MKTG380 Final Study Guide

Christopher is a hair stylist who owns Curlz, the best salon in Los Angeles. The clients swear by Christopher, and brides and bridesmaids flock to him for all weddings in LA. Christopher's name has become synonymous with the service at Curlz. Which of the following characteristics of services best explains this association? 1) Companies cannot easily standardize services. 2) Service standards show wide variations 3) Services are inseparable from the service providers. 4) Services are perishable and intangible

3) Services are inseparable from the service providers.

According to the BCG market share/market growth matrix, the revenues earned from cash cows should be used to finance the growth of: 1) Question marks and dogs 2) Dogs and stars 3) Stars and question marks 4) Question marks and cash cows

3) Stars and question marks

You're the Chief Marketing Officer of SalonCentric, a wholesaler of hair and beauty products sold to licensed beauticians and cosmeticians through brick-and-mortar stores across the United States. You want to increase revenue by expanding into another market category. What is your best option? 1) Make an agreement with one of your suppliers to sell private label SalonCentric products. 2) Start selling related equipment, such as barber chairs and pedicure chairs, to your target market 3) Start producing hair dye that will be sold to hair color manufacturers. 4) Open your stores to the public so you can sell retail

3) Start producing hair dye that will be sold to hair color manufacturers.

ADA Inc. stopped its production of oral care goods after determining apparel production to be its new primary objective. This is a direct result of the ____ planning process at ADA Inc. 1) Tactical 2) Research 3) Strategic 4) Economic

3) Strategic

A certain social networking corporation has the highest number of users in the social networking industry. This is an example of the firm's: 1) Opportunity 2) Constraint 3) Strength 4) Threat

3) Strength

Assume you want to increase the number of customers by applying the marketing concept. Which of the following strategies would be most consistent with this approach? 1) Reduce product costs 2) Offer more product variety than competitors 3) Target markets 4) Employ inexpensive labor

3) Target markets

McBurgers plans to introduce a new line of fish sandwiches to 15 stores in eastern United States for a six-month period. If the product and promotional efforts behind it are successful, the company may launch them nationwide. What type of research is being conducted to determine potential success? 1) Stratified sampling 2) Exploratory research 3) Test marketing 4) Trend analysis

3) Test marketing

Because of competitive pressures, some firms have used packaging and labeling practices that are questionable, misleading, deceptive, and unethical. This is an example of issues related to __________. 1) ethics in customer relationships 2) ethics in pricing 3) ethics in product strategy 4) ethics in promotion

3) ethics in product strategy

Compared to undifferentiated marketing, the firm that practices differentiated marketing may generally expect: 1) less sales by segment. 2) lower total production costs. 3) greater promotional costs. 4) lower inventory costs.

3) greater promotional costs.

A store's exterior appearance, including architectural design, window displays, signs, and entryways: 1) exerts a major influence on the pricing of the goods sold by the store. 2) exerts no influence on the retailer's image. 3) helps identify the retailer and attract its target market. 4) indicates the range and assortment of product lines it offers.

3) helps identify the retailer and attract its target market.

The goal of the European Union, a multinational economic community, is to: 1) liberalize the world financial services, telecommunications, and maritime markets 2)help American workers, farmers, and small businesses thrive and 3) remove all barriers to free trade among its members, and standardization of currencies and regulations 4) extend free-trade benefits to most nations around the world

3) remove all barriers to free trade among its members, and standardization of currencies and regulations

The organizational buying process differs from the consumer purchase process as the organizational buying process: 1). is informal and less professional 2) involves few decision makers in making purchase decisions 3) requires a longer time frame because of complexity of the decisions 4) generally involves purchase of highly standardized products

3) requires a longer time frame because of complexity of the decisions

A consumer goods company segments its markets on the basis of purchase patterns of their customers. The company groups its consumers who regularly buy their product into heavy, moderate, and light users, and nonusers. This segmentation approach is an example of _____. 1) segmentation by benefits sought 2) geographic segmentation 3) segmentation by usage rates 4) distributive segmentation

3) segmentation by usage rates

A positioning map: 1) is used primarily by companies utilizing undifferentiated marketing strategies. 2) can be used only for already successful products in the market. 3) shows how consumers view a product relative to competitive products. 4) outlines how to introduce a new product to the marketplace

3) shows how consumers view a product relative to competitive products.

Consumers who are part of the Millennial generation rely on social media and the influence of peers when making decisions about purchasing products and brands compared to Baby Boom generation consumers who might prefer to read reviews by sources such as Consumer Reports. This distinction is important to marketers and part of the ______ environment. 1) technical 2) economic 3) social-cultural 4) demographic

3) social-cultural

In addition to traditional drug stores, Dr Scholl's foot care company sells its products through convenience stores as well as through telemarketing to podiatrists. Which of the following is being employed by Dr Scholl's foot care company to sell its products? 1) A reverse channel 2) Exclusive distribution 3) A direct channel 4) Dual distribution

4) Dual distribution

According to the AIDA concept, which of the following is the first function of a promotional message? 1) Arousing interest in the good or service 2) Producing an action in the form of a purchase or a more favorable attitude that may lead to a future purchase 3) Stimulating desire by convincing the potential buyer of the product's ability to satisfy their needs 4) Gaining the potential consumer's attention

4) Gaining the potential consumer's attention

During the search step of the consumer decision process, the consumer: 1) Realizes that it is time to make a change from the present situation 2) Develops a set or evaluative criteria to guide the purchase decision 3) Begins to notice favorable word-of-mouth communication about the product 4) Gathers information about the attainment of a desired state of affairs

4) Gathers information about the attainment of a desired state of affairs

Which of the following components in the supply chain of a manufacturing company are most concerned with speed and timeliness? 1) Inbound logistics, outbound logistics 2) Production, customer service 3) Inbound logistics, production, customer service 4) Inbound logistics, outbound logistics, production

4) Inbound logistics, outbound logistics, production

New reports from Zimbabwe indicate that a small pack of locally produced coffee beans costs approximately 1 billion Zimbabwean dollars, an amount that would have brought 60 new cars less than ten years ago in the same country. It can be surmised that Zimbabwe is experiencing extremely high levels of ____, which has spiraled out of control in the past ten years. 1) Growth 2) Stagflation 3) Deflation 4) Inflation

4) Inflation

Which of the following is the most effective method to promote products when the customers of a firm are geographically concentrated? 1) Advertising 2) Publicity 3) Public relations 4) Personal selling

4) Personal selling

In a(n) ____, firms evaluate their products and divisions to determine the strongest and weakest. 1) Organizational appraisal 2) Market analysis 3) Utilization analysis 4) Portfolio analysis

4) Portfolio analysis

A manufacturer wants to increase purchase rates of its product and reward those consumers who make multiple purchases. It decides to use a consumer-oriented sales promotion that has an expiration date and requires the purchaser to submit a proof of purchase. Which sales promotion will the manufacturer use? 1) Bonus pack 2) Trade allowance 3) Coupon 4) Rebate 5) Sweepstakes

4) Rebate

When a major distributor of beauty supplies went out of business, you were able to acquire large amounts of combs, brushes, hairpins, and other accessories that you sell in your small chain of four stores. You will be restocking your stores with this merchandise for the next nine months. What kind of warehouse facility will you use for your inventory? 1) Cold-storage warehouse 2) Distribution warehouse 3) Automated warehouse 4) Storage warehouse 5) Consolidation warehouse

4) Storage warehouse

Which of the following is the earliest method used for gathering marketing information? 1) Delphi technique 2) Email surveys conducted by research professionals 3) Telephone surveys conducted to assess household preferences 4) Written testimonials received from purchasers of a firm's products

4) Written testimonials received for purchasers of firm's products

A company has introduced a new product in the market. The company distributes free samples of this product to people so that they can try it. This product is at the _____ stage of brand loyalty. 1) brand insistence 2) brand association 3) brand preference 4) brand recognition

4) brand recognition

Historically, customers visited brick-and-mortar locations to 1) purchase products they had researched and compared online 2) pick up products that had been ordered online and shipped to the store 3) compare prices in order to shop online 4) browse and compare products and make purchases.

4) browse and compare products and make purchases.

Texas Instruments produces electronic chips used in a variety of devices, from cell phones to hand calculators. The specifications of the chips change depending on the final product in which they are utilized. The company is most likely to segment its customers based on: 1) purchase category 2) demographic characteristics 3) psychographic characteristics 4) end-use application

4) end-use application

The most expensive sales method overall is: 1) over-the-counter sales, largely because of the high overhead in retail operations. 2) inbound telemarketing because of the technology costs. 3) outbound telemarketing because of the high rejection rate from customers who avoid telemarketers. 4) field selling, largely because of the travel costs of sales personnel.

4) field selling, largely because of the travel costs of sales personnel.

Segmentation by benefits sought is a product-related segmentation approach that: 1) determines the marketer's effectiveness in satisfying the consumer. 2) measures brand loyalty and consumer perception. 3) reevaluates customer reactions post-consumption. 4) focuses on the attributes that people seek in a product.

4) focuses on the attributes that people seek in a product.

As a freelance website and app developer, you are responsible for marketing and selling your own services. You've been trying to get your foot in the door of a large corporation in your city, but you're getting stonewalled and cannot determine who you need to connect with to make a sales presentation. You're having issues with understanding: 1) distribution in the technology industry 2) current demand for your product 3) geographic market concentration 4) the purchase decision process

4) the purchase decision process

The supply chain begins with: 1) the manufacturing or production activities 2) the manufacturer seeking new markets for their products 3) the movement of finished products through the marketing channel to customers. 4) the raw material inputs for the manufacturing process.

4) the raw material inputs for the manufacturing process.

Your boss believes strongly in the potential of special software that has been developed to search for patterns in computerized data files. This software is used primarily for ____ 1) Data warehousing 2) Predictive analytics 3) Competitive intelligence 4) MIS support 5) Data mining

5) Data mining

An international company chose to go with a global marketing strategy in a new location, planning to exactly duplicate the company's previous success in its home country. The venture was not a success. While it enjoyed economies of scale, the marketing campaign did not engage new customers. Which information is essential to create a new and successful marketing campaign? 1) Factors that led to successful efforts in the company's home country 2) Input from employees who were laid off due to the business's failure 3) Negative comments made on social media by the company's limited number of visitors 4) Information from doing a rotating promotional effort that changes with the four seasons 5) Specific details about the unique needs of potential customers in the new location

5) Specific details about the unique needs of potential customers in the new location

The regulatory agency that can require advertisers to provide additional information about products in their advertisements is the _____. 1) Federal Trade Commission (FTC) 2) Environmental Protection Agency (EPA) 3) Food and Drug Administration (FDA) 4) Federal Advertising Commission (FAC)

1) Federal Trade Commission (FTC)

Prestige pricing objectives emphasize: 1) quality and exclusivity. 2) revenue or sales maximization. 3) competitive parity. 4) market share minimization.

1) quality and exclusivity.

Widespread adoption of wireless networks and in-home Internet use has led to an increased availability of "smart" products for the home such as thermostats, lighting, security, systems and smoke detectors. Which environmental factor is most related to the new smart home products? 1) technological 2) social-cultural 3) economic 4) political-legal

1) technological

The fluctuation in exchange rates results in: 1) a country employing additional tariffs and quotas on imports to manage fluctuations 2) a nation's currency becoming more or less valuable compared with those of other nations. 3) the possibility of an economy reaching short-run equilibrium at levels below or above full employment. 4) a relatively rapid economic growth and periods of relative stagnation or decline.

2) a nation's currency becoming more or less valuable compared with those of other nations.

The first stage in the seven-stage model of an organizational buying process involves: 1) determining the characteristics and quantity of a needed good or service 2) anticipating a problem, need, or opportunity and a general solution 3) establishing specifications for a needed good or service 4) searching for and qualifying potential sources

2) anticipating a problem, need, or opportunity and a general solution

Eddie Bauer has physical retail stores as well as an e-commerce and catalog mailed to consumers on a regular basis. Eddie Bauer utilizes: 1) direct selling. 2) direct response retailing. 3) online retailing. 4) automatic merchandising.

2) direct response retailing.

Lands End, a clothing retailer, sells its products through its internet site and select Sears stores. The Sears locations also have computers available for customers to purchase items that are not available in store. In addition, Lands End utilizes catalogs mailed to consumers to spur online and telephone orders. Lands End utilizes: 1) automatic merchandising. 2) direct response retailing. 3) direct selling. 4) online retailing.

2) direct response retailing.

Sales professionals who utilize inbound telemarketing and their extensive knowledge to assist customers via phone and also support a field sales force are known as: 1) customer sampling sales reps 2) inside selling professionals 3) relationship marketing sales reps 4) over-the-counter selling professionals

2) inside selling professionals

As an avid sports fan yourself, you've got a fantastic idea for an online business. Each customer will create a profile identifying his or her favorite teams, and when those teams do well, your website will automatically send an email to the customer promoting the teams' gear and other memorabilia. You'll be engaging in: 1) social welfare marketing. 2) interactive marketing 3) integrated marketing. 4) search marketing.

2) interactive marketing

Banks have recently begun to install ATMs in supermarkets to address customers wants for instant cash when they go shopping. What type of utility are banks creating for customers? 1) Form 2) Possession 3) Place 4) Ownership

3) Place

State bureaus of tourism and conventions typically engage in ____ marketing. 1) Organization 2) Person 3) Place 4) Cause

3) Place

It is crucial for marketers to focus their marketing strategies on opinion leaders in a group as opinion leaders: 1) Limit their purchases to the products and services typical of the social class they belong to, rather than imitating the reference group 2) Represent the only medium to carry information about products to general public 3) Represent the trendsetters who purchase products before others in the group and then influence the buying decisions of other group members 4) Possess the highest purchasing power in a group

3) Represent the trendsetters who purchase products before others in the group and then influence the buying decisions of other group members

The SRC refers to the concept of 1) Strategic Response Center where a centralized decision-making body suggests effective strategies in critical situations 2) Symmetrical Remorse Condition where the receiver of advertising messages is highly aggravated by the tone of the released messages 3) Self-Reference Criterion by which an individual interprets the behavior of other people according to his/her frame of reference. 4) Safavi Remote Counseling which puts me to sleep within 2 minutes after listening to him in an uninvited Zoom meeting

3) Self-Reference Criterion by which an individual interprets the behavior of other people according to his/her frame of reference.

Noel Pvt. Ltd. combines metal, rubber, and other components in the production of appliances. In doing soo, the company creates _____ utility 1) Ownership 2) Form 3) Place 4) Time

Form

Your company manufactures umbrellas, among other accessories. Six months ago, you projected sales of 5,000 units of your $16 umbrellas over the course of a year, so you produced 5,000 umbrellas. But so far you've sold less than half. What does this mean, and what is the best way to address the situation? 1) 2) Supply of this product at this price is too great and competition too intense, so you should discontinue making umbrellas. 3) Demand of this product at this price is less than anticipated, so you should produce fewer umbrellas in the future. 4) Demand of this product at a higher price must be greater, so you should start marketing your umbrellas as a premium product sold at a higher price point. 5) Demand of this product at this price is less than anticipated, so you should drop the price.

1)

Dine&View Movie Theaters has decided to close its east side location. It had been consistently understaffed, resulting in poor dining and viewing experiences for many customers. Recognizing that its resources were too limited to operate three locations, it will move employees from the east side location to the two remaining locations. Dine&View was likely asking: 1) "In what markets should we compete?" 2) "Should we compete?" 3) "How should we compete?" 4) "Why should we compete?"

1) "In what markets should we compete?"

Parker Industries is a small company with a big name! Parker Industries is actually a one-person company that imports strands of LED lights from China and sells them through its website. Parker's only overhead is a storage unit for inventory that costs $125 a month and a $25 monthly fee for website hosting. Currently, Parker imports the lights for $.99 each (including inbound shipping) and sells them for $4.49. Parker also pays shipping expenses of $.50 per light strand. If Parker is currently selling 50 units a month, what is Parker's monthly profit or loss? 1) $0 2) $224.50 (profit) 3) $49.50 (profit) 4) −$74.50 (loss)

1) $0

A company incurs fixed costs of $35,000 and average variable costs of $7 per item. This company sells 10,000 units and just breaks even. The unit selling price for the product is: 1) $10.50 2) $10.00 3) $7.35 4) $17.00

1) $10.50

According to Brendan's Facebook ads manager stats, in the first three days of advertising, Brendan's ad has had nearly 1,000 impressions and 253 people who clicked through to his site. Brendan's click-through rate on this ad should be close to: 1) 0.25. 2) 2.53. 3) 253. 4) 4.

1) 0.25.

A product is priced to sell for $12 with average variable costs of $8. The company's total fixed costs are $120,000. The minimum number of units that must be sold in order to the breakeven point with zero profits are: 1) 30,000 2) 40,000 3) 15,000 4) 10,000

1) 30,000

Mignon d'Armitage manufactures jewelry. This firm is planning to introduce a new necklace and is trying to determine how many units it must sell in order to break even. Fixed costs are $100,000 and variable costs for each unit will be $20. At the price of $45 each, the number of units that must be sold in order to break even is: 1) 4,000. 2) 2,500. 3) 5,000. 4) 7,500.

1) 4,000.

Nivea works for Bonbon, a fair-trade chocolate company based in California. In addition to being recognized for the delicious, low fat treats the company manufactures, Bonbon is also known for fair labor practices at its factories. When interviewed, 83% of the company's loyal customers said when they couldn't find Bonbon products for purchase in local stores, they ordered them online rather than buy substitute products. Which type of brand loyalty is illustrated here? 1) Brand insistence 2) Brand preference 3) Brand recognition 4) Brand name 5) Brand competition

1) Brand insistence

Breakeven sales volume is calculated as: 1) Breakeven point (in units) = Total Fixed Costs/Contribution Margin 2) Breakeven point (in units) = Total Variable Costs/Contribution Margin 3) Breakeven point (in units) = Total Costs/Contribution Margin 4) Breakeven point (in units) = Total Costs/Selling Price

1) Breakeven point (in units) = Total Fixed Costs/Contribution Margin

Parker Industries is a small company with a big name! Parker Industries is actually a one-person company that imports strands of LED lights from China and sells them through its website. Parker's only overhead is a storage unit for inventory that costs $125 a month and a $25 monthly fee for website hosting. Currently, Parker imports the lights for $.99 each (including inbound shipping) and sells them for $4.49. Parker also pays shipping expenses of $.50 per light strand. If Parker's shipping charges increased to $.75 a strand, what would happen? 1) Breakeven volume would increase 2) Variable cost would decrease 3) Profit would increase 4) Breakeven volume would decrease

1) Breakeven volume would increase

Which of the following is a limitation of breakeven analysis? 1) Consumer demand for products or services is not considered. 2) The analysis fails to separate fixed costs from variable costs 3) The calculations assume that per-unit variable costs will change as different amounts are produced. 4) It is difficult to understand and apply.

1) Consumer demand for products or services is not considered.

Under which of the following conditions is a product most likely to have an elastic demand? 1) Consumers can easily find close substitutes for the product. 2) The marginal cost of producing the product is equal to its marginal revenue. 3) A large portion of a person's budget is spent on the product. 4) The fixed costs associated with producing the product are higher than the variable costs associated with it.

1) Consumers can easily find close substitutes for the product.

Which of the following actions is most likely to be taken by a company in order to implement the value pricing objective? 1) Convincing consumers that the quality of their lower-priced product is the same as that of a comparatively higher-priced product sold by a competitor 2) Distributing free samples of the product to create awareness about the product among the consumers 3) Convincing consumers of the prestige associated with the product 4) Distributing free gifts along with the product during its introductory stage

1) Convincing consumers that the quality of their lower-priced product is the same as that of a comparatively higher-priced product sold by a competitor

A frequent source of confusion between the concepts of cooperative advertising and comparative advertising is the similarity of their terms. The fact is that: 1) Cooperative advertising involves sharing the cost of placing the ad while comparative advertising refers to the competitive advantage of sponsor's products over the competition. 2) Cooperative advertising refers to the products of two different suppliers which have appeared on a single ad, while the comparative advertisement compares the product attributes of several competing brands 3) Cooperative advertising is just another term for cross branding and comparative advertising refers to cross promotion. 4) Comparative advertising and cooperative advertising are the same thing. They are used interchangeably in marketing literature

1) Cooperative advertising involves sharing the cost of placing the ad while comparative advertising refers to the competitive advantage of sponsor's products over the competition.

Mateo recently graduated from high school and it's always been assumed that he would go to college after graduation. His family believe education is important to success in life and know that Mateo will be able to achieve success with a combination of hard work, persistence, and knowledge. Mateo has been influenced by 1) Culture 2) Advertising 3) Government 4) Friends

1) Culture

You work for an investment bank that is marketing a new credit card. As part of your company's marketing strategy, you come up with an animated penguin who is associated with your services, and your company comes up with the slogan, "Shopping with kings." Your ad campaign is 6) viewed by millions around the country through television commercials, online ads, direct mail, and celebrity sponsors. Which of the following would be considered feedback? 1) Customers apply for your bank's credit card 2) College-aged students appreciate the slogan 3) Your target market likes the animated penguin 4) Young adults see the ad on a bus and call to ask questions 5) The media through which potential customers view the ads

1) Customers apply for your bank's credit card

Cutco is a manufacturer of high-end cutlery for the home chef and markets their products through a sister company, Vector Marketing who often contracts with college students who are independent sales representatives for the company. Vector provides free product and sales training to their independent sales representatives and encourages them to take food with them on sales calls such as apples, cucumbers, tomatoes or other fresh produce so that prospective customers can actually use the knives and experience the Cutco difference. In addition, Cutco is relatively famous for their kitchen shears that can cut through a penny and during training, all Vector Marketing representatives are taught how to show the versatility and value of the shears. Which step in the sales process would a Vector Marketing representative have customers use the knives or kitchen shears? 1) Demonstration 2) Presentation 3) Closing 4) Follow-up

1) Demonstration

You begin every work day by stopping by the local premium coffee shop for a latte. They recognize you when you come in and just hand you your regular order. Recently, a number of events happened at the same time: you got a promotion with a higher salary; your regular coffee shop increased its prices; and a competitor moved into the same shopping center, offering lower prices. ​ Required: During your vacation, you have the luxury of time to reflect on your workday pattern of coffee consumption. Looked at from a marketing perspective, which action could you choose to show that your demand is more elastic? 1) Discovering that you enjoy the taste of the competitor's coffee 2) Spending some of your higher income after the promotion 3) Demonstrating that you are a loyal customer of your current coffee shop 4) Asking for a good-customer discount from your regular place 5) Returning to the comfort of your established routine

1) Discovering that you enjoy the taste of the competitor's coffee

Market segmentation plays a very important role in developing a marketing strategy. Select the best definition of market segmentation from the choices below. 1) Dividing the total available market into smaller, similar groups 2) Dividing the company profits for distribution among shareholders 3) Dividing the marketing budget that will be used in world markets and in the United States 4) Dividing the workload among marketing department employees 5) Dividing the total market into two distinct groups, the global market and the U.S. market

1) Dividing the total available market into smaller, similar groups

Market ___, which refers to the condition when suppliers make just enough of a product and price it in a way that consumers buy it all, rarely happens and is usually temporary. 1) Equilibrium 2) balance 3) equality 4) sensitivity

1) Equilibrium

Many characteristics were likely important when you chose which college or university to attend. For instance, students often consider the distance from home, programs of study offered, reputation of the school, success of the athletic teams, and cost oof attendance. These different elements represent common: 1) Evaluative criteria 2) Brand awareness elements 3) Selection drivers 4) Differentiators

1) Evaluative criteria

Tabitha is interested in purchasing new head phones and has set aa budget of up to $350. She's narrowed her choice to Bose, Beats by Dr. Dre and Exeo Psyko. These three brands are known as her ____ set: 1) Evoked 2) Alternative 3) Purchase 4) Acceptance

1) Evoked

Bremer Jewelry has two locations in Illinois within 60 miles of each other and is the only jewelry store to carry the Hearts on Fire diamond jewelry line. Bremer has negotiated with Hearts on Fire to be the only retailer within a 150-mile radius of both store locations and believes that this arrangement provides a competitive advantage to the store. What type of distribution does Bremer Jewelry have with Hearts on Fire? 1) Exclusive distribution 2) Closed territory 3) Selective distribution 4) Intensive distribution

1) Exclusive distribution

A major state university has noticed a decline in students selecting philosophy as a major and is interested in leaning more about this issue. The hire a marketing research students as an intern who conducts informal interviews with faculty in the philosophy department as well as freshman students living in residence halls to gain insight into this phenomenon. What type of research is the intern engaging in? 1) Exploratory 2) Descriptive 3) Analysis 4) Forescast

1) Exploratory

Mitch is a marketing consultant and works with an attorney to provide insight about how potential jurors view his cases. Mitch typically assembles a small group of 8-12 individuals from the county and presents relevant information about the legal case. He then guides them in a discussion to learn about their opinions. The group sessions are typically recorded and last about 2 hours. What type of research method best characterizes this research? 1) Focus group 2) Observation 3) Telephone survey 4) Personal interview

1) Focus group

Marketers are keenly aware that good marketing alone is not enough to win the hearts and minds of consumers anymore. Now, marketers must market in a socially responsible manner or risk alienating consumers in ways that can be irreparable. Which one of the following statements is true regarding social responsibility? 1) Government legislation can mandate socially responsible actions 2) Consumer activism cannot promote social responsibility 3) There are five dimensions of social responsibility 4) Consumers demand that marketers give more weight to profits than to social well-being 5) The traditional concept of social responsibility only extended to employees

1) Government legislation can mandate socially responsible actions

Which of the following usually indicate a strong economy? 1) Growth in services such as banking and restaurants 2) Cautious spending by businesses and consumers 3) A focus on basic, functional products with lower price tags 4) Increase in purchasing power coupled with uncertain consumer demand

1) Growth in services such as banking and restaurants

DaVon, a sales representative with Global Drone, a manufacturer of drones for the consumer market was meeting with representatives from Best Buy and demonstrating how easy the drones are to operate and maneuver. One of the Best Buy team members said, "These are easy to use but I'm concerned about the lightweight material and that they might be easily damaged." Based on this statement from the Best Buy team member, what stage in the selling process is DaVon now? 1) Handling objections 2) Closing 3) Follow-up 4) Demonstration

1) Handling objections

Which of the following is a disadvantage associated with product-line pricing? 1) It does not provide flexibility for making price changes on individual items. 2) It results in consumers having difficulty in making purchase decisions. 3) It is ineffective in differentiating between products. 4) It does not allow shoppers to choose desired price ranges.

1) It does not provide flexibility for making price changes on individual items.

Which of the following statements is true regarding a monopoly? 1) It is enjoyed by an organization that is the sole supplier of a good or service 2) It is common in the telecommunications industry 3) It cannot be achieved temporarily, even through the use of patents and similar legal devices 4) It is the most common type of competition in the U.S. market

1) It is enjoyed by an organization that is the sole supplier of a good or service

You've just landed a new job as the chief marketing officer for John Deere, manufacturer of agricultural, construction, and gardening equipment. You want to make sure you're using the best distribution channel strategy for reaching both B2B and B2C sales. In evaluating your company's needs, what do you decide is the best approach? 1) Market factors, especially the fact that you're marketing to two very different groups, suggest that dual distribution is the best strategy. 2) Organizational factors, particularly the fact that John Deere is one of the premier equipment manufacturers with vast resources, enable you to market all of your products directly to your customers. 3) Product factors, especially the fact that you're marketing to two very different groups, suggest that distributing through intermediaries is the best means of reaching both types of customers. 4) Product factors, especially the large size of all of your products, suggest that distributing through intermediaries is the best means of marketing your goods.

1) Market factors, especially the fact that you're marketing to two very different groups, suggest that dual distribution is the best strategy.

Erica is a marketing researcher involved in improving retail store layouts. She would like to know the order in which various types of products are purchased by customers. She also wants to find out what type of assistance is required by the customers while purchasing products. The best method for Erica to collect this data would be by: 1) Observation 2) Telephonic surveys 3) Voluntary mail-back questionnaires 4) Delphi technique

1) Observation

An example of a firm's strength discovered by a SWOT analysis might be: 1) Ownership of valuable patents 2) A narrow current product line 3) Changing buyer tastes in the marketplace 4) Existing government policies favoring the industry

1) Ownership of valuable patents

Chelsey is an account executive with Enterprise Rent-A-Car and works with body shop and automotive service providers as well as insurance agents. Chelsey knows that many automobile owners have car rental riders as part of their automobile insurance and when their car is damaged from a storm or accident, they could receive a rental car while their vehicle is being repaired. When Chelsey meets with her customers, she typically promotes the features and benefits of Enterprise such as how Enterprise provides exceptional service and goes above and beyond to pick-up customers at their preferred location and gives them their rental vehicle. In addition, most of Enterprise's fleet of vehicles are less than 2 years old and are well maintained to provide a comfortable driving experience. Chelsey tells her agent and body shop owner clients that by using Enterprise's services, their customers will have higher levels of customer satisfaction with their repair experience and that translates into loyalty for the insurance agent. During which step in the personal selling process will Chelsey share this information? 1) Presentation 2) Demonstration 3) Prospecting 4) Closing

1) Presentation

Brandon recently completed law school, passed the bar exam and began working for a prestigious law firm in Dallas, TX. The firm has a strict dress code and Brandon is required to wear business suits, dress shirts, ties, and dress shoes. He is investing in a new wardrobe and visited Men's Discount Warehouse to purchase new clothes. He shared his situation with Tim, his sales representative, and Tim told him that if he bought 2 suits, he would receive 2 dress shirts, 3 ties, and 2 pairs of socks for free. Which of the following statements is TRUE regarding this example 1) Promotions such as this are legal when differences in price reflect cost differentials 2) The Robinson-Patman Act prohibits this activity as it would be considered price discrimination 3) Retailers are restricted from using bundled pricing 4) This practice would likely drive competitors out of business

1) Promotions such as this are legal when differences in price reflect cost differentials

You're responsible for keeping track of inventory for a huge, national chain of bookstores, which is challenging since thousands of products are constantly being delivered, stocked, sold, and transferred through your stores. So, if you could employ any supply chain management system to make your job easier, which of the following would you choose? 1) RFID, a tool that requires placing a tiny tracking chip on all materials 2) ERP, an integrated software that consolidates data from all of your stores 3) Logistical cost control, a method of evaluating how to add value for your customers through logistical changes 4) Value chain management, a means of managing the complete sequence of suppliers and activities that contribute to the delivery of goods

1) RFID, a tool that requires placing a tiny tracking chip on all materials

Gianni of Gianni's Pizzeria has hired you to design a pizza ordering app for his business. Gianni says that one of his goals is to maximize the amount of revenue he gets from each transaction. Which design feature do you recommend to him to help achieve this objective? 1) Recommending side items and drinks 2) Recommending pizza toppings based on past orders 3) Telling the customers their estimated wait times 4) Providing promo codes for discounts on future orders

1) Recommending side items and drinks

Promotional schemes like frequent shopper programs provide incentives to loyal buyers. Considering Porter's Five Forces model, such offers will: 1) Reduce the threat of new entrants 2) Decrease the rivalry among competitors 3) Decrease the bargaining power of the supplier 4) Increase the threat of substitute products

1) Reduce the threat of new entrants

Many hotel chains offer free stays and other perks to repeat customers. This is an example of: 1) Relationship marketing 2) Transaction-based marketing 3) Interactive marketing 4) Social marketing

1) Relationship marketing

Your company's leather goods are very well received in the marketplace. But you still have not been able to resolve the issue of packaging. These bags and briefcases have to be packaged substantially so your customer receives a flawless product, but you have to come up with a solution that will allow the consumer to recycle all that packaging in some way. You decide to solicit suggestions from the staff on how to either implement a recycling program or devise some other packaging methodology that is environmentally friendly. What marketing channel are you managing? Select the best answer from the choices below. 1) Reverse channel 2) Dual channel 3) Logistic channel 4) Distribution channel 5) Direct channel

1) Reverse channel

Walmart is evaluating its performance records of the previous years that are stored in its database. In addition to this, the company is also evaluating its previous year invoices. This evaluation process carried out by firms is called _____ 1) Sales analysis 2) Financial iteration 3) Market capitalization 4) Interpretative research

1) Sales analysis

Penelope is using data collected and published by a trade association in her marketing research study. The data used by Penelope can be regarded as ____ 1) Secondary data 2) Primary data 3) Raw data 4) Experimental data

1) Secondary data

Jordan's girlfriend, Kerstyn, asked him to attend her sisters wedding with her. Kerstyn had never met Jordan's family and wanted to make a good first impression, so she spent a lot of time searching for a dress for the wedding. While she found one that she thought looked nice, when she tried it on she thought "this just isn't me!" We can say the dress didn't fit with Kerstyn's: 1) Self-concept 2) Personal image 3) Mirror image 4) Personal identity

1) Self-concept

A market in which there are more buyers for fewer goods and services is known as a: 1) Sellers market 2) Monopoly 3) Buyers market 4) Oligopoly

1) Sellers market

Matthew was grocery shopping with his girlfriend Alexandra for the first time. Matthew is on a tight budget and typically buys private label products such as breakfast cereal, paper towels, and laundry detergent to save money. However, he was uncomfortable purchasing the private label brands when Alexandra was with him, so he ended up with Rice Krispies cereal, Bounty paper towels, and Tide detergent. Matthew's purchases in this case were mostly driven by what type of factor? 1) Situational factors 2) Reference factors 3) Store factors 4) Brand factors

1) Situational factors

An event management company decided to use radio advertising in order to promote an upcoming music festival. The executives of the company suggested various activities that could be used for the radio campaign. These activities are a part of the company's _____. 1) Tactical planning efforts 2) Standard operating procedures 3) Weekly scheduling plans 4) Unit-wise budgeting plans

1) Tactical planning efforts

If the price elasticity of demand for new hybrid cars is 1.25 and for gasoline is 1.0, what was the effect on the prices of a new hybrid car and on gasoline? 1) The price of the hybrid car fell by 8 percent, and the price of gasoline increased by 10 percent. 2) The price of the hybrid car fell by 2.5 percent and the price of gasoline increased by 1.1 percent. 3) The price of the hybrid car rose by 12.5 percent and the price of gasoline increased by 11.1 percent. 4) The price of the hybrid car fell by 10 percent as did the price of gasoline. 5) The price of the hybrid car rose by 8 percent, and the price of gasoline increased by 10 percent.

1) The price of the hybrid car fell by 8 percent, and the price of gasoline increased by 10 percent.

Jordan graduated in May with a degree in professional selling and accepted a position with Whirlpool as a sales representative. Jordan will be living in Michigan near the corporate headquarters for the first three months of employment with other recently hired sales representatives. The company will be providing a structured classroom typesetting to share information about its products, services, and sales process. In addition, Jordan and other sales representatives will be living in corporate housing that have a variety of appliance models including competitors, GE and Samsung. What management function most closely describes Jordan's first few months with Whirlpool? 1) Training 2) Recruitment and selection 3) Organization 4) Motivation

1) Training

References to the Internet's global reach have to do with its: 1) ability to eliminate the geographic limitations of local business. 2) capacity to overcome cultural barriers between nations 3) power to insulate national economies from events occurring outside their borders. 4) ability to use a single language, English, to communicate with world markets.

1) ability to eliminate the geographic limitations of local business.

The basic objective of all customer services focuses on: 1) attracting and retaining target customers, thus increasing sales and profits. 2) charging higher prices on products, therefore increasing profits. 3) making the shopping experience more enjoyable. encouraging customers to shop in brick-and-mortar stores rather than online.

1) attracting and retaining target customers, thus increasing sales and profits.

Entrepreneurs and small mom-and-pop business owners can't afford to have their own IT departments, but they still need help with setting up, maintaining, and repairing their computer systems on site. That's where you come in! To let people know about your services, you're going to take out a Facebook ad that will go to Facebook users with the following demographic characteristics: 1) business owners, fewer than 12 employees, within 50 miles of your location 2) business owners, fewer than five employees 3) business owners, annual revenue of $200K plus, within 25 miles of your location. 4) business owners in your state, annual revenue of $200K plus

1) business owners, fewer than 12 employees, within 50 miles of your location

Psychological pricing is based on the premise that: 1) certain prices or price ranges make products more appealing to buyers than others. 2) one-price policies appeal to most people and suit mass-marketing programs. 3) setting a limited number of prices for a selection of merchandise has a certain appeal. 4) lower-than-normal prices as part of recurring marketing initiatives creates demand.

1) certain prices or price ranges make products more appealing to buyers than others.

Amazon boasts a very high _____ when using banner ads placed on CNN.com based upon the percentage of people who are exposed to the advertisement and follow the link to view the advertisement. 1) click-through rate 2) engagement 3) conversion rate 4) hosting rate

1) click-through rate

Retailers such as Home Depot and Lowe's, who offer to meet and beat the best price offered by their competitors, use the strategy of _____ pricing. 1) competitive 2) skimming 3) penetration 4) cost-plus

1) competitive

Pricing is a highly visible component of a firm's marketing mix and an easy tool for obtaining a differential advantage over competitors. However, when competitors continually undercut each other to gain that advantage, it can lead to a price war that damages all companies involved. When firms have identical or very similar products and price information is readily available - for example, Coca-Cola and Pepsi - a common pricing approach to avoid price wars is: 1) competitive-parity pricing. 2) market-based pricing. 3) commodity pricing. 4) bargain pricing.

1) competitive-parity pricing.

Analysis has shown that ingredients account for less than 5 percent of a perfume's cost. So if a perfume costs $135 or more per ounce, it reflects the marketer's adoption of a pricing objective that focuses on: 1) creating image or prestige. 2) expanding market share 3meeting competitors' prices. 4) maximizing sales.

1) creating image or prestige.

Technological changes and the increased use of Wi-Fi has enabled companies such as Netflix to create a large consumer following and changed consumer's viewing habits. Netflix has emerged as an entertainment company offering original content that's not available on cable or satellite networks. Netflix is a _____ competitor to cable and satellite companies 1) direct 2) indirect 3) insignificant 4) substitute

1) direct

AAA Insurance Company specializes in property and casualty insurance for individuals such as automobile and home insurance. The company has their own branch offices across the United States with representatives who only market AAA insurance policies. In addition, consumers can get quotes and purchase via the AAA web portal. AAA Insurance also works with independent insurance agents as a way to maximize their coverage in the marketplace. AAA insurance is utilizing ______. ​ 1) dual distribution 2) reverse channels 3) captive channel system 4) direct channel

1) dual distribution

A demand is said to be inelastic when the: 1) elasticity of demand is less than 1. 2) demand curve and the supply curve do not intersect. 3) total cost and total revenue are equal at all levels of demand. 4) elasticity of demand is greater than 1.

1) elasticity of demand is less than 1.

D. J. International, a firm based in North America, is a leader in international sales and exports. The company is not directly involved in the purchase and selling of goods but helps firms find customers for their products in global markets. It also helps the companies handle all the legal formalities in foreign markets and provides guidance regarding the local labeling and testing laws. D. J. International can be regarded as a(n): 1) export-management company 2) export-trading company 3) franchisee 4) subcontractor

1) export-management company

Liberty Production is a small company that produces flags and other patriotic-themed items such as banners. Historically, they have focused on the United States market but recently recognized they could enhance sales by creating patriotic items for other countries. They would like to keep their expenses low as they expand internationally and have reached an agreement with a company that will purchase the merchandise and resell the items to international customers. Liberty Production will not have any control over marketing or distribution activities but they appreciate the simplicity of this business model. Liberty Production is most likely utilizing a(n) ________ to expand their global footprint 1) export-trading company (ETC) 2) export-management company (EMC) 3) foreign licensing 4) subcontracting

1) export-trading company (ETC)

A new pizza restaurant recently opened near a college campus and organized a marketing campaign using Pi day - March 14th by delivering free sample pizzas to residence hall common areas and other campus locations. This is an example of: 1) guerrilla marketing 2) cause marketing 3) ambush marketing 4) cloud marketing

1) guerrilla marketing

A firm with $50,000 in fixed costs, selling price of $25 per unit, and variable costs of $5 a unit is currently operating at breakeven volume. If sales decrease 50 units and costs remain the same, the firm will: 1) have a loss of $1,000 2) have a profit of $2,000. 3) increase variable costs of $2,500. 4) lower its total fixed costs.

1) have a loss of $1,000

Generally speaking, a successful website is one that attracts a ____ number of visitors who convert into a ____ number of paying customers. 1) high; significant 2) low; significant 3) high; modest 4) low; modest

1) high; significant

Recently, a top economist to the Federal Reserve bank predicted that market conditions would be favorable with low levels of inflation and low unemployment rates. Which of the following might be a response by marketers to this economic forecast? 1) increasing promotional efforts 2) limiting new product offerings 3) reducing distribution 4) lower prices

1) increasing promotional efforts

Home Depot hardware stores sell a wide variety of home improvement items including lumber, tools, and appliances, while smaller hardware store, Ace, focuses on just a few brands in each category and does not sell appliances. Although both are hardware stores, Ace and Home Depot differ on their: 1) merchandising strategy. 2) customer service strategy. 3) promotional strategy. 4) location/distribution strategy.

1) merchandising strategy.

Brad is a sales representative for a Kettle Chips and is preparing for a Super Bowl promotional campaign. He's contacting each of his grocery and convenience accounts with an opportunity to install an end-of-aisle display with graphics of the Super Bowl teams and a display of several varieties of chips. This is known as _____, a type of trade-oriented promotion. 1) point-of-purchase advertising 2) trade allowances 3) dealer incentive 4) specialty advertising

1) point-of-purchase advertising

In the absence of other cues: 1) price is an important indicator of product quality to consumers. 2) many buyers interpret low prices as signals of high-quality products. 3) price offers no clue of a product's quality to prospective purchasers. 4) the relationship between price and quality holds true only in declining economies.

1) price is an important indicator of product quality to consumers.

When a men's clothing store sells suits at four price levels ($295, $455, $525, and $650), the store's retail policy is _____ pricing. 1) product-line 2) unit 3) promotional 4) Psychological

1) product-line

Frequent buyer rewards programs help retailers attract shoppers and build customer loyalty, which is part of their: 1) promotional strategy. 2) customer service strategy. 3) merchandising strategy. 4) store atmospherics strategy

1) promotional strategy.

A skimming pricing strategy is more commonly used by firms to: 1) set a market-entry price for distinctive goods or services with little or no initial competition. 2) reduce the raised prices of products to the original level. 3) set a relatively low price for a product when they enter new markets characterized by dozens of competing brands. 4) set stable wholesale prices that undercut offers competitors make to retailers.

1) set a market-entry price for distinctive goods or services with little or no initial competition.

When Tom decided to buy a washing machine, he had very little knowledge of competing products in the market. He did research on the Internet, talked to his friends, and compared features of different models. Finally, he decided to buy an LG top load, semi-automatic washing machine. This is an example of buying a(n) _____. 1) shopping product 2) staple 3) convenience product 4) specialty product

1) shopping product

When General Motors introduced the Saturn, it priced the SL sports sedan at $2,000 less than the Toyota Corolla DLX and $1,500 less than comparable Nissan and Honda automobiles. This is an example of the _____ pricing strategy. 1) skimming 2) penetration 3) competitive 4) leader

1) skimming

The Tostitos BCS National Championship game features the top two college football teams competing for the national title. The Tostitos brand name is included in the event's name because Frito-Lay, the manufacturer, paid for: 1) sponsorship 2) co-branding rights 3) direct marketing privileges 4) cooperative advertising

1) sponsorship

REI stores feature climbing walls, mountain bike test tracks, and Gore-Tex rain rooms for trying out Gore-Tex rainwear. These features are part of REI's: 1) store atmospherics. 2) merchandising strategy. 3) customer service strategy. 4) promotional strategy.

1) store atmospherics.

Consumers shopping on BargainSmartphones.com enjoy many benefits, but the main reason they prefer this website over others is: 1) the ability to easily find the best deals. 2) the detailed product information and photos. 3) the recommendations based on previous purchases. 4) the ease of shopping without leaving home.

1) the ability to easily find the best deals.

The determination of whether pencils are consumer products or business products is based on: 1) the purpose for which the pencils are purchased. 2) the number of pencils purchased 3) the place where the pencils are purchased 4) the total price paid for the pencils

1) the purpose for which the pencils are purchased.

The breakeven point is the point at which: 1) total revenue from sales equals total cost. 2) revenue from sales equals the variable cost of the product 3) the supply curve intersects the demand curve. 4) marginal cost runs above the marginal revenue curve

1) total revenue from sales equals total cost.

Peach, a cosmetic company, sells its products only through some independent representatives. To buy a Peach product, customers will have to contact a representative and place an order for the products they need. This information indicates that Peach: 1) uses a direct selling strategy 2) relies on channel captains to sell its products 3) employs category managers to sell its products 4) uses truck jobbers to sell its products

1) uses a direct selling strategy

Adrienne runs an online bookkeeping and accounting service for small business owners. Adrienne advises all clients to protect themselves from hackers by: 1) using different passwords for all of their accounts. 2) using variations of the same password for all of their accounts. 3) using personally meaningful passwords, such as birthdates and anniversaries. 4) avoiding the use of capital letters and numerals in their passwords.

1) using different passwords for all of their accounts.

Almost all fast-food restaurants offering a short menu with low prices to compete with the other restaurants. These are intended to attract very price conscious consumers and are usually a "dollar menu" or offered at prices such as $.99 and $1.49. This approach is referred to as: 1) value pricing. 2) deep discounting. 3) cost-plus pricing. 4) basic pricing.

1) value pricing.

Zhang Wei set up a Facebook ad for his mentor's coaching business, which resulted in 100,000 ad impressions and a 2% click-through rate. Not satisfied with his results, he has continued to tweak the ad's image, headline, and offer. Each time he's tested a revision of the ad, he has had the same number of impressions but has improved the number of clicks. Now he's set a goal to achieve a 3.6% click-through rate with the same number of impressions, so approximately how many clicks does he estimate he'll need to get from his newest ad? 1) 360 2) 3,600 3) 36,000 4) Impossible to determine

2) 3,600

Which of the following methods of promotion is most likely to be used for promoting a consumer product targeted at a geographically dispersed market if the audiences are likely to respond to the same promotional messages? 1) Trade promotion 2) Advertising 3) Trade shows 4) Personal selling

2) Advertising

In your regular goods and services consumption activities, you purchase products from the wholesaler for resale and for use in your store's daily operations. You also purchase products that you will feature in the gift baskets you make. On the basis of this information, which of the following best describes the market component you are part of? 1) Professional 2) Business 3) Consumer 4) Resale

2) Business

The lumber that a carpenter purchases to make a table for a customer can be classified as a(n): 1) Impulse product 2) Business product 3) Consumer good 4) Final product

2) Business product

Candace has been using the same shampoo brands for decades. When she finally dyes her hair, however, her hairdresser informs her that she will need to find a new shampoo that can help maintain her new color, prevent breakage, and condition her hair. Before going to the beauty supply store, Candace calls a few friends for recommendations and conducts web-based research on shampoos that address her specific needs. What can one infer about purchase decisions? 1) Every consumer approaches purchase decisions the same way 2) Buying shampoo can be a high-involvement purchase decision 3) The same purchase decision requires the same level of involvement every time 4) Product cost is the only factor that determines whether a consumer will engage in a low-or high-involvement purchase decision

2) Buying shampoo can be a high-involvement purchase decision

Some Florida drivers have license plates that say "Save the Manatee". This is an example of ___ marketing. 1) Organization 2) Cause 3) Place 4) Event

2) Cause

Which of the following is true of using publicity as a promotional strategy? 1) Companies have to spend more for publicity than advertising or personal selling 2) Companies have less control over whether the press publishes good or bad news. 3) Consumers tend to believe more in company-disseminated information than in publicity-generated news. 4) Companies tend to view all kinds of publicity - good or bad - as profitable for the company's reputation and its brand equity

2) Companies have less control over whether the press publishes good or bad news.

Which of the following is true of convenience products? 1) Consumers generally don't have prior need recognition of convenience products before purchasing them. 2) Consumers generally tend to purchase convenience products immediately and with minimal effort. 3) Consumers tend to buy convenience products after a long-term evaluation of competing products in the market. 4) Consumers tend to buy convenience products because of the prestige associated with their ownership.

2) Consumers generally tend to purchase convenience products immediately and with minimal effort.

Some of the critics of advertising claim that: 1) TV commercials make people addicted to watching humorous or interesting images keeping them away from doing the essentials for the life 2) Create false needs to persuade people to work day and night for money to buy unnecessary goodies to generate profit for few corporate stakeholders. 3) Advertising aims at establishing long-term profitable relationship with customers who will be the sole loser in any transaction 4) In the final analysis, the advertising campaigns establish a lose-lose situation.

2) Create false needs to persuade people to work day and night for money to buy unnecessary goodies to generate profit for few corporate stakeholders.

____ is the process of searching through computerized information files to detect patterns that guide decision marking 1) Sales forecasting 2) Data mining 3) Exploratory research 4) Ethnographic research

2) Data mining

Marketing raises a number of ethical questions about the how, when, what, where, and who of marketing implications on individuals and society at large. Ethics are of concern in every aspect of marketing. Your company offers cash rewards to consumers in return for them giving you information that you could use in your own marketing or that you could sell to direct marketers. Which category of ethics does this scenario represent? 1) Ethics in product strategy 2) Ethics in promotion 3) Ethics in pricing 4) Ethics in customer relationship management

2) Ethics in promotion

Indigo Ltd. wanted to increase its customers by applying the marketing concept. Which of the following would be an appropriate way to apply this approach? 1) Maximize production of goods 2) Focus on meeting the needs of the consumers 3) Offer more product variety than competitors 4) Produce high-quality goods

2) Focus n meeting the needs of the consumers

Kate believes the reason the sales of one of her company's products has fallen is due to a price increase. She cites sales from the previous year to the same customers as evidence of declining sales. Kate is: 1) Developing a research design 2) Formulating a hypothesis 3) Identifying a symptom 4) Conducting exploratory research

2) Formulating a hypothesis

According to the AIDA concept, which of the following is the first function of a promotional message? 1) Arousing interest in the good or service 2) Gaining the potential consumer's attention 3) Stimulating desire by convincing the potential buyer of the product's ability to satisfy their needs 4) Producing an action in the form of a purchase or a more favorable attitude that may lead to a future purchase

2) Gaining the potential consumer's attention

Megan is looking for a graphic designer to create her company's next annual report, so she is reviewing portfolios from about a dozen different designers. Now she needs to choose five, and ask each one to submit a written proposal describing their ideas, process, timeline, and fees. Which of the following actions will have the greatest interpersonal influence on her choice of five designers? 1) Her boss, Sabrina, gives her a budget to work with 2) Her coworker, Jenna, explains that the designer they used last year was reasonably priced and excellent to work with 3) Her unemployed boyfriend, Ty, asks if he can submit a proposal, even though he's not a designer. 4) The VP of the company reminds her that she needs to have at least three written proposals before helping her choose a designer.

2) Her coworker, Jenna, explains that the designer they used last year was reasonably priced and excellent to work with

Bubbles, a major player in the beverage industry, is currently negotiating the purchase of a purification plant and a bottling unit. This is an important investment for Bubbles and the products have been designed specifically for them. Which of the following types of products is being purchased by Bubbles? 1) Accessory equipment 2) Installations 3) Component parts and materials 4) Supplies

2) Installations

Which of the following statements is most likely to be true about a convenience retailer? 1) It offers huge selections and low prices in single product lines. 2) It appeals to customers by having an accessible location, rapid checkout, extended store hours, and adequate parking. 3) It combines carefully defined product lines, services, and reputations in attempts to persuade consumers to expend considerable effort to shop at their stores. 4) It offers a complete array of services to its customers.

2) It appeals to customers by having an accessible location, rapid checkout, extended store hours, and adequate parking.

A regional business association has asked you to participate in a panel discussion about NAFTA. Your company has benefited greatly from this accord, so you plan to strongly defend it. However, you must prepare to counter common criticisms of NAFTA, including: 1) It may encourage dumping of U.S. goods into Canada 2) It may cause the loss of U.S. jobs to cheap labor in Mexico. 3) It is leading to controversial political integration among the member nations. 4) It includes an unwieldy number of member nations. 5) It has not been in existence long enough to have an effect.

2) It may cause the loss of U.S. jobs to cheap labor in Mexico.

Which of the following is one of the major policy initiatives of the WTO? 1) Increasing the average level of education worldwide 2) Liberalizing world financial services 3) Promoting and protecting the environment 4) Regulating automobile production by less-advanced nations

2) Liberalizing world financial services

According to Maslow's hierarchy, an art enthusiast joining an art appreciation society would be satisfying which level of her consumer needs? 1) Self-actualization 2) Esteem 3) Belongingness 4) Safety

3) Belongingness

Grayson is majoring in marketing and going through the professional sales program. While he has never played golf, he wants to learn how since he heard "more business gets done on the golf course than in the office". Grayson does not know much about the game, but has asked his friend Drake for some advice. Drake is on the university's golf team and a trendsetter in using new golf equipment. Drake enjoys sharing his knowledge experiences about golf equipment with others, who respect his judgment and often follow his advice. As far as golf equipment goes, Drake can be considered a(n): 1) Societal liaison 2) Opinion leader 3) Consumer advocate 4) Product director

2) Opinion leader

A university sells customized sweatshirts, pullovers, and jerseys to its students and staff. This is an example of ____. 1) Cause marketing 2) Organization marketing 3) Person marketing 4) Event marketing

2) Organization marketing

The top marketing manager of your company has asked you to make recommendations about your sales representatives who make up the sales force for your business-to-business auto parts customers. These territories are geographically structured and the goal is to move away from territory-based sales to customer-oriented sales; as a result, these sales reps may be reassigned.Based on this project request, what element of the sales force management process will you focus on? 1) Establishing expectancy 2) Organizing the sales force 3) Recruiting and selecting salespeople 4) Evaluating and controlling personnel 5) Compensating salespeople

2) Organizing the sales force

In Australia, consumer spending in the past few months has seen an upward trend, and buyers are willing to spend more on premium brands. From this pattern, we can say that Australia is in the ____ stage of the business cycle 1) Recovery 2) Prosperity 3) Recession 4) Depression

2) Prosperity

Helene made sure that her company car was equipped with OnStar in case she ever has car trouble or gets lost while traveling between appointments. OnStar is a service which can connect the car occupants with a personal service attendant to provide assistance. Which level of Maslow's hierarchy of needs is Helene addressing? 1) Social needs 2) Safety needs 3) Esteem needs 4) Self-actualization needs

2) Safety needs

You're the chief sales and marketing officer for Western Health Products, a manufacturer of a wide range of medical products for home, medical office, and hospital use. Some of your customers have buyers who make their own purchasing decisions, whereas other customers have lengthy decision-making processes involving many people within the organization. Given the variations in your customers, what could you do to make your marketing and sales processes more efficient? 1) Set up separate sales/marketing divisions for commercial, reseller, and institutional buyers. 2) Set up separate sales/marketing divisions for reseller and institutional buyers 3) Set up separate sales/marketing divisions for commercial and institutional buyers. 4) Set up separate sales/marketing divisions for commercial, reseller, government, and institutional buyers.

2) Set up separate sales/marketing divisions for reseller and institutional buyers

As chief executive of Stalwart Shipfitting Company, a diversified producer of marine supplies and equipment, John needs a method for spotting promising product lines that warrant commitment of additional resources, as well as those that should be removed from the firm's product portfolio. A good choice for this firm at this stage would be to use: 1) Computer models 2) Strategic business units 3) A marketing audit 4) An industry analysis

2) Strategic business units

A SWOT analysis is designed to reveal, among other things, a firm's core competencies, which reflect its: 1) Threats 2) Strengths 3) Opportunities 4) Vulnerabilities

2) Strengths

Advertising for some products can contribute to the lower cost of product unit when: 1) A fewer number of variable inputs can be used in production which causes lower per unit cost 2) The cost structure of the product is heavily oriented to the fixed costs where allocation of it to a higher volume of production reduces lower fixed costs per unit and thereby the lower unit cost 3) An advertising campaign will target a variety of corporate products at multiple consumer segments and thereby push the product cost to decrease. 4) Targeted advertising can change the product mix from higher variable cost to a lower variable cost, and thereby decreases the product unit cost.

2) The cost structure of the product is heavily oriented to the fixed costs where allocation of it to a higher volume of production reduces lower fixed costs per unit and thereby the lower unit cost

Which of the following is a basic requirement for effective market segmentation? 1) The firm must avoid focusing on the consumer-dependent variable, such as discretionary income, while conducting market segmentation. 2) The market segment must present measurable purchasing power and size. 3) The company must expand beyond its marketing capabilities to capture those market segments that have reached the maturity stage in the product life cycle. 4) The company must target a large number of small market segments so that they can develop effective strategies to appeal to them.

2) The market segment must present measurable purchasing power and size.

If the exchange rate for the Japanese yen is strong compared to the U.S. dollar, then: 1) U.S. imports from Japan will likely increase 2) U.S. exports to Japan will likely increase 3) Japanese exports to the U.S. will likely increase 4) Import and export levels will remain the same

2) U.S. exports to Japan will likely increase

Product placement is a form of advertising where: 1) a company pays a fee to have its products displayed prominently at department stores. 2) a company pays a fee to have its products displayed prominently in a film or TV show. 3) a company engages in promotional tie-ins with other firms through co-branding. 4) a company positions its TV commercials during prime hours for its target market.

2) a company pays a fee to have its products displayed prominently in a film or TV show.

Sales promotion techniques were originally intended: 1) to promote the company's goodwill 2) as short-term incentives aimed at producing immediate buying responses 3)as international promotions designed to replace advertising 4) to build long-lasting customer relationships

2) as short-term incentives aimed at producing immediate buying responses

When KFC expanded to China, the company opened locations in smaller cities because other fast food restaurants, like McDonald's, were expanding to the bigger cities. KFC was considering the international _____ environment when it made this decision. 1) political-legal 2) competitive 3) social-cultural 4) economic

2) competitive

The function performed by the gatekeeper in the company buying center is to: 1) inform potential suppliers about the required specifications of the product 2) control the information that all buying center members will review 3) choose which goods and services will actually be bought. 4) select a supplier and implement the procedures for securing the goods and services

2) control the information that all buying center members will review

When a retailer decides to offer gift wrapping, product assembly, and registries, they are considering the elements of their: 1) merchandising strategy. 2) customer service strategy. 3) promotional strategy. 4) pricing strategy.

2) customer service strategy.

The process of qualifying a sales prospect includes: 1) gathering information about the prospect to make initial contact go more smoothly. 2) determining a potential customer's needs, financial resources eligibility to purchase, and purchase authority. 3) defining the company's product in terms of what it can do for the customer. 4) making the initial contact with the prospect

2) determining a potential customer's needs, financial resources eligibility to purchase, and purchase authority.

Based on the Young & Rubicam's BrandAsset Valuator model, _____ is a dimension of brand personality that refers to a brand's ability to stand apart from competitors. 1) knowledge 2) differentiation 3) relevance 4) competence

2) differentiation

VB Group, a South African firm, is a leading supplier of African agricultural products to the world. It buys products from the domestic producers and resells them in international markets. The company maintains complete control over the marketing and distribution of the products in the foreign markets. VB Group is an example of a(n) _____. 1) subcontractor 2) export-trading company 3) export-management company 4) franchisee

2) export-trading company

Cleveland Solvents has field sales staff, a customer service department, and two individuals who manage the "tech hotline." These individuals not only answer technical questions from customers, they also identify customer needs and recommend products that can fill those needs. They have the ability to initiate and close sales on the spot. These individuals are essentially participating in: 1) market analysis 2) inside selling 3) network marketing 4) outside sales

2) inside selling

Dayer's, a popular ice-cream brand, added new flavors to its exis 1) brand extension 2) line extension 3) brand engagement 4) line engagement

2) line extension

Sounder's Chowder House is a successful chain of fish restaurants in the Pacific Northwest. Several years ago, the company launched a website offering about 32 different products, including chowders, frozen fish and chips, and shrimp cocktail sauce. As the company's new marketing director for online sales, you've studied the analytics and found that 79% of sales are coming from just six products. Based on this data, the first thing you want to reevaluate is the company's: 1) website design 2) product offering. 3) checkout form design. 4) product descriptions.

2) product offering.

In communicating a promotional message, decoding refers to the: 1) translation of the message into understandable terms and transmitting it through the communication channel 2) receiver's interpretation of the message transmitted through the communication channel. 3) receiver's response to the message transmitted through the communication channel 4) noise that interferes with the transmission of the message through the communication channel

2) receiver's interpretation of the message transmitted through the communication channel.

The role of an influencer in a buying center is to: 1) make the actual buying decision 2) supply information to guide the evaluation of alternatives 3)select the supplier and implement the procedures for securing the good. 4)inform potential suppliers about the required specifications of the product

2) supply information to guide the evaluation of alternatives

The leaping jaguar symbol, featured on cars of a particular brand, is a part of the brand's: 1) service mark 2) trade dress 3) watermark 4) trade token

2) trade dress

Six months ago, you calculated that your BeadsandBaubles.com conversion rate was 2.7% so you went looking for ways to encourage more purchases. You sensed that some visitors left the site without making a purchase because they felt overwhelmed by all the choices, inspiring you to introduce a new line of jewelry-making kits. Which of the following sets of numbers would indicate that your conversion rate improved this past month because of kit sales? 1) 27 purchases out of 1,000 unique visitors 2) 68 purchases out of 2,000 page views 3) 83 purchases out of 2,000 unique visitors 4) 98 purchases out of 4,000 page views

3) 83 purchases out of 2,000 unique visitors

Which of the following is an example of a specialty store? 1) A discount house 2) A hypermarket 3) A men's shoe store 4) An off-price retailer

3) A men's shoe store

Which of the following is true of a strategic business unit? 1) A strategic unit directly adopts the mission of its parent organization 2) Each strategic unit depends on plans of the other units in the organization 3) A strategic unit has its own managers, resources, objectives, and competitors 4) A strategic unit is a key business unit within a small company that does not differ significantly from the parent company

3) A strategic unit has its own managers, resources, objectives, and competitors

Enterprise Rental Cars is able to secure favorable prices from major automobile manufacturers such as Ford and Chevrolet for their rental fleets due to the large number of vehicles they purchase each year. This is an example of ____, one of Porter's Five Forces related to marketplace competition. 1) Threat of new competitors 2) Distinctive competency 3) Buyer power 4) Threat of substitutes

3) Buyer power

Consumers sometimes experience feelings of uncertainty after a major purchase. This post purchase anxiety results from an imbalance among the person's knowledge, beliefs, or attitudes. For example, you may have had these feelings when you first went away to college. Was this the best school for me? Is this where I belong? This post purchase anxiety is known as: 1) Purchase rejection 2) Buyer discord 3) Cognitive dissonance 4) Consumer satisfaction

3) Cognitive dissonance

The Metrics Group is a firm that helps companies improve the performance of their websites. The firm rates the effectiveness of the website based on the percentage of website visitors making purchases through the site. Which of the following measures is being used by the firm while assessing the effectiveness of the websites? 1) Click-through rate 2) Brand awareness 3) Conversion rate 4) Customer engagement

3) Conversion rate

Which of the following is most likely to be a logical starting point in identifying the marketing problem? 1) Ascertaining the budget and logistical limits that the problem warrants 2) Determining the computational scope of the problem 3) Evaluating the firm's target market and marketing mix elements 4) Simulating a market research based on formulated hypotheses

3) Evaluating the firm's target market and marketing mix elements

Little Princess, a California-based company, is a creator of dolls and other toys for children. The company is mainly involved in designing new toys and developing their prototypes. It has signed an agreement with some local toy manufacturers in Europe and North America to manufacture and distribute their toys in the local markets. These contracts are for a specified time period and permit the foreign marketer to distribute goods in a specified geographic area. Which of the following strategies is being used by Little Princess to enter foreign markets? 1) Exporting 2) Direct investment 3) Foreign licensing 4) Sole sourcing

3) Foreign licensing

Brooke is a pastry chef in a fine dining restaurant and enjoys creating one-of-a-kind desserts for the customers. She recently graduated from pastry school, and this is her first full-time job in a restaurant. Brooke reports to the head chef, Brandon who oversees the kitchen and is responsible for creating the menu, managing and hiring staff, and placing orders for supplies. Brooke mentioned to Brandon that she would like to have gluten-free flour on stock so she can create desserts that would meet the dietary needs of customers who have gluten allergies. Brandon thought that was a great idea and appreciated Brooke's recommendation. What role in the buying center did Brooke play regarding her discussion with Brandon about flour? 1) Buyer 2)Decider 3) Influencer 4) Gatekeeper

3) Influencer

Which of the following statements is true of tactical planning? 1) It is conducted exclusively by the top management 2) It is used to generate long-term plans, departmental rules, and procedures 3) It is the basis for operational planning 4) It is performed as a substitute to the strategic planning process in large organizations

3) Its is the basis for operational planning

As a new salesperson, you are concerned with how your decisions will affect your customers, your sales team, and your company. You notice that many of your workmates accept gifts and perks from clients, even though that practice is frowned upon by management and discouraged according to what you have read in the code of conduct handbook. Some colleagues have been reprimanded for accepting gifts from customers just in the short time you have been with the company. Which of the following best describes this activity? 1) Unimportant customer interactions 2) Ineffective salesperson management 3) Personal ethical behavior 4) Generous customers 5) Lack of a written code of ethics

3) Personal ethical behavior

The CEO of your company, Blue Ribbon Bakeries, has asked you to re-examine your distribution channel, just to make sure you're using the best possible methods. As the firm's VP of marketing, your objective is to get your firm's breads, rolls, and other baked goods onto grocery store shelves throughout the South as quickly as possible, while they're still perfectly fresh. How do you justify your strategy to your boss? 1) Market factors, especially the fact that you're marketing to end-users, suggest that you should employ multiple distribution channels to maximize sales 2) Organizational factors, particularly the modest size of your company, require you to employ a dual distribution strategy. 3) Product factors, especially the need to quickly deliver your products to retailers across a large region, require you to use a specialized grocery distributor. 4) Competitive factors, such as the number of common products you produce, indicate that distributing through a wholesaler is the best means of marketing your goods.

3) Product factors, especially the need to quickly deliver your products to retailers across a large region, require you to use a specialized grocery distributor.

You work for a clothing manufacturer whose executives recently decided they were going to sever their ties with four of their manufacturing partners in Guatemala due to dismal labor conditions. Your superiors believe this is a public relations-worthy topic, and they want your consumers and stakeholders to know about their decision. Which of the following steps can they take to ensure their various publics are aware of their decision to sever ties with the Guatemalan manufacturers? 1) Use direct marketing 2) Use guerilla marketing 3) Publish a press release 4) Publicize the news on billboards 5) Partner with a magazine to publish the story

3) Publish a press release

Which of the following is the most effective way for a sales manager to motivate salespeople to give their best? 1) Setting annual goals for individuals instead of quarterly or monthly goals 2) Setting extremely high targets 3) Recognizing their efforts and offering simple incentives 4) Creating expensive incentive programs

3) Recognizing their efforts and offering simple incentives

Sally Myers, head of marketing at Sally's Salon, serviced six new customers over the past two weeks. Through a feedback form, Sally learned that all of them had acted upon the opinions of their friends and family members. What Sally encountered is an example oof: 1) Transaction-based marketing 2) Sales orientation 3) Marketing myopia 4) Buzz marketing

4) Buzz marketing

You are in the process of starting your own business, a specialty cupcake store. From your study of marketing, you realize that many of your business decisions, such as where to open the store and how to advertise it, will depend on the segment of the population you want to attract as customers for your product. You start looking at data about the types of stores in different parts of the town and the demographics of the individuals in different neighborhoods. What are you doing in this process? 1) Engaging in category management 2) Creating a promotional strategy 3) Selecting a target market 4) Analyzing the wheel of retailing 5) Marketing to the environment

3) Selecting a target market

Celwyn works for a cosmetics company known for its anti-animal testing policies. Recently, however, a reputable newspaper reported that the company had tested their newest line of blush on rabbits. Which of the following statements is most likely true about the company? 1) The company's customers will become even more loyal. 2) The company's relevance will increase as a result of this news report. 3) The company's esteem will decrease as a result of this news report. 4) The company will become less differentiated from other cosmetics brands. 5) The company's esteem will increase as a result of the coverage by a reputable newspaper.

3) The company's esteem will decrease as a result of this news report.

Hart's, a large discount store with locations across the united States would like to add pharmacies to their stores. Marketer at the company would like to research if consumers would be receptive to the pharmacies if Hart's were to add them. They begin their research by looking at the company's internal data. What problem might marketers from Hart's encounter with the internal data? 1) Internal data is too expensive for marketers to access for research purposes 2) The internal sales information is too dated for marketers to use 3) The internal data will be too limited in scope to provide a full picture of Hart's research questions 4) The internal data may bee too time-consuming to collect and analyze

3) The internal data will be too limited in scope to provide a full picture of Hart's research questions

Which of the following conditions would lead a company's marketers to find a new market, change prices, or compete in other ways to maintain an advantage? 1) When the bargaining power of suppliers is low 2) When the bargaining power of buyers is low 3) When the threat of substitute products in high 4) When the threat of new entrance is low

3) When the threat of substitute products is high

Retailers, when classified on the basis of form of ownership, are grouped as: 1) wholesalers and service providers 2) convenience, shopping, and specialty retailers. 3) chain stores and independent retailers 4) limited-line and general merchandise retailers.

3) chain stores and independent retailers

John works for an ice-cream manufacturer. His department focuses on keeping the finished products fresh as well as ensuring that they reach the retailers on time as the products are highly perishable. In addition, his department decides on which flavors of ice cream should be sent to which retailers in various trade areas. John is most likely involved with: 1) reverse management 2) horizontal integration 3) downstream management 4) backward integration

3) downstream management

The communication process can be disrupted by _____ when inappropriate advertising media or poor radio or TV reception interfere with message transmission and reduce its effectiveness? 1) feedback 2) spam 3) noise 4) decoding

3) noise

The tagline used by Blue Jet cleaners, "Pay for Performance," is an example of a positioning strategy that is based on _____. 1) product homogeneity 2) product users 3) price/quality 4) competitors

3) price/quality

The best definition for retailing is: 1) determining which items will be offered for sale in a store. 2) deciding store atmospherics, store hours, and product selections for brick-and-mortar stores. 3) the activities involved in selling merchandise to consumers 4) the distribution of goods from manufacturers to stores.

3) the activities involved in selling merchandise to consumers

A product is said to have achieved brand preference when: 1) the product becomes familiar to the consumer. 2) the marketers start selling the product at a discount. 3) the consumer sees or recognizes the product and chooses it over its competitors 4) the product has attained monopoly position with its customers

3) the consumer sees or recognizes the product and chooses it over its competitors

Which of the following is an example of person marketing? 1) A firm creating awareness of the importance of using public transport. 2) A country promoting its sightseeing spots and cuisines 3) A mall being inaugurated by a popular commercial actor 4) A firm promoting an inter-state soccer match

3)A mall being inaugurated by a popular commercial actor

Tom is selling water purification systems on an e-commerce site, and Tom wants to know his conversion cost for his latest Facebook ad. Tom is spending 40 cents each time a Facebook user clicks on his ad, and his conversion rate is 0.11. Which of the following best represents his conversion cost? 1) 0.44 2) 0.40 3) 0.04 4) 4

4) 4

Which of the following is a combination of person, cause, and organization marketing? 1) Tiger Woods endorsement of Nike, a sports company and Accenture, a consulting company 2) The Nobel Peace Prize for Al Gore for his work on global warming 3) UNICEF work to improve the living conditions of children across the world 4) Angelina Jolie's role as a UN Goodwill Ambassador for refugees.

4) Angelina Jolie's role as a UN Goodwill Ambassador for refugees

Phoebe was asking to bring a can of food for the local food bank as the price of admission for a certain ceremony. This is an example of ____. 1) Person marketing 2) Organization marketing 3) Ownership utility 4) Cause marketing

4) Cause marketing

There are a number of strategies that you can use to position your company's technology product in the mind of the consumer. You decide to focus your advertising campaign on the perception that your product is the best compared to others in the marketplace. Which of the common categories for product positioning are you using to develop your marketing campaign? 1) Application 2) Usage rate 3) Product attributes 4) Competitive 5) Product user

4) Competitive

Palmer Inc. recently charged its promotional strategies for marketing the products. The marketing team at Palmer has been asked to evaluate the target market and the marketing mix elements to find ways to improve the effectiveness of the marketing strategies. Since the firm already knows the purpose of its research, the next step in the marketing research process is to: 1) Create research design 2) Collect data 3) Formulate a hypothesis 4) Conduct exploratory research

4) Conduct exploratory research

YOU Inc., a cassette manufacturer, sold its business due to poor market shares. According to the BCG Matrix, the firm sold its business because the business had became a _____ as seen in its poor prospects and performance 1) Star 2) Question mark 3) Cash cow 4) Dog

4) Dog

Which of the following stages of the organizational buying process involves comparing vendors' proposals? 1) Recognizing and determining the characteristics of a need 2) Searching for potential sources 3) Acquiring and analyzing proposals 4) Evaluating proposals and selecting suppliers

4) Evaluating proposals and selecting suppliers

Bubble, a company that manufactures gums and candies, distributes its products through all possible channels. One can pick up a Bubble's product from just about anywhere—department stores, general stores, convenience stores, and even local pharmacies. Which of the following distribution strategy is being employed by Bubble? 1) Exclusive distribution 2) Associative distribution 3) Selective distribution 4) Intensive distribution

4) Intensive distribution

TechnoMarket, a retailer of consumer electronics, has branches in 13 states. As the company's marketing manager, you're looking for a website that will enable employees to access details regarding new products and their functionality, check inventory levels, and transfer stock to other stores. You do not want customers to have access to this data. Which of the following would best suit your purpose? 1) Private exchange 2) Extranet 3) Electronic storefront 4) Intranet

4) Intranet

Which of the following products is aimed at satisfying the esteem needs of people? 1) Basic goods 2) Cleaning products 3) Auto safety features 4) Luxury automobile

4) Luxury automobile

In times of prosperity, marketers respond to consumer buying behavior by: 1) Launching special value-priced products that are likely to appeal to cost-conscious buyers 2) Hold down costs and offering superior services at lower prices 3) Lowering prices and increasing promotions that include special offers tot stimulate demand 4) Offering new products, increasing their promotional efforts, and expanding distribution

4) Offering new products, increasing their promotional efforts, and expanding distribution

A company produces a high-quality product, with a maximum monthly output of 10,000 units. Production levels are constant, and the company relies on its marketing department to find customers for its output. This approach is consistent with which era in marketing history? 1) Production era 2) Relationship era 3) Marketing era 4) Sales era

4) Sales era

Sales of Kathleen's baked goods have begun to increase dramatically. She is selling online, but many customers in her core region are asking about local outlets where they can make immediate purchases. Kathleen has no desire to open and operate a retail outlet herself, but she also does not want her product sold beside a generic cookie in a supermarket. What type of distribution will Kathleen investigate for her premium baked goods? 1) Intensive distribution 2) Extensive distribution 3) Direct distribution 4) Selective distribution 5) Exclusive distribution

4) Selective distribution

A company has recently instituted a political risk assessment (PRA) unit that keeps track of situations of international unrest. Which advantage does the new PRA unit offer?​ 1) The PRA pays attention to international events through following social media. 2) The PRA checks the legal situation to see whether charges can be filed against vandals 3) The PRA collects statistics about the frequency and severity of ongoing events. 4) The PRA evaluates the specific risks to the company's employees and facilities 5) The PRA promotes peaceful interventions so that business processes are not interrupted.

4) The PRA evaluates the specific risks to the company's employees and facilities

Since the latter part of the 19th century, the U.S. government has played an activist role in the financial markets and the market for goods and services. The emphasis of their role has varied over this time as different issues and dynamics were at the forefront of business and economic trends. The first phase of the U.S. government's active regulatory role, in the early part of the 20th century, can be best described as which of the following? 1) The cyberspace phase 2) The consumer protection phase 3) The protecting consumers phase 4) The antimonopoly phase 5) The industry deregulation phase

4) The antimonopoly phase

Which of the following is true regarding the United States-Mexico-Canada Agreement? 1) The member nations of the USMCA have agreed to create a trade bloc similar to that of the European Union 2) The major aim of the USMCA is to increase the level of literacy among the United States, Mexico, and Canada. 3) USMCA has been successful in creating the Free Trade Area of the Americas, the world's largest free-trade zone. 4) The member nations of USMCA focus mainly on economic cooperation rather than on political integration.

4) The member nations of USMCA focus mainly on economic cooperation rather than on political integration.

A junior member of your marketing department has recommended demographic segmentation for your fast food brand. In a memo, he wrote: "We should be marketing to females who are white, low-income, unmarried, and have four or more children." You express at least one strong concern about this recommendation. What concern(s) do you express? 1) Gender is not a demographic segmentation variable. 2) Ethnicity is not a demographic segmentation variable. 3) Marital status is not a demographic segmentation variable. 4) The recommendation could lead to stereotyping and market alienation. 5) The recommendation is clearly outdated.

4) The recommendation could lead to stereotyping and market alienation.

You have just completed an extensive marketing research project designed to determine the potential of a new service your company is considering launching. Using surveys, polling, face-to-face interviews, and mail-in questionnaires, you have determined that the consumers who are most inclined to use this new service live in densely populated urban areas within certain zip codes. What approach to market segmentation should you use? 1) Use psychographic variables to segment the market 2) Use demographic variables to segment the market 3) Use behavior variables to segment the market 4) Use geographic variables to segment the market 5) Use sociocultural variables to segment the market

4) Use geographic variables to segment the market

You're a sales rep for a company that manufactures picture frame moldings, which you sell to independent picture framers in your region. Your company has just rolled out a new line of premium, gold-leaf frame moldings, which are slightly more expensive than most of your products but are absolutely beautiful. You're about to make a sales pitch to one of your favorite customers, Marianna Garcia, a framer you've enjoyed doing business with for more than five years. Which of the following is most likely to have the greatest influence over Marianna's decision to start carrying your new line? 1) Your ability to make persuasive sales pitches 2) The expense of your new product line 3) The prestige your products would bring to her frame shop 4) Your long-term, cordial relationship with the customer

4) Your long-term, cordial relationship with the customer

A popular clothing brand in Switzerland decided to launch a new line of home furniture under the same brand name. This strategy being used by the company to launch its new offerings is called _____. 1) line engagement 2) brand reinforcement 3) line extension 4) brand extension

4) brand extension

When the same branded product is carried in competing retail pharmacies, discount houses, department stores, and convenience stores, the marketing channel conflict that can result is referred to as: 1) cross-channel conflict 2) vertical conflict 3) exclusive conflict 4) horizontal conflict

4) horizontal conflict

Undifferentiated marketing is also called _____. 1) societal marketing 2) micro marketing 3) concentrated marketing 4) mass marketing

4) mass marketing

The Kirkland brand is owned by Costco, and the products can only be purchased at Costco stores. Costco contracts with manufacturers to produce and package products under the Kirkland name. Kirkland can be regarded as a(n): 1) family brand 2) individual brand 3) generic brand 4) private brand

4) private brand

Indian company Godrej & Boyce developed a small, portable refrigerator for rural India. The refrigerator uses batteries to run a cooling chip and fan, keeping food items cold. This is an example of: 1) promotion adaptation 2) product adaptation. 3) straight extension 4) product invention

4) product invention

A strategy for going global through contractual agreements in which the production of goods or services is assigned to local companies is termed as _____. 1) sole sourcing 2) a differentiation strategy 3) an offset strategy 4) subcontracting

4) subcontracting

You are head of supply chain management at a major manufacturing company. Over the last few months, there have been some high-profile breakdowns in marketing and data coordination between your company and different members of your supply chain. You are meeting with the company's CEO to develop a strategy for preventing these breakdowns going forward. The CEO has tasked you with developing an online means through which your company can collaborate with its supply chain members more efficiently and effectively. 1) EDI 2) A virtual private network 3) An extranet 4) An intranet 5) A private exchange

5) A private exchange

Institutions constitute another important market. Institutional buyers include a wide variety of organizations, such as schools, hospitals, libraries, foundations, clinics, churches, and not-for-profit agencies. A small software company develops computer programs for different business institutions. Which of the following challenges can this company anticipate?​ 1) Some institutions employ a purchasing manager to make decisions 2)Social media and marketing make institutional buying more complex. 3) Institutions do not have buying centers 4) Institutional businesses sometimes join cooperative associations to pool their purchases 5) Different institutions have varying buying practices

5) Different institutions have varying buying practices

Philippe exhibited extended problem solving when he spent a large amount of time researching and comparing various criteria for a certain product or service. Which scenario in the choices below best describes the extended problem solving that Philippe used? 1) He renewed the contract for his monthly pest control service 2) He opted to purchase a new flavor of ice cream instead of the flavor he normally buys 3) Hs Sports Illustrated magazine subscription ran out and he paid for another year of it 4) Instead of his usual morning decaf coffee, he elects to try the flavor of the month at Dunkin' Donuts 5) He pored over college catalogs and visited various campuses before choosing the one his son would attend

5) He pored over college catalogs and visited various campuses before choosing the one his son would attend

Your clients don't need to be sold a product - they have already subscribed to your expensive premium service. But they do need to be able to call on you when they have a problem with the service or when they require special consideration. You provide technical support, solve problems, and make sure the customer is included in special events that your company sponsors. You also make certain that everyone who is a premium subscriber is sent an annual gift, compliments of your company. Because you don't meet your customers face-to-face, you sometimes call yourself an electronic concierge! What kind of sales are you involved in? 1) inbound telemarketing 2) Field selling 3) Over-the-counter selling 4) Inside selling 5) Network selling

5) Network selling

You work for a printing company and have been asked to conduct research on customer reading pre fences. You want to answer the following questing: (1) Do readers prefer to read electronic books? (2) Do they prefer to read paper-based books? or (3) Do they not have aa preference? You decide that to start off the process, you are going to peruse a series of secondary sources, including published articles, magazine articles, and documents you have purchased from a syndicated service. Based on what you know about collecting data, you know that there are several benefits of using secondary data. You are not as clear, however, about the disadvantages. Which of the following is a drawback of using secondary data? 1) They are more expensive than using primary data 2) Secondary data provide very rich, robust data 3) One needs at least a few months to conduct secondary research 4) Many researchers use secondary data only when primary research is not an option 5) Secondary data may have been collected for unrelated purposes and may be irrelevant to your needs

5) Secondary data may have been collected for unrelated purposes and may be irrelevant to your needs