What is the objective of a target return strategy?
A. A specific share of the market.
B. A specific level of profit.
C. A specific sales volume.
D. A specific share of competitors’ sales.
E. A specific mindshare of consumers.
Order takers are concerned with:
A. establishing relationships with new customers and developing new business.
B. selling to regular customers, completing most sales transactions, and maintaining
relationships with their established customers.
C. seeking possible buyers with a well-organized sales presentation designed to sell a
good, service, or idea.
D. selling unsought and heterogeneous shopping products.
E. working with customers to resolve problems that arise with a purchase, usually after
the purchase has been made.
A good reason for using performance indexes is to:
A. convert sales data to profit data.
B. make it easier to compare situations.
C. find territories where actual sales are very high or low.
D. direct management attention to territories where the market potential is greatest.
E. None of these is true.
U.S. business manufacturing markets tend to be concentrated:
A. by industry.
B. with a relatively few large manufacturing plants.
C. by geographical location.
D. All of these are correct.
Retailing on the Internet:
A. can provide consumers with a broad array of product information.
B. still accounts for less than ten percent of total retail sales.
C. is growing rapidly.
D. still needs low-cost ways to handle post-purchase deliveries.
E. All of these alternatives are true.
Which of the following observations about learning is NOT true?
A. Learning is rarely based on direct experience.
B. Consumer learning may result from things that marketers do.
C. Learning can be based on indirect experience or associations.
D. Consumer learning may result from stimuli that have nothing to do with marketing.
E. Almost all consumer behavior is learned.
Which of the following observations concerning performance analysis is true?
A. It doesn’t help identify what data is most relevant.
B. It merely lists figures, but doesn’t compare them against standards.
C. It doesn’t look for differences or exceptions.
D. It doesn’t have to be limited to sales.
E. None of these is true.
The court decisions in the Borden case clearly show that:
A. products of “like grade and quality” must be offered to all buyers at the same
priceeven if sold under different labels.
B. manufacturers who supply retailers with dealer brands cannot force the retailer to
charge consumers the manufacturer’s suggested list price.
C. price fixing is always illegal.
D. a manufacturer can charge different prices for different brands of physically identical
products as long as the price differentials do not exceed the recognized consumer
appeal of the higher-priced brands.
E. manufacturers cannot charge different prices for dealer brands and manufacturer
brands.
A busy mom stops at a 7-Eleven store on the way home from work to purchase some
bread, milk, and ice cream. What primary economic need is being satisfied by the
7-Eleven?
A. Dependability in use
B. Economy of purchase
C. Efficiency in operation
D. Convenience
Which of the following is least likely a result of shifts in the cultural and social
environment?
A. Domino’s Pizza finds that demand for pizza delivered at home has expanded as more
consumers are willing to pay for more convenience.
B. A toy manufacturer recalls a playpen with a defective latch and Toys ‘R’ Us stores
remove them from the shelf.
C. Haagen-Dazs introduces a nonfat yogurt that is also “low cal.”
D. Sony recruits more women graduates for sales management positions.
E. BMW builds its new plant in South Carolina because of the willingness of “Sun
Belt” workers to put in a “full day’s work.”
A government agency charges motorists a toll for using a bridge. The toll is dropped
when the cost of the bridge is paid. In other words, the government’s target return figure
was
A. twenty percent.
B. one.
C. ten percent.
D. hundred percent.
E. zero.
Spruce Pine Mfg. Co. has total fixed costs of $300,000 a year. The owner estimates that
average variable costs for its product will be about $30 next year. The selling price to
wholesalers will be $50. The break-even point is:
A. 6,000 units.
B. 10,000 units.
C. 12,000 units.
D. 15,000 units.
E. None of these alternatives is correct.
A producer of business supplies is using manufacturers’ agents to do:
A. merchandising.
B. order-getting.
C. order-taking.
D. technical advising.
E. supporting activities.
Breakthrough opportunities:
A. are so rare that they should be pursued even when they do not match the firm’s
resources and objectives.
B. seldom occur within or close to a firm’s present markets.
C. are especially important in our increasingly competitive markets.
D. are those that a firm’s competitors can copy quickly.
E. are best achieved by trying to hold onto a firm’s current market share.
Which of the following buying methods would a supermarket buyer be MOST LIKELY
to use in the purchase of grade A large eggs?
A. Purchasing specifications
B. Competitive bidding
C. Negotiated contract
D. Complex buying
The _________ compensation plan increases the amount of sales supervision needed.
A. Straight salary
B. Commission pay
C. Bonus plan
D. Combination plan
E. Profit-sharing plan
In an advanced economy, marketing costs account for about ___ cents of every
consumer dollar.
A. 10
B. 20
C. 30
D. 40
E. 50
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.
Which of the following is not a business product classification?
A. Installations
B. Accessories
C. Professional services
D. Specialty
E. Supplies
Sales-oriented objectives stated in market share terms:
A. make some sense when a market is growing rapidly.
B. use market share targets instead of dollar or unit sales targets.
C. might be achieved and still result in losses for the firm.
D. may lead to greater economies of scale for the firm than for its competitors.
E. All of these alternatives are correct.
“Product” is concerned with:
A. branding.
B. packaging and warranty.
C. physical goods.
D. services.
E. all of these might be involved with Product.
A jewelry maker’s suppliers of gold, platinum and silver, the warehouses that store its
finished goods, and the trucks that deliver the product to retailers are all part of a:
A. private warehouse system.
B. supply chain.
C. modal transportation hub.
D. distribution point.
E. public warehouse network.
Advertising spending
A. by U.S. corporations averages about 25 percent of their sales dollars.
B. exceeded $1.5 trillion in 2010.
C. represents only a small portion of what people pay for products.
D. in the U.S. accounts for roughly 50 percent of worldwide advertising spending.
E. All of these alternatives are correct.
Profit maximization pricing objectives:
A. almost always lead to high prices.
B. are generally not in the public interest.
C. seek to get as much profit as possible.
D. may be stated as a desire to achieve rapid sales growth.
E. All of these alternatives are correct.
What is the first step in the marketing research process?
A. Analyzing the situation
B. Interpreting the data
C. Defining the problem
D. Getting problem-specific data
E. Solving the problem
When marketers select criteria to help screen for new market opportunities, they should
include quantitative components like:
A. what kind of business the firm wants to be in.
B. what resources the firm should build upon.
C. what weaknesses need to be avoided.
D. what is an acceptable return on investment (ROI).
E. what expertise the firm possesses.
Which of the following is the best example of the marketing concept in action?
A. A product manager tells her sales force “the inventory in the warehouse must be sold
if we are to make a profit, so redouble your sales efforts.”
B. A manufacturer of industrial chemicals adapts its formulas and goes after the big
consumer cleaning market.
C. A cleaning supplies firm learns that many consumers are having trouble hiring
maidsso it develops a plan to offer customers complete house cleaning services.
D. An Internet retailer finds that shoppers are abandoning their shopping carts before
checking out, so it promotes its $10 discount on each customer’s first purchase.
E. A student group wants to hold an awards banquet, so it buys Krispy Kreme donuts
and sells them to friends who want to help the club achieve its objectives.
When Sony Corp., an electronics producer, purchased the Pebble Beach golf course in
California, it was pursuing what type of opportunity?
A. Diversification
B. Market development
C. Market penetration
D. Product development
Marketers at General Mills found that lots of people try to check e-mail or drive a car
while eating breakfast or lunch. For many of these target customers the real _____
dimension in picking a snack is whether it can be eaten “one-handed.”
A. potential
B. qualifying
C. determining
D. geodemographic
E. time
Marketing manager Ricki Stephens reviewed her marketing information system to learn
who was buying her company’s products and at what stores they were buying. She
found this internal and external data in her company’s:
A. data warehouse.
B. big data set.
C. market research network.
D. annual report.
E. focus group.
The following headlines are from Business Week magazine. Which article is most likely
to be reporting on a macro-marketing topic?
A. “Two-Person Engineering Firm Offers Unique Service.”
B. “Russia Increases Output of Consumer Goods.”
C. “Pepsi Sells in Japan.”
D. “Bank of America Offers New Internet Banking Services.”
E. “Donations to Tsunami Victims Fund Increase after TV Broadcast.”
A good marketing manager knows that:
A. packaging suppliers are usually a poor source of information.
B. packaging costs generally reduce the customer value a consumer receives.
C. packaging costs should be kept to a minimum.
D. good packaging can tie the product to the rest of a marketing strategy.
E. All of these alternatives are true.