Exam 2

_______________ are online marketplaces where buyers and sellers from around the world can exchange information, goods, services, ideas, and payments. a. Online auction sites b. B2B e-commerce sites c. Dealer websites d. Contracting sites e. B2C e-commerce sites

b. B2B e-commerce sites

Once a company makes a long-term commitment to a foreign market that has a promising political and economic environment, which of the following options then emerges as a possibility? a. Joint venture b. Direct ownership c. Exporting d. Limited exporting e. Licensing

b. Direct ownership

What is the main problem with using a market test as a forecasting tool? a. Inaccurate b. Expensive c. Difficult to interpret d. Overused e. Unacceptable to consumers

b. Expensive

Walmart is currently expanding its stores into Canada and Mexico. This expansion is being facilitated by the a. Latin American Free Trade Association. b. North American Free Trade Agreement. c. European Union. d. Pacific Rim Unification Act. e. International Retail Alliance Association.

b. North American Free Trade Agreement.

In shopping for a new laptop computer for her master's degree program, Joelle has narrowed the alternatives to four brands. She is considering Dell, Toshiba, Sony, and Hewlett-Packard. These four brands make up Jocelyn's a. external search. b. consideration set. c. framing set. d. inert set. e. awareness set.

b. consideration set.

When Hunter Ceiling Fans buys electrical wire for use in producing its ceiling fans, Hunter is part of what type of market for electrical wire? a. Wholesale b. Consumer c. Business d. Customer e. Resale

c. Business

Jordan and Cindy are searching for an apartment. They will most likely engage in which one of the following forms of decision making? a. Intensive response behavior b. Limited decision making c. Extended decision making d. Routinized response behavior e. Impulse buying

c. Extended decision making

In Singapore, the price of imported Scotch is $30 per glass as opposed to Scotch from Singapore, which is $3. Which of the following do you think accounts for the difference in price? a. Balance of trade b. Export tariff c. Import tariff d. Embargo e. Exchange contro

c. Import tariff

______ is(are) an essential consideration for business customers because it influences operating costs and costs of goods sold. a. Personal selling b. Product specifications c. Price d. Distribution e. Services

c. Price

Which of the following would be considered an institutional buyer? a. The Environmental Protection Agency b. Walmart c. The United Way d. City of Greenville e. Apple Inc.

c. The United Way

Which of the following agreements provides a forum for tariff negotiations, reducing trade restrictions, resolution of international trade problems, and ground rules for international trade? a. The Latin American Free Trade Agreement b. The North American Free Trade Agreement c. The World Trade Organization d. The European Union Free Trade Agreement e. The General Agreement on Tariffs and Trade

c. The World Trade Organization

Brad Glickman of WP International, a major marketer of word-processing software, calls the secretary of Raine Dorchette, director of purchasing for MMK, Inc. He sets up an appointment to discuss an upcoming purchase of software. The secretary plays the role of ____ in this purchase decision. a. decider b. buyer c. gatekeeper d. order giver e. buying center captain

c. gatekeeper

A business partnership between a domestic firm and a foreign firm is known as a. exporting. b. licensing. c. a multinational enterprise. d. a joint venture. e. an international partnership.

d. a joint venture.

Children often achieve ____ by observing parents and older siblings in purchase situations and then through their own purchase experiences. a. role identification b. personality c. social class d. consumer socialization e. attitude formation

d. consumer socialization

Evan has just been hired as a product manager for a major technology firm. Currently, he is making purchases for his new apartment and upcoming job. His purchase of _____ would most likely be done through extended decision making, while his purchase of ____ would be made through limited decision-making behavior. a. a new suit; a sofa b. coffee maker; flat screen TV c. a toaster; bed sheets d. flat screen TV; bath towels e. coffee maker; groceries

d. flat screen TV; bath towels

All of the following are marketer-dominated sources of information except a. salespeople. b. packaging. c. displays. d. friends. e. advertising.

d. friends.

Levi Strauss markets its denim jeans in many countries and develops its marketing strategy as if the world were a single market. This approach to selling a standardized product in all countries represents which type of international marketing? a. Limited exporting b. Accidental exporting c. Globalization of markets d. Licensing e. Exporting

Globalization

Dell Electronics is very interested in taking advantage of business opportunities in India but does not have access to India's market. Dell has the patent on a low-cost, quality computer system that could assist small businesses in India. Sony Computer, Dell's competitor, is experienced in India's small business market but does not have a computer comparable to Dell's. If Dell and Sony work together to utilize these strengths to seize this opportunity in India, what type of business structure would they likely use? a. Strategic alliance b. Licensing c. Exporting d. Direct ownership e. Trading company

a. Strategic alliance

Most markets for products are made up of individuals or groups with diverse needs for products and are called ____ markets. a. heterogeneous b. undifferentiated c. homogeneous d. concentrated e. differentiated

a. heterogeneous

During the evaluation of alternatives stage of the consumer buying decision process, framing most likely influences the decision process of ____ buyers. a. inexperienced b. wealthier c. veteran d. older e. younger

a. inexperienced

If China, in an attempt to bolster the sales of its own auto manufacturers, decided to limit the number of automobiles that could be brought in from other countries, China would be using a(n) a. quota. b. import tariff. c. exchange control. d. boycott. e. embargo

a. quota

Consumers tend to remember information inputs that support their feelings and beliefs and forget inputs that do not. This is known as selective a. retention. b. distortion. c. organization. d. information. e. exposure.

a. retention.

Samantha is going to the store to buy milk and cereal. She will most likely use ____ in her consumer decision-making process. a. routinized response behavior b. limited decision making c. perceptual scanning d. extended decision making e. evaluation of alternatives

a. routinized response behavior

The three major categories of influences on the consumer buying decision process are a. situational influences, social influences, and psychological influences. b. social influences, situational influences, and marketer-dominated influences. c. demographic influences, situational influences, and marketer-dominated influences. d. situational influences, demographic influences, and psychological influences. e. marketer-dominated influences, psychological influences, and person-specific influences.

a. situational influences, social influences, and psychological influences.

The ____ is the difference in value between a nation's exports and its imports. a. gross domestic product b. net trade value c. balance of trade d. export/import ratio e. balance of payments

c. balance of trade

Rolls-Royce targets a very exclusive high-income market. Toyota, on the other hand, targets economy markets (Yaris), the environmentally-conscious market (Prius), and the higher-income market (Lexus). Rolls-Royce has adopted a ___________ targeting strategy. Toyota has adopted a ______________ targeting strategy. a. differentiated; differentiated b. concentrated, undifferentiated c. concentrated; differentiated d. undifferentiated; differentiated e. undifferentiated; concentrated

c. concentrated; differentiated

The psychographic variable that includes numerous characteristics related to people's activities, interests, and opinion is a. social class. b. stage in family life cycle. c. lifestyle. d. personality. e. motive.

c. lifestyle.

A major determining factor in deciding which type of decision-making process should be used depends on the individual's intensity of interest in a product and the importance of the product for that person. This is known as an individual's a. motivational structure. b. evaluative criteria. c. routinized response behavior. d. level of involvement. e. cognitive dissonance.

d. level of involvement.

The buildup approach measure of sales potential a. does not use sales estimates. b. starts with broad estimates of general economic activity. c. starts with forecasts about demand for a specific product within a relatively small area. d. is seldom employed by industrial firms. e. ends with an estimate of a single firm's sales of a specific product

c. starts with forecasts about demand for a specific product within a relatively small area.

he purchase of products from a foreign source is called a. exporting. b. licensing. c. dumping. d. importing. e. venturing.

d. importing.

Jack spends most of his free time participating in extreme sports and traveling to exotic locations with a group of close friends who share his interests and opinions about most things. This is a description of Jack's a. personality. b. role. c. self-concept. d. lifestyle. e. attitudes.

d. lifestyle.

The unification of Europe through the European Union (EU) a. produced the largest single market in the world. b. means that members of the EU have become more heterogeneous in their needs and wants. c. required the countries to be segmented into many different markets. d. permits virtually free trade among the member nations of the EU. e. calls for greater customization of products and attention to regulations and restrictions of European countries.

d. permits virtually free trade among the member nations of the EU.

What is a primary difference between business and consumer buyers? a. Consumers primarily buy inexpensive items; businesses only buy expensive items. b. Repeat sales are more common with consumer buyers than business buyers. c. Consumer buyers require more product information than business buyers. d. Business purchases are made by one individual whereas families make consumer purchases together. e. Business buyers generally make larger orders than consumer buyers.

e. Business buyers generally make larger orders than consumer buyers.

The U.S. Army recruits soldiers based on the slogan, "Army Strong," implying that people can reach their full personal potential in the U.S. Army. This is an appeal to what need according to Maslow's hierarchy of needs? a. Physiological b. Social c. Esteem d. Safety e. Self-actualization

e. Self-actualization

Most European countries use a common currency, the a. yen. b. pound. c. lira. d. dollar. e. euro.

e. euro.

When a company has its sales forecasts prepared by management consultants, economists, or college professors, it is using a(n) a. random factor analysis. b. external judgment survey. c. market test. d. Delphi technique. e. expert forecasting survey.

e. expert forecasting survey.

Marketers use a variety of characteristics to segment markets they are interested in pursuing. When segmenting consumer markets, demographic variables are normally used. All of the following are demographic characteristics used by marketers to segment markets except a. family size. b. marital status. c. social class. d. age. e. hometown.

e. hometown.

Seo-yeon is beginning to wonder if she has made the right decision about purchasing a new HP laptop after she sees a friend with a new Dell. Seo-yeon's doubt whether she made the right decision occurs during the ___________ of the buying decision process. a. evaluation of alternatives phase b. information search phase c. cognitive dissonance phase d. purchase phase e. postpurchase evaluation phase

e. postpurchase evaluation phase

The United States Army purchases uniforms from a single supplier. For the last 25 years, the trousers purchased from this supplier have not changed and have been bought every six months, in seven different sizes. This example is called a a. straight rebuy. b. new-product purchase. c. standard order. d. repetitive purchase. e. modified rebuy.

a. straight rebuy.

Miss Moo produces a line of milk products that are lactose-free. The milk comes in pint, quart, and half-gallon cartons, as well as 18-ounce glass bottles. Miss Moo sells its pint cartons to school systems, its quart and half-gallon cartons to grocery stores, and its glass bottles to vending machine operators. Miss Moo appears to use a(n) _____ strategy in marketing its product to a target market that is likely to be _______. a. concentrated; heterogeneous b. differentiated; homogeneous c. undifferentiated; heterogeneous d. undifferentiated; homogeneous e. differentiated; heterogeneous

b. differentiated; homogeneous

General Electric calculates that the total number of light bulbs sold to consumers in the next year by all light bulb producers is 1 billion, given anticipated marketing efforts by the firms involved. This figure represents the industry's a. target growth rate. b. market potential. c. sales forecast. d. sales objective. e. sales potential

b. market potential.

The most significant factor influencing a buyer's level of involvement is a. cognitive dissonance. b. risk. c. price. d. social media. e. product attributes.

b. risk.

Which of the following is an example of a behavioristic segmentation variable? a. Family size b. Age c. Usage rate d. Climate e. Personality characteristics

c. Usage rate

Most business buying decisions are made by a. inventory control personnel. b. a team of purchasing agents. c. a firm's buying center. d. one person. e. the sales force.

c. a firm's buying center.

Firestone is a manufacturer and marketer of tires for new passenger cars. In recent years, the company's business has declined because of the overall decrease in consumer demand for new cars. In this case, the demand for Firestone's tire products is said to be ____ since it depends on the demand for new cars. a. fluctuating b. nonderived c. derived d. elastic e. inelastic

c. derived

TONI&GUY is a global hairdressing and education business headquartered in England. It has recently opened salons in Mongolia, adding to its numerous salons worldwide. TONI&GUY allows foreign businesspeople to use its name, logo, methods of operation, advertising, and products. In exchange, TONI&GUY receives a financial commitment and an agreement to conduct business in accordance with its standard of operations. TONI&GUY is engaging in a. wholesaling. b. direct investment. c. franchising. d. contract manufacturing. e. exporting

c. franchising.

An organization that decides to buy all of a certain part from the same company is using a. single-supplier purchasing. b. same vendor analysis. c. multiple sourcing. d. sole sourcing. e. straight rebuy.

d. sole sourcing.

Stanley works at a large electronics firm. He needs a new type of software and sends in a purchasing request. The request gets approved. Greg works as a purchasing agent and is in charge of selecting the suppliers and negotiating the terms of purchase. However, before he does so he consults with Marcus, an engineer who works in IT and is highly familiar with the latest software. In this case, Stanley is the ___________, Greg is the _______________, and Marcus is the _____________. a. influencer; buyer; user b. decider; influencer; gatekeeper c. decider; gatekeeper; influencer d. user; buyer; influencer e. user; decider; gatekeeper

d. user; buyer; influencer

Which of the following products is most likely to have its market segment based on age? a. Lipton Iced Tea b. Legos c. Bic pens d. Nike shoes e. Carpet

b. Legos

When products are introduced into one nation from another, acceptance is far more likely a. when retailers are given incentives to push the products. b. if prices are set very low. c. if packaging is adjusted to match local preferences. d. when bribes are paid to local officials to aid distribution. e. if there are similarities between the two cultures.

e. if there are similarities between the two cultures.