MKT 3501 Final

Which of the following customer questions is answered by a company's value proposition?

"Why should I buy your brand rather than a competitor's"

A manufacturer has fixed costs of $100k, a variable cost of $10 per unit of output and break-even volume of 50,000 units. What should the manufacturer's unit cost be in order to break even?

$12

Herbie Inc., a firm manufacturing sandwich makers, has fixed cost of $250k, variable costs of $20 per unit of output, and expected unit sales of 50k units. What is the unit cost of a sandwich maker manufactured by Herbie?

$25

The fixed cost in manufacturing a single LED monitor is $40 and the variable cost is $12. If the company expects 5000 monitors, the total costs would be...

($40)(5000)=200,000 & ($12)(5000)=60,000 200,000+60,000=260,000

Samsung Mobile plans to launch a new phone w/ a unit cost of $270 and wants to earn a 10% markup on its sales. Samsung's selling price will be...

300

Which of the following is true of price changes?

A drop in price can adversely affect how consumers view the brand.

Which of the following companies has a product-oriented business definition?

A shoe manufacturer, whose business definition is: "We manufacture affordable and long-lasting shoes for all."

If a consumer's drive is strong and a satisfying product is near at hand, the consumer is likely to purchase the product at that time. If not, the consumer may store the need in memory or undertake.....

An Information Search

During portfolio analysis, a company ____ after identifying the key businesses that make up the company.

Assesses the attractiveness of its various SBU's

A person's buying choices are influenced buy 4 major physiological factors. Which of the following is NOT one of these factors?

Association

Which of the following is the 1st stage in the new product adoption process?

Awareness

Calypso Motors recently rolled out its Proteus hatchback. Proteus combines the attractiveness of a luxury car w/ the excellent agility of a sports car. Calypso Motors is confident that Proteus will appeal to both sports car enthusiasts as well as the luxury segment. Which of the following types of market segmentation is evident?

Benefit Segmentation

Harley-Davidson promotes its motorcycles w/ images of independence, freedom, and power. Harley-Davidson has created a ____.

Brand Personality

_____ involves cultivating opinion leaders and getting them to spread information about a product or a service to others in their communities.

Buzz marketing

Multiprint, a printer manufacturing firm, sells ink cartridges for each of its specific models. Only Multiprint cartridges are compatible w/ Multiprint printers, and no 2 models share the same specifications. What type of pricing does Multiprint use?

Captive Product Pricing

Companies know the can't appeal to all buyers in the marketplace, or at least not in the same way. Reasons for this include all of the following EXCEPT......

Companies need more info to offer the right products to the right companies

The marketing department of a reputable firm wants to improve strategic decision making, track the actions of other players in the market, and provide early warning of opportunities and threats. Which of the following would help the firm achieve its objectives?

Competitive marketing intelligence

George is buying his 1st house. He has spent a month looking at houses and comparing attributes such as price and location. He has contacted several real estate agents to look at different types of houses. George is most likely exhibiting ____.

Complex buying behavior

5 Characteristics are important in influencing an innovation's rate of adoption. Which of the following is NOT 1 of those characteristics?

Consumability

The marketing team of 7 Star Inc., a company manufacturing smartphones, is currently studying the size, density, location, age, and occupation of its target market. Which of the following environments is being studied in this scenario?

Demographic environment

GamaPix makes point-and-shoot cameras and handycams for amateur photographers and hobbyists. It also has a separate line of cameras dedicated to professional photographers. Additionally, it designs separate offers for each segment. Which of the following marketing strategies does GamaPix most likely use in this instance?

Differentiated Marketing

Effective positioning begins w/

Differentiation

_____ involves actually distinguishing the firm's market offering to create superior customer value.

Differentiation

Market segmentation can be best described as the process of______

Dividing a market into distinct groups of buyers who have different needs, characteristics, or behaviors, and who might requires separate marketing programs

As a consequence of the concern for the natural environment, many companies are developing strategies and practices that support ______.

Environmental sustainability

Kinger Burgers came out with a new hamburger and, before including it on its main menu, released it in 2 diff. cities w/ 2 diff prices. The marketers @ KB then analyzed the diff levels of purchase made at these 2 diff places, planning to use the info to help them set a nationwide price for the new offering. This is an ex of....

Experimental research

Which of the following is true with regard to brand equity?

High brand equity provides a company w/ many competitive advantages

which of the following companies uses a direct marketing channel?

Holly Wreaths, a store that sells Christmas ornaments to customers via its online click-to-order catalogs.

The happy pizza shoppe reduced the price of their standard, 16" pizza from $10 to $8 and sales increased from 50 per day to 60 per day. This result indicates that the demand for happy's pizza is _____ b/w the $10 and $8 prices.

Inelastic

____ play an important role in matching supply and demand by providing consumers w/ a broad assortment of products in small quantities

Intermediaries

In a SWOT analysis, which of the following would be considered a strength?

Internal Capabilities

Which of the following is an advantage of using an internal database?

Internal databases can be accessed more quickly and cheaply than other information sources

Which of the following is true about secondary data?

It can be obtained more quickly and at a lower cost than primary data

which of the following statements is true regarding the affordable method for setting a promotion budget?

It completely ignores the effects of promotion on sales

Which of the following is true of the BCG matrix approach?

It considers market growth rate to be a measure of market attractiveness.

Which of the following is true with regard to the product/expansion grid?

It is a useful device for identifying opportunities to increase sales.

Which of the following statements is true of the selling concept?

It is typically practiced w/ unsought goods

The process of evaluating each market segment's attractiveness and selecting 1+ segments to enter is known as....

Market Targeting

Consumer research, product development, communication, distribution, pricing, and service are all core ______ activities.

Marketing

Which of the following terms refers to sellers being preoccupied w/ their own products and losing sight of underlying consumer needs?

Marketing Myopia

Which of the following is NOT an accurate description of modern marketing?

Marketing emphasizes selling and advertising exclusively.

Which of the following is true w/ regard to marketing research?

Marketing research gives marketers insights into customer motivations.

Which of the following is the most likely result of a marketing strategy that attempts to serve all potential customers?

Not all customers will be satisfied

The marketing concept takes a(n) _______ . It starts with a well-defined market, focuses on customers needs, and integrates all the marketing activities that affect customers.

Outside-in perspective

The relationship b/w the consumer's expectations and the product's ______ determines whether the buyer is satisfied or dissatisfied w/ a purchase.

Perceived performance

"To busy multitaskers who need help remembering things, Evernote is a digital content management application that makes it easy to capture and remember moments and ideas from your life using your computer, phone, tablet, and the Web." This is an example of a(n) ________.

Positioning statement

Leona bought 2 different brands of wines from vineyards in Australia. When asked for her opinion about the wines, she said that 1 brand of wine tasted like alcoholic grape juice, but the other had a crisp taste that she really enjoyed. These statements were most likely made during the ______ stage of the buyer decision process.

Postpurchase behavior

Pat thought he had received the best deal on his new car. Shortly after buying the car, Pat noticed certain disadvantages of his new car as he learned more about other cars available in the market. Pat is experiencing....

Postpurchase dissonance

Which of the following is true with regard to price?

Price is the sum of all the values that customers give up to gain the benefits of having a product.

A ______ refers to the way a product is defined by consumers on important attributes--the place the product occupies in consumers' minds relative to competing products.

Product Postion

Companies that define their missions in terms of products or technologies are considered myopic primarily b/c......

Products and technologies eventually become outdated

Which of the following is true w/ regard to products?

Products include services, events, persons, places, organizations, ideas, or a mixture of these.

John Deere does very little promoting of its lawn mowers and garden tractors to final consumers. Instead, John Deere's sales force works w/ Lowe's, Home Depot, independent dealers, and other channel members, who in turn sell JD's products to final consumers. According to this info, which of the following promotion mix strategies is being used by JD?

Push Strategy

_____ means that consumers are likely to remember good points made about a brand they favor and forget good points made about competing brands.

Selective Retention

People tend to interpret new info in a way that will support what they already believe.

Selective distortion

Which of the following statements is true of cultural factors that influence consumer behavior?

Social classes show distinct product and brand preferences in areas such as clothing and travel

Which of the following statements is true regarding social classes in the US?

Social classes show distinct product preferences in clothing and automobiles.

Which of the following is true w/ regard to store brands?

Store brands are created and owned by resellers of a product or service

Which of the following would a marketer LEAST likely do to encourage habitual buying behavior?

Stress unique features in ads

As a manufacturer increases the price...

The break-even volume drops

Which of the following is a disadvantage of using a differentiated marketing strategy?

The costs of doing business increase.

Which of the following is true w/ regard to cash cows?

They can be used to help finance the company's question marks and stars.

Marketing is defined as a social and managerial process by which individuals and organizations obtain what they need and want through.....

Value creation and exchange

Which of the following statements is true about personal communication channels?

Word-of-Mouth influence uses a personal communication channel.

which of the following is true about the demand curve?

a demand curve shows the # of units the market will buy in a given time period at different prices that might be charged

Marketing communicators must know what ____ and what ____ .

audiences they wish to reach; responses they want

companies often fail to integrate their various messages to consumers b/c

communications often come from different parts of the company

which of the following is NOT true of public policies and pricing

companies are free to charge whatever prices they wish

What causes a specific brand's life cycle to change quickly?

competitive attacks and responses

if a consumer purchases a new flat-screen "smart" tv which can connect to services like Netflix and Pandora, what is the core customer value involved?

connection to entertainment and information

Integrated marketing communications require a company's mass-market advertisements, Web site, email, and personal selling communications to all_____

deliver a clear, consistent, and compelling message.

in which step of the communication process does the marketing communicator need to know the buyer-readiness stage of the target audience?

determining communication objective

which of the following is a potential drawback of multibranding?

each brand might obtain only a small market share, and none may be very profitable

the greater the # of channel levels in a marketing channel, the....

greater the channel complexity

Kellogg's begins to sell its cereal in new markets after conducting extensive marketing research....

growth

Which of the following questions is most important for product designers to consider while developing a product?

how would customers use and benefit from the product?

The real value of marketing info lies in how its used....

in the customer insights that it provides

which of the following doesn't apply to channel system

intermediaries play interchangeable roles in the system

which of the following is true of price skimming?

it can be profitably used when the products quality and image support its price

which of the following is true of FOB-origin pricing?

it is an expensive alternative for customers in distant locations

a well-known cosmetic company in NYC added new product lines in order to increase its business. in other words it...

lengthened its existing product line

Whizz Corp. wishes to introduce a new hybrid car into markets in developed countries w/ the goal of gaining mass-market share quickly. Which of the following pricing strategies would help the firm meet its goals?

market-penetration pricing

The set of marketing tools a firm uses to implement its marketing strategy is called the

marketing mix

Atlas Imports and Exports sells products directly to consumers via the Atlas Web site, and through local retailers as well. Which of the following is evident here?

multichannel distribution systems

After searching extensively fro vendors, Shanlina D'Souza, the owner of a manufacturing firm,

order routine specification

Though the ____ method of setting an advertising budget is simple to use and helps management think about the relationships among promotion spending, selling price, and profit per unit, it wrongly views sales as the cause of promotion rather than the result.

percentage-of-sales

which term refers to prices that buyers carry in their minds and check with when they look at a given product ?

reference prices

According to the Boston Consulting Group approach, ______ serves as a measure of company strength in the market.

relative market share

_____ management refers to the management of upstream and downstream value-added flows of material, final goods, and related info among suppliers, the company, resellers, and final consumers.

supply chain

Elmo Inc., a global conglomerate, designed the ElBrush, an electric toothbrush....

target costing

An ad for Maybelline age-minimizing makeup in Ladies' Home Journal magazine featured actress Gigi Hadid and offered readers a $2-off coupon when they tried the new makeup. In the context of the communication model, measuring which of the following would be the best way for the source to measure feedback?

the # of ppl who redeem the coupon

why are customers often considered the most important sources of new product ideas?

the company can analyze customer questions and complaints to find new products that better solve consumer problems

In addition to the specific promotion tools, marketing communication requires _____ for greatest impact.

the promotion, product, price, and place be coordinated

to communicate effectively, a marketing communicator should most likely...

understand the consumer's field of experience

In an effort to differentiate its offerings from its competitors, Pegasus Computers decided to add an extra USB port in all its laptops besides providing a free pair of Delphi power bass headphones w/ every Pegasus laptop. Although the additional features increased the price of the laptops by $500, Pegasus was confident that the strategy would help boost demand for its laptops substantially. This is an example of....

value-added pricing

When KFC came into direct conflict w/ its franchisees over the brand's Unthink KFC repositioning which emphasized grilled chicken over its traditional Kentucky fried chicken, KFC experienced _____ conflict.

vertical

Companies can research many aspects of buying decisions. However, the one that is the most difficult to identify is....

why they buy