MKTG Exam 2
22) ________ is the overall rank of people in a society. A) The family life cycle B) Mass-class C) Subculture D) Microculture E) Social class
Social class
14) ________ have unique characteristics that are important to buyers at almost any price. A) Specialty products B) Staples C) Impulse products D) MRO products E) Unsought products
Specialty Products
2) Which of the following is an example of a good? A) a massage B) a handbag C) a medical examination by a doctor D) an idea for a new television show E) dry cleaning
a handbag
Chapter 10 Services and Other Intangibles: Marketing the Product That Isn't There 1) Which of the following product offerings is intangible? A) fish for an aquarium B) refillable ink cartridges for a computer printer C) a mink coat D) a meal at a fast-food restaurant E) a limousine ride
a limousine ride
24) Which of the following most accurately describes a brand extension? A) a new product that combines the power of two or more brand names B) a new product sold under an established brand name C) a new product added to the lower end of a product mix D) a new product added to the higher end of a product mix E) a new product line added to a product mix
a new product sold under an established brand name
6) Which of the following is the best example of a nondurable good? A) a dishwasher B) a book shelf C) a freezer D) a newspaper E) a file cabinet
a newspaper
5) Which of the following is the best example of a durable good? A) a bag of cat food B) a refrigerator C) a bottle of nail polish D) a package of lightbulbs E) detergent
a refrigerator
14) Home security services and accounting services are classified as ________. A) tangible services performed on the customer B) intangible services performed indirectly on the customer C) tangible goods delivered to the customer D) tangible services performed on the customer's possessions E) intangible services performed on the customer's possessions
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30) Which of the following is a service industry in the United States that is likely to see growth due primarily to demographic changes? A) living assistance for seniors B) babysitting services for baby boomers C) health services for medical tourists D) technology consulting for businesses E) database services for businesses
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41) Which of the following accurately describes a product category manager? A) A product category manager works for a company that relies solely on individual branding. B) A product category manager is responsible for moving a company's product mix from generic to branded. C) A product category manager coordinates the development of brand equity for a specific brand name. D) A product category manager is also called a sales manager. E) A product category manager coordinates the mix of product lines within a general product category and is responsible for the addition of new product lines.
A product category manager coordinates the mix of product lines within a general product category and is responsible for the addition of new product lines.
8) Which of the following is true due primarily to the inseparability of services? A) Customers have to rely on reassuring physical cues that indicate quality service. B) Service businesses cannot promise the same experience with every service encounter. C) A service is produced and consumed at the same time. D) It is impossible for service businesses to exactly match supply with demand. E) It is difficult for service businesses to live up to guarantees.
A service is produced and consumed at the same time.
2) Which of the following is NOT necessary for a product-related objective to be effective? A) It should focus on short-term implications. B) It should be measurable. C) It should be feasible. D) It should indicate a specific time frame. E) It should be clear.
A) It should focus on short-term implications. B) It should be measurable.
17) ________ is the feeling component of attitudes. A) Affect B) Cognition C) Behavior D) Motivation E) Personality
Affect
47) ________ is how visible a new product and its benefits are to others who might adopt it. A) Compatibility B) Observability C) Relative advantage D) Comparability E) Tangibility
Observability
33) Which of the following statements about the product and supplier selection stage of the business buying decision process is true? A) Price is the only factor businesses consider before making a purchase decision. B) Even companies that have adopted a total quality management approach consider price to be the most important determinant of who to buy from. C) Before making a purchase decision, many businesses consider quality, reliability, durability, and after-the-sale service, as well as price. D) Because after-the-sale service is a negotiation point, it is not considered at this stage of the business buying decision process. E) Price and warranty are the only two factors businesses consider before making a purchase decision.
Before making a purchase decision, many businesses consider quality, reliability, durability, and after-the-sale service, as well as price.
39) ________ are responsible for the positioning of a brand and developing its brand equity. They are likely to team with sales, finance, and logistics staff members as part of customer business teams who work with major retail accounts. A) Product category managers B) Brand managers C) Venture team managers D) Market managers E) Sales managers
Brand managers
Chapter 6 Business-to-Business Markets: How and Why Organizations Buy 1) ________ is the marketing of goods and services that businesses and other organizations buy for purposes other than personal consumption. A) Business-to-business marketing B) Just in time (JIT) marketing C) Single sourcing D) Retailing E) Outsourcing
Business-to-business marketing
6) ________ is the process by which organizations adjust the supply of their services in an attempt to match demand. A) Disintermediation B) Capacity management C) Total quality management D) Just-in-time management E) Augmented service management
Capacity management
30) ________ is an agreement between two brands to work together in marketing a new product. A) Manufacturer branding B) Cobranding C) Franchising D) Family branding E) Aggregated branding
Cobranding
18) ________ is the knowing component of attitudes. It is the beliefs or knowledge a person has about a product and its important characteristics. A) Affect B) Cognition C) Behavior D) Motivation E) Personality
Cognition
45) ________ is the extent to which a new product is consistent with existing cultural values, customs, and practices. A) Compatibility B) Complexity C) Relative advantage D) Comparability E) Tangibility
Compatibility
46) ________ is the degree to which consumers find a new product or its use difficult to understand. A) Compatibility B) Complexity C) Relative advantage D) Comparability E) Tangibility
Complexity
19) ________ are manufactured goods or subassemblies of finished items that organizations need to complete their own products. A) Component parts B) Accessory equipment materials C) Processed materials D) MRO products E) Raw materials
Component parts
34) Which of the following is an advantage of using single sourcing? A) Suppliers are more likely to remain cost-competitive. B) Buyers are less reliant on one firm to deliver the needed goods without interruption. C) The buyer and seller agree to be each other's customers. D) Consistency of quality of materials input into the product process is greater. E) Buyers have other suppliers to fall back on if one supplier fails.
Consistency of quality of materials input into the product process is greater.
8) ________ include convenience products, shopping products, specialty products, and unsought products. A) Specialty services B) Consumer products C) Line extensions D) Industrial products E) Component products
Consumer products
20) ________ is made up of the values, beliefs, customs, and tastes produced or practiced by a group of people. A) The family life cycle B) Culture C) Lifestyle D) Psychographic data E) Social class
Culture
4) Which of the following statements about organizational markets is true? A) The average purchase size in organizational markets is much smaller than the average purchase size in the consumer market. B) Demand for products in the organizational market is derived from demand for consumer products. C) Most demand for organizational markets is fixed. (vs. fluctuating) D) Organizational marketers have a broad customer base and a large number of buyers. E) Joint demand is not a factor. (Joint Demand- the demand for two or more goods that are used together to create a product- Porsche needs tires, batteries, etc to make a model)
Demand for products in the organizational market is derived from demand for consumer products.
7) Which of the following statements about durable goods is true? A) Durable goods are more likely than perishable goods to involve low-involvement decisions. B) The information search is quicker for durable goods than it is for nondurable goods. C) Consumers purchasing durable goods are likely to use habitual decision making. D) Product evaluation is more likely to take place for nondurable goods than for durable goods. E) Durable goods provide a benefit over a long period of time.
Durable goods provide a benefit over a long period of time.
42) Which of the following statements about the adopter categories is true? A) More than 50 percent of the population is classified as late majority adopters. B) Early adopters are risk aversive. C) Early majority adopters are typically middle class and like to buy established products. D) Innovators are a much larger group than laggards. E) Late majority adopters are typically unconcerned about social acceptance.
Early majority adopters are typically middle class and like to buy established products.
18) ________ means scrambling a message so that only another individual or computer with the right "key" for deciphering it can unscramble it. A) Back-translation B) Encryption C) Authentication D) Reverse encoding E) Sniffing
Encryption
16) ________ is the category of business-to-business products that refers to the products an organization uses in its daily operations. A) Raw materials B) Component parts C) Equipment D) Processed materials E) MRO products
Equipment
12) Which of the following helps an organization focus on minimizing any harmful effects it may have on the environment? A) Six Sigma B) ISO 9000 C) ISO 14000 D) total quality management (TQM) E) cannibalization
ISO 14000
6) ________ is the step of the decision-making process in which the consumer checks her memory and surveys the environment to identify what options might solve her problem. A) Product evaluation B) Behavioral targeting C) Problem recognition D) Problem screening E) Information search
Information search
20) Which of the following is NOT a desirable quality for a brand name? A) It should suggest something about the product's benefits. B) It should be easy to pronounce and remember. C) It should almost always be a long word to get attention. D) It needs to fit legal requirements. E) It should make sense in the customer's culture.
It should almost always be a long word to get attention.
9) ________ occurs when two or more goods are necessary to create a product. A) Inelastic demand B) Fluctuating demand C) Joint demand D) Elastic demand E) Economic demand
Joint demand
10) ________, such as Target and Kohl's, provide merchandise return and offer credit, but customers select merchandise without much assistance. A) Self-service retailers B) Full-service retailers C) Specialty retailers D) Off-price retailers E) Limited-service retailers
Limited-service retailers
14) Which of the following is NOT a true statement about conventional marketing systems? A) Conventional marketing systems are multilevel distribution channels. B) Most conventional marketing systems are highly successful. C) Members of conventional marketing systems work independently of one another. D) Members of conventional marketing systems do not work toward the same broad goals. E) Relationships between members of conventional marketing systems are limited to simply buying and selling from one another.
Members of conventional marketing systems do not work toward the same broad goals.
13) ________ is an internal state that drives consumers to satisfy needs. A) Motivation B) Interpretation C) Learning D) Affect E) Conditioning
Motivation
11) Which of the following statements does NOT apply to the North American Industry Classification System (NAICS)? A) NAICS is a numerical coding of industries developed by NAFTA countries. B) NAICS can be used by firms to assess potential markets. C) NAICS replaced the Standard Industrial Classification (SIC) system. D) NAICS can be used to find new customers. E) NAICS is a consumer buying directory for North America.
NAICS is a consumer buying directory for North America.
24) ________ often influence others' attitudes or behaviors because others perceive them as possessing expertise about a product. A) Opinion leaders B) Status symbols C) Heuristics D) Reference groups E) Social classes
Opinion leaders
37) ________ occurs when firms obtain outside vendors to provide goods or services that might otherwise be supplied in-house. A) Outsourcing B) Reverse marketing C) Crowdsourcing D) Multiple sourcing E) Insourcing
Outsourcing
35) ________ is the process by which a consumer or business customer begins to buy and use a new good, service, or idea. A) Commercialization B) Product testing C) Product adoption D) Diffusion E) Positioning
Product adoption
24) Through the use of ________, a company is able to know exactly where a product is located within the distribution channel. A) ERP B) RFID C) PRM D) VMS E) JIT
RFID
44) ________ is the degree to which a consumer perceives that a new product provides superior benefits. A) Compatibility B) Complexity C) Relative advantage D) Comparability E) Tangibility
Relative advantage
10) ________ do not actually produce goods, but they do provide their customers with the time, place, and possession utility by making goods available when and where consumers want them. A) Resellers B) End users C) Not-for-profit organizations D) Producers E) Buying centers
Resellers
38) ________ is a business practice in which a buyer shapes a supplier's products and operations to satisfy its needs. A) Reciprocity B) Functionalization C) Reverse marketing D) Bottom-up marketing E) Crowdsourcing
Reverse marketing
22) Which of the following is an instrument to measure consumers' perceptions of service quality? A) total quality management (TQM) B) capacity management C) credence management D) SERVQUAL E) the service continuum
SERVQUAL
7) ________ is the basis of most discount operations. Retailers offering this level of service require customers to perform their own product selection and may require customers to handle their own checkout process. A) Limited-service B) Full-service C) Self-service D) Specialty service E) Wholesale service
Self-service
2) ________ are acts, efforts, or performances exchanged from producer to user without ownership rights. A) Tangibles B) Services C) Ideas D) Brand extensions E) Licenses
Services
11) Which of the following was developed to guarantee that an organization's products conform to the customer's requirements? A) Six Sigma B) ISO 9000 C) ISO 14000 D) TQM E) cannibalization
TQM
22) Which of the following statements about brand equity is NOT true? A) Brand equity means a brand has customer loyalty. B) Brand equity refers to the brand's value to an organization. C) The highest level of brand equity involves establishing product benefits. D) Brand equity gives a firm the power to capture and hold onto a larger share of the market and to sell at prices with higher profit margins. E) Brand equity can provide a competitive advantage.
The highest level of brand equity involves establishing product benefits.
5) How does habitual decision making differ from extended problem solving? A) Extended problem solving uses behavioral learning, while habitual decision making relies upon cognitive learning. B) Consumers engaged in extended problem solving perceive less risk than consumers involved in habitual decision making. C) The level of involvement for habitual decision making is lower than it is for extended problem solving. D) Habitual decision making involves significant cognitive dissonance, while extended problem solving rarely involves cognitive dissonance. E) Consumers who are seeking to develop their loyalty to a brand would be more likely to make habitual decisions than use extended problem solving.
The level of involvement for habitual decision making is lower than it is for extended problem solving.
25) Which of the following statements about buying centers is true? A) The buying center is like a standing committee. B) The buying center roles are specified on the organizational chart. C) The most commonly found buying center has six employees, one to assume each of the buying center's roles. D) An individual's role in the buying center does not change. E) The members of a buying center typically participate in a cross-functional team.
The members of a buying center typically participate in a cross-functional team.
10) Which of the following statements about the service encounter is true? A) The quality of service delivered by a company is only as good as its best employee. B) The customer plays a minimal role in the quality of the service encounter. C) An employee's actions, words, and physical appearance do not represent the organization. D) The quality of information provided by the customer does not affect the quality of the service encounter. E) The service encounter has a social dimension and a physical dimension.
The service encounter has a social dimension and a physical dimension.
11) Which of the following is true about sales branches, sales offices, and manufacturers' showrooms? A) They are all manufacturer-owned intermediaries. B) They all determine the marketing strategy for the products they sell. C) They are all independent intermediaries. D) They all carry inventory and take title to the inventory they carry. E) They perform the same functions as self-service wholesalers.
They are all manufacturer-owned intermediaries.
29) Which of the following is true about generic brands? A) They are more popular today than ever before. B) They were first developed during the last period of economic prosperity in the United States. C) They were designed to appeal to the price-conscious consumer. D) They attract approximately 25 percent of all dollars spent in U.S. supermarkets. E) They are manufacturer brands.
They were designed to appeal to the price-conscious consumer.
15) ________ are consumer products for which a consumer either has little awareness or interest until a need arises. These products require a lot of advertising, personal selling, and other marketing efforts. A) Specialty products B) MRO products C) Unsought products D) Shopping products E) Staples
Unsought products
10) Which of the following is the best example of a convenience product? A) a silk scarf B) a subscription to a magazine C) a gallon of milk D) a lawn mower E) a CD player
a gallon of milk
11) Which of the following is a discount retailer owned by a manufacturer that provides the manufacturer a store to sell off defective merchandise? A) a specialty store B) a factory outlet store C) a department store D) a general merchandise discount store E) a warehouse club
a general merchandise discount store
40) Which of the following is a disadvantage of the brand management system? A) a tendency to avoid price differentiation B) too much focus on the supplementary and complementary roles of all product lines C) a tendency to overemphasize short-term gains in sales D) an interdependent structure that can undermine personal responsibility E) too much focus on establishing brand equity
a tendency to overemphasize short-term gains in sales
19) AIO stands for ________. A) activities, interests, and opinions B) abilities, interests, and opinions C) activities, interests, and organization memberships D) abilities, income, and opinions E) activities, income, and opinions
activities, interests, and opinions
4) A product has three distinct layers. The second layer is the ________, which is the physical good or delivered service. A) actual product B) augmented product C) core product D) innovation E) brand
actual product
38) In which stage of the consumer's adoption of a new product does the purchase actually take place? A) awareness B) adoption C) interest D) tipping point E) evaluation
adoption
16) A manufacturer of a product in the decline stage of its product life cycle would be LEAST likely to do which of the following? A) continue producing the product for loyal users B) reduce the advertising budget for the product C) phase out production of the product D) advertise heavily without changing the product or its target market E) withdraw most marketing support for the product and rely on e-commerce
advertise heavily without changing the product or its target market
16) A person's attitude has three components. They are ________. A) affect, cognition, and behavior B) psychological, physiological, and situational C) situation, emotion, and environment D) cognitive, operant, and situational E) ritual, cultural, and referential
affect, cognition, and behavior
32) During the ________ stage of the business buying decision process, the buying center assesses the proposals. A) obtain written or verbal bids B) alternative evaluation C) product selection D) information search E) problem recognition
alternative evaluation
15) Leadership in which type of marketing system is assumed not through common ownership or contractual ties but through the size and power of a single dominant channel member? A) a horizontal marketing system B) an administered vertical marketing system C) a corporate vertical marketing system D) a conventional marketing system E) a multiple distribution system
an administered vertical marketing system
16) Which of the following is the best example of an equipment-based service? A) a tutoring service B) an amusement park C) a religious service D) a dog-walking service E) a car dealership
an amusement park
28) The business analysis for a new product begins with ________. A) idea generation B) problem recognition C) assessing how the new product will fit into a firm's total product mix D) perceptual mapping E) identifying the distribution channel for the product
assessing how the new product will fit into a firm's total product mix
12) Which of the following refers to the extent to which a person devotes mental-processing activity to a particular stimulus? A) cognition B) attention C) affect D) interpretation E) exposure
attention
19) A service offering that differentiates a firm from its competition and provides enhanced value is referred to as a(n) ________. A) core service B) augmented service C) environmental factor D) operational factor E) disintermediator
augmented service
36) The first step in the adoption process is ________. A) product evaluation B) awareness C) problem recognition D) evaluation E) interest
awareness
43) A firm's skunk works department would most likely be located ________. A) in a central part of the firm's main office building B) in the most productive section of the company C) away from the firm's traditional offices D) at the headquarters of the firm's largest customer E) as close as possible to the firm's communication specialists
away from the firm's traditional offices
20) Experience qualities are product attributes that customers can identify ________. A) prior to consumption B) only during consumption C) only after consumption D) both during and after consumption E) before, during, or after consumption
both during and after consumption
18) A(n) ________ is a name, term, symbol, or other unique element of a product that identifies one firm's products and sets it apart from the competition. A) patent B) brand C) license D) position E) value proposition
brand
23) The concept of ________ encompasses the beliefs and associations that a consumer has about a brand. A) brand meaning B) brand storytelling C) brand equity D) product quality E) total quality
brand meaning
7) Wholesalers and retailers purchase large quantities of goods from manufacturers but sell only one or a few at a time to many different customers. This process is called ________. A) creating assortments B) breaking bulk C) third-party logistics D) order processing E) inventory control
breaking bulk
20) A(n) ________ identifies the degree of effort required of the firm's personnel to collect information and make a purchase decision. A) needs hierarchy B) purchase continuum C) buy class framework D) buying center continuum E) need-response framework
buy class framework
29) The ________ is the member of the buying center whose primary function is handling the details of the transaction. A) buyer B) gatekeeper C) decider D) initiator E) influencer
buyer
24) The group of people in the organization who participate in the purchase decision-making process is referred to as the ________. A) buyer institution B) resource center C) buying center D) purchasing hierarchy E) purchasing office
buying center
8) One year many customers' machinery wears out and needs to be replaced. The following year no customers need new machinery. This is an example of ________ demand. A) inelastic B) fluctuating C) elastic D) consumer E) static
fluctuating
6) Which of the following is NOT an option for extending a product line? A) cannibalization B) downward line stretch C) upward line stretch D) two-way stretch E) filling-out strategy
cannibalization
7) Whenever a product line or a product family is extended, there is a risk of ________, which occurs when sales of an existing brand decline as the firm's current customers switch to the new product. A) product line contraction B) disintermediation C) cannibalization D) brand inequity E) a downward line stretch
cannibalization
9) When a customer feels regret after purchasing a product, she is experiencing ________. A) psychography B) a heuristic C) an operant reaction D) cognitive dissonance E) a conditioned response
cognitive dissonance
27) Marketers estimate ________ when they determine whether anyone is likely to buy a new product. A) pricing points B) distribution costs C) commercial success D) technical success E) creative success
commercial success
33) Introducing a new product into the market is called ________. A) technical development B) new product development C) experimenting D) commercialization E) marketing development
commercialization
13) An intranet would NOT be used for which of the following? A) videoconferencing B) communicating with geographically dispersed branches of an organization C) training employees D) distributing internal documents E) communicating with the supplier network
communicating with the supplier network
40) The last stage in the product adoption process is ________. A) awareness B) adoption C) interest D) confirmation E) evaluation
confirmation
21) A ________ is a modification to an existing product. A) technical innovation B) continuous innovation C) discontinuous innovation D) commercial innovation E) dynamically discontinuous innovation
continuous innovation
23) A consumer doesn't have to learn anything new to use a(n) ________. A) dynamically continuous innovation B) dynamically continuous new product C) discontinuous new product D) continuous innovation E) discontinuous innovation
continuous innovation
9) A(n) ________ is typically a nondurable good or service that consumers purchase frequently with a minimum of comparison and effort. A) specialty product B) MRO product C) shopping product D) convenience product E) unsought product
convenience product
3) A product has three distinct layers. The most basic level is the ________, which consists of all the benefits the product will provide for consumers or business customers. A) actual product B) augmented product C) core product D) innovation E) brand
core product
8) Wholesalers and retailers create efficiencies in the flow of goods from producer to end consumer by ________ when they provide a variety of products in one location. A) creating assortments B) just in time processing C) third-party logistics D) order processing E) inventory control
creating assortments
21) Which of the following is a product attribute that may be difficult to evaluate even after it has been experienced? A) search quality B) service quality C) experience quality D) credence quality E) benefit quality
credence quality
34) Which of the following types of brand equity metrics would most likely be based on information gathered through consumer surveys? A) revenue premium metric B) financial market metric C) brand venture metric D) equity-identity metric E) customer mind-set metric
customer mind-set metric
20) Which stage of activity in logistics involves shipping the product out to customers? A) inbound logistics B) operations C) outbound logistics D) reverse logistics E) services
outbound logistics
27) The ________ is the member of the buying center who makes the final decision. A) buyer B) gatekeeper C) decider D) user E) influencer
decider
28) Which member of the buying center typically has the most power? A) buyer B) gatekeeper C) decider D) initiator E) influencer
decider
20) Marketers classify innovations based on their ________. A) degree of newness B) costs to manufacture C) prices D) degree of tangibility E) contribution margins
degree of newness
6) Most demand for business-to-business products is ________. A) derived, inelastic, fluctuating, and joint B) derived, elastic, fixed, and joint C) derived, inelastic, static, and dependent on the macroenvironment D) independent of all consumer market influences E) competitive, derived, fluctuating, and elastic
derived, inelastic, fluctuating, and joint
34) Which of the following costs is most likely associated with the commercialization stage of new-product development? A) implementing trade promotion plans for channel members B) paying groups of target consumers for product feedback C) determining the product's planned price, distribution, and marketing budget D) developing a prototype of the product E) identifying target markets
determining the product's planned price, distribution, and marketing budget
9) Through a process of ________, traditional intermediaries are being eliminated as many companies question the value added by layers in the distribution channel. A) knowledge management B) disintermediation C) horizontal marketing D) vertical marketing E) hybrid marketing
disintermediation
24) A ________ is a pronounced modification to an existing product that requires a modest amount of learning or change in behavior to use it. A) dynamically continuous innovation B) nonradical innovation C) competitive innovation D) continuous innovation E) discontinuous innovation
dynamically continuous innovation
13) Which of the following is any method a firm uses to complete an exchange that does NOT require a customer to visit a store? A) kiosk merchandising B) nonstore retailing C) direct selling D) exchange retailing E) e-commerce
e-commerce
12) When we need a(n) ________, price and product quality may be irrelevant to our purchase decision. A) emergency product B) staple C) impulse product D) shopping product E) unsought product
emergency product
2) Business-to-business markets do NOT include ________. A) manufacturers B) wholesalers C) end consumers D) retailers E) government agencies e.g. a pair of Seven jeans from Nordstrom, how did they get there?
end consumers
16) Experts predicting that destination retail will be a future trend believe that consumers will soon visit retailers more for ________ than for the basic process of purchasing products. A) information B) credit services C) comparison shopping D) entertainment E) social opportunities
entertainment
18) A service provider takes great care in creating a certain look for her storefront, selecting specific colors, lighting, and furnishings to create an inviting atmosphere. In doing so, the service provider is focused on ________ factors. A) operational B) credence C) locational D) environmental E) supply
environmental
21) Which of the following is a social movement growing out of the increasing concern that our consumption behaviors are negatively affecting the physical environment? A) behavioral targeting B) green marketing C) greenwashing D) consumerism E) environmentalism
environmentalism
4) Which of the following is NOT a function of a point-of-sale (POS) system? A) collecting sales data B) connecting directly into a store's inventory-control system C) evaluating bids from potential suppliers D) collecting data on returns and transfers to other stores E) automatically sending orders to suppliers
evaluating bids from potential suppliers
7) A consumer who is armed with information and is narrowing down his choices and comparing the pros and cons of each remaining option is in the ________ step of the consumer decision-making process. A) problem recognition B) information search C) evaluation of alternatives D) product choice E) postpurchase evaluation
evaluation of alternatives
9) When a company begins marketing a new product line in addition to its existing product lines, it has done which of the following? A) expanded the length of the product line B) expanded the width of the product mix C) expanded the depth of the product mix D) expanded the width of the marketing mix E) used a filling-out strategy
expanded the width of the product mix
11) Which of the following refers to the extent to which a person's sensory receptors are capable of registering a stimulus? A) cognition B) attention C) affect D) interpretation E) exposure
exposure
2) A consumer purchase decision made with a great deal of consumer exertion is a type of ________. A) habitual decision making B) extended problem solving C) independent heuristic rating D) dependent heuristic rating E) limited problem solving
extended problem solving
4) A consumer who is considering purchasing a house would probably use ________. A) habitual decision making B) stimulus generalization C) operant decision making D) limited problem solving E) extended problem solving
extended problem solving
14) A(n) ________ can be especially useful for companies that need to have secure communications with their dealers, distributors, and/or franchisees. A) intranet B) social networking site C) extranet D) virtual trade show E) buying center
extranet
15) Prudential Health Care's ________ allows its corporate customers to enroll new employees and check eligibility and claim status themselves. A) private exchange B) extranet C) intranet D) professional network E) reciprocity arrangement
extranet
8) Which of the following types of retailers place the most emphasis on salespeople assisting customers throughout the purchase process? A) limited-service retailers B) full-service retailers C) limited-service retailers D) discount retailers E) off-price retailers
full-service retailers
23) Which of the following is used to measure the difference between a customer's expectations of service quality and what actually occurred? A) break-even analysis B) SERVQUAL C) the critical incident technique D) gap analysis E) SWOT analysis
gap analysis
26) The ________ is the member of the buying center who controls the flow of information to other members. A) initiator B) gatekeeper C) decider D) user E) influencer
gatekeeper
5) Many B2B marketers can take advantage of the ________ of business customers, focusing their sale efforts and perhaps even locating their distribution centers in a single region. A) geographic concentration B) mass media consumption C) multiple requirements D) fluctuating demand E) organizational changes
geographic concentration
Chapter 5 Consumer Behavior: How and Why We Buy 1) When using ________, a consumer exerts little effort in making a purchase decision. A) habitual decision making B) extended problem solving C) independent heuristic rating D) dependent heuristic rating E) limited problem solving
habitual decision making
3) Organizational markets differ from consumer markets in that organizational markets ________. A) have a high number of purchases that are low risk and low cost B) have derived demand C) are not geographically concentrated-(think Silicon Valley, Seattle) D) have a single individual in the role of decision maker E) involve more frequent purchases
have derived demand
41) Unlike innovators, early adopters ________. A) compose the smallest of the adopter categories B) have greater concern for social acceptance C) have stronger physiological needs than others in the population D) are light media users E) are more worldly than the rest of the population
have greater concern for social acceptance
16) In a ________, two or more companies at the same channel level join together to develop a new marketing opportunity. A) franchise B) corporate VMS C) horizontal marketing system D) multiple distribution system E) conventional marketing system
horizontal marketing system
14) Maslow's theory is that ________ can be arranged in a hierarchy. A) stimuli B) beliefs and attitudes C) perceptions D) human needs E) decisions
human needs
25) In the ________ phase of new-product development, marketers use a variety of sources to come up with a potentially new product that would benefit customers and be compatible with the company mission. A) idea generation B) problem recognition C) perceptual mapping D) positioning strategy E) product screening
idea generation
26) Marketers would be most likely to use a focus group in which stage of new product development? A) idea generation B) problem recognition C) business analysis D) positioning strategy E) product adoption
idea generation
29) A TV commercial invites people to attend a service at a so-called "mega-church" that has a huge steel and glass structure with acres of parking. This is an example of ________. A) idea marketing B) people marketing C) place marketing D) the market fulfillment approach E) the product fulfillment approach
idea marketing
39) A(n) ________ is a purchase made on the spur of the moment without any planning or search effort. A) unsought product B) commodity C) impulse purchase D) emergency product E) shopping product
impulse purchase
19) During the stage of ________ activities, the company receives materials it needs to manufacture its products. A) inbound logistics B) operations C) outbound logistics D) marketing and sales E) service
inbound logistics
13) Conventional distribution channels consist of one or more ________ producers, wholesalers, and retailers. A) independent B) product-related C) contract D) merchant E) domestic
independent
10) Intermediaries that do business with many different manufacturers and many different customers are most accurately referred to as ________. A) interdependent intermediaries B) dependent intermediaries C) independent intermediaries D) wholesalers E) retail outlets
independent intermediaries
7) Demand in B2B markets is mostly ________ because what a firm sells is often just one of the many parts or materials that go into producing the consumer product. A) elastic B) static C) fixed D) inelastic E) fluctuating
inelastic
31) In ________, branded materials become component parts of other branded products. A) family branding B) aggregated branding C) umbrella branding D) manufacturer branding E) ingredient branding
ingredient branding
32) Breyers and Reese's have worked together to create Breyers Ice Cream with Reese's Peanut Butter Cups. This is an example of ________. A) family branding B) ingredient branding C) private-label branding D) individual branding E) generic branding
ingredient branding
4) A physician might deal with potential problems associated with the ________ characteristic of services by providing physical cues such as her medical diplomas hanging on the wall of the examining room. A) intangibility B) perishability C) variability D) inseparability E) personalization
intangibility
11) A haircut, a manicure, and a pedicure are all examples of ________. A) intangible services B) tangible services C) tangible goods D) tangible possessions E) intangible possessions
intangible services
13) Carpet and furniture repair are classified as ________. A) tangible services performed on the customer B) tangible services performed on the customer's possessions C) tangible goods delivered to the customer D) intangible services performed on the customer E) intangible services performed on the customer's possessions
intangible services performed on the customer's possessions
37) Marketers are primarily striving to generate customer ________ when they use a teaser advertisement created to give prospective customers just enough information about a new product to make them curious. A) confirmation B) interest C) evaluation D) adoption E) impulse purchasing
interest
12) Which of the following is in place when a producer, dealer, wholesaler, retailer, or customer interacts with more than one type of channel? A) dual or multiple distribution system B) intermediation C) knowledge management D) supply chain management E) vertical marketing system
intermediation
12) Many companies maintain ________, which are internal corporate computer networks that use Internet technology to link company departments, employees, and databases. A) Web sites B) search engines C) extranets D) intranets E) private exchanges
intranets
15) In which stage of the product life cycle will promotional expenditures be especially high in an attempt to create consumer awareness? A) product development B) introduction C) decline D) maturity E) youth
introduction
3) In the ________ stage of the retail life cycle, the retailer often is an aggressive entrepreneur who takes a unique approach to doing business by creating a differential advantage, such as competing on the basis of low price, offering a distinctive assortment, or using a different way to distribute products. A) expansion B) introduction C) extension D) maturity E) growth
introduction
22) Which of the following is a logistics activity that involves developing and implementing a process to ensure the firm always has sufficient goods available to meet customers' demands--no more and no less? A) materials handling B) inventory control C) supply chain supervision D) order processing E) distribution implementation
inventory control
23) A new-task buy ________. A) requires less time and effort than a modified rebuy B) cannot be used if the buyer uses single sourcing C) is characterized by uncertainty and high risk D) is similar to routine decision making in the consumer market E) begins with a SWOT analysis
is characterized by uncertainty and high risk
23) To reduce inventory management costs, many companies use a system called ________, which involves carrying only small inventories of parts or merchandise, often only enough for a few days of operation. A) just in time (JIT) B) supply chain management C) value chain management D) logistics management E) enterprise resource planning (ERP)
just in time (JIT)
18) Which of the following is NOT an element involved in the creation of store atmospherics? A) color B) furnishings C) smells D) sounds E) knowledgeable personnel
knowledgeable personnel
17) A manufacturer with a product in the decline stage of the product life cycle would most likely decide to ________ if there is reason to believe that there will be a residual demand for the product. A) maintain the product without change B) let existing stocks of the product run out C) drop the product immediately D) search for replacements E) increase sales promotion efforts
let existing stocks of the product run out
5) A firm that plans to use a(n) ________ will add higher priced, higher quality items to its product line. A) upward line stretch B) limited-line strategy C) undifferentiated strategy D) marketing mix contraction E) cannibalization strategy
limited-line strategy
17) Most cities have a variety of fast-food restaurant franchises . The proximity of these restaurants to densely populated neighborhoods and high-traffic shopping areas illustrates the importance of the ________ factor for equipment-based services. A) operational B) search C) locational D) augmentation E) supply
locational
17) Which of the following is the process of designing, managing, and improving the movement of products through the supply chain? A) logistics B) warehousing C) materials handling D) inventory management E) distribution strategy
logistics
17) MRO products are goods that businesses use for ________. A) management, research, and order-processing B) marketing, relationship-building, and operation C) maintenance, research, and organization D) maintenance, repair, and operation E) marketing, research, and organization
maintenance, repair, and operation
14) The sales peak typically occurs during which stage of the product life cycle? A) introduction B) youth C) development D) maturity E) leveling
maturity
9) Which of the following is the number of different product lines available at a particular retail store? A) merchandise breadth B) inventory depth C) merchandise depth D) retail diversity E) point-of-sale range
merchandise breadth
19) According to research, social media channels are most effective to reach and engage business prospects at ________. A) large government buying centers B) large multinational companies C) independent producers D) small not-for-profits E) mid-to-large-size companies
mid-to-large-size companies
15) In ________, a master distributor recruits other people to become distributors. The master distributor sells the company's products to the people she entices to join and receives commissions on all the merchandise sold by the people she recruits. A) multilevel marketing B) integrated sales C) disintermediated sales D) hierarchical sales E) party plan systems
multilevel marketing
35) A vehicle manufacturer often won't buy a new product from a supplier unless the supplier's competitors are also capable of making the same item. The manufacturer is using ________. A) single sourcing B) crowdsourcing C) multiple sourcing D) customer reference programming E) reciprocity
multiple sourcing
25) Oreos and Coke are both examples of ________. A) store brands B) cobrands C) private-label brands D) national brands E) ingredient brands
national brands
22) A knockoff is a ________. A) company that uses a me-too strategy for its promotion B) company that uses comparative advertising C) new product that is so radically different from anything on the market that it has difficulty moving out of the introduction stage of its product life cycle D) product that is unbranded E) new product that copies, with slight modifications, the design of an original product
new product that copies, with slight modifications, the design of an original product
12) Which of the following types of retailers obtain surplus merchandise from manufacturers and offer brand-name, fashion-oriented goods at low prices? A) specialty stores B) warehouse clubs C) off-price retailers D) department stores E) hypermarkets
off-price retailers
5) Producers benefit from using intermediaries because they ________. A) offer greater efficiency in making goods available to target markets B) bring a fresh point of view to strategy development C) eliminate risk D) are rarely backlogged with orders E) will store products indefinitely
offer greater efficiency in making goods available to target markets
21) Straight rebuys ________. A) are the most complex of purchase types because they require customer relationship management B) are more complex than new-task buys C) often involve products with low risks D) involve recruiting new vendors E) are the B2B version of comparison shopping in the consumer market
often involve products with low risks
21) Physical distribution activities include all of the following EXCEPT which one? A) order processing B) warehousing C) materials handling D) transportation E) order getting
order getting
18) Marketing logistics involves which of the following types of distribution flows? A) outbound and inbound only B) outbound, inbound, and reverse C) outbound and reverse only D) inbound and reverse only E) outbound only
outbound, inbound, and reverse
Chapter 15 Deliver Value through Supply Chain Management, Channels of Distribution, and Logistics 1) A firm that brings in outside companies to accomplish supply chain activities is using ________. A) insourcing B) outsourcing C) crowdsourcing D) intensive distribution E) exclusive distribution
outsourcing
14) Through the ________ of direct selling, people tend to get caught up in the "group spirit" and buy things they would not normally buy if alone. A) multilevel network B) pyramid scheme C) automatic vending system D) door-to-door sales E) party plan system
party plan system
27) Agents who work to get their celebrity clients exposure on TV or perhaps a starring role in a movie are practicing ________. A) idea marketing B) relationship marketing C) people marketing D) social marketing E) prestige marketing
people marketing
3) The greater the ________ of a purchase, the higher the consumer's level of involvement will be. A) perceived risk B) cognitive dissonance C) psychographics D) heuristics E) targeting
perceived risk
10) Exposure, attention, and interpretation are the three components that affect an individual's process of ________. A) psychographics B) dissonance C) affect D) status E) perception
perception
5) Capacity management is one of the ways to meet potential problems related to the ________ characteristic of services. A) intangibility B) perishability C) variability D) inseparability E) responsiveness
perishability
3) Four characteristics are used to differentiate services from goods. Which of the following is NOT one of those characteristics? A) intangibility B) perishability C) variability D) personalization E) inseparability
personalization
28) After the 2001 attack on the World Trade Center, New York City unveiled a new tourism advertising campaign with the slogan "The New York Miracle: Be a Part of It." This is an example of ________. A) social marketing B) idea marketing C) people marketing D) place marketing E) service marketing
place marketing
8) Consumer satisfaction/dissatisfaction is part of the ________ step of the consumer decision-making process. A) problem recognition B) information search C) evaluation of alternatives D) product choice E) postpurchase evaluation
postpurchase evaluation
16) A(n) ________ is a system that links invited groups of suppliers and partners over the Web, allowing companies to collaborate with suppliers they trust without having to share sensitive information with others. A) corporate Web site B) search engine C) intranet D) private exchange E) professional network
private exchange
26) Toronto-based Loblaw supermarket chain developed President's Choice brand products to sell exclusively in its stores. President's Choice is an example of a ________. A) manufacturer brand B) national brand C) cobrand D) generic brand E) private-label brand
private-label brand
27) Another name for a store brand is a ________. A) national brand B) private-label brand C) generic brand D) manufacturer brand E) licensed brand
private-label brand
31) When a business needs to make a complex purchase, it is most likely to form a buying center during the ________ stage of the business buying decision process. A) problem recognition B) vendor analysis C) information search D) supplier selection E) alternative evaluation
problem recognition
Chapter 8 Create the Product 1) A(n) ________ is defined as a good, service, idea, or some combination of these that satisfies consumer or business customer needs through the exchange process. A) private brand B) service variability C) core product D) product E) innovation
product
Chapter 9 Manage the Product 1) When marketers develop ________ strategies, they make decisions about product benefits, features, styling, branding, labeling, and packaging. A) communication B) product C) equity D) total quality management (TQM) E) Six Sigma
product
3) A ________ is a firm's total product offering designed to satisfy a group of target customers. A) brand B) product line C) product mix D) positioning strategy E) marketing mix
product line
4) A firm's ________ is determined by the number of separate items within the same category. A) brand equity B) product mix width C) product line length D) product quality E) product mix
product line length
8) A firm's ________ is its entire range of products. A) product line B) product mix C) marketing mix D) promotional mix E) positioning strategy
product mix
33) Which approach to measuring brand equity focuses on the ability of a brand to charge a higher price than the price charged by an unbranded equivalent? A) revenue premium metric B) financial market metric C) product-market outcomes metric D) equity-identity metric E) customer mind-set metric
product-market outcomes metric
30) During the technical development phase of the new product development process, a physical version of the product is developed; it is called a ________. A) test market B) focus group C) business analysis D) product concept E) prototype
prototype
35) Product packaging can do all of the following EXCEPT which one? A) protect the product B) provide service C) communicate brand personality D) make the product easier to store E) create a competitive advantage
provide service
18) In the business market, products of the fishing and agricultural industries purchased to use in a finished product are examples of ________. A) component parts B) accessory equipment C) processed materials D) MRO products E) raw materials
raw materials
36) Sometimes supplier selection is based on ________, which means a buyer and a seller agree to purchase each other's goods and services even though the terms of the sales may not be the best available. A) requisition B) reciprocity C) customer references D) outsourcing E) reverse marketing
reciprocity
30) The first step in the business buying decision process is ________. A) recognize the problem B) current vendor analysis C) search for information D) select the supplier E) evaluate the alternatives
recognize the problem
22) A modified rebuy ________. A) requires more time and effort than straight rebuys B) is the B2B version an impulse purchase in the consumer market C) requires more time and effort than new-task buying D) occurs whenever a company reorders a product from an original supplier E) involves only one role in the buying center
requires more time and effort than straight rebuys
6) For the retailer, the practice of ________ results in lower total sales and, in many cases, damaged merchandise. A) sweethearting B) experiential shopping C) retail borrowing D) off-price retailing E) network marketing
retail borrowing
Chapter 16 Retailing: Bricks and Clicks 1) Which of the following is the final stop in the distribution channel in which organizations sell goods and services to consumers for their personal use? A) franchising B) retailing C) brokering D) wholesaling E) disintermediation
retailing
17) Both B2C and B2B e-commerce companies are making sure that only authorized individuals are allowed to access a site and place an order. These companies are concerned with ________. A) single sourcing B) straight rebuys C) security issues D) private exchanges E) search engines
security issues
15) Which of the following is the highest level of needs on Maslow's hierarchy of needs? A) social needs B) ego needs C) physiological needs D) self-actualization needs E) belongingness needs
self-actualization needs
9) The ________ is the interaction between the customer and the service provider. A) supply-demand exchange B) transaction point C) service encounter D) service program E) service promotion
service encounter
15) Which of the following is NOT a category on the service continuum? A) goods-dominated products B) service-dominated goods C) equipment-based services D) facility-based services E) people-based services
service-dominated goods
12) Which of the following is NOT a way that marketers classify services? A) services performed directly on the customer B) services performed directly on the customer's possession C) services performed indirectly on the customer D) services consisting of tangible actions E) services consisting of intangible actions
services performed indirectly on the customer
13) A(n) ________ is a good or service for which consumers will spend time and effort gathering information on price, product attributes, and product quality. A) impulse product B) homogeneous product C) shopping product D) convenience product E) emergency product
shopping product
5) Shoplifting, sweethearting, and retail borrowing are all problems that contribute to ________. A) off-price retailing B) shrinkage C) pyramid schemes D) understored trade areas E) pop-up retailing
shrinkage
38) In small firms, the marketing function is usually handled by a ________ who is responsible for new-product planning, advertising, working with the company's sales representatives, and marketing research. A) single marketing manager B) brand manager C) product category manager D) market manager E) venture team manager
single marketing manager
23) There are people who have similar income and education levels, and often share tastes in clothing, decorating styles, and leisure activities. These people also share many political and religious beliefs as well as ideas regarding valued activities and goals. These people could all be categorized as being in the same ________. A) family life cycle B) social class C) regional group D) operant conditioning set E) microculture
social class
37) Which of the following is NOT required by the U.S. Food and Drug Administration (FDA) on the labels of most foods sold in the United States? A) amount of saturated fat in the product B) sources of all ingredients in the product C) amount of cholesterol in the product D) number of calories in the product E) amount of protein in the product
sources of all ingredients in the product
11) Marketers classify convenience products as ________. A) staples, impulse products, and emergency products B) specialty products, shopping products, and unsought products C) core products, actual products, and augmented products D) generic products and branded products E) attribute-based products and price-based products
staples, impulse products, and emergency products
17) Which of the following is the term for how the marketplace perceives a retailer relative to the competition? A) store layout B) store atmosphere C) merchandise assortment D) store image E) market segmentation
store image
3) Through ________, many companies today are strengthening their connections to all partners, from providers of raw materials to components to final products that are delivered to final buyers. A) supply chain management B) channel of distribution management C) partnership relationship marketing D) enterprise resource planning E) knowledge management
supply chain management
43) Which of the following is NOT identified as one of the five characteristics of innovations that affect the rate of adoption? A) relative advantage B) tangibility C) observability D) trialability E) compatibility
tangibility
31) The need to apply for a patent would most likely arise during which phase of new product development? A) business analysis B) technical development C) test marketing D) strategy development E) product proposal
technical development
29) During which stage of new-product development will management most likely consider whether the new product will cannibalize sales of the company's existing products? A) idea generation B) marketing strategy development C) business analysis D) product concept development E) test marketing
test marketing
36) Which of the following controls package communications and labeling in the United States? A) the Food and Drug Administration (FDA) B) the Nutrition Labeling and Education Act C) the Nutrition Facts Panel D) the Federal Fair Packaging and Labeling Act E) the Consumer Bill of Rights
the Federal Fair Packaging and Labeling Act
32) One of the advantages of test marketing is ________. A) the low cost B) the ability to keep information from falling into competitors' hands C) the opportunity to survey prospective customers D) the ability to evaluate a product and its marketing program before commercialization E) the opportunity to sell existing products to a core customer base
the ability to evaluate a product and its marketing program before commercialization
4) Which of the following is the series of firms or individuals that facilitate(s) the movement of a product from the producer to the final customers? A) the industrial network B) the retailer chain C) the multilevel network D) the channel of distribution E) the conventional marketing system
the channel of distribution
19) A good brand name should do all of the following EXCEPT fit ________. A) the target market B) the competition C) the customer's culture D) the product's benefits E) legal requirements
the competition
24) Which of the following is a method for measuring service quality? A) SWOT analysis B) a market audit C) break-even analysis D) the critical incident technique E) market fulfillment
the critical incident technique
25) Which of the following involves analyzing very specific customer complaints? A) SERVQUAL B) total quality management (TQM) C) gap analysis D) the critical incident technique E) servicescape
the critical incident technique
25) The perfect order measurement calculates which of the following? A) the amount of inventory that is just right to warehouse B) the origin, current location, and destination of a tagged product C) the most cost-effective and efficient mode of transportation D) the value of the time utility provided to customers through logistics E) the error-free rate of each stage of a purchase order
the error-free rate of each stage of a purchase order
2) Which of the following includes all the activities necessary to convert raw materials into a good or service and put it in the hands of the consumer or business customer? A) the supply chain B) the value chain C) the channel of distribution D) the retailer chain E) the industrial network
the supply chain
6) Channels of distribution provide which of the following? A) time, place, and ownership utility B) promotion, product, and place utility C) time, place, and form utility D) promotion and form utility E) time and promotion utility
time, place, and ownership utility
13) The product life cycle concept can be applied by marketers as a useful framework for describing how ________. A) to forecast product performance B) to develop marketing strategies C) a market responds to a product over time D) product ideas are developed E) a brand gains a dominant position in the market
to develop marketing strategies
28) What is the most logical explanation for why retailers carry private-label brands? A) to eliminate the need for competitive advantages B) to encourage transaction marketing C) to support trade promotions D) to earn more profit E) to prevent sales cannibalization
to earn more profit
10) Which of the following is a management philosophy that focuses on satisfying customers through empowering employees to be an active part of continuous quality improvement? A) cannibalization B) total quality management (TQM) C) Six Sigma D) ISO 9000 E) ISO 14000
total quality management (TQM)
21) A ________ is the legal term for a brand name, brand mark, or trade character. A) trademark B) patent C) copyright D) logo E) corporate mark
trademark
3) Business-to-business marketing differs from consumer marketing in that business-to-business marketing ________. A) is targeted at many individual and household customers B) relies upon frequent impulse purchases C) emphasizes advertising more than any other element of the promotion mix D) typically involves competitive bidding and price negotiations E) usually has one person involved in purchase decisions
typically involves competitive bidding and price negotiations
7) Service ________ refers to the inevitable differences in a service provider's performance from one service encounter to the next. A) inseparability B) variability C) personalization D) responsiveness E) intangibility
variability
42) When large companies undertake new-product development, they typically enlist specialists in different areas to create a ________ within the organization. A) focus group B) product category team C) sales team D) venture team E) cross-functional brand team
venture team
26) Political consultants market politicians when they "package" candidates who then compete for "market share" as measured by ________. A) purchases B) market fulfillment C) credence qualities D) votes E) social networking
votes
2) According to the ________ hypothesis, new retailing forms often begin as low-margin, low-price, low-status operations to challenge established retailers, then become successful, and eventually take the place of the established retailers they had challenged. A) agent B) broker C) wheel-of-retailing D) warehousing E) retail life cycle
wheel-of-retailing
