A belief is a learned tendency to respond consistently toward a given object.
a. True
b. False
Answer:
Libra Electronic Inc. has launched a new range of light-weight vacuum cleaners with
enhanced features. Before developing the product, Libra Electronic conducted a
thorough study about customer requirements. The company also studied the quality of
its competitors’ vacuum cleaners. Based on insights about customer wants and
competitor strengths and weaknesses, Libra Electronic has designed vacuum cleaners
that can be clearly distinguished from other brands. Libra Electronic most likely has a
_____ orientation.
a. promotion
b. market
c. sales
d. production
Answer:
Daily Farm is a manufacturer of consumer goods such as foods, beverages, cleaning
agents, and personal care products. It is expected to introduce more than ten new
products in the next two years. One of the products is a spicier variant of its tomato
ketchup aimed at the baby boomer market. Which of the following categories of new
products will the spicier ketchup represent?
a. Repositioned product
b. Revision of existing product
c. New product line
d. Addition to existing product line
Answer:
When properly created, a strategic business unit (SBU):
a. has a specific target market.
b. plans collaboratively with other SBUs of the company.
c. has a maximum of hundred employees.
d. shares the mission of its parent company.
Answer:
In the context of the types of business products,consumable items that do not become
part of a final product are known as _____.
a. supplies
b. component products
c. raw materials
d. installations
Answer:
Which of the statements is true in the context of preconventional morality?
a. At this level, people focus on the long-term results of their actions.
b. At this level, people tend to have an egocentric orientation.
c. At this level, people tend to focus on adhering to social norms and laws.
d. At this level, people tend judge themselves and their actions.
Answer:
Marketers often try to create opinion leaders as it is rare to find an opinion leader who
spans multiple diverse domains.
a. True
b. False
Answer:
A(n) _____ refers to the originator of a trade name, product, methods of operation, and
the like that grants operating rights to another party to sell its product.
a. retailer
b. franchisor
c. consumer
d. investor
Answer:
Which of the following is a difference between off-price retailers and specialty shops?
a. Off-price retailers replenish inventory items that are sold, while specialty shops never
replenish inventory items that are sold.
b. Off-price retailers employ a hybrid retail operating model, while specialty shops
employ a mass merchandising retail operating model.
c. Off-price retailers focus on lean inventory management, while specialty shops are
supported by an agile approach to inventory.
d. Off-price retailers adopt a high-service approach, while specialty shops de-emphasize
customer service and product selection.
Answer:
Acmell Lawnmowers Inc. sells its mowers to retailers at different prices depending on
whether they are independent stores or members of a national chain. In this scenario,
the companyindulges in _____.
a. penetration pricing
b. price skimming
c. price discrimination
d. predatory pricing
Answer:
Facial recognition technology allows multiple retailers to sell products to consumers
through social media sites.
a. True
b. False
Answer:
The _____ is a trade agreement that has dramatically lowered trade barriers worldwide
and also created the World Trade Organization.
a. European Union
b. General Agreement on Tariffs and Trade (GATT)
c. North American Free Trade Agreement (NAFTA)
d. Uruguay Round
Answer:
Strategic retailing goals typically focus on:
a. increasing total sales.
b. increasing costs of goods sold.
c. decreasing returns on equity.
d. decreasing store traffic.
Answer:
When executives from competing firms meet to decide which of them will submit the
lowest bid on a contract, they are indulging in _____.
a. price discrimination
b. price fixing
c. bait pricing
d. penetration pricing
Answer:
Which of the following is a difference between component parts and supplies?
a. Component parts require extensive processing before they become part of another
product, while supplies do not.
b. Component parts are consumable items, while supplies are finished items.
c. Component parts become part of a final product, while supplies do not.
d. Component parts are inexpensive when compared to other business products, while
supplies are expensive.
Answer:
Zilo Toys Inc., a toy manufacturing company, believes that the longer customers spend
in deciding what to purchase, the less likely they are to purchase more items. In order to
determine the average time customers spend in purchasing toys from their stores, the
company employs Tim to watch customers as they discuss what toys to buy. He then
reports his findings to the management. In this scenario, Tim is engaged in _____.
a. quantitative research
b. virtual shopping
c. observation research
d. behavioral targeting
Answer:
Which of the following is a drawback of the production-orientation philosophy?
a. It ignores the importance of assessing a firm’s internal capabilities.
b. It overlooks the importance of market research.
c. It places little emphasis on the assessment of manufacturing plants and facilities.
d. It gives importance to the sales function over other functions.
Answer:
Product development strategies require creation of new markets.
a. True
b. False
Answer:
Personal selling is more important than advertising and sales promotion if the products
being sold:
a. are standardized.
b. have many consumers.
c. have a low value.
d. are technically complex.
Answer:
Which of the following statements is true about the current consumers in the United
States?
a. They emphasize price more than product quality.
b. They seldom register brand names.
c. They give importance to durability of products.
d. They tend to choose products that are expensive.
Answer:
Which of the following is an advantage of simultaneous product development?
a. It shortens a product’s development process.
b. It ensures that a development process proceeds through highly structured stages.
c. It lengthens product lines to appeal additional markets.
d. It eliminates the need for test marketing a new product.
Answer:
Which of the following is true of pioneering advertising?
a. It offers consumers in-depth information about the benefits of a new product.
b. It is highly used during the growth stage of the product life cycle.
c. It focuses on influencing demand for a specific brand.
d. It is used mainly to compare brands on one or more specific attributes.
Answer:
Which of the following questions considered by markets is closely associated with
promotion?
a. How can we use social media to increase our products sales?
b. Should we increase the prices of our products?
c. What should the packaging of our products look like?
d. How can we improve our product quality?
Answer:
An effective marketing objective:
a. is qualitative rather than quantitative.
b. is compared to a benchmark.
c. is written independently of the mission statement.
d. is unattainable.
Answer:
Future Market, a supermarket chain, uses bar codes for all its products. As soon as a
product is sold, the information is electronically transferred to the firm’s warehouse and
the product’s supplier. In addition, changes are automatically made to the firm’s sales
account and stock ledger. This helps the firm reduce its paperwork and makes managing
inventory easier. This is an example of _____.
a. activity-based costing (ABC)
b. electronic data interchange (EDI)
c. an automated assembly line
d. a just-in-time inventory system
Answer:
_____ is a price tactic that requires abuyerto absorb the freight costs of a product from
the shipping point.
a. Free on board (FOB) origin pricing
b. Zone pricing
c. Uniform delivered pricing
d. Basing-point pricing
Answer:
Which of the following is true of nontraditional channels?
a. They detract from the profitability of the primary and secondary channels controlled
by a business.
b. They are used to sell stolen or counterfeited products.
c. They enable a consumer to return a product when it reaches the end of its useful life.
d. They help differentiate a firm’s product from the competition.
Answer:
Which of the following is a difference between people-processing and
possession-processing services?
a. People-processing services refer to services that use manual labor directed at
customer’s assets, while possession-processing services refer to services that use
technology directed at customer’s assets.
b. People-processing services require customers to enter the service factory, while
possession-processing services typically do not require the presence of the customer in
the service factory.
c. People-processing services emphasize on supplementary services, while
possession-processing services greatly reduce supplementary services.
d. People-processing services occur when services are directed at customers’ physical
belongings, while possession-processing services occur when services are directed at a
customer.
Answer:
D”Costas, an authentic Mexican restaurant, has many restaurants all over the world.
The taste and authenticity of the food served is the same irrespective of the restaurant
one visits. Based on this information, D”Costas follows the strategy of _____.
a. retail channel omnification
b. product adaptation
c. mass customization
d. global marketing standardization
Answer:
Aztic Inc., a manufacturer of sports goods, plans to expand its operations to a new
country. As part of this expansion, it determines whether the population of the country
is primarily rural or urban. In this case, Aztic Inc. is assessing the _____ of the country.
a. political structure
b. natural resources
c. legal environment
d. demographic makeup
Answer:
_____ is a form of advertising designed to enhance a company’s image rather than
promote a particular product.
a. Institutional advertising
b. Pioneering advertising
c. Competitive advertising
d. Comparative advertising
Answer:
Market segments can be differentiated by ethnicity and multicultural aspects.
a. True
b. False
Answer:
Governments can help all businesses by_____.
a. prioritizing multi-national companies over domestic ones
b. maximizing nationalization of the private sector
c. protecting the interests of the society at large
d. promoting anti-competitive practices
Answer:
Adequate distribution for a new product can often be attained by giving dealers a large
trade allowance.
a. True
b. False
Answer:
Cost savings is considered a key driver for outsourcing by most companies.
a. True
b. False
Answer:
Leo buys 500 sheets of paper from a vendor for his printing firm. He is satisfied with
the product, and he orders the same quantity from the same vendor every week. This is
most likely an example of a__________.
Answer:
A product is defined as a business product rather than a consumer product on the basis
of its__________.
Answer:
D Feet Corp. manufactures its footwear in a small town in America, but it sells to
several countries around the world. Given this information, D Feet Corp. can best be
characterized as a__________multinational corporation.
Answer:
Tennot Designs Inc. manufactures and sells clothes and shoes to people who are over
6’6″ tall a rather small target market. Given this information, Tennot Designs Inc. uses
a(n)__________targeting strategy.
Answer: