Midterm 3 | BUS2 130

A department store is characterized by a ________. a. product line-up of clothing, home furnishings, and household goods b. narrow product line c. product line that primarily stocks specialty goods d. deep assortment in every single product category X e. predatory pricing strategy

?

Which of the following is true of a conventional distribution channel? a. It has each channel member acting as a separate business unit trying to maximize its own profits. b. It has one channel member owning the other channel members. c. It has all members of the channel acting as a unified unit. d. It consists of the producer selling its product directly to the customer without the use of intermediaries. e. It is a distribution channel where the producer is owner of all other channel members.

a. It has each channel member acting as a separate business unit trying to maximize its own profits.

Which of the following statements is true of consumer promotions? a. It includes a wide range of tools like samples, coupons, refunds, and so on. b. Conventions and trade shows are a part of consumer promotions. c. It is primarily used to generate business leads, stimulate purchases, reward customers, and motivate salespeople. d. It persuades resellers to carry a brand. e. Display allowances are a type of consumer promotion tool.

a. It includes a wide range of tools like samples, coupons, refunds, and so on.

Which of the following is an advantage of an outside sales force? a. It provides face-to-face collaboration and relationship building. b. It can make more decision-maker contacts a day as compared to the inside sales force. c. It is less expensive than the inside sales force. d. It essentially provides daily access and support. e. It is the most effective way to provide technical sales support to buyers.

a. It provides face-to-face collaboration and relationship building.

AirNetwork, a telecommunication company, sponsors a rock concert by a famous band. This is an example of ________. a. event marketing b. point-of-purchase promotions c. cent-off deals d. price packs e. premiums

a. event marketing

Customers at Carat, a premium jewelry store, are encouraged to call and take an appointment before a visit so that a customer service representative is assigned to them. These representatives help every customer make a purchase that meets his or her needs and budget after considering numerous options. The different styles, carat values, and special features of the jewelry are explained to each customer to aid the purchase decision. Carat is a ________. a. full-service retailer b. limited-service retailer c. value-retail store d. self-service retailer e. basic-service retailer

a. full-service retailer

In which of the following structures does a company organize its sales force along customer or industry lines? a. market sales force structure b. territorial sales force structure c. services sales force structure d. product sales force structure e. geodemographic sales force structure

a. market sales force structure

Wafers, a potato chips manufacturer, offers a free toy figure inside every packet of the potato chips. This is an example of which of the following promotional tools? a. premiums b. coupons c. rebates d. samples e. price pack

a. premiums

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

a. public relations

Pearl Sands Resort and Spa is a popular summer attraction in Rockten. During the pre-summer period, Pearl Sands Resort began sponsoring shows on TV, and putting up billboards around Rockten and the surrounding towns advertising the resort. The ads hinted at the coming summer, and how the resort has always been the place to be in summer. Which of the following approaches has Pearl Sands Resort used? a. pull strategy b. direct marketing c. vertical integration d. push strategy e. publish-subscribe method

a. pull strategy

The ________ style of advertising shows ordinary people clearly using a product in a normal setting. a. slice of life b. testimonial evidence c. personality symbol d. mood or image e. technical expertise

a. slice of life

Which of the following is an effect of the advancement of technology on the new marketing communications model? a. Marketers tend to supply less information to consumers than before. b. Consumers rely less on marketer-supplied information than before. c. Fragmented markets have assimilated into a few mass markets. d. Marketers have increasingly moved towards mass-marketing techniques. e. Marketers have to go through more intermediaries to connect with consumers.

b. Consumers rely less on marketer-supplied information than before.

A company that uses telephone marketing to sell its products to customers is said to be using the promotion tool of ________. a. advertising b. direct marketing c. merchandising d. public relations e. retailing

b. direct marketing

Crowbar Records used to sell its music CDs through a network of retail outlets, record stores, and music dealers. After the advent of MP3 technology, it decided to shift from using any of these agents and sell its music directly from the company's Web site, using personal mail, and other social networking techniques to inform potential customers about upcoming music and promotions. Which of the following did Crowbar exhibit when it decided not to use external dealers to sell its music? a. brokering b. disintermediation c. franchising d. licensing e. networking

b. disintermediation

P&B Ltd. provides consumers with a range of household, engineering, and healthcare goods; it also runs hotels and resorts under its brand name. It employs different sales forces within the different product and service divisions of its major businesses. From the information provided in the scenario, we can infer that P&B Ltd. has adopted a ________. a. customer sales force structure b. product sales force structure c. regional sales force structure d. territorial sales force structure e. market sales force structure

b. product sales force structure

From the economic system's point of view, the role of marketing intermediaries is to ________. a. buy small quantities of products from producers and break them down into narrow assortments for customers b. transform the assortments of products made by producers into the assortments wanted by consumers c. help the company develop a direct channel selling system d. facilitate the production of products without direct customer feedback e. create a streamlined distribution channel between the company and its suppliers

b. transform the assortments of products made by producers into the assortments wanted by consumers

________ distribution gives a limited number of dealers the sole rights to distribute the company's products in their territories. a. Intensive b. Inclusive c. Exclusive d. Partial e. Selective

c. Exclusive

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

c. It has one channel member owning all the other channel members, or has contracts with all other channel members.

________ are a set of interdependent organizations that help make the product or service of the company available for use or consumption by the consumer or business user. a. Backward integration chains b. Research and development channels c. Marketing channels d. Raw materials suppliers e. Upstream channels

c. Marketing channels

The aim of ________ is to make ads themselves so entertaining, or so useful, that people want to watch them. a. social advertising b. infotainment advertising c. advertainment d. branded entertainment e. subliminal advertising

c. advertainment

In which of the following does the producer have maximum control over the way its products are sold? a. corporate marketing channel b. administered marketing system c. direct marketing channel d. horizontal marketing system e. contractural marketing system

c. direct marketing channel

An off-price retailing operation that is owned and operated by a manufacturer and normally carries the manufacturer's surplus, discontinued, or irregular goods is called a ________. a. specialty store b. category killer c. factory outlet d. superstore e. power center

c. factory outlet

Which of the following is an outbound distribution in a supply chain? a. products moved to the factory by suppliers b. products returned that have to be refurbished by resellers c. moving products from the factory to customers d. unwanted products returned to the producer by resellers e. disposing of broken products returned by resellers

c. moving products from the factory to customers

Easy Life manufactures a wide range of home appliances, healthcare products, and cosmetics. It sells its products to many types of customers but in a single geographic location. Its complex sales force structure combines which of the following two sales force structures? a. product and territorial b. geographic and product c. product and market d. geographic and market e. territorial and market

c. product and market

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

c. push strategy

Which of the following conditions would increase the chances of a retailer opting to be categorized as a self-service retailer? a. when the product assortment comprises shopping goods about which consumers need information b. when the store has been converted into a designer shop from a departmental store c. when the customers are willing to conduct the locate-compare-select autonomously to save money d. when the store is a first-class store in its category selling the finest goods e. when the customers are looking for a narrow product line with a deep assortment

c. when the customers are willing to conduct the locate-compare-select autonomously to save money

Which of the following is true of the intensive distribution technique in marketing? a. It gives unshared rights to select dealers. b. It provides the best dealer selling support. c. It requires controlled distribution of products in strategic channels. d. It makes products available where and when consumers want them. e. It uses the least amount of intermediaries in selling products.

d. It makes products available where and when consumers want them.

Which of the following statements is true of salespersons? a. They do not work with wholesalers and retailers. b. Click-only companies have maximum number of salespersons. c. They do not represent the customers to the company. d. They represent a company to customers by communicating and selling. e. They represent a new class of professionals who have emerged as part of the steep rise in retailing.

d. They represent a company to customers by communicating and selling.

Which of the following is an example of a combination of sales promotions and direct marketing? a. a company holding a press conference to talk about their new product b. a company releasing a nationwide television ad with every buyer having a chance to win a lottery price c. a company's sales force meeting customers directly and providing customized messages that suit that particular customer d. a company e-mailing a customer about a discount on a product during a festival season e. a company giving discounts on their product prices in order to gain a brand image

d. a company e-mailing a customer about a discount on a product during a festival season

In which of the following steps in the sales process does the salesperson meet the customer for the first time? a. prospecting b. presentation c. preapproach d. approach e. qualifying

d. approach

McDonald's, Subway, and Pizza Hut are all examples of ________ organizations. a. corporate chain b. voluntary c. retailer cooperative d. franchise e. no-service

d. franchise

________ sell standard merchandise at lower prices by accepting lower margins and selling higher volume. a. Convenience stores b. Full-service retailers c. Designer shops d. Specialty stores e. Discount stores

e. Discount stores

How have marketing strategies changed in the digital age? a. Marketers are using more print media formats for marketing. b. Marketers have increasingly moved towards mass-marketing techniques. c. Marketers have to go through more intermediaries to connect with consumers. d. Marketers are moving away from targeted customers and using more generalized styles of marketing. e. Marketers are targeting customers in more narrowly defined micromarkets.

e. Marketers are targeting customers in more narrowly defined micromarkets.

Which of the following types of stores usually carries more specialty goods for which customers like to be "waited on" and have much higher operating costs that are passed along to the customer? a. discount stores b. off-price stores c. self-service stores d. convenience stores e. full-service stores

e. full-service stores

In supply chain management, moving products and materials from suppliers to the factory is known as ________. a. reverse distribution b. frequency distribution c. outbound distribution d. inventory distribution e. inbound distribution

e. inbound distribution

"Buy one, get one free" is an example of ________. a. rebates b. samples c. advertising specialties d. coupons e. price packs

e. price packs

Which of the following channel functions of wholesalers is demonstrated when a wholesaler's sales force helps a manufacturer reach many small customers at a low cost? a. bulk breaking b. buying and assortment building c. warehousing d. risk bearing e. selling and promoting

e. selling and promoting

Which of the following types of stores is much larger than regular supermarkets and offers a large assortment of routinely purchased food products, nonfood items, and services? a. off-price outlets b. factory outlets c. discount stores d. specialty stores e. superstores

e. superstores

In the case of ________ customers pay annual membership fees and are able to purchase goods at deep discounts. a. independent off-price retailers b. specialty stores c. factory outlets d. superstores e. warehouse clubs

e. warehouse clubs