For the majority of consumers, the purchase of a breakfast cereal is a low-involvement
choice.
A test market has a profile similar to that of the control market, but it does not receive
any special treatment.
Marketers of high-priced products, such as automobiles, typically use personal selling.
The easiest method of determining the advertising budget is the competitive budget
method.
The concern that children may be exploited by certain advertising messages would not
be addressed by the consumerism movement.
When customers prefer a wide assortment of products, it makes sense to select a longer
channel structure.
The creation of a marketing-mix model requires the use of a software package that
maximizes marketing-mix elements with respect to particular financial outcomes.
A marketer is more likely to conduct applied research than pure research.
A marketer conducting online sales needs to consider varying clickthrough fees in
calculating the incremental cost of an online sale.
A company can use the balanced scorecard to generate a set of initiatives to achieve its
objectives.
An advertiser must have documented proof of any claims made in an advertisement.
The sales orientation holds that consumers will not buy enough of a company’s products
unless the company undertakes advertising and selling efforts.
Marketing accountability processes play a negligible role in determining a company’s
compliance with the Sarbanes-Oxley Act.
A sales forecast projects a company’s future revenues.
Like consumer markets, business markets can be segmented by demographics and
loyalty.
Warehouse clubs generate substantial revenue from membership fees alone.
A brand is essentially a promise to consumers.
Unlike a product’s USP, a product’s value proposition is intended to be specifically
relevant to the target.
A marketer can influence exchange rates to create international pricing advantages.
Future opportunities and threats are considered in the forecasting section of a marketing
plan.
A business that practices social responsibility focuses on following high ethical
standards and improving society rather than generating profits.
A channel captain can motivate channel members through financial incentives.
In the personal selling process, a prospect is a potential customer.
Serving the needs of two different target segments often requires different
communications channels.
A company markets wild and crazy games for teens to play at parties. This is an
example of a business market.
Luxury, all-inclusive vacations cannot be characterized as specialty products.
A major role played by intermediaries is to buy large quantities of products from many
producers and break them down into the smaller quantities and broader assortments
wanted by consumers.
Quantitative research is essentially survey research.
It is relatively easy to measure the effect of a sales promotion.
Joint venturing has occurred when two or more U.S. companies jointly invest in
distributing products to a foreign country.
A company’s promotion strategy determines how much the company will charge for its
products.
A marketing plan, by definition, is contained within a business plan.
Public relations involves, by definition, two-way communication.
The goal of marketing communications is to influence the thoughts, feelings, and/or
actions of consumers.
The stage at which a new product and marketing program are introduced into realistic
market settings to evaluate customer acceptance of the product is called marketing
strategy.
An increase in the unemployment level generally increases the ability of individuals to
purchase products and services.
A delighted customer is more likely than a switchable customer to be a product
champion.
Advertising used to reach a mass audience can be cost-effective.
Marketing measurement has both process and structural implications for a business.
Which of the following is a structural implication?
A. the need to assign staff to perform the necessary measurement tasks
B. the need to understand how marketing information is generated
C. the need to determine how employees are rewarded for using measurement data
D. the need to determine how marketing information will be analyzed
E. the need to determine how management will be rewarded for using measurement
data
Which stage in the PLC normally lasts longest?
A. growth
B. decline
C. maturity
D. phase-in
E. adoption
Private label brands have almost completely replaced ________.
A. approach products
B. national brands
C. avoidance products
D. generic products
E. specialty products
A ________ is a set of conditions that creates a drive toward action to fulfill a need or
want.
A. stimulus
B. perception
C. belief
D. motivation
E. norm
Which marketing orientation focuses on creating demand and moving product
inventory?
A) production orientation
B) social responsibility orientation
C) consumer orientation
D) sales orientation
E) relationship orientation
As a marketer increases a product’s price, the ________ drops.
A. target
B. break-even point
C. cost-plus pricing
D. total cost
E. markup
________ are rules or orders carrying the force of law that are issued by an official
government agency.
A. Ethics
B. Regulations
C. Customs
D. Tariffs
E. Boycotts
________ logistics concerns the methods consumers use to send products to a producer
for return or repair.
A. Inbound
B. Reverse
C. Outbound
D. Vertical
E. Horizontal
The consumer problem solving that is used when little or no risk is associated with a
purchase is categorized as
A. limited problem solving.
B. significant problem solving.
C. routine response problem solving.
D. irrational behavior.
E. high-involvement behavior.
A question that broadly addresses the prospect’s need and offers a solution can be
effective at the beginning of the ________ step of the selling process.
A. preapproach
B. prospecting
C. follow-up
D. sales presentation
E. qualifying
In the Boston Consulting Group matrix, ________ provides a measure of market
attractiveness.
A. relative market share
B. market development
C. market penetration
D. market growth rate
E. market segmentation
Members of the management team at the Art Attic would most likely refer to the
company’s ________ to identify their responsibilities to marketing, operations,
customer service, and other departments.
