mrk chpt 11

________-oriented approaches to pricing set the price to reflect the way the marketer wants consumers to interpret prices relative to competitor's offerings. Multiple choice question. Target Demand Cost Competition

Competition

Match the following pricing issues that have legal implications to the correct description.

Description 1: PRICE FIXING = CONSPIRACY AMONG FIRMS TO SET PRICES.Description 2: PRICE DISCRIMINATION = CHARGING DIFFERENT PRICES TO DIFFERENT BUYERS FOR GOODS OF LIKE GRADE AND QUALITY.Description 3: DECEPTIVE PRICING = PRICE DEALS THAT MISLEAD CONSUMERS.Description 4: PREDATORY PRICING = CHARGING A VERY LOW PRICE FOR A PRODUCT WITH THE INTENT OF DRIVING COMPETITORS OUT OF BUSINESS.

Select all that apply Which two are profit-oriented approaches to setting a price? Multiple select question. target profit pricing customary pricing target return pricing skimming pricing

Target profit pricing- Target return pricing

Demand-oriented, cost-oriented, profit-oriented, and competition-oriented are four approaches used to set Blank______. Multiple choice question. approximate price levels promotional allowances target markets production objectives

approximate price levels

Demand-oriented, cost-oriented, profit-oriented, and competition-oriented are four approaches used to set Blank______. Multiple choice question. production objectives target markets approximate price levels promotional allowances

approximate price levels

Four approaches used to set ______ are oriented around demand, cost, profit, and competition. Multiple choice question. approximate price levels promotional allowances production objectives target markets

approximate price levels

Small changes in price Blank______. Multiple choice question. are preferred by consumers, rather than surcharges or fees are not noticed by consumers can have comparably big effects on company profit are the best way to improve profitability

can have comparably big effects on company profit

A company can encourage its wholesalers and retailers to pay their bills quickly by offering ________ discounts. Multiple choice question. cash seasonal trade quantity

cash

Pricing approaches that consider the production and marketing costs and then add enough to cover direct expenses, overhead, and profit are known as ______ approaches. Multiple choice question. margin-oriented cost-oriented demand-oriented profit-oriented

cost-oriented

oriented approaches to pricing regard expected customer tastes and preferences as the most important factors in the decision.

demand

A demand curve enables a firm to examine prices Blank______. Multiple choice question. in terms of supply relative to the costs to produce the product relative to its profits in terms of quantity sold

in terms of quantity sold

A demand curve enables a firm to examine prices Blank______. Multiple choice question. relative to its profits in terms of supply relative to the costs to produce the product in terms of quantity sold

in terms of quantity sold

Price fixing, price discrimination, and predatory pricing are ______. Multiple choice question. legal when used as discounts, but illegal if used as allowances legally prohibited legal but not recommended because they result in the loss of sales seen as unethical by some, but are currently legal

legally prohibited

A demand curve is derived by measuring how many units of a product are sold at various Blank______. Multiple choice question. distribution outlets unit weights or volumes levels of price times of the year

levels of price

Select all that apply Organizations choosing competitor-oriented approaches to set prices might use which two pricing strategies? Multiple select question. loss-leader pricing target profit pricing prestige pricing customary pricing

loss-leader pricing customary pricing

In penetration pricing, the initial price of the product is set Blank______. Multiple choice question. with a standard markup to recoup costs equal to what similar products are priced high, to appeal to those who most desire the product low, to appeal to the mass market

low, to appeal to the mass market

Many South Korean HDTV manufacturers are willing to give up immediate profits for long-term penetration of the market. This is a pricing objective known as ______. Multiple choice question. target return maximizing current profit managing for long-run profits unit volume maximization

managing for long-run profits

Select all that apply Cost-oriented approaches to pricing consider which three things in the setting of a product's price? Multiple select question. overhead profit product quality production costs consumer preferences market share

overhead profit production costs

Value is defined as ______. Multiple choice question. price divided by attributes perceived benefits divided by price perceived attributes divided by preference preference for a product despite its cost

perceived benefits divided by price

The money or other consideration (including other products and services) exchanged for the ownership or use of a product is known as ______. Multiple choice question. price offer value barter

price

The money or other considerations exchanged for the ownership or use of a product or service is its .

price

What element of the marketing mix has a unique role in that it is the place where all other business decisions come together? Multiple choice question. promotion price place product

price

Common approaches to pricing are oriented around which four elements? Multiple select question.

profit cost demand competition

Price elasticity of demand is expressed as percentage change in ________ divided by the percentage change in ________. Multiple choice question. price; quantity demanded quantity demanded; price total revenue; quantity demanded quantity demanded; total revenue

quantity demanded; price

Customers are encouraged to buy a larger number of a single product when a firm offers ______. Multiple choice question. trade discounts promotional allowances quantity discounts origin pricing

quantity discounts

Price fixing is the conspiracy among firms to _____. Multiple choice question. hide the true price of products from customers reduce prices successively in order to maintain market share eliminate promotional allowances for resellers set prices for a product

set prices for a product

In what pricing strategy are prices lowered in a series of steps with the demand by those who really desire the product being satisfied at the highest prices? Multiple choice question. experience curve pricing skimming pricing loss leader pricing penetration pricing

skimming pricing

Bundle pricing refers to ______. Multiple choice question. reduced pricing that is available for purchasing items in bulk, rather than in typical consumer volumes charging different prices to maximize revenue for a set amount of capacity at any give time the marketing of two or more products in a single package price setting different prices for products and services in real time in response to supply and demand conditions

the marketing of two or more products in a single package price

Price is defined as Multiple choice question. a judgment by a consumer of the worth and desirability of a product or service relative to substitutes. any factor that determines consumers' willingness and ability to pay for products and services. the practice of exchanging products and services for other products or services. the money or other considerations exchanged for the ownership or use of a product.

the money or other considerations exchanged for the ownership or use of a product.

What is a marketer most likely trying to convey about a product if it is priced using prestige pricing? Multiple choice question. the product is of high quality the product takes a lot of time to produce the product appeals to mass markets the product has no other competitors

the product is of high quality

_______ discounts are also known as functional discounts. Multiple choice question. Seasonal Cash Quantity Trade

trade

_______ discounts are also known as functional discounts. Multiple choice question. Seasonal Trade Quantity Cash

trade

Profit = (____ x quantity sold) - (fixed cost + variable cost) Multiple choice question. volume demand total cost unit price

unit price