Clean-Eaze, a producer of home cleaning products, has designed a new label for its
window cleaner. Under the original 12 categories of marketing variables, Clean-Eaze
has adjusted its promotions.
Goods that are cross-docked are warehoused, but the warehouse does not take title to
the goods.
The effectiveness of an advertisement should be measured both before and after it
reaches the target market.
Culture can be considered at a national level and regional level but is too broadly
defined to be distinct at a local level.
Through the competitive budget method, the ad budget is set to match the percentage of
sales budget of an important competitor.
Global marketing strategies are intended to create efficiencies.
In comparison to sales promotion and personal selling, advertising is more effective at
moving customers to take action.
Limited-service retailers, such as specialty stores and first-class department stores,
employ salespeople who assist customers in every phase of the shopping process.
People do not notice all of the advertising messages to which they are exposed each
day.
One difference between needs and wants is that needs are not influenced by marketers.
A broader definition of “law” also includes social practices or customs.
When measured topics are changed on a regular basis, data trending is possible.
The LOHAS and Naturalites segments of the market for environmentally and socially
responsible products together represent less than half of the American population.
Sales made via the Internet are expected to level off or even decline in the upcoming
years.
There is no specific industry standard for ROMI.
Multicultural brands are different brands within a company’s portfolio that are each
created and managed to be relevant to a specific cultural group.
A marketing department should strive to create a balance between creativity and a strict
interpretation of output from a marketing-mix model.
Consumer organizations such as environmental and minority groups that may question
a company’s marketing decisions are part of the political environment.
One of the distinguishing characteristics of a service is utility, which means that the
service cannot be separated from its means or manner of production.
Today’s direct marketers use databases to deliver their offerings through personalized
communications to small target groups or even individual customers.
A product line is also known as a product mix.
In the United States, government agencies take an interest in ensuring consumer and
public safety but are not involved in preventing anticompetitive business practices.
Marketing practices implemented within a company are considered internal marketing.
Which of the following is NOT an example of external marketing?
A. using information from checkout scanner data to make marketing decisions
B. holding company values training sessions for employees
C. lobbying local and state governments for beneficial regulations
D. purchasing advertising in multiple media forms
E. distributing press releases about brands and company practices to media outlets
Which of the following is NOT a typical marketing channel intermediary?
A. wholesaler
B. retailer
C. facilitator
D. government agency
E. agent
________ are characteristics of human population that are used to identify markets.
A. Needs
B. Demographics
C. Social movements
D. Demands
E. The Four Ps
________ is used when a company introduces a new item under an existing brand name
to an established product line.
A. Line extension
B. Licensing
C. Brand extension
D. Co-branding
E. Bundling
In a marketing-mix model, ________ are based on those things that contribute to
incremental sales, such as new promotions or increased public relations efforts.
A. baseline models
B. sales-lift models
C. buy-in data
D. implementation models
E. scanner data
Refer to the scenario below to answer the following questions. Alden Manufacturing
produces small kitchen appliances blenders, hand mixers, and electric skillets under the
brand name First Generation. Alden attempts to target newlyweds and first-time home
buyers with this brand. Considering that most young households have limited financial
resources, Alden has used break-even analysis and analysis of the demand curve to
determine pricing. “In doing this,” Milt Alden stated, “we have better control over
keeping price right in line with customers.” Alden manufactures a three-speed blender,
its top seller, and a five-speed blender. The hand mixers are manufactured in two styles
a small hand-held mixer with two rotating beaters and a similar style that comes with an
optional stand and attached mixing bowl. Alden’s temperature-controlled skillets are
manufactured in one style with three color options. “Our product offerings are
narrower,” Milt Alden added, “but our line workers know each product like the back of
their hands. This allows us to produce superior products while holding our prices low.”
If Alden raises the price on the handheld mixer by 2 percent and quantity demanded
falls by 10 percent, what is the price elasticity of demand?
A. -5
B. -8
C. -12
D. 5
E. 12
Which major communication tool makes use of displays, discounts, coupons, and
samples?
A. sales promotion
B. sponsorship
C. publicity
D. public relations
E. advertising
Product mix ________ refers to the number of versions offered of each product within a
line.
A. length
B. depth
C. height
D. width
E. perimeter
The ________ regulates email marketing.
A. Do Not Mail List
B. Commitment to Consumer Choice
C. Direct Marketing Association
D. CAN-SPAM Act
E. Do Not Call Registry
Which type of advertising is used to maintain brand awareness?
A. personal advertising
B. persuasive advertising
C. reminder advertising
D. informative advertising
E. causal advertising
The zeitgeist refers to which of the following?
A. how a society is currently segmented
B. what is currently happening within a culture
C. how consumers are reacting to marketing efforts
D. how marketing influences culture
E. how culture influences marketing
A for-profit firm delivers ________ in exchange for money from consumers.
A) demand
B) value
C) perceived need
D) perceived want
E) need
IBM manager Celia Moore coordinates IBMs long-standing “Reinventing Education”
program that involves intensive research into how educational institutions can use the
fruits of new technologies to transform what they do. In the process, the program is
actually helping to shape a market of significant interest to IBM. “We see the program
very much as an investment, rather than handing out money,” says Moore. The
existence of this program most strongly suggests that IBM has which of the following?
A. an environmental concept
B. a financial bottom line
C. a marketing code of ethics
D. a consumerist orientation
E. a policy of corporate social responsibility
A regional restaurant chain spends $90,000 for a local television advertising campaign
that delivers $450,000 in incremental revenue. What is the ROMI factor?
A. 4
B. 5
C. 50%
D. $360,000
E. $450,000
At Gina’s Nails, the posted policy is “Without our customers, we don’t exist.” Gina and
her staff aim to delight each customer, and they are quick to offer discounts or extra
services whenever a customer is anything less than satisfied. Gina and her staff strive to
make every customer a repeat customer. It is most accurate to say that instead of
focusing on each individual transaction, Gina and her staff put a priority on ________.
A. maintaining customer-perceived satisfaction
B. enlisting product champions
C. attracting new customers
D. increasing share of wallet
E. capturing customer lifetime value
Which of the following would most likely be included in the forecasting section of a
marketing plan?
A. demographic predictions
B. predictions of market trends
C. an analysis of psychographic trends
D. an analysis of the company’s past performance
E. an analysis of shifts in industry styles and standards
Which of the following statements about advertising is true?
A. Advertising is personal communication from an identified sponsor using the mass
media.
B. Consumers perceive advertising as always having a high level of credibility.
C. Advertising can be used to suggest how to compare competing brands.
D. The effect of advertising is more easily measured than the effect of sales promotions.
E. Advertising always relies on factual information.
Refer to the passage below to answer the following questions.
Bryant and Aniyah Small are the owners of the Good Green Grocer, a small but
successful chain of natural food and health stores. Bryant and Aniyah’s business has
expanded as more and more consumers are interested in eating organic foods. What
started as one shop in Vermont has expanded to 15 stores in college towns throughout
Vermont, New Hampshire, Massachusetts, and Maine. Much to their delight, the Smalls
have found that many people are willing to pay a bit more for food that is organically
grown.
Bryant and Aniyah want the Good Green Grocer to be associated with environmental
responsibility, so they offer discounts to customers who bring their own reusable
shopping bags and take measures to reduce the company’s carbon footprint. They even
hold environmental workshops in their stores, with topics ranging from organic farming
and composting to at-home energy conservation.
Sunday ads for the Good Green Grocer run in area newspapers, with special
promotional prices offered for a list of the “Top Ten Take Homes” each week. Regular
customers of the Good Green Grocer know that the promotional items often run out of
stock by mid-week, so the store typically sees its heaviest traffic on Sunday and
Monday.
Which of the following groups is most likely part of the Good Green Grocer’s target
market?
A. Conventionals
B. Unconcerned
C. Naturalites
D. Consumerists
E. Drifters
In the business market, wheat and lumber are examples of ________.
A. components
B. equipment
C. processed materials
D. MRO products
E. raw materials
The group of people in an organization who participate in the procurement process is
referred to as the ________.
A. buyer institution
B. buyclass
C. buying center
D. purchasing hierarchy
E. purchasing office
A(n) ________ often contains modeling capability to create different marketing and
financial models.
A. marketing research report
B. sampling procedure
C. interactive research system
D. marketing decision support system
E. competitive intelligence report
Which of the following marketing communication tools involves a representative of a
company interacting directly with a consumer to provide information that helps the
consumer make a buying decision?
A. personal selling
B. advertising
C. sponsorship
D. publicity
E. public relations
The number of times an individual is exposed to an advertising message by a media
vehicle is known as ________.
A. impact
B. reach
C. frequency
D. impression
E. engagement
When the Twin Six Cafe provides gourmet menu options to its customers as well as
impeccable service that includes allowing customers to hand-select their own cuts of
meat, ________.
A. only an actual product is evident
B. only an augmented product is evident.
C. only a core benefit is evident.
D. both a core benefit and an actual product are evident.
E. a core benefit, an actual product, and an augmented product are evident.
Which of the following marketing orientations focuses primarily on improving
efficiencies?
A) production orientation
B) relationship orientation
C) sales orientation
D) consumer orientation
E) social responsibility orientation
Which of the following rewards consumers for repeat purchases of a product or brand?
A. trial offers
B. loyalty programs
C. rebates
D. exhibits
E. advertising allowances
The Paper Moon sells gift wrapping paper, stationery, and greeting cards. It does not
sell any other products. The number of different kinds of wrapping paper, stationery,
and cards make up its ________.
A. point-of-sale range
B. retail price policy
C. atmospherics
D. merchandise assortment
E. retail format
Breaking bulk and creating assortments are both examples of ________ functions
provided by channel intermediaries.
A. communication
B. marketing
C. exchange
D. facilitating
E. physical
The ________ is a tool a company can use to relate its business mission and vision to
individual business activities.
A. BCG matrix
B. balanced scorecard
C. SWOT analysis
D. marketing mix
E. marketing audit
In SWOT analysis, which of the following refers to factors in the external environment?
A. strengths
B. strategies
C. weaknesses
D. opportunities
E. situations
A buyer’s decisions are influenced by ________ such as culture, subculture, groups,
gender roles, and family.
A. personal characteristics
B. situational factors
C. perceptions
D. social factors
E. psychological factors
Cadillac’s portfolio consists of sedans, a crossover, a sport utility vehicle, and a
high-performance version of the sedan. The sedans are sold through the Cadillac dealer
network, but the high-performance version is sold in limited volumes and is not
available at all dealers. This difference in availability is an example of how the products
within the Cadillac portfolio are differentiated by the ________ element of the
marketing mix.
A. pricing
B. promotion
C. place
D. process
E. product
Explain what management guru Peter Drucker meant when he said, “Marketing is the
distinguishing, unique function of the business.”
Compare product mix width, length, and depth.
Give three examples of convenience products.
Why do magazines typically have a high degree of credibility and prestige?
How might a company use a CRM system to carry out measurement and control
activities?
Give an example of a survey question that would measure a customer’s level of
satisfaction.
Why might a company that highly values building long-term relationships with
customers be reluctant to use a sales force compensation strategy that focuses on
commissions?
Explain why it is accurate to say that sponsorship can lay the groundwork for making a
sale using other types of marketing communications.
What are the implications of American ethnic subcultures for marketers?
If a product is price elastic, should a seller consider lowering its price? Explain.
Identify and briefly describe the five innovation adoption segments in the population.
A trucking company is considering purchasing new trucks that are powered by ethanol
instead of diesel fuel. In terms of the buying center, the truck drivers who must make
sure that the trucks’ fuel tanks do not run out of fuel are the ________.
A. initiators
B. deciders
C. buyers
D. users
E. gatekeeper
What are the three components of attitudes?
Briefly describe the purpose of a marketing plan.
Explain why break-even analysis is a useful tool for marketers.
Compare and contrast a conventional channel with a vertical marketing system (VMS).