A salesperson may have to make choices about
A. which particular products in the whole line to push most aggressively.
B. what specific target customers to aim at.
C. how to adjust prices.
D. which intermediaries to rely on or help.
E. All of these choices are correct.
Answer:
A manufacturer prefers to produce and ship in large quantities to take advantage of
economies of scale. Final consumers often want to purchase in small quantities. This
difference between the producer and consumer is a:
A. Discrepancy of assortment.
B. Discrepancy of quantity.
C. Regrouping activity.
D. Discrepancy adjustment.
E. Marketing discrepancy.
Answer:
Regarding “full-line pricing,” which of the following statements is TRUE?
A. A good marketing manager usually tries to price products in a line so that the prices
will seem logically related and make sense to target customers.
B. The marketing manager should try to cover all costs on the whole product line.
C. Most customers seem to feel that prices in a product line should be somewhat related
to cost.
D. Not all companies that make a line of products must use full-line pricing.
E. All of these statements about “full-line pricing” are TRUE.
Answer:
Close buyer-seller relationships may not make sense because:
A. Flexibility may be reduced for the firms involved.
B. Not all purchases are important enough to the buyer to justify a close relationship
with a supplier.
C. Some suppliers do not want to deal with buyers who place small orders.
D. There are situations when the buyer could get reduced prices by letting suppliers
compete for the buyer’s business.
E. All of these are correct.
Answer:
Which of the following is NOT likely to be found in a company with a marketing
orientation?
A. The company sells whatever it can make.
B. The company sees customer credit as a service.
C. The company designs its packaging as a selling tool.
D. The company uses marketing research to see if it is satisfying its customers.
E. The company focuses on locating new opportunities.
Answer:
“Discrepancies of quantity” means:
A. some consumers buy more products than others.
B. there are more consumers than producers.
C. some manufacturers can produce more products than others.
D. the difference between the quantity of products it is economical for an individual
producer to make and the quantity normally wanted by individual consumers or users.
E. that demand is greater than what a company can supply.
Answer:
A complete product-market definition includes a four-part description comprising all of
the following except
A. geographic area.
B. customer needs.
C. customer types.
D. product type.
E. marketing mix.
Answer:
Which of the following is most likely to spend 2.5 percent on advertising as a
percentage of sales?
A. A producer of soft drinks
B. A producer of motor vehicles
C. A retail grocery store
D. A producer of soap and detergent
E. A retail jewelry store
Answer:
As a percentage of GDP, which of the following most likely characterizes logistic costs
incurred in developing economies in Africa?
A. Less than 9 percent
B. 9 to 12 percent
C. Approximately 12 percent
D. Approximately 15 percent
E. 25 to 30 percent
Answer:
When an individual searches online for information regarding a business, the Internet
takes which of the following roles in the communication process?
A. Noise
B. Message channel
C. Feedback
D. Encoder
E. Receiver
Answer:
The percentage of U.S. families with incomes above $49,445 in 2010 was:
A. about 50
B. about 75
C. 20
D. 10
E. less than 5
Answer:
The quarterly operating statement for a firm gives the following information:
Number of pieces manufactured: 100
Number of pieces sold: 100
Total cost of goods sold: $800
Average cost of single piece: $5
Net sales: $1,000
It can be inferred that the firm’s gross margin is _____.
A. $92
B. $2
C. $1800
D. $200
E. $1818
Answer:
A typical cost for a focus group interview of 6 to 10 participants is about:
A. $1,000.
B. $2,000.
C. $3,000.
D. $4,000.
E. $5,000.
Answer:
____ refers to market situation where one firm completely controls a broad
product-market.
A. Monopoly
B. Oligopoly
C. Pure competition
D. Monopolistic competition
E. Collectivist competition
Answer:
In the U.S., about ________ people work in advertising agencies.
A. 100,000
B. 230,000
C. 350,000
D. 750,000
E. 1,000,000
Answer:
What are the basic forces that motivate a person to do something?
A. Desires.
B. Drives.
C. Actions.
D. Aspirations.
E. Needs.
Answer:
Manufacturers’ agents:
A. are frequently used by manufacturers to help introduce a new product.
B. typically have a temporary relationship with a manufacturer, until a specific item is
sold.
C. usually handle products for only a few companies since the cost of adding additional
lines is quite high.
D. usually handle a full assortment of products from competing manufacturers.
E. buy large inventories from small manufacturers-helping them acquire working
capital.
Answer:
Which of the following is NOT an example of how the technological environment
might affect marketing management?
A. A manufacturer uses a computer to send orders directly to a supplier’s computer.
B. A retailer installs a computerized checkout scanner to replace a manual cash register
system.
C. A firm develops a substitute for saturated fat in manufactured foods.
D. All of these are examples of how the technological environment might affect
marketing management.
Answer:
“Product” is concerned with:
A. branding and warranties.
B. physical goods and/or services.
C. packaging.
D. developing the right new product for a market.
E. all of these might be involved with Product.
Answer:
KeyLine, Inc., engages primarily in the manufacture of touch-sensitive LCD monitors.
The company prices its products so that it earns a 20 percent return on investment.
Which pricing objective is the company following?
A. Meet competition
B. Unit sales growth
C. Nonprice competition
D. Target return
E. Share of market
Answer:
Cargill, Inc. is finally earning a profit on the unique product it introduced six months
ago. Cargill’s advertising is both informative and persuasive. Much money is being
spent on Place development. There is little price competition, although several
competitors have come out with reasonable imitations. Total industry sales and profits
are both rising. In which stage of the product life cycle is Cargill operating?
A. Market growth
B. Market introduction
C. Sales decline
D. Market maturity
E. Market development
Answer:
A flexible-price policy is MOST LIKELY to be set by a retailer selling:
A. milk.
B. women’s shoes.
C. golf balls.
D. t-shirts.
E. cars.
Answer:
If American firm Boeing sets up a factory in China, then the GDP figure for China
_____ include those profits and the GNI _____.
A. would; would as well
B. would; would not
C. would not; also would not
D. would not; would
E. would; would only measure actual sales
Answer:
_____ are costs that a customer faces by buying a product that is different from what
has been purchased or used in the past.
A. Marginal costs
B. First-mover costs
C. Switching costs
D. Pioneering costs
E. Opportunity costs
Answer:
Michelin manufactures tires, which truck producers buy and install on their trucks. This
company
A. sells installations for which multiple buying influence is likely to be quite important.
B. is likely to have few opportunities in the “aftermarket.”
C. is selling to the OEM market.
D. product quality is important but delivery reliability is not.
E. All of these alternatives are correct.
Answer:
Personal selling is MOST LIKELY to dominate a producer’s promotion blend when the
target customers are:
A. organizational and business buyers
B. young married couples
C. teenagers
D. working wives
E. senior citizens
Answer:
In a retailer-led channel system, strategy decisions:
A. on Promotion are handled by retailers.
B. on Price are completely handled by producers.
C. on target customers are handled by producers.
D. on Product are handled by retailers.
E. on Place are not a concern for retailers.
Answer:
Which of the following U.S. antimonopoly laws deals with “tying contracts” where the
sale of one product is contingent on the business customer purchasing other products
from the same supplier?
A. Sherman Act (1890)
B. Robinson-Patman Act (1936)
C. Antimerger Act (1950)
D. Wheeler-Lea Amendment (1938)
E. Clayton Act (1914)
Answer:
The “economic-buyer” model:
A. is seen as too simplistic by most marketing managers.
B. assumes that consumers are affected by psychological variables and social
influences.
C. suggests that men and women behave differently as buyers.
D. assumes that buyers don’t have enough information to make logical choices-and as a
result buy products that are not a good value.
E. None of these is true of the economic-buyer model.
Answer:
More freight is carried more miles _____ than any other mode of transportation.
A. by railroads
B. by air
C. by pipeline
D. by trucks
E. over water
Answer: