Entrepreneurship ch. 11 Sb

Which form of pure promotion may be useful if the entrepreneur can target a very specific geographic area and identify a likely customer profile?

Flyers

The ______ plan is developed by a business to specify who the best customers are and how they might be attracted to the company.

marketing

Focusing the business's marketing efforts on a(n) ______ helps a new business market the firm's products to those customers that are most likely to buy its products at the price desired.

mission statement

Which of the following would be considered pure promotions?

• Signs • Web pages • Radio • Trade shows

Which of the following statements are true regarding flyers?

• They can be delivered with low-cost labor. • They can be printed cheaply. • They can be changed frequently.

What is the first step in developing a Web page?

Acquire a domain name

What refers to the methods and means necessary to build and maintain relationships with customers?

sales management

When establishing pricing, an entrepreneur of a new business should typically refrain from _____.

including small increments of money regardless of the exact percentage of margin desired

Which type of distribution channel can be used by businesses that focus purely on Internet sales or by those that use it as a supplement to the other marketing efforts of the firm?

Web pages

Customer demand and market potential are two methods of _______.

estimating sales

Which of the following characteristics differentiate Internet customers?

They are not limited by geographic limits

What are the steps involved in developing a newspaper advertisement?

• Designing the ad • Placing the ad

Companies that have a(n) force provide independent salespeople with a wide variety of experiences and contacts on a contract basis.

• contract • sales

Virtually free promotions are also widely referred to as:

Bootstrap marketing

Arrange the steps that are necessary for developing a Web page in the correct order starting from the first step to the third step. 1. Design a Web page 2. Acquire a domain name 3. Purchase time on a server

1. Acquire a domain name 2. Purchase time on a server 3. Design a Web page

Which of the following caveats should entrepreneurs of new businesses keep in mind when establishing pricing?

• A new business should offer a greater value for the money charged to build a customer base than established businesses. • Entrepreneurs should decide if they want to offer a quantity discount based on the nature of the business they establish.

Which of the following statements are true regarding newspapers as a form of pure promotion?

• It involves paying for views by individuals who will never be customers. • It is a broad-based "shotgun" type of advertising. • It is a standard method of promotion.

Which of the following organizations are typically in need of sponsors? (Check all that apply.) Multiple select question. Churches Newspapers Web pages Schools

• Schools • Churches

Which of the following are true statements about the cost-plus pricing method?

• The method requires the business to determine the total cost of a particular product. • The method requires the firm to determine the cost and add a level of profit.

Which of the following are true statements about independent representatives as a distribution channel?

• They can be used to sell industrial products. • They agree to sell or distribute each of the products for a percentage of the sales price.

Which of the following statements are true regarding Web pages as distribution channels?

• Web pages provide a means to ask questions about the products. • Web pages display the products and ways to purchase the products. • Web pages are used as a means of promotion as well as distribution.

The two methods, described in the text, for estimating sales without any history are:

• market potential • customer demand

The methods employed to and the individuals who build and maintain relationships with customers are referred to as _____ _____.

• sales • management

The marketing plan is developed by a business to specify:

• who the best customers are • how customers might be attracted to the company

What type of promotion allows entrepreneurs to promote their business and help out the community in a way that targets their customer base?

Mixed promotion

True or false: The key thing for an entrepreneur of a new business to remember as he or she designs signage is that "simple but distinctive" is the goal.

True

_____ promotions are also referred to as bootstrap marketing, because they require little capital.

Virtually free

Before the entrepreneur can define a particular segment of the market that he is seeking to serve, the entrepreneur must:

define the geographic area

A pricing _____ is a break-even point or the lowest amount that can be charged for a product and still make a minimal profit.

floor

One approach to ______ is to value your products for what you believe they are worth to the market.

pricing

The higher the ______ appears to be, the faster the competitors will challenge the business.

profit

What are the means by which businesses make their product or service known to potential customers?

promotion

True or false: Marketing efforts for a new business need to be as clearly stated as the business's mission statement.

true

Which of the following pricing methods requires a firm to determine its costs and then add some level of profit?

Cost-plus pricing

What is the next step in the process once the geographic area has been defined?

Define the particular segment of the market to be served.

What is the break-even point or the lowest amount that can be charged for a product or service while still making a minimal profit?

Pricing floor

______ is the means by which businesses make their products or services known to potential customers.

Promotion

A _____ is an oft-overlooked means of advertising a company that comes on a building or on the street, and on the letterhead, checks, or business cards of the company.

sign

Which distribution channel provides independent salespeople with a wide variety of experiences and contacts on a contract basis?

A contract sales force

Which category of promotions encompasses the majority of promotional efforts targeted by the firm?

Pure promotions

Agents for a variety of products for a number of companies in a given domain who try to sell those products are called _____.

independent representatives