Marketing final exam review chapters 9-16 quizzes
A toothbrush that costs ten cents to manufacture may cost a consumer $3.00 to buy. According to critics, this is an example of ________.
excessive markup
A tax on an imported product designed to raise revenue or protect domestic firms is referred to as a(n) ________.
tariff
From a producer's point of view, a greater number of levels in a supply chain means less control and greater channel complexity.
true
In a push promotion strategy, the producer promotes a product to channel members who in turn promote it to final consumers.
true
In a territorial sales-force structure, each salesperson is assigned to an exclusive geographic area and sells the company's full line of products or services to all customers in that area.
true
In exclusive dealing, a producer may agree not to sell to other dealers in a given area.
true
In today's digital, mobile, and social media environments, many buyers are more receptive to — or even prefer — phone and online contact versus the high level of face-to-face contact once required.
true
Integrated marketing communications involves carefully coordinating a company's many communications channels to deliver a clear, consistent, and compelling message about the organization and its products.
true
John Deere's sales force working with Lowe's, Home Depot, independent dealers, and other channel members to promote their products to final consumers is an example of a push promotion strategy.
true
Manufacturers provide allowances to retailers as compensation for advertising or creating special displays for their products.
true
Market skimming makes sense when a product's quality and image support its higher price, and enough buyers want the product at that price.
true
Marketing channel design calls for analyzing consumer needs, setting channel objectives, identifying major channel alternatives, and evaluating those alternatives.
true
Marketing critics claim that the inevitable outcome of successful marketing is unsustainable overconsumption.
true
Marketing logistics involves getting the right product to the right customer in the right place at the right time profitably.
true
Retailing practices among countries can vary widely.
true
Salespeople represent customers to a company and represent a company to customers.
true
Today, enlightened companies implement environmental sustainability strategies not because someone is forcing them to or to reap short-run profits but because it's the right thing to do.
true
While handling buyer objections, salespeople should use a positive approach to turn logical or psychological objections into reasons for buying.
true
A ________ pricing strategy for an offering begins with an assessment of customer needs and perceptions. Then a target price is set based on customer perceptions of worth.
value-based
Most international companies strive to adapt global brands to local needs.
true
Which of the following is true of RFID or "smart tag" technology?
"Smart shelves" can tell when it is time to reorder and can place orders automatically.
Which of the following is true of personal selling?
It is the most expensive promotional tool for companies to utilize.
Which of the following is most likely true about e-mail marketing?
It is used by marketers to send highly targeted messages.
Which of the following is a shortcoming of advertising?
It only provides one-way communication with customers.
________ is a method of entering a foreign market by associating with foreign companies to produce or market products or services.
Joint venturing
Which of the following is a primary disadvantage of viral marketing?
Marketers have little control over who receives a viral message.
________ are sets of interdependent organizations that help make the product or service of a company available for use by consumers or business users.
Marketing channels
________ involves combining two or more systems of transportation to move products.
Multimodal transportation
The ________ established a free trade zone among the United States, Mexico, and Canada.
North American Free Trade Agreement
Which of the following statements is true of salespeople?
They represent a company to its customers by communicating and selling.
Which of the following would be considered an upstream partner in a company's supply chain?
a firm that provides technical expertise in the production of a product
Coca-Cola Unbottled is an online forum where Coke fans and company insiders can "look at what's beyond the bottle," sharing posts on everything from new products and sustainability initiatives to fun and inspiring fan stories. This is an example of a ________.
blog
A company should avoid high-pressure selling if it wants to ________.
build long-term relationships with valued customers
The promotion of products and services through printed material with multiple pages that sell multiple products has been traditionally referred to as ________ marketing
catalog
Every time a search is made using keywords related to construction, search engines display text-based advertisements and links to Regan Builders, a construction firm. The marketing tool used by Regan Builders is best referred to as a ________.
contextual advertisement
________ is a method of going global in which a company makes agreements with producers in the foreign market to produce its product or provide its service
contract manufacturing
Producers use marketing intermediaries because they ________.
create greater efficiency in making goods available to target markets
The Great Recession has most likely resulted in a(n)________.
decline in conspicuous spending
Which of the following is a function of an integrated marketing communications system?
delivering a clear, consistent, and compelling message on the product to each brand contact
_______ is any paid form of nonpersonal presentation and promotion of ideas, goods, or services by an identified sponsor.
Advertising
In which of the following steps of the selling process does a salesperson seek out, clarify, and overcome any customer disapproval to buying?
Handling objectives
Which of the following is most likely an advantage of social media marketing?
Social media are targeted and personal.
Which of the following is most likely a drawback of contract manufacturing?
There is decreased control over the manufacturing process
Which of the following is true of consumers in the new marketing communications model?
They are better equipped to find product and brand information on their own.
Which of the following is most likely true about a sales force in the field?
They build relationships with customers through face-to-face collaboration.
The simplest way to enter a foreign market is through ________.
exporting
Under management contracting, a domestic firm ________.
exports management services to a foreign company
An off-price retailing operation that is owned and operated by a manufacturer and normally carries the manufacturer's surplus, discontinued, or irregular goods is called a ________.
factory outlet
A compensation plan with a larger base-salary component and a smaller commission component is most effective for driving salespersons to acquire new businesses.
false
In consumer product companies such as P&G or Nike, the sales force works directly with customers.
false
Introducing intermediaries into a distribution chain increases the number of direct channel transactions between a manufacturer and its customers.
false
Most producers sell their goods directly to final users.
false
Price reductions from rebates are given to consumers at the point of sale.
false
Providing samples is the most inexpensive way to introduce a new product.
false
Though marketers may make long-term gains with high-pressure selling tactics, this approach can do serious damage to short-term customer relationships.
false
What is the last step in the selling process?
follow up
Customers at Carat, a premium jewelry store, are encouraged to make an appointment before a visit so that a customer service representative is assigned to them. These representatives help every customer make a purchase that meets his or her needs and budget after considering numerous options. The different styles and special features of the jewelry are explained to each customer to aid the purchase decision. In this case, Carat is an example of a(n) ________.
full-service retailer
Which types of stores are characterized by specialty goods for which customers need assistance and higher operating costs that are passed along to customers as higher prices?
full-service stores
Charging higher prices on an everyday basis, coupled with frequent sales and other price promotions to increase store traffic, create a low-price image, or attract customers who will buy other goods at full prices is referred to as ________ pricing
high-low pricing
The Toby's chain of first-class department stores carries a wide range of product lines, including clothing, jewelry, kitchenware, and home furnishings. Toby's typically charges higher prices on an everyday basis and then holds frequent sales and price promotions to increase store traffic. Toby's most likely uses ________.
high-low pricing
Insurance, real estate, and used cars salespeople are trained to deliver smooth, canned talks to entice purchases. This is known as ________.
high-pressure selling
Appliance maker Whirlpool assigns individual teams of salespeople to big retail customers such as Sears, Lowe's, Best Buy, and Home Depot. Each Whirlpool sales team aligns with the large customer's buying team. Whirlpool has most likely adopted a ________ sales-force structure.
market
________ pricing is when a firm tries to determine the price at which it will break even or earn the profit it is seeking.
target return
Japan is a major exporter of manufactured goods, services, and investment funds. Japan also exports its goods to other types of economies for raw materials and semi-finished goods. This is an example of a(n) ________ economy.
industrial
All the institutions in a channel are connected by several types of flows. When a retailer conveys to a wholesaler that a new line of hip-hop clothing is not selling, this is an example of ________.
information flow
The objective of ________ advertising is to build primary demand.
informative
Trendy Appliances has introduced a new product, Minute Yogurt, into the yogurt maker appliance market. Minute Yogurt differs from competitive offerings because it takes a minute to blend and a minute to clean. Which type of advertising would be best for promoting Minute Yogurt?
informative advertising
Lush Lawns, a new landscaping company, uses the same logo and shade of green in all forms of communication including its online ads, truck signage, Web site, and business cards. Which technique is being used by Lush Lawns to promote its business?
integrated marketing communications
Companies often form ________ ventures to merge their complementary strengths in developing a global marketing opportunity.
joint ownership
PharmaCom serves millions of customers across several Asian countries with the assistance of several pharmaceutical manufacturing sites in China, Japan, and Korea. This is an example of ________.
joint ownership
The difference between direct and indirect exporting is that indirect exporting involves ________.
less investment
Providing a host-country partner the right to use a company's manufacturing process, trademark, patent, trade secret, or other item of value is referred to as ________.
licensing
Which type of economy consists mostly of households with very low family incomes?
subsistence
Posh Collections introduced a new watch to appeal to upscale consumers. The company will most likely use a(n) ________ strategy.
market-skimming pricing
________ marketing features marketing messages, promotions, and other content delivered to on-the-go consumers through their portable electronic devices.
mobile
Under ________, the market consists of a few large sellers who are highly sensitive to each other's pricing and marketing strategies.
oligopolistic competition
________ refers to marketing via the Internet using company Web sites, online advertising and promotions, e-mail marketing, online video, and blogs.
online marketing
Karen Dodd is employed by Dell and responsible for calling on primary schools in her home state of Maine to promote the company's offerings. She demonstrates the Dell line of products including desktop computers, laptops, and tablets and fields questions from teachers and administrators alike. This is an example of which promotion tool?
personal selling
Some companies intentionally manufacture their products with materials or components that will break, wear, rust, or rot sooner than they should. This practice is called ________.
planned obsolescence
________ is the only element in the marketing mix that produces revenue.
price
Which type of retailer is much larger than a regular supermarket and offers a large assortment of routinely purchased food products, nonfood items, and services?
superstores
GE employs different sales forces within different product and service divisions of its major businesses. For example, within GE Infrastructure, the company has separate sales forces for aviation, energy, transportation, and water processing products and technologies. GE has most likely adopted a ________ sales-force structure.
product
What type of pricing is being used when a company temporarily prices its products below the list price to create buying excitement and urgency?
promotional pricing
In which step of the selling process does a salesperson or company identify qualified potential customers?
prospecting
A pharmaceutical manufacturer offers monetary incentives to its sales representatives to promote a new drug to the medical professionals in their respective geographic territories. This is an example of a ________ strategy.
pull
Chic Eyewear, a producer of designer eyeglass frames, promotes their new line in national fashion magazines. Chic Eyewear lists the select optical retailers that carry their line at the bottom of their ads. This is an example of a ________ strategy.
pull
A country may place a limit on the volume of imported citrus fruit that is allowed. This is an example of a(n) ________.
quota
________ marketing calls for socially and environmentally responsible actions that meet the present needs of consumers and businesses while also preserving or enhancing the ability of future generations to meet their needs.
sustainable
Critics claim that the urban poor often have to shop in smaller stores that carry inferior goods and charge higher prices because the large, national chain stores refuse to establish stores. This is known as the discriminatory practice of ________.
redlining
________ refers to the activities involved in selling products or services directly to final consumers for their personal, nonbusiness use.
retailing
In a marketing communications mix, ________ refers to any short-term incentive that encourages the purchase or sale of a product or service.
sales promotion
Surf's Up, a family-owned business, offers a free surf lesson with the purchase of any surfboard over $200 during the month of May. This is an example of which promotion mix element?
sales promotion
Which of the following is a form of online advertising?
search-related ad
Food Galore is a regional chain of supermarkets in the Midwest. The primary role of the staff is to restock shelves and operate cash registers. Customers locate, compare, and select their groceries and other sundry items. Food Galore is most likely a ________.
self-service retailer
Which of the following is the first step in developing an advertising program?
setting advertising objectives
The ________ concept specifically focuses on the future welfare of customers, but not on future company needs.
societal marketing
Retailers must decide on three major product variables: product assortment, services mix, and ________.
store atmosphere
The ________ concept specifically focuses on future company needs, but not the future welfare of customers.
strategic planning
Loretta Inc., a U.S.-based watch manufacturer, sells its products in France, China, Russia, and India. To manage sales, Loretta appoints a number of sales representatives to each location. Sales representatives report to area managers, and area managers coordinate sales in their respective areas before reporting to regional managers. Loretta has most likely adopted a ________ sales-force structure.
territorial
Movie theaters charge matinee pricing during the daytime, and resorts give weekend and seasonal discounts. This is illustrative of a ________ pricing strategy
time-based
Vac "N" Sew, a consumer electronics outlet, offers a price reduction of $100 when customers bring in a used vacuum cleaner and exchange it for a new vacuum cleaner or sewing machine. This is an example of a ________.
trade-in allowance
Which of the following channel functions of wholesalers is demonstrated when a buyer receives quicker delivery because wholesalers are located closer than are producers?
transportation
An important consideration when determining what price to charge in a specific country is the nature of the wholesaling and retailing system in that country.
true
Commissions and bonuses are variable amounts of compensation.
true
Companies selling perishable products generally prefer direct marketing, which minimizes delays.
true
Deceptive packaging includes exaggerating package contents through subtle design and misleading labels.
true
Developing biodegradable packaging and implementing energy-efficient operations are examples of pollution prevention activities.
true
Direct marketing has undergone a dramatic transformation due to rapid advances in digital technologies
true