Unlock document.
This document is partially blurred.
Unlock all pages and 1 million more documents.
Get Access
Direct spoken communication between sellers and potential customers is personal
selling.
Answer:
The AIDA model focuses on markets as a whole while the adoption curve model
focuses on individuals.
Answer:
A target return objective and a profit maximization objective are both profit-oriented
objectives.
Answer:
In general, the greater the risk that the lender takes on to provide the loan, the greater
the interest rate charge will be.
Answer:
In international markets marketing managers usually have an easier time understanding
the variables in the market environment.
Answer:
Selective distribution is becoming more popular than intensive distribution as firms see
that they do not need 100 percent coverage of a market to support national advertising.
Answer:
The single most important factor in screening possible marketing opportunities is the
long-run trends facing the company.
Answer:
A firm with a great strategy will always attract investors.
Answer:
A target market consists of a group of consumers who are usually quite different.
Answer:
When Cadillac added a new sport utility vehicle called Escalade to the
"luxury-oriented" selection at its existing dealers, it was seeking "market development"
opportunities.
Answer:
A firm which tries to increase sales by selling new products in new markets is pursuing
"market development" opportunities.
Answer:
Intermediaries specialize in trade and production.
Answer:
In monopolistic competition, one firm completely controls a broad product-market.
Answer:
Marginal analysis focuses on the changes in average fixed cost per unit and average
variable cost from selling one more unit to find the most profitable price and quantity.
Answer:
A sales promotion manager's job is choosing the right media and developing the
advertisements.
Answer:
When evaluating opportunities, quantitative screening criteria help a manager decide
what kind of opportunities to pursue.
Answer:
Wants are needs which are learned during a person's life.
Answer:
Competition needs to be considered when adding in overhead and profit for a bid price.
Answer:
A mission statement can help a manager decide which opportunities to pursue and
which to screen out.
Answer:
A point-of-purchase sample given to consumers is a good example of sales promotion.
Answer:
Companies that consider the triple bottom line measure economic, social, and political
outcomes.
Answer:
Marketing is concerned with individual transactions rather than with building ongoing
relationships with customers because that is the job of people in the public relations
department.
Answer:
By definition, a markup of $1 on a cost of $2 translates to a markup of 40 percent.
Answer:
ISO 9000 reduces the need for a customer to conduct its own audit of a supplier's
quality procedures.
Answer:
Nielsen's TV audience research and Arbitron's radio audience research illustrate that
observing is a common research method in advertising.
Answer:
Agents and brokers are wholesalers that take title to the merchandise and products that
they sell.
Answer:
The American Marketing Association's statement of ethics sets specific ethical
standards for many aspects of marketing.
Answer:
The market maturity stage of the product life cycle has very low promotion
expenditures, little price competition, and rising industry profits.
Answer:
Bar codes, UPC numbers, and RFID tags make it easy for computers to monitor
inventory, order stock, and track shipping costs.
Answer:
Because of different advertising rules in different countries, it's best for a marketing
manager to get help from local advertising experts.
Answer:
Decoding
A. is the process of the receiver translating the message.
B. is the process of the source deciding what it wants to say.
C. is the process of the source translating the message into words.
D. is any distraction that reduces the effectiveness of the communication process.
E. is the process of transferring information from the subordinate to the superior.
Answer:
Setting up a marketing information system can be valuable to marketing managers
because
A. most companies have much useful information, but it often isn't available or
accessible when the manager needs it.
B. most market-oriented companies only need a certain type of information once or
twice.
C. marketing research data is rarely as accurate as data from a marketing information
system.
D. market-oriented managers can always use more data.
E. a company that can't afford marketing research should at least have a marketing
information system.
Answer:
A firm in monopolistic competition has "marginal revenue" which:
A. is always greater than its marginal cost.
B. is always shown above its related down-sloping demand curve when plotted on a
graph.
C. is the change in total revenue which results from the sale of one more unit of a
product.
D. is always positive (i.e., greater than zero).
E. All of these.
Answer:
According to the text, a salesperson may have choices about all of the following except
A. what target customers to aim at.
B. which particular products to emphasize.
C. which intermediaries to rely on or help.
D. what to manufacture.
E. how to adjust prices.
Answer:
The Consumer Product Safety Commission is responsible for:
A. developing and enforcing safety standards for bicycles.
B. developing and enforcing environmental protection standards.
C. preventing the distribution and sale of adulterated or misbranded foods, drugs, and
cosmetics.
