Which of the following is true about the product sales force structure?
A) A product sales force structure is most appropriate for a company that manufactures
a small number of simple products.
B) In a product sales force structure, each salesperson is assigned to an exclusive
geographic area and sells the company’s full line of products or services to all
customers in that territory.
C) In a product sales force structure, salespersons specialize in only a particular product
line as the company produces numerous and complex products.
D) In a product sales force structure, a single salesperson can become an expert in all
product categories.
E) In a product sales force structure, specialization is highly discouraged.
Answer:
Critics argue that large marketing companies use patents and heavy promotion spending
to ________.
A) acquire smaller companies
B) bear the social costs of their operations
C) bar new companies from entering an industry
D) achieve economies of scale
E) offset cultural pollution
Answer:
Waldo Stores will reward an all-expense-paid trip to Hawaii to anyone who correctly
guesses the date on which Waldo Stores was first established in the Boston area. Which
type of sales promotion is evident here?
A) contest
B) sample
C) premium
D) trade promotion
E) point-of-purchase promotion
Answer:
Almost all major purchases result in ________, or discomfort caused by postpurchase
conflict.
A) need recognition
B) cognitive dissonance
C) consumer ethnocentrism
D) conspicuous consumption
E) consumer capitalism
Answer:
Which of the following is NOT an accurate description of modern marketing?
A) Marketing is the creation of value for customers.
B) Marketing involves managing profitable customer relationships.
C) Marketing emphasizes selling and advertising exclusively.
D) Marketing involves satisfying customers’ needs.
E) Marketing is building value-laden exchange relationships with customers.
Answer:
A downward-sloping experience curve is indicative of ________.
A) the negative customer perception about a company’s products
B) the falling demand for a company’s products
C) the falling unit production cost of a company
D) the low quality of a company’s products
E) slow and inadequate organizational learning
Answer:
Formed in 1957, the ________ set out to create a single European market by reducing
barriers to the free flow of products, services, finances, and labor among member
countries and developing policies on trade with nonmember nations.
A) Uruguay Round
B) European Union
C) European Organization
D) European Central Bank
E) CAFTA
Answer:
Which of the following promotion tools involves building up a good corporate image
and handling unfavorable stories and events?
A) sales promotion
B) personal selling
C) direct marketing
D) public relations
E) advertising
Answer:
When Verizon Wireless began offering the iPhone, it used its “Can you hear me now?”
slogan to attack AT&T’s rumored spotty service. This example best illustrates
________.
A) informative advertising
B) reminder advertising
C) comparative advertising
D) covert advertising
E) institutional advertising
Answer:
When a product is in the maturity stage, the company should most likely consider
________.
A) harvesting the product or market
B) modifying the product, market, or marketing mix
C) divesting the product line
D) liquidating the firm’s assets
E) dropping the product from its market offerings
Answer:
Refer to the scenario below to answer the following question(s).
Bryant and Anne are the owners of the Good Green Grocer, a small but successful chain
of organic food stores. The organic food sold by Good Green Grocer is of good quality.
Also, it is tasty and has long-term health benefits. Bryant and Anne’s business has
expanded as more and more consumers are interested in eating organic foods. What
started as one shop in Vermont has expanded to 15 stores in Vermont, New Hampshire,
Massachusetts, and Maine. Much to their delight, Bryant and Ann have found that many
people are willing to pay a bit more for food that is organically grown.
Sunday ads for the Good Green Grocer run in area newspapers, with special
promotional prices offered for a list of the “Top Ten Take Homes” each week. Regular
customers of the Good Green Grocer know that the promotional items often run out of
stock by mid-week, so the store typically sees its heaviest traffic on Sunday and
Monday.
Good Green Grocer wants to keep its customers happy. Its marketing strategy should be
designed with this goal. Which strategy focuses on satisfying the needs of Good Green
Grocer’s customers?
A) societal marketing
B) customer-value marketing
C) sense-of-mission marketing
D) innovative marketing
E) consumer-oriented marketing
Answer:
Market segments that can be effectively reached and served are ________.
A) measurable
B) accessible
C) substantial
D) actionable
E) profitable
Answer:
Which of the following is a major form of direct-response television marketing?
A) telemarketing
B) interactive TV
C) social media
D) digital catalog
E) podcast
Answer:
The societal marketing concept seeks to establish a balance between ________.
A) customer lifetime value and customer equity
B) an inside-out perspective and an outside-in perspective
C) consumer short-run wants and consumer long-run welfare
D) marketing mixes and market offerings
E) customer-driven marketing and customer-driving marketing
Answer:
The ________ concept is specifically focused on the future welfare of consumers.
A) strategic planning
B) direct marketing
C) societal marketing
D) consumer business
E) telemarketing
Answer:
Which of the following terms is used to describe the actors and forces outside
marketing that affect marketing management’s ability to build and maintain successful
relationships with target customers?
A) marketing environment
B) marketing orientation
C) strategic planning
D) target markets
E) marketing mix
Answer:
India needs more imports of raw materials such as textiles, steel, and heavy machinery
and fewer imports of finished textiles, paper products, and automobiles. In the context
of industrial structures, India is most likely a(n) ________ economy.
A) subsistence
B) totalitarian
C) raw material exporting
D) agrarian
E) industrializing
Answer:
In which of the following would the buyer reorder a product without any modifications?
A) reverse auction
B) solution selling
C) new task
D) straight rebuy
E) modified rebuy
Answer:
A ________ is a layer of intermediaries that performs some work in bringing the
product and its ownership closer to the final buyer.
A) product platform
B) channel level
C) resource bank
D) contact center
E) customer franchise
Answer:
________ positioning involves meeting consumers’ lower performance or quality
requirements at a much lower price.
A) More for less
B) Less for much less
C) Same for less
D) More for more
E) More for the same
Answer:
Which of the following situations is expected to enhance the use of targeted advertising
messages by marketers?
A) increase in derived demand in the market
B) increase in ethnic populations
C) rising global inflation rates
D) inadequate quality control
E) low advertising budgets
Answer:
Which of the following customer questions is answered by a company’s value
proposition?
A) “Why should I buy your brand rather than a competitor’s?”
B) “What is your company’s estimated customer equity?”
C) “What are the costs involved in the production of your brand?”
D) “What is the budget allocated by your company for research and development?”
E) “What is the financial stability of your company?”
Answer:
Which of the following would a defender of globalization most likely use as an
example to argue that concerns of Americanization are overblown and that globalization
is indeed a two-way street?
A) the view of McDonald’s being a domestic brand in China
B) the growing popularity of coffee in China since the introduction of Starbucks
C) the growing number of IKEA furniture stores in the United States
D) the initial failure of Disneyland Paris
E) the anti-globalization protests aimed at KFC
Answer:
Refer to the scenario below to answer the following question(s).
Essential-Beauty is a rapidly growing firm that manufactures women’s makeup,
perfumes, and nail-care products. The company has established itself as a high-end
cosmetic product brand available at most national drug stores. In the past, almost all of
the advertising for Essential-Beauty has been in women’s fashion magazines.
The firm is now launching a new line of skin care products, ranging from facial
cleansers to body lotion. These products are designed to be marketed to a broader
audience, so the marketing team is exploring the effectiveness of different promotional
mixes.
Essential-Beauty e-mailed a survey to a group of its most frequent, loyal customers.
The survey asked what makeup and skin care characteristics were most important to
them. The company’s marketing staff then ranked the performance of Essential-Beauty
products in each of these categories. Essentials was conducting a(n) ________.
A) customer lifetime value survey
B) entrepreneurial marketing strategy
C) intrepreneurial marketing strategy
D) customer value proposition
E) customer value analysis
Answer:
Which of the following is true about customer relationship management (CRM)?
A) Data mining has limited applicability in CRM activities.
B) Sophisticated analytical tools are sparingly used in CRM activities.
C) CRM reduces the number of customer touch points.
D) CRM aims to maximize customer loyalty.
E) CRM enables firms to compare various product and service categories.
Answer:
Railroads were once operated based on the thinking that users wanted trains that would
offer the most in quality, performance, and innovative features. The railroad managing
companies overlooked the fact that there could be other modes of transportation. This
reflects the ________ concept.
A) product
B) production
C) selling
D) marketing
E) societal marketing
Answer:
Sam has been directed to study the demographic, economic, political, and cultural
forces that affect an organization. In this instance, Sam has been directed to study the
________ of the organization.
A) macroenvironment
B) microenvironment
C) internal environment
D) marketing mix
E) marketing intermediaries
Answer:
Phoenix, a popular coffee shop chain in North America, recently opened 400 stores to
cater to its rapidly increasing number of patrons. This exemplifies ________.
A) product differentiation
B) product development
C) diversification
D) market penetration
E) market segmentation
Answer:
PoolPak produces climate-control systems for large swimming pools. The company’s
customers are more concerned about service support for maintaining their systems than
the initial price of the product. PoolPak specializes in and differentiates itself through
both cutting-edge technologies used to build its high-value climate control systems as
well as seamless quality service. PoolPak’s prices are very high, but demand for its
climate-control systems seems to be forever on the rise. This exemplifies ________.
A) target costing
B) a pure monopoly
C) cost-plus pricing
D) a nonprice position
E) break-even pricing
Answer:
Which of the following best describes permission-based e-mail marketing?
A) sending unsolicited, unwanted commercial e-mail messages
B) sending requests to users to join online social networking communities
C) sending e-mail pitches only to customers who “opt-in”
D) offering free promotional materials to new customers
E) gathering demographic details for customer databases
Answer: