Principles of Marketing test 3 (dynamic study modules)

__________ is managing upstream and downstream value-added flows of materials, final goods, and related information among suppliers, the company, resellers, and final consumers.

Supply chain management

Product publicity is a(n) __________.

activity of public relations that involves the publicizing of specific products

A multichannel distribution system __________.

uses a single firm to set up two or more marketing channels to reach one or more customer segments

A vertical marketing system is __________.

a channel structure in which producers, wholesalers, and retailers act as a unified system

Channel level is __________.

a layer of intermediaries that performs some of the work in bringing the product and its ownership closer to the final buyer

An indirect marketing channel is __________.

a marketing channel containing one or more intermediary levels

Personal selling is __________.

a personal presentation by the firm's sales force for the purpose of making sales and building customer relationships

A marketing channel is __________.

a set of interdependent organizations that help make a product or service available for use or consumption by the consumer or business user

A(n) __________ coordinates successive stages of production and distribution through the size and power of one of the parties.

administered vertical marketing system

The __________ is setting the promotion budget at the level management thinks the company can afford.

affordable method

Sales force management refers to __________.

analyzing, planning, implementing, and controlling sales force activities

Advertising is __________.

any paid form of nonpersonal presentation and promotion of ideas, goods, or services by an identified sponsor

During the __________ step, the salesperson should know how to meet and greet the buyer and get the relationship off to a good start.

approach

The purpose of persuasive advertising is to __________.

build selective demand

Public affairs is __________.

building and maintaining national or local community relationships

Lobbying is __________.

building and maintaining relationships with legislators and government officials to influence legislation and regulation

Designing a good product is the __________ step in cost-based pricing.

first

The selling process __________.

focuses on the goal of getting new customers, obtaining orders from them, and spending time maintaining existing accounts and building long-term customer relationships

Follow-up is the sales step in which a salesperson __________.

follows up after the sale to ensure customer satisfaction and repeat business

A contractual vertical marketing system consists of __________.

independent firms at different levels of production and distribution joining together through contracts

A direct marketing channel __________.

is a marketing channel that has no intermediary levels

A product sales force structure __________.

is a sales force organization in which salespeople specialize in selling only a portion of the company's products or lines

A customer sales force structure __________.

is a sales force organization in which salespeople specialize in selling only to certain customers or industries

The __________ shows how a product fits in with a particular way of life.

lifestyle style

Cost-based pricing is __________.

setting prices based on the costs of producing, distributing, and selling the product plus a fair rate of return for effort and risk

The competitive-parity method is __________.

setting the promotion budget to match competitors' outlays

A demand curve __________.

shows the number of units the market will buy in a given time period, at different prices that might be charged

The __________ shows one or more "typical" people using the product in a normal setting.

slice of life style

Intensive distribution is __________.

stocking the product in as many outlets as possible

The presentation step is when a salesperson __________.

tells the "value story" to the buyer, showing how the company's offer solves the customer's problems

Total costs are __________.

the sum of the fixed and variable costs for any given level of production

Selective distribution is __________.

the use of more than one but fewer than all of the intermediaries who are willing carry the company's products

Team selling is __________.

using teams of people from sales, marketing, engineering, finance, technical support, and even upper management to service large, complex accounts

Comparative advertising is __________.

when a company directly or indirectly compares its brand with one or more other brands

__________ is a sales promotion tool used to generate business leads, stimulate purchases, reward customers, and motivate salespeople.

A business promotion

__________ is a sales promotion tool used to persuade resellers to carry a brand, give it shelf space, promote it in advertising, and push it to customers.

A trade promotion

__________ is a sales promotion tool used to boost short-term customer buying and involvement or enhance long-term customer relationships.

A consumer promotion

__________ is a promotion strategy that calls for using the sales force and trade promotion to move the product through channels.

A push strategy

__________ represents a company to customers by performing one or more of the following activities: prospecting, communicating, selling, servicing, information gathering, and relationship building.

A salesperson

What is sales promotion?

A short-term incentive used to encourage the purchase or sales of a product or a service

__________ is setting a price for products that must be used along with a main product, such as blades for a razor and games for a video-game console.

