Category membership is seen as the products that function as close substitutes of a
brand.
A creative marketer discovers solutions customers did not ask for but to which they
enthusiastically respond.
A pull strategy is particularly appropriate when there is low brand loyalty in a category,
brand choice is made in the store, the product is an impulse item, and product benefits
are well understood.
Advertising elasticities were estimated to be higher for established (0.3) than for new
(0.1) products.
The “customer is king” category of buyer-seller relationship is relatively simple, and
one in which routine exchanges with moderately high levels of cooperation and
information exchange occur.
Sales reps might have better insight into developing trends than any other group, and
forecasting might give them greater confidence in their sales quotas and more incentive
to achieve them.
The buying center is where consumers go to purchase their goods and services.
A distribution channel includes distributors, wholesalers, retailers, and agents that
display, sell, or deliver a physical product or service to a buyer or user.
High-tech firms that function in a market with high technological uncertainty, high
market uncertainty, and high investment costs are not likely to seek radical innovation.
A superstore is a storeless retailer serving a specific clientele who are entitled to buy
from a list of retailers that have agreed to give discounts in return for membership.
Which of the following is a characteristic of the affordable method of establishing a
marketing communications budget?
A) fixed annual budget
B) suitable for long-range planning
C) priority given to role of promotion as an investment
D) calculated to reflect what the company can spare for marketing communications
E) based on the immediate impact of promotion on sales volume
In reordering office supplies, the only stages that the buyer passes through are the
product specification stage and the ________ stage.
A) problem recognition
B) general need description
C) order-routine specification
D) supplier search
E) performance review
The degree to which the beneficial results of an innovation’s use are observable or
describable to others is called ________.
A) divisibility
B) communicability
C) compatibility
D) relative advantage
E) plainness
In the case of ________ demand, consumers dislike the product and may even pay a
price to avoid it.
A) nonexistent
B) overfull
C) irregular
D) negative
E) declining
Galaxy chocolate has successfully competed with Cadbury by positioning itself as
“your partner in chocolate indulgence” and featuring smoother product shapes, more
refined taste, and sleeker packaging, which represents which of the following main
strategies for growing the core of the business?
A) Make the core of the brand as distinctive as possible.
B) Drive distribution through both existing and new channels.
C) Offer the core product in new formats or versions.
D) Increase costs and revenue.
E) Expand to another geographic region.
High levels of brand ________, or the extent to which consumers feel they are “in sync”
with the Fox News brand and engagement in Fox News programs, often leads to greater
recall of the ads Fox News runs.
A) salience
B) feelings
C) judgments
D) resonance
E) imagery
Apple’s iPod shuffle is an example of ________.
A) a subbrand
B) a parent brand
C) family brand
D) a brand mix
E) an umbrella brand
Market ________ generally have a smaller market share than other players and they are
willing to maintain their share and not rock the boat.
A) challengers
B) leaders
C) nichers
D) rivals
E) followers
As a major steel manufacturer, SteelMakers Inc. focuses on having the most efficient
manufacturing processes in place. The company believes that its competitive edge lies
in its ability to offer the best prices. They also maintain an excellent distribution
network that ensures wide availability of their products. SteelMakers has a ________
orientation.
A) selling
B) production
C) product
D) marketing
E) social
Which of the following is NOT one of the seven design elements featured in effective
Web sites (as identified by Rayport and Jaworski)?
A) change
B) context
C) content
D) customization
E) commerce
Which of the following questions is LEAST relevant during the preapproach stage of
the sales process?
A) How is the purchasing process conducted at the company?
B) How is the purchasing department structured?
C) How can I overcome psychological resistance?
D) Is purchasing centralized?
E) What is the best contact approach?
A job-shop specialist ________.
A) sells only in a certain locality, region, or area of the world
B) customizes its products for individual customers
C) operates at the low- or high-quality ends of the market
D) offers one or more services not available from other firms
E) specializes in serving only one channel of distribution
The most advanced supply-distributor arrangements for ________ vertical marketing
systems rely on distribution programming.
A) corporate
B) administered
C) contractual
D) regulatory
E) controlled
In ________ pricing, the firm bases its price largely on competitor’s prices.
A) going-rate
B) auction-type
C) markup
D) target-return
E) perceived-value
Premiums, as a consumer promotion tool, are defined as ________.
A) offers to consumers of savings off the regular price of a product, flagged on the label
or package
B) certificates entitling the bearer to a stated saving on the purchase of a specific
product
C) programs providing rewards related to the consumer’s frequency and intensity in
purchasing the company’s products or services
D) merchandise offered at a relatively low cost or free as an incentive to purchase a
particular product
E) values in cash or in other forms that are proportional to patronage of a certain vendor
or group of vendors
Which of the following is NOT conducive to database marketing?
A) Rushbury Theater relies on the generosity of donors to keep functioning.
B) Kenilworthy retails luxury handbags and leather accessories to a select clientele.
C) 2Wheels sells its most profitable products to repeat customers.
D) Uncle Jim’s sells its range of snacks in stores throughout the country.
E) PetZone offers obedience classes, a doggie daycare, and other services for pets in the
Manhattan area.
Forward invention is ________.
A) creating a new product to meet a need in another country
B) creating a new product to meet the need in the home country
C) inventing products that are superior to competing offerings
D) taking an existing product into a new market
E) inventing something that as yet has no “market”
When a business gets to know market segments intimately and pursues either cost
leadership or differentiation within the target segment, it is employing a ________
strategy.
A) defined
B) focused
C) value-added
D) competitive advantage
E) customer-focused
Which of the following is true of brokers?
A) Brokers represent buyers or sellers on a semipermanent basis.
B) Most brokers are small businesses with a few skilled salespeople.
C) Brokers bring buyers and sellers together and assist in negotiation.
D) Selling brokers have contractual authority to sell a manufacturer’s entire output.
E) Purchasing brokers make purchases for buyers and often receive, inspect,
warehouse, and ship merchandise.
What are three possible responses to low-cost competitors?
Many companies are beginning to realize that they are not really market and customer
driven, they are product and sales driven. In the attempt to transform themselves into
true market-driven companies, many firms must change. Describe and explain what
changes are necessary.
Orion Airlines is an American airline that provides domestic and international air
transport services. Explain the five service outputs provided by marketing channels
with reference to Orion.
List the five guidelines for improving the odds for marketing success in a slow-growth
economy.
There are a number of specific roles brands can play as part of a brand portfolio. List
and briefly describe the four roles.
Explain permission marketing.
Briefly explain the various levels of marketing channels.