Marketing
The Ideal Hotel rents rooms for an average of $100 per night. The variable cost per rented room is $20, to cover housekeeping service and utilities. The fixed costs are $100,000 and the hotel's profit last year was $20,000. Ideal's contribution per unit is
$100
In one year, the Hidden Gorge Resort incurred $100,000 in fixed costs. Because the resort booked 10,000 room nights, its total variable cost is $100,000 (10,000 room nights × $10 per room). Thus, its total cost is
$100,000
Roger estimates that he fixed costs associated with opening a new bank branch are $500,000. He expects the branch to attract 1,000 new customer accounts in the first year, each of which will cost $50 per year to service. He also expects to generate $100,000 per year in revenue. The total cost of opening the new branch and remaining open for one year will be.
$550,000
When Apple's famous "1984" ad aired during the CBS telecast of Super Bowl XVIII, it reached an estimated 500 million viewers. It aired only once but has subsequently been featured in at least 10 television programs recalling great commercials. The frequency measure of this ad for its target audience is
1
Superior Hotel rents rooms for an average of $100 per night. The variable cost per rented room is $20. Fixed costs are $100,000 and the hotel's target profit is $20,000. To earn this target profit, Superior will need to rent out
1,500 room
When Lance asked his firm's advertising agency to estimate how often consumers saw his firm's IMC message and what percentage of the target audience was exposed to the message , he was told the reach was 40 , the frequency was 4 , and the competitive parity was 10. The gross rating points for his firm's campaign were .
160
Assume the demand for electricity, a necessity with few substitutes, is -0.2. If the electric company raised its rates by 10 percent, we would expect
2 percent decrease in quantity demanded
If the fixed costs of manufacturing a new cell phone are $10,000, the sales price is $60, and variable cost per unit is $20, the break-even point is
250 units
When a market has become saturated, firms may attempt to enter new geographical markets that may be less saturated. For example, pharmaceutical companies are realizing that they need to turn to Blank for continued growth int he coming years
BRIC countries
Rafael developed a mouthwash using only natural ingredients, and he has been quite successful selling the product in health food stores and some grocery stores. He has recently developed a toothbrush made of bamboo and natural components. Rafael is considering a Blank , giving the toothbrush the same brand name as the mouthwash in order to create greater brand awareness.
Brand extension
Jim manages a high-end lighting fixtures company. He wants to invite 20 of his most valuable building-contractor customers to a golf outing and party. Jim will likely use his firm's ________Blank to identify these customers.
CRM system
Lina is watching her line of organic dog treats enter the maturity stage of the product life cycle. What can you tell her about the competition at this stage?
Competition is intense
What situation is occurring if a 1 percent decrease in price results in more than a 1 percent increase in quality demanded?
Demand is price elastic
Which statement about the growth stage of the product life cycle is true?
Firms attempt to reach new consumers by studying their preferences, which enable them to segment the market more precisely
Georgina wants to increase the number of visits to her insurance firm's website, which specializes in rental insurance for college students. She decides to target Internet users who search for the terms "apartment," "insurance," and "student." What will be most helpful to her?
Google Ads
Salah works for a company that makes high - quality goose down bedding . When recommending potential retail partners , what should be Salah'sfirst consideration ?
How likely is it for certain retailers to carry this product?
Consumers might not realize that Old Spice health and wellness products and Iams pet nutrition products are made by the same company—Procter & Gamble. Old Spice and Iams are known as
Individual brands
Billy owns a pet - sitting service . He recently paid a web developer to build a special version of his company website for use on smartphones . Customers will now be able to easily place orders for pet sitting on their cell phones . This is an example of
M-commerce
For a major university, undergraduate studies, graduate studies, and professional programs are Blank within the university's product mix
Product lines
The National Institutes of Health (NIH) sponsors medical foundations to conduct research to treat rare diseases. The research is then disseminated to the medical community, thus encouraging the development of drugs and therapies more quickly and at a lower cost than would be possible if the research were privately funded. This relationship is an example of
R&D consortia
Aileen's specially formulated cat food has reached the maturity stage of the product life cycle. What is Aileen probably observing about this product in the marketplace?
Sales:peak;Profits:peak to delicing;Typical Consumers:late majority;Competitors: high number of competitors and competitive products
The manufacturer of Beats headphones by Dr.Dre decides to advertise in the "lifestyles" sections of big city newspapers. However, this generates a limited response in sales. Which of these explains a likely breakdown in the communication process here?
The message was not received by its intended audience
When Ellen is conducting exploratory concept testing for her firm's new antipiracy software , what is the most important question she should ask ?
Will respondents purchase the software if it becomes available?
Dora created a virtual prototype of her new line of handmade jewelry on a website to show to consumers. She realizes there are multiple lines of jewelry on the market and hers will need to be unique. What important question should she be asking at this point?
Will this jewelry line satisfy an unmet need?
Sayid is deciding whether to purchase brand - name dress shirts or a less expensive store brand . He has purchased other shirts with the same brand name in the past but was only marginally satisfied - despite the cost . In this situation , Sam is likely to purchase the store - brand shirts because at lower cost they offer
a better brand image
When Warby Parker promotes its slogan , " Buy a pair , give a pair , " it is meant to suggest a lifestyle aspiration . If consumers make a connection between the Warby Parker brand and this promotional effort , then the online eyeglass company has created
a brand association
Christopher saw a billboard advertising the touring production of Wicked and purchased tickets for the show on his way home. Marketers cannot assume the billboard made a difference because there is not always a direct link between a particular form of marketing communications and
a consumer's purchase
When a local used-car lot promises no price haggling, it exhibits________ because it provides additional value to potential used-car buyers by making the process simple and easy
a customer orientation
Clean Car , a manufacturer of hybrid cars , paid a service provider to monitor its television ads around the country . This service provider discovered that in two locations the ads were cut off by the following ad before they had been broadcast in their entirety . Clean Car is experiencing IMC noise problems associated with
a flaw in the medium
When Stephanie shops at the local department store, each item has the actual price listed at the bottom of the price tag and an "original price" listen above that is always much higher. This "original price" is an example of
a reference price
The Internet offers many advantages to retailers and customers. Which is least likely to be one of these?
ability to distribute promotional materials such as samples
Nina could recall the brand of detergent she used only when a marketing researcher mentioned the brand. This is known as
aided recall
Risa asked her sister Bette to help her pick an aftershave for their brother. Bette started reciting a list of different brand names until Risa stopped her and said, "I know and like that one." Marketers call this type of response
aided recall
Ana is using a test model of her firm's new glow-in-the-dark-nail polish to see whether it work according to the design specifications. Ana is engaged in
alpha testing
Before Segway manufactured its two-wheeled people movers, it built a prototype and had staff engineers test it for performance and stability. At this stage, Segway was involved in
alpha testing
Some credit cards provide free liability insurance, funded by the bank issuing the card, when a customer pays for a rental car using the card. This extra insurance is an example of
an associated service
Winston's heating and air-conditioning company specializes in electric heat pumps. Winston should keep track of the price of natural gas, knowing that
an increase in the price of natural gas will increase demand for electrical heating systems
Mila's Makeup Mart has decided to branch out from its existing stores . It plans to start sending out a catalog and to sell its products online . Mila's is adopting
an omnichannel strategy
Aiyana wants to create a unique image for her store to influence customers shopping there to make a purchase , so she willmost likely focus on
atmospherics
Julia is renovating the dining area of her popular seafood restaurant because customers have complained about the way sounds echo around the room, making conversation difficult and eating there an uncomfortable experience. Julia's challenge is to improve the restaurant's
atmospherics
When Cheyenne shops in her town , she always buys something at her favorite store , Bliss Boutique , because the owner burns scented candles , plays calming music for shoppers , and creatively displays the merchandise . Bliss Boutique understands the importance of
atmospherics
Why would a firm spend over $5 million for a 30-second ad on television during the Super Bowl?
because the Super Bowl offers and opportunity to create significant brand awareness
In the case of the Google search engine, the brand name has
become synonymous with the product itself
A few of Crystal Clear Water Systems Inc. customers are asked to try out a new water filter that has not yet been released on the market. This is an example of
beta testing
One reason auto companies spend millions on racing cars is that they offer the opportunity to test new designs and technology under extreme conditions. Using the cars in a real-use setting provides an opportunity for ________ the product.
beta testing
YourEye is developing eye tracking technology that works with an individual's webcam . Instead of spending thousands of dollars on eye - tracking equipment and having customers come into labs , firms will be able to utilize webcams to track not only what a person attends to on a computer screen but also his or her emotional reactions to these products . Firms such as YourEye are automating the
beta testing process
An appliance company is advertising its new eco-friendly washer. Its marketing team understands that its competition is known for being economical, a good value, aesthetically pleasing, and good for the environment. The competitor has the advantage of
brand associations
Lawrence wants to purchase a gift for a friend he will be visiting. He decides to bring luxury chocolates and heads directly to a store selling Godiva Chocolates, because he knows this is a high-end brand. When it comes to chocolates, Lawrence has
brand awareness
Your manager has asked you to find out how many consumers in the market are familiar with the company's brand of mouthwash. What information are you looking for?
brand awareness
Ari tried a new low-calorie chip and thought it was awful. He was especially disappointed because he liked the mixed-nut bar marketed under the same brand name. Now he wasn't sure he even wanted to buy the bars he liked before. This highlights a problem in branding known as
brand dilution
When Proctor & Gamble added teeth-whitening products under the Crest brand, the firm was engaged in
brand extension
When the restaurant chain Pancake Heaven launches its own brand of homemade ice cream, it is using a
brand extension
Tony wants a stylish home. After researching many options, he went to a local Target to purchase the trendy lamps, pillow, and art featured in its ads and on its website. Which retailing challenge did Target overcome in Tony's case?
brand image consistency
Henri is passionate about Bomba socks. He hasn't bought any other brand in the last few years and will often write positive reviews on his blog about Bomba merchandise. From a strictly marketing perspective, Henri's positive reviews reflect
brand loyalty
When a dairy company changed the shape of its packaging to fit more packages of butter into the same shelf space, this was a subtle way in which the firm Blank its product
branded
When Jia shops for nail polish, she always buys Burnt Cinnamon by Maybelline. This is an example of
branded loyalty
Bartleby's Office Supplies has large stores resembling warehouse environments, with racks stocked from floor to ceiling with different types of office supplies. Its assortment is the largest in town, and its prices are low. Bartleby's is a(n)
category specialist
Darryl overheard an unpleasant encounter between the manager of the supermarket where he works and a sales rep who sells a well-known line of paper goods. The rep insisted that her products should be more prominently displayed. The manager had other plans and told her so, and the conversation turned into a loud argument. What Darryl observed was an example of
channel conflict
During his recent business trip, Jackson stayed in a hotel across the street from a restaurant that had a Dunkin Donuts and Baskin Robbins ice cream store in the same building. These two restaurant chains being located together represents the idea of
co-branding
When her company's component parts were delivered late for the second time in a month, Brigitte withheld payment from her supplier until it was back on schedule. This is an example of ________ power.
coercive
Which of these activities is least likely to be improved with the use of an integrated CRM?
collecting payments
Silverwood Hot Spring Spa competes directly with Carey's Day Spa. When it comes to pricing, Silverwood tends to charge its guests rates similar to what Carey's charges. Silverwood is using a Blank pricing strategy
competitive parity
When Meira decides how to price new products in her hardware store, she measures the value of her product offerings against those of the other stores in her area. Amy uses a Blank pricing strategy
competitor-oriented
Otis owns a kids' shoe store that sells plastic beach sandals. Two blocks down there is another shoe store that sells sandals for $1 less than Otis does. Otis decides to lower his price and match that of the other store. What type of pricing orientation is he implementing?
competitor-oriented pricing
Adam is a luxury RV dealer located in Chicago . Despite his successful business in the metropolitan area and the Midwest , for years he has had difficulty selling RVs to city dwellers because there are few affordable options for customers to store their vehicles off - season . RVs and spaces to store them are an example of
complementary products
Sanjay, an industrial equipment sales rep, purchases a quick snack to eat on the way to work. He buys lunch while on the road visiting customers, and grabs bread and milk on the way home when he stops to buy gas. Sanjay probably does most of this shopping at a
convenience store
Considering what you know about their target markets and merchandise, which of the following retailers is least likely to have an online presence?
convenience stores
|n a(n) Blank marketing channel, each member attempts to satisfy its own objectives
conventional
If a firm declared that it wanted to develop a strategic relationship, but was unwilling to commit funds or any effort to make it succeed, there would be an obvious lack of
credible commitments
Meghan is looking for a Michael Kors chronograph watch and assumes she can view and try them on at Macy's . She makes a special trip to the store to look at the watches and selects the style she likes best . Which aspect of choosing a retail partner allowed Meghan to confidently shop for this item at a particular store ?
customer expectation
Lightning Bolt is an upscale running gear store. Prices are based on customers' beliefs about the value of the gear. The store focuses on a limited target market and provides excellent customer service. Lightning Bolt's manager is using a Blank pricing strategy
customer-oriented
During the Blank stage of the product life cycle, firms either position themselves for a niche segment of diehard consumers or they completely exit the market
decline
Carrie and Julie really enjoyed a funny television commercial that reminded them of their own families, but at the end they weren't sure what product the ad was promoting. Carrie and Julie had trouble Blank the IMC message
decoding
Sally was frowning as she listened to the speaker. She was Blank the speaker's message
decoding
The manager of Dewdrop Diner keeps track of the prices competitors charge, knowing that a decrease in the prices at the restaurants will
decrease demand for Dewdrop's products
Mary Lou creates macramé plant hangers out of old sweaters and sells them to customers at local craft fairs. What type of marketing channel does this represent?
direct
Brenda wants her firm's marketing communications to be more carefully targeted in order to increase customers' receptivity to the firm's marketing messages. To achieve this goal, Brenda will likely turn to
direct marketing
Nicole will be a bridesmaid next summer, and she purchased her dress online. The next time she turned on her computer, Nicole was surprised to see special offers for matching accessories. This is an example of which marketing strategy?
direct marketing
When purchasing products on Amazon.com customers are shown other books and a message saying "Customers who purchased [your product] also purchased..." This message is an example of
direct marketing
When the premium gift company Harry and David mails coupons to previous customers to encourage them to reorder , it is using
direct marketing
Jacques makes croissants and sells them to local restaurants. This is an example of a(n)
direct marketing channel
Some products may stay comfortably in the maturity phase of the product life cycle until a new product emerges to replace them. An example of such a mature product is
dishwashers
Jiyang's vegan restaurant is located in a business district that has few customers on the weekend. To attract diners on Saturday and Sundays, it reduces its prices on these two days. This is an example of
dynamic pricing
Marketing channels and supply chains comprise various buying entities that form relationships with one another. The basic motivating factor in these interactions is
each party wants something from the others
Competition from a variety of other kinds of retailers has adversely affected the conventional supermarket business Stephen's family has owned and operated for years. To address the new competitive reality, Stephen wants to apply what he recently learned as a marketing major and has recommended that his family's business should
emphasize fresh, locally sourced perishables
Sloane has designed innovative accessories for hard - core gaming enthusiasts . She knows where and how she will make them , and she needs to turn her attention to getting the products to the customers . As she chooses retail partners , which of the following isleast important in this process ?
encouraging new gaming enthusiasts
Earth Sourced Foods produces organic food products like stone-ground grits and wild rice. The company has limited production capacity and wants to carefully control where its products are sold. Earth Sourced Foods will likely choose Blank distribution intensity.
exclusive
Mulberry Street Fashions is launching a new line of on-of-a-kind embroidered baseball jackets. Each price is handcrafted, and production volumes will be very low. To emphasize the unique nature of these jackets, Mulberry Street Fashions will most likely choose Blank distribution
exclusive
Petra plans to sell her hand-woven scarves and shawls to the wealthy residents of a nearby resort town. Which level of distribution intensity is probably best for this product?
exclusive
Rick is debating how to allocate the IMC budget for his new ski equipment store. He knows having knowledgeable salespeople in his store can simplify buyers' purchase decisions. He should also consider that, compared to other IMC alternatives, personal selling is
expensive
Reese's Gourmet Cat Food sells products to a large big-box store. Unfortunately, Reese's doesn't have much say about how its products are marketed at the store because the big-box store feels it is much more knowledgeable about how to market. What type of power does the big box store's attitude represent?
expertise
Suppose an ad for Firestone Tires ran six times during a recently football game. In terms of IMC results for this ad, six is the Blank for the telecast of the game
frequency
Shanay asked her firm's advertising agency to estimate how often consumers saw her firm's IMC message and what percentage of the target audience was exposed to the message. Shanay is asking for Blank data
frequency and reach
When Toyota introduced hybrid cars, there were waiting lists to buy them. Then Honda and a few other manufacturers entered the market, shifting the product life cycle for hybrid cars into the __________ stage of the product life cycle.
growth
The "prime effect" created by Amazon providing free two-day shipping to every Prime member forces other retailers to offer rapid delivery, which can be very expensive for them. This is an example of Blank channel conflict
horizontal
Belinda is the marketing manager for a chain of pet supply stores . She uses a target return pricing strategy because her firm's primary objective is to
increase profits
Which trend has led to the rapid growth of direct marketing?
increase use of customer databases
No Sweat , a successful sweatshirt maker , responded to new customer preferences by starting to sell its best selling hoodie with cords and zippers in contrasting colors , adding 10 different sweatshirts to its line . In this example , the company is
increasing depth
Harriet is the IMC manager for a chain of regional income tax service providers. Her short-term goals for her firm's IMC efforts are likely to include
increasing inquiries, awareness, and trial of her firm's services
Monika is assessing the long-term effectiveness of her firm's IMC efforts. She will probably analyze the firm's success in
increasing market share, sales, and customer loyalty
An electronic store buys televisions, computers, smartphones, and gaming systems from various manufacturers and resells them to its customers. What type of marketing channel does this represent?
indirect
A study found that, among addicted smokers, a 10 percent increase in the price of cigarettes resulted in a 2 percent decrease in quantity demanded. For these consumers, cigarettes have a(n) ________________ price elasticity demand.
inelastic
Because Walmart has vast knowledge about the consumer goods market, it might exert Blank power over P&G by providing or withholding important market data
information
Becky is in charge of supply chain management for her company. In this role, she is responsible for
integrating suppliers, stores, and transportation companies
When Ink It Company designed a new pen that was particularly comfortable to use, it wanted to literally get the pen in the hands of as many consumers as possible rapidly. Ink will probably choose Blank distribution for its new product
intensive
PepsiCo wants to make its products available everywhere- grocery stores, convenience stores, restaurants, and vending machines. The more exposure the products get, the more they sell. The company is employing a(n) Blank strategy
intensive distribution
When supply chain members view their goals and ultimate success as intricately linked, or Blank they develop deeper long-term relationship
interdependent
During the product launch stage, a company is
introducing the product to the entire market
Damian's new line of electric bicycles is experiencing low sales and small, almost non-existent profits. In which product life cycle stage is it?
introduction
The CEO of Oscar's firm has told him "I just found out about product life cycle curve in a strategy seminar. This is a great tool. I want you to drop whatever you're doing and inventory all our products to establish exactly where they are in the product life cycle." Oscar needs to think fast for a good answer because he knows that
it is often impossible to identify with precision where a product is in the product life cycle
When a product is successful in the introductory stages of the product life cycle,
it may start to see profits toward the end of this stage
Hollywood studios typically release movies targeted toward general audience (G- or PG- rated movies) during the summer when children are out of school. The timing of the release pertains to the product's
launch
Lisa sells commercial-grade kitchen equipment to major hotel chains and restaurants. Whenever she visits her customer, she looks to see whether they are using the equipment for other tasks or have modified the equipment for some other purpose. These customers are examples of Blank, who can provide ideas for new and improved products.
lead users
Parklane Golf Equipment Corp. has been trying to develop a lightweight putter for years but does not have the best technology . After learning that Jeong Group had what it needed , Parklane bought the right to use Jeong's technology in its putters . What process is helping Parklane develop its new putters ?
licensing
To generate ideas for new products, some firms will purchase rights to use another firm's technology. This is known as
licensing
Squeaky Clean Car Wash uses punch cards to reward customers who make $60 in purchases with 20% off their next purchase. This punch card is one way Squeaky Clean is building
loyalty to the brand
Most U.S. automobile customers are familiar with and have an opinion, positive or negative, about American-made cars. This familiarity makes it easier for consumers to
make purchase decisions
When Lowe's Home Improvement stores sell to consumers directly, it acts as a ________; when it sells to other businesses, such as a building contractor, it acts as a ________.
manufacturer;wholesaler
In an effort to build sales quickly for its new home alarm system, Ever Alert Inc. sets initial price of the system very low. What type of pricing does this reflect?
market pentration
Hilda has used Revlon beauty products for years, even though there are many competitors on the market. Revlon is in the Blank stage of the product life cycle
maturity
A fashion accessories retailer encourages visitors to its stores to "check in" using a smartphone app. In return, customers receive an instant coupon toward that day's purchase. This is an example of
mobile marketing
Colette sends text messages to her preferred customers announcing the arrival of each season's new clothing. What marketing channel is she using?
mobile marketing
The Salvation Army runs a holiday campaign called the Mobile Bell Ringer in which volunteers send text messages to their friends' smartphones asking them to donate to the organization. Which type of marketing communication does this represent?
mobile marketing
In a vertical marketing system, if the system is Blank, the less likely conflict will occur
more formal
Because quick response ( QR ) systems allow for more frequent shipments of goods , a retailer is
more likely to have what customers want
|f a firm declared that it wanted to develop a strategic relationship but was unwilling to commit funds or any effort to make it succeed, there would be an obvious lack of
mutual trust
Paloma is developing a budget for her firm's IMC program. First she sets objectives. Then she chooses media, and finally she calculates the cost for each product to be promoted. Paloma is using the ________Blank method of establishing an IMC budget.
objetive-and-task
Robert is a marketer for a shoe manufacturer and wants to reduce inventory of irregulars, production overruns, and returns. Robert should consider using
off-price retailers
Chao's new employers is a much smaller company than the one she worked for before, and she has noticed that she channel functions are handled very differently int he smaller firm. Chao now realizes that larger firms.
often perform many different channel functions themselves
Who retains complete power in a corporate vertical marketing system?
parent company
Pavarti has just taken over her family's business after spending 10 years in the marketing department of a large corporation . She met with a representative from one of the firm's biggest customers , who told her , " We should think about how we can make the pie bigger rather than fighting over the size of the slices . " Pavarti had expected a more cutthroat approach rather than this call for a
partnering relationship
Relatively few consumers like to go to the dentist. Dental insurance plans that pay for regular checkups increase the Blank of dental care by reducing the cost to the consumer.
perceived value
Jian has purchased a number of books from Amazon.com and has learned to trust the company's recommendations. With these customized recommendations Amazon is creating value for Jian through
personalized offerings
Roger spent a lot of time looking at locations for his new store. He wanted it to be convenient for his customers to get to, but also in an area that would draw new customers. Roger is focusing on which functions of the four P's?
place
Jackman Manufacturing Group works with several different suppliers for component parts. One of the suppliers, Riley Corp., has achieved control over the entire supply chain because it tells Jackman when parts orders can be shipped and ships them only when Jackman orders at least 10 pallets worth of product. Riley Corp. is demonstrating________ in this supply chain.
power
Mary belongs to a national consumer panel created by a market research company . She regularly receives samples of unreleased new products from a variety of firms and fills out questionnaires about them . The national consumer panel Mary is part of is engaged in
premarket testing
Lucas knows that his customers always shop for top-of-the-line cashmere and that price is not a consideration. He decides to price his line of sweaters and socks above those of his closest competition in order to capture those customers who only look for the best. What type of strategy is Lucas using?
premium pricing
Harry customizes trail bikes , and no two of his bikes are alike . He notices that very few customers even ask the price before they decide to purchase a bike from him . Demand for Harry's trail bikes is probably
price inelastic
Suppose Walgreens wants to introduce its own brand of hand sanitizer, similar in composition and packaging to that of a national brand but at a lower cost. What kind of brand would Walgreens be introducing?
private-label brand
Enterprising Concepts has completed concept testing of its industrial vacuum cleaner. Before it begins market testing, in what stage should it engage?
product design
A university that has separate graduate and undergraduate admission offices recognizes that these are distinct
product lines
Yusuf has been asked to prepare a report detailing all the attributes of the " actual product Which of these features can he leave out of his report ?
product warranty
The Gap advertises its clothing across all channels using the same messaging every time. This demonstrates that retailers need to Blank across all channels.
provide a consistent brand image
As the number of communication media has increased, the task of understanding how best to reach target customers has
reaching target consumers
Valerie was surprised to see Procter & Gamble's Head and Shoulders shampoo being promoted as a glamorous health - oriented product . She always thought of Head & Shoulders as an anti - dandruff shampoo . The new ads suggest that Head & Shoulders hasmost likely been
rebranded
Leylah always buys and uses Wilson brand tennis balls . If she finds a Penn or Dunlop ball on the court , she gives it away . Brand - loyal tennis players like Leylah allow Wilson to charge a higher price and not lose many sales . By building a strong brand , Wilson has effectively
reduced the price elasticity of demand for its products
Macy's may have Blank power if a supplier desperately wants to be associated with the store, because being known as an important Macy's supplier enables that supplier to attract other retailers' business
referent
Mae would love to get her company's line of wall paints into Lowe's for sale. She believes that if Lowe's sells the products, other retailers will also want to. Which type of power does Mae hope to achieve?
referent
Charles owns a chain of shoe stores . He is evaluating how he allocates his firm's IMC budget . He invests in a variety of advertising media , spends money on his firm's public relations efforts , and is now considering social media opportunities . To ensure he reaches his target audience with the desired message , Charles must recognize that each IMC alternative
represents a part of a whole
When a global firm turns to its subsidiaries in less developed markets for new product ideas, the firm is engaged in
reverse innovation
When Blank power is evident, the channel member exerting the power offers some type of compensation to gain power over another member
reward
When Gigantic Furniture Big Box stores promise to purchase larger quantities if a manufacturer will lower its wholesale price, it is exhibiting Blank power
reward
When Sally's Seafood Shack wants napkins delivered in smaller batches more frequently, it offers its distributors an incentive in the form of special bonuses to change their schedules. Sally's offer demonstrates which kind of power?
reward
As director of marketing, Jake uses prior sales and communication activities to calculate the present communication budget. This strategy describes which method of IMC budgeting?
rule-of-thumb
Crystal is the marketing manager for a sporting goods store. Her boss tells her the firm's primary goal is to increase its local market share from 10 to 20 percent. Crystal's firm is using a________ orientation.
sales
Jessie plans to use a low introductory offer price to get people to join her yoga studio or to entice them away from their current studio. Jessie's low prices represent a Blank pricing strategy
sales orientation
An energy drink maker relies on student brand managers to distribute free samples to their peers. Which form of marketing communication is this?
sales promotion
When Chloe , an athletic trainer , invented a new heart monitor for runners , she could expect during the introductory stage that
sales would be low and profits nonexistent, but she would attract running equipment innovators
Amal's firm has set its corporate direction to become one of the leaders in each of its significant market segments . It is Amal's job to examine the firm's pricing strategy to discover how to maximize market share , even at the expense of profits in the short run . What kind of company objective would guide his effort ?
sales-oriented
Happy Bus Tours has decided to generate new sales by being the lowest-price competitor in the market so as to attract customers away from higher-priced tour operators. What kind of company objective does this reflect?
sales-oriented
What is one of the three interrelated factors that firms use to measure the success of a new product?
satisfaction of the firm's financial requirements
Most category specialists use a predominantly ________ approach to customer service.
self-service
Stores like Home Depot and Costco act as wholesalers when they
sell to contractors or restaurant owners
Retailing is the primary activity in all of the following situations except
selling goods on the Internet
In a television commercial for Bombas socks, the manufacturer Bombas play which role in the communication process?
sender
Denise's Studio , located in a shopping mall , offers Zumba dance classes for all ages . Denise's Studio is known as a ( n )
service retailer
In which retail category would you place Tisha's Beauty Salon?
service retailer
Mairead is planning to hike across Canada. She wants to make sure the hiking boots she chooses are the best ones for her adventure, so she is spending a considerable amount of time comparing alternatives. Mairead is purchasing what type of product?
shopping
When Elisa planned her trip to Italy, she spent month evaluating packages, airfares, and hotel accommodations. Elisa's trip is an example of a(n) Blank product.
shopping
Zappos, an online shoe company, knows shoes are typically a(n) __________ good, with consumers often spending time comparing alternatives. They overcome that aspect of consumers' search process by offering a free, no questions asked return policy.
shopping
Peter's frequent customers use his company blog on a regular basis to find out about new merchandise and share product preferences . These customers are engaged in
social shopping
Owen likes artisan bread and will drive to multiple stores to find his favorite brand. His twin sister Tasha loves brad bust doesn't care about brands. For Owen, bread is a Blank good, while for Tasha it is a Blank good.
speciality; convenience
Cesar told the manager of his gas station to always adjust prices to match those charged by the other convenience store across the street. Cesar is using a Blank pricing strategy
status quo
Several years ago, changes in advertising restrictions allowed pharmaceutical companies begin promoting their products through traditional media. Today, it is common to see ads on television ending with "Ask you doctor about [our medicine]." After generating awareness about their drugs, the companies are next hoping to
stimulate interest, inviting consumers to investigate further
Whole Foods needs Tom's of Maine natural products to satisfy its customers, and Tom's of Maine recognizes that if it can keep Whole Foods happy, it will have more than enough business for years to come. Tom's of Maine and Whole Foods recognize that it is in their common interest to be
strategic partners
Antonio Frozen Pizzas recently started buying cheese for its pizzas from Lakeville Dairy Supply. Lakeville is part of Antonio's
supply chain
When Gloria rents a book from an online retailer for her college class , she keeps the box it came in so she can return it in that same box at the end of the semester . This box is an example of
sustainable packaging
As Paloma and her family drove from Chicago to Orlando, they played a game of counting the number of McDonald's golden arches they saw along the way. The arches are McDonald's
symbol
Becky tells her sales representatives their goal is to generate at least a 15 percent return on investment for all the computer desks they sell. Becky is using a________ pricing strategy.
target return
A fast-food chain often markets new drinks and sandwiches in a dozen or so of its outlets before releasing them nationwide. When the company does this, it is engaged in
test marketing
Many restaurant chains roll out new ideas first in Orlando, Florida, a location that attracts a vast range of diverse tourists and thus might offer insights into what various consumer groups will like. This practice is an example of
test marketing
Mario wants to expand the market for his specialty line of clothing, but he doesn't have the funds to build a second store or to create a catalog. What channel would be the best way for Mario to find more customers without incurring a huge expense?
the Internet
Jasper owns an appliance repair service. He has observed over the years that customers keep their older-model appliances longer when the economy is doing poorly, creating demand for his service. Jasper has observed the impact of Blank on demand for his business.
the income effect
Francesca sees a magazine ad for a perfume she has never heard of. After seeing the ad, she will most likely need additional exposure to the product before deciding to purchase it. This is an example of
the lagged effect
Lydia will drive 10 miles out of her way to save a dollar on her preferred brand of laundry detergent. Lydia perceives price as ________Blank for a good or service, while most consumers recognize price as the ________Blank made to acquire a good or service.
the money paid;overall sacrifice
Monique purchased some eyeliner from an Internet-based beauty supply house, and now she often receives online recommendations for other products from the same cosmetics line. These recommendations were probably the result of
the purchases she had made
Good-to-Go Corp. has a new concept for a lightweight electric scooter that can be easily folded and taken with you inside a building or on public transportation. The company is currently engaged in concept testing. The most important question during this phase of product development pertains to
the respondent's purchase intentions if the product were made available
Many options are available to consumers when it comes to toothpaste . If Procter & Gamble significantly increases the price of Crest toothpaste , consumers are more apt to buy another brand instead . This illustrates which concept ?
the substitution effect
While Madeline was shopping at the kitchen and bath store she noticed a product she had never heard of called an apple corer. She bought one because she thought it would make it easy to prepare apples for her son's lunchbox. This apple corer is an example of a(n) Blank product for Madeline.
unsought
A sales person who cold calls you to sell a cemetery plot is most likely offering what type of product?
unsought product
Microsoft's Windows operating system continues to dominate the market, even though it has been around for over 20 years. Windows will likely remain in the maturity stage of the product life cycle
until a superior product comes along to replace it
Jian manages an Asian restaurant and is considering keeping it open later on Friday and Saturday nights. He is concerned about the additional costs of labor and ingredients this decision will create. With what type of costs is Jian concerned?
variable
Franchising is a type of contractual Blank marketing system
vertical
Suppose Atlas Inc. wants Home Depot to carry all its tools but not the tools of its competitors so that Atlas can maximize its sales. But Home Depot carries a mix of tool brands so it can maximize the sales in its tool category. This misalignment of goals will likely lead to a(n) ________Blank channel conflict.
vertical
Anton has a large family and likes to stock up on large packs of basics like toilet paper and paper towels and large bottles of condiments like ketchup . Anton most likely shops for these items at a ( n )
warehouse club
Ezra works for Bloomington Inc., which buys plumbing products directly from the manufacturer and resells them to retailers, which then sell the products to consumers. Ezra works for a
wholesaler
