Marketing Final Exam
P7J, a chain of discount stores across the United States, has many store brands including Wire, a line of sports shoes. Wire is a popular brand among regular store customers and they vouch for its quality being as good as other top brands. Facing competition from other shoe brands, P7J reduced the prices on Wire products by 30 percent. While it sold an average of 800 units per day at a price of $30 per unit amounting to $24,000 before the discount, it sold 1,000 units per day amounting to $21,000 after the discount. Which of the following is exemplified by this scenario? A) Competing on product quality generates more sales than competing on price. B) Customers' positive perception of a brand does not always translate to more sales. C) Pricing is typically the most difficult marketing mix element to change. D) A reduction in pricing does not necessarily increase overall revenue earned from a product. E) A product that is priced higher is perceived to be of a higher quality.
D) A reduction in pricing does not necessarily increase overall revenue earned from a product.
_____ is a relatively enduring organization of beliefs, feelings, and behavioral tendencies toward socially significant objects, groups, events or symbols. A) Value B) Motivation C) Personality D) Attitude E) Lifestyle
D) Attitude
_____ refers to the perceived benefits, both monetary and nonmonetary, that customers receive from a product. A) Purchasing power B) Customer service C) Consumer confidence D) Customer value E) Customer relationship
D) Customer value
Why should marketers distinguish between needs and wants? A) It ensures that the customer is aware of whether a want is being satisfied or a need. B) It allows them to create different products for wants and needs which, are inherently different. C) It guarantees the sale of products due to clear distinction of product functionality. D) It helps them provide products that fulfill customers' wants and satisfy their underlying needs. E) It helps marketers show customers that their wants are actually needs in disguise.
D) It helps them provide products that fulfill customers' wants and satisfy their underlying needs.
Which of the following is true of observation? A) It employs multiple-choice questions, making it appropriate for gathering feedback from a large number of participants. B) The researcher can work with only one participant at a time. C) It is a procedure undertaken to test a hypothesis. D) It is not useful in determining the reason behind people's behaviors. E) It is useful in determining the reason behind people's behaviors.
D) It is not useful in determining the reason behind people's behaviors.
BlackTop, a mobile-case manufacturer, manufactured and sold 100,000 units of its latest Pop-On cases. BlackTop plans on introducing more colors and designs in the following months. Ramona, the owner of a large retail store, was one of BlackTop's earliest customers. In which of the following situations can BlackTop expect a straight rebuy from Ramona? A) Ramona has a few suggestions that could improve the Pop-On covers. B) Ramona was extremely pleased with the service of the online reseller. C) Ramona was initially dissatisfied with the fitting of Pop-On covers. D) Ramona loves the feel of her device with the Pop-On cover on it. E) Ramona did not like the colors and designs on the previous Pop-On covers.
D) Ramona loves the feel of her device with the Pop-On cover on it.
Taymen Inc., a furniture manufacturer based in Arizona, has tie-ups with raw material suppliers and shipping companies who provide Taymen a uniform pricing option across the United States. Despite the cost of production and distribution being the same across the United States, Taymen charges more for its products on the West Coast than in other parts of the United States. Which of the following acts prohibits this practice? A) Telephone Consumer Protection Act B) Wheeler-Lea Amendment C) Credit Card Accountability, Responsibility, and Disclosure Act D) Robinson-Patman Act E) Sherman Antitrust Act
D) Robinson-Patman Act
Which of the following is true about various demographics in the United States? A) Male consumers now account for 85 percent of all consumer purchases in the United States. B) Younger people have more free time and disposable income to shop for products. C) Seniors have the greatest familiarity with and most use for digital communication. D) Seniors are more likely to complain and require more attention than their younger counterparts. E) Male control over the majority of consumer spending makes men a target for marketers.
D) Seniors are more likely to complain and require more attention than their younger counterparts.
Which of the following makes it absolutely essential that nonprofit organizations engage in marketing efforts? A) Nonprofit organizations, like for-profit organizations, lay off people during recessions. B) Nonprofit organizations are among the major contributors to the U.S. economy. C) Funding from the government is directed toward nonprofit organizations like hospitals. D) Successful marketing helps attract membership and much-needed funds. E) Churches, zoos, and universities attract the most funding in the United States.
D) Successful marketing helps attract membership and much-needed funds.
Why do marketers tend to target educated consumers? A) They have very low levels of disposable income. B) Their earnings are similar to those who are not educated. C) They mostly belong to generation Y, the wealthiest generation in U.S. history. D) They are more likely to comprehend an advertising message. E) They are hard to please and cannot be convinced easily.
D) They are more likely to comprehend an advertising message.
What did firms such as Ford do during the Great Depression when product sales decreased? A) They scaled production capacities to flood the market with new products. B) They stressed the need to satisfy customers' wants. C) They employed company-wide policies to improve human resource acquisition. D) They resorted to personal selling and advertising. E) They focused on attracting, maintaining, and enhancing customer relationships.
D) They resorted to personal selling and advertising.
The name, term, symbol, design, or any combination of these that identifies and differentiates a firm's products is referred to as A) a product. B) valuation. C) the marketing mix. D) a brand. E) a sales orientation.
D) a brand.
A recession occurs when A) a nation's GDP increases in one quarter and decreases in the next. B) a nation's GDP of the current year is less than that of the previous year. C) a nation's GDP per capita is less than that of neighboring countries. D) a nation's GDP declines for two or more consecutive quarters. E) a nation's GDP per capita is less than the estimated level of GDP per capita.
D) a nation's GDP declines for two or more consecutive quarters.
Once a company has created value, the next thing that the company must do is to A) understand customers' perceptions of value. B) create a need for that value. C) gauge customer confidence in that value. D) communicate that value. E) deliver that value to potential customers.
D) communicate that value.
The study of individuals, groups, or organizations and the processes they use to select, secure, use, and dispose of products, services, experiences, or ideas to satisfy needs is known as A) cognitive dissonance. B) sensory marketing. C) consumption behavior. D) consumer behavior. E) psychological learning.
D) consumer behavior.
Which of the following refers to how the value of one country's currency changes in relation to the value of other currencies? A) value exchange B) currency expectation C) currency exchange D) currency fluctuation E) value fluctuation
D) currency fluctuation
Which of the following can be considered a product decision? A) determining the discount or introductory offers on a product B) determining the target market of the product C) determining the price of a product D) determining the features of a product E) determining the number of salespeople needed to sell a product
D) determining the features of a product
A person's activities, interests, and opinions are related to his or her A) beliefs. B) motivation. C) personality. D) lifestyle. E) values.
D) lifestyle.
A _____ is a system that assesses an organization's marketing information needs, develops the needed information, and helps decision makers use information to create and validate actionable customer insights. A) decision support system B) reporting application C) web application D) marketing information system E) data mining application
D) marketing information system
Indirect competition occurs when A) a pioneer faces competition from late entrants to an industry. B) competition is not established between two companies in the same industry. C) customers do not prefer one product over another. D) products provide alternative solutions to the same market. E) multiple products compete for the same market.
D) products provide alternative solutions to the same market.
GAM, a mobile application developer, develops Talk2Text, an app that converts audio to text. Based on the demand estimated for the app during a free trial, the amount of usage, and the demographics of the users, GAM reckons that the app will sell 5,000 units over a period of six months. This scenario exemplifies A) demand analysis. B) product segmentation. C) sales tracking. D) sales forecasting. E) advertising effectiveness.
D) sales forecasting.
The first step in the marketing research process involves A) choosing the type of research. B) exploring the data sources that can be used during research. C) developing a hypothesis. D) setting specific objectives for the research. E) using focus groups to create a research plan.
D) setting specific objectives for the research.
One of the advantages of quantitative research is that A) it can be used to uncover details concerning the motivation of behaviors. B) the response rates are usually high. C) the participants provide sensitive information very easily. D) the results may be generalizable to a larger population. E) it is very flexible in its approach.
D) the results may be generalizable to a larger population.
Which of the following led to the development of the marketing concept strategy? A) the introduction of new media such as electronic mail B) the economic slowdown during the Great Depression C) the optimization of manufacturing facilities D) the surplus of products in the market beginning in the early 1950s E) the creation of efficient production processes
D) the surplus of products in the market beginning in the early 1950s
_____ is used to understand the impact of independent variables on a particular dependent variable. A) Causal research B) Probability sampling C) Nonprobability sampling D) Exploratory research E) Descriptive research
A) Causal research
Which of the following pairs of products can be regarded as substitute products? A) Internet radio and traditional radio B) movies and plays C) toothpaste and toothbrush D) television and books E) butter and cheese
A) Internet radio and traditional radio
Radio Z and Buzz are radio stations in direct competition with each other. The target audience for both radio stations is the same, with most of the stations' income coming from commercials. Which of the following strategies can Buzz use to differentiate its services from Radio Z? A) It can tune its shows to cater to specific needs of the audience. B) It can forgo commercials. C) It can hire talent from Radio Z to gain competitive advantage. D) It can offer its services via a different medium. E) It can partner with Radio Z to create a new radio station.
A) It can tune its shows to cater to specific needs of the audience.
Gordon regularly buys meat from Big Well. Big Well also sells meat to local restaurants such as Penny Grills, where Gordon and his wife, Rita, celebrated their wedding anniversary. Big Well sources its meat from Sandown Ranch, owned by rancher Levin and his family. In this scenario, who is the retailer? A) Rita B) Gordon C) Levin D) Sandown Ranch E) Big Well
E) Big Well
_____ is the most common gauge of the overall expansion or contraction of an economy. A) Income distribution B) Recession C) Consumer confidence D) Inflation E) Gross domestic product
E) Gross domestic product
Which of the following statements best describes descriptive research? A) It seeks to understand consumer behavior by answering the questions who, what, when, where, and how. B) It usually involves face-to-face interaction between the person collecting the data and the person providing the data. C) It involves manipulating independent variables to see how they impact a dependent variable. D) It seeks to discover new insights to help a company better understand a problem. E) It is used to understand the cause-and-effect relationships among variables.
A) It seeks to understand consumer behavior by answering the questions who, what, when, where, and how.
Which of the following is true of the business-to-business (B2B) purchasing process? A) The B2B purchasing process is often far longer than the consumer decision-making process. B) The B2B purchasing process entails the procurement of low-involvement products exclusively. C) The B2B purchasing process requires non-standardized purchasing procedures. D) The B2B purchasing process follows the Maslow's hierarchy of needs theory. E) The B2B purchasing process is often dictated by impulse buying behaviors.
A) The B2B purchasing process is often far longer than the consumer decision-making process.
What is the major difference between a nonprofit organization and a for-profit organization? A) The benefactors of nonprofit organizations do not receive any direct benefit, unlike customers. B) Nonprofits do not have to worry about external factors such as political or technological factors. C) Nonprofits are not subject to government regulations, unlike for-profit organizations. D) Funding is not an issue with nonprofits because of continuous support from benefactors. E) Nonprofit organizations find it relatively easier to secure funds during an economic slowdown.
A) The benefactors of nonprofit organizations do not receive any direct benefit, unlike customers.
Which of the following is true of customer value? A) To create value, the new good, service, or idea must satisfy a perceived marketplace demand. B) A customer's perception of value is not defined by a customer's wants. C) Supply chains are not related to customer value. D) Marketers should not worry about getting their message out to customers. E) The monetary benefits associated with a product do not impact the customer value.
A) To create value, the new good, service, or idea must satisfy a perceived marketplace demand. B) A customer's perception of value is not defined by a customer's wants.
Vida is an Italian car manufacturer with manufacturing plants all over the world, including the United States. In the context of SWOT analysis, which of the following can be classified as one of Vida's strengths? A) Vida recently recruited two senior engineers from one of its major competitors. B) The prices of fuel have dropped, encouraging customers to buy more cars. C) There is a recent increase in demand for hybrid cars in the United States. D) The auto industry all over the world is booming. E) One of Vida's component suppliers has decided to start manufacturing cars.
A) Vida recently recruited two senior engineers from one of its major competitors.
Zbar, a mobile phone-manufacturing company, decides to pursue a market development strategy to further its business prospects. In this situation, which of the following actions falls in line with Zbar's latest strategic direction? A) Zbar enters a price-sensitive market with its low-end phones. B) Zbar persuades its customers to buy more accessories for their phones. C) ZBar announces the creation of a new phone. D) Zbar tries to get existing customers to buy its new easy-to-use phones for their grandparents E) Zbar tries to get existing customers to buy a new version of their mobile phones for their spouses.
A) Zbar enters a price-sensitive market with its low-end phones.
Which of the following buying situations is most likely to involve extensive external information search? A) a new buy B) a modified rebuy C) a low-involvement buy D) an impulse buy E) a straight rebuy
A) a new buy
To combat the ethical implications of gathering data on customers, many companies employ A) chief privacy officers. B) marketing analytics. C) outside research firms. D) consumer watchdogs. E) marketing research associates.
A) chief privacy officers.
Tom recently bought a pair of headphones, XOB 10, from Blue for $99. Within a month, Tom's friend, Leo, bought a brand new pair of headphones XGD 20, released by Soundz, online at a reduced price of $86. Tom tried the XGD 20 and found it to be significantly better the XOB 10. In this scenario, Tom is most likely to experience A) cognitive dissonance. B) self-actualization. C) criteria evaluation. D) problem recognition. E) external information search.
A) cognitive dissonance.
Joint ventures work best when the partners' A) competitive goals diverge. B) core business interests lie in different industries. C) firms do not create a new entity. D) strategic goals diverge. E) proprietary skills are interchangeable.
A) competitive goals diverge.
If the economy of a country contracts and people lose jobs A) consumer confidence decreases. B) inflation rises. C) the GDP per capita in the country remains constant. D) consumers tend to spend more money. E) the purchasing power of the population increases.
A) consumer confidence decreases.
The two metrics used to evaluate a firm's profitability are customer acquisition and A) customer profitability. B) marketing expenditures. C) market share. D) gross margin. E) sources of revenue.
A) customer profitability.
A market penetration strategy A) emphasizes selling more of existing goods and services to existing customers. B) seeks to attract new customers by offering new products that are unrelated to the existing products produced by the organization. C) focuses on selling existing goods and services to new customers. D) revolves around discontinuing older products in favor of selling new products in new markets. E) involves creating new goods and services for existing markets.
A) emphasizes selling more of existing goods and services to existing customers.
Franchising is an attractive method of entering foreign markets because A) franchisees assume the majority of the capital costs and human resource issues. B) franchisees can use and modify the technology and trademarks as they deem fit. C) franchisees have to adhere to the regulations of the franchisor's country. D) franchisees provide the knowledge and information required to run the business. E) it increases the ease of direct oversight over the franchisee.
A) franchisees assume the majority of the capital costs and human resource issues.
According to Maslow's hierarchy of needs, once their physiological needs have been satisfied, consumers' _____ take precedence. A) safety needs B) need for food C) esteem needs D) self-actualization needs E) need for belonging
A) safety needs
Which of the following exemplifies a strategy to cater to the sociocultural factor of busier families in America? A) the launch of online ticket-booking options B) the increase in cosmetics targeted at women C) the creation of advertisements that engage users on an intellectual level D) the creation of products that cater to a particular ethic group E) the distribution of advertisements in multiple languages
A) the launch of online ticket-booking options
A measurement instrument exhibits _____ if it measures what it is supposed to measure, and not something else. A) validity B) logic C) cohesiveness D) reliability E) accuracy
A) validity
_____ are moral standards expected by a society. A) Exchanges B) Ethics C) Relationships D) Wants E) Needs
B) Ethics
Which of the following is true of the World Trade Organization? A) It guarantees the free trade of finances and goods between member nations. B) It is the only international organization dealing with the rules of trade between nations. C) It allows exporters and importers to conduct their business without restrictions imposed by government regulations. D) It ensures that currency exchange rates maintain stability. E) It provides monetary assistance to countries that are in debt.
B) It is the only international organization dealing with the rules of trade between nations.
Why is it important for companies to market globally? A) It is easier to sell products internationally than it is domestically. B) Most of the world's population lives outside the United States. C) The benefits of marketing globally always outweigh the costs. D) Selling products globally does not require the use of all elements of the marketing mix. E) Compared to domestic marketing, it is less expensive to market globally.
B) Most of the world's population lives outside the United States.
Why should firms selling products globally, use local marketing research companies? A) Such companies offer a higher quality of data than primary research. B) Such companies are familiar with the regional population and language. C) Such companies understand the global market very well. D) Such companies offer standardized research services. E) Such companies are not wary of problems with collecting primary data.
B) Such companies are familiar with the regional population and language.
Robin, a 28-year-old fashion designer, is very finicky about the brands that she consumes as a customer. She believes in buying brands that she has previously used. When Robin walks into Brown and Grey, a supermarket, she is most likely to engage in _____ to buy toothpaste and mouthwash. A) impulse buying B) an internal information search C) an evaluation of alternatives D) business-to-business marketing E) cognitive dissonance
B) an internal information search
The most frequently offered eye-tracking output is/are A) EEG scans. B) heat maps. C) snowball samples. D) neuromarketing. E) facial coding.
B) heat maps.
One of the functions of the International Monetary Fund is to A) ensure that member nations adhere to WTO agreements. B) help member countries manage their debt by providing resources to them. C) help importers and exporters conduct their business in member countries. D) ensure that member countries adhere to trade agreements. E) reduce barriers to the free trade of goods and services between countries.
B) help member countries manage their debt by providing resources to them.
The mission statement of a firm A) is the primary strategic planning tool for directing and coordinating the marketing effort of a firm. B) is a concise affirmation of the firm's long-term purpose. C) is an action-oriented document or playbook that guides the analysis, implementation, and control of the firm's marketing strategy. D) requires the input, guidance, and review of employees throughout the various departments of the firm. E) should not influence the firm's strategic planning.
B) is a concise affirmation of the firm's long-term purpose.
What tool would a company use if it wants to justify how its advertising dollars are being spent or how to utilize its collection of consumer data? A) branding strategies B) marketing analytics C) logistics D) social media E) a marketing mix
B) marketing analytics
Which of the following is characterized by customer orientation? A) product orientation B) marketing concept C) sales forecasting D) mathematical modeling E) sales orientation
B) marketing concept
The formal or informal societal rules that specify or prohibit certain behaviors in specific situations are referred to as A) customs. B) norms. C) morals. D) beliefs. E) culture.
B) norms.
Ruth designs games for mobile operating systems such as iOS and Windows. The demand for games on mobile devices is high. Ruth's latest game, Viper Slash, is yet to generate profitable sales despite receiving rave reviews. According to the BCG matrix, Viper Slash can be classified as a A) cash cow product B) question mark product C) threatened product D) star product E) dog product
B) question mark product
_____ involves systematically gathering data about what strategies direct and indirect rivals are pursuing in terms of new product development and the marketing mix. A) Descriptive research B) Data mining C) Competitive intelligence D) Scientific research E) Simple random sampling
C) Competitive intelligence
Which of the following is a feature of the executive summary? A) It is a concise affirmation of the firm's long-term purpose. B) It provides a standard to ensure that the business never strays too far from its core goals and values. C) It must be done after the rest of the marketing plan has been completed. D) It is the primary influence on a firm's overall marketing strategy. E) It provides employees with a shared sense of ambition, direction, and opportunity.
C) It must be done after the rest of the marketing plan has been completed.
The higher percentage of U.S. exports to Canada and Mexico rather than to other individual countries can be attributed to the A) Dominican Republic-Central America Free Trade Agreement. B) World Trade Organization. C) North American Free Trade Agreement. D) European Union. E) International Monetary Fund.
C) North American Free Trade Agreement.
What is the relationship between purchasing power and inflation? A) Purchasing power increases with rising inflation. B) Purchasing power and inflation are independent of each other. C) Purchasing power decreases with rising inflation. D) Purchasing power and inflation rise and fall together. E) Purchasing power increases with decreasing inflation.
C) Purchasing power decreases with rising inflation.
Which of the following is a useful guideline to make ethical decisions? A) Consider how an ethical decision will affect stakeholders rather than discussing it with them. B) The first alternative available must be chosen when solving an ethical problem. C) The factual elements of a problem cannot be determined without the influence of personal bias. D) When dealing with ethical problems, protecting internal stakeholder interests should be the primary concern. E) It is possible to avoid ethical problems if the ethical issue is clearly identified.
E) It is possible to avoid ethical problems if the ethical issue is clearly identified.
Why do firms find primary data more valuable than secondary data? A) Primary data are readily available from operational reports. B) Primary data are more archival in nature than secondary data. C) Primary data are collected by external agencies rather than employees. D) Primary data are less expensive to collect than secondary data. E) Primary data are collected to answer a specific research question.
E) Primary data are collected to answer a specific research question.
During the rainy season, people look to buy raincoats and umbrellas. Raindrop, an apparels manufacturer, caters to this need. Which of the following actions would represent the conversion of this need into a want? A) Raindrop produces umbrellas and raincoats under different brand names. B) Raindrop sells umbrellas and raincoats as bundled products. C) Raindrop introduces a line of see-through umbrellas that glow in the dark. D) Raindrop produces umbrellas and raincoats in different sizes to cater to different ages. E) Raindrop offers a discount on raincoats and umbrellas during the summer.
C) Raindrop introduces a line of see-through umbrellas that glow in the dark.
_____ is the process of thoughtfully defining a firm's objectives and developing a method for achieving those objectives. A) Situation analysis B) Diversification C) Strategic planning D) Stakeholder management E) Marketing strategy
C) Strategic planning
Which of the following is a major risk associated with licensing? A) The licensor loses unique insight about its local consumers. B) The licensee is free to modify the licensor's proprietary technology. C) The licensor may be inadvertently creating a future competitor in the form of the licensee. D) The licensee might improve on the licensor's technology and ask the licensor to pay for it. E) The licensor has to adhere to regulations of the licensee's country.
C) The licensor may be inadvertently creating a future competitor in the form of the licensee.
Assuming that a kilo of wheat sold for $1 in 2002 and $3 in 2013, which of the following can be inferred? A) The level of consumer confidence in the country has decreased. B) The inflation has decreased over the years. C) The purchasing power of the consumers has decreased. D) The economy of the country is currently in recession. E) The GDP has increased over the years.
C) The purchasing power of the consumers has decreased.
The _____ authorizes the Federal Trade Commission to restrict unfair or deceptive acts. A) Credit Card Accountability, Responsibility, and Disclosure Act B) Sherman Antitrust Act C) Wheeler-Lea Amendment D) Telephone Consumer Protection Act E) Robinson-Patman Act
C) Wheeler-Lea Amendment
Consumer learning typically begins with A) a response, which attempts to satisfy a need or want. B) reinforcement that a particular product satisfies a need or want. C) a stimulus that encourages consumers to act to reduce a need or want. D) cues that discourage the use of a particular product. E) knowing that a particular product exists.
C) a stimulus that encourages consumers to act to reduce a need or want.
Needs are states of felt deprivation that A) cannot be satisfied by a process of exchange. B) can be created solely by marketers. C) are created when customers lack something useful or desirable. D) do not fit well withe basic human makeup. E) are shaped by personality, culture, and buying situation.
C) are created when customers lack something useful or desirable.
Lara and her friends visit a new restaurant in town called Betelgeuse. They just happen to notice it while on a long drive. Lara and her friends like the ambience, décor, as well as the food. Lara is surprised when she finds out that the restaurant has been open for two years and neither her friends nor she knew of it until that day. At which of the following aspects of marketing has Betelgeuse failed? A) measuring the customer's perception of value B) catering to both needs and wants of customers C) communicating value to potential customers D) creating value for potential customers E) delivering value to customers
C) communicating value to potential customers
Which of the following is an example of a secondary data source? A) data collected by observing customers in a store B) data collected by a focus group of customers C) data collected by an organization every day for its routine operations D) data collected by employees through brainstorming sessions E) data collected from customer interviews
C) data collected by an organization every day for its routine operations
Opinion leaders are people who A) despite their lack of knowledge, are able to influence others. B) have children that greatly influence a household's purchase decisions. C) exert influence on consumer buying decisions by virtue of the knowledge that they possess. D) express their views about a person or product in private. E) aspire to follow the footsteps of celebrities or popular social media personalities.
C) exert influence on consumer buying decisions by virtue of the knowledge that they possess.
When customers look beyond their personal knowledge and experience to help them in buying something, they are engaging in A) business-to-business marketing. B) cognitive dissonance. C) external information search. D) ritual consumption. E) self-actualization.
C) external information search.
A firm with a "cash cow" product is most likely to A) discontinue the product. B) reallocate the marketing resources available for the cash cow product to products with more profit potential. C) invest just enough money to maintain strong sales. D) invest heavily in its production and marketing to create and communicate value. E) have a large market share in an industry with high growth rates.
C) invest just enough money to maintain strong sales.
The _____ is an action-oriented document or playbook that guides the analysis, implementation, and control of the firm's marketing strategy. A) market requirements document B) business record C) marketing plan D) marketing collateral E) marketing operation document
C) marketing plan
The primary strategic planning tool for directing and coordinating the marketing effort is the A) marketing mix. B) marketing research. C) marketing plan. D) marketing concept. E) marketing trend.
C) marketing plan.
Which of the following is an unethical way of obtaining competitive intelligence? A) scouring competitors' websites to know their latest moves B) calling a client to understand its relationship with a competitor C) offering money to competitors' employees in exchange for information D) negotiating with the competitor for their products' details E) attending competitors' conferences and trade shows
C) offering money to competitors' employees in exchange for information
Freez is an ice-cream manufacturer in Ceda, a predominantly agrarian nation. Freez does not spend too much on marketing its products. Instead, it focuses on improving the processes through which it manufactures ice cream. Freez believes that the quality of the ice cream alone is enough to differentiate itself from other manufacturers and generate sales. In this scenario, Freez's marketing strategy is A) marketing-concept oriented. B) relationship-marketing oriented. C) production oriented. D) promotion oriented. E) sales oriented.
C) production oriented.
The mission statement of a firm A) provides a shared purpose and motivation for the customers of the firm. B) should be framed based on the long-term marketing strategy of a firm. C) provides a standard to ensure that the business never strays too far from its core goals and values. D) should focus as many goals as possible to ensure that all of the firm's plans are covered in the statement. E) defines the way external stakeholders communicate with the firm.
C) provides a standard to ensure that the business never strays too far from its core goals and values.
Green Mat, a notebook manufacturer, wants to gauge the response of customers to its new line of eco-friendly notebooks. The marketing team at Green Mat decides to do a survey but restricts the respondents to school-attending teenagers between ages 12 and 16. This scenario exemplifies A) causal research. B) snowball sampling. C) quota sampling. D) probability sampling. E) simple random sampling.
C) quota sampling.
A country has a GDP of $23 million during the first quarter of 2015. During the next two quarters, it records a GDP of $21 million and $20.5 million, respectively. This trend can be classified as a(n) A) inflation B) reduction in income C) recession D) rise in consumer confidence E) increase in purchasing power
C) recession
Marketers can transition certain high-involvement products to low-involvement products for satisfied customers by A) branding them as low-involvement products. B) strategically placing the products at store entrances. C) removing doubts about the efficacy of the products. D) reducing the price of the products. E) increasing the risks associated with buying the product.
C) removing doubts about the efficacy of the products.
Resco is an apparel manufacturer whose products are carried only by two major retailers in the United States. In the context of SWOT analysis, which of the following can be classified as a weakness of Resco in this scenario? A) A cargo truck carrying Resco's shipment turned over on a highway and went up in flames. B) One of the retailers plans to start manufacturing its own brand of clothes. C) One of the retailers tells Resco that it will carry Resco's products with its own brand name. D) Resco's research and development department is on the verge of a major breakthrough and needs extra funding. E) Resco's manufacturing units use legacy technology that sometimes leads to backorders.
E) Resco's manufacturing units use legacy technology that sometimes leads to backorders.
_____ pertains to what a consumer's full potential is and the need to realize that potential. A) Belonging B) Attitude C) Lower esteem need D) Higher esteem need E) Self-actualization
E) Self-actualization
In the context of a SWOT analysis, which of the following can be classified as an opportunity for a manufacturing firm? A) a renewed business contract with a supplier for raw materials B) a lawsuit filed by an environmental outfit concerning environmental pollution C) an internal production technique that increases efficiency by 30 percent D) a technological breakthrough by its research and development department E) a rise in demand for products that the firm manufactures
E) a rise in demand for products that the firm manufactures
An aspirational reference group is one A) an individual actually belongs to. B) an individual has no chance of being a part of. C) an individual automatically belongs to based on some characteristic. D) an individual would not like to be like. E) an individual would like to emulate.
E) an individual would like to emulate.
The growth in information that inundates businesses each day and the complex tools used to analyze the data and derive meaningful insights is known as A) snowball sampling. B) competitive intelligence. C) a decision support system. D) bee swarms. E) big data.
E) big data.
Which of the following is the role of the promotion element in the marketing mix? A) creating the value of a product for prospective customers B) delivering the value of a product to customers C) selling the value of a product to customers D) making the value of a product affordable for customers E) communicating the value of a product to customers
E) communicating the value of a product to customers
A product possesses a competitive advantage when it enjoys a superior position over competing products because A) the manufacturing firm is pursuing a product development strategy. B) the competing firms are pursuing different marketing strategies. C) competing products are manufactured in small numbers. D) the product is in the "question mark" product category of BCG matrix E) consumers believe it has more value than other products in its category.
E) consumers believe it has more value than other products in its category.
Which of the following is a function of the marketing strategy in a marketing plan? A) analyzing the marketing environment B) monitoring the marketing plan C) synopsizing the marketing plan's main points D) detailing financial projections E) defining the target market
E) defining the target market
A demand analysis is most likely to be conducted by a company seeking to A) understand the viability of a product concept. B) estimate how much of a product will sell over a given period of time. C) gauge how well advertising and promotional campaigns are working. D) understand the real customers' needs and not wants. E) establish the price of a new product.
E) establish the price of a new product.
Gary is a promising young model. In future, he hopes to become as famous as his idol, Sean O'Pry. According to Maslow's hierarchy of needs, this need can be classified as a A) physiological need. B) belonging need. C) self-actualization need. D) security need. E) lower esteem need.
E) lower esteem need.
Passive data collection is a technique used in A) ethnographic research. B) eye-tracking research. C) facial coding. D) neuromarketing. E) mobile marketing research.
E) mobile marketing research.
Which of the following exemplifies impulse buying in a supermarket? A) opting for a different brand of tissues from the usual brand B) picking up a bottle of wine to go with meat C) buying a reasonably priced watch from the accessories sections D) remembering to buy toothpaste while browsing the groceries sections E) picking up a candy bar while waiting in line at the checkout counter
E) picking up a candy bar while waiting in line at the checkout counter
Marketers are attracted to countries with a growing middle class because a nation's A) middle class is the least affected when there is inflation. B) middle class will continue to splurge on products even during a recession. C) rise in GDP is directly proportional to the rise in income of the middle class in the country. D) middle class has higher disposable income than the rest of the population. E) purchasing capability tends to increase as the proportion of middle-income households increases.
E) purchasing capability tends to increase as the proportion of middle-income households increases.
A firm measures its effectiveness in using the resources it has allocated to its marketing effort by use of which tool? A) resource analysis B) revenue analysis C) profitability analysis D) market share analysis E) return on marketing investment
E) return on marketing investment
In codes issued to organizations by the North American Industry Classification System A) the first five digits represent the industry. B) the third digit represents the industry group. C) the first two digits reflect the subsector. D) the fourth digit represents the sector designation. E) the sixth digit can vary among NAFTA countries.
E) the sixth digit can vary among NAFTA countries.
Which of the following is a recent trend in marketing research? A) the use of spreadsheets to track and manipulate data B) hiring local marketing agencies in foreign countries C) the use of manual analysis of information D) conducting research through surveys and observations E) the use of user-generated content in online research
E) the use of user-generated content in online research
