principles of marketing Quiz #4

The Federal Trade Commission is the U.S. government's main watchdog for deceptive advertising. Answers: True False

True

Which of the following is NOT a demographic characteristic of a population? Answers: Income level Age Values Education Birthrate

Values Response Feedback: Values are a social factor.

Javier is a marketing manager faced with planning marketing strategies during a period of inflation. He should be aware that inflation causes consumers to: Answers: decrease their brand loyalty to products they have traditionally used. buy in smaller quantities until inflation has eased. consume more meals away from home. put more money into savings accounts because prices are too high.

decrease their brand loyalty to products they have traditionally used. Response Feedback: Correct. In times of inflation, consumers are more price conscious and have less brand loyalty.

The study of people's vital statistics, such as their ages and locations, is called: Answers: psychography. democracy. demography. sociology.

demography. Response Feedback: Correct. Demography is the study of people's vital statistics, such as age, race and ethnicity, and location. Demographic characteristics are strongly related to consumer buying behavior.

The external environment: Answers: can be controlled in much the same manner as the internal marketing mix cannot be influenced by marketing managers does not change over time does not have an impact on Fortune 500 companies must be continually monitored by marketing managers

must be continually monitored by marketing managers Response Feedback: The goal in gathering the environmental data is to identify future market opportunities and threats.

To be successful, marketers should control the elements in the external environment and the four Ps of the marketing mix. Answers: True False

False Response Feedback: Correct. Marketers can control the four Ps, but they have no direct control over external environmental elements.

Which of the following is the most difficult for marketing managers to forecast, influence, or integrate into marketing plans? Answers: Technology Social change Demography Competition Economic conditions

Social change Response Feedback: Social factors and changes are difficult to foresee, because they are usually slow and/or small changes.

Which of the following statements best describes the typical target market? Answers: A target market will remain stable over time, including the same group of consumers. Target markets change over time as consumers drop in or out of the market, and as tastes change. Target markets are not strongly affected by changes in the external environment. Target markets only change when the features and benefits of the product offering change. Target markets cannot be specifically defined according to age, income, or location, because these factors are continually changing.

Target markets change over time as consumers drop in or out of the market, and as tastes change. Response Feedback: Target markets are defined and described, but they are always changing in response to the environment.

Consumers' concern for health issues affects the way food is marketed. For example, marketers must now list the number of grams of transfat on a product's nutrition label because it has recently come to light that this type of fat is harmful. Consumers' concern for health issues is a(n) _____ factor. Answers: economic political and legal technological demographic social

social Response Feedback: Social factors include our attitudes, values, and lifestyles

All of the following are factors in the external environment affecting marketing EXCEPT: Answers: the marketing mix economic conditions technology political and legal factors the competition

the marketing mix Response Feedback: The marketing mix is created by the company.