bus 346 midterm

________ are combating competitive pressures by offering fresh food and healthy fast food, tailoring assortments to local markets, opening locations closer to where consumers work and shop, and adding new services. Select one: A. Extreme value retailers B. Convenience stores C. Warehouse clubs D. Department stores E. Supercenters

B. Convenience stores

________ involves the process of defining the marketing mix variables so that target customers have a clear, distinctive, desirable understanding of what the product does or represents in comparison with competing products. Select one: A. Target marketing B. Market positioning . C. Allocation D. Value capture E. Market segmentation

B. Market positioning .

________ can purchase merchandise at substantial discounts from the original wholesale prices because they do not ask the suppliers for advertising allowances or markdown adjustments. Select one: A. Drugstores B. Off-price retailers C. Category specialists D. Specialty stores E. Department stores

B. Off-price retailers

Serena studies her customer profiles, market research data, complaints, and other information, attempting to better understand what her customers want. Serena most likely operates in the __________ era of marketing. Select one: A. production-oriented B. value-based marketing C. market-oriented D. sales-oriented E. retailing-oriented

B. Value based maketing

Marketing channel management is related to which of the four Ps? Select one: A. promotion B. place C. production D. product E. price

B. place

Which of the following is the best way to build a sustainable competitive advantage using product excellence? Select one: A. focusing on being cutting edge and continually eliminating older features that are still in use by customers B. positioning the product using a clear, distinctive brand image. C. being the first to offer customers desired features, even if competitors can copy them easily D. having the most features on each model E. copying the market leader's features, but at a lower cost

B. positioning the product using a clear, distinctive brand image.

When Costco sells to consumers directly, it acts as a _______; when it sells to other businesses, such as a restaurant owner, it acts as a _______. Select one: A. retailer; manufacturer B. retailer; wholesaler D. manufacturer; wholesaler E. wholesaler; retailer

B. retailer; wholesaler

Retailers can gain valuable knowledge about their customers from the transaction process and from Select one: A. omnichannel flow process. B. the insights of store personnel. C. end-of-aisle positioning studies. D. store brand/private-label brand ratios. E. trade industry profiles.

B. the insights of store personnel.

fter assessing the market growth potential for his company's baby products in Mexico, Harmon wanted to evaluate market competitiveness. To do this, Harmon would consider Select one: A. mass marketing of distribution potential and logistical support. B. the number of competitors, entry barriers, and product substitutes. C. ease of pricing control and number of promotional outlets. D. profitability and customer buying behavior. E. the current size of the market and the expected growth rate.

B. the number of competitors, entry barriers, and product substitutes.

Shorter lead times allow retailers Select one: A. access to a more diverse supply chain. B. to reduce the needed level of inventories. C. to reduce the need for pick tickets. D. to replace JIT systems with VMI systems. E. to skip advanced shipping notices.

B. to reduce the needed level of inventories

For products like clothespins, which provide the same benefit for all consumers, marketers should probably use a(n) ________ strategy. Select one: A. concentrated targeting B. undifferentiated targeting C. differentiated segmentation D. lifestyle segmentation E. benefit segmentation

B. undifferentiated targeting

Eric is a sales rep for an established building materials manufacturer. Business is good, but he is concerned that the company has spent little on new product development and has not created a new product in over five years. Without new products, Eric can market his current products only to his current customers or Select one: A. market the same products to similar customers. B. expand his early adopter market segment. C. intensify his prototyping. D. diversify. E. focus on concept testing.

A. market the same products to similar customers.

Another name for a manufacturer's brand is a(n) __________ brand. Select one: A. national B. premium C. private-label D. extended E. systematic

A. national

Marketers spend billions of dollars annually attempting to build effective brands. One basic benefit of a brand is that it Select one: A. provides a way for a firm to differentiate its product offerings from competitors. B. offers consumers promotional parity. C. allows manufacturers to capitalize on promotional expenditures. D. creates a basis for effective packaging. E. reduces the need for product line depth.

A. provides a way for a firm to differentiate its product offerings from competitors.

Marketers have found that __________ segmentation is often more useful for predicting consumer behavior than __________ segmentation. Select one: A. psychographic; demographic B. demographic; psychographic C. geographic; geodemographic D. demographic; behavioral E. demographic; benefit

A. psychographic; demographic

Both major political parties have developed proprietary databases that contain vast information about voters, broken down by demographic and geographic information. This kind of information is Select one: A. secondary data. B. qualitative research. C. syndicated data. D. neuromarketing. E. primary data.

A. secondary data.

Many universities provide physical or electronic bulletin boards to facilitate ride-sharing and exchange of used books among students. These bulletin boards increase __________ marketing. Select one: A. C2C B. underground C. B2C D. B2B E. C2B

A.c2c

As it pertains to the diffusion of innovation, if the __________ group is relatively small, the number of people who ultimately adopt the innovation likely will also be small. Select one: A. late majority B. innovator C. early majority D. laggard E. early adopter

E. Early adopter

__________ are customers who modify existing products according to their own ideas to suit their specific needs. Select one: A. Concept testers B. Reverse engineers C. Early adopters D. Market testers E. Lead users

E. Lead Users

A(n) ___________ is a group of products that consumers may use together or perceive as similar in some way. Select one: A. STP B. business matrix C. market segment D. promotional service E. product line

E. Product line

_________ is the number of items within a product line. Select one: A. Product line breadth B. Brand equity C. Product mix breadth D. Product mix depth E. Product line depth

E. Product line depth

When a T-shirt manufacturer states, "We sell it only in black because that way we can buy plenty of black fabric and run our plant efficiently," its statement reflects the views that were popular in which era of the evolution of marketing? Select one: A. economics-oriented B. market-oriented C. value-based marketing D. sales-oriented E. production-oriented

E. Product oriented

When conducting exploratory concept testing for her firm's new Internet antipiracy software, which is the most important question that Dee should ask? Select one: A. How long will it take to bring the software to market? B. Who will determine the price to be charged? C. Which computer trade show will be used to introduce the product? D. Where should the product be sold? E. Will respondents purchase the software if it becomes available?

E. Will respondents purchase the software if it becomes available?

In 2006, Walmart announced that it would begin selling organic food products. In doing so, Walmart was most likely trying to Select one: A. reduce its costs. B. save the environment. C. offset cost-based pricing pressure. D. gain government subsidies. E. attract a different market segment.

E. attract a different market segment

Matt was passionate about Abercrombie & Fitch. It was the only place he'd buy his clothes. If anyone asked him about clothes, he would talk for what seemed like hours about why he only shopped there. From a strictly marketing perspective, this word of mouth is an element of Select one: A. self-actualization. B. motivation. C. social marketing. D. brand extension. E. brand loyalty.

E. brand loyalty.

If a firm has demographic and purchasing information about its customers, the firm can use data mining techniques to Select one: A. find out which competitors its customers purchase from. B. create marketing mixes based on consumer self-values. C. determine which syndicated data warehouse services to purchase. D. understand psychographic motivations. E. build separate marketing programs for different demographic segments.

E. build separate marketing programs for different demographic segments

Astute marketers recognize that the increasing disparity of income between upper- and lower-income groups Select one: A. will vanish once the recession ends. B. will disappear as ethnicity becomes a stronger cultural determinant. C. is attributable to technological expertise of immigrant groups. D. will create inflationary expectations. E. creates opportunities to provide value to each group.

E. creates opportunities to provide value to each group.

Which of the following is a social trend listed in the text? Select one: A. environmental legislation B. thrift C. technological advances D. economic concerns E. health and wellness

E. health and wellness

In a competitive market, perceived value is determined by consumers mostly Select one: A. by trying out different products. B. by weighing primary versus secondary benefits. C. through brand association and brand licensing. D. by quantitative analysis of brand personalities. E. in relationship to the value of competitors' offerings.

E. in relationship to the value of competitors' offerings.

When considering income as a demographic variable affecting marketing efforts, marketers need to recognize that Select one: A. everyone has been equally affected by the recession. B. everyone is equal. C. there is increasing purchasing power among lower-income groups. D. middle-income consumers are quickly becoming upper-income consumers. E. income in the United States has become more unevenly distributed.

E. income in the United States has become more unevenly distributed.

With more frequent shipments associated with quick response (QR) systems, a retailer is Select one: A. less likely to use radio frequency identification tags. B. more likely to add extra floor-ready merchandise. C. more likely to engage in predatory pricing behavior. D. likely to have lower shipping costs. E. more likely to have what customers want.

E. more likely to have what customers want.

If you were a marketer for a clothing manufacturer and you wanted to improve revenues from irregulars, production overruns, and returns, you would be attracted to using Select one: A. supercenters. B. specialty stores. C. category specialists. D. department stores. E. off-price retailers.

E. off-price retailers.

The government has enacted laws that promote both fair trade and competition by prohibiting the formation of monopolies or alliances that would damage a competitive marketplace, fostering fair pricing practices for all suppliers and consumers. These actions are part of the ________ environment of business. Select one: A. social B. communication C. constitutional D. technological E. political/regulatory

E. political/regulatory Correct

Many small businesses whose competitors are national franchises advertise "we are locally owned" or "we have been here since 1951." This is part of these firms' Select one: A. market segmentation strategy. B. target market. C. customer excellence strategy. D. business mission. E. positioning strategy.

E. positioning strategy

VALS is the most widely used __________ segmentation tool. Select one: A. behavioral B. geographic C. benefits D. geodemographic E. psychographic

E. psychographic

A distribution center is typically operated by Select one: A. wholesalers. B. electronic data interchange services. C. vertically integrated consumer networks. D. the marketing department. E. retailers, manufacturers, or distribution specialists.

E. retailers, manufacturers, or distribution specialists

A marketing research project often begins with a review of the relevant ________ data. Select one: A. unfocused B. primary C. quantitative D. structured E. secondary

E. secondary

Which of the following is a systematic means of collecting information from people using a questionnaire? Select one: A. scanner study B. in-depth interview C. focus group D. experiment E. survey

E. survey

The poorest 10 percent of the U.S. population earned less than _______ per week in 2013. Select one: A. $2,500 B. $920 C. $1,265 D. $392 E. $1,801

D. 392

Insight Guides, a line of travel books, provides travelers with background information about people's beliefs, values, and customs in various parts of the world. Insight's books educate travelers about a country's Select one: A. generational cohorts. B. social concerns. C. political parties. D. culture. E. demographics.

D. Culture

________ segmentation is the most common basis of consumer market segmentation because these segments are easy to define and usually easy to reach. Select one: A. Psychographic B. Benefits C. Behavioral D. Demographic E. Geographic

D. Demographic

When a company offers consumers the ability to make purchases via a smartphone, this is known as Select one: A. P-commerce. B. channel expansion. C. smart retailing. D. M-commerce. E. cell selling.

D. M-commerce.

Supply chain management is also referred to as Select one: A. retail management. B. delivery management. C. production management. D. marketing channel management. E. value proposition management.

D. Marketing channel management

After defining objectives and research needs, the next step in the marketing research process involves Select one: A. data collection. B. report writing. C. data analysis. D. research design. E. research evaluation.

D. Research design

Which of the following statements best describes secondary data? Select one: A. Secondary data include only qualitative research. B. Secondary data collection is always extremely time-consuming and expensive. C. Secondary data are those data collected to address specific research needs. D. Secondary data are pieces of information that have been collected prior to the start of the focal research project. E. Secondary data will always meet the researchers' needs.

D. Secondary data are pieces of information that have been collected prior to the start of the focal research project.

Select the statement that best describes the key traits of Generation Y. Select one: A. This generation is the group that was born immediately after World War II. B. This generation is the largest population of 50-plus consumers. C. This generation was the first generation of latchkey children. D. This generation varies the most in age, ranging from teenagers to adults who have their own families. E. Members of this generation—also known as Digital Natives—have had access to the Internet for their entire lives.

D. This generation varies the most in age, ranging from teenagers to adults who have their own families.

Christie has just started with a travel agency, and she has been offering clients and prospective clients a range of packaged tours. She is concerned because the commission she is earning on her sales is lower than she had hoped. Her colleague Peter, who has been with the agency for several years, is having a great deal of success by working closely with the clients, seeking their ideas, and building customized tour packages for each one based on their suggestions. Peter's approach is based on Select one: A. transaction-oriented marketing. B. his seniority at the firm. C. premium pricing. D. value cocreation. E. special incentives from tour operators.

D. Value cocreation

For each target market, General Imaging Corporation, a manufacturer of imaging equipment, will engage in positioning by adjusting its marketing mix variables in order to give customers Select one: A. more product features than the competition offers. B. a perceptual map of the imaging landscape. C. lower prices than the competition offers. D. a clear, distinctive, and desirable understanding of their products relative to competing products. E. a more flexible supply chain strategy.

D. a clear, distinctive, and desirable understanding of their products relative to competing products.

In BCG portfolio analysis, products in low-growth markets that have received heavy investment and now have excess funds available to support other products are called Select one: A. anchors. B. question marks. C. stars. D. cash cows.

D. cash cows.

Franchising involves a(n) __________ vertical marketing system. Select one: A. cooperative B. corporate C. conventional D. contractual E. administered

D. contractual

Robin recently bought Voice over Internet Protocol (VoIP) phone service. A few of Robin's friends bought VoIP before she did, but many other friends were interested in Robin's opinions of the new phone service. Robin is a(n) __________ in this product category. Select one: A. innovator B. early majority adopter C. laggard D. early adopter E. late majority adopter

D. early adopter

Paul's family has owned and operated a small chain of conventional supermarkets for many years. Competition from a variety of other kinds of retailers has adversely affected the business. To address the new competitive reality, Paul wants to apply what he recently learned as a marketing major and he has recommended that his family's business should Select one: A. offer fewer private-label brands. B. target the broadest possible customer base. C. offer more national brand packaged goods and few perishables. D. emphasize fresh, locally sourced perishables. E. eliminate customer frills and extras.

D. emphasize fresh, locally sourced perishables.

When Toyota introduced hybrid cars, there were waiting lists to buy them. Then Honda and a few other manufacturers entered the market, shifting the product life cycle for hybrid cars into the __________ stage of the product life cycle. Select one: A. maturity B. introduction C. leveling D. growth E. decline

D. growth

In a(n) __________ marketing channel, several independent members each attempt to satisfy their own objectives and maximize their profits, often at the expense of the other members. Select one: A. contractual B. administered C. corporate D. independent E. cooperative

D. independent

The strategic marketing planning process Select one: A. is frequently used in reverse. B. begins with establishing specific, measurable outcomes. C. is a five-step process that should always be completed in order. D. is not always sequential. E. forces marketing managers to think rationally.

D. is not always sequential.

Which of the following best describes when Johnson & Johnson introduces a travel-sized package for its existing baby oil product? Select one: A. brand dilution B. brand extension C. rebranding D. line extension E. co-branding

D. line extension

Henri wants customers in his specialty tobacco store to feel at home, as if they were in their personal smoking den. He uses lighting, music, and soft chairs to create a "look and feel" that will get customers to relax and return. Henri is focusing on which aspect of the marketing mix? Select one: A. product B. price C. policy D. promotion . E. place

D. promotion

Ella had been using an imported brand of shampoo for several years, but she could no longer find it anywhere. As she was considering what kind of shampoo to try, she was surprised to see ads for Procter & Gamble's Head and Shoulders being promoted as a glamorous health-oriented product. She had always thought of Head & Shoulders as an antidandruff shampoo. The new ads suggest that Head & Shoulders has most likely been Select one: A. extended as a brand. B. reformulated. C. licensed to a premium shampoo manufacturer. D. rebranded. E. co-branded.

D. rebranded

Zappos, an online shoe company, knows shoes are typically a(n) __________ good, with consumers often spending time comparing alternatives. It overcomes that aspect of consumers' search process by offering a free, no-questions-asked return policy. Select one: A. impulse B. convenience C. ritual D. shopping E. specialty

D. shopping

Which of the following statements reflects the philosophy of the market-oriented era? Select one: A. A good product will sell itself. B. Advertising and personal selling should be emphasized in order to make the sale. C. Firms should focus on value. D. The customer is king. E. Firms should take advantage of a seller's market.

D. the customer is king

One of the reasons marketers use loyalty segmentation is Select one: A. the failure of micromarketing as a workable strategy. B. rapid population increases. C. accounting difficulties associated with identifying new customers. D. the high cost of finding new customers. E. government tax incentives.

D. the high cost of finding new customers.

oe is reviewing secondary data his company collected about seasonal variations in consumer spending because he is thinking about developing a new product line. The advantages of using these data include Select one: A. they have been collected specifically for the purpose Joe is using it for. B. they are new and can be used to project overall demand. C. they are historical data that can be used to accurately predict future trends. D. they can be quickly accessed at a relatively low cost. E. their high cost can be justified by the results.

D. they can be quickly accessed at a relatively low cost.

Microsoft's Windows operating system continues to dominate the market, even though it has been around for over 20 years. Windows will likely remain in the maturity stage of the product life cycle Select one: A. indefinitely. B. unless Microsoft repositions Windows as an introductory stage product. C. as long as the company doesn't change it. D. until a superior product comes along to replace it. E. until it rules the world.

D. until a superior product comes along to replace it

In value-based marketing, the promotion element of the four Ps communicates the ________ to customers through a variety of media. Select one: A. relative market value B. operational excellence strategy C. mission statement D. value proposition E. target market definition

D. value proposition

When her company's dry goods deliveries were late for the third time, Melissa withheld payment from her supplier until it was back on schedule. This is an example of ________ power. Select one: A. legitimate B. referent C. expertise D. Coercive E. reward

d. Coercive

If a cable television company had 100 million subscribers at the end of the year, and 2 million of its subscribers left its service, it would have a churn rate of Select one: A. 2 percent. B. 1 percent. C. 10 percent. D. 5 percent. E. 20 percent.

A. 2 percent.

Natalie represents a manufacturer who makes unique, high-end hats. When making a recommendation about potential retail partners, what should be Natalie's first consideration? Select one: A. How likely is it for certain retailers to carry this product? . B. What assortment of products will customers want? C. What is the appropriate advertising strategy? D. What prices will customers be willing to pay? E. When will customers want this product?

A. How likely is it for certain retailers to carry this product?

During the __________ stage of the product life cycle, sales peak and profits begin to decline as competition becomes intense. Select one: A. maturity B. introduction C. leveling D. growth E. decline

A. Maturity

Some products may stay comfortably in the maturity phase of the product life cycle until a new product emerges to replace them. An example of such a mature product is Select one: A. refrigerators. B. smartphones. C. e-books. D. the VCR. E. None of these; no product can stay in the maturity phase and survive for very long.

A. Refrigerators

Annabeth is looking for a Michael Kors chronograph watch, and assumes she can view and try them on at Macy's. She makes a special trip to the store to look at the watches and selects the style she likes best. Which aspect of choosing a retail partner allowed Annabeth to confidently shop for this item at a particular store? Select one: A. customer expectations B. vertical integration of channel C. distribution intensity D. channel characteristics E. channel structure

A. customer expectations

Lionel is asked to conduct an STP analysis for his firm. The first step he should perform in this analysis is to Select one: A. divide the marketplace into subgroups. B. reposition existing segments. C. conduct a SWOT analysis. D. choose the best target markets. E. develop a business mission statement.

A. divide the marketplace into subgroups.

Using __________, researchers ask questions, listen to and record responses, and ask additional questions based on initial responses.

A. in depth interviews

Which of the following is not an advantage of using a distribution center? Select one: A. Retailers need to keep less merchandise in the store as inventory if the stores get frequent deliveries. B. Use of a distribution center saves money since the storage space at a distribution center is generally less expensive than that of a store. C. Customers know they are dealing with a more sophisticated and financially well-off operation if the firm uses a distribution center. E. It is easier to avoid running out of stock or having too much stock.

C. Customers know they are dealing with a more sophisticated and financially well-off operation if the firm uses a distribution center.

In addition to merchandise and payments, information flows throughout a supply chain. Which of the following is not a good characterization of the flow of information in a supply chain? Select one: A. A manufacturer will send and receive information from buyers, stores, and distribution centers. B. Stores will send and receive information from manufacturers, buyers, distribution centers, and customers. C. Customers will send and receive information from stores and manufacturers. D. Distribution centers will send and receive information from stores and manufacturers. E. Buyers will send and receive information from stores and manufacturers.

C. Customers will send and receive information from stores and manufacturers.

According to your text, _______ packaging is product packaging that is ecologically responsible. Select one: A. green B. recycled C. sustainable D. responsible E. environmental

C. Sustainable

rian, an industrial equipment sales rep, purchases a quick snack to eat on the way to work. He buys lunch while on the road visiting customers and grabs bread and milk on the way home when he stops to buy gas. Brian probably does the majority of this shopping at a Select one: A. conventional supermarket. B. category specialist. C. convenience store. D. drugstore. E. warehouse club.

C. convenience store

When manufacturers try to understand what customers are looking for, they are thinking about the _______ component of the product offer. Select one: A. augmented products B. associated services C. core customer value D. product support E. quality level

C. core customer value

Walmart is known for its efficient logistical systems. Every time consumers buy something, that purchase is recorded and sent to company headquarters, where it is used to generate reorders to vendors. In addition, customers' billions of purchases are analyzed to uncover patterns of consumers' purchasing behavior. This is an example of Select one: A. qualitative research. B. data isolation. C. data mining. D. secondary data collection. E. sentiment mining.

C. data mining.

yan knows that one of the goals of value-based marketing is to provide greater value to consumers than competitors offer. To accomplish this goal, Ryan's firm must look at everything it does Select one: A. to avoid cultural clashes. B. for each generational cohort. C. from a consumer's point of view. D. to sensitize organization members to ethical values. E. in order to value each person in the organization.

C. from a consumer's point of view.

By promoting perfume based on youth, style, and sex appeal, Calvin Klein is attempting to Select one: A. stimulate supply chain management cooperation. B. influence social norms regarding sexuality. C. increase the perceived value of its products. D. demonstrate social responsibility. E. encourage consumers to participate in product redesign.

C. increase the percieved value of its products

When marketers use a variety of communication disciplines—advertising, personal selling, sales promotion, public relations, direct marketing, and online marketing—in combination to communicate a value proposition to the customer, it is referred to as Select one: A. managed marketing communications. B. integrated marketing communications. C. diverse marketing communications. D. comprehensive promotion. E. multimedia marketing.

C. integrated marketing communications.

"Corporate pilot fish" are former employees who start a new business based primarily on contacts and contracts with their old company. A corporate pilot fish would probably pursue a(n) __________ targeting strategy. Select one: A. undifferentiated B. differentiated C. micromarketing D. benefit-based E. macromarketing

C. micromarketing

Felicia had just taken over her family's business after spending ten years in the marketing department of a large corporation. She met with a representative from one of her firm's biggest customers, who told her, "We should think about how we can make the pie bigger rather than fighting over the size of the slices." She had expected a more cutthroat approach rather than this call for a Select one: A. shared mission statement. B. common marketing system. C. partnering relationship. D. corporate vertical marketing system. E. linked supply chain.

C. partnering relationship.

Which element of the marketing mix is most relevant to the activity "creating value"? Select one: A. promotion B. price C. product D. purchasing E. place

C. product

Inkjet printers were a big improvement over the dot-matrix printers they replaced. Inkjet printers gained rapid acceptance in the marketplace primarily because of their Select one: A. trialability. B. observability. C. relative advantage. D. compatibility. E. complexity.

C. relative advantage