Book Title
A Preface to Marketing Management 14th Edition

BUSMKT 737 Midterm

October 29, 2015
The perceived risks related to the financial and performance considerations of a new
purchase are defined as _____ risks.
A. psychological
B. social
C. functional
D. relational
When an employee at Fun Bay Resorts hears a customer complain, he or she is
authorized to record the issue and take the necessary actions to resolve the issue. This
strategic reaction to customer complaints shows Fun Bay Resorts' emphasis on _____
as a determinant of service quality.
A. responsiveness
B. tangibility
C. reliability
D. empathy
The marketing manager of a doll manufacturing company is tasked with setting the
price of the company's new range of collectible dolls. He decides to consider the
psychological factors related to pricing and sets the price of each doll at $300. Which of
the following questions would the marketing manager have considered when making
his decision?
A. What is the discretionary income of prospective buyers of the doll?
B. Will prospective buyers relate the doll's high price to high quality?
C. Are the prospective buyers of the doll geographically clustered?
D. How many prospective buyers can afford to pay this much for a doll?
_____ is the process by which buyers rate each potential supplier on various
performance measures such as product quality, on-time delivery, price, payment terms,
and use of modern technology.
A. Quantity research
B. Situation analysis
C. A priori segmentation
D. Vendor analysis
The favorable trade policy of Creasio enables the nation's firms to engage in extensive
foreign trade. The lack of trade barriers enables foreign companies to invest directly in
the local market. The maintenance of a proper balance between the exports and the
imports of the nation has led to a positive balance of trade. As a result, the global
operations of firms in Creasio are strong. The favorable trade policy relates to which of
the following external factors?
A. Economic factors
B. Environmental factors
C. Market factors
D. Competitive factors
The source through which salespeople generate leads by developing interactions with
well-known, powerful people in a specific territory who are willing to supply lead
information is known as a(n) _____.
A. center of influence
B. endless chain
C. cold calling sphere
D. telemarketing spot
Which of the following strategic goals of marketing communication is most likely to
stimulate trial purchases of new products and brands by customers?
A. Creating awareness
B. Retaining customers
C. Building positive images
D. Building channel relationships
Which of the following situational features are the most readily apparent features of a
A. Time features
B. Task features
C. Physical features
D. Social features
The distribution channel for a producer that manufactures industrial cleaning products
comprises the primary manufacturer, the marketing intermediary, and the end user. The
manufacturer seeks to provide support to his sales force by providing training and
product application assistance to prospective buyers. To do so, which of the following
groups is the manufacturer most likely to approach?
A. Spotters
B. Technical sales specialists
C. Missionary agents
D. Horizontal sales teams
Future Manufacturing is a private company that makes thermometers for monitoring the
temperature of stored meat. Owing to its no-bid contract policy, it does not solicit bids
from other suppliers and depends only on the allied services of Pronto Services for its
supplies despite Pronto's high rates. This is because of the quality of goods Pronto
supplies and its timely delivery policy. This policy is an example of _____.
A. bilateral monopoly
B. mono bidding
C. downsizing
D. sole sourcing
Setting prices in a way that targeted customers perceive products to offer greater worth
than competitive offerings is called _____ pricing.
A. target
B. markup
C. value
D. everyday low
With regard to product improvement, _____ refer mainly to product features, design,
package, and so forth.
A. marketing dimensions
B. attributes
C. extensions
D. fads
_____ represent specific sales goals assigned to each territory or unit over a designated
time period.
A. Time to market goals
B. Activity quotas
C. Sales assignments
D. Sales quotas
The number of labor hours it takes to produce one unit of a particular product declines
in a predictable manner as the number of units produced increases. Which of the
following terms best expresses this idea?
A. Perceptual maps
B. Economies of scope
C. Learning curves
D. Vector analysis
During which stage of the research process does a market researcher decide whether
primary or secondary data are needed for the research process?
A. Processing of research data
B. Plan of the research
C. Preparation of research report
D. Performance of the research
The process of locating potential customers is called:
A. database building.
B. crowdsourcing.
C. customer sourcing.
D. prospecting.
Which of the following statements regarding organizational goods is true?
A. Organizational goods are not purchased as means to an end, but rather as an end in
B. Buyers of organizational goods are generally ill-informed.
C. Organizational goods are often purchased directly from the original source with few
D. The primary purchasing motive for organizational goods is convenience, even if the
costs are high.
Singapore is one of the leading producers of coffee in the world. However, there are a
few companies in Singapore that import coffee from Brazil and India. Which of the
following can Singapore establish to promote self-sufficiency?
A. Import liberalization
B. Export incentives
C. Import quotas
D. Complementary import policy
A small company that wants to get into a market and compete for business with less
capital can use online retailing to its advantage because it offers:
A. high brand equity for small companies.
B. less competition from established companies.
C. low-entry barriers.
D. high-investment capital.
It is important to design a new product with both ease of use and aesthetic appeal
because it:
A. lowers the cost of manufacturing the new product.
B. eliminates the strategic risk of developing the new product.
C. can clearly differentiate the new product from competitors.
D. can reduce the internal risk of developing the new product.