of lading d. pick ticket e. RFID tag

pick ticket

Effective marketing doesn't just happen. It is Select one: a. promoted through STP analysis. b. possible only for seasoned marketing executives to achieve. c. planned. d. introduced through control phase SBUs. e. the result of competitors' failures.

planned.

Knowing what customers expect is essential. Retailers need to know which manufacturers their customers prefer, whereas manufacturers need to know Select one: a. where their target customers expect to find their products. b. how many employees the retailers have. c. whether customers are using credit cards or cash to make purchases. d. whether customers will find the store atmospherics appropriate to the location. e. whether the products will fill a customer's self-actualization needs.

where their target customers expect to find their products.

What is MOST likely to happen when inflation increases? Select one: a. Consumers buy less food. b. Consumers buy fewer personal care and home entertainment products. c. Off-price and discount retailers suffer from lower sales. d. Consumers buy more discretionary merchandise. e. Consumers buy lower priced foods.

Consumers buy lower priced foods.

Which of the following is TRUE regarding modern gender roles? Select one: a. Gender boundaries should never be crossed in marketing efforts. b. Gender roles are unimportant to marketers. c. Gender roles have been blurred in the past several years. d. Modern standards require firms to produce gender neutral advertising for every product. e. Gender roles are a constant cultural norm.

Gender roles have been blurred in the past several years.

__________ is the term used to describe the situation when retailers use some combination of stores, catalogs, and the Internet to sell merchandise. Select one: a. Multichannel retailing b. Horizontal integration c. Vertical integration d. Opportunistic retailing e. Cross-channel leverage

Multichannel retailing

Value-driven firms constantly measure the __________ that customers perceive, compared to the prices of their offerings. Select one: a. relationships b. rebates c. information d. merchandise e. benefits

benefits

For a brand name to be effective, it needs to be Select one: a. a visual image containing human characters. b. generic, so it can be applied to as many products as possible. c. easy for consumers to recognize and remember. d. a catchy, tongue-twisting phrase. e. associated with a sports or movie superstar.

easy for consumers to recognize and remember.

Marketers often create a special marketing mix for loyalty segments because these segments are Select one: a. costly to acquire. b. generally profitable. c. difficult to identify. d. constantly changing. e. too large to service with ordinary targeting.

generally profitable.

Kim wants to maximize sales to the customers who walk into her store. Of the following, Kim will most likely focus on Select one: a. mass media advertising. b. supply chain relationships. c. billboard and other outdoor advertising. d. in-store promotions. e. off-price wholesaling.

in-store promotions.

Distribution intensity is commonly divided into three levels: Select one: a. administered, vertical, and independent. b. intensive, exclusive, and selective. c. global, national, and local. d. primary, secondary, and tertiary. e. corporate, contractual, and independent.

intensive, exclusive, and selective.

Supply chain management is also referred to as Select one: a. marketing channel management. b. value proposition management. c. production management. d. delivery management. e. retail management.

marketing channel management.

Whenever Donald calls on potential pest control customers, he emphasizes the fact that, unlike the national franchise competitors, he is a local business person and has been in business over twenty years. Donald is __________ his business relative to his competition. Select one: a. targeting b. packaging c. segmenting d. positioning e. pricing

positioning

Marketers should not assume that they can target all Asian consumers in the United States with one strategy because Select one: a. there are not enough Asians in the United States to effectively target. b. they speak different languages and come from different cultures. c. each major city tends to have only one group of Asians in large numbers. d. Asians do not respond to marketing efforts. e. one strategy is likely to be more expensive than multiple strategies.

they speak different languages and come from different cultures.