Brick-and-click companies are those that have launched a Web site without any
previous existence as a firm.
Firms that are viewed as being socially responsible have the added benefit of being able
to attract employees.
Social influence can lead to disproportionally positive online ratings, and subsequent
raters are more likely to be influenced by previous negative ratings than positive ones.
With respect to market offerings, if a marketer emphasizes a naked solution, he or she is
emphasizing the product and service elements that all segment members value.
Experiments call for selecting matched groups of subjects, subjecting them to different
treatments, controlling extraneous variables, and checking whether observed response
differences are statistically significant.
The expectancy-value model of attitude formation posits that consumers evaluate
products and services by combining their brand beliefs according to importance.
Brand mantras must communicate both what a brand is and what it is not.
A contractual sales force consists of part-time employees who work exclusively for the
company.
Marketing communications budgets tend to be higher when there is much change in the
marketing program over time and more complex customer decision making.
Because they are intangible, durable goods normally require more quality control,
supplier credibility, and adaptability than either services or nondurable goods.
Attacking the market leader proves successful and beneficial only when the leader is
not serving the market well.
Personal communications channels derive their effectiveness from individualized
presentation and feedback and include direct and interactive marketing, word-of-mouth
marketing, and personal selling.
Multichannel conflicts are common when the members of one channel obtain a lower
price based on larger-volume purchases.
Which of the following statements is true about the five forces identified by Michael
Porter that determine the intrinsic long-run attractiveness of a market or market
segment?
A) A segment is unattractive if the company’s suppliers are unable to raise prices or
reduce quantity supplied.
B) A segment is unattractive if buyers possess strong or growing bargaining power.
C) A segment is attractive when there are actual or potential substitutes for the product.
D) A segment is attractive if it already contains numerous, strong, or aggressive
competitors.
E) The most attractive segment is one in which entry barriers are low and exit barriers
are high.
Companies typically start their international foray with ________, which involves
working through independent intermediaries who sell their products abroad.
A) indirect exporting
B) licensing
C) franchising
D) direct exporting
E) joint ventures
The first step in the strategic brand management process is ________.
A) measuring consumer brand loyalty
B) identifying and establishing brand positioning
C) planning and implementing brand marketing
D) measuring and interpreting brand performance
E) growing and sustaining brand value
Greta is marketing a product that is technologically advanced and requires a great deal
of explanation. Which direct response tool should she use?
A) direct mail
B) e-mail
C) infomercial
D) inbound telemarketing
E) outbound telemarketing
________ marketing by nonprofit or government organizations furthers a cause.
A) Corporate societal
B) Brand
C) Causal
D) Social
E) Place
________ marketing is based on the development, design, and implementation of
marketing programs, processes, and activities that recognize their breadth and
interdependencies.
A) Niche
B) Holistic
C) Relationship
D) Supply chain
E) Demand-centered
Which of the following is likely if the distribution channel for a product in the foreign
country is long?
A) The foreign country buyers pay a high price.
B) The consumer will pay arms-length price.
C) The profit margin of the sellers increases.
D) The intermediaries are motivated to reship the product to another country to earn
higher profits.
E) The seller can increase profit margins by charging a uniform price.
A ________ is “unpredictable, short-lived, and without social, economic, and political
significance.”
A) fad
B) fashion
C) trend
D) megatrend
E) style
________ is a period of rapid market acceptance and substantial profit improvement.
A) Stagnancy
B) Introduction
C) Maturity
D) Decline
E) Growth
In order to promote ethical cultures, companies should do all of the following EXCEPT
________.
A) disseminate a written code of ethics
B) build a company tradition of ethical behavior
C) hold people responsible for observing ethical and legal guidelines
D) ensure every employee knows and observes relevant laws
E) encourage business practices that are not clearly ethical or unethical
Suppose Concrete Express, a cement manufacturing firm, finds that its sales have
increased by 3 percent this year, while industry sales have increased by 5 percent. This
implies that ________.
A) Concrete Express has acquired additional market share in relation to the cement
industry
B) Concrete Express is losing its relative standing in the cement industry
C) other players in the industry are losing market share
D) the absolute market share of Concrete Express has declined
E) Concrete Express’s position in relation to the industry has remain unchanged
Modern firms use the ________ tool to design products on a computer and then
produce rough models to show potential consumers for their reactions.
A) morphological analysis
B) rapid prototyping
C) concept testing
D) perceptual mapping
E) conjoint analysis
A(n) ________ need is one that the consumer is reluctant or unwilling to explicitly
verbalize.
A) secondary
B) unstated
C) delight
D) secret
E) stated
A key driver of sales frequency is the product ________ rate.
A) consumption
B) disposal
C) refusal
D) utility
E) option
A manufacturer has invested $750,000 in a new product and wants to set a price to earn
a 15 percent ROI. The cost per unit is $18 and the company expects to sell 50,000 units
in the first year. Calculate the company’s target-return price for this product.
A) $18.10
B) $18.23
C) $20.25
D) $20.70
E) $25.50
________ theory teaches marketers that they can build demand for a product by
associating it with strong drives, using motivating cues, and providing positive
reinforcement.
A) Demand
B) Learning
C) Economic
D) Psychological
E) Demographic
________ analysis looks at specific products, territories, and so forth that failed to
produce expected sales.
A) Microsales
B) Sales variance
C) Expense-to-sales
D) Full costing
E) Financial
________ portrays the “whole person” interacting with his or her environment.
A) Attitude
B) Personality
C) Lifestyle
D) Self-concept
E) Subculture
The responses marketers seek from prospects include all of the following EXCEPT
________.
A) decampment
B) attention
C) a purchase
D) a vote
E) a donation
Marco is working on promoting his company’s Glazer brand of electronic razors.
Market research suggests that the target audience possesses an intent to use Glazers, but
is dithering over actually making the purchase. How can he modify the communications
program to get customers to purchase Glazer razors?
What is third-degree price discrimination?
A marketing research firm has instructed its research associates to collect primary data
by stopping people at a shopping mall or busy street corner and request an interview on
the spot. Which contact method is being used by the researchers in this case? What
probable risk may the researchers face while using this method?
Define brand variants.
NV Inc. has launched a touch sensitive handset in the Indian market and priced the
same at INR 9500. Although many people are checking it out and showing interest
about purchasing it, the majority of them are holding themselves back because they feel
that it is not worth INR 9500. They compare the handset’s feature with that of its other
competitors offering the same features and come to a conclusion that it is worth INR
8500 and nothing more than that. What kind of a reference price are the consumers
using?
List the seven roles played by members of a buying center.