MKTG 4120 Exam 4 Practice Problems

Based on Pew Research statistics, Internet usage increases with age.

False - internet decreases with age

It is only necessary for a marketer to track consumer complaints and comments on the web

False - it is important but it is not the only reason

The three types of consumer decision making are nominal, limited, and complex

False - nominal, limited, extended

The number one online shopping tool is online reviews.

False - search engines are

The way an individual perceives his or her feelings and situation to be at the present time is known as one's desired state.

False - this defines actual state

A repeat purchase decision is a type of nominal decision in which the consumer believes all the brands within a given product category are about the same, but attaches a relatively high importance on the product category or purchase.

False - this defines brand loyalty; repeat purchase = the consumer believes all the brands within a given product category are about the same, and attaches a relatively low importance on the product category or purchase.

Incurred costs are the costs of finding, evaluating, and adopting another solution.

False - this is known as switching costs

A direct-to-consumer sale occurs when one consumer sells a product directly to another with or without the assistance of a commercial intermediary.

False - this is termed consumer-to-consumer sale

Which of the following is NOT an action a consumer may utilize to reduce dissonance?

Increase the importance of alternatives that were not considered in the purchase initially.

A problem of which a consumer is aware is

an active problem

Which type of nominal decision is characterized by a fairly high degree of product involvement but a low degree of purchase involvement?

brand loyalty decision

Which of the following is not generally an outcome for a satisfied customer?

brand switchin

All of the brands that a consumer will evaluate for the solution of a particular problem is known as the

evoked set

Very high levels of purchase involvement tend to produce _____.

extended decision making

Research has shown that most of the online search leading up to a purchase was _____.

generic

Sandy uses online banking, and her bank charges her $4.99 per month. However, she has seen ads for a competing bank offering free online banking services. She'd like to switch, but she realized that it might be difficult to do since she has several of her bill payments set up as automatic debits. The cost of changing to another bank represents Sandy's _____.

switching costs

Monique is buying a new coat for the winter. While she is concerned with how well the coat will keep her warm, she is also concerned with how stylish it will make her look. Her concern for stylishness represents which dimension of product performance?

symbolic

The styling of a suit represents

symbolic performance

Which of the following is an ambient condition related to store atmosphere?

temperature

Evaluative criteria are

the characteristics required to meet your needs

Which of the following is NOT an appropriate condition to attempt to influence generic problem recognition?

the firm has the small percentage of the market

Why must manufacturers design products with both the primary purpose and other potential uses in mind?

tringent product liability laws

Which of the following is true regarding the Net Promoter Score (NPS)?

1. It appears to tap attitudinal loyalty 2. it tends to be predictive of growth 3. it works well in only some industries

Once a consumer problem is identified, the manager may structure the marketing mix to solve the problem. This can involve

1. developing a new product. 2. altering an existing product. 3. modifying channels of distribution. 4. changing pricing policy.

Based on Pew Research statistics, which of the following demographic patterns is true?

1. hispanics and african-americans are lower users of the internet than white and asian-americans

The motivation to resolve a recognized problem depends on

1. the relative importance of the problem 2. the magnitude of the discrepancy between the desired and existing states

The first step a firm should most want from a dissatisfied customer is that they stop buying that brand or at that store

False - The first step a firm should want from a dissatisfied customer is for them to complain to the company and no one else; this gives the company a chance to resolve the problem.

As individuals gain skills, their desires related to those skills remain the same.

False - desired and actual states change

The first stage in the consumer decision process is information search.

False - first stage is problem recognition

A shopping style that puts particular emphasis on certain activities or shopping motivations is called a shopping perspective.

False - A shopping orientation is a shopping style that puts particular emphasis on certain activities or shopping motivations.

Basic Shoppers enjoy shopping and are motivated by the recreational and social aspects of shopping

False - Basic Shoppers are motivated primarily by getting exactly what they want in the least amount of time.

Consumer-level employees deal directly with consumers.

False - Frontline employees deal directly with consumers.

HP has a large brand-loyal purchaser segment; therefore, a disrupt marketing strategy is most appropriate for this brand.

False - If the brand is purchased habitually by the target market, the marketer's strategy is to maintain that behavior.

Primary search involves problem recognition, retrieving relevant information from long-term memory in order to determine whether a satisfactory solution is known, what the characteristics of potential solutions exist, what are appropriate ways to compare solutions, etc

False - Internal search involves problem recognition, retrieving relevant information from long-term memory in order to determine whether a satisfactory solution is known, what the characteristics of potential solutions exist, what are appropriate ways to compare solutions, etc.

Multi-channel shoppers rarely browse/search in one channel and use that information to make a purchase in another channel.

False - Multi-channel shoppers are consumers who browse and/or purchase in more than one channel.

A key element of relationship marketing is to standardize the relationship across customers.

False - Relationship marketing is centered on understanding consumer needs at the individual consumer level.

A $20 savings on a $395 item should show the percentage savings but not the dollar savings.

False - The best approach for retailers seems to be to present the sale price and the dollar amount saved if it is large.

In the case of a dissatisfied customer, when no external action is taken, the customer is likely to have a more favorable attitude toward the store or brand.

False - The dissatisfied customer is likely to have a less favorable attitude toward the store or brand when no external action is taken.

Caucasians are the highest users of local mobile search.

False - hispanics are

Catalogs and the Internet appear to work in a complementary fashion.

True

Ongoing search involves an intentional external search occurring in the absence of problem recognition and is done both for acquiring information for use perhaps at a later time and because the process itself is pleasurable.

True - Consumers acquire a substantial amount of relevant information on an ongoing basis without a recognized problem.

Kathy enjoys a diet cherry vanilla Dr. Pepper after her workout each day. After about four weeks of this routine, she grows tired of the same soft drink and switches to Crystal Light lemonade. Kathy is displaying variety-seeking behavior.

True - Consumers get tired of some food items, not because they don't like the brand, but because from a sensory (taste) standpoint they get bored.

Unplanned purchases are purchases consumers make in a retail outlet that are different from those they planned to make prior to entering that retail outlet

True - Consumers often purchase brands different from or in addition to those planned.

Primary sources of information available to consumers include marketing sources, independent sources, personal sources, experiential sources, and memory.

True - Each of these sources has an offline, online, and mobile component.

Bossing around retail clerks is a nonpurchase reason for shopping.

True - Individuals go shopping for more complex reasons than simply acquiring a product or set of products.

The Internet allows consumers easy access to manufacturer websites, other consumers, and government agencies, while expanding a marketer's ability to reach consumers.

True - Internet strategies continue to evolve

Consumers are more willing to travel longer distances to shop for a luxury car than for deodorant.

True - Major high-involvement purchases such as automobiles or specialty items such as wedding dresses generate greater willingness to travel.

Price premium refers to the fact that repeat and specifically committed customers tend to buy the brand consistently rather than waiting for a sale or continually negotiating price.

True - Price premium customers are a source of increased customer profitability over time

Consumers who demonstrate a positively biased behavior toward a specific brand are exhibiting brand loyalty.

True - When customers are committed to a brand it is known as brand loyalty

Emma noticed that she was almost out of gas, so she pulled into the nearest gas station and filled up her tank. Emma's decision on which gas to purchase is characterized by _____.

a low level of purchase involvement

Expenses associated with advertising, establishing a new account, and mailing catalogs are examples of _____.

acquisition costs

What are the types of consumer problems?

active and inactive

All of the brands that a consumer thinks of as potential solutions are known as the _____.

awareness set

Which of the following is a segmentation of shoppers who are motivated primarily by getting exactly what they want in the least amount of time?

basic shoppers

Which of the following is NOT a type of consumer decision making discussed in your text?

complex decision making

What has research revealed regarding consumers' variety-seeking behavior?

consumers are more likely to become bored on sensory attributes such as taste

Catalog Age, as reported in the text, found that consumers shop online for reasons similar to those for shopping from catalogs. The major reason consumers shop online and from catalogs is due to

convenience

Every time Hannah buys a sandwich at Super Subs, she gets a stamp on a card. Once she has 10 stamps, she'll get a free sandwich. This is an example of a(n) _____.

customer loyalty program

Carl and his family purchased a new home, and the builder left half empty paint cans in the garage. Carl doesn't know what to do with them because he cannot put them out in the regular trash. Carl is concerned with which of the following with regard to the paint?

disposition

Which of the following is a segmentation of shoppers who are motivated by many aspects of shopping?

enthusiast shoppers

The desired features or characteristics required to meet a consumer's needs are his or her _____.

evaluation criteria

What is the key to success of store brands?

high quality at resobale price

Consumers acquiring product through mail, telephone, or computer orders is referred to as _____.

in-home shopping

Satisfaction with a product is primarily a function of

instrumental and symbolic performance

Which of the following are types of reference prices?

internal and external

Nakeisha wants to purchase some new make-up, but she wants something different from what she is currently using. Since she has experience with this product, she just thinks of the other products she has tried and decides to purchase one of those. Which type of information search has Nakeisha performed?

internal search

Another term for habitual decision making is

nominal decision making

Which of the following is NOT true regarding the Net Promoter Score (NPS)?

it appears to tap only behavioral loyalty

Marketing managers are interested in external information search because

it provides them with direct access to the customer

When a consumer notices a new product in a store because of the point-of-purchase display, reads about the attributes of the product and recalls an unresolved problem that this product will solve, and then purchases the product, _____ has occurred.

limited decision making

Nominal decision making tends to be associated with

low levels of purchase involvement.

Which marketing strategies are appropriate for nominal decision making?

maintenance strategy and disrupt strategy

Information search often requires all of the following

mental effort, physical effort, giving up more desirable activities, and money

If, in response to a problem, a consumer recalls a single, satisfactory solution, no further information search or evaluation may occur. The consumer purchases the recalled brand and _____ has occurred.

nominal decision making

An outlet or brand whose performance confirms a low-performance expectation generally will result in _____.

nonsatisfaction

Shoppers who browse and/or purchase in more than one channel simultaneously are known as _____.

omni-channel shoppers

Deliberate external search that occurs in the absence of problem recognition and is done both to acquire information for possible later use and because the process itself is pleasurable is known as _____.

ongoing search

Which of the following barriers to online purchasing is related to consumer fears regarding how personal information about them that is gathered online might be used?

online privacy concerns

Satisfaction with a purchase is primarily a function of

perceived performance relative to expectations

Shelf talkers are a type of

point-of-purchase material

Doubt about the wisdom of a purchase shortly after the purchase is referred to as

postpurchase dissonance

Doubt or anxiety regarding a purchase a consumer has made is known as _____.

postpurchase dissonance

The first stage of the decision process is called the

problem recognition

What is the first stage of the consumer decision process?

problem recognition

The level of concern for, or interest in, the purchase process triggered by the need to consider a particular purchase is

purchase involvement

Which of the following is NOT a subcategory of the awareness set?

purchase set

Which of the following is a shopping motivation of consumers?

recreation, social aspects, utility, minimizing shopping time

Which type of nominal decision is characterized by a consumer believing that all brands within a given product category are about the same and not attaching much importance to the product category or purchase?

repeat purchase decision

Kevin buys the same brand of clothing all the time. He continues to buy it because it fits him well and the price is right, but he does not have an emotional attachment to it. Kevin is an example of a(n) _____.

repeat purchaser

Which model is used to calculate the level of store attraction based on store size and distance from the consumer?

retail attraction model

The uncontrollable factors that affect problem recognition include all of the following EXCEPT

sales force efforts

Spillover sales refer to

sales of additional items to customers who came to purchase an advertised item.

Which of the following statements is FALSE regarding information search?

searching for info is free

Internet shopping services use _____ that do the shopping/searching for users.

shopping bots

Which of the following are components of store image?

store atmosphere, store size, store location, and store advertising

Brands owned and sold by a specific retail outlet are known as _____.

store brands

Which of the following is an alternative if a consumer decides to retain a product's package?

store it, use it for a new purpose, or recycle it

How can firms enhance consumers' control with regard to online privacy concerns?

use "opt in" approach

Good product offers and information, value, and alignment with consumers' interests are components of which dimension of online retailer image?

usefulness

Website visits that occur as a result of exposure to an online ad but which do not occur at the time of exposure have been termed ________

view-throughs