BUSML 3250 Midterm Textbook Questions

When using a credit to make purchases, consumers are A.) Increasing current buying power at the expense of future buying power B.) Putting themselves at significant risk of financial disaster C.) Forgoing the accumulation of wealth to increase current income D.) Increasing their present discretionary income to extend purchasing power E.) Decreasing current buying power and increasing future buying power

A

Within the information search step of the consumer buying decision process, what two primary aspects exist? A.) Internal search and external search B.) Consideration sets and evoked sets C.) Selective retention and selective distortion D.) Personal information and nonpersonal information E.) Company-produced information and internal information

A

Characteristics of individuals, groups, or organizations that are used for dividing a total market into smaller homogeneous groups are called ______ variables A.) Segmentation B.) Stratification C.) Marketing D.) Division E.) Classification

A

The element of the marketing mix used to increase awareness of a product or company is A.) Promotion B.) Distribution C.) Price D.) Information E.) Product

A

Which method of business buying is most likely to be used when the products being purchased are standardized based on certain characteristics? A.) Description B.) Negotiation C.) Inspection D.) Sampling E.) Homogeneous selection

A

Which of the following is most likely to be an idea marketer? A.) Abuse counselor B.) Airline Pilot C.) Attorney D.) Car salesperson E.) Orthodontist

A

Companies that compete for the same limited financial resources of the same customers are known as _______ competitors A.) Generic B.) Total budget C.) Product D.) Oligopolic E.) Brand

B

When business customers purchase products to be used directly or indirectly in the production of consumer goods and services, that demand for business products is A.) More fluctuating B.) Derived C.) Economically stable D.) Joint E.) Inelastic

B

When organizing perceptual inputs, people tend to mentally fill in missing elements in a pattern or statement. This principle is called A.) Framing B.) CLosure C.) Distortion D.) Interpretation E.) Figure-ground

B

Which of the following is NOT a physical surroundings factor influencing buying decisions? A.) Scents B.) Time C.) Weather D.) Sounds E.) Lighting

B

______ is the development of a product that is closely related to one or more products in a firm's existing product line but is designed specifically to meet somewhat different customer needs A.) Quality modification B.) Line extension C.) Feature modification D.) Aesthetic modification E.) Product mix modification

B

"Is the demand strong enough?" is a question that marketers ask during the ______ phase of new-product development A.) Idea generation B.) Product development C.) Business anlaysis D.) Concept testing E.) Test marketing

C

Changes that affect the sensory appeal of a product by altering its taste, texture, sound, smell, or visual characteristics are called ______ modifications A.) Operational B.) Functional C.) Aeshtetic D.) Feature E.) Quality

C

A specialty product A.) Requires minimal effort to purchase B.) Prompts the purchaser to make comparisons among alternatives C.) Is generally less expensive than other items in the same product class D.) Requires purchase planning, and the buyer will usually not accept substitutes E.) Is purchased frequently

D

Based on the work by the Boston Consulting Group, products with a dominant share of the market and good prospects for growth are A.) Question marks B.) Cats C.) Dogs D.) Stars E.) Cash Cows

D

Demand for a business product is ______ when two or more items are used in combination to product a product A.) Fluctuating B.) Derived C.) Inelastic D.) Joint E.) Partnered

D

A marketing plan A.) Always increases the marketing manager's operating costs B.) Is characteristic of production-oriented firms and other mass producers C.) Restricts the marketing manager's future options D.) Produces plans that are short term in oreintation E.) Provides a framework for implementing and evaluating marketing activities

E

According to the text, a product is defined as A.) Goods and services the customer receives in an exchange B.) The idea that the customer receives in an exchange C.) The service that is rendered to a customer D.) The physical object the customer receives in an exchange E.) Anything the customer receives in an exchange

E

Routinized response behavior is what a consumer does when A.) An information search is extensive and may involve consulting with friends and family B.) Purchasing an unfamiliar product C.) Buying products that require a moderate amount of time for information gathering and deliberation D.) He or she enters the problem recognition stage of the consumer buying decision process E.) Buying frequently purchased, low-cost items that need little search effort

E

When the right combination of circumstances occurs at the right time to allow an organization to take action toward a target market, the firm is faced with a A.) Market requirement B.) Strategic market plan C.) Corporate objective D.) Market objective E.) Market opportunity

E

Why would a company use the undifferentiated strategy? A.) The needs of individual consumers in the target market for a specific product are similar, so the organization can satisfy most customers with a single marketing mix B.) The needs of individual consumers are dissimilar, and distinctive marketing mixes are required to satisfy them C.) The undifferentiated strategy is expensive to implement but tends to product the most sales D.) The undifferentiated strategy is the one strategy that provides maximum satisfaction to the whole market E.) The market is made up of individuals or organizations with diverse need for products in a specific product class

A

A product mix is best described as A.) Many products sold by one firm B.) A group of closely related products that are considered a unit because of market, technical, or end-use considerations C.) All products offered by a firm D.) All products of a particular type E.) Product, distribution, promotion, and price

C

Personal trainers cannot complete their work without their clients present because of the _______ feature of services A.) Perishability B.) Heterogeneity C.) Inseparability D.) Tangibility E.) Intangibility

C

Although they become part of a larger product, _____ can often be easily identified and distinguished on the larger product A.) Raw materials B.) Accessory parts C.) MRO supplies D.) Component parts E.) Process materials

D

Collecting information from secondary sources such as business, government, trade, and general-interest publications plays an important role in A.) Environmental analysis B.) Competitive analysis C.) Environmental monitoring D.) Environmental scanning E.) Competitive forces

D

Demographic variables such as income and occupation, as well as how people spend their time and the importance of things in their surroundings, are all factors considered in ______ segmentation A.) Psychographic B.) Family life cycle C.) Social class D.) Lifestyle E.) Personality

D

During the search for products and evaluation of possible suppliers stage of the business buying decision process, marketers sometimes use ______ analysis to examine the quality, design, materials, and possibly item reduction in order to acquire the product in the most cost-effective way A.) Vendor B.) Strategic C.) Cost D.) Value E.) Profit

D

In general, differences between goods and services are determined by the A.) Degree of consumer contact B.) Degree of labor intensiveness C.) Type of provider D.) Degree of tangibility E.) Type of target market

D

In which stage of the product life cycle do profits begin to decrease? A.) Decline B.) Maturity C.) Recovery D.) Growth E.) Introduction

D

The marketing concept affects A.) Only production and marketing B.) All organizational activities C.) Just the marketing department D.) Few decisions in an organization E.) Only marketing and finance

B

The marketing concept is a philosophy that states that an organization should try to satisfy customers' needs and also A.) Produce high-quality products B.) Achieve the organization's goals C.) Increase market share D.) Coordinate its activities to increase production E.) Increase Sales

B

Systems such as Claritas and PRIZM provide companies with lifestyle and demographic information about neighborhoods throughout the United States. This information is used to aid A.) Behavioristic segmentation B.) Market density analysis C.) Geodemographic segmentation D.) Demographic segmentation E.) Geographic segmentation

C

The heterogeneity characteristic of services provides marketers with tremendous opportunity to A.) Hold down the cost of providing services to customers B.) Develop relationship marketing with their customers C.) Customize their services to meet unique individual needs D.) Offer the same service as all of their competitors E.) Create standardized packages that will appeal to many customers

C

Which of the following actions is illegal? A.) Corporate contributions to elected officials B.) Political officials influencing how much a government agency purchases and from whom C.) Paying political officials not to enforce a particular law D.) Corporate contributions to candidates E.) Political officials helping businesses secure foreign markets

C

The three major categories of influences on the consumer buying decision process are A.) Marketer-dominated influences, psychological influences, and person-specific influences B.) Demographic influences, situational influences, and marketer-dominated influences C.) Situational influences, demographic influences, and psychological influences D.) Situational influences, social influences, and psychological influences E.) Social influences, situational influences, and marketer-dominated influences

D

Three major ways in which marketers engage in product differentiation are A.) Product positioning, product design and features, and product promotion B.) Product positioning, product quality, and product management C.) Product support services, product design and features, and product positioning D.) Product quality, product design and features, and product support services E.) Product quality, product support services, and packaging

D

When a theater entices customers to see movies during the daytime by offering tickets at a reduced price, it is trying to solve the services marketing problem of A.) Intangibility B.) Customer contact C.) Inseparability D.) Off-peak demand E.) Heterogeneity

D

When markets are comprised of people with differing product needs, the marketing manager should use a(n) ______ strategy A.) Integrated B.) Market-intensive C.) Undifferentiated D.) Concentrated or differentiated targeting E.) Product-oriented

D

Many services have aspects that consumers may never be able to evaluate, even years after the purchase and consumption of the service. These attributes are called A.) Search qualities B.) Immeasurable attributes C.) Performance attributes D.) Credence qualities E.) Experience qualities

D

Which employees are ideally positioned to understand customers' needs and wants and thus a vital component in the chain of communications? A.) Operations managers B.) Top executives C.) Marketing managers D.) Customer-contact employees E.) Manufacturing employees

D

Which of the following scenarios involves the distribution element of the marketing mix? A.) Determining whether an advertising message would be more effective on television or in magazines B.) Developing a new warranty policy for an existing product C.) Deciding whether or not a certain product should continue to be sold D.) Deciding whether or not to have retail outlets in addition to a website E.) Choosing between a company jet or the airlines for executive travel

D

Within a business organization, a profit center that is self-supporting in terms of sales, markets, production, and other resources is known as a A.) Small business B.) Marketing program C.) Diversified corporation D.) Strategic business unit E.) Profit entity

D

Although marketing theory supports the contrary, it is more probable that marketing budgets will be cut during periods of economic A.) Prosperity B.) Expansion C.) Inflation D.) Recovery E.) Recession

E

Individuals and business organizations that purchase products for the purpose of making a profit either by using the products to produce other products or by using them in their operations are classified as ________ markets A.) Consumer B.) Government C.) Institutional D.) Reseller E.) Producer

E