MKTG 6620 CH Quizzes

What benefit of focus groups is sacrificed when conducting as asynchronous focus group? A. cost B. synergy C. ability to access hard-to-reach segments D. Face-to-face spontaneity

D. Face-to-face spontaneity

Developing new product or service lines to reposition the organization to enjoy future revenue streams should occur during which stage of the product life cycle? A. Decline B. Introduction C. Maturity D. Growth

C. Maturity

When an advertising agency is paid by the media, it can be said to be a(n): A. media-based agency. B. fee-based agency. C. commission-based agency. D. indirect agency.

C. commission-based agency

A nonmarket-driven planning approach can best be described as: A. bilateral B. external to internal C. external to internal to external D. internal to external

D. internal to external

Healthcare costs as a percentage of the gross domestic product (GDP): A. although large, is not a major component of the GDP B. has remained relatively flat since the 1980s C. is a significant proportion of the total GDP D. has fluctuated rather dramatically each decade, from a high percentage to a relatively small proportion of the GDP

C. is a significant proportion of the total GDP

True or False? A key variable in the value equation is the service delivery cost.

False

True or False? The Internet of Things refers to the hardware that is connected by different software in the digital environment.

False

True or False? The best way to assess personality and social skills is with the structured interview.True or False? Effective evaluation measures of a sales force should include both input and output measures.

False

True or False? When it is difficult to determine the effect of a salesperson's efforts on sales rather than pay any incentive through commission, it is better to use a bonus with salary as part of the compensation package

False

True or False? When people search for a website on plastic surgery, they tend to be particularly concerned about the competency of the physician's skill.

False

True or False? When physicians were tiered on the lower level by the insurance company, it had the dramatic effect of damaging patient loyalty to those doctors.

False

True or False? With stabilization pricing, all competitors agree to set the same price.

False

True or False? A major limitation of personal interviews is the cost.

True

True or False? Cooperatives are agreements among channel members who exist on the same horizontal level of the channel of distribution.

True

True or False? Cost per thousand impressions is the preferred rate approach for digital media content.

True

True or False? Five percent of individuals account for 50% of U.S. healthcare dollars.

True

True or False? From the buyer's perspective, a key aspect of an effective sales presentation is the adaptability of the salesperson.

True

True or False? Geotargeting is available to hospitals and healthcare organizations through the use of streaming services such as Hulu Plus.

True

True or False? Health care has historically relied on opinion leaders in a word-of-mouth channel of communication.

True

True or False? Higher healthcare expenditures in the United States are attributed to technology, the fragmented health insurance system, and pharmaceutical costs.

True

True or False? Hispanics make up the largest ethnic minority group in the US.

True

True or False? Horizontal conflict occurs when there is conflict between two members of the channel at the same level.

True

True or False? If a manufacturer pays large margins, this can lead to it becoming a channel commander.

True

True or False? If the first encounter with an organization meets the customer's expectations, the customer will be satisfied.

True

True or False? In an era of Omni channel marketing, a limitation of patient satisfaction surveys is that they do not assess patient motivations or behaviors.

True

True or False? In an organizational setting, a gatekeeper is often involved in the preapproach stage.

True

True or False? In an undifferentiated positioning approach, a service is positioned to appeal to the broadest possible market.

True

True or False? In oligopolistic markets, there often tends to be a price leader who dictates the direction of price levels.

True

True or False? In terms of its future, the most threatened of all media is newspapers.

True

True or False? In the digital environment, marketers can now craft a message to target and appeal to consumers at the individual level.

True

True or False? In the value equation, process quality in a healthcare situation represents the ease with which a customer can access clinical quality.

True

True or False? In the wheel of retailing concept, over time as a new entrant evolves, it adds services, raises margins and prices, and leaves itself susceptible to new entrants.

True

True or False? Inbound marketing efforts must be tracked along the two dimensions of source and flow.

True

True or False? International healthcare organizations are moving into bundled pricing of services as a way to attract medical tourists.

True

True or False? Interpersonal dimensions of the complaint between the service provider and the customer is referred to as interactional fairness.

True

True or False? It has been found that it takes several unstructured interviews to equal the reliability of one structured interview.

True

True or False? It has been found that too few companies leverage the advantage of salespeople as listening posts in terms of competitive intelligence.

True

True or False? Loyalty rather than satisfaction is the key end state for marketers and organizations to achieve with customers.

True

True or False? Many hospitals have a physician-hospital organization in which physicians and hospitals collaborate with third parties to contract for patient care. This entity might best be described as an administered vertical marketing system.

True

True or False? More tests are ordered for VIP patients and they are referred to specialists more often.

True

True or False? Reference pricing is a form of bundled pricing.

True

True or False? Topamax was a pharmaceutical product found to be effective for the treatment of epilepsy and migraines. This would likely lead to a usage segmentation strategy.

True

True or False? Volume-sensitive businesses tend to have high fixed cost structures relative to total costs.

True

True or False? Wearables are part of the digital phenotyping that is occurring in today's new healthcare environment.

True

True or False? When an organization that operates at some level in the channel of distribution moves to a level that is closer to the customer, this move can be described as forward integration.

True

Which of the following is a major advantage of experimental research? A. It costs less relative to observational research B. Specific variables can be measured to assess their effect on another variable C. it allows for significant accuracy in terms of research coding D. it eliminates bias

B. Specific variables can be measured to assess their effect on another variable

ACOs have created three ways to encourage patients to stay within the healthcare system. Which of the following is not one of these approaches? A. Nonfinancial B. Structural C. Financial D. Informational

B. Structural

What is one of the hallmarks of market-driven culture? A. All of these are correct B. There is an awareness of the competition C. It tends to focus on the employees D. Data drives all decisions

B. There is an awareness of the competition

Which of the following is a major justification for a VIP being treated differently and not being triaged in an emergency room, but rather taken to an examination room to wait for a clinician? A. To make room in the emergency room because VIPs are often accompanied by support staff B. To ensure patient privacy C. To promote future donations D. To remove distractions

B. To ensure patient privacy

With regards to pricing practices in oligopolistic market conditions, there often tends to exist: A. strong government control. B. a price leader that dictates the direction of price levels. C. a significant amount of consumer dissatisfaction with regard to pricing practices. D. a price structure that is often unrelated to industry cost structure.

B. a price leader that dictates the direction of price levels.

For leader pricing to be successful: A. consumers must decide to follow the leader and believe the competitor's products or services are inferior. B. consumers must recognize the promoted price to be a value. C. the leader must openly declare the price so competitors have enough time to adjust their prices. D. there must be a strong industry leader who others will follow.

B. consumers must recognize the promoted price to be a value.

The service recovery paradox shows that: A. when an organization recovers, it does not increase satisfaction. B. when there is a service failure with effective recovery, loyalty can increase. C. loyalty can increase as long as service-level performance is high. D. loyalty can increase even when service is low.

B. when there is a service failure with effective recovery, loyalty can increase.

Which of the following is true of a service that is a problem child? A. It is a poor service but has a high share. B. It is a new service with little share or one that is generating a lot of cash. C. It is a new service or one that has been in existence for some time, but there are strategy problems. D. It is a new service but has quality problems.

C. It is a new service or one that has been in existence for some time, but there are strategy problems.

Which of the following is not an advantage of personal selling over advertising? A. Any misunderstanding of the message can be corrected. B. All of these are advantages. C. It is the least costly form of promotion. D. It allows the organization to have more control over who sees its message.

C. It is the least costly form of promotion.

Payment in the digital media costing space only when a sale occurs is done under which of the following metrics? A. Cost per mille B. Cost per action C. Cost per impression D. Cost per click

B. Cost per action

An engaged customer offers multiple benefits to an organization. Which of the following is not a benefit? A. Encouraging others to buy from the organization B. Engaging in fewer online searches for other providers of similar services C. Providing feedback to the organization D. Referring other prospects to the organization

B. Engaging in fewer online searches for other providers of similar services

Which of the following is not a regulation or law that states have passed to prevent large price increases for pharmaceuticals? A. Capping co-payments at a defined amount for a particular drug such as insulin. B. Jail terms for CEOs or owners of drug companies for exorbitant price increases for critical drugs. C. Establishment of a drug affordability board. D. Requirement to provide a price justification for any price rise over a set amount, such as 20%

B. Jail terms for CEOs or owners of drug companies for exorbitant price increases for critical drugs.

In which market condition is the focus of competition most away from price? A. Pure monopoly B. Monopolistic competition C. Oligopoly D. Unrestricted markets

B. Monopolistic competition

Which of the following is not one of the three forms of fairness? A. Outcome B. Operational C. Interactional D. Procedural

B. Operational

MD Anderson is well known for its diagnosis and treatment of cancer. In this instance, the organization might be said to have which form of power? A. Economic B. Referent C. Reward D. Coercive

B. Referent

In which stage of marketing evolution is the primary goal to ensure that the market recognizes the high-quality services an organization provides that provide great value to the community? A. Production B. Sales C. Quality D. Marketing

B. Sales

Which form of sales promotion is common in the pharmaceutical industry? A. Couponing B. Samples C. Premiums D. Cash rebates

B. Samples

When members on the same level of the distribution channel have agreements to perform certain functions for the distribution channel, it is a(n): A. illegal vertically integrated marketing system. B. cooperative vertical marketing system. C. arranged vertically integrated system. D. horizontal vertically integrated marketing system.

B. cooperative vertical marketing system.

In the relationship paradigm versus the traditional marketing paradigm, the sales focus is on: A. exceeding expectations versus meeting expectations B. customer retention versus the individual sale C. clinical skills versus process skills D. clinical efficiency versus seamless service

B. customer retention versus the individual sale

In industrial markets, demand is often derived, which means that demand for the product or service is derived: A. based on the major buyer B. from the demand for another product or service C. directly based on the buyer's needs D. from reimbursement

B. from the demand for another product or service

When the customer base is homogeneous, the sales force structure can be: A. product based. B. geographic. C. revenue structured. D. customer structured

B. geographic.

Consumer income is composed of: A. grand, gross, and discretionary income B. gross, discretionary, and disposable income C. discretionary, gross, and defined income D. defined, gross, and determined income

B. gross, discretionary, and disposable income

The sequence of the market-driven planning approach can be best summarized as: A. inside to outside to outside B. inside to outside to inside C. outside to inside D. outside to inside to outside

B. inside to outside to inside

The sales/expense ratio is a useful metric for assessing salesperson performance because: A. sales are directly considered. B. it has both an input and output measure. C. it considers the salesperson's expenses. D. it is a simple ratio that can be easily tracked

B. it has both an input and output measure.

The cohort most likely to search for the quality ratings of a hospital are: A. Gen Xers. B. millennials. C. boomers. D. seniors.

B. millennials

In industrial purchasing situations, straight rebuy is often handled by: A. gatekeepers B. purchasing agents C. deciders D. users

B. purchasing agents

Digital investments need to be viewed from the perspective of: A. the value of the number of appointments in a department. B. the system perspective. C. They cannot really be measured, which is the problem. D. the number of hits on the website.

B. the system perspective

Some marketing experts have suggested that there is a fifth P to marketing, which is: A. Productivity B. Public relations C. Any of these could be considered a fifth P D. People

C. Any of these could be considered a fifth P

Generating selective demand is the key promotional objective of which stage of the product life cycle? A. Decline B. Maturity C. Growth D. Introduction

C. Growth

According to the AMA, practices can sell health-related products within their practices if they meet which of the following criteria? A. The AMA does not endorse selling products within practices. B. Provide transparency about the relationship, offer the product at a discount compared to a local vendor, risk disclosure C. Provide transparency about the relationship, products have clinical value, risk disclosure D. Risk disclosure, exclusive vendor relationship for a discount, provide delivery for disabled patients

C. Provide transparency about the relationship, products have clinical value, risk disclosure

According to HIPAA, which of the following is true regarding the posting of a patient's personal health information (PHI)? A. HIPAA does not address this issue. B. It can never be posted or used. C. The patient must be informed, and it must not be possible to identify the patient. D. It must not be possible to identify the patient, and the patient does not need to be notified

C. The patient must be informed, and it must not be possible to identify the patient.

When the major consideration for an organization is to ensure that they attract volume to the organization, then it must: A. have a high fixed cost to total cost. B. have a high variable cost to marginal cost. C. be margin sensitive. D. have a high total cost to marginal cost.

C. be margin sensitive.

Surprise medical bills: A. bills for care received that the insurance company refuses to cover. B. bills for care that the patient did not understand that they were receiving C. bills for care that was received from physicians who were not within the patient's health insurance contracted network. D. bills for lab tests that the patient did not know were being ordered

C. bills for care that was received from physicians who were not within the patient's health insurance contracted network.

The organization or entity in the channel who can dictate policies to others in the channel is referred to as the channel: A. None of these is correct. B. dictator. C. commander. D. authority.

C. commander

Spurious loyalty is best viewed as a: A. customer who buys a product when his favorite brand is not available. B. random purchase by a customer of a product. C. customer buying a product because of convenience or familiarity. D. trial purchase of a product that may lead to loyalty if it meets expectations.

C. customer buying a product because of convenience or familiarity.

The media that might be considered to have the highest form of credibility is: A. owned. B. paid. C. earned. D. created.

C. earned

At the need fulfillment stage of the need satisfaction selling method, the salesperson: A. highlights what the product does. B. highlights all the needs that exist in the market that the company's offerings can meet. C. highlights the buyer's needs and how the product meets those needs. D. discusses how the company's product breadth can fulfill all of the buyer's needs.

C. highlights the buyer's needs and how the product meets those needs

When price levels rise faster than income: A. it is referred to as deflation B. the result is pressure on reimbursement C. it is referred to as inflation D. significant cost pressures occur

C. it is referred to as inflation

For communication to be effective: A. the channel must be efficient in the delivery of the message. B. the noise filter must be effective in the monitoring process. C. it must be translated by the receiver the same way it was encoded by the sender. D. it must be placed on the Web.

C. it must be translated by the receiver the same way it was encoded by the sender.

The importance of using sales promotions in traditional industries is the fact that: A. a significant amount is spent in consumer products as compared to industrial industries. B. no real conclusion can be made, because it is industry dependent. C. more dollars are spent on sales promotion than advertising. D. little real dollars are allocated to this form of promotion.

C. more dollars are spent on sales promotion than advertising.

Groups that provide necessary infrastructure, such as the media, but that do not engage in transactions with an organization are considered: A. tertiary stakeholders B. constituent stakeholders C. secondary stakeholders D. external stakeholders

C. secondary stakeholders

Because of ___, consumers are exposed to a large number of messages but do not attend to all of them. A. selective memory B. selective exposure C. selective perception D. selective retention

C. selective perception

Geotechnology will increasingly allow: A. All of these are correct B. encourage interactions between communities C. seniors to age in place by signaling their movements D. companies to track pandemics more efficiently

C. seniors to age in place by signaling their movements

In the growth stage of the life cycle, the focus on the middleman becomes one of: A. negotiating the price. B. gaining a presence. C. solidifying loyalty D. gaining an image of the service in the channel.

C. solidifying loyalty

Usage segmentation in health care has been applied in situations in which: A. None of these is correct. B. use of alternative distribution channels can be viable for the distribution of the service. C. the efficacy of a pharmaceutical drug can be used in alternative ways. D. physicians use their skills in many different geographic locations.

C. the efficacy of a pharmaceutical drug can be used in alternative ways.

Before allocating dollars to a particular project, most organizations will: A. assume that the fixed costs are a function of the total costs and the indirect costs over time. B. establish the project's indirect costs. C. use a threshold ROI level. D. establish a base level of utilization by the physicians.

C. use a threshold ROI level.

Bounce rate is a metric of: A. the number of times a website refreshes during a single user session. B. the number of incorrect links on a website. C. when a user opens a single page on a website and then exits without triggering any other request to the server. D. how many users visit the website and the site is not available.

C. when a user opens a single page on a website and then exits without triggering any other request to the server.

In segmenting business markets, the size of the company is often particularly relevant as it relates to which of the following? Hide answer choices A. All of these are correct. B. The varying types of occupational injuries C. Differing levels of price sensitivities D. The problems that may occur with labor unions in terms of health negotiations

C.Differing levels of price sensitivities

The Standard Industrial Classification (SIC) code is a classification system based upon which of the following? A. The standard insurance classification for the risk of insuring a company's employee population B. The way in which a business standardizes its operations according to ISO 90001 C. The insurance industry classification of a company's risk-adjusted status for rating premiums D. A federal government classification of the major business activity or service within which the firm operates

D. A federal government classification of the major business activity or service within which the firm operates

Why has loyalty become an important strategy for healthcare organizations in today's environment? A. Challenge of pay-for-performance contracts B. Health care reform C. The need to establish relationships so that the hospital is not financially penalized based on negative HCAHPS evaluations D. All of these are correct.

D. All of these are correct

The consumer's share of voice resulting from experience originates from which source? A. Consequential sources B. Intentional sources C. Experiential sources D. All of these are correct.

D. All of these are correct.

Maintaining the existing buyers that an organization serves is the promotional objective of which stage of the product life cycle? A. Introduction B. Decline C. Growth D. Maturity

D. Maturity

A health plan has developed different web pages for corporate customers based on the number of employees they have. This is an example of what segmentation strategy? A. Micro marketing B. Niche C. Mass marketing D. Multisegment

D. Multisegment

_____ is the money a consumer has remaining after taxes and paying for necessities. A. Disposable income B. Discretionary income C. Gross income D. Net income

D. Net Income

In health care, limited decision making often occurs in which type of purchase situation? A. None of these is correct B. Going to a walk-in clinic for a minor medical problem C. Going to a primary care visit D. Purchasing an over-the-counter pharmaceutical product

D. Purchasing an over-the-counter pharmaceutical product

Which of the following was not cited as an important dimension of an effective marketing evaluation system? A. Breadth B. Depth C. Time D. Reliability

D. Reliability

How does the market-driven approach help minimize costs? A. The organization only surveys a limited number of consumers B. It does not minimize costs due to the large financial investment in market research C. The organization ensures that few people are allowed to sell their ideas internally D. The organization does not spend resources on services that are not likely to succeed

D. The organization does not spend resources on services that are not likely to succeed

Which cohort exhibited the trait of being a compliant patient? A. Gen X B. Millennials C. Boomers D. World War II

D. World War II

Psychographic segmentation refers to segmenting the market by: A. age, gender, and lifestyle. B. psychological profile and attitude. C. the defining events that shape their values. D. attitudes, interests, and opinions.

D. attitudes, interests, and opinions.

In a clinical co-management structure, a hospital contracts with a group of physicians to provide daily management for an inpatient or outpatient component of a particular service line. What is the benefit of this type of structure? A. Hospitals have physicians in place to provide the particular clinical service B. It helps reduce clinical costs and also solves the challenge of aligning physicians with organizational goals C. It solves the challenge of aligning physicians with organizational goals D. It helps to reduce clinical costs

C. It solves the challenge if aligning physicians with organizational goals

In the mature stage of the product life cycle, a key objective becomes one of: A. developing selective demand. B. maintaining price margins. C. maintaining the existing customer base. D. recognizing when it is necessary to withdraw from the market first.

C. Maintaining the existing customer base

Which of the following is not an objective for event marketing? A. Image enhancement B. Brand awareness C. Market share D. Sales

C. Market Share

In a market-driven planning approach, market research occurs at what two points in the process? A. Mission review and pretest B. Needs assessment and strategy formulation C. Needs assessment and pretest D. Market research is an ongoing process in a market-driven approach

C. Needs assessment and pretest

Which of the following has not been cited as a barrier to adoption of RPM technology? A. Clinical productivity B. Patient engagement C. On-site education D. Infrastructure support

C. On-site education

Dividing or segmenting patients into risk levels, as is being done by many ACOs, is a form of what type of segmentation strategy? A. Risk generation B. Cohort C. Population D. VAL PRIZM

C. Population

Customers often receive multiple sales calls from the same organization when the sellers use which sales structure? A. Customer B. Geographic C. Product D. Market

C. Product

A company analyzes its data and assesses that because of price increases in some products, customers shifted their product purchases to products that differed from what was originally forecasted. Ultimately, the products that were purchased had lower margins. As a result, the company experienced lower end-of-the-year profitability. What type of analysis is this? A. Net profit analysis B. Contribution margin variance C. Product mix variance D. Customer mix variance

C. Product mix variance

A major advantage of the percentage variable contribution margin (PVCM) approach over a full cost approach is that it allows a marketer to: A. know the incremental value of a sale. B. estimate the dollars generated to overhead from one more unit of business. C. provide an estimate of fixed costs covered and indirect costs that can be covered with one more dollar in sales gained for a unit of investment. D. calculate the incremental value of directing additional resources to a particular service line.

D. calculate the incremental value of directing additional resources to a particular service line.

The Netflix series Diagnosis is based on the idea of: A. the digital journey. B. interfacing. C. geotracking D. crowdsourcing.

D. crowdsourcing

In metropolitan areas where there are a large number of community hospitals all offering a relatively similar array of clinical services, the channel commander may well be the: A. hospital. B. None of these is correct. C. consumers. D. doctors

D. doctors

Focus groups have been useful in: A. targeting consumers and generating hypotheses. B. explaining results of surveys and identifying target markets C. developing hypotheses and identifying potential customers D. explaining survey results and developing hypotheses

D. explaining survey results and developing hypotheses

When the threat of new entrants is low, prices tend to be: A. lower. B. stable. C. variable. D. higher.

D. higher

Leverage opportunities are those contact points that are: A. not important to the customer and exceed expectations. B. important to the customer but do not meet expectations. C. not important to the customer and do not meet expectations. D. important to the customer and exceed expectations.

D. important to the customer and exceed expectations.

A hospital that develops a structure that is organized around referral physicians, corporations, and employee assistance personnel: A. has a customer-focused design B. is a corporate organization C. is a multitiered organization D. is a market-oriented organization

D. is a market-oriented organization

The greater the intensity of rivalry within an industry, the greater the likelihood that prices will be: A. higher. B. constant. C. variable. D. lower.

D. lower

The importance of service process quality is best seen in health care because: A. the process quality affects consumer perception of the price-value relationship. B. in the era of transparency metrics are being developed on service process quality. C. customers want to have easy access in every service situation. D. many medical malpractice suits have no clinical reason but have been a function of how the service was delivered.

D. many medical malpractice suits have no clinical reason but have been a function of how the service was delivered.

Monitoring advertising is easy if: A. the Web is used to track the number of hits. B. there is a direct response form used in the advertisement. C. None of these is correct. D. objectives are set prior to the beginning of any promotional campaign.

D. objectives are set prior to the beginning of any promotional campaign.

Marginal pricing is based on the concept that: A. margins must always be achieved in pricing a service. B. marginal cost always needs to be covered by marginal revenue. C. any marginal revenue that covers incremental cost is valuable. D. pricing for any additional service or product must exceed or equal the cost of the additional product or service.

D. pricing for any additional service or product must exceed or equal the cost of the additional product or service.

Scott & White Clinic in Texas and Aultman Hopsital in Ohio have developed their own insurance products. These organizations have decided to pursue a strategy of: A. diversification B. market development C. market penetration D. product development

D. product development

Cannibalization refers to a situation when: A. the breadth and depth of a product line complicate the marketing of a service line. B. the market territory of two contiguous markets overlap. C. two competing companies confuse the other's position in the consumers' mind, thus cannibalizing their unique position. D. the sale of one product takes away sales from another of the same company.

D. the sale of one product takes away sales from another of the same company.

Fear appeals can backfire when: A. the message is so extreme that it is not credible. B. the audience does not understand the source of the threat. C. the spokesperson is not scary enough. D. the target audience does not believe they can escape the threat being presented.

D. the target audience does not believe they can escape the threat being presented.

The most expensive form of pretesting is the: A. portfolio test. B. jury test. C. panel test. D. theater test.

D. theater test

Comparing actual performance to preestablished targets is referred to as: A. pre/post analysis. B. comparative analysis. C. budget scenario analysis. D. variance analysis.

D. variance analysis

True or False? A consumer pays attention only to the advertisements for the medical group that they go to on a regular basis. This is an example of selective comprehension.

False

True or False? A convenience sample is a simple random sample.

False

True or False? A foundation for resource and financial-based planning is developed through a SWOT analysis.

False

True or False? A health system buys physician practices in many different regions and several smaller hospitals. It lets each entity retain its own name. This organization is following a reseller strategy.

False

True or False? A key goal in the introduction stage of the life cycle is to generate selective demand for the new product.

False

True or False? A structural sign that health care is evolving to a true retail market is that retail centers set to receive health care are now appearing nationally.

False

True or False? Almost half of all Google-related searches are health related.

False

True or False? Although women are greater uses of healthcare services, they incur far less medical expense.

False

True or False? An effective marketing evaluation system should have more depth than breadth in terms of its components.

False

True or False? As more women have entered the medical profession, the compensation gap between the genders has decreased substantially.

False

True or False? Boutique advertising agencies are limited in that they often deal with only a few clients.

False

True or False? Brand architecture refers to the strategy a company uses in developing its brand equity.

False

True or False? By the end of this decade, healthcare spending will reach almost 50% of the U.S. gross domestic product (GDP).

False

True or False? CMS does not have billing codes for remote patient monitoring, which is a barrier to major adoption of this technology.

False

True or False? Chief marketing officers at hospitals state that the most often used budgeting method for adverting is the objective and task method.

False

True or False? Cost per click is not a performance-based digital media costing approach.

False

True or False? Environmental assessment involves the acquisition and use of information about events, trends, and relationships in the environment.

False

True or False? For reminder advertising programs, such as for "Ask-A-Nurse" call lines, the medium of choice is often newspapers.

False

True or False? Google glasses for surgical use are most likely a case of a fad product.

False

True or False? HIPAA regulations apply to all wearables and other devices that are involved in the continuous passive assessment of data on individuals' behavior, mood, and cognition.

False

True or False? If the goal is to drive sales or revenue in the short term, then frequency of advertising becomes a major factor in the budgeting objectives.

False

True or False? In a census, an initial step is to decide what percent of the population the sample will obtain.

False

True or False? In the introduction stage, setting a high initial price is possible because buyers always want a new product and it encourages people to buy the item.

False

True or False? Individuals spend almost a month online researching alternative hospital sites for information before booking an appointment.

False

True or False? Learning occurs as a result of stimulus, drive, cue, response, and reward.

False

True or False? Majority concentration is when many organizations focus on the largest customer segment.

False

True or False? Many women's hospitals are now establishing specialized services for men as a market penetration strategy.

False

True or False? Marginal cost pricing is useful when trying to attract smaller customer accounts to fill marginal business.

False

True or False? Off-label use of a pharmaceutical by a physician is illegal

False

True or False? Online reviews of clinicians have been found to have little effect in terms of an individual's choice of a physician.

False

True or False? Organizations are finding it more difficult to track digital expenditures than traditional media expenditures.

False

True or False? Over the course of the product life cycle, prices for a product or service tend to stabilize as competition enters.

False

True or False? Parents using a CellScope app and otoscope attachment demonstrate the principal of the wheel of retailing.

False

True or False? Pharmaceutical companies give free samples to physicians, but research has shown that this has little impact in increasing prescriptions for the product.

False

True or False? Prime-time television costs have risen dramatically in recent years.

False

True or False? Profit is a major objective in the early stages of competition for a product or service.

False

True or False? Revenues generated by stars should go to the cash cows.

False

True or False? Segmentation should always be done even when it does not relate to purchasing differences among consumers or customers.

False

True or False? Similar to an online diary, podcasts are a tool that is more prevalent on the Web.

False

True or False? The boomers are the cohort that has the greatest trust in institutions and authority.

False

True or False? The channel commander is the largest member in the channel.

False

True or False? The federal SIC Code is a system that describes the major purchasing categories of each company for bidding purposes.

False

True or False? The fewer the number of products or brands, the greater the likelihood the wholesaler is the channel commander

False

True or False? The first step in developing an effective sales force is recruiting to solicit a large number of potential job applicants from which to select.

False

True or False? The in-depth personal interview is the first step in eliminating individuals who are not qualified for the sales position that the company is seeking to fill.

False

True or False? The largest concentrations of Hispanics are in California and Florida.

False

True or False? The least expensive way to collect data is focus groups, in which 8 to 10 people are brought into one discussion format.

False

True or False? The major marketing objective with the heavy half segment for any organization is to get them to consume more of the product.

False

True or False? The manufacturer of a large number of generic products is often the channel commander.

False

True or False? The name under which a company does business is referred to as its trademark

False

True or False? The reviews of hospital quality provided on social media sites such as Yelp do not relate in any way to real, objective hospital quality ratings.

False

True or False? The simplest way to organize a sales force is by product line.

False

True or False? The three attributes that are common to distributive innovations are that they tend to be cheaper, easy to get, and somewhat more expensive than existing alternatives.

False

True or False? The vast majority of states are doing well in terms of either price or quality transparency information provided to consumers.

False

True or False? Trust has been found to a strong determinant of heavy half usage behavior.

False

True or False? Trust is at the core of the need satisfaction method.

False

True or False? Under Affordable Care Act regulations, the medical loss ratio required insurance companies to pay out at least 80% of their premiums annually in insurance claims.

False

True or False? VIP patients have been found to receive above average care compared to the general population.

False

True or False? Vertical marketing systems describe the independent levels of the channel of distribution when they operate at optimum efficiency in distribution of goods or services.

False

True or False? When Martin Shrkeli bought the rights to a drug and raised the price from $13.50 to $750, the Department of Justice filed a lawsuit and ultimately imprisoned him for predatory pricing.

False

True or False? When an organization assesses customer feedback, it always must improve service in any contact point where it does not exceed expectations.

False

True or False? When considering the channel in the communication process, the major delineation is whether it is personal or done over the Internet.

False

True or False? When the California Public Employees' Retirement System (CalPERS) capped retirees' payment for hip replacement at a set amount, it was displaying the use of coercive power.

False

True or False? With a complete random sample, data are collected from all members of the target population.

False

True or false? In a full costing approach, direct and variable costs are assigned to the service unit.

False

To institute a behavioral change with advertising requires a narrow target market as well as a clear call to action within the message.

True

True of False? Revenue that the cash cows generate should go to the problem children.

True

True or False. Industrial buyer behavior differs from consumer behavior because the demand is derived.

True

True or False? A hospital owns clinics, a freestanding laboratory, a surgical center, and an ambulance company. All of these are under one name of the health system. This hospital follows a multiproduct branding strategy.

True

True or False? A major advantage of loyal customers in service businesses is that they will tolerate the occasional bad service encounter instead of leaving the organization.

True

True or False? A market penetration strategy can occur through a more aggressive pricing strategy or distribution strategy than a competitor.

True

True or False? A medical group deciding to build a hospital is an example of backwards vertical integration.

True

True or False? A one-star increase in a hospital's Facebook rating was associated with a hospital having increased odds in being in a lower admissions group.

True

True or False? Almost two-thirds of individuals report choosing a new physician over another based on a strong online presence.

True

True or False? Although almost half of all adults search the Internet for health information, most still seek out medical attention after doing so.

True

True or False? An example of an autonomous decision-making framework is when a husband or wife makes decisions independently.

True

True or False? Attitudes are one's enduring cognitions or feelings.

True

True or False? By creating a centralized referral center, a health system is ensuring that revenue remains with the health system.

True

True or False? Companies that use similar products or services often have other characteristics in common; thus, product use is a valuable segmentation variable of industrial markets.

True

True or False? Companies that want to maximize profits will often employ a skimming price strategy.

True

True or False? Early adopters are those who are willing to endure technical difficulties in order to gain a competitive advantage in terms of the diffusion of innovation curve.

True

True or False? Effective evaluation measures of a sales force should include both input and output measures.

True

True or False? For communication to occur, a message must be decoded by the receiver the same way it was encoded by the sender.

True

True or False? For price lining to be effective, consumers must perceive distinct differences between each line.

True

True or False? For sponsorships to be effective, there should be a degree of congruence between the event and the organization.

True

True or False? Nonfinancial incentives are often used to relate to a salesperson's higher-order needs such as self-esteem.

True

True or False? Physicians have been under increasing pressure to provide care that they deem inappropriate in order to receive positive ratings in the postpurchase evaluations patients post on the websites of the doctors' institutions and in social media forums.

True

True or False? Red Oceans represent the blood of companies fighting for market share among existing competitors.

True

True or False? Research has found that when boundary tier workers report positive work attitudes, customers report high satisfaction levels.

True

True or False? Setting a price by determining the total cost and adding some additional amount for profit is referred to as cost-plus pricing.

True

True or False? Some Internet-enabled pill dispensers send text reminders to users; however, there is no way to determine whether the pill is ingested.

True

True or False? Some healthcare organizations have started alumni organizations for their past patients. This approach is a strategy to reduce psychological risk.

True

True or False? The canned sales presentation assumes that each prospect will react in the same way, which is its major limitation.

True

True or False? The changes in a person's behavior as a result of past experiences are referred to as learning.

True

True or False? The cost per point is often used to make comparisons across media markets as well as media vehicles.

True

True or False? The decline in buying power when prices rise faster than income is called inflation.

True

True or False? The entire range of products or services offered by an organization is referred to as its product mix.

True

True or False? The goal in the mature stage of the product life cycle is to retain customers through promotion.

True

True or False? The lifetime value of a customer is how much the person spends or is worth over an unlimited time span beyond the first purchase.

True

True or False? The linkage between satisfaction and loyalty has been found to be weaker for high-satisfaction hospitals.

True

True or False? The lower levels of the Customer Loyalty Pyramid are based on an organization's promotional strategy.

True

True or False? The major challenge in the IOT ecosystem for health care will be cybersecurity.

True

True or False? The measure of marketing investments may need to shift from hits to a measure that is closer to one of contributions of the entire journey, such as the shift made by Amazon with the Kindle from sales to usage on the Kindle.

True

True or False? The most systematic approach of all non-probability sampling methods is the quota sample.

True

True or False? The only state that has privacy regulations in place that cover the data generated by personal digital devices that many consumers are unaware of is California.

True

True or False? The proliferation of television stations in recent years has increased clutter.

True

True or False? To accept risk-sharing contracts, it is important for health systems to assure clinical standardization as a necessary strategy.

True

True or False? When healthcare consumers are shown quality data, demand can become elastic.

True

True or False? When the cost of delivering a service does not change with the volume of the service delivered, it is referred to as a fixed cost.

True

True or False? When the physicians in a community and the hospital administration try to outsmart each other in terms of strategic moves, this might be considered a stage of "felt" conflict.

True

Cybersquatting refers to: A. All of these are correct. B. buying space with search results using another company's name. C. registering a domain name with the purpose of profiting from the goodwill of another's name. D. linking to another's website with a close name so the person using the site does not realize they are on the site of the different company.

