mkt exam 1

The manager of TruColor Printers Inc. has purchased a sophisticated printing press for $1 million. Which of the following statements is most likely to be true about the printing press?

. It will depreciate over its useful life

_____________ is a firm that specializes in interviewing respondents on a subcontracted basis.

A field service firm

Which of these statements is correct with regard to the implementation of marketing objectives?

A lot of ongoing communication is involved when executing a plan.

Which term describes the type of group in which family, friends, or a professional organization influences an individual's purchasing behavior?

A reference group

Unlike Hispanic Americans, most:

Asian Americans are born outside the United States.

Which activity do flourishing companies consider as the launching point for building relationships with customers?

Attracting new customers

Direct and personal marketing efforts will continue to grow to meet the needs of consumers who no longer have the time to spend shopping and making purchase decisions. Which tool helps marketers meet this demand of consumers?

CRM

Synergy Corp., a large seller of energy-efficient light bulbs, uses extensive promotional strategies to stimulate sales. Marketers at Synergy Corp. have noticed that a competitor is steadily gaining market share, and they want to counter the competition immediately by increasing the sales of Synergy Corp.'s bulbs. Given the situation, which of the following is the quickest step that Synergy's marketers can take to stimulate the sales of its products?

Changing the pricing strategy

Claudia is looking to purchase a good phone. After evaluating her options, she has decided to buy an iPhone X, though other brands that have all her required features are offering good value for less money. Prior to buying an iPhone X, Julie may experience some conflict because she is worried that the phone's top-of-the-line technology, which costs much more than its competitors, will be obsolete in a couple of months. What is the marketing term used to describe this feeling?

Cognitive dissonance

Which law primarily targets children's products, which are defined as those used by individuals 12 years old or younger?

Consumer Product Safety Commission (CPSC)

Which statement is true of the factors determining the level of consumer involvement?

Consumers become less involved in the purchase of a familiar product.

Which strategy would a marketing manager most likely use to increase the sales of a high-involvement product?

Create advertisements that give consumers all the necessary information to make the purchase decision.

Which of the following roles of marketing research is concerned with gathering and presenting factual statements?

Descriptive

Which of the following has given consumers unprecedented power to express likes and dislikes, compare prices, find the best deals, sift through huge numbers of recommendations, and have items delivered?

Digital technology

Which of the following terms states that costs decline at a predictable rate as experience with a product increases?

Experience curve

The most popular source of information about government procurement is ____________.

FedBizOpps

Saving money is a major priority for _________, who are generally economical and look for value when making purchases.

Gen Xers

The population group born between 1965 and 1978, who value education and knowledge, and who tend to do significant research before making a major purchase is known as:

Gen Xers

Based on age segmentation of a target market, which group is at peak earning power but seeks to spend only on products that provide the best value for money?

Generation X

With regard to age segmentation, the tween and teenage cohort following the Millennials is sometimes called _____.

Generation Z

_____ helps marketers develop marketing programs tailored to prospective buyers who live in small regions or who have very specific lifestyle characteristics.

Geodemographic segmentation

Which of the following is the first step that a company must follow in order to initiate the CRM cycle?

Identify customer relationships with the organization

Wonder Coffee is a chain of coffee serving outlets and specializes in selling different flavors of coffee. The increase in the price of sugar does not affect Wonder Coffee's coffee prices very much and sales continue at their usual level. Identify the type of demand in this scenario.

Inelastic demand

The administrative head of a company proposes to replace and revolutionize the office furniture for the employees comfort. Which of the following roles does the administrator play in this scenario?

Initiator

Which of the following characteristics distinguishes business products from consumer products?

Intended use

Which of the following statements is true of a sales-oriented firm?

Intermediaries are encouraged to aggressively push manufacturers' products.

Which of the following statements is true of culture?

It encompasses all the things that consumers do without conscious choice.

Which of the following statements is true of nonmarketing-controlled information sources?

It includes Internet forums and other forms of public sources of information.

Which of the following statements is true of accessory equipment?

It includes goods such as portable drills, power tools, and microcomputers.

Which of the following is correct about frame error?

It is an error that occurs when a sample drawn from a population differs from the target population.

Which of the following is true regarding the number of customers in business markets?

It is lot easier for business marketers to identify prospective buyers, monitor current customers' needs and levels of satisfaction.

Which of the following statements is true of a concentrated targeting strategy?

It is often adopted by small firms to compete effectively with much larger firms.

Magnira Inc. plans to implement a market penetration strategy to increase its market share. According to Ansoff's strategic opportunity matrix, which of the following scenarios is most likely to happen?

It will try to increase its market share among existing customers.

Jack, a Hispanic Millennial, completed his bachelor's degree in the year 2017 and is looking forward to having a successful career. Which of the following behaviors is Jack most likely to be associated with?

Jack embraces parts of his original culture.

Which one of the following is a hallmark of relationship marketing?

Long-term focus on customer needs

In the context of business products, which of the following is a difference between major equipment and accessory equipment?

Major equipment is depreciated over time, whereas accessory equipment is charged as an expense in the year it is purchased.

Which of the following encompasses the activities of selecting and describing one or more target markets and developing and maintaining a marketing mix that will produce mutually satisfying exchanges with target markets?

Marketing strategy

Martha visits a department store and discovers that a box of exotic candles will cost 10 percent more than what she had paid six months ago. Similar increases in prices across most goods and services is happening throughout the country. In this scenario, which statement is true?

Martha's purchasing power would remain unchanged if she has a pay raise to match the inflation.

Which stage in the consumer decision-making process results from the imbalance between actual and desired states?

Need recognition

_____ is a means of displaying or graphing, in two or more dimensions, where the products, brands, or groups of products are located in customers' minds.

Perceptual mapping

Julie works as a public relations executive in a firm and is definitive in her choice of office clothes and accessories. She prefers to wear only certain brands. Hence, she is always seen in clothes from Banana Republic and carries only Coach handbags to office. Which psychographic variable is Julie exhibiting?

Personality

A marketer who tries to convince consumers that a particular brand is distinctive—and, therefore, they should demand it—is concerned with which positioning strategy?

Product differentiation

Which positioning base for a product or service focuses on a personality or type of consumer?

Product user

_____ is a process whereby a consumer notices certain stimuli and ignores others.

Selective exposure

Though there was a controversy regarding Kentucky Fried Chicken (KFC) and the news media splashed the story, people were quick to forget about the negative press and continued patronizing KFC and its food. Which type of stimuli/perception does this consumer behavior demonstrate?

Selective retention

Laura went to Walmart to check the quality, sizing, and price of some branded clothes. But she found the same items at a cheaper price online and bought them online instead of getting them at Walmart. What is this practice called?

Showrooming

Whenever a particular fashion house brings out a new product line, it publicly launches the products in a grand social event, invites society's who's who, and lavishly displays its new products. What term best describes this type of consumer involvement?

Social visibility

Which of the following is true about a difference between supplies and business services?

Supplies are consumable items, whereas business services are expense items.

Which of the following is accurate with regard to Asian Americans?

The Asian American population growth has been fueled primarily by immigration.

Intix Inc. is a manufacturer of mother boards for computer systems, which sells its product to the firms which manufacture assembled computers. Which of the following is true in this scenario?

The finished items are ready for assembly or are products that need very little processing before becoming part of some other product.

In the customer relationship management (CRM) cycle, which step should be carried out once customer data is analyzed and transformed into usable information?

The information must be leveraged.

_____ refers to the phenomenon in which a small increase or decrease in consumer demand can produce a much larger change in demand for the facilities and equipment needed to make the consumer product.

The multiplier effect

Which of the following is correct about cluster sample?

The population is divided into mutually exclusive groups (such as geographic areas), then a random sample of groups is selected.

Which of the following statements is true of incomes in the United States?

The real median household income has fallen since 2009.

Which statement is true of deciders in a buying center?

They approve of the selection or brand.

With regard to business customers, which statement is true of institutions?

They are nonbusinesses in the business markets that seek to achieve goals other than the standard business goals of profit.

Which of the following statements is true of MRO (maintenance, repair, or operating) supplies?

They are normally standardized items that purchasing agents routinely buy.

In the context of marketing, which of the following statements is true of nonprofit organizations?

They exist to achieve goals other than business-related goals.

Which of the following is true of consumers in consumer markets?

They normally buy products rather than lease them.

Which of the following statements is true of gatekeepers in a buying center?

They regulate the flow of information.

They are nonbusinesses in the business markets that seek to achieve goals other than the standard business goals of profit.

They tend to be much broader in scope than marketing research problems.

Which of the following practices can help businesses gain a cost competitive advantage?

Using simplified production techniques

In the context of the innovation matrix, which of the following decisions is designed to take company strengths into new markets?

adjacent innovations

The specific form of research that attempts to develop new or improved products is called _________.

applied research

Two types of institutional purchasers exist: one type operates similarly to governments, in that the purchasing process is influenced, determined, or administered by government units. The other type of purchasers ____________.

are organized more like corporations

A _____ is used to manufacture other goods or services, to facilitate an organization's operations, or to resell to other customers.

business product

Unlike hedonic value, utilitarian value:

can be viewed as a means to an end.

By sending post purchase letters and giving guarantees on products to consumers who have bought their company's products or organization's services, marketing managers can help reduce the consumers' _____.

cognitive dissonance

B-to-B companies use digital marketing to position their businesses as thought leaders and generate sales leads, primarily in the form of ______.

content marketing

Marina buys a new pair of shoes from Repop, an online store. She logs in to Repop's website and finds that her homepage has been customized to display the status of her latest purchase. In this scenario, Repop is using _____ to exert influence over the decision making journey.

contextual interaction

When following up on a marketing plan, the _____ process provides the mechanisms for evaluating marketing results in light of the plan's objectives and for correcting actions that do not help the organization reach those objectives within budget guidelines.

control

The relationship between benefits and the sacrifice necessary to obtain those benefits is known as ________________________.

customer value

Employees are more likely to take prudent risks to build stronger business and sustain the company's success in addition to taking responsibility for their actions when they are ______.

empowered to immediately resolve customer problems

The authority that employees are given to swiftly solve customers' problems is referred to as _______.

empowerment

New technology that allows marketers to collect detailed information of customers offers marketers a more cost-effective way to reach customers and:

enables businesses to personalize their messages.

The diagnostic role of marketing research includes

explaining data.

Steve saw a television advertisement for Yamaha Star Venture, a sports touring motorcycle, and wanted to test-drive one. The advertisement is an example of a(n) __________ stimuli.

external

To increase the sales of low-involvement products, marketing managers can

focus on the package design of the products.

The aphorism "hurry up and wait" is often cited as a characteristic of marketing to __________.

government agencies

In the case of SBUs that are cash cows, problem children, or dogs, the basic goal of _______________ is to increase short-term cash return without increased concern for long-run impact.

harvesting

When properly created, a strategic business unit (SBU) of a large company:

has a specific target market.

Fourlotts Inc. is a renowned technological firm. It manages many strategic business units (SBUs) in which each SBU:

has its own return on investment.

The North American Industry Classification System data can be used to:

identify potential new customers.

Unlike external stimuli, internal stimuli:

include stimuli such as hunger and thirst.

According to Ansoff's strategic opportunity matrix, a firm using the market penetration alternative would try to:

increase market share among existing customers.

Some metrics like awareness, engagement, and conversion are useful for _____.

increasing the success of a social media campaign

Unlike a sustainable competitive advantage, a cost competitive advantage:

is subject to continual erosion.

A market-oriented firm has a competitive advantage over its sales-oriented counterpart because ______.

it defines its business in terms of benefits its customers seek

Tamery Corp. is engaged in marketing various goods and services. It buys products from various manufacturers and sells them to businesses and end consumers. Given this information, Tamery Corp. is said to be selling consumer products if:

it sells books to students.

As long as smartphones are manufactured and are in demand, the demand for new apps will never die. This exemplifies ___________ demand.

joint

A business relationship in which executives sit on the boards of their customers or suppliers; trade with each other whenever possible; and often engage in joint product development, finance, and marketing activity. The following affirmation represents____________.

keiretsu

Marketers know that reinforcement and repetition boost ___________________.

learning

A broad-based problem that uses marketing research to help managers take effective actions is called the _________.

management decision problem

The step of choosing a basis or bases for segmenting a market requires creativity, market knowledge, and ________.

managerial insight

A firm that acknowledges the importance of all four marketing mix decisions (product decisions, place or distribution decisions, promotion decisions, and pricing decisions) is a ______ firm.

market-oriented

The management of GH Apparel has thoroughly analyzed the market and recognizes the wants and needs of different customer groups. It takes all these findings into consideration and develops different types of goods that cater to each group. From this scenario, it is evident that GH Apparel is a ______ organization.

market-oriented

Rues and West Bros., an ammunition manufacturer, defines its mission statement as being in the ammunition-production business rather than in the arms industry. In the given scenario, Rues and West Bros. is exhibiting _____.

marketing myopia

A product information source that originates with marketers promoting the product is referred to as a(n) ____________________________________.

marketing-controlled information source

Ramelson Inc., a sporting goods footwear and apparel company, features photographs of celebrities wearing its brand of clothing and sports gear. The company launched a commercial for its new line of football cleats. This commercial featured famous football stars as it believes that celebrities can influence customers' buying decisions. In this case, the football stars served as _____.

opinion leaders

Kirksand Airlines is well known for providing excellent customer service to its flyers. The staff members inquire about each flyer's wants and needs, and listen carefully to their responses. If a flyer has any specific requests, the staff members ensure that they are immediately attended to. In this scenario, Kirksand Airlines illustrates _______________, which has been found successful in spurring on the growth of customer relationship management.

personalization

In the consumer decision-making process, _____ uses information—either based on past interactions or collected through external sources—to instantaneously customize the customer experience.

proactive personalization

When an SBU has become a _____________, it is essential to either invest in it heavily to gain better market share, acquire competitors to get the necessary market share, reposition its products, or drop it.

problem child

Unilever is a multinational corporation selling consumer goods under various categories such as foods, beverages, cleaning agents, and personal care products. This is an example of:

product class.

MaxNutri Inc. sells cookies and nutrition bars. The marketers at MaxNutri are trying to come up with new and attractive packaging designs for its cookies. In this scenario, MaxNutri is working on its _____.

product strategy

Firm XYZ is known for adopting a strategy that focuses on designing new products based on their assessment of the capabilities of their engineers and on the easy availability of resources. The firm's approach, which emphasizes the ease of production and the talents of its resources rather than the needs and wants of the marketplace, can be attributed to its ______ orientation.

production

When a firm focuses on its internal capabilities rather than on the desires and needs of the marketplace, then the firm is said to have adopted the ______ orientation.

production

The social factors that affect the consumer decision journey are:

reference groups, opinion leaders, and family.

A firm's belief that an ongoing relationship with another firm is so important that the relationship warrants maximum efforts at maintaining it indefinitely, is _________.

relationship commitment

Which of the following specifies which research questions must be answered, how and when the data will be gathered, and how the data will be analyzed?

research design

This category of the business market often carries thousands of items in stock and employs sales forces to call on business customers. Who are they?

resellers

A closed-ended question designed to measure the intensity of a respondent's answer is called __________.

scaled-response question

Company websites, annual reports, reports to stockholders, blogs, YouTube videos, and social media posts are examples of ___________.

secondary data

The Federal Trade Commission's Bureau of Competition _____.

seeks out and challenges anti-competitive conduct in the marketplace

The term that describes a consumer's view of himself or herself in terms of attitudes, perceptions, beliefs, and self-evaluations is known as ____________________.

self-concept

When an organization believes that apart from achieving its targets and satisfying customers, it also needs to be responsible for preserving or enhancing individuals' and society's long-term best interests, then the organization is said to have a ______ marketing orientation.

societal

Rolex is a prestigious brand of watch that is sold as a luxury product. It has a reputation based on quality and attention to detail. When the company introduces new timepieces, it can count on an existing, well-established market for its new products due to:

stimulus generalization.

The most popular technique for gathering primary data is _____.

survey research

Jane is a 16-year-old sophomore. She stays abreast of the latest technology and educates her parents about the latest trends in technology. She convinced them to replace her old cell phone with a new one. Given this information, Jane is a _____.

teen

One component of product in a marketing mix is ________.

the company image

In the context of a marketing mix, the product includes:

the name of the brand.

What is the difference between purchaser and decider?

the purchaser actually negotiates the purchase, whereas the decider approves the selection of the supplier

Jorge prefers to do his grocery shopping at Fresnas Mart because his mother also prefers to shop there. He also does not shop for groceries online because his mother does not. In this case, Jorge's shopping behavior is a result of _____.

the socialization process

Which of the following statements is true of American teenagers?

they prefer face-to-face communication to communicating electronically.