The BCG analytical approach is more of a diagnostic tool than a guide for making
strategy prescriptions.
a. True
b. False
Scenario 10.2
Use the following to answer the questions.
Traveler is a bus line operating in the Northeast and Midwestern United States, plus in
Canada. It offers travelers a cheap alternative to driving and flying between large cities,
keeping the fares extremely low yet offering the latest technology. Unlike the traditional
StarTravel Lines, Traveler is an express service, and is equipped with Wi-Fi, video
screens, headsets, and seat belts. Many buses also run on biodiesel fuel. Additionally,
Traveler picks up and drops off people in the centers of cities rather than at
inconveniently-located terminals. Patrons can book tickets at Traveler.com, where some
fares begin at just $1. Routes are limited, and are offered out of cities such as Toronto,
New York, Baltimore, Philadelphia, and Chicago. Recently, its competitor StarTravel,
has launched two new bus lines, Pathfinder and Mestra, with similar fares and high-tech
amenities. A fare on Mestra bus from Buffalo, NY to New York City is $50.00
roundtrip, while the same fare through Greyhound’s traditional bus line costs $92.00.
The benefit of StarTravel’s traditional line is that there are more departure times and
more stops in smaller towns along the way. When StarTravel launched the Pathfinder
and Mestra bus lines, this is an example of _____.
a. a branding extension
b. co-branding
c. an extension in the width of the product mix
d. an extension in the depth of the product mix
e. family branding
Stratified sampling may reduce some of the error that could occur in a simple random
sample.
a. True
b. False
How would marketers most likely benefit from the consumer’s right to be heard?
a. Consumers will also tell others about their bad experience with the company.
b. The company can use the information to make its products better.
c. They gain valuable information about their competitors.
d. Consumers are more loyal to companies who have wronged them.
e. More information about the products can be posted online.
An effective approach for dealing with potential unfavorable public relations resulting
from a negative event is to discourage news coverage.
a. True
b. False
Scenario 9.1
Use the following to answer the questions.
The Walt Disney Company is a master at incorporating all the unique characteristics of
digital media into its website. It knows how to appeal to all types of consumers and
utilize the full potential of digital media. The Disney website immediately catches your
attention with sights and sounds that come alive. Not only can you catch a glimpse of
an upcoming movie, but also connect with your favorite characters from movies in the
past. The website offers age-appropriate games and activities, including the ability to
create a fairy-tale cottage. The Disney Parks have their own links of course, along with
Radio Disney, the Disney Store, family vacation packages, and an educator’s corner. An
adult or child can enjoy navigating through the electronic marketing of Disney. Disney’s
Fan Page on Facebook allows people to link with other Disney enthusiasts. This is an
example of:
a. addressability.
b. interactivity.
c. accessibility.
d. connectivity.
e. control.
As Brianna walks to classes, she selects, organizes, and interprets the sensations she is
receiving through her sense organs. Brianna is experiencing the process of:
a. exposure.
b. motivation.
c. learning.
d. attitude formation.
e. perception.
Price discrimination is prohibited by the Act.
a. Sherman
b. Wheeler-Lee
c. Robinson-Patman
d. Celler-Kefauver
e. Consumer Goods Pricing
When marketers define their target market, they simultaneously establish a set of:
a. technologies.
b. monopolies.
c. competitors.
d. government regulations.
e. sociocultural forces.
The United States Navy purchases uniforms from a single supplier. For the last five
years, the trousers purchased from this supplier have not changed and have been bought
in seven different sizes every six months under approximately the same terms of sale.
This is an example of_____ .
a. new-product purchase
b. demand purchase
c. straight rebuy purchase
d. modified rebuy purchase
e. standard order purchase
Collecting information from secondary sources such as business, government, trade,
and general-interest publications plays an important role in:
a. environmental analysis.
b. competitive forces.
c. environmental scanning.
d. procompetitive legislation.
e. self-regulatory forces.
Which of the following statements about reseller markets is false?
a. Resellers are concerned with the level of demand for the product.
b. Resellers are least concerned with the amount of space a product takes up as long as
the product has a minimal customer base.
c. Resellers want producers to be able to supply adequate quantities of a product.
d. Resellers are concerned with the availability of technical assistance and training
programs from the producer.
e. Resellers are concerned with the markup percentage they can get on the product.