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Ross Wrigley refuses to buy Billy Goat brand of beer; his attitude toward this brand is
called _____.
A. brand rejection
B. brand familiarity
C. brand nonrecognition
D. brand recognition
E. brand positioning
Answer:
Calumet Pottery Supply allows a 10 percent reduction off its list price of Jepson clay
whenever an intermediary orders more than 100 cases in one shipment. This is a:
A. cash discount.
B. seasonal discount.
C. cumulative quantity discount.
D. PM.
E. noncumulative quantity discount.
Answer:
Vendor analysis:
A. has the sole objective of getting the lowest possible price on a particular product or
service from the supplier.
B. does not take into account the behavioral needs of purchasing managers and others
involved in the buying decision.
C. is a formal rating of suppliers on all relevant areas of performance.
D. None of these alternatives about vendor analysis is correct.
Answer:
Products which have no brand other than the identification of their contents are called
A. generic products.
B. local brands.
C. regional brands.
D. licensed products.
E. dealer brands.
Answer:
The problem with sales-oriented pricing objectives is that:
A. many managers are evaluated by their level of sales.
B. larger sales don't necessarily lead to higher profits.
C. the number of units sold does not consider possible growth in the market.
D. sales growth usually leads to declining profits.
E. None of these alternatives is correct.
Answer:
Wizard Toy Company's marketing researcher conducted a survey to find out the
percentage of customers who, after receiving a promotional mailing about a new toy,
actually went out and purchased the product. This is an example of
A. a response rate.
B. cross-tabulation.
C. personal interviews.
D. quantitative research.
E. an experimental method.
Answer:
By computing confidence intervals a researcher can:
A. have just as much confidence in an estimate from a small sample.
B. offset some of the problems of having a nonrepresentative sample.
C. estimate how precise her research results are likely to be.
D. None of these alternatives is a good answer.
Answer:
The Cereal Bar, a fast-food restaurant that sells breakfast cereal, wanted to see if a
different price for its Wild O's breakfast special would affect demand. So the marketing
manager used ________ when she tested two different prices at two different stores and
compared sales.
A. idea testing
B. segmentation research
C. experimental method
D. test-marketing
E. focus groups
Answer:
Because firms must be developing new products all the time, which of the following
statements is true?
A. Competitors are likely to rapidly introduce product improvements in the market
growth stage.
B. The developed economies experience technological advances quicker than the
less-developed economies.
C. Although the life of different products varies, product life cycles are getting shorter.
D. One new invention may make possible many new products to replace old ones.
E. All of these statements are true.
Answer:
An economic system in which government planners determine production levels is
known as
A. a command economic system.
B. a micro-marketing economic system.
C. a macro-marketing economic system.
D. a market-directed economic system.
E. a pure subsistence economic system.
Answer:
An application for the iPhone that includes voice directions for a built-in GPS system
can be helpful in finding a motel that is "off the beaten track." What is the primary
economic need being satisfied by this app?
A. Economy of purchase
B. Dependability in use
C. Efficiency in use
D. Convenience
Answer:
The AIDA model's four basic promotion jobs are concerned with:
A. attention, interest, desire, action.
B. action, interest, desire, acceptance.
C. awareness, interest, demand, action.
D. attention, internalization, decision, action.
E. awareness, interest, decision, acceptance.
Answer:
For Tesla, a new firm that makes an electric sports car, estimating how many
competitors will make electric vehicles and what kinds they will make, is:
A. one of the universal functions of innovation.
B. a production activity.
C. an example of the micro-macro dilemma.
D. best left to intermediaries.
E. a part of marketing.
Answer:
The market into which a company introduces components or parts that may be bought
and configured into the final product and sold by the reseller is called the:
A. original equipment market.
B. operational essentials market.
C. aftermarket.
D. optimal brand market.
E. general market.
Answer:
Which of the following research methods cannot be employed in a market research
online community?
A. brainstorming sessions
B. focus groups
C. surveys
D. personal interviews
E. All of these methods can be used with a market research online community.
Answer:
____________ take over the whole marketing job of producers, not just the selling
function.
A. Brokers
B. Selling agents
C. Auction companies
D. Export and import brokers
E. Service wholesalers
Answer:
Use this information for question that refer to the Super Gaming Company and
Accessories (SGCA) case.
Kayla Jurgenson, marketing manager for Super Gaming Computers and Accessories
(SGCA), is reviewing her company's plans for the coming year.
SGCA sells its products through retail computer dealers and some specialty gaming
stores. Currently, SGCA is carried in 25 percent of all retail computer stores nationwide,
but in California is carried in only 10 percent of stores. So, Kayla has set an objective of
being in 25% of all retail computer stores in California within one year.
SGCA plans to introduce a new SuperDuperGamer model with special features that fits
its target market of teen and young adult gamers. The SuperDuperGamer uses a new
technology and is expected to be a breakthrough product, but it will be important to
build awareness for it to succeed. So, the advertising objective is for 40% of SGCA's
target market to be aware of the new SuperDuperGamer model within 3 months. SGCA
also wants to help its retailers reduce their current stock of SuperGamer computers
before the new model comes out in a month. The SuperGamer has been on the market
for two years and has been a top seller in the category. SGCA's advertising objective for
the SuperGamer computer is to reduce current dealer stock by 80% within the next
month.
SGCA is also introducing a SuperEnhancer sound card, which is designed to
significantly enhance the game-playing experience with older computers. Research with
gamers show that it is very well received, so the advertising objective for the
SuperEnhancer sound card is to gain 40% market share among all gaming-specific
sound cards in the next year. To help achieve that objective, Jurgenson is planning to
use an ad that shows the sound card and a game player being knocked off his chair by
the sound. The headline on the ad reads, "9 Out of 10 Gamers Say that the
SuperEnhancer Sound Beats All Others!"
If Jurgenson turns to an advertising agency for help, SGCA
A. will probably be required to sign a long-term contract.
B. find that most agencies would prefer to work with retailers rather than producers of
consumer products.
C. can expect the agency to be a specialist in planning and handling mass selling
details.
D. should not expect the agency to do much more than sell media time or space.
E. should allow the experts at the agency to refine the advertising objectives so that
they reflect the creativity of the ads.
Answer:
Use this information to answer the following question that refer to the CPI case.
Conservo Products, Inc. (CPI), with annual sales of $200 million, is a well-known
producer of a variety of paper products, almost all of which are made from recycled
materials. Picnic plates account for about 70 percent of CPI's sales. The rest of the
firm's sales come from custom-designed materials-such as box liners and spacers, small
boxes, and disposable products-like trays, towels and napkins.
CPI's picnic plates are sold through 'sales reps" to grocery wholesalers and retail
grocery chains. The sales reps are paid a 5 percent commission on all sales in their
assigned territories. They usually handle related-but noncompeting-lines for several
other manufacturers. Along with their selling duties, the sales reps help CPI with local
advertising and sales promotion efforts. Orders for the custom products are obtained by
area managers who are paid a straight salary to call on business and institutional
customers. The area managers are trained paper specialists and often help their
customers design the products they order.
The picnic plates are priced to give CPI a 90 percent markup on the cost of producing
the product-with the cost figured by taking the total factory cost for the previous year
and dividing that total cost by the number of units produced and sold during that period.
The firm's invoices read "F.O.B.-Delivered" and "1/10, net 30." Customers are allowed
to deduct 3 percent from the face value of the invoice for buying plates in carload
quantities, and another 2 percent for advertising them locally.
The custom products are sold "F.O.B. mill"-with CPI offering a price for each job.
Competition is strong from many other manufacturers who are able to offer very similar
products which meet the customers' specifications.
CPI forecasts that sales will increase to $250 million by 2012. However, much of this
growth is tied to picnic plates-a market in which the firm has about a 7 percent market
share and faces aggressive price competition from many smaller firms with greater
brand familiarity. Further, CPI has been late with more than 50 percent of its plate
orders due to scheduling conflicts with orders for custom products.
Regarding shipping costs in the CPI case:
A. CPI pays the shipping costs for the plates, while its customers pay the shipping costs
for the custom products.
B. CPI uses freight-absorption pricing.
C. all of CPI's customers take title to the products at the point of loading and pay all
shipping costs themselves.
D. CPI pays the shipping costs for all its customers-keeping title to the products until
delivery.
E. CPI uses zone pricing.
Answer:
Which of the following is NOT true about retailing in different nations?
A. New retailing ideas rarely spread to other countries.
B. Mass-merchandising requires mass markets.
C. Retailers in slow growth developing countries have looked abroad for growth.
D. Cultural differences influence preferences for online shopping.
E. Less-developed countries often don't have the income to support mass distribution
retailers.
Answer:
Which of the following prices is most likely to be seen if a firm is using odd-even
pricing?
A. $9.00
B. $2.03
C. $6.60
D. $99.95
E. $100.00
Answer:
According to the text, social class in the U.S. is usually measured in terms of:
A. income.
B. occupation, education, and housing arrangements.
C. income, occupation, and education.
D. race, religion, and occupation.
E. income, occupation, and religion.
Answer:
Regarding timing, a marketing plan:
A. could cover as short a time period as a few months.
B. is specific about time-related details.
C. could cover as long a time period as several years.
D. All of these alternatives are correct.
Answer:
Radio frequency identification tags can
A. make it easy for computers to monitor inventory.
B. help computers to order needed stock.
C. track storing costs.
D. transmit details about carton contents.
E. all of these alternatives are correct for RFID tags.
Answer:
A penetration pricing policy:
A. Tries to sell the whole market at one low price.
B. Tries to sell the top of the market at a high price.
C. Is used when demand for the product involved is inelastic.
D. Usually involves a slow reduction in price over time.
E. Is used when the firm does not expect strong competition soon after its product is
introduced.
Answer:
When a marketing manager is doing similar research projects in different markets
around the world, he or she should:
A. establish basic guidelines at the outset to compare different research projects.
B. avoid standardizing all research projects.
C. treat each project independently with individual importance.
D. develop separate standards for each project according to needs.
Answer:
With regard to bid pricing, a marketing manager should be aware that:
A. the same overhead charges and profit rates usually apply to all bids.
B. bids are usually based on inspection.
C. a big problem is estimating all the costs-including the variable and fixed costs that
apply to a particular job.
D. e-commerce is of little use in bid pricing.
E. None of these alternatives is correct.
Answer:
A S.W.O.T. analysis
A. seeks to improve strategy planning by "Scanning for Warnings, Omens, and Tips"
about competitors' plans.
B. is not necessary if competitors have already entered the market.
C. defends against potential competitive threats by planning specific 'safeguards,
weapons, or tactics."
D. should help a manager develop a strategy that leads to a competitive advantage.
E. None of these apply to a S.W.O.T. analysis.
Answer:
Extensive problem solving probably would NOT be required by young newly-marrieds
in the purchase of:
A. a stereo system.
B. soft drinks.
C. a home.
D. a DVD player.
E. a car.
Answer:
In the ____ stage of the adoption process, the consumer may buy the product to
experiment with it in use.
A. interest
B. awareness
C. evaluation
D. trial
E. decision
Answer:
___________ is the specific sales or profit objective a salesperson is expected to
achieve.
A. Sales quota
B. Sales target
C. Sales prospecting
D. Sales presentation
E. Sales percentage
Answer:
A company would be charged with product warranty violations under:
A. the Total Quality Management Act
B. the Robinson-Patman Act
C. the Federal Trade Commission Act
D. the Magnuson-Moss Act
E. There are no laws regulating product warranties.
Answer:
The U.S. government collects and publishes data by _____ codes-groups of firms in
similar lines of business.
A. JIT
B. MFG LIST
C. PRIZM USA
D. NAPCS
E. NAICS
Answer:
A target marketer who uses two different marketing mix strategies to make two separate
appeals to office tablet computer users and home tablet computer users is applying:
A. the broad market approach.
B. the single target market approach.
C. the multiple target market approach.
D. the combined target market approach.
E. the generic market approach.
Answer:
Which of the following is not an accurate characterization of the idea evaluation stage
of the new-product development process?
A. The stage involves getting reactions from customers by way of concept testing.
B. The stage evaluates the potential reaction of channel partners like wholesalers and
retailers.
C. The stage produces rough estimates of costs, sales, and profits.
D. The stage introduces a prototype of the product.
E. The stage involves an assessment of the assumptions managers are making about the
new idea.
Answer:
According to the text, the economic-buyer theory
A. says that most consumers do not know the economic value of products they
purchase.
B. explains why people behave the way they do.
C. includes psychological variables and social influences.
D. is too simplistic to explain consumer behavior.
E. assumes that consumers always buy the lowest price alternative.
Answer:
