Marketing Midterm

product image

A ________ is the way consumers perceive an actual or potential product.

when to introduce the product

A company getting ready to launch a new product must make several decisions. The company must first decide on ________.

general needs description

A manager in a garment manufacturing company decided to replace the plastic shopping bags currently used in his company with bags made of recyclable material. Consequently, he asked the operations officer to gather relevant information and send a list of alternatives to him. In the business buying process, the manager is preparing a(n) ________.

decider

A technician in a hospital told the chief dentist, Dr. Albrecht, that the hospital should purchase equipment that would sterilize the dentists' tools without using any water because water tends to affect the durability of the tools over time. Dr. Albrecht located some articles on chemical sterilizers and gathered more information on how they worked. After talking to salespeople, Dr. Albrecht finally placed his order for the machine. In this instance, Dr. Albrecht played the role of a(n) ________

belief

A(n) ________ is a descriptive thought that a person has about something.

Which of the following is the reason a company may choose not to focus on the largest, fastest-growing segments? Select one: a. The smaller segments may be more profitable to the firm. b. It may lack the skills to serve larger segments. c. The right size and growth characteristics don't match its goals. d. The segments may be too competitive. e. It may lack the physical and financial resources to serve larger segments.

A. The smaller segments may be more profitable to the firm.

more satisfied, loyal, and hardworking employees

According to the service profit chain, superior internal service quality results in ________.

________ VMS is a vertical marketing system that coordinates successive stages of production and distribution through the size and power of one of the parties.

Administered

By 2060, ________ will be an estimated 14 percent of the U.S. population.

African Americans

________ can be a poor predictor of a person's health, work or family status, needs, or buying power.

Age

Which of the following is true about using air carriers as a transportation mode when shipping products?

Air carriers are ideal when time is short and speed is needed.

product concept

An attractive product idea must be developed into a ________.

maturity

Apple's iPod has been called "one of the greatest consumer electronics hits of all time." iPods have been sold in huge numbers, and Apple captures a large share of the music player market. This success has attracted many large, resourceful competitors. The iPod is in the ________ stage of the product life cycle.

Refer to the scenario below to answer the following question(s). The Attic Trunk opened in 1999 as an upscale dress shop in Forest Ridge's fashionable shopping district, catering to a wealthy, mature clientele consisting mostly of older, first-generation Hispanics. Many other specialty shops lined the main avenue over the next few years. But as Forest Ridge began to attract a more price-conscious, younger, and more demographically diverse population, the once-popular shopping district was increasingly perceived as stodgy and snobby by the new segment of customers. By the mid-2000s, many of these specialty shops suffered financially. Most shops attracted only tourists who enjoyed browsing through the displays of alligator belts and shoes, piles of scented soaps, and so on, often laughing at the ridiculously high prices. Owners of The Attic Trunk had noticed the shifts in buying behavior of customers by the mid-2000s. In fact, the owners had observed that the once-fashionable shopping district in Forest Ridge no longer attracted the wealthy, mature clientele. This clientele had been replaced with price-conscious families with children, a mix of Asian and African Americans as well as Caucasians. Specialty items at The Attic Trunk gradually disappeared, replaced by brand-name apparel, fashion accessories, and jewelry. Other owners followed suit in the late 2000s, bringing restaurants, an outdoor cafe, and a day spa to the main avenue in Forest Ridge. Many families with children are now attracted to the shopping district in Forest Ridge. What characteristics about families as consumer groups might the owners of The Attic Trunk want to keep in mind? Select one: a. Though more women hold jobs outside the home today than when The Attic Trunk first opened, husband-wife involvement in the buying process has remained relatively unchanged. b. Children have considerable amounts of disposable income and have a strong influence on family buying decisions. c. Women seldom account for any technology-related purchases. d. Women typically account for most habitual purchases. e. Men make all the major purchasing decisions in most families.

B. Children have considerable amounts of disposable income and have a strong influence on family buying decisions.

________ requires finding the major advantages people look for in a product class, the kinds of people who look for each positive aspect of a product, and the major brands that deliver it.

Benefit segmentation

reseller

Boxes, Inc. sells products to end users or to other companies that will sell to end users. Boxes, Inc. is a ________.

consumers from unfair business practices

Business legislation is enacted to protect ________.

Which of the following is an example of an internal stimulus that would most likely lead to problem recognition? Select one: a. A buyer gets a new idea from an advertisement. b. A buyer gets a new idea at a trade show. c. A buyer is unhappy with a current supplier's product quality. d. A buyer receives a call from a salesperson offering better service. e. A buyer learns about a new product at an industry convention.

C. A buyer is unhappy with a current supplier's product quality.

benefit segmentation

Calypso Motors recently rolled out its Proteus hatchback. Proteus combines the attractiveness of a luxury car with the excellent agility of a sports car. Calypso Motors is confident that Proteus will appeal to both sports car enthusiasts as well as the luxury segment. Which of the following types of market segmentation is evident here?

general publics

Cape Sky Inc., an international insurance and financial services company, is the primary sponsor of the annual New York City Marathon, which is attended by over one million fans and watched by approximately 300 million viewers worldwide. The Cape Sky logo and name are displayed throughout the racecourse. Cape Sky most likely sponsors this event in order to appeal to which of the following types of publics?

patent laws

CellTones, a new company selling several types of cellular phones, has closely modeled its products after successful products that are already in the marketplace. As it prepares to enter the market with its new products and services, which of the following should concern CellTones the most?

why they buy

Companies can research many aspects of buying decisions. However, the one that is the most difficult to identify is ________.

buying less and looking for greater value in what they buy

Consumers' spending patterns since the Great Recession include ________.

professional workers

Currently, in the United States, job growth is the strongest for ________.

Which of the following statements is true of the idea generation stage in the new product development process? Select one: a. The purpose of idea generation is to reduce the number of ideas to the least possible number. b. Truly innovative companies rely exclusively on a single source for new product ideas. c. Customers are the least important sources of new product ideas. d. Truly innovative companies develop extensive innovation networks that capture ideas and inspiration from every possible source. e. Truly innovative companies seldom rely on customers and the general public for ideas.

D. Truly innovative companies develop extensive innovation networks that capture ideas and inspiration from every possible source.

microenvironment

Dan has been directed to study the forces close to a company that affect its ability to serve its customers, such as the company, suppliers, marketing intermediaries, customer markets, competitors, and publics. In this instance, Dan has been directed to study the ________ of the company.

________ sell standard merchandise at lower prices by accepting lower margins and selling higher volume.

Discount stores

Which of the following most likely occurs in the supplier selection stage of the business buying decision process? Select one: a. The buyer calls for detailed written proposals or formal presentations from each potential supplier. b. The buyer compiles a small list of qualified suppliers by reviewing trade directories, doing computer searches, or contacting other companies for recommendations. c. The buying team decides on the best product characteristics and specifies them accordingly. d. The buyer prepares a general need description and identifies the quantity of the needed item. e. The buying center draws up a list of the desired supplier attributes and their relative importance.

E. The buying center draws up a list of the desired supplier attributes and their relative importance.

Market targeting

Each company must divide up the total market, choose the best segments, and design strategies for profitably serving chosen segments. This process involves market segmentation, ________, differentiation, and positioning.

habitual buying behavior

Eduardo usually purchases the same breakfast cereal, the kind he grew up eating. Eduardo exhibits ________.

social networks

Facebook, Snapchat and LinkedIn are all examples of ________.

organizational

Factors such as a firm's objectives, procedures, and systems are examples of ________ influences on the business buyer behavior.

fad

Flurrbies, a brand of unique winter accessories that quickly fell in and out of favor with customers, is an example of a ________.

The most common form of marketing organization is the ________ organization. Under this organization, an operational specialist heads different marketing activities.

Functional

attitudes of others

Generally, the consumer's purchase decision will be to buy the most preferred brand, but two factors can come between the purchase intention and the purchase decision. Which of the following is one of these factors?

Which of the following generations is the most educated to date?

Generation X

Which of the following is true with regard to brand equity?

High brand equity provides a company with many competitive advantages

________ consumers are one of the fastest-growing U.S. population subsegments and are expected to surge to nearly one third of the total U.S. population by 2030.

Hispanic American

conducting a supplier search

If a task is new, complex and costly, on which stage of the buying process will the buyer spend a greater amount of time?

political

In the model of buyer behavior, which of the following is NOT a major type of force or event in the buyer's environment?

proposal solicitation

In which stage of the business buying process does the buyer contact suppliers for bids?

________ refer to people in an organization's buying center who affect the buying decision; they often help define specifications and provide information for evaluating alternatives.

Influencers

Which of the following is true with regard to gathering secondary data?

Internet search engines can be useful sources of relevant secondary data.

Which of the following is true about secondary data?

It can be obtained more quickly and at a lower cost than primary data.

Which of the following is a disadvantage of a team-based approach to new product development?

It can result in organizational confusion and tension.

derived

Jeremy's, a handbag manufacturer in Lower Manhattan, procures a large stock of leather in anticipation of brisk sales of handbags during December. This is an example of a(n) ________ demand.

internal databases

Kei, a senior marketing manager of a pizzeria in North Florida, is currently researching electronic collections of consumer information within the company network to arrive at crucial marketing decisions. In this instance, Kei is using ________

physical distribution firms

LandPort Transportation and Omega Warehousing help companies move and stock goods from their manufacturing plants to their destinations. These two businesses are examples of ________.

geographic segmentation

Many companies today are localizing their products, advertising, promotion, and sales efforts to fit the needs of individual regions, cities, and neighborhoods. This is an example of ________.

track products through various points in the distribution channel

Many firms today use RFID technology to ________.

interpretive

Many marketers now use ________ research to dig deeply into consumer psyches and develop better marketing strategies.

evaluating segment attractiveness and deciding how many and which segment(s) to serve

Market targeting is ________.

________ is the systematic design, collection, analysis, and reporting of data relevant to a specific marketing situation facing an organization.

Marketing research

secondary

Mercury Inc., an American multinational corporation, is currently planning to enter the promising consumer goods market in India. The firm will most likely discover that ________ beliefs and values are more open to change in India.

________ refers to the measurement of brain activity to learn how consumers feel and respond.

Neuromarketing

________ marketing consists of activities undertaken to create, maintain, or change attitudes toward particular people. People ranging from presidents, entertainers, and sports figures to professionals such as doctors, lawyers, and architects use it to build their reputations.

Person

information can be accessed more cheaply

Problems with internal databases include all of the following EXCEPT that ________.

Which of the following is true of vertical marketing systems?

Producers, wholesalers, and retailers act as a unified system.

core customer value

Product planners need to consider products and services on three levels. Each level adds more customer value. The most basic level is ________, which addresses the question, "What is the buyer really buying?"

group interviewing

Redrunners Inc., a manufacturer of sports merchandise, is gathering customer opinions about the firm's new sports shoe line. A team of researchers in the company invited eight regular customers to talk about the new line of shoes, asking why they chose to buy the shoe and what they disliked most about its design. A moderator was present to monitor the discussion. Which of the following types of contact methods is Redrunners using?

product line filling

Refer to the scenario below to answer the following question(s). Ruben Delgado built his enterprise on the faithful patronage of four specialty shops and a large contract from Elmore Distributors. But after two years, the maker of novelty pens and pencils had to rethink his strategy when his contract with Elmore ended. Ruben built a company reputation on the manufacturing and distribution of a variety of wooden writing utensils with customized engravings. Specialty shops loved to display the products in their fancy, lighted showcases, but such specialty shops alone were not profitable. Ruben Delgado established a brand name, known merely as Delgado, and decided to expand on it. Ruben extended his writing utensil lines to include quills, felt-tip pens, and multiple-cartridge pens that write in different colors. He even added a line of various grades of personalized stationery and business cards. Perhaps Ruben's biggest added touch, however, was the addition of two salespeople who would work to explain the diverse array of products offered by Delgado, as well as nurture existing accounts. "We make an excellent product," Ruben Delgado stated, "and we honor a good guarantee on everything we sell. But let's face it-we face hundreds of competitors! We need Delgado representatives out there to help prospects understand what they should demand in something as simple as a writing tool." The Delgado brand was fast-becoming synonymous with top-notch customer service. Part of the purchase package brought personal visits from the Delgado representative, before the purchase and long after.The new felt-tip pens, multiple-cartridge pens, and quills offered by Ruben Delgado are examples of ________.

________ includes all the activities involved in selling products or services directly to final consumers for their personal, nonbusiness use.

Retailing

intangibility

Service ________ means that services cannot be seen, tasted, felt, heard, or smelled before they are bought.

a modified rebuy situation

Sheffield Cargo serves both consumer and business markets, but most of its revenue comes from its business customers. Of late, the business customers of Sheffield Cargo have demanded a change in the packaging of heavy cargo along with a more sophisticated and user-friendly extranet framework. Sheffield Cargo is under pressure to offer better products and services or risk losing a huge portion of its customers. This is an example of ________.

________ are society's relatively permanent and ordered divisions whose members share similar values, interests, and behaviors.

Social classes

is often a key business marketing strategy for winning and holding accounts

Solutions selling ________.

________ are consumer products and services with unique characteristics or brand identification for which a significant group of buyers is willing to make a special purchase effort.

Specialty products

________ involves gathering primary data by asking people questions about their knowledge, attitudes, preferences, or buying behavior. It is the most widely used method for primary data collection.

Survey research

people differentiation

The Jay Group hires better employees than its competition by conducting effective searches and multi-tiered interviews. The company also provides high quality training to its employees, an aspect often neglected by competitors. The Jay Group is most likely to gain a strong competitive advantage through which type of differentiation?

far fewer but far larger buyers

The business marketer normally deals with ________ than the consumer marketer does.

yields a larger number of new product ideas

The innovation management system approach yields two favorable outcomes: it helps create an innovation-oriented company culture, and it ________.

test hypotheses about cause-and-effect relationships

The objective of causal research is to ________.

________ is an approach in which all the company's people are involved in constantly improving the quality of products, services, and business processes.

Total quality management

place

Tourism Australia's global marketing campaign, "There's nothing like Australia" is an example of ________ marketing.

Which of the following is most likely a manufacturer-sponsored retailer franchise system?

Toyota and its network of independent franchised dealers

________ are a type of limited-service wholesaler who carries a limited line of semiperishable merchandise (such as milk, bread, and snack foods), which is sold for cash as deliveries are made to supermarkets, small groceries, or hotels.

Truck jobbers

Which of the following statements is true of the idea generation stage in the new product development process?

Truly innovative companies develop extensive innovation networks that capture ideas and inspiration from every possible source.

Which of the following questions is NOT of major concern regarding marketing channels?

What impact do marketing channels have on the profitability of the firm and its partners?

sales and costs

Which figures does the company use to analyze the new product's financial attractiveness?

sales and profits decline

Which of the following best characterizes the decline stage of product development?

hair salon

Which of the following exemplifies a service?

an increase in the derived demand

Which of the following is LEAST likely a characteristic of business-to-business e-procurement?

operating characteristics

Which of the following is NOT a common variable used by both consumer and business marketers while segmenting markets?

spiritual needs

Which of the following is NOT part of Maslow's hierarchy of needs?

purchasing data from Nielsen or U.S. Yankelovich MONITOR

Which of the following is least likely to be a tool used by small businesses?

Research costs for companies have risen.

Which of the following is most likely a result of regulations set up by the Food and Drug Administration and the Consumer Product Safety Commission?

Services are a form of product that consists of activities, benefits, or satisfactions offered for sale.

Which of the following is true with regard to services?

cluster sample

Which of the following refers to a probability sample in which the population is divided into mutually exclusive groups (such as blocks), and the researcher draws a sample of the groups to interview?

Truly innovative companies develop extensive innovation networks that capture ideas and inspiration from every possible source.

Which of the following statements is true of the idea generation stage in the new product development process?

Social classes show distinct product preferences in clothing and automobiles.

Which of the following statements is true regarding social classes in the United States?

megabrand strategies

Which of the following strategies involves weeding out weaker brands and focusing marketing dollars only on brands that can achieve the number one or number two market share positions with good growth prospects in their categories?

brand experiences

While advertising campaigns can help create name recognition, brand knowledge, and perhaps even some brand preference, brands are not maintained by advertising but by ________.

ethnographic research

While looking for ideas on how to craft a user-friendly dishwasher, the designers of a dishwasher-manufacturing company spent 10 days observing people as they used their dishwashers in their homes. In this instance, the designers were conducting ________.

visually appealing; customers will be able to see and appreciate the difference

While there may be many differences between brands, not all are meaningful or relevant to consumers. Which of the following is NOT a criterion for establishing the value of a difference to promote?

Shopping products

________ are less frequently purchased consumer products and services that customers compare carefully on suitability, quality, price, and style.

Asian American

________ consumers are the most affluent U.S. demographic segment and are expected to have an annual buying power approaching $1 trillion by 2017.

Observational research

________ involves gathering primary data by closely examining relevant people, actions, and situations.

Mass customization

________ is the process by which firms interact one-to-one with masses of customers to design products and services tailor-made to individual needs.

Neuromarketing

________ refers to the measurement of brain activity to learn how consumers feel and respond.

Occasion

________ segmentation refers to dividing the market into segments according to occasions when buyers get the idea to buy, actually make their purchase, or use the purchased item.

Perceptual positioning maps

________ show(s) consumer perceptions of a company's brands versus competing products on important buying dimensions.

Ethnographic research

________, a form of observational research, involves sending observers to watch and interact with consumers in their natural environments.

The product development stage requires ________.

a huge jump in investment

Sheffield Cargo serves both consumer and business markets, but most of its revenue comes from its business customers. Of late, the business customers of Sheffield Cargo have demanded a change in the packaging of heavy cargo along with a more sophisticated and user-friendly extranet framework. Sheffield Cargo is under pressure to offer better products and services or risk losing a huge portion of its customers. This is an example of ________.

a modified rebuy situation

Mary Adams is helping her company develop a marketing program for a new product line. The program is designed to appeal most to less materialistic consumer groups who are likely to prize experience, not acquisition. The marketing program is most likely designed to appeal to which of the following demographic groups? Select one: a. Generation X b. Millennials c. Echo Boomers d. Silent Generation e. Lost Generation

a. Generation X

Which of the following is an example of an open-ended question? Select one: a. How is voting going to help the nation? b. Do you like driving on the highway? c. How many children do you have? d. Would you like to try a sample? e. Are your friends in town?

a. How is voting going to help the nation?

________ involves gathering primary data by closely examining relevant people, actions, and situations. Select one: a. Observational research b. Survey research c. Telephone interviewing d. Causal research e. Group interviewing

a. Observational research

Which of the following is the first stage in the new product adoption process? Select one: a. awareness b. adoption c. evaluation d. interest e. Trial

a. awareness

A company's broad mission leads it to develop all of the following EXCEPT ________. Select one: a. budget objectives b. business objectives c. sales objectives d. marketing objectives e. customer engagement objectives

a. budget objectives

A company or association's ________ is designed to help guide responses to complex social responsibility issues. Select one: a. code of ethics b. marketing plan c. non-disclosure policy d. privacy policy e. non-compete clause

a. code of ethics

Which of the following stages of the PLC is characterized with the same level or slightly higher level of promotional expenditures in an attempt to respond to increasing competition? Select one: a. growth b. decline c. maturity d. product development e. Adoption

a. growth

Business buyers are heavily influenced by factors in the current and expected economic environment, such as ________. Select one: a. level of primary demand b. organizational objectives c. group dynamics d. individual motives e. culture and customs

a. level of primary demand

Titan Inc., an automobile manufacturer based in Utah, recently added two new models to its existing line of sedans in order to increase profits and satisfy dealers. This is an example of ________. Select one: a. line filling b. social marketing c. market diversification d. negative brand equity e. person marketing

a. line filling

RedFin manufactures diving equipment that is highly regarded by customers worldwide. Each department in RedFin contributes to its success and can be thought of as a(n) ________. a. link in the company's internal value chain b. separate organization c. independent subsidiary of the company d. separate market segment e. SBU

a. link in the company's internal value chain

Maria Ramirez is conducting research to determine consumers' personal grooming habits. Because of the personal nature of many of the survey questions, Maria wants to select the contact method that is most likely to encourage respondents to answer honestly and that will allow her to easily collect large amounts of data. Which of the following is best suited to meet Maria's requirements? Select one: a. mail questionnaires b. telephone interviews c. individual interviews d. focus group interviews e. immersion group discussions

a. mail questionnaires

When the size, purchasing power, and profile of a market segment can be calculated, the market is ________. Select one: a. measurable b. profitable c. substantial d. actionable e. Competitive

a. measurable

Which of the following plays the most important role in government buying? Select one: a. price b. product differentiation c. advertising d. personal selling e. customer relationship management

a. price

Babita Singh, a 51-year-old schoolteacher from Los Angeles, believes that people should choose a profession they like, which is an example of Babita's ________. Select one: a. secondary belief b. core belief c. core value d. work ethic e. moral code

a. secondary belief

According to the commercialization stage of the new product development process, following the decision to introduce the new product at a particular time, a company must next decide ________. Select one: a. where to launch the new product b. how to launch the new product c. why to launch the new product d. what pricing strategies to implement e. what marketing mix elements to use

a. where to launch the new product

Product planners need to consider products and services on three levels. At the third level, product planners must build ________.

an augmented product

Which of the following is the first stage in the new product adoption process?

awareness

The ________ requires sellers to provide detailed nutritional information on food products. Select one: a. Fair Packaging and Labeling Act of 1966 b. Nutritional Labeling and Educational Act of 1990 c. Glass-Steagall Act d. Commodity Futures Modernization Act of 2000 e. Federal Trade Commission Act of 1914

b. Nutritional Labeling and Educational Act of 1990

________ are the major marketing factors in the sale of most manufactured materials and parts. Select one: a. Branding and advertising b. Price and service c. Sales promotion and advertising d. Branding and packaging e. Public relations and brand management

b. Price and service

Which of the following is true with regard to cash cows? Select one: a. They are high-growth, high-share businesses or products. b. They can be used to help finance the company's question marks and stars. c. They require significant cash to maintain market share. d. They are low-share businesses and products. e. They do not promise to be large sources of cash.

b. They can be used to help finance the company's question marks and stars.

Consumer information provider Nielsen uses a life-stage segmentation system that places U.S. households into one of 66 different life-stage groups. According to Nielsen's groups, which of the following refers to the group consisting of hip, single twenty-somethings who are politically liberal, listen to alternative music, and enjoy lively nightlife? Select one: a. Striving Singles b. Young Achievers c. Bohemian Mix d. Young Influentials e. Young Digerati

b. Young Achievers

Which of the following is an organizational factor that influences business buyers? Select one: a. technology b. company procedures c. employee attitudes d. employee motives e. group dynamics

b. company procedures

A technician in a hospital told the chief dentist, Dr. Albrecht, that the hospital should purchase equipment that would sterilize the dentists' tools without using any water because water tends to affect the durability of the tools over time. Dr. Albrecht located some articles on chemical sterilizers and gathered more information on how they worked. After talking to salespeople, Dr. Albrecht finally placed his order for the machine. In this instance, Dr. Albrecht played the role of a(n) ________. Select one: a. monitor b. decider c. agent d. influencer e. Gatekeeper

b. decider

Consumers who show their allegiance to brands, stores, or companies help marketers to segment consumers by their ________. Select one: a. user status b. degree of loyalty c. income d. geographic location e. benefit-seeking attitudes

b. degree of loyalty

Which of the following types of research would be best suited for understanding the attitudes of consumers who buy a particular brand of soft drink? Select one: a. internal research b. descriptive research c. causal research d. exploratory research e. demographic research

b. descriptive research

Market segmentation can be best described as the process of ________. Select one: a. assigning specific human attributes to a given brand b. dividing a market into distinct groups of buyers who have different needs, characteristics, or behaviors, and who might require separate marketing programs c. evaluating each market segment's attractiveness and selecting one or more segments to enter d. turning marketing plans into marketing actions to accomplish strategic marketing objectives e. maintaining a strategic fit between organizational goals and changing marketing opportunities

b. dividing a market into distinct groups of buyers who have different needs, characteristics, or behaviors, and who might require separate marketing programs

Josie's FarmFresh creates sustainable, all-natural food products. These products are most likely to become popular with which group? Select one: a. SOHO b. environmentally conscious c. LGBT d. business e. Millennials'

b. environmentally conscious

The term big data refers to the ________ generated by today's sophisticated information generation, collection, storage, and analysis technologies. Select one: a. large reports b. huge and complex data sets c. information requests d. social media contacts e. e-mail messages

b. huge and complex data sets

In new product buying, the users are often the ________. Select one: a. monitors b. influencers c. gatekeepers d. deciders e. primary advertisers

b. influencers

A marketing research company asked members of a focus group to describe several brands as animals. The purpose of the request is to measure the prestige of the various brands. This is an example of ________. Select one: a. brand strength analysis b. interpretive consumer research c. quantitative research d. buzz marketing e. brand extension

b. interpretive consumer research

Product improvements, product modifications, and original products can all be classified as ________. Select one: a. blueprints b. new products c. prototypes d. product extensions e. test products

b. new products

People vary in their attitudes toward their society-while ________ defend it, malcontents want to leave it. Select one: a. reformers b. patriots c. activists d. environmentalists e. historical revisionists

b. patriots

Developing a product or service involves defining the benefits that it will offer. These benefits are communicated and delivered by ________. Select one: a. product labels b. product attributes c. support services d. product packaging e. branding

b. product attributes

Family is one of the ________ factors that influence consumer behavior. Select one: a. regional b. social c. personal d. psychological e. Business

b. social

Calypso Motors recently rolled out its Proteus hatchback. Proteus combines the attractiveness of a luxury car with the excellent agility of a sports car. Calypso Motors is confident that Proteus will appeal to both sports car enthusiasts as well as the luxury segment. Which of the following types of market segmentation is evident here?

benefit segmentation

The best business portfolio is the one that ________.

best fits the company's strengths and weaknesses to opportunities in the environment

Which of the following terms refers to a specific mix of human traits that may be attributed to a particular brand?

brand personality

A company's broad mission leads it to develop all of the following EXCEPT ________.

budget objectives

Which of the following functions is NOT part of managing the marketing process?

budgeting

Which stage of new product development requires management to estimate minimum and maximum sales to assess the range of risk in launching a new product?

business analysis

________ refers to qualitative research designed to probe consumers' hidden, subconscious motivations. Select one: a. Perception analysis b. Subliminal analysis c. Motivation research d. Need recognition e. Market segmentation

c. Motivation research

While advertising campaigns can help create name recognition, brand knowledge, and perhaps even some brand preference, brands are not maintained by advertising but by ________. Select one: a. brand differentiation b. line extensions c. brand experiences d. brand sponsorships e. brand awareness

c. brand experiences

Which of the following functions is NOT part of managing the marketing process? Select one: a. planning b. control c. budgeting d. implementation e. organization

c. budgeting

Akira Takano, a marketing manager, is about to test the hypothesis that the sale of a particular product will increase exponentially if there is a $5 drop in the selling price of the product. Akira is involved in ________ research. Select one: a. exploratory b. descriptive c. causal d. constructive e. Ethnographic

c. causal

Under a team-based new product development approach, ________. Select one: a. a single departmental team works to complete different stages of the process before passing the new product along to the next department and stage b. the organizational tension and confusion is less than under the sequential approach c. company departments work closely together in cross-functional teams d. a bottleneck at one phase can seriously delay an entire project e. the new product passes from one department to another before finalizing

c. company departments work closely together in cross-functional teams

The ________ of the product mix refers to how closely related the various product lines are in end use, production requirements, distribution channels, or some other way. Select one: a. length b. depth c. consistency d. width e. Height

c. consistency

Which of the following is the practice of inviting broad communities of customers, employees, independent researchers, and members of the public into the new product innovation process? Select one: a. brainstorming b. idea screening c. crowdsourcing d. outsourcing e. concept testing

c. crowdsourcing

Which of the following is the first step in strategic planning? Select one: a. setting short-term goals b. developing the business portfolio c. defining the organizational mission d. formulating the key marketing strategies e. identifying the organization's weaknesses and the threats it faces

c. defining the organizational mission

Which of the following variables are the most popular for marketers to use in segmenting customer groups? Select one: a. ethical b. psychographic c. demographic d. behavioral e. Geographic

c. demographic

Laws in the United States and many other countries have many business-oriented laws covering issues such as competition, environmental protection, pricing, packaging and labeling, product safety, truth in advertising, consumer privacy, and ________. Select one: a. land ownership b. taxation c. fair-trade practices d. education e. interdepartmental communication

c. fair-trade practices

Information in a company's database can come from many sources. An advantage of harnessing such information is to ________. Select one: a. eliminate employee turnover b. achieve a high degree of employee empowerment c. gain competitive advantage d. gain access to mass markets e. eliminate resource dependency

c. gain competitive advantage

Which stage in the product life cycle is characterized by rapid market acceptance and increasing profits? Select one: a. introduction b. maturity c. growth d. decline e. product development

c. growth

Service ________ means that services cannot be seen, tasted, felt, heard, or smelled before they are bought. Select one: a. inseparability b. variability c. intangibility d. perishability e. Heterogeneity

c. intangibility

A product's ________ identifies the product or brand, describes several things about the product, and promotes the brand. Select one: a. line extension b. portfolio c. label d. design e. feature Feedback

c. label

A current trend in the United States involves rediscovering the benefits of home-cooked food and the use of organic ingredients. People are choosing to spend hours in the kitchen using only the freshest ingredients to cook healthy and nutritious meals. This change in ________ is one of the reasons for the increasing demand for organic ingredients. Select one: a. self-concept b. subculture c. lifestyle d. personality e. Life-cycle

c. lifestyle

Marketers can group people in a number of ways, including by birth date. However, the following combination of groups has proven to be more effective: ________. Select one: a. income, lifestyle, life stage b. profession, common values they seek in products they buy, lifestyle c. lifestyle, life stage, common values they seek in products they buy d. place of residence, life stage, lifestyle e. race or nationality, lifestyle, common values they seek in products they buy

c. lifestyle, life stage, common values they seek in products they buy

Jonathan works for a firm that assists companies in promoting, distributing, and selling their products to end consumers. The firm Jonathan works for is a ________. Select one: a. licensor b. supplier c. marketing intermediary d. local public e. general public

c. marketing intermediary

Most products in the marketplace are in the ________ stage of the product life cycle. Select one: a. growth b. decline c. maturity d. introduction e. Development

c. maturity

An invitation to go skiing over the weekend forced Donna to look at her current wardrobe. She realized that she required a warmer coat. Which of the following stages of the buyer decision process does Donna exemplify? Select one: a. product evaluation b. situational analysis c. need recognition d. problem screening e. information search

c. need recognition

The ________ environment consists of laws, government agencies, and pressure groups that influence or limit various organizations and individuals in a given society. Select one: a. socio-legal b. cultural c. political d. technological e. economic

c. political

After the purchase of a product, consumers will be either satisfied or dissatisfied and engage in ________. Select one: a. consumer capitalism b. alternative evaluation c. postpurchase behavior d. consumer ethnocentrism e. information searches

c. postpurchase behavior

A ________ is a layer of intermediaries that performs some work in bringing the product and its ownership closer to the final buyer.

channel level

Which of the following is an organizational factor that influences business buyers?

company procedures

Most people laughed when Evelyn Ringler explained her product idea: a solar-powered vacuum cleaner. But the concept was practical and the technology used in the vacuum was the same as that used in many electronic toys. After setting up a demonstration booth in a mall in a Chicago suburb, Evelyn felt more assured than ever that her idea would be a hit. Consumers seemed receptive and offered helpful pieces of advice, such as how much they would pay for the vacuum, what colors they would prefer, and why they would not buy the vacuum.The vacuum itself was shaped like a small saucer, with a filter bag on top and sensory nodes along the edges. After being charged in the sunlight, the vacuum could run for 7 hours, covering a floor area of 600 square feet. As the apparatus lightly bumped into table legs, chairs, and so on, the sensory nodes allowed the vacuum to move around the objects in various directions. This is the same type of technology used in the manufacture of children's racecars and walking dolls.Evelyn knew that the solar-powered vacuum would be especially helpful to both elderly consumers, who may have a more difficult time with vacuuming, and on-the-go consumers who lead busy lives. The price would be above average but would likely be reduced after Evelyn recouped some of her costs.After a 500-unit production run and a substantial financial investment, Evelyn set up a multiple-city test market, in a Chicago mall and in an appliance store in New Jersey and several other retail stores in Florida. "It's such a novel idea," Evelyn added. "People will notice it, even if they don't buy it right away."Which of the following stages of new product development was Evelyn involved in when she set up a demonstration booth to learn about consumers' feelings toward her vacuum cleaner?

concept testing

What are the two dimensions of product quality?

consistency and level

A ________ VMS consists of independent firms at different levels of production and distribution who join together through formal agreements to obtain more economies or sales impact than each could achieve alone.

contractual

A ________ is a small store, located near a residential area that is open long hours seven days a week and carries a limited line of high-turnover goods.

convenience store

When different types of retailers sell the same products at the same prices to the same customers, thanks in part to the price transparency of the Internet, the retail forms appear to be ________.

converging

The advertising slogan, "We bring good things to life," used by General Electric to market itself, is an example of ________ marketing.

corporate image

Government buyers are affected by all of the following factors EXCEPT ________ factors.

cultural

The ________ limits the number of commercials aired during children's programs. Select one: a. Children's Online Privacy Protection Act b. Child Protection Act c. Fair Packaging and Labeling Act d. Children's Television Act e. Consumer Product Safety Act

d. Children's Television Act

________ segments are conceptually distinguishable and respond differently to different marketing mix elements and programs. Select one: a. Complex b. Measurable c. Competitive d. Differentiable e. Homogeneous

d. Differentiable

Sanguine Services is a small company that uses a marketing strategy in which its limited resources are employed to target a large share of two small market segments. Sanguine most likely uses which of the following marketing strategies? Select one: a. individual marketing b. one-to-one marketing c. mass marketing d. concentrated marketing e. trigger-based marketing

d. concentrated marketing

Double Drill Inc. segments its foreign markets by per capita income. This firm segments the international markets based on ________. Select one: a. political factors b. legal factors c. geographic location d. economic factors e. cultural factors

d. economic factors

All of the following are disadvantages of test marketing EXCEPT that test marketing ________. Select one: a. is typically expensive b. can be time consuming c. enables competitors to gain advantages d. encourages dishonesty among participants e. fails to guarantee product success in the market

d. encourages dishonesty among participants

While looking for ideas on how to craft a user-friendly dishwasher, the designers of a dishwasher-manufacturing company spent 10 days observing people as they used their dishwashers in their homes. In this instance, the designers were conducting ________. Select one: a. survey research b. experimental research c. quantitative marketing research d. ethnographic research e. causal research

d. ethnographic research

Each department in a company that carries out value-creating activities can be thought of as a link in the company's ________. Select one: a. channel of intermediaries b. external value stream c. demand chain d. internal value chain e. supplier chain

d. internal value chain

A ________ refers to the way a product is defined by consumers on important attributes-the place the product occupies in consumers' minds relative to competing products. Select one: a. core competency b. value stream c. value proposition d. product position e. product specification

d. product position

Which of the following has become a major packaging concern in recent years? Select one: a. underpackaging b. legibility of print c. colors used d. product safety e. Durability

d. product safety

All of the following are difficulties associated with selling to government buyers EXCEPT ________. Select one: a. excessive paperwork b. bureaucracy c. strict regulations d. high advertising costs e. decision-making delays

d.high advertising costs

Pierre's Mart, a grocery store in New Orleans, Louisiana, offers less merchandise selection and fairly low levels of service. Despite the lackluster service and limited selection of merchandise, customers still flock to Pierre's because it charges rock-bottom prices. Pierre's Mart most likely uses the ________ positioning. Select one: a. more for the same b. more for less c. same for less d. less for much less e. more for more

d.less for much less

Jason West, owner of A1 Cleaning, started his enterprise in 2001. Jason's primary focus had been on office cleaning for large corporations. But in recent months, Jason has seen a decline in demand for his office cleaning services. Surprisingly, the competitive environment appeared relatively stable with no new competitors. However, Jason knew that office cleaning was a high-frequency service that is usually performed daily; therefore, competitors must have been doing something to attract his customers. Building a competitive advantage seemed to be the only option to offset competition. But as Jason pondered over his dilemma, he realized that prior to building his competitive advantage he needed to better understand how customers assessed service quality and what they look for in a superior cleaning service.Jason developed a research plan. First, he gathered information about his competitors, primarily through pamphlets and Web sites, as well as through a few phone calls in order to find out exactly what the competitors offered in their cleaning packages. In addition, Jason obtained from the Chamber of Commerce an updated list of local corporations. He planned on sending written questionnaires to them.Though the list of corporations contained 141 local company names, Jason chose to survey 75 of them. To better understand customer service expectations between both small and large corporations, Jason divided his surveys into two categories. The survey questions were designed to extract specific data from respondents with regard to service quality expectations in correlation to service frequency and price.Jason awaited the results. Though his primary focus had been on large corporations, he was flexible and would aim his efforts differently if needed. In this scenario, which of the following is an example of primary data?

data obtained from the surveys conducted in the 75 companies

Delta Motorworks markets its cars based on the age, gender, and income of its customers. Which of the following types of market segmentation is evident here?

demographic segmentation

Alpha Stampings Inc. produces 14 metal stampings for the automotive industry. Due to industry design changes and consumer demands, for the next financial year, six of those stampings will require a slight change: two will have an extra hole punched through the side, two will require an extra plating process, and two will require an additional weld operation.In the meantime, purchasing agent Richard Koehl has been asked to reduce the number of Alpha's steel suppliers in an effort to cut costs. After obtaining updated price quotations and steel samples from his current suppliers, Richard faced a dilemma. Until now, he had selected his suppliers based on quality and price, but the major consideration had been the type of steel required and the specialized production processes of his respective suppliers. Not all of Alpha's suppliers could produce the exact grades of steel needed; some suppliers were better at producing certain types of steel than others.Richard contacted several employees at Alpha who had worked with the various types of steel in the past. The quality control manager and line inspector, for example, could help to determine which suppliers had the capabilities of producing specific types of steel. The production control manager could provide input regarding which types of steel worked best in which presses. The warehouse foreman gave inputs regarding how long various types of steel could be held in inventory before rust spots began to form on their surfaces. Each person contributed the necessary information to help Richard in making his decision.The demand for Alpha Stampings' products is ultimately based on the demand for new automobiles in the consumer market. This is an example of ________ demand.

derived

When consumers are highly involved with an expensive, infrequent, or risky purchase but see little difference among brands, they most likely will exhibit ________.

dissonance-reducing buying behavior

A company can ________ an SBU by selling it or phasing it out and using the resources elsewhere.

divest

P&G has sold off a number of lesser or declining brands such as Folgers coffee and Cover Girl cosmetics. In these examples, management decided to ________ the products.

drop

________ can be a poor predictor of a person's health, work or family status, needs, or buying power. Select one: a. Occupation b. Education c. Ethnicity d. Religion e. Age

e. Age

Which of the following is true with regard to geographic organization? Select one: a. It is the most common form of marketing organization. b. Different marketing activities are headed by a functional specialist. c. It requires salespeople to have international experience. d. It reduces the overall efficiency of salespeople. e. It allows salespeople to work with a minimum of travel time and cost.

e. It allows salespeople to work with a minimum of travel time and cost.

Challenges of managing big data include ________. Select one: a. determining what information to request b. investing in appropriate technology c. hiring enough software engineers d. properly routing the information after gathering it e. accessing and sifting through so much data

e. accessing and sifting through so much data

Ralph Goldsmith works for Zenith Inc., a leading cosmetic company based in Illinois. At Zenith, Ralph's primary responsibility revolves around digging deeply into customer data to gain valuable insights about customer needs, motives, and attitudes. This data is, in turn, used by Zenith to personalize its customers' shopping experiences. Ralph's position at Zenith requires him to focus primarily on ________. Select one: a. customer sales b. human resource management c. risk assessment d. financial analysis e. customer relationship management

e. customer relationship management

Sam Doharty, a purchasing manager in Willard Groups of Companies, is currently working with engineers and consultants to define the items to be purchased. Additionally, Sam and his team are ranking the importance of reliability, durability, and price desired in the items. In other words, they are preparing a(n) ________. Select one: a. decision tree b. supplier list c. product proposal d. order-routine specification e. general need description

e. general need description

A university enrolled 200 graduate students in the Fall of 2015. However, the enrollment rate was only slightly affected following a 12-percent hike in tuition the following fall. This illustrates ________ demand. Select one: a. derived b. negative c. highly elastic d. composite e. Inelastic

e. inelastic

Some companies obtain the rights to use the names or symbols previously created by other manufacturers for a fee. This process is known as ________. Select one: a. multibranding b. positioning c. segmenting d. co-branding e. licensing

e. licensing

Leona bought two different brands of wine from vineyards in Australia. When asked for her opinion about the wines, she said that one brand of wine tasted like alcoholic grape juice, but the other had a crisp taste that she really enjoyed. These statements were most likely made during the ________ stage of the buyer decision process. Select one: a. information search b. need recognition c. alternative evaluation d. purchase decision e. postpurchase behavior

e. postpurchase behavior

Which of the following is the most likely circumstance for a company to decide to do little or no test marketing? Select one: a. when the new product requires a major investment b. when management lacks confidence in the new product c. when management lacks confidence in the marketing strategy d. when the product has no substitutes and is new in its category e. when the costs of developing and introducing the product are low

e. when the costs of developing and introducing the product are low

As a consequence of the concern for the natural environment, many companies are developing strategies and practices that support ________.

environmental sustainability

McDonald's, Subway, and Jiffy Lube are all examples of ________.

franchises

In the 1950s, Americans made a massive exit ________.

from the cities to the suburbs

Which type of retailer is most likely to require its employees to focus most on assisting customers as they shop?

full-service retailer

The greater the number of channel levels in a marketing channel, the ________.

greater the channel complexity

At which stage in the PLC do profits increase as promotion costs are spread over a large volume, and as the firm enters new market segments?

growth

In the new product development process, the first idea-reducing stage is ________.

idea screening

Using ________ segmentation, marketers form segments of consumers who have similar needs and buying behaviors even though they are located in different countries.

intermarket

Workers, managers, and members of the board are examples of ________ publics.

internal

If a buying center is most influenced by authority in the business buying process, it can be safely concluded that ________ factors have a major influence on its buying behavior.

interpersonal

Which of the following is the final step of the marketing research process?

interpreting and reporting the findings

When a company customizes its merchandise store by store to meet shopper needs, it is practicing ________ marketing.

local

Many institutions, including retailers, wholesalers, and ________ do retailing.

manufacturers

In addition to segmenting and targeting the correct market, which of the following is NOT an area in which marketers must make decisions?

manufacturing schedules

In the United States, job growth currently is the weakest for ________.

manufacturing workers

The managers of Arrow, an American retail chain, are currently reviewing new demographic markets to sell the firm's current products. This is an example of ________.

market development

Which of the following refers to the process of dividing a market into distinct groups of buyers with different needs, characteristics, or behaviors?

market segmentation

Dan has been directed to study the forces close to a company that affect its ability to serve its customers, such as the company, suppliers, marketing intermediaries, customer markets, competitors, and publics. In this instance, Dan has been directed to study the ________ of the company.

microenvironment

The winning value proposition would be to offer ________.

more for less

With the recent explosion of information technologies, ________.

most marketing managers are overloaded with data and often overwhelmed by it

Which of the following is NOT one of a wholesaler's channel functions?

off-price retailing

Attributes that a buying center may look for in a supplier include all of the following EXCEPT ________.

off-shore manufacturing

Lubricants, coal, paper, and pencils are examples of ________.

operating supplies

Omega Inc. makes lightweight sunglasses with 100-percent UV protection for people who love to hunt, hike, and ride bikes. The company's long-term plans include the development of lenses that, in addition to protecting users from UV rays, would help reduce lens spotting through effective water-sheeting methods. This new feature would be valuable to people who fish. Given the rising popularity of recreational fishing in the United States, Omega products clearly have a huge market potential. In terms of a SWOT analysis, Omega has recognized a market ________.

opportunity

Because of ________, a company cannot make its product illegally similar to a competitor's already established product.

patent laws

People vary in their attitudes toward their society-while ________ defend it, malcontents want to leave it.

patriots

Alex Smith rents storage space to college students who go home for the summer but do not want to haul all of their property home and back. The business is profitable during the summer months, but when the storage space is unoccupied in the off-season, Alex loses money. Which of the following characteristics of service is most likely the source of Alex's problem?

perishability

Anchor Tractors focuses on selling its farm equipment in North America and Europe. It has not yet considered expanding into the Middle East. Which factor is likely most important in this decision regarding expansion?

political

Marketing stimuli include which of the following?

price stimuli

Through ________ differentiation, brands can be differentiated on features, performance, or style and design.

product

Fun-Spot Fun Park began as a small amusement park in 1985. With nothing more than a merry-go-round, a slide, pony rides, and an ice cream stand, Fun-Spot grew into a popular family attraction with 20 rides, a restaurant, and an outdoor performing arts theater."My wife, Gail, and I didn't know what we were getting into," commented Ron Hart, the owner. "We just knew that weekenders coming to the lakes in our rural area represented an untapped market."Today, thousands of visitors flock to Fun-Spot: families, children of all ages, and even senior citizens who enjoy strolling through the gardens and the arbors. "There's something here for everyone," Gail Hart said with a smile. "Dozens of companies hold annual company picnics here. We have welcomed class field trips. And we even had one wedding here at the park!""Here's the funny thing," Ron chimed in. "We really don't know why we've been so successful. There is nothing else like Fun-Spot Fun Park in the area. We were just lucky." "I think it's the ambience of the park that has brought so many visitors," Gail added. "We provide a 'total package' of entertainment. Plus, we try to change our rides and various attractions from time to time for variety."Ron and Gail Hart admitted that making every visitor happy is a priority. "That has always been our philosophy," they said. "Like the park's motto at the entrance reads, 'We're here to make you happy!' And we've always been able to deliver on that because we've never allowed ourselves to grow too big too quickly."Ron and Gail, owners of Fun-Spot, strive to provide new offerings and entertainment options for their visitors. This type of strategy can be best described as ________.

product development

Companies that define their missions in terms of products or technologies are considered myopic primarily because ________.

products and technologies eventually become outdated

Brand ________ refers to how consumers feel if a brand meets their needs.

relevance

Designing a plan for primary data collection requires decisions on all of the following EXCEPT ________.

research results

While Jenkins Stationeries was selling branded stationery at premium prices, Pembroke Stationeries, a store across the street, was selling the same branded stationery at discount prices. Which of the following value propositions best describes Pembroke's product positioning?

same for less

Mission statements should be defined in terms of ________.

satisfying basic customer needs

While collecting sensitive customer data, market researchers should adhere to all of the following guidelines EXCEPT ________.

sharing information without the customer's authorization

A ________ is a group of retail businesses built on a site that is planned, developed, owned, and managed as a unit.

shopping center

Family is one of the ________ factors that influence consumer behavior.

social

Marketers target Generation Z because they ________.

spend an estimated $44 billion annually of their own money

According to Freud, a person's buying decisions are primarily affected by ________.

subconscious motives

The owners of a manufacturing firm in Ohio have developed a core network of suppliers to ensure an uninterrupted supply of products. This is an example of ________.

supplier development

The term demand chain is considered limited because it ________.

takes a step-by-step, linear view of purchase-production-consumption activities

In a straight rebuy, ________.

the "in" suppliers try to maintain product and service quality to keep the business

Giant Beanstalks is a company based in Maryland that processes and cans vegetables. It has contracts with several large farms in Riverdale, 80 miles away from the factory, that agree to sell their produce to Giant Beanstalks. The company's products are available to the public only through Greenleaf, a grocery chain with 38 stores in the country.Roland is the logistics manager of Giant Beanstalks. Which of the following is NOT an area of responsibility for him?

the advertising of the final product

Which of the following is a trend that depicts the increasingly nontraditional nature of today's American families?

the low percentage of married couples with children

Which of the following is included in the third part of the marketing strategy statement?

the planned long-run sales

Retailers are classified on characteristics including the amount of service they offer, the breadth and depth of their product lines, how they are organized, and ________.

the relative prices they charge

Many buyers prefer multiple sources of supplies ________.

to avoid being totally dependent on one supplier

Many companies use ethnically specific themes in their mainstream marketing strategy because marketers have realized that insights gleaned from ethnic consumers can influence their broader markets. This type of marketing is known as ________.

total market strategy

You own a small independent retail store in your neighborhood. You want to offer fresh seafood, milk, and bread in your store. In this case, which of the following types of wholesalers will serve you the best?

truck jobber

Which of the following is an off-price retailer that operates in a huge, warehouse-like facility and offers few frills?

warehouse club

Companies can research many aspects of buying decisions. However, the one that is the most difficult to identify is ________.

why they buy