Entrepreneurship 1 Review 2

Which is the most effective mission statement? A 'We own the most well-known, popular amusement parks and resort hotels in the world.' B 'We create happiness by providing the finest entertainment for people of all ages, everywhere.' C 'We sell toys, clothing, jewelry, housewares, books, movies, and much, much more!' D 'We want to become a $100 billion corporation by the end of the twenty-first century.'

'We create happiness by providing the finest entertainment for people of all ages, everywhere.'

Which is often included in a situation analysis of a marketing plan? A A SWOT analysis chart B Performance standards for implementing the plan C A list of the proposed strategies and programs D A list of the marketing objectives for a company

A SWOT analysis chart

Which situation presents a business threat to a company? A A competitor obtains a bank loan for expansion. B A competitor recalls a defective product. C The government reduces interest rates. D Sale for a specific product increases.

A competitor obtains a bank loan for expansion.

Which should be included in the executive summary of a marketing plan? A A mission statement B A description of the target market(s) C The names and numbers of marketing team members D A SWOT analysis chart

A mission statement

Which item might be included in the appendix of a marketing plan? A A mission statement B A list of marketing objectives C A product photograph D A SWOT analysis chart

A product photograph

Which is an important advantage for the corporate form of business ownership? A Ease of making major policy changes B Relatively little government regulation C Ability to raise large amounts of capital D Ease of starting and dissolving

Ability to raise large amounts of capital

When Kate selects a name and obtains a web address for her new catering business, she needs to make sure that the name of the business has which characteristic? A Unique and available B Catchy and copyrighted C Specific and patented D Abstract and formal

Abstract and formal

When a business selects a target market, the most useful or desirable market segments to the business are those that are measurable and identified as which characteristic? A Accessible B Undifferentiated C Concentrated D Inflexible

Accessible

A marketing plan should outline the specific activities that the business will use to perform which action? A Evaluate its sales policies B Increase its buying power C Meet the needs of its employees D Achieve its marketing objectives

Achieve its marketing objectives

Marketing strategies are designed and implemented for the overall purpose of which action? A Changing the image of the business B Improving management techniques C Achieving planned goals D Increasing business profits immediately

Achieving planned goals

One way for a business to expand its product mix is by performing which action? A Monitoring the product life cycles B Acquiring another company C Increasing sales quotas D Analyzing product width decisions

Acquiring another company

When a business expands its product mix, its goal is to accomplish which goal? A Appeal to fewer market segments with fewer product options B Appeal to more market segments with a wider variety of options C Appeal to existing market segments with a wider variety of options D Appeal to select market segments using less promotion

Appeal to more market segments with a wider variety of options

When a business emphasizes the environmental friendliness of a product, it is positioning the product by focusing on which factor? A Price B Competition C Attributes D Reliability

Attributes

Which is a consideration in the place element of marketing? A Offering warranties or guarantees B Choosing distribution channels C Using sales promotion D Extending credit to customers

Choosing distribution channels

Which is an example of a company using brand extension? A Coca-Cola adding Caffeine-Free Diet Coke B Winn-Dixie installing an ATM machine in its stores C Tyson packaging smaller portions of chicken for the elderly D Kroger adding Blue Bell ice cream to its frozen foods section

Coca-Cola adding Caffeine-Free Diet Coke

Companies have been forced to pay more attention to the specific needs of consumers because of which factor? A Merchandising B Advertising C Automation D Competition

Competition

If the XOB Company wants to emphasize the advantages of its product in comparison to similar products in the marketplace, it should position its product in relation to which factors? A Competitors B Consumers C Markets D Applications

Competitors

Sandy opened a small business that carries a very wide variety of products of varying qualities at many different prices. Sandy is losing customers who are disappointed with the selection, quality, and quantity of items. What is lacking in Sandy's product mix? A Consistency B Breadth C Depth D Width

Consistency

When a business emphasizes the degree of excellence for a product, it is positioning the product by which factors? A Competition B Consumers C Markets D Applications

Consumers

An effective mission statement should effectively reflect which component of the business? A Touch points B Specific goals C Ethics policies D Core values

Core values

Which form of business ownership can raise money easily? A Partnership B Corporation C Sole proprietorship D Limited partnership

Corporation

One of the purposes of conducting a market analysis is to develop which component? A Operating budget B Distribution plan C Customer profile D Management team

Customer profile

The plan to increase production by 10% over a two-year period is an example of which management activity? A Developing objectives B Assigning job tasks C Controlling expenses D Directing employees

Developing objectives

Which is a characteristic of a pure services? A Uses plain, inexpensive packaging B Most often uses product bundling strategies C Does not include a tangible product D Does not include product guarantees

Does not include a tangible product

Which is a major advantage of a sole proprietorship? A Availability of capital B Ease of start-up C Probability of success D Sharing of decision making

Ease of start-up

A business identifies a market that shares common characteristics on the basis of where people live and work. This is an example of market identification by which segmentation? A Demographic B Geographic C Ethnicity D Values

Geographic

What is a potential threat a manager might identify in a SWOT analysis? A Growing government regulation B Economy rebounding C Weak market image D Cost advantages

Growing government regulation

Before producing and selling a product, which action should marketers do first? A Set up a promotional plan B Select a channel of distribution C Identify the market for the product D Determine the price of the product

Identify the market for the product

Which type of laws protects the inventions or written works of a business from the unauthorized use by others? A Income tax B Intellectual property C Consumer protection D Product liability

Intellectual property

Businesses that segment the market based on psychographics are grouping people according to which attribute? A Education B Lifestyles C Marital status D Occupation

Lifestyles

To appeal to a target market with slightly different needs, a business added a group of related items to its product mix. What is this group of items? A Service expansion B Product replacement C Line extension D Product enhancement

Line extension

Product or service management is a marketing function that involves obtaining, developing, maintaining, and improving a product or service mix in response to which possibility? A Government oversight B Competitors only C Market opportunities D CEO wishes

Market opportunities

When a business conducts a customer analysis and identifies territories, determines the possible buyers in the territories, and estimates the purchases of buyers, it is evaluating which factor? A Psychographics of a segment B Market potential of an area C Potential media exposure D Market share of competitors

Market potential of an area

Proctor and Gamble's decision to offer different types of soaps in a wide range of prices is an example of which strategy? A Direct marketing B Market segmentation C Geographic segmentation D Industrial marketing

Market segmentation

Identifying market segments helps a business to develop which factors appropriately? A Marketing strategies B Economic forecasts C Organizational records D Leadership styles

Marketing strategies

Where in a marketing plan would a business owner place the plans to communicate with its customers? A Marketing objectives B Marketing strategies and programs C Situation analysis D Executive summary

Marketing strategies and programs

When the Green Company selected its target market, it decided to ignore the segment differences and generate appeal with one offer. The company is using which marketing strategy? A Isolated B Niche C Individual D Mass

Mass

When sellers offer one-size-fits-all products that will appeal to most buyers, they are using which strategy? A Market segmentation B Mass marketing C Mass production D Demographic segmentation

Mass marketing

Which characteristic is descriptive of a meaningful company objective? A Measurable B Vague C General D Unlimited

Measurable

Which is an activity that a business performs when conducting a competitive analysis? A Sets productivity goals B Monitors marketing strategies of a rivalry C Calculates income data D Develops selling procedures

Monitors marketing strategies of a rivalry

A business that fails to protect its employees from unnecessary risk or health hazards on the job may be sued for which situation? A Incompetence B Misrepresentation C Libel D Negligence

Negligence

Selecting a target market based on very specific criteria that limit the audience to a well-defined segment is an example of which strategy? A Target auditing B Market planning C Income segmenting D Niche marketing

Niche marketing

Can any brand name be selected and used by a business? A No, the name must be legally available for use. B Yes, brand names cannot be owned by a business. C Yes, a business can use any name it wants to use. D No, the name must be registered before it can be used.

