Unlock document.
This document is partially blurred.
Unlock all pages and 1 million more documents.
Get Access
The ______ is the set of all persons in an organization who become involved in the
purchasing process.
a. buying center
b. stakeholder committee
c. ad hoc purchasing staff
d. board of directors
e. comptroller's staff
Answer:
All of the following are examples of marketing-controlled information sources
EXCEPT:
a. a review of laser printers in ConsumerReports.
b. brochures about kitchen products sold by the Home Depot.
c. a coupon for $1.00 off of laundry detergent.
d. a recipe for oatmeal raisin cookies on a package of oatmeal.
e. an advertisement in a magazine.
Answer:
Los Hermanos Cafe has successfully operated seven restaurants in the same community
for 20 years. Management plans to introduce an egg and cheese breakfast burrito to
three restaurants after having success with this product in its other four restaurants.
Since management knows this market so well, Los Hermanos Cafe doesn"t need to
conduct research before introducing the new product in its remaining restaurants.
a. True
b. False
Answer:
When the Internet auction company eBay opened a version of the company called eBay
France for the French market, it was an example of market penetration.
a. True
b. False
Answer:
____ carry a limited line of high-turnover, high-priced goods and resemble miniature
supermarkets. These self- service stores are typically located near residential areas and
are open long hours, seven days a week.
a. Specialty stores
b. Wholesale stores
c. Convenience stores
d. Factory outlets
e. General stores
Answer:
Erica was so impressed by the customer service she received from Mindware Toys that
she tweeted all of her followers about her experience. Erica's tweets are a good example
of owned media.
a. True
b. False
Answer:
Small firms often adopt a concentrated marketing strategy to compete effectively with
larger firms.
a. True
b. False
Answer:
DayCare
Fiona is considering a day care facility for her five-week-old daughter Kate. She has
been visiting day care centers for the past two weeks and has interviewed caregivers at
eight different centers. It is extremely important to Fiona that Kate be stimulated
intellectually and fed according to schedule. After considering all eight centers, Fiona
chose PerfectCare. While she is quite pleased with her choice, she continues to wonder
if she made the correct decision.
Refer to Day Care. Fiona's visits to the day care centers, interviews with the caregivers,
and input from family and friends represent which step of the consumer decision
process?
a. Postpurchase behavior
b. Stimulus generalization
c. Evaluation of alternatives
d. Information search
e. Need recognition
Answer:
Mobile advertising may be one of the most promising tactics for contacting consumers
when they are thinking about a specific product.
a. True
b. False
Answer:
CollegeDecision
Juan is a senior in high school and is deciding which university to go to after he
graduates. He has received several pieces of mail from local universities with
information on scholarship opportunities because he has a good GPA and a high ACT
score. He and his parents have visited several schools and have talked to advisors
regarding his chosen major of marketing. Juan is thinking about going to the local
community college where all of his friends are planning to go, but his parents want him
to go to a more prestigious school because they think he will get a better education
there.
Refer to College Decision. Juan's friends might influence him to go to the local
community college. What type of
reference group characterizes his friends?
a. Indirect
b. Primary
c. Secondary
d. Aspirational
e. Nonaspirational
Answer:
Many consumers, especially when faced with an uncertain purchase decision, think that
a high price:
a. is a signal of quality.
b. is an indication that consumers are being ripped off.
c. will always lead to major price discounts to wholesalers and retailers that distribute
it.
d. is a sign of the company's overall market share.
e. indicates that the brand was slipping into the decline stage of the product life cycle
but has had a sudden resurgence of growth.
Answer:
Which of the following statements about marketing audits is true?
a. Marketing audits only need to be performed once.
b. The main purpose of the marketing audit is to develop a full profile of a company's
marketing effort.
c. Marketing audits are only necessary after a major crisis.
d. Marketing audits simply examine the external environment in which a company
operates.
e. The marketing audit should only be performed by outside accounting firms.
Answer:
Kroger supermarkets will place well-known brands on the shelves at high prices while
offering their own Kroger brand at lower prices. This practice is an example of:
a. illegal pricing.
b. selling against the brand.
c. price pressurization.
d. brand cutting.
e. private label cannibalization.
Answer:
A decline in the availability of bicycle handle bars will decrease Huffy Bicycle
Company's production of bicycles.
Decreased production in turn reduces Huffy's demand for bicycle seats. This is because
the products in this situation have _____ demand.
a. inelastic
b. joint
c. elastic
d. congruent
e. derived
Answer:
Which of the following is an important cultural factor that should be considered by
global marketers?
a. Competitive synergy
b. Language
c. Natural resources
d. Technology sensitivity
e. Level of economic development
Answer:
The 80/20 principle implies that the majority of all demand is due to a minority of the
customers.
a. True
b. False
Answer:
____ disseminate marketing-controlled information and are effective platforms for
developing thought leadership and fostering better relationships with stakeholders.
a. press releases
b. corporate blogs
c. virtual worlds
d. radio advertising
e. media sharing sites
Answer:
One of the main responsibilities of sport marketers is to keep their loyal customers as
heavy users and escalate lower-level users into loyal customers. An effective tool for
accomplishing this goal would be _____ marketing.
a. interactive
b. relationship
c. patronage
d. nonprofit
e. affiliation
Answer:
When opening a new retail operation, the retailer needs to consider all of the following
factors EXCEPT:
a. traffic flow.
b. employee density.
c. geographic region.
d. growth potential.
e. zoning regulations.
Answer:
HardieSidingProducts
James Hardie began selling fiber cement siding products in the United States in 1989 to
leading builders, lumberyards, and home improvement centers. Even though ads
guaranteed the product would not rot or crack for 50 years, many builders hated the
product. It was heavy to install, and it showed every flaw in a bad framing job. In 1997,
Hardie decided to run ads in traditional lifestyle magazines and emphasize the
emotional appeal of houses made with strong, weather-resistant materials. Soon
consumers began asking their builders or remodelers to use the product. Trade ads were
used to explain how builders could take advantage of the interest created by the ads in
lifestyle magazines. By 2000, the HardiePlank was the number one brand of siding in
North America. James Hardie is now the third most recognized brand of building
material in the world.
Refer to Hardie Siding Products. By changing the focus of its promotion from the
building industry to home owners who saw their homes as sources of security, warmth,
and stability, Hardie Siding used a strategy.
a. market penetration
b. repositioning
c. product penetration
d. harvesting
e. divestment
Answer:
Sustainability refers to a business's concern for society's welfare.
a. True
b. False
Answer:
A strategic business unit (SBU):
a. competes with the same companies as the other SBUs in the parent organization
b. shares the same mission with all the other SBUs in the parent organization
c. controls its business independent of other SBUs in the organization
d. usually benefits from the combined corporate raw materials purchases
e. still has strategic planning performed back at corporate headquarters
Answer:
Jayson typically negotiates the price with prospective customers because he knows
price is the most effective negotiating tool when closing a sale.
a. True
b. False
Answer:
If a company decides to divide its market area into segments or regions and charge a
flat rate for freight to all customers in a given region, the company is using
_____pricing.
a. zone
b. uniform delivered
c. freight absorption
d. FOB origin
e. basing-point
Answer:
A market segmentation study done by the University of Thessaly in Greece classified
recreational skiers in terms of their gender, age, and income levels. The study used
psychographic segmentation variables.
a. True
b. False
Answer:
The first step in the selling process is:
a. qualifying leads
b. approaching the customer and probing needs
c. developing and proposing solutions
d. making a sales presentation
e. generating leads
Answer:
Costs that are shared in the manufacturing and marketing of several products in a
product line are called joint costs.
a. True
b. False
Answer:
Sony, Panasonic, and other Japanese manufacturers that build products to customer
order instead of churning out products in anticipation of demand have decided to hire
U.S. companies to produce electronics for them. The Japanese companies will handle
the marketing of the products. Japanese electronics companies are using:
a. contract manufacturing.
b. direct investment.
c. franchising.
d. direct exporting.
e. countertrading.
Answer:
____ promotion is used to keep a familiar brand name in the public's mind and is
prevalent during the maturity stage of the product life cycle.
a. Influence
b. Amusement
c. Informative
d. Persuasive
e. Reminder
Answer:
AppleiPhone
Apple, Inc.'s iPhone first went on sale on June 29, 2007. Apple's loyal and enthusiastic
customer base is known for rushing to purchase its new products, and the iPhone
enjoyed a tremendous amount of buzz before its introduction. As expected, the iPhone
entered the market at what many believed to be a high price ($599). However, within
weeks, the price was reduced to $399. By the end of 2007, over eight million iPhones
had sold in the U.S. marketplace. By most, if not all measures, the original iPhone was
a huge success for Apple and its then-exclusive U.S. carrier AT&T.
On July 11, 2008, Apple, Inc. released the iPhone 3G, which it advertised as being
twice as fast as the original iPhone for half the cost. However, in order to obtain an
iPhone at the new price of $199, buyers had to agree to a two-year service contract with
AT&T. This approach succeeded, and over a million iPhone 3Gs were sold during the
introductory weekend. In 2011, the iPhone 4Sthe fifth generation iPhoneled cellular
phone sales with more than 25 million units sold. Several Android-based phones
manufactured by Samsung were not far behind, however.
Refer to Apple iPhone. Consumers who agree to the two-year AT&T service contract
are required to pay a cancellation fee if they leave AT&T prior to the end of the
two-year period. This fee is a consumer:
a. bundling.
b. penalty.
c. lining.
d. stimulus.
e. markdown.
Answer:
_____ are cash refunds given for the purchase of a product during a specific period.
a. Rebates
b. Loss leaders
c. Reciprocal allowances
d. Demand discounts
e. Promotional allowances
Answer:
Name and describe the four strategic alternatives in Ansoff's strategic opportunity
matrix, which matches products
with markets. For each of the four strategic alternatives, give a specific example of a
firm following that strategy.
Answer:
What is social media?
Answer:
As a product moves through its life cycle, the demand for the product and the
competitive conditions tend to change. For each stage in the product life cycle, discuss
pricing strategies appropriate for that stage.
Answer:
Discuss how institutional customers differ from other types of business customers such
as producers or resellers. Give two points of differentiation.
Answer:
Distinguish between manufacturer's brands and private brands. From the reseller's
perspective, what are they key advantages of carrying each type of brand?
Answer:
Describe the manufacturing flow management process and discuss the goals of this
process.
Answer:
What is a marketing channel? What type of businesses make up a marketing channel?
Answer:
What is marginal revenue? Based on the provided schedule from the Chesapeake Bay
Swing Company, at which quantity should Chesapeake Bay stop producing additional
swings?
Answer:
What activities occur once the marketing manager has established pricing goals? Why
are these activities important?
Answer:
List the eight critical business processes on which supply chain managers must focus.
Answer:
A recent study of marketing professionals found that their ethical judgments were
influenced by several factors. List four of these factors. How do these factors contribute
to the ethical environment of a marketing organization?
Answer:
List and describe the five key characteristics that distinguish the pricing decisions of
nonprofit organizations from those of the profit sector.
Answer:
Explain the following statement: "The Internet economy is being restrained by the old
rules, regulations, and habits related to traditional commerce."
Answer:
Assume that you have gone to the corner convenience store to pick up your usual brand
of potato chips. What type of decision making will take place? How would this differ
from the decision making that would take place if the store was out of your regular
brand?
Answer:
Define retailing and list the factors that are used to classify retail operations.
Answer:
What are consumer penalties? What two reasons do businesses give for requiring
consumers to pay them?
Answer:
Define stimulusgeneralizationand stimulusdiscriminationand give an example of how
each is used.
Answer:
Compare and contrast primary and secondary data and discuss how each is collected.
Answer:
Discuss the advantages and disadvantages of single-variable segmentation and
multiple-variable segmentation.
Answer:
