In advertising, reach is a measure of the percentage of people in the target market who
are exposed to an ad campaign during a given period of time.
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Sales promotions typically create short-term sales but are viewed as ineffective at
building long-term customer relationships.
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Contests, premiums, and displays are tools solely used for trade promotions.
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In a convenience sample, a researcher selects the easiest population members from
whom to obtain information.
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Marketers must be careful to guard against stereotypes when using age and life-cycle
segmentation.
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In today’s digital, mobile, and social media environments, many buyers are more
receptive to or even prefer phone and online contact versus the high level of
face-to-face contact once required.
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A company or brand image should convey a product’s distinctive benefits and
positioning.
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Supply chain management involves managing both upstream and downstream
value-added flows of materials.
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Walmart’s microenvironment includes suppliers.
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Multivariable segmentation systems merge and analyze geographic, demographic,
lifestyle, and behavioral data to help companies segment their markets.
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The objective of descriptive research is to gather preliminary information that will help
define the problem and form hypotheses.
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Digital coupons are the slowest growing coupon segment because consumers are
concerned about privacy issues and spamming.
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Developing biodegradable packaging and implementing energy-efficient operations are
examples of pollution prevention activities.
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Disintermediation occurs when product or service producers cut out intermediaries and
sell directly to final buyers.
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Consumers are generally willing to make more effort than usual to buy specialty
products.
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A business marketer normally deals with far fewer buyers than a consumer marketer.
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Voluntary chains are normally based on one unique product or a specific trade name.
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With a vendor-managed inventory system, the supplier takes full responsibility for
managing inventories and deliveries.
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Integrated marketing communications involves carefully coordinating a company’s
many communications channels to deliver a clear, consistent, and compelling message
about the organization and its products.
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Newspapers, as a medium of advertising, provide poor local market coverage.
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A bank that helps a company finance transactions is both a financial intermediary and a
financial public.
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Value marketing has become the watchword for many marketers.
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The most common form of marketing organization is the product management
organization.
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Specialty products are primarily purchased for use in conducting a business.
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Each population member has a known chance of being included when a probability
sampling procedure is used.
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A consumer demanding a product from a retailer after watching an ad on television has
responded to a pull promotional advertising strategy.
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Inbound logistics involves managing the flow of products from an intermediary to a
customer.
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Wholesalers fall into three major groups: merchant wholesalers, brokers and agents, and
megawholesalers.
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Marketers have a better chance of taking advantage of a person’s secondary beliefs than
his or her core beliefs.
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Furniture is an example of a shopping product.
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Too many retailers, even big ones, fail to clearly define their target markets and
positions.
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Price discrimination is allowed if a seller can prove that its costs are different when
selling to different retailers.
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In an administered VMS, the producer assumes the leadership position in a distribution
channel by default.
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A firm’s marketing department must partner with other company departments to
produce superior value for customers.
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The use of an inside sales force has grown due to the surge in online, mobile, and social
media technologies.
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Consumer products that the buyer either does not know about or knows about but does
not normally consider buying are referred to as ________ products.
A) convenience
B) unsought
C) specialty
D) shopping
E) industrial
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Parvon, a cleaning product, is in the maturity stage of the product life cycle, and Parvon
managers have decided to modify the market. Which of the following steps should
Parvon managers most likely take to achieve this goal?
A) find new market segments for the brand
B) improve the overall quality of the product
C) reduce mass media advertising expenses
D) offer improved services to new buyers
E) conduct controlled test marketing activities
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The objective of ________ research is to gather preliminary information that will help
define the problem and suggest hypotheses.
A) descriptive
B) exploratory
C) causal
D) corrective
E) experimental
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Craft Inc.’s Krayons is a multi-color chalk material that was released in the market over
a century ago. Since the release, the company has had remarkable sales and Krayons
has remained unchanged. However, over the last few years, sales of Krayons have been
stagnant. Competitors have begun marking prices down, and increasing their
advertising and sales promotions. Craft’s Krayons is most likely in the ________ stage
of the product life cycle.
A) introduction
B) maturity
C) growth
D) decline
E) incubation
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Which of the following will most likely be included in the “price” component of a
company’s marketing mix?
A) packaging
B) sales promotion
C) brand name
D) inventory
E) discounts
Answer:
Which of the following is an industrial product categorized under materials and parts?
A) factory
B) cement
C) generator
D) drill presses
E) coal
Answer:
Dextora Technologies manufactures microprocessors and caters exclusively to private
manufacturers that produce high-end computers. Which type of market does Dextora
directly target?
A) retail market
B) government market
C) consumer market
D) business market
E) reseller market
Answer:
Which of the following has the primary function of helping a company target and
promote its products to the right markets?
A) Marketing services agencies
B) Resale marketers
C) Service providers
D) Physical distribution firms
E) Credit companies
Answer:
Sportware, a leading shoe manufacturer, markets sneakers under the brand name
“Athletix” and dress shoes under the brand name “Cameo” in order to target the two
different market segments. What branding strategy is most likely being used by
Sportware?
A) brand extensions
B) line extensions
C) multibrands
D) new brands
E) co-brands
Answer:
Which of the following is a shortcoming of advertising?
A) It does not allow dramatization of the brand or company.
B) It only provides one-way communication with customers.
C) It can be too customized and only attracts small, niche markets.
D) It reaches targeted customers too slowly in most cases.
E) It is the most costly promotion tool for companies.
Answer:
Which sustainable marketing principle emphasizes building long-run consumer
engagement, loyalty, and relationships?
A) sense-of-mission marketing
B) innovative marketing
C) customer value marketing
D) consumerist marketing
E) differential marketing
Answer:
The objective of ________ advertising is to build primary demand.
A) reminder
B) comparative
C) personal
D) informative
E) persuasive
Answer:
Business portfolio analysis is defined as the process in which management ________.
A) studies the products and strategies of competitors to improve the company’s own
products
B) analyzes consumer feedback in order to better position the company’s brand image
C) assesses the attractiveness of an SBU’s market and the strength of its position in the
market
D) segments the company’s markets to reach target consumers effectively
E) conducts marketing research to evaluate the company’s marketing strategy
Answer:
Kelstone Developers is planning to build a new shopping mall that would require the
partial acquisition of a nearby public park. Walking Green, an environmental group,
challenges the plan citing environmental destruction. In response to the demands of
Walking Green, Kelstone Developers promises to build a huge park-like walkway
around the mall. Walking Green is an example of a(n) ________ in this scenario.
A) financial public
B) government public
C) citizen-action public
D) internal public
E) media public
Answer:
Retail convergence most likely leads to ________.
A) reduced differentiation
B) reduced competition
C) increased sales
D) increased profit margins
E) reduced advertising costs
Answer:
Critics claim that companies in the ________ industry are more likely to introduce
planned streams of new products that make older models obsolete.
A) automotive
B) housing
C) food and beverage
D) consumer electronics
E) music
Answer:
Online visitors can’t buy anything at ESPN.com. Instead, the site creates a virtual
experience for sports enthusiasts and fans that can be customized to meet their needs.
This is most likely an example of a(n) ________.
A) branded community Web site
B) promotional Web site
C) interactive Web site
D) e-tailing Web site
E) direct marketing Web site
Answer:
________ 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
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A ________ is a small open-air mall with upscale stores, convenient locations, and
nonretail activities such as a playground, hotel, dining establishments, and a movie
theater.
A) regional shopping center
B) lifestyle center
C) community shopping center
D) power center
E) warehouse club
Answer:
Producers of convenience products and common raw materials typically seek ________
distribution a strategy in which they stock their products in as many outlets as possible
A) selective
B) exclusive
C) intensive
D) exponential
E) comprehensive
Answer:
In most marketing research projects, what type of research is conducted first?
A) causal
B) descriptive
C) remedial
D) corrective
E) exploratory
Answer:
________ 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
Answer:
Lengthening a product line beyond its current range is referred to as product line
________.
A) filling
B) strengthening
C) mixing
D) stretching
E) widening
Answer:
Which term refers to a giant specialty store with a very deep assortment of a particular
product line?
