MKTG Final

53) ________ is a type of service offered by those retailers who serve customers that are willing to perform their own "locate-compare-select" process in order to save money. A) Limited-service B) Self-service C) Full-service D) Specialty-service E) Wholesaling

Self-service

34) Which of the following is NOT likely to be a question asked in the new product screening process? A) Is there a real need and desire for the product? B) Is there a clear product concept? C) Does the product offer a sustainable advantage? D) How many items will the company sell in the first two years? E) Does the product fit the company's overall growth strategy?

How many items will the company sell in the first two years?

30) Features are a competitive tool for differentiating a company's product from competitors' products. Which question are companies LEAST likely to ask in a survey of buyers regarding product features? A) Which features could we add to improve the product? B) Which specific features of the product do you like most? C) How much would (a certain new feature) be worth to you? D) Which features of the product do you like the least? E) How do you like the product?

How do you like the product?

68) The decisions about impact and engagement of an advertisement fall into the category of ________ decisions. A) sales objectives B) budget C) message D) media E) advertising evaluations

media

79) Which of the following promotion tools involves building up a positive corporate image and handling unfavorable stories and events? A) sales promotion B) personal selling C) direct marketing D) public relations E) advertising

public relations

16) Subcultures include nationalities, religions, geographic regions, and ________. A) genders B) ages C) professions D) racial groups E) income levels

racial groups

73) Keeping the brand in a customer's mind during off-seasons is most likely a goal of ________ advertising. A) reminder B) attack C) informative D) covert E) competitive

reminder

61) In-store demonstrations, displays, sales, and loyalty programs are examples of ________. A) direct marketing B) sales promotion C) public relations D) personal selling E) affinity marketing

sales promotion

78) Which message execution style involves presenting survey data indicating that a brand is better than other brands? A) scientific evidence B) testimonial evidence C) endorsement D) technical expertise E) slice of life

scientific evidence

35) What sets the floor for product prices? A) consumer perceptions of the product's value B) product costs C) competitors' strategies D) advertising budgets E) market competition

product costs

45) Which of the following product mix pricing strategies involves setting prices across an entire product range based on cost differences between the products, customer evaluations of different features, and competitors' prices? A) by-product pricing B) product bundle pricing C) optional product pricing D) captive product pricing E) product line pricing

product line pricing

81) In the ________, each salesperson is assigned to an exclusive geographic area and sells the company's full line of products or services to all customers in that region. A) territorial sales force structure B) digital marketing system C) product sales force structure D) geographical operations system E) customer sales force structure

product sales force structure

83) In the ________ stage of the selling process, a company first identifies qualified potential customers. A) preapproach B) follow-up C) prospecting D) presentation E) approach

prospecting

27) Different soft drinks target different personalities. This is an example of ________ segmentation. A) psychographic B) demographic C) occasion D) life-cycle E) benefits

psychographic

29) If a consumer purchases a new flat-screen "smart" television, what is the augmented product involved? A) connection to the world of entertainment B) state-of the art technology C) slick and attractive packaging D) brand name E) tech support and warranty

tech support and warranty

85) An integrated social marketing campaign likely could include all of the following EXCEPT ________. A) Facebook pages B) Twitter postings C) Instagram photos D) television ads E) YouTube videos

television ads

91) If a company identifies its competitors from an industry point of view, it must understand ________ if it hopes to be an effective player in that industry. A) the trends in the industry B) the primary customers C) the impact of technological changes D) the potential customers E) the competitive patterns

the competitive patterns

62) A company's total marketing communications mix consists of a specific blend of advertising, sales promotion, public relations, personal selling, and direct-marketing tools that the company uses to communicate customer value and build customer relationships. Which of the following terms best describes this set of communications tools? A) the product mix B) product line filling C) the promotion mix D) the price mix E) horizontal diversification

the promotion mix

8) Company growth through diversification involves offering modified or new products to the company's current markets. A) TRUE B) FALSE

true

86) Social media marketing can be inexpensive for companies to use. A) TRUE B) FALSE

true

93) The goal of a "blue ocean strategy" is to make competition irrelevant. A) TRUE B) FALSE

true

25) ________ segmentation divides the market into segments based on variables such as age, life-cycle stage, gender, income, occupation, education, religion, ethnicity, and generation. A) Geographic B) Benefit C) Occasion D) Psychographic E) Demographic

Demographic

47) Which of the following is true of optional-product pricing? A) It involves capitalizing on low value by-products. B) It involves pricing products that can be added to the base product. C) It is used to price a company's main product. D) It involves setting geographically specific prices. E) It is used to price products that must be used with the company's main product.

It involves pricing products that can be added to the base product.

3) Which of the following statements is true of the selling concept? A) It requires minimum promotion efforts. B) It creates long-term, profitable customer relationships. C) It takes an outside-in perspective. D) It is typically practiced with unsought goods. E) It follows the customer-centered sense-and-respond philosophy.

It is typically practiced with unsought goods.

54) ________ are retailers that offer sales assistance because they carry more shopping goods about which customers might need information. A) Self-service retailers B) Full-service retailers C) Off-price retailers D) Limited-service retailers E) Specialty-service retailers

Limited-service retailers

1) Which of the following is NOT an accurate description of modern marketing? A) Marketing is the creation of value for customers. B) Marketing involves managing profitable customer relationships. C) Marketing emphasizes selling and advertising exclusively. D) Marketing involves satisfying customers' needs. E) Marketing is building value-laden exchange relationships with customers.

Marketing emphasizes selling and advertising exclusively

46) Which of the following companies uses product line pricing? A) Photo Genie, which sells inexpensive cameras that run only on their own expensive batteries B) Mobile Point, which launched a range of cell phone models, each priced according to its features C) Penguin's Parlor, which offers customers a 20-percent discount on their birthdays and certain holidays D) Green Thumb, which gives away free watering cans with the purchase of certain potted plants E) Panizza, whose combo meals are priced lower than the individual components sold together

Mobile Point, which launched a range of cell phone models, each priced according to its features

31) ________ involves designing and producing the container or wrapper for a product. A) Packaging B) Patenting C) Servicing D) Co-branding E) Labeling

Packaging

80) Which of the following is true with regard to personal selling? A) Personal selling entails personal presentations by a firm's sales force for the purpose of making sales and building customer relationships. B) Personal selling involves making personal requests to potential buyers to enter into short-term business relationships with firms. C) Personal selling distances the buyer from the seller and does not focus on building enduring relationships. D) An outside sales force is not involved in personal selling. E) Personal selling is a relatively new profession.

Personal selling entails personal presentations by a firm's sales force for the purpose of making sales and building customer relationships.

2) Railroads were once operated based on the thinking that users wanted trains that would offer the most in quality, performance, and innovative features. The railroad managing companies overlooked the fact that there could be other modes of transportation. This reflects the ________ concept. A) product B) production C) selling D) marketing E) societal marketing

Product

22) ________ refers to the stage of the business buying process in which the buying organization decides on and specifies the best technical product characteristics for a needed item. A) Performance review B) General needs description C) Product development D) Proposal solicitation E) Product specification

Product specification

17) Which of the following statements is true of cultural factors that influence consumer behavior? A) Cultural influences on buying behavior are identical across countries. B) Social classes show distinct product and brand preferences in areas such as clothing and travel. C) Subcultures include nationalities and racial groups, but exclude religions. D) Subcultures are groups within which each individual has a unique and distinct value system. E) Hispanic Americans and African Americans are examples of racially segregated groups and not subcultures.

Social classes show distinct product and brand preferences in areas such as clothing and travel.

40) Which of the following is true of a pure competitive market? A) A single seller has a major effect on the current and future market price. B) Companies spend significantly on marketing research and product development. C) The advertising budget of companies is usually huge. D) Sellers try to develop differentiated offers for different customer segments. E) Sellers spend little time on marketing strategy.

The advertising budget of companies is usually huge

23) Which of the following most likely occurs in the supplier selection stage of the business buying decision process? A) The buyer calls for detailed written proposals or formal presentations from each potential supplier. B) The buyer compiles a small list of qualified suppliers by reviewing trade directories, doing computer searches, or contacting other companies for recommendations. C) The buying team decides on the best product characteristics and specifies them accordingly. D) The buyer prepares a general need description and identifies the quantity of the needed item. E) The buying center draws up a list of the desired supplier attributes and their relative importance.

The buying center draws up a list of the desired supplier attributes and their relative importance.

51) Which of the following is most likely true of marketing channel decisions? A) They often involve long-term commitments to other firms. B) They have minimal influence on the prices of products offered to customers. C) They increase the amount of time a company spends connecting with customers. D) They increase the amount of effort a company puts in to distribute goods. E) They are easily altered, replaced, or discarded.

They often involve long-term commitments to other firms.

11) Which of the following is true of Gen Xers? A) They are considerably larger than the boomer generation. B) They were the first to grow up in the Internet era. C) They are less educated than the baby boomers. D) They are more materialistic than the Millennials. E) They rarely research a product before purchasing it.

They rarely research a product before purchasing it.

4) The marketing mix refers to the set of marketing tools the firm uses to implement its marketing strategy. A) TRUE B) FALSE

True

13) Challenges of managing big data include ________. A) determining what information to request B) investing in appropriate technology C) hiring enough software engineers D) properly routing the information after gathering it E) accessing and sifting through so much data

accessing and sifting through so much data

38) Companies that adopt value-added pricing ________. A) consider value-added features as a fitting substitute for aggressive cost cutting B) set incredibly low prices to meet competition C) attach value-added features and services to differentiate their offers and support their higher prices D) overprice their products without any apparent justification E) underprice their products and lower quality to boost demand in the short-run

attach value-added features and services to differentiate their offers and support their higher prices

21) The decision process by which business buyers determine which products and services their organizations need to purchase and then find, evaluate, and choose among alternative suppliers and brands is known as ________. A) situational analysis B) business buying process C) business diversification D) business process automation E) lateral expansion

business buying process

66) A manufacturer of a variety of technological devices asked its marketing department to develop inexpensive methods of building and maintaining brand awareness and excitement. The marketing department then recruited consumers who were early adopters of technological devices to spread the word about the company's new products. This is an example of ________. A) a reverse marketing activity B) nonpersonal marketing C) sales promotion D) buzz marketing E) direct marketing

buzz marketing

39) Companies with lower costs ________. A) specialize in selling products with value-added features B) usually market products with inferior quality, thereby justifying the low selling price C) can set lower prices that result in smaller margins but greater sales and profits D) tend to overprice products owing to their monopolistic advantage E) usually set higher prices that result in higher margins

can set lower prices that result in smaller margins but greater sales and profits

92) Most companies will compete with ________ rather than ________. A) distant competitors/close competitors B) close competitors/distant competitors C) benchmarkers/distant competitors D) market challengers/market followers E) market challengers/market nichers

close competitors/distant competitors

72) When Verizon Wireless began offering the iPhone, it used its "Can you hear me now?" slogan to attack AT&T's rumored spotty service. This example best illustrates ________. A) informative advertising B) reminder advertising C) comparative advertising D) covert advertising E) institutional advertising

comparative advertising

89) Strategies that strongly position a company against competitors and that give the company the best possible strategic advantage are ________ strategies. A) competitor analysis B) customer relationship C) competitive marketing D) competitive relationship E) customer identification

competitive marketing

43) A market-skimming pricing strategy should NOT be used for a new product when ________. A) the product's quality and image support its higher price B) enough buyers want the products at that price C) competitors are unable to enter the market D) competitors can undercut prices easily E) producing a smaller number of goods is feasible

competitors can undercut prices easily

71) Which of the following is an objective of persuasive advertising? A) communicate customer value B) correct false impressions C) describe available services and support D) keep the brand in a customer's mind during off-seasons E) engage customers and create brand community

correct false impressions

84) Which of the following is NOT a reason that companies use social media? A) cost effectiveness B) engagement and social sharing capabilities C) ease of creating content D) immediacy and timeliness E) interactiveness

cost effectiveness

9) More and more, companies are shifting their brand management focus from brand profitability toward ________. A) technology management B) product management C) customer management D) functional management E) geographic management

customer management

15) Customer information is often buried deep in separate databases and records of different company departments. To overcome such problems, many companies are now turning to ________ to manage detailed information about individual customers. A) neuromarketing B) customer needs marketing C) customer relationship management D) ethnographic research E) netnography research

customer relationship management

26) Consumers who show their allegiance to brands, stores, or companies help marketers to segment consumers by their ________. A) user status B) degree of loyalty C) income D) geographic location E) benefit-seeking attitudes

degree of loyalty

58) Which type of store carries a wide variety of product lines and has been squeezed in recent years between more focused and flexible specialty stores on the one hand and more efficient, lower-priced discounters on the other? A) warehouse clubs B) department store C) factory outlet D) merchant wholesaler E) category specialist

department store

32) The strongest brands are positioned on ________. A) desirable benefit B) good packaging C) service inseparability D) strong beliefs and values E) product attributes

desirable benefit

64) Changes to the marketing communications model include that consumers are changing and are better informed, that marketing strategies are changing and are moving from mass marketing, and that ________. A) manufacturing processes are becoming more efficient B) distribution of products worldwide is more feasible and cost-effective C) segmenting and targeting of consumers are more detailed than ever before D) digital technologies are changing the ways companies and customers communicate E) retailing is more competitive with more sources of products available for consumers

digital technologies are changing the ways companies and customers communicate

41) If demand changes greatly with a small change in price, the demand is ________. A) variable B) inelastic C) derived D) elastic E) negative

elastic

12) As a consequence of the concern for the natural environment, many companies are developing strategies and practices that support ________. A) government intervention B) environmental sustainability C) deregulation D) mass marketing E) rapid exploitation of natural resources

environmental sustainability

6) Which of the following is NOT a step in the strategic planning process? A) defining the company mission B) setting company objectives and goals C) designing the business portfolio D) planning marketing and other functional strategies E) evaluating members of the company's value chain

evaluating members of the company's value chain

37) Bon Vivant offers an assortment of exclusive French wines at incredibly low prices. These prices are neither limited-time offers nor special discounts, but represent the daily prices of products sold by Bon Vivant. This reflects Bon Vivant's ________ pricing strategy. A) everyday low B) markup C) penetration D) break-even E) cost-based

everyday low

59) Off-price retailers pay regular wholesale prices for their merchandise but maintain low prices by accepting lower margins and selling higher volume. A) True B) False

false

67) A good marketing message will try to move consumers through several steps of the buyer-readiness stages in a single message. A) TRUE B) FALSE

false

87) Social media sites primarily exist for broad topics, making it difficult for marketers to appeal to smaller communities and niche markets. A) TRUE B) FALSE

false

7) The BCG matrix approach is problematic in that it ________. A) focuses on planning for the future at the cost of ignoring the present B) focuses solely on current businesses and provides little scope for future planning C) tends to undermine the importance of market growth rate as a measure of market attractiveness D) tends to undermine the importance of relative market share as a measure of company strength in the market E) fails to classify SBUs

focuses solely on current businesses and provides little scope for future planning

18) Which of the following is characteristic of online social networks? A) use of one-way communication techniques B) negligible adoption rates C) guaranteed positive results D) easy methods to measure results E) interactive media content

interactive media content

55) Which type of retailer usually carries more specialty goods at high prices and is more likely to provide customers with assistance in every phase of the shopping process? A) self-service retailer B) limited-service retailer C) full-service retailer D) independent retailer E) off-price retailer

full-service retailer

24) Many companies today are localizing their products, advertising, promotion, and sales efforts to fit the needs of individual regions, cities, and neighborhoods. This is an example of ________. A) geographic segmentation B) product diversification C) branding D) psychographic segmentation E) demographic segmentation

geographic segmentation

52) Managers at the Imperial Hotel-Chicago complained that the chain's overall image was hurt because Imperial Hotel-Dallas was overcharging guests and providing poor service. The Imperial Hotel was experiencing ________ conflict. A) equilateral B) vertical C) multitiered D) communal E) horizontal

horizontal

5) In which of the following situations has a company most actively embraced customer managed relationships? A) American Airlines awards frequent flyer points to returning customers. B) Paige Premium Denim jeans provide superior quality and perfect fit. C) iRobot invites enthusiastic Roomba owners to develop and share their own uses for the company's robotic vacuum cleaner. D) Best Buy distinguishes between its best customers and its less profitable customers, stocking merchandise to appeal to each group. E) Toyota develops a marketing presence on social networks and other online communities.

iRobot invites enthusiastic Roomba owners to develop and share their own uses for the company's robotic vacuum cleaner.

65) Which of the following is the first step in developing an effective integrated communications and promotion program? A) designing a message B) identifying the target audience C) determining the communication objectives D) collecting feedback E) choosing the media through which to send a message

identifying the target audience

14) After a research instrument is selected, the next step in the marketing research process is to ________. A) select a sampling method B) interpret the research findings C) implement the research plan D) evaluate alternatives E) select a research approach

implement the research plan

70) When the advertising objective is to build primary demand for a new product category, ________ advertising will most likely be used. A) persuasive B) informative C) comparative D) patronage E) institutional

informative

69) When P&G developed the Mr. Clean Magic Eraser, the company needed to explain how the product cleans grime from walls without removing paint. What type of campaign was most likely used by P&G for the Mr. Clean Magic Eraser? A) informative advertising B) persuasive advertising C) reminder advertising D) developmental advertising E) comparative advertising

informative advertising

82) Robin works in a manufacturing company in Ohio. She sells products and handles customer requests via the company's online live chat feature. In her company, Robin is most likely a part of the ________. A) outside sales force B) inside sales force C) product designing team D) operations management team E) executive management

inside sales force

49) Reasons sellers go beyond what is required by pricing regulations include all of the following EXCEPT that ________. A) it is good business to treat customers fairly B) customers that fully understand prices and pricing terms are happy customers C) word-of-mouth from dissatisfied customers spreads rapidly D) building strong and lasting relationships is key to business success E) it improves profitability to earn additional revenue due to customer confusion

it improves profitability to earn additional revenue due to customer confusion

74) Which of the following is one of the primary goals of reminder advertising? A) maintain customer relationships B) build brand preference C) correct false impressions D) inform the market of a price change E) restore company image

maintain customer relationships

48) When a competitor cuts its price, a company should ________ if it believes it will not lose much market share or would lose too much profit by cutting its own prices. A) reduce its production costs B) reduce its marketing costs C) maintain its current prices and profit margin D) increase its marketing budget to raise the perceived value of the product E) increase its production costs to improve the quality of the product

maintain its current prices and profit margin

90) Companies can identify competitors from a(n) ________ point of view by defining competitors as companies that are trying to satisfy the same customer need or build relationships with the same customer group. A) customer B) blue ocean C) market D) myopic E) industry

market

10) Which of the following terms is used to describe the actors and forces outside marketing that affect marketing management's ability to build and maintain successful relationships with target customers? A) marketing environment B) marketing orientation C) strategic planning D) target markets E) marketing mix

marketing environment

28) Ferrari sports cars claim superior quality, performance, and style. Ferrari provides "perfection" at a premium price to keep its brand image intact. Which type of value proposition does Ferrari most likely position its products with? A) more for the same B) more for more C) less for much less D) the same for less E) more for less

more for more

57) Specialty stores carry ________ with ________ within them. A) only convenience products/shallow assortments B) narrow product lines/deep assortments C) narrow product lines/shallow assortments D) wide product lines/shallow assortments E) wide product lines/deep assortments

narrow product lines/deep assortments

33) Which of the following is a significant challenge presented by the product life cycle? A) increased expenses B) increased competition C) new product development D) evaluation of results E) recognizing the stages as a product goes through them

new product development

88) A competitor analysis requires the assessment of all of the following EXCEPT the competitors' ________. A) objectives B) organizational hierarchy C) strategies D) strengths and weaknesses E) reaction patterns

organizational hierarchy

19) A buyer's decisions are influenced by ________ such as the buyer's age and life-cycle stage, occupation, economic situation, lifestyle, personality, and self-concept. A) personal characteristics B) stereotypes C) perceptions D) attitudes E) psychographics

personal characteristics

63) Extel Inc., a home appliance manufacturer, uses sales representatives to sell its products to wholesalers and individual customers. This is an example of ________. A) sales promotion B) personal selling C) public relations D) direct and digital marketing E) advertising

personal selling

77) The advertisements that use the Aflac duck or the GEICO gecko are using the message execution style of ________. A) lifestyle B) technical expertise C) testimonial evidence D) slice of life E) personality symbols

personality symbols

20) Life-stage segmentation allows marketers to create targeted, actionable, and ________ campaigns based on how people consume and interact with brands. A) inexpensive B) professional C) multimedia D) social media E) personalized

personalized

75) After determining its advertising objectives, a company's next step in developing an advertising program is to ________. A) set an advertising budget B) determine the media vehicle C) use cash rebate offers D) evaluate the advertising campaign E) develop a message strategy

set an advertising budget

76) Which message execution style depicts average people using a product in an everyday setting? A) lifestyle B) scientific evidence C) slice of life D) personality symbol E) testimonial evidence

slice of life

60) Changes to service differentiation include all of the following EXCEPT ________. A) smarter customers B) decreased services at department stores C) more price-sensitive consumers D) customers' willingness to pay more for identical brands E) increased services from discounters

smarter customers

56) Today, ________ are flourishing due to the increased use of market segmentation and market targeting. A) chain stores B) specialty stores C) superstores D) discount stores E) off-price stores

specialty stores

42) Companies set not a single price, but a pricing ________ that covers different items in its line and changes over time as products move through their life cycles. A) by-product B) structure C) loop D) cycle E) bundle

structure

50) Producing a product or service and making it available to buyers requires building relationships not only with customers but also with key suppliers and resellers in the company's ________. A) upstream partnerships B) marketing channels C) inventory providers D) supply chain E) downstream partnerships

supply chain

44) A market-penetration pricing policy should LEAST likely be used for a new product when ________. A) the market is highly price sensitive B) production and distribution costs fall as sales volume increases C) the product's quality and image support a high price D) a high price helps keep out the competition E) there are few or no competitors in the market

the product's quality and image support a high price

36) Factors a company considers in setting its price include all of the following EXCEPT ________. A) competitors' strategies and prices B) product costs C) overall marketing strategy and mix D) value of the product on the pre-owned market E) nature of the market and demand

value of the product on the pre-owned market