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Market challengers can grow by further increasing their market shares.
Answer:
A group of firms in an industry following the same or a similar strategy in a given target
market is known as a strategic group.
Answer:
In an automated warehouse, orders are fed directly from the retailer's information
system to the wholesaler's, and the items are picked up by mechanical devices and taken
to a shipping platform where they are assembled.
Answer:
The workload approach is used to determine the type of sales force structure required
by a company.
Answer:
The American marketing system never has been accused of poorly serving
disadvantaged consumers.
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Profits drop during the growth stage of the PLC because per customer promotion costs
are high.
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Wholesaling includes all the activities involved in selling products or services directly
to final consumers for their personal, nonbusiness use.
Answer:
In some markets, competitors live in relative harmony.
Answer:
In the United States, the lines between social classes are not fixed and rigid, but people
can only drop to a lower social class and not move up into a higher one.
Answer:
The widespread use of scanner-based computer checkouts has eradicated complaints of
retailers overcharging their customers.
Answer:
As baby boomers reach their peak earning and spending years, they become lucrative
markets for financial services, travel, and entertainment.
Answer:
The "Stop. Think. Tylenol." ad slogan is an example of a moral appeal.
Answer:
Supermarkets are located near residential areas and are open long hours, seven days a
week. They carry a limited line of high-turnover goods.
Answer:
Harvesting the product involves reducing various costs such as maintenance, R&D, and
advertising to increase profits.
Answer:
Rational appeals are often used to urge people to support social causes, such as a
cleaner environment or helping the disadvantaged.
Answer:
On the BCG matrix, "question marks" are high-growth, high-share businesses or
products.
Answer:
In the follow-up stage of the selling process, the salesperson asks the customer for an
order.
Answer:
Reverse logistics refers to the moving of products and materials from suppliers to the
factory.
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Standardization of advertising leads to lower advertising costs, greater global
advertising coordination, and a more consistent worldwide image.
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Marketing is managing profitable customer relationships.
Answer:
When backed by buying power, needs become wants.
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Product line filling is overdone if it results in cannibalization and customer confusion.
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Postpurchase behavior is the stage of the buyer decision process in which consumers
take further action after purchase, based on their satisfaction or dissatisfaction.
Answer:
Customer-managed relationships are marketing relationships that are controlled by
customers, therefore, they are of no significance to marketers.
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Kiosk marketing features marketing messages and promotions delivered to on-the-go
consumers through their mobile devices.
Answer:
CAFTA-DR has eliminated all trade barriers and investment restrictions among the
United States, Canada, and Mexico.
Answer:
In the proposal solicitation stage of the business buying process, the buyer invites
qualified suppliers to submit proposals.
Answer:
A clear mission statement acts as an "invisible hand" that guides people in the
organization.
Answer:
Market development involves company growth by identifying and developing new
market segments for current company products.
Answer:
Benefit segmentation requires finding the major benefits people look for in a product
class, the kinds of people who look for each benefit, and the major brands that deliver
each benefit.
Answer:
When a company views and organizes its marketing activities from only the consumer's
point of view, it is practicing societal marketing.
Answer:
A company must lower its ethical standards to successfully conduct business in
countries with low standards.
Answer:
The adoption process for new products refers to the mental process through which an
individual passes from first learning about an innovation to final adoption.
Answer:
Price setting is usually determined by ________ in large companies.
A) top managers
B) external stakeholders
C) product managers
D) non-executive employees
E) the sales department
Answer:
Consumer advocates call for additional consumer rights, including ________.
A) the right to be protected from unwanted marketing messages
B) the right to be well informed about important product aspects
C) the right not to pay any taxes included in the final price
D) the right to resell the product
E) the right to exchange the product if it is of the wrong size or style
Answer:
Which of the following is a major tool used by PR professionals?
A) standardized global advertising
B) market penetration
C) news
D) bait-and-switch strategy
E) product packaging
Answer:
Which of the following is the goal of the team-based new product development
approach when it uses cross-functional teams that overlap the steps in the process?
A) gain a big competitive edge by getting the right new products to market
B) save time and increase effectiveness
C) increase production efficiency and customer satisfaction
D) speed product distribution to market and reduce costs
E) reduce organizational tension and confusion
Answer:
The so-called green movement encourages companies to ________.
