Which of the following demonstrates how the technological environment is changing
the way marketers promote products?
A. Marketing aimed at youth is increasingly regulated by governments.
B. Search engines match consumer searches with relevant banner ads.
C. Marketers make routine claims that products are eco-friendly.
D. Manufacturers partner with local retailers to buy ads that feature both firms.
E. New laws regulate consumer privacy.
Answer:
Skimming may maximize profits in the market introduction stage for an innovation,
especially if
A. there are few substitutes.
B. all customers are price sensitive.
C. competition is intense.
D. a price reduction will reduce goodwill.
E. demand is perfectly elastic.
Answer:
India has more people than the United States, and China has more people than India.
Answer:
When setting objectives for the whole firm, TOP MANAGEMENT should:
A. involve the marketing manager in the objective setting process.
B. set objectives that focus on the highest possible immediate profit potential.
C. stick to general objectives-in order to maintain flexibility.
D. set objectives beyond what can actually be achieved-so everyone will work harder.
E. all of these are useful when setting objectives.
Answer:
A good marketing manager knows that:
A. packaging suppliers are usually a poor source of information.
B. packaging costs generally reduce the customer value a consumer receives.
C. packaging costs should be kept to a minimum.
D. good packaging can tie the product to the rest of a marketing strategy.
E. All of these alternatives are true.
Answer:
Simon Juarez sells life insurance for a large New Mexico firm. He locates customers by
selecting names out of a telephone directory and calling to arrange an appointment. He
begins each presentation by explaining the basic features and merits of his
product-eventually bringing the customer into the conversation to clarify the customer’s
insurance needs. Then he tells how his insurance policy would satisfy the customer’s
needs and attempts to close the sale. Simon’s sales presentation is based on the:
A. consultative selling approach.
B. selling formula approach.
C. canned presentation approach.
D. target market approach.
E. customer service approach.
Answer:
Looking at marketing as a social process focuses on
A. macro-marketing.
B. for-profit marketing.
C. micro-marketing.
D. nonprofit marketing.
E. personalized marketing.
Answer:
Multiple-buying influence would be most likely for:
A. Repair items
B. Accessories
C. Professional services
D. Installations
E. It would be equally likely for all of these products.
Answer:
Which of the following statements about economic systems is true?
A. Consumers usually have more freedom of choice in a market-directed economy.
B. Command economies are most effective for countries with large and complicated
varieties of goods and services.
C. Branding is less common in a market-directed economy than in a command
economy.
D. The United States is a good example of a command economy.
E. None of these statements is true.
Answer:
Which of the following observations concerning price fixing is true?
A. It is highly uncommon and relatively difficult to achieve.
B. It is permitted in the United States, under certain circumstances.
C. It is considered “conspiracy” under the Sherman Act.
D. In the U.S, individual managers are not held responsible for price fixing.
E. Price fixing laws across the globe are similar in nature.
Answer:
The best way to reach EARLY adopters is through:
A. impersonal and scientific information media.
B. salespeople and mass media.
C. innovators.
D. the mass media.
E. opinion leaders.
Answer:
The AIDA model:
A. focuses on what happens after the adoption process is complete.
B. shows that the promotion effort is done once desire is aroused.
C. consists of four basic promotion jobs.
D. suggests that mass media can get consumers’ attention only if that is what consumers
desire.
E. All of these alternatives about the AIDA model are true.
Answer:
A manufacturer could try to defend itself against charges of price discrimination under
the Robinson-Patman Act by claiming that:
A. the products were not of “like grade and quality.”
B. any price differences were to “meet competition in good faith.”
C. the price differences did not injure competition.
D. the price differences were justified on the basis of cost differences.
E. All of these are possible defenses against price discrimination charges.
Answer:
The main reason that vertical marketing systems are becoming more common is:
A. firms realize that working independently has advantages for channel members.
B. firms increasingly understand that competition among channel members is
profitable.
C. it’s easy for multiple firms to coordinate a single marketing mix for a common target
market.
D. firms recognize that coordination among channel members can increase sales for
each channel member.
E. only vertical marketing systems perform activities that adjust the quantities or
assortments of products handled at each level in a channel of distribution.
Answer:
Some sporting goods manufacturers do not make a “full line” of equipment. So the
Sports World retail chain carefully selects the brands of several manufacturers to sell.
This regrouping activity is called:
A. accumulating.
B. assorting.
C. retailing.
D. bulk-breaking.
E. sorting.
Answer:
Which of the following laws is primarily concerned with product warranties?
