Marketing Chapter 10 Quiz Questions
Step 4
In which step of the price planning process does a firm analyze the economy, competition, government regulations, consumer trends, and the internal environment?
price lining
Marketers often apply their understanding of the psychological aspects of pricing in a practice they call ________, whereby items in a product line sell at different prices, or price points.
loss-leader pricing
Some retailers advertise items at very low prices or even below cost and are glad to sell them at that price because they know that once in the store, customers might buy other items at regular prices. Marketers call this ________.
price discrimination in interstate commerce
The Ross-Patman Act includes regulations against ________.
Break-even analysis is a technique marketers use to examine the relationship between competitors and product offerings
Which of the following is NOT a true statement regarding break-even analysis?
Product category managers
Which of the following is NOT considered a contributing factor in the provision of pricing advantages for online shoppers?
Price fixing
Which of the following occurs when two or more companies conspire to keep prices at a certain level?
Price leadership
Which of the following pricing strategies is usually the rule in an oligopolistic industry that a few firms dominate, which might be in the best interest of all players because it minimizes price competition?
Demand-based pricing
Which of the following pricing strategies would be used if a firm bases the selling price on an estimate of volume or quantity that it can sell in different markets at different prices?
Seasonal discounts
Which of the following pricing tactics is used when price reductions are offered only during a certain time of the year?
Markup
Which of the following refers to an amount added to the cost of a product to create the price at which a channel member will sell the product?
Elastic demand
Which of the following refers to demand in which changes in price have large effects on the amount demanded?
Price
Which of the following refers to the assignment of value, or the amount the consumer must exchange to receive the offering or product?
Bitcoin
Which of the following refers to the most popular and fastest growing digital currency?
Market share
Which of the following refers to the percentage of a market, defined in terms of either sales units or revenue, accounted for by a specific firm, product lines, or brands?
value pricing or everyday low pricing (EDLP)
Walmart's practice of using a ________ strategy is designed to promise ultimate value to consumers.
Price bundling
_____ means selling two or more goods or services as a single package for one price - a price that is often less than the total price of the items if bought individually.
Internal reference price
________ is based on past experience consumers have a set price or a price range in mind that they refer to when they evaluate a product's cost.
Predatory pricing
________ means that a company sets a very low price for the purpose of driving competitors out of business. Later, when they have a monopoly, they turn around and increase prices.
Dynamic pricing
________ refer(s) to a pricing strategy in which the price can easily be adjusted to meet changes in the marketplace.
Dynamic pricing
________ refer(s) to an online strategy in which the price can easily be adjusted to meet changes in the marketplace.
Variable cost
________ refers to the costs of the production of raw and processed materials, parts, and labor that are tied to and vary depending on the number of units produced.
Online auctions
eBay, eCrater, Bonanzle, eBid, and CQou all utilize which of the following models to allow shoppers to bid on everything from bobbleheads to health-and-fitness equipment to a Sammy Sosa home-run ball?
prestige
A Rolex watch, a Louis Vuitton handbag, and a Rolls Royce automobile are all examples of _____ products.
