Unlock document.
This document is partially blurred.
Unlock all pages and 1 million more documents.
Get Access
Regarding new-task organizational buying, which of the following persons is LEAST
likely to be involved?
A. A competitor's purchasing manager.
B. A purchasing manager.
C. A production line supervisor.
D. The company president.
E. A research assistant.
Leader pricing:
A. seeks a big profit on the leader items.
B. is usually used for a retailer's major product lineto give it a competitive advantage.
C. is different from bait pricing in that the marketing manager really expects to sell
leader priced items.
D. assumes that some part of the demand curve is upward sloping to the right.
E. is banned in interstate commerce.
Which of the following is an economic need which helps explain why consumers
choose a particular retailer?
A. Prestige
B. Status
C. Comfort
D. Value
E. Safety
Marketing:
A. creates materialistic values which did not exist before.
B. turns consumers into puppets.
C. reflects existing social values in the short runwhile reinforcing these values in the
long run.
D. focuses on "learned wants" rather than "genuine needs."
E. None of these alternatives is correct.
For six months Kim Wu has been working for Sunny Day Foods (SDF), a fast-growing
manufacturer of organic foods. After graduating college, she worked for four years as a
sales rep for a nationally known food company. But, she jumped at the chance when
SDF contacted her about becoming marketing manager for its breakfast foods division,
which sells dry cereals and a pancake mix.
Kim spent the first few months on the job trying to better understand SDF, its product
line, and marketing strategy. She reviewed the company's past marketing research,
commissioned new research, and talked to both consumers and retailers. Now, the CEO
of the company wants her thoughts on what the company's marketing strategy should be
for the next few years.
Her research indicates that among cereal customers there are at least five segments of
customers who use SDF products.
a) One segment, the loyalists, has a strong preference for one or two of the SDF cereals.
These customers often go out of their way to visit a store with their favorite SDF cereal
and buy only that product at the store.
b) Another segment, the regulars, buys SDF cereals without much thought. For them it
is just part of their routine and, if you ask them why they pick the cereal, they'd say it's
just a habit.
c) A third segment, the deal prone, sees SDF cereals as just another organic cereal. They
view all organic cereals as pretty much the same and buy whichever brand seems to
offer the best deal that week.
d) A fourth segment, the politicos, consists of former buyers of SDF cereals. A few
years ago the company took a strong stand in a presidential race-and these customers
resented it. Now, they boycott all SDF foods because of that incident.
e) A fifth segment, SDF who?, is made up of consumers who buy organic cereals but
who don't have much awareness of particular organic brand names.
In reviewing how SDF currently brands its products, Kim sees that it is using several
different approaches. The Sunny Day Foods brand is used on most products the
company sells. But a few years ago the company brought out an instant organic oatmeal
with the Hot n Healthy name. SDF also makes cereal sold by a health food chain; the
package for that chain uses the store's own name, Nature's Foods, as the brand name for
the cereal.
What best describes the level of brand familiarity that customers in "the regulars"
segment have with SDF?
A. Brand rejection
B. Brand insistence
C. Brand preference
D. Brand nonrecognition
E. Brand recognition
An "all the traffic will bear" pricing objective is a ______________ objective.
A. target return
B. profit maximization
C. growth in market share
D. meeting competition
E. nonprice competition
Which of the following is NOT an advantage of telephone surveys?
A. They are effective for getting answers to simple questions.
B. They usually can be conducted quite quickly.
C. They are especially good for getting confidential and personal information.
D. Response rates are high.
E. All of these alternatives are advantages of telephone surveys.
A ____ is a group of potential customers with similar needs who are willing to
exchange something of value with sellers offering various goods or services.
A. segment
B. market
C. product
D. consumer forum
E. generic industry
Regarding population density in the world,
A. high-population density occurs only in highly developed economies.
B. some Western European and Asian urban areas are more crowded than U.S. urban
areas.
C. the United States is the only country with crowded urban areas.
D. there is a worldwide movement back to rural areas.
E. None of these is correct regarding population density in the world.
A typical retailer's newspaper ad stressing "today's" sale prices on "regular" stock is an
example of ______________ advertising.
A. reminder
B. direct competitive
C. pioneering
D. institutional
E. indirect competitive
Which kind of advertising should a manufacturer of paper towels (that are basically
similar to competitive products) use if it wants to increase its market share?
A. Reminder
B. Competitive
C. Institutional
D. Primary demand
E. Pioneering
A combined target market approach
A. sacrifices possible economies of scale.
B. requires more investment than a multiple target market approach.
C. may not satisfy customers as well as the multiple target market approach.
D. trades off sales volume to provide a small market superior value.
E. aims at two or more segments with multiple marketing mixes.
Doug Selkirk is a sales manager for IBM. He has asked his assistant to prepare an
analysis that shows what percent over or under quota each sales rep was during the last
year. This is an example of
A. using natural accounts.
B. the contribution-margin approach.
C. sales analysis.
D. target market analysis.
E. performance analysis.
The attitudes and behavior patterns of people are part of the
A. political environment.
B. social and cultural environment.
C. competitive environment.
D. firm's resources and objectives.
E. economic and technological environment.
Which of the following observations concerning the market maturity stage is note true?
A. Many aggressive competitors have entered the race for profits.
B. There is a long-run downward pressure on prices.
C. New firms cannot enter the market at this stage.
D. Promotion costs rise and some competitors cut prices to attract business.
E. Persuasive promotion becomes more important during this stage.
Wendy's continues to come out with new offerings like stuffed pitas. This suggests that
Wendy's is pursuing ______________.
A. marketing myopia
B. mass marketing
C. product development
D. market development
E. diversification
The three basic ideas in the "marketing concept" are:
A. customer satisfaction, resource efficiency, sales maximization.
B. customer satisfaction, total company effort, sales growth.
C. resource efficiency, sales growth, profit maximization.
D. customer satisfaction, marketing manager as chief executive, profit.
E. customer satisfaction, total company effort, profit.
All of the following are examples of a marketing orientation, as opposed to a
production orientation, EXCEPT:
A. the role of marketing research is to determine customer needs and how well the
company is satisfying them.
B. the relationship with the customer is based on customer satisfaction before and after
a sale leading to a profitable long-run relationship.
C. the firm's focus is on reducing its costs.
D. the role of customer service is to satisfy customers after the sale so they'll come back
again.
E. costs that do not add value to customers should be eliminated.
In a typical break-even analysis, a firm's fixed-cost contribution per unit:
A. is the assumed selling price per unit minus the variable cost per unit.
B. is the assumed selling price per unit minus the average fixed cost.
C. usually decreases as the quantity produced increases.
D. is total fixed cost divided by the quantity produced.
E. usually increases as the quantity produced increases.
Inventory refers to
A. the amount of goods being stored.
B. minimizing storage costs.
C. the amount of goods being sold.
D. the marketing function of holding goods.
E. the quality of goods being stored.
Introductory price dealing:
A. would not be used if other competitors already had competing products on the
market at a price consumers found acceptable.
B. is often viewed by competitors as a 'stay out" price.
C. usually sets off price wars.
D. is different from penetration pricing.
E. can apply only to final consumers, not channel members.
Regarding business products,
A. derived demand has little effect on the market for accessory equipment.
B. sellers of accessory equipment usually must face more competitors than sellers of
installations.
C. at any one time there are usually fewer target customers for accessories than for
installations.
D. accessory equipment is not treated as a capital item.
E. special services and advice are more important with accessories than with
installations.
Performance analysis differs from sales analysis in that performance analysis involves:
A. detailed breakdowns of a company's sales records.
B. analyzing only the performance of sales representatives.
C. comparing performance against standardslooking for exceptions or variations.
D. analyzing only peoplenot products or territories.
E. budgeting for marketing expenditures on the basis of contribution margins.
A potential customer watches a TV ad for the new BMW 7-series sedan during the
highly-rated Academy Awards program. In the traditional communication model, the
potential customer is the:
A. Source.
B. Message channel.
C. Receiver.
D. Encoder.
The marketing manager:
A. Must make independent decisions and assemble them into a marketing mix.
B. Must creatively blend the four Ps so the firm develops the best mix for the target
market.
C. Must integrate the ideas of specialists, such as the product manager, advertising
manager, and sales manager.
D. Must make sure that each marketing mix decision works well with the others.
E. All of these alternatives are correct.
Ideally, the ingredients of a good marketing mix should:
A. flow logically from all the relevant dimensions of a target market.
B. match the ingredients typically used by key competitors.
C. be determined by which ingredients cost the least.
D. not include much advertising because it's expensive.
E. None of these alternatives is correct.
Merging two or more submarkets into one larger target market as a basis for one
strategy is known as the ____ target market approach.
A. particular
B. multiple
C. combined
D. compound
E. blended
The U.S. government collects and publishes data by _____ codesgroups of firms in
similar lines of business.
A. JIT
B. MFG LIST
C. PRIZM USA
D. NAPCS
E. NAICS
_____ is communicating information between the seller and potential buyer or others in
the channel to influence attitudes and behavior.
A. Price
B. Product
C. Promotion
D. Place
E. Process
Sales force training is needed for anyone:
A. with prior selling experience with the firm's type of products.
B. with knowledge of the company's productsbut no selling experience.
C. with some selling experiencebut no knowledge of the company or its products.
D. who is new to sales and/or the company's products.
E. All of these alternatives are correct.
Which of the following is NOT a convenience product?
A. A staple.
B. An impulse product.
C. A business product.
D. An emergency product.
E. All of these are convenience products.
Break-even analysis
A. assumes that the demand curve is perfectly horizontal at the selling price.
B. reveals the price that will earn the highest profit.
C. cannot be used for comparing several different alternatives (for example, assuming
different prices).
D. considers the effect of price on the quantity that consumers will want.
E. None of these alternatives is correct.
Which of the following blends all of the firm's marketing plans into one big plan?
A. Marketing program.
B. Marketing mix.
C. Marketing statement.
D. Marketing overview.
Sales promotion should be targeted toward
A. wholesalers.
B. business customers.
C. final consumers.
D. retailers.
E. Any of these could be an appropriate target.
