In which of the following kinds of organizations do employees exhibit a moderate level
of commitment toward performing their expected roles?
A. Lethargic organization
B. Innovative organization
C. Adaptive organization
D. Supportive organization
Answer:
The management of Delicaci, a multi-cuisine restaurant, is very conservative and insists
that its chefs follow traditional recipes and frowns upon any experimentation. The
management also insists on playing regular music in the restaurant to conform to the
brand image it has established. Moreover, despite receiving negative customer
feedback, the management is reluctant to change its mode of operations. This
particularly implies that the services rendered by the management of the restaurant:
A. have a limited view of marketing.
B. lack creativity.
C. lack strong competition.
D. lack obsolescence.
Answer:
Which of the following statements best describes primary data?
A. Data collected by an organization specifically for the research problem under
investigation
B. Data that has previously been collected for other purposes but can be used for the
problem at hand
C. Data provided by the government, such as U.S. census data
D. Data collected through government reports or syndicated data providers
Answer:
“Advertising is defensive” is the basic philosophy underlying the _____ approach to
determining the advertising budget.
A. competitive parity
B. per-unit expenditure
C. all-you-can-afford
D. research
The basic philosophy underlying the competitive parity approach to determining
advertising spending is that advertising is defensive. From a strategy standpoint, this is
a “followership” technique that assumes that the other firms in the industry know what
they are doing and have similar goals.
Answer:
Grassmeadow Inc., a hospitality management firm, considered as many as thirty
candidates for each housekeeping or front-desk position in its organization. It clearly
defined the skills the service person must bring to the job as well. On which of the
following critical components of internal marketing was Grassmeadow Inc. focusing?
A. An emphasis on teaching employees to have good attitudes.
B. A clear, concrete message conveying a particular service strategy.
C. A careful selection process in hiring frontline employees.
D. An energetic follow-through process.
Answer:
In _____, a current brand name is used to enter a completely different product class.
A. line extension
B. brand extension
C. brand dilution
D. generic branding
Answer:
While choosing an appropriate strategy to establish competitive advantage,
management should choose an organizational strategy that:
A. allows the organization to practice the strategy of differentiation, rather than cost
leadership.
B. try to succeed by following all strategies and trying to be all things to all people.
C. bears consistency with the organization’s mission and capitalizes on its distinctive
competencies.
D. empowers the organization to grow without creating new products or entering new
markets.
Answer:
Which of the following is a results-oriented measure for evaluating salespeople?
A. Calculating the number of lost accounts
B. Measuring uncontrollable lost job time
C. Calculating the number of checks on reseller stocks
D. Measuring maintenance-repairs-operations calls made
Answer:
Which of the following is an advantage of using the everyday low pricing (EDLP)
strategy?
A. This strategy allows retailers to charge higher prices to customers who are not
price-sensitive and will pay the “high” price.
B. This strategy allows retailers to get rid of slow-selling merchandise.
C. This strategy tends to reduce advertising and operating expenses.
D. This strategy, when implemented, tends to draw a lot of customers and create a lot of
excitement.
Answer:
According to Michael Porter’s diamond model, which of the following factors includes
the nature of domestic requirement and the sophistication of domestic customers for the
industry’s product or service?
A. Demand conditions
B. Company strategy, structure, and rivalry
C. Related and supporting industries
D. Factor conditions
Answer:
In the context of product purchasing, the diffusion of innovation is:
A. used to describe an audit task.
B. the spread of a product through the population.
C. applied to products at the introductory stage of the product life cycle.
D. used to describe the ability of an organization to create entirely new products.
Answer:
Online retailing is disadvantageous for marketers because it often:
A. squeezes profit margins due to strong price competition.
B. limits assortment of products to be offered.
C. prevents one-on-one relationships with customers.
D. leads to less shelf space as opposed to direct sales methods.
Online retailing for marketers often squeezes profit margins by providing strong
competition online. It fosters the development of one-on-one, interactive relationships
with customers.
Refer To: Figure 10.7
Answer:
Identify the correct statement about the per-unit expenditure approach of determining
advertising expenses.
A. It is popular because it views sales as a function of advertising.
B. It considers a percentage figure and applies it to either past or future sales.
C. It attempts to determine the retail price by using production costs as a base.
D. It is often based on the premise that advertising is defensive.
Answer:
Monarch Inc. manufactures Kuddles fabric softener. The company uses the image of a
stuffed bear named Kuddles in television and print ads to promote its product. The bear,
which is used for the purpose of sales promotion, also appears on T-shirts and on
Monarch’s official Website, an online interface that connects the company to its
customers. Recently, the Kuddle bear appeared as a spokesperson for a children’s
literacy campaign sponsored by Kuddles fabric softener. In this scenario, Monarch is
combining all the aspects of marketing communication to present a consistent message
through _____.
A. functional department planning
B. traditional marketing communication
C. holistic marketing
D. integrated marketing communication
Answer:
In the context of determining how much to spend on advertising, which of the following
statements is true about the per-unit expenditure approach?
A. This method is popular with higher-priced merchandise.
B. The basic philosophy underlying this approach is that advertising is defensive.
C. This approach is often used in conjunction with the research approach.
D. This approach views sales as a function of advertising, rather than advertising as a
function of sales.
Answer:
Which of the following is a commonly used sales forecasting method that involves
evaluating past sales data and the impact of factors that influence sales?
A. Sales force composite method
B. Customer expectations analysis
C. Time-series analysis
D. Jury of executive opinion method
Answer:
Newage, Inc. has developed a high-end, technically complex software to track
consumer buying behavior. It is extremely high priced and is being sold to a large
departmental store chain. All the units of the departmental store require specialized
knowledge to use the software optimally. The company is most likely to use _____ in
this situation.
A. missionary salespeople
B. technical sales specialists
C. cross-functional sales teams
D. hierarchical sales teams
Answer:
A diversification strategy involves:
A. marketing new products to an existing customer base.
B. seeking new customers for existing products.
C. increasing the sale of present products to present customers.
D. seeking new products for customers not currently being served.
Answer:
Sapphire Corp., a manufacturer of perfumes, decides to use its well-established
corporate image to enter a new product class. It does so by attaching the Sapphire
corporate name to its new line of clothing and accessories. From the information
provided in the scenario, it is evident that Sapphire is using a _____ strategy to market
its products.
A. multibranding
B. line extension
C. family branding
D. cobranding
Answer: