Dividing the percentage change in quantity demanded by the percentage change in price
gives the:
a. prestige demand curve.
b. break-even point.
c. marginal cost curve.
d. price sensitivity curve.
e. price elasticity of demand.
Developing a list of potential customers is called prospecting.
a. True
b. False
Kleenex Boutique is a of tissues made by the Kimberly-Clark Corporation.
a. brand mark
b. brand identification
c. brand name
d. trademark
e. trade name
Chadwick’s sends its customers booklets containing its product offerings and allows
them to place orders on telephone, through mail, or online. Chadwick’s is primarily
a(n)________.
a. online retailer
b. direct seller
c. catalog marketer
d. direct-response marketer
e. specialty retailer
Commentators are people who comment on blogs or post ratings and reviews.
a. True
b. False
Reese has recently joined PharmaTec, a large pharmaceutical firm, as a sales
representative. He was briefed on the recent lawsuit a physician has filed against
PharmaTec alleging that he did not receive the necessary information about the negative
sideÂeffects of one of its cholesterol drugs. Reese’s sales manager has said that if Reese
comes across any documentation in the former sales representative’s office about visits
to the physician, he
is not to say anything to anyone, and notify the manager immediately. Reese certainly
doesn’t want to jeopardize his new, and potentially profitable job. He has identified four
possible courses of action he could take. Which of the following criteria should Reese
use to evaluate eachpossible action in order to choose the most ethical?
a. Its level of positive or negative impact on PharmaTec’s reputation
b. Its potential to increase (or decrease) PharmaTec’s profit
c. Whether the action is inherently right or wrong
d. Whether he will be appreciated or unappreciated by his coworkers afterward e.
Whether it will be courageous or cowardly on his part
Many aspects of consumer buying decisions are affected by the individual’s level of
involvement.
a. the importance and intensity of interest in a product in a particular situation.
b. the buyer’s perception, motives, and abilities.
c. the circumstances, time, and location that affect the consumer buying process.
d. the particular circumstance or environment in which consumers find themselves.
e. a combination of an individual’s demographic factors.
It is never good to ask customers questions while giving the sales presentation, as the
customer may raise objections that the salesperson cannot overcome.
a. True
b. False
Public relations is communication in news story form about an organization, its
products, or both that is transmitted through a mass medium at no charge.
a. True
b. False
The total amount of money a marketer allocates for advertising for a specific time
period is the .
a. media plan
b. advertising appropriation
c. objective-and-task approach
d. promotion grant
e. advertising platform
With its Venus razor, Gillette was the first marketer to offer a triple blade razor
specifically designed for women.
This is an example of market segmentation using variables.
a. demographic
b. psychographic
c. geographic
d. family life cycle
e. product use
Which step in the marketing research process involves the use of data analysis and
statistical techniques to help draw conclusions?
a. Locating and defining problems or research issues
b. Developing hypotheses
c. Collecting data
d. Interpreting research findings
e. Reporting research findings
Event sponsorship can provide companies with a considerable amount of advertising.
a. True
b. False
The new-product development process does not include planning for advertising.
a. True
b. False
If Victor decides to buy a franchise, he will most likely have to supply:
a. management know-how and equipment.
b. buildings and marketing assistance.
c. marketing assistance and management know-how.
d. equipment and management expertise.
e. labor and a percentage of total sales.
Which type of retail outlet can have up to 200,000 square feet?
a. Superstores
b. Supermarkets
c. Discount stores
d. Department stores
e. Category killers
Eric is concerned about not having enough air conditioning units in inventory during
June, July, and August so he keeps extra inventory to guard against stockouts during
this critical period. Eric is keeping:
a. short order lead times.
b. just-in-time inventory.
c. a controlled usage rate.
d. safety stock.
e. excessive inventory.
Walmart sells numerous products, including packaged food, produce, automotive
maintenance services, eyeglasses, clothing, and toys. Walmart advertises itself as a store
where ‘œwe save people’s money so they can live better,’ focusing on its low prices as
the customer’s most important need. Walmart’s advertising appears to use a(n)______
strategy to a market that is .
a. undifferentiated; homogeneous
b. undifferentiated; heterogeneous
c. differentiated; homogeneous
d. homogeneous; differentiated
e. heterogeneous; undifferentiated
In what ways do retailers add value to products?
Explain how consumer-generated content on digital media can be useful to marketers.
How do business markets differ from consumer markets?
What are the two categories of retail stores based on breadth of products offered, and
what are the types of stores in each category?
Identify and describe the major categories of business products.
Why is the marginal revenue of a product important to the marketer?
Give a brief account of a marketing strategy and the selection of an appropriate target
market.
What are the major steps of the target market selection process?
Describe a consumer’s buying power. How might this affect a marketing strategy?