The norms, language nuances, buying habits, and business practices of multicultural
markets need to be factored into the initial formulation of a marketing strategy, rather
than added as an afterthought.
Customers of a proposed truck may want a certain acceleration rate, which is a desired
customer attribute. Engineers can turn this into the required horsepower and other
engineering attributes through a process known as alpha testing.
The indirect approach to assessing brand equity assesses the actual impact of brand
knowledge on consumer response to different aspects of marketing.
Sales promotion tools that typically are not brand building include price-off packs,
contests and sweepstakes, consumer refund offers, and trade allowances.
In the growth stage of a product’s life cycle, demand has its own momentum through
word of mouth and interactive marketing.
During the development stage of the product life cycle, the marketing objective is to
maximize profit while defending market share.
Memory is a very constructive process. This means people do not remember
information and events completely and accurately and often remember only bits and
pieces that they fill in based on whatever else they know.
The World Trade Organization, consisting of 158 countries, works to erect entry
barriers or regulations that limit free trade.
A company is more likely to be hurt by current competitors than by emerging
competitors or new technologies.
All attempts to target marketing to children, minorities, or other special segments are
discriminatory and unethical.
The quality of services is independent of who provides them.
A product-management organization ________.
A) often proves to be cost-effective
B) simplifies the process of developing a national strategy
C) focuses on building market share rather than customer relationships
D) reduces an organization’s staffing requirements
E) allows product managers to achieve functional expertise
In collectivist societies, ________.
A) all property is owned by the government
B) the self-worth of the individual is rooted more in the social system than in individual
achievement
C) the culture is dominated by the need to maintain low power distance and reduce
income inequality
D) the culture is dominated by a nurturing attitude as opposed to an assertive attitude
E) people are highly risk-averse
In which of the following does a customer respond to the functional quality of a
service?
A) Sara’s preferred hair stylist is some miles away, but Sara goes to him because his
styles suit her looks.
B) Kathy tries out a new restaurant every week because she likes to experience the
variety.
C) Bill has gone to the same chiropractor for the past fifteen years because he is
friendly and takes the time to listen to Bill.
D) Ray’s mechanic charges high prices for service, but his work is good and worth the
price.
E) Alex has no interest in theater, but goes often because her best friend loves plays.
A direct marketing channel is a ________ channel.
A) one-level
B) two-level
C) zero-level
D) three-level
E) reverse-flow
Armordo is a famous vacuum cleaner brand in Africa. Clara has heard of Armordo and
she knows that the product is a success. She has started considering whether or not to
buy the vacuum cleaner. What stage of the consumer-adoption process is Clara in?
A) awareness
B) adoption
C) evaluation
D) trial
E) interest
Which of the four characteristics of a marketing audit is described by the fact that
outside consultants can bring necessary objectivity to the process?
A) comprehensive
B) systematic
C) independent
D) periodic
E) opinion-based
A ________ offering consists of two parts: a naked solution and discretionary options.
A) differentiated market
B) flexible market
C) rigid market
D) vertical market
E) horizontal market
Market-penetration, product-development, and market-development strategies would all
be examples of ________ strategies.
A) concentric growth
B) conglomerate
C) horizontal
D) intensive growth
E) integrative growth
Which of the following is true regarding services?
A) Services are typically produced, stored, and then consumed.
B) Services are generally low in experience and credence qualities.
C) Service providers develop similar marketing programs for personal services and
business services.
D) There is less risk associated with the purchase of services than with the purchase of
goods.
E) Provider-client interaction is a special feature of services marketing.
Which of the following is an example of a word-of-mouth marketing communication
platform?
A) chat rooms
B) billboards
C) factory tours
D) incentive programs
E) trade shows
Which of the following is an advantage of personal interviews?
A) It is a relatively inexpensive method of gathering information.
B) The possibility of interviewer bias is minimized.
C) Participants can choose to respond at their own convenience.
D) It facilitates anonymous responses.
E) Interviewers can record additional observation about the respondent such as body
language.
WD40 offers a Smart Straw version of its popular multipurpose lubricant with a built-in
straw that pops up for use. This is an example of which of the following main strategies
for growing the core of the business?
A) Make the core of the brand as distinctive as possible.
B) Drive distribution through both existing and new channels.
C) Offer the core product in new formats or versions.
D) Increase costs and revenue.
E) Expand to another geographic region.
When Fred sends in the box top from his cereal to receive a free DVD of a cartoon
featuring one of his favorite characters, he is responding to a ________.
A) self-liquidating premium
B) with-pack premium
C) reduced-price pack
D) banded pack
E) free in-the-mail premium
If PepsiCo charges what each country could afford, ignoring cost differences from
country to country, it would be using a(n) ________ price.
A) uniform
B) market-based
C) cost-based
D) escalation
E) skimming
Which of the following is an advantage of using the percentage-of-sales method to
determine the marketing communications budget?
A) The percentage-of-sales method encourages stability when competing firms spend
approximately the same portion of their sales on communications.
B) The percentage-of-sales method views sales as the determiner of communications
rather than as the result.
C) The percentage-of-sales method leads to a budget set by market opportunities rather
than the availability of funds.
D) The percentage-of-sales method encourages experimentation with countercyclical
communication or aggressive spending.
E) The percentage-of-sales method encourages building the communication budget by
determining what each product and territory deserves.
________ is the ability of a company to prepare on a large-scale basis individually
designed products, services, programs, and communications.
A) Mass customization
B) Reverse engineering
C) Interoperability
D) Backward compatibility
E) Benchmarking
With respect to the ‘six brand building blocks,” brand ________ describes the extrinsic
properties of the product or service, including the ways in which the brand attempts to
meet customers’ psychological or social needs.
A) imagery
B) judgment
C) resonance
D) salience
E) performance
When the airline industry offers discounted but limited early purchases, higher-priced
late purchases, and the lowest rates on unsold inventory just before it expires, what kind
of a pricing technique are they said to be using?
When Juan’s company introduced its new product in the market, it introduced it at the
lowest possible price assuming that the demand for the product is going to be highly
responsive to the introduction price. It also believes that a higher sales volume will lead
to lower unit costs and higher long-run profit. What can be said about the company’s
objective?
DMM Industries, a manufacturer of composite metal products, sells its products using a
conventional marketing channel. The company decides to adopt a vertical marketing
system to improve its performance. What advantages could this provide?
The digital revolution has placed a whole new set of capabilities in the hands of
consumers and businesses. Describe the advantages that you as a consumer have today
that your parents or grandparents didn’t have.
What are the adjustments that marketers need to apply to the cost-per thousand measure
when selecting specific media vehicles?
Business markets have several characteristics that contrast sharply with those of
consumer markets. Name and briefly characterize five of those characteristics.
Tosho Electronics, a leading Japanese, electronic manufacturer believes shorter product
life cycles of new products reduce the scope for R&D and innovation. Offer a possible
reason for shorter life cycles.
Describe the three ingredients of customer-based brand equity.
Discuss the eight demand states with respect to bifocal lenses for glasses.