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Kellogg's sells many different breakfast cereals, including Corn Flakes, Rice Krispies,
Frosted Flakes, Raisin Bran, and Special K. This is an example of the breadth of the
Kellogg's product mix.
Answer:
In value cocreation, the customer participates in the creation of a good or service, which
provides additional value to the customer.
Answer:
After purchasing an expensive pair of shoes, you may question whether or not the shoes
are any better than the less expensive shoes you could have purchased instead. This is
an example of postpurchase cognitive dissonance.
Answer:
The final step of the business-to-business buying process is a formal vendor
performance analysis.
Answer:
Once a vendor receives an order from a firm, it responds by immediately filling the
order.
Answer:
Retailers who advertise that they sell at wholesale prices are wholesalers.
Answer:
Vladimir decided not to purchase the iPod shuffle because he didn't think it would hold
all of his songs. Vladimir was using his assessment of the iPod shuffle's financial risk in
making his decision.
Answer:
Rachael is visiting colleges before applying to schools. Rachael is likely to be involved
in an impulse buying process.
Answer:
Procedural fairness pertains to a customer's perception of the benefits received
compared to the costs of the inconvenience or loss.
Answer:
The improvement value method and the cost of ownership method are both cost-based
pricing methods.
Answer:
Sophia owns a string of boutiques in Italy. As such she is allowed to have sales only
twice a year, in January and June or July.
Answer:
On the diffusion of innovation curve, the late majority is the final group of buyers who
like to avoid change and rely on traditional products until they are no longer available.
Answer:
Coercive power is based on getting a channel member to behave in a certain way
because of a contractual agreement between the two firms.
Answer:
Generally, people buy one product or service instead of another because they perceive it
to be a better value.
Answer:
Regarding ethical issues, the most important thing a company can do is to have written
formal guidelines for common ethical situations.
Answer:
The most challenging part of applying the product life cycle concept is that managers
do not know exactly what shape each product's life cycle will take.
Answer:
When two competing retailers have a disagreement, it is an example of a horizontal
channel conflict.
Answer:
Macroenvironmental factors include the company, competition, and corporate partners.
Answer:
Firms should not attempt to educate customers about products and services using social
media, since customers are busy interacting with friends and will reject attempts to
educate them.
Answer:
Cheryl wants to quickly establish a dominant market share for her new line of
ergonomic pens. To do this, she will likely use a market penetration pricing strategy.
Answer:
Diana owns a boutique specializing in ball gowns. Sales are stable and Diana feels it is
time she had a 20 percent increase in her salary. If Diana takes this increase in
compensation, it will decrease the break-even quantity of gowns she needs to sell on a
monthly basis.
Answer:
Jobs in sales are among the highest-paying careers for college graduates.
Answer:
An advantage of a corporate blog is that all content on the blog can be completely
controlled by the company.
Answer:
An effective global pricing strategy can be easily established by setting the same prices
in every market around the world.
Answer:
An advertising campaign's objectives should be specific and measurable.
Answer:
Although innovation strategies may not work in the long run, overriding short-term
reasons compel firms to introduce new products and services.
Answer:
The B2B buying process tends to be more formal than B2C buying.
Answer:
Corporate social responsibility refers to the coordinated actions of government
organizations to address the ethical, social, and environmental impacts of business
operations.
Answer:
Firms that disingenuously market products or services as environmentally friendly, with
the goal of gaining public approval and sales rather than actually improving the
environment, are engaging in greenwashing.
Answer:
One benefit of having satisfied customers is that they may spread positive word of
mouth.
Answer:
Supercenters are stores that combine a supermarket with a full-line discount store.
Answer:
Price elasticity of demand measures how changes in a price affect the quantity of the
product demanded.
Answer:
Over the past decade or so, marketers have begun to realize that it is best to structure a
firm's customer orientation in terms of transactions rather than relationships.
Answer:
Margo likes her morning coffee, and she always stops at Starbucks because it is on her
way to work. Margo is being influenced by the place element of the marketing mix.
Answer:
One of the advantages of niche media is it often allows marketers to
A. reach a larger audience than mass media.
B. use major events like the Super Bowl.
C. change and personalize messages for different audiences.
D. sell cooperative advertising space to cosponsors.
E. spend fewer advertising dollars.
Answer:
The components of global market assessment include all of the following except
A. ethnic analysis.
B. infrastructure and technological analysis.
C. analysis of government actions.
D. sociocultural analysis.
E. economic analysis.
Answer:
Why should marketers be aware of the BRIC countries?
