Marketing - McManus Exam 3 - Test Questions

15:A(n) _______ is used in the shipment of products directly to customers. A. fulfillment center B. distribution center C. administration center D. data warehouse E. vendor warehouse

A. fulfillment center A distribution center, a facility for the receipt, storage, and redistribution of goods to company stores, may be operated by retailers, manufacturers, or distribution specialists. Similar to a distribution center, instead of shipping to stores, fulfillment centers are used to ship directly to customers.

(19)Chesnee works in the office of a building materials company. One of her jobs is to identify new building projects and to determine who will make the building materials purchase decisions. Chesnee is involved in the _______________ step of the selling process. A. generate leads B. preapproach C. closing the sale D. follow-up E. sales presentation

A. generate leads chesnee is involved in generating leads for her building materials company--finding prospective customers.

15: Naomi knows she has to order her store's Christmas holiday merchandise in April to ensure delivery before the holiday season. Naomi is concerned with the supply chain management goal of A. providing products at the right time. B. providing products at the right locations. C. providing the right quantities. D. satisfying the service levels supply chain participants expect. E. minimizing system wide costs.

A. providing products at the right time.

8:Unilever discovered that people in emerging economies could not afford to buy standard sizes of toothpaste or shampoo, so Unilever started selling single-serve packets at very low prices. Later, Unilever discovered that the same approach worked in the United States and started also selling them there. This is an example of A. reverse innovation. B. glocalization. C. ethnic sensitivity. D. promotional flex. E. unethical marketing practices.

A. reverse innovation.

(19)Every Monday during the month of December, salespeople who had the highest sales the previous week participated in a package surprise, where each would receive a package containing either a $50 or a $100 bill. This short-term incentive is known as a A. sales contest. B. bonus. C. commission. D. salary. E. rebate.

A. sales contest. A sales contest is a short-term incentive designed to elicit a specific response from the sales force.

Red Bull sends out student brand managers to distribute free samples to their peers. What form of marketing communication is this? A. sales promotion B. direct marketing C. public relations D. mobile marketing E. advertising

A. sales promotion Free samples are a form of sales promotion.

Which of the following is the best example of a persuasive advertising message? A. "Buy now, pay later." B. "Doing business in Peoria since 1848." C. "Better than average." D. "Now available—the latest fall fashions" E. "Serving the public since last Tuesday."

A. "Buy now, pay later." persuasive advertising seeks to motivate the consumer to take action. "buy now, pay later" is asking the consumer to take action--to buy now

Generally, when advertising to consumers, the objective of an advertising campaign is A. a pull strategy—to get the product into stores by having consumers demand it. B. a push strategy—to stimulate interest among members of the supply chain. C. to win advertising awards. D. to offset sales promotion costs. E. to maximize media planning.

A. a pull strategy—to get the product into stores by having consumers demand it. consumer advertising is usually part of a pull strategy, in which the goal is to have consumers demand the product of retailers, In contrast, a push strategy promotes a product to members of the supply chain.

The basic goal of integrated marketing communications is to a. communicate the value of proposition to the target market b. create desire c. manipulate consumers d. outspend competitors e. tell the world about your company

A. communicate the value proposition to the target market

Yesenia is working on an advertisement to promote consumer awareness of the danger of solar radiation causing skin cancer. Yesenia's first concern will be to A. get consumers'; attention. B. enlist creative advertising designers. C. make sure firms producing sunscreen lotions approve. D. collect a petition in support of controls against global warming. E. use public relations to buy advertising space.

A. get consumers'; attention.

Kelly is the head of marketing for a nonprofit agency that supports the arts. She just received the go- ahead from her board of directors to conduct the agency's first-ever advertising campaign. Her first step will be to A. identify the target audience. B. set the advertising objectives. C. determine the advertising budget. D. evaluate and select the media. E. create the advertisements.

A. identify the target audience. the first step in the development of an advertising campaign is to clearly identify the target market

The __________ stage of the advertising campaign planning process can be described by the question, "Whom are we trying to talk to?" A. identifying target audience B. setting advertising objectives C. conveying the message r conducting D. assessing the impact E. determining the advertising budget

A. identifying target audience this is the "identify target audience" stage of the process

Because advertising is the most visible form of marketing, A. many people think of marketing and advertising as synonymous. B. it is the most important part of a marketing mix. C. everyone prefers to be in advertising. D. marketing budgets always emphasize advertising over other forms of communication. E. it is the largest source of employment opportunities for marketing graduates.

A. many people think of marketing and advertising as synonymous. many people think of advertising when they hear the term marketing because advertising is such a visible form of marketing.

Reminder advertising is primarily used to A. prompt repurchase of a product. B. create and build brand awareness. C. accelerate market acceptance. D. gather information about consumers. E. persuade consumers to change existing perceptions.

A. prompt repurchase of a product reminder advertising reminds or prompts repurchase, especially for products in the maturity stage of the product life cycle.

In recent years, the component of IMC that has received the greatest increase in aggregate spending is A. media advertising. B. direct marketing. C. public relations. D. sales promotions. E. publicity.

B. direct marketing. Direct marketing has received the greatest recent increase in aggregate spending.

15:A ________ is a facility for the receipt, storage, and redistribution of goods to company stores. A. circulation center B. distribution center C. supply chain hub D. collaborative replenishment office E. floor-ready franchising center

B. distribution center

15:Typically, manufacturers and retailers exchange business documents through a(n) __________ system, the computer-to-computer exchange of business documents from a retailer to a vendor and back. A. cross-docking exchange B. electronic data interchange C. vendor-managed inventory D. vertical conflict reduction E. radio frequency identification

B. electronic data interchange

15:Flora is frustrated with her company's supply chain management information system. She wants to be able to receive sales data, initiate purchase orders, send and receive invoices and receive returned merchandise documentation. Flora needs a(n) A. cross-docking exchange. B. electronic data interchange system. C. vendor-managed inventory system. D. vertical conflict reduction system. E. radio frequency identification system.

B. electronic data interchange system.

Danielle is creating an advertising message designed to appeal to consumers' fears of having their home broken into. Danielle's message will focus on a(n) __________ appeal. A. emotional B. niche marketing C. informational D. institutional E. reminder

A. emotional this describes an emotional appeal, which tries to reach the consumer by forging a bond between the consumer and the brand

8:When the value of the dollar declines in relation to other currencies, it benefits U.S. marketers who A. export goods to other countries. B. import goods from other countries. C. engage in countertrade. D. enforce import quotas. E. outsource labor.

A. export goods to other countries.

15: Some retailers require their suppliers to ship merchandise ___________, thus eliminating the time and expense associated with ticketing and marking. A. floor-ready B. flattened C. lead time synchronized D. aggregated E. synthesized

A. floor-ready

15:When Cynthia's Boutique receives dresses, they already have price tags and are on hangers. Cynthia's Boutique receives __________ merchandise. A. floor-ready B. repurposed C. just-in-time D. quick response E. horizontal channel

A. floor-ready

8:When entering into a franchise agreement, what term is used to refer to the firm that is granted the right to operate a business using the franchise name and business concept? A. franchisee B. franchisor C. franchise agent D. franchise partner E. franchised owner

A. franchisee

8:Gerald is assessing global entry strategies for his gourmet sandwich business. He does not want to take a lot of risk and he is willing to limit his control of international stores. Gerald will most likely use a(n) __________ strategy. A. franchising B. exporting C. joint venture D. direct investment E. strategic alliance

A. franchising

8:Many of the best-known American retailers, like Starbucks and McDonald's, have contractual agreements with another firm or individuals, allowing its businesses to operate overseas. These companies expanded globally using A. franchising. B. exporting. C. joint ventures. D. direct investment. E. strategic alliances.

A. franchising.

An ad for Bud Light ran six times during a recently televised football game. When measuring IMC results for this ad, six would be the __________ for this telecast. A. frequency B. reach C. gross rating points D. ROI E. click-through rate

A. frequency Frequency is the number of times the audience is exposed to a communication within a specified period of time.

Campbell's Soup Company ran a series of radio ads tied to local weather forecasts. Before an impending storm the ads said, "Time to stock up on Campbell's Soup." During the storm the ads said, "Stay home and stay warm with Campbell's Soup." The first ad was __________ advertising, while the second ad was __________ advertising. A. informative; persuasive B. persuasive; reminder C. reminder; persuasive D. discussive; informative E. institutional; persuasive

B. persuasive; reminder

(19)Kathleen has found out everything she can about a newly qualified lead. She has practiced making her sales presentation and has determined what goals she has for the first meeting. Kathleen has finished the ___________ stage of the selling process. A. qualify leads B. preapproach C. closing the sale D. follow-up E. sales presentation

B. preapproach

(19)The __________ stage occurs prior to meeting the customer for the first time and extends the qualification of leads. A. qualify leads B. preapproach C. closing the sale D. follow-up E. sales presentation

B. preapproach this is the preapproach stage, which builds on lead qualification in preparation for a sales presentation

Chet was struggling selling his golf photography outside a PGA event. When he offered a T-shirt with a golf photograph on it with any framed golf photo, sales picked up. Chet discovered the value of sales promotions—specifically _________—in encouraging customers to buy. A. deals B. premiums C. samples D. sweepstakes E. rebates

B. premiums A premium offers an item for free or at a bargain price to reward behavior such as sampling, buying, or testing. In this case, Chet is rewarding the purchase of his photos with a free T-shirt

(19)The preapproach stage occurs __________ and extends the qualification of leads procedure. A. after the sales presentation B. prior to the sales presentation C. before closing the sale but after follow-up D. after closing the sale but before follow-up E. at the beginning of the sales presentation

B. prior to the sales presentation the preapproach stage occurs prior to meeting the customer for the first time, building on lead qualification in preparation for a sales presentation

8:The Big Mac Index is a novel measure of A. GDP. B. purchasing power parity. C. per capita GNI. D. economic growth. E. international trade surplus.

B. purchasing power parity.

15:In retailing, a just-in-time delivery system is called a(n) _______ system. A. cross-docking B. quick response (QR) C. UPC D. EDI E. lead time

B. quick response (QR)

When a product has gained a certain level of brand awareness, firms use __________ advertising to motivate consumers to take action. A. informative B. persuasive C. institutional D. discussive E. reminder

B. persuasive persuasive advertising seeks to motivate the consumer to take action

15:Today, when a customer orders merchandise from an online vendor, the vendor usually sends an immediate order confirmation message by e-mail. Usually within a day or two, a second message arrives stating that the order is in the mail. This second message is a type of A. vertical contractual notice. B. VMI requirement. C. advanced shipping notice. D. universal product code report. E. RFID tag.

C. advanced shipping notice.

(19)Effective salespeople anticipate and handle A. external environmental changes. B. corporate takeovers. C. buyers' reservations about the product. D. role-playing conflict. E. supply chain problems.

C. buyers' reservations about the product.

The __________ is the combination of media used and the frequency of advertising in each medium. A. media plan B. media buy C. media mix D. communications tactical plan E. communications operational plan

C. media mix this is the def of media mix

When Microsoft introduces a new version of its Windows operating system, it typically uses selected magazine, Internet, and direct mail advertising. This combination of advertising outlets represents Microsoft's A. niche buy. B. advertising plan. C. media mix. D. product placement. E. supply chain messaging.

C. media mix. the media mix is the combination media used and frequency of advertising in each medium

Ryan is debating how to allocate the IMC budget for his new ski equipment store. He knows having knowledgeable salespeople in his store can simplify buyers' purchase decisions. He should also consider that, compared to other IMC alternatives, personal selling is A. easy. B. expensive. C. ineffective. D. overrated. E. simple.

B. expensive. Although personal selling has many benefits, particularly for complex or expensive products, it can be an expensive form of integrated marketing communication.

8:Mary wants to sell her products in Europe, since they are doing well in the United States. She does not have a lot of capital and is risk-averse, so she most likely would choose to begin with A. opening a franchise. B. exporting her products. C. forming a strategic alliance with another company. D. entering a joint venture with a local firm. E. making a direct investment in another country.

B. exporting her products.

8:Global expansion often begins with A. franchising. B. exporting. C. joint ventures. D. direct investment. E. strategic alliances.

B. exporting.

8:When entering a foreign market, the least risky strategy is A. franchising. B. exporting. C. joint venture. D. direct investment. E. strategic alliance.

B. exporting.

Tyler runs a parasailing business on Hilton Head Island, South Carolina. Tyler closes his business in winter when the water gets too cold. Tyler should use a __________ advertising schedule. A. continuous B. flighting C. pulsing D. penetrating E. purposeful

B. flighting A flighting schedule—when periods of heavy advertising are followed by periods with no advertising—makes sense for Tyler's seasonal business.

A ____________ advertising schedule uses heavy advertising during some periods followed by periods of no advertising. A. continuous B. flighting C. pulsing D. penetrating E. purposeful

B. flighting this is the def of flighting advertising schedule. It's seasonal like sunscreen.

8:Globalization refers to the processes by which goods, services, capital, people, information, and ideas A. are onshored and offshored. B. flow across national borders. C. are integrated through IMF facilitation. D. are similar in various markets. E. affect corporate culture.

B. flow across national borders.

(19)The __________ stage of the selling process offers a prime opportunity for salespeople to solidify customer relationships through great service quality. A. generating and qualifying leads B. follow-up C. sales presentation D. closing the sale E. preapproach

B. follow-up its important to build relationships and earn additional orders in the future

8:Gandolph's Tires sells the same tire globally, but it uses different advertisements based on the country and culture. This is an example of A. cultural shift. B. glocalization. C. ethnic sensitivity. D. promotional flex. E. unethical marketing practices.

B. glocalization

8:Of the five strategies for entering new markets, direct investment creates the A. least investment cost. B. greatest potential risk. C. most franchisee control. D. best opportunity for strong strategic alliances. E. greatest coordination of efforts of global and local partners.

B. greatest potential risk.

(19)The process of salespeople creating blogs to draw customers in and generate leads is a process known as A. telemarketing. B. inbound marketing. C. target marketing. D. test marketing. E. team selling.

B. inbound marketing.

Lamar is assessing the long-term effectiveness of his firm's IMC efforts. He will probably analyze the firm's success in A. expanding customer loyalty by closing the feedback loop. B. increasing market share, sales, and customer loyalty. C. increasing inquiries, awareness, and trial of his firm's services. D. shifting customers to rule-of-thumb budgeting. E. increasing the lagged effect.

B. increasing market share, sales, and customer loyalty. Typical long-term IMC goals include increasing sales, market share, and customer loyalty.

15: In a(n) __________ marketing channel, several independent members each attempt to satisfy their own objectives and maximize their profits, often at the expense of the other members. A. cooperative B. independent C. contractual D. administered E. corporate

B. independent this is the def of conventional, or independent, marketing channel.

(19)One reason B2B salespeople spend considerable time qualifying potential customers is that A. they want to have absolutely everything in order before approaching a potential customer. B. it can be costly to prepare and make a presentation to a business customer. C. too many business buyers at trade shows are really people from competing firms trying to obtain competitive information. D. independent agents get the best leads; the company sales representatives need to work harder. E. they want to determine if telemarketing is required.

B. it can be costly to prepare and make a presentation to a business customer. A B2B sales presentation can be expensive to prepare and deliver; B2B sales reps want to ensure that the potential customer is a good enough prospect to be worth the expense and effort.

8:When Ben evaluated the commercial infrastructure in Mauritius, he considered the island's A. population control measures. B. legal, banking, and regulatory systems. C. retailing capabilities. D. per capita income estimates. E. climate and culture.

B. legal, banking, and regulatory systems.

Walmart's "Everyday low prices" selling proposition is effective primarily because it is A. unique to the industry. B. meaningful to the consumer. C. variable over time. D. a one-time message. E. generally unsustainable.

B. meaningful to the consumer. Walmart's message is meaningful to the consumer because of the low-price promise it conveys. In addition, a unique selling proposition should be unique to the brand, sustainable over time, and supportive of repetition.

(19)Galena is a new agent for a financial services company. She decides to join the local chamber of commerce, the local association of businesswomen, and the local chapter of the United Way organization. Galena is attempting to use __________ to generate leads. A. current customers B. networking C. trade shows D. the Internet E. customer complaints

B. networking

When comparing the various communication channels available to marketing professionals, it becomes apparent that A. consumers prefer advertising over other channels. B. no single channel is better than another channel. C. public relations is the least expensive, but the most successful channel. D. personal selling is the most expensive and the least successful channel. E. online marketing is taking the place of advertising and public relations.

B. no single channel is better than another channel. No single channel is necessarily better than another channel; the goal of IMC is to use them in conjunction so that the sum exceeds the total of the individual channels.

When using the objective-and-task method of IMC budgeting for multiple products and services, how often must the process be repeated? A. never, after the first product/service B. once, for each individual product and service C. once, by each management team member D. only when a product is removed from the line E. when the prior year's budget is exceeded

B. once, for each individual product and service This process—set objectives, choose media, and determine costs—must be repeated for each product or service.

(19)Most beverage distributors have their delivery people act as the firm's sales representatives. The delivery people primarily function as A. order getters. B. order takers. C. sales support personnel. D. manufacturer's reps. E. telemarketers.

B. order takers The delivery people will be primarily calling on existing customers, processing routine orders for beverages. This is what order takers do.

Julie is developing a budget for her firm's IMC program. First she sets objectives. Then she chooses media, and finally she determines the cost for each product to be promoted. Julie is using the __________ method of establishing an IMC budget. A. reach and frequency B. track and decode C. objective-and-task D. rule-of-thumb E. sender-receiver

C. objective-and-task The objective-and-task method determines the budget required to undertake specific tasks to accomplish communication objectives.

Sales promotions include all of the following except A. coupons. B. rebates. C. online ads. D. point-of-purchase displays. E. free samples.

C. online ads. Online ads are a form of advertising; all the remaining items are examples of sales promotion

(19)Miles worked selling products to industrial users, and he spent most of his time working on customers' new buy and modified new buy situations. Miles was primarily a(n) A. new business specialist. B. prospector. C. order getter. D. order taker. E. sales support rep.

C. order getter. he's someone who goes out and identifies business opportunities

8:Sydney's Emporium has 59 stores in the United States and wants to expand globally. Sydney's wants to achieve the highest possible returns, and is not concerned about pursuing a high-risk strategy as long as it maintains complete control over its stores. The best global entry strategy for Sydney's is most likely A. exporting. B. a strategic alliance. C. a joint venture. D. direct investment. E. franchising.

D. direct investment

8:NCD Company wants to expand into the Mexican market. It has the financial resources, wants to control business operations, and had considerable success marketing to Hispanics in the United States. NCD will likely use __________ to expand into the Mexican market. A. franchising B. exporting C. a joint venture D. direct investment E. a strategic alliance

D. direct investment Direct investment is a market entry strategy in which the firm directly owns property and equipment in the foreign market. NCD has the resources and experience necessary for a firm contemplating direct investment; in addition, direct investment offers NCD the control of business operations that it seeks.

Which of the following is the least interactive IMC strategy? A. personal selling B. mobile marketing C. online marketing via social media D. direct marketing via catalog E. direct marketing via telemarketing

D. direct marketing via catalog The elements of an IMC strategy can be viewed on two axes: passive and interactive (from the consumer's perspective) and offline and online. Direct marketing via catalog is considered a passive form.

8:Core Publishing Company learned that when selling overseas, local fulfillment can be more cost-effective, and it also can decrease delivery time and improve customer service. This is an example of a global _________ strategy. A. communication B. product C. promotion D. distribution E. pricing

D. distribution

15:After installing a(n) _______ in its JIT system, Chocolate Tree (a retail chocolate store) was able to reduce lead time for merchandise orders. A. supply chain B. distribution center C. quick change directory D. electronic data interchange system E. checking system

D. electronic data interchange system Lead time is the time it takes to receive merchandise from the point when a decision is made to place an order. EDI can reduce lead time by electronically transmitting information between the buyer and seller.

(19)Yara has identified an attractive potential customer for her biodiesel home power system. She knows the customer is concerned about the environment and has considerable financial resources. The customer is also a respected leader among wealthy environmentalists in the area. Next Yara will A. evaluate alternative systems available from competitors to see which is best for the customer. B. send the customer a list of frequently mentioned objections and responses to each. C. decide if she wants to contact the customer. D. establish goals for meeting with the customer. E. call the customer and offer a first-time discount.

D. establish goals for meeting with the customer. after qualifying the customer, in addition to researching the customer, the salesperson will plan and set goals for the sales presentation during the preapproach stage

(19)Which of the following is not considered typical financial compensation for sales representatives? A. commissions B. salaries C. bonuses D. extra vacation days E. sales contests

D. extra vacation days

15:Colin has just received a delivery from the company's distribution center. He opens the containers and finds the popcorn and snacks are all bar-coded and priced and the package includes an end-of-the-aisle display rack. Colin has received a(n) __________ shipment. A. quick-response packaged B. ahead of the curve C. lead time synchronized D. floor-ready E. synthesized

D. floor-ready

15:Merchandise that arrives in the delivery truck ready to be sold is considered A. quick-response packaged. B. ahead of the curve. C. lead time synchronized. D. floor-ready. E. synthesized.

D. floor-ready.

The advertising message "People are not looking for quarter-inch drill bits; they are looking for quarter-inch holes" suggests that advertising messages need to A. emphasize technology. B. focus on quality. C. inform consumers about opportunities. D. focus on solving problems. E. engage in mild puffery.

D. focus on solving problems.

A major factor contributing to the growth in the use of direct marketing IMC efforts is A. reduced government regulation of deceptive advertising practices. B. expanded use of personal selling. C. a shift from objective-and-task to rule-of-thumb budgeting. D. increased use of credit and debit cards, and online shopping by consumers. E. the reduction in IMC noise, allowing for a decreased lagged effect.

D. increased use of credit and debit cards, and online shopping by consumers Direct marketing is the form of marketing communication that is most easily personalized through the use of customer databases. The growth of these databases has been stimulated by increased use of credit cards and increased online shopping.

8:When considering global marketing opportunities in Bangladesh, Tom asked the question, "How will we get it there?" Tom is concerned about __________ capabilities in Bangladesh. A. production capacity B. pricing C. advertising D. infrastructure E. cultural

D. infrastructure

The California Raisin Advisory Board used to run ads featuring "The California Raisins," a fictitious R&B musical group composed of dancing raisins that boogied to the song "I Heard It Through the Grapevine." The ads, which were hugely popular and which gave rise to a line of raisin-themed merchandise, were designed to encourage raisin consumption. This campaign was an example of A. product-focused advertising. B. consumer-generated advertising. C. public service announcements. D. institutional advertising. E. push strategies.

D. institutional advertising. this promotes an entire industry (raisin production in California) rather than any particular brand

15:Manufacturers trying to implement a just-in-time delivery system need to start with A. routing software. B. shipping schedules. C. distribution center design. D. knowledge of customer demand. E. intensive distribution.

D. knowledge of customer demand.

Ashley was nervous about making the ___________. She knew it was likely to be the largest expense in the advertising budget. A. publicity plan B. media flight plan decision C. media mix choice D. media buy E. monitoring and evaluation plan decision

D. media buy Ashley was about to make the media buy, the actual purchase of airtime or print pages

(19)Katerina is told by her sales manager, "Do whatever you need to do to get the sale," yet the company has ethical selling standards. Katerina faces the ethical problem of A. customer relationship management. B. sales force compensation inequity. C. limited commission reinforcement. D. mixed signals from her sales manager. E. unqualified lead generation.

D. mixed signals from her sales manager.

Special in-store displays for magazines and chewing gum are most likely to be effective if located A. near the entrance to the store. B. near the restrooms. C. along the aisle or wall to the far right of the customer as he or she enters the store. D. near the checkout counter. E. in the window at the front of the store.

D. near the checkout counter. This type of point-of-purchase display is most effective if placed near a location where consumers will be waiting to pay for their other purchases and will be tempted to make an impulse purchase.

(19)Naven knows that he needs to ask a series of questions early in his sales presentation, but he also knows that he A. should take control of the conversation. B. should ask questions only if he already knows the answers. C. needs to first determine whether the customer is an order getter or order taker. D. needs to listen carefully to the answers. E. should follow a strict structure with his questions.

D. needs to listen carefully to the answers. asking questions is not enough; the sales rep must aslo listen carefully to the answers.

(19)Sue spends much of her time checking inventories, processing straight rebuys, and making sure that everything is going smoothly. Sue is primarily a(n) A. business development specialist. B. caretaker rep. C. order getter. D. order taker. E. sales support rep.

D. order taker.

The individual elements of an IMC strategy can be viewed on two axes: __________ (from the consumer's perspective) and ________. A. passive and interactive; tangible and intangible B. mobile marketing and direct marketing; tangible and intangible C. offline and online; low cost and high cost D. passive and interactive; offline and online E. static and changing; offline and online

D. passive and interactive; offline and online The elements of an IMC strategy can be viewed on two axes: passive and interactive (from the consumer's perspective) and offline and online.

Jennifer has worked for many years reviewing and approving print ads for her firm. She has memorized a checklist of key points to review. Which of the following would not be on her checklist? A. headline B. body copy C. brand elements D. photo credits E. subheads

D. photo credits The headline, body copy, brand elements, and subheads are key elements of an advertisement.

8:Gross national income equals GDP A. minus net consumer spending. B. plus government spending on international trade. C. minus purchasing power parity. D. plus the net investment income earned from abroad. E. plus gross domestic international investment.

D. plus the net investment income earned from abroad.

All of the following are interactive elements of an IMC strategy except A. personal selling. B. consumer contests. C. mobile marketing. D. public relations. E. online marketing.

D. public relations. Personal selling, consumer contests, mobile marketing, and online marketing all involve direct interaction with a customer, as well as customer participation. Public relations involves building and maintaining a positive image, and customers do not need to take any action to receive it, making it indirect.

(19)Boris tells a colleague about a major prospect he plans to call on in the next few days and asks the colleague to pretend to be a customer while he makes his sales presentation. Boris and his colleague are engaged in A. requalifying leads. B. approach dynamics. C. closing the sale. D. role playing. E. cold calling.

D. role playing

Using prior sales and communication activities to determine the present communication budget describes which method of IMC budgeting? A. reach and frequency B. track and decode C. objective-and-task D. rule-of-thumb E. sender-receiver

D. rule-of-thumb; Rule-of-thumb methods such as the ones listed use prior sales and communication activities to determine the present communication budget.

Regina just bought a gourmet bagel store. She is working with a freelance graphic artist who is designing her logo and print advertisements. Regina is spending days looking over the various designs and color options. She needs to remember that the creative aspect of advertising design A. is everything. B. will determine pretesting and posttesting options. C. dictates tracking alternatives. D. should not overshadow the message. E. should always include coupons.

D. should not overshadow the message. Although creative execution can be an excellent tool for attracting attention to an advertisement, the creative aspect should not overshadow the message.

Regardless of the objective of an advertising campaign, each campaign's objectives must be A. sincere and emotional. B. consistent with those of the available media. C. either informative or persuasive but not both. D. specific and measurable. E. designed for use in both a pull and a push strategy.

D. specific and measurable. objectives must be specific and measurable, both to guide campaigning development and to facilitate evaluation

15:Steven managed an auto parts store in the 1990s. At that time, stockouts—failure to have the parts auto mechanics needed to do their work that day—increased the likelihood of the mechanics becoming customers of competing auto supply stores. To avoid this problem and keep his business customers, Steven most likely A. canceled orders and shifted the business to competitors. B. increased promotional outlays to overcome customer dissatisfaction. C. used exclusive geographic territories to reduce supply chain inefficiencies. D. stockpiled inventory, adding to the cost of providing auto parts. E. returned to traditional distribution center logistics.

D. stockpiled inventory, adding to the cost of providing auto parts.

8:Changes in _________ have been a driving force for growth in global markets for decades. A. infrastructure B. demographics C. population D. technology E. ethical standards

D. technology

Which advertising medium relies on a mix of visual and auditory techniques? A. radio B. magazines C. newspapers D. television E. direct marketing

D. television Television is used primarily for escapism and entertainment, so most television advertising relies on a mix of visual and auditory techniques.

Generally, which of the following media outlets relies on a mix of visual and auditory techniques and is typically very expensive? A. Internet B. newspaper C. radio D. television E. billboards

D. television television is used primarily for escapism and entertainment, so most TV ads rely on a mix of visual and auditory techniques. it's disadvantage is it's high cost

Which of the following is not a major consideration in determining an advertising budget? A. role of advertising in overall promotional objectives B. the product life cycle C. the nature of the market D. the budgeting method used E. the nature of the product

D. the budgeting method used in determining an advertising budget, firms must consider the role that advertising plays in their attempt to meet overall promotional objectives, expenditures over the course of the product life cycle, the nature of the market, and the nature of the product.

15:Although conflict is likely to occur in any supply chain, it is generally more pronounced when A. the supply chain members are geographically too close to each other. B. manufacturers pressure retailers. C. retailers pressure manufacturers. D. the supply chain members are independent entities. E. the economy is booming.

D. the supply chain members are independent entities.

(19)Personal selling can take place in all of the following situations except A. face-to-face. B. over the Internet. C. by telephone. D. through newspaper ads. E. video teleconferencing.

D. through newspaper ads. personal selling is a two-way communication process. and is therefore not well suited to being conducted through newspapers.

15:Radio frequency identification tags are A. selective distribution designs used to maximize geographic efficiency. B. electronic discount information tags used to provide reduced prices to select customers. C. VMI demand scheduling data tags. D. tiny computer chips that transmit information about a container's contents. E. information tags used for floor-ready merchandising.

D. tiny computer chips that transmit information about a container's contents.

15:Dawn works for a firm that buys products directly from the manufacturer and resells them to retailers, who then sell the products to consumers. Dawn works for a A. retail distribution center. B. retail jobber. C. store representative. D. wholesaler. E. manufacturer's representative.

D. wholesaler.

To get us to remember their ad and the product or brand in the ad, advertisers must first a. use persuasion B. offer incentives. C. create effective PSAs. D. get our attention. E. vary between flighting and pulsing scheduling.

D. get our attention. unless an advertiser gets the consumer's attention, the ad has no impact

In very simple words, advertising is really about A. improving brand image. B. personal selling. C. linking emotions with products. D. getting consumers' ; attention. E. being creative.

D. getting consumers' ; attention. to get you to remember their ad and the brand, advertisers must first get your attention

After identifying the target audience for the university's new advertising campaign, the advertising team needs to decide whether the advertising objective is to __________, __________, or __________ potential and/or existing students. A. create; stimulate; ignore B. beg; borrow; steal C. pay; buy; entertain D. inform; persuade; remind E. push; pull; sell

D. inform; persuade; remind informing, persuading, and reminding customers are the three general objectives of advertising.

"Now available—the latest fall fashions" is an example of a(n) __________ advertising message. A. persuasive B. reminder C. socially responsible D. informative E. institutional

D. informative persuasive advertising seeks to motivate the consumer to take action

Advertising slogans such as "Don't text and drive"; and "Buy flood insurance before it is too late"; are examples of ads designed to A. provide information. B. remind consumers. C. recruit employees. D. persuade consumers to take action. E. generate goodwill.

D. persuade consumers to take action. these are persuasive messages because they seek to persuade the receiver tot take some action

Florida Heat Pump Manufacturing Company is offering a free, all-expenses-paid trip to Las Vegas for HVAC dealers that sell at least 20 units this year. Florida Heat Pump is using a __________ promotional strategy. A. pull B. puffery C. publicity D. push E. posttesting

D. push a push strategy promotes a product to members of the supply chain. Consumer advertising, in contrast, is usually part of a pull strategy, in which the goal is to have consumers demand the product of retailers.

Anne's Pita Bread Chips offers free POP (point-of-purchase) displays to retailers ordering its product. Anne's is using a __________ strategy. A. pull B. puffery C. publicity D. push E. posttesting

D. push a push strategy promotes a product to members of the supply chain. Consumer advertising, in contrast, is usually part of a pull strategy, in which the goal is to have consumer demand the product of retailers.

The increased use of customer databases has enabled marketers to identify and track consumers over time and across purchase situations and has contributed to the rapid growth in A. media advertising. B. publicity. C. public relations. D. sales promotions. E. direct marketing.

E. direct marketing; Direct marketing is the form of marketing communication that is most easily personalized through the use of customer databases.

8:Culture affects A. how consumers decide to make their purchases. B. what consumers decide to purchase. C. when consumers decide to make their purchases. D. where consumers decide to make their purchases. E. every aspect of consumers' purchase decisions.

E. every aspect of consumers' purchase decisions.

8:According to purchasing power parity theory, if __________ is(are) in equilibrium, products will cost the same in each country. A. imports and exports B. consumer spending C. interest rates D. domestic products E. exchange rates

E. exchange rates The purchasing power parity (PPP) theory holds that if exchange rates are in equilibrium, products should cost the same in each country. In that case, the Big Mac Index (an index comparing the cost of a Big Mac wherever it is sold throughout the world) would be identical for each country.

15:The most common type of contractual vertical marketing system is a A. wholesale agreement. B. joint venture. C. licensing arrangement. D. partnership. E. franchise.

E. franchise.

Yolanda asked her firm's advertising agency to estimate how often consumers saw her firm's IMC message and what percentage of the target audience was exposed to the message. Yolanda is asking for __________ data. A. parity and affordability B. sales and promotion C. attitude change D. rule-of-thumb E. frequency and reach

E. frequency and reach Frequency refers to the number of times the audience was exposed to a message, and reach refers to the percentage of the target population exposed to the message.

The goal of any marketing communication is to A. maximize personal selling. B. increase public relations click-through rates. C. overwhelm negative publicity with commercial speech. D. replace cause-related marketing with non-cause-related marketing. E. get the right message to the right audience through the right media.

E. get the right message to the right audience through the right media. A successful marketing communication strategy will get the right message to the right audience through the right media.

15:Each time a politician or celebrity writes a book, bookstores can expect at least some customers to want the book, but whether or not it will become a bestseller is less certain. The bookstore's primary inventory management challenge is A. how to get the author to sign copies of the book. B. whether to price the books in the distribution center or at the retail store. C. which other books to promote along with this book. D. whether or not to display the book at the checkout counter. E. having enough books to satisfy customer demands versus the cost of having the inventory.

E. having enough books to satisfy customer demands versus the cost of having the inventory.

8:The term trade deficit refers to A. a country that exports more goods than it imports. B. an indicator of the quality of life in a country. C. a level of population growth that impacts exports. D. the sum of all goods and services handled in a country. E. higher levels of imports than exports.

E. higher levels of imports than exports. A trade deficit refers to a situation where a country imports more goods (in terms of dollar value) than it exports.

15:In a __________ distribution center, merchandise moves from vendors' trucks to retailers' delivery trucks in a matter of hours. A. traditional B. combination C. cross-docking D. vertical E. horizontal

E. horizontal

15:Retailers often perform ticketing and marking functions in their distribution centers rather than in their retail stores because ticketing and marking is often A. the responsibility of the dispatcher. B. too complex for sales personnel to manage. C. done in conjunction with supply chain promotional allowances. D. the responsibility of the logistics department and not the marketing department. E. inefficient and expensive.

E. inefficient and expensive.

15:When supply chain members view their goals and ultimate success as intricately linked, or ________, they develop deeper long-term relationships. A. conventional B. vertical C. horizontal D. administered E. interdependent

E. interdependent

15:In a corporate vertical marketing system, A. conflict tends to be a major problem. B. independent firms at different levels of the marketing channel join through contracts to obtain economies of scale and coordination to reduce conflict. C. there is no common ownership, and the dominant member has significant power to impose its ideas and objectives. D. independent firms join together formally to decide how the marketing channel will operate. E. participants—such as warehouses, transportation companies, and retail outlets—are typically owned by a parent company to ensure harmonious relations throughout the supply chain.

E. participants—such as warehouses, transportation companies, and retail outlets—are typically owned by a parent company to ensure harmonious relations throughout the supply chain.

8:When Ford Motor Company decided to sell the Fiesta—in the same form and design—around the globe, instead of selling different versions in different countries, this was part of Ford's global ________ strategy. A. communication B. pricing C. distribution D. exchange E. product

E. product

A firm that places an emphasis on developing and maintaining positive relationships with the media is focusing on a(n) ________ strategy. A. personal selling B. mobile marketing C. advertising D. direct marketing E. public relations

E. public relations Public relations is the organizational function that manages the firm's communications to achieve a variety of objectives, including building and maintaining a positive image, handling or heading off unfavorable stories or events, and maintaining positive relationships with the media.

8:A __________ limits the quantity of imported merchandise, thus minimizing competition faced by domestic products. A. tariff B. duty C. trading bloc D. trade agreement E. quota

E. quota

(19)Sales representatives add value for customers by doing all of the following except A. educating them about the firm's products. B. providing advice on solving business problems. C. saving them time. D. simplifying communication with the firm. E. reducing the firm's marketing costs.

E. reducing the firm's marketing costs. although a sales force can offer a firm many benefits, personal selling can be an expensive way to market products.

15:In vendor-managed inventory systems, A. corporations send information to retail customers, bypassing wholesalers and retailers. B. companies send information to cooperatives. C. customers send information to retailers. D. sales reps send sales information to the retailer. E. retailers send sales information to the manufacturer.

E. retailers send sales information to the manufacturer.

(19)Bridgette went to the Gap ready to buy a new shirt, but was not sure which color or style she wanted. The sales representative, sensing Bridgette's buying mode, most likely began with the __________ stage of the selling process. A. generate leads B. preapproach C. closing the sale D. follow-up E. sales presentation

E. sales presentation bridgette was ready to see her opinion in styles and colors, so the sales rep would move directly to a presentation.

(19)David has been a star representative and has personally serviced and developed all his accounts. Recently, however, David's firm has grown steadily and the company's products and systems have become more and more complicated. In the past year or so, David and his sales colleagues have been changing their approach due to the sales growth and increasing product complexity. Customer relationships are now being handled more and more by __________, which is typical of firms experiencing this kind of growth. A. manufacturer's representatives B. brokers C. sales administrators D. junior sales reps E. selling teams

E. selling teams

Sarah goes through the newspaper looking for coupons to help reduce her living expenses. Her roommate Paige doesn't read newspapers, let alone look through them for coupons. But Paige filled out a form from inside a cereal box entering her in a drawing for free exercise equipment. What kind of sales promotion reached Paige? A. loyalty program B. contest C. deal D. premium E. sweepstakes

E. sweepstakes All of these are alternate ways of reaching consumers who do not search for coupons—but a sweepstakes does not require the entrant to complete a task other than buying a ticket or filling out a form.

Jami is managing an extended advertising campaign for a local convenience store chain. The campaign includes a series of television, radio, and print messages. As part of monitoring the campaign, which of the following offers a good indicator of advertising effectiveness? A. the cost of the media buy B. past economic conditions C. planned store expansions in similar markets D. new advertising concepts E. the daily and weekly sales volume

E. the daily and weekly sales volume The daily and weekly sales volume is an important measure to track during the campaign.

Cross-promotion is most successful when A. one product is well known and one product is less known. B. the firms have a prior marketing relationship. C. the two products are similar in price. D. the promotion takes place over a very short time period. E. the two products appeal to the same target market.

E. the two products appeal to the same target market. to achieve a successful cross-promotion, the two products must appeal to the same target market and together create value for consumers.

15:Shorter lead times allow retailers A. access to a more diverse supply chain. B. to reduce the need for pick tickets. C. to skip advanced shipping notices. D. to replace JIT systems with VMI systems. E. to reduce the needed level of inventories.

E. to reduce the needed level of inventories.

(19)Like any effective salesperson, Frazer walks into a customer's office, shakes hands, looks the customer in the eye, and smiles. After exchanging pleasantries, Frazer will immediately try to create interest in his company's product and establish A. which type of follow-up will be needed. B. how much time has been allocated for the presentation. C. which of the alternative products to demonstrate. D. whether to quote a full price or discount price. E. where the customer is in the buying process.

E. where the customer is in the buying process. Early in the sales presentation, the sales rep needs to determine where the customer is in the buying process by asking a series of questions.

Each year in December, Anheuser-Busch runs television ads featuring the Clydesdale horses pulling a stagecoach with an Anheuser-Busch logo. The message is low-key, wishing everyone well during the holiday season. This is an example of _________ advertising. A. informative B. persuasive C. reminder D. discussive E. institutional

This is reminder advertising. It does not seek to specifically motivate any particular action, but simply reminds consumers that Anhesuser-Busch is out there, using the familiar Clydesdales that have long been associated with the brand

15: T/F:A firm just starting out usually has the option of choosing from whom it buys and to whom it sells.

false A new firm typically doesn't have the option of designing the "best" marketing channel structure—that is, choosing from whom it buys or to whom it sells. For example, a new sporting goods 0ol retailer may not have the option of carrying all the manufacturer lines it wants because other competing retailers in its market area might carry the same products

T/F: Glenn is trying to promote his new, self-published financial guidebook. By directly promoting it to readers in the Wall Street Journal, he is using a push strategy.

false A push strategy seeks to increase demand by focusing on wholesalers, retailers, or salespeople. Campaigns aimed at consumers are pull strategies.

8:t/f: Tariffs artificially lower prices and therefore lower demand.

false A tariff is a tax levied on a good imported into a country with the intention of making the imported goods more expensive and, therefore, less competitive with domestic products.

15: T/F:Retailers generally have no prior knowledge of the merchandise they will be receiving from suppliers in any particular shipment.

false An advanced shipping notice is an electronic document that the supplier sends the retailer in advance of a shipment to tell the retailer exactly what to expect in the shipment.

8:t/f:Among the various international trade agreements, the North American Free Trade Agreement represents the highest level of integration across individual nations.

false Comprised of 29 member countries, the European Union represents the highest level of integration of any trade agreement.

15: T/F:Conflicts within a supply chain tend to be more pronounced when the members are part of a corporate vertical marketing system.

false Conflict is generally more pronounced when the channel members are independent entities. Marketing channels that are more closely aligned share common goals and are therefore less prone to conflict.

In the AIDA model, the think stage is the __________ stage. a. awareness b. action c. interest d. desire e. intention

a. awareness

in the communication process, noise can occur as a result of lack of message clarity, a poor choice of medium, or a. competing messages b. an extended feedback loop c. indirect encoding d. inhibited decoding e. excessive reach

a. competing messages

________ refers to the process by which the receiver interprets the sender's message a. decoding b. feedback c. precoding d. encoding e. tracking

a. decoding

if you ever watched a television commercial and at the end of the message wondered what was being promoted, you may had trouble _______ the IMC message a. decoding b. transmitting c. precoding d. encoding e. tracking

a. decoding

the communication process includes all of the following except a. evaluation b. the sender c. the transmitter d. the communication channel e. the receiver

a. evaluation

15: T/F:Distribution centers are always operated by distribution specialists.

false Distribution centers may be operated by retailers, manufacturers, or distribution specialists.

8:t/f: Entering into a global franchise agreement exposes a company to higher risk than if the company had entered into direct investment in the country.

false Franchising is a contractual agreement between the firm and a local firm. In a global franchising agreement, this entails lower risks and requires less investment than if entering into direct investment in a country.

8:t/f:An effective global pricing strategy can be easily established by setting the same prices in every market around the world.

false Global pricing is a difficult task, due to differences in the environment in different countries. Setting the same price worldwide is rarely feasible.

8:t/f: Glocalization refers to a global marketing strategy in which each of the four Ps is customized for each country.

false Glocalization refers to a situation where the same product is sold in multiple countries but the promotion strategy is adjusted country by country.

8:t/f: Using intermediaries in global distribution networks generally lowers costs and prices for products.

false Intermediaries typically add cost and ultimately increase the final selling price of a product.

If marketing communications are effective, they will a. result in purchases by some consumers receiving the communications b. offset any negative publicity the firm may have received c. minimize the number of communications channels used by the firm d. generate interest in the product in over half the consumers reached

a. result in purchases by some consumers receiving the communications; although many measures of marketing communication look at things like number of exposures, the eventual goal is to move a consumer to take action

The sender of an IMC message hopes the receivers are a. the people for whom the message who originally intended b. the people with the most buying power c. consumers who are capable of discerning value d. consumers who have purchased the firm's products in the past e. the market segment with the most gross rating points

a. the people for whom the message who originally intended

15: T/F:One reason retailers are reluctant to use distribution centers is that retail store space is typically much less expensive than space at a distribution center, so it is more cost-effective to store merchandise and get it ready for sale at the retail store rather than at a distribution center.

false It is advantageous to use a distribution center since space at a distribution center is typically less expensive than a retail store.

8: t/f: In a joint venture, the burden of ownership, control, and profits is not shared.

false Joint ventures form when a firm entering a new market pools its resources with those of a local firm to form a new company in which ownership, control, and profits are shared.

(19)T/F: Manufacturers' representatives are a firm's senior sales employees.

false Manufacturer's representatives are independent agents who sell a manufacturer's products on an extended contract basis, but they are not employees of the manufacturer.

T/F: An iPad mini advertisement appearing in the New York Times is an example of using a niche media channel.

false Nice media channels are more focused and generally used to reach narrower segments. Since the New York Time is geared toward reaching large audience, it would be considered mass media.

T/F: Public service announcements (PSAs) represent a form of sales promotion.

false PSAs are public service announcements, which are typically related to social causes. sales promotions are special incentives are excitement-building programs that encourage consumers to purchase a particular product or service, typically used in conjunction with other advertising or personal selling programs.

15: T/F: Quick response (QR) systems allow retailers to maximize their inventory holdings.

false Quick response (QR; also known as just-in-time) systems are inventory management systems designed to minimize inventory levels (and thus inventory-carrying costs).

T/F: The three general objectives of advertising are to select, target, and promote.

false The three general objectives of advertising are to inform, persuade, and remind customers.

8:t/f:There is only one global product strategy: to sell a product or service similar to that sold in the home country but include minor adaptations.

false There are three potential global product strategies: to sell the same product or service in both the home country and the host country, to sell a product or service similar to that sold in the home country but include minor adaptations, and to sell totally new products or services in the host country.

T/F: A pulsing advertising schedule uses periods of heavy advertising followed by periods of no advertising.

false a pulsing advertising schedule maintains a base level of advertising, but increases intensity during certain periods.

(19)T/F: Most marketing executives believe that salespeople are born, not made.

false although there are some "born salespeople," even people who possess all the necessary characteristics still need training

T/F: When businesses support cultural or sporting events, such as the Capital One Orange Bowl football game, this is known as cause-related marketing.

false cause-related marketing is commercial activity in which businesses and charities from a partnership to market an image, product, or service for their mutual benefit, while event sponsorship occurs when corporations support carious activities (financially or otherwise), usually in the cultural or sports and entertainment sectors.

(19)T/F: the sales process always proceeds through each of the five steps

false depending on the product, the customer, and the situation, some steps of the process may be skipped.

8:t/f: Exporting refers to a situation where a company maintains ownership of its plants, operational facilities, and offices in a foreign country in which it sells its products.

false exporting means producing goods in one country and selling them in another, and involves the least financial risk of all the global entry strategies

8:t/f:In a joint venture, the burden of ownership, control, and profits is not shared.

false oint ventures form when a firm entering a new market pools its resources with those of a local firm to form a new company in which ownership, control, and profits are shared.

(19)T/F: It is the company's responsibility, not the salesperson's, to ensure that all dealings with the customer are ethical and legal.

false salespeople have a responsibility to be ethically and legally correct in all dealings with their customers.

T/F: The primary federal agencies that regulate advertising activities in the United States are the Fed, FEMA, and the FCC.

false the advertising regulatory agencies are the FTC, the FCC, and FDA.

8:T/F: The Big Mac Index is a measure of economic health in a country.

false the big mac index attempts to compare purchasing power of different currencies, not economic health

(19)T/F: The first step in the personal selling process is the preapproach

false the first is generating and qualifying leads.

(19)T/F: Regarding ethical issues, the most important thing a company can do is to have written formal guidelines for common ethical situations.

false this is also important. but the text states that the most important thing is for sales managers to lead by example with good ethical behavior.

(19)T/F:Geraldine is in NEC's sales training program. She will probably be taught that all a salesperson needs to do is ask questions.

false while asking questions is an important part of a sales job, carefully listening to the answers is equally important.

15: Which element of the marketing mix specifically deals with supply chain management? A. product B. price C. place D. promotion E. production

place

15: T/F: In a direct marketing channel, there are no intermediaries between the buyer and the seller.

true Typically, in a direct marketing channel there are no intermediaries between the buyer and seller. For example, an individual who sells handmade purses at craft fairs and on websites like Etsy would sell directly to consumers, representing a direct marketing channel.

T/F: The key to a successful emotional appeal is to create a bond between the consumer and the brand.

true an emotional appeal aims to satisfy consumers' emotional desires and focus on feelings about the self. creating a bond between the consumer and the brand is important to the success of an emotional appeal.

(19):T/F: Mary visited an office building and went door to door to hand out business cards and sell office products. Mary was making cold calls.

true cold calls involve calling or seeing potential customers without appointments.

T/F: Contests and sweepstakes are both forms of sales promotions, but a contest requires some sort of skill or effort, while a sweepstakes is a drawing of entrants' names.

true contests require effort on some level; sweepstakes require only that the individual submit an entry.

(19)T/F: One of the major responsibilities of being a sales rep is being the frontline emissary for one's firm.

true for many customers, the sales rep may be the only company representative they ever see

(19)T/F: Jobs in sales are among the highest-paying careers for college graduates.

true in addition to salary, compensation may include perks, commissions, and bonuses.

(19)T/F: firms that use personal selling do so bc the benefits exceed the costs

true it can be expensive to maintain a sales force; however, for some firms the benefits far outweigh the costs.

(19)T/F: Retail salespeople should never "judge a book by its cover."

true just bc someone does not appear to fit a store's image does not necessarily mean that the shopper is unqualified to buy

(19) T/F: Almost everyone is engaged in some form of selling.

true on a personal level, we sell our ideas and opinions to others. In addition, many careers (including most professional services) require skills in order to obtain clients.

T/F: Beverage companies often pay movie producers to have their products used and shown in movies. This is an example of product placement.

true product placement is becoming increasingly common in many product categories, including beverages.

(19)T/F: The four main types of financial rewards for sales representatives are salaries, commissions, bonuses, and sales contests.

true salary is the fixed sum of money paid at regular intervals. commission is paid as a percentage of sales volume or profitability. bonuses are payments made a t management's discretion when the salesperson attains certain goals. a sales contest is a short-term incentive designed to elicit a specific response from the sales force.

(19)T/F: If you are hired as a sales manager, you will be responsible for recruiting, selecting, training, motivating, compensating, and evaluating the sales force.

true sales management involves the planning, direction, and control of personal selling activities, including recruiting, selecting, training, motivating, compensating, and evaluating, as they apply to the sales force.

(19)T/F: Ethical and legal issues are likely to arise between the sales force and corporate policy when the salespeople become conflicted between doing what they believe is ethical and what their company asks them to do in order to make a sale.

true salespeople may sometimes be asked by an employer to behave in a way that violates the salesperson's ethical standards.

(19)T/F: If it is a company's policy to intentionally mislead potential customers about some aspect of a product, a sales rep that carries out this policy by misleading the customer can be held legally accountable.

true salesperson can be held accountable for intentionally misleading potential customers, even when it is company policy to do so.

T/F: An advertising campaign's objectives should be specific and measurable.

true specific, measurable objectives are important both in directing campaign strategy and in measuring results.

T/F: An advertisement stating, "Buy now: no money down" is a persuasive-type ad.

true the ad is trying to persuade the consumer to make a purchase now.

(19)T/F: The best way to avoid postsale problems is to contact customers right after they take possession of their products.

true the speed of contact demonstrates responsiveness and empathy. it also shows that the salesperson and the firms care about customer satisfaction

15: T/F: In the four Ps of marketing, place refers to all the activities required to get the right products to the right customer when that customer wants it.

true this is the def of place

T/F: Loyalty programs are sales promotions designed to retain current customers and encourage multiple purchases over time with the promise of a reward or premium.

true this is the definition of loyalty program

T/F: Isaac wants to measure the effectiveness of his company's advertising campaign. To do so, Isaac will have to assess elements of the campaign before, during, and after the campaign runs.

true to determine whether or not advertising had any impact, measurements before, during, and after the campaign are ncessary.

T/F: Although it is usually brief, the role of the subhead in print advertisements is to provide additional 18-3 Copyright © 2017 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. product information.

true while both should be short and use simple words, the headline in an advertisement is designed to attract attention, but the subhead provides more information about the product being sold.

(19)T/F: One of the benefits of careers in sales is flexibility in scheduling.

true salespeople often work by themselves and are usually responsible for planning their own schedules

(19) Trade shows are a particularly good source of B2B sales leads because A. they are open to the general public. B. they are almost always sanctioned by the government. C. people who attend are interested in the products and services being offered. D. consumers tell retailers which shows to attend. E. they are an inexpensive way to generate leads.

C. people who attend are interested in the products and services being offered. trade shows attract people who have an interest in the topic of the show and thus are likely to have an interest in the products offered.

Actor Sissy Spacek once objected to a series of movie scenes that included her smoking a certain brand of cigarettes. She was probably objecting to a __________ arrangement the film company had made with an advertiser. A. promotional deal B. mass media buy C. product placement D. loyalty program E. sampling

C. product placement A product placement is a situation in which a marketer has paid to have a product included in a nontraditional situation, such as a scene in a film or TV program. In all likelihood, the cigarette manufacturer had paid the film producer in return for visibility for the brand of cigarettes.

Gretchen has just started as a fashion marketing intern for an up-and-coming design firm. She expected to begin right away implementing the four Ps she had learned about in class. Instead, she was asked to work on a project identifying important events where celebrities might wear the fashions. Gretchen soon realized that this activity was part of __________, directly related to marketing. A. sales promotions B. cause-related marketing C. public relations D. press release development E. a push-pull strategy

C. public relations Public relations activities generate "free" media attention, often obtained because of corporate activities to encourage the attention. By getting celebrities to wear the fashions, Gretchen was helping get publicity for the design firm's clothing.

A __________ is an advertisement that focuses on public welfare issues. A. product-focused advertisement B. consumer-generated advertisement C. public service announcement D. reminder advertisement E. push strategy

C. public service announcement as a form of advertising, public service announcements inform, persuade, or remind consumers, but their focus is on public welfare and the betterment of society

Gypsy just bought a gift and jewelry store on Main Street. She knows from the previous owner that almost 60 percent of her sales take place during the Christmas holiday season, with the other 40 percent of sales evenly distributed over the rest of the year. Gypsy will probably use a __________ advertising schedule. A. continuous B. flighting C. pulsing D. penetrating E. purposeful

C. pulsing A pulsing schedule—when a baseline of advertising is increased during certain periods—makes sense due to the seasonality of Gypsy's business. She is always open and would not want to stop advertising altogether, but would like to match her advertising expenditures to the sales pattern she observes

A ____________ advertising schedule uses a base level of advertising during some periods followed by periods of increased advertising. A. continuous B. flighting C. pulsing D. penetrating E. purposeful

C. pulsing this is the definition of pulsing advertising schedule. ex: airlines; those times of travel like Spring Break and Holidays

(19)kyle is preparing for an important sales presentation. He knows that customers are more likely to ___________ during his presentation than during other stages of the selling process. A. be identified as qualified leads B. agree with everything he says C. raise objections D. offer advice E. return unacceptable merchandise

C. raise objections customers are more likely to raise objections (also called reservations) during the sales pres. than at other times. it is important for the sales rep to be prepared for this to happen.

(19)For salespeople who practice __________, an unsuccessful close one day may lay the groundwork for a successful close during the next meeting. A. role playing B. sales support promotion C. relationship selling D. delayed preapproach E. transactional selling

C. relationship selling when the focus of selling is on relationships and not transactions, each meeting is part of the progression of the relationship and may be laying the groundwork for closing a sale later.

(19)Which of the following is not one of the steps in the B2C personal selling process? A. generate and qualify leads B. preapproach C. request for proposal D. closing the sale E. follow-up

C. request for proposal

15: When Costco sells to consumers directly, it acts as a _______; when it sells to other businesses, such as a restaurant owner, it acts as a _______. A. wholesaler; retailer B. retailer; manufacturer C. retailer; wholesaler D. manufacturer; wholesaler E. marketing channel; supply channel

C. retailer; wholesaler

15:A distribution center is typically operated by A. the marketing department. B. vertically integrated consumer networks. C. retailers, manufacturers, or distribution specialists. D. wholesalers. E. electronic data interchange services.

C. retailers, manufacturers, or distribution specialists.

Traditionally, marketers have seen the role of __________ as generating short-term results, whereas the goal of __________ was to lead to long-term results. A. public relations; institutional advertising B. advertising; personal selling C. sales promotion; advertising D. advertising; public relations E. corporate blogs; public relations

C. sales promotion; advertising Sales promotion is often viewed as a vehicle to generate short-term results; advertising is often viewed as a vehicle to generate longer-term results, in part because repeated viewing is often required for the consumer to completely process the advertising message.

hen developing an advertising message, the message should focus on A. the producer. B. the advertising environment. C. solving problems for consumers. D. creating investment opportunities. E. niche media balance.

C. solving problems for consumers.

8:Which of the following global entry strategies is being used if a company collaborates with a competitor on a globally based opportunity for mutual benefit, but the competitors do not invest in each other? A. franchising B. joint venture C. strategic alliance D. direct investment E. equity partnership

C. strategic alliance A strategic alliance is a collaborative relationship that does not create an equity partnership. Competitors might enter into this kind of arrangement if both could profit from it. Since they do not invest in each other, there is enough distance that they could continue to compete in other arenas.

Persuasive advertising is often used when competition A. is nonexistent. B. is cooperating. C. is most intense. D. is declining. E. is ineffective.

C. is most intense. persuasive advertising is often used during the growth and early maturity stages of the product life cycle when competition is most intense, hoping to accelerate market acceptance of the product.

Brent is working on an advertising campaign to promote downtown businesses. He knows the increasing number of advertising communication channels available and changes in consumers' media usage A. will force him to use PSAs. B. increases consumers' preference for high-pressure persuasive advertising. C. makes his job more difficult. D. makes it easier to select media. E. makes budgeting more important, and creativity less important.

C. makes his job more difficult. the increasing number of communications media has made it more complex to choose appropriate media for a campaign

(19)What are the 5 service quality dimensions?

1)reliability 2)responsiveness 3)assurance 4)empathy 5)tangibles

15:Which of the following is a true statement about distribution centers? A. They enable retailers to carry less merchandise in individual stores. B. Distribution center space is typically more expensive than retail space. C. They are appropriate for all retailers, from the largest to the smallest. D. They are the quickest way to get all products to retailers. E. They complicate the process of predicting accurate sales forecasts.

A. They enable retailers to carry less merchandise in individual stores.

15:A(n) __________ is a 13-digit code retailers can use to track inventory. A. UPC B. CFPR C. pick ticket D. ASN E. EDI

A. UPC

15:Sophie made pies and sold them from her food truck to local businesses. This is an example of a(n) A. direct marketing channel. B. distribution center. C. simplified transaction. D. wholesale operation. E. indirect marketing channel.

A. direct marketing channel.

8:Which of the following statements regarding global segmentation, targeting, and positioning is true? A. Companies must continually adjust products and marketing strategies to meet the changing needs of global markets. B. Global segmentation, targeting, and positioning activities are far less complicated than the same activities in the domestic market. C. When developing a global STP strategy, it is best to define segments by geography alone. D. Segmentation, targeting, and positioning activities for global markets do not differ substantially from that of domestic markets. E. The "golden rule" for global STP activities for firms is to never alter a firm's marketing mix to serve the needs of global markets.

A. Companies must continually adjust products and marketing strategies to meet the changing needs of global markets.

"Buy one, get one free" is which type of sales promotion? A. Deal B. Coupon C. Sample D. Sweepstake E. Rebate

A. Deal A deal refers to a short-term price reduction that takes the form of a price lower than the regular price or a larger amount for the same price.

When Apple's famous 1984 "Big Brother" ad aired during the Super Bowl, it reached an estimated 500 million viewers. It aired only once on commercial television, but was seen in later years in at least 10 television programs recalling great commercials. For its target audience, the frequency of this ad is measured as A. 1. B. 10. C. 500 million. D. one-tenth. E. 5 billion (10 times 500 million).

A. 1. Marketers measure the frequency of exposure—how often the target audience is exposed to a communication within a specified period of time. In this case, the ad was aired only once.

When Yolanda asked her firm's advertising agency to estimate how often consumers saw her firm's IMC message and what percentage of the target audience was exposed to the message, she was told the reach was 40, the frequency was 4, and the competitive parity was 10. The gross rating points for her firm's campaign were A. 160. B. 1,600. C. 400. D. 40. E. The answer cannot be determined from this information. Gross rating points (GRP) are computed by multiplying reach by frequency. Thus, in this case, GRP = 40 × 4 = 160.

A. 160. Gross rating points (GRP) are computed by multiplying reach by frequency. Thus, in this case, GRP = 40 × 4 = 160.

(19)Which of the following best describes a company sales force? A. A company sales force is composed of people who are employees of the selling company. B. A company sales force is made up of independent agents making cold calls. C. A company sales force is a team set up to sell products to companies. D. A company sales force is an organization that supplies sales reps to other companies. E. A company sales force is composed of people both inside and outside the organization.

A. A company sales force is composed of people who are employees of the selling company.

15:From a retailer's perspective, a(n) ________ is helpful in order to know exactly what will arrive in a particular shipment from a supplier. A. ASN B. EDI C. UPC D. VMI E. RFID

A. ASN

Generally, less money is spent on advertising in B2B markets because A. B2B marketing usually involves more personal selling. B. B2B marketing is too expensive to use advertising. C. business customers prefer coupons. D. B2B markets are too homogeneous to use advertising. E. publicity is the most effective advertising in B2B markets.

A. B2B marketing usually involves more personal selling.

8:Which of the following trade agreements is designed to manage and promote trade activities for the United States, Canada, and Mexico? A. NAFTA B. EU C. CAFTA D. Mercosur E. ASEAN

A. NAFTA

8:Which of the following best describes the direct investment global entry strategy? A. With direct investment, a firm maintains total ownership of its plants, operation facilities, and offices in a foreign country. B. Direct investment occurs when a firm enters a new market by pooling its resources with those of a local firm to form a new company in which ownership, control, and profits are shared. C. Direct investment refers to depositing payroll funds in a foreign bank. D. Direct investment designates the maximum quantity of a product that may be brought into a country during a specified time period. E. Direct investment occurs when a producer sells its offering in a foreign market at a price less than its production cost.

A. With direct investment, a firm maintains total ownership of its plants, operation facilities, and offices in a foreign country.

(19)When Motorola first entered the Mexican marketplace, the company wanted direct control of salespeople in major urban markets but was not as concerned about control in less populated areas of the country. Motorola probably used _____________ in major urban areas and ______________ in less populated areas of Mexico. A. a company sales force; manufacturer's reps B. manufacturer's reps; customer relationships C. manufacturer's reps; a company sales force D. independent agents; manufacturer's reps E. order takers; selling teams

A. a company sales force; manufacturer's reps

Sally could recall the brand of toothpaste she used only when a marketing researcher mentioned the brand. This is known as A. aided recall. B. unaided recall. C. top-of-mind awareness. D. brand preference. E. brand indifference.

A. aided recall. Aided recall is when consumers recognize the brand when the name is presented to them.

(19)A salesperson's compensation can be made up of some combination of salary, commission, and __________, which are payments made at a manager's discretion when the salesperson achieves certain goals. A. bonuses B. metrics C. awards D. income segments E. rebates

A. bonuses

Personal selling is an especially important part of IMC in A. business-to-business markets. B. cause-related marketing. C. event sponsorships. D. stealth marketing. E. web tracking.

A. business-to-business markets Business-to-business markets make especially heavy use of personal selling

15:Ted is glad his company finally converted to an RFID system. Now, he no longer needs to go through all the new goods to make sure what the company ordered was what it received. Ted is responsible for __________ in his company. A. checking B. dispatching C. receiving D. JIT E. quick response

A. checking

(19)Johnny works at an electronics store. In addition to his salary, he receives 2 percent of the sales dollars he brings in each month. This extra 2 percent is called a A. commission. B. salary. C. bonus. D. reward. E. rebate.

A. commission.

8:In China, state control of media is high, so companies are challenged to find ways to get their message to customers. This demonstrates one of the difficulties in crafting a global ________ strategy. A. communication B. product C. cultural D. distribution E. pricing

A. communication

8:Global segmentation, targeting, and positioning (STP) are more complicated than local STP, in part because A. consumers may view their roles differently in different countries. B. there are fewer franchising opportunities in global markets. C. global consumer markets are almost totally homogeneous, making segmentation difficult. D. most governments have rules against targeting consumers. E. positioning almost always fails when attempted in a foreign country.

A. consumers may view their roles differently in different countries.

For consumer products like toothpaste and groceries, things consumers purchase throughout the year, most advertisers would use a __________ advertising schedule. A. continuous B. flighting C. pulsing D. penetrating E. purposeful

A. continuous A continuous advertising schedule runs steadily throughout the year, which is well suited to products purchased continually or at steady rates.

A __________ can be used to create positive word of mouth, help customers form a community, and develop long-term relationships between customers and the company. A. corporate blog B. faxed newsletter C. Super Bowl ad D. full-page ad in selected newspapers E. public relations campaign

A. corporate blog A blog contains periodic posts on a common web page. It can be used for all of the purposes listed, as a way to communicate with customers.

8:Cory is working on a global marketing assessment team looking out well into the future to help determine the most attractive market areas around the world. He is evaluating market sizes and growth rates. Based on population growth rates in different regions, he should consider that A. countries with high purchasing power today may not continue to show the same growth in the future. B. the United States and Western Europe will have dramatic increases in population growth leading to overcrowding. C. the middle class in India will continue to shrink as the rich get richer and the poor get poorer. D. in places like India, urban population centers will become increasingly unattractive and the rural areas will experience major growth in population. E. the global population is expected to grow at staggering rates indefinitely.

A. countries with high purchasing power today may not continue to show the same growth in the future.

(19)Several months ago, Veronica took over the sales territory managed by a very successful salesperson. Veronica should use __________ as a first source of leads. A. current customers B. chamber of commerce gatherings C. trade shows D. census data E. competitor databases

A. current customers

8:Graham had developed an extremely successful advertising and promotion campaign for a client in the United States. The client wanted to roll out the same campaign to markets worldwide, but Graham cautioned against doing this, most likely because A. differences in languages, customs, and culture might make the campaign meaningless and ineffective in some markets. B. copyright and intellectual property concerns prevented him from wanting to share his good ideas outside of the U.S. market. C. he had not applied for or received international certification that was required for working outside the United States. D. he was unfamiliar with the code of ethics for advertising in other countries. E. he did not have the budget for a global rollout.

A. differences in languages, customs, and culture might make the campaign meaningless and ineffective in some markets.

8:Which of the following is one of the global entry strategies? A. direct investment B. countertrade C. offshoring D. infrastructure development E. trade agreements

A. direct investment

(19)Monica works as a salesperson in a retail clothing store. Of the five stages in the selling process, Monica is least likely to engage in A. generating and qualifying leads. B. making the preapproach. C. closing the sale. D. following up. E. making a sales presentation.

A. generating and qualifying leads. Monica is least likely to engage in generating and qualifying leads. For retail salespeople, qualifying leads is inappropriate and possibly discriminatory. It is dangerous to "judge a book by its cover," assuming based on someone's appearance that he or she is not qualified to buy products in a store.

15:In a(n) _______ marketing channel, one or more intermediaries work with manufacturers to provide goods and services to customers. A. indirect B. vertical C. horizontal D. simple E. direct

A. indirect

Compared to mass media advertising, a key advantage of direct marketing is A. it allows for personalization of the message. B. it reaches a larger audience. C. it involves face-to-face contact. D. it uses the rule-of-thumb budgeting method. E. it is used almost exclusively for B2B marketing.

A. it allows for personalization of the message. Direct marketing can be easily personalized to each individual consumer.

One difficulty associated with using advertising as part of a marketer's IMC efforts is A. it is hard to break through the clutter of other messages targeted for the same audience. B. it is more expensive than personal selling. C. it works only when communicating to the most uninformed consumers. D. government regulations have significantly decreased allowable advertising frequencies. E. it is considered old-fashioned by many younger consumers.

A. it is hard to break through the clutter of other messages targeted for the same audience. The increasing volume of advertising has made it more difficult for an ad to break through the clutter.

8:Generally, firms entering foreign markets begin with A. less risky strategies first. B. direct investment. C. importing. D. decentralized production. E. the riskiest, but most profitable endeavor.

A. less risky strategies first.

8:Tariffs protect domestic producers by A. making imported products more expensive. B. increasing brand recognition. C. reducing the cost of production. D. offering subsidies to exports. E. avoiding regulation.

A. making imported products more expensive.

15:A(n) __________ is the set of institutions that transfer the ownership of and move goods from the point of production to the point of consumption. A. marketing channel B. distribution center C. logistics chain D. strategic relationship E. electronic data interchange

A. marketing channel

The execution style of an advertising message must A. match the medium and the objectives. B. correspond with globally accepted norms. C. include a minimum of puffery and maximum media buy. D. selectively pull retailers into the marketing channel. E. cover new creative ground to be effective.

A. match the medium and the objectives. The execution style and the type of medium will affect each other; in addition, the execution style should be appropriate for the campaign objectives.

Which of the following is being used by a store owner who sends out a text message to all of her preferred customers announcing the arrival of this season's new clothing? A. mobile marketing B. social marketing C. personal selling D. sales promotions E. advertising

A. mobile marketing Mobile marketing sends messages through wireless handheld devices, such as cellular telephones.

An advertisement for Titleist golf balls that airs on the cable television network Golf Channel is an example of which type of media channel? A. niche B. mass C. select D. product placement E. institutional

A. niche Niche media channels are more focused and generally used to reach narrower segments, often with unique demographic characteristics or interests.

8:Franco, a former retailer, has been living in the United States for five years and wants to start a business. He does not have an existing firm or a product, and he doesn't have a lot of capital, but since he loves McDonald's food, he decides to A. open a McDonald's franchise. B. directly invest in McDonald's. C. export McDonald's products to other countries. D. form a strategic alliance with McDonald's. E. form a joint venture with McDonald's.

A. open a McDonald's franchise.

(19)A small office supply company may have a person whose primary responsibility is to process routine orders, reorders, or rebuys of products for clients. This employee is known as a(n) A. order taker. B. order getter. C. sales support rep. D. sales team. E. sales manager.

A. order taker.

15:Felicia had just taken over her family's business after spending ten years in the marketing department of a large corporation. She met with a representative from one of her firm's biggest customers, who told her, "We should think about how we can make the pie bigger rather than fighting over the size of the slices." She had expected a more cutthroat approach rather than this call for a A. partnering relationship. B. shared mission statement. C. common marketing system. D. corporate vertical marketing system. E. linked supply chain.

A. partnering relationship.

In the early stages of an ad campaign, the objectives are established. To determine if those objectives have been met, the marketer will A. posttest. B. conduct feedback analysis. C. initiate content analysis. D. pretest. E. arrange for peer analysis.

A. posttest. Posttesting is the evaluation of the campaign's impact after it has been implemented.

Marketers __________ an advertising campaign to ensure that various elements of the campaign will work in an integrated fashion and do what they are intended to do. A. pretest B. posttest C. monitor D. flight E. pulse

A. pretest Pretesting of campaigns is conducted to ensure that the advertisement does what it is supposed to do before significant money is spent executing the campaign.

In the United States, the regulation of advertising involves a complex mix of laws and informal restrictions designed to A. protect consumers from deceptive practices. B. stimulate domestic demand. C. reduce international competition. D. promote social marketing. E. institutionalize pull strategies.

A. protect consumers from deceptive practices.

(19)One of the advantages of personal selling over other types of marketing communication is that A. salespeople can build strong relationships with customers. B. personal selling almost always costs less than other marketing communication alternatives. C. personal selling has greater reach than advertising. D. cold calling is easier than direct mail advertising. E. personal selling requires less training than other types of selling.

A. salespeople can build strong relationships with customers. salespeople are the frontline of the company and in the best position to get to know customers and build relationships with them.

In a television commercial for Chobani Greek yogurt, the manufacturer Chobani plays which role in the communication process? A. sender B. transmitter C. encoder D. channel E. receiver

A. sender The message originates from the sender, who must be clearly identified to the intended audience.

The head of the marketing area told Alex to find the most stringent federal regulations on advertising to create the toughest standards. "If we can pass those, we should be able to get by all regulations." One real problem is A. state regulations are not always consistent with federal standards. B. FCC regulations create a uniform standard that preempt all other regulations. C. European countries have agreed to follow the U.S. standards, so it's a matter of working with the U.S. federal regulations. D. as long as the advertising does not contain sexually explicit content, there are no regulations. E. in most cases, standards are changing almost daily.

A. state regulations are not always consistent with federal standards. States have different regulations and are beginning to assert their authority more than in the past, creating confusion since many state laws are more restrictive than U.S. federal law. The same is true of European Union laws regulating advertising—they are typically more restrictive than U.S. law.

Public relations is the component of IMC that A. supports other promotional efforts by generating "free" media attention. B. has received the greatest increase in spending. C. converts mass media advertising into direct marketing. D. most effectively uses IMC encoding. E. generates the most gross rating points.

A. supports other promotional efforts by generating "free" media attention. Public relations manages a firm's communications to achieve a variety of objectives, including building and maintaining a positive image and maintaining positive relationships with the media. As such, it strives to generate "free" attention from the media to support the rest of the IMC strategy.

Unlike advertising, public relations A. supports promotional efforts by generating "free" media attention. B. accounts for a greater increase in marketing spending. C. converts mass media advertising into direct marketing. D. is considered a human resource function. E. should not be considered part of the marketing area.

A. supports promotional efforts by generating "free" media attention.

8:Manufacturers would prefer to produce in a country with a trade __________, because it signals a greater opportunity to export products to more markets. A. surplus B. deficit C. discrepancy D. bonus E. balance

A. surplus

8:Marketers considering operations and trade with a specific country must consider whether or not the country belongs to a trading bloc. A trading bloc is a group of countries A. that have established a formal agreement to manage trade activities. B. using the same currency. C. with similar cultural shopping patterns. D. located next to each other. E. with similar political views.

A. that have established a formal agreement to manage trade activities.

If you send an e-mail and include a link, you can track how many people took the desired action of clicking on the link. This is known as A. the click-through rate. B. impressions. C. frequency. D. gross rating points. E. reach.

A. the click-through rate. The click-through rate is the number of times users click on an ad divided by the number of impressions.

15: One of the benefits of EDI is that it can reduce lead time, which is A. the time between the decision to place an order and the receipt of the merchandise. B. the time from when an RFP is announced to the time a consumer purchases the finished product. C. the time from when funds are committed for purchase of raw materials to the time when the payment for the finished goods is actually received. D. the time between when finished goods leave the manufacturer and when they arrive, floor-ready, at the retailer. E. the time between when an item is sold to a customer and when a replacement is made available for purchase by another customer.

A. the time between the decision to place an order and the receipt of the merchandise.

8:Global marketers typically find distribution in developing countries is more complex because A. they must go through many different types of distribution channels. B. distribution is more heavily regulated in developing countries. C. most consumers in developing countries live in densely populated cities. D. the infrastructure is more advanced in most developing countries. E. consumers in developing countries have very specific preferences.

A. they must go through many different types of distribution channels.

15:A(n) __________ is a supply chain whose members act like a unified system. A. vertical marketing system B. independent marketing system C. concentrated marketing system D. conventional marketing system E. strategic marketing system

A. vertical marketing system

The most important activity in recruiting salespeople is determining what the salesperson will be doing and A. what personal traits and abilities a salesperson should have to do the job well. B. when they are available to start work. C. whether to pay them on a commission basis, or a salary plus commission. D. how long they are likely to stay. E. their previous level of experience.

A. what personal traits and abilities a salesperson should have to do the job well.

(19)Brandon is in the process of qualifying leads he received from corporate headquarters. Brandon will assess A. whether or not it is worthwhile to pursue these potential customers. B. how often these customers have bought his products in the past. C. whether he should use role playing in his sales presentation. D. what objections he is likely to receive from the customers. E. how to preapproach these people.

A. whether or not it is worthwhile to pursue these potential customers. qualifying leads refer to determining whether or not they have the needs and the resources necessary to make them good potential customers.

8:Which of the following statements best describes global expansion through a strategic alliance? A. In a strategic alliance, a firm enters a new market and forms a new company with shared ownership, profits, and control. B. A strategic alliance is a relationship in which two firms collaborate on a business opportunity, but do not invest in each other. C. In a strategic alliance, two firms enter into a franchise agreement. D. In a strategic alliance, a firm in one country sends products to a firm in another country. E. In a strategic alliance, a firm signs a trade agreement with a firm in another country.

B. A strategic alliance is a relationship in which two firms collaborate on a business opportunity, but do not invest in each other.

__________ is when two or more firms join forces to reach a target audience in a short-term effort. A. Promotional co-branding B. Cross-promotion C. Joint-venture promotion D. Multi-target promoting E. Convenience promoting

B. Cross-promotion this is the definition of cross-promotion

8:Which of these trade agreements represents the highest level of integration among participating nations? A. NAFTA B. EU C. GNI D. ASEAN E. CAFTA

B. EU

U.S.-based global marketers have often found that A. anything goes when advertising outside the United States. B. EU advertising laws are more restrictive than those in the United States. C. children in other countries are less influenced by advertising. D. self-regulatory groups are especially demanding of U.S. advertisers. E. outside the United States, standards are subject to UN approval.

B. EU advertising laws are more restrictive than those in the United States.

8:The most common measure of market potential of an economy is a country's A. GNI. B. GDP. C. PPP. D. CPI. E. APR.

B. GDP.

________ refers to the process of evaluating and selecting the _______. A. Advertising; media buy B. Media planning; media mix C. Promotion planning; advertising mix D. Media buying; media mix E. Media mixing; media buy

B. Media planning; media mix Media planning refers to the process of evaluating and selecting the media mix—the combination of the media used and the frequency of advertising in each medium—that will deliver a clear, consistent, compelling message to the intended audience.

Which of the following is the least common emotional appeal for advertisers? A. fear B. anger C. humor D. love E. nostalgia

B. anger the most common types of emotional appeals are fear, safety, humor, happiness, love (or sex), comfort, and nostalgia

(19)Like any effective salesperson, Tiffany walks into a customer's office, shakes hands, looks the customer in the eye, and smiles. After exchanging pleasantries, Tiffany will try to create interest in her company's product. Tiffany will likely __________ to adapt or customize her presentation to match the customer's needs. A. use a hypothetical situation B. ask a series of questions C. examine the customer's office D. make a variety of assumptions E. refer to past sales

B. ask a series of questions early in the sales presentation, the sales rep needs to determine where the customer is in the buying process by asking a series of questions.

The goals of IMC need to A. expand as the advertising budget expands. B. be explicit and measurable. C. be encoded before they can be decoded. D. include both the noise effect and the transmitter effect. E. be separate from budget.

B. be explicit and measurable; All IMC goals should be explicitly defined and measured so that success can be evaluated

The major text portion of a print advertisement that should arouse a desire for the product and move the consumer to action is contained in the A. headline. B. body copy. C. brand elements. D. photo credits. E. subheads.

B. body copy. The body copy represents the main text portion of the ad. It builds on interest generated by the visual and headlines, explains in more depth what the headline and subheads introduced, arouses desire for the product, and provides enough information to move the target consumer to action.

8:Which of the following is not one of Hofstede's cultural dimensions? A. power distance B. certainty assurance C. masculinity D. individualism E. time orientation

B. certainty assurance

15: Yesterday, Lorinda overheard a surprisingly unpleasant encounter between the manager of the hardware store where she works and a sales rep who sells a well-known line of tools. The rep insisted that his tools should be more prominently displayed and that a better assortment would mean more sales. The manager had other plans and told him so, and the conversation turned into a loud argument. What Lorinda observed was an example of A. sales tactics. B. channel conflict. C. retail strategy tension. D. passive aggressive behavior. E. a failure of EDI processes.

B. channel conflict.

8:Once a firm has done an analysis of the most viable markets for its products, then it must next A. determine the competition and develop strategies to overcome it. B. conduct an internal assessment of its capabilities. C. conduct an external analysis of the target market's economy, culture, and regulatory barriers. D. develop a product to meet the needs of those markets. E. achieve success with the product in its home market.

B. conduct an internal assessment of its capabilities.

Which of the following is not a public relations tool? A. donating a portion of profits to a charitable cause B. coupons and rebates C. event sponsorships D. news releases E. websites

B. coupons and rebates coupons and rebates are forms of sales promotion.

The key to a successful emotional advertising appeal is to use the emotion to A. make consumers cry. B. create a bond between the consumer and the brand. C. get consumers to think about the benefits of the product. D. balance social marketing with product-focused advertising. E. deliver a logical message.

B. create a bond between the consumer and the brand.

In the "create advertisements" step when planning and executing an ad campaign, often the execution style for the ad will A. determine the pretesting pulse of the ad. B. dictate the type of medium used to deliver the message. C. determine which push-pull strategy will accompany the ad. D. dictate how advertising will be flighted. E. deliver integrated marketing.

B. dictate the type of medium used to deliver the message. The execution style and the type of medium will be connected; the execution style often dictates the type of media that can be used

The additional sales that can be attributed to an advertising campaign are known as A. payload. B. impact. C. lift. D. the campaign increment. E. ROI.

C. lift. this is the definition of lift

Firms are willing to offer generous rebates because A. the retailer and manufacturer always split the cost. B. rebates increase sales, but firms may not have to pay off all the rebates offered. C. they are easier for the consumer to use than are coupons. D. rebates are the only type of sales promotion proven to impact sales. E. they tend to generate repeat customers.

B. rebates increase sales, but firms may not have to pay off all the rebates offered. Firms garner considerable value from rebates because they attract consumers and therefore stimulate sales, but they may not have to pay off all the rebates offered.

15:Because manufacturers with JIT systems produce merchandise closer to the time of sale, they can A. organize cooperative agreements among competing manufacturers to reduce oversupply. B. reduce inventories needed to satisfy retailers' demand. C. use exclusive geographic territories to centralize production. D. effectively eliminate the need for a dispatcher. E. replace independent supply chains with corporate supply chains.

B. reduce inventories needed to satisfy retailers' demand.

8:One Laptop Per Child is a nonprofit initiative with the goal of making extremely low-cost laptops available to children in the developing world, with the goal of helping them learn skills needed in today's workforce. If some of the low-cost technology developed for this laptop found its way into laptops created for U.S. consumers, this would be an example of A. glocalization. B. reverse innovation. C. franchising. D. a strategic alliance. E. purchasing power parity.

B. reverse innovation.

15:When Joe's Chicken Shack wants chicken delivered in smaller batches more frequently, it offers its distributors an incentive in the form of special bonuses to change their schedules. Joe's demonstrates which kind of power? A. coercive B. reward C. referent D. expertise E. information

B. reward

8:Cultural nuances, subcultures, and consumers' different views of their roles in different countries can make __________ complicated. A. purchasing power parity B. segmentation, targeting, and positioning C. trading bloc coordination D. exchange control planning E. reducing trade surpluses

B. segmentation, targeting, and positioning Global segmentation, targeting, and positioning (STP) is complicated because differences in country culture, politics, or the economy may lead consumers to view their roles differently, and these differences can be hard for an entering company to understand.

Firms can use __________ to bring customers together to share experiences around the products. A. surveys B. social media C. consumer outlets D. brand associations E. public relations

B. social media The term socialmedia refers to media content distributed through social interaction—for example, YouTube, Facebook, and Twitter. Firms can use these sites to engage their customers in a proactive dialogue with other customers.

Integrated marketing communications include all of the following except A. advertising. B. supply chain management. C. direct marketing. D. public relations. E. sales promotion.

B. supply chain management. All of these except the supply chain are channels used in the IMC process.

The content of an advertising message is closely tied to A. the size of the advertising team. B. the characteristics of the media selected to carry the message. C. the opportunity for posttesting. D. the sales promotion opportunities. E. the coupon redemption rate.

B. the characteristics of the media selected to carry the message.

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 A. the number of destinations. B. the number of impressions. C. the cost per click. D. how much time consumers spend viewing the ad or page. E. the total number of clicks recorded by the industry.

B. the number of impressions. The click-through rate (CTR) is computed by dividing the number of clicks by the number of impressions.

15:Getting merchandise floor-ready entails A. distributing and dispatching. B. ticketing and marking. C. vertical supply chain wholesaling. D. intensive cross-docking. E. selective checking.

B. ticketing and marking.

8:Geert Hofstede's cultural dimensions concept focuses on six dimensions of __________ in a country. A. symbols B. underlying values C. buying patterns D. personality E. visible artifacts

B. underlying values

Which of the following is the best example of a reminder advertising message? A. "Buy now, pay later." B. "Doing business in Peoria since 1848." C. "Better than average." D. "Now available—the latest fall fashions" E. "New and improved."

B. "Doing business in Peoria since 1848." is a message that reminds consumers. "We're still here!"

__________ is a particularly good advertising medium for groceries and fast food. A. Television B. Internet C. Direct mail D. Radio E. Newspaper

B. Media planning; media mix Radio is a good medium for products such as grocery purchases or fast food because many consumers decide what to purchase either on the way to the store or while in the store. Because many people listen to the radio in their cars, it becomes a highly effective means to reach consumers at a crucial point in their decision process.

Informative advertising is used to A. prompt repurchase of a product. B. create and build brand awareness. C. trigger an emotional response. D. gather information about consumers. E. convince consumers to take action.

B. create and build brand awareness. informative advertising is used to build brand awareness, often for new products.

Generally speaking, all advertising messages are designed to A. meet the needs of society. B. inform, persuade, or remind customers. C. comply with FCC rules combined with FTC antitrust regulations. D. entertain or apprise. E. match production scheduling with consumer demand.

B. inform, persuade, or remind customers. informing, persuading, and reminding are the three general objectives of advertising

P&G's Tide laundry detergent has been around since 1948 and is still a market leader. P&G's has used __________ advertising to reposition Tide several times over the product's life cycle, trying to motivate new consumer segments to use the product. A. informative B. persuasive C. social marketing D. emotional E. institutional

B. persuasive in later stages of the product life cycle, persuasive advertising may be used to reposition an established brand by persuading consumers to change their existing perceptions of the advertised product.

Whenever the major beverage companies develop a new product, they advertise it heavily using television and print media. These efforts are designed to A. generate goodwill for the company. B. pull the product into retail stores through consumer demand. C. signal strategy changes to market competitors. D. make it easier to do posttesting. E. push the product into retail stores so customers can purchase it.

B. pull the product into retail stores through consumer demand. consumer the advertising is usually part of a pull strategy, in which the goal is to have consumers demand the product of retailers. In contrast, a push strategy promotes a product to members of the supply chain.

15:At the BMW plant in Spartanburg, South Carolina, rather than use a typical order-to-delivery process, it has suppliers deliver parts every four hours when the plant is in operation. BMW uses a(n) ______ inventory control system. A. cross-docking B. lead time C. just-in-time (JIT) D. pick ticket E. UPC

C. just-in-time (JIT)

Which of the following is the best example of puffery? A. "Take two and call us in the morning." B. "Happy hour every Friday." C. "You have tried the rest, now try the best." D. "All natural ingredients." E. "Northwestern, the quiet company."

C. "You have tried the rest, now try the best." Puffery refers to the legal exaggeration of praise, stopping just short of deception, lavished on a product. "Now try the best" sounds like an exaggeration.

(19)Retail salespeople should not __________ and assume that a person in the store cannot afford to purchase the store's products based on appearances. A. assume Murphy's Law is true B. "run for the roses" C. "judge a book by its cover" D. "let sleeping dogs lie" E. attempt to "keep up with the Joneses"

C. "judge a book by its cover"

(19)Although a sales representative may skip a step in the personal selling process or might sometimes have to go back and repeat steps, there is logic in the sequence. Which of the following would not be appropriate in the personal selling process? A. Before a salesperson can work through the preapproach, leads must be qualified. B. The customer's reservations must be addressed before closing the sale. C. Closing the sale is the final—and most satisfying—part of the process. D. Carefully working through the preapproach will make the next step—the sales presentation—more effective and efficient. E. Follow-up may include additional sales for the representative.

C. Closing the sale is the final—and most satisfying—part of the process. closing the sale is not the final part of the process, postsale support is essential as well for relationship building and to encourage follow-on business

The __________ is the primary enforcement agency for mass media advertising. A. FDA B. FCC C. FTC D. BATF E. USPS

C. FTC The Federal Trade Commission (FTC) is the primary enforcement agency for most mass media advertising.

8:Which of the following is not one of the major trade agreements affecting global marketing? A. NAFTA B. EU C. GNI D. ASEAN E. CAFTA

C. GNI

George wants to increase the number of visits to his insurance firm's website, which specializes in rental insurance for college students. George decides to target Internet browsers who use the terms apartment, insurance, and student. Which of the following will be most helpful to George? A. Twitter B. corporate blog C. Google AdWords D. Google Chrome E. Google Analytical Thinking

C. Google AdWords Google AdWords is a search engine marketing tool offered by Google that allows advertisers to show up in the Sponsored Links section of the search results page based on the keywords potential customers use.

__________ appeals help consumers make purchase decisions by offering facts in advertising messages and strong arguments built around relevant issues, explaining key benefits of the firm's products and services. A. Emotional B. Niche marketing C. Informational D. Institutional E. Reminder

C. Informational this describes an informational appeal, which tries to reach the consumer through reason and logic

15:______ systems are designed to deliver smaller shipments of merchandise on a more frequent basis to retailers. A. Cross-docking B. UPC C. Just-in-time (JIT) D. Pick ticket E. Lead time

C. Just-in-time (JIT)

(19)_________ involves the planning, direction, and control of personal selling activities, including recruitment, selection, training, motivation, compensation, and evaluation of members of the sales force. A. Human resource management B. Integrated marketing communications management C. Sales management D. Marketing management E. Sales administration

C. Sales management this is the def of sales management

__________ are special incentives or excitement-building programs that encourage consumers to purchase a particular product, often used in conjunction with advertising or personal selling programs. A. B2B programs B. Trade incentives C. Sales promotions D. Push programs E. Targeted leader items

C. Sales promotions this is the definition of sales promotions

The manufacturer of Beats by Dr. Dre headphones decides to advertise in the "lifestyles" sections of big-city newspapers. However, this generates a limited response in sales. Which of the following represents a likely breakdown in the communication process here? A. The message was decoded incorrectly. B. The message was not transmitted. C. The message was not received by its intended audience. D. The message was encoded incorrectly. E. The sender was not clearly identified.

C. The message was not received by its intended audience. Noise is any interference that stems from competing messages, a lack of clarity in the message, or a flaw in the medium. In this case, the message was not relevant to the audience who received it.

Often, advertisers will employ a variety of media to deliver their message. When using different media, advertisers need to deliver A. value-based posttesting. B. niche media emotional appeals to the mass market. C. a consistent and compelling message. D. selective, continuous pulsing. E. mild puffery.

C. a consistent and compelling message. Advertisers should strive for a consistent, compelling message across all media in order not to confuse consumers or present a muddled brand image.

First Lady Michelle Obama has recorded an ad encouraging parents to teach their children good nutrition habits to stem the increase in child obesity. This message is an example of A. product-focused advertising. B. consumer-generated advertising. C. a public service announcement. D. reminder advertising. E. a flighting campaign.

C. a public service announcement. The First Lady produced a public service announcement, a message focused on public welfare

15:Roland has just received notification from a vendor that his clothing merchandise order has been processed and dispatched. Roland has just received a(n) A. horizontal contractual notice. B. vendor-managed inventory alert. C. advanced shipping notice. D. universal product code report. E. EDI tag.

C. advanced shipping notice.

Kevin is recognized by his friends as an activist on many fronts. He prefers to buy products from firms that will donate part of the total purchase price to organizations he supports. Marketers recognize that this approach can be an important competitive tool; it is called A. social activist marketing. B. voluntary premium pricing. C. cause-related marketing. D. business/social responsibility. E. the do-gooder syndrome.

C. cause-related marketing. Cause-related marketing is a commercial activity in which businesses and charities form partnerships to market an image, product, or service for their mutual benefit.

15:Which of the following is not required to build a successful strategic relationship? A. mutual trust B. open communications C. creation of a joint venture D. common goals E. credible commitments

C. creation of a joint venture

(19)During the preapproach stage, a salesperson usually conducts additional research about prospects and A. assists the prospect through the buying process. B. decides what role to play during the handling reservations stage. C. develops plans for meeting with the customer. D. offers initial concessions to gain the sale. E. determines which members of the customer's buying support team need to be present at the sales presentation.

C. develops plans for meeting with the customer. in addition to researching the customer, the salesperson will develop plans for meeting with the customer, which includes planning the sales presentation

Cora will be a bridesmaid next summer and has purchased her dress online. The next time she turned on her computer, Cora was surprised to see special offers for matching accessories. This is an example of which marketing strategy? A. sales promotions B. media advertising C. direct marketing D. personal selling E. public relations

C. direct marketing Direct marketing is the form of marketing communication that is most easily personalized, including increased use of customer databases to track purchases made online.

15:Which of the following is not one of the activities carried on in a distribution center? A. coordinating inbound transportation B. receiving, checking, storing, and cross-docking merchandise C. distributing paychecks and paystubs for retail employees D. getting merchandise floor ready E. coordinating outbound transportation

C. distributing paychecks and paystubs for retail employees

15:Marketing channels and supply chains comprise various buying entities that form relationships with one another. The basic motivating factor in these interactions is A. collaboration creates transactional relationships. B. the most powerful member of the supply chain always wins. C. each party wants something from the others. D. the participants must create the best possible EDI system. E. retail floor salespeople need emotional support from management.

C. each party wants something from the others.

An emotional appeal aims to satisfy consumers' __________, while an informational appeal speaks to consumers' __________. A. needs; desires B. institutional focus; personal focus C. emotional desires; utilitarian needs D. top-of-the-mind awareness; bottom-of-the-mind reactions E. cost-consciousness; imaginations

C. emotional desires; utilitarian needs

One of the advantages of niche media is it often allows marketers to A. reach a larger audience than mass media. B. use major events like the Super Bowl. C. focus on narrow audience segments. D. sell cooperative advertising space to cosponsors. E. spend fewer advertising dollars.

C. focus on narrow audience segments. Niche media reach smaller, better targeted audiences and are well suited for a message that will be tailored to different target markets.

Naomi is the IMC manager for a chain of regional income tax service providers. Franchisees pay a percentage of their revenue to an IMC account allocated to her. As she establishes the short-term goals for her firm's IMC efforts, her goals are likely to include A. expanding customer loyalty by closing the feedback loop. B. increasing market share, sales, and customer loyalty. C. increasing inquiries, awareness, and trial of her firm's services. D. shifting customers to rule-of-thumb budgeting. E. increasing the lagged effect.

C. increasing inquiries, awareness, and trial of her firm's services. Typical short-term IMC goals include generating inquiries, increasing awareness, and prompting trial of the firm's products.

15:A local furniture store buys furniture from various manufacturers and resells the furniture to its customers. What type of marketing channel does this represent? A. horizontal B. vertical C. indirect D. direct E. simple

C. indirect

Estella is trying to create an advertising message that communicates the tangible features of her company's laptop computers, telling consumers about the relative advantages of her products as compared to other offerings in the market. Estella is trying to create a(n) __________ appeal. A. emotional B. niche marketing C. informational D. institutional E. reminder

C. informational this describes an informational appeal, which helps consumers make purchase decisions by offering factual information that encourages consumers to evaluate the brand favorably on the basis of the key benefits it provides.

(19)One of the disadvantages associated with personal selling is A. cold calling is easier than direct mail advertising. B. a salesperson often changes the message based on consumers' needs. C. it is expensive. D. it can be directed toward those customers with the highest potential. E. it is structured and finite.

C. it is expensive. although a sales force can offer a firm many benefits, personal selling can be an expensive way to market products.

8:When a firm pools its resources with that of a local firm to enter a new market, they create a(n) A. franchise. B. export promotion. C. joint venture. D. direct investment. E. strategic alliance.

C. joint venture. A joint venture is a business formed when two or more firms pool their resources. It is a medium-risk strategy for global market entry. By requiring that foreign firms engage in joint ventures to enter the market, India helps ensure that a local firm can retain partial ownership of the venture.

8: when a firm pools its resources with that of a local firm to enter a new market, they create a(n) A. franchise. B. export promotion. C. joint venture. D. direct investment. E. strategic alliance.

C. joint venture. A joint venture is formed when a firm entering a market pools its resources with those of a local firm. It is a medium-risk strategy for global market entry. Strategic alliances refer to collaborative relationships between independent firms, though the partnering firms do not create an equity partnership.

The only formal regulation of children's advertising appears in A. the FCC regulations regarding children. B. the provisions of the Children's Television Act of 1990. C. the Better Business Bureau's Children's Advertising Review Unit guidelines. D. the federal GAO regulations on advertising. E. the Food and Drug Administration guidelines.

C. the Better Business Bureau's Children's Advertising Review Unit guidelines. The Children's Television Act of 1990 limits the amount of advertising broadcast during children's viewing hours and is the only formal regulation of children's advertising.

(19)Whether or not a salesperson will go through all five steps of the selling process depends on the sales situation and A. the use of sales representatives versus independent reps. B. the effectiveness of role playing. C. the buyer's readiness to purchase. D. the number of sales support personnel available. E. how the person was trained.

C. the buyer's readiness to purchase. if the buyer is ready to purchase, it may be unnecessary to go through earlier steps in the selling process.

8:The most important consideration when a firm chooses a global product strategy should be A. opportunities for countertrade. B. the effectiveness of the marketing team. C. the needs of the target market. D. the overall cost of the strategy. E. WTO regulations.

C. the needs of the target market.

Jim was asked to determine the impressions for an ad campaign. He will determine A. how often the audience was exposed to the communication. B. the percentage of the target population exposed to the communication. C. the number of times the ad appeared in front of the user. D. how useful the ad message is to the consumer. E. the advertising cost and the total communications expenditures.

C. the number of times the ad appeared in front of the user. Impressions are the number of times the ad appears in front of the user.

15:When a customer purchases a DVD at Best Buy, all of the following information flows in the supply chain are started except A. the sales associate scans the UPC recording the sale. B. the sale is transmitted to Best Buy's distribution center to adjust inventory data. C. the purchase is added to the customer's purchasing habit records. D. Best Buy's buyer aggregates sales at all stores and uses the information to send a reorder to the manufacturer. E. the point-of-sale terminal records the sale and sends it to Best Buy's buyer.

C. the purchase is added to the customer's purchasing habit records.

15:n an administered vertical marketing system, A. no individual participant has control over the others, since a third-party administrator oversees the entire supply chain. B. independent firms at different levels of the marketing channel join through contracts to obtain economies of scale and coordination to reduce conflict. C. there is no common ownership, and the dominant member has significant power to impose its ideas and objectives. D. independent firms join together formally to decide as a group how the marketing channel will operate. E. participants—such as warehouses, transportation companies, and retail outlets—are typically owned by a parent company to ensure harmonious relations throughout the supply chain.

C. there is no common ownership, and the dominant member has significant power to impose its ideas and objectives.

The effectiveness of an advertising campaign is assessed during the campaign by A. pull strategies. B. push strategies. C. tracking. D. flighting. E. pretesting.

C. tracking. Tracking includes monitoring key indicators, such as daily or weekly sales volume, while the advertisement is running to shed light on any problems with the message or the medium.

Thomas had conducted a thorough pretest before the new ad campaign, so he was fairly sure the elements would work together. A lot was riding on the success of the ad campaign, so he couldn't wait until the campaign was over to see how well it did. During the campaign, he will be monitoring the sales volumes on a daily basis as part of his A. cause-related marketing. B. pulsing. C. tracking. D. flighting. E. lifting.

C. tracking. Tracking refers to monitoring key indicators while the advertisement is running.

(19)Before approaching a potentially major B2B customer, a salesperson will usually A. conduct an initial sales presentation to lower-level personnel. B. estimate the potential commission associated with making the sale. C. try to find out everything possible about the firm and its needs. D. ask competitors what they know about the prospect. E. assess the corporate climate.

C. try to find out everything possible about the firm and its needs. in the preapproach stage, the salesperson will extend the lead qualification process, trying to find out as much as possible about the firm and its needs

Which of the following is a key hallmark of advertising? A. It is more effective in reaching consumers than other forms of promotion. B. It is almost always used in conjunction with consumer satisfaction surveys. C. It is a paid form of marketing communication. D. It is designed to remind, rather than persuade consumers. E. It is designed for small, targeted audiences only.

C. It is a paid form of marketing communication. advertising is not free; someone has paid, with money, trade, or other means, to get the messages shown

Yana has identified the target audience for her line of Russian jewelry. For optimum success, she is creating an advertising plan that will A. allow her to skip the assessment stage at the end of the campaign. B. offer discounts to media as an incentive to carry out her plan. C. clarify the specific goals that the advertising is designed to accomplish. D. encapsulate her unique selling proposition. E. maximize puffery.

C. clarify the specific goals that the advertising is designed to accomplish. specific, measurable objectives are important both in directing campaign strategy and in measuring results

For an advertiser, the target audience can be understood as A. consumers who currently use or like the product. B. consumers who do not use the product. C. consumers whom its research designates as its target market. D. consumers who prefer the competitor's product. E. consumers who are unaware of the product.

C. consumers whom its research designates as its target market. firms must keep in mind that their target audience may or may not be the same as current users of the product. they must conduct research to identify their target audience.

Greg is planning an advertising campaign to promote his kayak tour company. The success of his ad campaign depends on A. the quality of his kayaks. B. how much money he spends. C. how well he can identify his target audience. D. how much consumers like him. E. whether he can gain commitments from manufacturers for complementary products.

C. how well he can identify his target audience. first and foremost, Greg must be able to identify the target audience for his campaign to endure it success.

Which of the following is not true about public relations? A. PR has become increasingly important as costs of other forms of marketing communications continue to increase. B. Consumers have become increasing skeptical of marketing claims made in conventional media. C. Media coverage generated by PR is seen as more credible than paid advertising. D. Because of its high cost, the use of PR has waned in recent years. E. Public relations activities often support other promotional efforts.

D. Because of its high cost, the use of PR has waned in recent years. Public relations consists of "free" media attention, therefore it is not costly.

(19)__________ is a method of prospecting in which salespeople telephone or visit potential customers without appointments. A. Qualified lead calling B. Integrated sales support C. Relationship selling D. Cold calling E. Role reversal selling

D. Cold calling

15:_________ is when vendors ship merchandise prepackaged in the quantity required for each store to the distribution center. A. Quick response B. Checking C. Combination warehousing D. Cross-docking E. Horizontal merchandising

D. Cross-docking

15:In addition to merchandise and payments, information flows throughout a supply chain. Which of the following is not a good characterization of the flow of information in a supply chain? A. A manufacturer will send and receive information from buyers, stores, and distribution centers. B. Stores will send and receive information from manufacturers, buyers, distribution centers, and customers. C. Distribution centers will send and receive information from stores and manufacturers. D. Customers will send and receive information from stores and manufacturers. E. Buyers will send and receive information from stores and manufacturers.

D. Customers will send and receive information from stores and manufacturers.

8:Domestic firms developing a global entry strategy might consider franchising; however, the disadvantages need to be considered. Which of these is not a disadvantage of franchising? A. The franchisor has limited ability to ensure that foreign operations follow all the concepts and ideas that made the firm successful domestically. B. The franchisee might end up becoming a competitor. C. Franchising limits profit potential, since profits will have to be split with the franchisee. D. Franchising is the riskiest way to enter a foreign market. E. All of these are disadvantages a firm must consider.

D. Franchising is the riskiest way to enter a foreign market.

Which statement best describes personal selling? A. It involves a larger audience than advertising. B. It is primarily indirect communication. C. It is primarily informational communication, not persuasive communication. D. It is the two-way flow of communication between a buyer and a seller. E. It involves encoding while advertising involves only decoding.

D. It is the two-way flow of communication between a buyer and a seller. Personal selling is the two-way flow of communication between a buyer and a seller.

_______ channels are used to reach a broad audience; _______ channels are used to reach a narrower segment of consumers. A. Niche media; mass media B. Media mix; media buy C. Media buy; media mix D. Mass media; niche media E. Promotion; institutional

D. Mass media; niche media Mass media channels are ideal for reaching large numbers of anonymous audience members. Niche media channels are more focused and generally used to reach narrower segments

(19)__________ is a sales philosophy and process that emphasizes a commitment to maintaining and investing in long-term, mutually beneficial business relationships. A. Organizational buying B. Cold calling C. Psychographic selling D. Relationship selling E. Sales management

D. Relationship selling this is the def of relationship selling

Which of the following is the best example of a mass media advertising channel? A. Weight Watchers Magazine B. Red State Talk Radio (WRS) C. Home and Garden TV (HGTV) D. USA Today E. The Golf Channel

D. USA Today Mass media advertising channels are ideal for reaching large numbers of anonymous audience members, and USA Today reaches the broadest national audience.

8:The United States imports more goods from China than it exports to China. This is known as A. gross national income (GNI). B. a trade surplus. C. gross domestic product (GDP). D. a trade deficit. E. an import imbalance.

D. a trade deficit.

15:Especially in the fashion industry where styles and trends change rapidly, a quick response system can A. allow retailers to better forecast long-term demand. B. reduce logistical overlay. C. increase cross-docking promotional effectiveness. D. align deliveries more closely with actual sales. E. allow manufacturers to introduce unpopular styles and still be successful.

D. align deliveries more closely with actual sales.

(19)Often the best way to handle customers' reservations is to relax, listen, and A. reassess your preapproach strategy. B. consider outsourcing. C. immediately call your sales support team. D. ask questions to clarify the issues. E. reevaluate your expected order.

D. ask questions to clarify the issues.

(19)Tasha was selling siding and her boss told her that she could hide an extra charge for trim in the total, even though the customer was told he would not be charged for trim. Tasha was told this was standard practice for the siding company. If the customer takes legal action for this, who is most likely liable? A. the customer for not checking the order more carefully B. Tasha only, because she wrote the order C. Tasha's boss only, since he told her to do it D. both Tasha and the siding company, because both intentionally misled the customer E. no one, because this would be considered a victimless crime

D. both Tasha and the siding company, because both intentionally misled the customer

because PSAs are a special class of advertising, FCC rules require A. consumers to listen to them. B. court approval before they are aired. C. all advertisers to contribute to them. D. broadcasters to devote a specific amount of free airtime to them. E. that they use only the informative or reminder advertising appeals.

D. broadcasters to devote a specific amount of free airtime to them. Public service announcements are messages focused on public welfare. All broadcasters, in return for access to the broadcast spectrum, are required by the FCC to devote some free airtime to PSAs.

(19)Sales representatives are often compensated, at least in part, on a percentage of the sales revenue. This percentage is known as a A. bonus. B. sales increment. C. base salary. D. commission. E. finder's fee.

D. commission.

A firm's marketing communication strategy is formulated specifically to A. increase its frequency ratio. B. control its public image. C. increase its social media presence. D. communicate the value of its product(s). E. increase its return on investment.

D. communicate the value of its product(s). Marketers must consider how to communicate the value of a product and/or service—or more specifically, the value proposition—to the target market. A firm must develop a communication strategy to demonstrate the value of its product.

(19)For salespeople, __________ provide(s) a major contact point with customers in the follow-up stage of the selling process and an opportunity to build and improve relationships. A. trade shows B. cold calls C. preapproaches D. complaints E. telemarketing

D. complaints

Which of the following is most effective in building brand image, listing details about retail locations and educating customers about products and services? A. corporate blog B. faxed newsletter C. Super Bowl ad D. corporate website E. Twitter

D. corporate website Firms use their websites to build their brand image and educate customers about their products or services, as well as where they can be purchased.

Compared to other IMC alternatives, advertising is extremely effective for A. closing a sale. B. decoding messages efficiently. C. reducing the potential for noise. D. creating awareness and generating interest in a product. E. repositioning consumers in the AIDA model.

D. creating awareness and generating interest in a product. Advertising is best suited for creating awareness and interest. Because it is a relatively passive medium, it does not do as well at generating desire and spurring consumers to action.

15:Trisha makes purses out of old blue jeans and sells them to customers at local craft fairs. What type of marketing channel does this represent? A. indirect B. vertical C. horizontal D. direct E. simple

D. direct

After using market research to identify the target audience for his advertising campaign, Jorge will next use this information to A. develop creative advertising copy. B. assess the potential effectiveness of his ad campaign. C. buy advertising time. D. set explicit and measurable objectives for the campaign. E. develop PSAs for distribution in lieu of advertising.

D. set explicit and measurable objectives for the campaign. the second step in creating an advertising campaign is to set the advertising objectives. Specifics, measurable objectives are important both indirecting campaign strategy and in measuring results.

An advertising plan is crucial to an ad campaign because it A. is the basis for sales commissions. B. is required by the accounting department. C. offers insights into the creative leadership of mass media buyers. D. will later be used to measure the success or failure of the campaign. E. stimulates demand for a product category.

D. will later be used to measure the success or failure of the campaign. the plan, in addition to directing development of the campaign, will permit the firm to later evaluate the campaign's success, allowing the firm to make necessary adjustments.

Brenda wants to reduce mass media IMC and to increase the use of personalized marketing communication messages. To achieve this goal, Brenda will likely increase her use of A. sales promotions. B. advertising. C. public relations. D. price reductions. E. direct marketing.

E. direct marketing; Direct marketing is the form of marketing communication that is most easily personalized.

15:Which of the following is not an advantage of using a distribution center? A. More accurate sales forecasts are possible. B. Retailers need to keep less merchandise in the store as inventory if the stores get frequent deliveries. C. It is easier to avoid running out of stock or having too much stock. D. Use of a distribution center saves money since the storage space at a distribution center is generally less expensive than that of a store. E. Customers know they are dealing with a more sophisticated and financially well-off operation if the firm uses a distribution center.

E. Customers know they are dealing with a more sophisticated and financially well-off operation if the firm uses a distribution center.

15:________ power is based on getting a channel member to behave in a certain way because of a contractual agreement. A. Coercive B. Reward C. Referent D. Expertise E. Legitimate

E. Legitimate

8:If you visit a Kentucky Fried Chicken restaurant in China, along with KFC's regular menu items, you will find congee, a rice porridge that can feature pork, pickles, mushrooms, and preserved egg, on the menu. This is an example of which global product strategy? A. Sell the same products in both the home country market and the host country. B. Sell only products native to the home country. C. Sell a product similar to that sold in the home country, but include minor adaptations. D. Sell only products native to the various global markets. E. Sell totally new products or services.

E. Sell totally new products or services.

8:To determine the market potential for its particular product or service, a firm should use A. GDP data. B. unemployment data. C. purchasing power parity data. D. inflation data. E. as many metrics as it can obtain.

E. as many metrics as it can obtain.

Brad is working on the creative design for his company's new ad campaign. This is his first major assignment. His boss reminds him that when writing a headline, it should A. represent the main text of the ad. B. identify the sponsor of the ad. C. use jargon and complex terminology. D. overshadow the visual message. E. be short and use simple words.

E. be short and use simple words. The headline is the large type in an ad that is designed to draw attention. It should be short and use simple words.

Lars wants to purchase a gift for a colleague whose home he will be visiting. He decides to bring luxury chocolates, as he knows most people enjoy them. Although he is not sure about specific products, Lars heads directly for a store selling Godiva Chocolates, because he knows this is a high-end brand. Lars can be said to have A. brand recall. B. aided recall. C. brand preference. D. brand image. E. brand awareness.

E. brand awareness. Brand awareness refers to a potential customer's ability to recognize or recall that the brand name is a particular type of retailer or product/service.

15:In a(n) __________ marketing channel, none of the participants have any control over the others. A. cooperative B. corporate C. contractual D. administered E. conventional

E. conventional this is the def of a conventional, or independent, marketing channel.

After the advertiser has decided on the message, type of ad, and appeal, its attention now shifts to A. logistical support. B. new product development. C. advertising assessment. D. determining why they should advertise. E. creation of the advertisement.

E. creation of the advertisement. once these decisions are made, it is time to create the advertisements

8: Exchange control refers to the regulation of a country's A. comparative inflation rate. B. countertrade exchange. C. quota rate of exchange. D. exchange tariffs. E. currency exchange rate.

E. currency exchange rate.

15:Having no intermediaries between the buyer and seller is a defining characteristic of a(n) _______ marketing channel. A. indirect B. vertical C. horizontal D. simple E. direct

E. direct

When purchasing books on Amazon.com, customers are shown other books and a message saying "Customers who purchased (your book) also purchased... " This is an example of A. mass media advertising. B. publicity. C. public relations. D. sales promotions. E. direct marketing. This kind of personalization is a form of direct marketing

E. direct marketing. This kind of personalization is a form of direct marketing

(19)T/F: Potential customers are called marks.

Potential customers are called leads.

In the AIDA model, the do stage is the __________ stage. a. awareness b. action c. interest d. desire

b. action; this is the final stage of the AIDA model.

Especially for marketers with new products or services, IMC is needed because a. consumers need to know all about the features of new products before making a purchase decision b. consumers are unlikely to buy products they are not aware of c. it is impossible for products to sell themselves through word-of-mouth communication d. pricing decision cannot be made without IMC e. new products and services need to be integrated into the supply chain value proposition.

b. consumers are unlikely to buy products they are not aware of

Marketers often use focus groups to learn how consumers interpret their IMC messages. Experience has shown that a. effective branding requires marketers to encode messages identically for each market b. each receiver decodes IMC messages in his or her own way c. action is taken before desire and interest are determined d. marketers can almost always use the same message for all audiences e. messages are decoded in the manner intended by the encoder

b. each receiver decodes IMC messages in his or her own way

After creating awareness that the firm's products or services exist, the next goal of integrated marketing communications is to a. generate consumer action b. increase the level of interest needed to sustain action d. gain the attention of the consumer e. create intentions to purchase the product

b. increase the level of interest needed to sustain action; the steps are Awareness, interest, desire, action.

Which of the following is not one of the steps in the AIDA model? a awareness b. intention c. action d. desire e. interest

b. intention; The steps in the AIDA model are awareness, interest, desire, and action.

Carlos owns a chain of retail electronic stores. He is evaluating how he allocates his firm's IMC budget. He receives offers from a variety of advertising media, spends money on his firm's public relations efforts, and is considering electronic media alternatives, Car, must recognize that each IMC alternative a. will stand on its own b. it part of the whole c. is part of noncommercial free speech d. doesn't help communicate value to the consumer e. is dictated by the nature of the supply chain

b. is part of the whole

the communication process begins with _____, who (which) must be clearly identified. a. the integrator b. the sender c. the transmitter d. the communication channel e. the receiver

b. the sender

once the marketing communication has captured the interest of its target market, the goal of subsequent IMC messages should be to move the consumer from a. "i want it" to "i like it" b. action to desire c. "i like it to "i want it" d. interest to awareness e. feelings to thinking

c. "i like it to "i want it"; desire to action

advertising agencies often provide the IMC function of comparing their customer's target audience with the viewer, listener, or reader profile of the communication channel being considered. The agency s most likely trying to avoid noise problems associated with a. competing messages b. lack of clarity in the message c. a poor choice of medium d. an extended feedback loop e. a flaw in the medium

c. a poor choice of medium

Cheryl asked Nadia to help her buy some aftershave for her boyfriend. Nadia was going through a list of different brand names, when Cheryl stopped her and said, "I recognize that one." Marketers call this a. selective recall, free association b. free association c. aided recall d. recall mapping e. top-of-mind awareness

c. aided recall; Aided recall refers to consumers recognizing a brand name when they see or hear it.

__________ refers to a potential customer's ability to recall that the brand name is a particular type of retailer, product, or service. a. product familiarity b. brand association c. brand awareness d. marketing recall e. cognitive association

c. brand awareness; the first step of the AIDA model seeks to achieve brand awareness among consumers--knowledge that the brand name is in a particular category.

through advertising experts wish it were true, there is not always a direct link between a particular marketing communication and a. supply chain effectiveness b. enhanced decoding processes c. consumer's purchase d. the level of noise in the IMC channel e. the reach/frequency radio

c. consumer's purchase

in the movie Field of Dreams, one of the memorable phrases is, "if you build it, he will come." the AIDA model would suggest that after marketers "build" a product or service and create awareness among consumers, they need to a. determine the level of desire needed to sustain action b. promote sufficiently to gain global attention c. create interest among consumers, persuading them to investigate further d. offer discounts to increase purchase intentions e. take steps in to encourage immediate purchase.

c. create interest among consumers, persuading them to investigate further

The three elements of any IMC strategy are the consumer, the channels, and a. the receiver b. the product c. evaluation of the results d. the company e. event sponsorship

c. evaluation of the results

Sales data, complaints, compliments, and redemption rates for coupons and rebates are types of ___________ marketers use to assess the effectiveness of their IMC efforts. a. decoding b. pretesting c. feedback d. simulations e. encoding

c. feedback

the sender of an integrated marketing communication a. must work with the advertising specialists to ensure all recipients interpret the message accurately b. can assess the manner in which receivers interpret the message through gross rating points c. has little control over what meaning any individual receiver will take from the message d. controls the meaning all receivers take from the message e. should attempt to control how the message is received

c. has little control over what meaning any individual receiver will take from the message

In the AIDA model, awareness leads to a. intention, which hopefully leads to desire and then action b. integration, which hopefully leads to desire and then action c. interest, which hopefully leads to desire and then action d. intention, which hopefully leads to desire and then attention e. interest, which hopefully leads to determination and then action

c. interest, which hopefully leads to desire and then action

Integrated marketing communications represents the _______ element in the four P's of a firm's marketing mix a. pricing b. product c. promotion d. place e. partnering

c. promotion

The right communication channel to use in IMC is a. the traditional channel used in that particular retail sector b. network advertising, local newspapers, and regional radio stations c. the one that will connect to the desired recipients d. the one with the best encoding capabilities e. the one that maximizes decoding difficulty

c. the one that will connect to the desired recipients

The highest level of awareness occurs when customers mention a specific brand name when asked about a product or service. Marketers call this a. the primary effect b. aided recall c. top-of-mind awareness d. category dominance e. elevated awareness

c. top-of-mind awareness; this means that the consumer mentions the brand name first when asked about a product.

in the communication process, the ______ encodes the marketing communication message a. instructor b. sender c. transmitter d. communication channel e. receiver

c. transmitter

national manufacturers and retailers often pay a service provides to monitor television ads around the country to ensure that their ads are shown in their entirely during the time frames that were purchases. The service provides is monitoring for IMC noise problems associate with a. competing messages b. lack of clarity in the message c. a poor choice of medium d. a flaw in the medium e. an extended feedback loop

d. a flaw in the medium

in the communication process, the _____ is the medium that carries the message. a. feedback loop b. sender c. transmitter d. communication channel e. receiver

d. communication channel

_____ means converting the senders ideas into a message, which could be verbal, visual, or both a. decoding b. integrated marketing communications c. precoding d. encoding e. tracking

d. encoding

Even the best marketing communication can be wasted if the sender does not first a. generate consumer action b. offer testimonials from past consumers c. determine the level of desire needed to sustain action d. gain the attention of the consumer e. stimulate interest among stealth marketing consumers

d. gain the attention of the consumer; if the consumer's attention is not gained, and brand awareness does not result, the marketing communication cannot achieve its desired results.

_______ is any interference in the communication process. a. translation b. looping c. excessive reach d. noise e. feedback

d. noise

Integrated marketing communications include all of the following except a. personal selling b. advertising c. public relations d. supply chain management e. direct marketing

d. supply chain management

reaching the right audience with marketing communications is becoming more difficult because a. consumers are bored b. government regulations are constraining free speech c. personal selling is becoming less expensive making it more competitive with advertising d. the media environment has become more complicated

d. the media environment has become more complicated; the proliferation of communication media--driven largely by technology--has made it much more difficult to choose the best way to reach a target market.

The proliferation of new media alternative has led many firms to shift their promotional budgets from a. publicity to public relations b. personal selling to advertising c. integrated marketing communications to disintegrated communications d. indirect marketing to viral marketing e. advertising to direct marketing and website development

e. advertising to direct marketing and website development marketing dollars have recently been shifted toward direct marketing, website development, and product placement

as the number of communications media has increased, the task of understanding how best to reach target customers has a. shifted from creating a value proposition to revising a value proposition b. increased the use of rule-of-thumb targeting c. become easier d. focused on reducing communication noise e. become more complex

e. become more complex

In integrated marketing communications, encoding involves a. converting consumers; ideas into value propositions b. differentiating noncommercial speech from commercial speech c. converting the decoder into the receiver d. interpreting click-through rates e. converting the sender's ideas into a message

e. converting the sender's ideas into a message

Betty is assessing the effectiveness of her firm's marketing communications. She knows the ultimate goal is to a. maximize the rating points b. minimize marketing communication expenditures c. shift encoding into decoding d. use personal selling to augment public relations e. drive the receiver to action

e. drive the receiver to action

Most manufacturing and retailing marketers worry constantly about whether or not their IMC efforts are paying off. They assess various forms of ________ to determine what is working and what is not. a. noise b. pretesting c. precoding d. encoding e. feedback

e. feedback

The ________ loop allows the receiver to communicate with the sender in the IMC process. a. decoding b. pretesting c. precoding d. encoding e. feedback

e. feedback

Though a picture may be worth a thousand words, the most important facet of encoding is a. who draws the picture b. the self-visualization process c. not what is received, but rather what is sent d. the sponsor rather than the receiver e. not what is sent, but rather what is received

e. not what is sent, but rather what is received

In the communication process, the _____ is the person who reads, hears, or sees and processes the a. medium b. sender c. transmitter d. communication channel e. receiver

e. receiver

which of the following is not a communication channel used in the IMC process? a. radio b. television c. newspaper d. internet e. supply chain

e. supply chain

Loretta would like to know which, if any, of her firm's IMC efforts are working She could use all of the following except ____________ to provide feedback from her efforts. a. sales data b. complaints c. compliments d. coupon redemption rates e. the channel

e. the channel

Julia is driving down Interstate 95 on her way from New England to Florida and sees a billboard saying "South of the Border Restaurant and Motel is just 100 miles away." Julia has never heard of South of the Border before. After seeing the sign, she will most likely need additional exposure to the product before deciding whether to stop at South of the Border. This is an example of a. rejection of advertising b. subliminal advertising c. product underwhelm d. IMC strategy e. the lagged effect

e. the lagged effect The lagged effect recognizes that it generally takes several exposures to an ad before a consumer fully processes its messages. Seeing a single billboard is unlikely o spur Julia to action due to the lagged effect this is probably one reason why South of the Border places billboards once every few miles along I-95.

In simple terms, the AIDA model is also known as the __________ model. a. intention, action, interest b. stop, look, listen c. want, need, desire d. inform persuade, act e. think, feel, do

e. think, feel, do; Customers actually have three types of responses, so the AIDA model is also known as the "think, feel, do" model.

15: T/F:Universal product codes (UPCs) are used to describe products for inventory taxation purposes.

false A UPC tag is the black-and-white bar code found on most merchandise. It contains a 13-digit code that indicates the manufacturer of the item, a description of the item, information about special packaging, and special promotions. It records receipt of the merchandise as it arrives at a distribution center.

15: T/F:A distribution center and a fulfillment center are one and the same.

false A distribution center is a facility for the receipt, storage, and redistribution of goods to company stores; a fulfillment center is used to ship directly to customers.

15: T/F:Marketing channel management creates value by getting products to customers efficiently.

true Supply chain management is a set of approaches and techniques employed to get merchandise to the right places at the right times in the right quantities.

15: T/F:Marketing channel relationships evolve when the parties have common goals.

true Supply chains require cooperation to operate efficiently. If the partners have conflicting goals, there may be channel conflict.

8:T/FThe greater the wealth of a country, generally, the better the opportunity a firm will have in that particular country.

true The greater a country's wealth, the more buyers a market is likely to have who can afford to purchase a company's products.

T/F:The target audience for advertisers is not always the same as current users of the product.

true The success of an advertising program depends on how well the advertiser can identify its target audience. Firms must keep in mind, however, that their target audience may or may not be the same as current users of the product.

8:t/f: Firms with global appeal can run global advertising campaigns and simply translate the wording in the advertisements and product labeling.

true

8:t/f: The EU recently recommended common guidelines for its member countries regarding advertising to children.

true

8:t/f:Direct investment offers the firm complete control over its operations in the foreign country.

true

8:t/f:Global expansion often begins when a firm receives an order for its product from another country.

true

15: T/F:A marketing channel and a supply chain are virtually the same.

true A marketing channel is the set of institutions that transfer and move goods from the point of production to the point of consumption; this is essentially the same as a supply chain.

15: T/F:Wholesalers are often used in an indirect marketing channel.

true A wholesaler is an intermediary between the manufacturer and the customer, which describes an indirect marketing channel.

8:T/F1. Most Americans tend to take access to global products and services for granted. TRUE Americans are accustomed to easily obtaining products and services from both domestic and foreign producers.

true Americans are accustomed to easily obtaining products and services from both domestic and foreign producers.

15: T/F: Radio frequency identification (RFID) tags automatically transmit information about a container's contents or individual products.

true Approximately as large as a pinhead, RFID tags consist of an antenna and a chip that contains an electronic product code that stores far more information about a product than bar (UPC) codes can. The tags also act as passive tracking devices, signaling their presence over a radio frequency when they pass within a few yards of a special scanner.

T/F: One problem facing advertisers is that consumers screen out messages that are not relevant to them.

true Consumers have grown adept at screening out messages they consider irrelevant, making it hard to reach them.

8:t/f: Colin wants information about the infrastructure in the countries his company is planning to export to, so he should gather information about the transportation and communications capabilities in each country.

true Infrastructure is defined as the basic facilities, services, and installations needed for a community or society to function, such as transportation and communications systems, water and power lines, and public institutions such as schools, post offices, and prisons.

8:t/f:To maximize potential, segments and target markets can and should be defined by more than just geography.

true Just as firms adjust their products and services to meet the needs of national target markets, they must alter their marketing mix to serve the needs of global markets.

T/F: Public service announcements (PSAs) typically focus on social marketing objectives.

true PSAs are public service announcements, which are typically related to social causes.

T/F: Puffery is not always illegal in the United States under state and federal law.

true Puffery is the legal exaggeration of praise, stopping just short of deception, lavished on a product. The FTC's position is that it "will not pursue cases involving obviously exaggerated or puffing representations, i.e. those that ordinary consumers do not take seriously."

T/F: A television ad showing a crowd holding candles and singing "I'd like to teach the world to sing,"; followed by the words "Happy Holidays from your Coca-Cola bottler,"; is an example of reminder advertising.

true Reminder advertising is a communication used to remind or prompt repurchases, especially for products that have gained market acceptance and are in the maturity stage of their life cycle.