UNASUR is the economic community of South American nations.
The benefits of e-procurement include access to new suppliers, lower purchasing costs,
and more time-efficient order processing and delivery.
Prices have a direct impact on a firm’s bottom line.
Prior to the Great Recession of 2008/2009, American consumer spending was careful
and restrained.
The marketing mix consists of people, property, planning, and position.
When using a niche marketing strategy, a firm goes after a large share of one or a few
smaller segments.
Decoding is the process by which a sender puts his or her thoughts into a symbolic
form.
A cell phone maker customized its cell phones for the Asian market by raising the ring
volume so that phones could be heard on crowded streets. This is an example of product
invention.
A company’s mission could appropriately be stated as “making more sales or profits.”
If a company faces competition, its demand at different prices will depend on whether
competitors’ prices stay constant or change with the company’s own prices.
“At Joe’s Diner, we serve great burgers” is a product-oriented business definition.
In the business buying process, business buyers determine which products and services
their organizations need to purchase.
A non-corporate VMS integrates successive stages of production and distribution under
single ownership.
In evaluating different market segments, a firm should look at three factors: segment
size and growth, segment structural attractiveness, and company objectives and
resources.
The selling concept holds that consumers will not buy enough of the firm’s products
unless the firm undertakes a large-scale selling and promotion effort.
The augmented product is the actual product plus the various services and benefits
offered with it, such as a warranty, free delivery, installation, and maintenance.
Jim is planning on buying an expensive HDTV and he realizes that there are few
differences between brands. Jim is displaying complex buying behavior.
The whole-channel view recognizes that to compete internationally a company must
effectively design and manage a standardized global marketing plan.
In a vertical marketing system, two or more companies at one level join together to take
advantage of a new marketing opportunity.
Sales force management refers to hiring and training the sales force.
Which of the following is true of contract manufacturing?
A) It provides a chance to start faster but with more risks.
B) It involves decreased control over the manufacturing process.
C) It leads to an increase in potential profits on manufacturing.
D) It is the simplest way to enter a foreign market.
E) It involves entering a foreign market by exporting surplus products.
Which of the following advertising situations would LEAST likely be considered
“puffery”?
A) Mr. Clean coming to a housewife’s rescue
B) instantly toned thighs and legs as a result of using the Thigh Master for only 15
minutes
C) children immediately growing into attractive adults as a result of drinking milk
D) a retired couple drinking a vitamin and protein shake and then going bicycling
E) a sleepy mom who wakes up to a gray day, drinks a cup of coffee, and then looks out
her window to see golden sunshine, beautiful flowers blooming, songbirds singing, and
a rainbow on the horizon
Which of the following is a disadvantage of using information from internal databases?
A) Obtaining information from internal databases is both time-consuming as well as
expensive.
B) It is not possible to verify information obtained from internal databases.
C) Using information from internal databases leads to biased research findings.
D) Internal information may be incomplete or in the wrong form for making marketing
decisions.
E) Internal databases do not support highly sophisticated technologies that make it
difficult to store large volumes of data.
In its advertisements, Timex promotes its affordable and sturdy watches. Fossil
emphasizes style and fashion in its advertisements, and Rolex stresses luxury and
status. These are all examples of ________ appeals.
A) rational
B) reminder
C) believable
D) entertainment
E) distinctive
From an industry point of view, Universal Pictures film studio might see its competition
as ________.
A) West End theatre
B) Columbia Pictures
C) Tomorrowland
D) Summerfest
E) HarperCollins
In a(n) ________, leadership is assumed not through common ownership or contractual
ties but through the size and power of one or a few dominant channel members.
A) horizontal marketing system
B) administered VMS
C) corporate VMS
D) contractual VMS
E) conventional VMS
Which of the following is true with regard to strategic planning?
A) At the corporate level, the company starts the strategic planning process by
determining what portfolio of businesses and products is best for the company.
B) A strategic plan deals with a company’s short-term goals.
C) The focus of strategic planning is to define a game plan for long-run survival and
growth.
D) The strategic plan is a statement of an organization’s purpose.
E) Strategic planning involves identifying segments of consumers with identical
preferences.
Business buyers are heavily influenced by factors in the current and expected economic
environment, such as ________.
A) level of primary demand
B) organizational objectives
C) group dynamics
D) individual motives
E) culture and customs
A market-penetration pricing policy should LEAST likely be used for a new product
when ________.
A) the market is highly price sensitive
B) production and distribution costs fall as sales volume increases
C) the product’s quality and image support a high price
D) a high price helps keep out the competition
E) there are few or no competitors in the market
________ are a form of product that consists of activities, benefits, or satisfactions
offered for sale that are essentially intangible and do not result in the ownership of
anything.
A) Liabilities
B) Services
C) Brands
D) Consumer products
E) Specialty products
Rob has been asked by his manager to identify a group of potential customers who
would respond in a similar way to a given set of marketing efforts. In this instance, Rob
has been asked to identify a ________.
A) new product
B) market segment
C) marketing intermediary
D) brand
E) product line
In which of the following situations has a company most actively embraced
customer-managed relationships?
A) American Airlines awards frequent flyer points to returning customers.
B) Paige Premium Denim jeans provide superior quality and perfect fit.
C) iRobot invites enthusiastic Roomba owners to develop and share their own uses for
the company’s robotic vacuum cleaner.
D) Best Buy distinguishes between its best customers and its less profitable customers,
stocking merchandise to appeal to each group.
E) Toyota develops a marketing presence on social networks and other online
communities.
When customers have low involvement in a purchase but perceive significant brand
differences, they will most likely engage in ________.
A) complex buying behavior
B) dissonance-reducing buying behavior
C) habitual buying behavior
D) variety-seeking buying behavior
E) consumer ethnocentrism
Peter Adams, an entrepreneur, decided to start a new technology venture. As he needed
servers and computers for his company, he decided to order these from a local vendor
who was offering attractive discounts. In this instance, Peter ________.
A) faces a new task situation
B) faces a modified rebuy situation
C) is most likely to benefit the most from reverse auction
D) faces the need for product differentiation
E) plans to attract customers by offering products at below-market prices
Tone Zone plans to introduce four mp3 player models over the next year. These models
range from basic players at $99 per unit, to more sophisticated players at $399 per unit.
The more features a model has, the more expensive it is. What pricing strategy is Tone
Zone using for its range of mp3 players?
A) product line pricing
B) product bundle pricing
C) captive product pricing
D) by-product pricing
E) optional product pricing
Which of the following is true of price skimming?
A) It is effective in situations in which competitors are able to undercut prices easily.
B) It can be profitably used when the product’s quality and image support its price.
C) It involves underpricing products so that companies make larger sales.
D) It is ineffective in situations in which competitors are unable to enter the market
easily.
E) It leads to a situation in which the company completes more, though less profitable,
sales.
Omega Inc. makes lightweight sunglasses with 100-percent UV protection for people
who love to hunt, hike, and ride bikes. The company’s long-term plans include the
development of lenses that, in addition to protecting users from UV rays, would help
reduce lens spotting through effective water-sheeting methods. This new feature would
be valuable to people who fish. Given the rising popularity of recreational fishing in the
United States, Omega products clearly have a huge market potential. In terms of a
SWOT analysis, Omega has recognized a market ________.
A) weakness
B) strength
C) threat
D) opportunity
E) challenge
In a(n) ________, executives are trained in worldwide operations, not just domestic or
international operations.
A) direct exporting company
B) joint venture
C) international division
D) international subsidiary
E) global organization
After creating a message strategy statement, the advertiser must develop a compelling
________ that will bring the message strategy to life in a distinctive and memorable
way.
A) creative concept
B) customer strategy
C) customer benefit
D) execution style
E) media vehicle
The ________, established in 1947 and modified in 1994, was designed to promote
world trade by reducing tariffs and other international trade barriers.
A) WTO
B) NAFTA
C) EU
D) CAFTA-DR
E) GATT
When a company makes marketing decisions by considering consumers’ wants and
interests, the company’s requirements, and society’s long-run interests, it is practicing
________ marketing.
A) value
B) societal
C) sense-of-mission
D) consumer-oriented
E) customer-value
How does a personality symbol impact a brand?
What are the characteristics of a successful Web site?
What is SWOT analysis?
The potential sales, costs, and profit projections are being determined for a new product
idea at Art for Kids. Which of the following stages of the new product development
process does this illustrate?
What are the two advantages of an innovation management system for developing new
products? Provide four strategies for a company to use to establish a successful system.