A. The Sherman Act
B. The Robinson-Patman Act
C. The Federal Trade Commission Act
D. The Magnuson-Moss Act
E. There are no laws regulating product warranties.
Answer:
E-Z-Go, a producer of golf carts, promotes its carts to other users by advertising them
as an easy and quiet way for workers to get around malls, airports, and big factories.
E-Z-Go is trying to increase its sales through
A. market penetration.
B. differentiation.
C. product development.
D. market development.
E. diversification.
Answer:
Pop Soda Co. wants to increase sales of its existing carbonated drinks by making them
more convenient, so it’s making the drinks available at more stores in its present areas.
This is an example of:
A. market penetration.
B. differentiation.
C. product development.
D. diversification.
E. market development.
Answer:
Convenience products include:
A. impulse products.
B. staple products.
C. emergency products.
D. All of these are convenience products.
Answer:
Limited-line stores
A. specialize in certain lines of related products rather than a wide assortment.
B. carry anything they can sell in reasonable volume.
C. are a type of unconventional general store.
D. are larger stores that are organized into many separate departments and offer many
product lines.
E. seldom build good relationships with their customers.
Answer:
Which of the following is one of the three basic ideas in the “marketing concept?”
A. Resource efficiency.
B. Obtain economies of scale.
C. Profit as an objective.
D. Maximize sales.
E. The president has a marketing background.
Answer:
Missionary sales reps:
A. are order takers.
B. are sales reps in training.
C. are customer service reps who resolve problems after purchases have been made.
D. help train intermediaries’ salespeople and set up retail displays.
E. do a lot of aggressive selling.
Answer:
Gross margin is expressed as
A. gross sales minus accounts receivable.
B. net sales minus contribution margin.
C. net margin minus sales and operating expenses.
D. net sales minus administrative expenses.
E. net sales minus cost of goods sold.
Answer:
The main difference between retailing and wholesaling is that:
A. Retailing involves selling to other merchants and wholesaling does not.
B. Retailing involves selling to business customers and wholesaling does not.
C. Technology is more important in wholesaling than in retailing.
D. Wholesaling involves selling mainly to other merchants and business customers, but
retailing involves selling mainly to final consumers.
E. Wholesaling involves selling to final consumers and retailing does not.
Answer:
Which of the following statements about opinion leaders is true?
A. Opinion leaders are usually wealthier and better educated than others.
B. Opinion leaders on one subject aren’t necessarily opinion leaders on another.
C. Firms always aim their marketing mixes at general consumers, not opinion leaders.
D. Favorable publicity from opinion leaders rarely helps a marketing mix.
E. Opinion leaders are the same as reference groups.
Answer:
Which of the following products is most likely to be sold by a drop-shipper?
A. Skis
B. Toothpaste
C. Greeting cards
D. Printing supplies
E. Coal
Answer:
The “universal functions of marketing”:
A. are usually performed in the same way and by the same types of institutions in all
MACRO-marketing systems.
B. can sometimes be eliminated-in very efficient macro-marketing systems.
C. must be performed in both market-directed and command economies.
D. must all be performed by every firm from a MICRO view.
Answer:
A retailer’s target customers are skeptical and cautious about new ideas. Strong social
pressure from their own peer group may be needed before they adopt a new product.
These target customers are:
A. the early majority.
B. laggards.
C. innovators.
D. early adopters.
E. the late majority.
Answer:
In which of the following countries would retailers be most likely to sell products in
small quantities, to small numbers of consumers?
A. Austria
B. Nepal
C. South Korea
D. Japan
E. Ireland
Answer:
Evaluating opportunities in international markets is uniquely challenging for managers
because:
A. international variables are confusing and unfamiliar to outsiders.
B. there are so many opportunities from which to choose.
C. marketing in other countries is entirely different from marketing in a domestic
setting.
D. international consumers rarely share the same needs.
E. other nations do not welcome foreign businesses.
Answer:
When a large aircraft manufacturer like Boeing obtains a contract to build a new type of
jet airliner, this transaction is most likely a(n):
A. Negotiated contract buy
B. Straight rebuy
C. Modified rebuy
D. ISO 9000 buy
E. JIT buy
Answer:
Firms most likely to attract consumers by making an appeal to social needs are:
A. tire companies.
B. online dating sites.
C. tax preparation services.
D. banks.
E. electric companies.
Answer:
Competition for a product or product category begins to increase rapidly during the
following stage of the product life cycle:
A. Market introduction
B. Market growth
C. Market maturity
D. Sales decline
E. Market extinction
Answer:
Which of the following consumer products is most likely to be classified as
“unsought”?
A. Tablet computer
B. Tires
C. Life insurance
D. Band aids
E. House paint
Answer: