Even when large discount retailers enter a market, a few small, local retailers survive
and prosper. These small retailers have probably developed a(n) ________ that allows
them to survive.
A. advertising campaign
B. plan to evaluate results
C. sustainable competitive advantage
D. set of performance metrics
E. SWOT analysis
Answer:
Gray markets can be a challenge to marketers because
A. they are just as illegal as black markets.
B. they may tarnish the manufacturer’s image.
C. they are legal in some states and illegal in others.
D. consumers are against them, but retailers support them.
E. they may result in price increases across the board.
Answer:
Elena is the CEO of a small manufacturing firm. She is concerned with meeting the
investment objectives of the firm’s shareholders and sees no value in corporate social
responsibility. Elena’s attitude is
A. insupportable in the 21st century.
B. consistent with the views of other critics of corporate social responsibility.
C. typical of nearly all manufacturers.
D. a reaction to regulatory directives of the U.S. government.
E. unethical.
Answer:
Eric is a sales rep for an established building materials manufacturer. Business is good,
but he is concerned that the company has spent little on new product development and
has not created a new product in over five years. Without new products, Eric can market
his current products only to his current customers or
A. diversify.
B. intensify his prototyping.
C. expand his early adopter market segment.
D. market the same products to similar customers.
E. focus on concept testing.
Answer:
When auditing expenses claimed by the university president, the auditors found
extravagant spending on $1,000 per night hotels, banquets, and gourmet restaurants.
The president was fired, alumni donations declined, and staff memberswho were
disturbed by the extravagance while staff salaries were frozenquit their jobs. This
example illustrates
A. that universities are more corrupt than companies.
B. that the extravagant spending should have been kept quiet to minimize damage to the
university.
C. that the impact of unethical actions can affect the organization in unanticipated ways.
D. the need to identify issues.
E. the lack of information needed to make ethical decisions.
Answer:
Which of the following is the definition of social media?
A. content distributed through online and mobile technologies to facilitate interpersonal
interactions
B. a collection of websites that support the posting of videos and photos
C. a group of websites that allow users to establish formal and informal connections
D. the practice of users forwarding video and photo links to one another
E. web services that allow users to share their physical locations
Answer:
“Effective marketing doesn’t just happen.” It is
A. promoted through STP analysis.
B. possible only for seasoned marketing executives to achieve.
C. carefully planned.
D. the sole result of customer input.
E. the result of competitor’s failures.
Answer:
As marketing manager for a newly created software company, Katrina is deciding
whether or not to hire a company sales force. To make this decision, Katrina needs to
consider whether or not
A. her firm should attend trade shows.
B. her firm has a “hot” product.
C. having a sales force is worth more than it costs.
D. she will be able to find an effective supply chain manager.
E. online advertising will work.
Answer:
In integrated marketing communications, encoding involves
A. converting consumers’ ideas into value propositions.
B. differentiating noncommercial speech from commercial speech.
C. converting the decoder into the receiver.
D. interpreting click-through rates.
E. converting the sender’s ideas into a message.
Answer:
Select the statement that best describes the key traits of Generation Y.
A. This generation varies the most in age, ranging from teenagers to adults who have
their own families.
B. This generation is the largest population of 50-plus consumers.
C. This generation is the group that was born immediately after World War II.
D. This generation was the first generation of latchkey children.
E. Members of this generationalso known as Digital Nativeshave had access to the
Internet for their entire lives.
Answer:
Randall arrived at the hotel to find that, although he had a guaranteed reservation, the
hotel had no rooms available. He became angry when the hotel made him a reservation
at a more expensive hotel but refused to pay the difference in room rates. Randall was
upset because, in his opinion, the hotel’s solution did not incorporate
A. intangible fairness.
B. distributive fairness.
C. procedural fairness.
D. service fairness.
E. empowerment fairness.
Answer:
At one point in the evolution of marketing, the United States entered a buyer’s market
and the customer became king. Which era is being described?
A. market-oriented
B. sales-oriented
C. production-oriented
D. value-based marketing
E. economics-oriented
Answer:
Which of the following is not one of the four major growth strategies marketers
typically utilize?
A. market penetration
B. market development
C. segment development
D. diversification
E. product development
Answer:
Many teenagers, both male and female, have clothes they purchased in the past that
they “would not be caught dead in” today. When they occasionally see those clothes
hanging in the back of their closet, these teenagers probably feel
A. cognitive bias.
B. postpurchase cognitive dissonance.
C. psychological risk.
D. need recognition.
E. physiological risk.
Answer:
Carlos owns a chain of retail electronic stores. He is evaluating how he allocates his
firm’s IMC budget. He receives offers from a variety of advertising media, spends
money on his firm’s public relations efforts, and is considering electronic media
alternatives. Carl must recognize that each IMC alternative
A. will stand on its own.
B. is part of the whole.
C. is part of noncommercial free speech.
D. doesn’t help communicate value to the consumer.
E. is dictated by the nature of the supply chain.
Answer:
PRIZM and Tapestry divide and sort small geographic areas into categories using 60 or
more demographic and lifestyle characteristics. These market research tools are
examples of __________ segmentation.
A. geodemographic
B. benefit
C. psychographic
D. loyalty
E. geographic
Answer:
In the communication process, noise can occur as a result of lack of message clarity, a
poor choice of medium, or
A. competing messages.
B. an extended feedback loop.
C. indirect encoding.
D. inhibited decoding.
E. excessive reach.
Answer:
Almost all U.S. political candidates use some combination of red, white, and blue in
their campaign posters. They are trying to position themselves in voters’ minds using
A. the value proposition.
B. salient attributes.
C. symbols.
D. the competition.
E. perceptual maps.
Answer:
Even though they operate from out-of-the-way airports and offer few extra services,
discount, no-frill airlines like Ryanair and EasyJet have been successful. Consumers
obviously consider
A. the extra services offered by these airlines to be the most thorough in the industry.
B. the long-term relationships established by these airlines to be a critical benefit.
C. the prices to be slightly lower, but not low enough to have much influence.
D. the benefit of lower prices to be greater than the cost of reduced services and less
convenience.
E. the major airlines to be worthless.
Answer:
Tariffs, quotas, and currency exchange policies affect global
A. offshore product design.
B. pricing strategies.
C. advertising.
D. logistics.
E. promotion.
Answer:
Marketing channels and supply chains comprise various buying entities that form
relationships with one another. The basic motivating factor in these interactions is
A. collaboration creates transactional relationships.
B. the most powerful member of the supply chain always wins.
C. each party wants something from the others.
D. the participants must create the best possible EDI system.
E. retail floor salespeople need emotional support from management.
Answer:
The effectiveness of an advertising campaign is assessed during the campaign by
A. pull strategies.
B. push strategies.
C. tracking.
D. flighting.
E. pretesting.
Answer:
Elena is in the process of buying a new car. There are many possible cars to choose
from, but she is focused on a few she would actually consider buying. These make up
her __________ set.
A. universal
B. retrieval
C. immediate
D. evoked
E. focus
Answer:
Reginald greets his regular customers by name every morning when they come in for
coffee. He offers them a taste of anything special he is cooking that day. He has a
database with their birthdays, and offers them free meals on their birthdays. Reginald
hopes that this attention to his “regulars” will encourage them to
A. assist him in meeting his functional needs.
B. always include his firm in their universal set.
C. extend problem solving beyond ritual consumption.
D. internalize impulse attitudes.
E. spread positive word of mouth.
Answer:
The marketing goal of getting the “right quantities to the right locations, at the right
time” relates to
A. communicating the value proposition.
B. managing the supply chain.
C. performing service marketing.
D. capturing value.
E. managing price and performance.
Answer:
Sales representatives add value for customers by doing all of the following except
A. educating them about the firm’s products.
B. providing advice on solving business problems.
C. saving them time.
D. simplifying communication with the firm.
E. reducing the firm’s marketing costs.
Answer:
Marketers often use principles and theories from sociology and psychology to better
understand consumers’ actions and to
A. develop basic strategies for dealing with their behavior.
B. contribute to the theoretical knowledge in those disciplines.
C. avoid cultural reference group problems.
D. maximize postpurchase cognitive dissonance.
E. satisfy ritual consumption needs while avoiding overconsumption.
Answer:
In the “create advertisements” step when planning and executing an ad campaign, often
the execution style for the ad will
A. determine the pretesting pulse of the ad.
B. dictate the type of medium used to deliver the message.
C. determine which push-pull strategy will accompany the ad.
D. dictate how advertising will be flighted.
E. deliver integrated marketing.
Answer:
Your text notes that global markets are the result of several fundamental changes.
Which of the following is not one of those changes?
A. reductions or eliminations of trade barriers by governments
B. decreasing concerns of distance and time with regard to moving products across
countries
C. declining fuel costs allowing cost-effective shipping to global markets
D. the standardization of laws across borders
E. globally integrated production processes
Answer:
John used to work for a large, well-known retailer. He left that company to work for a
much smaller company, and in doing so, he discovered that the channel functions were
handled very differently in the smaller firm. Looking back at his experience, he noticed
that larger firms
A. perform many different channel functions themselves.
B. have less control in the channel.
C. are generally less efficient.
D. spend more money wastefully.
E. use more independent salespeople.
Answer:
The more substitutes that exist in a market,
A. the lower the price elasticity for each product.
B. the greater the income elasticity for each product.
C. the easier it will be to utilize a target profit pricing strategy.
D. the more sensitive consumers will be to changes in the price of a particular product.
E. the more likely the market will be characterized as an oligopoly.
Answer:
Value is
A. the lowest cost option.
B. represented by brand names.
C. the highest-priced alternative.
D. everyday low prices.
E. what you get for what you give.
Answer:
Briefly define public relations. Why is public relations an important part of a marketing
campaign?
Answer:
Burger King and Hagen-Dazs ice cream once attempted to use co-branding. What is a
likely reason that it failed?
Answer:
Ellen is asked to create a vendor analysis process for a physician in private practice,
evaluating suppliers of products such as medical supplies. What should Ellen include in
a formal vendor analysis using metrics?
Answer:
When Vance proposed switching the company to Vonage for VOIP telephone calls, he
had to approach Deborah, assistant to the firm’s head of the purchasing department, to
find out how to proceed. Everyone in the company knows that nothing gets purchased
without going through Deborah first. What role does Deborah play in a buying center?
Answer:
Imagine you graduate with a marketing degree and are hired by the marketing
department of a large consumer products company. You are initially given a two-week
training program that revolves around the core aspects of marketing. What will your
training program cover?
Answer:
One of the newest IMC efforts is the use of corporate blogs. Why do businesses use
them?
Answer:
If upscale manufacturers of prestige products like BMW autos, Tiffany glass, or Rolex
watches offered lower-priced products, what might happen to the demand for their
products? Why?
Answer:
What is the difference between an order getter and an order taker?
Answer:
T’Lene is putting together a focus group to discuss students’ concerns about the business
curriculum. What should her focus group include?
Answer:
Respond to the question, “Which is a more important corporate objective: making a
profit or obtaining and keeping customers?”
Answer:
In what three ways are global segmentation, targeting, and positioning more
complicated than domestic STP?
Answer:
Imagine that you are a sales representative for IBM, selling consulting services. Which
of the four types of buying center cultures do you think it would be easiest to sell to?
Using the characteristics of the buying center culture you chose, explain why it was
your choice, and how you would approach selling to that type of buying center.
Answer: