Marketing - Exam 2

Which of the following type of online advertising intermediaries decide the placement and pricing of online display ads by using the supply and demand of the ad landscape in a real-time auction process? A) Ad Exchangers B) Content Publishers C) Data Providers D) Retargeters

A) Ad Exchangers

Ben & Jerry's Ice Cream buys keywords for a search marketing campaign such as "Ben & Jerry's Chunky Monkey" and "Ben & Jerry's Cherry Garcia." What type of keywords is the firm buying? A) Branded Keywords B) Negative Keywords C) Generic Keywords D) Organic Keywords

A) Branded Keywords

During which stage of the process does the marketer lead the preliminary analysis and calculations for demand, cost, sales, and profitability? A) Developing a business analysis B) Exploring opportunities C) Establishing the new-product strategy D) Screening and concept testing E) The building of a prototype

A) Developing a business analysis

______ within the marketing channel can provide efficiencies and economies of scale as channel members take on tasks that best utilize their expertise or strategic relationships. A) Specialization or Division of labor B) Overcoming temporal discrepancies C) Addressing assortment issues D) Overcoming quantity discrepancies E) Decreasing the distance between producers and customers

A) Specialization or Division of labor

Profits typically reach their peak during the growth stage of the product life cycle. A) TRUE B) FALSE

A) TRUE

Owned media encompasses various types of media such as: A) all of the responses are correct B) company-owned social media channels C) employee uniforms and truck signage D) product catalogs E) company-owned retail stores

A) all of the responses are correct

Google uses a quality score as one of the factors to determine the rank or position of an ad on a search page. The quality score is primarily determined by the following factors EXCEPT: A) bid rate of the advertiser B) potential click-through-rate of an ad C) its relevance to consumers D) quality of the advertiser's landing page

A) bid rate of the advertiser

Burger King's restaurants are independently owned, yet their managers adhere strictly to the policies laid out by the brand owner. This channel structure is called a(n): A) franchised distribution network. B) integrated distribution network. C) arm's length distribution network. D) multichannel distribution network. E) monobrand distribution network.

A) franchised distribution network.

Soft power helps to build a constructive relationship among distribution channel members. One source of soft power is trust, which is: A) having confidence in another party's integrity and reliability through their history of dealing with each other. B) a declaration of a channel steward's future intention to maintain or enhance relationships with channel partners. C) a supplier not requiring the use of contracts in its arrangements with distributors. D) a pledge of continuity and a long-term view of performing value-adding activities in the channel. E) willingness to make investments to achieve channel goals.

A) having confidence in another party's integrity and reliability through their history of dealing with each other.

The basketball season is about to start, and the owners of the Red Lions team want to advertise that fact in their home metropolitan area. They plan to run a full-page newspaper ad in Metro News. The readership (reach) of Metro News is 850,000 and the cost of the ad is $82,000. What is the cost per thousand (CPM) of this campaign? A) $30.00 B) $96.47 C) $0.50 D) $56.22

B) $96.47

_______ product goes beyond the expected product to include unexpected value-enhancing elements. A) Potential B) Augmented C) Generic D) Expected

B) Augmented

Which of the following accurately matches the stages of the hierarchy of effects model to the intended outcomes of marketing communications? A) Liking and Purchase = do B) Awareness and Knowledge = think C) Conviction and Purchase = feel D) Knowledge and Satisfaction = believe

B) Awareness and Knowledge = think

Which of the following is an analysis that the channel steward does NOT need to perform when mapping a channel value chain? A) Customer Wants and Needs Analysis B) Breakeven Analysis C) Competitive Postures and Actions Analysis D) Channel Capabilities and Cost Analysis E) Channel Power and Influence Analysis

B) Breakeven Analysis

Services tend to exhibit more search qualities than do tangible goods. A) TRUE B) FALSE

B) FALSE

________ is a form of distribution aimed at having a product available in every outlet where target customers might want to buy it. A) Aggregated B) Intensive C) Exclusive D) Cumulative E) Multiple

B) Intensive

Good storytelling in advertising contains four classic elements. Which of the following elements is NOT one of them? A) Message B) Media C) Plot D) Characters E) Conflict

B) Media

Which of the following services would be most likely to exhibit strong credence qualities? A) Consulting services for insurance coverage B) Tax return preparation C) The repair of a leaky drain D) A math tutorial service

B) Tax return preparation

In determining the effectiveness of sales promotions, which of the following metrics is NOT used by marketers? A) Redemption rates of the promotion and cost per redemption B) Website bounce rate C) In-store customer traffic during promotion period vs. normal times D) Consumer interactions (e.g., sweepstakes entries or samples distributed) E) Incremental sales lift during promotion period vs. normal times

B) Website bounce rate

Saucony is considering adding a new item to its Hurricane line of running shoes to increase its product line depth. All options would be acceptable EXCEPT: A) adding a higher-priced shoe with a higher performance level B) adding a new private-label product C) inserting an item of a price and performance level that fills a gap between two existing items D) adding a lower-priced item that is still capable of satisfying the needs of some customers

B) adding a new private-label product

When Castrol Syntec, a premium motor oil, sought a new way to reach its young, car-passionate audience, the brand found its mark with video games. In its first-ever attempt at in-game advertising, Castrol Syntec found a way to show consumers (in a virtual world) the brand's power and performance. In the communication process, the game served as a(n) _____ for transmitting the message. A) receiver B) channel C) decoder D) sender E) encoder

B) channel

For claims about the product, positioning statements should: A) avoid any reference to points of similarity (parity) with competitor brands B) focus on the single, most important value claim C) cite all of the benefits that the brand offers D) focus only on the points of differentiation between this brand and others

B) focus on the single, most important value claim

When shopping for a smartphone, a consumer first compares prices to see which brand offers the lowest price. After also inspecting the product features of the various phones, however, she decides that the lowest-priced brand is not her choice. Instead, she selects the brand with the best features. This outcome is the result of the chosen brand's unique value claim that is known as: A) social value B) functional value C) experiential value D) economic value

B) functional value

The two major categories of communications are: A) direct and indirect. B) mass and interpersonal. C) informative and persuasive. D) verbal and nonverbal. E) long term and short term.

B) mass and interpersonal.

Which of the following statements is INCORRECT regarding concepts associated with the value chain? A) A retailer performs channel functions such as displaying the merchandise, promoting the merchandise in its stores, and providing after-sales support where needed. B) The piece of the value chain that looks forward toward the end customer is referred to as the "marketing channel." C) Distribution channel concepts are relevant to B2C transactions, not B2B transactions. D) A distributor performs channel functions such as receiving bulk packages and breaking them down into smaller order sizes, putting together assortments, and shipping to the retailer(s). E) The piece of the value chain that looks back toward the sourcing of raw materials is referred to as the "supplier network."

C) Distribution channel concepts are relevant to B2C transactions, not B2B transactions.

John Deere & Co. is deciding whether to use a feature-based claim or a benefit-based claim for its new JD 750 tractor's positioning. Which of the following is a benefit-based claim? A) The only 102-horsepower tractor in the market B) Drive tracks' design means they are capable of being driven independently of each other C) Improved maneuverability and flexibility D) A fully automatic dual-path hydrostatic drive E) The first hydrostatic transmission

C) Improved maneuverability and flexibility

Which of the following is NOT one of the four unique elements to services? A) Intangibility B) Heterogeneity C) Incoherency D) Inseparability E) Perishability

C) Incoherency

When competing against other energy drinks like Red Bull and Monster, 5-Hour Energy is thinking through how to get its brand to occupy a clear, distinctive, and desirable place in its target customers' minds. What problem is it trying to solve? A) Segmentation B) Promotion C) Positioning D) Targeting E) Competition

C) Positioning

When Bose provides free headphones to Charles Barkley and other famous members of the NBA media, this is an example of A) Advertising B) Sales promotion C) Public relations D) Direct selling E) Event marketing and sponsorship

C) Public relations

Which of the following choices is NOT a consideration for the depth of a product line? A) Potential for cannibalization B) The effect on overall brand equity C) The trialability of the product line. D) Customer heterogeneity and requirements specification

C) The trialability of the product line.

Which function below is the LEAST likely to be one of a channel intermediary's functions? A) Providing after-sales support where needed B) Setting up product displays in stores C) Granting credit to customers D) Developing the brand's national TV advertising campaign E) Breaking bulk packs into smaller packs

D) Developing the brand's national TV advertising campaign

Which of the following is not a channel option between a supplier (also known as the producer, assembler, or manufacturer/maker) and its customers when the supplier wants to leverage an intermediary to create an indirect channel? A) Going directly to a retailer B) Going through a stocking distributor (wholesaler), which connects to a retailer C) Going through an agent such as a broker (jobber), who then serves the retailer D) Going directly to the end customer through its own sales and distribution system E) All of these are channel options for a supplier that wants to leverage an intermediary to create an indirect channel

D) Going directly to the end customer through its own sales and distribution system

In deciding between an integrated versus an arm's length approach to channel structure, trade-off considerations are important. Which trade-off below is NOT part of these considerations? A) Lower channel coverage versus higher channel coverage B) High control versus low control C) Higher costs versus lower cost D) High competition versus low competition

D) High competition versus low competition

Marketers use copy testing to assess the potential effectiveness of their marketing communications message. Which of the following measures comprises copy testing? A) Percentage of the target market exposed to the advertisement B) The number of times a person in the target market is exposed to the advertisement C) Cost per thousand impressions D) Pre- and post-viewing purchase intent

D) Pre- and post-viewing purchase intent

Horizontal channel conflict can arise for a variety of reasons. An example would be a toy manufacturer selling its toys through toy stores, discount stores, department stores, and even drugstores. Which factor cited below contributes to horizontal channel conflict? A) Vertical marketing systems B) Special bundles offered only to toy specialty stores C) Delayed availability of the product in competing channels D) Undifferentiated products and variable prices in the various channels

D) Undifferentiated products and variable prices in the various channels

A channel steward uses power to influence, motivate, and manage channel partners. An example of a channel steward's use of hard power is a: A) franchisor suing a franchisee for breaking their contract. B) supplier demanding that retailers use only the manufacturer's suggested retail price. C) manufacturer threatening to eliminate retailers who do not display its product. D) brand's unique product design.

D) brand's unique product design.

The first stage of the new-product development process is: A) exploring opportunities B) screening and concept testing C) developing a business analysis D) establishing the new-product strategy E) the building of a prototype

D) establishing the new-product strategy

What type of marketing strategy best exemplifies a straightforward mapping of a product to a customer's willingness to pay? A) perceived value B) sustainable differentiation C) segmentation by income D) good-better-best vertical differentiation

D) good-better-best vertical differentiation

There are a number of detergents marketed under the Tide brand, including detergents with and without fabric softener, with and without bleach, with various pleasing smells, and fragrance-free formulations. These detergents are an example of Tide's: A) product mix. B) product equity. C) marketing mix. D) product line. E) mix consistency.

D) product line.

One role of marketing communications in the problem recognition stage of the purchase decision-making process is to: A) help distribution partners identify product availability problems. B) educate consumers about features and benefits.. C) alert the company about problems in conveying a message to target customers. D) remind consumers of existing needs. E) resolve consumer problems with customer service outreach.

D) remind consumers of existing needs.

Which of the following is not one of the stages of the product lifecycle? A) Growth stage B) Introductory stage C) Maturity stage D) Decline stage E) New product strategy stage

E) New product strategy stage

The makers of Red Bull Energy Drink want to generate earned media and create associations between the brand and popular culture. Which of the following types of media vehicle may be particularly useful in this strategy? A) Advertising in the prime-time television show The Voice B) Student brand ambassadors C) Fifty-cent coupons distributed via direct mail D) Giving away free samples of Red Bull E) Sponsorship of the Cliff Diving World Series

E) Sponsorship of the Cliff Diving World Series

The intentional efforts of a company to design, manage, and evolve its channel strategy in light of changes that arise in the competitive and customer environments is referred to as: A) channel enhancement B) channel distribution C) channel retailing D) channel mastering E) channel stewardship

E) channel stewardship

One configuration of a marketing channel entails producers selling to consumers without any intermediaries in the channel. This is called a(n): A) indirect channel. B) limited distribution system. C) alternative channel. D) reciprocal channel. E) direct channel.

E) direct channel.

All of the following are product characteristics influencing the rate of adoption EXCEPT: A) compatibility. B) relative advantage. C) complexity. D) observability. E) distribution.

E) distribution (C-TACO)

In the adopter categories, the final 16 percent to adopt are similar to innovators in that they do not rely on the norms of the group but are independent because they are bound to tradition. They tend to have the lowest socioeconomic status, are suspicious of new products, and are alienated from a rapidly advancing society. They are called: A) decliners. B) late majority. C) luddites. D) generics. E) laggards.

E) laggards.