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A traditional advertising medium can be used to publicize a sales promotion.
When shipping large amounts of bulk products such as forest products, coal, sand, or
rock over large distances, a company should choose large trucks because of their low
cost per ton shipped.
All 50 U.S. states consider loss leader practices to be wrong and have passed legislation
called "unfair sales acts," also called "unfair trade practices acts."
Today's professional salesperson is more likely to practice relationship selling than
transactional selling.
Selecting a mass market, a firm risks losing potential customers to competitors who
instead try to meet the needs of specific target markets.
A break-even analysis helps marketers understand the relationship between price and
demand.
Typically, each element of an action plan is linked to a budget item.
Some business customers purchase specialized services that are essential to the
operation of an organization but not part of the production of a product.
Idea generation is also known as the ideation phase of product development.
In a conventional marketing system, no channel member has much control over the
other members, and no formal means exists for assigning roles and resolving channel
conflict.
Marketers can collect and analyze detailed information about consumer attitudes toward
a brand from social media sources such as Facebook and Twitter.
Due to the success of the Internet, few producers sell through intermediaries today.
The pricing element of the marketing mix always involves monetary exchanges.
The four Ps of marketing are people, placement, promotion, and pricing.
When compared to generations older than them, a greater proportion of Millennials
have never been married.
A destination retailer is a store that consumers view as distinctive enough to go out of
their way to shop there.
Planning a public relations campaign is a two-step process: develop objectives and then
execute those objectives.
Market share is a measure of the profit margin a firm yields with a specific brand.
The first step in planning how to price a product is to develop pricing objectives.
Fluctuating demand in business markets can be partially explained by the infrequency
of the purchases.
Even if you opt out of receiving emailed marketing messages from a company, the
company is within its legal rights to continue sending you its promotional emails.
The market manager structure would probably not be useful when firms offer a variety
of products that serve the needs of a wide range of customers.
Advertising and marketing are interchangeable terms.
During the interact step of one-to-one marketing, companies should focus on ways to
improve the cost efficiency and effectiveness of the interaction.
Marketers for Ranch Life, a Connecticut family resort that offers horseback riding and a
waterpark, want to make sure that Ranch Life comes up at the top or near the top of
every list of online search results for the phrases "Connecticut family vacation,"
"Connecticut horseback riding," and "Connecticut waterpark." Ranch Life marketers
will likely use predictive analytics to achieve this goal.
Packaging plays an important role in communicating brand personality.
It is illegal for a website to share information with other companies about what search
terms you have used.
The communications model is an effective way to look at traditional marketing
communications, but not new word-of-mouth communications.
Devices and products connected through the Internet of Things can collect data and
communicate it to each other.
Introducing new products to consumers is not an objective that falls within the
responsibilities of the PR department.
Keystone pricing is a simple way to determine the markup for a product.
A firm's code of ethical relativism is a set of standards of behavior that everyone in the
firm is expected to follow.
Business markets tend to be more geographically concentrated than consumer markets.
Because Cruise Ships International currently has limited financial and personnel
resources, it should avoid a concentrated targeting strategy until its resources are more
substantial.
To a producer of goods, a greater number of channel levels means ________.
A) less distance between producer and end consumer
B) less control
C) more creativity
D) higher taxes
E) multiple distribution systems
A ________ is a loyal customer who often works for a brand for free.
A) relationship manager
B) stealth marketer
C) brand ambassador
D) public relations specialist
E) brand avatar
The ________ is the member of the buying center whose primary function is handling
the details of the transaction.
A) buyer
B) gatekeeper
C) decider
D) initiator
E) influencer
The most common way for public relations specialists to communicate is through the
use of ________.
A) sponsorship
B) lobbying
C) press releases
D) special events
E) speech writing
Which of the following is NOT one of the five characteristics of innovations that affect
the rate of adoption?
A) relative advantage
B) tangibility
C) observability
D) trialability
E) compatibility
Which of the following is the best example of a durable good?
A) a bag of cat food
B) a refrigerator
C) a bottle of nail polish
D) a package of lightbulbs
E) a box of detergent
In which step of the sales process would the salesperson call to ensure customer
satisfaction and repeat business?
A) approach
B) presentation
C) handle objections
D) close the sale
E) follow-up
Which of the following is true of the Universal Product Code (UPC)?
A) It is a five-digit number used to control inventory.
B) It is a package communication element.
C) It is legally required for products with dual distribution channels.
D) It is used only by companies that have more than one retail outlet.
E) It prevents product cannibalization.
The BCG growth-market share matrix measures which of the following?
A) the depth and breadth of a firm's different product lines
B) a firm's internal strengths and external opportunities
C) a firm's internal weaknesses and external threats
D) the market growth rate and the relative market share of a firm's SBUs
E) opportunities for growth in markets and the relative risk of different investments
Offering credit to buyers and providing refund services for products are both examples
of ________ functions provided by channel intermediaries.
A) diverting
B) marketing
C) breaking bulk
D) facilitating
E) creating assortment
Which of the following is the purpose of omnichannel marketing?
A) to deliver promotions and rewards to customers as they shop in a physical retail
space
B) to keep a running total on sales, returns, and transfers to other stores
C) to automatically reorder products when inventories decline to a certain level
D) to allow customers to automatically pay for items without cash or a credit card
E) to provide a seamless shopping experience for customers across shopping locations
When companies calculate the lifetime value of a customer they look at ________.
A) how much profit they expect to make from a particular customer, including each and
every purchase she will make from them now and in the future
B) the positive word of mouth about the product that the customer can spread among
her family, friends, and acquaintances
C) the lifetime expectancy of the product the customer purchased
D) the age of the customer to see whether she is likely to live long enough to utilize the
product being sold
E) the career path of the customer to see if she may move to a different geographic area
and no longer purchase from the company
When consumers are unable to judge the quality of a product through examination or
prior experience, they usually do which of the following?
A) Make a price-quality inference.
B) Depend on an internal reference price.
C) Assess the fair price.
D) Experience an assimilation effect.
E) Experience a price-placebo effect.
Assignment of responsibilities, time lines, budgets, and measurement and control
processes are documented in a(n) ________.
A) price strategy
B) promotion strategy
C) action plan
D) strategic plan
E) marketing mix
Facebook, Twitter, and virtual worlds are all examples of ________.
A) traditional media
B) social media
C) virtual worlds
D) review sites
E) geospatial platforms
Which stage of activity in logistics involves waste disposal and recycling?
A) inbound logistics
B) operations
C) outbound logistics
D) reverse logistics
E) services
Which of the following is the LEAST relevant characteristic that a salesperson should
consider when qualifying a prospect?
A) financial ability
B) longevity in the market
C) credit history
D) volume of business
E) likely level of loyalty
Which of the following statements about advertising is true?
A) Advertising is personal communication from an identified sponsor using the mass
media.
B) Consumers perceive advertising as always having a high level of credibility.
C) Advertising can be used to establish and reinforce a distinctive brand identity.
D) Advertising tends to be comparatively inexpensive.
E) Advertising always relies on factual information.
The marketing team for the charity American Harvest, a national food bank program,
wants to know how much it costs to attract a new donor to visit its website and
complete a donation. American Harvest will most likely use the metric of ________.
A) customer equity
B) conversion rate
C) cost-per-order
D) share of customer
E) churn rate
The National Do Not Call Registry was established by which of the following?
A) the Federal Trade Commission (FTC)
B) the Direct Marketing Association (DMA)
C) the Consumer Review
D) the American Marketing Association (AMA)
E) the Robinson-Patman Act
Viral marketing primarily uses which of the following communication channels?
A) billboards
B) print media
C) radio
D) cable television
E) the Internet
________ are consumer products for which a consumer either has little awareness or
interest until a need arises. These products require a lot of advertising, personal selling,
and other marketing efforts.
A) Specialty products
B) MRO products
C) Unsought products
D) Shopping products
E) Staple products
When the makers of a ballpoint pen state they are in the communication equipment
business, they are defining their mission too ________.
A) narrowly
B) realistically
C) specifically
D) broadly
E) socially
Which of the following is the series of firms or individuals that facilitate(s) the
movement of a product from the producer to the final customers?
A) the industrial network
B) the retailer chain
C) the multilevel network
D) the channel of distribution
E) the conventional marketing system
What type of software links information between selling and buying firms?
A) CRM (customer relationship management)
B) PRM (partner relationship management)
C) TQM (total quality management)
D) PR (public relations)
E) VoIP (Voice-over Internet Protocol)
________ occurs whenever a consumer sees a significant difference between his current
state of affairs and some desired or ideal state.
A) Perceived risk
B) Problem recognition
C) Problem solving
D) Learning
E) Lifestyle change
Which of the following statements about the World Trade Organization (WTO) is true?
A) The WTO is a branch of the U.S. government.
B) An essential function of the WTO is stabilizing international money exchange rates.
C) Only developed nations are granted membership into the WTO.
D) The WTO's main function is to help the least developed countries grow their
economies.
E) The WTO is the only international organization that deals with the global rules of
trade between nations.
An intermediary who ________ legally owns the goods being handled.
A) breaks bulk
B) takes title
C) creates assortments
D) takes consignments
E) earns commission
Camille was standing in the checkout line at her neighborhood grocery last night when
she saw a display of Hostess Twinkies. She remembered how much she had enjoyed
Twinkies as a child, and she knew she just had to buy a package of Twinkies, even
though it was not on her shopping list. For Camille, Twinkies are an example of a(n)
________.
A) unsought product
B) impulse product
C) staple
D) emergency product
E) MRO product
________ strategies introduce a firm's current products into new markets.
A) Diversification
B) Market penetration
C) Market development
D) Product development
E) Cash cow
Specific rules that dictate what is acceptable or unacceptable within a society are
referred to as ________.
A) demographics
B) cultural values
C) cultural dimensions
D) social norms
E) ethnocentric standards
To determine the best price for a first edition copy of a Stephen King novel with a dust
jacket in mint condition, Jason would most likely use a(n) ________ to provide him
with pricing information from all the bookstores that currently have the requested book
in stock.
A) shopbot
B) behavioral targeter
C) search engine optimizer
D) sponsored search ad
E) extranet
The Federal Trade Commission says that a product may be called new for only
________.
A) three months
B) six months
C) nine months
D) one year
E) two years
A retailer cooperative is a form of a(n) ________ vertical marketing system (VMS).
A) administered
B) conventional
C) corporate
D) horizontal
E) contractual
Brand loyalty in the product choice step of the consumer decision-making process is an
example of a ________.
A) psychographic
B) consumer expectation
C) cognitive dissonance
D) heuristic
E) behavioral target
Why might a company be interested in using sustainability metrics?
Explain the rationale for identifying the best modes of transportation for a product.
Discuss how marketers may be able to reduce postpurchase cognitive dissonance.
Compare the traditional one-to-many marketing communication model to the updated
many-to-many communication model. What has caused the shift? What are the
advantages and disadvantages of the new model for marketers?
Compare F.O.B. origin pricing and F.O.B. delivered pricing.
How do marketers of free smartphone apps make their products profitable?
Explain the relationship between one-to-one marketing and CRM.
How do heuristics affect a consumer's decision-making process? Give two examples of
heuristics you might use when shopping.
What is protectionism and why might a government adopt it as a policy? Explain how
three examples of protectionism function.
Describe several characteristics of Generation Y and Generation X that are important to
marketers.
Explain why marketers need to understand the views of consumers in dealing with the
compatibility and complexity of innovations.
Identify the Four Ps in the following description: Rosa Alvarez markets 23 different
varieties of salsa in 8-ounce and 12-ounce bottles at supermarkets in the southwestern
United States. The 8-ounce bottle sells for $5.95, and the larger size sells for $7.95.
Periodically, she sets up a table in one of the marketplaces that carries her salsa brand
and offers customers a sample. She recently received considerable publicity for being
the "Hispanic Entrepreneur of the Year."
Briefly explain the history of regulations concerning packaging and labels.
Why would a company create a knockoff of a product?
Briefly describe the purpose and components of an action plan.
