MKG300 Exam 6
Which of the following types of owned media regularly delivers value to keep customers coming back with the promotion objective to maintain interest?
Blogs
Jose, a salesperson for a pharmaceutical products distributor, creates a profile of his company in a business-oriented social networking website. He uploads his detailed business information in the network to get more business opportunities. Which of the following social media is used by Jose?
Which of the following is true about the role of social media in promotion?
Paid, owned, and earned media may appear on social media
Which of the following is a website that permits users to create pinboards of ideas and images around a wide range of topics for sharing with fellow users?
Pick the correct statement that accurately brings out the difference between advertising and publicity.
Publicity is unpaid
Which of the following is an example of paid media?
Television, magazine, outdoor, radio, or newspaper
What is significant about the service of Twitter?
Twitter operates like a public message board, with most tweets available for anyone (even people not signed up for Twitter) able to see them
Which of the following statements concerning "value pricing" is FALSE?
Value pricing means using "budget" or "cheap" prices.
Which of the following statements is true about Instagram?
fastest growing major social media platform doubling its number of users from 2012
Antidumping laws ________.
forbid pricing a product sold in a foreign market below the cost of producing it or at a price lower than in its domestic market; control minimum price
Regarding geographic pricing policies,
freight absorption pricing tends to increase the size of a firm's market.
Honda Motor Co. prices its whole line (from the $15,000 Honda Fit economy sedan to the $40,000 Pilot SUV) so that it offers high quality at reasonable prices. What pricing policy is Honda using?
full-line
Wendy's was one of the first fast-food restaurants to offer a "dollar menu" on some of its food items. What pricing policy was Wendy's pursuing?
full-line
To get the sale price, customers
give up the convenience of buying when they want to buy and instead buy when the seller wants to sell
By presenting a coupon to a retailer, the consumer is
given a discount off list price
Which of the following is true of "Deal-of-the-Day" websites?
given a discount off list price
Identify the scenario that best represents the use of earned media for promotion activities
hard to control
What is the most likely role of a public relations (PR) group in product promotion?
help the customer solve problem without promoting a particular company's products
SweetSpot Inc., a beverage producer, uses the promotional messages generated by its internal team and communicates through its website and Facebook page. What is an advantage SweetSpot derives by this approach?
high message control, low cost, niche audiences, versatile in content and format
Which of the following is a characteristic of owned media?
high message control, low cost, niche audiences, versatile in content and format, resources to manage and maintain
Unilever is introducing a new brand of car window cleaner in market maturity. To speed its entry into the market-without encouraging price competition-Unilever should use:
low penetration pricing policy
What is true of the term "Triggers" in Jonah Berger's STEPPS to increase pass-along?
make a topic easy to remember and encourage others to talk about it
A brand's product website, blog, and social media pages like Facebook or Instagram are examples of ________ media.
owned
When an Apple customer tells a friend how much she likes her new iPhone, what type of consumer communication is this?
pass-along
According to Jonah Berger's STEPPS for making an idea or message contagious, when the sharer looks good by sharing, ________ occurs.
social currency
Select the correct statement about the use of Twitter
social networking microblogging service that allows registered users to send out short (140 characters or less) messages called "tweets."
An item costs a retailer $140. If a 30 percent markup is desired, what should the retail selling price be?
$200
A firm with a stockturn rate of 5 that sells products that cost it $150,000 per year is keeping an average of _____ worth of inventory.
$30,000
When a buyer receives an invoice for $100 with terms of "2/15 net 30" he can expect to pay ________.
$98 if paid in 15 days, $100 if paid in 30 days
The following terms appeared on an invoice dated May 20 which was sent by a manufacturer to a retail store: 2/10, net 30. The amount of the invoice was $2,000. Assuming the retailer paid the invoice on May 30 (10 days after the products were delivered), how much should he have paid?
1,960
In 2014, ________ percent of the population used Twitter in the United States.
19
The Horizons Cycle Shop bought 3 motorcycles for $2,100, and sold each one for $1,000. The markup percent was:
30%
A British firm selling in the U.S. prices its product at $100. The initial exchange rate is 0.80 pounds per dollar. If the new exchange rate is 0.75 pounds per dollar, the revenue for the British firm from a single sale would drop by ________.
5 dollars
In the United States, ________ percent of the population used Facebook in 2014
58
In a recent online survey of over 29,000 Internet consumers from 58 countries, what percentage of respondents trusted recommendations from people they knew?
84%
What is true about the functioning of BzzAgent in marketing?
Agents who sign up to help with a particular campaign receive product samples and information. If they like the product, they are urged to pass the word.
Which of the following truly represents the referral programs followed by online companies?
Agents who sign up to help with a particular campaign receive product samples and information. If they like the product, they are urged to pass the word.
The social media management dashboard that allows marketing managers submit messages to social media on a scheduled basis and also collect and analyze data from social media is called ________.
Hootsuite
Identify the major social media platform that was least popular in the United States in 2014 among those older than 65 years.
The fastest growing of the five major social media platforms during the period 2012-2014 is ________.
Which of the following laws specifically makes illegal any price discrimination which injures competition?
Robinson-Patman Act
Which of the following is true about social networks?
Specialized social networks target very specific audiences
Freight absorption pricing
absorbing freight cost so that a firm's delivered price meets that of the nearest competitor
At Priceline's website, visitors can specify the desired price they're willing to pay for a hotel in Chicago. Priceline then electronically forwards the price to hotels until one accepts the offer. What pricing policy is Priceline using
administered prices
White Sands Heavy Equipment Co. produces industrial equipment that it sells through its national sales force. Its sales reps often must negotiate with customers to match the low prices of foreign competitors. Apparently, the firm has
administered prices
Which of the following is true of social media?
amplifies customer word-of-mouth
If a manufacturer in China offers a product in the U.S. market at a lower price than in China, this may be a violation of a(n)
antidumping law
QT Corp., a reputed courier service firm, publishes a success story how it helped a needy customer in a flood affected area by delivering his medicines parcel on time. The customer expressed his satisfaction for the timely service. Pick the type of owned media adopted by QT Corp. in this scenario.
blog
When a firm publishes the success stories about how it helped another customer in addressing an issue, the type of owned media involved is called ________.
blog
Which of the following is true about bloggers in promoting a firm's product?
bloggers are the new press
ActiveLearner produces an educational software product that runs on the iPad and delivers active learning exercises for elementary school children. The company produced a large image that included several charts and diagrams showing why active learning was important to elementary school kids - but ActiveLearner was only mentioned in small type on the bottom of the page. Many elementary school teachers shared the image with colleagues. ActiveLearner is using an ________ in its promotion blend
branded app
Which of the following is true about earned editorial coverage of companies?
can be positive or negative
Pricing objectives should flow from, and fit in with,
company-level and marketing objectives
When a pizza store announces a huge reduction in the prize of pizza based on how many people tweeted in time for lunch, the type of social media content involved is ________.
deals and discounts
Which of the following statements would be most likely to be made by a manager with a status quo pricing objective?
don't rock the boat
Promotional messages for a firm generated by independent journalists or other customers is called ________ media.
earned
When an independent journalist writes a movie review on a magazine, it represents ________ media.
earned
When Intuit, a tax and financial planning software company, creates a website where its QuickBooks customers can interact about problems faced by their small businesses, it is an example of a ________.
educational web pages
Offering a NONCUMULATIVE quantity discount seeks to
encourage larger orders but do not tie a buyer to the seller after that one purchase
A visual image such as a chart or diagram used to represent information or data is called ________.
infographic
Which of the following is the primary difference between introductory price dealing and low penetration price policy?
introductory price changes and low penetration remains the same through the entire product life cycle
The use of temporary price cuts to speed new products into a market and encourage trial by customers is
introductory price dealing
Which pricing policy would probably be best for a profit-oriented producer introducing a really new product with a very inelastic demand curve?
introductory price dealing
The owned media that focuses on moving a customer along in the purchase process by addressing the customer's needs and minimizing click-away is ________.
landing pages
Trying to sell a firm's new product to a large market at one low price is known as ________.
low penetration price policy
Which of the following statements is true about Hootsuite?
manages posts on a scheduled basis and can also collect and analyze data from various social media
A large producer who offers no discounts and the same prices to all customers in the U.S.:
may be "playing it safe" because of concern about the Robinson-Patman Act
Identify the true statement regarding the role of white papers in business solutions.
most successful when they help the customer solve it without promoting a particular company's products
Faced with many "me-too" competitors, Sonic Burgers, Inc. has set its price level to "meet competition"-while emphasizing nonprice competition. Sonic Burgers' pricing objective seems to be a ______________ objective.
nonprice competition
Mercedes, the European luxury car-maker, does not mention price in its magazine advertising. Instead, the ad copy focuses on the quality and performance of the Mercedes product line. What pricing objective is Mercedes pursuing?
nonprice competition
When a firm depends on paid media for its mass selling, what would be one likely disadvantage?
not trusted, easy for audiences to avoid, costly
Brandon, after using a newly-introduced shaving lotion, expresses his dissatisfaction about the product on his Facebook page. This gets more attention from his friends who do not want to try the product now. Identify the role of Brandon in this scenario.
opinion leader
A customer who shares his or her views of a firm's product and gets attention from other customers who respect the views is referred to as a(n) ________.
opinion leaders
Recently, some executives for highway construction companies agreed to stop competing with each other on price and to meet every three months to decide their price for the next quarter. In this situation,
price fixing is illegal
When a music production house releases its new video album on Snapchat and targets young people, identify the type of social media content the firm focuses to deliver.
product launches and updates
A sales-oriented objective may seek all of the following except
profit
Cady ClayWorks offers its customers a 10 percent discount if they buy at least $200,000 worth of products during a year. The products may be bought in one order-or spread out over several orders. Cady ClayWorks is offering a
quantity discount
"Push money" is most likely to be offered to
retailers by manufacturers or wholesalers to pass on to the retailers' salesclerks for aggressively selling certain items
The Ivory Islands Resort offers a forty percent discount on lodging from September through December every year due the dramatic fall in the number of visitors during the period, largely because of unfavorable weather conditions. This type of price reduction is called ________
seasonal discount
Sales-oriented pricing objectives
seek some level of unit sales, dollar sales, or share of market without referring to profit
Everyday low pricing of consumer convenience products:
set a low list price rather than relying on frequent sales, discounts, or allowances
Target return pricing objectives
set a specific level of profit as an objective
When setting a price level policy, a good marketing manager knows that
set introductory prices may have long-run effects, must consider where the product life cycle is and how fast it's moving, must decide if their prices should be above, below, or somewhere in between relative to the market
Which of the following observations concerning introductory price dealing is true?
should be part of a larger marketing strategy
A _____ price policy tries to sell the top of the demand curve at a high price before aiming at more price-sensitive customers.
skimming
If a producer's marketing manager doesn't know the shape of the demand curve for a new product, the initial price level policy should probably be a(n) ________ policy.
skimming price
Trying to get the "cream" of a market (i.e., the top of a demand curve) at a high price before aiming at the more price-sensitive customers is consistent with a(an) ________.
skimming price policy
When Apple first introduced its iPhone in the U.S. market, it priced it at $600. Several months later, Apple reduced the price to $400. And several months after that, it reduced the price again to $200. What pricing policy was Apple using in its initial price strategy?
skimming price policy
A pricing objective that seeks a specific level of profit is a ________.
target return objective
Gross margin is expressed as ______.
the amount left after subtracting the cost of sales (cost of goods sold) from net sales to cover the expenses of selling products and operating the business
"Stockturn rate" means:
the number of times the average inventory is sold in a year
The stockturn rate is ______.
the number of times the average inventory is sold in a year
A markup chain:
the sequence of markups firms use at different levels in a channel
A penetration pricing policy
tries to sell a firm's product to a large market at one low price
When a brand introduces a product with exciting and new features in a market and draws huge attention among customers, which of the characteristics of STEPPS of Jonah Berger is represented?
triggers
What is the role of LinkedIn in promotion of business activities?
used to communicate with customers
When a reputed jewelry store maintains many different pinboards in Pinterest with topics ranging from "precious stones" to "the art of jewelry making", what type of social media content is involved in this scenario?
useful ideas, information and practices
When a reputed marketing firm posts articles and white papers on Facebook and allows people to download and use them for free, what type of content does the social media deliver in this scenario?
useful ideas, information and practices
It is not uncommon for sales personnel at The Electronics Showroom to use aggressive sales tactics to encourage customers to buy Giant-Size brand televisions. Giant-Size has encouraged this behavior by using:
value pricing
Through this type of owned media, 1) customers can search for solutions to problems, and 2) advertising can drive traffic to relevant content.
white papers and case studies