The supply chain includes a variety of firms, ranging from those that process raw
materials to make component parts to those engaged in wholesaling. Included also are
organizations engaged in:
a. warehousing.
b. transportation.
c. materials handling.
d. all of the above.
e. (a) and (b) only.
The underlying premise of SCM is that waste reduction and enhanced supply chain
performance will exist when there is both intrafirm and interfirm:
a. functional integration.
b. sharing.
c. cooperation.
d. all of above.
e. (b) and (c) only.
The service offer is linked with the service concept and also:
a. spells out in more detail the service offering.
b. when and to whom they will be provided.
c. how they will be presented.
d. All of the above.
Concerning speed of service in the logistical system, which of the following is(are)
accurate?
a. The longer the delivery time, the more inventory customers must maintain to service
their needs while the shipment is in transit.
b. The slower modes of transportation involve higher variable costs for product
movement.
c. The faster modes of transportation result in the need for higher investments in
inventory by customers.
d. all of the above
e. both (b) and (c)
During the tornado phase of the adoption life cycle, the business marketing strategist
should:
a. focus on market segmentation.
b. extend distribution channels.
c. drive to the next lower price point.
d. all of the above.
e. (b) and (c) only.
The choice of a foreign market entry mode depends upon:
a. the size of the market.
b. the market’s growth potential.
c. Both (a) and (b).
d. Neither (a) or (b).
In high-risk markets, firms can reduce their equity exposure by adopting low
commitment modes such as:
a. licensing.
b. contract manufacturing.
c. joint ventures with a majority share.
d. all of the above.
e. (a) and (b) only.
The key to maintaining a competitive advantage through supply chain strategies is to:
a. the ability to adapt to changes.
b. the ability to maintain low cost relationships with partners.
c. the ability to continuously develop successful new products.
d. continue purchasing the most advanced supply chain software and technologies.
The most appropriate channel of distribution for an industrial product is:
a. direct.
b. indirect.
c. one that relies on the firm’s sales force.
d. a combination of direct and indirect.
e. dependent upon a host of product, company, market, and competitive conditions.
The business market can be segmented on several bases. Macro bases of segmentation
center on:
a. characteristics of the buying situation.
b. characteristics of the buying organization.
c. the nature of the product application.
d. all of the above
e. both (a) and (c)
The Delphi technique is particularly well suited to:
a. new product forecasts.
b. estimation of future events for which historical data are limited.
c. situations that are not suited to quantitative analysis.
d. All of the above.
e. Only (b) and (c).
This strategy for the new product development process views product development as a
predictable series of steps and speed comes from carefully planning these steps and
shortening the time it takes to complete each step. This describes the _____ strategy.
a. induced
b. experiential
c. autonomous
d. compressed
e. funnel
Consider this position: If you run a pharmaceutical company with a good product to
distribute in Japan but have no sales force to do it, find someone in Japan who also has
a good product but no sales force in your country. Why not join forces to maximize
contribution to each other’s fixed costs? This describes the logic of:
a. a joint venture.
b. exporting.
c. franchising.
d. importing.
e. global marketing.
_____ represents the place that a product occupies in a particular market; it is found by
measuring organizational buyers’ perceptions and preferences for a product in relation
to its competitors.
a. Product positioning
b. Product anchor
c. Product determinacy
d. Product segment
e. Product attribute
Waste reduction throughout the supply chain is accomplished by minimizing:
a. duplication.
b. harmonizing operations and systems.
c. quality defects.
d. all of the above.
e. (a) and (b) only.
To identify coverage gaps across territories and to better match sales resources with
market opportunity, the GE process for accomplishing territory alignment involves
a. evaluating account quality
b. examining account density
c. implementing changes to enhance sales force effectiveness and efficiency
d. all of the above
e. a and c above
A firm that lead customers where they want to go before the customers actually know it
themselves is employing:
a. the lead user method.
b. the new product development process.
c. time pacing.
d. a discontinuous innovation.
Market-driven firms spot market changes and react well in advance of their
competitors. This illustrates:
a. the customer-linking capability of market-driven firms.
b. the value proposition of market-driven firms.
c. the market-sensing capability of market-driven firms.
d. the value of using direct channels of distribution in the business market.
e. both (b) and (c).
When the business service marketer attempts to facilitate the customer’s evaluation
process, this is in response to:
a. the nonstandardized nature of services.
b. the simultaneous consumption and production of services.
c. perceived determinant attributes.
d. the difficulty in evaluating service quality.
e. an emphasis on equipment/facilities service attributes.
_____ illuminates exactly what activities are associated with serving a particular
customer and how these activities are linked to revenues and the consumption of
resources.
a. Customer profitability
b. Activity-based costing
c. Total cost of ownership
d. Margin analysis
In stage three of the quality movement attention shifts:
a. from zero defects in products to zero defections in customers.
b. to customer loyalty.
c. to the conformance to standards or success in meeting specifications.
d. (a) and (b) only.
e. (a) and (c) only.
____ is an assessment of how the firm is doing relative to competition.
a. Sales analysis
b. Expense-to-sales analysis
c. Profit analysis
d. Market share analysis
e. Segmental analysis
As a mode of international market entry, licensing agreements pose the following
limitation(s):
a. a firm has less control over a license than over its own exporting or manufacturing
abroad.
b. licensing agreements include a time limit and additional extensions (beyond the first)
that may not be readily permitted by a number of foreign governments.
c. the licensee may become an important competitor in the future.
d. all of the above
e. (b) and (c) only
Pine River Equipment has developed a distinctly new product that offers considerable
promise. By exploiting the experience effect, management believes that there are
opportunities for a substantial reduction in production costs as volume expands. While
the market is quite large, there is a strong threat of imminent competition. The firm
should likely use:
a. product differentiation.
b. a skimming approach to pricing.
c. a penetration approach to pricing.
d. a bid price policy.
e. a life cycle costing pricing policy.
Which of the following are components of a firm’s service offering and
customer-linking processes that affect customer satisfaction?
a. Technical assistance and training.
b. Recovery process for fixing service problems.
c. Basic elements of the service offering expected by customers.
d. All of the above.
e. Only a and b.
Bases of business or organizational market segmentation that focus on the
characteristics of decision-making units are broadly classified as:
a. macrosegmentation.
b. microsegmentation.
c. economic bases.
d. demographic bases.
e. coverage bases.
When companies want to sell products to consumer and business markets, they have to:
a. produce products that are not identical.
b. reorient their business strategies.
c. link customer capabilities.
d. none of the above
The three major levels of strategy include which of the following?
a. Corporate strategy
b. Competitive strategy
c. Functional strategy
d. All of the above.
e. Only a and c.
The role of marketing at the corporate level of strategy includes which of the
following?
a. Assess market attractiveness.
b. Assess competitive effectiveness.
c. Formulate the firm’s overall value proposition.
d. All of the above.
e. Only a and b.
Measuring industrial advertising effectiveness involves an assessment of advertising’s
impact on:
a. sales variables.
b. profit variables.
c. intervening variables in the buyer’s purchase decision process.
d. all of the above
e. both (b) and (c)
The major forms of marketing control are:
a. control over the efficient allocation of marketing effort.
b. the comparison of planned and actual performance.
c. Both (a) and (b).
d. Neither (a) nor (b).
Which of the following modes of international market entry provides for greater
potential returns and a greater degree of control over operations?
a. licensing
b. wholly-owned subsidiaries
c. contract manufacturing
d. exporting
e. franchising
The whale curve of cumulative probability demonstrates that the most profitable 20
percent of customers generate between 150 and 300 percent of total profits.
The concept of tangibility helps the manager to focus clearly on the firm’stotal market
offering.
A small number of highly influential and high-volume buying organizations that are
consistent early adopters of new technologies that deserve special attention are known
as ____________________.
The last step of the channel design process is to evaluate and select
____________________.
The purest global strategy concentrates as many activities as possible in one country,
serves the world market from this home base, and closely coordinates those activities
that must be performed near the buyer.
A multidomestic strategy seeks competitive advantage with strategic choices that are
highly integrated across countries.
When a manufacturer sells through hundreds of distributors across the U.S., reps may
sell and service the distributors.
Internally mediated rewards are those controlled and offered by managers or customers.
Marketing____________________ is the fit between the needs of the project and the
firm’s resources and skills in marketing.
A detailed market research study and a preliminary business/financial analysis is an
example of predevelopment proficiency.
Strong brands have a personality that defines how it might be described if it had human
qualities (for example, friendly, confident).
A business marketer that serves many different market segments would likely use a
direct channel.
The____________________statement provides guidelines for the company and
advertising agency on how to position the product in the marketplace.
Other functional areas affect all business marketing decisions, either directly or
indirectly.
The three principal drivers of organizational learning and growth are human capital,
information capital, and financial capital.
Recent research on forecasting techniques indicates that improvements in forecasting
accuracy can be achieved by combining the results of several forecasting methods.