Marketing Final Exam Quizzes

value-based

A ________ pricing strategy for an offering begins with an assessment of customer needs and perceptions. Then a target price is set based on customer perceptions of worth. a. competition-based b. value-added c. target costing d. cost-based e. value-based

product line

A ______________is a group of products that are closely related because they function in a similar manner, are sold to the same customer groups, are marketed through the same type of outlets, or fall within given price ranges. a. product line b. convenience product c. product brandwidth d. private brand e. line extension

conventional distribution channel

A channel consisting of one or more independent producers, wholesalers or retailers that are seeking to maximize their own profits even at the expense of profits for the channel as a whole is a ___________________. a. conventional distribution channel b. independent channel distribution c. vertical distribution structure d. vertical marketing system

territorial sales-force structure

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

ethnographic

A company that sells personal care products sends a trained observer to watch potential buyers in their natural environments. This is an example of ________ research. a. quantitative b. experimental c. online d. ethnographic e. archival

False

A market segment consists of consumers who respond in different ways to a given set of marketing efforts. True False

need recognition

A person's buying choices are further influenced by four major psychological factors. Which is not one of these factors? a. learning b. perception c. beliefs d. need recognition e. motivation

behavioral

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

internal resources

In SWOT analysis, which of the following would be considered a strength? a. internal resources b. favorable factors in the environment c. trends in the market d. internal limitations e. factors that challenge the company's performance

obsolete technologies used by the company

In a SWOT analysis, which of the following would be considered a weakness of a company? a. inflation that leads to higher prices of the company's products b. obsolete technologies used by the company c. falling consumer interest in its products d. an unfavorable economic climate that discourages consumption e. the exit of a competitor from the market

horizontal marketing system

In a ____, two or more companies at one level join together to develop a new marketing opportunity a. corporate VMS b. franchise c. horizontal marketing system d. conventional distribution channel

political

In a marketer's macroenvironment, the ________ environment consists of laws, government agencies, and pressure groups that influence or limit various organizations and individuals in a given society. a. cultural b. internal c. natural d. political e. technological

public relations

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

Demarketing

In the case of excess demand, __________may be required to reduce the number of customers or to shift demand temporarily or permanently. a. surplussing b. demarketing c. value marketing d. marketing e. negotiating

market penetration

Making more sales to current customers without changing a firm's products is_____________. a. market growth b. market penetration c. market attractiveness d. product development e. market development

true

Market skimming makes sense when a product's quality and image support its higher price, and enough buyers want the product at that price. True or False

direct

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

cognitive dissonance

Most major purchases tend to result in ___________, or discomfort by post-purchase conflict.

product line

NerdHerd Electronics sells three different sizes of televisions at three different prices. In this case, the company's pricing strategy is referred to as ________ pricing. a. product bundle b. by-product c. optional-product d. product line e. captive-product

pruning

P&G's decision to eliminate dozens of major brands from its portfolio including Crisco, Folgers, and Jif to focus on household care, beauty, and grooming products is an example of ________. a. market saturation b. diversification c. pruning d. harvesting e. market segmentation

brand extension

A______________ involves the use of a succcesful brand name to launch new or modified products in a new category. a. brand symbol b. product line c. no answer d. brand extension e. line extension

true

Advertising agencies that help a company target a certain section of customers are marketing intermediaries. true or false

sales promotion

An email from Amazon offers free shipping on your next purchase of more than $35. this is an example of _________. a. sales promotion b. personal selling c. public relations d. affordable method

market

Appliance maker Whirlpool assigns individual teams of salespeople to big retail customers such as Sears, Lowe's, Best Buy, and Home Depot. Each Whirlpool sales team aligns with the large customer's buying team. Whirlpool has most likely adopted a ________ sales-force a. market b. product c. team-based d. territorial e. complex

financial intermediaries

Banks, credit companies, insurance companies, and other businesses that help finance transactions or insure against the risks associated with the buying and selling of goods and services are referred to as_________. a. physical distribution firms b. financial intermediaries c. resellers d. publics

disintermediation

Changes in technology and the explosive growth of direct and online marketing are having a profound impact on the nature and design of marketing channels. One major trend is toward ________ insofar as product or service producers cut out intermediaries and go directly to final buyers or when radically new types of channel intermediaries displace traditional ones. a. horizontal marketing systems b. disintermediation c. corporate vertical marketing systems d. vertical marketing systems e. intermediation

services differentiation

Companies are likely to gain ________ through speedy, convenient, or careful delivery of products. a. product differentiation b. services differentiation c. people differentiation d. channel differentiation e. price differentiation

to give customers the complexion they dream about by providing products suited to their needs

Cosmetics firm SatinSilk is revamping its mission statement and advertising strategy. The CEO stresses that the new mission statement should be market-oriented rather than product-oriented. Which of the following mission statements will best suit the company? a. to become a market leader in every cosmetics product category b. to give customers the complexion they dream about by providing products suited to their needs c. to increase our market share in the cosmetics segment and increase profit margins d. to sell hypoallergenic cosmetics products mad only from the finest organic ingredients e. to create the best possible products and sell them at the best possible prices.

differentiating

Effective positioning begins with ______________the company's marketing offer in order to give consumers more perceived value. a. placing b. pricing c. differentiating d. promoting e. aligning

target marketing

Family Dollar stores profitability focusing on buyers who have relatively modest means is an example of ___________________. a. convenience b. value pricing c. market segmentation d. value packing e. target marketing

natural

Fargo Inc. is a carbonated beverage manufacturer that has many manufacturing plants around the world. It is planning to shift from using thermal power to wind power for its manufacturing plants in the Netherlands to decrease dependency on nonrenewable sources of energy. This scenario depicts Fargo's concern for its ________ environment. a. natural b. political c. demographic d. economic e. cultural

perceived customer value

FedEx offers its customers fast and reliable package delivery. When FedEx customers weigh these aforementioned benefits against the monetary and psychic costs of using the service they are acting upon____________. a. loyalty b. perceived customer value c. social relationships d. a societal marketing campaign e. relationship marketing

modified rebuy page 157

Franck Brown calls his department manager to assist in a purchase of industrial equipment. He is considering a change in product specifications, terms, and possibly suppliers. Franck is involved in a

product

GE employs different sales forces within different product and service divisions of its major businesses. For example, within GE Infrastructure, the company has separate sales forces for aviation, energy, transportation, and water processing products and technologies. GE has most likely adopted a ________ sales-force structure. a. product b. market c. customer d. territorial

alternative evaluation

How the consumer processes information to arrive at brand choices are called_____________. a. post purchase dissonance b. opinion leaders c. situational factors d. alternative evaluation e. lifestyle

a company creates a forum where anyone can contribute new product ideas

In which of the following cases is crowdsourcing used for new product development? a. a company hires a marketing agency to generate new product ideas. b. a company partners with a design agency to create new prototypes c. a company creates a forum where anyone can contribute new product ideas d. a company reviews the sales, costs, and profit projections of an existing product e. a company depends on its R&D department to come up with new ideas

preapproach

In which step of the selling process does a salesperson set call objectives? a. preapproach b. approach c. presentation d. qualifying e. prospecting

service variability

JB Auto Detailing's customers have noticed that the quality of services depends on who provides them as well as when, where, and how they are provided. What have the customers noticed? a. service variability b. service distinction c. service intangibility d. service perishability e. service inseparability

personal selling

Karen Dodd is employed by Dell and responsible for calling on primary schools in her home state of Maine to promote the company's offerings. She demonstrates the Dell line of products including desktop computers, laptops, and tablets and fields questions from teachers and administrators alike. This is an example of which promotion tool? a. personal selling b. digital advertising c. sales promotion d. public relations e. television advertising

prospecting

Karen Rogers is a salesperson for Solar Panels Inc. She attends builder trade shows to identify potential customers in an effort to build long-term profitable relationships. Karen Rogers is engaging in which step of the selling process? a. prospecting b. demonstration c. preapproach d. approach e. presentation

a conflict between Performance Inc. and The Sneaker Store

Performance Inc. sells its newest athletic shoe styles to The Sneaker Store and distributes dated or slightly defective merchandise through Sports Discounters. Performance Inc.'s main competitor is Topnotch Manufacturers. Performance Inc. also markets its products through the company Web site. They decide to offer a short-term online promotion to encourage consumers to buy their newest athletic shoes, promoting a 20 percent discount off current retail prices. In such a distribution channel, which of the following would be considered a vertical conflict? a. a conflict between Performance Inc. and Sports Discounters b. a conflict between The Sneaker Store and Sports Discounters c. a conflict between Performance Inc. and Topnotch Manufactures d. a conflict between Performance Inc. and The Sneaker Store

core benefit

Product planners need to think about products and services on three levels. the most basic level is the__________________, which addresses the question, "What is the buyer really buying?" a. exchange b. core benefit c. actual product d. augmented products e. co-branding

industrial products

Products and services fall into two broad classes based on the types of consumers that use them. Which of the following is one of these broad classes? a. materials and parts b. specialty products c. industrial products d. convenience products e. supplies and services

value-added

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

true

SBUs identified as cash cows need less investment than stars. True or False

trade

Sales promotion tools used to persuade resellers to carry a brand, give it shelf space, promote it in advertising, and push it to consumers are collectively called ________ promotions. a. trade b. consumer c. point-of-purchase d. sales-force e. business

multibrands

Sportware, a leading shoe manufacturer, markets sneakers under the brand name "Athletix" and dress shoes under the brand name "Cameo" in order to target the two different market segments. What branding strategy is most likely being used by Sportware? a. multibrands b. new brands c. co-brands d. brand extensions e. line extensions

product placement

Starbucks has signed a contract with a television production company to have its brand featured prominently in a new situation comedy about empty nesters. The conditions of the agreement state that the situation comedy will feature only the Starbucks brand of coffee. What kind of advertising technique is being used in this example? a. product placement b. geofencing c. advertainment d. vertical integration e. subliminal advertising

first four

The ______________steps of the five-step marketing process are about understanding customers, creating customer value, and building strong customer relationships. a. last four b. last three c. first three d. first two e. first four

market- penetration strategy

The first Target store opened in 1962. Its initial strategy was to set prices low to attract a large number of buyers quickly and win a large market share. This is referred to as ________. a. deception b. market- skimming pricing c. predatory d. market-penetration strategy e. target costing

false

The image of a product in the minds of consumers is called market segmentation. true or false

idea generation

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

concept testing

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

motivation research

The term _______ refers to qualitative research designed to probe consumers' hidden, subconscious motivations. a. perception analysis b. need recognition investigation c. opinion leader d. depth research technique e. motivation research

market penetration

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

product development

Under Armour's decision to add athletic shoes to its apparel line in 2006 is an example of a ________ strategy. a. market development b. product development c. diversification d. market penetration e. downsizing

oligopolistic competition

Under ________, the market consists of a few large sellers who are highly sensitive to each other's pricing and marketing strategies. a. oligopolistic competition b. pure monopsony c. pure competition d. a pure monopoly e. monopolistic competition

more-for-the-same

Using a ________ positioning strategy, companies can attack the more-for-more strategy of another firm by offering a brand of comparable quality at a lower price. a. less-for-much-less b. more-for-the-same c. same-for-less d. more-for-less e. less-for-more

selective distortion

Vanessa and Dave both attended a sales seminar. Both left the seminar with differeing opinions of what was important to implement in their jobs. Both used the information in different ways, according to what each already believed was important. They have engaged in __________. a. selective attitude b. selective retention c. perceptual defense d. selective distortion e. selective attention

product

We define__________as anything that can be offered to a market for attention, acquisition, use, or consumption that might satisfy a want or need. a. product b. service variability c. service d. service encounter e. private brand

corporate, contractual, and administered

What are the three major types of vertical marketing systems? a. corporate, contractual, and administered b. corporate, contractual, and task c. corporate, contractual, and chain d. contractual, corporate, and independent

promotional pricing

What type of pricing is being used when a company temporarily prices its product below the list price or even below cost to create buying excitement and urgency? a. dynamic pricing b. referent pricing c. psychological pricing d. segmented pricing e. promotional pricing

demands

When backed by buying power, wants become a. desire b. demands c. wants d. needs e. exchanges

market growth rate

Which of the following criteria provides a measure of market attractiveness in the Boston Consulting Group approach? a. market growth rate b. market sentiment c. relative market share d. brand image e. return on market investment

the are more relevant than secondary data

Which of the following is an advantage of primary data? a. they are more relevant that secondary data. b. they are less expensive to obtain than secondary date c. they can be obtained more quickly than secondary data d. they can be accessed from exiting information e. they are more reflective of past problems

full-service stores

Which type of stores usually carry more specialty goods for which customers like to be "waited on" and have much higher operating costs, which are passed along to the customer? a. self-service stores b. full-service stores c. off-priced stores d. independent stores

a Ford car dealer complaining that another Ford dealer is underpricing the same models

Which of the following is an example of a horizontal conflict in a distribution channel? a. a Nike shoe dealer complaining that the shoes provided to the dealer are defective b. a Gucci executive companioning to Gucci's suppliers of delays in shipping consignments c. a Walmart executive complaining to a Pepsi executive for no replenishing stocks on time d. a FedEx agent complaining that a DHL agent is cutting of his business e. a Ford car dealer complaining that another Ford dealer is underpricing the same models

competitors

Which of the following is not a type of factor in a company's macroenvironment? a. technology b. economic c. competitors d. political e. demographic

market segmentation, market targeting, differentiation, and positioning

Which of the following is the right order of the steps that companies generally follow in designing a customer-driven marketing strategy? a. positioning, market segmentation, mass marketing, and market targeting b. market segmentation, market targeting, differentiation, and positioning c. market alignment, market segmentation, differentiation, and market positioning d. market segmentation, differentiation, positioning, and market targeting e. market recognition market preference, market targeting, and market insistence

it has one channel member owning all the other channel members or has contracts with all other channel members

Which of the following is true of a vertical marketing system? a. it is formed when two or more companies at one level join together to follow a new marketing opportunity b. it is formed when a single firm sets up two or more marketing channels to reach one or more customer segments c. it has each channel member acting as a separate business unit trying to maximize its own profits d. it does not give overall power to any one member in the channel. e. it has one channel member owning all the other channel members or has contracts with all other channel members

consumers are not always honest and open about their opinions

Which of the following is true of focus group discussions? a. consumers are not always honest and open about their opinions b. results can be easily generalized to an entire population c. they usually employ large samples d. consumers' facial expressions are hidden e. the quantitative data can be evaluated quickly and economically

Production Concept

Which of the following marketing management orientations focuses primarily on improving efficiencies along the supply chain? a. product concept b. marketing concept c. societal marketing concept d. selling concept e. production concept

a push strategy

Which of the following promotion mix approaches involves a producer promoting a product to different channel members who in turn promote the product to customers? a. a push strategy b. direct marketing c. the publish-subscribe method d. a pull strategy e. vertical integration

product costs

Which of the following sets the lower limit for a product's pricing? a. profits b. competition c. elements of product mix d. consumer perceptions of value e. product costs

consumer perceptions of value

Which of the following sets the upper limit for a product's pricing? a. product costs b. competition c. consumer perceptions of value d. elements of product mix e. profits

Stars often need heavy investment to finance their rapid growth in a market.

Which of the following statements is true in the context of the BCG growth-share matrix? a. stars often need heavy investment to finance their rapid growth in a market b. cash cows typically turn into stars c. dogs promise to be large sources of cash d. the positions of SBUs in the growth-share matrix rarely change over time e. the income from one SBU cannot be used to support other business units.

the market environment

Which of the following terms is used to describe the factors and forces outside marketing that affect marketing management's ability to build and maintain successful relationships with target customers? a. target markets b. none of the above c the marketing environment d. the marketing mix e. strategic planning

customer perceived value

Which of the following terms refers to a customer's evaluation of the difference between all the benefits and all the costs of a market offering relative to those of competing offers? a. share customer b. customer profitability c. customer lifetime value d. customer equity e. customer perceived value

large; one of a few niches

With concentrated marketing, the marketer goes after a ____________ share of __________. a. large; one of a few niches b. small; a small market c. moderate; local d. small; a large market e. large; the mass market

the macro environment

You are directed to study the factors that are larger societal forces that affect your company - demographic, economic, natural, technological, political, and cultural. What are you studying? a. the micro environment b. the marketing environment c. the marketing mix d. the macroenvironment e. the global environment

demographic

Your marketing department is currently researching the size, density, location, age, and occupations of your target market. Which environment is being researched? a. demographic b. economic c. psychographic d. cultural d. geographical

samples

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

marketing channels

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

sales quotas

________ are the standards stating the amount salespersons should sell and how sales should be divided among the company's products. a. sales quotas b. sales promotions c. display allowances d. time-and-duty analyses e. sales resorts

shopper marketing

________ builds around what P&G calls the "First Moment of Truth" — the critical three to seven seconds that a shopper considers a product on a store shelf. a. warehousing b. shopper marketing c. internal marketing d. test marketing e. sole sourcing

buzz marketing

________ involves enlisting or even creating opinion leaders to serve as brand ambassadors who spread the word about a company's products. a. values marketing b. traditional marketing c. buzz marketing d. direct marketing e. social marketing

perception

________ is the process by which people select, organize, and interpret information to form a meaningful picture of the world. a. retention b. motivation c. perception d. selective perception e. learning

selective retention

________ means that consumers are likely to remember good points made about a brand they favor and forget the good points made about competing brands. a. selective distortion b. selective retention c. subliminal perception d. selective attention e. restraint bias

co-branding

________ occurs when two established brand names of different companies are used on the same product. a. brand positioning b. licensing c. private branding d. co-branding e. franchising

cost-based

________ pricing involves setting prices based on the expenses involved in producing, distributing, and selling a product plus a fair rate of return for a company's effort and risk. a. good-value b. value-added c. cost-based d. demand-based e. competition-based

retailing

________ refers to the activities involved in selling products or services directly to final consumers for their personal, nonbusiness use. a. manufacturing b. warehousing c. retailing d. sole sourcing e. procurement

a value proposition

________________is a set of benefits a company promises to deliver its consumers to satisfy their needs a. a money-back guarantee b. low pricing c. good customer service d. an attribute e. a value proposition

unsought products

_______________are consumer products that the consumer either does not know about or know about but does not normally think about buying. These products require a lot of advertising, personal selling and other marketing efforts. a. convenience product b. unsought products c. shopping products d. specialty products e. line extensions

personality

_______________refers to the unique psychological characteristics that lead to relatively consistent and lasting responses to one's own environment. It is usually described in traits such as self-confidence, dominance, sociability, autonomy, defensiveness, adaptability, and aggressiveness. a. alternative evaluations b. culture c. belief d. personality e. self-awareness

services

______________are a form of product that consists of activities, benefits, or satisfactions offered for sale that are essentially intangible and do not result in the ownership of anything. a. line extensions b. brands c. supplements d. consumer products e. services

a market

______________is the set of actual and potential buyers of a product. a. a market b. an audience c. a group d. a segment e. an exchange

specialty products

_____________are consumer products and services with unique characteristics or brand identification for which a significant group of buyers is willing to make a special purchase effort. a. unsought products b. line extension c. shopping products d. industrial products e. specialty products

cues

_____________are subtle stimuli that influence where, when and how a person responds to an idea. a. message b. personalities c. cues d. drives e. impulses

product positioning

____________is the place a product occupies in the consumer's mind relative to competition. a. market segmentation b. product promotion c. market targeting d. product placement e. product positioning

self-service

___________is the basis of all discount operations and is typically used by sellers of convenience goods. Retailers offering this level of service require customers to perform their own "locate-compare-select" process in order to save money. a. limited-service b. self-service c. full-service d. wholesale

wholesalers

_______buy mostly from producers and sell mostly to retailers and industrial consumers. a. independents b. discount stores c. megaretailers d. wholesalers

specialty stores

___carry narrow product lines with deep assortments within those lines. a. chain stores b. convenience stores c. discount stores d. specialty stores