D. None of these is correct.
Answer:
The steps individuals go through in accepting or rejecting a new idea is known as
A. the adoption process.
B. the dissonance process.
C. belief formation.
D. information search.
E. extensive problem solving.
Answer:
Regarding the market composed of manufacturers in the United States:
A. Most manufacturers are quite large.
B. Manufacturers tend to be concentrated in specific areas.
C. There are a large number of manufacturers compared to the number of final
consumers.
D. Small manufacturers account for most of the "value added" by manufacturing.
E. All of these alternatives are correct.
Answer:
The Sherman Act and the Federal Trade Commission Act:
A. were passed to make it difficult for small companies to win customers away from
large companies.
B. are not taken seriously, since there are no penalties for violations.
C. are quite different, with the FTC Act focusing on stopping deceptive business
practices and the Sherman Act focusing on controlling monopolies.
D. are just different names for the same thinga law proposed by Sherman to establish
the Federal Trade Commission.
E. were passed to protect consumers from abuses by business, rather than to protect
some businesses from others who had an "unfair" advantage.
Answer:
When Procter and Gamble offers both Pantene and Vidal Sassoon shampoos to its
customers, which target market approach is Procter and Gamble using?
A. Multiple
B. Single
C. Combined
D. Generic
E. Clustering
Answer:
Which of the following duties would not be performed by a firm's marketing managers?
A. Planning activities
B. Directing the implementation of plans
C. Controlling plans
D. Overseeing the firm's financial statements
E. Developing marketing mixes for target markets
Answer:
Impulse products:
A. are likely to gain or lose sales depending on where they're sold.
B. require a great deal of advertising.
C. are a specific type of specialty product.
D. are usually high in price.
E. All of these alternatives are correct.
Answer:
National Family Opinion (NFO) contacts several hundred members of its consumer
panel and provides them with a printed description of a new chewing gum and its
package. Consumers are then given a survey containing several multiple-choice
questions about their attitudes toward the new product, based on what they read in the
description. The final survey question asks consumers to indicate the likelihood that
they would purchase the product. NFO seems to be conducting a:
A. Market test.
B. Concept test.
C. Prototype test.
D. Sensitivity test.
E. Attitude test.
Answer:
When a large wholesaler or retailer uses a buying committee,
A. the buyer still makes the final purchase decision.
B. the sales rep may not be able to make a sales presentation to the committee.
C. the impact of persuasive salespeople is increased.
D. the intermediary is more likely to take a chance on a really new product that hasn't
yet proved itself.
E. None of these alternatives is correct.
Answer:
Allied Corp. has found that an effective salesperson should call on each account about
six times a year and spend about two hours per sales call. Every salesperson works a
40-hour week and takes off two weeks for vacation each year. A salesperson must spend
half of the time on travel and administration. Approximately how many salespeople
does Allied need to service 1000 accounts?
A. 12
B. 30
C. 2
D. 6
E. 24
Answer:
A retailer's operational decision to hire new salespeople would best relate to the
marketing mix decision area of
A. product.
B. place.
C. promotion.
D. price.
E. people.
Answer:
A marketing mix consists of:
A. policies, procedures, plans, and personnel.
B. the customer and the "four Ps."
C. all variables, controllable and uncontrollable.
D. product, price, promotion, and price.
Answer:
In the U.S., jewelry stores spend about ______ percent of their sales dollars on
advertising.
A. 1
B. 3
C. 6
D. 9
E. 12
Answer:
When dealing with consumer attitudes, marketers should know that:
A. it is usually easier to change a negative attitude about a product than to reinforce a
positive attitude.
B. consumer attitudes tend to be enduring.
C. attitudes are very good predictors of how people will behave.
D. consumer attitudes are less action-oriented than consumer beliefs.
E. None of these alternatives is correct.
Answer:
In the learning process, _____ can be in the form of products, signs, ads, and other
stimuli in the environment.
A. reinforcement
B. responses
C. signals
D. retention
E. cues
Answer:
Good packaging:
A. Can make a product easier or safer to use.
B. Can be an important promotional tool.
C. Can lower distribution costs.
D. Can make products easier to handle and display.
E. All of these alternatives are correct.
Answer:
A firm's sales training should cover:
A. professional selling skills.
B. building relationships with customers.
C. company policies and practices.
D. product information.
E. All of these alternatives are correct.
Answer:
Wholesalers:
A. Have had to deal with a competitive threat posed by large retailers that have taken
over wholesale functions.
B. Are using e-commerce to serve customers more effectively.
C. Face competitive pressure from shipping companies such as FedEx and UPS that
make it easier for producers to ship directly to customers.
D. Are beginning to increase profitability by carefully selecting their retailer-customers.
E. All of these alternatives are true.
Answer:
Which of the following statements concerning "reference prices" is FALSE?
A. A reference price is the price consumers expect to pay for an item.
B. Retailers sometimes want consumers to use the manufacturer's list price as the
reference price even though their actual retail selling price is lower.
C. Different customers may have different reference prices for the same type of
purchase.
D. Leader pricing is normally used with products for which consumers do not have a
specific reference price.
E. None of these statements about "reference prices" is FALSE.
Answer:
An organization practicing ______ aims all its efforts at satisfying its customersat a
profit.
A. the sales concept
B. a production orientation
C. in the marketing department era
D. profit maximization economics
E. the marketing concept
Answer:
GreatGadgets, an Internet-based marketer of innovative gift items, decides to sell
products in its own retail stores--to reach consumers who don't like to buy without first
seeing the item in person. This is an example of:
A. market development.
B. diversification.
C. market penetration.
D. product development.
Answer:
Extensive problem solving probably would be required by a recent college graduate in
the purchase of:
A. living room furniture.
B. a color TV set.
C. a new home.
D. a sports car.
E. All of these are correct.
Answer:
_____ prefer to do things the way they have been done in the past and are very
suspicious of new ideas.
A. Innovators
B. Early adopters
C. Laggards or nonadopters
D. Late majority customer group
E. Opinion leaders
Answer:
Alia was satisfied with the old television that she had owned for years. But after
watching a few shows on her friend's big, flat-screen, HD television, she felt that she
should buy a newer model for herself. Which of the following limitations of
macro-marketing effectiveness does this illustrate?
A. Customer satisfaction is easy to measure by means of a survey or a poll.
B. Customer satisfaction depends on and is relative to individual aspirations.
C. Customer satisfaction remains unchanged even when levels of expectation rise.
D. The American Customer Satisfaction Index provides an accurate measure of
satisfaction.
E. The average level of customer satisfaction provides a complete picture for evaluating
macro-marketing effectiveness.
Answer:
An "economic buyer" is a person who:
A. Makes buying decisions based on behavioral needs rather than economic needs.
B. Logically compares choices to get the greatest satisfaction from expenditures of time
and money.
C. Always buys the product that has the lowest price.
D. Is not willing to pay extra for convenience.
E. All of these are characteristics of an "economic buyer."
Answer:
A channel of distribution:
A. is any series of firms or individuals who participate in the flow of goods and services
from producer to consumer or final user.
B. is only needed when products must be stored.
C. must include one or more intermediaries.
D. is only needed when products are sold indirectly.
E. None of these alternatives is a good answer.
Answer:
Truly Awesome jeans targets ads based on consumers conversations and behaviors on
social media like Facebook and Twitter. Truly Awesome is using _____.
A. Social targeting
B. Digital targeting
C. Behavioral targeting
D. Pay-per-target
E. Media network targeting.
Answer:
All of the following are part of the direct marketing environment except:
A. the company.
B. the economy.
C. competitors.
D. customers.
E. All of these are part of the direct marketing environment.
Answer:
At Travelocity's website, visitors are likely to find several airlines that have the
identical same-day price for a flight from Atlanta to San Francisco. What pricing
objective are these airlines pursuing?
A. Status quo
B. Price flexibility
C. Quantity discount
D. Introductory price deal
E. Bundling
Answer:
Forecasts of the probable results of implementing whole strategic plans are needed to
apply quantitative screening criteria.
Answer:
