If Nokia decides to make changes in its marketing channels, the strategic significance is
that channel decisions are:
a. long-term commitments.
b. short-term commitments.
c. easier to change than prices.
d. easier to change than promotion.
e. impossible to change.
Why should a benchmark statement be included in advertising objectives?
a. Shareholders want to see where a company is in relation to competition.
b. It is useful in determining whether retailers have increased their sales over the year.
c. It gives an indication of how the advertising message is best presented.
d. Without a reference point, it is difficult to determine to what degree objectives have
been accomplished.
e. Objectives become more easily attainable when such a statement is included.
A large farming cooperative that focuses on the production of fruits and vegetables uses
a business that sells the farmers’ products in foreign countries and also provides
consulting, insurance, legal assistance, and warehousing to the cooperative. This
business would most likely be called a(n)_____ .
a. trading company
b. export specialist
c. contract wholesaler
d. licensor
e. strategic partner
River City, Inc. is an independent business that takes title to products and carries
inventories. River City, Inc. is most likely a(n):
a. industrial distributor.
b. intermediary.
c. agency.
d. wholesaler.
e. producer.
Market potential is the amount of a product that an organization could sell during a
specified time period.
a. True
b. False
A widely used system for classifying individuals on the basis of lifestyle is:
a. VALS.
b. PRIZM.
c. CMSA.
d. LIFO.
e. Prospect Zone.
Secondary data are data collected from inside the organization; primary data are those
collected from outside the organization.
a. True
b. False
Marketing managers strive to develop a marketing mix that:
a. minimizes marketing costs.
b. matches what competitors are offering.
c. best matches the abilities of the firm.
d. matches the needs of the target market.
e. generates the highest level sales.
ethical issues generally surface when companies fail to disclose risks associated with a
product or information regarding its function, value, or use.
a. Promotion-related
b. Distribution
c. Corporate
d. Product-related
e. Safety
Ava, a purchasing agent for Trailsend Transport, plans to buy a carpet from Carpet One
Inc. for use in an office area at Trailsend. While discussing the details of the carpet with
the sales representative of Carpet One, he informs her that she can see the actual
product in one of their retail stores before finalizing the purchase. Ava now decides not
only to approve the purchase for the office, but also to purchase some of the same
carpet for her home. The first carpet purchased is considered as a business product and
the second carpet purchased is considered to be a(n)_____.
a. double purchase
b. secondary product
c. idea
d. consumer product
e. service
Comparative advertisements mention the actual names of competing brands.
a. True
b. False
The manager at Target puts a sign up next to a Samsung audio system that reads, “Only
$299.99! $60 less than at
Best Buy.” This is an example of:
a. random discounting.
b. periodic discounting
c. comparison discounting.
d. penetration pricing.
e. everyday low prices.
According to the consumer bill of rights, the right to be informed means that:
a. consumers’ interests will receive full and sympathetic consideration in the
formulation of government policy.
b. consumers should have access to a variety of goods and services at competitive
prices.
c. consumers should have access to and the opportunity to review all relevant
information about a product before buying it.
d. marketers have an obligation not to knowingly market a product that could harm
consumers.
e. consumers should be informed when the quality of a product has changed.
A product item is best described as a _____.
a. component of a marketing mix
b. particular brand
c. specific characteristic of a product
d. specific version of a product
e. unit of measure for the product
The marketing concept is a philosophy that a business organization should employ to
satisfy customers’ needs while achieving the overall goals of the organization.
a. True
b. False
Patricia Robertson is running for Congress from the Sixth District in her state. She is
interested in knowing the intended choices of the voters. All the registered voters in her
district would constitute the study’s .
a. experiment
b. dependent variable
c. population
d. independent variable
e. sample