Nile Inc. is one of the leading shoe manufacturing companies in Baltoni. It
manufactures canvas shoes that are quite similar to those produced by other brands. The
management of the company has decided to adopt a product/service differentiation
competitive strategy. What is Nile Inc. likely to do in this scenario?
a. Offer their products at discounted rates and make the cost of their products lower
than those of their competitors.
b. Produce aerobic, tennis, and baseball shoes that have specialized features.
c. Advertise their products through more media outlets than it previously did.
d. Start selling products to markets outside Baltonia.
Answer:
Which of the following trends in the consumer market has increased the difficulty of
setting the right price for a product?
a. The unwillingness of many firms to maintain or regain their market share by cutting
prices
b. The decreased availability of bargain-priced private and generic product brands
c. The careful evaluation of each product’s price against its value by potential buyers
d. The inability of consumers to do comparison shopping
Answer:
Which of the following best describes a multisegment targeting strategy?
a. It is the effort to ensure that sales of a new product do not cut into sales of an existing
product.
b. It refers to choosing to serve two or more well-defined market segments and
developing a distinct marketing mix for each.
c. It refers to selecting one segment of a market for targeting marketing efforts and
understanding the needs of the members in that segment.
d. It is the division of a market by the amount of product bought or consumed.
Answer:
A company can gain a cost competitive advantage by:
a. reorganizing functional departments into cross-disciplinary teams.
b. manufacturing highly customized products.
c. providing extra options on products or services.
d. manufacturing products in small quantities.
Answer:
_____ refers to how an individual actually perceives himself or herself.
a. Self-esteem
b. Self-actualization
c. Ideal self-image
d. Real self-image
Answer:
Rachel, a university student, purchases a watch as a gift forher mother. In this scenario,
the watch is an example of a(n) _____ product.
a. industrial
b. consumer
c. intermediate
d. business
Answer:
Which of the following is a difference between product invention and product
adaptation?
a. Product invention involves altering the promotional strategies for a product, while
product adaptation does not involve altering such strategies.
b. Product invention takes the marketing mix into consideration, while product
adaptation does not take it into consideration.
c. Product invention involves drastically changing an existing product, while product
adaptation involves slightly altering a basic product.
d. Product invention applies only to products that are displayed in local markets, while
product adaptation applies to products all around the world.
Answer:
Fourth-party logistics companies (4PLs) often draw on multiple third-party logistics
companies for actual service.
a. True
b. False
Answer:
Capital goods such aslarge or expensive machines, mainframe computers, blast
furnaces,generators, airplanes, and buildingsare referred to as _____.
a. supplies
b. installations
c. accessory equipment
d. component parts
Answer:
A marketing plan is most likely to discuss:
a. first-line operational strategies.
b. distribution channels.
c. supplier details.
d. downsizing strategies.
Answer:
Amy spends very little time to shop for bath soaps and beauty creams as she uses only
the products offered by Eve’s Aura, a manufacturer of bath and beauty products. As
Eve’s has a wide distribution network, its products are available in almost every retail
outlet in Amy’s locality. In this scenario, the bath and beauty products from Eve’s Aura
are examples of _____ products.
a. specialty
b. convenience
c. business
d. shopping
Answer:
Sheera Jewelry sends birthday greeting cards to each of its customers as a token of
appreciation for shopping at its store. This exemplifies the customer relationship
management (CRM) trend of _____.
a. loyalty
b. technology
c. time savings
d. personalization
Answer:
_____ reflects inventory that is being assembled or manufactured from its raw state into
finished goods for sales.
a. Work-in-process inventory
b. Finished goods inventory
c. Perpetual inventory
d. Raw materials inventory
Answer:
Which of the following statements is true about on-demand marketing?
a. It requires firms to focus on the internal rather than the external business
environment.
b. It gives maximum emphasis to aggressive personal selling strategies.
c. It is aimed at enhancing customer relationships.
d. It is used by sales-oriented firms.
Answer:
Which of the following is a disadvantage of using a manual, non-automated
materials-handling system?
a. Increases risk of damage
b. Decreases product handling
c. Lowers customer stockouts
d. Increases time utility
Answer:
Which of the following is most likely an example of routine response behavior?
a. The purchase of a cruise vacation
b. A homeowner’s purchase of a new grill for $600
c. The first-time purchase of a copy machine
d. The purchase of groceries
Answer:
By sending postpurchase letters and giving guarantees on products, marketing managers
can help reduce _____.
a. cognitive dissonance
b. consumer involvement
c. planned purchases
d. need recognition
Answer:
Which form of advertising is designed to influence demand for a specific brand?
a. Institutional advertising
b. Advocacy advertising
c. Competitive advertising
d. Pioneering advertising
Answer:
Hakimo Corp., a multinational corporation that specializes in audio equipment, has
developed a wireless speaker that sits unobtrusively on a desktop. The tiny, yet strong,
twin speakers use Bluetooth to stream music directly from a PC or MP3 player. This
small wireless speaker, which is radically different from anything currently on the
market, can most likely be classified as a:
a. repositioned product.
b. revision of an existing product.
c. discontinuous innovation.
d. lower-priced product.
Answer:
Which of the following opinions would a proponent of act utilitarianism hold about
decision making in ethical dilemmas?
a. Intuition and personal feelings should guide decision making in cases of dilemmas.
b. The fairest alternative must be chosen for a dilemma under any circumstance.
c. The alternative that benefits the most people should be chosen even if it means
breaking laws.
d. All individuals have a duty to adhere to laws and standards set by government and
nongovernment agencies.
Answer:
The process of formulating the code of ethics facilitates discussion among employees
about what is right and wrong and ultimately leads to better decisions.
a. True
b. False
Answer:
Cloyd’s Supermarket, a popular retail store, sells a variety of products. In order to know
if they should improve their services, they send out questionnaires to their frequent
customers. The questionnaire requires the customers to explain what they like best
about shopping at Cloyd’s and what new products or services they expect from Cloyd’s.
These questions are an example of _____ questions.
a. rhetorical
b. open-ended
c. scaled-response
d. dichotomous
Answer:
Which of the following is true about shopping bots?
a. They encourage a more creative use of advertising.
b. They create opportunities for prestige pricing.
c. They search the Web for the best price for a product.
d. They create inelastic demand.
Answer:
Andrea booked a trip to an exotic island as a gift to her husband, Bill, for their tenth
wedding anniversary. Andrea is anxious because she is afraid Bill will not like her
choice of location. She is also worried as she spent too much money for the trip. In this
scenario, Andrea is experiencing _____.
a. selective dissatisfaction
b. temporal distortion
c. perceptual disharmony
d. cognitive dissonance
Answer:
Nonprofit organizations should adopt a sales orientation rather than a market
orientation.
a. True
b. False
Answer:
Which of the following is part of defining the sales goal of a company?
a. Assigning quotas to salespeople
b. Evaluating the sales force
c. Training new salespeople
d. Designing the sales force structure
Answer:
Dynamic pricing is used to:
a. implement bait pricing to get more loyal customers.
b. perform price discrimination among its customers.
c. raise prices to maximize a company’s revenues.
d. attain price equilibrium.
Answer:
Most business people have progressed beyond the self-centered and manipulative
actions of preconventional morality.
a. True
b. False
Answer:
Traditional methods of personal selling include a planned presentation to one or more
prospective buyers for the purpose of making a sale.
a. True
b. False
Answer:
Sam’s car was badly damaged after it accidentally caught fire. When he finds out that it
cannot be repaired, he realizes that he has to buy a new car. Which stage of the
consumer decision-making process does this represent?
a. Information search
b. Postpurchase behavior
c. Evaluation of alternatives
d. Need recognition
Answer:
Which of the following is a personal characteristic that is unique to each individual and
is generally stable over the course of one’s life?
a. Subculture
b. Culture
c. Personality
d. Motivation
Answer:
The key characteristic distinguishing business products from consumer products is
intended use.
a. True
b. False
Answer:
What happens when demand is elastic?
a. As price goes up, revenue goes down.
b. As price goes down, revenue goes down.
c. As price goes up, revenue goes up.
d. As price goes up, revenue does not change.
Answer:
Which of the following is a disadvantage of cause-related marketing?
a. It does not increase the sale of products.
b. It can lead to customer fatigue.
c. It results in immediate losses for the company.
d. It requires corporations to use anti-competitive measures.
Answer:
__________are expense items that do not become part of a final product.
Answer:
If an advertiser wants to enhance the sales of a specific good or
service,__________advertising should be used.
Answer:
Why have many companies begun employing multichannel marketing strategies?
Answer:
When Prisly Inc. introduced a liquid detergent in the market, it noticed that the sales of
its detergent powder significantly declined. Prisly Inc.’s loyal customers who previously
purchased detergent powder switched to liquid detergent. As a result, Prisly Inc. was
forced to reduce production of its detergent powder. This scenario
exemplifies__________.
Answer:
Write a note on the economic factors that influence the external business environment.
Answer:
__________has been one of the important values that have strongly influenced attitudes
in the United States’ first 200 years.
Answer:
__________multiplied by the number of units sold equals total revenue for the firm.
Answer:
Vaikel Inc., an automobile manufacturing company, conducts a survey to find out
people’s opinion about its latest car, Vaikel 6.0, and their level of satisfaction with it. It
requests a few people who recently purchased Vaikel 6.0 to participate in the survey and
asks them to log on to a certain Web site at a given time. After they log on to the site, an
online moderator runs a discussion about the car and allows the participants to respond.
In this case, Vaikel uses a(n)__________for conducting a survey.
Answer:
__________is the ultimate goal of a new trend in marketing that focuses on
understanding consumers as individuals instead of as part of a group.
Answer:
A(n)__________is a limit on the amount of a specific product that can enter a country.
Answer:
The Federal Trade Commission’s Bureau of Competition__________.
Answer:
What is a target market?
Answer:
Tim Hughes is a salesperson for Allied Pets Inc., a company that sells veterinarian
supplies. He is working on a needs assessment for East Athens Veterinary Clinic. What
information will he need to find out about East Athens?
Answer:
Name and briefly define the four categories of consumer products. For each category,
list three specific examples of products that would most likely be classified in that
category.
Answer:
How do marketers use customer relationship management (CRM) as a targeting tool?
Answer:
The use of aggressive personal selling and trade advertising by a manufacturer to
convince a wholesaler or a retailer to carry and sell particular merchandise is known as
a__________strategy.
Answer:
Why are many companies transitioning to omnichannel distribution operations?
Answer: