The marketing mix elements are called __________ because they are the responsibility
of the marketing department in an organization.
A. uncontrollable forces
B. profitability factors
C. stakeholder value generators
D. target market segments
E. controllable factors
Answer:
A custom tailor wishes to use target profit pricing to establish a price for a
custom-designed business suit. Assume variable cost is $200 per suit, fixed cost is
$44,000, and the target profit is $50,000 based on a volume of 50 suits. What price
should be charged for a typical custom suit?
A. $520
B. $1,040
C. $1,880
D. $2,080
E. $10,000
Answer:
Figure 2-1
In Figure 2-1 above, B represents the
A. functional level.
B. board of directors.
C. corporate level.
D. department level.
E. strategic business unit level.
Answer:
Despite the success of its Pentium chips, Intel faced a major threat from competitors
like AMD’s K6 chips that were cheaper and better placed to serve the emerging
low-cost PC market. Intel wanted to protect the brand equity and price premium of its
Pentium microprocessors, but it also wanted to avoid AMD gaining a foothold into the
lower end of the market. So it created Celeron as a cheaper, less powerful version of its
Pentium chips to serve this market. This is a notable example of a __________.
A. private brand
B. brand extension
C. subbrand
D. co-brand
E. fighting brand
Answer:
The five major environmental forces in a marketing decision are
A. climate change, natural resources, pollution, natural disasters, and global conflict
(war).
B. social, technological, economic, competitive, and regulatory.
C. corporate ownership, internal management, supplier partnerships, strategic alliances,
and customer relationships.
D. product, price, promotion, place, and people.
E. ethics, sustainability, cultural awareness, diversity, and values.
Answer:
Higher paper costs, increased postage rates, the growing interest in do-not-mail
legislation, and concern for “green” mailings have resulted in
A. a switch to online catalogs and direct-to-customer e-mail advertisements.
B. a focus on proven rather than prospective customers.
C. the use of thinner, lightweight paper products.
D. the banning of “junk” mail by a growing number of environmentally-concerned
communities.
E. a resurgence in non-automated telemarketing.
Answer:
User generated content refers to
A. the content posted by only one user on his or her private blog.
B. Web 3.0, the next update of the Web.
C. the content created by one user using his or her smartphone.
D. another term for social media.
E. another term for flash mobs.
Answer:
The stage of the new-product process that internally and externally evaluates
new-product ideas to eliminate those that warrant no further effort is referred to as
__________.
A. development
B. stage-gate
C. idea generation
D. business analysis
E. screening and evaluation
Answer:
Setting an annual target of a specific dollar volume of profit is referred to as
__________.
A. target profit pricing
B. target return-on-investment pricing
C. loss leader pricing
D. at-, above-, or below-market pricing
E. yield management pricing
Answer:
The Economic Research Service of the U.S. Department of Agriculture provides
information on topics from how many dairies there are in the U.S. to how many pounds
of broccoli were eaten per person in 2013. This service provides
A. internal primary data.
B. nonprobability sampling tools.
C. internal secondary data.
D. external secondary data.
E. external primary data.
Answer:
Word-of-mouth behavior in marketspace is referred to as __________.
A. tweets
B. buzz
C. instant messaging
D. blogging
E. likes
Answer:
For marketing to occur, there must be two or more parties with unsatisfied needs. Dr.
Pepper Snapple Group distributes Country Time lemonade in cans through
supermarkets at a price comparable to that of soft drinks. The most likely ‘second” party
needed for marketing to occur would be
A. people who are nostalgic about childhood lemonade stands they had during hot
summers.
B. people with a desire for a beverage other than soda or water.
C. product demonstrators who offer samples of Country Time lemonade to shoppers at
local supermarkets.
D. a local distributor of alcoholic beverages.
E. a nutritionist promoting the benefits of fresh fruit in people’s diets.
Answer:
The process of defining a marketing problem and opportunity, systematically collecting
and analyzing information, and recommending actions is referred to as __________.
A. marketing enquiry
B. strategic intelligence
C. data mining
D. marketing tactics
E. marketing research
Answer:
Which of the following statements describes an environmental force?
A. Several states have legislation that requires people transporting children to use age-
and height-appropriate car seats.
B. Tupperware has more than 200,000 independent dealers who market its entire
product line.
C. A car battery comes with a lifetime guarantee.
D. An automobile dealer offers a $500 rebate during the month of July.
E. A major bottler offers a 10-cent refund on returnable bottles.
Answer:
During its market segmentation process for the Nike LeBron X basketball shoe, which
sells for $200+ a pair, Nike decided to concentrate on affluent teens rather than
members of high school basketball teams. This is an example of
A. selecting target market segments to reach.
B. forming products to be sold into groups.
C. developing a market-product grid and estimating size of markets.
D. taking marketing actions to reach target markets.
E. forming prospective buyers into segments.
Answer:
In the VALS framework, consumers whose energy finds outlets in exercise, sports,
outdoor recreation, and social activities are referred to as __________.
A. Believers
B. Strivers
C. Achievers
D. Makers
E. Experiencers
Answer:
The promotional mix includes __________, personal selling, sales promotion, public
relations, and direct marketing.
A. publicity
B. infomercials
C. advertising
D. risk-free trials
E. word-of-mouth
Answer:
If the salesperson’s objective is to search for and qualify potential customers, what is the
name of this stage in the personnel selling process?
A. presentation
B. approach
C. prospecting
D. follow-up
E. preapproach
Answer:
Lexi wants to find the perfect gift for her older sister’s college graduation. She started
looking for the gift last month and expects to spend another couple of weeks to find a
gift her sister will use and like. Lexi is engaging in
A. routine problem solving.
B. limited problem solving.
C. extended problem solving.
D. problem recognition.
E. integrated problem solving.
Answer:
The primary focus of Zappos’ market segmentation strategy is to sell
A. a wide selection of shoes, clothes, accessories, and housewares to people who will
buy them online.
B. a wide selection of leather shoes and boots to retailers.
C. all types of shoes, accessories, and clothing to department stores.
D. Spanish novelties and accessories to organizations.
E. shoes in its own retail stores.
Answer:
Products that are introduced, decline, and seem to return are characteristic of the
__________ type of product life cycle.
A. high-learning
B. low-learning
C. fashion
D. fad
E. generalized
Answer:
Scanning your memory for previous experiences with products or brands is called
A. problem recognition.
B. alternative evaluation.
C. cognitive dissonance.
D. internal search.
E. external search.
Answer:
Since global marketing is affected by economic considerations, a scan of the global
marketplace should include which of the following factors?
A. an analysis of cultural diversity within the country under consideration
B. regulatory constraints regarding contracts, mergers, and partnerships
C. an assessment of language differences including dialect variation
D. political and ideological differences between the countries involved
E. an assessment of the economic infrastructure in the involved countries
Answer:
Primary data refer to
A. facts and figures that are newly collected for a project at hand.
B. facts and figures that have already been recorded prior to the project at hand.
C. facts and figures obtained by watching people mechanically rather than in person.
D. facts and figures obtained by either by asking people questions through the use of
information technology.
E. conclusions developed from information obtained from a representative sample of a
population.
Answer:
Companies use a price premium to assess whether their products and brands are priced
above, at, or below the market. The price premium is the percentage by which the actual
price charged for a specific brand exceeds or falls short of a benchmark established for
a similar product or basket of products. This price premium equals:
A. unit volume market share for a brand divided by dollar sales market share for a
brand, minus 1.
B. dollar sales market share for a brand divided by unit volume market share for a
brand, plus 1.
C. dollar sales market share for a brand divided by unit volume market share for a
brand, minus 1.
D. dollar sales market share for a brand, divided by unit volume market share for a
brand, plus 1.
E. dollar sales market share for a brand, divided by unit volume market share for a
brand, minus the number of competitors against which a brand is being measured.
Answer:
Which of the following is an example of an ultimate consumer?
A. a newspaper reporter who receives a plane ticket to Washington, D.C. to cover the
presidential inauguration
B. a school teacher who bought a ticket to the Summer Olympics opening ceremonies
C. an office receptionist who renews the magazines that are found in the office waiting
room
D. a retailer who buys poster board to make signs for an upcoming store sale
E. a landscaping firm employee who buys a new wheelbarrow to use to haul mulch
Answer:
In a marketing context, a market refers to
A. people with a similar want for a particular product or service.
B. people with both the desire and ability to buy a specific offering.
C. the central location for all buying and selling of products and services.
D. an open space or covered building where vendors convene to sell their offerings.
E. the free the operation of supply and demand.
Answer:
Sales promotion refers to
A. a short-term inducement of value offered to arouse interest in buying a product or
service.
B. a single-themed IMC campaign employing multiple advertising and personal selling
strategies.
C. individualized communications programs that are specifically designed with a single
customer in mind because the item being sold is unique to that customer.
D. a long-term inducement of value offered to build and sustain loyal customer
relationships.
E. a sequence of value inducements aimed at retaining channel members.
Answer:
Which type of sales presentation would be best suited for an inexperienced, less
knowledgeable salesperson?
A. need-satisfaction presentation
B. stimulus-response presentation
C. cold canvassing
D. canned sales presentation
E. directed selling presentation
Answer:
In planning and obtaining publicity, a frequently used tool is the __________, which is
an announcement regarding changes in the company or the product line.
A. trade announcement
B. news release
C. infomercial
D. news conference
E. public trade announcement
Answer:
In the communication process, the viewers who see a TV commercial advertising
P&G’s Old Spice High Endurance antiperspirant during a NASCAR event are called
__________.
A. decoders
B. the target market
C. wasted coverage
D. receivers
E. encoders
Answer: