Both production and consumption of services occur at the same time.
a. True
b. False
Refer to Scenario 3.1. Milton Hershey contributed resources to the community to
improve the overall quality of life for consumers, employees, and the community in
general. This reflected his responsibility.
a. philanthropic b. ethical
c. legal
d. economic
e. shareholder
Orders placed by business customers are usually smaller and more numerous than
consumer sales.
a. True
b. False
In a comparative advertisement, advertisers point out that their brand has characteristics
that are superior to those of competing brands, but they do not actually mention the
brand names of competitors.
a. True
b. False
Jared Bledsoe hired Green Gardens Corp., a local landscape firm, to plant trees and
shrubs in his front yard. The landscape looked beautiful after the work was completed.
However, in just a few days many of the plants began to die. When Jared complained to
the manager of Green Gardens, the manager said that Jared must have done something
to them that caused the plants to die, such as over watering them. Green Gardens
doesn’t have any moneyÂback guarantees. Jared is angry that he can’t get a refund or
replacement. At this time, Jared’s bestcourse of action would be to contact the:
a. local Chamber of Commerce.
b. Federal Trade Commission.
c. Sherman Commission.
d. Better Business Bureau.
e. local Small Claims Court.
Scenario 5.2
Use the following to answer the questions.
GE Transportation Corp produces locomotive engines for sale in countries around the
world. After looking at the total market for locomotive engines, the company found that
various rail lines wanted different types of engines. Major rail lines in the U.S. and
South America wanted engines to haul heavy freight. Rail lines in Sweden and
Germany were interested in a cleaner, greener locomotive engine. Rail lines operated by
several Eastern European countries wanted locomotive engines for running short
distances between cities in their own country. GE Transportation is currently
manufacturing its GE 4400 for heavy freight, its Hybrid Eco-Engine, and its Dash 9,
suited for shortline transport.
Researchers at GE Transportation estimate that 1,000 rail lines throughout the world
will purchase some kind of locomotive engine next year. That number represents the:
a. company sales potential. b. breakdown approach.
c. market potential. d. buildup approach.
e. company sales forecast.
Planters is concerned that acquiring a taste for its new product, honey-roasted
macadamia nuts, takes time.
Planters should use packaging for its new product.
a. family
b. multiple
c. tamper-resistant
d. unlabeled
e. transparent
Marketing objectives state what is to be accomplished through marketing activities.
a. True
b. False
Some stores employ comparative shoppers to learn what prices their competitors are
charging.
a. True
b. False
Following up involves listening to a customer’s response after finishing the presentation
and overcoming those objections.
a. True
b. False
Scenario2.1
Use the following to answer the questions. Southwest Airlines has a history of being
able to retain its employees due to the atmosphere and culture of the company.
Employees have been known to dress up in costume on an airplane, engage in “games”
with the passengers, and generally provide a fun atmosphere for traveling. While other
airlines have low rates of customer satisfaction, Southwest tends to maintain a high
rating with its customers. Recent gas price hikes have caused most airlines to charge for
checked luggage and to fill every flight to its maximum, adding to the negative
experience of airline travel. Southwest keeps its costs low through several methods, one
being that they do not serve meals on flights, or provide pre-boarding passes. The
typical flight is two hours or less and occurs between several selected cities rather than
flying to practically anywhere in the country. Southwest is known for its low fares, its
dependability, and its on-time flights.
In Southwest Airlines’ SWOT analysis, the rising gas prices are a(n) .
a. hindrance
b. strength
c. threat
d. weakness
e. opportunity
Jared is developing a business plan for a new type of bicycle helmet. He is interested in
finding the point at which the costs of producing the helmet will equal the revenue
earned from selling the product. Jared is interested in finding the:
a. elasticity of demand.
b. break-even point.
c. variable costs.
d. price elasticity.
e. the sum of fixed costs.