Ideally, a sample should be representative so that a researcher can make accurate
estimates of the thoughts and behaviors of the larger population.
Shopper marketing involves focusing the entire marketing process’“from product and
brand development to logistics, promotion, and merchandising’“toward turning
shoppers into buyers at the point of sale.
Product placement is a form of brand integration.
Used too frequently, promotional pricing can have a negative effect of decreasing a
brand’s value in the eyes of customers.
Federal legislation on price-fixing states that sellers must set prices after talking to
customers and competitors.
The principle behind the percentage-of-sales method of budget setting is viewing sales
as the result of advertising.
A consumer demanding a product after watching its ad on television has responded to
pull advertising.
The BCG and other formal matrix methods have a decentralized approach toward
strategic planning.
Price discrimination is allowed if a seller can prove that its costs are different when
selling to different retailers.
A segment is more attractive if it already contains many strong and aggressive
competitors.
What is retailing? Explain the concept of shopper marketing.
Viral marketing involves creating a Web site, video, e-mail, mobile message,
advertisement, or other marketing event that is so infectious that customers will seek it
out or pass it along to others.
Marketers use inbound telephone marketing to sell to customers directly.
Advertisements are internal stimuli that influence consumer needs.
Retailers cannot make consistent decisions about product assortment and pricing until
they define and profile their markets.
A company buying a product with modified specifications faces a new-task situation.
A brand is a name, term, sign, symbol, or design, or a combination of these, that
identifies the maker or seller of a product or service.
When developing a new product, concept testing should ideally be followed by
marketing strategy development.
A company can assess marketing ROI in terms of standard marketing performance
measures, such as brand awareness, sales, or market share.
The selling concept is typically practiced with ________.
A) industrial products
B) unsought goods
C) specialty products
D) convenience products
E) essential goods
Mike’s, a chain of department stores, regularly purchases plastic bags from a certain
supplier. The store decides to switch to less expensive bags made of biodegradable
plastic. The change will promote an environmentally-friendly image for the department
store and cut costs. This approach to cost reduction most likely occurred in the
________ stage of the business buying process.
A) problem recognition
B) general need description
C) product specification
D) supplier search
E) proposal solicitation
The objective of ________ research is to gather preliminary information that will help
define the problem and suggest hypotheses.
A) descriptive
B) exploratory
C) causal
D) corrective
E) experimental
Which of the following established a free trade zone between the United States,
Mexico, and Canada?
A) Union of South American Nations
B) European Union
C) North American Free Trade Agreement
D) Central American Free Trade Agreement
E) Latin American Free Trade Association
Jacob Kendler works in a wholesale business which specializes in industrial goods
needed in automobile industries. Jacob’s job involves locating and contacting potential
buyers and sellers and facilitating the negotiation process. Which of the following, if
true, would strengthen the argument that Jacob works as an agent and not as a merchant
wholesaler?
A) Jacob runs an independently-owned business.
B) Jacob is an employee of an organization producing automobiles.
C) Jacob represents his company but is not liable for any damaged or low-quality
goods.
D) Jacob works in a highly specialized market and does not venture into other product
categories.
E) Jacob provides a full set of services ranging from locating sellers to delivering
goods.
Chef Brown’s Health Food Store sells nutritional, energy-producing foods. Product
prices are adjusted frequently to meet the needs of individual customers and situations.
For example, long-time customers receive discounts. This strategy is most likely an
example of ________ pricing.
A) zone
B) competition-based
C) dynamic
D) basing-point
E) penetration
Amazon.com and Expedia.com are best described as ________ that sell products and
services directly to final buyers via the Internet.
A) search engines
B) content sites
C) transaction sites
D) e-tailers
E) iTV sites
Dividing buyers into groups based on their knowledge, attitudes, uses, or responses to a
product is called ________ segmentation.
A) behavioral
B) psychographic
C) age and life-cycle
D) user status
E) geographic
Which of the following is true of viral marketing?
A) It is the digital version of word-of-mouth marketing.
B) It refers to online marketing problems caused by technical glitches.
C) It is another term for the unethical invasion of online privacy.
D) It is an automated system that manages digital sales and marketing functions.
E) It is a system that allows a supplier to access a customer’s inventory levels online.
Which of the following is true of direct marketing?
A) Its marketing message is fixed and does not change according to the customer’s
requirements.
B) It is suited for highly targeted marketing efforts and for building one-to-one
customer relationships.
C) It is presented as company news rather than as a sales-directed communication.
D) It does not involve any interaction between the company and its customers.
E) It is an impersonal promotion tool that hinders two-way communication.
Botsford, a U.S. firm, builds automotive transmissions in its manufacturing facility in
Taiwan to capitalize on the availability of cheap labor. Botsford’s involvement in
foreign markets is most likely through ________.
A) joint ownership
B) direct investment
C) management contracting
D) contract manufacturing
E) indirect exporting
Which of the following costs is most likely associated with commercialization?
A) building or renting a manufacturing facility
B) paying groups of consumers for participating in crowdsourcing activities
C) determining a product’s planned price, distribution, and marketing budget
D) developing a prototype of a product
E) using simulated tests to measure market capacity
Greater consumer control means that companies must rely more on marketing by
________.
A) intrusion
B) attraction
C) competition
D) forceful persuasion
E) impersonal selling
The ultimate aim of customer relationship management is to ________.
A) produce high customer equity
B) divide markets into distinct segments
C) evaluate customer lifetime value
D) turn ‘strangers” into “butterflies”
E) evaluate current sales share
The Niketown running community organizes bimonthly athletic training programs for
Nike buyers. This is an example of a ________.
A) business partnership program
B) joint venture
C) club marketing program
D) consumer-generated marketing program
E) strategic alliance
Market segments that can be effectively reached and served are said to be ________.
A) measurable
B) accessible
C) substantial
D) actionable
E) profitable
The promotion of products and services through printed material with multiple pages
that sell multiple products is referred to as ________ marketing.
A) catalog
B) viral
C) telephone
D) television
E) e-mail
Differentiate between the three types of franchises and provide examples of each type.
Explain the concept of price elasticity.
Explain multichannel distribution systems with an example.
What is co-branding? What are the advantages of co-branding? Provide an example to
illustrate your answer.
Briefly explain the three basic market entry strategies of entering a foreign market.
Give an account of the functions of the World Trade Organization (WTO) and the
formation of WTO from GATT.
John works as a junior marketing executive at Frontloop Corporation. Frontloop
Corporation manufactures guitars and other stringed instruments. It designs a new
guitar, the Loneway, customized for the folk music genre. It plans to attract both folk
artists and folk music lovers with its advertising campaigns and decides to exclusively
use mass-media marketing techniques to advertise the Loneway guitar. What arguments
can John use if he wants to convince Frontloop to adopt digital media instead of
television advertising?
Briefly describe the characteristics of effective market segments.
Compare the two common principles that can be used to guide companies and
marketing managers on issues of ethics and social responsibility.