Unlike radio, a magazine has a relatively long life span, which is further increased by a
high passalong rate.
a. True
b. False
For businesses, consumer penalties are part of doing business in a highly competitive
marketplace.
a. True
b. False
Jack, a Hispanic Millennial, completed his bachelor’s degree in the year 2017 and is
looking forward to having a successful career. Which of the following behaviors is Jack
most likely to be associated with?
a. Jack favors Spanish media over English media.
b. Jack embraces parts of his original culture.
c. Jack is not prone to accept future family obligations and the difficulties of supporting
parents and grandparents.
d. Jack is most likely to be monolingual.
The interpretation of the language and symbols sent by the source through a channel is
called _______.
a. channel
b. encoding
c. decoding
d. sender
Which strategy would a marketing manager most likely use to increase the sales of a
highinvolvement product?
a. Create advertisements that give consumers all the necessary information to make the
purchase decision.
b. Focus on the package design of the product so that it will be eye catching and easily
recognized on the store shelf.
c. Link the product to a lowerinvolvement issue to create publicity.
d. Offer coupons, small discounts, and twoforone deals on the product.
Which strategy for handling a brand name is useful when a company plans to enter a
foreign market with mainly one product and the brand name doesn’t have negative
connotations in any local markets?
a. A onebrandnameeverywhere strategy
b. An adaptation and modification strategy
c. A strategy using different brand names in different markets
d. All of the above are appropriate.
Pine Groove, a cosmetic brand that primarily caters to women, wants to reach out to the
lesstraditional male market. It conducts research and develops a new product especially
for men. In this example, Pine Groove uses _____.
a. ethnicity segmentation
b. age segmentation
c. gender segmentation
d. psychographic segmentation
The most obvious function of packaging is to:
a. secure the right of a company to use a brand or part of a brand.
b. protect a brand name from being declared a generic product name.
c. even out seasonal sales patterns.
d. contain products that are liquid, granular, or otherwise divisible.
In many public assistance programs, about half the people who are eligible do not
participate because they do not want to devote the required time or effort or are just
plain embarrassed to seek help. Such people are not willing to ______.
a. pay the nonfinancial price
b. separate payers from users
c. make an indirect payment
d. acknowledge the value of free services
Which statement best defines price fixing?
a. A policy whereby a firm charges a high introductory price, often coupled with heavy
promotion
b. A policy whereby a firm charges a relatively low price for a product when it is first
rolled out
c. An agreement between two or more firms on the price they will charge for a product
d. Charging a price identical to or very close to the competition’s price
With the help of an effective sales force that devises highquality sales techniques, a
salesoriented firm can successfully convince customers to purchase goods and services
that they neither wanted nor needed.
a. True
b. False
In a franchise, a franchisor pays a franchisee for the right to use its name, product, and
methods of operation.
a. True
b. False
An intermediary in the global market that assumes all ownership risks and sells globally
for its own account is called _________.
a. a buyer for export
b. an export broker
c. an export agent
d. a direct exporter
Market segments cannot be differentiated by ethnicity and multicultural aspects.
a. True
b. False
Inland Eastex, Inc. manufactures toothpaste. Even when the company increased the
price of its toothpaste last year, the sales did not drop. This is an example of _____.
a. elastic demand
b. inelastic demand
c. derived demand
d. joint demand
Lina orders a spare part for her custombuilt bike from Lumberne Technologies Inc. The
company makes use of threedimensional printing to produce the spare part at its
location closest to Lina’s home. In this case, which of the following technologies is
used to produce the spare part?
a. Tampography
b. Lenticular printing
c. Additive manufacturing
d. Molding
Which of the following is a case of brand cannibalization?
a. A tea manufacturer introduces a new brand of tea that eats into the sales of an
existing brand of another manufacturer.
b. A tea manufacturer introduces a new but inferior brand of tea to promote the sales of
an existing tea brand in its product mix.
c. A tea manufacturer introduces a new brand of tea that eats into the sales of an
existing tea brand in its product mix.
d. A tea manufacturer introduces a new brand of tea that has the unintended result of
promoting the sales of an existing brand of another manufacturer.
Which of the following statements is true of convenience products?
a. A consumer is unwilling to shop extensively for convenience products.
b. These are products that are perceived to have similar features.
c. A consumer is unwilling to accept other substitutes for convenience products.
d. These are products that are not actively sought after by consumers.
Perception is the process that creates changes in behavior through experience and
practice.
a. True
b. False
A Panasonic product comes into a market segment which includes various solutions like
visual system, professional camera, computer products, communications and security
since the company caters to__________ market.
a. a business
b. a consumer
c. both a business and a consumer
d. an institutional
______________ is a specific type of package labeling designed to help consumers
make proper product selections and lower their cognitive dissonance after the purchase.
a. Descriptive labeling
b. Persuasive labeling
c. Informational labeling
d. Standardized labeling
Dillard’s, Target, and Walmart use big data analytics to determine ______.
a. which products to stock and at what prices and how to manage markdowns, but the
data cannot be used to plan how to advertise to draw target customers.
b. which products to stock and at what prices and how to advertise to draw target
customers, but the data cannot be used to manage markdowns.
c. how to manage markdowns and how to advertise to draw target customers, but the
data cannot be used to evaluate which products to stock and at what prices.
d. which products to stock and at what prices, how to manage markdowns, and how to
advertise to draw target customers.
Test marketing is very expensive. As a result which of the following is true of some
companies?
a. They go for a national introduction than an expensive test market.
b. They do not test market line extensions of wellknown brands to save costs.
c. It is better to have a largescale test market that is decidedly affordable.
d. They mandatorily test market line extensions of wellknown brands.
Price promotion alone always creates a low price image.
a. True
b. False
Which term refers to a form of lead generation in which the salesperson approaches
potential buyers without any prior knowledge of the prospects’ needs or financial
status?
a. Cold calling
b. Referral
c. Networking
d. Lead qualification
A similarity between the customer relationship management process and the supplier
relationship management process is that both provide structural support for developing
and maintaining relationships with their respective supply chain partners.
a. True
b. False
A business relationship in which executives sit on the boards of their customers or
suppliers; trade with each other whenever possible; and often engage in joint product
development, finance, and marketing activity. The following affirmation
represents____________.
a. amae
b. keiretsu
c. trust
d. commitment
Specialty products normally require wide distribution to sell sufficient quantities to
meet profit goals.
a. True
b. False
Which of the following refers to a series of related advertisements focusing on a
common theme, slogan, and set of advertising appeals?
a. Advertising campaign
b. Advertising objective
c. Competitive advertising
d. Pioneering advertising
Jorge prefers to do his grocery shopping at Fresnas Mart because his mother also
prefers to shop there. He also does not shop for groceries online because his mother
does not. In this case, Jorge’s shopping behavior is a result of _____.
a. the want–got gap
b. the socialization process
c. cognitive dissonance
d. the decisionmaking process
Which of the following is correct about cluster 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 gender or age),
then random samples are drawn from each group.
c. The population is divided into mutually exclusive groups (such as geographic areas),
then a random sample of groups is selected.
d. A list of the population is obtained—for example, all persons with a checking
account at XYZ Bank—and a skip interval is obtained by dividing the sample size by
the population size.
When considering the roles in decision making that family members play when
someone wants to buy a good or service, the member who suggests or plants the seed
for the purchase process is called the _________________.
a. influencer
b. purchaser
c. consumer
d. initiator