In the context of new product development, the inability of a firm to satisfy customer
needs can be attributed to:
A. upfront intelligence efforts that prevent further development.
B. failure on the part of the firm to stick close to its core competencies.
C. excessive competition from inappropriate quarters.
D. decline in the sales of old products compared to the sales of new products.
Answer:
_____ vertical marketing systems typically involve single ownership of two or more
levels of a channel.
A. Administered
B. Contractual
C. Structured
D. Corporate
Answer:
M's Pizzas decides to explore the service industry and therefore signs a partnership with
the Silverline Chain of Hotels to have its brand of specialty pizzas offered on the hotel's
room-service menu. In this scenario, which of the following growth strategies is M's
Pizzas using?
A. Market development
B. Product development
C. Market saturation
D. Diversification
Answer:
_____ compete with other retailers on the basis of offering a good selection in a number
of different categories.
A. Warehouse clubs
B. Convenience stores
C. Department stores
D. Supercenters
Answer:
With regard to the internal factors that can either facilitate or impede a company's
efforts to undertake a global approach to marketing strategies, _____ is the factor that
refers to the ability of a company to project a global versus national identity, a
worldwide versus domestic commitment to employees, and a willingness to tolerate
interdependence among business units.
A. structure
B. management process
C. culture
D. political system
Answer:
_____ refers to a system of replenishing parts or goods for resale immediately before
they are needed.
A. Just-in-time inventory
B. Vendor managed inventory
C. Sole sourcing
D. Inventory credit
Answer:
Which of the following growth strategies for entering foreign markets involves
companies granting patent rights, trademark rights, and the right to use a technological
process to foreign partners?
A. Exporting
B. Licensing
C. Direct entry
D. Importing
Answer:
A vendor analysis could be used to:
A. create buying centers within an organization.
B. compare competing vendors.
C. identify an organizational need.
Answer:
Which of the following is true of slotting allowances?
A. They are discounts offered for purchasing a large number of units.
B. They are often in the form of price reductions for performing promotional activities.
C. They tend to add marketing cost to a manufacturer and affect profits.
D. They are payments made by retailers to manufacturers to allow them to stock the
manufacturer's products.
Answer:
The marketing department of Dimension Inc. notices a decline in the buying patterns of
its customers. The company's sales for the month of November were low in comparison
to its sales for the previous months. To address this issue and add value to its products,
Dimension decides to offer coupons for its products and schedule a sweepstake for
Christmas. Which of the following elements of the promotional mix is Dimension using
in this scenario?
A. Personal selling
B. Direct marketing
C. Sales promotion
D. Public relations
Answer:
Isabel wants to open an art gallery in a neighborhood known for its large Hispanic
population. However, she is apprehensive about whether or not the people in the
neighborhood will be responsive to the unconventional art she sells. To make a
decision, she obtains data from the National Statistics Institute which shows the career
interests of the people of the neighborhood, most of them being in creative,
unconventional fields. Which of the following types of data is she using to aid her in
decision making?
A. Primary data
B. Secondary data
C. Combination of primary and secondary data
D. Raw data
Answer:
In the organizational buying process, once a company has identified the products and
services that it requires, the next stage is _____.
A. organizational need
B. purchase activities
C. postpurchase analysis
D. vendor analysis
Answer:
The top management of Kryptos Inc., a supplier of office stationery to large IT
corporations, is involved in a meeting with its sales personnel. To forecast the
company's future sales, its sales department takes into account the views of the top
management representing marketing, production, finance, purchasing, and
administration. Kryptos Inc. is using _____ for sales forecasting.
A. correlation analysis
B. the customer expectations method
C. time-series analysis
D. the jury of executive opinion method
Answer:
Which of the following is true of the cost per thousand (CPM) measure of efficiency in
the advertising industry?
A. It refers to the dollar cost of reaching thousand prospects.
B. Its chief disadvantage relates to its complexity.
C. It does not allow for a common base of comparison between differing media types.
D. It strongly discounts the positive effects theory.
Answer:
Members of a business development team are involved in the ongoing process of
creating a new installation hardware device, owing to widespread consumer demand.
They are worried that by the time the finished product hits the market, customers' needs
might change. Consequently, the new device, unable to satisfy customers' current needs,
would become a failure. Which of the following risks does this best exemplify?
A. Strategic risk
B. Market risk
C. Credit risk
D. Internal risk
Answer:
Sales personnel failing to disclose product limitations or safety concerns is an ethical
and legal concern associated with _____.
A. advertising
B. public relations
C. personal selling
D. sales promotion
Answer:
Kevin regularly buys bread from the neighborhood grocery store. He is not brand
conscious and generally buys whichever brand the store has in stock. Kevin most likely
views the routine purchase of bread as a(n) _____.
A. low-involvement purchase
B. new product purchase
C. extensive decision-making process
D. limited decision-making process
Kevin considers buying a routine product like bread as a low-involvement purchase as
it has limited personal relevance.
Answer:
Best City Corp. opened cell phone stores at nine locations in Manhattan to gauge
consumer's reactions to them. These stores, called Best City Mobile, carried more than
80 cell phone brands from big manufacturers. Shoppers had the option to choose from
seven cell phone carriers. Based on positive consumer reaction and the success of these
stores, Best City Corp. opened stores nationwide. This is an example of _____.
A. product development
B. test marketing
C. project planning
D. idea screening
Answer:
