Frequency programs are designed to reward customers who buy often and in substantial
amounts.
Selective retention works to the advantage of strong brands.
Mission statements that express unrealistic visions are usually unable to inspire
employees to achieve their targets.
To avoid “feature fatigue,” companies must be careful to prioritize those features that
are included and find unobtrusive ways to provide information about how consumers
can use and benefit from the feature.
Small businesses must focus on building one or two strong brands based on one or two
key associations.
Systems selling is a key industrial marketing strategy in bidding to build large-scale
industrial projects such as dams or pipelines.
Customer profitability analysis is best conducted with the tools of an accounting
technique called activity-based costing.
To achieve integrated marketing, marketers need a variety of different marketing
activities that consistently reinforce the brand promise.
Brand personality is the specific mix of human traits that may be attributed to a
particular brand.
Secondary beliefs and values are passed on from parents to children and reinforced by
major social institutions, making them very difficult to change by marketers.
When Staples introduced a new $69.99 paper-shredding device called the MailMate in
2006 by striking a two-episode deal with NBC’s popular television program, The
Office, it was using product placement.
A direct marketer must consider returned merchandise and bad debts when s/he
determines the needed break-even response rate for direct mail.
The goal of exploratory research is to shed light on the real nature of the problem and to
suggest possible solutions or new ideas.
Cannibalized income is additional income to a company as a result of a new product.
Corporate philanthropy as a whole is on the rise.
The easiest measure of marketing public relations effectiveness is the ________.
A) resultant effect on the company’s sales figures
B) effect it has on its market capitalization
C) number of exposures carried by the media
D) changes observed in consumers’ brand knowledge
E) impact it has on the company’s market share
The bundle of costs customers expect to incur in evaluating, obtaining, using, and
disposing of a market offering is called the ________.
A) activity-based cost
B) customer profitability analysis
C) total customer cost
D) product life-cycle cost
E) direct product profitability
________ is the process by which we select, organize, and interpret information inputs
to create a meaningful picture of the world.
A) Consumption
B) Perception
C) Acculturation
D) Assimilation
E) Cognitive dissonance
JSE Securities Exchange is the largest stock exchange in Africa. The JSE provides a
market where securities can be traded freely under a regulated procedure. The company
acts as an intermediary between the traders. JSE is an example of a(n) ________.
A) internal broker
B) infomediary
C) customer community
D) market maker
E) third party arbitrator
Which of the following is true regarding cause-related marketing?
A) The positive impact of cause-related marketing can be increased through sporadic
involvement with numerous causes.
B) Many companies focus on multiple causes to simplify execution and maximize
impact.
C) Limiting support to a single cause increases the pool of stakeholders who can
transfer positive feelings from the cause to the firm.
D) Most firms choose causes that fit their corporate or brand image and matter to their
employees and shareholders.
E) In order to avoid public backlash, firms are advised to adopt a hard-sell approach to
their cause efforts.
Brand salience ________.
A) is customers’ emotional responses and reactions with respect to the brand
B) is how often and how easily customers think of the brand under various purchase or
consumption situations
C) is how well the product or service meets customers’ functional needs
D) describes the extrinsic properties of the product or service, including the ways in
which the brand attempts to meet customers’ psychological or social needs
E) describes the relationship customers have with the brand and the extent to which
they feel they’re “in sync” with it
The purpose of profitability control is to ________.
A) examine whether the planned results are being achieved
B) examine where the company is making and losing money
C) evaluate and improve the spending efficiency and impact of marketing expenditures
D) examine whether the company is pursuing its best opportunities with respect to
markets, products, and channels
E) understand the efficiency of the sales force, advertising, sales promotion, and
distribution
A Japanese firm is ready to sell its recent technological innovation to the US
government. But it has asked for 80 percent in cash and the rest in mica. The Japanese
firm is looking to enter into a(n) ________ with the US government.
A) functional discount
B) compensation deal
C) buyback arrangement
D) offset agreement
E) barter deal
To meet the ________ criterion of useful market segments, it must be possible to
formulate effective programs for attracting and serving the segments.
A) measurable
B) substantial
C) accessible
D) differentiable
E) actionable
________ research approach uses concepts and tools from anthropology and other
social science disciplines to provide deep cultural understanding of how people live and
work.
A) Cognitive
B) Inductive
C) Archaeological
D) Ethnographic
E) Deductive
Straddle positions ________.
A) help firms to analyze who their competitors are
B) allow brands to expand their market coverage and potential customer base
C) are a necessity while creating a firm’s vision and mission statement
D) assist firms in collecting information on competitors that will directly influence their
strategy
E) are ambiguous moral principles behind the operation and regulation of marketing
________ are the most fashion-conscious of all racial and ethnic groups and are more
likely to be influenced by their children when selecting a product for purchase, and less
likely to be influenced by unfamiliar brands.
A) Hispanic Americans
B) Asian Americans
C) African Americans
D) LGBT customers
E) American Indians
Which of the following is true about market share?
A) Outside forces affect all companies in the same way.
B) A company’s performance should be judged against the average performance of all
companies.
C) A decline in market share does not necessarily mean the company is performing
worse than are other companies.
D) A decline in market share cannot be deliberately engineered.
E) All shifts in market share have marketing significance.
A merchant is a(n) ________ in the marketing channel.
A) wholesaler
B) broker
C) sales agent
D) warehouse
E) advertising agency
An advertising ________ is a specific communications task and achievement level to be
accomplished with a specific audience in a specific period of time.
A) medium
B) objective
C) channel
D) budget
E) copy
Which of the following is considered to be the most versatile of all the contact
methods?
A) mail questionnaires
B) telephone interviews
C) personal interviews
D) online interviews
E) field trials
IKEA has achieved global recognition by offering consumers leading-edge
Scandinavian furniture at affordable prices. IKEA is delivering value to consumers who
are ________ constrained.
A) money
B) time
C) brand
D) value
E) self-concept
A niche specialist that specializes in one type of customer, like a value-added reseller
that customizes computer hardware and software for a specific customer segment and
earns a price premium in the process, is a(n) ________ specialist.
A) geographic
B) quality-price
C) product-feature
D) end-user
E) channel
New-to-the-world products are ________.
A) low-cost products designed to obtain an edge in highly competitive markets
B) new product enhancements that supplement established products
C) new versions of an existing product that has been less successful
D) new products that create an entirely new market
E) existing products that are targeted to new geographical markets
Which of the following is a postpurchase service offered by retailers?
A) accepting orders over the telephone
B) advertising and window displays
C) delivery to the customer’s doorstep
D) general information
E) interior decoration of the retail outlet
A strategic-planning gap can be corrected by ________.
A) changing the company’s mission
B) adjusting its core values
C) choosing integrative growth strategies
D) redefining organizational culture
E) increasing resource use
What are the major functions performed by marketing public relations? Illustrate with
examples.
Identify three ways a marketer might transform online marketing touch points related to
privacy on the Web site into a positive customer experience.
As a brand manager you would like to have your brand (brand name) be protectable.
Explain what you mean by “protectable” and give an illustration.
How do the distributors, retailers, and other intermediaries help a company to improve
the quantity and quality of its marketing intelligence?
How can a firm choose a specific attack?
In general, what are the five ways companies use database marketing?
Michael Porter draws a firm distinction between operational effectiveness and a
strategy. Briefly describe this distinction and identify when a company can claim that it
has a strategy.
The service-quality model highlights the main requirements for delivering high service
quality. Which are the five gaps that cause unsuccessful delivery?
Belling is a chain of coffee shops. Give an example of a category point-of-parity and a
competitive point-of-parity for the company.