Companies that use income segmentation always target the affluent.
The primary objective of causal research is to describe things, such as the market
potential for a product or the demographics and attitudes of consumers who buy the
product.
Consumers rarely compare shopping products before purchasing them.
According to Maslow’s theory, safety and social needs must be fulfilled after
self-actualization needs.
Factory outlet malls combine manufacturers’ outlets with off-price retail stores and
department store clearance outlets.
According to the author, when tough economic times hit, or when a company faces
financial difficulties, management should stop spending on new product development.
The demand curve shows the number of units the market will buy in a given time
period at similar prices.
Target costing starts with an ideal selling price based on customer value considerations
and then aims at costs that will ensure that the price is met.
Inbound logistics involves managing the flow of products from an intermediary to a
customer.
Since less than ten percent of smartphone owners use their phones for shopping-related
activities, mobile marketing is a slow growing digital marketing platform.
At Fantastic Flavors, a large regional chain of candy stores, employees from marketing,
design, production, and finance departments work in cross-functional groups to save
time and money in the new product development process. From this description, it can
be inferred that Fantastic Flavors uses a(n) ________ approach.
A) intradepartmental new product development
B) sequential new product development
C) team-based new product development
D) simulated test market
E) controlled test market
________ refers to working closely with people inside and outside the company to
jointly bring more value to customers.
A) Demand management
B) Customer-generated marketing
C) Integrated communication
D) Partner relationship management
E) Channel value proposition
An off-price retailing operation that is owned and operated by a manufacturer and
normally carries the manufacturer’s surplus, discontinued, or irregular goods is called a
________.
A) category killer
B) factory outlet
C) specialty store
D) superstore
E) warehouse club
Bradley Springs, a chain of superstores, promotes its business by handing out printed
materials which contain lists and descriptions of an assortment of its products. In this
case, the company’s promotional strategy is referred to as ________.
A) e-mail marketing
B) telemarketing
C) catalog marketing
D) kiosk marketing
E) viral marketing
Lazer Telecom, a cell phone manufacturer, has signed a contract with a production
house to fund a new movie. The conditions of the agreement state that the movie will
feature Lazer Telecom phones onscreen. What kind of advertising technique has Lazer
Telecom most likely adopted in this example?
A) geofencing
B) advertainment
C) product placement
D) vertical integration
E) subliminal advertising
Which of the following is an advantage of a territorial sales-force structure?
A) The sale of multiple product lines to more than one industry is facilitated.
B) Each salesperson is assigned to multiple geographical areas.
C) Several types of sales-force structures are combined.
D) Travel expenses are relatively small.
E) The sales force specializes across different product lines.
Gold Class Electricals, a consumer-electronics firm, targets market segments based on
factors such as country, age, social class, usage rate, and benefits sought. The company
divides its markets based on ________.
A) demographic variables
B) geographic regions
C) multiple segmentation bases
D) behavioral variables
E) psychographic segmentation bases
Which of the following is a disadvantage of standardization of advertising messages?
A) It gives rise to higher advertising costs.
B) It complicates the advertising process.
C) It is less responsive to local market needs.
D) It tends to suffer from poor coordination.
E) It gives rise to inconsistent messages.
Which of the following conditions is most likely essential for implementing a
successful market-penetration pricing strategy for a product?
A) The product’s quality supports its high price.
B) Alternative products can enter the market easily.
C) The market for the product is highly price sensitive.
D) Prices increase incrementally as sales volume increases.
E) Production costs rise with an increase in marketing efforts.
A company’s mission statement should most likely be ________.
A) defined in terms of satisfying basic customer needs
B) focused on the products and services the company sells
C) defined by the profits the company strives to earn
D) directed at the company’s employees and not at its customers
E) focused on the manufacturing technology that the company uses
Ursa Martin, a book publisher, has decided to work with Hope in Children, a charity
foundation that helps feed and educate children in poor countries. Ursa Martin has
decided that a percentage of revenue from every book it sells will go to the charity. The
books are marketed by conveying this message to customers. Which of the following
marketing techniques describes Ursa Martin’s association with Hope in Children?
A) joint venture marketing
B) cause-related marketing
C) niche marketing
D) green marketing
E) test marketing
________ is the systematic design, collection, analysis, and reporting of data relevant to
a specific marketing situation facing an organization.
A) Test marketing
B) Marketing research
C) Commercialization
D) Integrated marketing
E) Exclusive distribution
When major chain retailers avoid placing stores in disadvantaged neighborhoods, they
are accused of the discriminatory practice of ________.
A) perceived obsolescence
B) reverse redlining
C) redlining
D) puffery
E) planned obsolescence
Which generational group consists of the kid, teen, and tween markets?
A) Generation Y
B) Millenial
C) Generation Z
D) Generation X
E) Lost Generation
________ prices are carried in buyers’ minds and used when looking at a given product.
A) Captive-product
B) Reference
C) Promotional
D) Geographical
E) Dynamic
Deceptive promotion overstates a product’s features or ________.
A) retail price
B) performance
C) wholesale cost
D) packaging
E) brand name
Which of the following conditions is most likely essential for implementing a
successful market-skimming pricing strategy for a product?
A) The product’s quality and image support its high price.
B) Lower-priced alternatives can enter the market easily.
C) Low prices promote more market growth than high prices.
D) The product’s price matches its manufacturing costs.
E) A low-price position of the product is maintained.
In a SWOT analysis, which of the following would most likely be considered a strength
of a company?
A) a favorable economic climate that encourages consumption
B) the exit of a competitor from the market
C) higher prices of the company’s products resulting from inflation
D) an increase in consumer interest in the company’s products
E) an improvement in the company’s production technology
Under ________, the market consists of a few large sellers who are highly sensitive to
each other’s pricing and marketing strategies.
A) pure competition
B) monopolistic competition
C) oligopolistic competition
D) a pure monopoly
E) pure monopsony
A company which uses a press release to explain the resignation of a former CEO is
using ________ to maintain its brand image.
A) personal selling
B) sales promotion
C) public relations
D) direct marketing
E) advertising
When an effective program can be designed for attracting and serving a chosen
segment, the segment is best described as ________.
A) accessible
B) measurable
C) reachable
D) actionable
E) differentiable
The use of traditional business marketing concepts and tools to create behaviors that
will create individual and societal well-being is called ________ marketing.
A) person
B) green
C) non-profit
D) social
E) traditional
Which of the following groups is included in a company’s value chain?
A) customers
B) suppliers
C) employees
D) distributors
E) competitors
What is the difference between price-fixing and predatory pricing? How do
governments discourage firms from engaging in such practices?
Distinguish between a product idea, a product concept, and a product image.
Briefly describe a few ways the American marketing system is accused of harming the
consumer.
Nellie Wills, an emergency medicine professional, is getting married in six months.
Since her job is extremely demanding, Nellie lacks the time to go shopping for all the
products and services she requires for the wedding. However, Nellie is a careful
shopper and likes to evaluate many alternatives before finalizing a purchase. Explain at
least one direct marketing method that may meet the specific needs of Nellie.
Discuss the four Ps of the typical marketing mix. Some people consider that there
should be more than four marketing mix elements. Suggest two additional aspects that
the marketing mix could include.
Describe the concept of sustainable marketing. How is it different from the marketing
concept, the societal marketing concept, and the strategic planning concept?
Distinguish between market-skimming pricing and market-penetration pricing.