MKT 300 Exam 4

Sally has been having a difficult time working with a particular buyer while using the personal selling process, and she has asked her manager, Chris, for some ideas about how to close the sale effectively. Chris asks her a number of questions to help sort out the difficulties. Which of the following questions would Chris be least likely to ask?

"Have you completed the follow-up to ease the buyer's mind?" Follow-up happens after closing the sale, so this is not a question Chris would ask of Sally at this stage.

Experts estimate that the average cost of a single B2B sales call is about

$600. The average cost of a single B2B sales call is about $600.

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

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

Which of the following best describes a company sales force?

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

Benton manages a building supply company. He wants to invite 20 of his most valuable building-contractor customers to a golf outing and party. Benton will likely use the firm's ___________ to identify these customers.

CRM database CRM databases collect information on customers, which can be used to identify the best customers.

__ is when two or more firms join forces to reach a target audience in a short-term effort.

Cross-promotion This is the definition of cross-promotion.

__________ are combating competitive pressures by increasing the amount of exclusive and private-label merchandise they sell, and expanding their online presence.

Department stores Department stores, like most retailers, are experiencing greater competition, and need to take extra steps to compete.

_____ means converting the sender's ideas into a message, which could be verbal, visual, or both.

Encoding Encoding means converting the sender's ideas into a message, which could be verbal, visual, or both. The transmitter performs this action.

Which of the following is not one of the federal agencies that regulate advertising activities?

FRS The FDA, FCC, and FTC are the three major agencies regulating advertising; however, other agencies (including the U.S. Postal Service) have some regulatory responsibility as well.

_______ channel conflict occurs when there is disagreement or discord among members at the same level in a marketing channel, such as two competing retailers or two competing manufacturers.

Horizontal This is the definition of horizontal channel conflict. Vertical channel conflict occurs when members of the same marketing channel (manufacturers, wholesalers, or retailers) are in disagreement.

____ is a particularly good advertising medium for groceries and fast food.

Radio 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.

Which of the following is the best example of a mass media advertising channel?

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

Supercenters are large stores that combine a supermarket with a full-line discount store. _______ dominates this category with the vast majority of supercenters in the United States.

Walmart Walmart operates more than 3,000 supercenters in the United States, far outpacing its competitors.

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 company sales force; manufacturer's reps A company sales force affords more control, and so would make sense in major urban markets; for smaller areas, manufacturer's reps might be simpler and less expensive to use

Because many consumers choose stores based on proximity to their workplaces or homes, great locations are

a competitive advantage that few rivals can duplicate. Location is an essential component of the marketing strategy for most retailers.

Though advertising experts wish it were true, there is not always a direct link between a particular marketing communication and

a consumer's purchase. The lack of a direct link to a consumer's purchase makes it difficult to measure the impact of marketing communications.

The difference between advertising and publicity is that advertising is

a paid form of marketing communication. Advertising is a paid form of communication, which distinguishes it from publicity, which is unpaid.

The International Consumer Electronics Show is an example of

a trade show. The International Consumer Electronics Show is a trade show.

Jenna has a large family and likes to stock up on large packs of basics like toilet paper, paper towels, and large bottles of condiments like ketchup. Jenna would most likely prefer to shop for these items at

a warehouse club. Warehouse clubs are large retailers that offer a limited and irregular assortment of food and general merchandise. Customers are attracted to these stores because they can stock up on large packs of basics at lower prices than are available at other retail stores.

Roland has just received notification from a vendor that his clothing merchandise order has been processed and dispatched. Roland has just received a(n)

advanced shipping notice. 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.

Bertone's Office Supplies has decided to branch out from its existing stores. It plans to start sending out a catalog, and also to sell its products online. Bertone's is adopting

an omnichannel strategy. An omnichannel strategy is when a company uses multiple sales channels, such as stores, catalogs, and the Internet.

The goals of IMC need to

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

As the number of communication media has increased, the task of understanding how best to reach target customers has

become more complex. 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.

When her salespeople bring in five new customers, Marissa gives them a $1,000 payment. This is an example of a

bonus A bonus is a payment made at management's discretion when the salesperson attains certain goals.

Sophia could not afford expensive furnishings, but wanted a stylish home. After researching many options, she went to a local Target to purchase the trendy lamps, pillows, and art featured on its ads and website. As a consumer, which retailing challenge was Sophia likely responding to?

brand image consistency Consumers desire a seamless experience when interacting with omnichannel retailers. Therefore, retailers need to provide a consistent brand image across all channels.

Because PSAs are a special class of advertising, FCC rules require

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.

In the IMC communication process, the __________ is the medium that carries the message.

communication channel The IMC message is carried on a communication channel.

Which of the following is most effective in building brand image, listing details about retail locations and educating customers about products and services?

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.

After exchanging greetings and getting to know the customer a bit in an initial sales call, the first goal of a sales presentation is to

create interest. The first goal of a sales presentation is to create interest in the presentation to follow.

If a firm declared that it wanted to develop a strategic relationship, but was unwilling to commit funds or any effort to make it succeed, there would be an obvious lack of

credible commitments. A strategic relationship cannot succeed unless each relationship partner is willing to make a genuine, credible commitment to the relationship. The behavior described in the question does not demonstrate such a commitment.

Annabeth is looking for a Michael Kors chronograph watch, and assumes she can view and try them on at Macy's. She makes a special trip to the store to look at the watches, and selects the style she likes best. Which aspect of choosing a retail partner allowed Annabeth to confidently shop for this item at a particular store?

customer expectations Retailers should also know customer preferences regarding manufacturers. Manufacturers, in contrast, need to know where their target market customers expect to find their products and those of their competitors.

A ________ is a facility for the receipt, storage, and redistribution of goods to company stores.

distribution center This is a description of a distribution center.

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.

electronic data interchange Electronic data interchange (EDI) is the computer-to-computer exchange of business documents from a retailer to a vendor and back.

Automobile manufacturers often use television advertising showing an attractive man or woman driving the manufacturer's stylish new car on a winding road along an ocean vista. These types of ads have __________ appeal.

emotional An emotional appeal tries to reach the consumer by forging a bond between the consumer and the brand. An emotional appeal aims to satisfy consumers' emotional desires.

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.

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

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

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

Higher-income consumers visiting __________ feel like they are on a treasure hunt, searching for a bargain.

extreme value retailers Extreme value and off-price retailers offer an inconsistent assortment of brand-name merchandise at significant discounts from the manufacturer's suggested retail price. Higher-income consumers are increasingly patronizing these stores for the thrill of the hunt.

Salespeople should be evaluated and rewarded only for those activities and outcomes that

fall under their control. It is important to ensure that any measures used to evaluate salespeople focus on factors they can control. For example, a lucky break with which the sales rep had no involvement should not grant the rep a huge commission.

When Cynthia's Boutique receives dresses, they already have price tags and are on hangers. Cynthia's Boutique receives __________ merchandise.

floor-ready Floor-ready merchandise is merchandise that is ready to be placed on the selling floor.

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.

floor-ready Floor-ready refers to merchandise that has already been ticketed and marked with price and identification labels.

In the selling process, the saying "It ain't over till it's over" refers to the __________ stage of the process.

follow-up This refers to the follow-up stage. It is essential to perform well in this stage to build relationships and earn additional orders in the future.

The most common type of contractual vertical marketing system is a

franchise. Franchising is the most common type of contractual vertical marketing system.

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.

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.

A customer who is shopping for fashionable, but relatively low-cost merchandise in a pleasant environment is shopping at a(n)

full-line discount store. Customers do not expect higher-end products in full-line discount stores. Rather, they are looking for value prices on these items and are willing to compromise on quality or cachet.

Even the best marketing communication can be wasted if the sender does not first

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.

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

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

Lamar is assessing the long-term effectiveness of his firm's IMC efforts. He will probably analyze the firm's success in

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

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.

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

To maintain trustworthy customer relationships, companies must take care that they respect customer privacy and respect the ________—that is, the amount of information a customer feels comfortable providing.

information comfort zone This describes the customer's information comfort zone.

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.

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.

When supply chain members view their goals and ultimate success as intricately linked, or ________, they develop deeper long-term relationships.

interdependent Interdependence between supply chain members that is based on mutual benefits is a key factor in developing and sustaining the relationship.

One of the disadvantages associated with personal selling is

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

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.

just-in-time (JIT) Just-in-time (JIT) and quick response (QR) both refer to inventory management systems designed to ship smaller quantities more frequently.

Today, __________ dominate supply chains.

large retailers Large retailers like Walmart have become so powerful that today they dominate their supply chains.

As the old cliché claims, the three most important things in retailing are

location, location, location. Location is an essential component of the marketing strategy for most retailers.

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.

marketing channel A marketing channel consists of all the institutions and marketing activities in the marketing process. This is virtually the same thing as a supply chain.

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?

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

Fred sells health insurance packages for small businesses. He has been given the names of 10 new businesses in his town. During the qualifying leads stage of the selling process, Fred will likely try to assess which of the 10 businesses

need health insurance packages and can afford them. Qualifying leads refers to determining whether or not they have the needs and the resources necessary to make them good potential customers.

Sales, profits, orders, and sales ratios are all _________ measures that can be used to evaluate sales representatives.

objective These are all objective measures since they deal with dollars brought in and not subjective quality of the work done.

For consumers, shopping in a retail store instead of online offers the unique benefits of participating in a social experience and

obtaining immediate gratification. Stores have the advantage of allowing customers to get the merchandise immediately after paying for it.

The individual elements of an IMC strategy can be viewed on two axes: __________ (from the consumer's perspective) and ________.

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.

When a product has gained a certain level of brand awareness, firms use __________ advertising to motivate consumers to take action.

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

Which element of the marketing mix specifically deals with supply chain management?

place Place consists of activities related to the distribution of products, getting products that customers want to them when and where they want them; this is the essence of supply chain management.

Retailers' coupons, rebates, and online discounts are types of

pricing promotions. These are types of price promotions the retailer might offer.

In the United States, the regulation of advertising involves a complex mix of laws and informal restrictions designed to

protect consumers from deceptive practices. Most regulation of advertising is related to consumer protection.

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.

public relations Public relations consists of "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 firm that places an emphasis on developing and maintaining positive relationships with the media is focusing on a(n) ________ strategy.

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.

In the IMC communication process, the __________ is the person who reads, hears, or sees and processes the message being communicated.

receiver The receiver is the eventual target of the message—the person at whom it is directed.

Tara made sure that her customers felt comfortable contacting her when they needed something, and she focused on the long term in her dealings with them. Tara is a ________-oriented salesperson.

relationship Relationship-oriented salespeople work with their customers to find solutions to their wants and needs, and focus on maintaining the relationship over the long term.

The attitudes that Ryan's customers develop after they have purchased his yearly lawn care service will become the basis for determining whether they renew each year. He needs to be ____________, quickly addressing any problems that occur.

responsive Addressing problems quickly refers to the responsiveness dimension of service quality.

In vendor-managed inventory systems,

retailers send sales information to the manufacturer. Vendor-managed inventory systems transmit store sales and inventory information to manufacturers so that they can reorder needed merchandise.

A distribution center is typically operated by

retailers, manufacturers, or distribution specialists. Retailers, manufacturers, and distributors can all operate distribution centers.

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?

reward This is example of reward power.

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

role playing. Role playing is a technique in which a colleague pretends to be the customer, giving the sales rep a chance to practice the presentation.

Traditionally, marketers have seen the role of __________ as generating short-term results, whereas the goal of __________ was to lead to long-term results.

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.

When Barbara realized she didn't have all of the technical information she needed to answer the customer's questions, she made a call to her office. Who would be most likely to provide appropriate assistance?

sales support personnel Sales support personnel enhance and help with the overall selling effort, including providing technical information. A sales manager might be helpful, but may not know the technical information required.

One of the advantages of personal selling over other types of marketing communication is that

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.

If a manufacturer wasn't happy with either intensive or exclusive distribution, a logical choice, which incorporates some features from both, would be __________ distribution.

selective Selective distribution is a compromise between intensive and exclusive distribution.

Firms can use __________ to bring customers together to share experiences around the products.

social media The term social media 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.

Firms can use __________ to bring customers together to share experiences around the products.

social media The term social media 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.

TT TOYS manufactures toys. The company recently started buying paint for its toys from a Chinese firm. This Chinese company is part of TT Toys'

supply chain Supply chain management is a set of approaches and techniques firms employ to efficiently and effectively integrate their suppliers, manufacturers, warehouses, stores, and transportation intermediaries into a seamless operation.

Integrated marketing communications include all of the following except

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

Public relations is the component of IMC that

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.

Gwen recognizes that one of her roles as a company sales rep is to be the firm's frontline emissary. As such, she strives to build strong relationships with customers and

take a long-term perspective. A long-term perspective is one that focuses more on relationship building than on short-term revenues.

Advertising in which medium relies on a mix of visual and auditory techniques?

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

One of the most fundamental activities of retailers is to provide __________, satisfying the needs of their target market.

the right mix of merchandise and services Retailers must find the right balance between merchandise offered and services provided.

Getting merchandise floor-ready entails

ticketing and marking. Floor-ready refers to merchandise that has been ticketed and marked with price and identification labels.

Steve is working on the message to convey in his firm's advertising campaign. As a starting point, Steve should first consider

touting the key benefits of his firm's services. A starting point for an ad message is often to tout the product's key benefits as perceived by the target market.

Neville is trying to create an advertising message that tells consumers how his company's cell, pager, instant messaging, and Internet services differ from other alternatives in the market. Neville is trying to create a(n)

unique selling proposition. A unique selling proposition is a statement of the unique benefits a product offers to the target market.

Generally, the larger and more sophisticated the channel member, the less likely that it will

use supply chain intermediaries. Larger, more sophisticated channel members (such as large manufacturers) are likely to perform many channel functions for themselves instead of using intermediaries.

The local auto supply store gets merchandise delivered to it by its manufacturers as soon as it has a need, reducing stockouts with minimal inventory. This demonstrates the concept of

vendor-managed inventory. In vendor-managed inventory systems, the manufacturer replenishes inventories in quantities that meet the retailer's immediate demand, reducing stockouts with minimal inventory.

Today, retailers like Walmart, Home Depot, and Kroger dictate to their suppliers all of the following except

which competitors they should collaborate with. Large retailers cannot dictate competitive dynamics to retailers, but they typically dictate the other factors listed.