No, the name must be legally available for use.

One way a national business chain can make sure that customers will remember its name is to develop what kind of brand name? A One that is long and complicated. B One that is easy to read and pronounce. C One that is similar to those used by competitors. D One that is associated with a specific period of time.

One that is easy to read and pronounce.

What section of the marketing plan includes information about expected results? A Appendix B Performance and Implementation C Situation analysis D Desired target market

Performance and Implementation

Managers use broad objectives that they develop for a business as the basis for setting which measurements? A Benefit levels B Performance targets C Salary ranges D Recruitment quotas

Performance targets

When a business presents a service to the marketplace by emphasizing its economic value, the business is positioning the product on the basis of which factors? A Benefits B Price C Features D Competitors

Price

Which is an external threat that a company might identify while conducting a situation analysis? A Declining unemployment B Failing interest rates C Increasing GDP D Raising inflation rates

Raising inflation rates

One way that a business can learn about the activities of competitors is to perform which action? A Develop product specifications B Evaluate intranet efficiencies C Review secondary data D Identify communication barriers

Review secondary data

Which factor helps a business to determine its product mix? A Merchandise breadth and depth B Size and target market C Staple goods and regular goods D Seasonal goods and convenience goods

Size and target market

Which is a factor that businesses often consider when conducting a market analysis? A Location of test market B Size of the market next year C Safety of the research process D Design of the questionnaire

Size of the market next year

When considering a new product for a company, Tom decided to introduce a product in only three states for a six-month period. Which action did he perform? A Product development B Feasibility analysis C Commercialization D Test marketing

Test marketing

Which is a disadvantage for each partner of a general partnership? A The liability for the losses of the business B The investment of the same amount of capital C The performance limited management duties D The responsibility for preparing the annual report

The liability for the losses of the business

Which is an important benefit of a marketing plan? A They ensure a yearly profit. B They develop exciting products. C They help recruit quality employees. D They can help obtain funding.

They can help obtain funding.

Effective product or service management help businesses to perform which action? A To barter B To prospect C To compete D To recruit

To compete

Which is a reason why managers develop company objectives? A To identify business purposes B To forecast sales potential C To solve operating problems D To communicate with employees

To identify business purposes

Why do businesses with excessive debts often file Chapter 7 bankruptcy? A To liquidate B To consolidate C To refinance D To reorganize

To liquidate

Which is the primary reason for governments to regulate business activities? A To encourage businesses to expand their operations B To limit the level of competition in the marketplace C To protect the well-being of individuals and businesses D To change international trade initiatives

To protect the well-being of individuals and businesses

The product mix that a business decides to offer customers help to project which factor about the business? A Display themes B Sales goals C Service style D Unique image

Unique image

Which is a question that a business owner should answer about its target market while conducting a situational analysis? A How are our financing methods affecting the growth the company? B What are our customers buying? C Are we operating at peak efficiency? D Which shipping companies are we using?

What are our customers buying?

Which is a question that a business might ask when it wants to evaluate its weaknesses? A What resources do we lack? B What is our competition doing? C What markets have our competitors missed? D What obstacles do we face?

What resources do we lack?

Which question is it important to ask to determine the strengths of a business when conducting a SWOT analysis? A What economic trends are beneficial to us? B What are our competitors doing? C Where are we making money? D What obstacles do we face?

Where are we making money?

Due to lackluster sales, the Elba Corporation has decided to eliminate several of its product lines. Elba's executives hope that by focusing on fewer product lines, they will see more profit. The Elba Corporation should plan to adjust which aspect of its product mix? A Depth B Length C Width D Height

Width

One reason why it is often important for businesses to conduct a competitive analysis is to identify factors? A external threats B potential vendors C economic conditions D future employees

external threats