A) actively resist social change
B) operate freely in the black market
C) go beyond government regulations
D) institute deregulation
E) curb organizational anarchy
Answer:
Government markets consist of government agencies that buy goods and services
________.
A) to produce public services
B) to resell at a profit
C) for further processing
D) for personal consumption
E) that are generally of poor quality
Answer:
________ calls for meeting the present needs of consumers and businesses while also
preserving or enhancing the ability of future generations to meet their needs.
A) Sustainable marketing
B) Ambush marketing
C) Consumerism
D) Environmentalism
E) Strategic planning
Answer:
Which of the following is a cost-based approach to pricing?
A) value-based pricing
B) high-low pricing
C) target return pricing
D) good value pricing
E) EDLP
Answer:
________ shows consumer perceptions of a company's brands versus competing
products on important buying dimensions.
A) Differentiation
B) Positioning
C) Market targeting
D) Perceptual positioning maps
E) Market segmentation
Answer:
________ is a pricing strategy in which the company sets up two or more clearly
identified geographic regions within which all customers pay the same total price.
A) Freight-absorption pricing
B) Zone pricing
C) Uniform-delivered pricing
D) FOB-origin pricing
E) Basing-point pricing
Answer:
Peter Adams, an entrepreneur, decided to start a new technology venture. As he needed
servers and computers for his company, he decided to order these from a local vendor
who was offering attractive discounts. In this instance, Peter ________.
A) faces a new task situation
B) faces a modified rebuy situation
C) is most likely to benefit the most from reverse auction
D) faces the need for product differentiation
E) plans to attract customers by offering products at below-market prices
Answer:
Chronos Inc. designs and markets different brands of cycling watches. Each brand has a
single unique feature: the Chronos Cosmos has a heart rate monitor, the Chronos
Acumen is designed for older cyclists who prefer a large display, and the Chronos Aegis
has a GPS function. Which of the following is evident here?
A) channel differentiation
B) service differentiation
C) product differentiation
D) people differentiation
E) image differentiation
Answer:
Which of the following would be classified as bait-and-switch advertising?
A) advertising a cheaper brand but making only a more expensive one available to
customers
B) advertising the advantages of a product by comparing it to its competitors
C) providing free samples of a product
D) providing discount coupons with a product
E) favoring certain customers over others through trade promotions
Answer:
To help recruit, train, organize, manage, motivate, and evaluate relationships with
channel partners, companies are now installing integrated high-tech ________ systems.
A) advertiser funded programming
B) customer segmentation network
C) brand content management
D) partnership relationship management
E) closed loop marketing
Answer:
Which of the following terms best describes a large, low-cost, low-margin,
high-volume, self-service store that carries a wide variety of grocery and household
products?
A) convenience store
B) supermarket
C) specialty store
D) warehouse club
E) factory outlet
Answer:
A public relations firm tailors its advertising and promotional services according to the
needs and preferences of specific customers. This exemplifies ________.
A) trigger-based marketing
B) mass marketing
C) segmented marketing
D) individual marketing
E) concentrated marketing
Answer:
Nonpersonal communication channels include major media, ________, and events.
A) sales calls
B) atmospheres
C) buzz marketing
D) word-of-mouth influence
E) phone calls
Answer:
________ refers to the sales step in which a salesperson asks the customer for an order.
A) Prospecting
B) Demonstration
C) Approach
D) Closing
E) Handling objections
Answer:
Azure Air, an airline company, offers attractive prices to customers with tighter budgets.
A no-frills airline, it charges for all other additional services, such as baggage handling
and in-flight refreshments. Which of the following best describes Azure Air's pricing
method?
A) target profit pricing
B) good-value pricing
C) cost-based pricing
D) break-even pricing
E) penetration pricing
Answer:
Emerson Studios has designed its marketing organization along the lines of a ________
organization in which operational specialists head different marketing activities.
A) geographic
B) product
C) functional
D) customer
E) market
Answer:
A(n) ________ community is a group of nations organized to work toward common
goals in the regulation of international trade.
A) joint venture
B) strategic marketing
C) economic
D) joint-stock
E) multilateral
Answer:
Which term refers to looking at merchandise at a traditional store and then purchasing
the merchandise online?
A) pop-up shopping
B) wheel-of-retailing
C) off-price retailing
D) showrooming
E) wholesaling
Answer:
All of the following steps pertain to the marketing control process EXCEPT ________.
A) setting goals
B) measuring performance
C) taking corrective action
D) defining the company's mission
E) evaluating the causes of gaps between expected and actual performance
Answer:
________ marketing is more suited for uniform products, such as grapefruit or steel.
A) Niche
B) Undifferentiated
C) One-to-one
D) Trigger-based
E) Local
Answer:
With which pricing strategy does the seller take responsibility for part or all of the
actual freight charges in order to acquire the desired business?
A) FOB origin pricing
B) freight-absorption pricing
C) basing-point pricing
D) location-based pricing
E) uniform-delivered pricing
Answer:
Amanda Perkins is a senior sales manager in Arlington Steelworks. As the customer
base of her company has grown larger and more demanding over the last few years,
Amanda insists on ________, or using groups of people from various departments such
as sales, technical support, engineering, and even upper management to service
complex accounts.
A) cross selling
B) e-procurement
C) team selling
D) observational research
E) vendor screening
Answer:
Refer to the scenario below to answer the following question(s).
Bryant and Anne are the owners of the Good Green Grocer, a small but successful chain
of organic food stores. The organic food sold by Good Green Grocer is of good quality.
Also, it is tasty and has long-term health benefits. Bryant and Anne's business has
expanded as more and more consumers are interested in eating organic foods. What
started as one shop in Vermont has expanded to 15 stores in Vermont, New Hampshire,
Massachusetts, and Maine. Much to their delight, Bryant and Ann have found that many
people are willing to pay a bit more for food that is organically grown.
Sunday ads for the Good Green Grocer run in area newspapers, with special
promotional prices offered for a list of the "Top Ten Take Homes" each week. Regular
customers of the Good Green Grocer know that the promotional items often run out of
stock by mid-week, so the store typically sees its heaviest traffic on Sunday and
Monday.
The organic food sold by Bryant and Anne is of good quality. Also, it is tasty and has
long-term health benefits. This information indicates that the organic food sold by
Bryant and Anne would fall into the category of ________ products.
A) salutary
B) mature
C) deficient
D) desirable
E) pleasing
Answer:
Phoi Nguyen, a manufacturing mechanic, determines that the molds for manufacturing
plastic jar lids are wearing out sooner than expected. Phoi contacts her manager to
request that the parts be reordered. In this instance, Phoi played the role of a(n)
________.
A) user
B) buyer
C) gatekeeper
D) influencer
E) decider
Answer:
When companies serve customers who are willing to pay a premium to get precisely
what they want and the company responds quickly to satisfy these customers' needs, the
company has achieved ________.
A) customer intimacy
B) product differentiation
C) operational excellence
D) product leadership
E) focus
Answer:
With their size and buying power, ________ can offer better merchandise selections,
good service, and strong price savings to consumers.
A) convenience stores
B) franchises
C) megaretailers
D) power centers
E) lifestyle centers
Answer:
In the context of media timing, ________ means scheduling ads evenly within a given
period.
A) sequencing
B) narrowcasting
C) continuity
D) routing
E) pulsing
Answer:
How does strategic planning benefit companies?
Answer:
Why should a company be concerned about integrating communications from different
sources within the company?
Answer:
When would an exclusive dealing contract be legally problematic?
Answer:
Why is the consumer's field of experience important to a marketer?
Answer:
Why have firms adopted sales force automation systems?
Answer:
How do successful companies recruit and train their salespeople? What does an
effective training program teach salespeople?
Answer:
Why is predatory pricing considered illegal?
Answer:
Briefly describe the process of value-based pricing.
Answer:
Give two examples of product bundle pricing.
Answer:
Discuss the ways in which critics accuse marketing of harming the consumer.
Answer:
How has clutter in television and other advertising media created an increasingly hostile
advertising environment?
Answer:
How do influencers contribute to the purchase decision process?
Answer:
What does the proposal solicitation stage of the business buying process involve?
Answer:
What happens in a modified rebuy?
Answer:
What type of strategy should a company use to manage its cash cows?
Answer:
Explain why some critics worry that American multinationals are causing countries
around the globe to lose their individual identities. Give an example of the
"Americanizing" of the world's cultures.
Answer:
What is high-low pricing?
Answer:
A consumer's behavior is influenced by social factors, such as the consumer's small
groups, family, and social roles and status. Explain the differences among these social
factors.
Answer:
Compare a conventional distribution channel with a vertical marketing system (VMS).
Answer:
