The marketing final test

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Given the many differences in majors available, living options, and image differences, universities would be classified as a heterogeneous shopping product for most people.

The role of gatekeeper may be filled by a secretary.

Measurement error occurs when a sample somehow does not represent the target population.

Most new-product ideas are rejected at the idea generation stage.

Companies use environmental management when they implement strategies that attempt to shape the external environment within which they operate

Consumable items that do not become part of the final product are called supplies

49. All of the following are examples of individual factors that affect the decision-making process for consumers EXCEPT: a. gender b. age c. reference groups d. lifestyles e. personality

reference groups

. Refer to College Decision. Juan's parents and friends would be classified as _____ factors influencing his decision. a. cultural b. social c. individual d. psychological e. primary

social

All of the following are types of nonprobabilty samples EXCEPT: a. systematic samples b. quota samples c. snowball samples d. convenience samples e. judgment samples

systematic samples

A(n) _____ is a defined group that managers feel is most likely to buy a firm's product. a. target market b. buying center c. aggregated unit d. consumer cluster e. demographic sample

target market

Which of the following is an interviewing method in which the interviewer reads the questions from a computer screen and enters the respondent's data directly into the computer? a. Central-location interviewing facility b. Computer-assisted personal interviewing c. Computer-assisted self-interviewing d. Direct-entry interviewing e. Computer-mediated interviewing

Computer-assisted personal interviewing

The difference between a traditional focus group and an online focus group is that there is no moderator in the online group like there is in a traditional group.

The growth stage is the first stage of the product life cycle.

The last step in the marketing research process is to prepare and present the report

To protect its local vodka industry, Russia allows foreign manufacturers to have only one percent of the Russian vodka market. This is an example of using tariffs to control foreign competition.

Trademark protection and rights only lasts for five years.

T/F A production costs analysis could be a part of a company's SWOT analysis.

Which type of error occurs when there is a difference between the information desired by the researcher and the information provided by the measurement process? a. Sampling error b. Research error c. Nonresponse error d. Measurement error e. Random error

Measurement error

Retailers love national brands because overhead is low and there are no marketing costs, and they bring higher profit margins than private brands.

Cultural traits can make a package design successful in one country and a failure in another.

Dakin Farms in Vermont uses mass marketing. Marketers would call the strategy an undifferentiated targeting strategy

Global trade has reached over $11 trillion a year.

Government agencies, periodicals, and trade shows are good sources of competitive intelligence.

Having a global vision means that management recognizes and reacts to international marketing opportunities, uses effective marketing strategies, and is aware of threats from foreign competitors in all markets.

If Ford purchased the same number of brakes from NUCAP on a regular basis, it would be participating in a straight rebuy.

In general, detailed, informative advertisements are most effective for high-involvement products because consumers actively search for additional information prior to making their decisions.

Heinz is introducing 400 new products in the next two years. To know which markets to reach, Heinz should first perform a: a. market diversification analysis b. market audit c. social audit d. market opportunity analysis e. niche analysis

market opportunity analysis

At the Lands' End Web site, a customer can chat online with customer service representatives while shopping. This live help allows the customer to have questions answered before placing an order. This focus on meeting customer needs illustrates a(n) _____ orientation. a. societal b. market c. sales d. production e. one-to-one

b. market

Refer to Delta Faucet Company. Delta's development of a new slogan represents a change in the _____ element of its marketing mix. a. product b. promotion c. place d. production e. distribution

promotion

Harrison wanted a gas water heater. He watched newspaper ads until he found one on sale. For Harrison, the water heater is a(n) _____ product. a. shopping b. convenience c. component d. unsought e. specialty

shopping

The U.S. government is: a. not a business market segment b. the world's largest single customer c. an organization accounting for over 50 percent of the U.S. gross national product d. mainly a military equipment purchaser e. using one centralized purchasing office for the entire government

the world's largest single customer

A company adhering to the marketing concept will likely take which of the following steps if it learned that its customers were dissatisfied with its product? a. Hire more salespeople b. Decrease its organizational overhead c. Increase its advertising to underserved markets d. Increase the number of outlets in which the product is sold e. Conduct research to determine if its customers' needs have changed

e. Conduct research to determine if its customers' needs have changed

_____ is defined as the relationship between benefits and the sacrifice necessary to obtain those benefits. a. Opportunity cost b. Marketing utility c. Market quality d. Satisfaction percentage e. Customer value

e. Customer value

_____ occurs when a business is defined in terms of goods and services rather than in terms of the benefits customers seek. a. Synergy b. Tunnel vision c. Narrowcasting d. Unempowerment e. Marketing myopia

e. Marketing myopia

A newspaper ad for a hospital that states, "We have the most modern delivery rooms and state-of-the art medical equipment," is an indication of which marketing management philosophy? a. Sales b. Customer c. Market d. Societal e. Production

e. Production

The company that manufactures Molson beer, which is typically consumed by males, launched an alcoholic lemonade beverage to attract more females. This launch of a new product to attract a new market for Molson's products is an illustration of a _____ strategy. a. market development b. market penetration c. product penetration d. product development e. diversification

e. diversification

A company that wants to implement a market orientation would need to: a. do research on its customers, competitors, and markets b. determine how to deliver superior customer value c. establish and maintain mutually satisfying relationships with customers d. implement actions that provide value to customers e. do all of the activities listed

e. do all of the activities listed

Refer to College Decision. Juan has narrowed his decision down to three schools. These schools comprise Juan's _____ set. a. primary b. elite c. exclusive d. awareness e. evoked

e. evoked

The American Marketing Association's definition of marketing: a. is limited to promotional activities b. focuses on the value of empowerment, teamwork, and customer value c. shows how marketing benefits the marketer d. relies on the synergy created by exchange e. includes creating, communicating, delivering, and exchanging offerings that have value for customers, clients, partners, and society at large.

e. includes creating, communicating, delivering, and exchanging offerings that have value for customers, clients, partners, and society at large.

The processes individuals use when making a purchase decision are called: a. consumer behavior b. marketing c. consumerism d. perceptual mapping e. database mining

Which of the following is the best example of a shopping product for most consumers? a. Washing detergent b. Crackers c. A soft drink d. A digital camera e. A magazine

A digital camera

Refer to Interface. Which of the following is the BEST example of a nonmarketing-controlled information source for floor tiling? a. A store display showing the various colors of tiles available b. An ad in Better Homes & Gardens for floor tiles c. A salesperson at a store that specializes in floor coverings d. A brochure explaining why the corn-based floor tiles are superior to nylon ones e. A discussion with coworkers about the best floor tiles to buy

A discussion with coworkers about the best floor tiles to buy

Which of the following products would most likely require the purchaser to use only an internal information search? a. A doctor for a recently detected illness b. A new washer and dryer c. A formal dance d. A favorite restaurant you love to patronize regularly e. Choosing a movie to see at the theater

A favorite restaurant you love to patronize regularly

Which of the following is the best example of a sale that could only take place in the business market? a. A professor is purchasing a Mac to use at home b. A music store owner is ordering the newest Elvis Ultimate Live collection DVD for her mother c. A teen is purchasing ringtones to use on her phone d. A librarian is purchasing new books for the school's library e. All of these are examples of business sales

A librarian is purchasing new books for the school's library

When the Boston Symphony Orchestra wanted to determine how to make classical music appeal to younger concertgoers, it hired AMN to conduct a survey. It was important that the survey have a relatively low cost and offer anonymity to respondents to ensure candid answers. Which form of survey research should AMN have used? a. A mail survey b. A focus group c. An in-home personal interview d. Mall intercept interviews e. CLT interviews

A mail survey

A furniture manufacturer wants to test how consumers will respond to furniture upholstered in fabric made from recycled plastic by having consumers feel and respond to the fabric. Which form of survey would allow it to do this? a. A telephone interview b. A mail questionnaire c. A mall intercept d. An observation study e. A laboratory test

A mall intercept

In which of the following situations would a marketing researcher be most likely to use executive interviews? a. A manufacturer of extruded plastic wants to determine where there are other markets for its products b. A manufacturer of frozen dinners wants to research the eating habits of its target market c. The producers of children's programming on public television want to learn more about the viewing habits of an audience composed of 5- to 12-year-old males d. A shampoo manufacturer wants to test which smells consumers perceive as relaxing and exhilarating e. An aluminum can manufacturer wants to research how people are disposing of cans

A manufacturer of extruded plastic wants to determine where there are other markets for its products

While discussing an upcoming marketing research study of how the home decorating industry is affected by the teenage consumer, you emphasize the necessity of having a sample that is representative of the population. What type of sample must be used? a. A nonprobability sample b. A quota sample c. A convenience sample d. A probability sample e. A field service sample

A probability sample

Which type of consumer product requires comparison shopping because it is usually more expensive than a convenience product and is found in fewer stores? a. An unsought product b. A secondary product c. A unique product d. A shopping product e. A selective product

A shopping product

Which of the following is the BEST example of accessory equipment? a. A parking lot b. A store display rack c. Accounting services d. A river barge e. Light bulbs

A store display rack

Refer to Circuses. The circus's goal of redesigning the circus experience is being completed through the coordination of many marketing activities, such as value pricing, a product that includes exciting performances, tent venue locations, and promotion. These activities make up the _____ for the circuses. a. opportunity analysis b. value of marketing c. marketing environment d. target market e. marketing mix

e. marketing mix

By defining its business as "printing books" instead of "empowering imaginations," a children's book publishing company would more than likely experience: a. market synergy b. product entropy c. market harvesting d. nonspecific strategic planning e. marketing myopia

e. marketing myopia

Technol Medical Products makes specialty face masks to shield healthcare workers from infection. Because it focuses on this narrow market, it is able to outsell its primary competitors--3M and Johnson & Johnson. Technol has a(n): a. aggregated positioning strategy b. demarketing focus c. heterogeneous target marketing strategy d. cost competitive advantage e. niche competitive advantage

e. niche competitive advantage

A company that sets its goals and strategies based on what its current equipment can produce, what products engineering can design, and what the company itself can do best, has a(n) _____ orientation. a. marketplace b. sales c. market d. exchange e. production

e. production

A firm that adopts a(n) _____ orientation to marketing will fail to consider whether what the firm produces most efficiently also meets the needs of the marketplace. a. customer b. exchange c. product d. market e. production

e. production

Refer to DeFeet International. What is DeFeet's most likely target market strategy? a. Appeal to the entire market b. Concentrate on one segment of the market c. Appeal to multiple segments d. Appeal to athletes e. Appeal to the world

Appeal to multiple segments

Frequent-flyer programs are an example of financial incentives to customers in exchange for their continuing patronage. After flying a certain number of miles or flying a specified number of times, the frequent-flyer program participant earns a free flight or some other award such as free lodging. Airlines that use frequent-flyer programs are practicing: a. commitment selling b. transaction marketing c. transformational marketing d. marketing engineering e. relationship marketing

e. relationship marketing

An organization with a(n) _____ believes that it exists not only to satisfy customer wants and needs and to meet organizational objectives but also to preserve or enhance individuals' and society's long-term best interests. a. sales orientation b. market orientation c. ethical business mission d. focused target market strategy e. societal marketing orientation

e. societal marketing orientation

Subgroups of a single business or collection of related businesses within a larger organization are referred to as: a. strategic marketing organizations b. strategic subgroups c. market segments d. business segments e. strategic business units

e. strategic business units

What is the fundamental objective of most businesses? a. employee empowerment, teamwork, and relationship marketing b. satisfied stakeholders c. low costs and high quality d. customer loyalty and retention e. survival, profits, and growth

e. survival, profits, and growth

The fact that Russia's inflation rate has increased 15.1% since May 2007 would be an important _____ factor for a company that wanted to do business in Russia. a. legal b. economic c. culture d. technological e. natural

economic

The screening and concept testing stage of the new-product development process is used to: a. eliminate undesirable ideas and predict consumer acceptance b. refine the promotion campaign to be used with the new product c. determine the potential profits to be gained from the new product d. determine how long the test market should be run e. generate new-product ideas

eliminate undesirable ideas and predict consumer acceptance

Which of the following statements does NOT describe the business market? a. Business buying decisions are usually made independently by a purchasing agent, while consumer buying decisions are made jointly. b. Business customers tend to be more geographically concentrated, and customers in consumer markets tend to be more geographically dispersed. c. The channel of distribution is more often direct for business markets than for consumer markets. d. Purchasing by businesses is a more formal process than it is in consumer markets. e. Business marketers tend to have far fewer customers than consumer marketers.

Business buying decisions are usually made independently by a purchasing agent, while consumer buying decisions are made jointly.

Which of the following entails placing two or more brand names on a product or its package? a. Family branding b. Private branding c. Dual-code branding d. Co-branding e. Complementary branding

Co-branding

A European dairy that is famous for its rich ice creams has introduced basil-, tomato-, fennel-, and oregano-flavored ice creams. Which of the following product characteristics would most likely influence the market success of these new flavors? a. Compatibility b. Comparability c. Complexity d. Tangibility e. Competitive advantage

Compatibility

Which product characteristic affecting the rate of adoption represents the degree to which the new product is consistent with existing values and product knowledge, past experiences, and current needs? a. Complexity b. Compatibility c. Relative advantage d. Observability e. Trialability

Compatibility

Butterball, a well-known brand of turkey, advertised Ocean Spray cranberry sauce in its magazine ads and depicted suggested usage with its turkey. This is an example of which type of co-branding? a. Ingredient b. Complementary c. Family d. Captive e. Product use

Complementary

Oakley, the manufacturer of protective eyewear for sports enthusiasts, has recently introduced Oakley's Thump, UV sunglasses that allow the wearer to store and listen to 120 different songs. Which of the following product characteristics would likely exert the greatest influence on the market success of these new glasses? a. Compatibility b. Comparability c. Complexity d. Tangibility e. Competitive advantage

Complexity

Refer to Baseball Dirt. What type of business product would Partac Peat's dirt be since it is used in the making of baseball fields? a. Equipment b. Accessory equipment c. Capital item d. Processed materials e. Component parts

Component parts

Which of the following is an interviewing method in which a mall interviewer intercepts and directs willing respondents to nearby computers where each respondent reads questions off a computer screen and directly keys his or her answers into a computer? a. Central-location interviewing b. Computer-assisted personal interviewing c. Computer-assisted self-interviewing d. Primary interviewing e. secondary interviewing

Computer-assisted self-interviewing

E&V Bridal Studios, a wedding consulting business, only works with Eastern Asian customers who want to use their cultural heritage in their wedding ceremonies. What type of segmentation strategy does the wedding consultant use? a. Market aggregation b. Undifferentiated targeting c. Multisegment marketing d. Concentrated targeting e. Limited demand

Concentrated targeting

Alex purchased a battery-operated drill, and the first time he used the drill, the battery pack overheated and exploded. After Alex's trip to the emergency room, it was determined that the explosion was due to a problem with how the drill was manufactured. Alex would like to lodge a complaint about the poor quality of the drill's construction. To which federal agency should he complain? a. Labor Department b. Food and Drug Administration c. Federal Trade Commission d. Department of Trade e. Consumer Product Safety Commission

Consumer Product Safety Commission

You have started raising your first litter of AKC-registered Chihuahuas. You want to sell your puppies to Pets and People, the locally owned and operated pet store. How do you find the buyer? a. Look at the formal organization chart of the company. b. Get a copy of Pets and People's phone directory, where all buying center members are listed. c. Contact the store and probe to see who is in charge of buying. d. Locate the decider at Pets and People. e. Wait for Pets and People to call you when they hear about your new breeding program.

Contact the store and probe to see who is in charge of buying.

_____ provides the mechanisms for evaluating marketing results in light of the plan's objectives and for correcting actions that do not help the organization reach those objectives within the budget guidelines. a. Control b. Implementation c. Reengineering d. Planning e. Budgeting

Control

_____ products are purchased with little shopping effort. These products typically are purchased regularly, usually with little planning, and require wide distribution. a. Convenience b. Specialty c. Branded shopping d. Unbranded shopping e. Generic

Convenience

Refer to Nestlé. Some of Nestlé's products include bottled water, candy, and coffee, which would be classified as what type of consumer products? a. Heterogeneous shopping products b. Homogeneous shopping products c. Convenience products d. Specialty products e. Unsought products

Convenience products

_____ is the set of values, norms, attitudes, and other meaningful symbols that shape human behavior and is transmitted from one generation to the next. a. Socialization b. Customerization c. Consumerism d. Lifestyle e. Culture

Culture

Jan's twin sister Joan is a fantastic cook who makes wonderful homemade meals for her family. Jan cannot cook and wishes she could do the same. An ad for Stove Top stuffing promises "one box, three meal ideas, 30 minutes." Jan makes a point of adding this item to her grocery list. According to Maslow's hierarchy of needs, this ad appeals to Jan's _____ needs. a. physiological b. interactive c. esteem d. safety e. self-actualization

esteem

Which of the following is becoming increasingly more important in business marketing strategies? a. Customer service b. Price collusion c. Ethnocentrism d. The divider effect e. Competitive advertising

Customer service

Lands' End, a catalog retailer, offers a written satisfaction guarantee on all merchandise it sells. In other words, Lands' End gives its customers a(n) _____ warranty. a. implied b. descriptive c. limited d. full e. express

express

The label on Darwin's new blazer that reads "Will Not Shrink" is an example of a(n) _____ warranty. a. descriptive b. limited c. implied d. express e. superfluous

express

Refer to Dog Spa. Tumlin is developing a strategic marketing plan to cover the first five years of the salon's business. She must be sure to consider which of the following uncontrollable factors in her plan? a. Place or distribution factors b. Media buying factors c. Demographic factors d. Dining area layout factors e. Pricing for services

Demographic factors

Which method of entering the global marketplace would be most risky? a. Licensing b. Direct investment c. Contract manufacturing d. Joint ventures e. Exporting

Direct investment

The rules, regulations, and habits used for brick-and-mortar stores tend to restrain and limit the success of those retailers engaged in e-commerce.

Alanna is looking into purchasing a scooter as gas prices continue to rise. She needs a reasonably priced, comfortable, and safe scooter with room to store her books. She is not familiar with scooters, and this is a major purchase for her. The purchase will probably involve: a. low-involvement problem solving b. low-involvement decision making c. extensive decision making d. limited decision making e. dedicated cognitive behavior

extensive decision making

When a consumer is purchasing an unfamiliar, expensive product or an infrequently bought item, he or she is practicing: a. extensive decision making b. cognitive harmonizing c. limited problem solving d. strategic behavior e. stimulus discrimination

extensive decision making

Rod saw a television commercial for a Honda S2000 and wants to test-drive one. The commercial is an example of a(n) _____ stimulus. a. internal b. external c. primary d. secondary e. nonpersonal

external

As a result of hearing the adventures of returning soldiers, Monroe decided to enlist in the U.S. Army. These stories he heard from the soldiers acted as: a. affective states b. external stimuli c. internal stimuli d. purchase outcomes e. a dissonance creator

external stimuli

When the Boston Symphony Orchestra wanted to determine how to make classical music appeal to younger concertgoers, it hired AMN to conduct a survey. AMN is most likely an example of a: a. decision support company b. data-mining company c. field service firm d. knowledge portal e. marketing research diagnostics firm

field service firm

_____ is the process of gauging the extent to which marketing objectives have been achieved during the specified time period. a. Implementation b. Control c. Heuristic measurement d. Evaluation e. Mechanistic compliance

Evaluation

Currency markets operate under a system in which the prices of different currencies move up or down based on the demand for and supply of each currency. This practice is called: a. countertrading b. floating exchange rates c. variable purchasing power d. flexible monetary policies e. purchasing power elasticity

floating exchange rates

A regional airport manager conducted research to get a better understanding for the types of concessionaires to include in the planned terminal remodeling. She conducted two sets of group interviews, one with ten leisure flyers and another with ten business flyers. In each group, participants discussed what types of food, retail, and other services they wanted in the new terminal. These discussions are examples of: a. extended interviews b. focus groups c. observation d. ethnographic research e. secondary research

focus groups

Health providers have voiced concerns about the use of pesticides and the negative effects they possibly have on our health. A large insurance company is willing to sponsor a meeting of the nation's largest organic growers, pesticide producers, and retailers of organic foods if there is an interest in a cooperative effort to improve customers' perception of eating healthy. What type of survey technique would be most appropriate for determining if there is any real interest in such a meeting? a. Cyber focus groups b. Executive interviews c. Mall intercept interviews d. CLT interviews e. In-home interviews

Executive interviews

Which of the following is a type of survey that involves interviewing businesspeople at their offices concerning individual products or services? a. Place-based interviews b. CLT interviews c. Business panel surveys d. Executive interviews e. Professional interviews

Executive interviews

Which method of entering the global marketplace would be LEAST risky? a. Exporting b. Licensing c. Contract manufacturing d. Joint ventures e. Direct investment

Exporting

A product's position refers to where it is located on store shelves.

Even though it is not actively involved in global marketing, Hennessey Enterprises, a U.S.-based business, agreed to sell two thousand of its stress-reducing products to a distribution company in Norway. This would be an example of direct investment.

Fisher-Price developed a line of toys for infants in China. Babies make up the market for these products.

Fisher-Price employees were engaged in experimental research when they observed, from behind a mirror, children playing with soap bubbles and decided to build a toy lawn mover that spewed soap bubbles.

For a firm that adheres to the product concept, the logical place to start generating new-product ideas is with the customers of the firm.

Increasing share of customer means getting more customers.

Selective exposure occurs when consumers change information that conflicts with their feelings or beliefs.

Seven employees from a company are trying to come up with ideas for new-product development. The employees are all in a room together, shouting out potential ideas. The ideas are written down and evaluated as they are generated. This is an example of brainstorming.

Strategic planning is most effective when managers view it as an annual exercise.

T/F A firm's mission statement should answer the question, "What products do we produce best?"

T/F Customer value is the relationship between company profits and company costs.

The nutrition label on a package is an example of persuasive labeling.

The portfolio matrix is a tool for allocating resources among products or strategic business units on the basis of relative market share and degree of innovation.

The practice of choosing goods and services that meet one's diverse needs and interests rather than conforming to a single, traditional lifestyle is known as aggregate lifestyles.

The product life cycle concept encourages marketing managers to act reactively.

The quality of secondary data should never be questioned.

The reseller market is the same as the retailer market.

The two techniques considered most useful for generating new-product ideas are customer-generation and competitive imitation

The _____ is an agency that prevents the use of unfair methods of competition in commerce. a. Federal Communications Commission b. Commerce Department c. Commission for Fair Trade d. Federal Trade Commission e. Sherman Antitrust Agency

Federal Trade Commission

What is the last step of the marketing research process? a. Specify sampling procedures. b. Bill the client. c. Analyze data. d. Follow up. e. Prepare and present the report.

Follow up.

The _____ is the federal government agency charged with enforcing regulations against selling and distributing adulterated, misbranded, or hazardous food and drug products of a specific type. a. Federal Trade Commission b. Consumer Product Protection Commission c. U.S. Justice Department d. Food and Drug Administration e. American Safety League

Food and Drug Administration

Which type of product modification changes a product's versatility, effectiveness, convenience, or safety? a. Quality b. Planned c. Functional d. Style e. Use

Functional

Refer to Baseball Dirt. Roger Bossard, the White Sox head groundskeeper, most likely did NOT assume which of the following buying center roles since he has the authority to buy whatever is needed to make the baseball field the best playing surface possible? a. Gatekeeper b. Decider c. Evaluator d. Influencer e. Initiator

Gatekeeper

_____ want to know how things work, have been encouraged to share their opinions, and care about the environment. a. Gen Xers b. Members of the cohort generation c. Baby boomers d. Gen Yers e. Members of the baby bridging generation

Gen Yers

H&M plans to open a new store in Saudi Arabia. It will be staffed completely by women. Saudi Arabia has strict laws about women interacting with men other than their husbands, so only women will be permitted to shop there. Which type of demographic segmentation is H&M using? a. Lifestyle b. Usage rate c. Benefit d. Age e. Gender

Gender

At what stage of the new-product development process are most new-product ideas rejected? a. Test marketing b. Diffusion c. Business analysis d. Idea screening e. Idea generation

Idea screening

Top managers at a commercial real estate firm that specializes in site location and installation of cell phone towers considered providing the same service for windmill location and installation but decided this was not within the company's corporate mission. Which stage of the new-product development process was reached? a. Development b. Idea generation c. Idea screening d. Business analysis e. Customer testing

Idea screening

Which of the following stages of the new-product development process is the first filter, which serves to eliminate new-product ideas that are inconsistent with the organization's new-product strategy or are obviously inappropriate for some other reason? a. Applied diffusion b. Introductory diffusion c. Business analysis d. Test marketing e. Idea screening

Idea screening

The marketing manager of Gevalia gourmet coffees wants to target the gay male consumer because he thinks this segment of consumers appreciates and consumes gourmet coffee. Even though gay lifestyles are becoming more accepted socially, the manager is finding it difficult to determine the market potential for this segment because many gay consumers are not willing to admit their lifestyle publicly. Which criterion of a useful segment does this illustrate? a. Substantiality b. Identifiability and measurability c. Complexity d. Responsiveness e. Validity

Identifiability and measurability

Refer to New Car Purchase. Zena's visits to the dealers and looking at ratings in magazines best represent which step of the consumer decision-making process? a. Need recognition b. Information search c. Evaluation of alternatives d. Stimulus e. Postpurchase behavior

Information search

Refer to Nestlé. One new product Nestlé intends to introduce includes fiber added to chocolate. The packages will include the fact that each chocolate bar contains 5 grams of fiber and the various health benefits of including more fiber in one's diet. Which form of labeling will this perform? a. Persuasive b. Informational c. Regulatory d. Competitive e. Perceptive

Informational

1. _____ is the marketing of goods and services to individuals and organizations for purposes other than personal consumption. a. Secondary marketing b. Interactive marketing c. Business marketing d. High-level marketing e. Industrial marketing

Interactive marketing

A researcher wants to determine what percentage of the population in the southeastern United States would use a mass transit system if it were well maintained. He gets telephone books from every city with over 200,000 people in those states and selects the fifteenth name in the middle column on every hundredth page as his sample. He has made a _____ error. a. targeting b. random c. nonprobability d. frame e. reliability

frame

While looking at the DVDs at Wal-Mart, Tee tried to remember the name of the action movie starring Harrison Ford as an archeologist so he could buy the DVD. Which step of the consumer decision-making process is this? a. Antecedent search b. Need recognition c. External information search d. Alternative evaluation e. Internal information search

Internal information search

Refer to University Research Study. Because the students must finish the research project within a semester and do not have much money to conduct the research, which of the following would be the best quickest and least expensive method of collecting survey data? a. In-home personal interviews b. Mail surveys c. Internet surveys d. Marketing research aggregators e. Mall intercept interviews

Internet surveys

The types of products people purchase using routine response behavior are typically: a. frequently purchased, low-cost items b. frequently purchased, high-cost items c. infrequently purchased, low-cost items d. infrequently purchased, high-cost items e. all types of items, regardless of price or frequency of purchase

frequently purchased, low-cost items

InBev bought Anheuser-Busch. How will this purchase affect InBev's marketing mix? a. It will only affect the product element of InBev's marketing mix. b. It will only affect InBev's four Ps--not its marketing mix. c. It will affect all of InBev's marketing mix elements, either directly or indirectly. d. It will not affect the promotion or distribution elements of the InBev marketing mix. e. It will have no affect on InBev's marketing mix.

It will affect all of InBev's marketing mix elements, either directly or indirectly.

When Proctor & Gamble removed potentially dangerous dyes and chemicals from its Tide detergent product and introduced Tide Free, the company was making a: a. product line contraction b. quality modification c. aesthetics modification d. obsolescence factor e. functional modification

functional modification

Which is the last adopter category to adopt an innovation? a. Late majority b. Laggards c. Late diffusers d. Reluctant adopters e. Traditionalists

Laggards

Which of the following is an important cultural factor that should be considered by global marketers? a. Competitive synergy b. Language c. Natural resources d. Technology sensitivity e. Level of economic development

Language

The _____ adopt a product because most of their friends have already done so, and their adoption is usually the result of pressure to conform because they rely on group norms. a. laggards b. early adopters c. early majority d. innovators e. late majority

Late majority

Another name for business supplies like pens, paper, and file folders is: a. processing goods b. components c. OEM parts d. MRO items e. accessories

MRO items

_____ are trade alliances in which several countries agree to work together to form a common trade area that enhances trade opportunities among those countries. a. Boycotts b. Regional unifications c. Market groupings d. Free trade nations e. Expropriation members

Market groupings

Which of the following is a type of strategic alternative that tries to increase market share among existing customers? a. Vertical integration b. Product penetration c. Divestment d. Horizontal integration e. Market penetration

Market penetration

_____ is the process of dividing a market into meaningful groups that are relatively similar and identifiable. a. Perceptual mapping b. Positioning c. Micromarketing d. Market sampling e. Market segmentation

Market segmentation

Which step in the consumer decision-making process is a result of an imbalance between actual and desired states? a. Evaluation of alternatives b. Want recognition c. Purchase d. Need recognition e. Postpurchase behavior

Need recognition

_____ is commonplace in business marketing and can sometimes occur over several months. a. Negotiation b. Need mediation c. Customerization d. Purchase arbitration e. Disintermediation

Negotiation

A university is considering the purchase of a Web-based course delivery system due to increased demand for online courses and degrees. Since the school has not offered online courses before, what type of buying situation does this represent for the school? a. Value engineering task b. Modified rebuy c. Straight rebuy d. New buy e. Derived rebuy

New buy

Refer to Baseball Dirt. The first time Roger Bossard purchased Partac Peat's secret mix, it was most likely an example of which type of buying situation? a. Modified rebuy b. New buy c. Habitual buying decision d. Buying heuristics e. Straight rebuy

New buy

Which of the following represents the way an individual actually perceives himself or herself? a. Personal image b. Ideal self-image c. Real self-image d. Lifestyle image e. Defined self-image

Real self-image

Shabby Chic fashion boutique has responded to economic trends by placing an emphasis on improving the quality of merchandise it offers, improving customer service, and reducing its cost of goods sold because consumers are not shopping as much as they used to due to lower purchasing power. Shabby Chic is apparently dealing with which level of economic activity? a. Stagflation b. Recession c. Inflation d. Stagnation e. Distension

Recession

_____ occurs when a deli decides to buy its office supplies from a company that regularly buys sandwiches for its employees. a. Reciprocity b. Joint demand c. Elastic demand d. Derived demand e. Bidding conformity

Reciprocity

What is the chief advantage of primary data? a. Low cost compared to secondary data b. Relevance to the problem at hand c. Availability to any interested party for use d. Accessibility through computerized databases e. Avoiding interviewer biases

Relevance to the problem at hand

_____ is characterized by low involvement, a short time frame, an internal-only information search, and low costs. a. Limited decision making b. Routine response behavior c. Emotional buying d. Intensive decision making e. Temporally-limited behavior

Routine response behavior

Dennis Haysbert stars in Allstate ads reminding consumers that they could be in a car crash or another event requiring insurance. Hence the slogan "You're in Good Hands with Allstate." These ads focus on which of Maslow's needs?: a. Esteem needs b. Economic needs c. Safety needs d. Physiological needs e. Social needs

Safety needs

Kleenex is a well-known brand name of facial tissue. People often refer to Kleenex as if it were the product name. The company that makes Kleenex may someday find its brand name becoming a(n): a. equity brand b. certified name c. trademark d. faux brand e. generic product name

generic product name

Kraft Foods plans to tailor different ads for different neighborhoods in the same region. For example, viewers watching a cable show in a Hispanic neighborhood in Chicago would see different ads during the same commercial breaks as non-Hispanics living in a different neighborhood. Kraft's strategy best exemplifies _____ segmentation. a. sociocultural b. lifestyle c. cluster benefit d. geodemographic e. systematic geographic

geodemographic

_____ occurs when a sample somehow does not represent the target population. a. Sampling error b. Measurement error c. Cross-tabulation d. Diagnostic error e. Single-source research

Sampling error

_____ products are searched for extensively, and substitutes are not acceptable. These products may be quite expensive, and often distribution is limited. a. Exclusive shopping b. Homogeneous convenience c. Branded shopping d. Specialty e. Heterogeneous convenience

Specialty

Defeet International creates its apparel in North Carolina and sells it domestically and abroad. The company is in which stage of global business? a. Stage one b. Stage two c. Stage three d. Stage four e. Stage five

Stage one

Cooley Manufacturing is a multinational company selling plumbing components around the world. This company has progressed to the point that it operates an entire of line of business in several other countries. Which stage of multinational business does this represent? a. Stage one b. Stage two c. Stage three d. Stage four e. Stage five

Stage three

In which stage do multicultural companies operate when they set up foreign subsidiaries to handle sales in one country? a. Stage one b. Stage two c. Stage three d. Stage four e. Stage five

Stage two

Which of the following categories in the portfolio matrix is a market leader and growing fast? a. Star b. Meteor c. Cash cow d. Shiner e. Top dog

Star

_____ is the learned ability to differentiate between similar objects such as packages of different brands of aspirin. a. Incentive discrimination b. Stimulus generalization c. Selective perception d. Selective generalization e. Stimulus discrimination

Stimulus discrimination

Kent Longino is the marketing VP for Andersen, one of the largest manufacturers of windows in the world. He is directing the introduction of a glass-encased sunroom that can be assembled in a weekend. He wants to capitalize on Andersen's existing reputation. Which learning method should he attempt to stimulate when introducing the new product? a. Conceptual learning b. Experiential learning c. Repetition learning d. Stimulus generalization e. Stimulus discrimination

Stimulus generalization

_____ is a form of learning that occurs when one response is extended to a second stimulus similar to the first. a. Belief generalization b. Belief discrimination c. Stimulus generalization d. Stimulus discrimination e. Attitude formation

Stimulus generalization

_____ is the managerial process of creating and maintaining a fit between the organization's objectives and resources and the evolving market opportunities. a. Tactical management b. The market audit c. Functional planning d. Environmental scanning e. Strategic planning

Strategic planning

Consumers in Louisiana love hot sauce, and Tabasco and Crystal brands are particularly popular there. Consumers in Michigan do not like hot food, so they purchase very little hot sauce. A national chain of grocery stores would likely use _____ segmentation when stocking condiment merchandise. a. geographic b. economic c. demographic d. benefit e. geodemographic

geographic

The Coca-Cola Company has over 450 brands in over 195 countries. According to their Web site, their products range from Samurai, an energy drink available in Asia to Vita, an African juice drink. It uses _____ segmentation in this marketing strategy. a. geographic b. economic c. demographic d. usage-rate e. multipositioning

geographic

Which type of product modification is an aesthetic product change? a. Functional b. Quality c. Repositioning d. Style e. Planned

Style

_____ are consumable, inexpensive, and often standardized items that do not become part of the final product. a. Processed materials b. Supplies c. Provisions d. Accessory equipment e. Replacement parts

Supplies

Which of the following products has the lowest level of trialability? a. An Internet chat room b. Low-fat ice cream c. Surgically implanted hearing aids d. Organic pet food e. A new air freshener

Surgically implanted hearing aids

A diversification strategy entails increasing sales by introducing new products into new markets.

A firm's new-product strategy links the new-product development process with the objectives of the marketing departments, the business unit, and the corporation.

A marketing audit helps management allocate marketing resources efficiently.

A marketing decision support system is an interactive, flexible, computerized information system that bypasses information-processing specialists and gives managers access to useful information from their own desks.

All sales have an implied warranty under the Uniform Commercial Code.

Niche marketing is a form of concentrated targeting.

The Internet offers a fast, cost-effective way to conduct test marketing

When a florist shop begins to sell burial caskets to its customers, it is engaged in product development.

With respect to stage in the family life cycle, research has found that the overriding factor in describing baby boomer subsegments is the presence of children in the house.

Which of the following statements about the European Union (EU) is true? a. The EU creates a single Europroduct for a generic Euroconsumer. b. The EU removes all internal trade barriers and standardizes regulations in European countries for easier trade. c. The EU can correctly be called the "United States of Europe" because all European voters have agreed to these changes. d. The existence of the EU eliminates protectionist movements by United Europe against the Japanese and the United States. e. The EU is the largest economy in the world.

The EU is the largest economy in the world.

What would a U.S. company that manufactures the lighted signs used in amusement parks, at outdoor sports arenas, for restaurant promotion, and by state departments of transportation on the sides of roads use to facilitate its market segmentation and targeting if it wanted data that were readily available and usable? a. A large amount of marketing research, including scanner data and focus groups b. Other competing firms as a strategic alliance referral service c. Government bidding processes d. The North American Industry Classification System e. Derived demand

The North American Industry Classification System

The Victorinox Swiss Army Knife is found all over the world. It is manufactured and marketed similarly to all consumers. Victorinox uses a(n): a. ethnocentric strategy b. global marketing standardization approach c. synergistic approach to globalization d. cultural marketing strategy e. traditional approach to marketing

global marketing standardization approach

With a _____, a firm produces standardized products to be sold the same way all over the world. a. traditional marketing strategy b. global marketing standardization approach c. product extension approach d. culturally based marketing strategy e. synergistic approach to marketing

global marketing standardization approach

All of the following are functions served by objectives EXCEPT: a. communicating philosophies and provide direction b. motivating employees c. clarifying executives' thinking d. forming the basis for control e. guaranteeing market performance

guaranteeing market performance

All of the following are functions of packaging EXCEPT: a. containing and protecting the product b. guaranteeing product quality c. facilitating recycling and reducing environmental damage d. promoting the product e. facilitating product storage, use, and convenience

guaranteeing product quality

When a university began thinking about offering more online degrees, it used primary data to get potential students' attitudes and intentions. What is the most likely reason for using primary data? a. This information was already freely available to all interested parties. b. The value of the research is unrelated to sample size. c. The information can be collected quickly and at low cost. d. The information will fit the university's needs exactly since it will be collected specifically for this study. e. It will benchmark consumers' interest in grading equipment.

The information will fit the university's needs exactly since it will be collected specifically for this study.

After the research team at Nabisco had generated more than two dozen new-product ideas for a substitute for partially hydrogenated oils that tastes the same but has zero trans fat, the company formed a committee to analyze whether the product ideas were consistent with the organization's new-product strategy. This is called: a. business analysis b. diffusion c. idea screening d. test marketing e. idea generation

idea screening

The first step in the marketing research process is to: a. specify the sampling plan b. collect the data c. analyze the marketplace d. plan the research design e. identify and formulate the problem/opportunity to be studied

identify and formulate the problem/opportunity to be studied

After listening to a group of middle-aged women discuss their biggest concerns about the jeans they wore, a company designed a new line of comfortable women's jeans and touted them as "not your daughter's jeans." This is an example of research conducted to: a. improve the quality of their decision making b. find out why a marketing plan failed c. learn how to more efficiently retain customers d. understand the ever-changing marketplace e. do all of these

improve the quality of their decision making

At the beginning of the maturity stage of the product life cycle, sales typically: a. become flat and do not change b. increase at an increasing rate c. decrease at a decreasing rate d. decrease at an increasing rate e. increase at a decreasing rate

increase at a decreasing rate

The growth of dual-income families has resulted in: a. burnout b. a sense of entitlement c. decreased discretionary income d. decreased GNP e. increased purchasing power

increased purchasing power

If an advertiser wanted to create ads for a restaurant that stimulate the self-actualization motivation, it would create ads that: a. emphasize hunger b. emphasize that only those people who want to tell others they have risen to the top of their profession use the restaurant c. inform consumers about the cleanliness of the food preparation areas and procedures d. show people enjoying others' company while eating in the restaurant e. indicate eating in the restaurant is what "you have earned and deserve"

indicate eating in the restaurant is what "you have earned and deserve"

Heinz is a leading global food manufacturer. It manufactures and markets Farleys (baby food), Jack Daniel's sauces, and Weight Watcher's diet/slimming meals and supplements. The use of these brand names instead of the Heinz name is an example of a(n) _____ branding strategy. a. individual b. synergistic c. umbrella d. family e. piggyback

individual

When a company uses different brand names for different products, it is using _____ branding. a. private b. generic c. compound d. family e. individual

individual

Which of the following businesses would be most likely to use family life cycle segmentation? a. Those that produce and market computer software and hardware b. The snack industry c. Fast-food restaurants d. Business-to-business marketers e. Wedding planners, couples-only resorts, and day care centers

Wedding planners, couples-only resorts, and day care centers

Which of the following describes cooperative branding? a. When advertising identifies a brand as a part that makes up another product b. When two brands receive equal treatment, borrowing from each other's brand equity c. When products are advertised together to suggest usage together d. When advertising identifies a brand that should not be used with another product e. When advertising identifies a family of brands

When two brands receive equal treatment, borrowing from each other's brand equity

Which of the following represents the largest group of consumers in the United States? a. Tweens b. Gen Y c. Gen X d. Baby boomers e. Boomerangs

b. Gen Y

The _____ orientation assumes people will buy more if aggressive selling techniques are used. a. market b. sales c. customer d. production e. exchange

b. sales

Extending a well-known and respected brand name from one product category to another product category is referred to as: a. brand stretching b. brand extensions c. brand bouncing d. brand transfer e. brand building

brand extensions

A consumer who consistently and repeatedly purchases the same brand is said to have: a. brand loyalty b. product equity c. product loyalty d. product repetition e. store loyalty

brand loyalty

The _____ is the element of a brand that cannot be spoken. a. brand mark b. trademark c. brand equity d. quality mark e. intangible product

brand mark

A _____ is the part of the brand that can be spoken. a. brand equity b. service mark c. trademark d. brand name e. certification mark

brand name

Refer to Etruscan Railing Company. Etruscan Railing sells: a. consumer products b. business products c. supplies d. consumer and business products e. major equipment

business products

_____ is the creation of a large computerized file of customers' and potential customers' profiles and purchase patterns. a. Electronic targeting b. Sampling procedure specification c. Database marketing d. Competitive data mining e. Consumer behavior marketing

c. Database marketing

Which marketing management philosophy focuses on the question, "How can we sell more aggressively?" a. Production b. Marketing c. Sales d. External e. Internal

c. Sales

Arizona Tea is marketed by Vultaggio & Sons. Vultaggio & Sons took a basic drink and put it into unusual bottles with elaborate designs. The wide-mouthed, long-necked bottles are now considered to be trendsetters in the new age beverage industry, and customers often buy the tea just for the bottle. The success of Arizona Tea is based on: a. supply-demand curves b. reengineering c. a product differentiation competitive advantage d. a cost competitive advantage e. a heterogeneous marketing strategy

c. a product differentiation competitive advantage

Refer to Callaway Golf Co. Callaway used its contacts at golf courses around the country to find the 40 women for its study. The 40 women would most likely be called a _____ sample. a. systematic b. convenience c. cluster d. stratified e. random

convenience

All of the following are considered types of business products EXCEPT: a. raw materials b. convenience goods c. major equipment d. accessory equipment e. component parts

convenience goods

Physicians need to be aware of how _____ influences consumer behavior. For example, with Chinese patients, the doctor should remember the Chinese believe that foods can assist in healing disease, so he or she would need to inquire about food choices and preferences. When dealing with Muslim patients, a doctor may need to share a small bit of personal information about himself or herself to gain the patient's trust. When dealing with a Russian patient, bad news is given to accompanying friends and relatives, not the patient. a. culture b. perception c. motivation d. family life cycle stage e. reference group membership

culture

Due to rapidly rising overhead costs and increases in raw material prices, Framarx Corporation was forced to raise the price of its waxed and coated paper by 35 percent. (The paper is used between frozen hamburger patties to keep the patties from freezing together.) Framarx is the leading manufacturer in this industry, and its competitors will follow suit. While the sales force for Framarx believes the price increase will result in a drop in sales, its marketing manager disagrees because the demand for the waxed and coated paper is more than likely: a. resistant b. inelastic c. derived d. elastic e. bundled

inelastic

Mia's new raincoat contains a label that reads "Professional Dry Clean Only." This is an example of a(n) _____ label. a. data b. union mandated c. persuasive d. informational e. functional

informational

Rosa's husband Phil has a cold. Rosa went to the store to buy something that would help Phil sleep. Rosa purchased Breathe Right nasal strips embedded with Vicks mentholated vapor rub. The package showed both the Breathe Right and the Vicks brand names. This is an example of _____ branding. a. equity b. ingredient c. family d. private e. functional

ingredient

Refer to Etruscan Railing Company. When Etruscan sells railings to refurbish a private university's football stadium, it is selling to a(n): a. intermediary b. institution c. reseller d. producer e. consumer

institution

The stages of the product life cycle, in order, are: a. introduction, maturity, decline b. introduction, growth, maturity, decline c. growth, maturity, plateau, decline d. innovation, early adoption, late adoption, laggard e. category acceptance, category growth, brand acceptance, brand growth

introduction, growth, maturity, decline

Harold works as a new business manager for a manufacturer of marine lubricants. He often talks to several different people before he locates someone who can give him a purchase order or a refusal. In terms of the buying center, he has the most trouble identifying the _____ for his services. a. decider b. influencer c. purchaser d. gatekeeper e. user

decider

When Eurasia restaurant, serving Eurasian cuisine, first opened along Chicago's Michigan Avenue, its novelty brought many diners. However, it turned off the important business lunch crowd, and sales went into decline. Before conducting any marketing research to explain the declining sales, management needs to: a. determine who will be most likely to respond to a survey b. select a market sample from everyone in the population c. define the problem to be researched d. develop a survey to find out exactly what's wrong e. enumerate the decision factors

define the problem to be researched

ACT for kids, an anticavity fluoride rinse, comes in BubbleGum BlowOut flavor. The age-based variable that distinguishes the market for this product is an example of a _____ segmentation. a. geographic b. demographic c. psychographic d. benefits e. usage rate

demographic

Coca-Cola launched a new Black History television commercial on BET to coincide with the Martin Luther King Jr. holiday. The ad is just one element of a strategy for connecting with African American consumers. Coca-Cola's segmentation plan for this promotional campaign is based on _____ segmentation. a. demographic b. sociocultural attributes c. psychographic d. usage rate e. geodemographic

demographic

Quaker Oats and other cereal manufacturers have developed what they call "breakfast-with-one-hand" products—no-mess breakfast bars and drinks that can be consumed while commuting. The popularity of on-the-go food is largely the result of changes in _____ factors. a. natural environmental b. demographic c. technological d. social e. political

demographic

Refer to Dog Spa. Describing the market for Tumlin's grooming salon in terms of age and marital status reflects the use of _____ characteristics. a. psychographic b. demographic c. anthropological d. geographic e. sociological

demographic

Refer to Baseball Dirt. Some of the dirt sold by Partac Peat is used to make clay tennis court surfaces. As the number of people playing tennis increases, so does the demand for new clay courts and, therefore, the demand for Partac Peat's dirt. This occurs because the demand for the dirt is: a. inelastic b. intangible c. heterogeneous d. derived e. elastic

derived

Refer to Etruscan Railing Company. Etruscan has experienced a strong increase in railing sales as a result of the growth of college football. This increase in the demand for railings as a result of the demand for new football stadiums is called _____ demand. a. joint b. derived c. inelastic d. fluctuating e. elastic

derived

Refer to Callaway Golf Co. The type of research gathered by the Callaway Golf research team would be called: a. secondary b. developmental c. descriptive d. subjective e. focus group

descriptive

PetSmart, a large chain of pet shops, surveyed consumers and asked, "Do you ever buy holiday gifts for your pets?" Respondents checked "Yes" or "No" to answer this question. This is an example of a(n) _____ survey question. a. scaled-response b. Likert scale c. open-ended d. dichotomous e. multiple choice

dichotomous

The process by which the adoption of 3D HD televisions spreads is an example of: a. test marketing b. diffusion c. product dissemination d. innovative dispersal e. marketing communication

diffusion

For most American consumers, the brand name Benetton brings to mind a retail clothing store that carries many products that bear the Benetton brand. But Edizone Holding, which also owns a chain of restaurants, several toll roads in Italy, and a telecommunications company, holds the Benetton Group. The list of the company's holdings indicates that the company's managers believe in growth through: a. market penetration b. diversification c. product development d. market development e. market integration

diversification

Chaz loves to play a Disney online pirate game in which he gets to create a pirate by choosing hair color, skin color, clothing, and physical features. Then he gets to choose from a variety of quests and can sail a ship, dig for treasure, fight skeleton pirates, or fight the British Navy. This game provides what element of value? a. Offering products that perform b. Earning of trust c. Avoiding unrealistic pricing d. Giving facts e. Co-creation

e. Co-creation

A decline in the availability of bicycle handle bars will decrease Huffy Bicycle Company's production of bicycles. Decreased production in turn reduces Huffy's demand for bicycle seats. This is because the products in this situation have _____ demand. a. inelastic b. joint c. elastic d. congruent e. derived

joint

Apple iTunes has sold over five billion downloads. Without iTunes, the demand for the Apple iPod line of products would be small. Without the musicians, there would be no iTunes. In this situation, a condition of _____ demand exists. a. bundled b. incremental c. functional d. developmental e. joint

joint

Refer to Rock-Tenn. Rock-Tenn makes paper products for companies to use in their product and service offerings. As long as there is a demand for Dunkin' Donuts, there will be demand for their dozen-donut cartons, which will ensure demand for paper to manufacture into cartons. This is an example of _____ demand. a. derived b. inelastic c. joint d. consumer e. upward

joint

Refer to Breathe Right. 3M and CNS entered into a: a. franchise b. licensing agreement c. direct countertrade d. joint venture e. contract manufacturing agreement

joint venture

Refer to Breathe Right. In the United States, one of the standard methods for introducing a new product is couponing, but many countries prohibit the issuing of coupons. This prohibition would represent a(n) _____ element of the global environment. a. cultural b. economic c. legal d. technological e. demographic

legal

Every night, Universal Studios Japan hosts a fireworks display. The theme park recently came under government investigation when allegations were made that the park was detonating more than 50 pounds of explosives in its nightly fireworks displays. In the small nation, the use of explosives is stringently controlled. This is an example of how _____ factors can influence a business. a. competitive b. legal and political c. economic d. technological e. cultural

legal and political

One of the results of the Americans with Disabilities Act is an increase in the numbers of disabled travelers. Publications like Emerging Horizons, a California-based, 25,000-circulation magazine focus on accessible travel, and businesses, such as Mobility Challenged Vacations Ltd., see that disabled tourists are a growing market. One can argue the increase in tourism by the disabled was due to: a. controllable elements within corporate structures b. legal forces that changed the attractiveness of vacation options c. macroeconomic conditions that made U.S. destinations more competitive relative to international spots d. a shift in regulatory controls from the public sector to the private sector e. competitive forces that changed how disabled tourists perceive vacations

legal forces that changed the attractiveness of vacation options

Mitsubishi Heavy Industries and Kawasaki Heavy Industries produce McDonnell Douglas F-15 fighter planes in Japan. The two Japanese companies pay McDonnell Douglas royalties for use of its manufacturing processes and patents. This is an example of: a. contract manufacturing b. exporting c. joint venture d. licensing e. strategic investment

licensing

When Krispy Kreme decided to expand its operation internationally, it chose to first make its doughnuts available in Canada to minimize its risk. In accordance with the policy of risk minimization, the company sold the right to manufacture and sell its doughnuts to Canadians. In other words, Krispy Kreme used: a. contract manufacturing b. direct investment c. importing d. a strategic alliance e. licensing

licensing

The electricity for lighting outdoor billboards is powered by transformers. The operator of a company that installs and manages billboards has purchased many such transformers. Today, he plans to buy a replacement for one that was destroyed by a recent hurricane. Before making this purchase, he will look at cost and also see if he can find one that is more weatherproof. He wants to make sure he buys the best transformer for the job and that he does not pay more money than he should. In other words, he will engage in _____ decision making. a. limited b. extended c. habitual d. classical e. routine

limited

The type of decision making that requires a moderate amount of time for gathering information and deliberating about an unfamiliar brand in a familiar product category is referred to as: a. routine response behavior b. limited decision making c. extensive decision making d. uninvolved decision making e. affective decision making

limited decision making

Refer to Hardie Siding Products. James Hardie now makes multiple types of fiber cement siding products. There are different widths, textures, and profiles. The different types of siding the company makes are called its product: a. line b. mix c. reference point d. item e. standardization

line

ForeverLawn has recently added two new synthetic lawn products. One of the products includes fake brown grass that makes the synthetic lawn look more realistic, as it appears to have some patches of brown thatch. The other product is K9Grass for consumers who have pet dogs. The addition of these two new synthetic grass products is a way for ForeverLawn to increase its: a. line width b. breadth mix c. mix width d. line depth e. mix depth

line depth

A U.S. licensor can try to prevent a licensee from voiding its contract and using what it has learned to create a competitor by: a. using lawyers from both countries to write the licensing agreement b. insisting that all licensees have a published code of ethics c. having the licensee pay a fee for the use of the manufacturing process, trademark, patent, or other proprietary knowledge d. locally registering patents and trademarks to the U.S. firm, not to the licensee e. avoiding the use of any patents and trademarks

locally registering patents and trademarks to the U.S. firm, not to the licensee

Strategic plans require: a. long-term resource commitments b. a change in organizational structure c. the addition of new personnel d. new product development e. changes in prices

long-term resource commitments

Marketing managers often use in-store promotions to stimulate sales of: a. technical products b. high-involvement products c. high-priced products d. industrial products e. low-involvement products

low-involvement products

Low response rate is a problem commonly associated with: a. exit interviews b. executive interviews c. mail surveys d. mall intercept interviews e. in-home interviews

mail surveys

You must conduct research to find out a great deal of information about the motives and desires of potential customers for a home delivery grocery service. You need a sample of at least 300 people who spend at least $100 weekly at the supermarket, and you don't have a lot of money to conduct the research. You should use: a. a marketing experiment b. in-home personal interviews c. focus group interviews d. mail surveys e. observation research

mail surveys

A _____ is a group of people or organizations that has wants and needs that can be satisfied by particular product categories, has the ability to purchase these products, and is willing to exchange resources for the products. a. firm b. buyer c. market d. consumer e. target

market

Kraft Foods created a magazine full of recipes and coupons for customers as well as a Web site with product and recipe information. The goal was to get current customers to purchase more of Kraft's products. These activities are representative of a _____ strategy. a. diversification b. product development c. market development d. market penetration e. product penetration

market penetration

A(n) _____ is a subgroup of individuals or organizations sharing one or more characteristics that cause them to have similar product needs. a. market universe b. market segment c. aggregated market d. segmentation base e. population sample

market segment

Ford Motor Company produces passenger cars, commercial trucks and specialty vehicles, performance vehicles, and race cars. Ford uses a procedure called _____ to divide its large market. a. micromarketing b. positioning c. market segmentation d. cannibalization e. perceptual mapping

market segmentation

While Robinson was looking at the CDs at Walmart, he was trying to remember the name of the group that sang the song he liked on last night's episode of his favorite television show so he could buy it. Since recording companies pay to have their CDs promoted on television, the source of information Robinson is trying to recall is: a. a fortuitously evoked set b. marketing controlled c. nonmarketing controlled d. unitary data e. a credible consideration set

marketing controlled

Everyday information about developments in the marketing environment that managers use to prepare and adjust marketing plans is referred to as: a. competitive intelligence b. marketing information c. decision support information d. marketing research e. observation

marketing information

A _____ is defined as a statement of what is to be accomplished through marketing activities. a. mission statement b. business plan c. marketing objective d. goal-driven directive e. marketing criteria

marketing objective

A written document that acts as a guidebook of marketing activities for the marketing manager is known as the: a. strategy document b. marketing plan c. vision statement d. mission statement e. strategic plan

marketing plan

Earl is starting a new bank. Before the opening day, Earl had a meeting with all employees. He discussed their mission, defined objectives for the bank for the coming years, and shared who their target market is. He talked about their product offerings and where their future branches would be located. Earl is sharing the bank's: a. reengineering b. hierarchical restructuring c. financial analysis d. marketing plan e. strategic contingency planning

marketing plan

A bowling alley operator could use _____ to determine why customers do not seem to like the location of his new bowling alley a. transactional marketing b. public relations c. an EDI system d. market synergy e. marketing research

marketing research

In-home personal interviews: a. offer high-quality data at a high cost b. offer the ability to obtain high-quality data at a low cost c. are becoming increasingly more popular d. are less expensive than mall intercepts e. offer information of moderate quality but at a low cost

offer high-quality data at a high cost

Mirage Resorts in Las Vegas has a system that allows hotel clerks instantaneous access to a client's gambling history to determine what sort of room or complimentary services will provide the guests with the highest level of service. The resort is practicing: a. firewall marketing b. one-to-one marketing c. an application of the 80/20 rule d. transactional marketing e. marketing through technology

one-to-one marketing

Suppose the American Red Cross sent out a questionnaire that included the question "Why are so many people reluctant to donate blood?" This would be an example of a(n): a. dichotomous response b. sampling frame question c. scaled-response question d. closed-ended question e. open-ended question

open-ended question

Refer to Coca-Cola. Ed knows that Michael Jordan (a former basketball all-star) drinks Gatorade, and he thinks he can be more like Jordan if he drinks it. Because Ed very much wants to be like Jordan, he purchases Gatorade in addition to Coke. In this example, Michael Jordan is acting as a(n): a. purchase catalyst b. opinion leader c. consumer advocate d. dissociative reference e. cultural icon

opinion leader

The Green Earth, a landscaping company, finds that the most difficult firms to get business from are the _____, because this group considers numerous and even unfamiliar suppliers, solicits bids, and carefully analyzes options; therefore, it requires a higher levels of customer service. a. actualizers b. strivers c. satisficers d. optimizers e. early adopters

optimizers

Labels that contain standard promotional claims like "new," "improved," and "super" are examples of _____ labels. a. descriptive b. functional c. repositioning d. informational e. persuasive

persuasive

According to Maslow's hierarchy of needs model, the first needs most people would try to satisfy are their _____ needs. a. safety b. physiological c. economic d. esteem e. derived

physiological

A(n) _____ brand is one owned by the wholesaler or retailer. a. intermediate b. private c. generic d. corporate e. primary

private

All the brands that satisfy a particular type of need such as shaving products, laundry detergent, soft drinks, and furniture make up a(n): a. product life cycle stage b. primary group c. adopter category d. product category e. reference group

product category

A new buy situation refers to the: a. setting of new standards for current vendors b. establishment of a new buying center c. resolution of new conflict between buyer and seller d. search for replacement vendors for standard, currently used parts e. purchase of a product or service when a new demand arises

purchase of a product or service when a new demand arises

Jif is the best-selling brand of peanut butter in the country. The manufacturer purchases large quantities of peanuts every year to manufacturer its product. This order size is an example of _____ and would give Jif an advantage over other buyers of peanuts. a. purchase volume b. joint demand c. fluctuating demand d. sales volume e. multiplier effect

purchase volume

All of the following are types of probability samples EXCEPT: a. systematic samples b. quota samples c. cluster samples d. stratified samples e. random samples

quota samples

One brand of tomato sauce advertises that the tomatoes it uses are processed within 24 hours of being picked to ensure product freshness. The fresh tomatoes it buys from growers are examples of: a. OEM parts b. raw materials c. component parts d. processed materials e. supplies

raw materials

Unprocessed extractive or agricultural products, such as copper, peanuts, soybean, bauxite, fruits, ore, and so on, that become part of finished products are examples of: a. supplies b. OEM parts c. component parts d. processed materials e. raw materials

raw materials

Hensley Poultry is a wholesaler that buys poultry food and health products from Provini, Inc., feeding systems from Big Dutchman, Inc., and incubation systems from Copca Corp. Hensley then sells those products to poultry producers and farmers' cooperatives in Iowa. Hensley Poultry could be best classified as a(n): a. producer b. distribution network c. inventory carrier d. specialty retailer e. reseller

reseller

Omega is a prestigious brand of watch that is sold as a luxury product. It has a reputation based on quality and attention to detail. When the company introduces new timepieces, it can count on a well-established market already existing for the new product due to: a. perceptual generalization b. stimulus discrimination c. perceptual discrimination d. selective distortion e. stimulus generalization

stimulus generalization

A professor sent the following memo to his department chair for his authorization: Glen:I need to purchase a camera, Mac computer, and microphone for the selling center lab #2 just like we did for lab #1. This buying situation should be described as a: a. make-or-buy b. value buy c. new buy d. modified rebuy e. straight rebuy

straight rebuy

A routine purchasing situation in which the purchaser is not looking for new information or other suppliers is called a: a. modified rebuy b. value buy c. synergistic buy d. straight rebuy e. make-or-buy

straight rebuy

Refer to Delta Faucet Company. Delta is a _____ of Masco. a. target market b. transactional division c. strategic business unit (SBU) d. share-bearing unit (SBU) e. situational business usage (SBU)

strategic business unit (SBU)

Refer to Novartis. If Novartis goes through with the purchase of Tianyuan, it will become a subgroup of its overall pharmaceutical business and organization. Tianyuan will then be considered a _____ of Novartis. a. stock-keeping unit (SKU) b. portfolio element c. strategic business unit (SBU) d. market segment e. business segment

strategic business unit (SBU)

Heinz has announced that they plan to grow the company through an accelerated push into emerging markets such as China, Indonesia, and India in the next ten years. This is an example of: a. tactical objectifying b. contingency plan c. strategic planning d. marketing implementation e. horizon planning

strategic planning

Refer to Rock-Tenn. Lubricants used to maintain the machinery that produces cartons would be an example of: a. major equipment b. accessory equipment c. raw materials d. supplies e. processed materials

supplies

The most popular method for gathering primary data is _____, in which a researcher interacts with people to obtain facts, opinions, and attitudes. a. heuristic oriented b. survey research c. experiments d. observation research e. single-source research

survey research

An advantage that cannot be copied by the competition is called a(n) _____ competitive advantage. a. sustainable b. monopolistic c. primary d. unique e. dominant

sustainable

Patents on prescription medications give pharmaceutical companies that own the patents a(n) _____ for 17 years until the patent expires. a. targeted market position b. sustainable competitive advantage c. strategic focus d. situational strength e. opportunistic privilege

sustainable competitive advantage

iTunes has a(n) _____, as they have exclusive agreements with some of the most sought after music corporations that other digital music stores do not have. a. targeted market position b. sustainable competitive advantage c. strategic focus d. situational strength e. opportunistic privilege

sustainable competitive advantage

A true marketing decision support system possesses all of the following characteristics EXCEPT: a. flexible b. discovery oriented c. interactive d. accessible e. synergistic

synergistic

A(n) _____ is a group of people or organizations for which an organization designs, implements, and maintains a marketing mix intended to meet the needs of that group, resulting in mutually satisfying exchanges. a. heterogeneous segment b. target market c. responsive segment d. aggregated market e. undifferentiated target

target market

Sure Fit, Inc. has begun a rebranding strategy to let customers know it no longer only produces slipcovers but now also carries a line of rugs, window treatments, and bedding. Its _____ is described as women with average annual household income of $60,000 or more. a. market audience b. market differentiation c. perceived market d. target market e. aggregated market

target market

The debate over gay marriages is causing a great deal of furor, but it has done little to deplete the importance of the affluent gay market to businesses. Georgia Pacific and Mitchell Gold, a furniture manufacturer, are two companies that have implemented and maintained marketing mixes designed to meet the needs of lesbians and gays. To these companies and others, lesbians and gays are a desirable: a. market sample b. target market c. perceived market d. functional market e. market base

target market

The publisher of Ebony magazine has forged an alliance with Dan River, Inc. to create luxury bed and bath products for the newly developed Ebony Home brand. Ebony Home will use the publisher's long history and expertise to market to the African American market. The African American market is the _____ for the Ebony Home brand. a. target market b. buying center c. aggregated unit d. consumer cluster e. demographic sample

target market

Consumers purchasing an automobile in Hong Kong must pay a 100% tax on it. This tax is imposed by the government on all automobiles entering the country and is called a(n): a. tariff b. quota c. license d. boycott e. exchange control

tariff

Commercial truck drivers have suffered financially as a result of increasing diesel fuel prices. As they look for ways to make their trucks perform more efficiently, manufacturers have created truck body designs that are more aerodynamically sound. This is an example of how _____ factors can help during recessionary periods. a. technological b. competitive c. economic d. cultural e. demographic

technological

All of the following statements about how adopters participate in the diffusion process are true EXCEPT: a. early adopters may also be opinion leaders b. laggards are the last consumers to adopt a new product c. there are three categories of consumers who will adopt an innovation d. the dominant characteristic of members of the late majority is skepticism e. innovators are the first to purchase a new product

there are three categories of consumers who will adopt an innovation

In general, most consumers don't spend a lot of time thinking about their funeral. So some funeral homes try to get them to think about their loved ones by advertising preplanned funerals. This is an attempt to get people to think about a product that most consumers do not actively seek. In other words, preplanned funerals are a(n) _____ product. a. heterogeneous shopping b. specialty c. unsought d. business e. consumer

unsought

All of the following are benefits from organizing related items into product lines EXCEPT: a. package uniformity b. varying quality c. advertising economies d. efficient sales and distribution e. standardized components

varying quality

Sawyer Components manufactures high-cost, customized roller parts for paper mills and is expanding into China because of the opportunity for significant growth in this developing country. The owner uses effective global strategies and is aware of threats from foreign competitors. This illustrates that the owner has a global: a. advantage b. imperative c. vision d. outsource e. introspection

vision

OEM stands for operationally efficient marketing.

Once adequate amounts of data have been collected, the researcher should present the report.

Clearing Skies Press published a book by Robert Ruark entitled Keeping the Baby Alive Till Your Wife Gets Home. It is an advice book for new fathers. The market for this book is based on demographics.

The socialization process involves adopting the values of the culture in which a person was raised and is usually strongly influenced by the family.

Unlike consumer product channels of distribution, which usually have one or more intermediaries, channels of distribution for business products are often direct.

Vast differences in natural resources create international dependence and huge shifts of wealth

Refer to Hardie Siding Products. Since all of the siding products sold by Hardie are sold under the James Hardie brand name, it is clear that the company uses a _____ strategy. a. family branding b. private branding c. business branding d. co-branding e. repositioning

family branding

Claas is Europe's largest manufacturer of combine harvesters. As farming becomes more professional and more intensive, farmers are buying more sophisticated machines, which Claas can supply. The expensive machines sold by Claas would be examples of: a. installations b. component parts c. accessory equipment d. processed materials e. minor equipment

installations

The single largest customer in the world is the U.S. federal government.

_____ is the process of grouping customers into market segments according to the benefits sought from the product. a. Benefit segmentation b. Value-added segmentation c. Lifestyle segmentation d. Macrosegmentation e. Psychographic segmentation

Benefit segmentation

Imagine that you are the research director of a major industrial marketing firm. You need to select an NAICS code that defines the most homogeneous group of companies in a particular group of highly competitive companies. Which of the following codes might you use? a. 7432 b. 532 c. 19 d. 7 e. 999

7432

The _____ proposes that a minority of a firm's customers purchase a majority of the volume of the product. a. majority fallacy b. equity fallacy c. 80/20 principle d. cannibalization rule e. optimizer principle

80/20 principle

Which criterion of useable market segments means the firm must be able to reach members of targeted segments with customized marketing mixes? a. Substantiality b. Identifiability and measurability c. Accessibility d. Responsiveness e. Reliability

Accessibility

Which type of business product represents goods, such as portable tools and office equipment, that are less expensive and shorter-lived than major equipment? a. Accessory equipment b. Component parts c. Processed goods d. Supplies e. Intermediate goods

Accessory equipment

Because formal committees are often established to purchase business products, members of buying centers can be readily identified on formal organizational charts.

The _____ Act strengthened the Clayton Act to prevent corporate acquisitions that reduce competition. a. Hart-Scott-Rodino b. Lanham-Scott c. Celler-Kefauver Antimerger d. Robinson-Patman e. Sherman

Celler-Kefauver Antimerger

Refer to Interface. Influencing consumers that petroleum-based carpeting is bad for the environment and that the new fibers are better for the environment will involve which attitude-change strategy by marketers? a. Change the belief about all other attributes but this one b. Change the relative importance on beliefs about this attribute c. Change the product d. Use comparative ads e. Get consumers to recognize a need

Change the relative importance on beliefs about this attribute

Refer to University Research Study. When the students presented the results of their study to the university administration, they discussed the differences in responses between male and female respondents. Which data analysis technique allowed them to get these results? a. One-way frequency counts b. Frame analysis c. Cross-tabulation d. Probability analysis e. Correlation analysis

Cross-tabulation

Because online surveys are still in their infancy, there are limited methods of conducting online surveys.

Central Bark is a dog day care center. When you check your dog into a Central Bark you know your pooch will be pampered. Since kennels have been boarding dogs for years, the dog day care is not really a new product.

_____ embrace products relatively early in the product life cycle, are likely to be community oriented, and often are opinion leaders themselves. a. Early adopters b. Innovators c. Early majority d. Late majority e. Laggards

Early adopters

China's new 5 percent tax on disposable wooden chopsticks, reflecting concerns about deforestation, has been praised by environmentalists. The move is hitting hard at the Japanese, who consume 25 billion sets of wooden chopsticks annually. Almost all of the chopsticks used in Japan come from China. The price of wooden chopsticks in Japan has increased by almost 50 percent. The price increase influences which factor of the external environment of restaurant owners in Japan? a. Economic b. Technological c. Demographic d. Social e. Ethnicity

Economic

Johnson Publishing Company, the world's largest African American-owned publishing company and home of Ebony magazine, has forged an alliance with Dan River, Inc. to create luxury bed and bath products for the newly developed Ebony Home brand. This brand will use the strong relationship the publisher has with the African American market to sell the brand. What form of demographic segmentation will be used to market the Ebony Home brand? a. Geographic b. Income c. Ethnic d. Benefit e. Lifestyle

Ethnic

Refer to Hardie Siding Products. What type of warranty is James Hardie offering in its promotions? a. Implied b. Responsive c. Intangible d. Express e. Valid

Express

Evenflo makes baby gates to keep toddlers away from stairs. What demographic segmentation variable will Evenflo use to identify its target market? a. Gender b. Benefit c. Usage rate d. Family life cycle e. Ethnic

Family life cycle

Many people drink bottled water today, but one national brand of bottled water was not "spring-fresh" as advertised. The water actually came from a well located in the middle of an industrial warehouse facility and next to a industrial waste site. To which organization should the consumers who thought the advertising for the bottled water was misleading complain? a. Consumer Product Safety Commission b. Food and Drug Administration c. Federal Trade Commission d. Federal Communications Commission e. Consumer Protection Agency

Federal Trade Commission

Refer to Federal Aviation Administration. The FAA is what type of business buyer? a. Producer b. Reseller c. Government d. Institution e. Unbiased

Government

_____ is the process that turns a marketing plan into action assignments and ensures that these assignments are executed in a way that accomplishes the plan's objectives. a. Mechanistic control b. Strategic analysis c. Implementation d. Strategic planning e. Strategic design

Implementation

Which category of reference groups represents groups in which a consumer does not have membership? a. Direct b. Indirect c. Primary d. Secondary e. Incomplete

Indirect

in value since the previous year. a. Inflation b. Recession c. Depression d. Consumer break-even e. Price escalation

Inflation

Which of the following is a type of nonprobability sample? a. Stratified sample b. Systematic sample c. Cluster sample d. Random sample e. Judgment sample

Judgment sample

Who are the richest people in the world? a. Americans b. Chinese c. British d. French e. Luxembourgers

Luxembourgers

_____ is a trade agreement that includes Argentina, Bolivia, Brazil, Chile, Colombia, Ecuador, Paraguay, Peru, and Uruguay. This agreement eliminated the tariffs among these trading partners. a. NAFTA b. Maastricht c. WTO d. GATT e. Mercosur

Mercosur

Zambia is internationally recognized as the world's second leading producer of cobalt, which is used to make high-speed and high-temperature cutting tools and dyes. A company that wanted to manufacture tools for shaping steel would be most attracted to which element of the Zambian environment? a. Culture b. Legal c. Economic d. Technological e. Natural resources

Natural resources

Refer to Coca-Cola. When Ed realized he was out of Coke at home, which stage of the consumer decision-making process was this? a. Evaluation of alternatives b. Information search c. Purchase d. Postpurchase behavior e. Need recognition

Need recognition

Refer to Breathe Right. To market the nasal strips in countries outside the United States, CNS and 3M provided the strips to the national sports teams. For example, sales in South Africa took off when the entire South African rugby team wore the strips when they won the World Cup of rugby. This example primarily illustrates the use of which element of the global marketing mix? a. Production b. Publicity c. Promotion d. Distribution e. Product

Promotion

Which of the following means that a firm believes an ongoing relationship with some other firm is so important that it warrants maximum efforts at maintaining it indefinitely? a. Amae b. Trust c. Relationship quality d. Strategic alliance e. Relationship commitment

Relationship commitment

Refer to E-cigarettes. In 1964, 42 percent of Americans smoked, but now that rate has dropped below 20 percent. Which environmental factor has had the greatest impact on this trend? a. Technological b. Economic c. Competitive d. Demographic e. Social

Social

_____ factors are environmental factors that include our attitudes, values, and lifestyles. a. Social b. Economic c. Political d. Competitive e. Demographic

Social

Which of the following is the most difficult for marketing managers to forecast, influence, or integrate into marketing plans? a. Technology b. Social change c. Demography d. Competition e. Economic conditions

Social change

_____ is a measure of a Web site's effectiveness and is calculated by multiplying the frequency of visits times the duration of a visit times the number of pages viewed during each visit. a. Effective reach b. Effective frequency c. Gross rating points d. Interactiveness e. Stickiness

Stickiness

Which of the following is any unit of input affecting one or more of the five senses: sight, smell, taste, touch, and hearing? a. Tactic b. Need c. Stimulus d. Want e. Desire

Stimulus

Refer to Wataniya Mobile. In which stage of globalization is Wataniya Mobile? a. Stage one b. Stage two c. Stage three d. Stage four e. Stage five

Stage three

Which of the following statements best describes the typical target market? a. A target market will remain stable over time, including the same group of consumers. b. Target markets change over time as consumers drop in or out of the market, and as tastes change. c. Target markets are not strongly affected by changes in the external environment. d. Target markets only change when the features and benefits of the product offering change. e. Target markets cannot be specifically defined according to age, income, or location, because these factors are continually changing.

Target markets change over time as consumers drop in or out of the market, and as tastes change.

Refer to Interface. Which of the following is an example of a cultural influence on consumer buying decisions? a. Personality of the buyer b. How much the buyer knows about actions he or she can take to save the environment c. Lifestyle of the buyer d. The buyer's motivation for buying the corn-fiber carpet tile e. The acceptance of green marketing among a society

The acceptance of green marketing among a society

Which of the following is the best example of a modified rebuy situation? a. The purchase of a replacement hamster as the class mascot b. Bidding on a new high school multipurpose gymnasium to replace one built in 1963 c. The purchase of three large-screen computer monitors to replace smaller monitors d. The annual purchase of calendar refills for the desks of all company executives e. The monthly updating of computer virus protection

The purchase of three large-screen computer monitors to replace smaller monitors

Which of the following activities is most likely to be an example of routine response behavior? a. The purchase of a three-week vacation cruise b. A homeowner's purchase of a new grill for $600 c. The first-time purchase of a copy machine for a home office d. The purchase of toilet paper

The purchase of toilet paper

32. _____ specifies the research questions to be answered, how and when the data will be gathered, and how the data will be analyzed. a. A secondary data use plan b. The research collaborative plan c. An autonomous director d. The research design e. The sampling plan

The research design

Who offers low-interest loans to developing nations? a. World Bank b. International Monetary Fund c. Federal Reserve d. International Reserve e. United Nations

World Bank

The two types of research are: a. basic and applied b. primary and secondary c. profit and not-for-profit d. domestic and global e. basic and advanced

basic and applied

Which marketing management philosophy assumes that a sale does not depend on an aggressive sales force but rather on a customer's decision to purchase a product? a. Sales b. Production c. Product d. Market e. Exchange

d. Market

Which marketing management philosophy focuses on the question, "What do customers want and need?" a. Sales b. Production c. Product d. Market e. Internal

d. Market

Redefining the business mission of a mattress manufacturer as "a good night's sleep" rather than stating the mission as "the manufacture of high-quality mattresses" will: a. not stimulate an awareness of changes in consumer desires b. be too broad a statement to be of any real use in serving customers c. stifle creativity in discovering opportunities to serve customers d. help ensure the firm retains its focus on consumers e. ensure the core products will be retained

d. help ensure the firm retains its focus on consumers

The elimination of intermediaries such as wholesalers or distributors from a marketing channel is referred to as: a. disintermediation b. disassociation c. unencumbrance d. demarketing e. selective retention

disintermediation

In Baton Rouge, Louisiana, everyone who is anybody in society can't wait to get a copy of 225 magazine. The magazine is targeted to the upper middle and upper classes in Baton Rouge and features articles on how they work and play. The editor of 225 magazine is relying on _____ segmentation. a. geodemographic b. graphic c. benefit d. socioeconomic e. income

geodemographic

All of the following are taken into account in a cost of living index EXCEPT: a. income b. housing c. food and groceries d. health care e. entertainment

income

The process by which people select, organize, and interpret stimuli into a meaningful and coherent picture is called: a. identification b. retention c. comprehension d. perception e. cognitive adaptation

perception

The reintroduction of an intermediary between producers and users is called: a. disintermediation b. reinstatement c. selective retention d. re-establishment e. reintermediation

reintermediation

In the past 24 years, Mothers Work has grown from a small, mail-order catalog business headquartered inside the founder's home to the world's largest seller of maternity apparel, with nearly 1,600 locations. In terms of the business market, Mothers Work would be best classified as a(n): a. reseller b. producer c. distribution network d. inventory carrier e. business facilitator

reseller

Marketing managers cannot control _____, but they can sometimes influence it. a. where advertising is placed b. the external environment c. the sales force d. the distribution strategy e. product pricing

the external environment

Once marketing managers have determined a global product and promotion strategy, they can select the remainder of the marketing mix. However, entry into many developing nations presents special pricing problems because: a. the rate of capital accumulation exceeds the rate of population growth b. of exchange rate caps c. of price discrimination d. there is a lack of mass purchasing power e. advertising time on television is available for sale in all developed countries

there is a lack of mass purchasing power

Which of the following statements best describes the reason marketers find geodemographic segmentation so effective? a. "A bird in the hand is worth two in the bush." b. "Every action has an opposite and equal reaction." c. "A rifle is more exact than a shotgun." d. "Don't put all of your eggs in one basket." e. "Birds of a feather flock together."

"A rifle is more exact than a shotgun."

Companies that adopt a concentrated marketing strategy violate which of the following old sayings? a. "You can't bake a pie without breaking some eggs." b. "Don't count your chickens before they hatch." c. "Don't put all your eggs in one basket." d. "The grass is always greener on the other side of the fence." e. "A rolling stone gathers no moss."

"Don't put all your eggs in one basket."

Which of the following is the BEST example of an installation? a. A baseball stadium b. A checkout counter c. A lifeguard stand d. A file cabinet e. Original artwork

A baseball stadium

Which type of private label brand carries no evidence of a retailer's affiliation, is manufactured by a third party, and is sold exclusively at the retailer? a. A captive brand b. A complementary brand c. A cooperative brand d. An exclusive brand e. A generic brand

A captive brand

Which type of interview question encourages an answer phrased in the respondent's own words? a. A scaled-response question b. A Likert item c. A closed-ended question d. An open-ended question e. A free-form question

An open-ended question

Which of the following products is most likely to be considered an example of a heterogeneous shopping product? a. An apartment b. Laundry detergent c. A blender d. A package of pens e. Dog food

An apartment

Refer to Dog Spa. What type of research did the marketing consultant perform for Tumlin? a. Basic b. Preliminary c. Applied d. Causal e. Factorial

Applied

Which ethnic group has the highest average family income? a. Hispanic Americans b. African Americans c. Asian Americans d. South Americans e. Cuban Americans

Asian Americans

_____ are learned tendencies to respond consistently toward a given object. a. Motivational cues b. Cultures c. Lifestyles d. Perceptions e. Attitudes

Attitudes

Which of the following statements about bar codes is true? a. Bar codes are also called universal pricing codes (UPCs). b. Bar codes were first used in 2000. c. Bar codes can be read by optical scanners. d. Bar codes cannot be used as a marketing research tool. e. All of these statements about bar codes are true.

Bar codes can be read by optical scanners.

Which type of research is also called pure research and attempts to expand the frontiers of knowledge but is not aimed at a specific, pragmatic problem? a. Applied b. Basic c. Primary d. Secondary e. Synergistic

Basic

With which scanner-based research system do IRI panel members shop with an ID card, which is presented at checkout in scanner-equipped grocery and drugstores, thus allowing IRI to electronically track each household's purchasing over time? a. InfoScan b. VideOCart c. BehaviorScan d. Nielsen Data e. Scanner Plus

BehaviorScan

Which of the following is an organized pattern of knowledge that an individual holds as true about his or her world? a. Belief b. Value c. Affect d. Attitude e. Descriptor

Belief

After Hal Li purchased and installed a wood-burning stove to heat his family home, the stove caught fire and damaged much of the house. He believes the stove had inadequate insulation. Li should voice his concerns to the Federal Trade Commission.

_____ takes place when a foreign company produces goods to specification set by a domestic company, with the domestic firm's brand name affixed to the goods. a. Importing b. Joint venturing c. Exporting d. Contract manufacturing e. Direct investing

Contract manufacturing

_____ lets the analyst look at the responses to one question in relation to the responses to one or more other questions. a. One-way regression analysis b. Two-way regression analysis c. The one-way frequency count d. Cross-tabulation e. Content analysis

Cross-tabulation

A U.S. executive had no idea the Japanese go through a very elaborate ritual when exchanging business cards. When he arrived at a meeting in Tokyo, he sat down and tossed some of his business cards across the table at a group of stunned Japanese businesspeople. Due to the U.S. executive's rudeness, the multimillion dollar deal failed. The U.S. executive overlooked the importance of which environmental factor? a. Culture b. Demographics c. Natural resources d. Economic development e. Political structure

Culture

Refer to Breathe Right. How people value a sound night's sleep is an example of which element of the global environment? a. Culture b. Natural c. Socioeconomic d. Technical e. Regulatory

Culture

Refer to Wataniya Mobile. Israel and the Palestinian territories have vastly different religious beliefs and are frequently at war. The differences between these two are attributed to which environmental factor? a. Technology b. Culture c. Demographics d. Economic e. Natural

Culture

Refer to DeFeet International. If you were to define DeFeet's mission, which would be most appropriate? a. DeFeet makes socks. b. DeFeet makes clothes for athletes. c. DeFeet creates high-tech products for the serious athlete. d. DeFeet provides the highest-quality apparel for customers who demand the best. e. DeFeet covers the world.

DeFeet provides the highest-quality apparel for customers who demand the best.

A long-run drop in sales signals the beginning of which stage in the product life cycle? a. Laggard b. Saturation c. Deterioration d. Decline e. Decay

Decline

Another commonly used term for accessory equipment is installations.

The steps of the consumer decision-making process in order are: a. need recognition, alternative aggregation, reevaluation, purchase decision, postpurchase behavior b. need positioning, stimulus response reactions, evaluation of alternatives, purchase decision, postpurchase behavior c. need positioning, alternative aggregation and divestment, purchase decision, postpurchase evaluation d. information search, need positioning, evaluation of alternatives, product trial, purchase decision, postpurchase satisfaction e. need recognition, information search, evaluation of alternatives, purchase, and postpurchase behavior

Adaptation is the process by which the adoption of an innovation spreads.

All of the following statements about global marketing are true EXCEPT: a. Marketing to target markets throughout the world has become imperative for business. b. Often a U.S. firm's toughest domestic competition comes from foreign companies. c. Marketing managers must develop a global vision not only to recognize and react to international marketing opportunities but also to remain competitive at home. d. Adopting a global vision can be lucrative for a company, and global marketing can offset weak domestic performance. e. Foreign competitors have not gained significant market share in the United States.

Foreign competitors have not gained significant market share in the United States

Refer to Mercedes-Benz. Daimler plans to introduce the downsized luxury vehicles in major U.S. cities, such as Los Angeles, New York, Miami, Atlanta, Dallas, and Chicago, because market research has shown that these metropolitan areas have the greatest potential with respect to the consumers able to purchase a $30,000+ smaller luxury vehicle. Which type of psychographic segmentation does this represent? a. Geodemographic b. Personality c. Benefit d. Usage rate e. Demographic

Geodemographic

_____ is a method that clusters potential customers into neighborhood lifestyle categories and is a combination of geographic, demographic, and lifestyle segmentations. a. Geodemographic segmentation b. Microsegmentation c. Sociocultural clustering d. Acculturation e. Lifestyle segmentation

Geodemographic segmentation

General Motors Corporation has a goal of launching an electric vehicle soon. The car has been in test-drives, and GM is in the process of working out any bugs that may occur. GM also is in the process of working toward mass production of the vehicle. The company is in which stage of the marketing plan? a. Product planning b. Mechanistic organization c. Synergistic control d. Strategic diversification e. Implementation

Implementation

When Apple, Inc. recently introduced the new version of its iPhone 3G, it was twice as fast and cost half the price of the original iPhone. Since it was not trying to reach a new target market, Apple was using which new product strategy? a. Improved product b. Addition to existing product line c. Discontinuous innovation d. Repositioned product e. New product line

Improved product

Refer to E-cigarettes. Marketers of the e-cigarette claim that they are not marketing the product to children, particularly because a starter kit costs over $100. Which economic factor are the marketers claiming will likely keep this product out of the hands of children? a. Income b. Inflation c. Recession d. Purchasing power e. Interest rates

Income

_____ is a scanner-based sales-tracking service for the consumer packaged-goods industry. It tracks retail sales, consumer purchasing information, and promotional activity for all bar-coded products. a. BehaviorScan b. Nielsen Data c. Scanner Plus d. InfoScan e. VideOCart

InfoScan

After a need or want is recognized, a consumer may search for information about the various alternatives available to satisfy it. This occurs during which part of the consumer decision-making process? a. Evaluation of alternatives b. Information search c. Cognitive dissonance d. Consideration stage e. Product identification

Information search

_____ is a legal process whereby a firm agrees to let another firm use its manufacturing process, trademarks, patents, trade secrets, or other proprietary knowledge in return for a fee or royalty. a. A joint venture b. Divestment c. Licensing d. A principal-agent agreement e. A contract manufacturing arrangement

Licensing

_____ divides individuals into groups according to the way they spend their time, the importance of items in their surroundings, their beliefs, and socioeconomic characteristics. a. Life cycle segmentation b. Temporal segmentation c. Lifestyle segmentation d. Microsegmentation e. Macrosegmentation

Lifestyle segmentation

A small chain of supermarkets in the western United States sells only manufacturers' brands. Which of the following is one of the arguments you could use to dissuade the supermarket chain owner from selling only manufacturers' brands? a. A well-known manufacturers' brand will not enhance the chain's image. b. Manufacturers rarely spend money advertising the brand name to consumers. c. Manufacturers typically offer a lower gross margin than could be earned on private label brands. d. Manufacturers force the chain to carry a large in-store inventory. e. Relying on the manufacturer or wholesaler to deliver a national brand quickly is optimistic at best.

Manufacturers typically offer a lower gross margin than could be earned on private label brands.

In which stage of the product life cycle do marginal competitors start dropping out of the market? a. Introduction b. Growth c. Maturity d. Decline e. Shake-out

Maturity

Which of the following is a means of displaying or graphing, in two or more dimensions, the location of products, brands, or groups of products in customers' minds? a. Perceptual mapping b. Product positioning c. Market segmentation d. Product tracing e. Laddering

Perceptual mapping

1. A product may be defined as everything, both favorable and unfavorable, that a person receives in an exchange.

4. A keiretsu is a network of interlocking corporate affiliates.

A competitive advantage is some unique aspect of a firm's offering, or of the firm itself, that causes target customers to patronize the firm rather than its competition.

There are many travel agencies in the world. One of the largest is Thomas Cook, which is in England. The slogan the travel agency has used for years is "Don't just book it. Thomas Cook it." The slogan implies that if you are making any travel plans, you should call the Thomas Cook agency and not some other agency. What learning concept is Thomas Cook relying on with this advertising claim? a. Selective retention b. Stimulus discrimination c. Perceptual generalization d. Selective generalization e. Stimulus generalization

Stimulus discrimination

Purchasing contracts are commonly used in which type of buying situations? a. Reciprocal b. Straight rebuy c. New buy d. Extended rebuy e. Modified rebuy

Straight rebuy

Refer to Wataniya Mobile. The need for greater bandwidth to be able to provide 3G mobile capabilities is part of which environment? a. Cultural b. Technological c. Economic d. Natural e. Legal

Technological

_____ is a limited introduction of a product and a marketing program to determine the reactions of potential customers in a market situation. a. Use testing b. Test marketing c. Concept testing d. Laboratory testing e. Discontinuous innovation

Test marketing

Organon Teknina sells inexpensive equipment to detect Escherichia coli, listeria, or salmonella bacteria in food. The company serves not-for-profit institutions that need to regularly check food quality. Organon Teknina would be LEAST likely to sell to: a. the Montgomery County school system b. a large pediatric hospital c. a chain of Mexican restaurants d. a chain of church-sponsored retirement homes e. American Red Cross emergency shelter kitchens

a chain of Mexican restaurants

Which of the following statements about multinational firms is true? a. Multinationals typically do not change their methods of reaching their global markets if they are successful with their initial strategy. b. Multinationals are defined as companies heavily engaged in exporting and importing. c. All multinationals must enter the fourth stage of globalization before they are fully internationalized. d. Multinationals often develop their global businesses in stages. e. The five stages of globalization closely mirror the five stages of the product life cycle.

The five stages of globalization closely mirror the five stages of the product life cycle.

Which of the following events has had the greatest effect on marketing? a. The growing number of one-child families b. The increasing number of immigrants from northern Europe c. The growing number of people on the Internet d. The increasing number of working women e. The growing number of people of retirement age who are continuing work

The growing number of people of retirement age who are continuing work

Refer to Circuses. The aggressive promotions used by advance men indicate that decades ago the circuses probably had a _____ orientation. a. sales b. market c. production d. societal e. product

a. sales

Thompson Pools installs and maintains swimming pools. They group their customers according to their needs: new installs, regular maintenance, and frequent product consumers. When do they need a new segmentation analysis? a. Once every 20 years b. They should do them regularly because of the rapidly changing nature of most markets. c. They don't need any because consumer markets don't rapidly change and develop like business goods markets. d. Every year, using new bases for variety e. Only when the market changes

They should do them regularly because of the rapidly changing nature of most markets.

Which of the following is the minimum difference in a stimulus that the consumer will notice? a. Minimum level of perception b. Absolute level of perception c. Differential threshold of perception d. Threshold level of perception e. Unique threshold of perception

Threshold level of perception

Refer to Alberto Culver Company. Why would the Alberto Culver Company be interested in increasing its product depth? a. To even out seasonal sales patterns b. To attract buyers with different preferences c. To increase sales and profits by further segmenting the market d. To capitalize on economies of scale in marketing e. To do all of these things

To do all of these things

Sherwin-Williams' Dutch Boy paint has packaging that is getting rave reviews. The new Twist & Pour paint is packaged in an all-plastic gallon container with an easy twist-off lid, comfortable side handle, and even a pouring spout. There's no other paint product like it on the market. This innovative packaging was most likely designed for which of the following functions? a. To facilitate product use and convenience b. To contain and protect the product c. To reduce environmental damage d. To facilitate recycling e. To promote the product

To facilitate product use and convenience

Of the following, what is the most useful objective for Purina cat food? a. To increase sales of Purina brand cat food by 15 percent over 2010 sales of $300 million b. To increase sales of Purina brand cat food between January 1, 2010, and December 31, 2010 c. To increase sales of Purina brand cat food from $300 million to $345 million d. To increase sales of Purina brand cat food e. To increase sales of Purina pet food

To increase sales of Purina brand cat food by 15 percent over 2010 sales of $300 million

Which target marketing strategy views the market as one big market with no individual segments and thus uses a single marketing mix? a. Undifferentiated b. Concentrated c. Niche d. Uniform e. Multisegmented

Undifferentiated

Under the _____, all sales have an implied warranty. a. Label Law b. Lanham Act c. Bill of Rights d. Good Housekeeping Seal e. Uniform Commercial Code

Uniform Commercial Code

Which of the following is the BEST example of an institution market? a. The government b. eBay c. Claire's Boutique d. United Methodist churches e. Starbucks

United Methodist churches

A carefully selected group of consumers who agree to participate in an ongoing online dialogue with a particular corporation is known as a(n): a. Web community b. focus blog c. online focus group d. Webinar e. Web-based ethnographic group

Web community

In a study whose purpose is to determine the market for a vitamin that is to be chewed like bubble gum, what is the first question to be answered before a sampling plan is selected? a. Must the sample be representative of the population? b. Who can perform the actual sampling? c. What is the population or universe of interest? d. How often should the sample be redesigned? e. How large should the sample be in terms of its measurement costs?

What is the population or universe of interest?

The pricing component of the global marketing mix is: a. the same in domestic and foreign markets b. fairly simplistic due to the strength of the U.S. dollar abroad c. the easiest element to implement successfully d. complicated by product penetration strategies e. a complex matter due to tariffs, exchange rates, and transportation costs, insurance, and taxes.

a complex matter due to tariffs, exchange rates, and transportation costs, insurance, and taxes.

When selecting a test market city, a researcher should look for a city: a. where the demographics and purchasing habits mirror the overall market for the product b. that has media spillover from other cities to increase media alternatives c. that is as large as possible d. that has limited distribution e. where there is no competition

where the demographics and purchasing habits mirror the overall market for the product

The convenience product marketing strategy includes: a. wide distribution of the product b. higher than ordinary prices c. few retail outlets other than convenience stores d. significantly lower promotion budgets e. products that are not easily substitutable

wide distribution of the product

Laurie would like to be fashionable and trendy. This would be considered her real self-image

Typically, the development of the marketing mix starts with determining the promotion for a product.

Niche competitive advantages are quite common.

According to research done by the World Bank, countries with the greatest amount of business regulation foster the strongest economies

The main product for Zamperla Industries is gondola cars for amusement park rides and ski lifts. Its marketing department constantly monitors trends in the external environment that might affect the firm. Which economic factor may pose a major threat to this company? a. Few competitors in this industry b. Technological improvements that are automating production of cars c. A recession d. Increasing interest in the environment and recycling e. Existing legislation requiring licensing of all amusement park rides

A recession

Heinz is expected to introduce more than 400 new products in the next two years. One of the products is a spicier ketchup aimed at the baby boomer market. The spicier ketchup would be considered what type of new product? a. Discontinuous innovation b. New to market c. New product line d. Lower priced e. Addition to existing product line

Addition to existing product line

When Glade began marketing a clean linen-scented air spray, this represented which new product category? a. Repositioning strategy b. New product line c. Addition to existing product line d. Discontinuous innovation e. Revision of existing products

Addition to existing product line

A marketing researcher is conducting a focus group interview with working mothers to learn how Kraft can better meet their needs for convenience foods. What type of research does this represent? a. Basic b. Applied c. Secondary d. Synergistic e. Idiosyncratic

Applied

The Solar Group, a Mississippi-based mailbox manufacturer, sells mailboxes to contractors who are building mega-subdivisions, to hardware stores, and directly to new homeowners. What kind of products is Solar Group selling? a. Business products only b. Both business and consumer goods c. Installations d. Consumer goods only e. Supplies

Both business and consumer goods

_____ is a process where a group thinks of as many ways to vary a product or solve a problem as possible without considering the practicality of the ideas. a. New-product brain dumping b. Screening c. A focus group interview d. Brainstorming e. Diffusion

Brainstorming

_____ is one of the potential disadvantages associated with a multisegment strategy. a. Inadequate demand b. Demarketing c. Lower profits d. Cannibalization e. Loss of synergy

Cannibalization

Which of the following is an example of a product modification? a. Lowering the price of textbooks b. Dropping a product from the product line c. Changing the color of a laundry detergent d. Changing the amount of management time spent overseeing production e. Increasing the number of distribution outlets

Changing the color of a laundry detergent

Which of the following is the best example of a convenience product? a. Concert tickets b. Chewing gum c. Jeans d. Chemical for the swimming pool e. A birthday present

Chewing gum

Which product factor influencing the rate of adoption represents the degree of difficulty involved in understanding and using a new product? a. Complexity b. Compatibility c. Relative advantage d. Observability e. Trialability

Complexity

Refer to Turkey Hunting Equipment. What kind of strategy does Cost use to select his target market? a. Concentrated targeting b. Multisegment c. Mass marketing d. Undifferentiated e. Repositioned

Concentrated targeting

_____ evaluate new-product ideas usually before any prototype has been created. a. Concept tests b. Simulated market tests c. Market tests d. User tests e. Venture analyses

Concept tests

Modern Maturity magazine is targeted toward adults age 50 years and older. It has articles on health and fitness as well as the arts and finance. What segmenting base is Modern Maturity using? a. Demographic b. Geographic c. Nomological d. Economic e. Generational

Demographic

Why is creation of a product the starting point for the marketing mix? a. The production department must know what to produce first. b. Production strategy is the first of the four Ps listed in the marketing mix. c. Determination of the price, promotional campaign, and distribution network cannot begin until the product has been specified. d. Product development takes the longest amount of time to complete. e. Actually, the product does not have to be the starting point--promotional strategies are often the starting point.

Determination of the price, promotional campaign, and distribution network cannot begin until the product has been specified.

_____ research is the study of human behavior in its natural context, involving observation of behavior and physical setting. a. Ethnographic b. Action-based c. Experiment d. Survey e. Visualization

Ethnographic

Refer to Nestlé. Nestlé's quest is to make some of its existing products more nutritious and provide a health benefit. This is an example of which type of product modification? a. Style b. Extensive c. Brand d. Ingredient e. Functional

Functional

_____ products are seen by consumers to differ in quality, style, suitability, and lifestyle compatibility. Comparisons between these products are often quite difficult because they may have unique features and different levels of quality and price. a. Product equivalents b. Comparative convenience products c. Homogeneous shopping products d. Product counterparts e. Heterogeneous shopping products

Heterogeneous shopping products

Which of the following is the LEAST likely source for new-product ideas? a. A company's distributors b. Its customers c. Its employees d. Its financial lenders e. Its competitors

Its financial lenders

The majority of Hispanic Americans are of _____ descent. a. Mexican b. Puerto Rican c. Spanish d. South American e. Cuban

Mexican

All of the following are countries included in the Central America Free Trade Agreement EXCEPT: a. the United States b. Nicaragua c. El Salvador d. Guatemala e. Mexico

Mexico

Stan's job is to walk the streets of Japan and locate fads. According to Stan, "Japan is advanced. What will happen 10 years from now is already happening in Japan." What kind of research is Stan conducting? a. Experiment b. Dichotomous c. Observation d. Survey e. Open-ended

Observation

A group of middle school students stop by a bicycle store. The store has just received a new shipment of high-end racing bicycles. The bicycles range in price from $1,200 to $3,000. All of the students want one of these new bikes, but none has the means to buy one. Is this group of consumers a potential market for the expensive bikes? a. Yes, they are a potential market since they are all about the same age. b. No, they do not have the ability to purchase at this time. c. No, to qualify as a market, they must need the product. d. Yes, they are a market because this product could satisfy their consumer wants and desires. e. Yes, they are a market because this group shares relatively similar product needs and purchasing characteristics.

No, they do not have the ability to purchase at this time.

Which of the following is an information source that is not associated with advertising or promotion? a. External b. Nonmarketing-controlled c. Marketing-controlled d. Unbiased e. Primary

Nonmarketing-controlled

Refer to Coca-Cola. Ed's Coke purchase best represents which type of consumer buying decision? a. Routine response behavior b. Limited decision making c. Extensive decision making d. Situation convenience e. Motivational response

Routine response behavior

_____ are characteristics of individuals, groups, or organizations that marketers use to divide a total market into segments. a. Differentiation guides b. Segmentation bases c. Perceptual maps d. Responsiveness quotients e. Accessibility quotients

Segmentation bases

T/F Sara Lee Industries spent considerable money and time developing a crustless bread. Prior to the introduction, the company had not conducted market research among its customers, but it was confident that its science and technology department had produced a successful new product. Based on this example, Sara Lee is a good example of a production-oriented company.

_____ is an orderly series of stages in which consumers' attitudes and behavioral tendencies change through maturity, experience, and changing income and status. a. Socialization b. The wheel of consumerism c. The family life cycle d. Lifestyle consumption e. Acculturation

The family life cycle

The _____ is the most ambitious global trade agreement ever negotiated; the agreement has reduced tariffs by one-third worldwide. a. Uruguay Round b. Mercosur c. GATT d. NAFTA e. Maastricht Treaty

Uruguay Round

The _____ of trade negotiations created the _____, which replaces GATT. This trade agreement dramatically lowers trade barriers worldwide. a. Uruguay Round; World Trade Organization b. Doha Round; European Union c. Doha Round; NAFTA d. Paraguay Round; South American Free Trade Agreement e. Mercosur; European Union

Uruguay Round; World Trade Organization

All of the following are examples of secondary data EXCEPT: a. a first-time physical count of the number of cars passing through an intersection to determine the need for a traffic signal b. a census report on the number of people who are native to a community c. any product testing results made available to the media d. a collection of trade journal articles about the future of a particular industry e. a newspaper story describing the lifestyle of the average Internet user

a first-time physical count of the number of cars passing through an intersection to determine the need for a traffic signal

All of the following are examples of marketing-controlled information sources EXCEPT: a. a friend's recommendation on the brand of product to buy b. brochures about kitchen products sold by the Home Depot c. a coupon for $1.00 off of laundry detergent d. a recipe for oatmeal raisin cookies on a package of oatmeal e. an advertisement in a magazine

a friend's recommendation on the brand of product to buy

Refer to Boeing Company. The new American-Japanese-Chinese plane Boeing plans to design and build gives partial ownership to the manufacturing partners involved in the project. This is an example of: a. direct investment b. a joint venture c. buying-for-export agreements d. market groupings e. a contract manufacturing agreement

a joint venture

With _____, a domestic firm buys part of a foreign company or joins with a foreign company to create a new entity. a. direct investment b. a joint venture c. a buying-for-export agreement d. a contractual agreement e. a franchise relationship

a joint venture

An attitude toward a product is: a. easy to change b. a person's point of view about the product c. the same as a belief d. the same as "intention to buy" e. of short duration

a person's point of view about the product

Research done by ShopLocal.com found that Americans today are concerned enough about sustaining the environment that they are willing to spend more. Suppose that to cut the cost of the research, ShopLocal.com included a second study asking consumers about their preferences in the upcoming presidential elections. This research would be an example of: a. a dual-purpose analysis b. a piggyback study c. a Siamese twin project d. a two-for-one integrative study e. dual experimentation

a piggyback study

Business services: a. are capital items b. are never outsourced c. are not used in reciprocity arrangements d. typically become part of the finished product e. are expense items

are expense items

The office of lieutenant governor was vacated, and a special election was called to fill the office. When the head of the state's Department of Education decided she might run for the office, she was unsure how running for this office could affect her long-term plans for running for the office of U.S. senator. She has hired a research company to obtain survey data from voters in the state. Given that she must make a decision in less than three weeks, the research company should use: a. a telephone survey b. focus group interviews c. personal interview surveys d. a mail survey e. a passive people meter

a telephone survey

Refer to Starbucks. Which of the four conditions did NOT exist in the minds of the Starbucks consumer, resulting in declining sales? a. Each party having something of value to give to the other party b. Each party being capable of communication and delivery c. Each party being free to accept or reject the exchange offer d. Each party believing it to be appropriate or desirable to deal with the other party e. There being at least two parties for exchange to occur

a. Each party having something of value to give to the other party

Which of the following occurs when people give up something in order to receive something they would rather have? a. Exchange b. Synergy c. Transformation d. Leveraging e. Reciprocity

a. Exchange

_____ is a strategy of increasing market share for present products in existing markets. a. Market penetration b. Product development c. Market development d. Diversification e. Product penetration

a. Market penetration

Yildiz Holding of Turkey purchased Godiva Chocolates from Campbell's Soup Company. Campbell's sold one of its: a. strategic business units (SBUs) b. strategic alliances c. action programs d. transactional units e. synergistic divisions

a. strategic business units (SBUs)

Refer to Dog Spa. The group of consumers identified by the researcher as most likely to avail themselves of the services offered by Tumlin's grooming salon is called a: a. target market b. buying center c. mass market d. consumer cluster e. demography

a. target market

For an exchange to take place: a. there must be at least two parties involved b. money must be used in the transaction c. each party must feel obligated to accept the offer d. at least one party must have something of value that the other party desires e. neither party must communicate with the other

a. there must be at least two parties involved

In contrast to marketing research problems, management decision problems are: a. action oriented b. pervasive c. narrower in scope d. synergistic e. information oriented

action oriented

A few years ago, tea was a product with relatively little growth and was considered to be a product for the old and the middle-aged. Then tea manufacturers started promoting the health benefits of tea. Since the introduction of the research on how tea provides the body with useful antioxidants, tea consumption has increased by more than 25 percent, and it appears its market share will continue to grow, especially among young women in their twenties. This is an illustration of how promotion can: a. change the importance of beliefs about product attributes b. change beliefs about product attributes c. add new beliefs about product attributes d. reinforce current beliefs about product attributes e. discover consumer needs about product attributes

add new beliefs about product attributes

Oakley, a manufacturer of protective eyewear for various kinds of sports, has introduced sunglasses that play music. The glasses weigh just a few ounces and can hold up to 120 songs. These sunglasses would be an example of a(n): a. repositioning strategy b. new product line c. addition to existing product line d. discontinuous innovation e. revision of existing products

addition to existing product line

Gillette gets about two-thirds of its revenue from its international divisions. This shows that: a. U.S. citizens are shaving less b. their market share should increase c. more men and women need to shave d. sales need to be increased domestically e. adopting a global vision can pay off

adopting a global vision can pay off

The best experiments are those in which: a. all variables are allowed to act freely b. all variables are held constant except the ones being manipulated c. all factors provide the desired results d. the subjects are unpaid volunteers e. two variables are held constant while all of the others are manipulated

all variables are held constant except the ones being manipulated

In Japan, reciprocity and personal relationships contribute to the development of: a. global ventures b. amae c. agricola d. keiretsu e. an independent network of small retailers

amae

David and Steven are best friends. Steven loves to compete in triathlons. David would love to compete with Steven but is a weak swimmer. David decides to take swim lessons to improve his breathing and stroke rhythms. Triathletes are a(n) _____ reference group for David. a. secondary b. primary c. aspirational d. nonaspirational e. direct

aspirational

All of the following are reasons for dumping EXCEPT: a. lowering unit costs by exploiting large-scale productions b. attempting to avoid costly tariffs in the country to which the product is exported c. attempting to maintain stable prices during periods of exchange rate fluctuations d. temporarily distributing products in overseas markets to offset slack demand in the home market e. trying to increase an overseas market share

attempting to avoid costly tariffs in the country to which the product is exported

Procter & Gamble (P&G) decided to address the fact that Hispanic women are more likely to die from breast cancer because they're reluctant to get mammograms or discuss screening. So P&G brought screening to the supermarket, parking mobile mammography vehicles in grocery store parking lots in Texas and inviting shoppers in for free x-rays. Tie-ins with local hospitals assured that women with suspicious films got follow-up care. P&G adopted a _____ orientation to achieve this goal. a. promotional b. societal marketing c. customer d. marketing e. product

b. societal marketing

The SBU acronym refers to: a. stock in business units b. strategic business unit c. standard business utilization d. strategic barter units e. samples by units

b. strategic business unit

Buyers in the business market tend to _____ than buyers in the consumer market. a. use reciprocity less b. purchase in much smaller quantities c. buy more products that have a reduced probability of being affected by derived demand d. generate more stable demand trends e. be much more geographically concentrated

be much more geographically concentrated

Christian understands that a Black Diamond brand tent is suitable for several weather conditions, such as rain, snow, and sweltering heat. This is a description of his _____ about the Black Diamond tent. a. beliefs b. attitudes c. standards d. motives e. valuations

beliefs

Heavenly Ham is a ham and sandwich store that stresses in its advertisements that customers should choose them "when taste matters." Heavenly Ham uses _____ segmentation. a. geographic b. demographics c. psychographics d. benefit e. usage rate

benefit

All of the following are bases for psychographic segmentation EXCEPT: a. benefits b. personality c. motives d. lifestyles e. geodemographics

benefits

Refer to Rock-Tenn. Rock-Tenn makes paper products for companies to use in their product and service offerings. This is an example of: a. business marketing b. consumer marketing c. Internet marketing d. retail marketing e. complex marketing

business marketing

_____ is a set of activities used to implement a management orientation that stresses customer satisfaction. a. Planning strategy b. Customer management c. Marketing d. A control system e. Reciprocity

c. Marketing

A potential disadvantage of multisegment targeting is _____, which occurs when sales of a new product cut into sales of a firm's existing products. a. cannibalization b. synergy c. positioning d. demarketing e. inelastic demand

cannibalization

Refer to Delta Faucet Company. While new home construction is not growing as rapidly as it once did, the number of homeowners who are remodeling bathrooms and kitchens is growing. According to the portfolio matrix, Masco would consider Delta a(n): a. question mark b. exclamation point c. star d. cash cow e. problem child

cash cow

A _____ is a specially designed phone room used to conduct telephone interviewing. a. controlled-feedback facility (CFF) b. collaboratively located communications (CLC) center c. multi-interviewer location site d. central-location telephone (CLT) facility e. telephone outsourcing center

central-location telephone (CLT) facility

A manufacturer of lenses used in microscopes, binoculars, and telescopes has segmented its market into scientific equipment manufacturers, sporting equipment manufacturers, and retailers who sell replacement lenses. In order for this segmentation scheme to be successful, all of the following criteria must be met EXCEPT: a. substantiality b. accessibility c. identifiability and measurability d. complexity e. responsiveness

complexity

Another name for evoked set is: a. array b. reminder assortment c. induced memory d. consideration set e. awareness set

consideration set

Refer to Sav-More Supermarkets. Al Edisto, Sav-More's frozen food manager, decided to survey each customer who stops in front of the frozen orange juice section on Saturday. Edisto used a _____ sample for his research project. a. random b. piggyback c. probability d. stratified e. convenience

convenience

A company that has a market orientation and adheres to the marketing concept does NOT: a. integrate all the activities of the firm to satisfy customer wants b. focus on consumer needs and wants c. differentiate the firm's products from its competitor's products d. fuel sales growth through the application of aggressive sales techniques e. concentrate on long-term goal achievement (such as profits and growth) for the firm

d. fuel sales growth through the application of aggressive sales techniques

Refer to Circuses. Now circuses are trying to satisfy customers' needs and wants and to profit through customer satisfaction. They have adopted a _____ orientation. a. societal b. selling c. production d. market e. retail

d. market

All of the following are marketing management philosophies EXCEPT: a. sales orientation b. societal marketing orientation c. market orientation d. profitability orientation e. production orientation

d. profitability orientation

A multinational company that makes a labor-intensive product would be interested in the _____ makeup of countries. Factors such as median age, gender, and literacy rates would determine the success of its global expansion. a. demographic b. lifestyle c. natural d. cultural e. economic

demographic

Marketing research has three functional roles. These roles are: a. normative, descriptive, and explanatory b. predictive, normative, and persuasive c. descriptive, diagnostic, and predictive d. flexible, interactive, and discovery-oriented e. descriptive, explanatory, and predictive

descriptive, diagnostic, and predictive

All of the following are steps in the market segmenting process EXCEPT: a. determining the objectives of the segmentation strategy b. profiling and analyzing segments c. designing, implementing, and maintaining appropriate marketing mixes d. selecting a market or product category for study e. choosing a basis or bases for segmenting the market

determining the objectives of the segmentation strategy

they were introduced to the market. He is very active in his church and local arts council, and many of his friends asked him which brand to buy when they were considering purchasing a netbook. Jim is best described as a(n): a. innovator b. early adopter c. early majority d. leading consumer e. proactive

early adopter

Recession, inflation, and consumers' incomes are the _____ factors of greatest concern to most marketers. a. economic b. socio-demographic c. political d. government e. consumption

economic

The advertisements for Kay Jewelers usually show a man presenting a woman with a ring or necklace and receiving a kiss in return. The ad then shows the slogan "Every Kiss Begins with Kay." This is an example of _____ positioning. a. product class b. price and quality c. use or application d. attribute e. emotion

emotion

In Miami, several radio stations broadcast in Spanish and play Latin music for the Hispanic people living in South Florida. The radio stations are using _____ segmentation. a. usage rate b. ethnic c. socioeconomic d. geographic e. gender

ethnic

Kimberly-Clark has outfitted consumers with mini video cameras mounted to visors to watch consumers doing chores and shopping. Using this research approach, known as _____ research, Kimberly-Clark learned that mothers had trouble using Huggies Baby Wash to bathe their infants. The problem was that the women liked to keep one hand on their infant at all times while the Baby Wash bottle required two hands to open dispense. a. ethnographic b. dichotomous c. experiment d. survey e. open-ended

ethnographic

A(n) _____ is characterized by the researcher altering one or more variables—such as price or package design--while observing the effects of those alterations on another variable (usually sales). a. observation research project b. research problem c. experiment d. sampling frame e. correlation of facts study

experiment

All of the following are individual factors influencing consumer buying decisions EXCEPT: a. gender b. age c. family d. personality e. life cycle stage

family

When a company markets several different products under the same brand name, it is referred to as a(n) _____ brand. a. family b. generic c. bargain d. dealer e. umbrella

family

Most people recognize Butterball as a brand of turkey, but Butterball brand is also found on fresh turkey breast cuts, turkey sausages, and ground turkey; lunchmeat cold cuts; fresh marinated bone-in, boneless, and whole chicken; frozen chicken products; and Butterball stuffing and gravy mixes. Butterball uses: a. dealer branding b. brand grouping c. family branding d. generic branding e. co-branding

family branding

A _____ is a form of personal interviewing that uses a group of seven to ten people who have been recruited because of certain desired consumer characteristics. a. passive people meter b. primary data group c. cross-tab set d. CLT interview e. focus group

focus group

A _____ error arises if the sample drawn from a population differs from the target population. a. field b. frame c. measurement d. random e. nonresponse

frame

70. A(n) _____ refers to a brand that obtains at least a third of its earnings from outside its home country. a. evoked set b. global brand c. equity brand name d. master brand e. ethnocentric trademark

global brand

Kendra teaches high school science. She is also a wine expert, a PTA president, and an accomplished sculptor. Her other interests include scrapbooking, gourmet cooking, and NASCAR. Marketers would categorize Kendra as: a. fitting into a caregiver segment b. a member of the typical education-based target segment c. not belonging to any target market d. having a component lifestyle e. having a conforming lifestyle

having a component lifestyle

Brand loyalty can: a. increase product diffusion b. encourage competition c. shorten the amount of time a product spends in the maturity stage d. help ensure repeat sales e. sell a bad product

help ensure repeat sales

The two types of shopping products are: a. unsought and convenience b. generic and family c. exclusive and intensive d. heterogeneous and homogeneous e. consumer and business

heterogeneous and homogeneous

There are many HD television sets on the market, and they vary so much on price, quality, and features that consumers often have trouble comparing them. An HD television would probably be considered a _____ product. a. convenience b. specialty c. heterogeneous shopping good d. homogeneous shopping good e. generic

heterogeneous shopping good

When Kyla wanted patio furniture, she visited stores that had outdoor furniture, including Home Depot, Lowe's, Target, and Howard Lumber Company to find the set that would look just right on her patio. If Kyla represents a typical patio furniture shopper, you know this product is a(n): a. homogeneous luxury product b. shopping specialty good c. operating supply good d. convenience item e. heterogeneous shopping good

heterogeneous shopping good

Refer to Day Care. Fiona spent a significant amount of time and effort in selecting the day care center for Kate. This suggests the center is a(n) _____ product for Fiona. a. impulse b. low-involvement c. routine response d. convenience e. high-involvement

high-involvement

Refer to New Car Purchase. Zena spent a considerable amount of time and effort on her new car purchase. This suggests that the car is a(n) _____ product for Zena. a. impulse b. low-involvement c. routine response d. nondurable e. high-involvement

high-involvement

A product that is perceived as new by a potential adopter, whether the product is "new to the world" or simply new to the individual, is called a(n): a. innovation b. diffusion c. discontinuous product d. laggard e. simulated new product

innovation

New products are important to a company for all the following reasons EXCEPT: a. increased revenues b. immediate profits c. sustained growth d. replacement of obsolete items e. increased profits

immediate profits

Compass is a United Kingdom-based catering company that has developed a marketing plan designed to make it the largest caterer in China within the next two decades. As part of its marketing _____, it has already begun serving meals on trains that run between Shanghai and Beijing. a. policy b. implementation c. evaluation d. control e. strategy

implementation

Because Laurence did not know companies actually sold pet insurance so that owners could pay for operations on their pets in the event of a sickness or accident, he paid almost $4,000 to have his dog's broken hip replaced. Once he discovered such a product existed, he perceived the insurance to be a(n): a. heterogeneous shopping product b. diffusion c. market laggard d. product diversification e. innovation

innovation

Mitch purchased a 32-inch HD television right after they were introduced in the marketplace and paid over $8,000 for it. He has a master's degree in business and is well-informed about electronic products. He is venturesome and is always looking for new products to try. Mitch is best described as a(n): a. early adopter b. early majority c. innovator d. diffusers e. lead consumer

innovator

Major equipment goods such as machines, mainframe computers, and buildings are also referred to as: a. investment goods b. necessity goods c. capital components d. strategic goods e. installations

installations

A new-product strategy: a. links the new-product development process with the objectives of the marketing department, the business unit, and the corporation b. is part of an organization's overall marketing strategy c. specifies the roles new products play in the organization's overall plans d. describes the characteristics of products the organization wants to offer and the markets it wants to serve e. is accurately described by all of these

is accurately described by all of these

Refer to Hardie Siding Products. HardiePlank siding is an example of a product: a. line b. mix c. reference point d. item e. standardization

item

In the adopter categories, the final 16 percent to adopt are similar to innovators in that they do not rely on the norms of the group but are independent because they are bound to tradition. They tend to have the lowest socioeconomic status, are suspicious of new products, and are alienated from a rapidly advancing society. They are called: a. generics b. late majority c. decliners d. laggards e. late diffusers

laggards

The process that creates changes in behavior is called: a. selective adaptation b. learning c. involvement manipulation d. attitude adjustment e. behavior normalization

learning

Disney sells the rights for an investment company to run a Disneyland theme park in Tokyo. The investment company gains most of the profits from the enterprise while paying Disney a percentage in royalties. This is an example of: a. a joint venture b. exporting c. direct investment d. licensing e. capital-intensive manufacturing

licensing

Franchising is a form of: a. contract marketing b. international exporting c. licensing d. direct exporting e. countertrading

licensing

Jackson has moved to a new community and can no longer attend his old church. He has been visiting churches to make a decision about which one best serves his needs. In making his decision, Jackson will engage in _____ consumer decision making. a. limited b. extended c. habitual d. classical e. routine

limited

One type of sampling error is _____, which is created when the sample actually interviewed differs from the sample drawn. a. random error b. diagnostic error c. nonresponse error d. nonprobability error e. measurement error

nonresponse error

All of the following have been identified as trends that will lead to the continuing growth of one-to-one marketing EXCEPT: a. the growing number of customers who do not have time to spend shopping b. the fact that consumers do not want to be treated like the masses c. technology that allows the collection of detailed information on customers d. consumers are loyal to companies and brands that have earned their loyalty and reinforce it at every purchase occasion e. mass marketing is no longer appropriate, especially for consumer packaged-goods products

mass marketing is no longer appropriate, especially for consumer packaged-goods products

A driving force that causes a person to take action to satisfy specific needs is called a(n): a. instigator b. motive c. enforcer d. stimulus e. belief

motive

All of the following are advantages associated with online focus groups EXCEPT: a. good participation rates b. cost-effectiveness c. narrow geographic scope d. accessibility e. honesty of respondents

narrow geographic scope

Dustin is a member of a fraternity that sees no problem of underage drinking. In fact, it is encouraged and expected the members will party and drink alcohol regardless of their age. For this group, drinking is considered a(n): a. norm b. requirement c. expectation d. affect e. primer

norm

When a firm uses a concentrated targeting strategy, it can: a. view the total market as receptive to its product b. offer a highly specialized marketing mix c. reach customers in two or more segments that might otherwise be missed d. avoid the danger of putting all resources in one micromarket e. concentrate on one generalized product to fit the mass market, maximizing sales volume

offer a highly specialized marketing mix

A new medication to eliminate fungal growths on people's toenails may have a slow rate of adoption because it is not a highly visible item in homes. Also, this item is not often discussed among friends and coworkers. This is an example of how the characteristic of _____ can work to slow the adoption process. a. relative advantage b. observability c. trialability d. complexity e. compatibility

observability

An individualized marketing method that utilizes customer information to build long-term, personalized, and profitable relationships with each customer is referred to as: a. 80/20 marketing b. interpersonal marketing c. zoned marketing d. one-to-one marketing e. individual marketing

one-to-one marketing

Lands' End offers customers the option of having jeans and other types of pants made to fit them according to their waist, hip, and leg length measurements. This is an example of: a. an application of the 80/20 rule b. firewall marketing c. one-to-one marketing d. transformational marketing e. data mining

one-to-one marketing

Caterpillar, Inc., a manufacturer of earthmoving equipment, uses completed drivetrains (engines/transmissions/axles), drivetrain components, electronic controls, hydraulic and electrohydraulic components and systems, cooling systems, and undercarriage track systems produced by other organizations in its manufacturing process. Caterpillar is an example of a(n): a. fabricator b. installer c. original equipment manufacturer d. product provider e. component network

original equipment manufacturer

According to the text, another commonly used name for producers is: a. fabricators b. installers c. original equipment manufacturers d. product providers e. component networks

original equipment manufacturers

Imagine life without that little spinning wheel icon to remind you that your computer is still searching for a Web site or copying documents. Without this wheel, consumers might think the computer had stopped working. This process in which consumers interpret this stimulus into a meaningful and coherent picture is called: a. exposure b. perception c. retention d. cognition e. selection

perception

A(n) _____ could help determine whether or not snacking consumers consider Kashi Tasty Little Crackers healthy and tasty in comparison to other brands. a. predictive model b. perceptual map c. product position d. trend analysis e. internal marketing audit

perceptual map

All of the following are types of reference groups EXCEPT: a. primary b. secondary c. personal d. aspirational e. nonaspirational

personal

Refer to Dog Spa. The uncontrollable environmental factors Tumlin faces in terms of zoning restrictions for the new dog salon represent _____ factors. a. economic b. political and legal c. research and development d. cultural e. demographic

political and legal

When Universal Studios Japan opened, health inspectors discovered the theme park had piped industrial-use water not suitable for drinking into its drinking fountains. The problem was unanticipated and costly to repair. This is primarily an example of how _____ factors can cause a business to incur unexpected costs. a. social b. economic c. competitive d. cultural e. political and legal

political and legal

example of _____ factors that are part the external environment of all organizations. a. economic investment b. political and legal c. research and development d. competitive e. demographic

political and legal

All of the following are elements of the marketing plan EXCEPT: a. the business mission statement b. situation analysis c. the target market strategy d. the marketing mix e. portfolio analysis

portfolio analysis

The place a product, brand, or group of products occupies in consumers' minds relative to competing offerings is referred to as a product's: a. status b. equity c. frame d. role e. position

position

Chandler Kumar owns two antique stores. One is in an upscale neighborhood, and its merchandise is artfully arranged and priced to indicate product rarity. The other is in a run-down strip mall and contains some of the same type of merchandise, but the items are left in open boxes and placed haphazardly on shelves. Customers of either store have entirely different perceptions of the stores and would be surprised to know Kumar operates each of them because he uses such differing _____ strategies. a. market integration b. segmentation c. targeting d. positioning e. market combination

positioning

Through marketing research, the Boston Symphony Orchestra (BSO) learned it has an older market and is not attracting younger concertgoers. It next conducted marketing research to determine if an integrated advertising campaign targeted to the younger market would be successful. In its second use of research, BSO employed _____ marketing research. a. historical b. descriptive c. predictive d. normative e. objective

predictive

Before Heinz sold its 9-Lives brand cat food unit, the company identified the product as having a low market share in a high-growth market. The portfolio matrix would classify 9-Lives as a(n): a. star b. exclamation point c. problem child d. cash cow e. widow

problem child

There are a number of toothpastes marketed under the Crest brand, including Cavity Protection Crest, Pro-Health Sensitive Shield Crest, Baking Soda Crest, Tartar Protection Crest, and Crest for Kids. This is an example of Crest's: a. product line width b. product mix c. product line depth d. product mix inconsistency e. marketing mix

product line depth

Universal product codes (UPCs) can perform all the following functions EXCEPT: a. allow scanners to match codes with brand names, package sizes, and prices b. print product and price information on cash register tapes c. assist retailers in preparing records of customer purchases d. allow retailers to accurately track sales and control inventories e. provide the detailed nutritional information required by the FDA

provide the detailed nutritional information required by the FDA

Magazines like Martha Stewart Living, Better Homes & Gardens, and other magazines targeted to people who are interested in improving their personal spaces rely on _____ segmentation. a. psychographic b. demographic c. usage rate d. geodemographic e. family life cycle

psychographic

The product characteristic affecting the rate of adoption characterized by the degree to which a product is perceived as superior to existing substitutes is: a. compatibility b. complexity c. relative advantage d. product differentiation e. competitive advantage

relative advantage

H&R Block launched a $100 million marketing campaign to parlay the company's intimate knowledge of 20 million customers' finances into other services like mortgages and investment advice. Block has great brand recognition, but consumers only care about it four months out of the year. H&R Block is attempting to _____ itself to make people think of it as a company offering services year-round. a. reposition b. reengineer c. demarket d. undifferentiate e. niche

reposition

Each week, Jess comes to the supermarket with a list of essential items: milk, bread, peanut butter, and chocolate. This is an example of: a. buyer's harmony b. situational convenience c. routine response behavior d. limited decision making e. consistent decision making

routine response behavior

Hank operates a plumbing and electrical supply store. He has categorized its business customers by their purchasing strategy. Hank has found it much easier to serve and satisfy the _____, who usually recontact familiar suppliers and place an order immediately if product and delivery requirements are acceptable. a. adopters b. adapters c. optimizers d. innovators e. satisficers

satisficers

Refer to Coca-Cola. The fact that Ed paid attention to the billboard is an example of: a. selective perception b. selective exposure c. selective distortion d. selective retention e. selective discrimination

selective exposure

Ralph played mediocre golf for over 20 years. Then he retired and vowed to improve his golf game by buying one of the sets of new golf clubs that promise increased distance and have a $700 price tag. According to Maslow's hierarchy of needs, Ralph is most likely trying to satisfy his _____ needs. a. social b. safety c. self-actualization d. physiological e. psychological

self-actualization

Bang & Olufsen make some of the best sound systems in the world. After years of development, Bang & Olufsen recently released its new BeoLab 5 speakers. For audiophiles who demand the best in audio equipment, the $19,950 Bang & Olufsen BeoLab 5 speakers represent an example of a(n) _____ product. a. heterogeneous shopping b. specialty c. homogeneous shopping d. convenience e. exclusive

specialty

Janet will only purchase Williams-Sonoma products for her kitchen. The products are expensive, but Janet feels they have the highest quality and will last a very long time. These products represent _____ products. a. heterogeneous shopping b. specialty c. homogeneous shopping d. convenience e. business

specialty

Homogeneous groups of people who share elements of the overall culture as well as unique elements of their own group are called: a. autonomous personal units b. probability samples c. subcultures d. normative groups e. dissociative groups

subcultures

According to the criterion of _____, a selected segment must be large enough to warrant developing and maintaining a special marketing mix. Serving the specific needs of this segment must be commercially viable, even if the number of potential customers is small. a. causality b. accountability c. responsiveness d. accessibility e. substantiality

substantiality

Refer to Turkey Hunting Equipment. Given that the wild turkey hunters number approximately 2.7 million, it meets the segmentation criterion of: a. substantiality b. accessibility c. reliability d. responsiveness e. functionality

substantiality

All of the following are roles found within a buying center EXCEPT: a. influencers b. gatekeepers c. suppliers d. users e. initiators

suppliers

The consumer product classification system is based on: a. how the market is segmented b. the way the products are manufactured c. the way products are used d. the physical attributes of the product e. the amount of effort consumers spend to acquire the product

the amount of effort consumers spend to acquire the product

All of the following are factors in the external environment affecting marketing EXCEPT: a. the marketing mix b. economic conditions c. technology d. political and legal factors e. the competition

the marketing mix

Marketing research should not be undertaken when: a. the perceived costs are greater than the projected benefits b. there are no secondary data in existence to guide the project definition c. it will take a long time to complete d. the actual costs are less than the forecasted benefits e. the perceived costs are the same as the forecasted benefits

the perceived costs are greater than the projected benefits

When a product name becomes generic: a. the firm must use black-and-white packaging b. competitors are prohibited by law from using the trademark c. the price will have to drop to appeal to lower-income consumers d. the product name is no longer recognized as the exclusive property of one firm e. a firm can reapply for exclusive trademark protection at the U.S. Patent Office

the product name is no longer recognized as the exclusive property of one firm

Radio One is the largest U.S. radio broadcasting company targeting black Americans today. Radio One staffers are constantly reviewing secondary information looking for any emerging trends in their target market. Potential disadvantages of this research approach include: a. the questionable quality of the data b. the high cost of collecting secondary data c. the length of time it takes to collect secondary data d. interviewer bias during the collection process e. the potential for sampling error

the questionable quality of the data

The research design specifies: a. follow-up procedures for the research b. the information that will be found c. how the final report will be written d. how the information gathered will be used to predict external environmental changes e. the research questions to be answered

the research questions to be answered

Because her mother only went to the supermarket once a month, this is how Monique prefers to do her grocery shopping. One of the reasons Monique is such an efficient shopper is that, like her mother, Monique believes, "Waste not, want not." The passing down of norms and values to Monique is an example of: a. consumerism b. the socialization process c. acculturation d. the roles opinion leaders play in business decision making e. the role of society in consumer decision making

the socialization process

An enduring belief that a specific mode of conduct is personally or socially preferable to an alternative mode of conduct is called a(n): a. lifestyle b. self-concept c. attitude d. value e. perception

value

Negotiations (such as GATT or the Uruguay Round) between countries that are made to stimulate global exchange and remove barriers are called _____ agreements. a. trade b. joint venture c. CRM d. exchange e. licensing

trade

A _____ is a legal term indicating the owner's exclusive right to use a brand name or part of a brand. a. trademark b. patent c. brand d. private brand e. right of warranty

trademark

Candace Popwell makes and markets Festive Holiday Truffles candy. The confectionary company owner views the world as one big market with no individual segments and tries to reach it with only one marketing mix. Her essentially mass-market philosophy indicates she probably uses a(n) _____ strategy. a. multisegment targeting b. universal product c. concentrated targeting d. undifferentiated targeting e. product differentiation

undifferentiated targeting

When Henry Ford made the Model T, he said that consumers "can have their car in any color they want, as long as it's black." This was a case of: a. repositioning b. reengineering c. one-to-one marketing d. undifferentiated targeting e. niche marketing

undifferentiated targeting

The population from which a sample in a marketing research study will be drawn is referred to as the: a. universe b. market c. test market d. focus group e. control group

universe

Alice is a very busy person, and she hates to spend her time doing yard work. She really likes the idea of a synthetic lawn. However, she has never pursued the idea, as she has two dogs in her backyard. Alice doesn't know that several manufactures make synthetic grass with an antibacterial agent to minimize odors for pet owners. For Alice, the dog-friendly synthetic lawns are a(n) _____ product because she doesn't know the product exists. a. heterogeneous shopping b. specialty c. unsought d. convenience e. exclusive

unsought

Freda was proud of her shiny new iPhone. But she was disappointed when she began to notice scratches on its display surface. If Freda had known about the clear protective films that were available to protect the iPhone display from scratches, she could have avoided this annoying problem. For Freda, the protective films are a(n) _____ product. a. heterogeneous shopping b. specialty c. unsought d. convenience e. consumer

unsought

General Mills offers a deal where its cereal users can collect box tops and submit them to General Mills to earn money for their children's schools. This program, called the Box Tops for Education Program, is a means of changing light users into heavier users. In other words, it is a form of _____ segmentation. a. lifestyle b. motive c. usage-rate d. demographic e. personality

usage-rate

Most airline frequent flyer programs reward the most frequent flyers with business class upgrades and flight lounge privileges. Airlines are using these rewards as a means of implementing _____ segmentation. a. lifestyle b. motive c. usage-rate d. demographic e. personality

usage-rate

A(n) _____ is a way a consumer goes about addressing a need. a. want b. evaluation c. quest d. cognition e. attitude

want

Among the late majority group, adoption of a product primarily results from: a. word-of-mouth communications b. print advertising c. advertising in nontraditional media d. broadcast advertising e. sales promotions

word-of-mouth communications

Refer to Alberto Culver Company. The toiletries, household, and professional divisions compose Alberto Culver's product mix: a. depth b. length c. width d. reliability e. consistency

width

Which of the marketing mix elements is often the most flexible? a. Product b. Promotion c. Publicity d. Place e. Pricing

Pricing

Refer to College Decision. Juan's friends might influence him to go to the local community college. What type of reference group characterizes his friends? a. Indirect b. Primary c. Secondary d. Aspirational e. Nonaspirational

Primary

When a greenhouse plant grower sells plants to nursery retailers, the grower is selling _____ products. a. specialty b. consumer c. convenience d. business e. unsought

business

In the _____ stage of new-product development, preliminary demand, cost, sales, and profitability estimates are made. a. prototype screening b. idea generation c. concept testing d. post-brainstorming e. business analysis

business analysis

Middleton has developed the Flybar 1200, an extreme pogo stick that propels users more than five feet into the air. During the _____ stage of its new-product development process, a group was assigned the task of estimating preliminary demand for the product, costs (including issues with liability), sales, and future profitability. a. business analysis b. idea generation c. concept testing d. screening e. test marketing

business analysis

The Barter Company (TBC), located in Kennesaw, Georgia, acts as a broker between companies that want to trade products or services. Companies must be a TBC member, and there is a one-time fee to join. TBC charges a brokerage fee on each transaction facilitated. This company is an example of a(n): a. service integrator b. job source c. business service d. extended service e. component service

business service

A small retailer hired an accountant to run its payroll and pay its taxes. The accountant provided the retailer with: a. OEMs b. processed services c. business services d. accessory services e. service supplies

business services

Carlos Hernandez owns a company in Miami that purchases products from U.S. manufacturers for export to several countries in Central and South America. Carlos is a(n): a. licensing agent b. buyer for export c. export broker d. export agent e. export importer

buyer for export

The _____ is an intermediary in the global market who assumes all risks and sells globally internationally for its own account. The domestic manufacturer usually treats it like a domestic customer. a. buyer for export b. export agent c. joint venturer d. contract manufacturer e. market group

buyer for export

The _____ is the set of all persons in an organization who become involved in the purchasing process. a. buying center b. stakeholder committee c. ad hoc purchasing staff d. board of directors e. comptroller's staff

buying center

Train collectors Jack McCoy and Sandro Dias have decided to open a store that sells train memorabilia--everything from toy train sets to full-sized railroad signs. After 18 months in business, they have noticed most of their sales are to the same small group of customers (about 40 people) even though they have records to show there are over 200 active train collectors within a 50-mile radius of their store. Their retailing experience is supportive of the: a. optimizer principle b. min-max rule c. majority fallacy d. rule of demand e. 80/20 principle

80/20 principle

Texas Instruments (TI) has developed a detailed Values and Ethics Statement and Code of Business Conduct. Why did they choose to create these? a. They makes TI look good. b. TI's suppliers will only buy from them if they have these statements. c. U.S. law requires a code of ethics. d. Consumers demand ethical practices. e. A code of ethics helps guide buyers and sellers and overall helps the company to follow ethical practices.

A code of ethics helps guide buyers and sellers and overall helps the company to follow ethical practices.

Which of the following is the BEST example of an internal stimulus that would create need recognition? a. A friend comments on how shabby your coat looks b. A radio station runs an ad for a new video game rental store c. A headache d. An invitation to a graduation for which you need a gift e. A billboard promoting a new national Internet service provider

A headache

All of the following statements are reasons why consumer goods companies take a regional approach to marketing rather than a national approach EXCEPT: a. Many firms need to find new ways to generate sales because of sluggish and intensely competitive markets. b. A regional approach gives marketing managers control over the competitive environment. c. Computerized checkout stations with scanners enable retailers to assess accurately which brands sell the best in each region. d. Many packaged-goods manufacturers are introducing new regional brands intended to appeal to local preferences. e. A more regional approach allows consumer goods companies to react more quickly to competition.

A regional approach gives marketing managers control over the competitive environment.

A manufacturer of office furnishings is finding it difficult to compete with cheaper imported merchandise. Which of the following is a potential source of new-product ideas that would allow it to compete more effectively? a. Current retailers who carry the manufacturer's equipment b. Its foreign competitors c. The company's employees d. Customers who have requested its catalogs e. All of these

All of these

Which of the following is a source of competitive intelligence? a. A company's salespeople b. Government agencies c. the Yellow Pages d. Periodicals e. All of these are sources

All of these are sources

Which of the following would be considered a new product? a. A new product line b. A new-to-the-world product c. An addition to an existing product line d. An improvement or revision of an existing product e. All of these choices

All of these choices

The Hispanic population is driving minority growth in the United States.

Which type of research attempts to develop new or improved products? a. Basic b. Synergistic c. Secondary d. Primary e. Applied

Applied

Refer to Novartis. One thing Novartis plans to do is increase sales to governments and to the United Nations agencies since these are the typical buyers of vaccines to distribute in poor countries. Thus, the company is willing to give up short-term profits to increase market share for this company. In terms of the portfolio matrix, which basic strategy will Novartis be implementing? a. Hold b. Harvest c. Divest d. Build e. Divert

Build

The _____ is a governmental body that has the power to prescribe mandatory safety standards for almost all products consumers use. a. Health and Welfare Agency b. Federal Trade Commission c. Food and Drug Administration d. Federal Communications Commission e. Consumer Product Safety Commission

Consumer Product Safety Commission

While some countries have elements of both capitalism and socialism, most nations are at one political extreme or the other.

Merissa Champlain designs and sells clothes for young working women. Her marketing managers recently told her that she'll be in financial trouble unless she starts designing clothes suited to Gen Yers. Why is this? a. Gen Yers are picky. b. Gen Yers are more multicultural. c. Baby boomers provide all of the disposable income for Gen Y members. d. Demographically, Gen Yers are an extremely large group of consumers. e. Gen Yers are easily swayed by traditional promotion media.

Demographically, Gen Yers are an extremely large group of consumers.

Susan is the director of marketing for a company that sells recreational vehicles and is developing a marketing plan to cover the next five years of business. Which of the following is an uncontrollable factor Susan must consider in her plan? a. Place or distribution factors b. Media buying factors c. Economic factors d. Promotional literature e. Pricing strategy for warranty services

Economic factors

_____ is defined as the collection and interpretation of information about forces, events, and relationships that may affect the organization. a. Market sampling b. An internal audit c. Opportunity analysis d. Environmental scanning e. Stakeholder analysis

Environmental scanning

A snowball sample is a type of probability sample

Berkshire Hathaway Inc., a large property insurance company, owns a large chain of jewelry stores and has recently purchased Russell Corporation, a manufacturer of sporting goods. Berkshire Hathaway uses a market penetration strategy.

Clearing Skies Press published a book by Robert Ruark entitled Keeping the Baby Alive Till Your Wife Gets Home. It is an advice book for new fathers. What demographic variables have been used to define the market for this book? a. Benefit desired and lifestyle b. Gender and family life cycle stage c. Age, gender, and personality d. Benefit desired and gender e. Usage-rate and lifestyle

Gender and family life cycle stage

Consumers born between 1965 and 1978 form a group called: a. tweens b. yuppies c. cohort markets d. America's mass market e. Generation X

Generation X

_____ is the segmenting of markets based on the region of the country or the world, market size, market density (number of people within a certain unit of land), or climate. a. Community segmentation b. Geographic segmentation c. Geodemographic segmentation d. PRIZM segmentation e. Demonstrated regionalization

Geographic segmentation

A company that specializes in planning and organizing large family reunions has hired you to identify a target ethnic market. Which market would be ideal? a. African American b. Korean Americans c. Chinese immigrants d. Caucasians e. Hispanics

Hispanics

_____ are products consumers see as being basically the same, so consumers shop for the lowest price. a. Low-prestige specialty products b. Product equivalents c. Heterogeneous shopping products d. Generic convenience products e. Homogeneous shopping products

Homogeneous shopping products

A European dairy that is famous for its rich ice creams has introduced basil-, tomato-, fennel-, and oregano-flavored ice creams. In the process of developing these new flavors, the dairy surveyed world-famous chefs to determine which nontraditional flavors had the greatest level of marketability. This survey would have happened during which stage of the product development process? a. Concept testing b. Brainstorming c. Basic research d. Idea screening e. Applied research

Idea screening

When Procter & Gamble wanted to enter the hair-care market, it purchased Wella, a leading German company specializing in hair-care products. What new product category does this acquisition represent for P&G? a. Repositioning strategy b. New product line c. Addition to existing product line d. Discontinuous innovation e. Revision of existing products

New product line

Jennifer purchased Cascade 2in1 ActionPacs for her dishwasher. The packaging said the product combines the scrubbing power of Cascade with the grease-fighting power of Dawn dishwashing detergent. What type of co-branding does this product represent? a. Cooperative b. Complementary c. Piggyback d. Ingredient e. Synergistic

Ingredient

_____ are eager to try new ideas and products. They typically have higher incomes, are better educated, and are more cosmopolitan than other categories of adopters. a. Early adopters b. Innovators c. Early majority d. Late majority e. Laggards

Innovators

One segment of the business market has primary goals that differ from the ordinary business goals such as profit, market share, or return on investment. This segment includes many schools, churches, and civic clubs. Which business market is this? a. Institutions b. OEMs c. Services d. Providers e. Resellers

Institutions

Refer to Callaway Golf Co. When Callaway researchers asked questions like "What bothers you the most about your irons?" what type of questions were they asking? a. Scaled response b. Close-ended c. Dichotomous d. Open-ended e. Multiple answer

Open-ended

Which of the following statements about culture as an influence on consumer buying behavior is true? a. A firm that understands the culture it is selling to has just as great a probability of selling its product as a firm that has no understanding of the culture. b. Some fear the proliferation of the Internet will increase cultural heterogeneity. c. Language is an important aspect of culture. d. Core values remain the same for all cultures. e. All of the statements about culture as an influence on consumer buying behavior are true.

Language is an important aspect of culture.

Which category of adopters adopt a new product because most of their friends have already adopted it? a. Innovators b. Early majority c. Early adopters d. Laggards e. Late majority

Late majority

Nellie's boss sells merchandise through Internet auctions. He needs to mail a $1,500 hexagonal antique picture frame. He has instructed Nellie to buy packaging that will make sure the oddly shaped frame arrives at its new owner's home undamaged, but he has not told her how or where she will find such packaging. Given that she frequently has to purchase packaging supplies, what kind of purchase decision process would she most likely employ? a. High-involvement response behavior b. Low-involvement decision making c. Extensive decision making d. Limited decision making e. Routine response behavior

Limited decision making

Madison announced to her family last night that she wanted a pair of in-line skates. Her sister Bailey said she thought it was a stupid idea. Their mother, Wanda, said Madison deserved a special treat for winning the science fair. Because her father Ned said nothing, Madison knew she was not getting the skates. In terms of the roles played by family members in the consumer decision-making process: a. Madison was the initiator, and Ned had no role at all. b. Bailey was the initiator, and Wanda was the decision maker. c. Madison was an influencer, and Wanda was the decision maker. d. Madison was the initiator, and Ned was the decision maker. e. Madison was the initiator, and Bailey had no role at all.

Madison was the initiator, and Ned was the decision maker.

Which type of survey research method involves interviewing people in the common areas of shopping malls? a. Telephone interviews b. Panel surveys c. Mall intercept interview d. Centralized interviews e. Interactive research

Mall intercept interview

Concepts tests are considered fairly good predictors of success for line extensions and for products that do not require major changes in consumer behavior.

_____ is a strategy that attempts to attract new customers to existing products. a. Product development b. Market development c. Market penetration d. Product penetration e. Diversification

Market development

_____ is the process of planning, collecting, and analyzing data relevant to a marketing decision. The results of this analysis are then communicated to management. a. Data collection b. Artificial intelligence c. Decision support d. Marketing research e. Single-source research

Marketing research

Refer to College Decision. The direct mail pieces with scholarship information that schools are sending to Juan are examples of which type of information sources? a. Marketing-controlled b. Nonmarketing-controlled c. Service-oriented d. Internal e. Selective

Marketing-controlled

Many people surveyed say they are environmentally conscious and favor green products even if they are more expensive than traditional products. Some marketers are worried that many people may not actually purchase green products. This concern is about the potential for what kind of sampling error? a. Nonresponse b. Frame c. Random d. Measurement e. None of the choices apply

Measurement

Which of the following statements about Generation Y is true? a. Its members were born between 1965 and 1978. b. Members are multitaskers and want to be in the know. c. The members of Generation Y are pressed for time and spend more on personal services than any other age group. d. Members of Generation Y are the first generation of latchkey kids. e. All of these statements are true.

Members are multitaskers and want to be in the know.

Which of the following statements about buying centers is true? a. The most efficient buying centers have no more than five members. b. No one individual should assume more than two buying center roles. c. Buying centers are clearly labeled on all organizational charts. d. Complex purchase situations usually have fewer people involved in the buying center than less complex purchases. e. Membership and influence in a buying center vary from company to company.

Membership and influence in a buying center vary from company to company.

Which of the following is a criticism of multinational corporations? a. Multinationals sometimes support reactionary and oppressive regimes. b. Multinationals require excessive employment information. c. Countertrading d. The transference of labor-intensive technology e. Multinationals do not do enough to standardize their marketing mixes.

Multinationals sometimes support reactionary and oppressive regimes

A survey by RoperASW asked consumers to check where they were most likely to look for information about a new book. Possible answers were book club catalogs, book reviews in newspapers, book reviews in magazines, television programs, friends, radio programs, local reading groups, or the Internet. What type of question was used in this survey? a. Multiple choice b. Dichotomous c. Scaled response d. Open-ended e. Sampling frame

Multiple choice

Sam was driving when someone ran a stop sign and totaled his car. His car cannot be repaired, so he realized he's going to have to get another one. What stage of the consumer decision-making process does this represent? a. Need recognition b. Purchase c. Evaluation of alternatives d. Postpurchase behavior e. Information search

Need recognition

The government uses a system called NAICS to classify North American business establishments. NAICS stands for: a. Non-American Industry Classification System b. North and South American Institutional Coding Services c. Non-American Industrial Corporation System d. North American Institution Code System e. North American Industry Classification System

North American Industry Classification System

Southern Fireworks Manufacture Company in Liuyang, China, provides fireworks for companies in America such as Premier Pyrotechnics in Richland, Missouri. This means that Southern is a(n): a. installer of original materials b. demand company c. reseller d. government buyer e. OEM

OEM

_____ research depends on watching what people do. a. Anonymous viewership b. Observation c. Interactive d. Personal scanner e. Survey

Observation

How can marketers reduce consumers' cognitive dissonance? a. Offer guarantees b. Offer sales promotions c. Avoid contradictory information d. Change the product e. Ignore it

Offer guarantees

Several types of analysis are common to marketing research. Which one is the simplest? a. One-way frequency counts b. Statistical analyses c. Cross-tabulations d. Passive people meters e. Scaled responses

One-way frequency counts

_____ is the primary promotional method for the sale of all business products. a. Direct mail b. Advertising c. Personal selling d. Public relations e. Trade promotions

Personal selling

Refer to Coca-Cola. According to Maslow's hierarchy of needs, which need was Ed trying to satisfy when he purchased the Coke? a. Self-actualization b. Esteem c. Safety d. Social e. Physiological

Physiological

_____ studies collect data on two different projects using one questionnaire. a. Piggyback b. Single-source c. Synergistic d. Multi-tiered e. Dual-coding

Piggyback

Golden Valley Microwave Foods, Inc. is the manufacturer of ACT II popcorn. In its early years, the company had trouble financing the development and marketing of products for the microwave, so it chose to participate in a financial arrangement in which it agreed that it would not sell ACT II popcorn in supermarkets or grocery stores. Which element of the marketing mix was most influenced by this arrangement? a. Product b. Place c. Price d. Public relations e. Promotion

Place

A cold medicine manufacturer offers a promotion allowance to retailers for setting up displays featuring its products. Retailers are also offered promotional allowances on purchases of the products. Which legislation requires the manufacturer to make these promotion allowances available to all retailers on a proportionately equal basis? a. Hart-Scott-Rodino Act b. Sherman Act c. Celler-Kefauver Antimerger Act d. Robinson-Patman Act e. Lanham Act

Robinson-Patman Act

Firms can be categorized by the type of purchasing strategy they use. _____ usually contact familiar suppliers and place an order with the first that can meet product and delivery requirements. a. Strugglers b. Actualizers c. Optimizers d. Satisficers e. Experiencers

Satisficers

What is the best generator of repeat sales? a. Advertising b. Sales promotion c. Brand equity d. Satisfied customers e. Global brand

Satisfied customers

Refer to Callaway Golf Co. When Callaway researchers asked questions like "Now that you have played with the new club, how likely would you say you would be to buy it?" they asked golfers to respond on the following scale: 1 = would definitely not buy it 2 = would probably not buy it 3 = might or might not buy it 4 = would probably buy it 5 = would definitely buy it. What type of question is this? a. Scaled response b. Limited response c. Dichotomous d. Open-ended e. Multiple answer

Scaled response

What is the first step in segmenting a market? a. Set the segmentation goals b. Choose a basis or bases for segmenting the market c. Select a market or product category for study d. Profile and analyze segments e. Select target markets

Select a market or product category for study

_____ occurs when consumers remember only information that supports their personal feelings or beliefs. a. Intermittent reinforcement b. Selective exposure c. Selective retention d. Faulty selectivity e. Selective distortion

Selective retention

_____ is how consumers perceive themselves in terms of attitudes, perceptions, beliefs, and self-evaluations. a. Socialization b. Personality c. Socialization d. Normalization e. Self-concept

Self-concept

Even if all parties to a global business transaction are fluent in a common language, other cultural factors could interfere with the communication process.

A product's positioning could be based on product users.

A random sample is a carefully developed probability sample set up to ensure that every member of the population has an equal chance of being selected as part of the sample.

A stimulus is a unit of input from either an external or internal source that can affect sight, smell, taste, touch, or hearing.

A true marketing decision support system is interactive, flexible, discovery oriented, and accessible.

An elementary school teacher purchased a ream of art paper, a box of crayons, and some modeling clay. The teacher intends to use these products in her classroom, so they would be classified as business products.

Andersen Electronics is currently engrossed in its first estimations of costs and revenues for a new amusement park video skill game. This firm is engaged in a new-product business analysis.

Any firm that purchases goods and services to make a profit by using them to produce other goods is part of the producer segment of the business market.

Apple is known for its Macintosh and iPod products. Apple recently added the iPhone product to its list of products. The addition of the iPhone was an example of a product line extension for the company.

Branding has three main purposes: product identification, repeat sales, and new-product sales.

By keeping the blue triangle in the corner and the Nabisco name on several similar Nabisco snack products, Nabisco is attempting to capitalize on stimulus generalization.

Company characteristics, such as geographic location, type of company, company size, and product use, can be important segmentation variables.

Refer to E-cigarettes. The e-cigarette has been heralded as an innovative product that serves a need for smokers by helping them quit the habit. This innovative product was developed from changes in which environment? a. Demographic b. Technological c. Economic d. Social e. Competitive

Technological

The Ritz-Carlton hotel chain is renowned for its service and individual treatment of its customers. All service staff and employees have note pads and are taught to record every little piece of information they learn about a customer. If a business traveler ordered soft pillows, only wanted martinis in his mini bar, and needed access to a fax machine, he would find all of these amenities in his room when he arrived. The Ritz-Carlton is basing its one-to-one marketing on which of the following trends? a. The growing number of customers who do not have time to spend shopping b. The fact that consumers do not want to be treated like the masses c. Data mining capabilities d. The use of reward systems to increase brand loyalty e. The growing market for luxury products

The fact that consumers do not want to be treated like the masses

Changing consumers' perceptions of a brand in relation to competing brands is known as: a. positioning b. repositioning c. reintermediation d. demarketing e. reengineering

repositioning

_____ products are products that are not known about or not actively searched for by consumers. These products require aggressive personal selling and highly persuasive advertising. a. Hidden b. Specialty c. Equity d. Unsought e. Shopping

Unsought

Which type of segmentation divides a market by the amount of product bought or consumed? a. Benefit segmentation b. Characteristic segmentation c. Usage-rate segmentation d. Demographic segmentation e. Psychographic segmentation

Usage-rate segmentation

What do self-sufficiency, upward mobility, work ethic, and conformity have in common? a. These are no longer valued attitudes b. They are attitudes that can easily be changed c. These are three perceptions that Americans have of the Asian lifestyle d. These are three of the core values that influence lifestyles in the United States e. They are the determinants of a component lifestyle

These are three of the core values that influence lifestyles in the United States

What is the moderator's role in online focus groups? a. To limit the discussion to closed-ended questions b. To provide freestyle screen dialogue including text, instructions, and probes c. To make sure costs remain relatively low d. To act as a data-mining engineer e. To let respondents control the discussion

To provide freestyle screen dialogue including text, instructions, and probes

The degree to which a product can be used on a limited basis represents which product characteristic influencing the rate of adoption? a. Complexity b. Trialability c. Observability d. Relative advantage e. Sampling

Trialability

You are the brand manager for a new line of allergy-relief drugs. Which of the following methods might you employ to use opinion leadership/reference groups to help stimulate demand for your products? a. Create ads that show the typical consumer performing a healthy lifestyle activity. b. Develop a promotional campaign that tells customers they "deserve to use" these products. c. Drop the price of your new products to the point where customers will realize they are getting a bargain. d. Develop a promotional campaign that emphasizes safety and security needs being fulfilled by these healthcare products. e. Use a series of ads showing different healthcare associations and societies endorsing the use of these healthcare products.

Use a series of ads showing different healthcare associations and societies endorsing the use of these healthcare products.

Which of the following is NOT a demographic characteristic of a population? a. Income level b. Age c. Values d. Education e. Birthrate

Values

Refer to E-cigarettes. E-cigarette manufacturers claim they are not trying to sell this product to children. Rather, they are offering an alternative to combustible tobacco for committed smokers. These smokers comprise the manufacturers': a. target market b. buying center c. consumer cluster d. demographic sample e. mass market

target market

A number of plastic surgery groups in Great Britain are making use of loyalty cards. Patients who have five procedures performed at their offices will receive either a free procedure or a discount on another more complex surgical procedure. Aimed at patients who get maintenance treatments such as Botox or regular face peels, the loyalty cards may be used toward any type of surgical procedure. This is an example of segmentation by: a. demographic b. benefit c. aggregate d. economics e. usage rate

usage rate

The public transportation system in the San Francisco area conducted a survey that revealed respondents could be assigned to one of four categories: (1) people who never utilized mass transit, (2) people who utilized mass transit in the past but not now, (3) people who utilized mass transit occasionally, and (4) people who utilized mass transit regularly. These groups have significantly different perceptions about transportation alternatives. This is an example of _____ segmentation. a. demographic b. benefit c. aggregate d. economic e. usage-rate

usage-rate

Cardiac Science, a U.S. manufacturer of defibrillators, heart monitoring devices, and other medical-related devices, sells 85 percent of its products outside the United States. It sells basically the same product to a hospital in London, Tokyo, Pretoria, or Sydney. It uses the same promotional tactics in all of its markets. Cardiac Science: a. is not concerned about media and messages used for international promotional efforts b. uses global marketing standardization c. assumes cultural uniformity and lifestyle differences occur across cultural settings d. desires technological receptivity from country to country e. assumes language acceptance in each country

uses global marketing standardization

Generation Y is the most ethnically diverse generation the nation has ever seen.

Geography, psychographics, and benefits sought are examples of possible segmentation variables used by marketers

Global marketing standardization presumes that the markets throughout the world are becoming more alike.

Which type of survey question is a closed-ended question designed to measure the intensity of a respondent's answer? a. A semantic differential b. A scaled-response question c. An interval-based question d. A sampling frame question e. A bounded-frame question

A scaled-response question

A company wanted to collect data on consumers' perceptions of its new brand. The marketing research director has recommended using a mail panel operated by Synovate. What can the company expect from a mail panel? a. A very high response rate b. The response rate will be low, as it is for all self-administered surveys c. The participants are not usually compensated for their assistance, so it will be inexpensive d. Data collection is more rapid than with telephone interviews e. The panel of consumers will meet monthly to discuss products that were sent to them to try

A very high response rate

Which of the following statements about planned obsolescence is true? a. Environmentalists support planned obsolescence. b. A company that is interested in producing a quality product would never engage in planned obsolescence. c. Style modification creates planned obsolescence. d. Planned obsolescence is not an ethical issue. e. All of the statements about planned obsolescence are true.

All of the statements about planned obsolescence are true.

Refer to Mercedes-Benz. Mercedes-Benz's baby boomers are a useful segment because they meet certain criteria. Which of the following do the baby boomers meet? a. Substantiality b. Identifiability and measurability c. Accessibility d. Responsiveness e. All of these

All of these

Which of the following is LEAST likely to be described as a subculture? a. Bank managers b. Hispanics c. College students d. Southeasterners e. Quakers

Bank managers

Refer to Federal Aviation Administration. Harris Corporation provides which type of business product to the FAA? a. Major equipment b. Accessory equipment c. Raw materials d. Business services e. Component parts

Business services

About 85 percent of U.S. companies export their products to other countries on a regular basis.

Although customer service has in the past been an important factor in business buyer-seller relationships, its importance has been waning in the last decade.

An attitude is a physiological difference among consumers

Zimmer-Centerpulse is the world's largest producer of replacement hips and knees for orthopedic surgery. It is particularly interested in marketing in the southwestern United States, where a large aging population lives. Which external environmental element most directly explains its continued growth? a. Economic conditions b. Political conditions c. Culture d. Demography e. Social forces

Demography

Refer to Wataniya Mobile. Wataniya Mobile has spent $100 million on infrastructure so far and will spend another $700 million over the next ten years. This is an example of which method of entering the global marketplace? a. Exporting b. Licensing c. Contract manufacturing d. Direct foreign investment e. Complete

Direct foreign investment

_____ is a global marketing strategy that requires active ownership (either a controlling interest or large minority interest) of a foreign company or overseas manufacturing or marketing facilities. a. Market grouping b. Import brokering c. Export subsidizing d. Licensing e. Direct foreign investment

Direct foreign investment

Making sure products are available when and where customers want them is the job of which element of the marketing mix? a. Advertising strategies b. Production strategies c. Product strategies d. Promotion strategies e. Distribution strategies

Distribution strategies

Refer to DeFeet International. DeFeet branched from making socks for cyclists to making apparel for skiing, hiking, corporate sponsors, and kids. This is an example of which of Ansoff's strategic alternatives? a. Market penetration b. Market development c. Product development d. Diversification e. Concentration

Diversification

_____ is the strategy of increasing sales by introducing new products into new markets. a. Product penetration b. Product development c. Market penetration d. Market development e. Diversification

Diversification

Which of the following is the latest round of World Trade Organization? a. Mercosur covenant b. CAFTA Alliance c. Doha Round d. Uruguay Round e. WTO Round

Doha Round

An economic recession increases demand for products and services.

Rising incomes mean a higher standard of living.

T/F Unlike a production-orientated firm, a firm embracing a sales orientation focuses on customer wants and needs so it can develop the best product at the lowest cost that will require very little selling effort.

_____ is the process of anticipating events and determining strategies to achieve organizational objectives. a. Planning b. Portfolio evaluation c. Forecasting d. Implementation e. Evaluation

Planning

Which of the following statements about simultaneous product development is true? a. Simultaneous product development refers to the practice of developing multiple new products at the same time. b. With simultaneous product development, all relevant functional areas and outside suppliers participate in all stages of the development process. c. All departments within the company work together at the same time, but to maintain a high level of secrecy, no one outside the company is involved in simultaneous product development. d. Simultaneous product development actually increases the length of time it takes to get a product to market and the time the product will stay in the growth stage of its product life cycle. e. All of these statements about simultaneous product development are true.

With simultaneous product development, all relevant functional areas and outside suppliers participate in all stages of the development process.

Most companies become sensitized to community issues after they've done enough damage to draw the locals' anger. Dofasco, Inc., a highly successful steel company in Ontario, tries to get ahead of business and community issues by annually bringing together representatives from the local area and deciding which projects to improve the local environment will be implemented. This annual community-wide meeting indicates Dofasco has a _____ orientation. a. societal marketing b. sales c. reciprocal exchange d. production e. product

a. societal marketing

Target shoppers can enroll in the Take Charge of Education® program so that Target will donate 1 percent of purchases made with a consumer's REDcard, a Target credit card. The more money customers spend, the larger the donation to the consumer's school of choice. By instituting the Take Charge of Education® program to help local schools, Target has shown a _____ orientation. a. societal marketing b. supplier c. sales d. production e. philanthropic

a. societal marketing

A popular technique for managing a large organization with different technologies and markets is to divide it into: a. strategic business units b. different technologies c. strategic target markets d. design matrices e. tactical segments

a. strategic business units

The group of people in the United States who were born between 1946 and 1964 are known as: a. Gen Xers b. gray markets c. synergistic cohorts d. the baby bust generation e. baby boomers

baby boomers

Three aspects of packaging that are especially important in international marketing are labeling, aesthetics, and: a. price b. length of distribution channel c. counterfeiting potential d. warranties e. climate considerations

climate considerations

Andrea just purchased a trip to Jamaica as a present to her husband for their tenth wedding anniversary. Andrea is anxious about the trip, afraid Bill will not like her choice of location and worried she spent too much money. Andrea is experiencing: a. selective dissatisfaction b. temporal distortion c. perceptual disharmony d. cognitive dissonance e. self-actualization involvement

cognitive dissonance

Tall Paul's designs and sells household furniture and furnishings to people who are over 6'6" tall--a rather small target market. Tall Paul's uses a(n) _____ targeting strategy. a. benefit b. undifferentiated c. multisegment marketing d. universal product code e. concentrated

concentrated

Dr. Neuman is a marketing professor who uses her students in research studies because they are convenient and readily accessible. She is using a _____ sample. a. single-source b. random c. probability d. representational e. convenience

convenience

The owner of Maine Kitchen Art bowls, spoons, and cutting boards knows marketing can make his company a success. He wants to rely solely on promotion as the technique for attracting customers. He advertises extensively in cooking magazines and provides retailers who carry his product with attractive displays. From this information, you know that Maine Kitchen Art has a _____ orientation. a. market b. societal c. production d. sales e. product

d. sales

To help understand why sales of Keebler Sweet Spot shortbread cookies had dropped off, the company used marketing research to gather factual information to help understand the problem. The gathering of factual statements is an example of marketing research in its _____ role.

descriptive

All of the following are product characteristics influencing the rate of adoption EXCEPT: a. complexity b. compatibility c. relative advantage d. observability e. distribution

distribution

The goal of the Central America Free Trade Agreement is to: a. create free trade agreements between the United States and other industrialized nations b. eliminate all protectionism c. raise prosperity levels in all industrializing nations d. establish a free trade agreement between the United States and certain Latin American countries e. make sure all nations achieve the economic and technological development of a takeover economy or better

establish a free trade agreement between the United States and certain Latin American countries

The _____ is the member of the buying center who regulates the flow of information. a. decider b. influencer c. purchaser d. gatekeeper e. user

gatekeeper

Chaz wants to be a pirate like Captain Jack Sparrow in Disney's Pirates of the Caribbean movies. He wears a bandanna and carries a toy cutlass. Though Jack Sparrow is fictional, Chaz's role play reveals his _____. a. superego b. compliant orientation c. ideal self-image d. real self-image e. socialization process

ideal self-image

Managers can use the NAICS data to: a. create a more focused mission statement b. eliminate risk c. classify consumer behavior d. identify potential new customers e. determine purchase motives

identify potential new customers

Market segmentation can assist marketers to do all of the following EXCEPT: a. develop more precise definitions of customer needs and wants b. identify which variable base should be used for segmenting c. more accurately define marketing objectives d. improve resource allocation e. evaluate performance

identify which variable base should be used for segmenting

When assessing the quality of secondary data, it is: a. not necessary to know why the data were collected in the first place b. important to be able to have easy access to the data c. important to know the purpose for which the data were originally collected d. not important to know when the data were collected e. imperative to use the same methods and procedures when primary data are collected

important to know the purpose for which the data were originally collected

Leon is not very quick to purchase innovative products when they come out, but after a while he breaks down and buys if after most of his friends have bought it. He gets most of his information from them when he decides to buy something. He is very skeptical of marketing, so he trusts his friends more than anything. Leon is best described as a(n): a. innovator b. early adopter c. early majority d. late majority e. laggard

late majority

A(n) _____ is an interactive, flexible, computerized information system that enables managers to obtain and manipulate information as they are making decisions. a. expert system b. marketing information system c. artificial intelligence system d. marketing decision support system e. database marketing system

marketing decision support system

A(n) _____ is a company that is heavily engaged in global trade and moves its resources, goods, services, and skills across national boundaries. a. international facilitator b. global trader c. multinational corporation d. exporting company e. international merchant

multinational corporation

Refer to DeFeet International. DeFeet's _____ is what its customers give up to obtain their apparel. a. product b. place c. price d. promotion e. positioning

price

After selecting a market for study and choosing bases for segmenting that market, the next step is to: a. select segmentation descriptors b. implement and maintain a marketing mix c. design a marketing mix d. profile and analyze segments e. select target markets

select segmentation descriptors

One of the leading manufacturers of choir robes has added different types of trim and fabric in the making of the robes. The company has not changed its prices. This is a(n) _____ modification. a. style b. obsolescence c. quality d. repositioning e. upward extension

style

The North American Free Trade Agreement did all of the following EXCEPT: a. created the world's largest free trade zone, which includes Canada, the United States, and Mexico b. substantially reduced economic growth in Mexico c. allowed U.S. and Canadian financial-services companies to own subsidiaries in Mexico d. removed many tariffs and duties so that Mexico, Canada, and the United States can trade more freely e. expanded opportunities for U.S. businesses in Mexico

substantially reduced economic growth in Mexico

At an accounting firm, the secretary orders printer cartridges, cases of paper, paper clips, and other small items. These items would be classified as: a. replacement parts b. provisions c. OEM parts d. accessory equipment e. supplies

supplies

Product mix width may be defined as: a. the number of different product categories found within an industry b. the average number of products within each product line in the company c. the average number of products offered by the company d. the number of different product lines an organization offers for sale e. the extensiveness of the coverage of the line from high end (expensive) to low end (inexpensive)

the number of different product lines an organization offers for sale

An external information search is especially important when: a. there is a great deal of past experience b. there are high costs associated with making an incorrect decision c. the cost of gathering information is high d. buying frequently purchased, low-cost items e. there is little risk of making an incorrect decision

there are high costs associated with making an incorrect decision

Riot Media is a media and toy company that capitalizes on the "gross-out" humor enjoyed by boys ages 8 through 12. In other words, it targets: a. members of Generation X b. a cohort generation c. tweens d. baby boomers e. the baby bridging generation

tweens

A keiretsu is a(n): a. type of strategic alliance commonly found in Japan b. method of business e-commerce found in Asia c. Internet site that offers its customers access to various languages that they can use to conduct their business d. form of relationship marketing that is illegal in the United States e. bribe

type of strategic alliance commonly found in Japan

Compared to the other classifications of consumer products, shopping products are: a. widely available, so they need little or no promotion b. usually less expensive than convenience products c. purchased without significant planning d. usually more expensive than convenience products and are found in fewer stores e. purchased immediately after the consumer realizes he or she needs them

usually more expensive than convenience products and are found in fewer stores

Which of the following is NOT an example of a product's tangible feature? a. Brand equity b. Packaging c. Color d. Options e. Size

Brand equity

The major disadvantage of licensing agreements is that international companies cannot maintain control over their licensees

The most popular technique for gathering primary data is by observation

The form of global organization that provides the highest potential for return on investment as well as the highest level of risk is contract manufacturing

The first step in segmenting a market is to choose a basis or bases for segmenting the markets

The four Ps of the marketing mix are product, planning, promotion, and price

Inez believes that makeup is the most important part of her wardrobe. She spends considerable time comparing the prices, skin tones, and color options available at various cosmetics counters in department stores. For Inez, makeup is a convenience product.

Isaac Golding, owner of a tutoring service, has developed a design for his firm that includes an owl wearing large spectacles and carrying a satchel crammed full of books and papers. Golding plans to use this design on all communications the firm sends out. This design is called the firm's brand name.

It is considered inefficient to use concept tests during the idea screening stage of the new-product development process.

Marketers are realizing that the "one-size-fits-all" approach to marketing is still relevant.

Marketers can control the external environment in which their organizations operate

One advantage of Internet surveys is dramatically reduced costs.

T/F Environmental scanning entails the collection and analysis of information about factors that may affect the organization as well as the identification of market opportunities and threats

T/F The marketing plan is a written document that acts as a guidebook of marketing activities for the marketing manager.

The 80/20 principle implies that the majority of all demand is due to a minority of the customers

The Home Depot's purchase of Hughes Supply Company allows it to better meet the needs of its current business customers. This is an example of product development.

The Sumatra Coffee Company has two new products. One is a simple hand-cranked coffee grinder. The other is a combination grinder and brewer that also can be used to dispense hot milk. Of these two, the hand-cranked grinder will probably be diffused more quickly because it is less complex.

The U.S. government limits the amount of sugarcane that is imported into the country. This is an example of a quota.

The most critical element for successful strategic planning is top management's support and participation.

The most important factor in successful new-product introductions is a good match between product characteristics and market needs.

The most important functions of packaging are to contain and protect products, promote products, facilitate product storage, and facilitate recycling.

The phenomenon of working women has had a greater effect on marketing than has any other social change.

The product life cycle is a biological metaphor that traces the stages of a product's acceptance, from its introduction (birth) to its decline (death).

The purchase of products like soft drinks, cleaning products, and gasoline generally exemplify routine response behavior.

Market penetration occurs when: a. a supermarket adds a new store b. a U.S.-based company begins to sell its products in China c. Motown records sells DVDs to Walmart d. Yoplait sends yogurt coupons to its existing customers e. 3M distributes Breathe Right nasal strips in Europe

Yoplait sends yogurt coupons to its existing customers

Marketers consider all of the following examples of new products EXCEPT: a. a 2010 model year automobile with the same style, parts, and color as the 2009 model b. the addition of a management consultant service to a company that once specialized in investment management c. a new design for Reach brand toothbrushes d. a new flavor of Ben & Jerry's brand ice cream e. the development of a less-painful procedure for the treatment of varicose veins

a 2010 model year automobile with the same style, parts, and color as the 2009 model

Everyone knows the brand name Kleenex. Kleenex is what many consumers think of when they think of tissues. This widely recognized brand name is a source of: a. a product differentiation competitive advantage b. a cost advantage c. market augmentation d. a niche competitive advantage e. none of these things

a. a product differentiation competitive advantage

When many consumers think of adhesives, they think of 3M because it makes so many kinds of adhesives used in the home. However, the world's largest adhesive producer is Henkel Consumer Adhesives, maker of Loctite and Duck brand duct tape. 3M and Henkel are part of each other's _____ environment. a. competitive b. economic c. social d. marketing mix e. legal and political

a. competitive

One of the reasons given for the decline of the passenger rail industry in the United States is that the industry defined its mission as trains and not as transportation sources. The railroad industry failed to: a. define its mission in terms of the benefits its customers seek b. ignore the marketing concept of serving customer needs and wants c. realize "customers only want what they know" d. have a sales orientation e. empower the consumer

a. define its mission in terms of the benefits its customers seek

In the past, PajamaGram marketed pajamas only to women. Now the company offers pajamas for men and children. This is an example of a _____ strategy. a. market development b. product development c. market penetration d. product penetration e. divestment

a. market development

The _____ answers the question, "What business are we in, and where are we going?" a. mission statement b. financial statement c. situation analysis d. market strategy e. strategic plan

a. mission statement

All of the following are criteria for successful market segmentation EXCEPT: a. substantiality b. identifiability and measurability c. accountability d. accessibility e. responsiveness

accountability

A style modification is a(n): a. change in the product's durability or dependability b. safety improvement c. aesthetic product change d. way to add convenience e. improvement in product versatility and effectiveness

aesthetic product change

Fisher-Price developed a rugged, waterproof camera for children. This product uses _____ segmentation. a. ethnicity b. income c. age d. gender e. occupation

age

While most marketing to Generation Y tries so hard to be hip that it borders on parody, Vans has kept the decades-old brand real and vital for Gen Yers. Marketing programs the footwear manufacturer uses to reach Gen Yers include the Vans Skate Parks, which operate in malls around the country; the wildly successful Vans Warped Tour for alternative music; and the Vans Triple Crown, the brand's answer to the X Games. The segmentation plan used by Vans relies heavily on _____ segmentation. a. ethnicity b. income c. age d. gender e. occupation

age

Refer to Ritz-Carlton Hotels. The chief operating officer's statement regarding sales and advertising illustrates which marketing management philosophy embraced by this company? a. Sales b. Market c. Production d. Societal e. Promotional

b. Market

Walker Farms heard from many of its customers that they would like organic produce. As a result, Walker Farms became a certified organic farm. Walker realized that while not all consumers were willing to pay the higher prices for organic produce, his customers wanted the organic produce. Walker realized: a. he missed sales by not concentrating on the average customer b. different customer groups have different needs and wants c. he is a sales-oriented farm d. his business is about selling the cheapest vegetables e. his aim is a goal of profit through maximum sales volume

b. different customer groups have different needs and wants

Fujisawa is Japan's seventh-largest pharmaceutical company. It sells drugs for organ transplant patients to increase the probability the new organ will operate efficiently and not be rejected. Currently, the only product Fujisawa makes is these organ transplant drugs, which it sells worldwide. Its patents protect it from competitors. Fujisawa has a: a. brand name advantage b. niche competitive advantage c. cost competitive advantage d. marketing competitive advantage e. complete competitive advantage

b. niche competitive advantage

Yuengling is the oldest brewery in the United States. It was founded in 1827 in a time when small breweries dotted the nation. The brewery only sells in a ten-state area on the Eastern Seaboard. For over 170 years, this strategy has given the brewery a: a. brand name strategy b. niche competitive advantage c. price differentiation advantage d. marketing competitive advantage e. sustainable competitive advantage

b. niche competitive advantage

Jiffy Mixes does not do any type of traditional advertising or use fancy packaging in marketing its products. The company stores its own wheat and makes its own flour and little blue boxes. Jiffy is an example of a low-cost strategy based on: a. efficient labor b. no-frills goods and services c. government subsidies d. product design e. reengineering

b. no-frills goods and services

Fujifilm Computer Products has improved the efficiency and productivity of its plant, which manufactures printing technology. For the new fiscal year, the company projects a production increase of 25 percent and has instructed its sales force to aggressively distribute and promote the product. The CEO is sure the market will absorb more product if the sales force is determined and assertive. Apparently Fujifilm: a. has an outward organizational focus on its customers wants and preferences b. seeks its goals primarily through the use of intensive promotion c. directs its products to specific groups of people d. is in the business of satisfying customers e. profits through customer satisfaction

b. seeks its goals primarily through the use of intensive promotion

The focus of an organization's mission statement should be on: a. the products it wishes to sell b. the market it wishes to serve c. its social responsibilities d. the desires of government regulators e. technologies it understands well

b. the market it wishes to serve

Karry-Lite, the manufacturer of light-weight suitcases with wheels, uses as its slogan, "Takes the 'lug' out of luggage." This slogan illustrates the use of _____ segmentation. a. geodemographic b. benefit c. functional d. usage-rate e. feature-based

benefit

A statement of the firm's business based on a careful analysis of benefits sought by present and potential customers and an analysis of existing and anticipated environmental conditions is known as a(n): a. business audit b. marketing plan c. mission statement d. environmental focus e. portfolio matrix

c. mission statement

PepsiCo's annual report has the following statement: "Our business is to increase the value of our shareholder's investment. We do this through sales growth, cost controls, and wise investment of resources. We believe our commercial success depends upon offering quality and value to our consumers and customers; providing products that are safe, wholesome, economically efficient, and environmentally sound; and providing a fair return to our investors while adhering to the highest standards of integrity." This statement is an example of PepsiCo's: a. marketing mix strategy b. quantifiable goal c. mission statement d. statement of economic potential e. market segmentation strategy

c. mission statement

Refer to Starbucks. For more than 30 years, Starbucks held the orientation of "If we build it, they will come." This philosophy is most in line with a _____ orientation. a. sales b. market c. production d. societal e. product

c. production

Refer to Starbucks. The creation of a consumer response blog is an example of _____. a. how to increase sales b. technology at its best c. relationship marketing d. good training e. product improvements

c. relationship marketing

One way to identify the orientation of a firm is to examine its primary goal. If a firm seeks to achieve profitability through sales volume, it would probably be: a. promotion oriented b. price oriented c. sales oriented d. production oriented e. retail oriented

c. sales oriented

Zipcar is a car rental service found in many metropolitan areas. It targets people who take mass transit or carpool to work but who occasionally need a car to run errands, visit the doctor, or check on a sick child. Zipcar is one of a few companies currently providing cars that can be rented by the hour. Zipcar has created a(n) _____ advantage. a. reengineering b. experience curve c. service differentiation competitive d. alternative market e. sustainable competitive

c. service differentiation competitive

The final stage in the new-product development process is: a. product testing b. market testing c. commercialization d. product prototyping e. simulated marketing

commercialization

The SWOT acronym refers to a firm's analysis of its: a. sales, width of product mix, observations, and technology b. situations, wealth, organizational strengths, and target markets c. strengths, weaknesses, opportunities, and threats d. service levels, willingness to spend, organizational culture, and total revenues e. strategies, willingness to change, objectives, and trends

c. strengths, weaknesses, opportunities, and threats

All of the following are advantages of using a concentrated targeting strategy EXCEPT: a. concentration of resources b. can better meet the needs of a narrowly defined segment c. allows some small firms to better compete with larger firms d. strong positioning e. cannibalization

cannibalization

Many product failures such as Cucumber antiperspirant spray, Toaster Eggs, and Health-Sea sea-sausages most likely did not succeed because they did not conform to the product characteristic of: a. complexity b. trialability c. total advantage d. observability e. compatibility

compatibility

Suppose that ForeverLawn joins Choice Home, a house builder, in a joint promotional campaign. Both Choice Homes and ForeverLawn are equally mentioned in the advertisements and marketing materials. At the end of the campaign, one lucky person will win a Choice Home with a ForeverLawn synthetic lawn. To register, consumers need to visit either ForeverLawn.com or Choicehomes.com. This type of joint promotion is known as _____ branding. a. cooperative b. ingredient c. umbrella d. complementary e. family

cooperative

Aldi is a no-frills grocery chain. It sells grocery staples right out of crates and boxes with emphasis on low-priced, private label brands. Aldi stores are typically about one-third the size of the traditional supermarket. By controlling expenses, Aldi enables its customers to save 30 to 50 percent compared to Kroger customers. The chain targets bargain hunters who are willing to rent a cart and bag their own groceries. Aldi has a: a. market-homogeneous focus b. cost competitive advantage c. product aggregation strategy d. revenue-based competitive advantage e. profit-enhanced advantage

cost competitive advantage

Walmart realizes a _____ using its relationships with suppliers to give customers low prices and good customer service. a. brand name strategy b. niche competitive advantage c. cost competitive advantage d. marketing competitive advantage e. synergistic competitive advantage

cost competitive advantage

_____ show costs declining at a predictable rate as experience with a product increases. a. Liquidity growth curves b. EOQ graphs c. Break-even analyses d. Experience curves e. Supply/demand curves

d. Experience curves

Le Feast is a catering company that has developed a marketing plan designed to make it the largest caterer in the country within the next two decades. Which of the following will be useful to the company to evaluate how successful its efforts have been at the end of the first decade? a. SWOT analysis b. Environmental scan c. Competitive analysis d. Marketing audit e. Comprehension sales analysis

d. Marketing audit

Pure Digital Technologies created the Flip, a digital camera priced around $150. It filled a gap between expensive digital cameras and webcams. The Flip plugs straight into a computer, and the video can easily be viewed and shared instantly. Creating a new product for a new market is called _____. a. divestment b. segment development c. target marketing d. diversification e. directed growth

d. diversification

In the portfolio matrix, a business unit that has low growth potential and a small market share is called a(n): a. widow b. problem child c. cash cow d. dog e. bust

d. dog

Income, ethnic background, gender, and age are all examples of _____ segmentation bases. a. geodemographic b. organizational c. demographic d. socioeconomic e. psychographic

demographic

To enter the German market, BDO, an international accounting company, purchased an existing accounting firm. BDO entered the German market through the use of: a. contract marketing b. direct foreign investment c. franchising d. direct exporting e. countertrading

direct foreign investment

Reference groups can be categorized very broadly as either: a. primary or secondary b. persuasive or nonpersuasive c. direct or indirect d. positive or negative e. personal or nonpersonal

direct or indirect

Sony has developed a wireless speaker that sits unobtrusively on a desktop. The tiny yet strong twin speakers use Bluetooth to stream music directly from a PC or MP3 player. This small Sony wireless speaker, which is radically different from anything currently on the market, would be classified as a(n): a. discontinuous innovation b. slow-diffusing product c. episodic innovation d. venture product e. sporadic innovation

discontinuous innovation

New-to-the-world products, where the product category itself is new, are also called: a. discontinuous innovations b. moderate innovations c. slow-diffusing products d. venture products e. creative offerings

discontinuous innovations

Before toll-free telephone numbers and the Internet were used as commercial tools, passengers usually purchased airline tickets from travel agents. Travel agents no longer receive a commission from the airlines for selling tickets to consumers. This is an example of: a. reintermediation b. disassociation c. disintermediation d. discrimination e. transference

disintermediation

After-tax income is referred to as: a. gross income b. marginal income c. purchasing income d. unencumbered income e. disposable income

disposable income

interactive screen that runs advertisements and allows users to obtain free photos of themselves and ringtones after they have bought a drink. Critics of these new vending machines are concerned that entertaining technology is being used to market sugary products. In terms of a SWOT analysis, this concern would be an example of a(n): a. weakness b. strength c. advantage d. opportunity e. threat

e. threat

A company has learned that members of its target market are likely to collect more information and evaluate more brands than early adopters. They are cautious and thoughtful and do not try the product without asking someone else. The customers' dominant characteristic is deliberateness. In terms of the diffusion process, these customers are most likely: a. innovators b. early minority c. laggards d. early majority e. late majority

early majority

Liz tends to adopt new products sooner than a lot of other people, but she weighs the pros and cons before buying. She does considerable product research, but her friends don't really look to her for information. She really deliberates before she makes a purchase. Liz is best described as a(n): a. innovator b. early adopter c. early majority d. late majority e. laggard

early majority

All of the following are current roles of the Internet in business marketing EXCEPT: a. reduce costs b. eliminate distributors c. build channel partnerships and trust d. brand building and development e. integrate online and traditional media

eliminate distributors

When a company engages in _____, it is implementing strategies that attempt to shape the external environment within which it operates. a. synergistic control b. environmental management c. environmental control d. market control e. reactive management

environmental management

When consumers change or distort information that conflicts with their feelings or beliefs, it is called: a. selective distortion b. selective dissonance c. intermittent reinforcement d. selective retention e. selective exposure

selective distortion

Which marketing management philosophy focuses on the question, "What can we make or do best?" a. Production b. Marketing c. Sales d. Societal e. Internal

a. Production

Life is good® no longer encloses its apparel in individual poly bags when shipping to customers because the management feels it harms the environment. This is an example of a _____ orientation. a. societal marketing b. sales c. reciprocal exchange d. production e. product

a. societal marketing

SAP, the world's largest business software company, has pledged to put the "customer at the center" of their universe. SAP has captured the idea of: a. the 80/20 rule b. Maslow's hierarchy of needs c. the marketing concept d. the sales orientation philosophy e. the societal concept

c. the marketing concept

At www.mystarbucksidea.com, customers are encouraged to share their ideas and thoughts about how Starbucks can better serve its customers. Starbucks customers told management that they wanted to be recognized for choosing Starbucks coffee. So Starbucks instituted the My Starbucks Reward program with money-saving benefits to their Starbuck cardholders. Starbucks is an example of a company with a _____-oriented philosophy. a. transaction b. sales c. product d. society e. market

e. market

Jacques Torres Chocolate is a factory and retail store in Brooklyn. Its owner is willing to try to produce new products when his customers suggest them--such as chili-pepper-laced chocolate candy. His only condition is that when he adds new products, his customers have the final say on whether the product is of any value. According to Torres, "If something doesn't move, that's the last time you see it." By focusing on customer' wants, the chocolate company exhibits a(n)_____ orientation. a. exchange b. product c. production d. sales e. market

e. market

Market-oriented firms primarily focus their efforts upon: a. improving the technological skills and competitive advantages of the firm b. satisfying the organization's needs for low overhead c. achieving the company's societal responsibilities inexpensively d. distributing goods and services e. satisfying the wants and needs of their customers

e. satisfying the wants and needs of their customers

The marketing concept stresses that the social and economic justification for an organization's existence is the satisfaction of customer needs and wants while: a. producing a good or service at the lowest possible cost b. improving the general standard of living c. constantly increasing sales volumes d. applying scientific management techniques to improve efficiency e. simultaneously meeting organization objectives

simultaneously meeting organization objectives

_____ is generally defined as the sale of an exported product at a price lower than that charged for the same or a like product in the home market of the exporter. a. Export reengineering b. Crossdocking c. Boycotting d. Dumping e. Countertrading

Dumping

_____ require the best interviewers because they are often interviewing on topics about which they know very little. a. Mall intercept interviews b. CLT interviews c. Mail panel surveys d. Executive interviews e. Focus groups

Executive interviews

_____ are foreign sales agents-distributors who live in a foreign country and represent a domestic company in sales situations. They perform the same functions as domestic manufacturers' agents who help with financing and shipping. a. Export agents b. Export brokers c. Import broker d. Buyers for export e. Licensing agents

Export agents

DeLouis owns an agency that specializes in bringing international buyers in contact with U.S. companies to facilitate global trade. What type of intermediary is DeLouis? a. Buyer for export b. Export broker c. License agent d. Import agent e. Export agent

Export broker

Which list correctly ranks the methods of entering the global marketplace in increasing order of risk? a. Exporting, licensing and franchising, contract manufacturing, joint venture, and direct investment b. Importing, contract manufacturing, licensing and franchising, joint venture, and direct investment c. Licensing, franchising, contract manufacturing, joint venture, direct investment, and exporting d. Franchising, contract manufacturing, joint venture, direct investment, importing, and licensing e. Importing, contract manufacturing, joint venture, direct investment, and exporting

Exporting, licensing and franchising, contract manufacturing, joint venture, and direct investment

Which type of warranty is a written guarantee? a. Complete b. Express c. Implied d. Explicit e. Primary

Express

Refer to Day Care. The process Fiona went through in selecting a day care facility for Kate is best described as which type of consumer buying decision? a. Routine response behavior b. Limited decision making c. Extensive decision making d. Impulse buying e. Motivational response behavior

Extensive decision making

Refer to New Car Purchase. Which type of consumer buying decision does Zena's purchase represent? a. Routine response b. Limited decision making c. Extensive decision making d. Impulse buying e. Motivational response

Extensive decision making

Refer to Interface. A consumer who was in the market for floor covering would be most likely to locate information on the biodegradable floor tiles during which stage of the consumer decision-making process? a. Evaluation of alternatives b. Internal information search c. External information search d. Need recognition e. Postpurchase behavior

External information search

A company that wants to market its product globally has only two branding strategies available: either use the brand name everywhere or develop a new brand name for each different market

A decline in the availability of tungsten will slow production of light filaments, which will in turn reduce the demand for light bulbs. This is an example of fluctuating demand.

A market penetration strategy entails the creation of new products for current customers.

A market segment is deemed to have substantiality if it contains a large number of potential customers.

A market segmentation study done by the University of Thessaly in Greece classified recreational skiers in terms of their gender, age, and income levels. The study used psychographic segmentation variables.

A marketing decision support system involves the planning, collection, and analysis of data relevant to marketing decision making and the communication of the results of this analysis to management.

A newly hired employee at an advertising agency chose the clothes she purchased for work by observing the clothes she saw worn in The Apprentice, a popular television reality show. In this example, the women hoping to work for Donald Trump served as primary membership groups.

A product must be a discontinuous innovation to be considered a "new" product.

A product unknown to the potential buyer or a known-product that the buyer does not actively seek is referred to as an undesirable product.

A segmentation plan must produce segments that exhibit responsiveness, which means all segments respond similarly to a marketing mix.

A test market is one example of a laboratory test where consumers are encouraged to try a new product and provide feedback to the manufacturer

A warranty does not confirm the quality or performance of a good or service.

An online focus group is a selected group of consumers who agree to participate in an ongoing dialogue with a particular corporation.

As marketers gain more experience in marketing a product, costs tend to decrease, which is an example of the maturity effect.

Basic research attempts to develop new or improved products.

Basically, all that happens in the development stage of the new-product process is that the first prototype of the product is developed.

Brand names such as Kleenex, UPS, Sony, Chevrolet, and Kellogg's are likely to have less brand equity than brand names like Viking, Zojirishi, Schimano, and Thule.

Champion Lyte is a sugar-free sports drink designed to replenish electrolytes lost during activity or illness. Since the product was designed primarily for diabetics, healthcare professionals who treat diabetics are its primary target market.

Champion Lyte is a sugar-free sports drink. In developing the product, its manufacturer thoroughly studied the legal restrictions on the drink's ingredients, packaging, manufacturing, and labeling and has abided by all such restrictions. In this way, the manufacturer of Champion Lyte drinks conducted its examination of all political and legal factors that might affect the product's marketing

Chef's Catalog built its reputation on selling the highest-quality baking ingredients. The catalog retailer has added a line of fine kitchen tools and wants its customers to think of the retailer as a place to buy everything needed to bake the finest breads and desserts--not just for buying the ingredients. The marketing term for changing consumers' perceptions of the Chef's Catalog is segmentation.

Clorox describes individuals who buy lots of cleaning products as heavy users. This is an example of how companies use benefit segmentation.

Consumers described as laggards tend to rely on group norms when deciding to adopt an innovation.

Consumers' perceptions regarding a product's position cannot be changed.

Convenience products, though inexpensive, still require considerable shopping effort by buyers

Due to the time required to scan them, universal product codes (UPCs) are typically placed on merchandise that would be classified as shopping products.

Ethnographic research is a form of experiment research because it is conducted without any preconceptions.

GATT, NAFTA, and the EU are all examples of market groupings.

Generation Y was the first generation of latchkey children--products of dual-career and/or divorced households.

Global marketing research is not any more difficult than domestic marketing research.

If DuPont runs advertisements encouraging people to buy clothing that contains Lycra (a DuPont product), this would be an attempt to influence secondary demand.

If a country's currency appreciates, more of that currency will be needed to buy another country's currency.

Increasing competition, aggressive brand advertising, and healthy profits are all characteristics found in the introductory stage of the product life cycle.

Individual producers of raw materials have great flexibility in pricing their products

Marketing research has three roles: persuasive, reminder, and informative.

Martina was interested in how students perceive the health service provided by her university. To collect data on this issue, she interviewed the students in her evening class. Martina has used a random sampling procedure.

Maslow's hierarchy of needs categorizes human needs into four levels: physiological needs, safety needs, social needs, and esteem needs.

Multinational companies typically begin the development of their global business with direct investment and continue using this strategy throughout the company's life span.

NAFTA is the New American Foreign Trade Amendment, which allows for balanced trade with the European Union.

NAICS is an industry classification system used by most nations of the world.

Once an individual's evoked set has been established, evaluation of those alternatives will determine what information must be obtained during the information search.

One benefit of test marketing is that the marketing activity is shielded from competitors.

One reason marketers use market segmentation as a tool is that once completed, the process need not be repeated

Procter & Gamble markets six different brands of laundry detergent, such as Tide, Era, Gain, and Dreft, each targeting a different market segment. This is an example of concentrated targeting.

Psychography is the study of people's vital statistics such as age and location.

Rolex watches are very expensive and can only be purchased in high-end jewelry stores located in large metropolitan areas. Most buyers will accept no substitutes. Rolex watches are an example of a shopping product.

T/F The manufacturer of Macho brand martial arts products was implementing a strategic plan when it sponsored a local karate tournament for teenagers.

The Internet has eliminated the need for distributors.

The Sherman Act of 1890 establishes protection for trademarks.

The U.S. government prohibits the importation of Havana cigars because of political differences with Cuba. This is an example of an import exchange control.

The United States, unlike some other countries, does not have a status structure or social class system.

The Uruguay Round of trade negotiations dramatically increased trade barriers worldwide.

The best experiments are those in which one factor is held constant and the other factors of interest are deliberately manipulated.

The business market consists of four broad segments: producers, resellers, government, and regions.

The company's objective is to increase sales next year. This is an example of a well-stated objective.

The competitive environment of a business encompasses the number of competitors the firm must face, the relative size of these competitors, regulatory agencies, and the degree of interdependence within the industry.

The development of a target market strategy begins with a marketing audit.

The development of garlic-butter flavored crescent rolls by Pillsbury would not be considered a new product since the company was already making crescent rolls. It would simply be called a line extension.

The first step in the marketing research process is to plan the research design and gather primary data.

The government sector (federal, state, and local) is a minor segment of the business market.

There are several tools marketing managers can use to increase cognitive dissonance, which enhances consumers' attitude toward their brand.

There are two types of learning: concrete and abstract.

To be useful, marketing objectives should be realistic, measurable, time specific, and based on sales.

To save money on marketing research, a marketing manager suggests that the company use the results of a survey conducted last year because similar questions were asked then. The manager is suggesting use of primary data.

U.S. paint manufacturers traditionally use different formulas for developing paint to be used in the humid Southeast, the frigid Midwest, and the hot and dry Southwest. This is an example of how demographic segmentation is used.

U.S.-based Procter & Gamble and Italian-based Fater agreed to produce and market diapers for the European market. This is an example of a joint franchise.

Until the 1990s, few firms practiced market segmentation.

Very few firms follow a formal new-product development process.

When Alan buys rock-climbing equipment, he will only buy Black Diamond, Petzl, Edelweiss, or Wild Country brands even though other brands exist. These listed brands make up Alan's awareness set.

When the Internet auction company eBay opened a version of the company called eBay France for the French market, it was an example of market penetration.

When the manufacturer of French's classic yellow mustard introduced French's Dijon mustard, French's Honey mustard, and French's Sweet Onion mustard, it was an example of co-branding.

While consumer and business markets differ in many ways, the volatility of demand for products is about the same for each type of market.

While it is important to understand potential business customers' buying processes, this is not a helpful segmentation basis.

Refer to Wrestling Merchandise. Most wrestling fans live in the southern United States. Based on this information, what segmentation base would be appropriate? a. Geographic b. Demographic c. Psychographic d. Product use e. Benefit sought

Geographic

Which of the following is the BEST example of an effective question on a mail survey? a. Do you believe the synergy of the indigenous population has created a precursor to ecological disaster? b. Why do you think dogs make good pets and cats make poor pets? c. Have you ever put food out for wild birds? d. What is the economy of scale achieved by the transference of heat through solar cells? e. Will you be buying a new car soon and will it be a foreign car?

Have you ever put food out for wild birds?

Which of the following statements describes an advantage to retailers associated with developing their own brands? a. Dealers must market the brand, thus cutting into the gross margin. b. Higher profit margins are available on private brands. c. Private brands, particularly those owned by discounters, are perceived to be of a higher quality. d. Dealers often buy in large quantities and thus always have a ready supply. e. Private brands are normally delivered more promptly by the manufacturer.

Higher profit margins are available on private brands.

Refer to Day Care. Fiona's visits to the day care centers, interviews with the caregivers, and input from family and friends represent which step of the consumer decision process? a. Postpurchase behavior b. Stimulus generalization c. Evaluation of alternatives d. Information search e. Need recognition

Information search

Which of the following represents a business unit that shows rapid growth but poor profit margins? a. Star b. Cash cow c. Problem child d. Loss leader e. Dog

Problem child

A brand of iced tea called Gold Peak has high marketing costs as well as high production costs. Promotions for the product are aimed at gaining distribution and informing consumers that this premium product tastes like its home brewed. In which stage of the product life cycle is Gold Peak iced tea? a. Introductory b. Growth c. Maturity d. Decline e. Saturation

Introductory

_____ is the amount of time and effort a buyer invests in the search, evaluation, and decision processes of consumer behavior. a. Economic value b. Involvement c. Opportunity cost d. Temporal cost e. Perceived level of personal risk

Involvement

All of the following statements about the use of the Internet in global marketing are true EXCEPT: a. Opening an e-commerce site on the Internet immediately puts a company in the international marketplace. b. The new Internet economy is being restrained by the old brick-and-mortar rules, regulations, and habits. c. Software has been developed to ease currency conversions by allowing customers to pay for products in the currency of their choice. d. FedEx is a global shipper that helps solve international e-commerce distribution. e. Language barriers are limiting the potential of the Internet in international marketing.

Language barriers are limiting the potential of the Internet in international marketing.

Refer to Federal Aviation Administration. The company that wins the contract to develop the satellite-based system for the FAA will have to purchase satellites and mainframe computers for this system. These types of products are best described as which type of business product? a. Raw materials b. Processed materials c. Accessory equipment d. Business equipment e. Major equipment

Major equipment

Southeastern Concrete Company has 15 concrete trucks. The company's accountant depreciated the value of the vehicles over several years. What type of business product is the concrete truck? a. Major equipment b. A component part c. Processed material d. A fabricating item e. Accessory equipment

Major equipment

Which type of business product includes such capital goods as large or expensive machines, mainframe computers, blast furnaces, generators, airplanes, and buildings? a. Major equipment b. Raw materials c. Component parts d. Accessory equipment e. Investment goods

Major equipment

Which of the following is NOT a type of competitive advantage? a. Management structure b. Cost c. Product/service differentiation d. Niche e. All of these choices are types of competitive advantages.

Management structure

Piper Corporation makes aircrafts. It produces several different planes for three categories of customer: Professional, Personal, and Trainer. What type of targeting strategy is Piper using? a. Demand positioning b. Concentrated c. Undifferentiated d. Multisegment e. Market differentiation

Multisegment

First Southern Community Bank has long tried to differentiate itself as "your friendly, hometown bank." However, the bank president has been concerned about a number of recent customer service complaints. Which of the following approaches would probably be best to get a feel for how friendly her employees really are to customers? a. Employee focus group interview b. Mail questionnaire of a sample of current customers c. Mystery shopper d. Experiential research e. An Internet-based community study

Mystery shopper

Victorinex has long manufactured Swiss Army knives and developed a line of upscale Swiss Army watches. The Swiss Army brand gave the company credibility over other watch manufacturers and allowed the company to continue targeting sports-minded males between the ages of 18 and 35 years. Victorinex used which strategy to create new products? a. New-to-the-world product b. New product line c. Repositioned product d. Addition to a current product line e. Discontinuous innovation

New product line

Razor scooters gained instant popularity because walkers and runners frequently saw people on the scooters zipping by them and having fun. This information suggests the adoption rate of the Razor scooter was most affected by which product characteristic? a. Complexity b. Trialability c. Relative advantage d. Observability e. Compatibility

Observability

Which product characteristic affecting the rate of adoption of a new product represents the degree to which the benefits or other results of using the product can be communicated to target customers? a. Observability b. Diffusion c. Adoption d. Trialability e. Complexity

Observability

Kent has gathered data concerning people's preferences for traditional breakfast foods. He has learned that 30 percent of the population prefer eggs in the morning, 50 percent of the population prefer something sweet for breakfast like a doughnut, and an overwhelming 86 percent prefer food that they can eat while they drive to work. What method of analyzing the data has Kent used? a. Cross-tabulation b. Standard deviation c. One-way frequency count d. Single correlation e. Linear regression

One-way frequency count

Which of the following has been found to be an efficient substitute for traditional methods of conducting test markets? a. Product sampling b. Simulated product adoption c. Online test marketing d. Simulated diffusion e. Market concentration

Online test marketing

You have been given the task of creating a questionnaire that requires each respondent to provide a rich array of information based on his or her own frame of reference. Which of the following types of questions would best deliver such information? a. True-false questions b. Mix-and-match questions c. Open-ended questions d. Scaled-response questions e. Closed-ended questions

Open-ended questions

Firms can be categorized by the type of purchasing strategy used. _____ consider numerous, even unfamiliar, suppliers and solicit and analyze options. a. Satisficers b. Strivers c. Optimizers d. Actualizers e. Innovators

Optimizers

Licensing agreements reduce the risk for manufacturers and sometimes even remove the requirement for a manufacturer to produce its own product

Refer to E-cigarettes. The Food and Drug Administration is part of which environmental factor affecting the marketing of this product? a. Demographic b. Technological c. Political and legal d. Competitive e. Economic

Political and legal

Refer to Wataniya Mobile. Israel's control of licensing and the limitation on the amount of bandwidth allotted to Wataniya Mobile is part of which environment? a. Cultural b. Economic c. Political and legal d. Demographic e. Resource

Political and legal

_____ is the development of a specific marketing mix to influence potential customers' overall perception of a brand, product line, or organization in general and is related to the place a product occupies in consumers' minds relative to competing offerings. a. Market differentiation b. Diversification c. Combination marketing d. Positioning e. Market aggregation

Positioning

Refer to University Research Study. Which role of marketing research is represented if the student researchers address "what if" questions, such as examining the outcomes if all the degree programs were available online? a. Predictive b. Proscriptive c. Descriptive d. Diagnostic e. Normative

Predictive

Which of the following products is most likely to be in the decline stage of its product life cycle? a. Cookie mixes b. Wireless mobile phones c. Programmable CD-ROMs d. Funeral caskets e. Prerecorded audiocassette tapes

Prerecorded audiocassette tapes

The Beaumont Homeowner's Association had to replace its pool pump. They asked two local companies—Thompson Pools and Southern Pool and Spa Company—for quotes on replacing the pump. Beaumont negotiated with both companies and quickly decided to buy from Thompson Pools because its quote was $200 cheaper in its labor estimate. Which evaluative criterion appears to have been most important in making this purchase decision? a. Price b. Familiarity with the product c. Reliability d. The availability of replacement parts e. Buyer/seller relationship

Price

There is an overabundance of apartments in Atlanta. Post Properties, the owner of many of the metropolitan area's largest apartment complexes, has reduced its rent so it can fill vacant apartments. Which marketing mix element did Post change to create more demand for its apartments? a. Production b. Personnel c. Distribution d. Product e. Price

Price

When Wilson, a manufacturer of tennis racquets, sent a team of researchers, designers, and tennis pros out to visit with 40 women tennis players of various abilities in locations from California to Florida to find out what women players want in a racquet, what kind of research were they conducting? a. Heuristic b. Primary c. Cohesive d. Random e. Secondary

Primary

Refer to Novartis. Tianyuan has a relatively small market share of a high-growth market in China. How would this company be classified in the Novartis portfolio matrix? a. Problem child b. Star c. Cash cow d. Dog e. Emergent

Problem child

Refer to Lucent Technologies. First National Bank of Chicago, one of AT&T's customers, claims the new network helped the bank win a huge contract from the U.S. Treasury. For classification purposes, First National would be which type of customer? a. Producer b. Reseller c. Government d. Institution e. Wholesaler

Producer

Lands' End guarantees its products for as long as you own them. The company would seem most concerned with which element of the marketing mix? a. Price b. Distribution c. Personalization d. Promotion e. Product

Product

According to the text, which of the following is an example of a product strategy that would be appropriate for a global marketing company to implement? a. Product adaptation b. Product divestment c. Product penetration d. Market substitution e. Product licensing

Product adaptation

Maybelline formulated cosmetics that were designed to complement the complexions of women with various skin types around the world. Which of the marketing mix strategies did Maybelline use? a. Countertrading b. Product invention c. Global market standardization d. Product licensing e. Product adaptation

Product adaptation

Procter & Gamble's Vidal Sassoon shampoo smells the same worldwide, but the amount of scent used varies from country to country. This is an example of which type of marketing mix strategy? a. Countertrading b. Product invention c. Global market standardization d. Product licensing e. Product adaptation

Product adaptation

_____ is a marketing strategy that creates new products for present markets. a. Product penetration b. Market penetration c. Product development d. Market development e. Diversification

Product development

Refer to Nestlé. What adjustment to its product mix is Nestlé doing when it sells underperforming items? a. Product line extension b. Product line contraction c. Product pruning d. Product line retraction e. Functional modification

Product line contraction

Refer to Mercedes-Benz. Which positioning base will Daimler be using if the company emphasizes the type of people who buy Mercedes-Benz automobiles in its promotional efforts? a. Product user b. Emotion c. Price and quality d. Attribute e. Use or application

Product user

Refer to DeFeet International. What kind of competitive advantage would you say DeFeet has? a. Low cost b. Niche c. Product/service differentiation d. Product development e. Diversification

Product/service differentiation

June LaVista owns a health and fitness gym. After dividing her customers into four segments based on income range, age, level of fitness, and other selected segmentation descriptors, she wrote out a description of each segment's size, expected growth, frequency of exercise, and overall profit potential. Which step in segmenting a market is LaVista engaged in? a. Profiling and analyzing her market segments b. Positioning her products to her market segments c. Targeting promotions to her market segments d. Differentiating her market segments e. Concentrating her marketing mix on the most profitable marketing segments

Profiling and analyzing her market segments

SoBe nutritional beverages uses twin lizards on every bottle of its products and in all of its promotion efforts. It even has its own Team Lizard made up of skateboarders, mountain bike riders, and in-line skaters that it sponsors. The lizard is used to remind consumers of the product and its benefits. To which of the four Ps does this represent? a. Promotion b. Price c. Publicity d. Place e. Product

Promotion

_____ segmentation is based on personality, motives, and lifestyles. a. Psychographic b. Demographic c. Benefit d. Family life cycle e. Character

Psychographic

_____ is measured by comparing income to the relative cost of a set standard of goods and services in different geographic areas. a. Gross individual profit b. Purchasing power c. Net profit d. Relative pricing e. Price escalation

Purchasing power

When Honda automobiles first entered the U.S. market, they were small and not very durable. However, over the years, Honda has modified its automobiles to be one of the most dependable cars on the market. This change in dependability and durability is representative of which type of product modification? a. Style b. Planned obsolescence c. Functional d. Quality extension e. Quality

Quality

Consider a small southern town where more than half the residents are African American and the rest are white. A successful marketing campaign for this community would include a. internet advertising b. Radio advertising c. billboards d. newspaper advertising e. none of these

Radio advertising

Which of the following is a type of probability sample? a. Judgment sample b. Convenience sample c. Random sample d. Quota sample e. Snowball sample

Random sample

Which of the following statements about reference groups is true? a. Reference groups stimulate, but do not constrain, consumption behavior. b. Reference groups have strong influence on all brands and product purchases. c. A person can only belong to one reference group. d. Reference groups serve as information sources and influence perceptions. e. Understanding reference groups has not been helpful to marketers.

Reference groups serve as information sources and influence perceptions.

Biopure Corp. is developing a human blood substitute called Hemopure. Unlike donated human blood that needs to be refrigerated and expires after a short period of time, Hemopure is shelf stable and can be stored for two years or more. Also, it does not need to be matched to a person's blood type. These factors make it well-suited for trauma cases where blood must be transfused at an accident site or on the battlefield. Which product characteristic influencing the rate of adoption does this represent? a. Complexity b. Compatibility c. Relative advantage d. Observability e. Trialability

Relative advantage

A regional utility company needs to change consumers' perceptions of its current service as being harmful to the environment. Which of the following strategies would best allow the company to accomplish this goal? a. Contraction of the number of services offered by the utility company b. Adding new services to its product line c. Repositioning d. Disintermediation e. Use of product cannibalization

Repositioning

_____ occurs when an existing product is targeted toward new market segments. It is another type of new-product development because the product is new to that segment. a. Brainstorming b. Diffusing c. Repositioning d. Screening e. Reciprocity

Repositioning

A health club has a new fitness program for expectant mothers. After flyers were placed at the offices of area obstetricians, classes filled up within two days. Which segmentation success criterion was most influential in the success of this promotion? a. Substantiality b. Identifiability c. Measurability d. Causality e. Responsiveness

Responsiveness

If a market segment is especially motivated by coupons in newspapers, which segmentation success criterion is most influential in the success of this program? a. Responsiveness b. Identifiability and measurability c. Substantiality d. Accessibility e. Functionality

Responsiveness

What does the 80/20 principle propose? a. Roughly 80 percent of the profit comes from 20 percent of the sales. b. Roughly 80 percent of a firm's customers are repeat business. c. Roughly 50 percent of a firm's customers purchase 80 percent of the sales volume of the product. d. Roughly 20 percent of a firm's customers purchase 80 percent of the sales volume of the product. e. Sales are equally divided among heavy, medium, and light users, but they all need slightly different products.

Roughly 20 percent of a firm's customers purchase 80 percent of the sales volume of the product.

Coca-Cola is one of the world's largest manufacturers of beverages. It makes over 2,800 different beverage products, including sparkling drinks, waters, juices, juice drinks, teas, coffees, sports drinks, and energy drinks. The great variety of beverages made by Coca-Cola represents its product mix.

Developing a cost competitive advantage can enable a firm to deliver superior customer value.

During the maturity stage of the product life cycle, marginal competitors start dropping out of the market.

Fisher-Price is identifying Asian markets that are interested in their line of talking toys. Fisher-Price is engaged in the process of market segmentation

For a product to be called a business product, it must be used to manufacture other products, become part of another product, or facilitate the normal operations of a firm.

Geodemographic segmentation combines geographic, demographic, and lifestyle segmentations.

If consumer behavior is not well understood, a marketer will have difficulty creating an appropriate marketing mix

In market segmentation, individual psychographic variables can be combined with other variables to provide more detailed descriptions of market segments.

Increasing globalization of markets and competition provides a reason for multinational firms to consider new-product development from a worldwide perspective.

Inflation is a measure of the decrease in the value of money, expressed as the percentage reduction in value since the previous year

Items that are ready for assembly and retain their identities when incorporated into another product are called component parts.

Los Hermanos Cafe has successfully operated seven restaurants in the same community for 20 years. Management plans to introduce an egg and cheese breakfast burrito to three restaurants after having success with this product in its other four restaurants. Since management knows this market so well, Los Hermanos Cafe doesn't need to conduct research before introducing the new product in its remaining restaurants.

Many products may experience short-term fluctuations in sales, but a long-term drop in sales probably signifies that a product is in the decline stage of the product life cycle.

Marketers need a thorough understanding of the laws established by the federal government, state governments, and regulatory agencies.

Marketing research provides decision makers with data on the effectiveness of the current marketing mix and also with insights for necessary changes.

Marketing strategy involves the activities of selecting and describing one or more target markets and developing and maintaining a marketing mix that will produce mutually satisfying exchanges with target markets.

Most business marketers emphasize personal selling in their promotion efforts.

Noah perceives the purchase of a tattoo to be a socially risky decision because he thinks that people will judge him unfairly if he has a tattoo. Hayley, however, does not perceive getting a tattoo as particularly risky behavior. As far as social risk is concerned, getting a tattoo will be a higher-involvement activity for Noah than for Hayley.

One advantage of an online focus group is that respondents tend to talk more freely about issues that might create inhibitions in a face-to-face group.

Opinion leaders are often the first to try new products and services.

Procter & Gamble is introducing a new fabric softener dispenser that consumers stick to the inside of the dryer drum and plans to send consumers free samples in the mail. This strategy will likely increase the rate of adoption of the new product.

Product differentiation is a positioning strategy.

Product modification occurs when changes are made in how the product functions, its quality, or some aesthetic characteristic of the product.

Profits typically reach their peak during the growth stage of the product life cycle.

Questionnaires include three basic types of questions: open-ended, closed-ended, and scaled response.

Sam likes Michelin tires. If he needs new tires and Michelins are not on sale, he is willing to pay a higher price for Michelin rather than buy some other brand. Sam is brand loyal to Michelin

Scanner-based research is a system of gathering information from a group of respondents by continuously monitoring the promotions panel members are exposed to and their subsequent purchase behavior

Shimano sells the fishing and golfing equipment it manufactures to sporting goods stores, which in turn sell the equipment to anglers and golfers. Shimano is engaged in business marketing.

Social change is perhaps the most difficult external variable for marketing managers to forecast, influence, or integrate into marketing plans.

Stimulus discrimination is a learned ability to differentiate among similar products.

Stuart Marketing Research is gathering information on the way people wrap gifts specifically for a large manufacturer of gift wrap paper that is considering introducing reusable wrapping paper with Velcro fasteners. The information gathered would be an example of primary data.

The same environmental factors that operate in the domestic market also exist internationally. These factors (culture, economic and technological development, political structure and actions, demographic makeup, and natural resources) should be examined regardless of the country.

Rachel is the owner of a gift shop. She understands the need to segment her market, and available marketing research indicates there is much demand in the community for personalized gifts. She has few resources and cannot engage in intensive consumer research to precisely identify a segment. Which of the following strategies would you suggest she employ? a. Develop an undifferentiated strategy, because it is not a large community and she could create a single marketing mix that would serve the entire community b. Employ a macrosegmentation strategy, because the data needed for such a strategy are both easy to get and fit her needs exactly c. Use a single-variable strategy, because it offers an inexpensive alternative that would not require much experience to employ d. Use a multiple-variable segmentation strategy, because it is easier to use than single-variable segmentation e. Conduct a VALS investigation of her buying market

Use a single-variable strategy, because it offers an inexpensive alternative that would not require much experience to employ

All of the following are good reasons to study marketing EXCEPT: a. Marketing creates consumer needs. b. Marketing plays an important role in society, coordinating the huge numbers of transactions needed to provide goods and services. c. Marketing is a key function in business. d. Marketing offers outstanding career opportunities. e. Marketing affects your day-to-day life as a consumer.

a. Marketing creates consumer needs.

Refer to Circuses. One of the tent venues is called Barnum's Kaleidoscope, and it is in a permanent location with the hopes that people who see the show will want to return and see it again as well as bring their friends and relatives to the production. Which of the following techniques would most likely advance this strategy of referrals and repeat business? a. Relationship marketing b. Empowerment c. Sales orientation d. Authority to delegate e. Transactional marketing

a. Relationship marketing

Refer to Ritz-Carlton Hotels. The "Give Back Getaways" and "Vow to Help Others" programs offered by Ritz-Carlton hotels are applications of which marketing management philosophy? a. Societal b. Sales c. Production d. Market e. Retail

a. Societal

A planning manager visiting a company's health and beauty aids division discovers the division has no effective method for allocating resources, nor for evaluating actual results against planned results. His suggestion to the division would likely be to prepare a: a. marketing audit b. contingency plan c. service audit d. market share analysis e. series of tactical evaluations

a. marketing audit

Smucker's purchased Folgers Coffee in 2008. The option to buy Folgers represented a(n) _____ to Smucker's. a. opportunity b. strength c. weakness d. threat e. burden

a. opportunity

Refer to Ritz-Carlton Hotels. Customer-oriented personnel, effective training programs, employees with authority to make decisions and solve problems, and teamwork all work together at Ritz-Carlton to implement which type of strategy? a. relationship marketing b. social marketing c. internal marketing d. external marketing e. empowered marketing

a. relationship marketing

All of the following are basic marketing mix decisions EXCEPT: a. sales b. price c. product design d. place (distribution) e. promotion

a. sales

A _____ is a study conducted by an organization to identify its internal strengths and weaknesses and also examine external opportunities and threats. a. situation analysis b. marketing audit c. trend analysis d. strategic alternative selection e. competitive advantage audit

a. situation analysis

Electric cars will increase the demand for electricity, which will then dramatically increase demand for the equipment needed to provide consumers with the electricity. This dramatic increase is due to the: a. demand fluctuator principle b. joint demand principle or division effect c. inelastic demand effect d. circumlocution effect e. accelerator principle

accelerator principle

The city of Monroe has a literacy program for the homeless but has had a difficult time reaching this group with information about the program, even though radio and television stations have provided public service advertisements free of charge. This illustrates a segmentation problem with: a. substantiality b. identifiability and measurability c. responsiveness d. accessibility e. accountability

accessibility

Copying machines, personal computers, and fax machines are typically classified as _____ because they are not expensive, have short useful lives, and are frequently purchased from local distributors. a. accessory equipment b. mobile equipment c. component parts d. processed materials e. supplies

accessory equipment

Finished items ready for assembly or products that need very little processing before they become a part of some other product are called: a. supplies b. raw materials c. accessory equipment d. processed materials e. component parts

accessory equipment

For a police department, firearms, computers, printers, and fax machines are all examples of _____ because they are shown as expenses on the yearly accounting statements. a. mobile installation b. component part c. processed material d. supply e. accessory equipment

accessory equipment

Refer to Rock-Tenn. Power tools used to maintain the machinery that produces cartons would be an example of: a. major equipment b. accessory equipment c. raw materials d. component parts e. processed materials

accessory equipment

Business marketing does NOT include goods and services that: a. become part of another product b. are used to manufacture other products c. are used for personal consumption d. facilitate the normal operations of an organization e. are acquired for resale

are used for personal consumption

A business unit that usually generates more than it needs to maintain its market share is called a(n) _____ in the portfolio matrix. a. star b. cash cow c. problem child d. dog e. independent

cash cow

Refer to Ritz-Carlton Hotels. Ritz-Carlton embodies an organization-wide commitment to service and support so that customers attain benefits relative to the price they pay for this service. Which element of an organization's focus is this commitment satisfying? a. Empowerment b. Customer value c. Customer acquisition d. Creativity e. Primary goal making

b. Customer value

Refer to Starbucks. Starbucks customers wanted more value from their coffee. Starbucks management responded to customers through the Starbucks card rewards program. Which element of value was Starbucks management working to increase? a. Offering products that perform b. Earning trust c. Avoiding unrealistic pricing d. Giving the buyer facts e. Co-creation

b. Earning trust

_____ is the primary tool used by a sales-oriented organization to achieve its corporate goals. a. Price b. Promotion c. Product design d. Place (distribution) e. Production

b. Promotion

Tub King is a small company that refinishes antique claw foot bathtubs and antique sinks, and provides training for bathtub refinishing. The company's management is currently conducting a formal study of its current strengths and weaknesses by looking at the company's profit and sales histories and searching for opportunities and threats by studying consumer trends. Tub King is conducting a(n): a. marketing audit b. SWOT analysis c. environmental scan d. market differentiation scan e. strategic window search

b. SWOT analysis

Which of the following statements about marketing audits is true? a. Marketing audits only need to be performed once. b. The main purpose of the marketing audit is to develop a full profile of a company's marketing effort. c. Marketing audits are only necessary after a major crisis. d. Marketing audits simply examine the external environment in which a company operates. e. The marketing audit should only be performed by outside accounting firms.

b. The main purpose of the marketing audit is to develop a full profile of a company's marketing effort.

What is the most critical element in successful strategic planning? a. Creativity b. Top management support and participation c. Continual attention d. The use of a BCG portfolio matrix e. A stringent and narrow mission statement

b. Top management support and participation

Private Ears are earphones that a person with limited hearing can use to hear the television without turning the volume up full blast. That way, other family members with normal hearing can watch the television at the appropriate volume for them. Private Ears is using _____ segmentation. a. usage-rate b. demographic c. geodemographic d. competitive e. benefit

benefit

There are many furniture manufacturers. Tall Paul's is the only one that makes furniture to meet the needs of people who are over 6'6" tall. These people find furniture designed for average-sized people to be cramped and uncomfortable. Tall Paul's uses _____ segmentation. a. geodemographic b. usage-rate c. demographic d. psychographic e. benefit

benefit

ThermaCare air-activated heat wraps are meant to be wrapped around sore muscles and joints. The product is advertised as a powerful pain reliever and a source of deep muscle relaxation. Its soothing warmth can work at night while you sleep to restore your body. The manufacturer of ThermaCare heat wraps is using _____ segmentation. a. geodemographic b. functional c. benefit d. socioeconomic e. feature-based

benefit

When asked to name a brand of sports drink, most people will answer Gatorade, and some will respond with POWERade. But people with diabetes who still need to replenish electrolytes lost during activity or illness cannot drink these sports drinks because they are high in sugar and thus cannot be consumed by diabetics. As a result, a manufacturer has developed Champion Lyte, which contains no sugar. The manufacturer of Champion Lyte has used _____ segmentation to identify its market. a. geodemographic b. usage-rate c. demographic d. psychographic e. benefit

benefit

An exclusion of all products from certain countries or companies by a government or group is called a(n): a. expropriation b. quota c. tariff d. exchange control e. boycott

boycott

In 1764, the British Sugar and Currency Acts created such economic difficulty in the American colonies that soon-to-be Americans refused to buy British goods in protest. This refusal marked one of the first examples of the use of the: a. transfer limit b. quota c. tariff d. exchange control e. boycott

boycott

Mosaic Labs has developed a chemical compound that prevents mildew in even the most humid climates. The week after the compound was invented, a group of the firm's employees got together and listed ways the product might be used. This is an example of: a. focusing grouping b. brainstorming c. concept testing d. venture group activities e. screening

brainstorming

A _____ is a name, term, symbol, design, or combination thereof that identifies a seller's products and differentiates them from competitors' products. a. brand mark b. trademark c. brand name d. UPC e. brand

brand

According to recent market research, Google is one of the most valuable brands in the world. According to this research, the company and its well-known name are worth about $86 billion. This research indicates that Google has a high: a. brand loyalty hierarchy b. evoked set c. brand quality standard d. perceptual expectation e. brand equity

brand equity

Refer to Choice Homes, Inc. In a recent survey, Choice Homes' customers indicated that they thought their homes were of high quality, made lots of referrals to friends, and planned to buy a Choice Classic or Reflections home in the future. The customers' reactions indicate that Choice Homes has achieved: a. generic status b. private brand status c. brand equity d. superficial skills e. brand superiority

brand equity

The value of company and brand names is referred to as: a. brand equity b. brand loyalty c. brand power d. brand equivalency e. brand strength

brand equity

Arm & Hammer is a well-known and respected brand of baking soda. The company has put its brand name on several products, such as laundry detergent, toothpaste, kitty litter, and many more. These are examples of: a. brand transfers b. brand modifications c. brand banks d. brand hierarchies e. brand extensions

brand extensions

A Boston diamond distributor has developed the first branded diamond called Hearts on Fire to help smaller retailers counter the volume jewelers' aggressive price discounting. This move is meant to: a. take away trademark rights b. build product identity and customer loyalty c. create a catchy phrase to promote diamonds d. combat the quality appeal of generic products e. combat low-cost production of generic brands

build product identity and customer loyalty

John R. Harland Company is best known for printing checks. Its Financial Solutions division develops software for mortgage companies, which is a growing industry. This division is currently not producing at the desired level of profitability, but Harland plans to turn the division into a success by acquiring other companies that develop similar software. To accomplish this, Harland will be engaging in a _____ strategy. a. harvesting b. diversification c. divesting d. holding e. building

building

Refer to Hardie Siding Products. HardiePlank siding is best described as a(n) _____ product. a. business b. specialty c. unsought d. shopping e. convenience

business

Rock-Tenn produces cardboard cartons to be used by companies in the food industry. Rock-Tenn is selling _____ products. a. specialty b. consumer c. business d. convenience e. unsought

business

All of the following are sources of a cost competitive advantage EXCEPT: a. reengineering b. experience curves c. break-even analyses d. efficient labor e. production innovations

c. break-even analyses

A strategic business unit (SBU): a. competes with the same companies as the other SBUs in the parent organization b. shares the same mission with all the other SBUs in the parent organization c. controls its business independent of other SBUs in the organization d. usually benefits from the combined corporate raw materials purchases e. still has strategic planning performed back at corporate headquarters

c. controls its business independent of other SBUs in the organization

Orange growers in Florida have lost millions of dollars due to hurricanes. As a result, some growers have decided to bulldoze their orange groves and put in freshwater lakes for raising shrimp, a product that has a strong popularity and is more weather resistant. Former orange growers who are now raising shrimp are pursuing a _____ strategy. a. market penetration b. product development c. diversification d. market development e. product penetration

c. diversification

Refer to Circuses. To exhibit a societal marketing orientation, circuses could: a. rely on publicity and avoid any promotions b. empower their employees to satisfy customer wants c. donate a percentage of their profits to local educational institutions d. use relationship marketing e. emphasize customer value

c. donate a percentage of their profits to local educational institutions

Clorox saw sales of its bleach products suffer when it introduced laundry detergents with bleach as an added ingredient. This is an example of: a. demarketing b. cannibalization c. undifferentiation d. repositioning e. perceptual confusion

cannibalization

Pharmaceutical firms have introduced new over-the-counter antacids that block the production of stomach acids while still marketing traditional antacids. Traditional antacids treat heartburn by neutralizing stomach acid. If sales of the new acid blockers reduce sales of the traditional antacids, then _____ has occurred. a. demarketing b. cannibalization c. undifferentiation d. repositioning e. perceptual confusion

cannibalization

Refer to Mercedes-Benz. One potential problem is that some of the purchasers of Daimler's downsized luxury vehicles could be consumers who would have purchased a larger, higher-priced Mercedes-Benz. This situation is called: a. subjugation b. cannibalization c. sabotage d. benefit transference e. marginal sales

cannibalization

When Procter & Gamble (P&G) introduced Liquid Tide to a new segment, consumers in the traditional powdered detergent segment switched to the liquid product. Rather than real sales growth, P&G simply experienced the shifting of existing customers to a new product. This exemplifies a drawback of multisegment targeting strategy called: a. demarketing b. selective perception c. undifferentiation d. cannibalization e. market repositioning

cannibalization

Tide laundry detergent is the market leader, but overall industry growth is low in this market. Tide would be classified as a _____ in the portfolio matrix. a. star b. cash cow c. problem child d. question mark e. dog

cash cow

Many people fear world trade because it: a. will inevitably lead to inflation b. will cause living standards to increase at a slower rate c. causes some people to lose their jobs as production shifts abroad d. has brought entire nations out of poverty e. has increased per capita income for some countries

causes some people to lose their jobs as production shifts abroad

Patch Products is an Australian company that has given permission to several Latin American companies to manufacture and market its patented Spanish/English children's frame tray puzzles. Because Patch uses licensing as its global marketing strategy, it: a. must only pay a minimal royalty to the licensed companies b. cannot control how the puzzles are manufactured c. has involved itself in the global marketing strategy that gives it the greatest amount of control d. cannot have any control over how the puzzles are promoted or distributed e. chose a method of global marketing that created minimal risk

chose a method of global marketing that created minimal risk

Inner tension that a consumer experiences after recognizing an inconsistency between behavior and values or opinions is referred to as: a. cognitive dissonance b. psychological discomfort c. affect referral d. perceptual imbalance e. dissatisfaction

cognitive dissonance

Miller has just purchased a new Allez A1 Specialized bicycle for $1,000. Miller realizes that the Allez A1 costs more than most bikes, and even at that price it doesn't come with a set of pedals. Although other brands of bicycles cost much less than the Allez A1, Miller tells himself that the Allez A1 is more comfortable and has greater durability than most road bikes. As Miller wonders if he made the right purchase decision, he is experiencing: a. attribute remorse b. cognitive dissonance c. evaluation distortion d. consumer cognition e. perceptual disharmony

cognitive dissonance

Refer to Day Care. Fiona's uncertainty about whether she made the correct decision and the feelings that go along with this uncertainty are called: a. selective retention b. perceptual distortion c. postpurchase action d. cognitive dissonance e. routine response

cognitive dissonance

Refer to Interface. To reduce potential _____, Interface could include a letter in every box of corn-fiber carpet tiles congratulating the buyer on helping to protect the environment. a. cognitive dissonance b. buyer repentance c. consumer affectation d. affective dissonance e. consumer cognition

cognitive dissonance

Refer to New Car Purchase. In noticing similar cars on the road and advertising supporting her decision, Zena is reinforcing her decision and reducing the doubts she sometimes feels regarding this purchase. The feelings of inner tension are called: a. selective retention b. perceptual distortion c. postpurchase action d. cognitive dissonance e. response attitudes

cognitive dissonance

A cooperative agreement between business firms is called a: a. shared capital contract b. global partner development strategy c. strategic alliance d. joint contract e. comarketing effort

comarketing effort

During the _____ stage of the new-product development process, production starts, inventories are built up, the product is shipped to distribution points, the sales force is trained, and advertising and promotion begin. a. commercialization b. product testing c. market analysis d. product prototyping e. simulated marketing

commercialization

Zatarains offers packaged spice mixes for jambalaya, gumbo, and red beans and rice. Consumers can buy the product in the store, so Zatarains sells individual household-size packages to resellers. It also sells institutional-size packages to military bases, schools, restaurants, and other large organizations. The marketers of Zatarains would most likely segment the business market according to: a. company characteristics b. the buying process c. financial terms d. customer relationship objectives e. length of distribution channel

company characteristics

When the Segway Human Transporter was introduced in 2002, many people expected the product to be a phenomenal success. While the Segway is still on the market, it has never been the success so many expected. A recent Wall Street Journal article suggested that the Segway, while brilliant technologically, seemed impractical to most people since it could not be used to replace their current method of transportation. In other words, the Segway had problems with: a. compatibility b. relative advantage c. observability d. trialability e. longevity

compatibility

Refer to Rock-Tenn. The demand for Rock-Tenn's cardboard cartons depends on how many Dunkin' Donuts, Chick-fil-A waffle fries, and Chinese take-out meals consumers order. This is an example of _____ demand. a. inelastic b. derived c. joint d. fluctuating e. elastic

derived

Frito-Lay is considered the king of the salty snack industry with its distribution network of 42 plants, 12,800 delivery people, and more than 900 tractor trailers formed into a retail delivery powerhouse. Smaller manufacturers of salty snacks find that monitoring the activities of Frito-Lay is an effective way to monitor the _____ factors within their external environments. a. bureaucratic b. marketing mix c. competitive d. social e. demographic

competitive

The number of firms a company must face, the relative size of these firms, and the degree of interdependence within the industry are all part of its _____ environment. a. demographic b. economic c. political d. competitive e. social

competitive

As a customer entered the Hornady store, which sells muzzleloading rifles, a salesperson approached her and said, "Hornady lead round balls are the musket balls you ought to buy. They are the most uniform in size and shape, and they are made of pure lead. Our shot is used by the Muzzle Loading World Champion." The salesperson was describing Hornady's: a. competitive advantage b. strategic strength c. tactical opportunity d. opportunity mission e. quality objective

competitive advantage

Each labor and delivery room at the new Dekalb County Medical Center has hardwood floors, soft lighting, and mission-style furniture. The facility also features a stone fireplace in the lobby, a bistro-style restaurant, and VIP suites for discerning mothers-to-be. This unique design and furnishings give the medical center a: a. profit-enhanced advantage b. competitive advantage c. quality objectivity d. strategic strength e. tactical opportunity

competitive advantage

Land O'Lakes makes a light butter with canola oil that has 60 percent less cholesterol and 50 percent less fat and calories than butter. This marketing gives the product a: a. strategic edge b. competitive advantage c. tactical strength d. marketing mix e. mission statement

competitive advantage

Refer to Delta Faucet Company. The reputation the Delta faucet has for its quality, durability, and dependability among builders is an example of a(n): a. tactical threat b. competitive advantage c. experience curve d. economy of scale e. market differentiator

competitive advantage

The set of unique features of a company and its products that are perceived by the target market as significant and superior to the competition is known as a(n): a. environmental advantage b. experience curve c. competitive advantage d. market segment e. strategic business unit

competitive advantage

An intelligence system that helps managers assess their competition and vendors in order to become more efficient and effective competitors is called: a. competitive research b. competitive intelligence c. industrial espionage d. an audit e. differential competitive advantage

competitive intelligence

Ad campaigns for Aleve pain reliever emphasize the fact that to get the same relief offered by one Aleve, you would need to take six aspirin or Tylenol and four Advil. These promotions are using the positioning base of: a. product class b. competitor c. product user d. product merits e. price and quality

competitor

A(n) _____ is the practice of choosing goods and services that meet one's diverse needs and interests rather than conforming to a single, traditional lifestyle. a. aggregated lifestyle b. component lifestyle c. psychographic mode of living d. demographically defined lifestyle e. targeted lifestyle

component lifestyle

Abetta, Royal King, Kincade, EquiRoyal, and Amadeus are all manufacturers and marketers of Western-style saddles for horses. Thus, the manufacturers are _____ factors in each other's external environments. a. component lifestyle b. competitive c. economic d. social e. legal and regulatory

component lifestyle

Lee Siracca owns two horses, brews his own beer, participates in the civic arts commission, enjoys talk radio, hikes on wilderness trails, and competes in rodeos. All of these diverse needs and interests influence his choices of the goods and services he buys. Lee has a: a. component lifestyle b. demographically oriented lifestyle c. multicultural demographic position d. fragmented market orientation e. segmented buying strategy

component lifestyle

Lance is a 30-year-old, single professional who enjoys hiking, college sports, and poetry. He lives with his girlfriend but does not have plans to get married in the near future. He leads a life much different from his father, who married right after high school, had children, and worked for the same company his entire career. More and more in the U.S. consumers like Lance are enjoying _____, piecing together a variety of interests, products, and services instead of conforming to traditional stereotypes. a. well-defined segments b. component lifestyles c. simple multipurpose products d. conformity and cohesiveness e. modular market mixes

component lifestyles

PAS Systems has developed an unobtrusive flashlight-alcohol detector. The flashlight readings are inadmissible in court but are used by police officers to decide whether to hold someone for a sobriety test. Each one costs $600. The manufacturer assembles a breathalyzer from one supplier with a slightly modified flashlight case from another supplier to make the new product. The breathalyzer and the flashlight case are examples of: a. major equipment b. component parts c. processed materials d. integrated parts e. accessory equipment

component parts

Within the business market, roller belts that are purchased by vacuum manufacturers are examples of: a. supplies b. raw materials c. accessory equipment d. processed materials e. component parts

component parts

A(n) _____ strategy entails selecting one segment of a market to target and focuses on understanding the needs, motives, and satisfactions of the members of that segment, as well as on developing a highly specialized marketing mix. a. universal product b. undifferentiated targeting c. concentrated targeting d. market development e. product development

concentrated targeting

After Mattel evaluated many new products to add to its Barbie product line and before any prototype was created, the toy manufacturer instructed a committee to select three of the ideas to present to a group of consumers. The consumer group was asked to evaluate the ideas in terms of their marketability. This stage of new-product development is called: a. prototype screening b. concept testing c. market testing d. idea manipulation e. idea diffusing

concept testing

A research firm has conducted marketing research on the market for metal roofing for homes. The research firm has determined there are thousands of homeowners who want the durability provided by metal roofs. These homeowners are generally married and between 25 and 54 years of age. They tend to live in suburban neighborhoods, and most subscribe to lifestyle magazines. If you were interpreting these results, you might suggest that the research firm: a. conduct additional research because it has no idea about the measurability of its segments b. examine the research report again to see if it can determine segment accessibility c. conduct a follow-up analysis to determine if the segments it might choose would respond differently than other segments to its marketing strategy d. not segment the concrete siding market because the only market for siding is contractors who build the homes e. segment the concrete siding market based on the information provided and concentrate its efforts on suburban homeowners between ages 25 and 54 years who read lifestyle magazines

conduct a follow-up analysis to determine if the segments it might choose would respond differently than other segments to its marketing strategy

Refer to Alberto Culver Company. Based on their intended use, Alberto Culver's toiletries division products could best be classified as _____ products. a. industrial b. consumer c. business d. convenience e. unsought

consumer

All of the following factors directly influence consumers' level of involvement in the purchase process EXCEPT: a. consumer's age b. previous experience with the product c. financial risk associated with the product d. social visibility of the purchased item e. perceived risk of negative consequences as a result of the purchase

consumer's age

Unsought products typically are products that: a. consumers purchase when they see them in a convenient location b. consumers definitely don't want c. only require reminder advertising to be successful d. require little or no decision making by the buyer e. consumers don't know about or don't actively look for

consumers don't know about or don't actively look for

Refer to Boeing Company. Boeing has chosen the _____ method of entering the Japanese market. a. dumping b. contract manufacturing c. licensing d. direct investment e. joint venture

contract manufacturing

Sony, Panasonic, and other Japanese manufacturers that build products to customer order instead of churning out products in anticipation of demand have decided to hire U.S. companies to produce electronics for them. The Japanese companies will handle the marketing of the products. Japanese electronics companies are using: a. contract manufacturing b. direct investment c. franchising d. direct exporting e. countertrading

contract manufacturing

An international company that needs to develop a way to compare its actual marketing results with planned results must engage in: a. external market research b. implementation c. comparative analyses d. planning e. control

control

Marketing plans should be written to do all of the following EXCEPT: a. compare actual and expected performance b. provide clearly stated activities c. create common goals for employees to work toward d. allow managers to enter the marketplace with an awareness of possibilities and problems e. control the elements of the external marketing environment

control the elements of the external marketing environment

Amy stopped by the grocery store to pick up a gallon of milk. As she was waiting to check out, she noticed that Soap Opera Digest had an interesting story about one of her favorite characters. As Amy is a huge fan of the long-running soap, she had to buy a copy. In this example, the Soap Opera Digest is an example of a(n) _____ product. a. specialty b. convenience c. business d. shopping e. unsought

convenience

Five hundred women were surveyed as to their feelings about female physicians. The majority responded that they felt more relaxed with a female physician. The survey was an example of a(n) _____ sample because it used local hospital patients as survey participants. a. random b. representational c. probability d. convenience e. framing

convenience

Kathy is driving Chaz, her young son, home from soccer practice when Chaz says, "Mom, I'm thirsty." Kathy immediately pulls the car into the nearest gas station and buys Chaz a Coke. For Kathy, the Coke is best described as an example of buying a _____ product. a. homogeneous shopping b. heterogeneous shopping c. convenience d. specialty e. component

convenience

International trade does not always involve cash. Sometimes companies accept all or part of the payment for goods or services in the form of other goods or services. This is known as: a. export trading b. crossdocking c. exchange modification d. domestic barter e. countertrade

countertrade

The demand for consumer goods often affects the demand for business products. This characteristic of business markets is called _____ demand. a. elastic b. inelastic c. fluctuating d. derived e. joint

derived

Product positioning is the process of: a. finding the correct location for retail outlets to sell a product category b. finding the right channel of distribution for a product c. creating the desired image of the firm's product d. competing with competitors' products in the retailers' stores for the best position on the shelf e. pricing the product to be at a competitive level with other brands on the market

creating the desired image of the firm's product

If a researcher wanted to look at responses to vacation home ownership questions as they relate to age and occupation of the respondent, the analysis approach he or she would use is: a. one-way frequency tables b. standard deviation measures c. cross-tabulations d. passive people meters e. scaled responses

cross-tabulations

A soft drink manufacturer thinking of investing in a bottling plant in the Czech Republic should know the nation is proud of the fact it is among the world's biggest beer drinkers. Czechs consume an average of one-half liter of beer a day for every man, woman, and child in the country. The _____ environment of this country could very easily prevent the soft drink bottling company from succeeding. a. demographic b. economic c. cultural d. political e. technological

cultural

In China, August 15 is "the Chinese Saint Valentine's Day," in memory of two ancient lovers who were separated by a goddess and only allowed to meet once a year on that date. Flower and candy sales typically increase that day, as they do on February 14 in the United States. This would be an important part of the international _____ environment for a flower wholesaler or a confectionery company. a. cultural b. legal c. economic d. technological e. natural

cultural

Muslim countries are receptive to most Disney products, but they have asked Disney not to include Piglet when it sells its Winnie the Pooh characters because Muslims (as a part of their religious beliefs) contend that pork in any form is unclean. This is an example of a _____ factor that directly affects Disney's global operation. a. political structure b. cultural c. technological d. competitive e. natural resource

cultural

When IKEA, the Swedish home furnishings retailer, first entered the Japanese market, it failed. It was more successful in its second try because it was aware of the need to adapt its furnishings to fit the smaller Japanese homes. The _____ environment had the greatest influence on IKEA's first failure in Japan. a. demographic b. economic c. cultural d. political e. technological

cultural

Central to any society is a common set of values shared by its citizens that determines what is socially acceptable. Marketers refer to these values collectively as a country's: a. ethical system b. culture c. ethnocentrism d. national personality e. socialization

culture

The fact that mothers in Japan feed their babies freeze-dried sardines and rice and most mothers in the United States would not eat a freeze-dried sardine, much less feed it to their babies, indicates how _____ influences the consumer decision-making process. a. culture b. perception c. motivation d. family life-cycle stage e. reference group membership

culture

All of the following are characteristics of culture EXCEPT: a. culture is pervasive b. culture is learned c. culture is functional d. culture is an inherent trait e. culture is dynamic

culture is an inherent trait

Bàbolina Tetra is a Hungarian company that has genetically created a chicken that is guaranteed to produce uniform brown eggs with strong shells. It breeds and sells young chicks to farmers all over Europe who want to sell eggs in local markets. When consumers began to worry about cholesterol content and stopped eating as many eggs, the demand for the Tetra hen also declined. This would be an example of _____ demand. a. derived b. elastic c. multiplying d. bundled e. inelastic

derived

Coca-Cola vending machines are found all over the world. The newest machines have an interactive screen that runs advertisements and allows users to obtain free photos of themselves and ringtones after they have bought a drink. The reason for the introduction of this new style of vending machine is to "allow the company to interact more directly with its customers." According to a SWOT analysis, the technology used by these machines is an example of a(n): a. strength because it is part of Coca-Cola's external environment b. advantage because it is part of Coca-Cola's marketing environment c. weakness because Coca-Cola cannot control technology d. opportunity because it is part of Coca-Cola's external environment e. benefit because Coca-Cola has the resources to make use of the new technology

d. opportunity because it is part of Coca-Cola's external environment

Briggs & Stratton is a company that makes small engines. The company is looking at customer trends, its competitors, and the economy to see if there are any threats or opportunities on the horizon. It has also examined its production policies and sales histories to determine its strengths and weaknesses. Briggs & Stratton is conducting a(n): a. environmental test b. market audit c. trend analysis d. situation analysis e. competitive advantage search

d. situation analysis

Refer to Sav-More Supermarkets. The creation of a large computerized file of customers' demographic and psychographic characteristics through the new Sav-More system is called: a. survey research b. situation analysis c. database marketing d. observation research e. secondary data

database marketing

Refer to Federal Aviation Administration. Ultimately, the FAA must get authority from the President to spend the billions of dollars necessary to upgrade the system because Congress must authorize the funds and the President must approve that authorization. In terms of the buying center, the President is the: a. initiator b. gatekeeper c. purchaser d. decider e. user

decider

Refer to Wrestling Merchandise. The marketing research revealed that _____ segmentation can be used to identify the biggest fans of professional wrestling. a. benefit b. psychographic c. demographic d. geographic e. geodemographic

demographic

When developing countries began encouraging foreign investors and imports, companies like Black & Decker and Pillsbury offered a wide array of products to countries throughout the world. Because of enormous populations in developing countries, these companies predicted a potential for strong annual sales. However, in addition to total population, companies must not overlook _____ factors such as distribution of people within a country and household incomes. a. demographic b. political c. cultural d. educational e. country resource

demographic

Redbook magazine targets what it calls "Redbook jugglers," defined as 25- to 44-year-old women who must juggle family, husband, and job. According to a Redbook ad, "She's the product of the 'me generation,' the thirty-something woman who balances home, family, and career—more than any generation before her, she refuses to put her pleasures aside. She's old enough to know what she wants. And young enough to get it." This is an example of _____ segmentation. a. demographic and psychographic b. benefit desired and usage rate c. geodemographic and benefit desired d. demographic and usage rate e. benefit desired and demographic

demographic and psychographic

The study of people's vital statistics, such as age, race and ethnicity, and location, is called: a. cultural sociology b. psychometrics c. ecology d. ethnography e. demography

demography

Procter & Gamble manufactures Tide laundry detergent, the best-selling brand in the United States. But is also offers Tide to Go, which is a stick product consumers can use to clean a spot on their clothing between washings, and small travel packets of Tide detergent. These other products are part of Tide's product line: a. width b. breadth c. mix d. depth e. synergy

depth

Refer to Alberto Culver Company. If a marketer looks only at the toiletries division and notes the brands and items within only that division, he or she is analyzing the _____ of the product line. a. width b. length c. depth d. levels e. consistency

depth

Inland Eastex manufactures a heavy paper stock that is used for printing covers for many different types and sizes of consumer magazines. Consumer magazine sales determine how much paper Inland Eastex sells. This is an example of _____ demand. a. joint b. inelastic c. elastic d. congruent e. derived

derived

When the demand for packaged beer fell by 8 percent in one year, the demand for aluminum beer cans and glass beer bottles also fell because the demand for beer containers is an example of a(n) _____ demand. a. joint b. inelastic c. elastic d. fluctuating e. derived

derived

Refer to Lucent Technologies. Consumers utilizing the First National Bank of Chicago to purchase U.S. Treasury bonds will affect the demand for and use of the AT&T network computer system capabilities. This is called: a. joint demand b. inelastic demand c. derived demand d. fluctuating demand e. elastic demand

derived demand

Volkswagen developed an 18-month-long project to gain a better understanding of the American culture so it could develop cars more appealing to this market. The research project was called Moonraker. Moonraker was intended to play a(n) _____ role in Volkswagen's marketing research. a. diagnostic b. descriptive c. predictive d. heuristic e. demonstrative

descriptive

Your supervisor has instructed you to conduct a marketing research effort that will determine how your company's business customer demographics have changed. You have also been instructed to use primary data. You will: a. gather data from Standard & Poor's General Information File b. develop a mail survey to study your primary market c. employ studies done by the Federal Trade Commission d. make sure you locate Internet information by using a search engine e. ask the National Industrial Conference Board for its latest study

develop a mail survey to study your primary market

The first step in creating the global marketing mix is to: a. create a new product b. select the method of promotion c. develop a thorough understanding of the global target market d. set pricing policies e. decide whether product modification is necessary

develop a thorough understanding of the global target market

The main goal of the global product development process is to: a. come up with a single standard product or product line suitable for all global markets b. expand the number of different new-product offerings so that individual country needs are more likely to be met c. develop every product for potential worldwide distribution and adaptation to other countries d. come up with new-product ideas in the United States and use global markets as test markets e. repeat the steps in the process with marketing teams in each and every foreign country targeted

develop every product for potential worldwide distribution and adaptation to other countries

In the _____ stage of new-product development, the technical feasibility of manufacturing the new product is examined as a prototype is produced. a. screening b. development c. market testing d. concept testing e. business analysis

development

The typical starting point of any firm's marketing mix is the: a. analysis of what production equipment is available and owned by the company b. design of the promotion campaign to be used for the product c. selection of the places through which the good or service will be sold d. determination of the product's price, enabling future revenues and budgets to be estimated e. development of the good or service to be sold

development of the good or service to be sold

Phillip Morris USA, the manufacturer of the Marlboro Ultra Smooth cigarette targeted to people who want to smoke a potentially safer cigarette, has asked for marketing research to explain the reasons for the recent failure of the new cigarette. This type of research is described as: a. descriptive b. predictive c. diagnostic d. normative e. historical

diagnostic

In the survey used by an organization of mothers who swap toys, respondents were asked, "Would you be willing to pay a small fee in order to take advantage of this service? Circle YES or NO." This is a(n) _____ question. a. open-ended b. sampling frame c. scaled-response d. double-barreled e. dichotomous

dichotomous

The process by which the adoption of an innovation spreads is referred to as: a. diffusion b. circulation c. transmission d. dissemination e. dispersion

diffusion

Belgian Beer brewer InBev bought Anheuser-Busch for $52 billion. This is an example of a(n): a. export b. joint venture c. franchise d. licensed agreement e. direct foreign investment

direct foreign investment

The higher your _____, the higher your purchasing power: a. gross income b. social class c. disposable income d. cost of living e. inflation index

disposable income

When deciding on distribution plans for specialty products, companies generally ensure that the items are: a. made available only as private brands b. made available in a large number of stores in a geographic area c. made available only through the mail d. distributed to a considerable number of stores in a geographic area e. distributed to only a few stores in the geographic area

distributed to only a few stores in the geographic area

All of the following are typical bases for positioning EXCEPT: a. attribute b. price and quality c. distribution d. emotion e. product user

distribution

Apple's iPhone can only be purchased through AT&T cell phone distributors and the Apple retail store. This limitation on the _____ element of its marketing mix supports the product's competitive advantage. a. planning b. product c. promotion d. distribution e. production

distribution

All of the following are categories used in the Boston Consulting Group's portfolio matrix EXCEPT: a. cash cows b. stars c. problem children d. meat eaters e. dogs

dogs

All of the following are categories of adopters in the diffusion process of innovations EXCEPT: a. laggards b. innovators c. early majority d. early adopters e. doubters

doubters

In a newspaper release, Corning, Inc. announced it had received a favorable ruling from China's Ministry of Commerce on allegations that it was selling its fiber more cheaply in China than in other countries. Corning was falsely accused of: a. dumping b. offloading c. boycotting d. repatriating e. crossdocking

dumping

The Canadian magazine industry accused U.S. magazine publishers of _____, or selling the magazines in Canada at a lower price than in the United States. a. dumping b. offloading c. boycotting d. repatriating e. crossdocking

dumping

The European Union accused South Korea of selling ships at a loss in an attempt to push its European rivals out of the market. In other words, South Korea was accused of: a. dumping b. illegal importing c. countertrading d. fiscal impropriety e. using an illegal cartel

dumping

Refer to Ritz-Carlton Hotels. A guest's suitcase was lost while in the care of hotel employees, and that guest needed his suit for an important business meeting. The desk clerk took the guest to a local mall to purchase clothing and shoes totaling $850. The fact that Ritz-Carlton employees have the authority to solve customers' problems quickly illustrates that these employees are given: a. authority training b. customer value giving c. cross-utilization d. teamwork e. empowerment

e. empowerment

The purpose of market segmentation is to: a. reduce the market down to a size the firm can handle b. divide the market into equal size and profit regions for sales territories c. group a large number of markets together, enabling a company to serve them simultaneously d. develop a generalized definition of the market as a whole e. enable the marketer to tailor marketing mixes to meet the needs of one or more specific groups

enable the marketer to tailor marketing mixes to meet the needs of one or more specific groups

The Michigan State Legislature tried to pass a bill requiring concert promoters and venue operators to print parental warnings on tickets and advertisements for concerts and shows by performers whose recordings had content advisory labels. Promoters and venue operators prevented the passage of this bill, arguing that it would require them to make value judgments for which they were ill equipped. The promoters and operators engaged in: a. internal marketing b. illegal practices c. environmental management d. reengineering e. corporate espionage

environmental management

The first stage of the new-product development process is: a. screening and concept testing b. establishing the new-product strategy c. exploring opportunities d. developing a business analysis e. the building of a prototype

establishing the new-product strategy

Refer to New Car Purchase. If you evaluate Zena's choice of a Chrysler based on Maslow's hierarchy of needs, the car was bought to meet _____ needs. a. self-actualization b. security c. esteem d. safety e. physiological

esteem

A group of brands, resulting from an information search, from which a buyer can choose is referred to as the buyer's: a. evoked set b. primary set c. inert set d. complete set e. justifiable set

evoked set

Melissa has been given a horse and needs to buy a new Western saddle. She has narrowed the brands of saddles she is considering down to Dale Chavez, Abetta, and Big Horn. These three brands of Western saddles represent Melissa's a. evaluative criteria b. dissonance suppressors c. discretionary discriminators d. discriminatory set e. evoked set

evoked set

Warren loves to go to the beach on his vacation but hates to have to worry about the possibility of hurricanes. As Warren looked for where he should go on vacation this summer, he consulted a publication called Smart Money and learned the islands of Aruba, Bonaire, and Curacao are not in the hurricane belt. Now he will only consider these island resorts as possible vacation destinations. This group of resort islands is called Warren's: a. involvement set b. evaluative set c. evolved set d. evoked set e. intuitive set

evoked set

A(n) _____ is a law that compels a company earning foreign currency from its exports to sell it to a central bank rather than sending the money out of the country. a. tariff b. quota c. fiscal prerequisite d. exchange control e. transfer barrier

exchange control

The Belly Cast kit by Proud Body helps an expectant mom to make a cast of her pregnant body, decorate it, and keep it for a lifetime. The primary market segment for the Belly Cast kit is: a. all parents b. expectant moms c. recently married couples d. parents of toddlers e. collectors of unusual art

expectant moms

Manufacturers of consumer goods often give away trial sizes of new products to encourage: a. experiential learning b. selective perception c. continuous reinforcement d. conceptual learning e. problem recognition

experiential learning

International Marketing, Inc. is a company located in Brazil that assists businesses exporting products to Brazil. This company helps with financing, shipping, and any aspect of marketing a product from another country to Brazil. This company is an example of a(n): a. agent broker b. export agent c. export broker d. buyer for export e. import broker

export agent

A(n) _____ is a global intermediary who brings the buyer and seller together. a. buyer for export b. export agent c. license agent d. import agent e. export broker

export broker

Vast differences in natural resources create all of the following EXCEPT: a. potential for military intervention b. shifts in wealth between nations c. inflation and recession d. global international dependencies e. export opportunities for countries with no natural resources

export opportunities for countries with no natural resources

The United States is selling more domestically produced products in other countries than any other country in the world. This means the United States is the world leader in: a. quota making b. exporting c. tariff trading d. dumping e. licensing

exporting

The statement on a toothpaste box that brushing twice a day with the paste will remove 90 percent of all tartar from the user's teeth is an example of a(n): a. implied warranty b. functional label c. UPC disclaimer d. express warranty e. universal warranty

express warranty

A direct reference group is composed of: a. face-to-face membership groups that touch people's lives directly b. only friends, neighbors, and relatives c. role models on television and in the movies d. people the individual does not want to be associated with e. people an individual aspires to be like

face-to-face membership groups that touch people's lives directly

A series of stages determined by a combination of age, marital status, and the presence or absence of children is known as the: a. generation gap b. family life cycle c. maturation process d. segmentation cycle e. psychographic process

family life cycle

Jane graduated from high school in 1978, is married, and has two teenage children. Most of Jane's friends from high school have children who have already graduated from college and gotten married, and some have grandchildren. Jane and her former classmates are at different stages of the: a. internalization phase b. segmentation process c. family life cycle d. psychographic cycle e. maturation process

family life cycle

Modern Bride is a publication that contains articles and lots of ads for the bride-to-be. Many young women consult this magazine as they plan their special day. The segmentation base used to define the publication's target market is based on _____ variables. a. geodemographic b. geographic c. family life cycle d. lifestyle e. psychographic

family life cycle

PAS Systems has developed a new product--an unobtrusive flashlight-alcohol detector. The flashlight readings are inadmissible in court but are used by police officers to decide whether to hold someone for a sobriety test. Each one costs $600. After seeing a prototype brought back by one of its employees from a highway safety convention, the Georgia Governor's Office of Highway Safety decided to equip every DUI officer with one. In this example, the individual who attended the convention had the roles of _____ in the buying center. a. buyer and decider b. decider and user c. gatekeeper and influencer d. initiator and decider e. purchaser and gatekeeper

gatekeeper and influencer

A manufacturer of blankets knows heavy 100 percent wool blankets sell better in the New England area where the winters are harsh and that lighter-weight blankets sell better in the Southeast market where mild winters require fewer and lighter covers for the bed. Segmenting the market according to climate is an example of _____ segmentation. a. psychographic b. lifestyle c. perceptual d. demographic e. geographic

geographic

Almost all cell phones sold in the United States are black or gray. Almost all cell phones sold in Europe are colorful, and very few black phones are sold. A cell phone manufacturer knowing this information could use _____ segmentation when selling its phones internationally. a. geographic b. economic c. demographic d. benefit e. multipositioning

geographic

Rexona, marketed by Unilever (a Dutch company), is the world's number one deodorant brand. The brand is a leader in Europe, South America, Asia, Africa, and the Middle East. Rexona is an example of a: a. master brand b. global brand c. cannibalized brand d. standard brand e. family brand

global brand

Refer to Breathe Right. The same Breathe Right nasal strips you can buy in any pharmacy in the United States can also be purchased in 40 other countries. CNS used a _____ strategy. a. mass marketing b. product invention c. market substitution d. product adaptation e. global market standardization

global market standardization

Individuals and organizations utilizing a global vision to effectively market goods and services across the world are engaged in: a. international selling schemes b. borderless commerce c. global marketing standardization d. global logistics e. global marketing

global marketing

Refer to Boeing Company. Boeing has utilized a global vision in marketing its planes in Asia. The company realizes different countries require different strategies but that effective global marketing is a key to success. Boeing is practicing: a. global marketing b. standard international marketing c. global marketing standardization d. the foreign vision e. international selling schemes

global marketing

Apple, Inc. used its Mac and PC guy ad in countries around the world. The company simply modified the characters a bit to fit the culture. Apple is attempting to market the Mac using: a. standardized marketing practices b. mixed marketing c. character standardization d. global marketing standardization e. product invention

global marketing standardization

With multisegment targeting, a company could benefit from all of the following EXCEPT: a. greater sales volume b. greater product design and management cost c. higher profits d. larger market share e. economies of scale in manufacturing

greater product design and management cost

The phase of the product life cycle in which healthy profits usually begin to appear is the _____ stage. a. growth b. decline c. introductory d. maturity e. commercialization

growth

Andrea needs to find a kennel for boarding her son's dogs. There are several different kennels in her community, and Andrea believes all of them to be basically alike. The only feature she is genuinely concerned about is low price. For Andrea, the kennel for boarding dogs would be classified as a(n) _____ product. a. specialty b. unsought c. heterogeneous shopping d. basic convenience e. homogeneous shopping

homogeneous shopping

Business marketers focus on all of the following market segments EXCEPT: a. institutions b. producers c. households d. resellers e. government

households

Shane had every reason to believe that the antacid he purchased would relieve his stomach problems if he followed the directions on the box. This is an example of a(n): a. implied warranty b. functional label c. persuasive label d. express warranty e. universal warranty

implied warranty

Nonprobability samples: a. require more expensive marketing research than probability sampling b. include any sample in which little is done to obtain a representative cross section of the population c. by definition must be representative of the population d. often start out with random numbers to ensure selection of subjects is truly random e. offer an easy method for determining sampling error

include any sample in which little is done to obtain a representative cross section of the population

Procter & Gamble makes Gain laundry detergent for people who like a strong scent and Dreft for those who want a gentle detergent for their baby's clothes. It is using a(n) _____ strategy. a. individual branding b. family branding c. combination branding d. trademarked branding e. private branding

individual branding

Although the price of a chemical added to paint to protect surfaces from mold and mildew has almost doubled, the price of paint has risen an average of only 5 percent, and the demand for both paint and the chemical that eliminates mold and mildew has remained stable. The demand for this chemical is: a. elastic b. derived c. bundled d. inelastic e. change resistant

inelastic

During the first years of this century, the number of packages arriving at households has more than doubled. An increase in the price of the cardboard boxes in which these packages are shipped will have little effect on the amount of shipping done; the demand for the boxes will continue to increase. Therefore, you know the demand for the cardboard boxes is: a. resistant b. inelastic c. derived d. elastic e. bundled

inelastic

Lanover Manufacturing supplies windshield wiper blades to General Motors and Ford. A sudden jump in the price of rubber and its substitutes has forced Lanover and other wiper blades manufacturers to double the price of the blades. This increase in price has not affected sales volume for wiper blades. The price change did not change demand for the blades because demand for this product by business customers is: a. inelastic b. secure c. bundled d. elastic e. resistant

inelastic

Refer to Baseball Dirt. An increase in the price of Partac Peat's dirt will not affect the demand for the product because many groundskeepers believe there is no substitute for the product. Thus, demand for Partac Peat's secret mix is: a. inelastic b. intangible c. heterogeneous d. synergistic e. elastic

inelastic

Refer to Claxton Fruitcakes. Because demand for raisins to bake into the fruitcakes does not change on the basis of the price fluctuations of dried fruits, Claxton's demand for raisins is an example of _____ demand. a. inelastic b. derived c. fluctuating d. elastic e. joint

inelastic

When demand for a product is _____, an increase or decrease in the price of the product will not significantly affect demand for the product. a. responsive b. elastic c. inelastic d. derived e. bundled

inelastic

Statements on Kashi cereals and breakfast bars stating that they have no artificial colors, flavors, or preservatives would most likely be an example of _____ labeling. a. primary b. required c. informational d. functional e. environmental

informational

The two types of package labeling in common usage today are: a. informational and persuasive b. promotional and nonpromotional c. functional and persuasive d. government mandated and seller controlled e. motivational and required

informational and persuasive

Labeling that is designed to help consumers make proper product selections and lower their cognitive dissonance after the purchase is referred to as: a. informational labeling b. persuasive labeling c. cognitive labeling d. rational labeling e. restrictive labeling

informational labeling

Refer to Lucent Technologies. AT&T requires its customers to purchase all the necessary technology to run the network. This requires expensive machinery that will be purchased and then depreciated over time. The machinery is classified as: a. processed materials b. accessory equipment c. installations d. supplies e. component parts

installations

Refer to Lucent Technologies. Lucent sells: a. consumer products b. business products c. supplies d. consumer and business products e. installations

installations

A product is defined as a business product rather than a consumer good on the basis of its: a. intended use b. physical characteristics c. price d. distribution method e. tangible attributes

intended use

Companies that are most likely to succeed in the development and introduction of new products typically are characterized by all of the following EXCEPT: a. establish an environment conducive to achieving new-product objectives b. make the long-term commitment needed to support innovation and new-product development c. capitalize on experience to achieve and maintain competitive advantage d. use a company-specific approach, driven by corporate objectives and strategies, with a well-defined new-product strategy at its core e. introduce ten new products every year

introduce ten new products every year

The distribution structure in business marketing typically: a. includes at least one wholesaler b. is direct c. is complex and multistage d. uses a three-step channel e. uses retail distributors

is direct

The marketing research problem: a. is information oriented b. involves determining what resources will be used in research efforts c. is action driven d. does not rely on managerial experience e. is accurately described by none of these choices

is information oriented

The marketing researcher for Pooch Party, a manufacturer of toys for dogs, has noticed an increased trend in pet owners dressing their dogs in clothing. The researcher thinks there is a market for designer clothing for small- and medium-sized dogs, but he's not sure if the segment is substantial. In this case, substantiality means the segment: a. has enough special stores, magazines, and other outlets that it will be possible to direct advertisements at this group b. is large enough to permit a profitable market effort toward its members c. exhibits a response rate to marketing variables different from the rates of other segments d. is too large and needs to be reduced to a more easily identifiable and measurable size e. will be difficult to develop a product to match this group of buyers

is large enough to permit a profitable market effort toward its members

As a marketing tool in the United States, social class: a. is useful for lifestyle distinctions between groups b. is just a simple measure of income level c. offers few insights concerning consumer behavior d. is not used because the United States is a classless society e. has demonstrated that all classes of consumers shop in the same stores

is useful for lifestyle distinctions between groups

Home Cookin' Catering would like to improve customer satisfaction and increase repeat business. When you ask the owners to describe a typical customer, they say it is impossible and explain that with corporate functions, family affairs, and fund-raisers, they do not have a typical customer. You suggest it is time for market segmentation because: a. it will enable them to build an accurate description of customer needs by group and to design a marketing mix to fit each segment b. the company needs to reduce the size of the market it serves c. the company needs to learn how to group these markets together into one market to serve all of them adequately d. it will help develop a generalized definition of the market as a whole and reveal the optimal marketing mix for this market e. this will position the company in the minds of its consumers as compared to its competitors

it will enable them to build an accurate description of customer needs by group and to design a marketing mix to fit each segment

A business thinking of expanding into global markets needs to examine all of the following external environments EXCEPT: a. culture b. political structure and actions c. its marketing mix d. natural resources e. demographic makeup

its marketing mix

When two or more items are used in combination to produce a final product, they are said to have _____ demand. a. derived b. inelastic c. joint d. fluctuating e. elastic

joint

Caterpillar, Inc. is the world's largest manufacturer of earthmoving and construction equipment. Kirovsky is a large Russian manufacturer of the same type of products. The two companies entered into a(n) _____ and created NEVAMASH, a new company. a. import/export partnership b. countertrade c. disintermediation agreement d. joint venture e. franchise

joint venture

China's new 5 percent tax on disposable wooden chopsticks, reflecting concerns about deforestation, has been praised by environmentalists. The move is hitting hard at the Japanese, who consume 25 billion sets of wooden chopsticks annually. Almost all of the chopsticks used in Japan come from China. The requirement for Chinese manufacturers of wooden chopsticks to pay the 5 percent tax is a _____ factor in their external environment. a. competitive b. social c. demographic d. technological e. legal

legal

Products such as parking garages, mainframe computers, privately owned office buildings, and street-cleaning equipment are depreciated over time rather than expensed in the year they are purchased. These are classified as: a. processed materials b. accessory equipment c. major equipment d. supplies e. component parts

major equipment

Refer to Claxton Fruitcakes. In terms of business-to-business products, the large ovens in which the cakes are baked are examples of: a. component parts b. MRO equipment c. specialty equipment d. processed supplies e. major equipment

major equipment

Computer-assisted personal interviewing and computer-assisted self-interviewing are computerized techniques for conducting: a. CLT interviews b. mall intercept interviews c. e-mail interviews d. in-home interviews e. focus groups

mall intercept interviews

According to the text, a true marketing decision support system should be interactive, which means: a. managers can probe for trends, isolate problems, and ask "what if" questions b. managers who aren't skilled with computers can easily learn to use the system c. managers are able to sort, regroup, total, average, and manipulate data in various ways d. managers can give simple instructions and see immediate results e. managers can find optimum solutions to marketing problems

managers can give simple instructions and see immediate results

The brand name of a manufacturer is known as a(n) _____ brand. a. private b. manufacturer's c. individual d. captive e. family

manufacturer's

Campbell's, Nature Valley, Honda, and Lipton products are examples of _____ brands because of who owns them. a. manufacturers' b. private c. family d. individual e. master

manufacturers'

Refer to Mercedes-Benz. Baby boomers have money to burn and will be the primary target for the downsized luxury vehicles offered by Mercedes. Many of them will want this type of car to feel young again. This group is considered a(n): a. consumer advocacy group b. income-ready group c. market d. population e. market maven

market

In order to expand its sales into the U.S. market, BRL, an Australia-based winemaker, agreed to a merger with a U.S.-based wine distribution company. According to Ansoff's strategic opportunity matrix, BRL would be implementing a _____ strategy. a. diversification b. market development c. product development d. divestment e. product penetration

market development

LVMH, a maker of luxury goods, has expanded its products offerings into China, Russia, India, and the Middle East. This exemplifies a _____ strategy. a. market development b. product development c. market penetration d. diversification e. product expansion

market development

Refer to Novartis. By acquiring Tianyuan, Novartis will be offering vaccines, which is a product that it currently offers in its existing markets, to new markets for the company. This is an example of which strategic alternative? a. strategic window b. market penetration c. product development d. diversification e. market development

market development

Yard Whimzees, a Statesboro, Georgia, sign business, began by making wooden signs for residential use to announce births, anniversaries, and such. The company then turned to the business market by making signs for businesses. Creating signs for a new market is an implementation of a _____ strategy. a. market development b. market penetration c. product penetration d. product development e. diversification

market development

A(n) _____ describes and estimates the size and sales potential of market segments of interest to the firm and assesses key competitors in these market segments. a. marketing orientation b. environmental scan c. marketing mix audit d. target market strategy e. market opportunity analysis

market opportunity analysis

Refer to Turkey Hunting Equipment. Wild turkey hunters would be defined as a: a. market segment b. market position c. segmentation base d. retail position e. consumer position

market segment

Refer to Wrestling Merchandise. The group identified as strong wrestling fans can be described as a: a. market position b. market segment c. positioning d. organizational buyer e. microsegment

market segment

Refer to Sav-More Supermarkets. The Sav-More management is continually provided with information to make better marketing decisions. These data are easily accessed and manipulated. This type of system is called a: a. marketing decision support system b. competitive intelligence system c. single-source system d. marketing information system e. marketing research system

marketing decision support system

A _____ specializes in interviewing respondents on a subcontracted basis. The firm may also provide focus group facilities, mall intercept locations, test product storage, and kitchen facilities to prepare test food products. a. research diagnostic firms b. single-source researchers c. marketing information organization companies d. decision support companies e. field service firm

marketing information organization companies

The _____ is the unique blend of product, place, promotion, and pricing strategies designed to produce mutually satisfying exchanges with a target market. a. internal environmental mix b. marketing mix c. product mix d. product line e. market portfolio

marketing mix

Soon after the Chenault Military Museum expanded its hours and began charging a small fee to pay for the extra help needed to keep it open longer, attendance decreased. To determine why this decrease in attendance occurred, the museum staff could rely on: a. a production audit b. database marketing c. marketing research d. an internal marketing audit e. secondary data

marketing research

The publisher of a Canadian business magazine wanted to make several major changes in the magazine's content and format. To determine what changes would be supported by its subscribers and what changes would not be welcomed, the publisher should engage in: a. advertising b. database marketing c. marketing research d. a data retrieval system e. secondary data

marketing research

A _____ is a company that acquires, catalogs, reformats, segments, and resells reports already published by marketing research firms. a. syndicated vendor b. research directory c. marketing research aggregator d. secondary data provider e. marketing research compiler

marketing research aggregator

Managers must combine specific pieces of information needed to identify the marketing research problem. Their _____ is to provide insightful decision-making information. a. company-correlated goal b. autonomous task c. dichotomous goal d. marketing research objective e. field service objective

marketing research objective

A product information source that originates with marketers promoting the product is referred to as a: a. manipulative information source b. primary information source c. secondary information source d. marketing-controlled information source e. biased information source

marketing-controlled information source

David is shopping for tires for his Audi. He looks in the yellow pages of the local phone book and calls Costco, Sam's Club, Sears, and a local car repair shop. In his decision-making process, David is using: a. marketing-controlled information sources b. demographic information sources c. nonmarketing-controlled information sources d. secondary data sources e. internal search sources

marketing-controlled information sources

BFGoodrich has been manufacturing and marketing automotive tires for over one hundred years. It spends much of its marketing budget on short-term promotions aimed at stealing market share from Goodyear, Dunlop, and other tire manufacturers. From this information, you should know that tires are in the _____ stage of their product life cycle. a. maturity b. growth c. saturation d. decline e. development

maturity

Normally, the longest stage of the product life cycle is the _____ stage. a. maturity b. growth c. introductory d. decline e. development

maturity

All of the following are basic strategies resulting from a portfolio analysis EXCEPT: a. harvest b. build c. hold d. divest e. milk

milk

Refer to Alberto Culver Company. All the products that Alberto Culver sells in each of its three divisions are the company's product: a. item b. depth c. width d. mix e. marketing consistency

mix

Proctor & Gamble is a well-known producer of home and beauty products. Along with these products, P&G also markets pet products, prescription drugs, and small appliances. This range of products provides the company with product: a. line height b. line consistency c. mix width d. line depth e. mix depth

mix width

A _____ situation is normally less critical and less time-consuming than a new buy situation but does require some change in the original good or service. a. synergistic rebuy b. value buy c. negotiated rebuy d. modified rebuy e. make-or-buy

modified rebuy

Apple, Inc. wants a faster microprocessor for its new Macs. Apple most likely engaged in a: a. value engineering task b. modified rebuy c. straight rebuy d. new process e. new buy

modified rebuy

Axel Spring AG, one of Europe's largest newspaper publishers, with 10,000 employees and more than 150 papers in 30 countries, announced it would switch its entire operation from PCs to Macs. Axel decided to make a switch to Apple because the company's layout work was already being done by Macs, and the Macs were more user-friendly, more elegant, and cheaper to maintain than they had been in the past. This is an example of a: a. new buy b. value buy c. straight rebuy d. modified rebuy e. make-or-buy

modified rebuy

Refer to Claxton Fruitcakes. For a corporation that has been giving its key customers Claxton fruitcakes since 1950, placing the order for cakes to be delivered this year would be an example of a _____ because some negotiation about price and quantity would likely occur each year. a. new buy b. contingency buy c. modified rebuy d. situational buy e. straight rebuy

modified rebuy

The Dallas Morning News needed a new printing press comparable to the one that needed to be replaced. The firm's familiarity with the product and its manufacturer caused it to approach two companies--one in the United States and one in Japan--to see which could offer the better deal. It negotiated with both companies and quickly decided to buy from the Japanese manufacturer when it offered to sell a press for $2.2 million less than its U.S. competitor. This purchase was an example of a: a. contingency buy b. modified rebuy c. negotiated buying system d. straight rebuy e. new buying situation

modified rebuy

The James Hardie Siding Company sells concrete siding. It was having little luck targeting contractors because concrete siding is difficult to install and shows every flaw if a house is incorrectly framed. So Hardie decided to target homeowners who wanted the security of knowing their siding was guaranteed not to rot or crack for 50 years. In terms of psychographic segmentation, the siding company used the _____ variable. a. lifestyles b. motives c. benefits d. demographic e. personality

motives

Apple, Inc. has partnerships with wireless carriers in Japan, Spain, and a handful of other European countries. Apple works with suppliers and retailers worldwide. This means that Apple is a: a. multinational corporation b. worldwide competitor c. marketplace competitor d. domestic corporation e. foreign investor

multinational corporation

Otis Elevators has entered into a strategic alliance with a company in France from which it gets its elevator door systems. It has a similar agreement with a manufacturer in Japan that provides it with special motor drives. A manufacturer in Spain has worked closely with Otis to create small geared parts necessary for the manufacture of elevators. The component parts are assembled at its plant in the United States. Otis elevators can be found in buildings all over the world. Otis Elevators is an example of a(n): a. cultural marketer b. global trader c. multinational corporation d. exporting company e. global enterprise

multinational corporation

Refer to Boeing Company. The Boeing facility in China is only one branch of this huge organization. Boeing can be called a(n): a. domestic trader b. cultural trader c. multinational corporation d. export agent e. localized corporation

multinational corporation

Refer to Breathe Right. 3M is an example of a(n): a. ethnocentric organization b. standard international market c. multinational corporation d. expatriated organization e. organization with no domestic base

multinational corporation

When European demand for a certain solvent declined, Dow Chemical instructed its German plant to switch to manufacturing a chemical that had been imported from Louisiana and Texas. Dow Chemical would be best described as a(n): a. global enterprise b. global trader c. cultural marketer d. exporting company e. multinational corporation

multinational corporation

As a result of the _____, a small increase or decrease in consumer demand can produce a much larger change in demand for the facilities and equipment needed to manufacture the consumer product. a. demand fluctuation principle b. joint demand principle or division effect c. inelastic demand effect d. multiplier effect e. derived force effect

multiplier effect

Refer to Rock-Tenn. Rock-Tenn makes paper products for companies to use in their product and service offerings. As demand for their products increased due to rising plastic prices, Rock-Tenn had to acquire other plants and equipment to help in its business. This is an example of the: a. customer accelerator b. volume principle c. growing principle d. marketing effect e. multiplier effect

multiplier effect

When a firm serves two or more well-defined market segments with a distinct marketing mix for each, it is using a(n) _____ targeting strategy. a. undifferentiated b. concentrated c. niche d. multisegment e. pluralistic

multisegment

Refer to Wrestling Merchandise. Since the WWE must use different methods to reach its three largest target markets, it must use: a. undifferentiated targeting b. concentrated or niche targeting c. multisegment targeting d. demarketing e. repositioning

multisegment targeting

Stouffer's offers gourmet entrees for one segment of the frozen dinner market and Lean Cuisine for another segment that wants both good taste and low calories. When Stouffer's chose to serve two well-defined market segments and develop distinct marketing mixes for each, it was implementing a(n) _____ strategy. a. market integration b. concentrated targeting c. undifferentiated targeting d. multisegment targeting e. heterogeneous positioning

multisegment targeting

The external environment: a. can be controlled in much the same manner as the internal marketing mix b. cannot be influenced by marketing managers c. does not change over time d. does not have an impact on Fortune 500 companies e. must be continually monitored by marketing managers

must be continually monitored by marketing managers

A market is people or organizations that have: a. the ability, willingness, and power to buy b. a medium of exchange and products they desire c. needs and wants and an ability and willingness to buy d. unmet needs or wants and products or services that satisfy those unmet needs or wants e. communication, financial, and capital resources

needs and wants and an ability and willingness to buy

A _____ is a situation requiring the purchase of a product for the first time. a. straight rebuy b. value buy c. modified rebuy d. new buy e. make-or-buy

new buy

A small police department wants to buy a machine with which it can perform alcohol breath tests. It has never had this capability before but feels it is an essential tool as the community grows. The machine costs about $5,000, which is almost 75 percent of the department's entire supply budget. This purchase would be an example of a(n) _____ situation. a. extensive buying b. low-involvement buying c. new buy d. modified rebuy e. straight rebuy

new buy

Refer to Federal Aviation Administration. When the FAA purchases a satellite-based system, this will be a situation in which it is purchasing an entire system, not just a modified part or new vendor for existing parts. Basically, this is a situation in which the FAA will be purchasing a system for the first time and is referred to as a(n): a. straight rebuy b. modified rebuy c. new buy d. original equipment purchase e. primary purchase

new buy

A(n) _____ links the new-product development process with the objectives of the marketing department, the business unit, and the corporation. a. product-review committee b. concept test c. episodic innovation d. new-product strategy e. product strategy bridge

new-product strategy

Jackie and Kevin like to eat at high-end restaurants where they can sit and enjoy their meal without rushing. An ad showing food created "fast from a can" would be appealing to Jackie and Kevin's _____ reference group. a. nonaspirational b. direct reference c. membership d. integrated e. aspirational

nonaspirational

A _____ sample is any sample in which little or no attempt is made to obtain a representative cross section of the population. a. frame b. random c. probability d. nonprobability e. representational

nonprobability

A value or attitude deemed acceptable by a group is called a(n): a. expectation b. reference c. aspiration d. opinion e. norm

norm

Dryel is a Procter & Gamble product that allows consumers to dry-clean their clothes in a dryer. Before launching the product, P&G researchers visited consumers' homes and watched as people sorted laundry, creating piles of darks, whites, delicates, and items that would go to the dry cleaner because the people were unsure how to clean them. This was an example of _____ research. a. observation b. mall intercept c. visualization d. action-based e. experiment

observation

When people are hired to record traffic patterns in a shopping mall, they are engaging in _____ research. a. focus group b. observation c. experimental d. survey sampling e. sample framing

observation

Mystery shoppers engage in a form of: a. mall intercept study b. experiential study c. marketing audit d. observation research e. market audit

observation research

A retailer of sporting goods equipment is interested in learning peoples' attitudes, motivations, and feelings about its product lines. All of the following are potential sources for this information EXCEPT: a. observation studies b. mail questionnaires c. in-store interviews d. telephone surveys e. focus group interviews

observation studies

Representatives of the Tourism Board of Arkansas visited state welcome centers and asked visitors to the state, "What is your reason for coming to Arkansas?" This would be an example of a(n) _____ question. a. scaled-response b. Likert scale c. open-ended d. dichotomous e. multiple choice

open-ended

Claiborne, Inc. produces leather accessories for motorcycle riders and is in the first stage of creating its global business. This means that Claiborne: a. operates in one country and sells to others b. has set up a foreign subsidiary c. operates an entire line of business in another country d. has top executives and core corporate functions in different countries e. operates in every country in the world

operates in one country and sells to others

Refer to College Decision. One person from whom Juan has sought advice is his school guidance counselor, Mr. More. Mr. More is respected by students and parents alike and knows a lot about the schools Juan is considering. Mr. More can be considered a(n): a. influencer b. decider c. opinion leader d. gatekeeper e. market maven

opinion leader

Refer to Day Care. Shannon, Fiona's best friend, recommended PerfectCare because she takes her daughter there. Shannon was acting as a(n): a. family member b. opinion leader c. dissociative reference d. busybody e. gatekeeper

opinion leader

Refer to New Car Purchase. Susanne has influenced Zena's choice of a new automobile. In this instance, Susanne is acting as a(n): a. dissociative reference b. purchase catalyst c. gatekeeper d. social reference e. opinion leader

opinion leader

UGG has a portion of its Web site featuring photographs of celebrities wearing UGG shoes. The celebrities serve as: a. opinion leaders b. laggards c. early instigators d. gatekeepers e. aspirational adopters

opinion leaders

The primary reason large U.S. companies send U.S. jobs abroad is because labor costs are higher in the United States. They are engaging in: a. outsourcing b. global trade c. multinational employee searches d. employee export e. global employment

outsourcing

Opinion leaders are: a. wealthy, well-educated individuals b. experts on all high-involvement consumer goods c. usually the same individuals for all social classes d. people who influence others e. easy to locate and target

people who influence others

British Columbia's Sun-Rype Products wanted to find out if Canadians were having trouble getting their required servings of fruits and vegetables each day. Marketers conducted focus groups, a type of _____, which revealed that participants were having particular trouble getting their required servings of vegetables. a. mail survey b. mall intercept c. ethnographic research d. personal interviewing e. experiment

personal interviewing

Refer to Baseball Dirt. Because Partac Peat's secret mix is a business product, the primary promotional method used for its sale is: a. trade promotions b. slotting allowances c. personal selling d. advertising in consumer magazines e. publicity

personal selling

An individual's _____ is a composite of psychological makeup and environmental forces. It includes people's underlying dispositions, especially their most dominant characteristics. a. acculturation b. socialization c. personality d. autonomy e. attitude

personality

Ranked from the lowest to the highest level, Maslow's hierarchy of needs model includes: a. safety, esteem, social, physiological, and self-actualization needs b. physiological, social, esteem, economic, and self-actualization needs c. psychological, safety, economic, esteem, and social needs d. physiological, safety, social, esteem, and self-actualization needs e. safety, economic, social, esteem, and self-development needs

physiological, safety, social, esteem, and self-actualization needs

Refer to University Research Study. In addition to understanding potential students' attitudes and intentions regarding online degree programs, the administration has also asked the students to gather data on another project regarding the public's attitude toward the university. Gathering data on two different projects using one questionnaire is called a(n) _____ study. a. piggyback b. dichotomous c. dual-purpose d. compound e. synergistic

piggyback

Refer to DeFeet International. DeFeet's _____ includes retailers and online retailers throughout the world. a. product strategy b. place strategy c. price strategy d. promotion strategy e. positioning strategy

place strategy

All of the following are common reasons why companies fail to achieve a marketing objective EXCEPT: a. unrealistic marketing objectives b. poor implementation c. plan not formalized d. inappropriate marketing strategies e. changes in the environment after the objective was specified and the strategy was implemented

plan not formalized

A small brewery has noticed a 20 percent decrease in the sale of its dark beer over the last three years. The company's owner wants to determine why the decline has occurred and how to reverse the trend. Once the owner has identified the problem as a consumer perception that dark beer is bitter and calorie laden, its next step in the marketing research process should be to: a. collect the data b. recognize the marketing problem c. analyze the marketplace d. plan the research design e. specify the sampling plan

plan the research design

A go-cart manufacturer recently added shock absorbers to make the ride in its go-carts smoother. It has not changed its prices. This is a(n) _____ modification. a. upsale b. style c. dysfunctional d. repositioning e. quality

quality

The _____ is a tool for allocating resources among products or strategic business units on the basis of relative market share and market growth rate. a. market audit b. portfolio matrix c. experience matrix d. market development analysis e. market opportunity analysis

portfolio matrix

Elaine perceives Cadillac automobiles to be for older men, not for young professional women such as herself. Elaine's perception represents Cadillac's _____ in her mind. a. status b. frame c. position d. role e. equity

position

Basketball is played nearly everywhere in the world and is an easily understood sport. The National Basketball Association (NBA) finals reached more than 600 million televisions in 195 countries. From this information, you should be able to infer that the NBA is: a. developing international selling schemes b. implementing standard international marketing c. implementing global marketing standardization d. supplementing its foreign vision e. practicing global marketing

practicing global marketing

If a business needs a particular good or service and decides to look among its own customers for a provider of that good or service, the business is: a. working to create purchase arbitration b. opening itself up to prosecution for illegal activities c. acting unethically d. trying to eliminate derived demand barriers e. practicing reciprocity

practicing reciprocity

Global marketing standardization: a. is becoming less popular with the large multinationals b. encourages product, packaging, and advertising variations for each nation or local market c. actually raises production costs d. presumes markets throughout the world are becoming more alike e. is more popular with consumer products than with industrial goods

presumes markets throughout the world are becoming more alike

Apple, Inc. is now offering the iPhone 3G for half its original price. This new strategy reflects a change in the _____ element of its marketing mix. a. price b. production c. product d. distribution e. target market

price

Caterpillar has been experimenting with replacing the traditional steering mechanism on its graders with a joystick-based steering mechanism. As a part of their research, they built graders that included both a steering wheel and joystick steering mechanisms, then asked operators to use the machines for a few days. After two days of testing, several of the operators liked the joysticks so much that they suggested the steering wheel be removed to provide better visibility. This would be an example of using an experiment to gather _____ data. a. primary b. secondary c. dichotomous d. ethnographic e. collaborative

primary

Community Trust Bank's management decided to design a new product and promotion to appeal to small to medium-sized businesses. A researcher conducted a series of focus groups with business owners to find out more about what they wanted in bank services. With the focus groups, Community Trust was collecting _____ data. a. primary b. ethnographic c. consensual d. secondary e. collaborative

primary

Information collected for the first time for the purpose of solving a particular problem under investigation is called _____ data. a. primary b. secondary c. dichotomous d. observation e. convenience

primary

Levi Strauss recently introduced its new Totally Slimming jeans. The idea for the jeans came from a group session conducted last August in which a group of moms made it clear they were tired of low-rise styles. Instead, they wanted jeans that were comfortable while covering up problem areas and that showed off their figures. Levi's used this _____ data as the basis for designing this new line of jeans. a. primary b. secondary c. dichotomous d. convenience e. ethnographic

primary

Refer to Sav-More Supermarkets. Al Edisto, Sav-More's frozen food manager, decided that the best way to determine what is causing the drop in orange juice sales was to conduct a survey among shoppers in the store's frozen food section. Edisto collected _____ data. a. single-source b. secondary c. representational d. primary e. dichotomous

primary

Wal-Mart sells many health and beauty aid products under the name Equate. This brand can only be purchased in Wal-Mart stores and is an example of a(n) _____ brand. a. manufacturers' b. international c. family d. private e. corporate

private

A(n) _____ sample is characterized by every element in the population having a known statistical likelihood of being selected. a. irregular b. probability c. nonprobability d. convenience e. piggyback

probability

A research manager decides to pick households for interviews by selecting street intersections at random and then using a given route for the interviewers to follow--such as every fifth house on the right side of the road until the end of the street and then turn east and interview every fifth house on the left. This is a: a. convenience sample b. stratified sample c. nonprobability sample d. sampling error e. probability sample

probability sample

John R. Harland Company is best known for printing checks. Its Financial Solutions division develops software for mortgage companies and is currently producing much less than the desired level of profitability in a high-growth industry. According to the portfolio matrix, Harland would label its Financial Solutions division as a(n): a. widow b. exclamation point c. problem child d. star e. dog

problem child

In terms of how business buyers evaluate products and suppliers, the most important criterion is: a. price b. behavior c. quality d. personal relationships e. reciprocity

quality

No-Glut is a small company that manufactures several gluten-free products for consumers who cannot digest this substance. For this manufacturer, rice flour, which will be used in its manufacturing process, is: a. accessory equipment b. fabricating material c. a component part d. an integrated material e. processed material

processed material

Refer to Etruscan Railing Company. Companies that make bicycle racks for bike safekeeping in public places receive the railing as 30-foot lengths of pipe. For these companies, Etruscan railing is classified as: a. supplies b. accessory equipment c. an installation d. processed material e. raw material

processed material

A dog food manufacturer purchases processed meat by-products that it uses in the manufacture of a dry dog food. These processed meat by-products are examples of: a. raw materials b. OEM products c. processed materials d. component parts e. replacement parts

processed materials

Metalcrafter Enterprise manufactures stamped brass door plates, brass numbers, and other decorative brass trim for homes. Every month, Metalcrafter purchases sheets of brass, which are classified as: a. processed materials b. fabricating supplies c. raw materials d. component parts e. replacement parts

processed materials

Products that have had some processing, are used directly in the production of other products, and do not retain their identity in the final product are called: a. raw materials b. supplies c. processed materials d. component parts e. replacement parts

processed materials

Refer to Claxton Fruitcakes. In terms of business-to-business products, the flour used in fruitcakes is an example of: a. OEM supplies b. installations c. MRO supplies d. processed materials e. accessory supplies

processed materials

A particular segment of the business market includes those individuals and organizations that purchase goods and services for the purpose of making a profit. They achieve this goal by using purchased goods and services to make other goods, to become part of other goods, or to facilitate the daily operations of the organization. This group is called the _____ segment of the business market. a. institution b. reseller c. wholesaler d. producer e. government

producer

Corn refiners buy shelled corn and convert it into a variety of products, including high-fructose corn syrup. The refiners then sell the syrup to soda and food product companies for use in foods and beverages. The corn refiners represent the _____ sector of the business market. a. channel b. reseller c. producer d. government e. distributor

producer

Refer to Etruscan Railing Company. When Etruscan sells railing to contractors to use in building loading docks in accordance with federal government regulations, it is selling to: a. government b. institutions c. resellers d. producers e. consumers

producers

Refer to Rock-Tenn. Rock-Tenn makes paper products for companies to use in their product and service offerings. The business market consists of four categories of business customers. Rock-Tenn's customers are an example of: a. producers b. resellers c. governments d. institutions e. all of the above

producers

A _____ is everything, both favorable and unfavorable, that a person receives in an exchange. It can be tangible, intangible, a service, an idea, or a combination of these things. a. brand equity b. quality c. warranty d. transaction e. product

product

Ocean Spray's development of Craisins sweetened dried cranberries to compete against raisins most directly affected the _____ element of the company's marketing mix. a. place b. production c. product d. distribution e. target market

product

Refer to DeFeet International. DeFeet's _____ is high-tech apparel, the packaging it comes in, and the brand name, company image, and value. a. product b. place c. price d. promotion e. position

product

Refer to Delta Faucet Company. Delta's decision to make more stylish faucets represents a change in the _____ element of its marketing mix. a. product b. promotion c. place d. production e. distribution

product

The _____ is the starting point in creating a marketing mix. a. price b. product c. distribution channel d. promotional media e. production line

product

When IKEA, the Swedish home furnishings retailer, first entered the Japanese market, it failed. It was more successful in its second try because it was aware of the need to adapt its furnishings to fit the smaller Japanese homes. It success on its second foray into Japan was based on its ability to give the Japanese consumer what he or she needed without abandoning its product strategy. IKEA had to adopt a _____ strategy. a. product substitution b. market differentiation c. message adaptation d. product invention e. product adaptation

product adaptation

Patio furniture, lighting fixtures, microwave ovens, canned corn, and athletic shoes are examples of: a. PLC line items b. line-extendable categories c. brand classes d. brand groupings e. product categories

product categories

The length of the introductory stage of the product life cycle for a new product is largely determined by: a. the size of the product b. the product's marketing mix c. the efficiency of the test marketing d. product characteristics, such as advantages over substitute products e. the size of the market

product characteristics, such as advantages over substitute products

Clay Market began as a retailer of terra-cotta pots and garden figures imported from Turkey and Mexico. It has since added Turkish rugs and fabrics, leather-trimmed purses, and a line of women's clothes for its customers. These activities are indicative of a _____ strategy. a. vertical integration b. market penetration c. diversification d. product development e. market development

product development

Kraft introduced Philadelphia Ready-To-Eat Cheesecake Filling for those who do not have time to make cheesecake in the traditional manner. This is an example of a _____ strategy. a. diversification b. market development c. product development d. divestment e. product penetration

product development

Refer to Rock-Tenn. A sales representative from a paper-producing company wants to do business with Rock-Tenn. The representative needs to locate the person who actually negotiates the purchase, in other words, the _____ in the buying center. a. influencer b. gatekeeper c. decider d. purchaser e. user

purchaser

Refer to Delta Faucet Company. Since Delta was already marketing to homeowners (although not very successfully), its development of new styles of faucets to appeal to this underserved market would be an example of a _____ strategy. a. market penetration b. product diversification c. market development d. product development e. product penetration

product development

The Hallmark Company was inspired by the popularity of Jan Karon's best-selling novels about Mitford, a fictional town in the mountains of North Carolina, to develop a new line of products for Hallmark Gold Crown Stores nationwide. Hallmark created hundreds of Mitford-inspired products that authentically bring "the little town with the big heart" into tangible reality. The products include greeting cards, partyware and gift wrap, mugs, and puzzles for Hallmark's existing customers. Hallmark used a _____ strategy. a. market development b. market penetration c. product penetration d. product development e. diversification

product development

The marketing of organic cotton tee-shirts for Life is good's existing customers would be an example of a _____ strategy. a. market development b. product development c. market penetration d. product penetration e. diversification

product development

The process of converting applications for new technologies into marketable products is called: a. basic research b. product modification c. marketing development d. product development e. correlation analysis

product development

For years, fryer chickens sold in grocery stores were perceived to be a rather generic product--one brand of chicken was much like another. Then Frank Perdue began an advertising campaign to tell consumers that his brand of chicken was more tender and a better choice. Perdue brought _____ to the marketing of fryer chickens. a. perceptual mapping b. product differentiation c. psychographic targeting d. market innovation e. cannibalization

product differentiation

Products such as bleaches, aspirin, unleaded regular gasoline, and some soaps are distinguished by differences such as brand names, packaging, color, smell, or "secret" additives. With these products, marketers attempt to convince customers that their product is significantly different from the others and should therefore be demanded over competing brands. These marketers are using: a. cannibalization b. perceptual mapping c. psychographic targeting d. integrated marketing e. product differentiation

product differentiation

Refer to Turkey Hunting Equipment. Primos Hunting Calls is another company that manufactures wild turkey callers. It claims each of its callers is able to cluck, shriek, and kee-kee (three sounds that have been known to attract the wild turkey). If you buy one of Cost's callers, you are limited to one sound. In this way, Primos has implemented a(n) _____ strategy. a. multisegment b. product differentiation c. undifferentiated marketing d. target market e. repositioning

product differentiation

There are a number of devices that parents can buy to prevent their children from hearing objectionable language while they watch television. ProtecTV is the only product of its kind that has an expandable dictionary. Parents can add words and phrases they find offensive, and the additional words will be deleted from soundtracks and captioning. ProtecTV uses a(n) _____ strategy. a. repositioning b. demarketing c. market integration d. undifferentiated targeting e. product differentiation

product differentiation

When the Sara Lee Bakery Group introduced Iron Kids Crustless bread (to save mothers the time and effort of slicing the crusts off sandwiches), it was using: a. PRIZM segmentation b. geodemographic segmentation c. niche marketing strategy execution d. product differentiation e. a target market chart

product differentiation

Refer to Alberto Culver Company. The moisturizing version of Alberto mousse could be called a: a. product mix b. product item c. product depth d. product width e. product consistency

product item

A biological metaphor that traces the stages of a product's acceptance, from its introduction (birth) to its decline (death) is called the: a. product diffusion process b. product phase c. product adoption stages d. product evolution cycle e. product life cycle

product life cycle

Refer to Choice Homes, Inc. The three different brands of homes (Choice, Choice Classic, and Reflections) represent the firm's: a. line portfolio b. mix depth c. line breadth d. product line e. product itemization

product line

There are a number of toothpastes marketed under the Crest brand, including Cavity Protection Crest, Pro-Health Sensitive Shield Crest, Baking Soda Crest, Tarter Protection Crest, and Crest for Kids. The large variety of toothpastes under the Crest brand is an example of a: a. marketing mix b. product line c. product mix d. product equity e. product modification

product line

At one point, Heinz made ketchup in multiple colors, including red, green, purple, pink, orange, and teal. While they were popular for a few years, consumers stopped buying the unusual colors and Heinz has dropped back to just making red ketchup. This is an example of the implementation of a _____ strategy. a. repositioning b. cannibalization c. product line extension d. product line contraction e. divestment

product line contraction

Adding additional products to an existing product line in order to compete more broadly in the industry is referred to as: a. product line extension b. product modification c. planned obsolescence d. repositioning e. cannibalization

product line extension

Cover Girl and Revlon are both recognized as leading manufacturers of cosmetics. Both companies have recently introduced cosmetics for the over-50 woman who does not have the same concerns as a 20-year-old girl. The introductions of these cosmetics are examples of the implementation of a _____ strategy. a. portfolio breadth expansion b. product portfolio width adjustment c. product item contraction d. product line extension e. repositioned marketing mix

product line extension

Refer to Choice Homes, Inc. Choice Homes is considering the development of a new category of small homes designed to replace low-income housing in the inner city. This strategy represents a: a. quality modification b. product line extension c. style modification d. product line contraction e. functional modification

product line extension

When Crest introduced Crest for Kids, this was an example of a _____ strategy. a. repositioning b. product line extension c. cannibalization d. disintermediation e. demarketing

product line extension

In terms of sales and market share, Rexona is the number one brand of deodorant worldwide. Since its creation in Australia in 1908, it has added an antiperspirant, a stick deodorant, Rexona for Men, Rexona for Women, Rexona for Teens, and Rexona Skin Friendly. These additions are examples of: a. product line extensions b. product portfolio width adjustments c. product item contractions d. SBU expansions e. product mix widths

product line extensions

Along with its Macintosh computer line, Apple markets its iPod, iPhone, and AppleTV products. This is an abbreviated listing of the company's: a. customer mix b. product line c. product mix d. line depth e. product modification

product mix

Most people recognize Campbell's as a brand of soup, but Campbell's also manufactures Pace Picante Sauce, Pepperidge Farms products, Prego pasta sauces, Swanson Broth, and V8 juice. All these products are part of Campbell's: a. marketing equity b. product line c. product mix d. line depth e. product modification

product mix

Refer to Choice Homes, Inc. Choice Homes is considering acquiring a mortgage and title company to add to its marketing power in selling homes. This acquisition would expand the firm's: a. product mix width b. line breadth c. product item width d. product line length e. product breadth

product mix width

Apple recently updated its iPod Touch product, expanding its storage from 8 GB to 16 GB. Enlarging the iPod Touch's storage capacity is an example of a: a. product modification b. brand mix extension c. product diversification d. brand repositioning e. demographic modification

product modification

Changing one or more of a product's characteristics is called: a. product modification b. product repositioning c. product adjustment d. planned obsolescence e. product extension

product modification

All of the following are strategic alternatives that match products with markets EXCEPT: a. product development b. market penetration c. product penetration d. diversification e. market development

product penetration

In 2008, Apple, Inc. introduced Mobile Me, which keeps everything on a consumer's Mac, PC, iPod, or iPhone on an online server Apple calls the "Cloud" so that it can be accessed at any time. Apple is catering to on-the-go consumers who use multiple platforms. This positioning strategy is based on the: a. product class b. price and quality c. use or application d. product user e. competitor

product user

A product line is a group of products that are closely related because the: a. products share the same product managers b. products all function in a similar manner and provide similar benefits c. same company has developed the idea for each product d. products are all sold under the same brand name e. products are all priced about the same

products all function in a similar manner and provide similar benefits

All of the following are characteristics of a good objective EXCEPT: a. profitable b. realistic c. measurable d. time specific e. consistent

profitable

During the growth stage of the product life cycle: a. there is little emphasis on the distribution strategy b. demand for the product is limited to high-income consumers c. prices increase due to economies of scale d. there is decreased direct competition e. profits peak

profits peak

Refer to DeFeet International. DeFeet's _____ includes advertising, public relations, sales promotion, and personal selling. a. product b. place c. price d. promotion e. position

promotion

AFLAC has had to ditch the AFLAC duck in its Japanese commercials because the Japanese consumer does not like to be yelled at. Since Japan is the source of about 70 percent of the insurance company's business, it had no trouble adopting a _____ strategy. a. product substitution b. market differentiation c. promotion adaptation d. product invention e. market diversification

promotion adaptation

A Small World is a nonprofit retail store that sells gift items made by artisans from over 30 different countries. This store provides employment to craftspeople in developing nations and markets their handiwork at a fair price. The store defines its market segment as people who believe in helping others and who feel good about helping others whenever possible. The store uses _____ segmentation. a. demographic b. psychographic c. geodemographic d. ethnic e. geographic

psychographic

NASCAR racing fans are some of the most diverse and loyal fans in the world. They will stand in the pouring rain, the freezing cold, or the blistering heat for hours to shake the hand and get the autograph of a NASCAR driver. These fans are not concentrated in any one area but are dispersed throughout the United States. A Web site designed to market NASCAR memorabilia would be most likely to be successful if it used _____ segmentation to determine its target market. a. demographic b. psychographic c. geodemographic d. usage rate e. family life cycle

psychographic

Refer to Turkey Hunting Equipment. Segmenting a market based on the fact that people who enjoy hunting typically exhibit a particular lifestyle is an example of _____ segmentation. a. benefit b. psychographic c. geographic d. geodemographic e. demographic

psychographic

Wine Spectator is a magazine that targets people who appreciate good wine and food. However, the discriminating reader of this magazine is also interested in travel and health, so the magazine features travel and health-related stories. This publication relies on _____ variables to identify its target market. a. psychographic b. demographic c. usage rate d. geodemographic e. family life cycle

psychographic

Tower Fasteners developed a commanding position in the fastener industry by having in stock over 150,000 different types of fasteners. Tower's primary market is defined as companies with a need for specialized fasteners. All of the following are characteristics of the buying organization that Tower can use for segmentation EXCEPT: a. psychographic variables b. the method the company uses to make purchases c. geographic location d. personal characteristics of buyers themselves e. company size

psychographic variables

Business buyers use a variety of criteria to evaluate alternative products and suppliers. The three most important criteria, in order of importance, are: a. price, sales support, and service b. quality, service, and price c. reputation, price, and capability d. price, delivery time, and product reliability e. service, quality, and reputation

quality, service, and price

Refer to Claxton Fruitcakes. Any company that purchased Claxton fruitcakes to give to its customers would treat this purchase like any other purchase and evaluate the cake and the company in terms of: a. demand, value, and promotion b. quality, service, and price c. order time and delivery time d. customer relationships, costs, and ethical behavior e. time requirements, order speed, and customer reactions

quality, service, and price

A(n) _____ is a limit on the amount of a specific product that can enter a country. a. quota b. tariff c. boycott d. exchange control e. transfer limit

quota

Since 1953, the United States has limited the amount of raw peanuts that can be imported to 1.7 million pounds a year. This is only about one-tenth of 1 percent of all domestic edible peanut consumption in the United States. This limitation is an example of a(n): a. natural resource barrier b. quota c. tariff d. exchange control e. boycott

quota

A _____ error occurs because the selected sample is an imperfect representation of the overall population. a. frame b. field c. measurement d. random e. representational

random

A university hospital is interested in getting a cross section of patients' opinions on proposed changes that will make the hospital stay more like a motel stay in terms of amenities. The cost of the new amenities will be reflected in higher rates. The university hospital used a random number table to select participants from the list of patients who are currently in the hospital. This is an example of a _____ sample. a. representational b. convenience c. nonprobability d. synergistic e. random

random

In a survey for her marketing class, Allicia interviewed 80 randomly selected men and asked them their opinions of women with tans. Her initial results showed that the men overwhelmingly believed tans were a health risk. When she conducted the same survey again using the same methodology, she discovered that 50 percent of the surveyed population in the second group found women with tans sexy. This is most likely an example of a _____ error.

random

Farmer Pat Stein provides local restaurants with organic fruits and vegetables that have been grown without the use of pesticides or chemical fertilizers. Pat Stein is a supplier of: a. accessory parts b. supplies c. raw materials d. unprocessed extractive products e. processed materials

raw materials

A period of economic activity characterized by negative growth, which reduces demand for goods and services, is called a(n): a. stagnation b. inflation c. recession d. price escalation e. parity

recession

An industrial cleaning products distributor needed to hire a janitorial service to keep his establishment clean, so he chose one of his customers for the job. This is an example of: a. nested demand b. derived demand c. reciprocity d. elastic demand e. circular buying

reciprocity

A recent survey reported that 65 percent of the people responding said they were willing to spend more money for environmentally friendly goods. Marketing research on how to best use this information will begin with the: a. collection of the data b. specification of the sampling plan c. definition of the problem d. research design e. recognition of the marketing opportunity

recognition of the marketing opportunity

The basic goal of one-to-one marketing is to: a. increase the market for the product category to new and current customers b. eliminate the use of mass media for promotion and locate a direct communications channel c. increase operating costs and locate new customers d. reduce the number of company employees and increase overall sales e. reduce costs through customer retention and increase revenue through customer loyalty

reduce costs through customer retention and increase revenue through customer loyalty

Your best friend has sought your advice on what type of clothing she should buy for a job interview. If she gets the job, she will be the assistant to the producer of her favorite television program. She really wants this job and considers it a once in a lifetime opportunity. By asking your help with her wardrobe, your friend is most likely trying to: a. eliminate cognitive dissonance b. eliminate the low involvement in the decision c. reduce perceived risk of negative consequences d. increase the chances of selective exposure e. increase the motivation involved in the decision

reduce perceived risk of negative consequences

All of the following are advantages associated with the use of Internet surveys EXCEPT: a. decreased costs b. ability to contact hard-to-reach respondents c. reduced measurement error d. ability to get survey results much more rapidly e. ability to personalize the survey

reduced measurement error

A group in society, such as family, friends, or a professional organization, that influences an individual's purchasing behavior is called a(n): a. reference group b. conformist group c. opinion group d. social group e. influential group

reference group

Social influences on consumer buying decisions include: a. society, culture, and family b. reference groups, society, opinion leaders, and family c. personality, lifestyle, and reference groups d. reference groups, opinion leaders, and family e. lifestyle, reference groups, and family

reference groups, opinion leaders, and family

When marketing researchers for a local fitness club wanted to know consumers' intentions to start a fitness program for a New Year's resolution, they used a(n) _____ with five possible answers ranging from "Most Likely" to "Least Likely" and asked that the respondent choose one. a. open-ended question b. action-based question c. sampling frame question d. scaled-response question e. dichotomous response

scaled-response question

The buying center: a. will be composed of the same decision makers as long as the purchasing process lasts b. is typically on the formal organizational chart under the VP for operations c. requires all purchasing participants to be employed by the purchasing department d. refers to all those organizational members who become involved in the purchasing process e. regularly generates formal announcements of who is in the buying center

refers to all those organizational members who become involved in the purchasing process

Over the years Cadillac has become to be thought of as "your grandparent's car." The new Cadillac ads showing a beautiful young woman driving a Cadillac along with the statement, "When you turn your car on, does it turn you on?" This is an example of marketing designed to help _____ Cadillac as a car for today's younger driver. a. diversify b. reposition c. develop d. expand e. display

reposition

Refer to Nestlé. After developing these new, functional products, Nestlé will have to change consumers' perceptions of its brands because it is known for indulgence, not wellness. Nestlé will have to _____ itself. a. reinvent b. reposition c. rename d. modify e. standardize

reposition

Apple Computer, Inc. recently dropped "Computer" from the company's name to become Apple, Inc. This was a part of its _____ away from simply being perceived as a computer company. a. quality modification b. aesthetic modification c. demarketing d. repositioning e. functional extension

repositioning

For years, Diet Dr. Pepper has been considered a diet drink. After declining sales, the company is attempting to present Diet Dr. Pepper as an alternative to having a dessert. This is an example of a _____ strategy. a. discontinuous innovation b. niche c. new-product-line d. retargeting e. repositioning

repositioning

Refer to Hardie Siding Products. By changing the focus of its promotion from the building industry to home owners who saw their homes as sources of security, warmth, and stability, Hardie Siding used a _____ strategy. a. market penetration b. repositioning c. product penetration d. harvesting e. divestment

repositioning

Refer to Wrestling Merchandise. Prior to the 1990s, professional wrestling tried to compete as a legitimate sport just like football and baseball. Now it uses the term sports entertainment when talking about what it is marketing to its fans. This is an example of the implementation of a(n) _____ strategy. a. multisegment b. product differentiation c. undifferentiated marketing d. target market e. repositioning

repositioning

The Southern Company is the largest provider of utilities in the southeastern United States. It has also been accused of being the biggest source of industrial air pollution in the area. Southern is trying to change consumers' perceptions of the company by sponsoring a series of television programs on how to preserve our environment. The Southern Company is hoping the programming will lead to: a. repositioning b. reengineering c. demarketing d. undifferentiated targeting e. one-to-one marketing

repositioning

To be successful, most businesses focus on customer service. However, the cable industry has a history of poor customer service. Cable companies are facing competition for television customers who once had no choice but cable if they wanted to see more than local programs. In the face of this competition from direct broadcast satellites, cable companies are trying to use a _____ strategy to show that they have become customer oriented. a. segmentation b. product differentiation c. targeting d. repositioning e. demarketing

repositioning

A marketing manager would expect his or her product to be a high-involvement product for most consumers if it: a. is a product adaptation of a market leader b. is a necessity c. has not been purchased before d. has low social visibility e. requires substantial financial investment

requires substantial financial investment

Businesses that buy finished goods and sell them for a profit are called: a. inventory carriers b. producers c. distribution networks d. resellers e. business facilitators

resellers

Altria Group, Inc.'s Phillip Morris failed at another attempt to target Americans looking for a potentially safer cigarette. This market exhibits a lack of: a. substantiality b. identifiability and measurability c. responsiveness d. reliability e. accessibility

responsiveness

Lisa has to have a Diet Coke for breakfast. At a breakfast meeting, she was offered coffee and refused. She only wanted a Diet Coke. This illustrates that Lisa needs Diet Coke to: a. satisfy a want b. satisfy a need c. satisfy a belief d. satisfy a physiological drive e. satisfy a momentary stimulus

satisfy a want

A(n) _____ gathers its information from a single group of respondents by continuously monitoring the advertising, promotion, and pricing they are exposed to and the things they buy. This creates a huge database of marketing efforts and resultant consumer behavior. a. one-way mirror observation study b. television meter investigation c. laser scanner experiment d. CLT interview e. scanner-based research system

scanner-based research system

Data previously collected for purposes other than the one at hand are an important source of information as the researcher defines the problem. These data are called _____ data. a. single-source b. secondary c. primary d. consensual e. convenience

secondary

Refer to University Research Study. If the students analyze census data to determine demographic trends in the primary market area for the university, they are using _____ data. a. primary b. secondary c. proprietary d. single-source e. representational

secondary

Research indicates that Americans today are concerned enough about sustaining the environment that they are willing to spend more. In fact, 65 percent of the people who responded to the survey said they were willing to spend more money for environmentally friendly goods and 65 percent also expected to increase spending this year on eco-friendly products, despite the current downward trend in retail. Companies that use the results of this study in their product development efforts are using _____ data. a. primary b. convenience c. dichotomous d. observation e. secondary

secondary

While many economic indicators have been negative during the first half of 2009, the Wall Street Journal recently reported that U.S. retail sales were actually up in April. In fact, the performance of 61 percent of the retailers in the study topped analysts' expectations. If Costco used this report as factor in their expansion plans, they would be using _____ data. a. secondary b. primary c. dichotomous d. convenience e. observation

secondary

Post Properties is a company that manages apartments in various communities. It is concerned with a glut of apartments in Atlanta, Orlando, and Dallas. Its market researcher begins by examining the rental markets in the Southeast, the history of apartment buildings, local economies, competitive rents, and ownership--all information that was on hand and did not require any new research to locate. The market researcher looked at: a. a closed study b. secondary data c. primary data d. a statistical analysis e. priority databases

secondary data

Trade groups, commercial publications, and government departments can be used as sources of: a. secondary data b. consensual information c. primary data d. artificial intelligence e. marketing audits

secondary data

The primary duty of socially responsible companies to their investors is to a) consistently pursue the maximum possible profit each and every period. b) expand the business to achieve a monopoly position. c) seek to generate long-term profits while meeting responsibilities to all stakeholders. d) meet its legal requirements to accurately report on its financial performance

seek to generate long-term profits while meeting responsibilities to all stakeholders.

Military Spouses is the only publication in the world that targets readers who are "married to the military." Its content reflects the unique set of challenges, hardships, and rewards to those whose spouses are in the military. The marital status that has been used to distinguish the market for this magazine is an example of a(n): a. market base b. selector base c. identifier d. segmentation base e. discriminator base

segmentation base

A few years ago, Toro introduced a small, lightweight snowblower called the Snow Pup. Even though the product worked great, sales failed to meet expectations because consumers perceived the name to mean that the Snow Pup was a toy or too light to do any serious snow removal. This is how _____ can influence the consumer decision-making process. a. selective distortion b. incorrect problem recognition c. lifestyle dissonance d. Americanization e. selective exposure

selective distortion

Families of police officers often alter information they hear about officers who die in the line of duty. This _____ allows them to live and function without constant anxiety while their loved one is engaged in a potentially dangerous job. a. selective retention b. selective distortion c. selective exposure d. faulty selectivity e. adaptive stimulus

selective distortion

Refer to College Decision. Juan's parents' opinion that he will get a better education if he attends a prestigious school rather than a community college is an example of: a. selective distortion b. selective retention c. selective exposure d. selective bias e. selective attitude

selective distortion

On any given day, a person may be subjected to over 2,500 advertising messages but may only be aware of 11 to 20 of them. This is called: a. selective distortion b. selective learning c. sporadic reinforcement d. intermittent selectivity e. selective exposure

selective exposure

Cassandra, an accounting major, read an article stating that accounting graduates are receiving the highest starting salary offers for business majors. The article also stated that marketing majors start with lower salaries but surpass all other majors' salaries within ten years. A week later, Cassandra doesn't remember reading this last part of the article, just the first part. This is an example of: a. selective distortion b. selective exposure c. intermittent reinforcement d. selective socialization e. selective retention

selective retention

The slogan used by the manufacturer of Jaguar automobiles, "Don't dream it. Drive it." was intended to appeal to consumers': a. physiological needs b. social needs c. safety needs d. esteem needs e. self-actualization needs

self-actualization needs

The role of a domestic company that sells to an export merchant (also called a buyer for export) is to: a. guide the marketing actions of the merchant as the goods are sold in foreign countries b. pay all transportation, warehousing, and marketing expenses c. sell the product to that merchant who resells the product in the foreign country without the aid or input of the original manufacturer d. broker a partnership agreement such as a joint venture e. dictate conditions of sale in foreign countries

sell the product to that merchant who resells the product in the foreign country without the aid or input of the original manufacturer

Increasing share of customer means: a. selling more products to each customer b. increasing the number of customers c. winning market share from competitors d. the sales due to a customer relative to the costs of attaining and retaining that customer e. individual customer revenue minus costs to satisfy that customer

selling more products to each customer

All of the following are ways consumers can reduce cognitive dissonance EXCEPT: a. justifying the decision b. seeking new information c. sending a letter to the marketer d. avoiding contradictory information e. returning the product

sending a letter to the marketer

The three most important evaluative criteria for business-to-business purchases are quality, price, and: a. competitive offers b. service c. reliability d. assurance e. existing relationships

service

Market segmentation: a. is a scientific technique for selecting ways to attract specific population samples b. is rarely done by consumer products companies c. only needs to be done once for each product d. should be redone periodically e. should be done every time a product enters a new stage of its life cycle

should be redone periodically

A(n) _____ typically entails showing members of the product's target market advertising and other promotional materials for several products, including the test product. These people are then taken to a mock or real store, where their purchases are recorded. a. adoption-rate test b. real test market c. concept test d. simulated (laboratory) market test e. consumer juried test

simulated (laboratory) market test

The maker of Purell hand sanitizer tested consumers' reactions to its Purell Sanitizing Wipes by getting consumers to look through a newspaper with grocery store ads, make out a grocery list, and then "shop" in a mock store filled with real products, including the new product. This is an example of a(n): a. adoption-rate test b. simulated (laboratory) market test c. concept test d. use test e. juried consumer test

simulated (laboratory) market test

A team-oriented approach to new-product development is referred to as: a. simultaneous product development b. synergistic product development c. commercialized product development d. synchronized product development e. parallel product development

simultaneous product development

Refer to Delta Faucet Company. Delta would most likely have gathered the information about how homeowners perceive its products through the use of a(n): a. break-even analysis b. correlation analysis c. sales potential assessment d. situation analysis e. economic forecast

situation analysis

Refer to Novartis. Novartis assessed the opportunity presented by the growing potential markets in developing countries and determined it was consistent with its internal quality production processes and extensive research and development capabilities. The assessment process in which Novartis learned this about the environment is called a: a. market audit b. situation analysis c. primary analysis d. profit and loss assessment e. strategic window search

situation analysis

When Avril went to purchase a birthday card for her new boyfriend, she went to three stores and spent four hours reading over 500 cards before selecting the perfect one. This card (which cost $3.25) is properly designated as a high-involvement product because of: a. brand loyalty b. situational factors c. financial risk d. cognitive dissonance e. trial investment

situational factors

Consumers' concern for health issues affects the way food is marketed. For example, marketers must now list the number of grams of transfat on a product's nutrition label because it has recently come to light that this type of fat is harmful. Consumers' concern for health issues is a(n) _____ factor. a. economic b. political and legal c. technological d. demographic e. social

social

If you were to ask Americans what they most desire to make their lives easier, most will want more time. This feeling that there are not enough hours in a day is an example of a(n) _____ factor that has strongly influenced the marketing environment. a. social b. economic c. legal d. demographic e. component lifestyle

social

In Asia, Procter & Gamble (P&G) discovered that consumers like to experiment with different brands of shampoos and shy away from the family-size bottles so popular with Americans. Now it sells single-use sachets of shampoo in Asia. P&G responded to _____ factors when it changed its Asian packaging. a. demographic b. competitive c. technological d. social e. component lifestyle

social

Refer to Dog Spa. The fact that people would actually treat their dogs to a luxurious spa treatment reflects a change in _____ factors within the external environment. a. demographic b. social c. technological d. geographic e. political

social

A(n) _____ is a group of people in a society who are considered nearly equal in status or community esteem, who regularly socialize among themselves both formally and informally, and who share behavioral norms. a. extended family b. subculture c. dissociative group d. social class e. procreational family

social class

All of the following influence the extent to which an individual conducts an external search for information EXCEPT: a. perceived risk b. knowledge c. prior experience d. social class e. level of interest

social class

Many people in the United States choose to drink light beer because they value thin and fit bodies. In Europe, light beers have had little success because flavor is valued more highly. For international beer manufacturers, this difference illustrates how _____ influence(s) marketing. a. demography b. competition c. social factors d. economic conditions e. technology

social factors

Kim places huge importance on what she wears to sing in front of her church and therefore takes her time to shop for the right clothes and shoes. This is due to the: a. opportunity costs b. fear of cognitive dissonance c. situational factors d. social visibility of the products e. cost of the products

social visibility of the products

Shark fin soup is a favorite Thai food. When a San Francisco-based organization claimed that the leading producer's soup contained mercury poison, its sales plummeted. The popularity of this soup in Thailand represents a(n) _____ factor, while Thailand's lax enforcement of environmental protection and consumer protection regulations are a(n) _____ factor. a. economic; technological b. social; technological c. social; political and legal d. competitive; economic e. social; technological

social; political and legal

Cultural values and norms are passed down to children through the process of: a. accumulation b. encroachment c. assimilation d. socialization e. manifestation

socialization

Evan Zimmermann loves watches. He collects vintage Rolex sport models made between 1950 and 1960. He paid $1,500 for his first watch in 2000. Now the watch is worth $15,000. For Evan, the vintage watches are an example of a(n) _____ product. a. specialty b. consumer c. convenience d. business e. unsought

specialty

Refer to Choice Homes, Inc. Kurt McKinney has just received a large inheritance and wants to have his "dream" home built. He knows exactly the architectural design he wants. He wants a particular Reflections home. The type of consumer product he wishes to buy is best classified as a(n): a. shopping product b. convenience product c. nondurable good d. specialty product e. unsought product

specialty product

Telephone interviews offer: a. speed in gathering data b. a potential for reaching all households c. few nonresponses d. the ability to collect large amounts of complex data e. the lowest-cost method for obtaining data

speed in gathering data

A company that is capital intensive: a. has an altered fiscal strategy for overseas operations b. spends more on equipment than on labor c. makes better use of benchmarking than other types of business d. creates employment monopolies e. must engage in countertrading due to restrictive foreign legislature

spends more on equipment than on labor

All of the following are demand characteristics of business markets EXCEPT: a. inelastic demand b. fluctuating demand c. joint demand d. stable demand e. derived demand

stable demand

Russell Athletic, which is part of Berkshire Hathaway, Inc., is a market leader in sports apparel, an industry that is growing rapidly. Russell Athletic is an example of a(n) _____ according to the portfolio matrix. a. star b. question mark c. problem child d. exclamation point e. widow

star

At the beginning of every trailer for Disney's Pixar film Wall-E, they say "From the makers who brought you Toy Story, A Bug's Life, and Monsters Inc., we are proud to present Wall-E." Here, Pixar is using: a. stimulus discrimination b. selective retention c. stimulus generalization d. social learning e. product reinforcement

stimulus generalization

Celestial Seasonings is a well-recognized brand of tea. It has differentiated itself from traditional teas by producing herbal teas and others using the more exotic white tea leaves. It has recently introduced Celestial Seasonings Tea Dreams ice cream, a product it hopes will be successful due to consumers' awareness of the brand. Celestial Seasonings is relying on _____ to make its new product a success. a. conceptual learning b. experiential learning c. repetition learning d. stimulus generalization e. stimulus discrimination

stimulus generalization

Elizabeth buys flour weekly for her bakery. This purchase is most likely an example of a(n) _____ situation. a. need-related buy b. limited rebuy c. straight rebuy d. rebuy sourcing e. institution buy

straight rebuy

Refer to Rock-Tenn. A sales representative from a paper-producing company calls on Rock-Tenn routinely every month to review the company's ordering needs. The monthly sale of paper to Rock-Tenn would constitute a: a. new buy b. modified rebuy c. straight rebuy d. modified new buy e. straight new buy

straight rebuy

IBM and Cisco work together to provide banks with the products and services they need to manage their multiple locations. In other words, the two companies have joined in a: a. retail cooperative b. direct investment venture c. transactional relationship d. strategic alliance e. synergistic relationship

strategic alliance

Sometimes a _____ is created for the purpose of sharing resources. This was why the Donnelly Corporation, a company that designs, manufactures, and markets automotive parts, joined with Applied Films Laboratory, Inc. to manufacture and supply the world market with coated glass for liquid crystal displays (LCDs). a. shared capital contract b. global partner development strategy c. strategic alliance d. cobranding effort e. market cooperative

strategic alliance

Refer to Lucent Technologies. Lucent depends on AT&T but also has found it necessary to form cooperative partnerships with other technology, telecommunications, and software firms. Lucent has found it necessary to form: a. strategic alliances b. relationship contracts c. outsourcing vendor liaisons d. bargaining positioning grids e. market groupings

strategic alliances

Until spun off in 2007, Kraft was part of Altria Group, Inc. Kraft had its own management team, mission statement, and target markets different from Altria. Kraft was a _____ of Altria. a. product market niche b. diversified division c. heterogeneous element d. strategic alliance e. strategic business unit

strategic business unit

Refer to Delta Faucet Company. The marketing program that Delta designed to develop new products to appeal to homeowners is an example of: a. strategic planning b. a mission statement c. mass marketing d. production-oriented marketing e. tactical planning

strategic planning

Since gas prices have soared and consumers have cut back on their spending on new trucks and SUVs, Ford Motor Corporation is transforming several of its plants to create small cars. Ford has engaged in: a. benchmarking b. tactical resource realignment c. alternative selection d. portfolio evaluation e. strategic planning

strategic planning

With hospitals nationwide facing budget cuts and slimmer profit margins, Dekalb County's Medical Center decided to cash in on one of the most consistently profitable services--delivering babies. It initiated a three-year project to build a $55 million state-of-the-art women's center with 18 labor and delivery suites. When the hospital decided to commit its resources to obstetrics, it was engaging in: a. benchmarking b. alternative problem solving c. strategic planning d. portfolio evaluation e. tactical control

strategic planning

Refer to Novartis. Novartis is creating and maintaining a fit between its objectives and resources and evolving market opportunities in developing countries. Novartis is engaging in: a. strategic planning b. selective assessment c. functional planning d. environment scanning e. decision analysis

strategic planning b. selective assessment c. functional planning d. environment scanning e. decision analysis

Firms that routinely experience success in new-product introduction tend to have: a. strong leadership b. a history of a sales orientation c. an obsession with quantity rather than quality d. an unwillingness to fail e. all of the choices

strong leadership

To be useful, a segmentation scheme must produce segments that meet four basic criteria. The criteria are: a. segmentability, targetability, reliability and validity, and homogeneity b. tangibility, inseparability, nonperishability, and uniqueness c. substantiality, identifiability and measurability, accessibility, and responsiveness d. reliability, flexibility, tangibility, and unbiased e. complexity, compatability, relative advantage, trialability, and observability

substantiality, identifiability and measurability, accessibility, and responsiveness

Colorific recently began competing with Crayola coloring products. At the beginning of the school year, the _____ for Colorific products consists of back-to-school shoppers. a. target market b. buying center c. mass market d. consumer sample e. aggregated demography

target market

A tax levied on the goods entering a country is called a(n): a. license b. quota c. boycott d. exchange control e. tariff

tariff

In the future, electrical power may come from quantum nucleonics, a form of nuclear power that produces no residual radiation. The ability to use this form of power will require equipment adaptations, but it will solve the world's need for clean and efficient power. When quantum nucleonics is developed, it will be an example of how _____ factors can affect an organization. a. technological b. competitive c. economic d. cultural e. demographic

technological

When mechanical gas pumps first appeared in the United States in the 1930s, their spinning dials couldn't register sales beyond $99.99. Today, some stations still use the retro pumps, but the limited dials cannot register the sales of higher-priced gas, which often mount about $100 for SUVs. The pumps can be modernized for about $650, but the company that provides this service has a huge backlog. This is an example of how _____ factors affect small convenience stores and service stations. a. technological and cultural b. competitive and natural c. technological and economic d. cultural and economic e. demographic and marketing mix

technological and economic

Almost any product in India, from tap water to milk, has traces of toxins due to the overuse and misuse of insecticides by Indian farmers, but the government expects multinational corporations (MNCs) operating in India to produce food that is toxin free. In this way, both _____ factors influence the operating environment for foreign firms. a. social and technological b. technological and legal c. economic and legal d. economic and social e. technological and demographic

technological and legal

NAICS data are helpful for analyzing, segmenting, and targeting markets. The system was developed by: a. large manufacturers in United States and Mexico that produce similar goods b. the North American Free Trade Agreement partners c. Brazil, Chile, Argentina, Canada, and the United States working together in a joint venture d. the SIC committee e. the U.S. government

the North American Free Trade Agreement partners

Diversity is emerging as a priority goal because: a. there is a population of recent immigrants who are closely related by custom and tradition b. of the growth of small and large ethnic groups that have little in common c. the United States is becoming a truly multicultural society. d. of new, effective mass-marketing techniques e. of the focus on one large dominating racial or ethnic group

the United States is becoming a truly multicultural society.

A major limitation of the mall intercept interview is: a. the difficulty of measuring attitudes and opinions b. the need to interview people standing up c. its high cost relative to in-home interviews d. the difficulty of demonstrating new products e. the difficulty of obtaining a representative sample of the population of interest

the difficulty of obtaining a representative sample of the population of interest

The requirement for a market segment to be responsive means: a. over half of the consumers in the identified segment will be actively interested in the product b. all the segments identified by a marketer should respond to the marketing mix c. all the segments identified by a marketer should not respond to the marketing mix d. the segments identified by a marketer should not differ in the level of their responsiveness to the marketing mix e. the segment identified by a marketer should differ in how it responds to the marketing mix when compared to another segment confronted with the same mix

the segment identified by a marketer should differ in how it responds to the marketing mix when compared to another segment confronted with the same mix

A marketing audit is a(n): a. thorough, systematic, periodic evaluation of the objectives, strategies, structure, and performance of the marketing organization b. financial examination of the firm's marketing performance c. financial examination of the firm's accounting records performed by outside consultants d. evaluation of the effectiveness of advertising e. evaluation of pricing strategies across all the relevant competitors in an industry

thorough, systematic, periodic evaluation of the objectives, strategies, structure, and performance of the marketing organization

When Coca-Cola North American debuted Gold Peak iced tea, a spokesperson for the company said, "In looking at the ready-to-drink tea market, we found that the one place that nobody seemed to be playing was in the category of classic iced teas like mother used to make. Gold Peak is a quality product that brings back that classic taste. We're going to do a lot of sampling with this product because we believe that if people try it, they're going to love it and stick with it." In other words, its adoption rate will rely on its: a. compatibility b. comparability c. complexity d. trialability e. competitive advantage

trialability

DHL maintains a strategic alliance with UPS because it has confidence in UPS's reliability and integrity. This condition is referred to as: a. trust b. tomo c. commitment d. amae e. reciprocity

trust

T/F Personnel in sales-oriented firms tend to be "outward looking," focusing on selling what the market wants.

T/F The way to achieve customer satisfaction and value is to offer the lowest price.

T/F In the early 1920s, Ford promised its customers any color vehicle they wanted as long as it was black. Ford's management assumed anyone buying a car would accept the color black, so it made products affordable by offering only one variety in large quantities. Ford is an example of a market-oriented firm.

T/F Marketing is defined as producing, promoting, and selling products.

T/F Only a firm's salespeople need to be customer oriented.

T/F While most marketing organizations rely on various forms of promotion to succeed, sales-oriented organizations make the most effective use of their entire marketing mix

T/F 3D Systems is a company that uses computers to generate new product prototypes. It has generated loyal business clients by providing the best customer support in the industry. The company also provides direct sales consultations that give its salespeople intimate knowledge about what exactly its customers want. This partnership between 3D Systems and its customers entails relationship marketing.

T/F According to the American Marketing Association, marketing is the activity, set of institutions, and processes for creating, communicating, delivering, and exchanging offerings that have value for customers, clients, partners, and society at large.

T/F An exchange cannot take place unless each party in the exchange has something that the other party values.

T/F Marketing is important to business, so marketing should be part of the job of everyone in the organization, not just those in marketing.

T/F Retailers who give their sales clerks the authority to handle customer complaints without having to get approval from a supervisor are using empowerment.

T/F Salespeople who work for market-oriented organizations are generally perceived by their customers as problem solvers and important links to supply sources and new products

T/F The focus of a production-oriented firm is on what it can make or do best.

T/F The marketing concept states that the social and economic justification for an organization's existence is the satisfaction of customers' wants and needs while meeting organizational objectives.

T/F The societal marketing concept considers society's long-term best interests along with the satisfaction of customers' wants and needs.

T/F The ultimate goal of most market-oriented firms is profitability that results from satisfying the wants and needs of its consumers.

Which marketing orientation assumes people will buy more goods and services if aggressive marketing techniques are used? a. Sales b. Production c. Market d. Customer e. Marketplace

a. Sales

Which marketing management philosophy is often adopted by organizations that sell unsought products such as life insurance, retirement plans, and preplanned funeral services? a. Sales orientation b. Production orientation c. Marketing orientation d. Product orientation e. Customer orientation

a. Sales orientation

If a company uses a sales orientation, consumer complaints would most likely result in: a. a modification of the sales presentation b. product reinvention c. continuous market research d. philanthropy e. attempts to cut production costs

a. a modification of the sales presentation

The marketing concept involves: a. focusing on customers' wants and needs so that the organization can distinguish its product (or products) from competitors' products b. satisfying management's needs and wants with the idea of maximizing profits in the short run c. selling as much product as possible under the assumption people will buy more goods and services if aggressive selling techniques are used d. selling as much as possible under the assumption consumers will buy more at lower prices e. focusing on production in order to increase product quality and lower prices

a. focusing on customers' wants and needs so that the organization can distinguish its product (or products) from competitors' products

The Geek Squad is a tech support station located inside every Best Buy electronics retail store. Best Buy gives intensive training to the Geeks. The purpose of this training is to: a. improve customer service b. give higher education benefits to employees c. promote the company image by increasing public awareness d. reduce the need of empowerment e. increase employment levels

a. improve customer service

Life is good® developed the "Good Karma" line of environmentally friendly 100% organic cotton apparel. The production of the Good Karma line is consistent with a _____ orientation. a. societal marketing b. supplier c. sales d. production e. philanthropic

a. societal marketing

The U.S. Postal Service (USPS) argues that its express service is comparable to what is offered by FedEx and that its prices are much lower. Yet, FedEx dominates with more than a 45 percent share of the express-delivery market. Which of the following statements describes this situation? a. The USPS is perceived as offering greater customer value. b. FedEx is perceived as offering greater customer value. c. FedEx and the USPS offer the same customer value. d. Customer value is not an issue in deciding which express-delivery service to use. e. The USPS should lower its prices even further to increase market share.

b. FedEx is perceived as offering greater customer value.

_____ is a strategy that focuses on keeping and improving relationships with current customers. a. Commitment selling b. Relationship marketing c. Transactional marketing d. Market engineering e. Organization-customer synergy

b. Relationship marketing

_____ is the collaborative efforts of people to achieve common objectives. a. Effort training b. Teamwork c. Empowerment d. OJT training e. Mediation

b. Teamwork

A firm with a production orientation is most likely to survive if: a. there are many small competitors in the marketplace b. demand for the product it produces exceeds supply c. the needs of the marketplace are constantly shifting d. supply for the product it produces exceeds demand e. any of these conditions exist

b. demand for the product it produces exceeds supply

All of the following are necessary for exchange to occur EXCEPT: a. each party is capable of communication and delivery b. each party signs a contract before exchange occurs c. each party believes it is appropriate or desirable to deal with the others d. each party is free to accept or reject the exchange offer e. each party must have something the other party considers to be valuable

b. each party signs a contract before exchange occurs

A sales-oriented firm defines its business (or mission) in terms of: a. employees b. goods and services c. customers d. competitors e. benefits

b. goods and services

At The Container Store, every employee is trained to serve customers. Full-time salespeople receive 240 hours of training. The Container Store works to hire people who are self-motivated and have a passion for customer service. The Container Store has a _____ orientation. a. sales b. market c. product d. societal e. production

b. market

Best Buy has become the nation's largest specialty retailer by focusing on the customer's needs and wants. This philosophy is at the heart of a(n) _____ orientation. a. sales b. market c. retail d. production e. exchange

b. market

When a homeowner visited The Home Depot to buy what he thought he needed to fix a leaking toilet, he gathered up materials totaling almost $70. One his way to check out, an employee asked him what was he trying to fix. After some discussion, the employee convinced the homeowner that a $5.99 replacement part would fix the problem better than the materials he thought he needed and with less trouble. This sort of discussion between employees and customers is commonplace at The Home Depot and indicates the retail store has a(n) _____ orientation. a. sales b. market c. product d. exchange e. production

b. market

A business is concerned with many day-to-day activities. Some of the most important of these activities are the planning and development of a product, its ability to communicate value, its pricing policy, and the distribution strategy. These activities are all a part of: a. a control system b. marketing c. accounting d. production e. human resources

b. marketing

Firms with a _____ orientation focus on the internal capabilities of the firm rather than on the desires and needs of the marketplace. a. sales b. production c. market d. customer e. customer-benefit

b. production

Researchers at PPG Industries spent considerable time, effort, and money developing a bluish windshield that would let in filtered sunlight but block out the heat. Little market research was done, but the scientists were convinced this new product would be significantly better than existing windshields even though it was more expensive and of a different color than the current models on the market. This scenario suggests PPG most likely has a(n) _____ orientation. a. exchange b. production c. sales d. promotion e. customer

b. production

Toyota found that consumers wanted cars to last longer and be more environmentally friendly. GM, however, enjoyed being the top U.S. car producer and focused more on how many cars and trucks it could manufacture, not on what customers wanted from a vehicle. GM had more of a _____ orientation. a. sales b. production c. market d. product e. customer

b. production

TUFF SHED, Inc. is one of the leading suppliers of installed storage buildings and garages in the United States. TUFF SHED mandates that sales, management, and construction teams work together to anticipate and eliminate potential problems. They make sure customers get the right buildings for their needs, and they all are built well and in a timely manner. By using teamwork, TUFF SHED: a. operates successfully using a production orientation b. provides its customer with a high level of satisfaction c. has a high employee turnover rate d. does not deliver superior customer service e. has a sales orientation

b. provides its customer with a high level of satisfaction

A market-oriented firm defines its business in terms of: a. goods and services b. the benefits its customers seek c. employee empowerment d. competitive position e. customer satisfaction

b. the benefits its customers seek

The sales and market orientations differ on all of the following characteristics EXCEPT: a. those to whom the product is directed b. the firm's performance c. the firm's business d. the firm's primary goal e. the tools to achieve goals

b. the firm's performance

Jewelry stores want to provide their customers with the highest quality of diamonds available at the lowest possible prices. Unfortunately, the lowest priced diamonds these days are sold by African rebels who use the profits to engage in genocide. Human rights organization have asked jewelers to buy diamonds that are "conflict free"--that is, from South Africa, Australia, or Canada. LeeBrant is one retail jewelry store that sells only diamonds that are certified to be from these countries. LeeBrant is exhibiting which marketing management orientation? a. Production b. Sales c. Societal marketing d. Direct e. Omnipotent

c. Societal marketing

Which of the following statements about a typical sales-oriented business is TRUE? a. The company develops its products to meet the needs of specific groups of people. b. The primary goal of the company is profit through customer satisfaction. c. The company invests the majority of its resources in promoting its products and services. d. The company is in business to satisfy customer wants and needs and deliver superior value. e. All of these statements about a typical sales-oriented business are true.

c. The company invests the majority of its resources in promoting its products and services.

Ninety-six percent of USAA home insurance policy holders report that USAA representatives meet their commitment in calling back customers quickly about claims. The most likely result of USAA's efforts is: a. management empowerment b. retailer-customer synergy c. customer satisfaction d. transactional marketing e. disintermediation

c. customer satisfaction

Xerox emphasizes _____ by replacing at its own expense any dissatisfied customer's equipment within a period of three years after purchase. a. management empowerment b. management-customer synergy c. customer satisfaction d. transactional marketing e. direct selling

c. customer satisfaction

Some market-oriented firms give employees expanded authority to solve customer problems on the spot. This is known as: a. training b. deregulation c. empowerment d. commissioning e. mediating

c. empowerment

The Ritz-Carlton has Service Values that guide employees in providing its Gold Standard service. One of the service values states, "I own and immediately resolve guest problems." The Ritz-Carlton management uses _____ to provide customer service. a. training b. deregulation c. empowerment d. commissioning e. mediating

c. empowerment

Kellogg's is offering free DVDs to consumers who collect five official Collection certificates from the back panels of specially marked packages of Kellogg's cereals and then mail them with the official order form. Within 90 days, these consumers will receive the movie of their choice. A(n) _____ will occur when a movie fan mails in his or her certificates for a movie. a. synergy b. sublimation c. exchange d. entropy e. reciprocity

c. exchange

Mimi Couturier is a design company that specializes in formalwear for women. The company is known for challenging fashion mores. The company's fashion designers use computer-assisted design software to create what it thinks women should wear. The company regularly hires industry experts to examine its factories to find waste and inefficiencies that can be eliminated. The company has expanded the number of products it offers for sale many times. However, for the last two years Mimi Couturier has lost money, and it has had to lay off some of its workforce. To avoid this occurrence in the future, Mimi Couturier should: a. hire more retail efficiency experts to trace down any production problems b. increase its sales force to find more potential customers for the firm c. have someone study its target market to see what needs and wants should be met by Mimi Couturier d. cut prices so that its prices will be at least 10 percent below those of its competitors e. design more sophisticated products that use the latest computer-aided techniques

c. have someone study its target market to see what needs and wants should be met by Mimi Couturier

The concept of exchange is important to marketing because: a. if all the conditions for an exchange are in place, then the exchange will be completed b. exchange provides money to marketers c. marketing activities help to create exchange d. marketing activities are a requirement for exchange to take place e. money is the only medium of exchange for business marketers

c. marketing activities help to create exchange

Indonesian logging companies harvest the rain forests for timber and assume that a market exists for their products. The typical Indonesian logging company has a(n) _____ orientation. a. exchange b. product c. production d. sales e. environmental

c. production

Greenberg Smoked Turkey, Inc. is a nationwide mail-order business that operates without any advertising. It does not accept credit cards, has no toll-free number for customers to call, and does not have a Web site. This hopelessly old-fashioned company is also very profitable with thousands of devoutly loyal customers--some of whom have ordered Greenberg smoked turkeys every year for the last 50 years. Greenberg more than likely uses _____ to maintain these long-term ties to its customers. a. reactive marketing b. synergistic management c. relationship marketing d. a sales orientation e. management empowerment

c. relationship marketing

Kellogg's gives consumers the chance to receive a free DVD. Consumers who buy five boxes of specially marked cereal can cut out the coupons and mail in their completed official form to get a free DVD. Kellogg's is engaging in: a. transactional marketing b. sports distribution c. relationship marketing d. one-to-one marketing e. customer transformation

c. relationship marketing

Networkcar.com sells a plug-in device that connects to computer diagnostic ports that are standard on cars. The device beams signals to dealers who can remotely diagnose or spot trouble, allowing car dealerships to maintain a closer bond with their customers by offering maintenance before a problem leaves customers with an inoperable or possibly dangerous car. With the device, dealers can better engage in: a. management empowerment b. management-customer synergy c. relationship marketing d. transactional marketing e. direct selling

c. relationship marketing

Colorado Silversmith creates and markets silver and turquoise jewelry, which it sells to retailers in the western United States. The company's management believes its retail customers will stock more jewelry if its salespeople use aggressive marketing techniques, so the company provides strong incentives for salespeople and promotional allowances to resellers to get distribution for its jewelry. In other words, the company has a _____ orientation. a. promotion b. production c. sales d. market e. customer

c. sales

Fujifilm Computer Products has improved the efficiency and productivity of its plant, which manufactures printing technology. For the new fiscal year, the company projects a production increase of 25 percent. It has instructed its sales force to aggressively distribute and promote its printers. The CEO is sure the market will absorb more product if the sales force is determined and assertive. Fujifilm appears to have a _____ orientation. a. market b. production c. sales d. customer e. marketplace

c. sales

Companies that rely on the marketing concept and that have implemented a market orientation strategy recognize that: a. price is the most important variable for customers b. sales depend predominantly on an aggressive sales force c. what the customer thinks he or she is buying is what is important d. a company has to apply scientific management techniques to survive e. selling and marketing are essentially the same thing

c. what the customer thinks he or she is buying is what is important

After hearing his company criticized for its failure to respond to consumer needs, the CEO of a bank realized that his company needs to adhere to the marketing concept and implement a market-oriented strategy. Which of the following actions would be the best approach to achieving this goal? a. Reorganizing the company and making marketing its most important department b. Hiring new salespeople to find new customers c. Expanding the advertising budget to make potential customers more aware of its product offerings d. Creating cross-functional teams and instructing them to focus on creating greater customer value e. Hiring a new product development manager

d. Creating cross-functional teams and instructing them to focus on creating greater customer value

A problem facing the timber industry is the absence of any effective way to prove that rain forest timber has been legally harvested. In places like Indonesia, as much as 80 percent of timber available for sale is illegally cut. Companies like The Home Depot do not want to sell timber from illegally logged forests even though the demand is great for timber from rain forests. Which of the following conditions required for an exchange to occur is missing when a company tries to sell illegally acquired logs to The Home Depot? a. There are more than two parties involved. b. Each party has something of value to bring to the exchange. c. One party is free to accept the exchange offer. d. Each party believes it is appropriate to deal with the other party. e. Nobody sees the exchange as producing value.

d. Each party believes it is appropriate to deal with the other party.

_____ gives customers the feeling their concerns are being addressed and at the same time gives employees the feeling their expertise matters to management. a. Management-employee synergy b. Organizational entropy c. Managerial reciprocity d. Empowerment e. Delegation

d. Empowerment

Which marketing management philosophy focuses on the question, "What do customers want and need, and how can we benefit society?" a. Internal b. External c. Sales d. Societal marketing e. Production

d. Societal marketing

One facet of marketing is that it is: a. an approach that focuses on maximizing sales b. a short-term oriented approach to profit maximization c. an approach that requires diversity d. a philosophy that stresses customer satisfaction e. independent of value creation

d. a philosophy that stresses customer satisfaction

As part of instituting an empowerment program, a marketing director should: a. hire college graduates who have the latest training in marketing management techniques b. create a customer service department and place a key staff person in charge of the department c. train the company's staff to judge the quality of the products the firm produces d. allow non-management employees to resolve problems on their own without prior approval from their immediate supervisors e. conduct a survey of the company's marketing staff to learn about employee morale

d. allow non-management employees to resolve problems on their own without prior approval from their immediate supervisors

When customer expectations regarding product quality, service quality, and value-based price are met or exceeded, _____ is created. a. a value line b. a quality rift c. planning excellence d. customer satisfaction e. expectation satisfaction

d. customer satisfaction

Barry collects antique watches and has decided to sell a few of them on eBay. Some of the watches he wants to sell are rare and very valuable. What condition is necessary for an exchange to occur between Barry and a buyer? a. His watch should have a certificate of authenticity. b. The opening bid must be lower than other watches being sold on the site. c. Buyers must provide payment before the item is shipped. d. Delivery must take place within 2 days of the purchase. e. Potential buyers must be able to see the watch and understand its qualities.

e. Potential buyers must be able to see the watch and understand its qualities.

Which of the following is the customers' evaluation of a good or service in terms of whether that good or service has met their needs and expectations? a. Value b. Perception c. Attitude d. Dissonance e. Satisfaction

e. Satisfaction

Which of the following statements about the societal orientation is FALSE? a. Companies that protect the environment by using all-natural materials in their products are showing a societal marketing orientation. b. Marketers cannot deliver all benefits sought by customers, as these benefits may not be in the long-term best interests of the customers. c. The societal marketing concept is an important refinement of the market concept. d. Organizations have both a social and economic justification for their existence. e. The majority of consumers support environmentally friendly companies and willingly paying more for these products.

e. The majority of consumers support environmentally friendly companies and willingly paying more for these product

Marketers interested in offering customer value can: a. offer products that perform b. give the consumer facts c. offer organization-wide commitment to service and after-the-sale support d. avoid unrealistic pricing e. do all of these

e. do all of these

Minor League Baseball (MiLB) suffers from sluggish attendance. To attract more fans to MiLB games, owners often resort to gimmicks--free hot dog nights, events designed to get into the Guinness World Records, and celebrity visits. Since baseball fans are seldom asked what would make them want to attend more games, this suggests most MiLB teams do not have a(n) _____ orientation. a. sales b. empowerment c. community d. societal e. market

The marketing final test

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