The most common misuse of focus groups is attempting to use them to:
A) generate research hypothesis for further study.
B) brainstorm for new product ideas.
C) draw general conclusions.
D) carry out concept testing.
A(n) ________ is the basic amount of money paid regularly to a salesperson.
A) commission
B) salary
C) incentive payment
D) trade allowance
Which of the following represents a basis on which customers will choose a firm’s
product or
service over others available in the market?
A) Mission statement
B) Marketing mix
C) Differential advantage
D) The pricing strategy
Identify the product-oriented promotion in which a product is given away for free.
A) rebate
B) sweepstakes
C) sampling
D) off-invoice allowance
In the classic linear approach, identify the stage of the new product development
process in which the company determines the markets it wants to enter.
A) opportunity identification
B) testing and concept development
C) initial design and concept screening
D) life cycle management
Consumer-oriented promotion gives customers a reason to purchase the product. This
process represents:
A) push promotion.
B) pull promotion.
C) horizontal promotion.
D) vertical promotion.
Identify the element of communication process that can be the creative part of an
advertisement or Web site.
A) response
B) encoding
C) decoding
D) feedback
Assume that a particular city in a country accounts for 10 percent of its population.
Assume next that that city accounts for 6 percent of the sales of a product. What is the
Category Development Index (CDI) of the product?
A) 20
B) 50
C) 60
D) 80
The group normally involved in the purchase decision for an organization is called a:
A) buying center.
B) decision center.
C) buying department.
D) decision maker.
Because of the technical nature of the products, industrial product purchases are more
likely to be based on:
A) cost rather than features.
B) features rather than benefits.
C) cost rather than benefits
D) benefits rather than features.