Which of the following would be an example of an objective in Step 1 of the
price-setting process?
a. “We need to find the least expensive distributor.”
b. “We need to make allowances for large quantity orders.”
c. “We need to increase the price during the holiday shopping season.”
d. “We need to forget profits right now; just make sure we break even.”
e. “We need to hire a professional accountant.”
Answer:
Emotional intelligence refers to __________.
a. the ability to anticipate and overcome a potential customer’s objections
b. a method of measuring the potential of people who have not had formal schooling
c. a measurement to determine a person’s patience in stressful selling situations
d. the ability to pick up personal cues, ticks, or tells, that help salespeople read their
customers in order to make a sale
e. the ability to understand one’s own emotions and the emotions of people with whom
one interacts on a daily basis
Answer:
Caveat emptor refers to
a. The legal concept of “let the buyer beware,” which was pervasive in the American
business culture prior to the 1960s.
b. The marketing concept of “be first or be last,” implying that the first company to the
marketplace wins.
c. The Latin term meaning that “all is fair in love and war,” an attitude that was held by
most marketers prior to the 1990s.
d. The legal concept of ‘such is life,” which created many illegal as well as legal but
unethical business practices during the 1980s.
e. The Latin phrase meaning “empty promises,” which was a charge placed upon many
firms during the period after WWII when products failed to meet their marketing
claims.
Answer:
The lack of profit in the introductory stage of the product life cycle is very often the
result of __________.
a. pricing the product too low in an attempt to quickly gain market share
b. targeting the wrong target market segment
c. a lack of wholesaler support
d. the large investment costs in product development
e. ineffective execution of the marketing program
Answer:
The customer experience management (CEM) process should
a. allow for spontaneity and not be too rigid or planned.
b. be unique to each individual customer’s experience.
c. stress the similarities in style, function, and form of their service relative to the top
competitors in the industry.
d. differentiate a service from other service offerings.
e. be performed by someone outside the firm to guarantee objectivity.
Answer:
There are seven commonly used organizational buying criteria. One of them is
__________.
a. consumer demand
b. promotional incentives
c. current mood of the buyer
d. senior management directives
e. warranties and claim policies
Answer:
One advantage of using the Internet as an advertising medium is
a. there is no need to segment markets.
b. messages are automatically translated into multiple languages.
c. Internet advertising can use rich media to create interactive ads.
d. initial encoding is easily outsourced.
e. online ads almost always result in a “click,” an action that leads to the purchasing of a
product.
Answer:
Several years ago, Black & Decker purchased General Electric’s small appliances
product line. Black & Decker purchased the line because it needed the cash generated
from a product line that had a dominant market share in the slow-growth small
appliance industry. GE’s small appliances product line is most likely a __________ for
Black & Decker.
a. dog
b. cash cow
c. question mark
d. star
e. hedgehog
Answer:
According to public opinion surveys, __________ are considered to be among the
LEAST ethical occupations in the United States.
a. insurance company professionals
b. legal professionals
c. advertising practitioners
d. members of the U.S. Congress
e. the news media
Answer:
Users of NYTimes.com can access the book review section and link to Barnes & Noble
to order a book or browse related titles without ever visiting a store. NYTimes.com is
an example of the __________ website design element.
a. convenience
b. control
c. connection
d. community
e. communication
Answer:
In the VALS framework, consumers who spend much of their income on fashion,
entertainment, socializing, offerings that make them look good, and have a desire for
the latest things are called
a. Believers.
b. Experiencers.
c. Strivers.
d. Makers.
e. Thinkers.
Answer:
The four I’s of services consist of
a. inflexibility, intangibility, inconsistency, and inseparability.
b. intangibility, inconsistency, inseparability, and inventory.
c. incompatibility, inconsistency, inseparability, and inventory.
d. invisibility, inconsistency, inseparability, and intangibility.
e. inflexibility, incongruity, inconsistency, and inventory.
