Maria works for Sigma Inc., a firm that helps companies target and promote their
products to the right markets. Sigma is most likely a ________.
A) financial intermediary
B) physical distribution firm
C) marketing services agency
D) reseller
E) wholesaler
Refer to the scenario below to answer the following question(s).
Alpha Stampings Inc. produces 14 metal stampings for the automotive industry. Due to
industry design changes and consumer demands, for the next financial year, six of those
stampings will require a slight change: two will have an extra hole punched through the
side, two will require an extra plating process, and two will require an additional weld
operation.
In the meantime, purchasing agent Richard Koehl has been asked to reduce the number
of Alpha’s steel suppliers in an effort to cut costs. After obtaining updated price
quotations and steel samples from his current suppliers, Richard faced a dilemma. Until
now, he had selected his suppliers based on quality and price, but the major
consideration had been the type of steel required and the specialized production
processes of his respective suppliers. Not all of Alpha’s suppliers could produce the
exact grades of steel needed; some suppliers were better at producing certain types of
steel than others.
Richard contacted several employees at Alpha who had worked with the various types
of steel in the past. The quality control manager and line inspector, for example, could
help to determine which suppliers had the capabilities of producing specific types of
steel. The production control manager could provide input regarding which types of
steel worked best in which presses. The warehouse foreman gave inputs regarding how
long various types of steel could be held in inventory before rust spots began to form on
their surfaces. Each person contributed the necessary information to help Richard in
making his decision.
In this scenario, which of the following had the greatest influence on the business
buying behavior at Alpha Stampings?
A) individual preferences
B) organizational structure
C) interpersonal influences
D) technological changes
E) cultures and customs
What action do consumers continue to perform even though a majority are concerned
with identify theft?
A) shopping online
B) searching for product information
C) reading reviews from friends on Facebook
D) sending and responding to e-mail messages
E) watching videos
Television, as a medium of advertisement, is characterized by ________.
A) high audience selectivity
B) low absolute costs
C) poor mass-marketing coverage
D) fleeting exposure
E) high cost per exposure
Pacific Fisheries divides its customers into different regional units, such as Asia,
Australia, and the Americas. This is an example of ________ segmentation.
A) demographic
B) psychographic
C) geographic
D) occasion
E) benefit
A five-foot high cardboard display of Terry the polar bear, mascot of Terry’s protein
shake, next to the shelf containing Terry’s products in a supermarket is an example of
a(n) ________.
A) sample
B) point-of-purchase promotion
C) business promotion
D) advertising specialty
E) rebate
Symbols such as the McDonald’s golden arches, the colorful Google logo, the Nike
swoosh, or Apple’s “bite mark” logo provide strong company or brand recognition and
are indicative of ________ differentiation.
A) people
B) image
C) channel
D) services
E) product
In a simple random sample, ________.
A) every member of the population has a known and equal chance of selection
B) the population is divided into mutually exclusive groups (such as blocks), and the
researcher draws a sample of the groups to interview
C) the researcher selects the easiest population members from which to obtain
information
D) the population is divided into mutually exclusive groups and random samples are
drawn from each group
E) the researcher finds and interviews a prescribed number of people in each of several
categories
________ is an organized movement of citizens and government agencies to improve
the rights and power of buyers in relation to sellers.
A) Environmentalism
B) Protectionism
C) Liberalism
D) Consumerism
E) Capitalism
Under oligopolistic competition ________.
A) the market consists of a single dominant seller
B) the market consists of numerous small sellers
C) the market consists of many buyers and sellers who trade over a range of prices
rather than a single market price
D) sellers are typically unresponsive to competitors’ pricing strategies and marketing
moves
E) the market consists of only a few large sellers
The ________ was established by the Direct Marketing Association.
A) Privacy Promise to American Consumers
B) Trusted Email Open Standard
C) Children’s Online Privacy Protection Act
D) CAN-SPAM legislation
E) Do Not Call Registry
Josh received an e-mail stating that he had won a lottery of $500,000 from Lottors
Corporation. The e-mail asked Josh to send his bank account details and social security
number to transfer cash directly to his account. Josh did not remember buying any
lottery tickets, and so was apprehensive about providing his bank details without
verification. Which of the following is illustrated from this scenario?
A) adware
B) viral marketing
C) telemarketing
D) cyberbullying
E) phishing
Why is markup pricing most likely popular?
A) Sellers are more certain about demand than about costs.
B) Markup pricing tends to maximize market competition.
C) Markup pricing affords buyers greater bargaining power.
D) Sellers do not need to make frequent adjustments as demand changes.
E) Markup pricing is designed to set prices to break even on the costs of making and
marketing a product.
When faced with a competitor who has cut its product’s price, which of the following is
the most cost-effective way for a company to maintain its own price but raise the
perceived value of its offer?
A) by improving the quality of the product
B) by introducing a higher-priced premium brand
C) by altering the company’s marketing communications
D) by bundling the offer with add-ons
E) by distributing the product through less costly channels
Which of the following is a specialized and highly targeted media selection that an
advertiser might use to reach smaller customer segments with personalized content?
A) radio
B) magazines
C) newspapers
D) network television
E) online social networks
A newspaper article announced that Connect Wireless, the sixth-largest wireless carrier
in a country, was changing its name to M-Mobile and that to begin the makeover
process it had replaced spokesperson Robert Garmon with Catherine Naylor. Which of
the following elements of a promotion mix is represented in this example?
A) sales promotion
B) advertising
C) public relations
D) personal selling
E) direct marketing
A marketing channel that consists of one or more intermediaries is known as a(n)
________ marketing channel.
A) cyclic
B) upstream
C) looped
D) direct
E) indirect
Oscarz Aviation’s Web site, GoOscarzAv.com, informs customers about a wide variety
of services offered by the firm. It also has a guestbook where customers can provide
feedback on their experiences with Oscarz Aviation. They can also view videos Oscarz
Aviation posts, as well as read and respond to blogs and ask questions.
GoOscarzAv.com is an example of a(n) ________.
A) online social network
B) blog
C) kiosk
D) branded community Web site
E) digital catalog
What is the LEAST relevant question to ask when assessing a firm’s main competitor?
A) What are the competitor’s objectives?
B) What is the competitor’s strategy?
C) What are the competitor’s strengths?
D) What are the competitor’s locations?
E) What are the competitor’s weaknesses?
Lubricants, coal, paper, and pencils are examples of ________.
A) operating supplies
B) capital items
C) raw materials
D) specialty products
E) installations
Marketing communicators must know what ________ and what ________.
A) products they wish to sell; audiences they want to target
B) distribution channel(s) they wish to use; timing they need
C) advertising media they will use; message they will send
D) audiences they wish to reach; responses they want
E) message they will send; feedback they expect
In the 1950s, Americans made a massive exit ________.
A) from the South to the Northeast
B) from the West to the Midwest
C) to foreign countries
D) from the cities to the suburbs
E) from the coastal towns to the cities
Which of the following is true of Gen Xers?
A) They are considerably larger than the boomer generation.
B) They were the first to grow up in the Internet era.
C) They are less educated than the baby boomers.
D) They are more materialistic than the Millennials.
E) They rarely research a product before purchasing it.
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) Maria Theresa shops for her family’s groceries at the local Whole Foods store.
D) A firm buys laptops from Dell for company salespeople to use when traveling.
E) Airmark sells a vinyl printing press to a manufacturer of plastic storage containers.
The McDonald’s fast-food restaurant chain uses Ronald McDonald, a clown, as its
primary character. Which message execution style is used by McDonald’s?
A) technical expertise
B) lifestyle
C) personality symbol
D) image
E) slice of life
You want to advertise your new product. You want good mass marketing coverage and
low cost per exposure. You also want to combine sight, sound, and motion and make the
advertisement appealing to the senses. You should choose ________ as your advertising
media.
A) newspaper
B) radio
C) magazines
D) television
E) direct mail
When it first opened stores across the United States, Bateman’s, an office supply chain
store, had the best product selection, the best service, and the lowest prices compared to
other office supply chain stores. As a result, Bateman’s captured a significant chunk of
the market in the short run. Which of the following positioning strategies did Bateman’s
most likely use?
A) more for the same
B) more for less
C) same for less
D) less for much less
E) more for more
________ sell standard merchandise at lower prices by accepting lower margins and
selling higher volume.
A) Merchant wholesalers
B) Discount stores
C) Full-service retailers
D) Limited-service retailers
E) Factory outlets
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 largest division engages in a licensing agreement with a German
firm to produce women’s hosiery, managers at Selman & Saks wondered whether a
company-wide global focus would be more profitable after all.
Managers at Selman & Saks studied Wellman’s licensing agreement in great detail.
Even after seeing the benefits Wellman achieved with the licensing agreement,
managers decided that Selman & Saks would target the French market merely via
exporting.
With the assistance of a domestic export department, Selman & Saks razors and hair
trimmers entered France. For six months, sales were mediocre. But after that, sales
suffered. Opinions varied among numerous managers as to the cause of the failure.
“Who knows the local market better than people who live there?” was a comment heard
throughout Selman & Saks. “Maybe we needed an alliance with a French firm, or a
licensing agreement, before racing to get there.”
What did Selman & Saks hope to gain by entering the French market?
A) access to new consumer markets
B) access to less expensive labor
C) access to less expensive materials
D) access to foreign investment incentives
E) the ability to offset domestic economic cycles
In routine buying situations, which of the following members of the buying center has
formal or informal power to select or approve the final suppliers?
A) users
B) influencers
C) gatekeepers
D) deciders
E) buyers
Retailers such as Costco and Walmart charge a constant, daily low price with few or no
temporary price discounts. This is an example of ________ pricing.
A) competition-based
B) everyday low
C) cost-plus
D) break-even
E) penetration