The ratio of promoters to detractors is a customer metric that is used to evaluate the
performance of marketing plans.
Villy Custom Bicycles come in a variety of mix and match colors and styles so
consumers can design their own. This is an example of personalizing the product.
Conflicts between various franchisees of a company are an example of vertical channel
conflict.
A local service company has decided to segment its market based on occupation;
therefore, it has chosen a form of demographic segmentation for its approach.
A manufacturer is using reward power when it offers intermediaries an extra benefit for
performing specific acts or functions.
In the context of overall market share, customer loyalty refers to the percentage of all
customers who buy from the company.
Profit rate tends to decrease over the life of the retained customer due to increased
purchases, referrals, price premiums, and increased operating costs to service.
The sprinkler approach is an entry strategy where a company gradually enters countries
in sequence.
The New Luxury goods category, which includes Kiehl’s skin care and Kendall Jackson
wine, and is based on emotions and priced between average middle-market brands and
superpremium Old Luxury brands, is called accessible superpremium brands.
Product line analysis provides information for two key decision areas ‘” product line
length and product mix pricing.
When a product is more distinctive, it leads to less price sensitivity.
Firms should design the highest performance level possible for their products.
After a test, the most customer-appealing offer will be the most profitable offer to
make.
Relative to online marketing communications, traditional media offers advantages
related to contextual placement.
The main disadvantage of direct investment is that the firm loses access to the market in
case the government of that country insists locally purchased goods have domestic
content.
Puffery refers to simple exaggerations in advertisements that are not meant to be
believed and are considered illegal.
Wants are basic human requirements, such as food and shelter.
Customer lifetime value is affected by revenue and by the costs of customer acquisition,
retention, and cross-selling.
One of the key themes of integrated marketing is that there are very few marketing
activities that can effectively communicate and deliver value.
Which of the following statements demonstrates behavioral loyalty toward a brand?
A) 2Wheels has very customer-friendly return policies for its products.
B) I always buy 2Wheels products when I’m looking for bike accessories.
C) Most of my friends agree that 2Wheels is the best place for durable biking gear.
D) 2Wheels has the friendliest customer service people I’ve ever met.
E) I think that 2Wheels products are the highest-quality products in their price range.
If a marketer decides to segment a market based on neighborhoods, the marketer will
have chosen the ________ method of segmentation.
A) demographic
B) psychographic
C) geographic
D) cultural
E) behavioral
Which one of the following is highest in search qualities?
A) a play at a theater
B) a meal at a restaurant
C) a haircut
D) psychotherapy
E) a computer
Product-line analysis provides information for two key decision areas: product-line
length and ________.
A) product-class composition
B) product-mix pricing
C) product pricing
D) popular pricing
E) product-need family
Audi models featured prominently in the 2010 blockbuster Iron Man 2, including main
character Tony Stark’s personal R8 Spyder. Which of the following is the most rational
explanation for Audi’s decision to associate itself with the movie?
A) to express commitment to the community or on social issues
B) to identify with a particular target market or lifestyle
C) to create experiences and evoke feelings
D) to become part of a personally relevant moment in consumers’ lives
E) to entertain key clients or reward key employees
Despite its weaknesses, markup pricing remains popular for which of the following
reasons?
A) Sellers can determine demand much more easily than they can estimate costs.
B) By tying the price to cost, the pricing task becomes more sophisticated.
C) When all firms in the industry use markup pricing, price competition flourishes.
D) Sellers take advantage of buyers when the latter’s demand becomes acute.
E) Many people feel that cost-plus pricing is fairer to both buyers and sellers.
The key idea in successful nichemanship is specialization. Which of the following
specialists would most closely be identified with the characterization of being an
organization that limits its selling to one customer?
A) end-user specialist
B) vertical-level specialist
C) customer-size specialist
D) specific-customer specialist
E) quality-price specialist
In a pure ________ attack, the attacker matches its opponent’s product, advertising,
price, and distribution.
A) guerilla
B) bypass
C) encirclement
D) frontal
E) flank
Electronic shelf labeling allows retailers to ________.
A) check inventory levels instantaneously
B) order electronically from suppliers
C) run continual promotional messages
D) advertise sales and special offers
E) change price levels instantaneously
When two brands of the same basic product deliver their respective promised quality,
they are delivering ________.
A) performance quality
B) conformance quality
C) unique quality
D) accuracy quality
E) customer support
After estimating the demand and costs associated with alternative prices, a company has
chosen to price its product in such a way that it gains the highest rate of return on its
investment. The company is looking to ________.
A) maximize market share
B) skim the market
C) become a product-quality leader
D) survive in the market
E) maximize current profit
Betsy, a teenager, uses most of her after-school hours in either playing tennis or
watching movies. She barely manages to concentrate on her lessons for a couple of
hours before exams. Being questioned about her substandard performance in school,
she points out the teacher’s inability to complete the entire course during the school
hours as the possible reason. Betsy’s behavior is most likely to be associated with
________.
A) generalization
B) hedonic bias
C) discrimination
D) selective attention
E) psychological repositioning
________ works by listing all the normal assumptions about an entity and then turning
them around.
A) Lateral marketing
B) Attribute listing
C) Reverse assumption analysis
D) Forced relationships
E) Morphological analysis
The final step of customer value analysis is to ________.
A) identify the major attributes and benefits that customers value
B) assess the company’s and competitors’ performances on the different customer values
against their rated importance
C) examine how customers in a specific segment rate the company’s performance
D) monitor customer values over time
E) assess the quantitative importance of the different attributes and benefits
Telemarketing is a type of ________.
A) direct selling
B) network marketing
C) multilevel selling
D) close-range marketing
E) direct marketing
Which of the following elements of the marketing communications mix refers to any
paid form of nonpersonal presentation and promotion of ideas, goods, or services by an
identified sponsor via print, broadcast, network, electronic, and display media?
A) advertising
B) personal selling
C) sales promotion
D) direct marketing
E) public relations
Which of the following is NOT one of the 4 As customers most value?
A) acceptability
B) affordability
C) affability
D) accessibility
E) awareness
Jason is a technology enthusiast who is happy to conduct alpha and beta testing and
report on early weaknesses of consumer electronics products. He is most likely to fall in
the ________ adopter category.
A) late majority
B) early
C) early majority
D) innovator
E) laggard
During which of the following stages in new product development decision making do
managers analyze if they can find a good thought consumers say they would try?
A) idea generation
B) idea screening
C) business analysis
D) concept development and testing
E) product development and testing
Apple hosts a large number of ________, which become customers’ primary source of
product information after warranties expire and are organized by product lines and type
of user (consumer or professional).
A) niche networks
B) social networks
C) microblogs
D) blogs
E) online communities
Good marketing is the art of finding, developing, and profiting from marketing
opportunities. What are the three primary methods for uncovering possible product or
service improvements?
Researchers have found that buyer-supplier relationships differed according to four
factors: availability of alternatives; importance of supply; complexity of supply; and
supply market dynamism. Based on these four factors, they classified buyer-supplier
relationships into eight different categories. What are those categories?
One of the chief complaints from government decision makers is that vendors have not
done their homework. What are some ways a vendor can avoid this perception?
Compare and contrast brand equity and customer equity.
How can coffee shop chain Belling convey its category membership? List the methods
it can use to achieve this.
Describe the challenges and opportunities that international markets pose.
Describe the functional organization of a marketing department in terms of its structure,
advantages, and disadvantages.
A British aircraft manufacturer sold planes to Brazil for 70 percent cash and the rest in
coffee. This is an example of what kind of a countertrade?
Briefly summarize the two views of the value delivery process that may be followed by
organizations.
What are the different income-distribution patterns? How does income distribution in
the economies affect the marketing decision of the firms?