MKTG 304 Exam 4
JCPenney pays $16.50 for a six-ounce bottle of cologne and sells it for $25.95. Its markup as a percentage of cost is approximately ____% for this product.
57
After selecting a pricing strategy, what is the next step in the establishment of prices?
Determining a specific price
Kinesic communication is an element in which type of promotional method?
Personal selling
If Albertsons Market advertise 2-liter bottles of Coca-Cola for 89 cents to generate store traffic so that shoppers will purchase other items at regular prices, the grocer is using
a price leader
Odd-even pricing is
a psychological pricing strategy
Xander is preparing the promotional plan for Wenger Swiss Gear backpacks in early May. This promotion will be executed in the month of August and will be a paid form of nonpersonal communication. It will be communicated to a target audience through mass media. Xander is using the ______ form of promotion.
advertising
If a product's target market consists of millions of people, marketers are most likely to focus promotional efforts on
advertising and sales promotion
A market share objective
can be used effectively whether total industry sales are rising or falling
Pricing the basic product in a product line low while pricing products that go with the basic product at a higher level is called
captive pricing
Samsung has been relatively happy with sales of its Galaxy S9 phone. However, when Apple came out with the newest iPhone X, Samsung released advertisements marketing all of the features and benefits its Galaxy phone has to offer. Samsung's promotional objective is to
combat competitive promotional efforts
A common form of tactile communication in U.S. business activities is
handshaking
The coordination of promotion and other marketing efforts for maximum informational and persuasive impact defines
integrated marketing communications.
New introductory promotion is most likely to be used during the ____ stage of the product life cycle.
introduction
A product is a price leader when
it is sold at less than cost in the hope that sales of other products will increase
Adidas is establishing a ______ pricing objective to maintain or increase its product's sales in relation to total industry sales.
market share
Anything that reduces the accuracy and clarity of communication is called
noise
All of the following are pricing strategies used by companies establishing prices of multiple products within a product line except
penetration pricing
If Kashi wants to gain a large market share quickly with its new line of reduced-fat snack crackers, it should use
penetration pricing
The "White Sale" that many department stores have every year a few weeks after Christmas is an example of
periodic discounting
What type of pricing strategy is used in a situation where the seller has an ethical responsibility not to overcharge the client and the fees do not relate directly to the time and/or effort spent in specific cases?
professional pricing
If the push policy is used in promoting a product, the firm
promotes primarily to the next marketing institution down the marketing channel (intermediaries/wholesalers and retailers).
Advertising, personal selling, sales promotion, and public relations are called
promotion mix elements
When a salesperson varies the physical distance between himself and a customer he is using
proxemic communication
____ is a broad set of communication efforts used to create and maintain favorable relationships between a company and its stakeholders.
public relations
Toasties offers customers a card that allows them to have a free sandwich for every seven that have been purchased and provides various discounts throughout the year. The primary promotional objective of programs such as this is
retaining existing customers
When a marketer makes an effort in promotion to point out the strengths and benefits of a specific brand, it is an attempt to build __¬¬__ demand.
selective
When LG promotes the benefits and strengths of its LG brand appliances, it is attempting to build
selective demand
In the GEICO advertisement that claims, "15 minutes can save you 15% or more," GEICO is the communication
source
What type of pricing objective would an organization use if it were in a favorable position and desired nothing more?
status quo
A price-skimming strategy assumes that
the initial demand is highly inelastic
Integrated marketing communications allow an organization to coordinate and manage its promotional efforts to
transmit consistent messages to its current and potential customers..
Pepsi-Cola has just released a new line of sparkling water called Bubly. To encourage customers to start adopting the new brand, Pepsi-Cola should engage in promotions that focus on
creating awareness
Primary demand is defined as
demand for a product category
The three primary bases for developing prices are
demand, competition, and cost
When establishing prices, a marketer's first step is to
develop pricing objectives
High-end luxury products that will be priced high do not need to evaluate their competitor's prices.
false
Which of the following would be used in setting the price of a new product if considerable competition is expected?
penetration pricing
To attract customers into a store, Kroger advertises its milk at less than cost, hoping that customers will purchase other groceries as well. This pricing strategy is called
price leader pricing
Which type of pricing objective can reduce a firm's risk by helping to stabilize demand for its products?
status quo
As their meeting concludes, Jacob rises and thanks Esme for taking the time to come by and explain her firm's new line of industrial fasteners. A handshake, which is best described as a form of _____ communication, concludes the session.
tactile