A) category killer
B) convenience store
C) factory outlet
D) department store
E) independent store
Answer:
Weekly or monthly work plans used by management to get information about
salespeople are referred to as ________.
A) sales quotas
B) ROI plans
C) call objectives
D) sales reports
E) call plans
Answer:
Jupiter Steel is the chief provider of metals to Greystone Motors. Greystone Motors has
two models of cars one for commercial and regular consumers and another for
professional car racing teams. Greystone Motors has designated dealers to sell its
commercial cars to consumers, while racing cars are sold directly to the racing teams.
In such a distribution channel, which of the following would be considered a horizontal
conflict?
A) a conflict between Jupiter Steel and Greystone Motors
B) a conflict between Jupiter Steel and Greystone dealers
C) a conflict between two Greystone Motors car dealerships
D) a conflict between a Greystone Motors car dealership and a racing team
E) a conflict between Greystone Motors and its car dealerships
Answer:
Which of the following sources of product information can marketers control
completely?
A) public
B) personal
C) commercial
D) experimental
E) experiential
Answer:
In exclusive dealing, a producer may agree not to sell to other dealers in a given area.
Answer:
Which of the following is most likely the final stage of the business buying decision
process?
A) problem recognition
B) product specification
C) proposal solicitation
D) order-routine specification
E) supplier performance review
Answer:
Which of the following is the means by which companies post purchase requests online
and invite suppliers to bid for their business?
A) extranet links
B) intranet connections
C) trading exchanges
D) traditional procurement
E) reverse auctions
Answer:
A ________ refers to a group of retail businesses built on a site that is planned,
developed, owned, and managed as a unit.
A) pop-up store
B) shopping center
C) warehouse
D) category killer
E) convenience store
Answer:
The concept of ________ lends even more importance to the salesperson’s
customer-relationship-building abilities.
A) sales-force territory
B) sales promotion
C) sales-force management
D) salesperson-owned loyalty
E) sales-force structure
Answer:
Which method of setting advertising budgets best helps management think about the
relationship between promotion spending, selling price, and profit per unit?
A) adaptive-control method
B) objective-and-task method
C) competitive-parity method
D) affordable method
E) percentage-of-sales method
Answer:
Describe the major factors that influence business buyers.
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Explain the four major segmentation variables for consumer markets.
Answer:
What is the difference between corporate chains, voluntary chains, and retailer
cooperatives? How are such retail organizations different from franchise organizations?
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What are the two ways in which a company can extend its product line?
Answer:
Give an account of the functions of the World Trade Organization (WTO) and the
formation of the WTO from GATT.
Answer:
Compare and contrast customer-managed relationships and consumer-generated
marketing.
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Raintree Developers has been measuring its marketing return on investment (or
marketing ROI) to assess its marketing performance for the past few years. Explain
why this method may not accurately reflect the company’s performance and what
Raintree can use to better estimate its performance.
Answer:
Kawaii Electronics sells air conditioning systems for office buildings. The company’s
marketing department is currently structured as a functional organization. However,
Kawaii is considering changing the structure to either a product management or a
customer management organization. In a brief essay, describe each type of organization:
functional, product management, and customer management. What are the advantages
and/or disadvantages of each structure for Kawaii? Which structure do you recommend
for Kawaii? Why?
Answer:
How do companies use the workload approach to set sales-force size?
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Explain the concept of viral marketing.
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How can companies help marketers act ethically when faced with ethical dilemmas?
Answer:
How do organizations carry out marketing control?
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What are personality traits, and how do they affect purchase behavior? Explain with an
example.
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What options are available to a firm that has a product in the decline stage of the
product life cycle? Briefly discuss each option.
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What is sales promotion? What are the various factors that have contributed to the rapid
growth of sales promotion in consumer markets?
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What are business promotions? Explain any two major business promotion tools and
their benefits.
Answer:
Explain the major benefits of direct and digital marketing for both customers and
sellers.
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What is a product? What are the three levels of a product?
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Differentiate between branded community Web sites and marketing Web sites. Provide
examples to illustrate your response.
Answer:
What are the two dimensions of product quality?
Answer: