_____ is the process of collecting information about the external marketing
environment to identify and interpret potential trends.
a. environmental scanning
b. environmental management
c. competitive environment
d. timebased competition
e. economic environment
f. demarketing
g. consumerism
h. marketing ethics
i. social responsibility
j. green marketing
k. oligopoly
l. gross domestic product
m. planned obsolescence
n. inflation
o. socially responsible marketing
p. politicallegal environment
q. VoIP
r. discretionary income
s. antitrust
t. strategic alliance
A popular morning TV program shows its host and guests drinking beverages from
mugs that have been engraved with the logo of a popular coffee chain. This is an
example of:
a. personal selling.
b. trade promotion.
c. product placement.
d. sales promotion.
As the demand for personal computers increases, the demand for microprocessor chips
will also increase. This is an example of derived demand.
a. True
b. False
Before a multi-state computer company can charge for onsite computer repairs for the
business’s computer equipment, the company needs to establish __________.
a. cost centers
b. terms of service
c. negotiated prices
d. auction accounts
e. market-plus pricing
Each year, the network HGTV (Home and Garden Television) builds a dream home and
invites the public (age 18 and over) to register for a chance to win the home. HGTV
allows people to enter once each day for a chance to win the home. Which quality of
social media marketing effective campaign development is HGTV utilizing with their
Dream Home promotion?
a. Offering discounts, gifts or other special deals in exchange for participation
b. Invitations to generate content
c. Shareworthy text and images
d. Relevant information
Using AIO statements allows marketing researchers to develop lifestyle profiles.
a. True
b. False
Related party trade is defined as the trade relationship between:
a. countries with free trade agreements.
b. member countries of a customs union.
c. two companies in the same industry.
d. a corporation and its overseas subsidiaries.
Which of the following pricing systems is sometimes referred to as postage-stamp
pricing since it resembles the pricing structure for mail service?
a. Zone pricing
b. Freight absorption pricing
c. Uniform-delivered pricing
d. The basing-point system
Interactive marketing allows marketers and consumers to customize their
communication.
a. True
b. False
Marketing efforts aimed at creating brand awareness will have a broader target audience
compared to those aimed at strengthening relationships with existing customers.
a. True
b. False
The government category of the B2B market primarily buys products:
a. to sell it to the final consumers.
b. to provide some form of public benefit.
c. to export them to other countries.
d. to improve its resale value.
Globalization helps firms to gain benefits such as new insights into consumer behavior
and alternative distribution strategies.
a. True
b. False
Through your market research, you know that skiers who buy your brand of ski gloves
rely on previous experiences with the product before choosing it over alternatives. Your
ski glove has reached the _____ stage of brand loyalty.
a. Recognition
b. Preference
c. Insistence
d. Ski use
e. Ski reference
Delite, a food and beverage company, is launching a new line of frozen food. The
marketing department at Delite wants to develop an IMC strategy for the product
launch. Which of the following should be the first step taken by the marketing
department in order to develop an effective IMC strategy?
a. Design ads for the print and electronic media for maximum reach
b. Identify wants and needs of consumers
c. Establish the product as a superior addition to the existing product range
d. Isolate parts of the promotional mix and allocate them to appropriate departments
Firms conduct marketing cost analysis to determine:
a. the appropriate levels of market capitalization.
b. the current levels of corporate assets and liabilities.
c. the profitability of certain customers, territories, or product lines.
d. the marketing strategies of its competitors.
Louis Vuitton is a French fashion brand known for creating and marketing high-end
hand bags and luggage adorned with its highly recognizable logo. Louis Vuitton
products are sold through their exclusive retail stores across the world and they utilize
advertising with very little or no copy – featuring their products in fashion magazines.
Since their ads focus on the products and only include the brand name, the _________
marketing strategy is applied.
a. global
b. direct
c. multidomestic
d. one-nation
A standard worldwide pricing policy is more likely to succeed in foreign markets with
high marketing costs.
a. True
b. False
Tiffany enjoys shopping at Aldi because it’s a smaller store that stocks the basic
necessities in addition to a great selection of gourmet or specialty items. She has 3 kids
who eat cereal almost every morning for breakfast and sometimes as a snack. She’s
found that the “Millville Fruit Rounds” available only at Aldi’s are a great value and her
kids prefer them to Froot Loops. What type of brand are the “Millville Fruit Rounds”?
a. private brand
b. generic brand
c. individual brand
d. manufacturer’s brand
At an international company’s staff meeting, a division manager introduces employees
to the latest update on the friendship, commerce, and navigation treaties (FCN) with
other governments. She shows slides of information from the U.S. Department of
State’s annual publication Treaties in Force. Which fact is evident from the staff
meeting information?
a. The details of treaties are subject to change because the updates are published each
year.
b. The Department of State provides advice to individual businesses about FCN treaties.
c. FCN treaties tell the outside world which countries are favored by the United States.
d. The department that works with the legal environment for foreign divisions is
chaotic.
e. The company is looking to avoid being sued by the U.S. government.
Telemarketers who combine field selling with a strong customer orientation using both
inbound and outbound communications are engaging in:
a. customer sampling.
b. inside selling.
c. relationship marketing.
d. over-the-counter selling.
Marketers who have adopted a product-line pricing strategy have one major advantage
in that they have no difficulty making price changes on individual items.
a. True
b. False
In the context of strategic alliances, a cooperative relationship formed between
businesses:
a. typically involves forming a new business unit.
b. involves partners taking ownership positions.
c. is usually less formal than a joint venture.
d. is not flexible or easily adaptable to changing market conditions.
The situation in which a consumer makes a purchase by rapidly choosing a preferred
brand is referred to as limited problem solving.
a. True
b. False
Which of the following is a practical problem involved in applying price theory
concepts to actual pricing decisions?
a. All firms attempt to maximize profits.
b. It is difficult to estimate demand curves.
c. It is difficult to comprehend the supply side of the pricing equation.
d. Supply curves must be based on marketing estimates.
A strategic alliance formed between firms at adjacent stages in a supply chain is
considered a vertical alliance.
a. True
b. False
Blogs have created interest among marketers as they can be effective at quickly forming
public opinion.
a. True
b. False
Heather is the director of human resources at a mediumsized firm and has spent
significant time in workshops and working with her insurance suppliers to understand
the Affordable Care Act and how it might impact the benefits that the company provides
its employees. The Affordable Care Act is an example of a(n) _______ factor that can
impact organizations.
a. politicallegal
b. competitive
c. sociocultural
d. economic
You work in the procurement department of a large hospital. While training a new
assistant, you realize that he has limited knowledge of competitive bidding, the major
purchasing procedure you use. Choose the key point(s) you must convey to him.
a. When we need surgical supplies, we advertise the price we want to pay in medical
journals.
b. Before soliciting bids for surgical supplies, we develop detailed specifications for the
items we want to buy.
c. After receiving bids for surgical supplies, we develop detailed specifications of the
items that vendors can offer.
d. It is illegal for a hospital to negotiate contracts with favored suppliers.
e. It is helpful to develop accurate specifications, but this is not a key procurement task.
Cecile is an avid cook and enjoys spending time in the kitchen as well as watching
shows on the Food Network. She recently remodeled her kitchen and purchased new
appliances. Since she enjoys cooking so much, Cecile purchased a commercial range
from a local restaurant supply store and it features double ovens and 12 burners. Her
contractor had to make some modifications to enhance the safety of this stove for use in
her home but no other changes were needed. What type of product is the stove in the
context of this example?
a. consumer
b. business
c. shopping
d. convenience
A smartphone manufacturer introduced a new device into the marketplace with pricing
set according to the skimming approach. The CEO of the company reviews financial
reports from the device and notes that the pricing approach used is not cost-effective for
the company. How should the CEO adjust the pricing strategy for this device?
a. drop the price
b. increase the price
c. offer an everyday low price option
d. remarket the device under a private label
e. match the price to the competitions’ price