Captive-product pricing

__________ is based on a buyer's perceptions of value rather than on the seller's cost.

Customer value-based pricing

__________ is the fourth step in value-based pricing.

Designing products to deliver the desired value at a target price

__________ is the third step in value-based pricing.

Determining costs that can be incurred

__________ is giving a limited number of dealers special rights to distribute the company's products in their territories.

Exclusive distribution

__________ is/are costs that do not vary with production or sales level.

Fixed costs

__________ is the sales step in which a salesperson seeks out, clarifies, and overcomes any customer objections to buying.

Handling objections

__________ is setting a low price for a new product in order to attract a large number of buyers and a large market share.

Market-penetration pricing

__________ is a measure of the sensitivity of demand to changes in price.

Price elasticity

__________ is setting the price steps between various products in a product line based on cost differences between the products, customer evaluations of different features, and competitors' prices.

Product line pricing

__________ is a short-term incentive to encourage the purchase or sale of a product or service.

Sales promotion

What does an administered vertical marketing system coordinate?

Successive stages of production and distribution through the size and power of one of the parties

__________ is/are pricing that starts with an ideal selling price, then targets costs that will ensure that the price is met.

Target costing

What is closing?

The sales step in which a salesperson asks the customer for an order

__________ is attaching features and services to differentiate a company's offers and charging higher prices.

Value-added pricing

Public relations is __________.

building good relations with the company's various publics by obtaining favorable publicity, building up a good corporate image, and handling or heading off unfavorable rumors, stories, and events

A horizontal marketing system is a __________ .

channel arrangement in which two or more companies at one level join together to follow a new marketing opportunity

A conventional distribution channel is a __________.

channel consisting of one or more independent producers, wholesalers, and retailers, each a separate business seeking to maximize its own profits, perhaps even at the expense of profits for the system as a whole

An inside sales force __________.

conducts business from their offices via phone, online and social media interactions, or visits from buyers

Personal selling __________.

consists of interpersonal interactions with customers and prospects to make sales and maintain customer relationships

Variable costs are __________.

costs that vary directly with the level of production

Press relations is a function in which companies __________.

create and place newsworthy information in the news media to attract attention to a person, product, or service

The fantasy style __________.

creates an imaginary situation around the product or its use

Event marketing refers to __________.

creating a brand-marketing event or serving as a sole or participating sponsor of events created by others

The objective-and-task method is __________.

developing the promotion budget by: 1) defining specific promotion objectives, 2) determining the tasks needed to achieve these objectives, 3) estimating the costs of performing these tasks

The new product pricing strategy of __________ means the initial price is set high.

market-skimming pricing

Approach is the sales step in which a salesperson __________.

meets the customer for the first time

The musical style shows __________.

people or cartoon characters singing about the product

The __________ is setting the promotion budget at a certain percentage of current or forecasted sales or as a percentage of the unit sales price.

percentage-of-sales method

A third-party logistics provider __________.

performs any or all of the functions required to get a client's product to market

The purpose of __________ is to build selective demand.

persuasive advertising

Marketing logistics is __________.

planning, implementing, and controlling the physical flow of materials, final goods, and related information from points of origin to points of consumption to meet customers' requirements at a profit

Predatory pricing is __________.

selling below cost with the intention of punishing a competitor or gaining higher long-run profits by putting competitors out of business

A pull strategy is a __________.

promotion strategy that calls for spending a lot on consumer advertising and promotion to induce final consumers to buy the product

Setting a target price to match the customer's perceived value is the __________ step in value-based pricing.

second

Marketing channel management is __________.

selecting, managing, and motivating individual channel members and evaluating their performance over time

A(n) __________ is a sales force organization that assigns each salesperson to an exclusive geographic area in which that salesperson sells the company's full line.

territorial sales force structure

Price is __________.

the amount of money charged for a product or service, or the sum of the values that customers exchange for the benefits of having or using the product or service

Using VMI (vendor-managed inventory), __________.

the customer shares real-time data on sales and current inventory levels with the supplier

Disintermediation is __________.

the cutting out of marketing channel intermediaries by product or service producers or the displacement of traditional resellers by radical new types of intermediaries

Integrated logistics management is __________.

the logistics concept that emphasizes teamwork—both inside the company and among all the marketing channel organizations—to maximize the performance of the entire distribution system

With psychological pricing, __________.

the price is used to say something about the product