Test 1 CMGT2400
McDonald's restaurant's golden arches logo is a recognizable sign of quality, affordable fast food. This is an example of successful
branding.
To increase check averages, the manager and the chef work together to feature complimentary appetizers and entrees at an attractive price. This practice is known as
bundling.
In the restaurant and foodservice industry, the term "features" refers to the
characteristics of the actual menu items and services.
One Saturday night guests visit a particular restaurant and receive excellent service and quality food, so they decide to return to the same restaurant the following Saturday night. On this second visit they receive the same high-quality food, but the service is poor. This restaurant lacks
consistency.
Buyers tend to make their buying decisions based on the belief that the purchase will be a direct benefit to them. This is known as
consumer rationality.
The tendency of consumers to make their buying decisions based on the belief that their purchases will be a direct benefit to them is known as
consumer rationality.
The first step in the market research process is
defining the purpose.
Facts about a target market such as customers' age, gender, race, geographic location, or other personal characteristics are known as
demographic information.
The three main types of market research objectives are
descriptive, exploratory, and causal.
A couple decides to use their historic home for a restaurant offering a high-quality menu. This restaurant would be classified as a
destination restaurant.
Good value from the customers' point of view is the
difference between what they pay and what they get
The money left after a person has met all his or her expenses or debts is known as
discretionary income
An appropriate time to begin marketing a restaurant's banquet facilities for holiday parties would be
early fall.
The factors that directly affect the purchasing power and the spending habits of those in a target market are known as the
economic environment.
An area has an established market for steak sandwiches. For the past several years, 10,000 steak sandwiches have been sold at an average cost of $7 per sandwich. Currently, six operations in the town sell steak sandwiches. You are considering opening an additional outlet for steak sandwiches. In composing your marketing plan you estimate getting an equal share of the market and that that share will be approximately
$10,000.
On a recent Saturday, an operation served 500 guests for total revenue of $10,000. The guest check average was
$20.
Factual records collected about actual sales, product usage, customers served, and other operating information are examples of which type of information?
Internal
Which term describes the grouping of several products together for one lower price?
Bundling
Restaurateurs recognize that not all people have identical wants and needs, and to seek a focused appeal to the distinct portion of potential customers that make up their customer base they define their
target market.
Which is a characteristic of a fine-dining restaurant?
Complex food
A business that obtains information about the needs of its target market and then provides products and services that are intended to fulfill those needs is using which type of focus?
Customer
A couple would like to go out to dinner to celebrate their first anniversary. Both of them were just laid off from their jobs. They would like to go to the most expensive restaurant in town to celebrate, but most likely they will not be able to because they lack
the ability to buy
Marketing is primarily concerned with
the customer's needs and wants.
Before most consumers decide to spend their money, they must have
the desire and the ability to buy.
The best way to get a target market to notice a restaurant's unique signature recipe is to communicate that the item is
the first in the market.
Survey questions about age, income, and geography seek to understand which type of information?
Demographic
Which is a decision place?
Drive-through service
Which is the fastest growing segment in the restaurant and foodservice industry?
Fast-casual
Which is an internal factor when evaluating the marketing plan?
Great tasting products at the right price
Which of the following would be an example of an identifiable objective for a marketing?
Increase check averages by $3 over the next three months.
Unlike the taste, smell, and texture of a food ingredient, friendliness of a server is which type of trait?
Intangible
An example of a well-defined target could be
families with young children living within 5 miles of the operation.
The characteristics of the items on a menu and services sold to guests are known as
features.
As part of the information gathering process before opening a new restaurant, the owners of the restaurant hold several meetings in which they invite small groups of local residents to learn what they think of their restaurant concept. This is known as gathering information by
focus group.
The manager of a restaurant with a target market of young families with small children is making a decision about where to spend his print media marketing budget. He has narrowed his choices to a magazine that is placed in senior citizen neighborhoods for a low price per reader or a magazine that is made available in pediatricians' offices for a higher per reader cost. The manager asks for your opinion. You advise that the
money be spent with the magazine that is available in the pediatrician's offices because the target market is young families.
One advantage of using primary data rather than secondary data is that primary data is
more relevant to the research.
An emotional or physical requirement that occurs when a person is deprived of something is known as a
need.
After attending a church service, a family decides to have lunch at a restaurant owned by a member of the church and frequented by many members, particularly after church. This family's decision to go to this restaurant is most heavily influenced by which factor?
Peer group affiliation
An operation has chosen to locate its premises on a bayside harbor overlooking shimmering water and boating enthusiasts. This is an example of which type of decision?
Place
What is most likely to cause a customer to not return to a restaurant?
Poor service
Useful market-related data that have been generated by sources outside the operation are known as which type of information?
Secondary
A target market consists of
people that a restaurant intends to pursue as customers.
Quick-service restaurants are most likely to use which pricing technique?
Value
Something that the customer sees as an advantage of one product when compared with another is known as that product's
benefit.
Marketing plans are completed so that the manager will
better understand existing and potential markets.
The name, logo, signage, employee uniforms, décor, pricing, service level, and other characteristics that, when taken together, make one restaurant or foodservice operation different from another are known as
brand identifiers.
A concise summary of the brand's values, competencies, company culture, and target market is known as the
brand position statement.
Long-term increases or decreases in some factor outside an establishment, such as an increase in population or an upturn in the economy, are known as
a market trend.
Examples of internal marketing include a(n)
advertisement printed especially for placement on tables in the operation's dining room.
Two of the more important demographic areas for nearly all restaurants and foodservice operations are
age and income level.
An advertising campaign in a local newspaper would be referred to as
an external marketing activity.
A group of investors is considering opening a new restaurant. Their early research reveals that three local large corporations will be expanding their businesses and hiring highly paid workers. As one of their advisors you recommend that they
go ahead with their project because the economic outlook for the area is positive.
A person dining in a restaurant in the company of another who is paying the bill is known as a
guest.
A restaurant has a large number of customers who frequently dine there. This restaurant would be said to have a
high degree of customer loyalty.
Once a marketing plan is written, it should be
implemented, shared, reviewed, and updated as situations change.
An external influence on buying behavior is
income.
The results of service training may be difficult to access because the product known as service
is intangible.
A manager states that one of the objectives for the operation is to increase business by 10 percent. The objective
is not valid because it does not include a time frame for achieving this objective.
A restaurant has a signature shrimp dish on their menu. Recently, a foodborne illness was discovered in shrimp from a particular seafood processor. The restaurant buys some, but not all of their shrimp from this processor. Rather than risk running out of shrimp over the busy holiday weekend, they decide to combine all of the shrimp, thinking that this will lessen the severity of any resulting foodborne illness. This restaurant is showing a
lack of responsibility related to serving food.
A local government passes an ordinance prohibiting the sale of alcohol after 11 pm Monday through Thursday. This action impacts the area's
legal environment.
The way people live their lives, what they like to do, and what interests them and/or their opinions is referred to as their
lifestyle.
Customers who come to trust that a brand will meet or exceed their expectations on a consistent basis are
loyal customers.
Once established, a brand must be carefully
managed.
A group of investors is planning on opening a new restaurant in an urban area. Before they invest their funds, they hire a firm to survey local residents about their dining-out practices. This group has hired the firm to conduct
market research.
The process of gathering and analyzing relevant and accurate information about customers, competitors, and markets in order to improve decision making is known as
market research.
The process that seeks to obtain relevant and accurate information about particular groups of people or segments in a market is known as
market research.
The number or value of units sold by a business in a given period and expressed as a percentage of the total market size is known as a
market share.
The economic, legal, vendor, and competitor conditions faced by a business is known as the
marketing environment
A detailed listing of specific activities designed to reach the revenue goals of an operation is known as the
marketing plan.
A restaurant manager decided to place an advertisement for his restaurant in the sports section of a local newspaper. The advertisement will run every day for two weeks and will feature the restaurant's Sunday Hot Wing special. This series of advertisements will cost $200, and the manager will determine the success of these advertisements by measuring the increase in Sunday sales. The manager has created a(n)
marketing plan.
The process of treating everyone in the market as having the same needs and wants is known as
mass marketing.
A restaurant adds seafood and vegetarian entrees to their menu because it has received requests for these items from its customers. From a marketing perspective, the restaurant is trying to
meet the needs and wants of its customers.
An operation's potential customers are known as the
target market.
A customer enters a restaurant and admires the décor. This is an indication that the manager has done a good job managing an aspect of marketing known as
place
The golden arches of McDonald's would be categorized as a
place brand identifier.
The means of recording an operation's sales, product usage, and other important information on a daily, by shift, hourly, or other basis is known as the
point of sale system.
Many restaurants offer lower prices between 4:00 and 6:00 pm to encourage more people to come to the restaurant during those times. What ingredient of marketing is the focus of this strategy?
price
Understanding consumer rationality can better help a restaurateur with
pricing menu items.
Information collected internally for decision-making purposes is known as
primary information.
Which of the 4 Ps of marketing refers to the items selected for an establishment's menu?
product
The four Ps of marketing are
product, place, price, and promotion.
A customer selects a restaurant based on an advertisement in the local paper. This is an indication that the manager has done a good job managing the aspect of marketing known as
promotion.
A key to consistently providing good service to customers is
properly training all employees.
The characteristics of a customer that relate to that customer's personality, values, attitudes, interests, or lifestyle are known as
psychographic.
After a customer has completed their dining experience, they may then decide whether they would come back, if the meal was satisfying, or how they rate the service. This is known as
purchase assessment.
The final step in the decision-making process is the
purchase assessment.
All customers desire good value. Good value is
quality products presented as a fair price.
A couple has decided that they would like to go out to dinner for their anniversary. In terms of the decision-making process this couple has
recognized a need or a want.
The National Restaurant Association provides restaurant operators with data and relevant information about the restaurant and foodservice industry. This type of information is referred to as
secondary information.
The restaurant industry adds a fifth ingredient to the 4 Ps of marketing. It is
service.
Menu items that customers associate with a single restaurant or a chain of restaurants are known as
signature items.
The financial position of a consumer or group of consumers relative to other consumers is known as
socioeconomic status.
A restaurant has identified its target market as young families with small children. An effective marketing activity might be
sponsoring a pee wee soccer team.
An area is served by three large foodservice distributors and seven specialty distributor. As a restaurant owner you would expect
to pay fair prices and have access to a broad range of items for your menu.
The formula to determine the check average is
total revenue / number of guests served.
A brand identifier that has been given special legal status so that only its owners can decide when and how it may be used is known as a
trademark.
Restaurant managers need to know the difference between a trend and a fad because a
trend will elevate sales for a long period of time.
A rural area is served by only one foodservice distributor, which does not sell seafood. A group of investors would like to open a seafood restaurant in the area. As an advisor you recommend against this decision based on the area's
vendor environment.
A desire that is shaped by a person's culture and personality is known as a
want.
You have noticed that a local restaurant specializing in seafood is often busy in spite of their reputation for terrible service. As a restaurateur interested in opening a new restaurant in the area, this indicates to you that
you would be successful if you opened a competing seafood restaurant that provides good service.