BA Test 2

Sales increase rapidly and profits peak, then start to decline in the _____ stage of the product life cycle.

growth

Inappropriate or impractical new product ideas will be rejected during the _____ phase

idea screening

This psychological factor is defined as the act of bringing about changes in a person's behavior based on information and experience.

learning

A group of products that are physically similar or are intended for a similar market are referred to as a product _______________.

line

Any information about an individual, a product, or an organization that is distributed to the public through the media and that's not paid for or controlled by the seller is known as ___________________.

publicity

Which of the following is not a typical marketing task of an organization?

purchasing a product or service

Dewayne's family, his National Society of Black Engineers of America professional group, and the Rotary organization to which he belongs are _____ groups that may influence his buying decisions.

reference

Groups with whom buyers identify and whose values or attitudes they adopt are referred to as _______ groups.

reference

Macy's and Kohl's are considered to be ____________ because they buy products from manufacturers or other intermediaries and sell them to consumers for home and household use.

retailers

In the United States, people are often referred to as being part of the upper, middle, or lower class. These groupings signify ______ classes.

social

True or false: Although personal selling has many advantages it is one of the most costly forms of promotion.

true

True or false: Products used directly or indirectly in the operation or manufacturing processes of businesses are called business products.

true

True or false: Transportation, warehousing, and materials handling are all part of physical distribution.

true

Publicity differs from advertising in that it is _____.

unpaid

The process of dividing the total market into groups whose members have similar characteristics is market

Segmentation

United Mechanics sells nuts, bolts, and other fittings to companies that manufacture lawn mowers and tractors that are ultimately sold to consumers. This is an example of ______ marketing.

B2B

Products the consumer buys only after comparing value, quality, price, and style from a variety of sellers are called ______.

Shopping

The supply chain includes ______.

all who are involved in moving products from the producer to the ultimate consumer

A major wireless carrier designed a variety of advertisements to promote its new phone. Magazine, newspaper and television advertisements were created to attract the company's target market. This is an example of ______.

an advertising campaign

Business Analysis

assessing the potential profitability of the product

Which of the following can be defined as "services"? (Select all that apply)

-Doggie day care -Dry cleaning -A physical examination

Which of the following is least likely to be part of promotion?

pricing

Data that is observed, recorded, or collected directly from respondents is called ______ data.

primary

Today some people still inaccurately equate marketing with a _______ orientation.

sales

What do marketers usually view as a persuasive marketing activity accomplished through promotion?

selling

A good outcome from using _______________ networks is the opportunity to reach new voices and gain varied perspectives on the creative process of developing new products and promotions.

social

Intermediaries most likely assist with which four activities?

-Inventory control -Warehousing -Transporting -Materials handling

Select the three variables that are part of psychographic segmentation.

-Motives -Lifestyles -Personality

Which three terms accurately describe primary data?

-Recorded -Collected directly -Observed directly

Marketing focuses on a complex set of activities that must be performed to accomplish objectives and generate exchanges. These activities include ______.

-Selling -Researching -Risk taking

Which two terms best describe the process of gathering market research about potential customers that will help guide marketing decisions?

-Systematic -Objective

Dividing the market using a group's personality characteristics, motives, and lifestyles is _____ segmentation.

psychographic

After a period of intense demand and production of goods, supply began to exceed demand. Businesspeople realized that they would have to make a concerted effort to sell products and began advertising. This describes the ______ orientation.

sales

A(n) _____________ is the application of human and mechanical efforts to people or objects to provide intangible benefits to customers.

service

A(n)___________ is the application of human and mechanical efforts to people or objects to provide intangible benefits to customers.

service

Which marketing function takes on significant importance when dealing with seasonal fruits and vegetables that offer a short shelf life and selling opportunity?

storing

American Girl manufactures dolls for young girls between the ages of 3 and 12. This specific group of consumers is the company's _____________ market.

target

True or false: A marketer must understand the needs of the buyer in order to determine what products to make available.

true

True or false: Time utility has to do with selling an item or service in a timely manner and relates to the storing function of marketing.

true

A customer's subjective assessment of what they receive relative to costs in determining the worth of an item is referred to as ______.

value

Customer benefits subtracted by customer costs = customer _____.

value

Interactive multimedia research is also known as ________________

virtual testing

Knowledge and the positive or negative feelings a person has about something is referred to as_________.

attitude

_________ segmentation involves some characteristic of the consumers' behavior toward the product.

behavioristic

The goal of a market orientation is to ______.

build long-term customer relationships

The decision processes and actions of people who purchase and use products is referred to as __________ behavior

buying

Tyrone needs a new laptop. He knows how much he can afford, but rather than just purchase impulsively, he is in the process of researching different models and asking his friends for their recommendations. Marketers would consider this to be Tyrone's ______.

buying behavior

True or false: If a business wants to achieve its objectives, it simply needs to create an innovative product.

false

Westwood Furniture Store realizes that many of its customers buy several pieces of furniture at one time and may not have immediate cash to pay for the purchase. Therefore, Westwood offers credit services where customers can pay for their purchase over time. To entice customers to shop Westwood also offers "no money down" and "no interest" options. This relates to the ______ function of marketing.

financing

A systematic, objective process of getting information about potential customers to guide marketing decisions is the definition of ______.

marketing strategy

This psychological factor is defined as an inner drive that directs a person's behavior toward goals.

motiviation

Joe's Taco cart, which has always sold 100 percent pure beef tacos, develops three new taco varieties for the growing group of vegetarian students who come by daily. Joe still advertises his beef tacos but has also developed a mini-campaign to pitch the veggie tacos. Joe is using a(n) _____ market segmentation approach.

multisegment

_____ is the process by which a person selects and interprets information through senses about the quality of new towels or features of a new computer.

perception

Distribution is sometimes referred to as_________ in the marketing mix.

place

Since it represents the measure of value used in an exchange, ______ is the marketing mix element that is the basis of most market exchanges.

price

Data that you gather using sources like surveys, focus groups, and interviews is known as _____ data.

primary

Telephone surveys and mystery shoppers are two methods of gathering _____ data.

primary

Which two qualify as advertising?

-A paid television infomercial -Online ads from Starbucks about its new product

Which three (3) are used as a measure of product quality?

-Easily maintained -Reliable -Durable

Place the steps of product development in the correct order. (NOTE: The first step in the process should be at the top of your list, the last step should be at the bottom of your list)

1. idea development 2. new idea screening 3. business analysis 4. product development 5 test marketing 6. commercialization

List the four steps for calculating the value of a product, starting with step one. (Note: step one should appear at the top of your list)

1. identity target customers 2. identify their best alternatives 3. determine the products differences 4. calculate the value based on its differentiations

By the _____, some business people began to recognize that efficient production and extensive promotion did not guarantee sales and the marketing era was born.

1950's

What do marketers hope to gain by developing at least one dimension of value in the marketing mix that surpasses all competitors in meeting customer expectations?

A competitive advantage

Which of the following is NOT a type of sales promotion?

A customer blogging about a product

What is test marketing?

A trial mini-launch of a product in a limited area

Sales increases

Advertising with high impact, hard-hitting language and symbols

Brand awareness

Advertising with repetition of the brand name and words and illustrations associated with it.

Which of the following wholesalers does not own products but negotiates sales in exchange for a commission?

Agents

_____ is the process of naming and identifying products.

Branding

The engineers at Wonderful Widgets have come up with an idea for a new product. The company has determined that the product fills a market need and that it should generate a profit. Now the company wants to see how the product will be perceived by the consumer. How will the company do this?

By creating a prototype

A manufacturer of educational toys for children ages 2 to 4 wants to develop a marketing strategy to focus on just this segment. Which market segmentation approach would the firm most likely use?

Concentration approach

_____ is making products available in the quantities desired.

Distribution

True or false: Price is defined as the value placed on an object by the buyer.

False

What are some of the sample variables under demographic segmentation?

Gender, age, education, income

A watch manufacturer makes high-end watches and markets them to high income professional businessmen. The price of its watches range from $2,000 to $20,000. Because of this, the company only advertises in niche market publications that cater to this audience. In this scenario, identify what the central focus should be for this company's marketing activities.

High-income professional businessmen

These people perform many of the activities required to move products efficiently from producers to consumers or industrial buyers and are often wholesalers or retailers.

Intermediaries

What stage of the product life cycle is a product likely in if consumer awareness is limited and profits are negative?

Introduction

_______ is the planning and coordination of inbound and outbound as well as third-party services.

Logistics

Which of the following best describes the concentration segmentation approach?

One marketing strategy for a single market segment

During which stage of new product development is a prototype of the product created?

Product development

_____ is a persuasive form of communication that attempts to expedite a marketing exchange by influencing individuals, groups, and organizations to accept goods, services, and ideas.

Promotion

_____ combines sight, sound, and animation to facilitate testing of concepts as well as packaging and design features.

Virtual testing

A market is defined as ______.

a group of people who have a need, purchasing power, and the desire and authority to spend money on goods, services, and ideas

When a firm prices a new product very high to make optimum profit while there is little competition, it is said to be using ______.

a price skimming strategy

In the first half of the 20th century, business people who adopted the sales orientation perspective believed the most important marketing activities were personal selling and ______.

advertising

Integrated marketing communication (IMC) combines ______ into one comprehensive, unified promotional strategy.

all the promotional tools

Idea Development

coming up with new commercial products to pursue

Profits begin to decline during the growth stage because ______.

competitors enter the market and drive prices downward

When segmenting a market, a ___________ approach is used when a company develops one marketing strategy for a single market segment.

concentration

A _____________ is anyone who shops for products and decides whether and what to buy.

consumer

Products created for household or family use and intended for daily living are called ______ products.

consumer

Product Development

creating a prototype

The idea behind the marketing concept is that ______ will lead to a business achieving its goals.

customer satisfaction

Segmenting facial products by sex, age, and race is an example of _____ segmentation.

demographic

A marketing strategy has two major components: selecting a target market, and ______.

developing an appropriate marketing mix

Face-to-face sales presentations to consumers that often take place in the consumer's home is the nonstore retailing form known as ______ selling.

direct

The use of nonpersonal media to communicate products and information and offer consumers the opportunity to purchase from that media is referred to as ______.

direct marketing

While Duluth Trading operates some retail locations, it specializes in selling its products through catalogs. In doing so, Duluth Trading is engaged in _______ marketing.

direct marketing

janet works part-time for Pampered Chef. Her selling technique is to hold "parties" in people's homes where she cooks food and demonstrates the kitchen products she has for sale. This is an example of __

direct selling

All of the following factors can be used to segment a market by psychographic factors EXCEPT ______.

education

At the heart of all business is the _____, the act of giving up one thing (money, credit, labor, goods) in return for something else (goods, services, or ideas).

exchange

In marketing terms, when you pay the cashier money for the items you purchase at a store, it is an example of a(n) _____.

exchange

True or false: Products are manufactured for either B2B markets or B2C markets, but never geared towards both.

false

For which function of marketing does this statement describe: For many products, especially large items such as automobiles, refrigerators, and new homes, the marketer arranges credit to expedite the purchase.

financing

Twitter, Facebook, and LinkedIn are often good substitutes for ______.

focus groups

Brands sold with no brand name at all are called ___________ brands.

generic

Products, such as butter, aspirin, or dog food, sold in plain simple packaging without a brand name are called ______.

generic brands

_____ is the standardizing of products by dividing them into subgroups and displaying and labeling them.

grading

When the marketing manager looks at the organization's resources and objectives to assess the firm's ability to produce and market a product, the company is in the _____ stage of new product development.

idea screening

Marketers of _____ include political parties, churches, and schools.

ideas

Concepts, philosophies, images, and issues are all ______.

intangible ideas

The process of coordinating the promotion mix elements and synchronizing promotion as a unified effort is called _______.

integrated marketing communication

An ______ distribution strategy is used for convenience products because the product must be made available at every location where a consumer might desire to purchase it.

intensive

_____ distribution makes a product available in as many outlets as possible.

intensive

The stages of the product life cycle are ______.

introduction, growth, maturity, decline

The _____ stage of the product life cycle is exemplified by low sales, limited consumer awareness, and negative profits.

introductory

The presentation of important information on a package, such as ingredients and nutrition facts, is called _____.

labeling

Rashmi always used to shop at a particular clothing store. However, the last two times she shopped there, the staff was rude and they didn't have much stock on hand. Consequently, Rashmi is trying out new stores to shop at. Which psychological factor is at play in this scenario?

learning

Functions of _____ include buying, selling, transporting, and storing goods for an organization in order to accomplish objectives and generate exchanges.

marketing

The four activities that are part of the marketing process are also referred to as the _____ mix.

marketing

The idea that a business or organization should try to satisfy customers' needs through activities that also allow it to achieve its own goals is known as the ______________ concept.

marketing

Political, legal, regulatory, social, competitive, economic, and technological forces comprise the ______.

marketing environment

The _____ is the part of marketing strategy that involves decisions regarding controllable variables: product, price, distribution, and promotion.

marketing mix

B2C marketing

marketing products directly to the end consumer

A total-market approach is also referred to as ______.

mass marketing

If sales of a product peak and begin to decline along with declining profits due to severe competition and heavy expenditures, the product is in the _____ stage of the product life cycle.

maturity

Four common ____________ objectives are: maximizing profits and sales, boosting market share, maintaining the status quo, and survival.

pricing

Newspapers, magazines, and direct mail are _____ media, whereas television, radio, and cyber ads are _____ media.

print; electronic

The Great Value brand is found only at Walmart and is often less expensive than other brands carried by the store. Great Value is an example of a ______.

private distributor brand

Brands that do not carry the name of the manufacturer but carry a distributor or retailer name are called ______.

private distributor brands

Any physical good, service, or idea that satisfies a want or need is a(n)___________.

product

Automobile companies truly seem to be listening to customers who are environmentally concerned by offering more fuel-efficient cars. Companies are adjusting the ______ factor of the marketing mix.

product

Goods, services and ideas all fall under the ____________ element of the marketing mix.

product

Goods, services and ideas all fall under the________ element of the marketing mix.

product

Many customers value "green" due to their positive environmental traits and the savings from better gas mileage. The marketing mix factor that accounts for these tangible and intangible attributes is ______.

product

The ______ variable of the marketing mix is often the most visible and therefore of critical importance.

product

All of the following information is typically presented on a product's label EXCEPT ______.

product classification

Due in part to the Industrial Revolution and the demand for manufactured goods, this orientation was prominent in the second half of the 19th century.

production orientation

Commercialization

promoting a product to distributors, retailers, and consumers to gain wide interest and distribution in the product

Firms use _____ for many reasons, but typical objectives are to stimulate demand, to stabilize sales, and to inform, remind, and reinforce customers.

promotion

The promotional strategy in which the producer uses wholesaler discounts, personal selling, sales promotion contests, and other promotional tools to convince wholesalers and retailers to stock and sell its merchandise is known as a _________________ strategy.

push

Brandon needed to get a new tractor for his landscaping business. He needed to make sure that the tractor would perform well for a long time, was easy to maintain, and was made with durable parts. Brandon is assessing the product's ______.

quality

Idea Screening

reducing the number of ideas to the most promising and working on those

The promotional tool that stimulates consumer purchasing by adding value or other incentives for buyers is known as ______.

sales promotion

If a push strategy is successful, then consumers are more likely to find out about a new product after ______.

seeing it in stores

Marketers expedite the exchange process by using promotion activities to persuade a customer to purchase a product. This is the essence of which function of marketing?

selling

Products or services the consumer buys only after comparing value, quality, price, and style from a variety of sellers are called consumer _________________ products

shopping

University student, mother, and sister are examples of___________ roles that influence buying behavior.

social

A ranking of people into higher or lower positions of respect is known as ______.

social classes

_______ products require research and extensive shopping effort as consumers know what they want and are not willing to accept a substitute.

specialty

Test Marketing

taking a product idea to consumers to test their reactions

All of the following are brand marks EXCEPT ______.

the word Pepsi on a Pepsi drink can

A lumber yard that buys plywood from a producer and sells it to a home improvement retail store is an example of a(n) _____.

wholesaler

_____ are intermediaries who buy from producers and sell to retailers.

wholesalers

in the United States ______ are the largest market segment.

woman

Which of the following exemplify sales promotion through sampling? (Select all that apply)

-Scratch and sniff magazine inserts -Car dealer test drives -Supermarket taste test

Which of the following are external influences in the marketing environment?

-Social -Economic -Competitive -Legal

Which of the following are common pricing objectives?

-Boosting market share -Maximizing profits and sales -Survival -Maintaining the status quo

Why are distribution decisions considered one of the least flexible marketing mix decisions?

-Distribution decisions often establish contractual relationships that are difficult to change. -Distribution decisions often commit resources.

Which three products are considered convenience products and thus would utilize an intensive distribution?

-Gum -Soft drinks -Gasoline

Which of the following are characteristics of advertising? (Select all that apply)

-Non-personal communication -Transmitted through a mass medium -Uses various media

Paid, non-personal communication through various media by organizations and individuals who are in some way identified in the message is known as ____________ .

advertising

Characteristics that commonly involve some aspect of product use is _____ segmentation.

behavioristic

A name, symbol, or design that identifies the goods or services of one seller in comparison to other sellers is a ______.

brand

A firm's ______ exclusively refers to the part of the brand that is a distinctive design, such as McDonald's golden arches logo.

brand mark

Products that are used for the operation of an organization or for the production of other products are referred to as ______________ products.

business

Assessing new-product ideas by developing cost estimates and sales forecasts in order to determine if the product will be profitable, takes place in the _____ stage of the new-product development process.

business analysis

A(n) _____ strategy is a plan of action for developing, pricing, distributing, and promoting products.

marketing

The value placed on an object exchanged between buyer and seller is its ______________.

price

A group of closely related products that are treated as a unit because they use a similar marketing strategy are referred to as a ______.

product line

New technologies such as electricity and railroads allowed the ______ orientation to flourish by allowing goods to be manufactured with increased efficiency.

production

The objectives of _______________ are to stimulate demand; to stabilize sales; and to inform, remind, and reinforce customers.

promotion

Advertising, personal selling, publicity, and sales promotion are collectively known as the _____.

promotion mix

When a manufacturer of a hybrid vehicle attempts to create an image of the product as helping to save the environment, it is using _____.

promotional positioning

A group of high school soccer girls with the need, desire, ability, and authority to purchase soccer gear can be referred to as a ______.

target market

A trial mini-launch of a product in a limited area that represents the potential market is referred to as ______.

test marketing

In defining its target market, sellers of salt, sugar, and flour most likely use a _____.

total-market approach

The process of moving strawberries, blackberries, and raspberries from Portland Fresh and Ready Farms to the farmer's market where customers will purchase them, is a marketing activity called ______.

transporting

_____ is the process of moving products from a seller to a buyer.

transporting

Which three utilities are provided by marketing intermediaries, also known as middlemen?

-Ownership -Place -Time

Select the three types of utility created by retailers.

-Place utility -Ownership utility -Time utility

Which four elements make up the marketing mix?

-Promotion -Product -Price -Distribution

The promotion mix consists of ______. (select all that apply)

-personal selling -advertising -sales promotions -publicity

Merchant wholesaler

Takes title to the goods, assume risks, and sells to other wholesalers, business customers, or retailers

What is the central focus of all marketing activities?

The buyer

A company has a product that is geared toward 18-21 year-old women, who are all college students. This group would be considered a(n) ______ segment.

market

Which orientation is best described as first determining what customers want and then produce it, rather than making the products first and then trying to persuade customers that they need them.

market orientation

Dividing the market into groups whose members have similar characteristics is ______.

market segmentation

Marketing _____ is a systematic, objective process of gathering information about potential customers.

research

True or false: Product packaging attributes can influence consumer buying decisions.

true

True or false: Promotional positioning is the natural result of market segmentation.

true

Game Masters has just released the long-awaited, new platform of its most popular gaming console. Since the company wants to recoup development costs, and there will be little competition at first, Game Masters is setting the price rather high. Game Masters is using a ______ pricing strategy.

price skimming

When a UPS store targets consumers for shipping products around the holidays, but targets businesses for everyday shipping needs, it is using a(n) ______ approach.

multisegment

The ____________ is the external container that holds and describes the product, and influences consumers' attitudes and buying decisions.

packaging

A ____________ pricing strategy is the practice of pricing a product low to attract many customers and rapidly gain market share.

penetration

A low initial entry price, often lower than the eventual market price, to attract many customers and discourage competition, is a strategy called _______ pricing.

penetration

This psychological factor is the process by which a person selects, organizes, and interprets information received from his or her sense, as when experiencing an advertisement or touching a product to better understand it.

perception

A car salesperson interacting with a client is an example of ____________ selling because it is a two-way communication between a salesperson and a potential buyer.

personal

During the business analysis stage of new product development, products are analyzed for their compatibility in the marketplace and their ______.

potential profitability

Brands that are initiated and owned by the manufacturer, such as Xerox or SONY, are called ______.

Manufacturer

Agent

Negotiate sales, do not own products, and perform a limited number of functions in exchange for a commission.

Maggie volunteers at the local children's hospital whenever she can. She recently heard that the running store downtown was partnering with the children's hospital and donating a percentage of its sales to the hospital. Maggie has decided to shop there from now on and is telling all her friends to do the same. What psychological factor is at play here?

attitude

Motivation is an inner drive that directs a person's _____________ toward goals.

behavior

Which of the following are social factors that influence how, why, and when a consumer may buy a product or service?

-Reference group -Culture -Social class

Which three items are signs that a product is in the maturity stage of the product life cycle? (Select all that apply)

-Sales peak and start to decline -Profits decline -Competition is severe

Identify the sales promotions in the list below. (Select all that apply)

-Samples and demonstrations -Coupons -Store displays

List the stages of the product life cycle in sequence from beginning to end. (Note: The first stage should be the top item on your list)

-introduction -growth -maturity -decline

Which of the following questions will be answered during the business analysis stage of new product development?

-is the product compatible with the marketplace? -Will the product be profitable?

Organizations that bridge the gap between a product's manufacturer and the end user are called intermediaries or middle men. Two types of intermediary organizations are ______. (select two)

-retailers -wholesalers

Which of the following are typical objectives of promotion? (Select all that apply)

-to stabilize sales -To stimulate demand -To inform, remind, and reinforce customers

Sometimes marketers place representatives at a supermarket to hand out portions of a product for customers to taste. What promotional tool are they using?

Sampling

______ distribution includes all the activities necessary to move products from producers to consumers.

Physical

What typically happens in the growth stage of the product life cycle?

Sales increase rapidly and profits peak

True or false: A consumer is trying to decide between 2 smartphones. Price is the most important feature, so a decision is able to be made on that criteria alone. This buying behavior is associated with specialty products.

false

A ______ orientation requires organizations to gather information about customers in order to build long-term relationships with them.

market

Because it relates directly to the generation of revenue, ______ is considered a key element of the marketing mix.

price

Dividing a market by cities, counties, states, or regions is an example of using _________ variables for market segmentation.

geographic

Instead of selling your product throughout the United States, you might concentrate on one or two regions. This is an example of _____ segmentation.

geographic

When men's dress shirts are divided and separated by size as well as color and brand name, it can be said that they are being ______.

graded

B2B marketing

marketing products to customers who will use the product for resale or in the making of other products