Marketing Final Exam Multiple Choice Questions
Which of the following is the best example of puffery "You have tried the rest, now try the best "take two and call us in the morning" "All natural ingredients" "Northwestern, the quiet company"
"You have tried the rest, now try the best"
Many Hollywood movie stars were among the first to buy electric and hybrid vehicles. These stars often became ____________ , influencing other consumers' behavior. role models evoked images aspiration reference groups cultural icons
Aspiration reference groups
Walmart's strong supplier relations and efficient supply chain have helped the firm to achieve: customer excellence locational excellence product excellence operational excellence
Operational excellence
E-books, in addition to being an alternative product form, provide ______________ value creation since they can be downloaded via the internet immediately when they are needed/wanted. operational product place promotion
Place
Which part of the marketing mix communicates the products value to the consumer? product price place promotion
Promotion
Upscale men's and women's clothing stores primarily appeal to customers' ______________________ needs. post-purchase functional safety psychological
Psychological
After a consumer recognizes that they have an unsatisfied need, their next step would be to ____________________. evaluate alternatives search for information about products evaluate the purchase decision purchase the product
Search for information about products
Company sales invoices, Census data, and trade association statistics are examples of: exploratory data data mines primary data secondary data
Secondary data
What does STP stand for in the marketing strategy process? igns, tags, promotions segmenting, targeting, positioning segmenting, targeting, promoting sorting, targeting, promoting
Segmenting, Targeting, Positioning
Which generational cohort is likely to be loyal to American brands and more frugal? Seniors Baby Boomers Gen Y Gen X
Seniors
The ______________________ means that consumers need multiple exposures to a particular marketing communication before they respond to the message. Return on Investment the Lagged Effect The Humanity Effect FCC regulation
The Lagged Effect
The lack of profit in the introductory stage of the product life cycle is very often the result of __________. the large investment costs in product development targeting the wrong target market segment pricing the product too low in an attempt to quickly gain market share a lack of wholesaler support
The large investment costs in product development
To estimate reach in terms of electronic media, marketers can use the click-through rate (CTR). To do so, they need to know the number of clicks and: the number of destinations how much time consumers spend viewing the ad or page the cost per click the number of impressions
The number of impressions
For products like pencils and paperclips, which provide the same benefit for all consumers, marketers should probably use a(n): benefit segmentation strategy lifestyle segmentation strategy undifferentiated or mass marketing strategy concentrated targeting strategy
Undifferentiated or mass marketing strategy
Joan had no idea how consumers would respond to a survey about marketing of space travel to private customers. She decided to use a(n) ___________________ to allow respondents to answer in their own words. structured survey unstructured questionnaire multiple choice questionnaire likert scale
Unstructured questionnaire
Supercenters have become the fastest growing retail category by combining broad assortments of groceries and general merchandise products. __________________ dominates this category with more than 80 percent of the supercenters int he US. Kroger Target Walmart Kmart
Walmart
For McDonald's, consumers' increased concern about health & wellness, and therefore making healthy eating choices, would be considered a: Strength Threat Weakness Opportunity
Weakness
Often advertisers will employ a variety of media to deliver their message. When using different media, advertisers need to deliver: niche media emotional appeals value-based post testing a consistent and compelling message mild puffery
a consistent and compelling message
Generally, when advertising to consumers, the objective of an advertising campaign is: to offset sales promotion costs to maximize media planning a pull strategy - to get the product into stores by having consumers demand it a push strategy -- to stimulate interest among members of the supply chain
a pull strategy- to get the product into stores by having consumers demand it
Each time you go to the grocery store and have your purchases scanned while using a loyalty or bonus reward card, you are contributing to a database that can help marketers determine: what a typical shopping list looks like All of these whether changes in prices affect buying brand preferences of consumers
all of these
For marketers, the benefits of having achieved brand loyalty include(s): less likely consumer will try the competition all of these lower marketing costs associated with reaching loyal customers decreased price sensitivity among loyal customer
all of these
How much time a consumer spends searching for information before a purchase depends on: the consumer's locus of control the actual or perceived risk associated with the purchase all of these impact the length of the information search the perceived benefits vs. perceived costs of searching
all of these
The selling proposition communicated by advertising needs to be: meaningful to the consumer all of these supportive of repetition unique to the brand
all of these
Which of the following is (are) an important functions of labels on products and packages? providing consumer information to assist in purchasing indentifying the brand and building brand image all of these listing the ingredients
all of these
Demographic segmentation is segmentation based on: gender any of these income education
any of these
Value-based pricing methods include approaches to setting prices that focus on the overall value of the product offering: as recognized by competitors when the product is produced relative to production costs as perceived by the consumer
as perceived by the consumer
The AIDA model explains how marketing communications work to influence consumer's buy behavior. What do the letters AIDA stand for, in the correct order? attention, interest, demand, attitude attention, interest, desire, action action, interest, demand, attention action, interpretation, decision, acceptance
attention, interest, desire, action
For retailers, promotion refers to: the relationship between price & product both their in-store environment and mass media communication supply chain communication seasonal discounts and markdown
both their in-store environment and mass media communication
Some firms spend over $2 million for a 30-second ad on television during the Super Bowl so the firms can expose millions of viewers to their brand in one night. These firms are attempting to increase ____________? product reputation brand dilution the points of difference brand awareness
brand awareness
Recent Apple Computer Company ads showed a young, casually-dressed, friendly and knowledgeable person as an Apple computer type, while the Microsoft computer person was portrayed a stiff, geeky, awkward person. Apple was trying to create comparative: product line breadth product awareness brand integrity brand personalities
brand personalities
The basic goal of integrated marketing communications is to: manipulate consumers tell the entire world about your company communicate the value proposition to the target market create desire
communicate the value proposition to the target market
Firms using a _________________ pricing method set their prices to what other firms are charging. improvement value reference-based value-based competitor-based
competitor-based
Conclusive research techniques: confirms insights and provides a basis for taking a course of action revises the research objective based on initial impressions offers conclusions that are always correct are always conducted using primary data collection
confirms insights and provides a basis for taking a course of action
Wholesalers sell to all the following EXCEPT: retailers businesses manufacturers consumers
consumers
For consumer products like toothpaste and groceries, things consumers purchase throughout the year, most advertisers use a ______________________ advertising schedule. flighting continuous penetrating pulsing
continuous
Ben owns a lawn care business. From experience, Ben has found that John Deere equipment lasts almost twice as long as competitors' machines. For John Deere, Ben's perception about its products makes ____________________________ pricing possible. reference-based everyday low pricing improvement value cost of ownership
cost of ownership
The majority of new products for business to business sales are generated by: competitior's products R&D consortia internal R&D customer input
customer input
Retail checkout scanning systems create a tremendous amount of purchasing information usually stored in a company's: file cabinets website data warehouse cash registers
data warehouse
"Buy one, get one free" is a ___________ sales promotion. deal rebate sample coupon
deal
The primary purpose of a brand is to: product the product packaging sell advertising space distinctly identify one seller's goods or services from a competitors minimize product line depth needed to be profitable
distinctly identify one seller's good or services from a competitors
A weakness associated with cost-based pricing methods is that they: do not allow for predatory pricing do not recognize the role that consumers or competitor's prices play in the marketplace are too difficult to calculate infer a cost-price ratio
do not recognize the role that consumers or competitor's prices play in the marketplace
According the to Diffusion of Innovation Theory, which group of consumers will wait until all the product reviews are in and the product has been on the market long-enough for any bugs/defects to be addressed before they will buy a new product? early adapters late majority innovators early majority
early majority
Dan is especially price sensitive. He has been known to line up on "Black Friday" (for the day after Thanksgiving sales) at midnight in order to be the first person to buy the sale items. Dan would likely respond to a _______________ pricing strategy. premium slotting allowance high/low vertical price fixing
high/low
The stage of the new-product process that develops a pool of concepts as candidates for new-products is referred to as __________. product launch concept testing product development idea generation
idea generation
Each generation of cell phones has provided greater clarity, range, and multi-functionality. Marketers of cell phones can use these upgrades in __________________ pricing. everyday low pricing improvement value reference based odd-even
improvement value
Some companies want to get their products into as many outlets as possible, understanding that the more exposure a product gets, the higher quantity it will sell. If this is consistent with the company's overall strategy, it will choose ________________________ distribution. exclusive selective intensive wide-coverage
intensive
Compared to mass media advertising, a key advantage of direct marketing is: it requires less use of technology it reaches a larger audience involves face-to-face contact it allows for personalization of the message
it allows for personalization of the message
The major disadvantages of primary data collection are that: it takes more time to collect than secondary data and is more costly. it can only be accessed through syndicated databases or unstructured data mines. it cannot be tailored to meet specific research needs. it is too general to meet researcher's and manager's needs.