Answer:
Organizational groupings in which sales territories are subdivided according to location
are referred to as __________.
a. functional groupings
b. reseller groupings
c. geographical groupings
d. product line groupings
e. market-based groupings
Answer:
The percentage of households in a market that are tuned to a particular television show
or radio station is referred to as __________.
a. gross rating points
b. CPM
c. reach
d. rating
e. share points
Answer:
A key role of the marketing department is to “look outward.” This is accomplished by
a. allocating financial resources across strategic business units.
b. communicating the vision of the marketing department forcefully enough to be
incorporated into the overall mission of the company.
c. forming cross-functional teams to help solve the organization’s marketing problems.
d. implement new accounting methods passed by Congress.
e. listening to customers, developing and producing offerings, and implementing
marketing program activities.
Answer:
Which statement regarding efficient supply chains is most accurate?
a. Efficient supply chains use common platforms and common components across
several products.
b. Efficient supply chains rely on large geographically dispersed inventory warehouses.
c. Efficient supply chains traditionally use expensive, but faster, modes of
transportation.
d. Efficient supply chains may limit their assembly and inventory storage facilities to a
single location.
e. Efficient supply chains emphasize economies of scale by increasing the variety of
system configurations offered.
Answer:
Which of the following statements regarding pricing constraints is most accurate?
a. When a product is in the introductory stage of the product life cycle, there is very
little latitude in setting the initial price since consumers still don”t know what the
product can really do.
b. A company has more latitude in setting an initial price if the product is in the
introductory stage of its life cycle and is the only product in the line.
c. The greater the number of products in a company’s product line, the less the product
features of similar products can affect price.
d. The newest addition to a company’s product line should always have the highest price
in order to maintain the value of existing brands.
e. To avoid cannibalization, the newest product addition to a company’s product line
should never have a price lower than the other offerings in the line.
Answer:
Among business products, printer paper would be classified as which type of support
product?
a. installations
b. accessory equipment
c. supplies
d. industrial services
e. raw materials
Answer:
A company’s operating statement consists of three key elements: sales of the firm’s
products and services, costs incurred in making and selling these products and services,
and
a. stock turn rates for its various products.
b. profit or loss.
c. markup on cost.
d. return on investment.
e. bundle pricing options.
Answer:
Which of the following is a special type of price?
a. college tuition
b. operating costs
c. liquidity
d. value
e. stockholders’ equity
Answer:
The Marriott Corporation sent a six-person intelligence team to travel and stay at
economy hotels around the country for a six-month period. The purpose of these visits
was to
a. allow the team to reap the benefits of the new product, Fairfield Inns.
b. obtain ideas by observing consumers in their “natural use environments” to discover
their behavioral and emotional reactions to these economy hotels that could be used in
the new-product development process that resulted in the launch of Fairfield Inns.
c. complete customer satisfaction surveys to assess the strengths and weaknesses of
competing economy hotels.
d. obtain the demographics and media behavior of consumers who stay at these
facilities in order to develop a target market profile.
e. refute the assumption that open innovation can benefit the Marriott Corporation.
Answer:
If you ordered a TV commercial to run on a local TV station that could reach 500,000
households for a cost of $1,000, what would your CPM be?
a. $5.00
b. $4.00
c. $3.00
d. $2.00
e. $1.
Answer:
One evening while watching TV, your stomach growls. You see an ad for Subway. You
walk to the Subway shop and buy a sandwich, which tastes great. In terms of behavioral
learning, seeing a TV ad for Subway is a __________.
a. drive
b. reinforcement
c. cue
d. response
e. prompt
Answer:
The concept of designing marketing communications programs that coordinate all
promotional activitiesadvertising, personal selling, sales promotion, public relations,
and direct marketingto provide a consistent message across all audiences is referred to
as __________.
a. the media mix
b. the marketing matrix
c. the promotional blend
d. marketing by objectives (MBO)
e. integrated marketing communications (IMC)
Answer:
Which of the following trends identified in an environmental scan is an economic
trend?
a. The U.S., Japan, China, and the E.U. countries will increase investments in
sustainable living infrastructure.
b. Digital TVs, tablet devices, and smartphones will become increasingly connected.
c. Partnerships, collaborations, and co-creation of value will become important
dimensions of business rivalry.
d. Health consciousness will lead to more public and private smoke-free areas.
e. Global media consumption (online and social) will continue to grow dramatically.
Answer:
Seeking opportunities by finding the optimum balance between marketing efficiencies
versus R&D-manufacturing efficiencies is referred to as __________.
a. differentiation analysis
b. synergy analysis
c. SWOT analysis
d. sales response analysis
e. market-product grid analysis
Answer:
Direct exporting refers to
a. offering the right to a trademark, patent, trade secret, or similarly valued items of
intellectual property in return for a royalty or fee.
b. contracting with a foreign firm to manufacture products according to certain
specifications.
c. when a foreign country and a local firm invest together to create a local business.
d. when a firm sells its domestically produced goods in a foreign country through an
intermediary.
e. when a firm sells its domestically produced goods in a foreign country without
intermediaries.
Answer:
BzzAgent
a. is the number one consumer information source in developing countries.
b. captures honest word-of-mouth testimonials from satisfied customers who will
promote new products or services.
c. was the first on the Internet to create a public forum for new products.
d. counteracts false rumors or negative buzz for quality products or services that have
been unjustly accused on social networking websites.
e. uses ethnographic research techniques to discover subtle behavioral and emotional
reactions to products in their natural use environment.
Answer:
A major factor in developing a service marketing strategy is __________because of the
inseparability of services from the producer.
a. product
b. price
c. promotion
d. place
e. process
Answer:
Developing a program schedule involves: (1) identifying the main tasks, (2)
determining the time required to complete each task, (3) arranging the activities to meet
the deadline, and (4) __________.
a. selecting a product champion
b. assigning people the responsibilities to complete each task
c. defining specific market segments
d. creating marketing metrics to evaluate the results
e. scheduling a follow-up meeting to evaluate the results
Answer:
Exporting refers to a global market-entry strategy
a. in which a company will sell its products in international markets but not in its own
domestic market.
b. in which a company produces goods in one country and sells them in another
country.
c. in which a company will manufacture its product in several countries at the same
time using different brand names and slight product modifications.
d. in which a company will manufacture products specifically designed for
non-domestic markets, but will sell those products to distributors who take title and
resell the products to different companies around the world.
e. whereby a product is made in one country, assembled in a second country, and
ultimately marketed to a third country.
Answer:
An organization uses the strategic marketing process to answer all of the following
questions EXCEPT:
a. “How do our results compare with our plans?”
b. “How do we allocate our resources to get where we want to go?”
c. “Where do we want to go?”
d. “Do deviations require new plans?”
e. “How do we convert our plans into actions?”
Answer:
Despite the success of its Pentium chips, Intel faced a major threat from competitors
like AMD’s K6 chips that were cheaper and better placed to serve the emerging
low-cost PC market. Intel wanted to protect the brand equity and price premium of its
Pentium chips, but it also wanted to avoid AMD gaining a foothold into the lower end
of the market. So it created Celeron as a cheaper less powerful version of its Pentium
chips to serve this market. This is a notable example of __________.
a. private brands
b. brand extension
c. subbrands
d. co-brands
e. fighting brands
Answer:
Which of the following examples best demonstrates a company’s appreciation of
another country’s values?
a. American companies in Germany encourage the use of all types of credit cards.
b. In Brazil, American companies are extremely careful to keep to a strict agenda and
time schedule, even though an informal structure is preferred.
c. Bath products are advertised by portraying intimate scenes between husbands and
wives in countries where personal privacy is important.
d. McDonald’s restaurants in India serve a full line of products except for hamburgers
made from beef.
e. All of these.
Answer: