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In Via del Mar, Chile, a large number of shops specialize in selling the same quality of seafood products along the beach frequented by tourists. No individual shop dares charge more than the going price without fearing loss of business […]

Refer to the scenario below to answer the following question(s). Most clients of Second Avenue have learned about the store through word-of-mouth communication. This small retailer of quality secondhand children’s clothing thrives on the sale of a vast inventory of […]

The major influences on the buying process at General Aeronautics Limited include supply conditions and technological changes, which would both be categorized as ________ factors. A) organizational B) individual C) systemic D) interpersonal E) environmental Answer: Which of the following […]

Mission statements should ________ and be defined in terms of ________. A) be technology oriented; meeting the self-actualization needs of customers B) be product oriented; satisfying the esteem needs of customers C) embody the company’s short-term plans; current opportunities D) […]

Sanguine Services is a small company that uses a marketing strategy in which its limited resources are employed to target a large share of two small market segments. Sanguine most likely uses which of the following marketing strategies? A) individual […]

Marketing researchers can conduct their own searches of secondary data sources by using mail questionnaires and interviewing individuals. Answer: A market is the set of actual and potential buyers of a product or service. Answer: TRUE Subcultures consist only of […]

Press conferences, speeches, store openings, special events, newsletters, and store magazines are examples of ________ activities used by retailers to promote themselves. A) public relations B) sales promotions C) personal selling D) affinity marketing E) social marketing Answer: Most of […]

The ________ prohibits monopolies and activities (price-fixing, predatory pricing) that restrain trade or competition in interstate commerce. A) Sherman Antitrust Act B) Lanham Trademark Act C) Fair Packaging and Labeling Act D) CAN-SPAM Act E) Magnuson-Moss Warranty Act Answer: Laws […]

Rather than competing head to head with established competitors, many companies seek out unoccupied positions in uncontested market spaces. They try to create products and services for which there are no direct competitors. This is called a ________. A) horizontal […]

Which of the following is true about the product sales force structure? A) A product sales force structure is most appropriate for a company that manufactures a small number of simple products. B) In a product sales force structure, each […]

Which of the following actions should a marketer take in response to the new economy? A) Offer selected discounts. B) Cut marketing budgets. C) Hold the line on prices. D) Cut costs. E) Discontinue products. Answer: The decision to use […]

At its most basic form, a marketing channel consists of the producer and the ________. A) retailer B) sales agent C) competitor D) processor E) consumer Answer: ________ logistics involves moving products from the factory to resellers and ultimately to […]

Multichannel marketing occurs when a single firm sets up two or more marketing channels to reach one or more customer segments. Answer: Jim is planning on buying an expensive HDTV and he realizes that there are few differences between brands. […]

The more elastic the demand, the more it pays for the seller to raise the price. Answer: To increase its ‘share of customer,” a firm concentrates on retaining as many customers as possible over its lifetime. Answer: FALSE Integrating the […]

In 1994, the North American Free Trade Agreement (NAFTA) established a free trade zone among the United States and Costa Rica, the Dominican Republic, El Salvador, Guatemala, Honduras, and Nicaragua. Answer: Most shopping centers are ________. A) strip malls B) […]

Refer to the scenario below to answer the following question(s). Selman & Saks, a maker of men’s and women’s razors and electric hair trimmers, had little reason to become involved in the global arena. But after acquiring Wellman Enterprises, whose […]

Which of the following statements is true regarding social classes in the United States? A) Social class is determined by income alone. B) Lines between social classes in the United States are fixed and rigid. C) Social classes show distinct […]

Which of the following is an internal source for new product ideas? A) competitors B) company executives C) marketing research firms D) trade magazines E) government agencies Answer: In which of the following geographic pricing strategies would customers located close […]

Trusted Wholesalers is a company that purchases products produced in Mexico and sells them to companies based in the United States and Canada. Management at Trusted Wholesalers would most likely be interested in becoming experts in the policies developed by […]

For her current research project, Margaret Rogers wants to select a sample in which every member has a known and equal chance of selection. In other words, Margaret is looking for a ________. A) simple random sample B) convenience sample […]

In recent years, convenience stores have redesigned their stores to closely focus on serving their primary target market made up of young, blue-collar men. Answer: Convenience products are less frequently purchased consumer products and services that customers compare carefully on […]

Which of the following stages of the PLC is characterized with high promotional expenditures that result from an effort to create consumer awareness? A) growth B) product development C) maturity D) introduction E) decline Answer: Which of the following is […]

Sales promotion involves building up a good corporate image, and handling or heading off unfavorable rumors, stories, and events. Answer: The goal of competitive marketing intelligence is to evaluate and prevent high employee turnover. Answer: FALSE Abel is considering whether […]

Which of the following is most likely an objective of informative advertising? A) build brand preference B) change customer perceptions of brand value C) encourage customers to switch brands D) suggest new uses for a product E) keep the brand […]

Product stewardship involves minimizing not only pollution from production and product design but also all environmental impacts throughout the full product life cycle, and accepting increased costs. Answer: Neuromarketing involves measuring brain activity to learn how consumers feel and respond. […]

JumBo Games is in the commercialization stage. The first decision that the firm should make while introducing the product in the market is introduction timing. Answer: Sellers cannot influence or use consumers’ reference prices when setting their product prices. Answer: […]

Blair Housewares wants to add new products to its existing line of products. Managers are correct in believing that the purpose of idea generation is to create a few ideas, and the purpose of succeeding stages is to increase that […]

Gary Hirshberg started the Stonyfield Farm yogurt company. His marketing strategy: building a casual bond with customers using guerilla marketing. This is an example of formulated marketing. Answer: Sequential product development has the advantage of not only being a team-oriented […]

Santana Automobile’s Arrow is the first mass-produced hybrid vehicle, known for its fuel efficiency and environmental friendliness. The Arrow is most likely to become popular in the ________ market. A) SOHO B) LOHAS C) LGBT D) business E) Millennials’ Answer: […]

Good marketing communications can speed the demise of a poor product. Answer: Line extension refers to extending an existing brand name to new product categories. Answer: FALSE In the business buying process, business buyers determine which products and services their […]

Large-scale marketing approaches that foster two-way customer relationships are made possible by new communication technologies. Answer: Air carriers transport digital products from producer to customer via satellite, cable, phone wire, or wireless signal. Answer: FALSE The government market consists of […]

An MIS is used to ________. A) generate product interest B) develop marketing plans C) identify demographic trends D) assess information needs E) test hypotheses about cause-and-effect relationships Answer: Which of the following is true with regard to the product/expansion […]

________ management refers to the management of upstream and downstream value-added flows of materials, final goods, and related information among suppliers, the company, resellers, and final consumers. A) Cross B) Supply chain C) Price D) Product cycle E) Customer Answer: […]

In industries in which pricing is a key factor, ________ often set the best prices or help others in setting them. A) sales departments B) salespeople C) production managers D) line managers E) pricing departments Answer: After a brief stay […]

When backed by buying power, wants become ________. A) social needs B) demands C) physical needs D) self-esteem needs E) exchanges Answer: Malcolm Sanders, a graduate student from Boston, makes customized snowboards for local snowboarding enthusiasts. The demand for snowboards […]

Which of the following is true about business-to-business e-procurement? A) E-procurement increases transaction costs for suppliers. B) Because of an overwhelming demand, e-procurements usually have a huge time gap between order and response. C) Many buyers now use the power […]

Which of the following was designed to help foster trade between nations? A) tariffs B) GATT C) exchange controls D) quotas E) nontariff trade barriers Answer: Tone Zone plans to introduce four mp3 player models over the next year. These […]

The major product line decision involves product ________, the number of items in the product line. A) features B) line depth C) line conformance D) line length E) packaging Answer: What sets the ceiling for product prices? A) product manufacturing […]

Right after closing, Joshua, a senior sales manager at Halcyon Technologies called up the customer to ensure that she was satisfied with Halcyon’s products. By calling the customer, Joshua also wanted to ensure repeat business. In this instance, Joshua is […]

Which form of geographic pricing is a company using when it charges the same rate to ship a product anywhere in the United States? A) uniform-delivered pricing B) psychological pricing C) zone pricing D) FOB-origin pricing E) basing-point pricing Answer: […]

Glee and The Wall Street Journal are both examples of ________-specific media within each general media type. A) alternative media B) major media C) media vehicles D) media multitaskers E) micromedia Answer: Which of the following is true about business […]

________ are online journals where people post their thoughts, usually on a narrowly defined topic. A) Social networks B) Blogs C) Forums D) Search engines E) Web directories Answer: Cybertron Inc. was accused of deceptive pricing. Which of the following […]

________ is the systematic design, collection, analysis, and reporting of data relevant to a specific marketing situation facing an organization. A) Product marketing B) Strategic planning C) Marketing research D) Market segmentation E) Causal research Answer: Which of the following […]

Market challengers can grow by further increasing their market shares. Answer: A group of firms in an industry following the same or a similar strategy in a given target market is known as a strategic group. Answer: FALSE In an […]

Jason has been recently hired as a salesperson by Matrix Inc., a company selling consumer durables. He is currently working on his first sales assignment. After identifying a good prospect, Jason is now learning everything about his prospect via online […]

Installations consist of ________. A) highly priced luxury goods such as Rolex watches B) portable office equipment such as computers C) major purchases such as elevators D) portable factory equipment such as hand tools E) products such as insurance Answer: […]

________ products are those products purchased for further processing or for use in conducting a business. A) Unsought B) Specialty C) Shopping D) Industrial E) Convenience Answer: ________ consumers are the most affluent U.S. demographic segment and are expected to […]

Explain how the United States Postal Service has “competitor myopia.” Answer: A(n) ________ economy is rich in one or more natural resources but poor in other ways and much of its revenue comes from exporting its natural resources. A) industrial […]

In the context of behavioral segmentation, who among the following is a potential user? A) Anita, who recently had a baby B) Peter, who recently changed his job C) Mary, who enrolled as a graduate student in a university last […]

Workers, managers, and members of the board are examples of ________ publics. A) general B) internal C) local D) citizen-action E) media Answer: Berman Electronics, a chain of appliance stores in North America, caters to a wide range of customers. […]

Target return pricing uses the concept of a(n) ________, which shows the total cost and total revenue expected at different sales volume levels. A) BCG matrix B) break-even chart C) SWOT analysis D) demand curve E) experience curve Answer: A […]

Which of the following is NOT part of the business market? A) Kruger Group sells interior security systems to resorts. B) A country club buys safety equipment for its swimming pool. C) Sue shops for her family’s groceries at the […]

Nintendo, producer of the Wii video game console, might define its competitors as other makers of physically interactive video games. But from a(n) ________ point of view, it would include all firms making physically interactive recreational products. A) industry B) […]

PR can have a strong impact on public awareness at a much higher cost than advertising can. Answer: A product idea is an idea for a possible product that a company can offer the market. Answer: TRUE The number of […]

Teenagers are expected to respond in a similar way to a set of marketing efforts. In other words, this group represents a ________. A) channel intermediary B) line extension C) market segment D) product attribute E) brand personality Answer: A […]

Harris Brown, the marketing manager at a small retail chain, wants to assess his firm’s strengths, opportunities, weaknesses, and threats. Which of the following would be best suited for his purpose? A) SWOT analysis B) cluster analysis C) portfolio analysis […]

Which of the following is the best way for a company to increase selling time? A) implementing high-commission plans B) reducing the number of customers C) sharing less information with customers D) simplifying administrative duties E) implementing mass customization Answer: […]

Horizontal conflicts are conflicts between different levels of the same channel. Answer: Shopper marketing involves focusing the entire marketing processfrom product and brand development to logistics, promotion, and merchandisingtoward turning shoppers into buyers at the point of sale. Answer: TRUE […]

Company growth through diversification involves offering modified or new products to the company’s current markets. Answer: If Audi develops a new low-priced model for entry-level consumers in Europe, it would be an example of straight product extension. Answer: FALSE Labels […]

The main section of the marketing plan most likely presents a detailed ________ analysis of the current marketing situation. A) breakeven B) SBU C) SWOT D) regression E) cluster Answer: Which of the following is an environmental factor that affects […]