Business Exam 3

_____ are cards issued by banks that allow customers to make purchases as if the transactions involved cash.

Debit cards

refers to dividing the market based on measurable characteristics about people such as age, income, ethnicity, and gender.

Demographic Segmentation

Which of the following types of nonstore retailing includes catalogs, telemarketing, and advertising meant to elicit consumer sales?

Direct response retailing

_____ includes all methods of selling directly to customers in their homes or workplaces.

Direct selling

_____ is a plan for delivering the right product to the right person at the right place at the right time.

Distribution strategy

_____ is a long-term discount pricing strategy, designed to achieve profitability through high sales volume.

Everyday-low

The _____ is an independent agency created by Congress to maintain stability and public confidence in the nation's financial system, primarily by insuring bank deposits.

Federal Deposit Insurance Corporation

_____ provide a complete array of services to the retailers or business users who typically purchase their goods.

Full-service merchant wholesalers

refers to developing and promoting environmentally sound products and practices to gain a competitive edge.

Green marketing

The initiative "Don't drink and drive" is an example of

Idea Marketing

_____ involves reducing consumption today in order to acquire assets that build future wealth.

Investing

Identify a true statement about integrated marketing communication.

It coordinates a company's messages through every promotional vehicle to create a coherent idea

Which of the following best describes a breakeven analysis?

It determines the number of units a firm must sell to cover all costs.

Which of the following statements is true of a debit card purchase

It immediately reduces the customer's bank account balance.

In the context of the marketing era, which of the following statements best describes a marketing concept

It is a philosophy that makes customer satisfaction the central focus of the entire organization

Which of the following statements best defines an augmented product

It is an additional good or service that wraps an actual product.

In the context of consumer behavior, which of the following statements best defines cognitive dissonance

It is the consumer discomfort with a purchase decision, typically for a higher-priced item.

In the context of credit card agreements, which of the following statements best describes the annual percentage rate (APR)?

It is the percentage financing cost charged on unpaid credit card balances

Which of the following statements is true of native advertising?

It refers to a form of advertisement that mimics the user experience into which it is placed in terms of form and function.

Lifant Technologies is in the process of launching a new cell phone. It wants to conduct marketing research on an international level. Dan, the CEO of Lifant Technologies, believes that obtaining data from multiple countries will help in identifying consumer demands and requirements accurately. However, the company is facing problems gathering the required data in a few countries where people are not receptive to foreign researchers. Which of the following approaches should Lifant Technologies adopt under such circumstances?

It should hire research firms with a strong local presence to handle its international marketing research projects

In the context of customer relationship management, which of the following statements is true of value

Low cost does not always mean high value

A firm's _____ is the percentage of the total market for a product that is controlled by it.

Market share

In the context of the marketing environment, the percentage of a market controlled by a given marketer is known as

Market share

Which of the following statements is true in the context of actual value and perceived value

Marketers must help customers believe that their products are uniquely qualified to meet their needs

is the creation of products tailored for individual consumers on a mass basis.

Mass Customization

_____ is providing multiple distribution channels for consumers to buy a product.

Multichannel retailing

Which of the following marketing strategies can most likely help in pursuing personal goals such as seeking a new job or getting a university admission?

People marketing

The campaign "What happens in Vegas stays in Vegas" illustrates

Place Marketing

Which of the following marketing strategies can most likely help in pursuing personal goals such as seeking a new job or getting a university admission?

Place Marketing

Which of the following involves identifying the attributes that make a good or service dissimilar from other products that compete to meet the same or similar customer needs?

Product differentiation

A _____ is a group of products that are closely related to each other.

Product line

A _____ is the total number of product lines and individual items sold by a single firm.

Product mix

Which of the following is a sponsor responsible for in a sponsorship?

Providing a logo or slogan for an event

The best sponsorship investment occurs when the target audience for the marketer completely overlaps the target audience for the event.

Public relations

_____ is a strategy that will decrease a company's breakeven point.

Reducing fixed costs

_____ are the distributors that sell products directly to the ultimate users, typically in small quantities, that are stored and merchandized on the premises.

Retailers

Which of the following is a disadvantage of advertising on the Internet

Web surfers tend to ignore the vast majority of advertisements.

_____ are the distributors that buy products from producers and sell them to other businesses or nonfinal users such as hospitals, nonprofits, and the government.

Wholesalers

In the context of investments, a _____ is a formal IOU issued by a corporation

bond

The overall value of a brand to an organization is called _____.

brand equity

Investors can earn a financial return on common stock called a(n) _____ if the market price of their stock rises relative to the price they paid for it.

capital gain

The rate of adoption and diffusion of a product is adversely affected when the _____ of the product is high.

complexity

In the context of the role of distributors, _____ provides customer satisfaction by converting inputs into finished products.

form utility

An advantage of using commercial personal finance programs such as Quicken or Moneydance is that they:

give you the ability to export data into tax preparation software, making tax filing much simpler.

A _____ is the period of time that a credit card holder has to pay outstanding balances before interest or fees are assessed.

grace period

In the context of consumer product categories, which of the following best describes convenience products?

hey are the inexpensive goods and services that consumers buy frequently with limited consideration and analysis

A disadvantage of having a diversified financial portfolio is that

it reduces the possibility of earning exceptionally high returns

An advantage of having a diversified financial portfolio is that

it reduces your risk by ensuring that losses in some investments are offset by gains in others

____ is a subset of supply chain management that focuses largely on the tactics involved in the actual movement of products than on strategy.

logistics

The ultimate benefit that most businesses seek from marketing is

long-term profitability

Intensive distribution strategy works best for:

low-cost convenience goods that consumers won't travel too far to find.

The Consumer Financial Protection Bureau:

makes it easier for consumers to compare the features and costs of various credit cards so that they can select the ones that best meet their needs.

The first step in planning a marketing strategy is

market segmentation

involves gathering, interpreting, and applying information to uncover marketing opportunities and challenges.

marketing research

In the context of a budget, _____ are expenditures that a spender has little or no control over.

nondiscretionary payments

_____ is a new product pricing strategy that aims to capture as much of the market as possible through rock-bottom prices

penetration pricing

Which of the following is a quality embodied by most services

perishability

The 401(k) plans are employee-contribution retirement plans that are offered to employees of _____.

private-sector businesses

A _____ is a pattern of sales and profits that typically changes over time.

product life cycle

The _____ is the gap between the cost and the price of an item on a per-product basis.

profit margin

In the context of marketing, licensing involves:

purchasing the right to use another company's brand name or symbol

In the context of investing in your career, one way to increase your marketability and your starting salary is to:

secure an internship during your college years

In the context of consumer product categories, _____ are those expensive products that consumers seldom purchase

specialty products

In the context of business product categories, business services are

the services that businesses purchase to facilitate operations

Which of the following modes of transportation has the most extensive availability?

trucks

The _____ is a specified period of time for which an employee must work for an employer in order to receive the full advantage of certain retirement benefits

vesting period

In the context of acquiring financial assets, which of the following is a robo advisor service that helps people set, track, stick to, and eventually achieve their financial goals?

Betterment

direct their efforts to customers who are buying products to use either directly or indirectly to produce other products.

Business marketers

_____ is when established brands from different companies join forces to market the same product.

Cobranding

Which of the following is a finding of the Wetpaint/Altimeter Study?

Companies that are both deeply and widely engaged in social media significantly surpass their peers in both revenues and profits.

is achieved when customers buy a product from the same supplier again and again—sometimes paying even more for it than they would for a competitive product.

Customer Loyalty

Which of the following factors is part of the product strategy in the marketing mix?

Customer Service

is achieved when customers perceive that a good or service delivers value above and beyond their expectations

Customer satisfaction

In the context of consumer product categories, _____ are expensive products that consumers buy less frequently

Shopping products

_____ is a new product pricing strategy that aims to maximize profitability by offering new products at a premium price.

Skimming Pricing

Planning and coordinating the movement of products, from the raw materials to the final consumers, is called _____.

Supply chain management

_____ are employee payroll-deduction retirement plans that offer tax benefits

The 457 plans

Which of the following statements is true of sponsorship

The best sponsorship investment occurs when the target audience for the marketer completely overlaps the target audience for the event.

The blend of marketing strategies for product, price, distribution, and promotion is known as

The marketing mix

Which of the following is an advantage of certificates of deposit

They are insured by the Federal Deposit Insurance Corporation.

Which of the following statements is true of full-service brokers?

They charge commissions based on the dollar value of the orders their clients place

Which of the following statements is true of discount brokers?

They charge flat fees of a few dollars per trade for simple transactions.

Which of the following is a disadvantage of certificates of deposit?

They offer lower returns than most other types of investments.

_____ typically work with perishable goods such as bread and drive their products to their customers, who are usually smaller grocery stores.

Truck jobbers

a customer perception that a product has a better relationship than its competitors between the cost and the benefits

Value