Marketing 3301 Test 1

33. _______ refers to the means by which organizations communicate with present and prospective customers about the merits and characteristics of their organization and products. a. Pricing b. Promotion c. Big Data d. Customer relations management

b. Promotion

39. Sarah sends and receives goods to and from other nations. She works with clients and takes care of preparing necessary documents for importing or exporting products such as soybeans or wood. She does not assume any risk. Sarah is a(n) _______. a. wholesaler b. export broker c. buyer for export d. franchisee

b. export broker

26. When entering a foreign market, the least risky strategy is: a. franchising b. exporting c. joint venture d. direct investment e. strategic alliance

b. exporting

5. Tony saw a television advertisement for Yamaha Star Venture, a sports touring motorcycle, and wanted to drive one. The advertisement is an example of a(n) _______ stimuli. a. direct b. external c. internal d. indirect

b. external

29. Marketing can occur even if an exchange does not occur. When Sally Rodriguez sold her car, she put an ad in the local newspaper and allowed potential customers to test drive the vehicle. Sally engaged in marketing by _______, even if no one bought her used automobile. a. advertising b. hiring a used car dealer c. preparing the car for sale d. considering a replacement vehicle

a. advertising

8. The discovery, interpretation, and communication of meaningful patterns in data is referred to as _______. a. Big Data b. information technology c. marketing research d. data analysis

a. Big Data

44. Family Farms Inc., a company which deals in dairy products, adheres to a standard of behavior for its employees, and it follows certain practices that reflect the moral principles and values held by the company and that guide the conduct of the individuals in the company. Which practice is described in this scenario? a. Business ethics b. Corporate governance c. Principles of management d. Rules and regulations

a. Business ethics

16. Which of the following actions is primarily associated with a niche strategy? a. Choosing a target market that is not being served by major competitors b. Manufacturing products in bulk and targeting average customers c. Selling products without extra frills or options d. Lowering labor costs

a. Choosing a target market that is not being served by major competitors

7. Muneko is looking to purchase a good phone. After evaluating her options, she has decided to buy the newest iPhone model, though other brands that have all her required features are offering good value for less money. Prior to buying the iPhone, Muneko may experience some conflict because she is worried that the phone's top-of-the-line technology, which costs much more than its competitors, will be obsolete in a couple of months. What is the marketing term used to describe this feeling? a. Cognitive dissonance b. Psychological ownership c. Routine response d. Perceived risk of negative consequences

a. Cognitive dissonance

45. Kayla owns an apparel shop located in a mall in Nebraska. There are eight other clothing shops in the mall plus a Macy's department store. Which is an important basis for Kayla for establishing a competitive advantage and differentiating her dress shop from competitors? a. Delivering consistent, high-quality customer service b. Providing a high-quality product advertised by word of mouth c. Using an automated survey to determine the post-sale satisfaction of customers d. Giving importance only to high-end customers

a. Delivering consistent, high-quality customer service

42. Which of the following scenarios illustrates the use of processed materials in manufacturing? a. GlutFree Inc. uses rice flour to manufacture its gluten-free products. b. Zee Hardware Inc. uses nails to hold its ladders together. c. P&L Corp., an automobile company, uses magnesium alloy wheels for its high-end cars. d. Ryder Steel Corp. uses blast furnaces in its manufacturing process.

a. GlutFree Inc. uses rice flour to manufacture its gluten-free products.

37. Hector has a business that manufactures farm machinery. He would like to do business with the government, but he doesn't know if the government is buying farm machinery at this time. What should Hector do to get the right information? a. Hector should consult FedBizOpps to learn about government procurement. b. Hector should read the print version of the Commerce Business Daily. c. Hector will not find leads in online sources using a key word search. d. Hector should contact the single buying agency that procures all goods for the government.

a. Hector should consult FedBizOpps to learn about government procurement.

39. Wonder Coffee is a chain of coffee serving outlets and specializes in selling different flavors of coffee. The increase in the price of sugar does not affect Wonder Coffee's coffee prices very much and sales continue at their usual level. Identify the type of demand in this scenario. a. Inelastic demand b. Fluctuating demand c. Joint demand d. Elastic demand

a. Inelastic demand

44. The owners of Vogue, an apparel store based in California, want to expand the store's business all over the world. In this case, which of the following strategies can help the owners of Vogue achieve their objectives? a. Opening an e-commerce site b. Standardizing the size of apparel c. Acting as an export broker d. Vending in physical stores

a. Opening an e-commerce site

21. Flora and her sister Clementine saw an ice-cream vendor and decided to buy some ice cream. Flora bought herself her favorite chocolate ice cream, and Clementine wanted to try a new flavor that the ice-cream vendor told her about. Flora liked her ice cream, but Clementine did not like the new flavor. Which attributes of reinforcement do you observe in this scenario? a. Positive and negative reinforcements b. Only positive reinforcements c. Only negative reinforcements d. Stimulus generalization

a. Positive and negative reinforcements

11. Which term refers to a comparison of income versus the relative cost of a standard set of goods and services in different geographic areas? a. Purchasing power b. Inflation c. Recession d. Personal income

a. Purchasing power

22. Shawna and her friend Elizabeth, who support two different political parties, only quote statistics that support their favorite political party's strengths, but each girl overlooks her party's weaknesses. Which type of perception do Shawna and Elizabeth demonstrate? a. Selective retention b. Selective exposure c. Selective distortion d. Selective perception

a. Selective retention

31. Which of the following companies is in the first stage of developing a global business? a. The Footwear Corp., which manufactures shoes and boots in a small town in Lucitona, sells its products to several countries around the world. b. Laelle Inc. is based in Euphonia and has set up several subsidiaries to manage its business in another country. c. Fournotts Bros., which is based in Datford, is opening a new line of business in a neighboring country. d. Rues and West Inc., operated in Yucatan, is operating an entire line of business in another country.

a. The Footwear Corp., which manufactures shoes and boots in a small town in Lucitona, sells its products to several countries around the world.

14. Isabel is a researcher at the University of Texas. Her main motivation is to expand her knowledge, not to create or invent something. She is leading a research study that is looking at how caffeine consumption impacts the brain. Isabel's form of research that aims to learn more about a phenomenon is called _______. a. basic research b. applied research c. innovative research d. the scientific method

a. basic research

24. L&T, an international manufacturer of electrical and electronic products and systems, also manufactures custom-engineered switchboards for industrial sectors such as power, refineries, petrochemicals, and cement. In the electronic segment, L&T offers a range of meters and provides control and automation systems for industries. The company manufactures __________ and markets exclusively to _________. a. business products; business customers b. industrial products; final consumers c. consumer products; businesses d. consumer products; business customers

a. business products; business customers

29. Alan makes hand-tooled leather items such as purses, luggage tags, and coasters for sale. Alan buys his leather from Sherman Oak, a company that deals in bulk leather, dyes, finishes, edge coats, clear coats, and cement. This is an example of _______. a. business to business (B-to-B) marketing b. consumer marketing c. social marketing d. internet marketing

a. business to business (B-to-B) marketing

8. The Freedom Company sells building supplies and wants its customers to be satisfied. By sending postpurchase letters and giving guarantees on products and services to consumers, marketing managers at Freedom Company can help reduce the consumers' _______. a. cognitive dissonance b. internal stimuli c. selective exposure involvement d. want-got gap

a. cognitive dissonance

11. Ah Ling buys a new pair of shoes from ShoeFactory, an online store. She logs in to ShoeFactory's website and finds that her homepage has been customized to display the status of her la purchase. In this scenario, ShoeFactory is using _______ to exert influence over the decision-making journey. a. contextual interaction b. proactive personalization c. journey innovation d. automation

a. contextual interaction

30. Apple sells its iPhones all over the world without any modifications in the design. The iPhone purchased in New York is the same as the iPhone purchased in Shanghai. This is an example of _______. a. global marketing standardization b. inshoring c. product adaptation d. global marketing differentiation

a. global marketing standardization

45. Global Express Guaranteed® (GXG) is the fastest international shipping option from the U.S. Postal Service® with international transportation and delivery by FedEx Express. GXG offers date-certain delivery in one to three business days to more than 190 countries with a money-back guarantee. This example shows that _______. a. global shippers solve international e-commerce distribution complexities b. a borderless economy is unachievable c. customers prefer to shop in brick-and-mortar venues d. global shippers have hindered e-commerce

a. global shippers solve international e-commerce distribution complexities

27. GE has been in the news lately for bringing back the production of GE appliances to its Louisville, Kentucky plant from China. This is an example of _______. a. inshoring b. offshoring c. insourcing d. importing

a. inshoring

30. Alba wants to learn how to grow orchids and looks online for a podcast that discusses the correct variety, soil mixture, amount of light needed, and how often to water the plants. This is an example of content marketing because_______. a. it includes media such as videos, podcasts, webinars, and blog posts b. it includes materials such as steel or lumber mills and food canners c. it includes components such as spark plugs and electric motors d. it includes equipment such as portable drills and microcomputers

a. it includes media such as videos, podcasts, webinars, and blog posts

28. Griffin Corp. is engaged in marketing various goods and services. It buys products from various manufacturers and sells them to businesses and end consumers. Given this information, Griffin Corp. is said to be selling consumer products if _______. a. it sells books to students b. it sells spare parts to automobile manufacturers c. it sells laptops to an IT company d. it sells printers to a partnership firm

a. it sells books to students

15. FitWear Inc., a sporting goods footwear and apparel company, features photographs of celebrities wearing its brand of clothing and sports gear. FitWear Inc. launched a commercial for its new line of football cleats. This commercial featured famous football stars because the company believes that celebrities can influence customers' buying decisions. In this case, the football stars served as _______. a. opinion leaders b. aspirational reference groups c. nonaspirational reference groups d. decision makers

a. opinion leaders

41. Khokho's Coffee House was the first company to introduce flavored coffee in the global market. It blends coffee in several different flavors, such as blueberry, cinnamon, and cranberry, based on the flavors each country prefers. In this scenario, Khokho's Coffee House is involved in _____. a. product invention b. promotion adaptation c. global marketing standardization d. franchising

a. product invention

22. A company in Nigeria wants to import trucks and is interviewing both an American dealership and a German dealership. The German company accepts the established practice in Nigeria that contracts are awarded to firms who make payments to government officials and brokers. The American company may not be competitive because the Foreign Corrupt Practices Act of 1977 _______. a. prohibits bribery of foreign officials to obtain business b. prohibits charging different prices to different buyers of merchandise or like grade and quantity c. establishes criteria for trademarks d. makes trusts and conspiracies in restraint of trade illegal

a. prohibits bribery of foreign officials to obtain business

33. In the United States, imports of raw sugar are limited to about three billion pounds. The price of sugar has shown a downward trend, which would typically result in an increase in imports. However, by restricting imports, the U.S. price for sugar remains above 20 cents per pound. This is an example of a(n) _______. a. quota b. tariff c. exchange control d. multidomestic strategy

a. quota

40. Creative Textiles Inc. manufactures cloth and buys the chemical dyes for its use from California Chemicals Inc. California Chemicals Inc., in turn, buys uniform material for its employees from Creative Textiles Inc. This scenario highlights a specific business practice known as _______. a. reciprocity b. trust c. reselling d. relationship commitment

a. reciprocity

36. Dillard's is a chain of department stores that buys clothing at wholesale prices and sells them for a profit. As a retailer, Dillard's is considered to be a _______. a. reseller b. producer c. distributor d. broker

a. reseller

19. Recently, Dell launched a new laptop in the market. Carrie bought the laptop but was disappointed when several cheaper laptops were successfully launched in the market soon after. To deal with her disappointment, she convinced herself that those laptops were inferior in quality. This scenario illustrates _______. a. selective distortion b. stimulus discrimination c. cognitive dissonance d. confirmation bias

a. selective distortion

15. Scientists at the National Institute of Health (NIH) and other institutions are trying to produce a vaccine that would effectively prevent the COVID-19 virus. The virus has adversely affected populations worldwide. What specific form of research attempts to develop new or improved products like the COVID-19 vaccine? a. Basic research b. Applied research c. Innovative research d. Scientific research

b. Applied research

38. Bryan wants to start a global business, but he is afraid of taking on too much risk. If you were advising Bryan, which of the following global entry strategies would you recommend? a. Direct investment b. Exporting c. Joint venture d. Wholly owned subsidiary

b. Exporting

40. Yaozu wants to open up a Pizza Hut franchise in Belgium. Pizza Hut is the world's largest pizza restaurant company with more than 6,200 restaurants in the United States and more than 4,000 restaurants in 100 other countries. Pizza Hut has been making pizza America loves for 50 years. What would you tell Yaozu about opening up a Pizza Hut franchise? a. Franchises do not offer consistency. b. Franchises offer consistency. c. Franchises are the highest form of risk for entering the global market. d. Franchises are the lowest risk form of entry to the global market.

b. Franchises offer consistency.

43. The administrative head of the Glenview company proposes to replace and revolutionize the office furniture for the employees' comfort. Which of the following roles does the administrator play in this scenario? a. Influencer b. Initiator c. Gatekeeper d. Purchaser

b. Initiator

25. Which of the following statements is true of business marketing? a. It refers to the sale of goods and services for the purpose of personal consumption. b. It deals with products that are used to facilitate an organization's operations. c. It has long and indirect channels of distribution. d. It includes selling stationeries to students.

b. It deals with products that are used to facilitate an organization's operations.

34. Mercosur is a trade agreement made up of four member countries—Argentina, Brazil, Paraguay, and Uruguay—after Venezuela was notified it would be suspended from the trading bloc on December 1. Other countries are associate members. As a trade agreement, which of the following is a characteristic of Mercosur? a. It occurs when government efforts stifle imports or investment by foreign corporations. b. It occurs when several countries agree to work together to form a common trade area. c. It occurs when trade barriers are lowered across the world. d. It occurs when a domestic firm joins with a foreign company to create a new entity.

b. It occurs when several countries agree to work together to form a common trade area.

35. Wang Inc., an oil refinery, buys crude oil and converts it into various products such as gasoline, kerosene, and diesel. Wang Inc. then sells these products to other companies or retailers. Based on this information, which segment of the business market is most likely represented by Wang Inc.? a. Resellers b. Producers c. Distributors d. Marketers

b. Producers

20. Amit's favorite soft drink is Diet Dr Pepper. She orders a Diet Dr Pepper in a restaurant and is told that the restaurant serves only Pepsi products, so Amit orders water instead. She also insists that she can taste the difference between Diet Dr Pepper and Diet Pepsi. Which learning concept is Amit demonstrating? a. Stimulus generalization b. Stimulus discrimination c. Perceptual generalization d. Selective generalization

b. Stimulus discrimination

34. Starbucks partnered with Barnes and Noble bookstores to provide in-house coffee shops, benefiting both retailers. What kind of partnership does this represent? a. Collaboration b. Strategic alliance c. Commitment d. Trust

b. Strategic alliance

41. Lotex Inc. is a manufacturer of mother boards for computer systems, which sells its product to the firms which manufacture assembled computers. Which of the following is true in this scenario? a. A special feature of component parts is that they cannot retain their identity after becoming part of the final product. b. The finished items are ready for assembly or are products that need very little processing before becoming part of some other product. c. The goods are less expensive and shorter lived than major equipment. d. The expense items do not become part of a final product.

b. The finished items are ready for assembly or are products that need very little processing before becoming part of some other product.

31. GE's Instagram account shares behind-the-scenes looks at its business and employees. One post about the first female wind technician in Western Canada received over 1,000 likes. With regard to business-to-business social media marketing, this effort by GE is an example of the _______ marketing metric. a. product adaptation b. engagement c. conversion d. review

b. engagement

36. Otani is a Japanese e-commerce company that is building an American e-commerce company in South Carolina with administration, sourcing, logistics, and data centers all based in America. This arrangement is an example of a(n) _______. a. joint venture b. foreign direct investment c. export agreement d. franchise

b. foreign direct investment

35. The Chinese company Huawei saw that a T-Mobile robot could detect cellphone problems. T-Mobile permitted Huawei engineers into the lab to test their phones. A Huawei engineer, according to the indictment, took the robot arm out of the lab. When questioned by T-Mobile, he returned it. Prosecutors say that the Chinese company wanted T-Mobile technology for its own phone-testing robot. This is an example of _______. a. restricting access to key markets b. intellectual property theft c. forced divulging of trade secrets d. giving industries an unfair export advantage

b. intellectual property theft

12. Carlos is a millionaire who manages several successful companies. He usually interacts with people of similar status. Given this information, Carlos and the people he frequents are part of a _______. a. family b. social class c. popular culture d. reference group

b. social class

16. Xi prefers to do his grocery shopping at Fresh Mart because his mother also prefers to shop there. He also does not shop for groceries online because his mother does not. In this case, Xi's shopping behavior is a result of _______. a. the want-got gap b. the socialization process c. cognitive dissonance d. the consumer decision-making journey

b. the socialization process

17. Philippe has diabetes, and he wishes to be treated by a doctor without paying costly bills to keep his diabetes under control. He also doesn't want to be turned down for medical treatment by a doctor because of his diabetes. Philippe needs to understand that one of the following is NOT a key provision of the Patient Protection and Affordable Care Act. Which is it? a. Workers cannot be denied coverage. b. Large employers must offer coverage to full-time workers. c. A worker can be denied coverage for a preexisting condition. d. Young adults can stay on their parents' plans until age 26.

c. A worker can be denied coverage for a preexisting condition.

10. Christina buys groceries every month from Target and rarely does much research on the products she buys. What is the marketing term for this type of consumer behavior? a. Emotional involvement b. Enduring involvement c. Routine response behavior d. Extensive decision making

c. Routine response behavior

21. Armand receives unwanted telemarketing calls on his cell phone, advertising lower interest rates on credit cards. Armand is frustrated by the calls because he uses his cell phone for his work and doesn't want to be bothered by unwanted solicitations or requests to participate in a survey. Which of the following laws protects Armand from these intrusions? a. The Sherman Act b. The Child Protection Act c. The Do Not Call Law d. The Homeland Security Act

c. The Do Not Call Law

14. Katerina and Cloe are best friends. Katerina regularly runs marathons and is a member of the Marathon Runners Club at her university. Cloe also wants to join the club, but she is not a very strong runner. Cloe decides to start running every day so that she can participate in marathons and become a member of the club. For Cloe, the Marathon Runners Club can be categorized as a(n) _______. a. interest reference group b. primary membership group c. aspirational reference group d. nonaspirational reference group

c. aspirational reference group

26. Sony produces products in various categories, such as visual systems, professional cameras, computer products, communications, and security. Sony caters to _______ market. a. a business b. a consumer c. both a business and a consumer d. an institutional

c. both a business and a consumer

1. Francisco is hungry and wants to go to a good restaurant to eat and relax. He chooses Ruth's Chris Steak House for its ambiance and good food. His experience provides _______. a. hedonic value b. utilitarian value c. both hedonic and utilitarian value d. perceived value

c. both hedonic and utilitarian value

28. Several countries in South America permit individuals and businesses in one country to buy and sell in neighboring countries without restrictions. These countries practice the policy of _______. a. protectionism b. comparative advantage c. free trade d. global marketing

c. free trade

6. Ruth wants to purchase a new gaming laptop. She wants to compare two of the la models of gaming laptops—with similar build, quality, and hardware specifications—from different manufacturers. Ruth reads reviews of each product on reputable online forums before making her decision. In this scenario, Ruth seeks data _______. a. from a marketing-controlled information source b. through her own knowledge c. from a non-marketing-controlled information source d. through an internal information search

c. from a non-marketing-controlled information source

17. Nasreen considers herself a fashionista and would like to be perceived as more fashion oriented than her friends and family. However, her family and friends feel she dresses just like them. In this case, the perception of Nasreen's friends and family contradicts Nasreen's _______. a. real self-image b. personality c. ideal self-image d. social class

c. ideal self-image

27. Vactin Corp., a construction company, buys ten truckloads of cement for its new project. Given this information, the cement bought is an example of a(n) _______. a. consumer product b. service product c. industrial product d. manufacture product

c. industrial product

16. Energy Drinks, a beverage producer, had to close a production facility because health inspectors found that the storage containers at the facility did not meet the standards set by the government. In this scenario, a(n) _____ factor affected Energy Drinks' business. a. technological b. economic c. legal d. demographic

c. legal

29. The Hard Rock restaurant and hotel chain operates locations around the world—Las Vegas, New Orleans, Chicago, Shanghai, Paris, and Berlin to name a few. Each location outside of the US is considered a subsidiary and allowed to compete independently in domestic markets. Hard Rock is utilizing a _______ strategy. a. licensing b. global marketing standardization c. multidomestic d. franchising

c. multidomestic

2. Carol buys Glamor Sunscreen 70, which costs $25 for a small tube. She believes that this brand is so effective that it will prevent sun damage that could lead to wrinkles or skin cancer. The value that Carol expects to obtain from the pricey sunscreen is called _______. a. utilitarian value b. hedonic value c. perceived value d. actual value

c. perceived value

42. Zenith, a popular restaurant chain, has many branches all over the world. The taste and quality of its food are the same across all these branch restaurants. Based on this information, which of the following strategies does Zenith embrace? a. Global marketing localization b. Product adaptation c. Mass customization d. Global marketing standardization

d. Global marketing standardization

9. Which strategy would a marketing manager most likely use to increase the sales of a high-involvement product? a. Institute a price increase on the item in question. b. Focus on the package design of the product so that it will be eye catching and easily recognized on the store shelf. c. Link the product to a lower-involvement issue to create publicity. d. Promotion to the target market should be extensive.

d. Promotion to the target market should be extensive.

23. Xavier is the director of Maxwell Company, but he is striving to become its managing director. Xavier works hard toward that goal, and ultimately receives the promotion. Which of his needs is fulfilled according to Maslow's hierarchy of needs? a. Physiological need b. Safety need c. Social need d. Self-actualization need

d. Self-actualization need

18. Mala and Vivek, who have been married for four years, recently had a baby girl. Given their current stage in the family life cycle, which statement is most likely true of their spending behavior? a. They will spend more than average on alcoholic beverages, education, and entertainment. b. They will increase their spending on health care, clothing, housing, and food. c. They will increase their spending on education and transportation. d. They will increase their spending on vehicles, women's clothing, and health care.

d. They will increase their spending on vehicles, women's clothing, and health care.

33. Rodriguez Paints Inc., a manufacturer of paints and emulsions, owns a user-friendly website. The website allows customers to upload pictures of their house to help in selecting their color choices. New Designs Inc., an interior decoration firm, enters into a partnership with Rodriguez Paints Inc. As a result, customers can now get a complete design solution for their houses. This is an example of _____. a. a straight rebuy b. keiretsu c. relationship commitment d. a strategic alliance

d. a strategic alliance

20. Snapchat, the popular photo-sharing app that bills itself as a new and completely private way to share photos with friends and family, was recently discovered to be anything but private. The app allowed users to share photos under the auspices that they cannot be saved, shared, or even viewed for more than a few moments. This is an example of a violation of _______. a. antitrust laws b. the Sherman Act c. the Robinson-Patman Act d. consumer privacy laws

d. consumer privacy laws

20. Hinachi, an electronics and appliance manufacturer, decides to launch its new line of smartphones on the company's official website to resolve logistics issues that the company has identified. With this modification, its customers can now buy the smartphones directly from Hinachi even if they are not available in retail locations near potential consumers. In this case, Hinachi focuses on the _______ element of the marketing mix. a. evaluation b. promotion c. price d. distribution

d. distribution

38. Dion has an auto repair business for high-end cars like a Porsche or Ferrari. He wants to market his services to Porsche, BMW, and Ferrari owners in his community of Midland, Texas. Right now, car owners have to drive to Lubbock, Dallas, or Austin to get their cars serviced. Dion should consult The North American Industry Classification System for data that can be used to _______. a. identify opportunities for new product lines b. classify firms according to their number of customers c. classify business establishments all over the world d. identify potential new customers

d. identify potential new customers

19. Apple's business philosophy is to acquire small companies that can be integrated into existing company projects. In 2019, Apple acquires a company every two to three weeks on average, having acquired 20 to 25 companies in the past six months alone. To assure that Apple does not have a monopoly, The Federal Trade Commission's Bureau of Competition _______. a. promotes restraint of trade among business firms b. encourages monopolization and agreements between competitors c. promotes anticompetitive strategies d. seeks out and challenges anticompetitive conduct in the marketplace

d. seeks out and challenges anticompetitive conduct in the marketplace

36. Which of the following is NOT a career opportunity in marketing? a. Product management b. Retail buying c. Distribution management d. Human resources management

d. Human resources management

30. Peter believes in punctuality and is never late for a business meeting. On the way to the meeting, his wife calls him and says that she has a flat tire and needs his help. Peter is facing conflicting obligations. Should he be on time or help his wife? Which of the following ethical theories states that people should abide by their obligations and duties when confronted with an ethical dilemma? a. Deontological theory b. Moral relativism theory c. Casuist ethical theory d. Utilitarian ethical theory

a. Deontological theory

41. Phil Jones of the Southern Oil Field Supply Co. is told by a foreign official that he cannot obtain the contract that he critically needs unless he pays a bribe. Which of the following ethical theories would not allow bribing? a. Deontological theory b. Moral relativism c. Utilitarian ethical theory d. Ethnocentric morality

a. Deontological theory

24. Which of the following is true of globalization? a. It expands economic freedom and increases the living standards of people (overall) b. It relies on strong government regulations to keep down prices c. It fails to offer access to advanced technology in less developed countries d. It makes it easier for governments to abuse the freedom and property of their citizens e. closes the access to advanced technology for less developed countries

a. It expands economic freedom and increases the living standards of people (overall)

39. Staples has entered a partnership with the Permian Basin Rehabilitation Center to provide hearing aids to children with hearing loss. Staples has collection boxes at the cashier counter so that customers can donate their spare change. Staples adds its own donation as well. Which statement is true of cause marketing as carried out by Staples? a. It involves the cooperative efforts of a for-profit firm and a nonprofit organization for their mutual benefit. b. It describes a marketing relationship based on a straight donation. c. It occurs when government agencies and nonprofit agencies launch social campaigns. d. It seldom helps companies increase the sale of their products.

a. It involves the cooperative efforts of a for-profit firm and a nonprofit organization for their mutual benefit.

18. Pedro Sanchez Furnishings makes and sells original handicraft oak furniture and cabinet products. The management of the company has been successfully using a niche strategy for years. In this case, which of the following is the most likely to be true of Pedro Sanchez's business? a. It serves only a limited geographic market. b. It serves a large geographic market. c. It develops products that are similar to those of its competitors. d. It targets a market segment that is crucial to major competitors.

a. It serves only a limited geographic market.

12. Katerina visits a department store and discovers that a box of imported chocolate will cost 10% more than what she had paid six months ago. Similar increases in prices across most goods and services are happening throughout the country. In this scenario, which statement is true? a. Katerina's purchasing power would remain unchanged if she has a pay raise to match the inflation. b. She would have to pay 12% more than what she paid last month. c. The department store's marketing strategy is to increase its profit margin by increasing the prices of its goods. d. The chocolate's subjective value increases with the increase in inflation.

a. Katerina's purchasing power would remain unchanged if she has a pay raise to match the inflation.

24. You are discussing your career plans with a friend. Your friend is majoring in finance. You explain to your friend why she should study marketing. What do you say? a. Marketing plays an important role in society. b. Marketing will help you increase your salary potential. c. Jobs in marketing are easy to find. d. Job openings are plentiful.

a. Marketing plays an important role in society.

11. As a social media network, Facebook has evolved to fill users' needs for a variety of communication beyond simply updating their status or posting photos or video from their day-to-day life. Users like Jose can now post messages that they are looking to buy or sell items. Jose recently posted that he had a solid oak dining room table and chairs for sale in great condition for $250. Caleb and his partner have been looking for a dining room set but they don't use Facebook, only Instagram and Twitter. Is it likely an exchange will occur? a. No, it is not likely an exchange will occur because the parties are not using the same platforms of communication. b. Yes, it is likely an exchange will occur because there are at least two parties. c. No, it is not likely an exchange will occur since it's not known whether the dining room set is of value to another party. d. Yes, it is likely an exchange will occur as each party will consider the other to be a desirable exchange partner.

a. No, it is not likely an exchange will occur because the parties are not using the same platforms of communication.

14. Lucia is an accounting major at a university in Texas. What is the best reason for her to be familiar with the fundamentals of marketing and marketing terminology? a. She needs to be able to communicate with specialists in other areas. b. She plans to work in a not-for-profit organization. c. She wants to spend a semester abroad. d. She wants to broaden her scope of learning.

a. She needs to be able to communicate with specialists in other areas.

7. Tshawna is opening up an online jewelry store that sells handmade necklaces, bracelets, and earrings. What is the best reason for her to study marketing? a. She will better understand the buying process. b. She will be able to negotiate less effectively with sellers. c. She will achieve customer satisfaction. d. She will be a better-informed consumer.

a. She will better understand the buying process.

18. The Brown Company follows a market-oriented approach, whereas The Columbia Company believes in a sales-oriented approach. Considering their approaches, it is evident that _______ has/have an advantage in today's marketplace because it/they finds/find out what customers want and what they need. a. The Brown Company b. The Columbia Company c. both d. neither

a. The Brown Company

28. Which of the following is NOT required for an exchange to take place? a. There must be at least three parties. b. Each party has something that might be of value to the other party. c. Each party is capable of communication and delivery. d. Each party is free to accept or reject the exchange offer.

a. There must be at least three parties.

14. Computer World Corp. manufactures electronic components for computers. The marketing managers at Computer World noted that a new competitor is gaining more customers. In the context of SWOT analysis, which of the following actions should be prioritized by Computer World's marketing managers? a. They must analyze aspects of its marketing environment. b. They must focus on organizational resources. c. They should ignore macroenvironmental forces. d. They should focus on lowering product prices.

a. They must analyze aspects of its marketing environment.

35. Ben wants to do business in the Middle East where it is an accepted practice to give gifts to government officials. However, Ben may not be able to carry out his plans because he doesn't want to violate The Foreign Corrupt Practices Act (FCPA), which was enacted because Congress was concerned about _______. a. U.S. corporations' use of illegal payments and bribes in international business dealings b. website operators obtaining verifiable consent from parents before collecting personal information about children under age 13 c. setting a standard for the suite of educational apps d. protecting children from unwanted online predatory behavior by adults

a. U.S. corporations' use of illegal payments and bribes in international business dealings

22. Identify the situation(s) in which a production-oriented firm can survive or prosper in the marketplace. a. When competition is weak b. When supply exceeds demand c. When competition is strong d. When demand equals supply

a. When competition is weak

28. In Odessa, Texas, it is forbidden to burn leaves when there are high winds because there is the danger of spreading the fire and endangering other residents. This is an example of a standard of proper or acceptable behavior called _______. a. a behavioral norm b. morals c. ethics d. a rule

a. a behavioral norm

34. The Western Company wants its employees to behave in an honest, trustworthy manner. For this reason, the Western Company has a written company guideline to help marketing managers and other employees make better decisions. The guideline is called _______. a. a code of ethics b. morals c. laws d. self-regulations

a. a code of ethics

13. Patrick and Mary wanted to become homeowners back in 2008 and applied for a loan from a mortgage lender. Patrick and Mary's combined income was $50,000 a year and their credit history was poor. They were approved for a mortgage loan but couldn't make the payments. This is an example of a result of _______. a. a recession b. inflation c. a depression d. purchasing power

a. a recession

25 _________ acknowledges that in addition to economic and legal duties, companies have obligations to society. These obligations are not mandated by any law or regulation but instead are associated with the demands, expectations, requirements, and desires of various stakeholders. a. corporate social responsibility b. deontological theory c. triple bottom line d. marketing analytics e. the four P's

a. corporate social responsibility

15. Dollar General sells convenience items such as light bulbs, laundry detergent, and milk at a lower price than a customer pays at a grocery store, but the company is still able to maintain satisfactory profit margins. Dollar General is an example of _______ in the convenience store industry. a. cost leadership b. efficient labor c. reengineering d. production innovations

a. cost leadership

40. Great Burger is a burger restaurant that targets those who care about how food tastes and where the food comes from. Prices are higher than average, but Great Burger uses hormone-free meat from humanely raised animals. The meat is shipped fresh, not frozen. This restaurant prides itself on its superior service. This example shows that _______. a. customer value is the relationship between benefits and the sacrifice necessary to obtain them b. customer satisfaction is the relationship between benefits and the sacrifice necessary to obtain them c. empowerment is the relationship between benefits and the sacrifice necessary to obtain them d. teamwork is the relationship between benefits and the sacrifice necessary to obtain them

a. customer value is the relationship between benefits and the sacrifice necessary to obtain them

1. A well-known car manufacturer decided to go completely to hybrids, adding more sports utility vehicles and using more cutting-edge technology. The company is also focusing more on electric cars. This example shows that strategic marketing management _______. a. defines the organization's main activity at a particular time b. addresses how a company can set goals c. shows how many new employees to hire d. explains how to surpass the competition

a. defines the organization's main activity at a particular time

15. Employees at the Lucerne luxury hotels developed service guidelines. The guidelines include brief statements such as "I own and immediately resolve guest problems." These employees sustain the company's success in addition to taking responsibility for their actions because they are _______. a. empowered to put values into actions b. offered extensive training c. given less work d. not pressurized with deadlines

a. empowered to put values into actions

25. We "give up" money to "get" the goods and services we want. Giving up something in order to receive something else is an example of the basic marketing principle of _______. a. exchange b. distribution c. production d. selling

a. exchange

6. The Otani Company Inc. is a renowned technological firm. It manages many strategic business units (SBUs) in which each SBU _______. a. has its own return on investment b. shares the same goals and employs the same strategies as other SBUs within Otani Inc. c. does not have control over its resources d. refrains from performing manufacturing functions

a. has its own return on investment

27. Landon has just purchased a beer distributorship. He wants to increase the visibility of his firm in local markets, but he knows there are a number of regulations and socially accepted practices associated with promoting alcoholic beverages. The first thing Landon should do is to: a. identify issues b. promote the firm's corporate social responsibility efforts c. choose to distribute other items d. brainstorm and evaluate alternatives e. choose a course of action

a. identify issues

43. The Lee Corporation is a sales-oriented firm that focuses on high sales. It does not take into account the customer's wants and needs, and instead concentrates on manufacturing products that will reap high profits. This attitude might lead to the firm's missing business opportunities because _______. a. its focus on manufacturing specific products may not meet customer needs and wants b. it focuses on providing value and benefits to its customers instead of meeting company objectives c. it emphasizes enhancing individuals' and society's long-term best interests d. it concentrates on relationship building, empowerment, and teamwork

a. its focus on manufacturing specific products may not meet customer needs and wants

45. Carrie's Vermont Maple Syrup advertises that its syrup is natural with no artificial sweeteners. This is correct; however, Carrie's Vermont Maple Syrup doesn't contain a drop of real maple syrup. It is made from sugar, water, and rice syrup. This example shows that _______. a. just because something is legal, it doesn't mean that it is ethical b. just because something is legal, it is ethical c. the law is a perfect mechanism for good corporate governance d. the syrup is not misbranded

a. just because something is legal, it doesn't mean that it is ethical

23. Bob Mills furniture aims to improve the lives of many people. The mission statement could have focused on affordable furniture (product oriented), but instead it focuses on making life better for its customers. This example shows that _______. a. market-oriented firms shape their mission statement in terms of customer benefits b. sales-oriented firms create a connection with their customers and employees c. market-oriented firms shape their mission statement in terms of goods and services d. a sales-oriented firm defines its mission statement in terms of goods and services

a. market-oriented firms shape their mission statement in terms of customer benefits

37. Carolina conducts marketing research for a pharmaceutical company in California. Carolina oversees telephone surveys to determine the satisfaction of those who use her company's products. This example shows that _______. a. marketing can assess the needs and wants of present and potential customers b. marketing can advertise the characteristics of a product c. marketing can increase company revenues d. marketing can effectively distribute goods and services

a. marketing can assess the needs and wants of present and potential customers

12. The total population of the United States exceeds 328 million people. Many transactions each day are needed to feed, clothe, and shelter a population of this size. The number is huge. It all works because the US economic system distributes the output of farms and factories. This example shows that _______. a. marketing is important to business b. marketing dominates supply chain activities c. distribution is not part of marketing activities d. distribution is the focus of marketing

a. marketing is important to business

21. Learners Inc. offers instructors a chat capability on their instructional software programs. If an instructor is grading a and can't access a student's results, the instructor can click on chat and get a person from Learners Inc. to fix the problem immediately. Instructors do not have to fill out a help desk ticket and wait for days for a response or call and be put on hold for a long time. Because Learners Inc. is making help available exactly when and where instructors want and need assistance, the company is using a _______ strategy. a. place (distribution) b. product c. promotion d. price

a. place (distribution)

19. John's Corner is a nursery that allows customers to bring back plants that have died and receive a full refund as long as the customer has a valid receipt. John's Corner has a unique return policy which is valuable to buyers, as opposed to simply offering a lower price than competitors do. This is an example of a _______. a. product/service differentiation competitive advantage b. niche competitive advantage c. sustainable competitive advantage d. cost competitive advantage

a. product/service differentiation competitive advantage

20. When a firm focuses on its internal capabilities rather than on the desires and needs of the marketplace, then the firm is said to have adopted the _______ orientation. a. production b. sales c. market d. societal marketing

a. production

45. The Brooks Machine Shop is known for adopting a strategy that focuses on designing new products based on its assessment of the capabilities of its engineers and on the easy availability of resources. The firm's approach, which emphasizes the ease of production and the talents of its resources rather than the needs and wants of the marketplace, can be attributed to its _______ orientation. a. production b. sales c. market d. societal marketing

a. production

41 Rankings as well as word of mouth from satisfied customers drive additional sales for automotive companies. However, because this orientation uses an aggressive marketing style, the main problem with a _______ is that there is a lack of understanding of what customers want and need. The customer is not in charge. a. sales orientation b. societal marketing orientation c. market orientation d. production orientation

a. sales orientation

17. Marketing is based on the understanding that organizations have employees, suppliers, stockholders, and distributors as _______. a. stakeholder "partners" b. competitors c. clients d. consultants

a. stakeholder "partners"

26. When Walmart issued new standards for livestock products that were raised on food without antibiotics or artificial growth hormones, it considered multiple__________, including the ranchers that supply the food, its customers, and animal welfare groups. a. stakeholders b. investors c. marketing executives d. bankers e. corporate shareholders

a. stakeholders

13. Fantasy Inc., a leading brand of apparel, has stores all over the country. The company's market research shows that teenagers do not choose their brand as often as older age groups. Therefore, the company modifies some of its existing designs to attract teens. In this case, the teenage group can be referred to as a _______. a. subculture b. social class c. popular culture d. reference group

a. subculture

32. Dabasso is a coffee grower in Uganda. The price he charges for local customers is less than the price of coffee that is imported from other countries. Dabasso counts on the fact that the Ugandan government has placed a(n) _______ on imported coffee because it makes it easier for Dabasso to compete. a. tariff b. boycott c. exchange control d. quota

a. tariff

43. If the U.S. dollar depreciates relative to the South Korean won, Americans will need to pay more dollars to buy Korean goods. As a result, Americans buy fewer Korean goods. This leads to a decline in U.S. imports from Korea. This is an example of _______. a. the effect of exchange rates b. depreciation c. product adaptation d. pricing considerations

a. the effect of exchange rates

32. Companies selling to business buyers face the same challenges as all marketers of goods and services, including determining __________. a. the target market and deciding how best to reach it b. supply chain efficiency c. the activity of organizing the movement to reach end customers d. the attractive offers of the products to buyers

a. the target market and deciding how best to reach it

3. Dyson cordless vacuum cleaners offer heavy-duty performance for cleaning all floor types. The Dyson is also very lightweight and versatile. The price for the basic Dyson model is $599. Because the Dyson provides the user with really clean floors and carpets, the Dyson is an example of _______. a. utilitarian value b. perceived value c. hedonic value d. consumer value

a. utilitarian value

25. McDonald's does not sell beef hamburgers in its restaurants in India because the cow is considered sacred by almost 85% of the population. Instead, McDonald's sells the Maharaja Mac made with chicken. McDonald's respects Indian __________ by not selling beef in India. a. values b. ethnicity c. ethics d. systems e. cognitive attitudes

a. values

4. A furniture retailer wanted to grow but not open too many new stores. The company started opening boutique hotels instead. A management and development company operated the hotels, but the furniture company handled the interiors. Guests could then purchase furniture and decor online. This example shows that the furniture retailer _______. a. was thinking "outside the box" by designing a growth strategy b. decided to add new furniture items to stimulate growth c. planned to add many more stores as a growth strategy d. bought a management company to expand its business

a. was thinking "outside the box" by designing a growth strategy

6. Which of the following is a similarity between a production orientation and a sales orientation? a. Both ignore the importance of assessing a firm's internal capabilities. b. Both lack an understanding of the needs and wants of the marketplace. c. Both place little emphasis on the assessment of manufacturing plants and facilities. d. Both fail in a market where demand exceeds supply.

b. Both lack an understanding of the needs and wants of the marketplace.

2. Kevin is a physical therapist who owns two physical therapy businesses, but he is completely involved in his son Brannan's high school football program. He travels all around the country by truck or by airplane, taking Brannan to football camps and games. What factors affect marketing to people like Kevin with component lifestyles? a. Becoming nondiscriminating and undemanding b. Choosing products that meet their diverse needs c. Reducing the complexity of their buying behavior d. Beginning to prefer products that meet traditional needs and interests

b. Choosing products that meet their diverse needs

7. Jennifer was born in 1967. She is a college graduate and values education. When Jennifer purchases appliances like a new dishwasher, she does a significant amount of research and reads online reviews. Which population group describes Jennifer? a. Millennial b. Gen Xer c. tween d. Baby Boomer

b. Gen Xer

22. The marketers at Ferguson have prepared a marketing plan for the company's air conditioners. Ferguson's management team has outlined several activities for account executives based on this marketing plan and set a deadline and allocated a budget for each activity. Which of the following stages of the marketing plan is illustrated in this scenario? a. Evaluation b. Implementation c. Control d. Vertical integration

b. Implementation

9. Juan, a Hispanic Millennial, completed his bachelor's degree in 2020 and is looking forward to having a successful career. Which of the following behaviors is Juan most likely to be associated with? a. Juan favors Spanish media over English media. b. Juan embraces parts of his original culture. c. Juan is not prone to accept future family obligations and the difficulties of supporting parents and grandparents. d. Juan is most likely to be monolingual.

b. Juan embraces parts of his original culture.

30. Which statement expresses the American Marketing Association (AMA)'s core definition of marketing? a. Marketing is a philosophy, an attitude, a perspective, or a management orientation that stresses employee satisfaction. b. Marketing is an organization function and a set of processes that have value for customers, clients, partners, and society at large. c. Marketing refers to personal selling that focuses solely on selling goods, services, and/or ideas to customers. d. Marketing involves building long-term, mutually rewarding relationships that are beneficial exclusively to the sellers.

b. Marketing is an organization function and a set of processes that have value for customers, clients, partners, and society at large.

32. The Nexus company wants to get a contract to build roads in Nigeria. It is the standard business practice for companies to give payments and gifts to officials in Africa. Nexus could easily lose the contract to a competitor. Which of the following ethical theories is defined as a belief in time-and-place ethics and holds that ethical truths depend on the circumstances? a. Deontological theory b. Moral relativism theory c. Casuist ethical theory d. Utilitarian ethical theory

b. Moral relativism theory

6. Ruth is a 10-year-old tween. She spends lots of time online playing computer games and talking to the new friends she met online. Now that Ruth is being home schooled, it is even more important to her to go to Facebook and meet new friends. To take a break from her online schoolwork, Ruth spends her time enjoying new and challenging computer games. Which statement is true about Ruth? a. Ruth is especially influenced by sales reps and word-of-mouth recommendations. b. Ruth is heavily influenced by social media and the internet regarding what is on trend or relevant. c. Ruth prefers and values traditional media over social media, unlike other cohorts. d. Ruth has little spending money and relies on her parents and relatives to make purchases.

b. Ruth is heavily influenced by social media and the internet regarding what is on trend or relevant.

1. Harry is over 65 and collects monthly social security checks. Harry works part time, and, as a result, the amount of money paid by social security has been reduced. Harry doesn't care because he likes to work and earn money to pay his bills. He doesn't want to rely on the government for his income. Which of the following core values strongly influences the attitudes and lifestyles of Americans? a. Idealism b. Self-sufficiency c. Nonconformity d. Culture

b. Self-sufficiency

8. Samantha was born in 1994. She spends more time on Facebook than reading magazines. Despite her preference for spending time online at social networking sites, she does listen to the radio and read occasionally. Given this information, which of the following statements is true of Samantha? a. She does not expect brands to be on social media. b. She is a younger Millennial. c. She is one of the first generation of latchkey children. d. She would have graduated from college during the Great Recession.

b. She is a younger Millennial.

3. If the Hunter Foundation had decided to focus only on fighting measles, the organization would no longer exist because measles is generally considered a conquered disease. The Hunter Foundation switched its mission to fighting contagious viruses. This example shows that _______. a. a strategic error can threaten a firm's survival b. a good strategic plan cannot protect and grow the firm's resources c. customer satisfaction is an important element of strategic planning d. once a strategic decision is made, it can't be changed

b. a good strategic plan cannot protect and grow the firm's resources

26. BCD Sportswear has introduced initiatives to attract millennial shoppers, who typically avoid department stores. These include themed pop-up shops, shop-in shops featuring new fashion designers, and concept shops. This example shows that _______. a. a market-oriented organization targets its products at "everybody" b. a market-oriented organization recognizes that different customers want different benefits c. most people are not attracted to an average product marketed to the average customer d. a sales-oriented organization carefully divides the market into groups of people who are similar

b. a market-oriented organization recognizes that different customers want different benefits

10. The ABC Lawn Company aims for a high number of clients that result in high profits. To meet its goal ABC markets its landscaping service vigorously because there are many lawn services and nurseries in the local community. As a sales-oriented company, ABC focuses on _______. a. the needs and wants of the customers b. aggressive trading techniques c. enhancing individuals' and society's long-term best interests d. the internal capabilities of the firm

b. aggressive trading techniques

11. Juan owns an oil field supply company in Texas that sells pipe to transport oil to refineries. His business generates more cash than it needs to maintain its market share. According to the portfolio matrix, the type of business unit is called a _______. a. star b. cash cow c. problem child d. dog

b. cash cow

2. Gentech, a cloud-computing company, is rated as a top company to work for. It offers rich monetary and psychological rewards. It has developed software that identifies strong performers who have not been promoted for 18 months and helps them seek new challenges. Gentech has shown that _______. a. employee commitment does not add to productivity b. companies rated by employees as the top places to work outperform their competitors c. marketing includes benefits for customers but not employees d. employees are not considered connected "stakeholder partners"

b. companies rated by employees as the top places to work outperform their competitors

35. The relationship between benefits and the sacrifice necessary to obtain those benefits is known as _______. a. teamwork b. customer value c. customer satisfaction d. empowerment

b. customer value

5. Fast casual restaurants such as Chipotle are expanding because firms recognize that potential customers are predominantly young people. This scenario illustrates how _______ influence marketing decisions. a. economic factors b. demographic factors c. legal factors d. ethical factors

b. demographic factors

21. A sales orientation is common for businesses selling products or services in _______. a. markets with a low level of competition b. highly competitive markets c. situations when intermediaries do not push manufacturers' products d. situations that convince people to buy products they do not want

b. highly competitive markets

23. Uber: "We ignite opportunity by setting the world in motion." This mission statement tells ride sharing drivers and customers _______. a. the narrowly defined purpose of Uber b. how Uber serves its customers c. the short-term thinking of Uber d. the resource allocations of Uber

b. how Uber serves its customers

4. A _______ firm assumes that a sale does not depend on an aggressive sales force but rather on a customer's decision to purchase a product. a. sales-oriented b. market-oriented c. production-oriented d. societal-oriented

b. market-oriented

5. Maria has a small catering business, and she decided to alter the sweetness of her salad dressing. This operational decision will _______ have a big impact on the long-run profitability of Maria's company. a. probably b. probably not c. plausibly d. as likely as not

b. probably not

9. Midland College has instituted a mini-mester, a college course that covers one full semester of material in six weeks. Students can earn three college credits during the mini-mester. This format is in addition to the 16-week semester and the eight-week semester. The mini-mester course is considered a _______ alternative. a. diversification b. product development c. market development d. market penetration

b. product development

31. Apple has a history of _______, creating computers, operating systems, and other gadgetry that it hopes the public will want and buy because of Apple's reputation for innovation. a. market orientation b. production orientation c. sales orientation d. societal marketing orientation

b. production orientation

34. The strategy of improving affiliations with existing customers, which is based on the assumption that most customers prefer to maintain an ongoing rapport with one organization rather than switch continually among providers in their search for value, is defined as _______. a. customer value b. relationship marketing c. teamwork d. empowerment

b. relationship marketing

9. One vision, a publisher of video games, monitors social media conversations that are relevant to its products and follows up on those conversations. This long-term focus on customer needs is the hallmark of _______. a. customer value b. relationship marketing c. teamwork d. empowerment

b. relationship marketing

39. The management at DND Computers believes that an increased level of transactions will result in high profits. Together with the company team members, management devises a strategy to promote its new line of convertible laptops based on the assumption that consumers will purchase a product if the company promotes it aggressively. This hypothesis can be attributed to the company's _______ orientation. a. production b. sales c. market d. societal marketing

b. sales

44. Walgreens has addressed the health problems of local communities. To help solve the nation's opioid crisis, Walgreens instituted opioid utilization management protocols, installed drug disposal collection units, and is updating its pharmacists on the dangers of prescription drugs. Walgreens is an example of a company with a _______. a. market orientation b. societal marketing orientation c. production orientation d. sales orientation

b. societal marketing orientation

2. Delightful Coffee terminated its evening program, which was designed to help increase traffic at night, when demand for coffee decreases. However, the program failed to deliver the desired results. Instead, Delightful Coffee added new breakfast items to the menu to increase morning sales. This is an example of a(n) _______. a. innovation b. strategic decision c. product trial d. consumer need

b. strategic decision

42. Walmart has continued to grow despite changes in the economy. Which term refers to the optimum utilization of assets so that a firm like Walmart continues making profit in the long run? a. Social sustainability b. Environmental sustainability c. Economic sustainability d. Physical sustainability

c. Economic sustainability

42. Which of the following activities is NOT required to achieve a market orientation? a. Obtaining information about customers and competitors b. Examining information about markets from a business perspective c. Employing a high-quality sales force to aggressively promote goods and services d. Determining and implementing actions to provide and deliver added value to customers

c. Employing a high-quality sales force to aggressively promote goods and services

10. Charles is an African American who works as an assistant superintendent in the Odessa public school system. On the weekends, Charles volunteers at the Odessa animal shelter. He feels strongly about humane treatment of animals and often tries to find good homes for animals that have been abandoned or abused. He makes contributions to animal rights nonprofit organizations. Which of the following statements is true about Charles? a. He does not believe in strong cultural connections. b. He doesn't expect brands to reflect his values. c. He generally expects brands to support social causes. d. He is part of the largest group to use mobile devices for banking transactions.

c. He generally expects brands to support social causes.

37. Every year, Rainbow Printing sponsors a style show that raises money for the food bank. However, this year, business at Rainbow Printing is way down, and the company cannot afford to sponsor the style show. Based on this example, which statement about the pyramid of corporate social responsibility is true? a. Philanthropy should be the most important function of a corporation. b. Ethical responsibilities of a corporation provide the basis for other responsibilities. c. If a company does not make a profit, then the other three responsibilities—legal, ethical, and philanthropic—are moot. d. Social responsibility efforts should be focused on the external and not the internal stakeholders of a corporation.

c. If a company does not make a profit, then the other three responsibilities—legal, ethical, and philanthropic—are moot.

32. The Biking Company bikers told the manufacturer that they wanted lighter, more powerful bikes and a better way to handle corners. The Biking Company follows a market orientation. What did the company do? a. It added more aggressive sales force employees. b. It developed heavier bikes with wide angles for better cornering. c. It created bikes with bigger engines and lighter, stronger frames. d. It increased its internal capabilities by hiring more engineers.

c. It created bikes with bigger engines and lighter, stronger frames.

36. Rodriguez Brothers Plumbing in Atlanta, Georgia is sponsoring a 5K run to raise money for cancer research. Rodriguez wants to give back to the community in which he has done business for decades. When considering corporate social responsibility, which is true of stakeholder theory? a. It states that companies should only focus on increasing shareholder wealth. b. It states that social responsibility is best carried out by government agencies. c. It states that a company is expected to be a good citizen in its community. d. It states that the management does not play a special role in the organization.

c. It states that a company is expected to be a good citizen in its community.

12. Sari has opened up a craft store. She offers classes in cake decorating as well as sewing and needlepoint supplies. However, she has had very low attendance in the classes and a low sales level of craft items, even though she has discounts available in the form of store coupons. In the context of the portfolio matrix, which statement is generally true of Sari's business? a. Protection of existing market share is essential for dogs. b. Dogs have a dominant market share in low-growth markets. c. This business is a dog and she should harvest or divest it. d. Dogs escalate in the market if given strong financial funding.

c. This business is a dog and she should harvest or divest it.

38. Kendall Wong has a car to sell and advertises it online. Several potential buyers test drive the car. All five conditions that are necessary for an exchange to occur exist in this scenario. Has an exchange occurred? a. An exchange has occurred because all the conditions have been met. b. An exchange has occurred because Kendall has identified prospective buyers. c. Until Kendall sells the car, an exchange has not taken place. d. Until Kendall and a buyer decide on the price, an exchange has not occurred.

c. Until Kendall sells the car, an exchange has not taken place.

17. Automakers can disassemble a product to assess its components and provide clues about the manufacturing process. This main benefit of this process of reverse engineering is to _______. a. develop a market niche b. highlight a company's unique features c. achieve a cost competitive advantage d. bring about product innovations

c. achieve a cost competitive advantage

44. Susie works at Target. She stocks merchandise and assists customers who have questions. As an employee of Target, Susie is a stakeholder who does all of the following EXCEPT _______. a. expect wages b. expect benefits c. balance the multiple claims of conflicting stakeholders d. expect meaningful work

c. balance the multiple claims of conflicting stakeholders

40. Hunt Advertising is collaborating on an initiative with the Odessa Arts Council, a nonprofit organization, by providing public-relations training to working professionals throughout West Texas. Twenty percent of the fee that the participants would pay is given to the nonprofit organization. The nonprofit organization in turn reaches a wider range of audience across West Texas for its training program. This scenario illustrates _______. a. relationship marketing b. effect-related marketing c. cause-related marketing d. green marketing

c. cause-related marketing

43. Juan is a customer of Home Depot. He buys all of his building supplies from Home Depot because as a stakeholder he trusts Home Depot to _______. a. generate revenue for the firm b. safeguard the welfare of the organization c. deliver quality goods to him in a timely manner d. carry the employees through difficult times

c. deliver quality goods to him in a timely manner

24. The Sunshine Foundation provides funds to countries in South America to develop long-term sources of clean water. The Sunshine Foundation realizes that clean water is needed to improve health and preserve local ecosystems while creating a competitive advantage. The actions and interests of the Sunshine Foundation are examples of a. short term profit maximization b. target marketing c. environmental sustainability d. marketing channels e. public relations

c. environmental sustainability

16. The Standard, a cloud computing company in Dallas, captured the number-one position in Fortune's "100 Best Companies to Work For" because the company _______. a. had a large increase in profits b. provided jobs to unemployed workers c. fostered trust, growth, innovation, and equality d. produced innovative goods and services

c. fostered trust, growth, innovation, and equality

38. Sanchez Foods Inc. is a large food manufacturing corporation that earns more profits than its competitors. The company uses only organically grown grains and fruits. It also promotes organic farming and helps nonprofit agencies that focus on food and nutrition causes. The company recently decided to use a third-party recycling logo. In this scenario, Sanchez Foods is most likely to have adopted the practice of _______. a. relationship marketing b. event marketing c. green marketing d. affinity marketing

c. green marketing

7. Santos Inc. is a large company that manufactures and sells hair care products. It plans to adopt a product development strategy. In this case, Santos Inc. will _______. a. introduce a new product into China b. offer hair care products at competitive prices c. introduce a new product line of chemical free, all-natural shampoos to its present customers d. sell its existing products in Europe

c. introduce a new product line of chemical free, all-natural shampoos to its present customers

13. The Shoe Company and Bob's Natural Foods outperform their competitors in today's marketplace because they try to find out what their customers want, and they do their best to provide the products and services that their customers request. They derive their understanding of the competitive arena from a _______-oriented focus. a. production b. sales c. market d. societal marketing

c. market

19. The management of Intel believes that success can be achieved with a thorough understanding of its competitive arena and by developing products that satisfy the needs, wants, and expectations of customers. Therefore, Intel can be said to have a _______ orientation. a. production b. sales c. market d. societal marketing

c. market

27. A company that creates a marketing strategy to attract consumers who want to interact anywhere and anytime and expect interactions with the company to be easy is most likely practicing _______. a. sales-oriented marketing b. societal-oriented marketing c. on-demand marketing d. innovation marketing

c. on-demand marketing

1. Marketing contributes directly to achieving all of the following business objectives EXCEPT _______. a. survival b. profits c. stagnation d. growth

c. stagnation

10. When they first started to conduct business, international ride-sharing companies such as Uber or Lyft relied on new, unfamiliar concepts to develop breakthrough decisions. Drivers use their own cars to transport customers who call or text for a reservation using a credit or debit card. According to the innovation matrix, ride sharing is considered a(n) _______. a. core innovation b. adjacent innovation c. transformational innovation d. product development strategy

c. transformational innovation

29. Betty bought a jar of facial cream with natural ingredients for $50 online from Beauty Today Inc., a company that promises a youthful wrinkle-free skin for those who buy the cream and use it twice a day. Betty used the cream as directed but didn't see any difference in her skin. Which of the following statements is NOT an ethical explanation of Betty's situation? a. Law is not a perfect mechanism for ensuring good corporate behavior. b. Laws address the lowest common denominator of socially acceptable behavior. c. Just because something is legal does not mean that it is ethical. d. Customers should not assume that all product labels are accurate.

d. Customers should not assume that all product labels are accurate.

5. Walmart is the largest retailer with both brick-and-mortar stores and a growing internet business. Walmart continues to innovate with its service to shop online and pick up at the store. Walmart has also faced criticism due to its low wages and difficulty for part-time employees to get group health insurance. Many consumers refuse to shop at the store due to their employee policies. Based on this scenario, which criterion for an exchange to occur is missing? a. Each party has something of value to offer another party. b. Each party must be capable of communication and delivery. c. There must be at least two parties. d. Each party is willing to consider the other to be a desirable exchange partner.

d. Each party is willing to consider the other to be a desirable exchange partner.

8. Johnson Controls experienced a steep decline in product sales due to increased competition in the local market. Johnson Controls plans to adopt the market development strategy. Which of the following is the best step the company can take to overcome its financial losses? a. Introduce new products into new markets. b. Create new products for its present markets. c. Attract existing customers rather than new customers. d. Focus on promoting new uses for old products.

d. Focus on promoting new uses for old products.

4. The imbalance between actual and desired states is sometimes referred to as _______. a. need recognition b. an evoked set c. the got-want gap d. the want-got gap

d. the want-got gap

3. Raymond, an investment banking firm, promotes its offerings through various social media platforms. Which of the following statements is most likely to be true about Raymond? a. The platforms display content solely generated by Raymond. b. Raymond uses its social media platforms to promote one-way communication, similar to network television. c. Raymond reduces its reach by promoting its products via social media platforms. d. Raymond can create conversations with its customers and establish meaningful connections.

d. Raymond can create conversations with its customers and establish meaningful connections.

3. Which of the following vital business activities is NOT included in marketing? a. Assessing the needs and wants of consumers b. Designing and managing product offerings c. Determining pricing and pricing policies d. Recruiting and selecting qualified employees

d. Recruiting and selecting qualified employees

31. Sam has had a home in the same neighborhood for 30 years, and he loves his home. Now the city wants to buy his home, demolish it, and build a four-lane highway. The highway will benefit the entire community. Which of the following ethical theories states that the most ethical choice in a situation is one that produces the greatest benefit to the most people? a. Deontological theory b. Moral relativism theory c. Casuist ethical theory d. Utilitarian ethical theory

d. Utilitarian ethical theory

13. The DDX Corp. is a large corporation that offers several product lines. On the company's website, the following text is highlighted: "Our business aims to be profitable by providing our clients with high-quality products that are produced in a cost-effective manner. Our goal is to provide value to our customers, serve the community, and preserve the environment." This text is likely to be DDX Corp.'s _______. a. article of incorporation b. statement of qualification c. scenario planning d. mission statement

d. mission statement

33. Carolyn is a server at an Olive Garden restaurant and enjoys meeting new people who dine at the restaurant. Recently, an elderly couple visited, and Carolyn overheard them talking about their financial struggles. They asked Carolyn for refills of salad and extra breadsticks that they could take home with them. Carolyn agreed even though it was against corporate policy. What Carolyn exhibited conforms to the ethical theory of _______. a. casuist ethical theory b. act utilitarianism c. rule utilitarianism d. moral relativism

d. moral relativism

4. Brooke has a sign company. She creates colorful signs for birthday parties that can be placed outside of the front door to announce a birthday or welcome birthday party guests. She only advertises on social media. Customers go to her website and place an order, and Brooke delivers a hand-painted sign. Brooke uses social media for all of the following reasons EXCEPT _______. a. she can respond to requests for birthday events in real time b. she can establish meaningful connections with customers and get references c. she can engage customers in their products and services d. she can use local network television affiliates to push her message out to a mass audience

d. she can use local network television affiliates to push her message out to a mass audience

18. Herbal Essences shampoo was promoted as a green environmentally safe product, by adding an ingredient that is derived from corn sugar. However, Herbal Essences did not remove other chemicals found in conventional shampoos. This example shows that marketers cannot advertise misbranded food or drug products due to the power of _______. a. the Association for Prohibition of Adulteration b. the General Food Regulations c. the Consumables Protection Bureau d. the Food and Drug Administration

d. the Food and Drug Administration

37. Diego has a small business in California that manufactures custom-made, colorful, hand-painted furniture such as chairs, tables, and benches. He would like to expand his business into international markets because of all the following reasons EXCEPT _______. a. to earn higher profits b. to offer technology unavailable to international competitors c. to promote a unique product d. to increase excess inventory

d. to increase excess inventory

23. Globalization refers to the process by which ______________ flow across national borders. a. goods b. services c. capital d. people e. all of these

e. all of these