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In segmented pricing, the difference in prices is based on differences in costs.
The newer the buying task, and the more complex and costly the item, the lesser the
amount of time the buyer will spend searching for suppliers.
To plan effective marketing strategies, the company must ignore its competitors.
Within the organization, buying activity consists of two major parts: the buying center
and the buying decision process.
Most companies use direct marketing as a supplementary channel or medium.
In the supplier selection stage, the buyer reviews supplier performance.
Supermarkets are located near residential areas and are open long hours, seven days a
week. They carry a limited line of high-turnover goods.
An obvious disadvantage of using customer relationship management is its
ineffectiveness in pinpointing high-value customers.
In the business buying process, business buyers determine which products and services
their organizations need to purchase.
Constantly reduced prices can erode a brand's value in the eyes of customers.
Xorbate Blue is a relatively new food supplement that provides both high immediate
satisfaction and high long-run benefits, such as improved energy levels and muscle
tone. Xorbate Blue is best classified as a pleasing product.
Human needs are shaped by culture and individual personality.
In an endorsement style of execution, the endorsers can be characters that represent the
product.
Consumers can never buy functional versions of highly promoted branded products at
lower prices.
The existence of competitors in a market may cause a decrease in total demand.
Large-scale marketing approaches that foster two-way customer relationships are made
possible by new communication technologies.
Marketing a product internationally rarely requires a product to be priced differently
depending on the country.
When a company views and organizes its marketing activities from only the consumer's
point of view, it is practicing societal marketing.
Social class is based on shared value systems and common life experiences and
situations.
If a firm moves into joint ventures and direct investments, it will eventually need to
create an export department.
When competitors use differentiated marketing to focus on the customer's needs, a firm
should use undifferentiated marketing to compete with them.
With the recent explosion of information technologies, companies are finding it difficult
to generate marketing information in great quantities.
Habitual buying behavior involves consumers searching extensively for information
about brands and evaluating brand characteristics.
Social media marketing can be inexpensive for companies to use.
The more elastic the demand, the more it pays for the seller to raise the price.
Training online instead of on-site can cut travel and other training costs, and it takes up
less of a salesperson's selling time.
The most obvious advantages that Internet-based survey research offers over mail and
personal interviewing approaches are high speed and low costs.
A company must lower its ethical standards to successfully conduct business in
countries with low standards.
Gender segmentation has long been used in clothing, cosmetics, toiletries, and
magazines.
Branded entertainment involves making the brand an inseparable part of some other
form of entertainment.
In the customer sales force structure, each salesperson is assigned to an exclusive
geographic area and sells the company's full line of products or services to all
customers in that territory.
Personal selling involves interpersonal interactions between salespeople and individual
customers.
Companies are increasingly adopting high-commission plans to make sure that
salespersons are motivated to build long-term relationships with customers.
E-procurement has caused the time between order and delivery to increase significantly.
To remain number one, leading firms can take any of three actions. First, they can find
ways to expand total demand. Second, they can protect their current market share
through good defensive and offensive actions. Third, they can ________.
A) focus exclusively on divestment
B) evaluate current employees and reduce costs through downsizing
C) run smaller companies out of business, causing them to sell out to larger firms
D) try to expand their market share further, even if market size remains constant
E) shut down current company locations and reopen in highly populated areas
Which of the following is an example of cultural pollution?
A) gasoline shortages
B) congestion tolls
C) street signs in cities
D) overpasses in suburban areas
E) billboards marring beautiful scenery
________ segmentation refers to dividing the market into segments according to
occasions when buyers get the idea to buy, actually make their purchase, or use the
purchased item.
A) Gender
B) Psychographic
C) Occasion
D) Geographic
E) Income
Foreign businesses in India appear to receive unusually close scrutiny and special
regulations, aimed at protecting the local businesses. This is an example of a(n)
________.
A) nontariff trade barrier
B) tariff
C) boycott
D) exchange control
E) quota
Kimberly decides to alter its distribution strategy so that its jewelry is accessible to the
public only through one distributor. The strategy they're considering is known as
________ distribution.
A) elusive
B) extensive
C) exclusive
D) selective
E) elective
Marketing management must make important decisions when developing an advertising
program. Which of the following is NOT one of those decisions?
A) evaluating advertising effectiveness
B) developing advertising strategy
C) setting advertising objectives
D) designing products and distribution
E) setting the advertising budget
Delia's is a clothing retailer that targets teenage girls. The company runs coordinated
promotions for its catalogs, Web site, and retail outlets. It uses the same models in its
catalog, print ads, and Web site. Delia's works to make sure its public relations activities
as well as its sales promotions harmonize with its advertising in all aspects. From this
information, we can infer that Delia's is using ________.
A) buzz marketing
B) experiential marketing
C) integrated marketing communication
D) word-of-mouth marketing
E) database marketing
The term supply chain is considered limited because it ________.
A) ignores the make-and-sell aspect of the market
B) suggests that planning begins with raw materials and factory capacity
C) takes a step-by-step, linear view of purchase-production-consumption activities
D) takes a sense-and-respond view of the market
E) suggests that planning starts with identifying the needs of target customers
Runner Sprintz, a particular brand of shoes, has its own Web site, myrunnersprintz.com
that welcomes consumers to "the Runner Sprintz Century," invites readers to post their
Runner Sprintz stories, and offers a wide variety of shoes for direct purchase. The site
even allows customers to individually design their own shoes and share them among
their circles on the Web site. Which of the following best describes
myrunnersprintz.com?
A) Web directory
B) blog
C) corporate Web site
D) digital catalog
E) branded community Web site
A ________ contains from 50 to 100 stores, is like a covered mini-downtown, and
attracts customers from a wide area.
A) community shopping center
B) neighborhood shopping center
C) central business district
D) regional shopping center
E) strip mall
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
Which of the following marketing management concepts is most likely to lead to
marketing myopia?
A) customer-driven marketing concept
B) customer-driving marketing concept
C) societal marketing concept
D) marketing concept
E) product concept
What are the stages that the approaches to marketing strategy and practice usually pass
through?
A) ambush marketing, multi-level marketing, and guerrilla marketing
B) guerrilla marketing, ambush marketing, and affinity marketing
C) multi-level marketing, undercover marketing, and evangelism marketing
D) entrepreneurial marketing, formulated marketing, and intrapreneurial marketing
E) undercover marketing, affinity marketing, and ambush marketing
P&G introduced its Duncan Hines ready-to-spread frosting in a small geographic area.
When General Mills became aware of the product, it rushed to market its own Betty
Crocker ready-to-spread frosting, which eclipsed the Duncan Hines product
introduction. General Foods was able to enter the ________ stage of the new product
development process before P&G could.
A) commercialization
B) co-marketing
C) idea generation
D) idea screening
E) simulation
The product life cycle presents challenges. Which of the following is LEAST likely to
require a company to adapt its marketing strategies?
A) developments in technology
B) decreased manufacturing costs
C) competition
D) changing tastes of consumers
E) aging of products
Underpriced products ________.
A) produce less revenue than they would if they were priced at the level of perceived
value
B) sell poorly in the global marketplace
C) produce more revenue than they would if they were priced at the level of perceived
value
D) mostly offer higher value than those with a high markup price
E) are characterized by rapidly declining demand
Vidal Sassoon shampoos contain different amounts of scent according to the country in
which they are sold. This is an example of ________.
A) straight product extension
B) product invention
C) product adaptation
D) communication adaptation
E) standardized global marketing
________ is the process by which firms interact one-to-one with masses of customers to
design products and services tailor-made to individual needs.
A) Product diversification
B) Micromarketing
C) Mass customization
D) Differentiated marketing
E) Local marketing
John and Barb could have drawn attention to their services in several ways by using
effective integrated marketing communications. Which of the following is NOT a part
of an IMC strategy?
A) public relations
B) personal selling
C) direct marketing
D) strategic planning
E) sales promotion
Which of the following statements is true about creating customer loyalty and
retention?
A) Losing a customer means losing the entire stream of purchases that the customer
would make over a lifetime of patronage.
B) Customer delight creates a rational preference and not an emotional relationship
with the brand.
C) The aim of customer relationship management is to focus solely on customer delight.
D) Losing a customer hardly makes a difference to a company's sales.
E) The aim of customer relationship management is to focus solely on customer
satisfaction.
Country Kitchen and Perkins are both a chain of family restaurants featuring diner-like
menus with reasonably priced items. These companies are in the same ________.
A) focus group
B) control group
C) strategic group
D) target group
E) experimental group
Most companies are unlikely to intentionally provide shoddy, harmful, or unsafe
products because ________.
A) they won't face liability lawsuits and expensive awards for damages
B) they want to develop long-term relationships with their customers
C) they know that customers will shrug off errors for a while
D) they are confident they can appease consumer groups and regulators
E) it costs more to provide quality products
How would a customer sales force structure benefit Reliable Tools?
A) It would eliminate the need for the company's salespeople to travel to meet
customers.
B) It would enable the company's salespeople to build close relationships with
customers.
C) It would help the company's salespeople become experts in the products they sell.
D) It would enable the company's management to cut training costs substantially.
E) It would make telemarketing irrelevant.
Which of the following would be the most likely result of slashing ad spending for a
product?
A) increased popularity
B) reduced long-term market share
C) improved brand image
D) increased short-term sales
E) increased long-term market share
Which of the following is used to generate business leads, stimulate purchases, reward
customers, and motivate salespeople?
A) business plan
B) SWOT analysis
C) POP promotion
D) benchmarking
E) business promotion
Xerox Corporation's Equipment Remanufacture and Parts Reuse Program converts
end-of-life office equipment into new products and parts. This not only helps sustain the
environment, but it is also highly profitable for the company. This practice is an
example of a ________.
A) pollution prevention practice
B) green marketing practice
C) beyond greening practice
D) cradle-to-cradle practice
E) new environmental technology
Conflict that occurs between different levels of the same marketing channel is known as
________ conflict.
A) horizontal
B) vertical
C) multitiered
D) equilateral
E) communal
Blue Fizz Inc. sponsors every race that takes place at the Sears Racing Track in Orange
County, California. The high-octane racing at Sears is perfect for Blue Fizz to sell its
energy drinks and to establish the desired brand image of the company. Which type of
promotion is evident here?
A) event marketing
B) mass marketing
C) point-of-purchase promotion
D) solution selling
E) advertising specialties
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
Joe Kerry, owner of a small bakery, wants to obtain marketing insights to improve his
business. Joe has a limited budget and would like to gather free secondary data. What is
the best option for Joe?
A) mail questionnaires
B) focus group interviews
C) Internet search engines
D) personal interviews
E) commercial online databases
Briefly describe the process of value-based pricing.
How can a firm benefit from involvement in a contractual VMS?
What is meant by cultural pollution? Give two examples.
List some important factors that companies need to consider when choosing a
market-targeting strategy.
How can service providers use a differentiated offer, delivery, and image to avoid
competing solely on price?
What is a pure monopoly?
What is good-value pricing?
Briefly describe geographic segmentation.
Describe the significance of public relations as a mass-promotion tool.
What are the components of a company's marketing mix?
Define brand personality.
Describe and compare the three different categories of deceptive marketing practices.
Give an example of a multichannel distribution system.
What types of products would be successful with standardized global marketing?
Explain the advantages of systems selling.
Explain why most marketers avoid deceptive practices.
