Marketing Final Exam Multiple Choice Questions

Which of the following is the best example of puffery "You have tried the rest, now try the best "take two and call us in the morning" "All natural ingredients" "Northwestern, the quiet company"

"You have tried the rest, now try the best"

Many Hollywood movie stars were among the first to buy electric and hybrid vehicles. These stars often became ____________ , influencing other consumers' behavior. role models evoked images aspiration reference groups cultural icons

Aspiration reference groups

Walmart's strong supplier relations and efficient supply chain have helped the firm to achieve: customer excellence locational excellence product excellence operational excellence

Operational excellence

E-books, in addition to being an alternative product form, provide ______________ value creation since they can be downloaded via the internet immediately when they are needed/wanted. operational product place promotion

Place

Which part of the marketing mix communicates the products value to the consumer? product price place promotion

Promotion

Upscale men's and women's clothing stores primarily appeal to customers' ______________________ needs. post-purchase functional safety psychological

Psychological

After a consumer recognizes that they have an unsatisfied need, their next step would be to ____________________. evaluate alternatives search for information about products evaluate the purchase decision purchase the product

Search for information about products

Company sales invoices, Census data, and trade association statistics are examples of: exploratory data data mines primary data secondary data

Secondary data

What does STP stand for in the marketing strategy process? igns, tags, promotions segmenting, targeting, positioning segmenting, targeting, promoting sorting, targeting, promoting

Segmenting, Targeting, Positioning

Which generational cohort is likely to be loyal to American brands and more frugal? Seniors Baby Boomers Gen Y Gen X

Seniors

The ______________________ means that consumers need multiple exposures to a particular marketing communication before they respond to the message. Return on Investment the Lagged Effect The Humanity Effect FCC regulation

The Lagged Effect

The lack of profit in the introductory stage of the product life cycle is very often the result of __________. the large investment costs in product development targeting the wrong target market segment pricing the product too low in an attempt to quickly gain market share a lack of wholesaler support

The large investment costs in product development

To estimate reach in terms of electronic media, marketers can use the click-through rate (CTR). To do so, they need to know the number of clicks and: the number of destinations how much time consumers spend viewing the ad or page the cost per click the number of impressions

The number of impressions

For products like pencils and paperclips, which provide the same benefit for all consumers, marketers should probably use a(n): benefit segmentation strategy lifestyle segmentation strategy undifferentiated or mass marketing strategy concentrated targeting strategy

Undifferentiated or mass marketing strategy

Joan had no idea how consumers would respond to a survey about marketing of space travel to private customers. She decided to use a(n) ___________________ to allow respondents to answer in their own words. structured survey unstructured questionnaire multiple choice questionnaire likert scale

Unstructured questionnaire

Supercenters have become the fastest growing retail category by combining broad assortments of groceries and general merchandise products. __________________ dominates this category with more than 80 percent of the supercenters int he US. Kroger Target Walmart Kmart

Walmart

For McDonald's, consumers' increased concern about health & wellness, and therefore making healthy eating choices, would be considered a: Strength Threat Weakness Opportunity

Weakness

Often advertisers will employ a variety of media to deliver their message. When using different media, advertisers need to deliver: niche media emotional appeals value-based post testing a consistent and compelling message mild puffery

a consistent and compelling message

Generally, when advertising to consumers, the objective of an advertising campaign is: to offset sales promotion costs to maximize media planning a pull strategy - to get the product into stores by having consumers demand it a push strategy -- to stimulate interest among members of the supply chain

a pull strategy- to get the product into stores by having consumers demand it

Each time you go to the grocery store and have your purchases scanned while using a loyalty or bonus reward card, you are contributing to a database that can help marketers determine: what a typical shopping list looks like All of these whether changes in prices affect buying brand preferences of consumers

all of these

For marketers, the benefits of having achieved brand loyalty include(s): less likely consumer will try the competition all of these lower marketing costs associated with reaching loyal customers decreased price sensitivity among loyal customer

all of these

How much time a consumer spends searching for information before a purchase depends on: the consumer's locus of control the actual or perceived risk associated with the purchase all of these impact the length of the information search the perceived benefits vs. perceived costs of searching

all of these

The selling proposition communicated by advertising needs to be: meaningful to the consumer all of these supportive of repetition unique to the brand

all of these

Which of the following is (are) an important functions of labels on products and packages? providing consumer information to assist in purchasing indentifying the brand and building brand image all of these listing the ingredients

all of these

Demographic segmentation is segmentation based on: gender any of these income education

any of these

Value-based pricing methods include approaches to setting prices that focus on the overall value of the product offering: as recognized by competitors when the product is produced relative to production costs as perceived by the consumer

as perceived by the consumer

The AIDA model explains how marketing communications work to influence consumer's buy behavior. What do the letters AIDA stand for, in the correct order? attention, interest, demand, attitude attention, interest, desire, action action, interest, demand, attention action, interpretation, decision, acceptance

attention, interest, desire, action

For retailers, promotion refers to: the relationship between price & product both their in-store environment and mass media communication supply chain communication seasonal discounts and markdown

both their in-store environment and mass media communication

Some firms spend over $2 million for a 30-second ad on television during the Super Bowl so the firms can expose millions of viewers to their brand in one night. These firms are attempting to increase ____________? product reputation brand dilution the points of difference brand awareness

brand awareness

Recent Apple Computer Company ads showed a young, casually-dressed, friendly and knowledgeable person as an Apple computer type, while the Microsoft computer person was portrayed a stiff, geeky, awkward person. Apple was trying to create comparative: product line breadth product awareness brand integrity brand personalities

brand personalities

The basic goal of integrated marketing communications is to: manipulate consumers tell the entire world about your company communicate the value proposition to the target market create desire

communicate the value proposition to the target market

Firms using a _________________ pricing method set their prices to what other firms are charging. improvement value reference-based value-based competitor-based

competitor-based

Conclusive research techniques: confirms insights and provides a basis for taking a course of action revises the research objective based on initial impressions offers conclusions that are always correct are always conducted using primary data collection

confirms insights and provides a basis for taking a course of action

Wholesalers sell to all the following EXCEPT: retailers businesses manufacturers consumers

consumers

For consumer products like toothpaste and groceries, things consumers purchase throughout the year, most advertisers use a ______________________ advertising schedule. flighting continuous penetrating pulsing

continuous

Ben owns a lawn care business. From experience, Ben has found that John Deere equipment lasts almost twice as long as competitors' machines. For John Deere, Ben's perception about its products makes ____________________________ pricing possible. reference-based everyday low pricing improvement value cost of ownership

cost of ownership

The majority of new products for business to business sales are generated by: competitior's products R&D consortia internal R&D customer input

customer input

Retail checkout scanning systems create a tremendous amount of purchasing information usually stored in a company's: file cabinets website data warehouse cash registers

data warehouse

"Buy one, get one free" is a ___________ sales promotion. deal rebate sample coupon

deal

The primary purpose of a brand is to: product the product packaging sell advertising space distinctly identify one seller's goods or services from a competitors minimize product line depth needed to be profitable

distinctly identify one seller's good or services from a competitors

A weakness associated with cost-based pricing methods is that they: do not allow for predatory pricing do not recognize the role that consumers or competitor's prices play in the marketplace are too difficult to calculate infer a cost-price ratio

do not recognize the role that consumers or competitor's prices play in the marketplace

According the to Diffusion of Innovation Theory, which group of consumers will wait until all the product reviews are in and the product has been on the market long-enough for any bugs/defects to be addressed before they will buy a new product? early adapters late majority innovators early majority

early majority

Dan is especially price sensitive. He has been known to line up on "Black Friday" (for the day after Thanksgiving sales) at midnight in order to be the first person to buy the sale items. Dan would likely respond to a _______________ pricing strategy. premium slotting allowance high/low vertical price fixing

high/low

The stage of the new-product process that develops a pool of concepts as candidates for new-products is referred to as __________. product launch concept testing product development idea generation

idea generation

Each generation of cell phones has provided greater clarity, range, and multi-functionality. Marketers of cell phones can use these upgrades in __________________ pricing. everyday low pricing improvement value reference based odd-even

improvement value

Some companies want to get their products into as many outlets as possible, understanding that the more exposure a product gets, the higher quantity it will sell. If this is consistent with the company's overall strategy, it will choose ________________________ distribution. exclusive selective intensive wide-coverage

intensive

Compared to mass media advertising, a key advantage of direct marketing is: it requires less use of technology it reaches a larger audience involves face-to-face contact it allows for personalization of the message

it allows for personalization of the message

The major disadvantages of primary data collection are that: it takes more time to collect than secondary data and is more costly. it can only be accessed through syndicated databases or unstructured data mines. it cannot be tailored to meet specific research needs. it is too general to meet researcher's and manager's needs.

it takes more time to collect than secondary data

Supermarkets often offer great deals on milk, beef, or eggs to get customers into their stores, knowing that many customers will also purchase items that have higher makeups for the store. The supermarkets are using a _________________ pricing tactic. seasonal allowance bundling leader or loss leader price lining

leader or loss leader

What is the marketing objective for the maturity stage of the product life cycle? stress points of difference gain awareness maintain brand loyalty harvesting

maintain brand loyalty

With a _________________________ pricing strategy, marketers set a low initial price for the introduction of a new product or service in order to gain market share quickly. market penetration reference price price fixing skimming

market penetration

When audiences are allowed to preview actual movies (a "sneak preview") such as Harry Potter and the Deathly Hallows—Part 2 and Star Trek so that changes might be made before they are released to the general public, during which stage of the new-product process does this occur? market testing product development product launch evaluation

market testing

Retailing is where marketing meets corporate management meets the consumer is replaced with personal selling conducts all its transactions

meets the consumer

Many companies use the Internet to allow consumers to design customized products; for example, Nike allows customers to order shoes with custom color combinations. This is a form of: micromarketing targeting undifferentiated differentiated targeting concentrated targeting

micromarketing targeting

___________________ is the term used to describe the situation when retailers use some combination of stores, catalogs, and the Internet to sell merchandise. vertical integration horizontal integration multichannel retailing supply chain confusion

multichannel retailing

Because of the way __________________ buy merchandise, customers can never be confident that the same merchandise will be in stock each time they visit the store. department stores discount stores off-price retailers category specialists

off-price retailers

Sales promotions include all of the following EXCEPT: point-of-purchase displays coupons free samples online ads

online ads

_______________ involves defining the firm's marketing mix variables so that target customers have a clear, distinctive, and desirable understanding of the firm's offerings relative to competitors' offerings. positioning segmenting prospecting targeting

positioning

After reviewing the existing data on seasonal spending by his company's customers, Marvin decided he needed new information collected to address his research questions. Marvin will need ___________________ data to address the questions in his market research study. secondary warehoused primary syndicated

primary

At Mattel, Barbie is tested to be sure the doll cannot be broken apart and accidentally choke a child (an alpha test). This type of safety test occurs during the __________ stage of the new-product process. idea generation concept testing market development product development

product development

A group of product or service items that are closely related because they satisfy a class of needs, are used together, are sold to the same customer group, are distributed through the same types of outlets, or fall within a given price range is referred to as a __________. marketing mix brand extension product line stock keeping unit (SKU)

product line

The addition of Clorox II bleach to Tide laundry detergents is an example of which type of new Tide product: product line extension brand extension true innovation jump in innovation

product line extension

Personal selling is particularly important for retailers selling: discount items online services products that are complicated or expensive to younger customers

products that are complicated or expensive

Integrated marketing communications represents the ___________________ P in the four P's of a firm's marketing mix. promotion place product price

promotion

The first full-scale operating model of the product under development is referred to as a sample alpha test prototype template

prototype

A _________________ is an advertisement that focuses on public welfare issues. push strategy product focused advertisement reminder advertisement public service announcement

public service announcement

Anne's Pita Bread Chips offers free POP (point-of-purchase) displays to retailers ordering their product. Anne's is using a ________________ strategy. pull push publicity puffer

push

For a segmentation strategy to be successful, the customers in the segment must react similarly and positively to the firm's marketing mix. The market segment must be: responsive substantial perceptive identifiable

responsive

Private-label brands are owned and managed by: individuals government agencies retailers manufacturers

retailers

Ronaldo wants to develop an Internet auction-based business and is working through the STP process. After establishing his objectives, describing potential market segments, and evaluating the attractiveness of each segment, Ronaldo now has to: differentiate his product line create a perceptual map select a target market consider future customer loyalty

select a target market

In order to develop psychographic segments, the marketer must understand consumers': geographic region, urban vs. rural, and household size age, income, and education self-values, self-concept, and lifestyles gender, race, and religion

self values, self concept, and lifestyles

When Apple Computer Company introduced the first iPhone in 2007, it was prices at $499, which was considerably higher than cell phones or the iPod. Apple was probably pursuing a __________________ new product pricing strategy. price fixing skimming reference price market penetration

skimming

Greta is concerned that one of the potential market segments for her dog grooming service is too small and has too little income to have sufficient buying power. Greta is concerned with whether the segment is: reachable substantial identifiable responsive

substantial

In questionnaire design, a question such as, "When was the first time you went to a dentist?" suffers from the problem of a question: that asks for sensitive information that asks two questions at once that respondents cannot easily or accurately answer that steers respondents toward a particular response

that respondents cannot easily or accurately answer

Because market and operating conditions are different in each target market: only horizontal price fixing should be used the choice of a pricing strategy is specific to the target market all consumers will react similarly to the firm's pricing strategy prices need to be held constant because everything else is changing

the choice of a pricing strategy is specific to the target market

A major limitation in the use of internal R&D departments for new idea generation is that: few scientists have ideas. they tend to be dissolved once sufficient ideas have been generated. they tend to create too many blockbusters. few scientists have practical ideas. → the costs tend to be quite high. to few resources needed to make it economical few scientists have practical ideas they do not encourage true innovation the costs tend to be quite high

the costs tend to be quite high

Reaching the right audience with marketing communication is becoming more difficult because: the media environment has become more complicated consumers are bored government regulations are constraining free speech the target audience is using less media

the media environment has become more complicated

All advertising messages are designed: to change social norms to inform, persuade, or remind customers to match the company's production scheduling to meet the needs society

to inform, persuade, or remind customers

Which of the following is the best example of a convenience product? Lexus LS 460 luxury automobile Roget's Thesaurus toothpaste light on American Airlines

toothpaste

During the marketing communication process, an advertising agency encodes the marketing message for Home Depot by creating a print media ad. In this case, the advertising agency is acting as the: communications channel sender receiver transmitter

transmitter

Very infrequent purchases with some comparison shopping are characteristic of the purchasing behavior for a type of consumer service (such as burial insurance) that a prospective buyer may not initially want. This type of consumer service is referred to as a(n): convenience product unsought product specialty product

unsought product

Knowing what customers expect is essential for effective marketing. Retailers need to know which manufacturers their consumers prefer, while manufacturers need to know: if consumers find the store atmosphere inviting where their target customers expect to find their products if customers are using credit cards or cash to make purchases how many employees the retailers have

where their target customers expect to find their products

Which of the following is commonly used as a metric for evaluating the effectiveness of a marketing plan? profit margins sales revenue market share all of these are commonly used marketing metrics

All of these

When General Mills teams up with Hershey Foods to create a cereal called Reese's Peanut Butter Puffs (the Reese's brand belonging to Hershey's), what is the General Mills' branding strategy called? mixed branding brand building co-branding brand licensing

Co-branding

When Penguin Catering Services first opened, the owner decided to target only events at resorts in its geographic region. Penguin Catering was using a(n) ______________ targeting strategy. micromarketing differentiated concentrated benefit-driven

Concentrated

_________________ attributes are product or service features that are important to buyers and that are used to differentiate among choices. determinant social financial safety/performance

Determinant

McDonald's plan to open vegetarian only restaurants in India would be considered a __________________ growth strategy. diversification product development market development market penetration

Diversification

Post-purchase cognitive dissonance is especially likely for products that are: expensive and infrequently purchased personally valuable or antiques cheap and poorly made simple and easily copied

Expensive and infrequently purchased

The _________ is the primary federal agency regulating television, radio, and other electronic advertising. FCC BATF USPS FTC

FCC

The marketing planning process always proceeds sequentially (in order) through the five steps. True False

False

A(n) _________________ is a small group of people brought together for an intensive discussion of a topic. social media site focus group experiment data mining

Focus Group

PRIZM and Tapestry by ESRI divide and sort small geographic areas into categories using 60 or more demographic and lifestyle characteristics. These market research tools are examples of __________________ segmentation. loyalty geodemographic psychographic benefit

Geodemographic

Disposable income is: Income available for entertainment Gross income minus expenses for necessities Gross income minus taxes Gross salary plus benefits

Gross income minus taxes

In the United States, the population is growing slowly and becoming more diverse growing rapidly and becoming more diverse growing rapidly and becoming less diverse growing slowly and becoming less diverse

Growing slowly and becoming more diverse

Marketers love consumers who engage in _________________________ , buying their company's product with little thought or consideration of alternatives. compensatory decisions habitual decision making limited problem solving extended problem solving

Habitual decision making

Which of the following is an example of a manufacturer that uses an exclusive distribution strategy? Pepsi John Deere Bic pens Kit Kat

John Deere

A __________________ growth strategy relies on increased advertising and promotions in order to increase market share with the existing target market. product development diversification market development market penetration

Market penetration

The ______________________ for the American Red Cross is "to provide relief to victims of disasters and help prevent, prepare for, and respond to emergencies." objective mission statement organizational culture core benefit proposition

Mission Statement

Personal selling is an especially important part of IMC in: Web tracking Business to Business marketing event sponsorships online retailing

business to business marketing

In questionnaire design, a question such as, "Do you like Wendy's hamburgers and fries?" suffers from the problem of a question: that is leading toward a particular response that respondents will be reluctant to answer that asked two questions at once that is complex and unfamiliar

that asked two questions at once