Intro to Business Study Guide (chapters 9-16)
The amount of a product an organization expects to sell during a certain period of time, based on a specified level of marketing effort, is called a
sales forecast.
Which of the following is one of the primary differences between a social media plan and the traditional advertising campaign?
The social media plan doesn't necessarily have a start and stop date
A systematic program of reinforcement to encourage desirable behavior is known as
behavior modification.
A ___ is a temporary price reduction to resellers for purchasing specified quantities of a product.
buying allowance
When an organization has a diverse set of employees that can provide insight and cultural sensitivity, this should improve the company's ability to understand different cultures and languages. The company may gain:
a marketing edge.
Amanda walked into XYZ Company to pick up an application for a secretarial job. When she asked about the duties and working conditions, the busy receptionist handed her a document that gave her a clear picture of the position. The receptionist gave Amanda a job
description.
In the 1920s, producers had to shift to a new sales orientation, which was characterized by all of the following except
determining what goods consumers wanted.
A type of compensation that is some percentage of sales revenue is
a commission.
Use of a warehouse receipt in short-term financing indicates that
a loan has been secured by inventory.
Mr. Will was due to give evaluations of his company's top managers in a few days. He had heard little from Chance Wilson, one of his sales managers, for the past eleven months. On looking over Chance's progress record, Will saw that Chance usually met his monthly goals. Nevertheless, he was not an outstanding employee. However, this month Chance had submitted a marketing idea that tripled sales for five slow-moving products. When asked to name the outstanding sales manager of the year, Will could not think of a person more worthy than Chance. Disappointed that they were overlooked, several top managers complained that, in his decision, Will was
allowing recent performance to be overemphasized.
A large manufacturing company has found that younger employees tend to have fewer medical problems than workers over 40. Therefore, management decided to hire only workers under 40 to reduce company health insurance costs. This is illegal under the
Age Discrimination in Employment Act.
Mike has an annual income of $1 million. Fernanda has an annual income of $100,000. Their buying behaviors differ because of their ability to buy, called their ___, which is largely determined by income.
buying power
Nate Pride spent five years in an accounting educational program and successfully completed a rigorous accounting examination five years ago. Since then, he has worked for several accounting firms. Currently he is a senior partner in a huge international accounting firm. By profession, Nate is probably a
certified public accountant.
Jef, age five, was given a share of common stock in the Walt Disney Company. As a ____ he has the right to vote on major corporate actions.
common stockholder
The Glo-Brite Company is considering development of a new children's toothpaste in fun-shaped dispensers. Before performing any business analysis on the product, Glo-Brite would like an initial response from potential customers to determine interest in a toothpaste of this type. Glo-Brite will begin ____ to gather the information.
concept testing
Teenagers spend billions of dollars on stereo equipment and compact discs. They have the ability, willingness, and authority to purchase such products because of their perceived need. These teenagers are an example of a(n) ____ market.
consumer
The Age Discrimination in Employment Act of 1967 and its amended version in 1986 apply directly to
discrimination based on age.
Although he is aware that Greg's performance over the past year has not been quite up to standards, Jimmy, his superior, left the impression on Greg after a performance appraisal interview that he is doing a great job and to keep up the good work. Jimmy has a problem with
discussing negative aspects of appraisals that may cause some discomfort for both parties.
At an architectural firm, all employees except administrative staff are allowed to work whatever hours they choose from Monday through Saturday between 7 a.m. and 10 p.m., as long as they put in forty hours per week. This plan is called
flextime
Under the equity theory, when a worker feels under-rewarded, he or she may take all of the following actions except
forget about it.
Refer to Plain Training, Inc. If clients (the business owners) were asking for workshops to allow their customers to listen to audio files about their product or service, Plain Training would be organizing ___________ workshops.
podcast
In preparing for summer sales, Sunsheen Tanning Products is placing in its retail outlets life-size cardboard cutouts of this year's Miss Tan America that attach to existing store displays. The cutout, featuring Miss Tan America in a bikini holding a bottle of lotion, is an example of a(n) _____.
point-of-purchase display
The type of corporate ownership that has first claim on profits and assets is called a
preferred stockholder.
The strategy of charging the highest possible price for a product during the introduction stage of its life-cycle is known as
price skimming.
Walgreens advertises the fact that Bayer aspirin may cost more but works no better than Walgreens' own brand of aspirin. In this example, Walgreens is competing on the basis of
price.
All of the following are helpful in evaluating the effectiveness of advertising except:
salespersons' salaries.
In a meeting to generate new products, the advisory committee felt that it had come up with some excellent ideas. Now that there is a list of product ideas, the next step is
screening.
Michael discovers that his mortgage company's employees are working very slowly because they are afraid that, if they finish the loans they are currently processing, they will run out of work and lose their jobs. Michael's employees are
soldiering.
While the e-business use of social media for marketing and promotional purposes is primarily for building brand awareness, acquiring new customers, introducing new products, retaining current customers, and gaining customer insight, companies often find it also important for
improving search engine ranking and increasing website traffic.
One of the common errors made by managers appraising employees is
overusing one portion of an evaluation instrument.
When a manager performs a ____ he/she reviews the results of an employee's performance with the employee soon after completion of the employee's performance review.
performance feedback interview
Lang Industries is introducing a new product and will use price skimming to set the price. Price skimming is
the strategy of charging the highest possible price for a product during the introduction stage of its life-cycle.
Females in a market can be classified as
a market segment.
Minimum wages and overtime pay rates were established by the
Fair Labor Standards Act.
Sam invests $5,000 of his own money in his new auto detailing business. He then obtains a loan and builds a small workshop in his backyard for $10,000. At this point assets are ____, liabilities are ____, and owners' equity is ____.
$15,000; $10,000; $5,000
As the accountant for Ideal Manufacturing Company, you determine the following totals in your balance sheet: total assets-$124,000; current liabilities-$41,000; long-term liabilities-$13,000. What is the total owners' equity for this company?
$70,000
As the accountant for Franks Retail Stores, you must calculate the current ratio for the firm's last accounting period. The firm's current assets were $120,000, its fixed assets were $240,000, its current liabilities were $80,000, and its long-term liabilities were $60,000. Given these facts, what is the firm's current ratio?
1.5
Ramirez Company sells its garden hoses to Kim's Lawn and Garden Center but does not require Kim's to pay for them right away. If this is a standard trade-credit agreement, Kim's will have to pay for the garden hoses in
30 to 60 days.
What percentage of all Internet users are Americans?
8
Carla researched a rare disease for a school project. Unknown to her, one of the websites she visited downloaded software code into her computer and tracked her search. The site was operated by Everyone's Medical Insurance. A month later Carla applied for medical insurance with Everyone's and was informed that the cost of the policy would be much higher than the policy that she had with a competing company. Carla is in perfect health. Her friend Janet, a hypochondriac, who has a policy with Everyone's that is exactly like the one Carla applied for, pays one third as much for her policy as Carla was told hers would cost. What type of software might the insurance company have downloaded into Carla's computer?
A cookie
Which of the following is not one of the steps in implementing the marketing concept?
All are steps in implementing the marketing concept.
Why should companies develop and introduce new products?
Because failing to do so can threaten the future success of the firm
Howie has just started writing a blog about personal finance. He is writing for two reasons: (1) to help the public learn more about personal finance, (2) to generate income for himself. He has targeted high-school and college-aged individuals for his market because he believes they are still open to learning how to handle their money, how to save, how to invest, and how to buy wisely. Considering his target market, which of the following would most likely generate the largest revenue stream for Howie?
Commissions earned from sellers of products linked to the site
Leslie and Jorge work in the Kohl's warehouse. In the warehouse goods are received, identified, sorted, dispatched for storage, held, recalled, picked and assembled, and dispatched for shipment. Jorge works in the section of the warehouse where goods are protected in storage until they are needed. Leslie is tasked with packaging goods and directing them to the proper transport vehicle after she has prepared the proper documents. What warehouse activity does Leslie perform?
Dispatching shipments
Which of the following is a manufacturer brand?
Doritos chips
DeAngelo went to the store to purchase groceries. By the time he reached the paper products aisle, he was down to his last few dollars but he desperately needed paper towels. After surveying the aisle, he bought a package that was labeled "Paper Towels" with no other designations. What brand of paper towels did he purchase?
Generic brand
The motivation-hygiene theory was developed by
Herzberg.
Which of the following is not a type of team?
Job-share team
A manager at Dillard's discovers that JCPenney has reduced the price of its children's Levi's from $31.99 to $24.99, according to an advertisement in the Sunday newspaper. She immediately phones her store and instructs the salesperson on duty to put a sign up next to their children's Levi's that reads, "SALE: $24.99." This is an example of what pricing strategy?
Random discounting
Securing the acceptance of top management is the first step in an MBO program. Which of the following is not one of the four remaining steps?
Reassigning the employee
Which of the following is not a step in the consumer buying decision process?
Tell other people about the product
During which phase of the product development process can marketers experiment with advertising, pricing, and packaging in different geographic areas?
Test marketing
General Mills is planning a sales promotion to stimulate wholesalers and retailers to carry a new line of cake mixes and to market the mixes aggressively. What type of sales promotion should General Mills use?
Trade sales
Another name for the statement of financial position is the
balance sheet.
The need for self-actualization concerns an employee's desire for
becoming the best there is.
The Morton's Salt Girl, the Pillsbury Dough Boy, and Planters' Mr. Peanut are all examples of
brand marks.
The Equal Pay Act applies directly to
equal pay for equal work.
A written explanation of the responsibilities of the producer in the event the product is found to be defective or otherwise unsatisfactory is called a(n)
express warranty.
One type of B2B model focuses on
facilitating sales transactions between businesses.
Business-to-business markets include all of the following except ____ markets.
financial
Charlie develops a plan for obtaining and using the money necessary for his company to implement its goals. This is called a(n)
financial plan.
Affirmative action in human resources practices requires employers with fifty or more employees holding federal government contracts in excess of $50,000 to actively encourage job applications from members of minority groups and
hire qualified employees from minority groups not fully represented in their organizations.
A branding strategy in which a firm uses a different brand for each of its products is called ____ branding.
individual
For a department store such as JCPenney, the most likely need for short-term financing will be for
inventory
The number of times a firm sells and replaces its merchandise inventory in one year is known as its
inventory turnover.
When a company collects external marketing data, it looks at information about
its customers.
A motivation tool that attempts to provide workers with more tasks and more control over these tasks is
job enrichment.
Burlington offered its customers a reduction in price on some clothing items that were slightly faded from being in the window at the front of the store. This reduction is called a
sales allowance.
Borrowed money that will be used for more than one year is called
long-term financing.
The mortgage on Prudential Insurance's local facility will be paid off over the next 30 years. The majority of this mortgage would be classified on Prudential's balance sheet as a(n)
long-term liability.
Training may be used in an organization to educate employees on all of the following except
motivation
Victor Vroom's expectancy theory is based on the very simple assumption that
motivation depends on how much people want something and how likely they are to get it.
Under Herzberg's theory, when ____ factors are present in the work environment, they act as satisfiers; when ____ factors are absent, they act as dissatisfiers.
motivation; hygiene
Carl has the chance to get promoted into a higher paid management position if he continues to exceed his goals in his current position. Thus, he has high ____. He loves the company and is excited about the new position opportunity. Thus, he also has high ____.
motivation; morale
T J Maxx, Burlington Coat Factory, and Marshalls are examples of
off-prices stores.
As a stockholder in 3M, Randy knows that corporations are required by law to have a stockholder meeting
once a year.
It is not unusual for companies to issue ____ type(s) of common stock and ____ type(s) of preferred stock.
one; many
The Nasdaq, part of the ___ market, provides price information on more than 3,600 stocks.
over-the-counter
If a customer has moderate loyalty toward Heinz ketchup, she likely will
purchase other products that carry the Heinz name.
The utility created by transferring ownership of a product to a buyer is called ____ utility.
possession
Norton Antivirus provides a ___, which is a return of part of the purchase price of a product to purchasers who return a copy of their receipt and a part of the product container.
rebate
Creating a website so that customers can search for information instead of calling the company's offices and speaking to a customer-service representative is an e-business strategy designed to increase profit by
reducing expenses.
Mat Rollins, CEO of Rollins, Inc., decided that upon his retirement, he would elect his son Chris to become the new CEO. Mat thought it would be a good idea to have Chris shadow him at work to understand the roles and responsibilities of a CEO. Chris shadowed his father for months in order to learn every aspect of the business. Mat knew that the best way for Chris to learn was to actually perform some of the tasks he did on a daily basis, rather than simply describe them. The company generally focused on short-term financing, and Mat felt that it was important for Chris to understand the different types of financing. Chris learned about the type of bonds that the company usually offered to raise capital. These bonds allow the purchasers of the bond to keep them until maturity. Chris also learned the process of obtaining bonds and the various types of long-term financing methods. Job shadowing was indeed a worthwhile experience for Chris. Refer to Rollins, Inc. If Chris has learned and understood the business, he should know that today most corporate bonds are
registered bonds.
All of the following are examples of Herzberg's hygiene factors except
responsibility.
Don Martin owns DME Ads Inc., an advertising agency. At present, the company focuses on advertising only. However, Don plans to expand the company's focus to include all the major elements of an organization's promotional mix. Don feels that expanding the focus in such a way will allow the firm to meet customer needs in a more coordinated fashion. Currently, the firm organizes its work according to the media being used. Don believes this is the most effective way to subdivide advertising. Since television is the most widely used advertising medium, the company spends most of its time on television advertising. DME knows what it takes to get the job done, and it is committed to success. Refer to DME Ads Inc. DME recently created advertising for Maruti Automobiles for its new line of cars called Maruti Marvels. Such brand-oriented advertising is called _____.
selective-demand advertising
The effects of changes that can cause a product to become obsolete almost overnight would best be called ____ forces.
technological
Critics of comparable worth argue that
the market has determined the worth of certain female-dominated jobs.
In a typical day working for Coors Brewing, Julio will deliver beer, restock shelves, clear out old beer, take orders for the next day's delivery, and set up promotional displays. Julio is both a ____ and an ____.
trade salesperson; order taker
Which of the following companies was one of the early adopters of consumer ratings?
Amazon
Liz Hick purchased a $1,000 corporate bond that pays 9 percent interest. The face value of her bond is $1,000. What is the amount of interest that she will receive each year?
$90
Baxter Equipment earned $300,000 last year. Its owners' equity totaled $2,500,000. Based on these amounts, what is the firm's return on owners' equity?
12 percent
Clyde is self-employed and has been for many years. His business receives financial information from his clients, analyzes it and makes useful reports from it. He prepares financial statements for his clients in accordance with generally accepted accounting principles so they comply with the law, but also so they can be understood and relied on by government agencies, lenders, stockholders, employees, suppliers and others who may need to access their financial information. What function is Clyde performing for his clients?
Accounting
Maddie is the CEO of Stevenson, Ross, and Warner (SRW), a regional accounting firm. SRW offers services in most areas of accounting, including auditing and consulting services. The firm must follow the GAAP rules, just like any other accounting firm. If there are information gaps that are not addressed and resolved by the firm, SRW could be considered a violator of the Sarbanes-Oxley Act. Maddie understands what must be done and wants every employee of the firm to understand that they have to follow all the rules and regulations. Like any other industry, accounting is a competitive industry and employees of accounting firms must be productive, progressive, and well trained. Refer to Stevenson, Ross, and Warner. If you applied for a job at SRW and were asked to state the accounting equation, which of these would you state?
Assets = liabilities + owners' equity
Although transaction costs are reasonable, ASI has encountered financial problems with high production costs. Ronald, a veteran employee of ASI, suggested to senior management that certain aspects of production may need to be handled by other, more efficient companies. Ronald also suggested that the company might want to create a physical store to possibly increase its visibility and potential profits. He explained many disadvantages of operating solely through the Internet. Refer to Abroad Standard, Inc. Erica's interaction with ASI is an example of
B2B
Erick is currently a manager of a small financial planning firm. He is seeking a new career with a large corporation in the banking industry. He recently applied for the financial manager opening at G & T Bank. He is concerned that the transition from his small firm to a large corporation will be difficult. To better prepare himself for this change, he has decided to enroll in a few business classes to strengthen his understanding of corporate finance. The business classes have proven to be a valuable tool for learning the critical skills needed to fully understand a financial plan, equity financing, and debt financing. Erick now believes he has strengthened his competitive advantage in his quest for the job. Refer to Erick's Transition. Erick's business classes taught him that the financial manager should do which of the following?
Both A and C.
If the manager at Walmart puts a sign up next to a Sony television that reads, "Only $199.99! $58.01 less than Best Buy," this is an example of what type of pricing strategy?
Comparison discounting
To be certain to address all aspects of the business, Cindy hired a marketing research firm to determine the best location. Once all the research was compiled and analyzed, she realized that it would actually be better to open the store in a different area. She also realized that deciding where to locate the business was not the only major concern. More specifically, she would have to focus on the four elements of the marketing mix as well, creating a whole marketing plan. Her husband mentioned the possibility of using online information services to help with the business. With her husband's support and a good marketing plan, Cindy felt that she would be prepared to make the right decisions. Refer to Your Wish, Inc. If Cindy were to use information services available online, they would offer her access to which of the following?
Databases
A government agency has assigned a staff member to investigate complaints about employment discrimination at ABC Corporation. The staff person probably works for the
EEOC
Thorough, Inc., builds computerized vacuum cleaners that utilize GPS and artificial intelligence to learn furniture locations, stair locations, and other things that will hamper their operation. The chief financial officer for the company recently met with the accounting staff to discuss current assets, current liabilities, and the current ratio as a part of setting quantifiable goals for future expenditures. Which financial management activity was the chief financial officer and accounting staff engaged in?
Ensuring spending is planned and controlled
What is usually the primary revenue stream for online auction sites such as eBay?
Fees charged for selling products on the site
Although Hargrove Co. makes enough money to pay for everything it needs, it still chooses to have some debt and pay a larger portion of retained earnings back to the stockholders. What is likely the best explanation for this decision?
Financial leverage
Kalua and Anahi discussed a recent story they had read in an online news feed. Kalua said he was going to post a comment but decided not to when he realized he could not remove his comment after it was posted. Anahi said she was concerned about whether the article was real news or fake news and how it would affect the individuals in the story. Kalua said he wondered what the possibility was of having the story removed if it was fake news. Anahi wondered if it could be removed if it was true, because it was really a personal matter between the individuals and should not have been published. Later in the day Kalua called Anahi and said that he had read another article that said under one of the U.S. Constitution Amendments, it was almost impossible to have stories removed from the Internet and that people in the U.S. lack the "right to be forgotten" except in rare circumstances. Which Amendment to the U.S. Constitutional affects the rights of individuals to be forgotten on the Internet?
First Amendment
Mr. Robinson decided that things needed to change. He decided that the managers would reward only very good behaviors and punish anything that was considered bad behavior. While this may not be the best option, Mr. Robinson believes that it may work for the near future. Refer to Garrett Enterprise. Based on Herzberg's theory, which of these factors was applied to employees?
Hygiene
How is LinkedIn different than most social networking sites?
It is for professionals.
____ is considered a social networking site for professionals.
once Alexa started working, she realized that the owners and employees did not have a general understanding of accounting. She had to teach them the steps in an accounting cycle so they would be able to understand how she was going to create reports. When she talked about the statement of financial position, they had no idea what she was talking about. She was the qualified individual responsible for accounting. No one else working with her had much knowledge. They did not even know the different financial ratios that someone could use to understand the financial standing of a company. Alexa knows it will be a challenge to keep everyone on the same page when it comes to numbers and reports. Refer to Alexa's First Job. When Alexa explained the asset side of the statement, she included which of the following?
Merchandise inventory
Which of the following strengthens desired behavior by eliminating an undesirable task or situation?
Negative reinforcement
Which of the following is not a sentiment analysis measurement?
Number of website visitors
How many times can a corporation's stock be sold in the primary market?
Once
Which of the following is not one of the top four social networking sites used by business?
Carlos always chooses Colgate toothpaste at his local drug store. However, when the store occasionally runs out of Colgate, he will purchase Crest or Mentadent. What level of brand loyalty does Carlos have to Colgate?
Preference
Toyota has made Corollas for many years. Each year it comes out with a new model of the same basic vehicle but with new features, a few upgrades, better sound system, and more computer systems to make the vehicle seem new. What was it doing to extend the life of the Corolla?
Product modification
Xi is searching through his company's files of its customers to choose ones that would most likely be interested in the new product line his company has developed. Which stage of the personal-selling process is this?
Prospecting
Rooms To Go furniture store promotes its furniture to its target market based on its customers' personality attributes and lifestyles. Therefore, it is segmenting the furniture market on which type of basis?
Psychographic
Fred has opened a chicken and waffle restaurant near a major entertainment attraction. In addition to the foot-traffic generated by his proximity to the attraction which draws 16.2 million visitors a year, he is developing a social media plan to improve the number of visits by people who live in the community. He has installed electronic menus on the tables so visitors can place their own orders and pay at their table, which allows him to gather information about guests. He has filtered the information and uses it to encourage locals to follow the restaurant on Facebook. He posts digital coupons on the Facebook page, runs contests with free meals as prizes, posts information about community events the restaurant supports and participates in, and encourages nonprofits to use his location for their meetings. He has determined that he needs community members to use three Facebook coupons per month and each of them to share one contest post per month to double his local customer base. Which of the following best describes the numerical measurements Fred is using to determine the effectiveness of his social media plan?
Quantitative social media measurement
Once Alexa started working, she realized that the owners and employees did not have a general understanding of accounting. She had to teach them the steps in an accounting cycle so they would be able to understand how she was going to create reports. When she talked about the statement of financial position, they had no idea what she was talking about. She was the qualified individual responsible for accounting. No one else working with her had much knowledge. They did not even know the different financial ratios that someone could use to understand the financial standing of a company. Alexa knows it will be a challenge to keep everyone on the same page when it comes to numbers and reports. Refer to Alexa's First Job. To help the owners understand how effectively the firm is transforming sales into profits, Alexa should address which of the following ratios?
Return on sales
Which of the following is not a physiological need?
Safe working conditions
In providing health insurance for its employees, IBM is probably satisfying which level of need?
Safety
Cheryl has been examining data from her company and discussing its successes and failures with the different division heads and managers. She has drawn up a list of the company's strengths and found that it is very good at promotion and meeting clients' delivery needs on time. She has discovered that the company is very slow with collecting its receivables and therefore has a significant lag between the time merchandise is ordered, delivered, and when payment is made. She also discovered that a new company is producing the same goods as hers and is selling them for less money and with a better guarantee. Finally, she has discovered that there is a great need for her company's product in the education field and that this market is virtually untapped. Which of the following best describes Cheryl's activities?
She is doing a SWOT analysis.
Timothy works for a company that pays employees in his position $12 per hour to work but also pays for medical and dental coverage, a 401K retirement plan, and a week of paid vacation. Fred has a job and is paid $14 per hour without medical or dental coverage, paid vacation, or a 401K. Fred brags that he makes more money than Timothy because he is paid more money per hour. Which of the following is true?
The benefits Timothy receives from his company, in addition to his wages, very likely total more per hour than Fred earns.
Extreme Sports, a bicycle, ATV, and motorbike retailer, buys its inventory on credit. Before Extreme pays for this merchandise in 60 days, the money owed is classified on its balance sheet as a(n)
account payable.
Any nonpersonal promotional message that is paid for by an identified sponsor and directed to a selected audience is called _____.
advertising
The number of units that must be sold for the total revenue to equal the total cost is called the ____ quantity.
breakeven
Kliting Co. is concerned with whether or not it will be able to pay its bills with money coming in from sales. It would be helpful for Kliting to prepare a ____ to better understand its needs.
cash budget
Salaries payable, accounts payable, and taxes payable are examples of
current liabilities.
The debts of a business that will be paid in one year or less are called its
current liabilities.
Using information about customers to create marketing strategies that develop and sustain desirable long-term customer relationships is known as
customer relationship management.
Louis is beginning a marketing research project. One of the six steps of marketing research is to
define the problem.
All of the following are examples of sales promotion except:
direct-response advertising.
Vivian works hard and puts in many extra hours. For this, she can anticipate a pay raise, a promotion, or an expanded sales territory. However, getting a promotion is most important to Vivian. According to the useful guidelines of the ____ theory, Thomas, her manager, must recognize that (1) she is putting in hard work and long hours to obtain a promotion, (2) what motivates Vivian will change over time, and (3) he must clearly show Vivian how to attain the desirable reward.
expectancy
The highest cost of short-term finance generally is
factoring.
Because of the Sarbanes-Oxley Act, accountants must maintain financial documents and audit work for
five years.
When Troy Meyer started his new job, he was offered a cafeteria plan from which he could choose items such as health care, vision care, child care, life insurance, and membership at the company's gym. This is likely a type of
flexible benefit plan.
Hillary Nettles works for a marketing and advertising firm. She must choose one ad piece from a number of potential ad pieces. To ensure that she makes the right decision, she should
gather information from coworkers and consumers on their reaction to the different ad pieces.
If McDonald's website was green and black and did not feature the golden arches, Ronald McDonald and gang, or the company's food selections, McDonald's would have failed to use _____.
integrated marketing communications
The process of systematically gathering, recording, and analyzing data concerning a particular marketing problem is called
marketing research.
You have been asked to develop an effective reward system for Kroger stores. In designing such a system, you should strive to meet all of the following objectives except
maximizing the amount spent on compensation.
If measuring the success or failure of social media activities with KPIs, the first step is to connect KPIs with
objectives
Everything that one receives in an exchange, including all tangible and intangible attributes and expected benefits, is called a
product.
In the past, Tupperware used only personal selling to sell its products; it now uses other methods as well to reach its target market. Together these various methods are Tupperware's _____.
promotion mix
The personal-selling process includes all of the following except:
providing a product sample.
Josh's boss demoted him when he did not meet his sales goal for the month. This action indicates the use of
punishment
If a company invests $1,000,000 to develop and market a new product with a goal of earning $1,200,000 on the product by the end of the year, it will price the product based on
return on investment goals.
Cindy provides piano lessons to students in her home four days a week. The money she earns from providing these services would be called ____ on an income statement.
revenues
Energizer offers its customers a reduction in price if they pay for their shipments of batteries within ten days of receiving them. This is a(n)
sales discount.
Leading Lady, a manufacturer of maternity wear, maintains a database of information that records the various skills and abilities of its employees. This database can be referred to as a
skills inventory.
If Home Depot, Delta Faucets, and Armstrong Floor Coverings pay for a television show about remodeling a kitchen on the Home and Garden Network, these companies are ____ the show.
sponsoring
A large, self-service store that sells primarily food and household products is called a _____.
supermarket
Kroger is an example of a _____.
supermarket
The first step for selecting the right social media tool(s) is
determining the company's social media objectives.
Highboy Enterprises is seeking to promote an employee to vice president of sales. In order to apply for the position, employees are asked to write a resume, provide a ten-minute sales demonstration, speak for ten minutes about why the company's services should be enlisted by clients, and answer five questions before a panel of six executives who will not give feedback during any part of the interview. If an employee passes the first part of the interview process, he or she is passed on to the second phase which requires trying to sell the company's services to individuals on a contact list provided by Highboy Enterprises. If the employee passes this portion of the process, he or she undergoes phone interviews by three of the company's executives in other cities. Each portion of the interview process is scored and the employee with the highest score receives the promotion. Theresa submitted her resume, prepared the demonstration, and studied the most-asked interview questions, but was not sure she really wanted the position because it involved a lot of travel and she had a small child. Harold prepared all of the paperwork, the presentation, studied the most-asked interview questions, and practiced his presentation and answers until he had them memorized and could present them smoothly. He really liked to travel and looked forward to the higher pay and the ability to travel with someone else paying the costs. He feels confident he can get the promotion and excel at it. Which of the following theories explains why it is most likely that Harold rather than Theresa will be granted the promotion?
Expectancy theory
Patti's Pet Shoppe is socially active regarding protection of domesticated animals and maintaining habitat for wild animals that live on the fringes of her community. She posts signs in her business about special events, speakers, clinics, and other events that she hosts to educate the public about the issues in her community, but so far has not been able to generate the support or involvement she had hoped for. She recently joined a MeetUp group for amateur guitar players and is thinking of starting one for animal lovers. If she wants to use the most popular social media website to connect with animal lovers in her community, what social media should she use?
P&T Inc. is an emerging company that wants to focus on personal selling, sales promotion, and public relations activities. P&T's management understands that personal selling is about the personal communication aimed at customers, but they feel that determining more specifics about the products they sell will allow them to better achieve their goal. Another important route they would like to take is to learn more about the various types of sales promotion. Finally, management would like to focus more on publicity-based PR. By concentrating on these areas, the company believes that it will be able to successfully create a promotional campaign. Refer to P&T Inc. If the managers at P&T were interested in implementing the most widely used type of publicity, they should utilize which of the following?
News release
When the American Telephone and Telegraph Company (AT&T) was recently building a new, multistory complex in downtown Kansas City, the work site was probably inspected for hazardous conditions by personnel from the
Occupational Safety and Health Administration.
Carla is not wealthy but attends a school in the wealthy part of her city. She works at a grocery store after school. Other girls at her school carry Gucci bags to school, wear Louis Vuitton clothing, Nikes for sports, and Jimmy Choo shoes for formal events. Carla is not invited to formal events because she cannot afford the designer clothing and accessories her classmates have. She has been invited to the prom but is concerned that she will look and feel out of place. She discusses her predicament with her neighbor, a kindly older woman, who assures her she has nothing to worry about because they can get her the clothes and accessories she needs at no cost or a fraction of the cost. The neighbor takes down her sizes and promises she will meet with her in a week. The next week, the neighbor calls her and invites her over. In her living room, she has five Louis Vuitton dresses, and a variety of designer shoes, handbags, and accessories and tells her to pick out what she likes and try it on. She picks out a dress and shoes and takes them into the bathroom to try them on. She models them for the neighbor who insists that she take them and accessories she has picked out to go with them. Carla asks how much she owes for them and the neighbor tells her, "$200." Carla pays her and takes the purchases home with her. What type of utility is the focus of this scenario?
Possession
Sebastian has been appointed the promotional director for the nonprofit youth string musician organization with which his son plays cello. The organization has three string ensembles and a larger string orchestra that all of the children participate in. Because money is very tight with the organization, the children perform at rest homes, assisted living facilities, and public schools. Occasionally, he is able to secure performance opportunities at businesses as part of a cross-promotion for youth-related campaigns such as Autism Awareness. Whenever the organization performs, Sebastian takes a picture and sends it with a caption to the local newspaper. He sends the newspaper a news release prior to the event and usually follows up with an article about the organization after the event. Over the years, the newspaper has sent various news reporters to the home of the string director to interview her about the organization and the reason it was formed. The articles written by the reporters are quite lengthy and often include pictures of the director, the children performing, and the board of directors. What type of promotional activity is Sebastian using to promote the nonprofit organization?
Public relations
To be certain to address all aspects of the business, Cindy hired a marketing research firm to determine the best location. Once all the research was compiled and analyzed, she realized that it would actually be better to open the store in a different area. She also realized that deciding where to locate the business was not the only major concern. More specifically, she would have to focus on the four elements of the marketing mix as well, creating a whole marketing plan. Her husband mentioned the possibility of using online information services to help with the business. With her husband's support and a good marketing plan, Cindy felt that she would be prepared to make the right decisions. Refer to Your Wish, Inc. Marketing research involves
interpreting information.
When compared with selling stocks to the public, a private placement has
lower costs.
The information provided by managerial accounting is of most benefit to a firm's
managers
Yen Nguyen's monthly net income from all sources less Social Security taxes is $3,000. This income is called ____ income.
personal