CH 14-16

category killer

A __________ offers a huge selection of one type of product (such as books, toys, or sporting goods) to dominate that category of goods. category killer store convenience store cash-and-carry retailer department store

daily postings of images your customers want to see.

A successful social media promotional campaign includes daily postings of images your customers want to see. hashtags for everything you post. strictly factual information for customers to read without distractions from other promotional efforts. monthly photo postings.

creating a definition for "natural"

According to the box "Making Ethical Decisions," there is more and more confusion growing around what makes a product "natural." What is the Food and Drug Administration (FDA) considering doing to alleviate the confusion? banning companies from using "natural" allowing all companies to claim products are "natural" creating a definition for "natural" limiting the use of "natural" to only cleaning products

exclusive distribution

After developing a new running shoe, Geoff and Carli were fortunate to get the attention of a large online retailer. The retailer was willing to fund the production of the running shoes abroad, as long as the designers agreed to sell their shoes through its outlets. The retailer was asking Geoff and Carli to agree to intensive distribution. exclusive distribution. selective distribution. multilevel distribution.

it will develop a single promotional strategy that can be implemented worldwide.

Ark Electronics plans to pursue a global advertising strategy. This means that it will develop a single promotional strategy that can be implemented worldwide. it must avoid advertising in foreign markets and rely instead on other elements of its promotion mix, such as personal selling and public relations. it will use television for promoting its products in every country. it must charge the same price in every market.

can be implemented worldwide.

Companies can implement global marketing by developing a product and promotional strategy that motivates intermediaries (i.e. wholesalers and retailers) to actively stock and sell the firm's goods and services. is tailored to each individual market. can be implemented worldwide. requires low-cost production through outsourcing.

fixed costs

Costs incurred regardless of the number of units of a product that are produced or sold are called variable costs. controllable costs. mixed costs. fixed costs.

sales promotion

Crunchy Chip is a new, low-fat snack cracker created by the Good Health Company. To create interest for the Crunchy Chip, the company sent a free package of the snack crackers to selected homes along with a coupon. Good Health's activities represent public relations. consumer publicity. trade advertising. sales promotion.

word of mouth

Despite its name, Central Yogurt is located in a small shopping center far from customers. However, the company enjoys outstanding business because satisfied customers share their enjoyable experiences at Central Yogurt with their friends and relatives. Central Yogurt apparently benefits from positive public relations. word of mouth. sales promotion. trade advertising.

maturity

During the __________ stage of the product life cycle, sales reach a peak, profits are declining, and the number of competitors starts to decrease. growth decline saturation maturity

contractual

Franchise systems are one type of __________ distribution system. corporate administered wholesale contractual

increase profits by reducing the amount provided in each bag.

Leo noticed that the vending machine chip bag size had changed. Upon further investigation, he saw that each bag contained 2 ounces less than the previous chip bags. But the price remained the same! The pricing objective of the snack company is to undercut the competition by changing the size of the bag. increase market share by reducing the amount provided in each bag. build traffic at the vending machines by changing the size of the bag. increase profits by reducing the amount provided in each bag.

total product offer

Morrison Mountain Bikes sells high-quality bicycles and accessories. The store is known for a pleasant environment, friendly salespeople, and an excellent service department. All of these elements are part of the __________ offered by Morrison. marginal utility package product line competitive environment total product offer

total fixed costs, selling price per unit, and variable costs per unit.

Nathan asks you to calculate the break-even point for his firm. You respond that you will need more information, which includes sales revenue and total liabilities. total fixed costs, selling price per unit, and variable costs per unit. forecasted sales volume, operating expenses, and asset values. the values for all assets and liabilities.

water, petroleum, and petroleum products.

Pipelines are used primarily to transport ammonia and acids. water, petroleum, and petroleum products. hazardous wastes. coal slurry.

the message comes via the media, which consumers consider trustworthy.

Public relations has more power to influence consumers than other forms of corporate communication because only reputable firms use public relations to communicate with customers. there are no government regulations concerning public relations activities. it is an unpaid form of communication. the message comes via the media, which consumers consider trustworthy.

cause businesses to increase their focus on nonprice aspects of their promotional message.

Shopping online allows customers to compare prices of many goods and services. This technology will likely diminish in importance as quickly as other fads. focus government attention on the collusive pricing practices of firms in specific industries. bring about more emphasis on demand-oriented pricing. cause businesses to increase their focus on nonprice aspects of their promotional message.

prospective and qualifying

Simone is a new salesperson for a medical supply company. She is compiling a list of pharmacies and independent stores that make medical supply buying decisions and plans to contact these businesses to determine what supplies they are currently using, and if they plan to purchase any additional supplies in the future. Identifying those decision makers who are willing to consider her products is called prospecting and qualifying. a trial close. the supply chain. sales identification.

convenience good

Snappy Fun is a new brand of chewing gum. The company knows product location is very important since consumers want to buy this type of product with a minimum of effort. Snappy Fun represents a(n) shopping good. specialty good. industrial good. convenience good.

everyday low pricing (EDLP)

The __________ strategy maintains low prices and typically does not have special sales. everyday low pricing (EDLP) target-based skimming cost-based

word of mouth

The box "The Rise and Fall of Insta-influencers" refers to what type of promotional effort taking place when celebrities are paid to discuss and endorse products on Instagram or Facebook? publicity viral marketing word-of-mouth blogging

total product offer

The combination of all the factors that consumers evaluate when deciding whether or not to buy a good or service is called a total product offer. marketing product package. product differentiation. product mix.

brand loyalty

The degree to which customers are satisfied and are committed to future purchases of a desired brand is called brand loyalty. brand intensity. brand relations. brand awareness.

follow-up

The final step of the selling process involves follow-up. closing. qualifying. trial closing.

variable cost per unit of output

The formula for break-even analysis includes which component? production runs forecasted sales variable cost per unit of output depreciation

employee ideas

The greatest source of ideas for new industrial products is generated from consumer suggestions. employee ideas. competitor activity. research and development.

brokers

The main way __________ differ from agents is that they do not develop long-term relationships with the buyers or sellers they assist. wholesalers brokers retailers rack jobbers

materials handling

The part of logistics that is most concerned with the flow of goods as well as work in process within the manufacturing firm is reverse logistics. nonstore retailing. inbound logistics. materials handling.

product differentiation

The purpose of __________ is to create real or perceived product differences. niche marketing product differentiation product mixing target marketing

full-service wholesalers and limited-function wholesalers.

The two basic types of merchant wholesalers are functional wholesalers and distributive wholesalers. independent wholesalers and subsidiary wholesalers. capital wholesalers and full-value wholesalers. full-service wholesalers and limited-function wholesalers.

push strategy

The use of promotional tools to persuade wholesalers and retailers to stock and sell merchandise represents a segmentation strategy. pull strategy. push strategy. product placement strategy.

marketing intermediaries

Those organizations that assist in the movement of goods and services from producer to industrial and consumer users are known as product managers. production analysts. buying agents. marketing intermediaries.

convenience goods

Though vending machines can sell just about anything, they are most often used to sell specialty goods. convenience goods. shopping goods. nonprice goods.

assuming an increasingly important role in the promotion of products.

Today, packaging is assuming an increasingly important role in the promotion of products. the most expensive component of the production process. exclusively intended to protect the product from damage. the least important component of the marketing mix.

dealer (private) brand

Tri-State Grocery operates a large chain of stores across three midwestern states. While Tri-State doesn't actually produce any breakfast cereal, it markets a line of cereal under its own brand name that was produced by another company. These cereals represent a manufacturers' brand. dealer (private) brand. generic brand. knockoff brand.

address the concerns and develop a better relationship.

Tyler's client expressed concerns and questioned some of the details of the sales proposal once he completed his sales presentation. An effective salesperson would address the concerns and develop a better relationship. consider revising the presentation so that next time customer concerns and objections can be avoided. bring in the top executives of the company to close the sale. downplay these objections and push to close the sale as quickly as possible to avoid the endless questions that some customers ask.

They have survived because they can often perform marketing functions faster and at lower cost than producers.

What is a characteristic of marketing intermediaries? They create value, but this value is seldom great enough to justify the added cost they charge for their services. They are unlikely to survive in a competitive global economy. They have survived because they can often perform marketing functions faster and at lower cost than producers. They tend to increase the number of exchange relationships producers and consumers must deal with in order to buy and sell goods.

elaborate packaging

What would a firm most likely use to differentiate its product to the consumer? financial differences increased production elaborate packaging manual warehousing

generic name

When a brand becomes commonplace and identified with a category of goods rather than the unique product of a specific manufacturer, the brand may become a trademark. product liability issue. universal product code. generic name.

institutional advertising

When an organization uses advertising to create an attractive image for itself, this type of advertising is called retail advertising. comparison advertising. institutional advertising. trade advertising.

reverse logistics

When firms manage the return of goods from consumers either because they are defective or for recycling purposes, they are involved in retail intermediaries. factory processes. reverse logistics. inbound logistics.

may evaluate and compare a variety of factors.

When people consider purchasing a good, they will not consider goods that require them to make a special effort to purchase. are responding to the market forces of supply and demand. may evaluate and compare a variety of factors. are most influenced by the price of the product or service.

Carts and kiosks have lower overhead costs than stores do, so they can offer lower prices.

Which statement about kiosks and carts is the most accurate? Kiosks and carts are popular with mall owners because their sales are exempt from sales taxes. Kiosks and carts have struggled in recent years because of their high overhead costs. Carts and kiosks have lower overhead costs than stores do, so they can offer lower prices. Most mall owners would like to eliminate kiosks and carts from their walkways but are barred by law from doing so.

Brand awareness and image are important in marketing these products.

Which statement regarding convenience goods and services is accurate? Brand awareness and image are important in marketing these products. Consumers buy only after carefully comparing quality and value. Shoppers will exert lots of effort to obtain the product. Consumers purchase the product on an infrequent basis.

full-service wholesalers

_________ are merchant wholesalers who perform all the distribution functions. Retailers Total-capacity wholesalers Jobbers Full-service wholesalers

Magazines

__________ are typically distributed using an intensive strategy. Men's suits Computers Luxury cars Magazines

Outbound Logistics

__________ deals with moving finished products and information to business buyers and ultimate consumers. Inbound logistics Wholesale distribution Franchising Outbound logistics

concept testing

__________ presents an idea for a new product to potential customers to test their reactions. Concept testing Idea generation Prototype development Benchmarking

Personal selling

__________ refers to the face-to-face presentation and promotion of goods and services. This also includes searching for prospects and providing follow-up services. Public relations Word-of-mouth promotion Personal selling Internal marketing

form

__________ utility is usually provided by producers rather than marketers. Form Possession Time Place