final exam

Which of the following generational groups account for a third of the US population but half of all consumer spending? a. millennial b. generation X c. baby boomers d. generation Z e. lost generation

Baby boomers

Establishing prices for razor blades that must be used with a razor blade system is known as_____ pricing. a. market penetration b. captive-product c. by-product d. product bundle e. product line

Captive-product

______ advertising would most likely result in attack ads between competitors. a. informative b. classified c. reminder d. comparative e. personal

Comparative

_______ refers to the reducing the business portfolio by abandoning products that no longer fit the company's overall strategy. a. product line extension b. market segmentation c. downsizing d. diversification e. vertical integration

Downsizing

Which of the following is an economic factors that affects the pricing decisions of a company? A: interest rates B: promotional activities C: reseller policies D: market penetration practices E: pop management decisions

Interest rates

Technology is a way of life for ________, the largest generational group. a. baby boomers b. the lost generation c. generation X d. Millennials e. generation Z

Millennials

________ involves a review of the sales, costs, and profit projections for a new product to determine whether they satisfy a company's objectives. a. business analysis b. portfolio analysis c. concept analysis d. vendor analysis e. SWOT analysis

business analysis

______ is a method of going global in which a company makes agreements with producers in the foreign market to produce its product to provide its service. a. contract manufacturing b. exporting c. direct investment d. acquisition e. management contracting

contract manufacturing

A product lifecycle has five distinct stages: product development, introduction, growth, maturity, and ______. a. stablization b. progression c. rebranding d. segmentation e. decline

decline

Abel now has the buying power to purchase the computer that he wanted to buy six months ago. Abel's want has most likely become a(n) ________. a. need b. value c. desire d. demand e. marketing offering

demand

Mary Kay Cosmetics and Amway sell their products through home and office sales parties, online Web sites, and social media. Both companies use a(n) _______ channel to distribute their offerings. a. functional b. direct c. behavioral d. indirect e. layered

direct

______ is the act of obtaining a desired object from someone by offering something in return. a. segmentation b. positioning c. targeting d. exchange e. differentiation

exchange

High-end luxury brands like Bentley for cars, Louis Vuitton for handbags, and Rolex for watches use ________ distribution, giving a limited number of dealers the sole right to sell products in a specified geographic territory. a. inclusive b. vertical c. intensive d. horizontal e. exclusive

exclusive

The simplest way to enter a foreign market is through ______. a. joint ownership b. contact manufacturing c. direct investment d. exporting e. licensing

exporting

T/F The amount of test marketing needed is the same for each new product.

false

In which of the following steps of the selling process does a salesperson seek out, clarify, and overcome any customer disapproval to buying? a. Handling objections b. preapproach c. prospecting and qualifying d. follow-up e. closing

handling objections

A channel arrangement in which two or more companies at one level join together to follow a new marketing opportunity is referred to as a(n) ________. a. corporate vertical marketing system b. direct marketing system c. contractual vertical marketing system d. horizontal marketing system e. administered vertical marketing system

horizontal marketing system

the new product development process usually starts with _______. a. concept development b. concept testing c. idea screening d. idea generation e. market strategy development

idea generation

Which type of market segmentation is generally used by marketers who sell luxury products targeted to the affluent segments of the population? a. occasion b. usage rate c. benefits sought d. gender e. income

income

a product line is most likely too short if managers can _______. a. increase profits by dropping items b. decrease costs by adding items c. decrease costs by dropping items d. increase profits by adding items e. increase market share by dropping items

increase profits by adding items

The objective of _____ advertising is to build primary demand. a. informative b. persuasive c. reminder d. personal e. comparative

informative

Orienting and motivating customer-contact employees and supporting service people to work as a team to provide customer satisfaction is known as ________ marketing. a. internal b. interactive c. organizational d. differentiated e. social

internal

_______ is the final step in the marketing research process a. engaging in secondary research b. collecting and analyzing data c. determining a research approach d. interpreting and reporting the findings e. developing the research plan

interpreting and reporting the findings

Companies like 3M, Google, and Sony have ______ that encourage employees to develop new ideas. a. trade magazines b. competitor's ads c. marketing research firms d. intrapreneurial programs e. government agencies

intrapreneurial programs

In which stage of a product's life cycle will promotional expenditures be significantly high in an attempt to create consumer awareness of a product and its features? a. introduction b. product development c. growth d. adoption e. maturity

introduction

which of the following is a characteristic of an inside sales force? a. it travels to make sales calls on customers in the field b. it cannot sell or service accounts directly c. it eliminates the need to have an outside sales force d. it receives administrative backup from outside sales force e. it conducts business from an office via telephone

it conducts business from an office via telephone

______ is a method of entering a foreign market by associating with foreign companies to produce or market products or services. a. joint venturing b. importing c. indirect exporting d. direct exporting e. direct investment

joint venturing

Consumers' needs and wants are fulfilled through ________. a. market offerings b. ideas c. desire d. demand e. value

market offerings

Under Armor increasing its advertising spending and offering an ever-increasing range of styles and colors in its original apparel line is an example of a _______ strategy. a. market development b. market penetration c. business harvesting d. product development e. product diversification

market penetration

Dividing a market into several sections of customers is known as ____. a. marketing positioning b. market segmentation c. value engineering d. mass customization e. undifferentiated marketing

market segmentation

_______ is the process of dividing a market into distinct groups of buyers who have different needs, characteristics, or behavior. a. market segmentation b. positioning c. mass marketing d. differentiation e. market targeting

market segmentation

The first generation Apple iPod was introduced in 2001 and sold for $500. The following year a mini version was introduced for $250. Apple initially used a ____ strategy to price their digital music innovation. a. market skimming b. market penetration c. target costing d. predatory e. deceptive

market skimming

_______ refers to the process of evaluating each market segment's attractiveness and selecting one or more segments to enter. a. market diversification b. market targeting c. market positioning d. market mixing e. market divesting

market targeting

The ____ concept holds that achieving organizational goals depends on knowing the needs and wants of target markets and delivering the desired satisfactions better than competitors do. a. production b. marketing c. product d. societal marketing e. selling

marketing

_____ are sets of interdependent organizations that help make the product or service of a company available for use by consumers or business users. a. research and development channels b. raw materials suppliers c. marketing channels d. upstream channels e. backward integration chains

marketing channels

Marketing the same product to a huge customer base without any customization is referred to as ________. a. niche marketing b. mass marketing c. individual marketing d. local marketing e. differentiated marketing

mass marketing

A ________ is purposeful, specifically what an organization wants to accomplish in the larger environment. a. marketing objective b. strategic plan c. marketing strategy d. market portfolio e. mission statement

mission statement

Clorox sells five major product lines including cleaning, household, lifestyle, professional, and international. Together the product lines make up Clorox's ________. a. product depth b. product assemblage c. product mix d. product consistency e. product length

product mix

In a promotion mix, _____ performs the functions of building a good rapport with entities outside the company, building up a good corporate image, and handling unfavorable rumors and events. a. personal selling b. advertising c. sales promotion d. public relations e. direct marketing

public relations

Salespeople need to know how to _____ leads, that is identifying good leads and screening out poor ones, at the beginning of the selling process. a. approach b. manage c. generate d. consolidate e. qualify

qualify

A country may place a limit on the volume of imported citrus fruit that is allowed. This is an example of a(n) _______. a. fine b. customs duty c. excise duty d. tariff e. quota

quota

In a marketing communication mix, ______ refers to any short-term incentive that encourages the purchase or sale of a product or service. a. public relations b. advertising c. personal selling d. crowdsourcing e. sales promotion

sales promotion

_______ are offers of a trial amount of a product. a. rebates b. samples c. coupons d. price packs e. cash refunds

samples

the national tree company offers resellers half-price reductions on artificial Christmas trees if they purchase them in july. this is an example of a ___ a. trade-in allowance b. seasonal discount c. promotional allowance d. functional discount e. quantity discount

seasonal discount

________ refer to a form of product that consists of activities, benefits, or satisfactions offered for sale that are essentially intangible. a. Line extensions b. co-brands c. pure products d. horizontal extensions e. services

services

major appliances, furniture, and clothing are typical examples of _______ products. a. unsought b. convenience c. capital d. shopping e. specialty

shopping

The presentation stage of the selling process most likely involves ______. a. cold calling in the absence of potential leads b. requesting an order from the customer after handling any minor objections c. showing how a company's products can solve a customer's problems d. gathering information about an organization and its buyers e. fixing the final meeting with a customer to close a deal

showing how a company's products can solve a customer's problems

the use of traditional business marketing concepts and tools to create behaviors that will benefit individual and societal well-being is called ____ marketing. a. social b. green c. non-profit d. person e. traditional

social

The fastest-growing sales trend is ______ that involves the use of online, mobile, and social media to engage customers, build stronger customer relationships, and augment sales performance. a. teleselling b. online selling c. social selling d. personal selling e. videoconferencing

social selling

In a SWOT analysis, _______ refer to unfavorable external factors or trends that may present challenges to performance. a. threats b. strengths c. weakness d. strategies e. opportunities

threats

T/F: Commissions and Bonuses are variable amounts of compensation.

true

T/F: Salespeople represent customers to a company and represent a company to customers.

true

T/F: Tariffs and duties are often used to force favorable trade behaviors from other nations.

true

T/F: a product is defined as anything that can be offered to a market for attention, acquisition, use, or consumption that might satisfy a want or need.

true

T/F: barter involves the direct exchange of goods and services.

true

True or False: product, price, place and promotion make up the elements of a firm's marketing mix

true

A(n)____ is considered a marketing intermediary. a. manufacturer b. producer c. advertiser d. wholesaler e. customer

wholesaler

T/F: Product/market expansion grid, like the BCG matrix, is used to identify growth opportunities.

True

T/F: Some marketers now rely almost entirely on digital and social media.

True

T/F: The rapid increase in the number of people who telecommute has created a booming small office/home office market in the United States.

True

T/F: in the new product development process, the purpose of idea generation is to create a large number of ideas and the purpose of the next set of stages in the process is to reduce that number.

True

T/F: marketers must be careful to guard against stereotypes when using age and life-cycle segmentation.

True

T/F: marketing researchers can conduct their own searches of secondary data sources but using commercial online databases.

True

T/F: under oligopolistic competition, the market consists of only a few large sellers.

True

A _____ is made up of a company, its suppliers, distributors, and ultimately, customers who "partner" with each other to improve the performance of the entire system. a. marketing intermediary b. distribution center c. disintermediation system d. manufacturing chain e. value delivery network

Value delivery network

______ is any paid form of non-personal presentation and promotion of ideas, goods, or services by an identified sponsor. a. advertising b. personal selling c. direct marketing d. sales promotion e. public relations

advertising

According to the text, _____ are the most important actors in a company's microenvironment a. stockholders b. resellers c. suppliers d. employees e. customers

Customers

_______ is the study of human population in terms of size, density, location, age, gender, race, occupation, and others statistics. a. environmental studies b. demography c. behavioral ecology d. sociology e. political science

Demography

T/F: Most producers sell their goods directly to final users.

False

T/F: The new marketing communications model consists of promotional mixes that are designed to make traditional mass-media obsolete.

False

T/F: demographic variables are generally more difficult to measure the most other types of variables.

False

T/F: pricing strategies usually remain the same as a product passes through its life cycle.

False

Golf coast, A wholesale shrimp distributor, groups its customers by regions in the United States, such as midwest, northeast, and Southwest. For each region, Gulf Coast tailors a different set of advertisements and promotion. The supplier is segmenting it's market according to _____. a. behavioral factors b. demographics c. benefits sought d. geographic location e.personality characteristics

Geographic location

Outbound logistics refers to moving _____. a. raw materials from suppliers to the factory b. products from the factory to resellers and ultimately to customers c. broken, damaged products from the customers to producers d. excess materials from the factory to suppliers e. unwanted, excess products from resellers to producers

Products from the factory to resellers and ultimately to customers

T/F: A firm's marketing department must partner with other company departments to produce superior value for customers.

True

T/F: A vertical marketing system consists of producers, wholesalers, and retailers acting as a unified system.

True

Movie theater charge matinee pricing during the daytime, and resorts give weekend and seasonal discounts. This is illustrative of ____ pricing strategy. a. product form b. value-added c. market skimming d. time-based e. market penetration

Time-based

The responsibility for setting a company's mission, objectives, rod strategies, and primarily lies with its ______. a. research department b. finance department c. top management d. marketing managers e. human resource managers

Top management

Which of the following promotion mix approaches involves a producer promoting a product to different channel members who in turn promote the product to customers? A. direct marketing B. vertical integration C. a push strategy D. a pull strategy E. the publish- subscribed method

a push strategy

Which of the following best describes product positioning? A. evaluating each markets segments attractiveness and selecting one or more segments to enter B. dividing a market into distinct groups of buyers who have different needs, characteristics, or behaviors C. arranging for a product to occupy a clear, distinctive and desirable place relative to competing products in the minds of target consumers. D. differentiating a market offering to create superior customer value E. Identifying consumer needs and creating a product to meet those needs

arranging for a product to occupy a clear, distinctive and desirable place relative to competing products in the minds of target consumers

Dividing buyers into groups based on their knowledge, attitudes, uses, or responses to a product is called ________ segmentation. a. age and life-cycle b. behavioral c. geographic d. psychographic e. user status

behavioral

A ______ is defined as a name, term, sign, symbol, or design, or a combination of these, that identifies the maker or seller of a product or service. a. brand b. prototype c. paradigm d. patent e. framework

brand

The stage in which product ideas are presented to groups of target consumers physically or symbolically is referred to as ________. a. marketing strategy development b. concept development c. crowdsourcing d.concept testing e. test marketing

concept testing

________ markets consist of individuals and households that buy goods and services for personal use. a. business b. consumer c. wholesaler d. retailer e. government

consumer

in terms of packaging functions, Tiffany & co.'s robin egg blue boxes _______. a. are primarily used to hold and protect products b. have created confusion in the marketplace c. deemphasize the importance of labels d. stifle brand awareness and recognition e. create immediate consumer recognition

create immediate consumer recognition

The team-based new product development approach saves time and increases effectiveness because departments work closely together in_____. a. self-managed groups b. independent groups c. cross-functional teams d. divisional teams e. problem-solving teams

cross-functional teams

Appliances Galore is continually updating its line of refrigerators to reflect market trends and customer needs. Although the product class is in the maturity stage of the product life cycle, they maintain healthy sales of their line of refrigerators by continually ________. a. rebranding b. modifying the product c. modifying the market d. concept testing e. modifying the market mix

modifying the product

Using a(n) ________ positioning strategy, companies can attack the more-for-more strategy of another firm by offering a brand of comparable quality at a lower price. A) more-for-the-same B) more-for-less C) the-same-for-less D) less-for-much-less E) less-for-more

more-for-the-same

The _____ established a free trade zone among the United States, Mexico, and Canada. a. central American free trade agreement b. north free trade agreement c. union of south American nations d. latin American free trade association e. European union

north American free trade agreement

which of the following terms best describes the process of designing and producing a container or wrapper for a product? a. licensing b. labeling c. packaging d. branding e. positioning

packaging

In a promotion mix, _____ occurs when a firm's sale force makes individual presentations to consumers for the purpose of promoting sales and building customer relationships. a. merchandising b. public relations c. crowdsourcing d. advertising e. personal selling

personal selling

Which of the following types of promotion tools requires a considerable degree of personal interaction with a customer? A. Personal Selling B. Television advertising C. public relations D. Digital Advertising E. sales promotion

personal selling

________ consists of arranging for a market offering to occupy a clear, distinctive, and desirable place relative to competing products in the minds of target consumers. a. market targeting b. market segmentation c. differentiation d. mass marketing e. positioning

positioning

In which step of the selling process does a salesperson learn as much as possible about a prospective customer before making a sales call? a. approach b. handling objections c. preapproach d. demonstration e. follow-up

preapproach

________ is the only element in the marketing mix that produces revenue. a. place b. price c. profit d. product e. promotion

price

_______ Data consists of information collected for the specific purpose at hand. a. historical b. derived c. archival d. primary e. secondary

primary

which component of the marketing mix refers to the goods-and-services combination a company offers to its target market? a. place b. promotion c. position d. product e. price

product

_____ consists of creating something new to meet the needs of consumers in a given country. a. product invention b. standardized manufacturing c. product adaption d. undifferentiated marketing e. straight product extension

product invention

Managing upstream and downstream value-added flows of materials, final goods, and related information among suppliers, the company, resellers, and final consumers is known as ________. a. full-line forcing b. physical distribution c. marketing logistics d. distribution system management e. supply chain management

supply chain management

Dollar General profitably appeals to families with more modest means. The retailer's approach is most likely referred to as ________. a. mass distribution b. undifferentiated marketing c. consumer-generated marketing d. target marketing e. cost leadership

target marketing

A tax on an imported product designed to raise revenue or protect domestic firms is referred to as a(n) ______. a. fine b. tariff c. excise d. quota e. exchange

tariff

a company that sells only one product line to one industry with customers in many locations would typically use a ______. a. product sales-force structure b. customer sales-force structure c. market sales-force structure d. complex sales-force structure e. territorial sales-force structure

territorial sales-force structure

According to the five-step model of the marketing process, the first step in marketing is _____. a. constructing an integrated marketing program that delivers superior value b. understanding the marketplace and customer need and wants. c. engaging customers, building profitable relationships and creating customer delight. d. designing a customer-driven marketing strategy e. capturing value from customers to create profits and customer equity.

understanding the marketplace and customer need and wants.

Shampoo marketers segment buyers as light, medium, or heavy product users. This is an example of ________ segmentation. a. occasion b. benefits sought c. psychographic d. usage rate e. user status

usage rate

Compared to adapted global marketing, standardized global marketing ________. a. adjusts promotional efforts to address cultural differences in target markets b. uses the same marketing mix worldwide c. results in additional marketing and manufacturing costs d. usually results in diluted brand power over time e. relies on social media to develop customer relationships

uses the same marketing mix worldwide

Providing extra amenities to differentiate and support high-priced products is referred to as ________ pricing. a. value-added b. everyday low c. high-low d. target return e. cost-plus

value added

A_______ is made up of a company, its suppliers, its distributors, and its customers who partner with each other to improve the performance of the entire system. a. growth-share matrix b. value delivery network c. business portfolio d. value chain e. shareholder network

value delivery network

JetBlue's promise to put "You Above All" by "bringing humanity back to travel" is their ________. a. segmentation strategy b. value proposition c. market offering d. production concept e. selling concept

value proposition

Costs that change directly with the level of production are referred to as _____ costs. a. capital b. payroll c. target d. variable e. fixed

variable

_____ are the form human needs take as they are shaped by culture and individual personality. a. necessities b. benefits c. wants d. services e. risks

wants