Argonaut Food Stores, a retail giant, hires better-skilled employees than its competitors
by employing strategic recruitment practices. It also conducts highly specialized
training programs for its employees. In this case, Argonaut has focused on gaining a
strong competitive advantage through ________ differentiation.
A) image
B) people
C) services
D) product
E) channel
Which of the following types of differentiation is used to gain competitive advantage
through the way a firm designs its distribution coverage, expertise, and performance?
A) services differentiation
B) channel differentiation
C) people differentiation
D) product differentiation
E) price differentiation
Fred’s faith in his favorite brand makes him consider new initiatives and products
introduced by the brand. Fred is not a risk-taker, and he tends to evaluate each new
product carefully before adopting it. Fred is an opinion leader in his social networking
community. Fred is best described as a(n) ________.
A) lagging adopter
B) innovator
C) early adopter
D) early mainstream adopter
E) late mainstream adopter
Which method of setting advertising budgets best helps management think about the
relationship between promotion spending, selling price, and profit per unit?
A) adaptive-control method
B) objective-and-task method
C) competitive-parity method
D) affordable method
E) percentage-of-sales method
Which of the following is a disadvantage of using social media tools for selling?
A) Social media tools have transformed the fundamentals of selling.
B) Social media tools tend to make sales forces less efficient.
C) Social media tools can intimidate low-tech sales people or clients.
D) Social media tools make it difficult to spot buying trends.
E) Social media tools increase the time taken to solve customer problems.
A successful niche marketing strategy relies on a firm’s ________.
A) availability of services
B) product positioning
C) superior products
D) knowledge of customer needs
E) affordable pricing
EcoBean, a chain of cafes, has introduced a Special Shopper Card that allows customers
to pay in advance for coffee and snacks. This effort by EcoBean management is most
likely an example of ________.
A) market development
B) product development
C) diversification
D) market penetration
E) product adaptation
In managing their international marketing activities, most companies first ________.
A) organize an import department
B) create an international division
C) initiate foreign direct investment
D) form a domestic subsidiary
E) organize an export department
Which of the following is a disadvantage of using social media for marketing?
A) They are impersonal.
B) They primarily provide static content.
C) They do not provide information in a timely manner.
D) They provide lower returns than television.
E) They are largely user controlled.
How has the Internet most likely affected direct marketing?
A) The time taken by direct marketers to reach customer segments has increased.
B) The role of technology in direct marketing has become less intense.
C) The expenditures of marketers on direct marketing have increased.
D) The growth of digital sales has seen a significant downturn.
E) The number of mass marketing forms has expanded.
Which technique is used by firms to deliver a unified and consistent image about their
organizations and brands to consumers?
A) logistics information management
B) inventory control segmentation
C) niche market penetration
D) integrated marketing communications
E) global marketing management
Compared to standardized global marketing, adapted global marketing ________.
A) uses the same marketing mix elements in all target markets
B) lowers marketing costs by using home country sales teams
C) modifies marketing strategies to meet local needs
D) maintains uniformity across all markets
E) results in greater brand power
Elise Philips, a leading fashion designer, connects with her followers through a strong
online presence, promoting her brand and discussing fashion tips through articles and
videos on her personal fan page. In this case, which of the following marketing forms
does Elise use?
A) direct e-mail
B) a catalog
C) a search engine
D) a spambot
E) a blog
Through which of the following routes do firms generally get into international
marketing?
A) buying shares of an international company
B) shipping products to foreign customers
C) organizing an international division
D) establishing a joint venture
E) acquiring a foreign firm
Service variability means that ________.
A) the evaluation of services is subjective and changes from customer to customer
B) service quality depends on when, where, and how they are provided
C) services cannot be stored for later sale or use
D) services cannot be seen, tasted, felt, heard, or smelled before they are bought
E) services can be separated from their providers
________ are people within a reference group who, because of special skills,
knowledge, personality, or other characteristics, exert social influence on others.
A) Opinion leaders
B) Late mainstream adopters
C) Strangers
D) Barnacles
E) Lagging adopters
Cream Bay has come out with a new range of ice creams. To promote the new products,
Cream Bay has set up shopping mall kiosks to offer free ice cream samples to potential
customers. Which promotion tool is Cream Bay most likely using?
A) rebates
B) price packs
C) point-of-purchase promotions
D) coupons
E) advertising specialties
Monfax Corporation insures manufacturers, distributors, and consumers against the loss
or damage of goods during transportation after a purchase or sale. In this case, Monfax
is an example of a ________.
A) wholesaler
B) retailer
C) financial intermediary
D) physical distribution firm
E) marketing service agency
Dazed is a bar which mostly plays trance music and has a dedicated day every week for
local bands to perform. To build strong customer relations, Dazed sends text messages
to customers, telling them about happy hours, bands playing that week, dedicated genre
nights, and other activities. Which of the following promotion mix tools does Dazed
employ to reach target customers in this scenario?
A) public relations
B) personal selling
C) direct marketing
D) crowdcasting
E) retailing
Customer-driven marketing is most effective when ________.
A) a clear need exists among customers, but the need is difficult to identify
B) customers do not know what they want but are easily persuaded
C) customers seek new products and technological innovations
D) clear needs exist and customers know what their needs are
E) customers have wants but cannot afford them
Which of the following examples represents a product sales-force structure?
A) Venson’s produces frozen dinners at its factory in Ohio, and it sells them across the
country through a network of sales representatives organized into regional and
territorial tiers.
B) AmWeb produces an expensive brand of herbal cosmetics called “Green You” that
are sold in select boutiques and beauty parlors by selling teams assigned to serve small
groups of key customers.
C) Verra Designers operates from its landmark store in uptown New York and
customers from all over the world come to this store to buy original merchandise at
steep prices.
D) Cartlon Computers sells its range of highly specialized computers through special
teams, each of which has received training in the configuration, uses, and USPs of a
single model in the range.
E) Nutters Inc., producers of cookies and other baked goods, markets its products
throughout the country through a network of area and regional sales officers.
Explain, with examples, the four characteristics of services that a company must
consider when designing marketing programs.
Should a company use the BCG matrix to classify its products or brands? Give reasons
for your answer.
What are regional free trade zones? Explain the advantages and disadvantages of the
European Union (EU).
Compare and contrast customer-managed relationships and consumer-generated
marketing.
Discuss how the political environment affects the marketing environment.