Mar test 2
13. Stephen needs a new pair of sneakers so he heads to Foot Locker because he know they will have just what he is looking for. On display he finds basketball shoes, running shoes, walking shoes, and casual shoes with brands like Puma, Nike, Adidas, New Balance, Fila and many others. Having been satisfied once before with Nike shoes, Stephen trusts that he will like another pair just as much. Here, sneakers are an example of a _____ and the type of sneaker (basketball shoes, running shoes, etc.) is an example of a _____. A. product class; product form B. product form; product class C. product class; brand D. product line; product class E. product form; product line
a
17. The text describes four basic strategies for a corporation assigning brand names to its products. Which of these strategies corresponds to the family branding concept discussed in class? A. Multiproduct branding B. Private branding C. Mixed branding D. Licensing E. Multibranding
a
3. Tami decides to check out a new clothing retailer in the Oaks Mall called "Fashion World". When she is at the register to buy a few items, the sale associate informs Tami of Fashion World's loyalty program. After a customer's first purchase, they receive a "fashion passport" that is stamped every time they make a purchase over $20 in the future. Once a customer receives 10 stamps, they become a "fashion frequent flyer" and get the benefit of receiving mailings about new store products on a weekly basis. After 20 stamps, the customer becomes a "fashion VIP", where they receive invitations for sneak peaks at the store's new merchandise. Which of the following describe Fashion World's loyalty program strategy? I. interactive marketing II. frequency marketing III. hard benefits IV. database marketing V. soft benefits A. II, V only B. III, IV, V only C. II, III only D. I, III only E. II, III, V only
a
44. Bob's Bicycles is trying to figure out how many salespeople it needs for the upcoming year. Bob has the following information: Bob's Bicycles curre ntly has 20,000 customers Each customer requires two sales calls per month Each sales call takes about 30 minutes Each salesperson has about 2000 hours of selling time available annually Using the Workload Method, how many salespeople does Bob's Bicycles need? A. 120 B. 1,200 C. 7,200 D. 10 E. 600
a
58. Volkswagen has recently been running commercials with Brooke Shields for the Volkswagen Routan. The company is trying to deliver a message about the superiority of their vehicle by using humor and the idea that the recent increase in pregnancies can be attributed to the launch of the Routan. Volkswagen did not consider that many viewers are "multi-tasking" while watching TV, especially during commercials, and may not "get it". In communications theory terms, this could create a problem with: A. Decoding B. Feedback C. Encoding D. Source E. Channel
a
65. Brian is the owner of a large medical plaza in Atlanta, Georgia. His total fixed costs are $20,000 a month and are incurred even if he does not rent out all 100 offices. The variable cost per rented office is $30 a month. The average monthly occupancy rate of office space in Atlanta is 80%. Given this information and assuming that Brian operates at 80% occupancy, what is Brian's breakeven rental price? A. $280.00 B. $230.00 C. $30.00 D. $287.50 E. $250.00
a
72. Which of the following statements about the product life cycle as a pricing constraint is true? A. The newer a product is, the higher the price that can usually be charged B. The later in the product life cycle the product is, the higher the price that can usually be charged C. Prices are unaffected later in the product's life cycle if nostalgia is a factor D. Prices are always higher later in the product's life cycle if the product is a fad E. All of the above are true with respect to the product life cycle as a pricing constraint
a
76. Janice, the owner of Candi's Fine Chocolates, sells her famous Valentine's Day truffle boxes with a 70% markup. She buys all her gourmet chocolates from one manufacturer who charges her $15 per box. How much should Janice sell her truffle boxes for? A. $50.00 B. $45.00 C. $25.50 D. $4.50 E. $10.50
a
77. Home Brew is a company that designs and distributes beer brewing kits. The kits are priced at $120 each. (There is no quantity discount.) The costs of the materials that go into each kit are $45. It costs $5 in labor to assemble a kit. The company has monthly expenses of $1,000 for rent and insurance, $200 for heat and electricity, $500 for advertising in home brewing magazines and $3,500 for the monthly salary of its owner. Home Brew's marginal revenue is A. $120 B. $50 C. $3,500 D. $170 E. $5,200
a
78. The fashion buyer for Neiman Marcus is in Italy to view the new collections and to order for the coming season. In Milan, she negotiates a good price for a quantity of shoes in a range of sizes and styles, FOB factory. This means that A. Neiman Marcus selects the mode of transportation, pays freight charges and is responsible for any damage while the shoes are in transit because title passed to the buyer at the point of loading B. The factory passes the title when the goods are loaded, but will pay all shipping costs C. The factory pays freight to the U.S., Neiman Marcus pays freight within the U.S. D. Neiman Marcus and the factory split freight costs E. The factory selects the mode of transportation, pays freight charges and is responsible for any damage because the seller retains title to the goods until they are delivered to Neiman Marcus
a
79. The prices for all furniture sold at American Furniture Warehouse end in $9, such as $599, $899, etc. American Furniture Warehouse uses A. Odd-even pricing B. Experience curve pricing C. Price lining D. Dynamic pricing E. Bundle pricing
a
2. Travis works in the headquarters of the Callaway Corporation. He wanted to compare how well their clubs were selling in California relative to the national average. Travis calculated his Brand Development Index (BDI) and Category Development Index (CDI) and found that they equaled 63 and 126, respectively. What does this mean in terms of the corporation's marketing plans in California? A. Callaway has a poor outlook in the California market. B. Callaway should research the reasons for its poor performance in California. C. Callaway has great potential for growth in California. D. In California, Callaway clubs are equivalent to half the national average. E. Callaway should invest more in California but monitor it closely.
b
24. Consumer advocates believe the practice of package downsizing by consumer products firms has resulted in: A. Fewer products and less product variability offered due to the corporate restructuring taking place worldwide B. A subtle, yet deceptive practice of taking advantage of consumers' buying habits by offering less product content in the same size or larger package while maintaining or increasing the price C. Lower product prices for consumers because of lower labor, raw material and packaging costs due to the recession and lower inflation in the United States D. Keeping prices from dropping below the psychological barriers consumers have developed for products E. An increase in the amount of packaging used for purely promotional purposes
b
27. Samantha takes a trip to Wal-Mart to buy some Advil because she has a bad headache. She is surprised to see that Wal-Mart offers their own version of a pain reliever, Wal-Vil. What are common characteristics used to describe Wal-Mart's (and other firms') strategy of offering private label brands? A. higher price than national brands, higher quality than national brands, awareness higher than national brands B. lower price than national brands, equivalent quality to national brands, store loyalty C. store loyalty objective, equivalent price to national brands, higher quality than national brands D. lower price than national brands, awareness higher than national brands, equivalent quality to national brands E. store loyalty objective, equivalent price to national brands, lower quality than national brands
b
33. Burger King is attempting to measure the difference between their customers' expectations and experiences by using a 24-hour hot line to receive 4,000 customer calls a day. What is this type of activity called? A. Promotional evaluation B. Gap analysis C. Feedback analysis D. In-house analysis E. Pull strategy
b
38. Payden is a real estate agent in Charlotte, NC. The downturn of the economy has really taken a toll on her business. She had been unable to sell even a single piece of property in the past month. Her husband has had to get a second job because she has earned no income. Payden receives what kind of sales force compensation: A. Salary B. Straight commission C. Sales payment D. Salary plus bonus E. Salary plus bonus
b
4. The concept of internal marketing is based on the notion that a service organization must focus on its __________ before successful programs can be directed at customers. A. Shareholders B. Employees C. Competitors D. Prospects E. Suppliers
b
41. Helga does not wear make-up and never buys cosmetics. However, while on vacation in the United States she purchased lipstick and blush from a Barry Jay Cosmetics saleswoman she met at the hotel pool. The saleswoman first asked Helga if she could apply some free lip balm on Helga to see how she liked it and Helga agreed. As a result, after a few more minutes spent with the saleswoman, Helga ultimately purchased the cosmetics. Which type of sales approach was used by the woman? A. Ingratiation B. Foot-in-the-door C. Adaptive D. Door-in-the-face E. Free Sample and False Compliments
b
45. A(n) __________ contains specific goals assigned to a salesperson, sales team, branch sales office or sales district for a stated time period. A. Income statement B. Sales quota C. Last year/current year sales ratio report D. Sales call report E. Selling expense report
b
46. Young and Rubicam, Inc. developed the "Softer Side of Sears" campaign for Sears to target middle-income women. This firm provided marketing research, media selection, copy development, artwork and production services for Sears. Young and Rubicam is an example of a(n): A. Consulting firm B. Full-service advertising agency C. In-house agency D. Image consultant E. Limited-service advertising agency
b
48. Tide laundry detergent decides to launch a new ad campaign to expand their market share. They demonstrate the cleaning power of Tide by running a side-to-side comparison against a leading competitor, proving that Tide is the better detergent to get out stains. They use two white t-shirts with wine stains, and compare the two after washing them. Amazingly, Tide wins! Foloowiing this campaign, Tide's market share increases. What type of ad task was performed here? A. Trial B. Sell C. Engage D. Remind E. Awareness
b
50. A study conducted at Harvard concluded that a Chipotle burrito has twice as much meat as Moe's. Chipotle created commercials that show the burritos side-by-side. The difference is obvious: Chipotle's burritos are much bigger. What type of appeal is Chipotle utilizing? A. Image B. Comparative C. Humorous D. Fear E. Informational
b
51. __________ is the concept of designing marketing communications programs that coordinate all promotional activities—advertising, personal selling, sales promotion, public relations and direct marketing—to provide a consistent message across all audiences. A. The media mix B. Integrated marketing communications C. The communication chain D. The marketing matrix E. The promotion channel
b
59. Velveeta brand Mac-n-Cheese thinks they could increase sales by directing sales promotions at consumers. They decide to give away free product by (1) having supermarket representatives give out the product in grocery stores and (2) mailing out mini-packages to consumers. This is a tactic to give people the opportunity to try products and is very effective. What type of sales promotion is this? A. Coupon B. Sampling C. Test drive D. Point-of-purchase display E. Premium
b
60. The owners of a small bookstore have an objective of obtaining awareness in the small town where they are located. Which of the following measures could be used to assess the number of different people or households exposed to an advertisement? A. GRPs B. Reach C. CPM D. Frequency E. Mille
b
64. Holly is in the midst of one of her biggest sales presentations of the year. She has targeted the right audience, gathered information and practiced before the presentation so that she can effectively present everything she intends. Holly made a good first impression and she utilized all of her materials in the core of the presentation. She has emphasized all the key customer benefits of her product. What is Holly's next step? A. Pre-Approach B. Close C. Approach D. Follow-Up E. Prospecting
b
68. Ronnie's Harley-Davidson in Dallas, Texas, sells a diverse selection of motorcycles, and his shop stocks 80 motorcycles in total. If Ronnie's fixed cost of running his shop is $120,000 annually, the price of a typical motorcycle is $20,000, and his unit variable cost per motorcycle is $17,500, what is Ronnie's contribution (i.e., gross margin) per motorcycle? A. $200,000 B. $2,500 C. $1,500 D. $80,000 E. $48.00
b
7. Timex has a long history of making watches that can withstand the rugged conditions experienced during a triathlon and other sporting events. During a recent meeting, Timex brand managers decided to launch a new product, the Timex Ironman running shoe. These shoes will be able to withstand the same amount of wear-and-tear as their watches, making it an excellent extension of Timex's well-known name. What type of extension has Timex utilized? A. Line Extension B. Category Extension C. Product Extension D. Equity Extension E. Item Extension
b
81. Most consumers realize the quality of diamonds varies and most believe the higher the price of the diamond the higher its quality. This is an example of price influencing the perception of overall quality and __________ to consumers. A. Acceptable cost B. Value C. Barter potential D. Perceptual investment E. Return on investment
b
19. Daphne just opened up a new bar in downtown. She has years of experience as a bartender and good business instincts since she got her degree at UF. She has been open for two weeks and decides to check her suggestion box that hangs on the wall by the entrance. Looking through the customer comments, she learns that they love how she is so warm and kind with her customers, how she always seeks out personal interactions, and how surprised they were by her random hour-long drink specials--something no other bar has done. Unfortunately, several customers seemed to be disappointed with her lack of selection of liquor brands. What level of service has Daphne overlooked? A. Augmented Service B. Differentiated service C. Core Service D. Main Service E. Parity service
c
20. Lisa, a brand manager at JCPenney, is trying to calculate the Brand Development Index (BDI) of Florida for their new clothing line, American Living. The following information is what she knows: 100 Million Consumers in National Target Market National Category Sales of $600 Million National Brand Sales of $80 Million # Consumers in Florida is 8 Million Florida Category Sales of $60 Million Florida Brand Sales of $6 Million What is the BDI for Florida? A. 100 B. 107 C. 94 D. 125 E. 80
c
22. Newman's Own is a manufacturer that gives all of its profits to charities. The company produces popcorn, salsa, pasta sauce and salad dressings under the Newman's Own brand name, selling them through a wide range of retailers. These product lines are the company's: A. Product forms B. Stock keeping units C. Product mix D. Private label brands E. Product hierarchy
c
25. During the introduction stage of the product life cycle, the place element of the marketing mix is focused on: A. Increasing inventory B. Building storage warehouses and distribution centers C. Gaining distribution outlets D. Guaranteeing there is adequate demand if a skimming pricing strategy is used E. Using an intermodal logistics system
c
26. When the iPod and iTunes website were introduced to the market, consumers had a whole new way of obtaining prerecorded music. Most consumers feel that learning to use iPod/iTunes requires a moderate amount of effort. This innovation in the portable music category corresponds to which of the following levels of innovation? A. Continuous Innovation B. "Me-too" C. Dynamically Continuous D. Discontinuous E. Continuous Creation
c
36. Tiffany & Co. places an advertisement in Vogue magazine. It features their signature Tiffany blue background, several pieces of Tiffany jewelry, and the slogan "Some Style is Legendary". Communications theory says that Vogue acts as the: A. Marketer B. Message C. Channel D. Audience E. Source
c
37. Coach Billy Donovan has been asked to endorse a new burger from Checkers called "The Chomp Burger". Checkers is looking forward to signing a contract with Coach Donovan because of the great support he has from the Gator Nation. Although Coach Donovan may not know a lot about how to make a good burger and has never actually eaten a Chomp Burger, he will still have an impact on Gator fans. What source factor makes Coach Donovan an effective endorser in this instance? A. Trustworthiness B. Expertise C. Attractiveness D. Celebrity E. Credibility
c
40. Mariah works for Break-a-Leg Insurance Co. and she is contacting new prospects. While making business-to-business phone calls, she speaks with the secretary at a local ice cream shop about their purchasing property insurance from Break-a-Leg. After a thorough and time-consuming discussion, the secretary informs Mariah that she is not in the position to purchase the insurance for the firm and that Mariah will need to talk with the owner. Mariah made the mistake of not doing which of the following when qualifying her prospect? A. Verifying the eligibility of her prospect B. Finding a valuable lead from her prospect C. Determining the purchase authority of her prospect D. Establish the needs and wants of her prospect E. Ascertain her prospect's ability to purchase
c
42. Jillian is in charge of marketing for the M&M brand. Management has discussed some of their objectives for the upcoming quarter, one of which is to increase short run sales. Which element of the promotional mix should Alex employ to accomplish this goal? A. Public relations B. Direct marketing C. Sales promotion D. Personal selling E. Advertising
c
62. Sally is reading through a magazine and stumbles upon a Fisher-Price advertisement for children regarding the latest and coolest toy, a writeable and erasable children's easel. Sally is convinced that the small child drawing a picture on the easel is spelling out a curse word. She shows the ad to many of her friends but they all agree that they don't see the word. What type of subliminal stimulus is this ad portraying? A. Truly subliminal stimulus B. Embedded stimulus C. Ambiguous stimulus D. Hierarchy of Sublimality E. Dual mediation stimulus
c
63. Frank is the owner of Williams & Sons Carpet & Tile, a small retailer in Gainesville, FL. He feels that in these hard economic times, his company is not getting enough exposure; sales have been decreasing. To combat this problem, he decides to advertise on TV. Which type of television advertising would be best suited for Frank? A. Network B. Analog C. Spot D. Syndication E. Cable
c
70. If the CEO of SONY were to say, "We want to control 40 percent of the MP3 player market within the next five years", he would have set a __________ pricing objective. A. Unit volume B. Market share C. Sales D. Social responsibility E. Profit
c
71. The price for Nintendo's Wii video game console is likely at or below its cost, but the price of its video games is set high enough to cover the loss and deliver a handsome profit for the Wii brand. This example illustrates Nintendo's use of A. Discretionary pricing B. Customary pricing C. Product-line pricing D. Price lining E. Line item pricing
c
8. A product is a good, service or idea consisting of a __________ that satisfies consumers and is received in exchange for money or some other unit of value. A. Tangible item B. Warranty from the seller C. Bundle of tangible and intangible attributes D. Bundle of intangible attributes E. Bundle of tangible attributes
c
80. Shoshana has recently opened her own gourmet ice cream shop in Gainesville, Shoshana Screams for Ice Cream. She is not sure what her price should be for her ice cream cones. Her annual fixed cost is $50,000. Her unit variable cost is $1.00 per ice cream cone. She plans on selling an average of 400 cones a week throughout the year. She has invested $100,000 in her business and wants to earn an ROI of 10% the first year. What should Shoshana's target ROI price be for her gourmet cones? A. $3.40 B. $1.48 C. $3.88 D. $8.21 E. $1.51
c
12. Several years ago Kodak considered but rejected the idea of introducing an economy level brand of film called "Funtime Film". Kodak feared that if this lower-priced brand became popular among consumers, it would steal market share from their original, more expensive brand of film. In marketing terms, Kodak was concerned about: A. Brand loyalty B. Commercialization C. Category extension failure D. Cannibalization E. Line extension failure
d
14. The Sun-Maid Raisin girl, shown on every package, was inspired by a real person - Lorraine Collette Petersen - who in 1915 lived in the Fresno, California, area where the company began its operations. What basic branding term does the Sun-Maid Raisin girl represent? A. brand equity B. brand name C. brand mark D. trade character E. brand association
d
16. Items used to assist in the production of other goods and services are called A. Convenience goods B. Production goods C. Specialty goods D. Support goods E. Non-durable goods
d
18. A new beverage by Snapple is currently being sold only in the Western United States. Over the next year, Snapple plans to introduce the beverage sequentially into other parts of the U.S., moving from west to east. This is called a: A. Limited rollout B. Phased commercialization C. Delayed launch D. Regional rollout E. Market-product expansion
d
28. Leonardo's Pizza wants to use the new product planning process to launch a new pizza at their restaurant. They used an open source website to collect ideas from their customers, but were forced to discard many of them because they didn't have the resources to make the products. Of the ones that were left, they showed sketches and descriptions of the pizzas to a sample of customers to see if the new items would attract consumer interest. Sketches and descriptions of the possible pizzas represent what part of the new product planning process? A. Prototype Development B. Market Testing C. Commercialization D. Concept Testing E. Feasibility Screening
d
29. In terms of price, which of the following types of goods would most likely be relatively inexpensive? A. Shopping goods B. Specialty goods C. Unsought goods D. Convenience goods E. Consumer goods
d
31. Delightful Foods, Inc. and The Oven Company have both decided to launch their innovative ovens this year. Delightful Foods, Inc., a technologically driven company, will be introducing "The Latent Cooker," which requires only that a person place their uncooked food in the oven. Using high-tech sensors, it will automatically detect the type of food that is inside, set itself to a particular temperature, and cook the food for the required time. When finished, the oven shuts itself off and the oven door will open automatically. However, it requires extensive setup where one has to input all of his/her personal cooking preferences into a digital memory. On the other hand, with The Oven Company's new product, "The Simple Cooker", a person has to input into the oven's digital computer what he/she is cooking each time, but the oven then does the rest. Although not as technologically advanced, it is easier to use for the common consumer. Therefore, the "Latent Cooker" will most likely diffuse _____ than the "Simple Cooker" due to its _____. A. faster, greater communicability B. faster, lower risk C. slower, greater relative advantage D. slower, greater complexity E. faster, greater compatibility
d
32. As described in class, Disney has a unique way of monitoring service recovery. If, for example, on a hot day there is a long line at the Splash Mountain water ride and guests are getting annoyed, Disney "cast members" would be responsible for being empathic with the guests and try to make their waiting time more enjoyable. This service recovery example would be appropriate for what levels of problem severity and company responsibility, respectively? A. High, Medium B. High, High C. Low, High D. Low, Low E. High, Low
d
35. With __________, buyers and sellers combine their expertise and resources to create customized solutions; commit to joint planning; and share customer, competitive and company information for their mutual benefit and ultimately the customer's benefit. A. Seminar selling B. Cross-functional selling C. Channel selling D. Partnership selling E. Customized ordering
d
47. Last Christmas, Office Max created a website called elfyourself.com in which you uploaded pictures onto the bodies of elves that danced around the screen. After you created an elf you could then send it to friends as a holiday greeting. It also had a link so they could "elf" themselves and send it on to others. This is an example of: A. Publicity B. A Pyramid Scheme C. Public Relations D. Viral Marketing E. Product Placement
d
53. Kelly is in the grocery store. As she is walking down the toiletries aisle, she remembers that she needs shaving cream. To her surprise, this week Skintimate is offering a free shower cap with the purchase of a 9.5 oz. can of shaving cream. Seeing this as a great deal, Kelly grabs two cans of shaving cream. The free shower cap represents which type of sales promotion? A. Sampling B. Sweepstakes C. Rebate D. Premium E. Co-Op Advertising
d
55. Which of the following is NOT an example of direct marketing? A. PetsMart sends Sarah a flyer about their new Pets Hotel program. B. In the middle of dinner Jackie receives a call from a Honda salesperson wanting to discuss the 2009 Accord. C. Andrea opens her mailbox and finds a 20% off coupon to Bed Bath & Beyond. D. While flipping through the latest edition of InStyle magazine, Jen sees an ad for Louis Vuitton. E. Gloria receives frequent emails about the latest sales and promotions from jcrew.com.
d
57. Which of these promotional elements has the inherent weakness of extremely high cost per exposure? A. Publicity B. Advertising C. Direct marketing D. Personal selling E. Sales promotion
d
66. Market Street Pub sells Jack Daniel's Tennessee Sour Mash Whiskey for an average of $125 a bottle. Market Street Pub uses a markup of 65%, and buys the Jack Daniel's Whiskey from an Ocala distributor. The distributor takes a 30% markup. What price does Jack Daniel's Distillery charge the distributor? A. 33.65 B. $58.28 C. $28.44 D. $30.63 E. $53.03
d
69. MaryGrace loves shopping in NYC. One of her favorite things to do in the Big Apple is to go to ChinaTown and buy knockoff handbags, jewelry, and sunglasses. There she really gets to use her bargaining skills. She is a pro at involving the salesperson and reaching a price she is comfortable with. She never pays the initial asking price. MaryGrace is involved in what kind of pricing? A. communicative pricing B. administered pricing C. contribution pricing D. participative pricing E. competition pricing
d
74. There are a lot of skateboards on the market, but the BMW Streetcarver is the only one with stabilizers and wheel design based on BMW's automobile. This technology gives the BMW Streetcarver better control at high speeds and around sharp turns than any other brand. The skateboard is priced at $495, which leaves many consumers (especially young males) who might want to buy the Streetcarver unable to afford it. This inability to pay for the high-priced BMW-made skateboard shows the effect of __________ on sales. A. The consumer index B. Macroeconomic environmental factors C. Exchange parameters D. Demand factors E. Supply factors
d
75. Jason is a long time owner of Porsche vehicles. Although these vehicles are very expensive, Jason believes that the value he gets from owning such top of the line cars far outweighs their cost. Given the current economic conditions, Porsche, in an attempt to sell more cars, lowers its price on each vehicle. Now, not only can the most affluent individuals own a Porsche, but middle income families can, too. Jason is outraged by this and feels as if Porsche vehicles no longer have the same value to him as they once did. In substantially lowering their price enough to decrease the value of their cars in the minds of their loyal consumers, Porsche failed to consider which demand-based pricing approach? A. penetration pricing B. demand-minus pricing C. skimming pricing D. prestige pricing E. price lining
d
1. Sarah just bought a new Louis Bitton jacket and loves to wear it everywhere she goes. She knows that the Louis Bitton brand is generally viewed as a luxury brand that produces very well-made garments. Unbeknownst to her, there has recently been a recall on Louis Bitton jackets due to their material unraveling. Although mishaps such as this have occurred with the Louis Bitton jackets, which component of brand equity relates to why most consumers still believe that Louis Bitton is a high class brand? A. association B. loyalty C. attitude D. awareness E. perceived quality
e
11. A situation where a service provider is available but there is no demand is called A. Capacity inventory B. Capacity management C. Off-peak pricing D. Static demand E. Idle production capacity
e
15. A recent trend in service is the addition of experiential elements to the service. To compete with other service providers, services are creating multisensory experiences for their consumers. Hard Rock Café is a part of the trend because it is not simply a restaurant, but an entertainment facility. Experts believe this trend is part of a new economic era driven by A. Entertainment marketing B. A service-plus economy C. Techno-entertainment D. Internal marketing E. An experience economy
e
21. Meredith and Jenni both went to Savvy Salon to get their hair cut and colored. Meredith came out very satisfied with her new look and decided that she would continue going to Savvy Salon. Jenni, on the other hand, was very upset with her haircut and told all of her friends how terrible the salon was. Which characteristic of services would explain the differences in opinions after visiting the same hair salon? A. Inventory B. Inseparability C. Intangibility D. Industrialization E. Inconsistency
e
34. Katie loves to shop online. Usually, she first searches the Internet to see which stores are introducing new apparel lines; then she proceeds with purchasing her favorite items. Since Katie is a frequent online shopper, she is happy to find that a lot of Google's "sponsored link" advertisements point her directly to her favorite stores' websites. Google's ability to anticipate Katie's preferences and expose her to the most relevant ads is an example of: A. customization B. ingratiation C. segmentation D. adaptive selling E. behavioral targeting
e
39. Jennalee works in the promotions department at Macy's and wants to use a "two-step flow" of communication to reach her target market segment, teenaged girls. To do so, which of the following tactics should she use? A. Mail "20% off" coupons to Macy's all of teenaged girl customers B. Do a cross promotion with a popular brand among teenaged girls C. Host a fashion show for teenaged girls D. Increase online advertising E. Email teenaged girls' opinion leaders information about Macy's offerings
e
43. In an effort to reduce buyer's remorse for its customers that have already bought its cars, BMW periodically sends out pamphlets that provide the customers with information about the safety of its cars. What advertising task are these pamphlets performing for BMW? A. Sell B. Direct Mail C. Persuade D. Remind E. Reinforce
e
49. According to the text, if a company chooses to employ its own salesforce, the three organizational sales force structures available are based on A. Dollar volume, geography and customer B. Dollar volume, market size and product C. Geography, market size and product D. Market size, product and customer E. Geography, customer and product
e
56. Special events, lobbying efforts and annual reports for communication, are tools used by a(n) __________ department. A. Direct marketing B. Advertising C. Sales promotion D. Personal selling E. Public relations
e
6. Which of the following best exhibits the service quality dimension of empathy? A. A cashier who works more quickly (but still accurately) when there is a line at the register B. A cashier who clearly states the change due and counts it out as s/he gives it to the customer C. A cashier who is always at the register when a customer approaches D. A cashier who, inspired by Robin Hood, steals a little money from the register for the homeless man outside the store. E. A cashier who compliments every customer on something and makes conversation with each one
e
61. Andy finally gets to make his first sales call. Andy has a qualified prospect and wants to make sure everything goes right, so he surfs the Internet, gathering a lot of valuable information about the prospective client. He then decides that the purpose of his call is going to be securing a sale. Andy writes down the key points he wants to go over during the call and practices in front of a mirror. When Andy finally gets to call on his prospect, he shakes his hand firmly. They then discuss the Gators' most recent blowout victory over the UGA Dawgs. Finally, Andy launches into his sales pitch. What part of the adaptive selling process has Andy forgotten? A. Building Rapport B. Gathering Information C. Making a Good First Impression D. Qualifying the Prospect E. Asking Questions and Listening
e
67. Gamer Geoff decides that it's finally time to buy a new video game console. Atari just isn't cutting it anymore. He knows that Microsoft's Xbox 360, Sony's Playstation 3, and Nintendo's Wii have all been on the market for some time, so he expects to pay around $150 for one of the consoles. He drives to Wal-Mart and checks out the prices. He can't believe it! The cheapest console he can buy is still $200! Geoff then reads a sign above the display case that says, "These consoles are a $300 value, yours for only $200." But that doesn't make Geoff feel any better. Which of the following terms describes the price Geoff was expecting to pay before he went to Wal-Mart? A. Sticker Shock B. External Reference Price C. Administered Price D. Participative Price E. Internal Reference Price
e
73. Loss-leader pricing is A. A method of pricing based on a product's tradition, standardized channel of distribution or other competitive factors B. Pricing based on intensity of customer demand C. Setting the same price for similar customers who buy the same product and quantities under the same conditions D. A pricing method where the price the seller quotes includes all transportation costs E. Deliberately selling a product below its customary price to attract attention to it
e
9. Jennifer is seriously in love with her MAC lip gloss. She can't go anywhere without it and feels really anxious when she knows it is almost gone. Jennifer depends on MAC to help her make it through the toughest of situations and knows she can really count on MAC to be there for her. Which of the following terms would best describe Jennifer's connection to her MAC lip gloss? A. Product dependence B. Brand loyalty C. Brand community D. Consumption reliance E. Consumer-brand relationship
e
