Business semester exam 1

Which of the following is an example of an internal source of secondary marketing data:

Warranty agreements

What are regulatory factors that often affect businesses and their sales policies?

Antitrust laws

The PQR Company has experienced a drop in sales for three consecutive quarters. This is an example of defining the marketing-research

problem.

Obtaining business and personal information about potential clients is part of the __________ phase of the selling process.

prospecting

Which of the following is essential to all marketing research:

Accuracy

Which of the following product mix strategies is a business using when it makes changes to aspects of its product items, such as packaging or pricing:

Alteration

Which of the following is an example of a limited warranty:

The manufacturer will replace defective parts for six months upon purchase of the product.

What is the central role of brand identity elements?

They work together to represent the brand.

Which of the following is a way that grades and standards can be used:

To determine how products can be used

What is one way that businesses use marketing information?

To develop new products

When a retailer places a new product on the market, each element of the promotional mix should be designed to

inform consumers about the existence of the product.

Applying the customer-orientation element of the marketing concept benefits a business by enabling it to

offer products that consumers want to buy.

Face-to-face contact with clients is a characteristic of __________ promotion.

personal

Which function of a marketing-information management system involves collecting facts and figures from internal and external sources on an ongoing basis?

Data gathering

Determine whether the following statement is true or false: A product is considered new only if it is totally new to the market.

False, a newly modified product can be considered new.

A downturn in the economy has forced a home builder to lower its prices. This company has __________ prices.

flexible

What is an effective follow-up activity that salespeople can use to provide good service and develop strong relationships with customers?

Calling to make sure the products are satisfactory

Jim trains his salespeople to identify and fix sales-related problems quickly and efficiently. If Jim's training efforts improve customer service-levels, how is the business likely to benefit?

Increased profits

Beth's Orchard sells fruit to Aaron's Fruit Warehouse, which then sells the fruit to a variety of local stores that sell to the final consumer. In this example, the fruit is following which channel of distribution?

Producer to wholesaler to retailer to consumer

How can marketing research help a business to evaluate its promotional efforts?

By comparing the results of different forms of promotion used by the business

Information about marketing trends, competitors' activities, and new technology are examples of __________ marketing information. internal

external

Arm & Hammer used to be known as plain baking soda. Now it has been introduced as an odor absorber for refrigerators. This is an example of

repositioning.

Market researchers often place mystery shoppers in public places to observe and record consumer buying behavior. Some people find this practice unethical because

researchers are involving consumers without obtaining their consent

Businesses conduct qualitative research when they want to obtain information about

consumers' opinions.

Successful product/service management often helps a company to reduce its

business risk.

A business that positions its products as the ones offering the best quality and service for the price might gain a

competitive advantage.

Should a business develop permanent marketing strategies?

No, businesses must be alert to changes in the marketplace.

Which of the following is an example of a direct channel of distribution for consumer goods:

Producer to consumer

A new salesperson can learn valuable information about how to demonstrate and promote company products from the company's

experienced salespeople.

In which stage of a product's life cycle would the least money be invested in product promotion?

Declining

One of the main goals of promotion is to

create desire.

Businesses often make decisions regarding changes in their product lines by analyzing data from their

sales invoices.

What does a successful corporate brand communicate?

Benefits

Which of the following statements about exploratory research is true:

It serves as a starting point for more detailed research.

Making both buyers and sellers feel they are getting good value is part of the __________ function of marketing.

pricing

What is one factor that a business considers when identifying promotional activities to include in its marketing plan?

Costs involved

Joe is a salesperson who will sometimes forgo a sale in order to satisfy a customer's needs. Carol always attempts to close a sale at all costs. Who is likely to be the more successful salesperson?

Joe, because he will get more repeat business

Evaluate the effectiveness of the following goal statement: The XYZ Department Store wants to reduce shoplifting this year.

Not effective, the amount of reduction should be stated.

What is the most appropriate data-collection method to use when a business wants to determine how its employees interact with customers?

Observation

The owner of a business in a small town is considering moving to a nearby larger city but is concerned that current customers will not travel the additional 50 miles. What marketing element is involved in this situation?

Place

Identify the marketing function illustrated in the following situation: Martha wants a winter coat and sees a style she likes in a magazine advertisement.

Promotion

Jason sees a gaming system advertised in a newspaper for an unbelievably inexpensive price. When he arrives at the store to buy the product, the salesperson tells Jason that the product is out of stock and pressures him to buy a much more expensive item. This illegal retail sales practice is known as

bait and switch.

A business is most likely to set sales-oriented pricing objectives when its focus is to

be more competitive in the marketplace.

Jack has been the owner/operator of a suburban business for 20 years. Many of his customers have done business with Jack since the beginning. This fact indicates that Jack has been successful in

building a clientele.

A business might reduce a product's price during the growth phase of the product's life cycle because

competitors have introduced similar products to the marketplace.

Businesses hope that innovators will buy new products when they are in the introductory stage because this helps to

create demand for the products.

Pricing is an important marketing function because the price of a good or service also affects its

demand.

When a business wants to notify preferred customers of a special offer, the most efficient promotional medium to use is

direct mail.

Marketing is many interrelated activities whose main purpose is to

direct the flow of goods and services.

The Raymoor Company moves, handles, and stores consumer goods that producers make and sell. Raymoor is a __________ business.

distribution