Known for its popular line of construction toys for boys, LEGOS introduced a product
line for young girls called LEGO Friends. This is an example of which market
modification strategy?
A. finding new users
B. creating new use situations
C. increasing a product’s use by existing customers
D. modifying the product
E. reacting to competitors’ positions
Answer:
Apple, Inc. custom orders the microprocessors for its iMac, iPhone, and iPad. Intel
makes chips for the iMac and Samsung produces Apple-designed chips for the iPhone
and iPad. Intel and Samsung work with Apple to minimize costs for each of them while
maximizing quality, ultimately giving customers good value for their money. This is an
example of a(n)
A. symbiotic partnership.
B. make-buy decision.
C. reciprocal agreement.
D. supply partnership.
E. exclusive dealing.
Answer:
Research indicates that there are four key factors involved with salesforce motivation:
(1) a clear job description; (2) __________; (3) a personal need for achievement; and
(4) proper compensation, incentives, or rewards.
A. an opportunity for professional growth
B. a moderate degree of competitive spirit within a team
C. effective sales management practices
D. constructive criticism
E. adequate time for bookkeeping and paperwork
Answer:
A visitor to WWE.com will find frequently updated information on WWE wrestlers,
matches, and licensed merchandise on a starry black background but there are no links
to other websites. The WWE.com website is lacking __________, a website design
element that influences customer experience.
A. context
B. communication
C. commerce
D. connection
E. content
Answer:
PepsiCo and __________ entered into a joint venture to market Frito-Lay’s, Cheetos,
Ruffles, and Doritos in Israel.
A. The Strauss Group
B. Ericsson
C. General Mills
D. Hebrew National
E. CGCT
Answer:
Your neighborhood dry cleaner or florist is likely to be categorized as an independent
retailer. This means it is owned by a(n) __________.
A. individual
B. conglomerate
C. consortium
D. chain
E. cooperative
Answer:
In the VALS framework, consumers can have abundant or minimal level of
psychological, physical, and material resources. One segment with minimal resources,
known as __________, focus on meeting basic needs (safety and security) rather than
fulfilling desires.
A. Thinkers
B. Innovators
C. Makers
D. Survivors
E. Strivers
Answer:
Which of the following is a characteristic of the growth stage of the product life cycle?
A. advertising emphasis switches to primary demand
B. a growing proportion of initial purchasers to repeat purchasers
C. addition of new or modified product features
D. profit margins increase as sales increase
E. there are a limited number of retail outlets for greater quality control
Answer:
The __________ method has two advantages over other traditional methods of data
collection: the cost is relatively minimal and the turnaround time for data collection to
report presentation is much quicker.
A. personal interview
B. telephone interview
C. mail survey
D. online survey
E. fax survey
Answer:
Because there are few sellers, price competition among firms is not desirable for them
in which form of competition?
A. pure competition
B. cross-market competition
C. a monopoly
D. monopolistic competition
E. an oligopoly
Answer:
Market segmentation refers to
A. the philosophy that to do a truly excellent job of marketing, a company should
concentrate on only one customer segment at a time.
B. sorting prospective buyers into groups that are willing to pay more than the cost of
production for a good or service.
C. disaggregating prospective buyers from groups into segments of one (individuals)
and then creating specific products that will satisfy this person’s unique needs.
D. aggregating prospective buyers into groups that have common needs and will
respond similarly to a marketing action.
E. the belief that it is possible to satisfy every customer’s needs if you can identify the
correct segment within which they belong.
Answer:
The marketing challenge for the brand manager using a Facebook Page is to post and
create content that will generate the best response. This goal can be accomplished by all
of the following EXCEPT:
A. updating content regularly to keep it fresh.
B. using familiar imagery and messaging, but adding a twist.
C. learning users’ passions.
D. letting users guide content.
E. posting Instagram videos (ads, b-roll) on the left side of the Facebook Page.
Answer:
The four steps in the building brand equity include: (1) developing positive brand
awareness and __________; (2) establishing a brand’s meaning in the minds of
consumers; (3) eliciting the proper consumer responses to a brand’s identity and
meaning; and (4) creating an intense, active, and loyal consumer-brand connection.
A. an association of the brand in consumers’ minds with a product class or need
lowering the price of products
B. easing consumers’ decision making
C. incorporating higher value in products
D. creating market modification
Answer:
Culture serves as a socializing force that dictates what is morally right and just, which
means that moral standards
A. are relative to particular societies.
B. must be universal in order for cross-cultural marketing to be effective.
C. are fluid and very easy to change.
D. are cyclical so it is important to change with the times.
E. are concrete; something is either right or wrong.
Answer:
The promotional mix includes advertising, personal selling, sales promotion, public
relations, and __________.
A. public relations
B. direct selling
C. merchandising
D. word-of-mouth
E. direct marketing
Answer:
The promotional objective of the maturity stage of the product life cycle is to
__________.
A. inform
B. persuade
C. remind
D. sway
E. convince
Answer:
Recently, many nonprofit organizations such as The American Red Cross
A. were eager to use marketing practices but were not permitted to do so since they
were 501C3 organizations as classified by the IRS.
B. worried that marketing would limit their profitability as nonprofit organizations.
C. could not afford marketing activities.
D. have increased their use of marketing practices to improve communication with
constituents.
E. thought that marketing activities would harm demand.
Answer:
A news conference is a(n)
A. announcement regarding changes in a company or product line.
B. free space or time in a newspaper or on a broadcast medium.
C. publicity tool that utilizes high-visibility individuals in lobbying activities.
D. meeting of top news executives to decide advertising policy.
E. informational meeting to which representatives of the media are invited.
Answer:
Yogen Frz is a successful chain of frozen yogurt shops originating in Canada.
Archeology Investments has an agreement with the Canadian firm that grants rights to
its company to open and operate Yogen Frz shops in Dubai, Oman, Qatar, Bahrain, and
Kuwait. Yogen Frz is engaged in
A. dual adaptation.
B. a joint venture.
C. direct exporting.
D. indirect exporting.
E. franchising.
Answer:
For any product to be successful, it must be purchased by __________.
A. early adopters and laggards
B. early majority and late majority
C. late majority and laggards
D. innovators and early majority
E. innovators and early adopters
Answer:
A(n) __________ is a product, service, or idea that creates value for both the
organization and its customers by satisfying their needs and wants.
A. organization
B. business firm
C. nonprofit
D. offering
E. industry
Answer:
A test where consumers are invited to view new television shows or movies in which
test commercials are also shown is called a(n) __________.
A. sales test
B. jury test
C. theater test
D. attitude test
E. portfolio test
Answer:
When a company uses a product line extension, it
A. markets a product under a new brand name so that consumers will view it as an
entirely new product line.
B. markets a new product with the current brand name to enter a new market segment in
its product class.
C. speeds up the movement of a product through its product life cycle.
D. contracts with another firm to manufacture modified versions of the original
products.
E. applies the current brand name to enter a completely different product class.
Answer:
A selling format that assumes that given the appropriate prompts by a salesperson, the
prospect will buy is referred to as a __________.
A. formula selling presentation
B. stimulus-response presentation
C. stimulus-satisfaction presentation
D. stimulus-selling presentation
E. persuasive sales presentation
Answer:
Figure 11-3A
Figure 11-3A above shows that when the quantity demanded for Red Baron frozen
cheese pizzas moves from 2 to 3 million units along the demand curve D1, the profit
A. increases from $6 to $8 per unit.
B. decreases from $8 to $6 per unit.
C. stays the same per unit.
D. increases from $2 to $3 per unit.
E. impacts cannot be determined. Figure 11-3A does not indicate what happens to profit
when the quantity demanded changes.
Answer:
A basic test of the usefulness of the market segmentation process is whether it leads to
tangible marketing actions that can
A. increase sales and profitability.
B. stand up to legal scrutiny.
C. be socially responsible.
D. create sustainable demand.
E. produce product differentiation.
Answer:
A company that successfully employs permission marketing adheres to three rules: (1)
opt-in customers only receive information that is relevant or meaningful to them; (2)
__________; and (3) their customers are assured that their name or buyer profile data
will not be sold or shared with others.
A. customers will receive a “30-day money back guarantee if not 100% satisfied” for
any product purchased online
B. customers will be protected from identity theft for any product purchased from its
website
C. opt-in customers will be guaranteed the lowest possible price for an item compared
to similar products or services sold by its competitors
D. customers are given the option of opting out, or changing the kind, amount, or
timing of information set to them
E. the firm will never buy marketing lists from other companies that may contain their
personal information
Answer:
When Hallmark cards introduced a line of 99-cent cards (about half the price of the
previously least expensive cards it sold), the greeting card company was trying to
appeal to a mass market that was price sensitive. Hallmark was using a __________
pricing strategy.
A. prestige
B. skimming
C. target ROI
D. penetration
E. experience-curve
Answer:
Suppose L.L. Bean, a catalog retailer, has set a goal to reduce merchandise returns by
20 percent for the holiday season. The firm would most likely have set a(n)
__________ goal.
A. profit
B. customer satisfaction
C. market share
D. employee welfare
E. social responsibility
Answer:
Recently, much of the western U.S. experienced a drought condition and water usage
was restricted in Denver. Yet, even though most people used less water, the price of
water did not drop. When the drought was declared over, the water company raised
water prices. However, the residents of Denver did not use less water. Here, water is
A. price elastic.
B. price sensitive.
C. price inelastic.
D. price insensitive.
E. unitary elastic.
Answer:
The owners of Ben & Jerry’s Homemade, Inc. adhere to the belief that the company
should not harm the environment in any way but actually improve it. This is an example
of __________.
A. moral capitalism
B. utilitarianism
C. existentialism
D. moral idealism
E. socialism
Answer:
A local candidate running for office would very much like to have your vote. She
promises that she will “make the country better.” Because all candidates for public
office say this, you doubt you’ll see real results and decide not to vote for her.
Marketing will not occur in this situation because __________.
A. marketing doesn’t apply to the voting process
B. the desire and ability to satisfy needs is missing
C. there is no direct way for the parties to communicate
D. something to exchange is missing
E. there is only one party involved in this situation
Answer: