MKTG5000 Final

A firm that opens its own retail store is engaging in backward integration.

False

In the context of media planning, a firm using a continuous schedule:

advertises a little more frequently than the object is purchased.

In the context of media planning, a firm using occasional schedules:

advertises in sync with purchase cycles.

KPIs for social media are analogous to traditional measures for ________.

advertising effectiveness

The elaboration likelihood model:

assumes that there are two ways into a consumer brain — a central path or a peripheral path.

Which of the following is a high-involvement purchase?

athletic shoes

In the context of integrated marketing communications across media, reach via the mass media is relatively:

broad, not targeted.

In a social network, ________ are groups of people in a network.

cliques

With respect to the goals of ad campaigns, ________ increases customers' knowledge and awareness about a particular brand.

cognition

Transaction cost analysis is a model that:

considers channel members' production costs and governance costs, both of which are ideally minimized.

Dominic Inc., a pretzel manufacturer, introduced a new flavor of pretzels in the market. The fixed manufacturing costs came up to $5,000, and the cost of packaging materials for a box came up to $15. If a box of pretzels is priced at $25, what is the breakeven point of Dominic Inc.?

500 boxes

In integrated marketing communications across media, which of the following is effective in covering good local numbers?

A billboard

In the context of distribution, double marginalization occurs when:

A manufacturer and its intermediaries expect to earn a profit from the same transaction.

Which of the following statements explains the difference between forward integration and backward integration?

A manufacturer takes up the product's distribution responsibilities in forward integration, while a manufacturer controls raw material inputs in backward integration.

Which of the following statements differentiate push and pull strategies?

A manufacturer using push strategies concentrates on channel partners, while a manufacturer using pull strategies concentrates on customers.

What is a sociogram?

A network depicted in graphical form

Which of the following is an example of channel members?

A retailer of the firm

Which of the following is an example of products that are distributed intensively?

A soap bar

_____ is the primary means by which a company communicates to its customers about its products and brands and position in the marketplace.

Advertising

________ is the primary means by which a company communicates to its customers about its products and brands and position in the marketplace.

Advertising

________ rate is the percent of sessions for which a visitor enters a website and leaves the website without viewing the other pages in the site.

Bounce

Among professional musicians, Washburn Guitar has a reputation for producing excellent electric and acoustic guitars. These professionals need reliable, high-quality equipment because their livelihood depends on having nothing less than the best musical instruments; they tend to stick with Washburn and do not mind paying a premium price for a quality instrument. As such, this market segment could be described as being __________ and __________.

Brand-loyal; price inelastic.

________ are computed for each actor in the network to describe the position of that actor relative to the others.

Centrality indices

Which of the following ads use utilitarian appeals?

Cognitive ads

Washburn Guitar maintains that each guitar it produces represents quality at the best possible price. Washburn has four price points: (1) entry level at $349 and below; (2) intermediate level at $1,000 and below; (3) professional level at $1,000 to $3,000; and (4) collectors level at $3,000 and above. Given that price often serves as a strong cue to quality, a potential Washburn customer could logically draw all but one of the following conclusions. Which conclusion is not logical?

Compromising on quality at the entry level will have little, if any, impact on perceptions of quality at the other three price points.

________ is important before launching a core product's full ad campaign.

Copy testing

Taza seeks to expand its brand to new markets, it must decide whether to service that expansion with the existing members of the company's distribution channels or to expand the number of members in those channels. In making this decision, Taza's marketers should __________.

Evaluate existing channel members to assess whether they provide value (i.e., they provide more benefit than they cost), and assess potential channel members in terms of their prospects for contributing value.

In the context of a social network, an actor with most links is said to be peripheral in nature.

False

KPIs are subjective measures.

False

Most marketers believe that a strong attitude-to-the-brand results in a strong attitude-to-the-ad, which in turn results in a likely purchase.

False

Publicity is paid for by the brand's company.

False

Typically, consumer packaged goods are distributed selectively.

False

When a company deals with partners that are upstream, the partners are called channel members.

False

the context of the product life cycle, a product in the maturity stage is promoted heavily with strong and positive ad campaigns.

False

________ refers to coordinating the flow of goods, services, and information among the distribution channel members.

Logistics

________ require longer lead times for production, but they have nice reproduction quality.

Magazines

Which of the following defines a manufacturer's distribution intensity?

Number of intermediaries required to reach a customer

________ ads tend to be informative, featuring the product's attributes and their benefits.

One-sided argument

Which of the following is an example of the media with the best customization options?

Online banners

Lee is the product manager for a software program sold by Company ABC. In evaluating the product, Lee determines that something just isn't right with how the software program is marketed to potential customers, and he feels a change is necessary. Which of the following marketing mix variables is easiest for Lee to change?

Price

________ is greater when the item is a luxury good rather than a necessity, when many substitutes are available, or when the purchase is a relatively big one.

Price sensitivity

GRP = ?

Reach × Frequency

L.L. Bean's uses various advertising media to drive customer traffic to the company's stores, website, and phone ordering system. L.L. Bean likely uses these media for all of following reasons except:

Spreading advertising costs across several different media.

Taza Chocolate uses three forms of distribution channels to sell its chocolate products. Which of the following is not one of these distribution channels?

Taza Chocolate sells directly to fair trade cacao bean brokers.

A sales force plays an important role in pushing a firm's B2B products.

True

Agencies factor in the recency of the ad exposure when examining subsequent purchase behavior.

True

Brand evangelists are the same as brand advocates.

True

Buying inertia is lower in a "high involvement purchase" than a "low involvement purchase."

True

In an arbitration type of negotiation between a supplier and a manufacturer, the negotiation involves the use of a third party to make a binding decision for the two.

True

In franchising, a franchisor retains some control without complete ownership or capital expenditure.

True

In the brand consideration phase of social marketing, search engine optimization is a primary goal of the marketer.

True

There are two phases to ad copy testing—overall concept testing and preliminary flow testing.

True

To capture moment-by-moment processing of a viewer, an advertiser uses dial procedures.

True

_____ is defined as the tradeoff (or relationship) of the quality of the purchase received, compared to the price paid and other costs incurred.

Value

Jordan's Furniture is very different from other furniture stores in that it provides customers with fun and exciting activities in a fun and exciting environment ¾ and customers really like this difference. This differentiating factor is a __________ component that contributes to the customers' __________.

Value-added supplemental satisfaction.

Jordan's Furniture is located in the Boston, Massachusetts area. Suppose that you live in another part of the country and have never heard of Jordan's Furniture, but when visiting a friend in the Boston area that friend insists on taking you to see Jordan's Furniture. You are perplexed as to why your friend wants to take you "sight-seeing" at a furniture store. After all, aren't all furniture stores the same? You end up being astounded at what your "sight-seeing" venture reveals; you change your viewpoint of furniture stores and wish that a Jordan's-like store would open where you live. From the marketing perspective of how consumers evaluate products, this scenario suggests that __________.

You trust your own experiences in forming expectations regarding what businesses offer.

Research shows that satisfied customers results in _______.

a better bottom line

Companies pulsing out reminder ads to reinforce its target customers' attitudes use a(n) ________ type of ad.

emotional appeal

In the context of the product life cycle, ads for a brand in the growth stage:

enhance the positivity of the target segment's attitudes.

Customer Insights, Inc. operates a facility that recruits 8 to 10 (your instructor will say the number is more like 4 - 6) consumers and screens them on criteria such as relevance to the target segment or usage in a product category. What type of research is Customer Insights, Inc. engaging in?

focus groups

L.L. Bean, the founder of the company that bears his name, left a company legacy that consists of three fundamental core values: test a product to make sure it delivers what is promised, advertise honestly, and keep customers satisfied at all costs. These three core values serve to guide the __________.

formulation of corporate goals, marketing goals, and advertising goals.

In a social network, two actors are said to be structurally equivalent if their:

links to others are the same.

A social ________ is defined as the set of actors and the relational ties that connect them.

network

In integrated marketing communications across media, ________ have the advantage of extreme timeliness.

newspaper

In a social network, a customer, a firm, and a brand are called ________.

nodes

In the context of gross rating points, frequency is defined as the:

number of times a marketer's target audience is exposed to an ad.

In an A⁄B split test, ________.

one group is exposed to one ad or a new product description

In the purchase phase, social media is used to increase the awareness of a product by:

optimizing the reach of an ad.

Consumers are said to pull goods through the channel, whereas trading partners ___________ the goods from the manufacturer on down the food chain.

push

In the context of gross rating points, ________ is defined as the percentage of target audience who has seen the marketer's ad at least once.

reach

If a manufacturer seeks a supplier's affiliation, the supplier is wielding a(n) ________ type of power.

referent

Pixar makes fun movies. What role does the movie theater play in the distribution channel?

retailer

Coupons are the best known form of ________.

sales promotion

In the context of media planning, a firm using ________ schedules advertises school supplies in the month of August.

seasonal

There are instances where customers' are affected by positive association with a celebrity, even if the celebrity knows little about the product being endorsed. This is known as the ________.

sleeper effect

In retailing, ________ carry depth but not breadth.

specialty stores

A movie theater flashes the word "Popcorn" on the screen before showing the movie. They are attempting with form of advertising?

subliminal

Movie theater owners flash ads at the start of a movie. These ads are an example of ________.

subliminal ads