A. They are a microcosm of the rest of the world.
B. They represent almost half the world's population.
C. They are likely to be the source of most market growth.
D. They have had the most dramatic changes in culture and consumer buying patterns.
E. They have stable population growth, which makes them easier to study.
Answer:
Bill desperately needed tires for his car, and he found an ad with an incredibly low
price. When he got there, he found out that those had supposedly been sold out, and he
was pressured into buying tires that were more expensive than he wanted. Bill found
out later that Marcelo had the same experience at the store a few weeks earlier. It's quite
possible that both Bill and Marcelo had become the victim of a deceptive pricing tactic
known as
A. loss leader pricing.
B. desperation selling.
C. bait and switch.
D. off-season deceptions.
E. inventory reduction pricing.
Answer:
Yesenia is working on an advertisement to promote consumer awareness of the danger
of solar radiation causing skin cancer. Yesenia's first concern will be to
A. get consumers' attention.
B. enlist creative advertising designers.
C. make sure firms producing sunscreen lotions approve.
D. collect a petition in support of controls against global warming.
E. use public relations to buy advertising space.
Answer:
Many corporations are shifting from defined benefit to defined contribution retirement
programs. When considering changes to retirement programs, the primary stakeholders
are the
A. shareholders.
B. employees.
C. customers.
D. marketing managers.
E. competition.
Answer:
Americans often equate "bigger" with "better," and prefer larger cars, TV screens,
homes, even meals. Researchers suspect that in doing so, we are trying to reduce
__________ risk in the consumer decision process.
A. psychological
B. financial
C. performance
D. social
E. physiological
Answer:
Franchising involves a(n) __________ vertical marketing system.
A. cooperative
B. corporate
C. contractual
D. administered
E. conventional
Answer:
Sydney's Emporium has 59 stores in the United States and wants to expand globally.
Sydney's wants to achieve the highest possible returns, and is not concerned about
pursuing a high-risk strategy as long as it maintains complete control over its stores.
The best global entry strategy for Sydney's is most likely
A. exporting.
B. a strategic alliance.
C. a joint venture.
D. direct investment.
E. franchising.
Answer:
One of the potential benefits to a firm of introducing new-to-the-world products or
services is
A. cost savings.
B. late majority marketing.
C. establishment of a completely new market.
D. the ability to avoid paying pioneers for new product development.
E. the ability to capitalize on existing consumer preferences.
Answer:
Which service gap is the Ritz-Carlton Hotel trying to address when it takes time and
spends up to $1,700 to train a new employee?
A. standards gap
B. knowledge gap
C. performance gap
D. communication gap
E. recovery gap
Answer:
Which of the following is not a question posed in the ethical decision-making metric?
A. Would I want to see this action described on the front page of the local paper?
B. Will this action help advance my career?
C. Would the person I admire most engage in this activity?
D. Can I give a clear explanation for my action?
E. Will I be able to look at myself in the mirror and respect what I see?
Answer:
For salespeople who practice __________, an unsuccessful close one day may lay the
groundwork for a successful close during the next meeting.
A. role playing
B. sales support promotion
C. relationship selling
D. delayed preapproach
E. transactional selling
Answer:
Milton owns a lawncare business. From experience, Milton has found that John Deere
equipment lasts almost twice as long as competitors' machines. For John Deere,
Milton's perception about its products makes _______ pricing a logical choice.
A. cost of ownership
B. cost-based
C. reference-based
D. improvement value
E. market-based
Answer:
Normally, BC bottling company attaches plastic labels to its bottles. However, a new
regulation requires that the company now use fabric labels. To use this latest
innovation, BC bottling company must now source these fabric labels from another
company. This is an example of
A. a modified rebuy situation.
B. vendor analysis.
C. need recognition.
D. a straight rebuy situation.
E. an RFP.
Answer:
A marketing professor in Ithaca, New York, maintains a museum of failed consumer
products. Most new products in this museum failed during the __________ stage of
new product development, when they are introduced to a limited geographic area.
A. pretesting
B. product launch
C. test marketing
D. product development
E. concept testing
Answer:
When Ford Motor Company decided to sell the Fiestain the same form and
designaround the globe, instead of selling different versions in different countries, this
was part of Ford's global ________ strategy.
A. communication
B. pricing
C. distribution
D. exchange
E. product
Answer:
Tariffs protect domestic producers by
A. making imported products more expensive.
B. increasing brand recognition.
C. reducing the cost of production.
D. offering subsidies to exports.
E. avoiding regulation.
Answer:
John used to work for a large, well-known retailer. He left that company to work for a
much smaller company, and in doing so, he discovered that the channel functions were
handled very differently in the smaller firm. Looking back at his experience, he noticed
that larger firms
A. perform many different channel functions themselves.
B. have less control in the channel.
C. are generally less efficient.
D. spend more money wastefully.
E. use more independent salespeople.
Answer:
Tyler runs a parasailing business on Hilton Head Island, South Carolina. Tyler closes
his business in winter when the water gets too cold. Tyler should use a __________
advertising schedule.
A. continuous
B. flighting
C. pulsing
D. penetrating
E. purposeful
Answer:
It is the responsibility of __________ to determine the ethical approach to setting prices
so consumers find value and the firm can make a profit.
A. the Better Business Bureau
B. federal regulators
C. the American Marketing Association
D. marketers themselves
E. industry standards boards
Answer:
Differences in weather and climate create opportunities for
A. concentrated targeting.
B. geographic segmentation.
C. benefit segmentation.
D. psychographic segmentation.
E. demographic segmentation.
Answer:
The Doritos advertising effort of "Live Mas," which is Spanish for "Live More," is
meant to suggest a lifestyle aspiration. If consumers make a connection between the
Doritos brand and this promotional effort, then Doritos has created
A. brand ownership.
B. a brand extension.
C. brand loyalty.
D. brand dilution.
E. a brand association.
Answer:
When mountain climbers purchase clothing for scaling Mount Everest, their purchases
are primarily addressing __________ needs.
A. functional
B. prepurchase
C. social
D. psychological
E. functional and psychological
Answer:
If a firm wants to develop a sustainable competitive advantage, it should
A. begin an aggressive campaign to buy up competitors.
B. copy the innovative features of other firms that are attractive to customers.
C. examine its operations and customer relations to identify significant things
competitors cannot easily copy.
D. increase its marketing budget so that it outspends its competitors.
E. arrange to meet with competitors to discuss how to avoid direct competition.
Answer:
GDP is defined as
A. the value of a country's exports minus its imports.
B. the difference between two country's exchange rates.
C. the market value of goods and services produced in a country in a year.
D. national income minus national taxes.
E. the gross purchasing power of domestic goods and services plus international
income.
Answer:
Ron sells commercial-grade tools to building contractors. Whenever he visits his
customers, he looks to see if they are using his tools for other tasks or have modified
the tools for some other purpose. These customers are __________, who can provide
ideas for new and improved products.
A. laggards
B. market testers
C. lead users
D. reverse engineers
E. concept testers
Answer:
After using market research to identify the target audience for his advertising campaign,
Jorge will next use this information to
A. develop creative advertising copy.
B. assess the potential effectiveness of his ad campaign.
C. buy advertising time.
D. set explicit and measurable objectives for the campaign.
E. develop PSAs for distribution in lieu of advertising.
Answer:
How did Johnson & Johnson recently respond to new limits on acetaminophen
dosages?
A. It changed the dosages to significantly lower levels.
B. It didn't do anything and waited to see if there would be a problem with its products.
C. It reminded people not to take more than the recommended dosage.
D. It pulled all Tylenol products off the shelf until it could be sure it wasn't causing
problems for consumers.
E. It changed its packaging to reflect the new standards.
Answer:
Full-line discount, category specialist, and specialty stores are all types of __________
retailers.
A. food
B. general merchandise
C. price sensitive
D. limited demand
E. special appeal
Answer:
Explain the meaning of "2/10, n/30."
Answer:
In what type of research situations would marketing researchers use in-depth
interviews?
Answer:
What is unique about drugstores as a general merchandise retailer? What competitive
pressures could limit growth in sales and profits?
Answer:
Think of the car you are currently driving, or an article of clothing you are wearing.
Name three brand associations that are common with this car or clothing. Explain how
these associations might influence someone's decision to buy these products.
Answer:
One of the benefits of taking marketing courses is the opportunity to apply marketing
concepts to marketing yourself. When selling yourself, you are a product including all
the skills, aptitudes, and attitudes you bring to the market. What is a sustainable
competitive advantage? What can you do to give yourself a sustainable competitive
advantage in the marketplace?
Answer:
Explain how a company can use search engine marketing.
Answer:
A local manufacturer has developed a scented USB drive targeted strictly at male
consumers. The scents include options such as pine, bacon, and beer. Using the 4E
framework, briefly describe the target client, and outline a complete social media
program for this new product.
Answer:
List and describe the four basic ways of generating revenue from apps.
Answer:
Flora wants to develop a zone of tolerance analysis for her veterinary practice. What is
a zone of tolerance in service quality? What types of questions would she need to ask to
conduct her analysis?
Answer:
Conduct a brief SWOT analysis of your prospects of finding a good job related to your
major when you graduate (if you already have such a job, think about finding a job with
more responsibility). Be sure to include at least one factor representing each of the four
major sections of a SWOT analysis, and be sure to label each factor to indicate which of
those four sections it belongs in.
Answer:
Why is it more fun and challenging for a marketer to be part of a market characterized
by monopolistic competition than be part of one characterized by pure competition?
Answer:
In recent decades, how has income distribution changed in the United States?
Answer:
What kinds of internal information might be of value to a marketing researcher?
Answer:
What are some of the key functions performed by sales management?
Answer:
Define and describe the product life cycle stage in which laggards begin to purchase
products.
Answer:
The text states that "geodemographic segmentation can be particularly useful for
retailers." Use a local retailer to describe how geodemographic segmentation could be
useful.
Answer:
Compare and contrast mobile marketing with online marketing.
Answer:
Airline passengers in Europe receive much greater monetary compensation when they
are bumped due to overbooking than do passengers in the United States. How do airline
passengers determine what is "fair" when there is a service failure?
Answer:
What are some of the outcomes that result from a communications gap?
Answer:
Why would a researcher want to change the sequence of steps in the marketing research
process?
Answer:
