The market subsegment that a company exclusively caters to may dry up, or it might
grow to the point that it attracts larger competitors. This is why such companies practice
________.
A) multiple niching
B) mass marketing
C) overall cost leadership
D) low-price strategies
E) dumping
Soon-Yi Park’s chain of travel agencies has identified the lesbian, gay, bisexual, and
transgender community as a growing market that spends an increasing percentage of its
income on travel. Which of the following would be the LEAST effective component of
a marketing plan for Soon-Yi to take advantage of this opportunity?
A) develop a presence on LGBT-oriented social networking sites
B) position his agency as focused on specialized experiences
C) implement a mass marketing campaign
D) place specially-targeted ads in gay-themed publications
E) advertise on LOGO, the cable television network aimed at gays and lesbians and
their friends and family
A successful CRM program is expected to help a company achieve all of the following
EXCEPT ________.
A) provide higher levels of customer service
B) develop deeper customer relationships
C) create offers tailored to meet specific customer requirements
D) understand the competition better
E) pin-point high-value customers and cross-sell products
Pacific Fisheries divides its customers into different regional units, such as Asia,
Australia, and the Americas. This is an example of ________ segmentation.
A) demographic
B) psychographic
C) geographic
D) occasion
E) benefit
The ________ environment consists of laws, government agencies, and pressure groups
that influence or limit various organizations and individuals in a given society.
A) socio-legal
B) cultural
C) political
D) technological
E) economic
Rachel works for a furniture company in Ireland. She is responsible for buying and
selling goods at a profit to small retailers. Rachel most likely operates in a ________
market.
A) business
B) reseller
C) wholesale
D) consumer
E) retail
To carefully integrate and coordinate the company’s many communications channels to
deliver a clear, consistent, and compelling message about the organization and its
products, some companies appoint a(n) ________.
A) idea champion
B) marketing communications director
C) sales representative
D) business analyst
E) media planner
Steelz Inc. has designed a process that manufactures an improved version of steel more
efficiently, which will save the firm both money and resources. In considering the
launch of this new steel in the market, the firm must first decide on ________.
A) timing
B) location
C) organizational structure
D) test marketing
E) product mix
In the context of behavioral segmentation, who among the following is a potential user?
A) Anita, who recently had a baby
B) Peter, who recently changed his job
C) Mary, who enrolled as a graduate student in a university last year
D) Gina, who opened a dental clinic in Orange County
E) Raj, who is planning a trip to Hawaii with friends
________ sell standard merchandise at lower prices by accepting lower margins and
selling higher volume.
A) Merchant wholesalers
B) Discount stores
C) Full-service retailers
D) Limited-service retailers
E) Factory outlets
Refer to the scenario below to answer the following question(s).
Reliable Tools Company is a manufacturer of hubs and axles for the trailer and heavy
truck industry. Although Reliable Tools only has 15 customers, the company is the sole
supplier of hub and axle components to those customers. Monthly sales at Reliable
Tools are approximately $1 million. “You might say we have all our eggs in one
basket,” says owner Arthur Deetz.
It is critical that a competent sales force be maintained in order to nurture those few but
large accounts. Ninety-five percent of Reliable Tools’ customers are located in
Michigan, Ohio, and Indiana, which means that travel time to all customers is relatively
short. However, given the nature of the industry, time spent with each customer is
crucial.
Which of the following promotions would be most appropriate for Reliable Tools to use
in its attempt to promote its products and generate new business leads?
A) rebates and price packs
B) premiums
C) specialty advertising
D) samples
E) conventions and trade shows
Which of the following stages in the new product development would a firm engage in
immediately after the completion of concept testing?
A) idea screening
B) marketing strategy development
C) business analysis
D) product development
E) idea generation
Which of the following statements is most likely true regarding the competitive-parity
method?
A) This method involves starting with total revenues, deducting operating expenses and
capital outlays, and then devoting some portion of the remaining funds to advertising.
B) It is based on the availability of funds rather than on opportunities.
C) It wrongly views sales as the cause of promotion rather than as the result.
D) In this method, promotion budgets are set to match competitors’ outlays.
E) This method involves setting the promotion budget at a certain percentage of current
or forecasted sales.
________ means that consumers are likely to remember good points made about a
brand they favor and forget good points made about competing brands.
A) Selective attention
B) Selective retention
C) Cognitive dissonance
D) Selective distortion
E) Cognitive bias
Before calling on a prospect, the salesperson should learn as much as possible about the
organization and its buyers. This step is known as ________.
A) preapproach
B) closing
C) approach
D) presentation
E) prospecting
All of the following are basic types of compensation plans for salespeople EXCEPT
________.
A) straight commission
B) straight salary
C) salary plus commission
D) salary plus company shares
E) salary plus bonus
Advertising is used mostly by ________.
A) governments
B) business firms
C) social agencies
D) independent professionals
E) not-for-profit organizations
Which of the following acts requires that Web site operators obtain parental consent
before collecting personal information about children under the age of 13?
A) Safe Children’s Act of 2001
B) Children’s Online Privacy Protection Act
C) Children’s Online Protection Act
D) Adam Walsh Child Protection and Safety Act
E) Children’s Act for Responsible Employment
Extel Inc., a home appliance manufacturer, uses sales representatives to sell its products
to wholesalers and individual customers. This is an example of ________.
A) sales promotion
B) personal selling
C) public relations
D) direct marketing
E) advertising
Even large companies use infomercials for all the following reasons EXCEPT to
________.
A) recruit members
B) refer customers to retailers
C) attract buyers to online, mobile, and social media sites
D) introduce new advertising campaigns
E) sell their products
Which of the following involves the direct exchange of goods and services?
A) cash transaction
B) compensation
C) buyback
D) blocked currency
E) barter
________ include banks, credit companies, insurance companies, and other businesses
that help insure against the risks associated with the buying and selling of goods.
A) Financial intermediaries
B) Physical distribution firms
C) Resellers
D) Marketing services agencies
E) Wholesalers