it takes more time to collect than secondary data
Supermarkets often offer great deals on milk, beef, or eggs to get customers into their stores, knowing that many customers will also purchase items that have higher makeups for the store. The supermarkets are using a _________________ pricing tactic. seasonal allowance bundling leader or loss leader price lining
leader or loss leader
What is the marketing objective for the maturity stage of the product life cycle? stress points of difference gain awareness maintain brand loyalty harvesting
maintain brand loyalty
With a _________________________ pricing strategy, marketers set a low initial price for the introduction of a new product or service in order to gain market share quickly. market penetration reference price price fixing skimming
market penetration
When audiences are allowed to preview actual movies (a "sneak preview") such as Harry Potter and the Deathly Hallows—Part 2 and Star Trek so that changes might be made before they are released to the general public, during which stage of the new-product process does this occur? market testing product development product launch evaluation
market testing
Retailing is where marketing meets corporate management meets the consumer is replaced with personal selling conducts all its transactions
meets the consumer
Many companies use the Internet to allow consumers to design customized products; for example, Nike allows customers to order shoes with custom color combinations. This is a form of: micromarketing targeting undifferentiated differentiated targeting concentrated targeting
micromarketing targeting
___________________ is the term used to describe the situation when retailers use some combination of stores, catalogs, and the Internet to sell merchandise. vertical integration horizontal integration multichannel retailing supply chain confusion
multichannel retailing
Because of the way __________________ buy merchandise, customers can never be confident that the same merchandise will be in stock each time they visit the store. department stores discount stores off-price retailers category specialists
off-price retailers
Sales promotions include all of the following EXCEPT: point-of-purchase displays coupons free samples online ads
online ads
_______________ involves defining the firm's marketing mix variables so that target customers have a clear, distinctive, and desirable understanding of the firm's offerings relative to competitors' offerings. positioning segmenting prospecting targeting
positioning
After reviewing the existing data on seasonal spending by his company's customers, Marvin decided he needed new information collected to address his research questions. Marvin will need ___________________ data to address the questions in his market research study. secondary warehoused primary syndicated
primary
At Mattel, Barbie is tested to be sure the doll cannot be broken apart and accidentally choke a child (an alpha test). This type of safety test occurs during the __________ stage of the new-product process. idea generation concept testing market development product development
product development
A group of product or service items that are closely related because they satisfy a class of needs, are used together, are sold to the same customer group, are distributed through the same types of outlets, or fall within a given price range is referred to as a __________. marketing mix brand extension product line stock keeping unit (SKU)
product line
The addition of Clorox II bleach to Tide laundry detergents is an example of which type of new Tide product: product line extension brand extension true innovation jump in innovation
product line extension
Personal selling is particularly important for retailers selling: discount items online services products that are complicated or expensive to younger customers
products that are complicated or expensive
Integrated marketing communications represents the ___________________ P in the four P's of a firm's marketing mix. promotion place product price
promotion
The first full-scale operating model of the product under development is referred to as a sample alpha test prototype template
prototype
A _________________ is an advertisement that focuses on public welfare issues. push strategy product focused advertisement reminder advertisement public service announcement
public service announcement
Anne's Pita Bread Chips offers free POP (point-of-purchase) displays to retailers ordering their product. Anne's is using a ________________ strategy. pull push publicity puffer
push
For a segmentation strategy to be successful, the customers in the segment must react similarly and positively to the firm's marketing mix. The market segment must be: responsive substantial perceptive identifiable
responsive
Private-label brands are owned and managed by: individuals government agencies retailers manufacturers
retailers
Ronaldo wants to develop an Internet auction-based business and is working through the STP process. After establishing his objectives, describing potential market segments, and evaluating the attractiveness of each segment, Ronaldo now has to: differentiate his product line create a perceptual map select a target market consider future customer loyalty
select a target market
In order to develop psychographic segments, the marketer must understand consumers': geographic region, urban vs. rural, and household size age, income, and education self-values, self-concept, and lifestyles gender, race, and religion
self values, self concept, and lifestyles
When Apple Computer Company introduced the first iPhone in 2007, it was prices at $499, which was considerably higher than cell phones or the iPod. Apple was probably pursuing a __________________ new product pricing strategy. price fixing skimming reference price market penetration
skimming
Greta is concerned that one of the potential market segments for her dog grooming service is too small and has too little income to have sufficient buying power. Greta is concerned with whether the segment is: reachable substantial identifiable responsive
substantial
In questionnaire design, a question such as, "When was the first time you went to a dentist?" suffers from the problem of a question: that asks for sensitive information that asks two questions at once that respondents cannot easily or accurately answer that steers respondents toward a particular response
that respondents cannot easily or accurately answer
Because market and operating conditions are different in each target market: only horizontal price fixing should be used the choice of a pricing strategy is specific to the target market all consumers will react similarly to the firm's pricing strategy prices need to be held constant because everything else is changing
the choice of a pricing strategy is specific to the target market
A major limitation in the use of internal R&D departments for new idea generation is that: few scientists have ideas. they tend to be dissolved once sufficient ideas have been generated. they tend to create too many blockbusters. few scientists have practical ideas. → the costs tend to be quite high. to few resources needed to make it economical few scientists have practical ideas they do not encourage true innovation the costs tend to be quite high
the costs tend to be quite high
Reaching the right audience with marketing communication is becoming more difficult because: the media environment has become more complicated consumers are bored government regulations are constraining free speech the target audience is using less media
the media environment has become more complicated
All advertising messages are designed: to change social norms to inform, persuade, or remind customers to match the company's production scheduling to meet the needs society
to inform, persuade, or remind customers
Which of the following is the best example of a convenience product? Lexus LS 460 luxury automobile Roget's Thesaurus toothpaste light on American Airlines
toothpaste
During the marketing communication process, an advertising agency encodes the marketing message for Home Depot by creating a print media ad. In this case, the advertising agency is acting as the: communications channel sender receiver transmitter
transmitter
Very infrequent purchases with some comparison shopping are characteristic of the purchasing behavior for a type of consumer service (such as burial insurance) that a prospective buyer may not initially want. This type of consumer service is referred to as a(n): convenience product unsought product specialty product
unsought product
Knowing what customers expect is essential for effective marketing. Retailers need to know which manufacturers their consumers prefer, while manufacturers need to know: if consumers find the store atmosphere inviting where their target customers expect to find their products if customers are using credit cards or cash to make purchases how many employees the retailers have
where their target customers expect to find their products
Which of the following is commonly used as a metric for evaluating the effectiveness of a marketing plan? profit margins sales revenue market share all of these are commonly used marketing metrics
All of these
When General Mills teams up with Hershey Foods to create a cereal called Reese's Peanut Butter Puffs (the Reese's brand belonging to Hershey's), what is the General Mills' branding strategy called? mixed branding brand building co-branding brand licensing
Co-branding
When Penguin Catering Services first opened, the owner decided to target only events at resorts in its geographic region. Penguin Catering was using a(n) ______________ targeting strategy. micromarketing differentiated concentrated benefit-driven
Concentrated
_________________ attributes are product or service features that are important to buyers and that are used to differentiate among choices. determinant social financial safety/performance
Determinant
McDonald's plan to open vegetarian only restaurants in India would be considered a __________________ growth strategy. diversification product development market development market penetration
Diversification
Post-purchase cognitive dissonance is especially likely for products that are: expensive and infrequently purchased personally valuable or antiques cheap and poorly made simple and easily copied
Expensive and infrequently purchased
The _________ is the primary federal agency regulating television, radio, and other electronic advertising. FCC BATF USPS FTC
FCC
The marketing planning process always proceeds sequentially (in order) through the five steps. True False
False
A(n) _________________ is a small group of people brought together for an intensive discussion of a topic. social media site focus group experiment data mining
Focus Group
PRIZM and Tapestry by ESRI divide and sort small geographic areas into categories using 60 or more demographic and lifestyle characteristics. These market research tools are examples of __________________ segmentation. loyalty geodemographic psychographic benefit
Geodemographic
Disposable income is: Income available for entertainment Gross income minus expenses for necessities Gross income minus taxes Gross salary plus benefits
Gross income minus taxes
In the United States, the population is growing slowly and becoming more diverse growing rapidly and becoming more diverse growing rapidly and becoming less diverse growing slowly and becoming less diverse
Growing slowly and becoming more diverse
Marketers love consumers who engage in _________________________ , buying their company's product with little thought or consideration of alternatives. compensatory decisions habitual decision making limited problem solving extended problem solving
Habitual decision making
Which of the following is an example of a manufacturer that uses an exclusive distribution strategy? Pepsi John Deere Bic pens Kit Kat
John Deere
A __________________ growth strategy relies on increased advertising and promotions in order to increase market share with the existing target market. product development diversification market development market penetration
Market penetration
The ______________________ for the American Red Cross is "to provide relief to victims of disasters and help prevent, prepare for, and respond to emergencies." objective mission statement organizational culture core benefit proposition
Mission Statement
Personal selling is an especially important part of IMC in: Web tracking Business to Business marketing event sponsorships online retailing
business to business marketing
In questionnaire design, a question such as, "Do you like Wendy's hamburgers and fries?" suffers from the problem of a question: that is leading toward a particular response that respondents will be reluctant to answer that asked two questions at once that is complex and unfamiliar
that asked two questions at once