The objective of causal research is to ________.
A) test hypotheses about cause-and-effect relationships
B) gather preliminary information that will help suggest hypotheses
C) describe things, such as the market potential for a product
D) assign a cause to a seemingly random event
E) predict the effect of a random event on unrelated entities
Kei, a senior marketing manager of a pizzeria in North Florida, is currently researching
electronic collections of consumer information within the company network to arrive at
crucial marketing decisions. In this instance, Kei is using ________.
A) ethnographic research
B) internal databases
C) descriptive research
D) data warehouses
E) causal research
Once managers of The Grecian Urn have decided on their product concept and
marketing strategy, they can evaluate the business attractiveness of the proposal in the
________ stage of the new product development process.
A) business transformation
B) test marketing
C) business analysis
D) business process reengineering
E) concept testing
________ is an organized movement of concerned citizens, businesses, and government
agencies to protect and improve people’s current and future living conditions.
A) Consumerism
B) Environmentalism
C) Protectionism
D) Socialism
E) Aestheticism
A company sent a trained observer to watch and interact with consumers in their natural
environments in order to gain deeper insights on consumer needs. This is an example of
________.
A) viral marketing
B) survey research
C) ethnographic research
D) experimental research
E) niche marketing
Refer to the scenario below to answer the following question(s).
Fun-Spot Fun Park began as a small amusement park in 1985. With nothing more than a
merry-go-round, a slide, pony rides, and an ice cream stand, Fun-Spot grew into a
popular family attraction with 20 rides, a restaurant, and an outdoor performing arts
theater.
“My wife, Gail, and I didn’t know what we were getting into,” commented Ron Hart,
the owner. “We just knew that weekenders coming to the lakes in our rural area
represented an untapped market.”
Today, thousands of visitors flock to Fun-Spot: families, children of all ages, and even
senior citizens who enjoy strolling through the gardens and the arbors. “There’s
something here for everyone,” Gail Hart said with a smile. “Dozens of companies hold
annual company picnics here. We have welcomed class field trips. And we even had
one wedding here at the park!”
“Here’s the funny thing,” Ron chimed in. “We really don’t know why we’ve been so
successful. There is nothing else like Fun-Spot Fun Park in the area. We were just
lucky.” “I think it’s the ambience of the park that has brought so many visitors,” Gail
added. “We provide a ‘total package’ of entertainment. Plus, we try to change our rides
and various attractions from time to time for variety.”
Ron and Gail Hart admitted that making every visitor happy is a priority. “That has
always been our philosophy,” they said. “Like the park’s motto at the entrance reads,
‘We’re here to make you happy!’ And we’ve always been able to deliver on that because
we’ve never allowed ourselves to grow too big too quickly.”
Fun-Spot’s mission is ________.
A) product oriented
B) technology oriented
C) market oriented
D) design oriented
E) narrowly focused on profits
Azure Air, an airline company, offers attractive prices to customers with tighter budgets.
A no-frills airline, it charges for all other additional services, such as baggage handling
and in-flight refreshments. Which of the following best describes Azure Air’s pricing
method?
A) target profit pricing
B) good-value pricing
C) cost-based pricing
D) break-even pricing
E) penetration pricing
Which of the following generations is the most educated to date?
A) Lost Generation
B) Baby boomers
C) Millennials
D) Generation X
E) Silent Generation
Which of the following helps companies in setting sales force size?
A) workload approach
B) pull strategy
C) push strategy
D) top-down approach
E) bottom-up approach
Rhodia invites tourists from all over the world to experience its pristine nature, clear
skies, and beautiful summertime climate. This exemplifies ________.
A) corporate image marketing
B) social marketing
C) place marketing
D) social engineering
E) negative brand equity
Nike produces shoes out of “environmentally preferred materials,” recycles old
sneakers, and educates young people about conserving, reusing, and recycling. Nike is
practicing ________.
A) new clean technology
B) product stewardship
C) pollution prevention
D) sustainability vision
E) design for environment
Jeremy’s, a handbag manufacturer in Lower Manhattan, procures a large stock of
leather in anticipation of brisk sales of handbags during December. This is an example
of a(n) ________ demand.
A) composite
B) derived
C) primary
D) latent
E) inelastic
Melissa Thomas leads the marketing research division at Tronics Inc., a manufacturing
company based in Alabama. To improve future sales of the company’s products, she has
decided to collect customer opinions and feedback on the current products offered by
her company. For this purpose, Melissa is looking for a highly flexible contact method
that can be used to gather large amounts of data within the least possible time. In this
instance, which of the following contact methods is most likely to hold the highest
appeal for Melissa?
A) online surveys
B) in-depth interviews
C) telephone interviews
D) individual interviews
E) mail questionnaires
Walmart, Costco, and Southwest Airlines serve customers who want reliable,
good-quality products or services that are also reasonable and easily available. These
companies are all known for pursuing a value discipline known as ________.
A) operational excellence
B) customer intimacy
C) product differentiation
D) product leadership
E) focus
The first step of the business buying process is ________.
A) general needs description
B) product specification
C) order-routine specification
D) problem recognition
E) performance review
Which of the following is NOT a benefit of using multivariable segmentation systems?
A) help companies identify key customer segments
B) help companies reach key customer segments more efficiently
C) help companies more accurately price their products to appeal to key customer
segments
D) help companies better understand key customer segments
E) help companies tailor market offering to the needs of the key customer segments
The network made up of the company, its suppliers, its distributors, and, ultimately, its
customers who partner with each other to improve the performance of the entire system
is known as the ________.
A) business portfolio
B) supply chain
C) marketing mix
D) value delivery network
E) internal value chain
When a company provides superior value by leading its industry in price and
convenience, it has obtained ________.
A) product leadership
B) focus
C) operational excellence
D) customer intimacy
E) differentiation
________ are huge unenclosed shopping centers consisting of a long strip of retail
stores, including at least one large, freestanding anchor store like Walmart. Each store
has its own entrance with parking directly in front for shoppers who wish to visit only
one store.
A) Shopping malls
B) Power centers
C) Superstores
D) Chain stores
E) Regional shopping centers
A company must pay each month’s bills for rent, heat, interest, and executive salaries
regardless of the company’s level of output. This exemplifies its ________ costs.
A) overhead
B) variable
C) target
D) total
E) unit
Working with foreign companies to produce or market products or services is known as
________.
A) direct export
B) global distribution
C) direct investment
D) joint venturing
E) indirect export
While using the ________ method for setting an advertising budget, a company starts
with total revenues, deducts operating expenses and capital outlays, and then devotes
some portion of the remaining funds to advertising.
A) integrated
B) moving-average
C) competitive-parity
D) percentage-of-sales
E) affordable
One of the functions performed by a PR department is ________, which involves
working with donors or members of nonprofit organizations to gain financial or
volunteer support.
A) direct marketing
B) press relations management
C) investor relations management
D) development
E) lobbying
A church targeting different demographic groups to increase attendance is an example
of ________.
A) affinity marketing
B) not-for-profit marketing
C) societal marketing
D) evangelism marketing
E) affiliate marketing
________ refers to socially and environmentally responsible marketing that meets the
needs of consumers and businesses while also preserving or enhancing the ability of
future generations to meet their needs.
A) Ambush marketing
B) Evangelism marketing
C) Sustainable marketing
D) Database marketing
E) Affinity marketing
If a company ________, it should adopt a product sales force structure, in which the
sales force specializes along product lines.
A) specializes in a single product
B) manufactures a small number of simple products
C) maintains that product specialization is counterproductive
D) has numerous and complex products
E) lacks salespeople with superior technical know-how
Refer to the scenario below to answer the following question(s).
Jason West, owner of A1 Cleaning, started his enterprise in 2001. Jason’s primary focus
had been on office cleaning for large corporations. But in recent months, Jason has seen
a decline in demand for his office cleaning services. Surprisingly, the competitive
environment appeared relatively stable with no new competitors. However, Jason knew
that office cleaning was a high-frequency service that is usually performed daily;
therefore, competitors must have been doing something to attract his customers.
Building a competitive advantage seemed to be the only option to offset competition.
But as Jason pondered over his dilemma, he realized that prior to building his
competitive advantage he needed to better understand how customers assessed service
quality and what they look for in a superior cleaning service.
Jason developed a research plan. First, he gathered information about his competitors,
primarily through pamphlets and Web sites, as well as through a few phone calls in
order to find out exactly what the competitors offered in their cleaning packages. In
addition, Jason obtained from the Chamber of Commerce an updated list of local
corporations. He planned on sending written questionnaires to them.
Though the list of corporations contained 141 local company names, Jason chose to
survey 75 of them. To better understand customer service expectations between both
small and large corporations, Jason divided his surveys into two categories. The survey
questions were designed to extract specific data from respondents with regard to service
quality expectations in correlation to service frequency and price.
Jason awaited the results. Though his primary focus had been on large corporations, he
was flexible and would aim his efforts differently if needed.
Of the 141 companies on the list, Jason chose to survey only 75 of them. He sent
surveys to both small as well as large companies. If Jason selected survey recipients
randomly from two mutually exclusive groups comprised of small and large companies
respectively, he most likely used a ________.
A) simple random sample
B) judgment sample
C) convenience sample
D) stratified random sample
E) quota sample
Amazon.com and GEICO approach customers via Web sites or mobile apps. This is an
example of ________ marketing.
A) mass
B) niche
C) individual
D) multi-level
E) direct
Tropicana promotes drinking orange juice at any time of day as a cool, refreshing drink.
The market segmentation approach Tropicana is using is ________.
A) occasion segmentation
B) benefit segmentation
C) age and life-cycle segmentation
D) gender segmentation
E) behavioral segmentation
Companies can legitimately charge a higher price if ________.
A) consumers perceive that the company’s product offers greater value
B) the demand for products manufactured by a firm is highly elastic
C) the cost of advertising is minimal
D) derived demand remains constant
E) consumers de-emphasize quality
When marketers set low expectations for a market offering, they run the risk of
________.
A) disappointing loyal customers
B) having to use an outside-in rather than an inside-out perspective
C) failing to attract enough customers
D) failing to understand their customers’ needs
E) incorrectly identifying a target market
Some firms define their purpose in narrow product terms. Others that define their
purpose in broad social terms follow ________.
A) societal marketing
B) sense-of-mission marketing
C) consumer-oriented marketing
D) customer-value marketing
E) consumerism