bus 2-130 test 2 quizzes

Large retailers such as JCPenney and Target are most likely to participate in which of the following channels? Producer, industrial distributors, retailers, consumers Producer, consumers Producer, wholesalers, retailers, consumers Producer, retailers, consumers Producer, agents, wholesalers, retailers, consumers

Producer, retailers, consumers

A group of managers has been assigned the task of developing a new product. They are now in the process of assessing several ideas to determine whether they are consistent with the firm's overall objectives and resources. The managers are at what stage of the new-product development process? Business analysis Product testing Idea generation Commercialization Screening

Screening

One advantage of nonprice competition is that a firm can react quickly to competitive efforts. market share becomes less important. a firm can build customer loyalty. marketing efforts are completely eliminated. pricing is no longer a factor.

a firm can build customer loyalty.

In a simple economy of five producers and five consumers, there would be ____ transactions possible without an intermediary and ____ transactions possible with one intermediary. 10; 25 30; 10 25; 15 16; 8 25; 10

25; 10

Which of the following statements about nonprice competition is false? Companies that use nonprice competition do not need to keep track of their competitor's prices. A company must be able to distinguish its brand through some unique feature in order to successfully engage in nonprice competition. A firm using nonprice competition can build loyalty to both its company and its products. When using nonprice competition, a company should promote the distinguishing characteristics of its brand. Buyers must view the distinguishing characteristics of a product offered through nonprice competition as being important.

Companies that use nonprice competition do not need to keep track of their competitor's prices.

Which of the following lists forms of competitive advertising? Pioneer, comparative, reminder Reminder, repetitive, reinforcement Comparative, reminder, reinforcement Institutional, product, comparative Product, pioneer, reminder

Comparative, reminder, reinforcement

OES Office Systems' use of fax machines to carry its advertising messages to its business customers is which component of the communication process? Communication channel Decoding process Encoding process Sharing of meaning Noise minimization

communication channel

H&M, a clothing company, communicates to its target customers by advertising in magazines, offering clothing information on its website, creating a periodic online newsletter, and using Facebook and Twitter. These vehicles through which the coded message is transmitted from the source, H&M, to the receiver, the prospective customer, are called fields of reference. decoders. encoders. relay channels. communication channels.

communication channels

Radio and television signals as well as ink on the paper of a magazine or newspaper are all considered communication noise. communication links. communication resources. communication channels. decoding sources.

communication channels

Soft drink companies advertise that their products beat the competition in national "taste tests," and they refer to the rival brands by name. This type of advertising is best described as pioneer. competitive. comparative. defensive. selective.

comparative

Tercile Products Company advertises a specific product heavily, and Carbone Products Company wants to offset the effects of that advertising. In this case, Carbone would most likely employ ____ advertising. competitive pioneer institutional primary native

competitive

When Volvo's advertising campaign mentions the Volvo CX60 has the highest safety rating of any European sedan, it is using _______ advertising. reminder reinforcement competitive defensive institutional

competitive

Compared with other types of retailers, department stores compete mainly on the basis of customer services. low prices. a very deep assortment of a few specific products. high sales volume. catalog sales.

customer services

Netflix sells its movie services using its website while Redbox sells its movie services using vending machines. Each requires the products to be distributed through different channels. Netflix is using ____, while Redbox is using ___ to get the movies to its vending machines. multichannel distribution; digital distribution digital distribution; just-in-time distribution intensive distribution; selective distribution multichannel distribution; physical distribution digital distribution; physical distribution

digital distribution; physical distribution

A marketing channel is defined as a group of individuals and organizations that consumes about one-half of every dollar spent on products in the United States. directs the flow of products from producers to customers. links producers to other marketing intermediaries. takes title to products and resells them. manages transportation and warehousing functions.

directs the flow of products from producers to customers.

Ollie's is a regional self-service retail store that sells name-brand electronics, tools, housewares, and sporting goods at low prices. Ollie's is an example of a department store. discount store. warehouse showroom. specialty store. superstore.

discount store

Self-service, general merchandise stores such as Kmart are known as discount stores. warehouse showrooms. catalog showrooms. superstores. specialty retailers.

discount stores

Which type of retailer generally accepts lower margins than traditional retailers in exchange for higher sales volume? Department stores Traditional specialty retailers Warehouse showrooms Direct marketers Discount stores

discount stores

For most firms in the United States, demand curves are upward sloping. completely horizontal. completely vertical. C-shaped. downward sloping.

downward sloping.

Communication can be viewed as a circular process because during feedback, the receiver can be viewed as the source of the message while the original source becomes the receiver. the message goes from encoding by the source to decoding by the receiver. during a personal selling situation, both verbal and nonverbal feedback can be very fast and immediate. channel capacity is determined by the least efficient component. the message goes from person to person.

during feedback, the receiver can be viewed as the source of the message while the original source becomes the receiver

When Conair adds an electrical component that automatically shuts off its curling irons when they have been left on for more than one hour, this improvement would best be classified as a(n) product line extension. quality modification. aesthetic modification. market extension. functional modification.

functional modification.

When marketers at Nabisco met with groups of young adults to identify the types of snacks that young people want, they were engaging in which phase of new-product development? Idea generation Business analysis Test marketing Commercialization Product development

idea generation

A genuinely new product, like the iPhone once was, offers lower prices than existing products. at least two new product features. innovative benefits to consumers. better value than existing products. at least two new product features at a lower price

innovative benefits to consumers.

The University of Iowa runs a series of ads throughout the Midwest on how friendly and helpful its faculty, staff, and students are as well as how outstanding its academic programs are. This type of promotion would best be characterized as public relations. product advertising. advocacy advertising. institutional advertising. comparative advertising.

institutional advertising.

For most products, a(n) ____ relationship exists between the price of a particular product and the quantity demanded. inelastic inverse positive unknown elastic

inverse

A product under nonprice competition would most likely not succeed in the market if a new advertising campaign is established for it. it is easy to duplicate. it is packaged differently from similar products. it is priced near the competitors' price. its quality has been upgraded.

it is easy to duplicate.

Coca-Cola has expanded to Diet Coke, Cherry Coke, and Caffeine-free Coke, to name a few. These are examples of product modifications. functional modifications. aesthetic modifications. line extensions. product lining.

line extensions

If Nokia decides to make changes in its marketing channels, the strategic significance is that channel decisions are long-term commitments. short-term commitments. easier to change than prices. easier to change than promotion. impossible to change.

long-term commitments.

When Sophie buys organic produce for her household using a channel with only one intermediary, that intermediary is classified as a retailer. wholesaler. broker. functional middleman. producer.

retailer.

Walmart, Macy's, Nordstrom, and Toys 'R' Us are examples of manufacturers. merchant wholesalers. end-users. agents. retailers.

retailers

Direct selling, direct marketing, and vending machines are all examples of producing. advertising. promoting. retailing. wholesaling.

retailing

The major drawback to using aesthetic modifications is the cost of the modifications. that the value of the modification is determined subjectively. the need for redesign of the product. a possible decrease in market share. that there is no differentiation for the product in the market.

that the value of the modification is determined subjectively.

Possession utility is best described as products being available in places where the customers wish to purchase them. the customer having access to the product to use now or store and use later. having a company's products available when a customer needs them. being able to legally own a product despite restrictions on trade. getting the products to the consumers in as little time as possible for ownership.

the customer having access to the product to use now or store and use later.

In product modification, the first issue to consider is whether existing customers can perceive that a product modification has been made. the product is modifiable. quality is modified. modification will make the product more consistent with customers' desires. modification will provide greater satisfaction to the consumer.

the product is modifiable.

Channel decisions are important to marketers mostly because they are relatively flexible to change quickly. consumers value reasonable prices delivered through marketing channels. they dictate what promotional strategies companies should use. many businesses are marketing intermediaries. they involve long-term commitments and affect customer accessibility.

they involve long-term commitments and affect customer accessibility.

Retailing is best characterized as large organizations that carry wide and deep product mixes. transactions in which the buyer intends to consume the product through personal, family, or household use. arrangements whereby a supplier grants a dealer the right to sell its products. transactions in which the purchaser intends to use the product for resale or for business operations. exchanges that take place only in a store or service establishment.

transactions in which the buyer intends to consume the product through personal, family, or household use.

A retailer is an organization that purchases products for the purpose of reselling them to other retail organizations. the government. ultimate consumers. wholesalers. nonprofit organizations.

ultimate consumers

Taylor works for a company that buys snacks such as chips, cookies, and candy in bulk from manufacturers. Taylor's company then repackages them and sells them to vending companies that have vending machines at government institutions. Taylor most likely works for a(an) ___, while the vending machine company is a(an) _____. wholesaler; retailer wholesaler; broker broker; retailer broker; agent agent; retailer

wholesaler; retailer

Which is the best example of noise that originates with the receiver in the communication process? Sarah drives through a tunnel, and her radio signals become very weak. Maria has been studying English for two years and does not understand the symbolism being used in a commercial. Kevin simply tunes out pop-up ads on the Internet so that they don't even enter his awareness. Because of poor printing, Claire cannot read an advertisement in her local newspaper. A mother fails to hear a new commercial for diapers because her new baby is crying.

Kevin simply tunes out pop-up ads on the Internet so that they don't even enter his awareness.

____ is the development of a product that is closely related to one or more products in a firm's existing product line but is designed specifically to meet somewhat different customer needs. Quality modification Line extension Aesthetic modification Feature modification Product mix modification

Line extension

What links producers to consumers through the purchase and reselling of products or contractual agreements? Marketing intermediaries Distributors Suppliers Middle marketers Marketing channels

Marketing intermediaries

Rovio, the parent company of the popular Angry Birds app, made several marketing mix decisions that were considered to be part of its distribution. Which of the following was not a decision that relates to distribution? Downloads of the game Angry Birds The sale of T-shirts and stuffed birds and pigs through its website The sale of Halloween costumes through Amazon The opening of retail stores in Finland and China The licensing of the Angry Birds to producers of T-shirts and costumes

The licensing of the Angry Birds to producers of T-shirts and costumes

The receiver's response to a message is ____ for the source. feedback the communications channel noise channel capacity decoding

feedback

In product modification, three conditions must be met to improve a firm's product mix: the product must be modifiable, customers must be able to perceive that a modification has been made, and a modification should make the product more consistent with customers' desires. competing companies should not be aware of planned product modifications. a modification should change customers' desires to provide greater satisfaction. management must perceive the modification as a reasonable and necessary action. production costs and materials needed should be limited

a modification should make the product more consistent with customers' desires.

When a company promotes its position on a public issue, this is specifically referred to as ____ advertising. institutional product advocacy issue competitive

advocacy

When Anheuser-Busch ran an advertising campaign featuring the slogan, "Know when to say when," it was using competitive advertising. public relations. product advertising. public service awareness. advocacy advertising.

advocacy advertising

The supply chain includes producers, wholesalers, and retailers. suppliers, producers, intermediaries, and customers. suppliers and suppliers' suppliers. all entities that facilitate product distribution. buyers, sellers, marketing intermediaries, and agents.

all entities that facilitate product distribution.

As discount stores improve their services and atmosphere as well as raise their prices, the distinction between discount stores and ____ is becoming blurred. superstores supermarkets specialty stores department stores category killers

department stores

Brands that are promoted through comparative advertising are most likely to be market leaders. brands that are attempting to compete with market leaders. primarily services rather than tangible goods. attempting to compete on a nonprice basis. competing in a less competitive market.

brands that are attempting to compete with market leaders.

A graph of the quantity of products marketers expect to sell at various prices if other factors remain constant is a price graph. supply curve. price/quantity graph. marginal revenue curve. demand curve.

demand curve.

If a store has areas for men's apparel, women's apparel, housewares, cosmetics, and jewelry and competes mostly on the basis of service, it is most likely a(n) niche retailer. department store. specialty retailer. superstore. category killer.

department store

Nordstrom, Macy's, and JCPenney are all considered department stores. discount stores. off-price retailers. specialty retailers. category killers.

department stores

The Kia Soul automobile is currently positioned as a vehicle for young adults. Kia's message to the target market is that it is exciting, youthful, and trendy. However, Max and his friends who are 20-somethings just like the music and the hamster spokescharacters. They don't care about the car itself. The message that Kia originally encoded and the meaning Max and his friends ultimately decoded probably contain circular feedback. may be different because of noise. are usually exactly the same. rarely are similar because of feedback. are collectively termed the communications channel.

may be different because of noise

When encoding the message, the source should use signs that have new and exciting meanings. different meanings to different people. contemporary jargon. meanings that the target market will understand. broad interpretations.

meanings that the target market will understand.

During a one-minute television ad for Nike, the National Weather Service interrupts to announce a flash flood warning for surrounding counties. Such an occurrence is an example of ____ in the communication process. encoding bad luck noise deflected transmission poor implementation

noise

Sonya is watching the six o'clock news as she prepares dinner. As commercial breaks come on, Sonya's dinner preparation would be considered __ in the communication process. field of experience. feedback. noise. decoding blocker. interference.

noise

Sellers that emphasize distinctive product features to encourage brand preferences among customers are practicing product competition. nonprice competition. brand differentiation. price competition. competitor differentiation.

nonprice competition.

Rick is a new product manager for a large biochemical firm. He is currently working on a proposal for a new chemical solvent and knows that introducing the new product can be risky because it might fail. He also knows that ___ is risky as well. performing marketing research keeping tabs on the actions of competitors not introducing new products generating new product ideas addressing customers' concerns about products

not introducing new products

Reba Vincent is employed as a consultant for Mary Kay Cosmetics. This illustrates personal selling. retailing. public relations. advertising. sales promotion.

personal selling

Tropicana orange juice has a television commercial where a young boy is drinking orange juice at dinner. He remarks that he likes the great taste of Tropicana anytime. The element of the commercial that focuses on drinking orange juice at dinner would be best classified as ________, while the focus on the great taste of Tropicana would be best classified as comparative advertising; native advertising pioneer advertising; competitive advertising institutional advertising; stimulating primary demand product advertising; institutional comparative advertising; competitive advertising

pioneer advertising; competitive advertising

The two major types of product advertising are institutional and advocacy. pioneer and competitive. competitive and comparative. advocacy and competitive. informative and comparative.

pioneer and competitive

French Quarter Inns drops the price of a suite from $225 to $195 per night and experiences a reduction in the quantity of rooms demanded of an average of five per night. This is an indication that suites at this hotel are apparently an example of a(n) ____ product. reverse-demand inferior standard secondary-demand prestige

prestige

Safe Auto advertises its automobile insurance as "minimum coverage for minimum budgets." Safe Auto is engaging in nonprice competition. demand-based pricing. competitive pricing. price differentiation. price competition.

price competition.

Isabella is a product manager for The Container Store, a retailer of plastic bins and other storage containers. Sales have been declining in the past nine months and her management team is pressuring her to compete based on price discounts. However, Isabella is aware of the dangers associated with engaging in price competition. She knows that competitors can also change prices quickly and aggressively, which can result in a(n) ____ that will be harmful to both companies. reduction in cost price war competitive game industry collapse advertising battle

price war

The "Got milk?" print campaign is advertising that stimulates demand for a ____, known as ____ advertising. product category; pioneer product brand; competitive product category; institutional brand category; pioneer product; comparative

product category; pioneer

Marketers begin to make decisions about labeling, packaging, branding, pricing, and promotion during commercialization. screening. concept testing. product development. test marketing.

product development

Advertisements for Suave shampoos emphasize that other shampoos may cost more but don't work any better than Suave. In this example, Suave is competing on the basis of product attributes. product performance. product price. available selection. product packaging.

product price.

Without wholesalers and other intermediaries, most products would be much less expensive because fewer companies would be handling the product. products would be cheaper because the functions of intermediaries would be eliminated. products would likely be more expensive due to the use of less efficient channel members. products would never be able to make it to the ultimate consumer at any price without passing through intermediaries. many products would be more expensive because retailers would expect more profit.

products would likely be more expensive due to the use of less efficient channel members.

Which of the following types of product modifications inevitably tend to cause firms to reduce costs in some of the organization? Aesthetic Operational Benefit Functional Quality

quality

If Wilson Sporting Goods faces a standard demand curve that exists for most products, as it raises the price of its tennis rackets, the quantity demanded goes down. demand remains constant. quantity demanded increases. demand increases. breakeven increases.

quantity demanded goes down.

During the decoding process, the intensity of the transmission becomes stronger. receiver attempts to convert signs or symbols into concepts and ideas. source attempts to convert signs or symbols into concepts and ideas. source converts meaning into a series of signs or symbols that represent ideas or concepts. receiver filters noise from the feedback.

receiver attempts to convert signs or symbols into concepts and ideas.

The advertising campaign for Crest toothpaste lets consumers know about its newest flavor, and also mentions its history as an established brand. The ad also mentions Crest's advantages and benefits. Crest's advertising would be classified as repetitive. reminder. pioneer. competitive. reinforcement.

reminder