Marketing Cluster Exam 15-16 Missed

Salespeople who withhold negative product information from customers might be guilty of

negligence

Which of the following is a reason to avoid drawing distinctions between people:

Everyone is unique

fiduciary relationship

A relationship of trust and confidence, as between trustee and beneficiary, attorney and client, or principal and agent.

Kendra 's financial goal is to build wealth over time by making diversified investments. Which of the following financial services providers is most likely to help Kendra achieve her goal:

Asset-management firm. Asset-management firms invest their clients' money in different (diversified) securities by pooling assets. This is beneficial to investors who do not have the financial resources and expertise to obtain securities on their own. Asset-management firms typically manage mutual funds, hedge funds, and pension plans. An investment bank is a financial intermediary that underwrites securities and facilitates mergers. Mortgage companies process loans specifically designed for the purchase of real estate land, residences, and other types of buildings. Certified Public Accounting firms perform independent financial audits for different types of businesses (e.g., public corporations). SOURCE: FI:075

A good way to prioritize your financial goals is to

Assign each goal to a general category. A good way to prioritize your financial goals is to assign each goal to a general category, such as "must do," "important but not critical," or "not so important." Ranking according to what needs to be done first and ranking every goal in numerical order are two common pitfalls. Another pitfall is ranking everything as very important or thinking that all the goals are equally important. SOURCE: FI:065

What type of product information might a salesperson obtain from reading a business's promotional materials?

Characteristics. A business's promotional materials often contain information about a product's characteristics or features that salespeople can use to sell the product. By reading a business's brochures, pamphlets, and print advertisements, salespeople can obtain information about a product's characteristics that will be useful in convincing customers that a product has the features that will provide the benefits for which they are looking. Aptitudes are natural talents for learning specific skills. Demographics are information used to describe a population. Objectives are goals to be reached. SOURCE: SE:062

An advantage of newspaper advertising over television and radio promotion is more

Consumer interest in the ads. Many people read newspapers as much for the advertisements as for the news content. In radio and television, large numbers of consumers "tune out" the commercials because they have little or no interest in the advertisements. Color reproduction in newspapers has become very good, but it cannot compete with television color. Both newspaper advertising and radio promotion are often aimed at a local audience. Television has more sensory appeal than newspapers because it can appeal to more of the senses than newspapers. SOURCE: PR:007

A manager evaluates the production output of a department by checking it against the production goals for that time period. This is an example of the __________ function of management.

Controlling. Controlling is the management function that monitors the work effort. Planning is the management function of deciding what will be done and how it will be accomplished. Directing is the management function of providing guidance to workers and work projects. Organizing is the management function of setting up the way the business's work will be done. SOURCE: SM:001

Marcy is ready to buy a new computer, and she has saved up enough money to buy the model she wants. Which of the following describes the quantity that Marcy is prepared to buy:

Demand Demand. In order for demand to exist, consumers must have both the desire and the ability to purchase the product. Supply is the amount of the product that sellers are willing and able to offer for sale at a specified price in a given time period. Market price is the actual price that prevails in a market at any particular moment. Elasticity is an indication of how changes in price will affect changes in the amounts demanded and supplied. SOURCE: EC:005

Which of the following is a true statement about marketing-research studies:

Each marketing-research study is unique.

How food products can be used generally is determined by their

Grades. Grades are ratings assigned to certain products. The U.S. Department of Agriculture has identified different grades for about 300 food products. These grades determine how the products can be used. Some lower grades indicate that the foods must be used as ingredients in other food products rather than for straight human consumption. Traits are distinguishing characteristics. A label is information attached to or printed on a product by the manufacturer. A brand is a name, term, symbol, or design that identifies a product and distinguishes it from competitors' products. SOURCE: PM:019

Which of the following would be done first in an environmental scan

Identifying participants and responsibilities. The first step in conducting an environmental scan is to identify participants and their responsibilities. Every employee should participate, although some employees may have more formal duties than others. After this step has been completed, businesses can move on to carrying out scanning activities, identifying and analyzing important trends and issues, and selecting trends and issues to act on. SOURCE: NF:015

What do business owners consider when they select a business ownership structure?

Personal circumstances, financial needs, and the type of business

How can a business build its customers' trust and communicate its commitment to ethical practices?

Publish its confidentiality statement Publish its confidentiality statement. A business can build its customers' trust by communicating that it will not share its customers' confidential information with third parties and that it will take measures to secure online transactions. One way to communicate this commitment is by publishing its confidentiality statement in company brochures, in email messages, and on its website. Developing liberal business policies, hiring employees who have a positive attitude and posting its earnings on its website may help build trust with customers; however, these actions do not communicate the business's commitment to adhering to its ethics. SOURCE: CR:017

The office photocopier is jammed again! Fortunately, there is an instruction manual to guide you through the process of removing the jammed paper. What is the best way to use the manual to clear the photocopier?

Read step one and then perform step one. Repeat this process in sequential order until all of the steps are completed and you have removed the paper.

What does an enclosure notation at the bottom of a business letter signify?

Something is being sent with the letter.

Businesses are being socially responsible to their customers when they

Test the safety of their products. Every business has the responsibility of producing and/or offering safe, quality products. If businesses fail to be sensitive to the well-being of their product users, the businesses will probably fail. Providing safe working environments and offering job training are ways businesses can be socially responsible to their employees. Contributing to community causes demonstrates social responsibility toward the community. SOURCE: EC:070

The most important reason why workplace accidents which do not result in injuries should be reported to supervisors is because

The next accident could result in an injury. The fact that one accident does not result in an injury does not ensure that the next accident will have the same results. An accident that does not cause an injury should be reported to a supervisor so that the circumstances causing the accident can be corrected if possible. This may save someone else from injury. Government regulations vary from state to state and for different industries. Reporting a noninjurious accident does not prevent future liability. SOURCE: OP:009

Which of the following is a purpose of the competitive bidding process:

To obtain lower prices from bidders. By using a competitive bidding process, businesses can obtain lower prices from vendors, thereby decreasing their overall product costs. Competitive bidding occurs between businesses so that businesses obtain better services as well as better products/materials/components. The process should encourage as many vendors as possible to attempt to get a contract rather than limiting the number of vendors to pick from. Competition and product champions are not related to the competitive bidding process. SOURCE: OP:160

horizontal communication

communication that flows among managers and workers who are at the same organizational level

downward communication

communication that flows downward from a manager to employees

upward communication

communication that flows upward from employees to managers

Information usually comes in either physical form or __________ form.

electronic (emails, videos, spreadsheets, etc.)

when an agent legally acts in the best interests of his/her client, the agent is establishing a(n) __________ relationship

fiduciary relationship

When the Silvers purchased their new car, the dealership representative sold their contract to another company in exchange for cash. To what type of business would the dealership have sold the Silvers' contract?

finance company look up commercial bank, savings and loan association, and credit union and what they do

A retailer that overcharges customers for small items at the point of purchase may be engaging in the unethical practice of

scanner fraud

planned obsolescence

the designing of products to wear out or to become outdated quickly, so that people will feel a need to replace their possessions frequently ex. irreplaceable batteries in tech products

A manufacturer that decides to sell directly to large retailers rather than through wholesalers might create __________ conflict within its distribution channel.

vertical Vertical. Conflict in a distribution channel occurs when there is disagreement among the various channel members. Vertical conflict occurs when there is disagreement between different levels of the same channel. An example of a vertical channel is a manufacturer selling to wholesalers who then sell to retailers. If the manufacturer decides to bypass the wholesalers and sell directly to retailers or stores, conflict may develop within that vertical channel of distribution because the wholesalers are being eliminated. Horizontal conflict occurs among businesses at the same channel level, such as between different franchisees for the same business competing in the same city. Formal and conventional are not types of channel conflict. SOURCE: CM:008