To reward wholesalers and retailers for the risk they accept in assuming increased
inventory carrying costs, manufacturers offer
a. noncumulative discounts.
b. cumulative discounts.
c. trade discounts.
d. seasonal discounts.
e. functional discounts.
Answer:
Which of the following is the best example of a convenience product?
a. Apple iPod
b. Lexus LS 460 luxury automobile
c. flight on American Airlines
d. Roget’s Thesaurus
e. toothpaste
Answer:
Stickiness Marketing Dashboard
The subsegment of all Internet users who employ this technology to research products
and services and make purchases are referred to as
a. digital consumers.
b. online consumers.
c. cyberspace consumers.
d. cross-channel consumers.
e. sticky consumers.
Answer:
Which of the following statements about the American household is most accurate?
a. The structure of the American household has not changed significantly since 1960.
b. With a drop in the divorce rate, almost 58 percent of households today are married
couples with children.
c. The number of households with working fathers and ‘stay-at-home” moms has
recently begun to increase again and makes up almost 25 percent of all American
households.
d. One of the fastest-growing types of households are those adults who has moved back
home with their parents.
e. The percentage of married couples has increased from 50 percent in 1960 to 75
percent today.
Answer:
A franchise where the franchisor provides step-by-step procedures for most aspects of
the business is known as a
a. business-format franchise.
b. product-distribution franchise.
c. business franchise venture.
d. manufacturing franchise.
e. general service franchise.
Answer:
The promotional mix can be used to: (1) inform prospective buyers about the benefits
of the product, (2) __________, and (3) remind them later about the benefits they
enjoyed by using the product.
a. explain how to use the product
b. persuade them to try it
c. inform customers of complementary offerings
d. inform customers of pricing changes
e. lure customers away from competitors’ products
Answer:
Which of the following statements reflects Michael Porter’s theory regarding national
competitive advantage?
a. Clusters of strong suppliers can interfere with entry into a global market.
b. A firm that succeeds in global markets often has first succeeded in its domestic
market.
c. A country’s natural resources, education, and infrastructure often pose obstacles that
cannot be overcome.
d. The first goal of a global marketer is to actively educate a nation’s domestic
customers.
e. A nation’s domestic workforce is more motivated to work for foreign corporations
than its own.
Answer:
Major American car manufacturers are offering buying incentives to newly graduated
college students who traditionally have little or no credit. Car manufacturers are using
which of the following market modification strategies?
a. finding new users
b. creating new use situations
c. increasing a product’s use by existing customers
d. modifying the product
e. reacting to competitors’ positions
Answer:
Michael Porter has identified four key elements in a nation’s competitive advantage:
factor conditions; demand conditions; related and supporting industries; and
__________.
a. consumer behavior
b. workforce education and skill levels
c. governmental regulation
d. company strategy, structure, and rivalry
e. suppliers
Answer:
Companies can employ four general branding strategies, which include: (1)
__________; (2) multibranding; (3) private branding; or (4) and mixed branding.
a. retailer branding
b. intermediary branding
c. brand licensing
d. multiproduct branding
e. co-branding
Answer:
Which type of utility is created by online shopping?
a. time
b. price
c. product
d. process
e. promotion
Answer:
The detailed day-to-day operational decisions essential to the overall success of
marketing strategies are referred to as __________.
a. marketing plans
b. marketing programs
c. marketing tactics
d. marketing strategies
e. marketing procedures
Answer:
Integrated marketing communications (IMC) programs coordinate a variety of
promotion alternatives to provide
a. a promotional channel.
b. a communications message.
c. a consistent message across audiences.
d. a media mix useful to all types of companies.
e. a marketing matrix.
Answer:
In keeping with its business mission, Ben & Jerry’s
a. opened new franchises exclusively in pre-built structures in order to save natural
resources.
b. invested in research to create genetically engineered cows that will produce more
hypoallergenic milk.
c. believed that “people should get their fair share of the pie” and as a result practices
Fair Trade-certified sourcing.
d. limited its advertising to online media to save the rainforests from deforestation.
e. packaged its next line of bulk ice cream in glass containers that not only keep the ice
cream colder but are recyclable as well.
Answer:
Which of the following pieces of information is used in the implementation phase of the
strategic marketing process?
a. marketing return on investment
b. Gantt charts
c. revenues associated with each point of market share
d. trends for industry and competitors
e. possible cannibalization effects on other products in the line
Answer:
When a firm divides its selling territory into geographic areas, it is referred to as
a. single-zone pricing.
b. multiple-zone pricing.
c. geographic pricing.
d. FOB origin pricing.
e. basing-point pricing.
Answer:
Stickiness Marketing Dashboard
Consider the ‘stickiness” marketing dashboard above for an automobile dealership. To
gauge the ‘stickiness” of its website, the firm monitors the average time spent per
unique monthly visitor (in minutes) on its website (the third metric above in the
dashboard). This is done by tracking the average visits per unique monthly visitor (the
first metric above) and the average time spent per visit, in minutes, (the second metric
above) that is displayed on its marketing dashboard. For 2011 or “B,” what was the
average time spent per unique monthly visitor (in minutes) on the automobile
dealership’s website?
a. 4.0 minutes
b. 6.0 minutes
c. 10.0 minutes
d. 16.0 minutes
e. cannot be determined
Answer:
The fourth and last step in the sequential process of building brand equity is to
__________.
a. develop positive brand awareness
b. establish a brand’s meaning in the minds of consumers
c. elicit the proper consumer responses to a brands identity and meaning
d. create a consumer-brand connection
e. reward loyal customer behavior
Answer:
Many convenience stores now have mail slots where customers can pay their utility
bills. The utility companies handle all the processing, while the customers get the
benefit of not having to use postage. The convenience store owner gets the advantage of
the extra foot traffic. The mail slots are an example of
a. societal pricing.
b. revenue sharing.
c. value-pricing.
d. barter.
e. cost-pricing.
Answer:
The person most likely to oversee product planning and positioning, as well as
coordinate public relations initiatives, would most likely be the responsibilities of the
__________.
a. CEO
b. CMO
c. CPM
d. CPO
e. COO
Answer:
A business model
a. is a road map for the marketing activities of an organization for a specified future
time period.
b. consists of the strategies an organization develops to provide value to the customers
it serves.
c. is a measure of the quantitative value or trend of a marketing activity or result.
d. consists of the detailed day-to-day operational decisions for an organization.
e. is the means by which organizational goal are to be achieved.
Answer:
The American Express advertising claim that “membership has its privileges” creates
which type of reference group?
a. aspiration group
b. dissociative group
c. assimilation group
d. integrated group
e. membership group
Answer:
The practice that involves unloading products from suppliers, sorting products for
individual stores, and quickly reloading products on trucks that will deliver the products
to specific stores is referred to as __________.
a. just-in-time (JIT) delivery
b. intermodal distribution
c. immediate response system (ERS)
d. piggy-backing
e. cross-docking
Answer:
Industry research shows that outside order getters, or field service representatives, often
work over __________ per week.
a. 30 hours
b. 50 hours
c. 55 hours
d. 60 hours
e. 65 hours
Answer:
At which stage of the organizational buying decision process would design and
production engineers draft specifications?
a. problem recognition
b. information search
c. alternative evaluation
d. purchase decision
e. value analysis
Answer:
Jeff Gerst, who manages the Carmex social media properties, says, “For Carmex,
Facebook isn”t just a way to share coupons or the latest product news, but it is also a
marketing research resource.” One objective in the marketing research he undertook
using Facebook involved
a. assessing the market for its new hand cream product.
b. projecting the market size for the Carmex Moisture Plus line of premium lip balms
for women.
c. assessing the market for Carmex products outside the U.S. in countries where
Facebook is active.
d. evaluating the effectiveness of integrating Carmex Facebook promotions with
traditional Carmex promotions.
e. narrowing the number of flavors going into quantitative testing from three to two.
Answer:
Grouping potential buyers into meaningful segments involves meeting some specific
criteria that answer the question
a. “Is this product useful on a global scale?”
b. “Would segmentation be worth doing and is it possible?”
c. “Is it possible to reposition this product?”
d. “Is there too much competition for this product?”
e. “Is the market loyal to the product?”
Answer:
An ad for Conesco’s life insurance asks the question, “How do you plan on supporting
your family after you pass away?” The ad shows a tombstone with a sign that offers the
face of the stone as ad space. The ad is intended to appeal to which of the hierarchy of
needs?
a. physiological needs
b. safety needs
c. social needs
d. personal needs
e. self-actualization needs
Answer:
Mark Johnson, the manager of a discount consumer electronics store, was approached
by the manufacturer’s representative on behalf of a marketer of a popular and profitable
line of DVD storage racks. The manufacturer’s representative implied that if Johnson
doesn”t raise the retail prices for the storage racks to those paid by the marketer’s
non-discount customers, Johnson’s supply of racks may be severely curtailed. The
manufacturer’s representative is guilty of attempting
a. horizontal price-fixing.
b. resale price maintenance.
c. price discrimination.
d. predatory pricing.
e. bait and switch pricing.
Answer:
Personal selling begins with the __________ stage.
a. lead
b. presentation
c. preapproach
d. prospecting
e. follow-up
Answer:
The purpose of an advocacy advertisement is to
a. promote a specific brand’s features and benefits.
b. tell people what a company is, what it can do, and where it is located.
c. state the position of a company on an issue.
d. reinforce previous knowledge of a product.
e. promote the advantages of one product class over another.
Answer:
In terms of website design and the online customer experience, community refers to
a. an information system where anyone can post content or one where only a restricted
number of people can initiate a blog.
b. websites that allow people to congregate online and exchange views on topics of
common interest.
c. a social network of individuals who interact through specific media, potentially
crossing geographical and political boundaries, in order to pursue mutual interests or
goals.
d. user-to-user communications hosted by a company to enhance customer experience
and build a favorable buyer-seller relationship.
e. a customer’s network of family, friends, acquaintances, and co-workers, with whom
he or she communicates on regular basis.
Answer:
Figure 1.
According to Figure 1. above, which statement is MOST accurate?
a. Legal services are high in search credence properties, but medical services are high in
experience properties.
b. Haircuts are high in experience properties, but barbershops are high is search
properties.
c. Jewelry is high in search properties, although diamonds are high in credence
properties.
d. Television repair is more difficult to evaluate than restaurant meals.
e. Child care is equally high in search, experience, and credence properties because the
decision is so important.
Answer:
The decision by Maytag to purchase electric motors for its clothes dryers rather than to
manufacture them itself is the result of a(n)
a. value analysis.
b. make-buy decision.
c. rebuy decision.
d. reciprocity agreement.
e. sensitivity analysis.
Answer: