BA Test 2
Sales increase rapidly and profits peak, then start to decline in the _____ stage of the product life cycle.
growth
Inappropriate or impractical new product ideas will be rejected during the _____ phase
idea screening
This psychological factor is defined as the act of bringing about changes in a person's behavior based on information and experience.
learning
A group of products that are physically similar or are intended for a similar market are referred to as a product _______________.
line
Any information about an individual, a product, or an organization that is distributed to the public through the media and that's not paid for or controlled by the seller is known as ___________________.
publicity
Which of the following is not a typical marketing task of an organization?
purchasing a product or service
Dewayne's family, his National Society of Black Engineers of America professional group, and the Rotary organization to which he belongs are _____ groups that may influence his buying decisions.
reference
Groups with whom buyers identify and whose values or attitudes they adopt are referred to as _______ groups.
reference
Macy's and Kohl's are considered to be ____________ because they buy products from manufacturers or other intermediaries and sell them to consumers for home and household use.
retailers
In the United States, people are often referred to as being part of the upper, middle, or lower class. These groupings signify ______ classes.
social
True or false: Although personal selling has many advantages it is one of the most costly forms of promotion.
true
True or false: Products used directly or indirectly in the operation or manufacturing processes of businesses are called business products.
true
True or false: Transportation, warehousing, and materials handling are all part of physical distribution.
true
Publicity differs from advertising in that it is _____.
unpaid
The process of dividing the total market into groups whose members have similar characteristics is market
Segmentation
United Mechanics sells nuts, bolts, and other fittings to companies that manufacture lawn mowers and tractors that are ultimately sold to consumers. This is an example of ______ marketing.
B2B
Products the consumer buys only after comparing value, quality, price, and style from a variety of sellers are called ______.
Shopping
The supply chain includes ______.
all who are involved in moving products from the producer to the ultimate consumer
A major wireless carrier designed a variety of advertisements to promote its new phone. Magazine, newspaper and television advertisements were created to attract the company's target market. This is an example of ______.
an advertising campaign
Business Analysis
assessing the potential profitability of the product
Which of the following can be defined as "services"? (Select all that apply)
-Doggie day care -Dry cleaning -A physical examination
Which of the following is least likely to be part of promotion?
pricing
Data that is observed, recorded, or collected directly from respondents is called ______ data.
primary
Today some people still inaccurately equate marketing with a _______ orientation.
sales
What do marketers usually view as a persuasive marketing activity accomplished through promotion?
selling
A good outcome from using _______________ networks is the opportunity to reach new voices and gain varied perspectives on the creative process of developing new products and promotions.
social
Intermediaries most likely assist with which four activities?
-Inventory control -Warehousing -Transporting -Materials handling
Select the three variables that are part of psychographic segmentation.
-Motives -Lifestyles -Personality
Which three terms accurately describe primary data?
-Recorded -Collected directly -Observed directly
Marketing focuses on a complex set of activities that must be performed to accomplish objectives and generate exchanges. These activities include ______.
-Selling -Researching -Risk taking
Which two terms best describe the process of gathering market research about potential customers that will help guide marketing decisions?
-Systematic -Objective
Dividing the market using a group's personality characteristics, motives, and lifestyles is _____ segmentation.
psychographic
After a period of intense demand and production of goods, supply began to exceed demand. Businesspeople realized that they would have to make a concerted effort to sell products and began advertising. This describes the ______ orientation.
sales
A(n) _____________ is the application of human and mechanical efforts to people or objects to provide intangible benefits to customers.
service
A(n)___________ is the application of human and mechanical efforts to people or objects to provide intangible benefits to customers.
service
Which marketing function takes on significant importance when dealing with seasonal fruits and vegetables that offer a short shelf life and selling opportunity?
storing
American Girl manufactures dolls for young girls between the ages of 3 and 12. This specific group of consumers is the company's _____________ market.
target
True or false: A marketer must understand the needs of the buyer in order to determine what products to make available.
true
True or false: Time utility has to do with selling an item or service in a timely manner and relates to the storing function of marketing.
true
A customer's subjective assessment of what they receive relative to costs in determining the worth of an item is referred to as ______.
value
Customer benefits subtracted by customer costs = customer _____.
value
Interactive multimedia research is also known as ________________
virtual testing
Knowledge and the positive or negative feelings a person has about something is referred to as_________.
attitude
_________ segmentation involves some characteristic of the consumers' behavior toward the product.
behavioristic
The goal of a market orientation is to ______.
build long-term customer relationships
The decision processes and actions of people who purchase and use products is referred to as __________ behavior
buying
Tyrone needs a new laptop. He knows how much he can afford, but rather than just purchase impulsively, he is in the process of researching different models and asking his friends for their recommendations. Marketers would consider this to be Tyrone's ______.
buying behavior
True or false: If a business wants to achieve its objectives, it simply needs to create an innovative product.
false
Westwood Furniture Store realizes that many of its customers buy several pieces of furniture at one time and may not have immediate cash to pay for the purchase. Therefore, Westwood offers credit services where customers can pay for their purchase over time. To entice customers to shop Westwood also offers "no money down" and "no interest" options. This relates to the ______ function of marketing.
financing
A systematic, objective process of getting information about potential customers to guide marketing decisions is the definition of ______.
marketing strategy
This psychological factor is defined as an inner drive that directs a person's behavior toward goals.
motiviation
Joe's Taco cart, which has always sold 100 percent pure beef tacos, develops three new taco varieties for the growing group of vegetarian students who come by daily. Joe still advertises his beef tacos but has also developed a mini-campaign to pitch the veggie tacos. Joe is using a(n) _____ market segmentation approach.
multisegment
_____ is the process by which a person selects and interprets information through senses about the quality of new towels or features of a new computer.
perception
Distribution is sometimes referred to as_________ in the marketing mix.
place
Since it represents the measure of value used in an exchange, ______ is the marketing mix element that is the basis of most market exchanges.
price
Data that you gather using sources like surveys, focus groups, and interviews is known as _____ data.
primary
Telephone surveys and mystery shoppers are two methods of gathering _____ data.
primary
Which two qualify as advertising?
-A paid television infomercial -Online ads from Starbucks about its new product
Which three (3) are used as a measure of product quality?
-Easily maintained -Reliable -Durable
Place the steps of product development in the correct order. (NOTE: The first step in the process should be at the top of your list, the last step should be at the bottom of your list)
1. idea development 2. new idea screening 3. business analysis 4. product development 5 test marketing 6. commercialization
List the four steps for calculating the value of a product, starting with step one. (Note: step one should appear at the top of your list)
1. identity target customers 2. identify their best alternatives 3. determine the products differences 4. calculate the value based on its differentiations
By the _____, some business people began to recognize that efficient production and extensive promotion did not guarantee sales and the marketing era was born.
1950's
What do marketers hope to gain by developing at least one dimension of value in the marketing mix that surpasses all competitors in meeting customer expectations?
A competitive advantage
Which of the following is NOT a type of sales promotion?
A customer blogging about a product
What is test marketing?
A trial mini-launch of a product in a limited area
Sales increases
Advertising with high impact, hard-hitting language and symbols
Brand awareness
Advertising with repetition of the brand name and words and illustrations associated with it.
Which of the following wholesalers does not own products but negotiates sales in exchange for a commission?
Agents
_____ is the process of naming and identifying products.
Branding
The engineers at Wonderful Widgets have come up with an idea for a new product. The company has determined that the product fills a market need and that it should generate a profit. Now the company wants to see how the product will be perceived by the consumer. How will the company do this?
By creating a prototype
A manufacturer of educational toys for children ages 2 to 4 wants to develop a marketing strategy to focus on just this segment. Which market segmentation approach would the firm most likely use?
Concentration approach
_____ is making products available in the quantities desired.
Distribution
True or false: Price is defined as the value placed on an object by the buyer.
False
What are some of the sample variables under demographic segmentation?
Gender, age, education, income
A watch manufacturer makes high-end watches and markets them to high income professional businessmen. The price of its watches range from $2,000 to $20,000. Because of this, the company only advertises in niche market publications that cater to this audience. In this scenario, identify what the central focus should be for this company's marketing activities.
High-income professional businessmen
These people perform many of the activities required to move products efficiently from producers to consumers or industrial buyers and are often wholesalers or retailers.
Intermediaries
What stage of the product life cycle is a product likely in if consumer awareness is limited and profits are negative?
Introduction
_______ is the planning and coordination of inbound and outbound as well as third-party services.
Logistics
Which of the following best describes the concentration segmentation approach?
One marketing strategy for a single market segment
During which stage of new product development is a prototype of the product created?
Product development
_____ is a persuasive form of communication that attempts to expedite a marketing exchange by influencing individuals, groups, and organizations to accept goods, services, and ideas.
Promotion
_____ combines sight, sound, and animation to facilitate testing of concepts as well as packaging and design features.
Virtual testing
A market is defined as ______.
a group of people who have a need, purchasing power, and the desire and authority to spend money on goods, services, and ideas
When a firm prices a new product very high to make optimum profit while there is little competition, it is said to be using ______.
a price skimming strategy
In the first half of the 20th century, business people who adopted the sales orientation perspective believed the most important marketing activities were personal selling and ______.
advertising
Integrated marketing communication (IMC) combines ______ into one comprehensive, unified promotional strategy.
all the promotional tools
Idea Development
coming up with new commercial products to pursue
Profits begin to decline during the growth stage because ______.
competitors enter the market and drive prices downward
When segmenting a market, a ___________ approach is used when a company develops one marketing strategy for a single market segment.
concentration
A _____________ is anyone who shops for products and decides whether and what to buy.
consumer
Products created for household or family use and intended for daily living are called ______ products.
consumer
Product Development
creating a prototype
The idea behind the marketing concept is that ______ will lead to a business achieving its goals.
customer satisfaction
Segmenting facial products by sex, age, and race is an example of _____ segmentation.
demographic
A marketing strategy has two major components: selecting a target market, and ______.
developing an appropriate marketing mix
Face-to-face sales presentations to consumers that often take place in the consumer's home is the nonstore retailing form known as ______ selling.
direct
The use of nonpersonal media to communicate products and information and offer consumers the opportunity to purchase from that media is referred to as ______.
direct marketing
While Duluth Trading operates some retail locations, it specializes in selling its products through catalogs. In doing so, Duluth Trading is engaged in _______ marketing.
direct marketing
janet works part-time for Pampered Chef. Her selling technique is to hold "parties" in people's homes where she cooks food and demonstrates the kitchen products she has for sale. This is an example of __
direct selling
All of the following factors can be used to segment a market by psychographic factors EXCEPT ______.
education
At the heart of all business is the _____, the act of giving up one thing (money, credit, labor, goods) in return for something else (goods, services, or ideas).
exchange
In marketing terms, when you pay the cashier money for the items you purchase at a store, it is an example of a(n) _____.
exchange
True or false: Products are manufactured for either B2B markets or B2C markets, but never geared towards both.
false
For which function of marketing does this statement describe: For many products, especially large items such as automobiles, refrigerators, and new homes, the marketer arranges credit to expedite the purchase.
financing
Twitter, Facebook, and LinkedIn are often good substitutes for ______.
focus groups
Brands sold with no brand name at all are called ___________ brands.
generic
Products, such as butter, aspirin, or dog food, sold in plain simple packaging without a brand name are called ______.
generic brands
_____ is the standardizing of products by dividing them into subgroups and displaying and labeling them.
grading
When the marketing manager looks at the organization's resources and objectives to assess the firm's ability to produce and market a product, the company is in the _____ stage of new product development.
idea screening
Marketers of _____ include political parties, churches, and schools.
ideas
Concepts, philosophies, images, and issues are all ______.
intangible ideas
The process of coordinating the promotion mix elements and synchronizing promotion as a unified effort is called _______.
integrated marketing communication
An ______ distribution strategy is used for convenience products because the product must be made available at every location where a consumer might desire to purchase it.
intensive
_____ distribution makes a product available in as many outlets as possible.
intensive
The stages of the product life cycle are ______.
introduction, growth, maturity, decline
The _____ stage of the product life cycle is exemplified by low sales, limited consumer awareness, and negative profits.
introductory
The presentation of important information on a package, such as ingredients and nutrition facts, is called _____.
labeling
Rashmi always used to shop at a particular clothing store. However, the last two times she shopped there, the staff was rude and they didn't have much stock on hand. Consequently, Rashmi is trying out new stores to shop at. Which psychological factor is at play in this scenario?
learning
Functions of _____ include buying, selling, transporting, and storing goods for an organization in order to accomplish objectives and generate exchanges.
marketing
The four activities that are part of the marketing process are also referred to as the _____ mix.
marketing
The idea that a business or organization should try to satisfy customers' needs through activities that also allow it to achieve its own goals is known as the ______________ concept.
marketing
Political, legal, regulatory, social, competitive, economic, and technological forces comprise the ______.
marketing environment
The _____ is the part of marketing strategy that involves decisions regarding controllable variables: product, price, distribution, and promotion.
marketing mix
B2C marketing
marketing products directly to the end consumer
A total-market approach is also referred to as ______.
mass marketing
If sales of a product peak and begin to decline along with declining profits due to severe competition and heavy expenditures, the product is in the _____ stage of the product life cycle.
maturity
Four common ____________ objectives are: maximizing profits and sales, boosting market share, maintaining the status quo, and survival.
pricing
Newspapers, magazines, and direct mail are _____ media, whereas television, radio, and cyber ads are _____ media.
print; electronic
The Great Value brand is found only at Walmart and is often less expensive than other brands carried by the store. Great Value is an example of a ______.
private distributor brand
Brands that do not carry the name of the manufacturer but carry a distributor or retailer name are called ______.
private distributor brands
Any physical good, service, or idea that satisfies a want or need is a(n)___________.
product
Automobile companies truly seem to be listening to customers who are environmentally concerned by offering more fuel-efficient cars. Companies are adjusting the ______ factor of the marketing mix.
product
Goods, services and ideas all fall under the ____________ element of the marketing mix.
product
Goods, services and ideas all fall under the________ element of the marketing mix.
product
Many customers value "green" due to their positive environmental traits and the savings from better gas mileage. The marketing mix factor that accounts for these tangible and intangible attributes is ______.
product
The ______ variable of the marketing mix is often the most visible and therefore of critical importance.
product
All of the following information is typically presented on a product's label EXCEPT ______.
product classification
Due in part to the Industrial Revolution and the demand for manufactured goods, this orientation was prominent in the second half of the 19th century.
production orientation
Commercialization
promoting a product to distributors, retailers, and consumers to gain wide interest and distribution in the product
Firms use _____ for many reasons, but typical objectives are to stimulate demand, to stabilize sales, and to inform, remind, and reinforce customers.
promotion
The promotional strategy in which the producer uses wholesaler discounts, personal selling, sales promotion contests, and other promotional tools to convince wholesalers and retailers to stock and sell its merchandise is known as a _________________ strategy.
push
Brandon needed to get a new tractor for his landscaping business. He needed to make sure that the tractor would perform well for a long time, was easy to maintain, and was made with durable parts. Brandon is assessing the product's ______.
quality
Idea Screening
reducing the number of ideas to the most promising and working on those
The promotional tool that stimulates consumer purchasing by adding value or other incentives for buyers is known as ______.
sales promotion
If a push strategy is successful, then consumers are more likely to find out about a new product after ______.
seeing it in stores
Marketers expedite the exchange process by using promotion activities to persuade a customer to purchase a product. This is the essence of which function of marketing?
selling
Products or services the consumer buys only after comparing value, quality, price, and style from a variety of sellers are called consumer _________________ products
shopping
University student, mother, and sister are examples of___________ roles that influence buying behavior.
social
A ranking of people into higher or lower positions of respect is known as ______.
social classes
_______ products require research and extensive shopping effort as consumers know what they want and are not willing to accept a substitute.
specialty
Test Marketing
taking a product idea to consumers to test their reactions
All of the following are brand marks EXCEPT ______.
the word Pepsi on a Pepsi drink can
A lumber yard that buys plywood from a producer and sells it to a home improvement retail store is an example of a(n) _____.
wholesaler
_____ are intermediaries who buy from producers and sell to retailers.
wholesalers
in the United States ______ are the largest market segment.
woman
Which of the following exemplify sales promotion through sampling? (Select all that apply)
-Scratch and sniff magazine inserts -Car dealer test drives -Supermarket taste test
Which of the following are external influences in the marketing environment?
-Social -Economic -Competitive -Legal
Which of the following are common pricing objectives?
-Boosting market share -Maximizing profits and sales -Survival -Maintaining the status quo
Why are distribution decisions considered one of the least flexible marketing mix decisions?
-Distribution decisions often establish contractual relationships that are difficult to change. -Distribution decisions often commit resources.
Which three products are considered convenience products and thus would utilize an intensive distribution?
-Gum -Soft drinks -Gasoline
Which of the following are characteristics of advertising? (Select all that apply)
-Non-personal communication -Transmitted through a mass medium -Uses various media
Paid, non-personal communication through various media by organizations and individuals who are in some way identified in the message is known as ____________ .
advertising
Characteristics that commonly involve some aspect of product use is _____ segmentation.
behavioristic
A name, symbol, or design that identifies the goods or services of one seller in comparison to other sellers is a ______.
brand
A firm's ______ exclusively refers to the part of the brand that is a distinctive design, such as McDonald's golden arches logo.
brand mark
Products that are used for the operation of an organization or for the production of other products are referred to as ______________ products.
business
Assessing new-product ideas by developing cost estimates and sales forecasts in order to determine if the product will be profitable, takes place in the _____ stage of the new-product development process.
business analysis
A(n) _____ strategy is a plan of action for developing, pricing, distributing, and promoting products.
marketing
The value placed on an object exchanged between buyer and seller is its ______________.
price
A group of closely related products that are treated as a unit because they use a similar marketing strategy are referred to as a ______.
product line
New technologies such as electricity and railroads allowed the ______ orientation to flourish by allowing goods to be manufactured with increased efficiency.
production
The objectives of _______________ are to stimulate demand; to stabilize sales; and to inform, remind, and reinforce customers.
promotion
Advertising, personal selling, publicity, and sales promotion are collectively known as the _____.
promotion mix
When a manufacturer of a hybrid vehicle attempts to create an image of the product as helping to save the environment, it is using _____.
promotional positioning
A group of high school soccer girls with the need, desire, ability, and authority to purchase soccer gear can be referred to as a ______.
target market
A trial mini-launch of a product in a limited area that represents the potential market is referred to as ______.
test marketing
In defining its target market, sellers of salt, sugar, and flour most likely use a _____.
total-market approach
The process of moving strawberries, blackberries, and raspberries from Portland Fresh and Ready Farms to the farmer's market where customers will purchase them, is a marketing activity called ______.
transporting
_____ is the process of moving products from a seller to a buyer.
transporting
Which three utilities are provided by marketing intermediaries, also known as middlemen?
-Ownership -Place -Time
Select the three types of utility created by retailers.
-Place utility -Ownership utility -Time utility
Which four elements make up the marketing mix?
-Promotion -Product -Price -Distribution
The promotion mix consists of ______. (select all that apply)
-personal selling -advertising -sales promotions -publicity
Merchant wholesaler
Takes title to the goods, assume risks, and sells to other wholesalers, business customers, or retailers
What is the central focus of all marketing activities?
The buyer
A company has a product that is geared toward 18-21 year-old women, who are all college students. This group would be considered a(n) ______ segment.
market
Which orientation is best described as first determining what customers want and then produce it, rather than making the products first and then trying to persuade customers that they need them.
market orientation
Dividing the market into groups whose members have similar characteristics is ______.
market segmentation
Marketing _____ is a systematic, objective process of gathering information about potential customers.
research
True or false: Product packaging attributes can influence consumer buying decisions.
true
True or false: Promotional positioning is the natural result of market segmentation.
true
Game Masters has just released the long-awaited, new platform of its most popular gaming console. Since the company wants to recoup development costs, and there will be little competition at first, Game Masters is setting the price rather high. Game Masters is using a ______ pricing strategy.
price skimming
When a UPS store targets consumers for shipping products around the holidays, but targets businesses for everyday shipping needs, it is using a(n) ______ approach.
multisegment
The ____________ is the external container that holds and describes the product, and influences consumers' attitudes and buying decisions.
packaging
A ____________ pricing strategy is the practice of pricing a product low to attract many customers and rapidly gain market share.
penetration
A low initial entry price, often lower than the eventual market price, to attract many customers and discourage competition, is a strategy called _______ pricing.
penetration
This psychological factor is the process by which a person selects, organizes, and interprets information received from his or her sense, as when experiencing an advertisement or touching a product to better understand it.
perception
A car salesperson interacting with a client is an example of ____________ selling because it is a two-way communication between a salesperson and a potential buyer.
personal
During the business analysis stage of new product development, products are analyzed for their compatibility in the marketplace and their ______.
potential profitability
Brands that are initiated and owned by the manufacturer, such as Xerox or SONY, are called ______.
Manufacturer
Agent
Negotiate sales, do not own products, and perform a limited number of functions in exchange for a commission.
Maggie volunteers at the local children's hospital whenever she can. She recently heard that the running store downtown was partnering with the children's hospital and donating a percentage of its sales to the hospital. Maggie has decided to shop there from now on and is telling all her friends to do the same. What psychological factor is at play here?
attitude
Motivation is an inner drive that directs a person's _____________ toward goals.
behavior
Which of the following are social factors that influence how, why, and when a consumer may buy a product or service?
-Reference group -Culture -Social class
Which three items are signs that a product is in the maturity stage of the product life cycle? (Select all that apply)
-Sales peak and start to decline -Profits decline -Competition is severe
Identify the sales promotions in the list below. (Select all that apply)
-Samples and demonstrations -Coupons -Store displays
List the stages of the product life cycle in sequence from beginning to end. (Note: The first stage should be the top item on your list)
-introduction -growth -maturity -decline
Which of the following questions will be answered during the business analysis stage of new product development?
-is the product compatible with the marketplace? -Will the product be profitable?
Organizations that bridge the gap between a product's manufacturer and the end user are called intermediaries or middle men. Two types of intermediary organizations are ______. (select two)
-retailers -wholesalers
Which of the following are typical objectives of promotion? (Select all that apply)
-to stabilize sales -To stimulate demand -To inform, remind, and reinforce customers
Sometimes marketers place representatives at a supermarket to hand out portions of a product for customers to taste. What promotional tool are they using?
Sampling
______ distribution includes all the activities necessary to move products from producers to consumers.
Physical
What typically happens in the growth stage of the product life cycle?
Sales increase rapidly and profits peak
True or false: A consumer is trying to decide between 2 smartphones. Price is the most important feature, so a decision is able to be made on that criteria alone. This buying behavior is associated with specialty products.
false
A ______ orientation requires organizations to gather information about customers in order to build long-term relationships with them.
market
Because it relates directly to the generation of revenue, ______ is considered a key element of the marketing mix.
price
Dividing a market by cities, counties, states, or regions is an example of using _________ variables for market segmentation.
geographic
Instead of selling your product throughout the United States, you might concentrate on one or two regions. This is an example of _____ segmentation.
geographic
When men's dress shirts are divided and separated by size as well as color and brand name, it can be said that they are being ______.
graded
B2B marketing
marketing products to customers who will use the product for resale or in the making of other products
