Textbook Questions - Marketing Exam 1

​The product variable of the marketing mix can include all of the following except a. ​development of product packaging. b. ​consumer perception of the product price. c. ​repair services. d. ​creation of brand names. e. ​warranty issues

B

On average, how much is spent on marketing?

50%

Which employees are ideally positioned to understand customers' needs and wants and thus a vital component in the chain of communications? a. Customer-contact employees b. Top executives c. Marketing managers d. Manufacturing employees e. Operations managers

A

A marketer that targets customers based on marital status and the presence and age of children is using a. psychographic variables. b. family life cycle. c. phase of life segmentation. d. behavioristic segmentation. e. lifestyle variables.

B

Demand-based pricing most closely relates to the ____ of services. a. inseparability b. perishability c. intangibility d. heterogeneity e. customer contact aspect

B

A product item is best described as a a. particular brand. b. specific characteristic of a product. c. specific version of a product. d. component of a marketing mix. e. unit of measure for the product.

C

The practice of linking a firm's product marketing to a particular social cause on an ongoing or short-term basis is known as a. economic responsibility. b. corporate benevolence. c. ethical marketing. d. cause-related marketing. e. social responsibility.

D

A physical product you can touch is a(n) a. ​good. b. ​concept. c. ​service. d. ​philosophy. e. ​idea.

A

All of the following are major steps in developing new products except a. evaluation of competitors' efforts. b. business analysis. c. idea generation. d. test marketing. e. screening.

A

Although it may seem logical to target higher-income consumers, many marketers choose to target lower-income segments because a. lower-income consumers represent a much larger population globally. b. lower-income consumers require fewer company resources. c. higher-income consumers represent a much larger population globally. d. higher-income consumers are harder to reach. e. higher-income consumers require more company resources.

A

Although marketing theory supports the contrary, it is more probable that marketing budgets will be cut during periods of economic a. recession. b. expansion. c. inflation. d. prosperity. e. recovery.

A

What is the primary distinction between a line extension and a product modification? a. In both cases an existing product is altered, but the alteration is more dramatic with a product modification than it is with a line extension. b. With product modifications, the original product is replaced in the product line while both the old and the new products remain in the case of line extension. c. Line extensions are strictly aesthetic changes to an existing product whereas product modifications consist of changes in quality and functionality. d. Line extensions are designed to better meet the needs of the existing market segment while product modifications target entirely new segments of the market. e. A product modification results in a completely new product while a line extension is simply changing an old product.

B

A ____ is created when a company matches its core competency to opportunities it has discovered in the marketplace. a. ​market opportunity b. ​market requirement c. ​competitive advantage d. ​strategic window e. ​competitive opportunity

C

Business customers today turn first to _____ to search for information and find sources for their product needs. a. B2B auction sites b. competitors c. the internet d. the NAICS e. vendor sales representatives

C

Many services have aspects that consumers may never be able to evaluate, even years after the purchase and consumption of the service. These attributes are called a. immeasurable attributes. b. experience qualities. c. credence qualities. d. performance attributes. e. search qualities.

C

Special K cereal is aimed at people concerned about their weight. These people represent the Special K a. consumer advocates. b. marketing mix. c. target market. d. marketing strategy. e. marketing tactic.

C

Any group of people who, as individuals or as organizations, have needs for products in a product class and who have the ability, willingness, and authority to buy such products is a(n) a. business market. b. market variable. c. undifferentiated market. d. market. e. segmented market.

D

Inelastic demand simply means that a. when supply is reduced, the price will increase. b. buyers will not make a new-task purchase. c. buyers will not make a modified rebuy purchase. d. a price increase or decrease will not significantly change the demand for an item. e. when price goes up, demand goes down.

D

Marketers who view political forces as being beyond their control are taking a(n) ____ response toward these forces. a. proactive b. aggressive c. environmentally active d. reactive e. counteractive

D

Problem recognition occurs when a consumer a. recognizes a need and evaluates information to resolve a problem. b. evaluates her or his purchase. c. is exposed to a television advertisement desired state and an actual condition. d. becomes aware that there is a difference between a desired state and an actual condition. e. searches for information to resolve a problem.

D

Sales usually start to decline during the ____ stage of the product life cycle. a. growth b. decline c. introduction d. maturity e. termination

D

The Better Business Bureau is probably the best-known a. self-regulatory unit operating at the national level. b. federal regulatory group. c. state-operated enforcement agency. d. nongovernmental regulatory group. e. national evaluator of advertisements.

D

The ability of a product to provide the same level of quality over time is called a. variability. b. image. c. status. d. consistency. e. longevity.

D

The primary psychological influences on consumer behavior are a. attitudes, perception, social class, culture, and learning. b. lifestyles, personality, perception, motivation, attitudes, and culture. c. attitudes, perception, retention, exposure, roles, and lifestyles. d. perception, motivation, learning, attitudes, personality, and lifestyles. e. perception, motivation, reference groups, social class, and personality.

D

What are the three primary ways that marketers deliver services? a. Over the phone, online, or in-person b. At the customer's home, in-person, or by telecommunications c. Continuously, periodically, or on demand d. Service facilities, customer's home, or from a distance e. Through service centers, delivery vehicles, or the mail

D

What is the major difference between social responsibility and marketing ethics? a. There is legislation that deals with marketing ethics, but none for socially responsible practices. b. There is no difference; they are synonymous terms. c. Marketing ethics varies by industry whereas social responsibility involves universal rules of conduct. d. Social responsibility deals with the total effect of marketing decisions on society, whereas marketing ethics relates to individual and group evaluations in marketing situations.

D

Which of the following is the division of a market according to end results that consumers want from the product? a. Market density b. Concentrated segmentation c. Geodemographic segmentation d. Benefit segmentation e. Differentiated segmentation

D

Who judges service quality? a. The company b. Independent raters c. Employees d. Customers e. Marketers

D

A marketing plan document usually begins with a(n) a. ​summary of current performance as compared with past performance. b. ​introduction to the company's marketing objectives. c. ​opportunity and threat analysis. d. ​situation analysis. e. ​executive summary.

E

An organization's business goals should be derived from its a. ​strategic business plan. b. ​marketing plan. c. ​marketing strategy. d. ​strategic plan. e. ​mission statement.

E

Convenience products are a. frequently purchased items for which buyers are willing to exert considerable effort. b. frequently purchased items that are found in certain retail outlets. c. items that are expensive but are easy to purchase. d. items that require some purchase planning and for which the buyer often will not accept substitutes. e. relatively inexpensive, frequently purchased items for which buyers exert only minimal purchasing effort.

E

Product specifications are best described as a. descriptions of a product. b. comparisons to similar products. c. numbers of quality inspections required. d. defective product return policies. e. necessary characteristics and level of quality.

E

Service industries account for ____ of the gross domestic product of most developed nations. a. more than half b. nearly all c. approximately 25% d. a small portion e. nearly three-quarters

E

The depth of a product mix is measured by the average number of a. product features that the company offers. b. specialty products as compared with the number of convenience products. c. convenience products as compared with the number of specialty products. d. different product lines offered by the company. e. different products offered in each product line.

E

The marketing concept is a management philosophy that affects a. ​only marketing activities. b. ​mainly the efforts of sales personnel. c. ​mainly customer relations. d. ​only business organizations. e. ​all efforts of the organization

E

The purpose of market segmentation is to a. meet the needs of homogeneous markets. b. differentiate products. c. identify a single marketing mix that will be satisfactory for the general market. d. reduce the overall cost of marketing activities. e. divide a total market to enable a marketer to develop a more precise marketing mix.

E

Evaluative criteria for brands within the consideration set are both a. objective and subjective. b. perceptive and selective. c. extended and routinized. d. internal and external. e. selective and expansive.

A

When organizing perceptual inputs, people tend to mentally fill in missing elements in a pattern or statement. This principle is called a. distortion. b. figure-ground. c. closure. d. interpretation. e. framing.

C

​Business decisions made in creating a marketing mix a. ​are made before a target market is identified. b. ​usually take place when a strategic window is open. c. ​are only as good as the organization's understanding of the needs of the target market. d. ​are unchangeable once they are agreed upon by management. e. ​must always be consistent with the firm's opportunities.

C

Business markets are typically divided into four categories. These categories are a. producer, reseller, government, and institutional. b. producer, manufacturer, reseller, and government. c. manufacturer, wholesaler, retailer, and services. d. reseller, retailer, government, and institutional. e. retailers, wholesalers, services, and nonprofit firms.

A

Facilities, factories, and production lines with very large equipment are all classified as a. installations. b. component parts. c. permanents. d. accessory equipment. e. MRO facilities.

A

Product-related ethical issues arise when marketers a. fail to disclose information to consumers about the risks associated with using a product. b. provide consumers with inadequate information about how a product is priced. c. manufacture a product that is very similar to a competing product. d. force channel intermediaries to behave in a specific manner. e. bribe salespeople to push one product over another.

A

The accumulation of past income, natural resources, and financial resources is known as a. wealth. b. income. c. savings. d. collected income. e. credit.

A

The test marketing stage a. is a sample launching of the entire marketing mix. b. is an extension of the screening stage. c. prevents competitors from copying the product. d. should come immediately after business analysis. e. ensures that the product will not fail.

A

When using credit to make purchases, consumers are a. increasing current buying power at the expense of future buying power. b. forgoing the accumulation of wealth to increase current income. c. increasing their present discretionary income to extend purchasing power. d. putting themselves at significant risk of financial disaster. e. decreasing current buying power and increasing future buying power.

A

Within the buying center, ____ are technical personnel who develop product specifications and evaluate alternatives, while _____ actually choose the products. a. influencers; deciders b. users; buyers c. influencers; buyers d. deciders; buyers e. gatekeepers; deciders

A

he most significant factor influencing a buyer's level of involvement is a. risk. b. product attributes. c. cognitive dissonance. d. social media. e. price.

A

Organizations should define themselves not according to the products they produce but according to a. ​the price of their stock. b. ​how they satisfy customers. c. ​the abundance of their product selection. d. ​how they treat employees. e. ​how profitable they are.

B

Any constituent who has a claim in some aspect of a company's products, operations, markets, industry, or outcomes is known as a(n) a. customer. b. employee. c. manager. d. stakeholder. e. shareholder.

D

What do environmentalists set as an objective for profitability? a. Companies will be more profitable if they work hard to protect the environment because consumers will reward their efforts through loyalty. b. Profitability should not be a concern when addressing issues of environmental importance. c. Companies will never be profitable if they comply with environmental standards, so taxpayers must subsidize all production. d. Companies should surpass the strictest environmental standards even if it negatively affects profitability. e. Environmentalism should be made profitable, and companies attempting to protect the environment should not have to compete with those harming it in the marketplace.

E