New World Food Supplements continuously seeks real product and marketing
improvements for its line of vitamin and protein supplements. This information
indicates that New World is involved in consumer-oriented marketing.
Although television advertising has high absolute costs, its cost per exposure is
relatively low.
Early adopters are opinion leaders in their communities. They adopt new ideas early but
carefully.
Dissonance-reducing buying behavior typically occurs when a buyer sees little
difference among brands but is highly involved with the purchase.
A cigarette is an example of a salutary product.
GreenTree Lawn and Garden Products is engaged in marketing strategy development.
The first part of the marketing strategy statement created by management should outline
the product’s planned price, distribution, and marketing budget for the first year.
The World Trade Organization established the The General Agreement on Tariffs and
Trade, which replaced the WTO in 1995 and now oversees the original WTO
provisions.
Using teams of people from sales, marketing, engineering, finance, technical support,
and even upper management to service large, complex accounts is known as complex
selling.
A discount store buys at less-than-regular wholesale prices and charges consumers less
than retail.
Marketing channel management calls for selecting, managing, and motivating
individual channel members and evaluating their performance over time.
The four marketing management functions are analysis, planning, implementation, and
control.
Government organizations typically require suppliers to submit bids, and normally they
award the contract to the lowest bidder.
Personal interviews can be used to collect large amounts of information at a low cost
per respondent.
Experimental research is best suited for gathering descriptive information.
In recent years, convenience stores have redesigned their stores to closely focus on
serving their primary target market made up of young, blue-collar men.
Rachel Stein works for the LeBray Beverage Company. She helps define product
specifications and also provides information for evaluating alternatives. Rachel plays
the role of gatekeeper.
Return on marketing investment refers to the net return from a marketing investment
divided by the costs of the marketing investment.
Firms competing in a given target market, at any point in time, are similar in their
objectives and resources.
The role of marketing intermediaries is to transform the assortments of products made
by retailers into the assortments wanted by producers.
A(n) ________ system involves a single firm setting up two or more marketing
channels to reach one or more customer segments.
A) conventional distribution
B) corporate vertical marketing
C) horizontal marketing
D) administered vertical marketing
E) multichannel distribution
Which of the following actions is a restaurant owner most likely to take in order to
reduce problems associated with service intangibility?
A) increase entree prices after 6:00 p.m.
B) provide clean tablecloths and fresh napkins for each new customer
C) empower employees to handle customer complaints
D) offer discounted prices for appetizers ordered during happy hour
E) hold regular employee workshops focusing on customer service
HP’s advertising agency assembles words and illustrations into an advertisement that
conveys the company’s intended brand message. In the context of the communication
process, HP is ________.
A) messaging
B) decoding
C) sending
D) encoding
E) responding
Even when competing offers look the same, buyers may perceive a difference based on
________ differentiation.
A) image
B) people
C) price
D) channel
E) services
Most companies will compete with ________ rather than ________.
A) distant competitors; close competitors
B) close competitors; distant competitors
C) benchmarkers; distant competitors
D) market challengers; market followers
E) market challengers; market nichers
An ideal price policy scenario for retailers would be to achieve ________ while
charging ________.
A) low volume; high markups
B) low volume; low markups
C) high volume; high markups
D) high volume; low markups
E) high volume; zero markups
In a(n) ________, two or more companies at one level join together to follow a new
marketing opportunity.
A) administered vertical marketing system
B) horizontal marketing system
C) corporate vertical marketing system
D) hybrid distribution system
E) conventional marketing system
Which of the following is most likely an advantage of viral marketing?
A) Viral marketing reinforces consumers’ attitudes about a brand.
B) Most messages are likely to “go viral.”
C) Consumers want to be a part of viral marketing.
D) Viral marketing can easily be successfully accomplished.
E) Viral marketing produces engagement and positive exposure for a brand.
Designing international channels that take into account the entire global supply chain
and marketing channel, thus forging an effective global value delivery network,
recognizes a company must have a ________.
A) whole-channel view
B) direct-distribution channel
C) large-scale channel
D) transportation network
E) retail channel
Which of the following involves introducing less-expensive versions of established,
brand name products?
A) markup pricing
B) good-value pricing
C) time-based pricing
D) cost-based pricing
E) target profit pricing
A firm dumping chemical wastes in the local lake is ________.
A) actively resisting social change
B) contributing to organizational anarchy
C) engaging in a “do well by doing good” mission
D) adopting a proactive stance toward the marketing environment
E) contributing to increased pollution
Which of the following is most likely a true statement about sales compensation in
economically tough circumstances?
A) Cutting sales force compensation is usually a last resort for firms that want to
maintain positive customer relationships.
B) Morale is boosted by distributing commissions equally among low and high sales
performers.
C) Online selling is discontinued to improve customer relations.
D) Compensation for the inside sales force is reduced to increase commissions for the
outside sales force.
E) Low performers are retained and top performers are dismissed to reduce commission
payments.
The FTC has adopted a three-day cooling-off rule to give special protection to
________.
A) customers who purchased because of deceptive advertising
B) customers who purchased because of bait-and-switch tactics
C) customers who were not seeking a product
D) resellers who do not receive proportionately equal treatment from manufacturers
E) resellers who are not covered by the Robinson-Patnam Act
Through ________, companies today are strengthening their connections with all
partners, from providers of raw materials and components to those involved in the
delivery of final goods and services.
A) supply chain management
B) direct marketing
C) customer relationship marketing
D) customized marketing
E) inventory management
With which pricing strategy does the seller take responsibility for part or all of the
actual freight charges in order to acquire the desired business?
A) FOB origin pricing
B) freight-absorption pricing
C) basing-point pricing
D) location-based pricing
E) uniform-delivered pricing
________ involves sending an offer, announcement, reminder, or other item to a person
at a particular address.
A) Kiosk marketing
B) Online marketing
C) Ambush marketing
D) Direct-mail marketing
E) Telemarketing
Describe the different types of off-price retailers. Provide examples of each type.
Advertisers should regularly evaluate two types of advertising results: the
communication effects and the sales and profit effects. How are these two results
measured?
What should sellers consider if they wish to avoid marketing myopia?
Give three examples of shopping products.
What are the components of a company’s marketing mix?
Provide an example of how a marketer uses kiosk marketing.
Explain the psychology behind a price of $9.99 instead of $10.00.