37.
When customers walk out of the store without buying anything, it may be an indication
that a business is in trouble.
38.
In many small businesses, the competitive edge can be something as simple as courtesy,
friendliness, and helpfulness.
39.
Test marketing is the systematic gathering, recording, and analyzing of data relating to the
marketing of goods and services.
40.
Market research can be useful before starting a small firm, but it is not required once the
firm is in operation.
41.
Marketing research should be done only by professional firms in order to meet the needs
and demands of a business owner.
42.
Marketing research cannot be done by using customer credit records and sales records
since they are not helpful in yielding any information.
43.
Employees are not a good source of information about customer preferences as they are
usually just trying to sell a product.
44.
Test marketing a product is a cost-effective method to carry out primary market research.
45.
Small businesses should carry out primary market research on their own instead of hiring
experts to do it.
46.
Watching people is a useful marketing research technique.
47.
Web-based research is not an effective method in marketing research.
48.
Marketing objectives need not be tied in with a business’s competitive edge.
49.
A target market is a part of the total market toward which promotional efforts are
concentrated.
50.
Market segmentation simulates the conditions under which a product is to be marketed.
51.
Choosing and maintaining a target market is easy because consumer characteristics are
always stable.
52.
A uniform marketing strategy is recommended for people of all age groups as it proves to
be very beneficial.
53.
Businesses in the United States may have to rehire retirees as consultants because the
number of young adults is declining.
54.
The four variables of a marketing mix are—customer, company, competition, and
constraints.
55.
A marketing mix consists of uncontrollable variables that a firm combines to satisfy its
target market.
56.
A product’s benefits are identified and emphasized to develop a competitive niche in the
introduction stage of a product’s life cycle.
57.
Competition becomes more aggressive during the decline stage of a product’s life cycle as
prices and profits are on a decline.
58.
The way a product is packaged can influence customers in making buying decisions.
59.
Markup involves adding products that were initially unrelated to the present product line.
60.
Small firms generally should not attempt to be price leaders.
Essay Questions
61.
What is the marketing concept?
62.
Describe e-commerce.
63.
What is database marketing?
64.
Describe the introduction stage of the product life cycle.
65.
What is the need for small firms to have a wide product mix?
66.
What is the role of packaging in influencing customers to buy a product?
67.
What are the three practical aspects of pricing that a small firm must consider?
68.
How do small wholesalers and small producers set prices for their products?
69.
Explain personal services and business services.
70.
Describe the growth stage during implementation of a market strategy by a small firm.