A ________ approach classifies competitors based on objective attributes of the firms.
A) customer-based
B) supply-based
C) market-based
D) demand-based
Development costs are best described as:
A) costs that are associated with individual products that do not vary with sales volume.
B) expenses involved in bringing new products to the market.
C) costs that must ultimately be covered by revenues from individual products, but are
not associated with any one product.
D) the per-unit costs of making the product or delivering the service.
A company is not happy with the present document-copying capabilities so it decides to
outsource its copying to a service firm. This is an example of a:
A) straight rebuy.
B) modified rebuy.
C) repetition purchase.
D) new-task situation.
Chasm refers to the large gap between:
A) the late majority and the laggards.
B) the early majority and the late majority.
C) the innovators and the early adopters.
D) the early adopters and the early majority.
The Hewlett-Packard salespeople in the Imaging Systems Division must be
knowledgeable about the latest developments in ultrasound and other medical imaging
technologies. These salespeople typically carry out:
A) response selling.
B) trade selling.
C) missionary selling.
D) technical selling.
There is often tension between objectives of increasing market share and increasing
profits because:
A) some of the activities required to increase share lower profit margins and increase
costs.
B) market share and profits cannot be increased simultaneously.
C) market penetration strategy, an effective strategy to increase share, usually results in
negative earnings.
D) market share is a prerequisite to increase in profits.
Laxatives are most likely to have:
A) high promotional elasticity and high holding cost.
B) high promotional elasticity and low holding cost.
C) low promotional elasticity and high holding cost.
D) low promotional elasticity and low holding cost.
The objective of which phase of the buying process is for the buyer not only to have a
list of potential suppliers, but to also identify those who are qualified?
A) evaluate proposals and select a supplier
B) request proposals
C) establish specifications
D) search for and qualify potential suppliers
According to the Boston Consulting Group (BCG) matrix, when both market growth
and the relative market share of a product is low, it is known as a:
A) cash cow.
B) dog.
C) star.
D) problem child.
________ compensate retailers for prominently displaying and promoting goods.
A) Display allowances
B) Off-invoice allowances
C) Stocking allowances
D) Rebates
A company can maximize sales by offering the best product. This statement supports
the ________ driven approach.
A) marketing
B) sales
C) technology
D) customer
Which of the following is a disadvantage associated with positive gaps in perceived
service quality?
A) customers’ expectations adapt over time
B) results in short-term dissatisfaction
C) results in increased costs for the company
D) causes employee dissatisfaction
In the chasm model, the first small crack appears between:
A) the late majority and the laggards.
B) the innovators and the early adopters.
C) the early adopters and the early majority.
D) the early majority and the late majority.
With reference to the three basic stages of the advertising response process, what type
of objective should be used if marketing research determines that awareness is high but
few potential customers perceive the product favorably?
A) cognitive objectives
B) affective objectives
C) behavioral objectives
D) post-purchase objectives