Entrepreneurship Unit 4 Study Guide

When a business emphasizes the environmental friendliness of a product, it is positioning the product by focusing on which factor? A. Price B. Competition C. Attributes D. Reliability

C

Which is a characteristic of a pure services? A. Uses plain, inexpensive packaging B. Most often uses product bundling strategies C. Does not include a tangible product D. Does not include product guarantees

C

6. An effective mission statement should effectively reflect which component of the business? A. Touch points B. Specific goals C. Ethics policies D. Core values

D

Certain product characteristics often require a business to select intermediaries that have which specific components? A. Demands B. Needs C. Limitations D. Capabilities

D

Marketers often condense USPs into short slogans due to which situation? A. A successful USP is always very short. B. All work team members must memorize them. C. There cannot be product differentiation through any other means. D. Customers tend to remember just one thing from an advertisement.

D

The product mix that a business decides to offer customers help to project which factor about the business? A. Display themes B. Sales goals C. Service style D. Unique image

D

When considering a new product for a company, Tom decided to introduce a product in only three states for a six-month period. Which action did he perform? A. Product development B. Feasibility analysis C. Commercialization D. Test marketing

D

Which product would likely use an exclusive distribution pattern? A. A silk necktie B. A gallon of milk C. A home-decoration magazine D. A large piece of farm machinery

D

A business is extending its operating hours to accommodate its customers. Which is a business cost associated with this service? A. Higher payroll expenses B. Increased sales volume C. Higher profit margins D. Increased customer satisfaction

A

A channel task should be performed by the channel member who has which attribute? A. Performs its best B. Has the least money C. Has the most money D. Wants to perform it

A

Can any brand name be selected and used by a business? A. No, the name must be legally available for use B. Yes, brand names cannot be owned by a business. C. Yes, a business can use any name it wants to use. D. No, the name must be registered before it can be used.

A

During the distribution channel selection process, a producer should consider intermediary services and which other factors? A. Policies B. Theories C. Origins D. Scales

A

If the XOB Company wants to emphasize the advantages of its product in comparison to similar products in the marketplace, it should position its product in relation to which factors? A. Competitors B. Consumers C. Markets D. Applications

A

Indirect channels of distribution are usually of which attribute than direct channels? A. Longer B. Shorter C. Cheaper D. More efficient

A

Marketers determine distribution intensity so they can achieve which outcome? A. Ideal market exposure B. Complete market coverage C. Perfect market balance D. Total market saturation

A

Sandy opened a small business that carries a very wide variety of products of varying qualities at many different prices. Sandy is losing customers who are disappointed with the selection, quality, and quantity of items. What is lacking in Sandy's product mix? A. Consistency B. Breadth C. Depth D. Width

A

The Barker Company is determining which channel of distribution to use by considering the number of potential customers in various geographic regions. The company is focusing on which components? A. Market factors B. Branding issues C. Product benefits D. Capabilities of employees

A

The first decision that marketers must make when managing channels is performing which action? A. Setting channel objectives B. Determining distribution patterns C. Selecting channel members D. Determining channel responsibilities

A

The plan to increase production by 10% over a two-year period is an example of which management activity? A. Developing objectives B. Assigning job tasks C. Controlling expenses D. Directing employees

A

Which is an example of a company using brand extension? A. Coca-Cola adding Caffeine-Free Diet Coke B. Winn-Dixie installing an ATM machine in its stores C. Tyson packaging smaller portions of chicken for the elderly D. Kroger adding Blue Bell ice cream to its frozen foods section

A

One way a national business chain can make sure that customers will remember its name is to develop what kind of brand name? A. One that is long and complicated. B. One that is easy to read and pronounce. C. One that is similar to those used by competitors. D. One that is associated with a specific period of time.

B

One way for a business to expand its product mix is by performing which action? A. Monitoring the product life cycles B. Acquiring another company C. Increasing sales quotas D. Analyzing product width decisions

B

When Kate selects a name and obtains a web address for her new catering business, she needs to make sure that the name of the business has which characteristic? A. Unique and available B. Catchy and copyrighted C. Specific and patented D. Abstract and formal

B

When a business emphasizes the degree of excellence for a product, it is positioning the product by which factors? A. Competition B. Consumers C. Markets D. Applications

B

When a business expands its product mix, its goal is to accomplish which goal? A. Appeal to fewer market segments with fewer product options B. Appeal to more market segments with a wider variety of options C. Appeal to existing market segments with a wider variety of options D. Appeal to select market segments using less promotion

B

When a business offers a service that saves time for a customer, which is a benefit to the customer? A. Price B. Convenience C. Consistency D. Quantity

B

When a business presents a service to the marketplace by emphasizing its economic value, the business is positioning the product on the basis of which factors? A. Benefits B. Price C. Features D. Competitors

B

Which factor helps a business to determine its product mix? A. Merchandise breadth and depth B. Size and target market C. Staple goods and regular goods D. Seasonal goods and convenience goods

B

Which is the most effective mission statement? A. 'We own the most well-known, popular amusement parks and resort hotels in the world.' B. 'We create happiness by providing the finest entertainment for people of all ages, everywhere.' C. 'We sell toys, clothing, jewelry, housewares, books, movies, and much, much more!' D. 'We want to become a $100 billion corporation by the end of the twenty-first century.'

B

Which location would be most appropriate for a small business selling convenience products such as groceries that customers purchase on a regular basis? A. Downtown shopping area B. Neighborhood shopping area C. Regional shopping center D. Super-regional shopping center

B

Due to lackluster sales, the Elba Corporation has decided to eliminate several of its product lines. Elba's executives hope that by focusing on fewer product lines, they will see more profit. The Elba Corporation should plan to adjust which aspect of its product mix? A. Depth B. Length C. Width D. Height

C

If a company cannot fulfill its USP, what will most likely happen? A. It will go bankrupt. B. It will spend more money. C. It will lose credibility. D. It will gain business.

C

Product or service management is a marketing function that involves obtaining, developing, maintaining, and improving a product or service mix in response to which possibility? A. Government oversight B. Competitors only C. Market opportunities D. CEO wishes

C

To appeal to a target market with slightly different needs, a business added a group of related items to its product mix. What is this group of items? A. Service expansion B. Product replacement C. Line extension D. Product enhancement

C

To guard an USP from its competitors, which action should be performed? A. Repeating it as much as possible B. Printing it in a foreign language C. Making it difficult to understand D. Avoid letting it become public

A

When considering the services to offer customers, a business should determine if a specific service would accomplish which goal? A. Enhance customer satisfaction levels B. Increase the number of products possibly returned by customers C. Offend the existing competitors of the business D. Stabilize variable interest rates

A

Which characteristic is descriptive of a meaningful company objective? A. Measurable B. Vague C. General D. Unlimited

A

Which is a benefit to businesses of offering customized services to their customers? A. Businesses charge higher prices for customized services, which can lead to higher profit margins. B. Businesses save time by offering customized services to their customers. C. Customized services are also considered to be standardized services. D. By customizing their services, businesses deliver more consistent products to their customers.

A

Which is a reason why managers develop company objectives? A. To identify business purposes B. To forecast sales potential C. To solve operating problems D. To communicate with employees

A

A benefit of channels of distribution is which feature? A. Producers must spend more money. B. Businesses can easily obtain products from all over the world. C. Retailers must spend more money. D. Businesses spend more time looking for products wanted.

B

A hairstylist cutting the hair of a client is providing which example of a distribution channel? A. Producer to agent to consumer B. Producer to consumer C. Producer to retailer to consumer D. Producer to wholesaler to consumer

B

Managers use broad objectives that they develop for a business as the basis for setting which measurements? A. Benefit levels B. Performance targets C. Salary ranges D. Recruitment quotas

B

Which are product factors that a business considers when selecting a channel of distribution? A. Unit value, order size, and complexity B. Complexity, perishability, and unit value C. Perishability, location, and order size D. Location, unit value, and order size

B

A large car manufacturer purchases materials that it will use to create parts for automobiles. What is the car manufacturer? A. A retailer B. A wholesaler C. An industrial user D. An agent

C

Before identifying the USP of a company, which situation should happen first? A. Determine if one is really needed to be successful B. Determine if the advertising costs are affordable C. Determine if one already exist D. Determine if there are many successful ones that can copied

C

Channel members should share an equal commitment to which component of the product? A. Name B. Price C. Quality D. Packaging

C

Effective product or service management help businesses to perform which action? A. To barter B. To prospect C. To compete D. To recruit

C