A. All of these are correct

Accountable health plans are a value-based model in which: A. All of these are correct B. the value of the plan to companies is the low cost to cover employees for a wide range of services (medical, dental, mental health) C. consumers pay a low price for the cost of their care D. organizations are reimbursed based on quality metrics and reductions in cost of care data

A. All of these are correct ? -- D. is correct via textbook

Which of the following would be an effective strategy for a medical group to reduce postpurchase dissonance? A. Call the patient a day later to ask if the visit went well and whether they would like a nurse to follow up if they have questions B. Send out an online survey to the patient the same day as their appointment C. Ask the patient at the billing desk if everything went well today at their visit D. Run local ads in the paper and online stating, "A recent survey finds that 99% of our patients are satisfied with the care they receive at our group."

A. Call the patient a day later to ask if the visit went well and whether they would like a nurse to follow up if they have questions

An extended search is often warranted in which type of decision situation? A. Complex B. All of these are correct C. Limited decision making D. Low involvement

A. Complex

Which of the following is the most challenging stakeholder group for an organization to identify? A. Diffused B. Functional C. Normative D. Enabling

A. Diffused

Aging in place service leaders identified three key ethical issues regarding digital technologies for seniors. Which of the following is not one of those dimensions? A. Safety B. Trust C. Privacy D. Dignity

A. Safety

In a market-driven planning approach, the differential advantage is determined: A. by market research B. by strategy formulation C. in the pretest stage D. by the planning committee

A. by market research

To obtain a complete picture of the effectiveness of marketing investments, a system should have multiple measures, which implies that it should have: A. depth. B. breadth. C. reliability. D. time.

A. depth

One of the most targeted media choices available to marketers is: A. direct mail. B. television. C. radio. D. magazines.

A. direct mail

Volume variance is an examination of the: A. expected and real units of sales. B. volume of revenue relative to the volume of capacity. C. volume of costs and the desired unit level of costs. D. difference between the number of potential customers and the number of predicted customers.

A. expected and real units of sales.

A good target market is one that: A. is as homogenous as possible B. contains a lot of young and older consumers who can be a broad patient base C. is as large as possible D. is as heterogeneous as possible

A. is as homogeneous as possible

The value to segmenting only exists when: A. it leads to a differential response among customers. B. a segment tends to have values that are different than other segments. C. a segment has unique healthcare needs. D. a company can identify a segment that is larger than any other segment.

A. it leads to a differential response among customers

Which is the following are the two forms of personal interviews? A. one-to-one interviews and focus groups B. focus groups and web surveys C. one-to-one interviews and web surveys D. focus groups and observational research

A. one-to-one interviews and focus groups

The pharmaceutical industry has been described as having a two-stage pricing approach. Stage one is ___ pricing at introduction and stage two is ____ pricing when the patent expires. A. premium; marginal B. ROI; premium C. targeted; marginal D. penetration; stabilization

A. premium; marginal

A hospital has offered an extremely successful surgical group preferential block scheduling in the operating room as well as a dedicated surgical nursing team in order to attract them to the facility. This might be described as a: A. push strategy. B. pull strategy. C. violation of the Stark Act and illegal. D. trade allowance.

A. push strategy

Manufacturers tend to be channel commanders when: A. the brand names are well known. B. the cost of carrying inventory for suppliers is high. C. the price of their products is high. D. delivery costs tend to be high.

A. the brand names are well known.

An example of ___ is when individuals turn to sites like diabetesconnect.com that harness collective intelligence. A. the wisdom of crowds B. the wisdom of collective health C. collective population management D. synergistic disease management

A. the wisdom of crowds

Effective recovery has been found to enhance: A. trust. B. customer interest. C. profitability. D. customer engagement.

A. trust

Compared to other Western economies, the United States spends more on health care. What is the outcome of this high spending on health care? A.Life expectancies are lower than average compared to other OECD states. B. The U.S. population, on average, is healthier than that in other countries. C. The US is the healthiest Western population based on dollars spent per capita. D. The dollar return is greater with better mortality for all ages, except children younger than 5 years.

A.Life expectancies are lower than average compared to other OECD states.

Which of the following factors is an indicator of an unsuccessful salesperson? A. Failure in business within the last 2 years B. All of these are correct. C. Instability of residence d. Unexplained gaps in the person's employment record

B. All of these are correct

Which of the following questions is not illegal under the Equal Opportunity Guidelines to ask on a personal history form in the hiring process of an individual? A. Religion B. All of these are illegal questions. C. Age D. Gender

B. All of these are illegal questions.

The ability to track multiple elements of marketing investments is what dimension of a marketing evaluation system? A. Time B. Breadth C. Reliability D. Depth

B. Breadth

True or False? As company size increases, the likelihood of offering health insurance to their employees is increasingly likely to decline,

FAlse

True or False? The less observable the tangible features are of a product or service, the more beneficial it may be to use advertising as a key component of the promotional mix.

true

True or False? The major advantage of the interpersonal channel is the immediacy of feedback.

true

True or False? The major challenge with using humor as an emotional approach in messaging is that this emotion is often specific to the individual.

true