A. marketing plan
B. marketing program
C. business plan
D. business program
E. tactical plan
________ are infrequently purchased consumer products with unique characteristics for
which buyers are willing to make a special purchase effort.
A. Shopping products
B. Unsought products
C. Specialty products
D. Industrial products
E. Line extensions
Red Bull entered the U.S. soft drinks market with a niche product: a carbonated energy
drink retailing at about twice what you would pay for a Coke or Pepsi. Red Bull was
sold in unconventional outlets not dominated by the market leaders. In doing so, Red
Bull was using the ________ element of the marketing mix against the market leaders.
A. price
B. place
C. physical handling
D. packaging
E. promotions
The method of entering a foreign market that presents the least amount of risk for a
company is ________.
A. joint venturing
B. direct investment
C. exporting
D. joint ownership
E. contract manufacturing
Refer to the scenario below to answer the following questions.
Herb Marks was making wooden writing utensils as a hobby until Mel Yoder
recognized Herb’s talent. Mel immediately ordered 250 pens and pencils of various
styles to be displayed in his shop’s showcase. Within three months, the writing utensils
were a hit! Herb Marks had never thought of marketing his talent, but Mel’s enthusiasm
and the recent sales were enough to change his mind.
With limited resources, Herb contacted three additional specialty shops within 100
miles. He explained his manufacturing processes and engraving options to each. All
three shops’ owners placed a trial order. Within two months, just prior to the holiday
season, each shop owner placed an additional order. Herb was ecstatic!
“I figured business would slow down after that,” Herb stated, “but in February I was
contacted by Elmore Distributors. At that point, I had to make a huge decision about
how far I wanted to go with this business.”
Elmore Distributors provided products for school fundraisers in a seven-state area. Herb
was offered a two-year contract and immediate inclusion in Elmore’s promotional flyer.
Herb Marks accepted the offer and, along with it, the responsibility to produce
thousands of wooden pens and pencils.
“I had to get a grip on the magnitude of this project!” Herb added. “I couldn’t grow out
of control. I was already working to capacity.”
Herb decided to place his major focus on the large contract with Elmore. However, to
avoid placing his total emphasis with one customer, Herb continued nurturing his four
previously established accounts without targeting any additional customers.
“At this point, I had set up an assembly line in a rented building,” Herb explained. “I
had to hire three full-time employees to work the line while I managed the customer
orders and purchased materials.” Herb paused. “But I can’t take the Elmore project for
granted. It might not always be there. I’ll have to have a good alternate plan if that day
comes.”
Herb promises to provide his customers with “pens and pencils that are both
professional and personal.” This is Herb’s ________.
A. USP
B. target market
C. vision statement
D. brand positioning statement
E. product proposition
A supplier with which of the following is likely able to exert the most power over a
company?
A. low prices
B. high prices
C. many competitors
D. few or no competitors
E. many customers
Today the 4 Ps are compared to Kotler’s 4 Cs. Product and place are called ________
and ________, respectively.
A. convenience; customer value
B. cost; convenience
C. communication; customer value
D. customer value; convenience
E. communication; convenience
The middle level of brand positioning is ________.
A. beliefs
B. values
C. product attributes
D. benefits
E. service
Which of the following is most closely associated with the Sarbanes-Oxley Act of
2002?
A. Publicly traded companies must identify when they are using puffery in marketing
communications.
B. Publicly traded companies are not allowed to suppress competition.
C. Publicly traded companies must publish results of their marketing accountability
processes.
D. Employees of publicly traded companies cannot be held responsible for the business
practices of their companies.
E. Leaders of publicly traded companies are responsible for the business practices of
their companies.
A number of top fashion-modeling agencies would most likely be charged with
________ for jointly determining what commissions they would charge for models.
A. prestige pricing
B. price lining
C. price bundling
D. dynamic pricing
E. price fixing
Which type of control considers results with respect to the stated marketing plan or
program?
A. observational
B. operational
C. managerial
D. strategic
E. implementation
Consider a situation in which there is 90% unaided awareness for a brand of athletic
shoes, with purchases of 10%. Which of the following best describes the purchase
funnel for this scenario?
A. very wide at the top and narrow at the bottom
B. very narrow at the top and wide at the bottom
C. very narrow and vertical
D. very wide and vertical
E. very wide and horizontal
Advocacy groups such as Consumers International and the Better Business Bureau can
act on behalf of consumers and promote consumers’ rights through ________ but not
through ________.
A. enforcing regulations; influencing the media
B. influencing the media; political lobbying
C. organizing boycotts; influencing the media
D. political lobbying; enforcing regulations
E. political lobbying; organizing boycotts
Once a marketing-mix decision is made, the marketing team should ________.
A. keep the strategy in place despite internal changes
B. keep the strategy in place despite market changes
C. monitor market performance and the target market
D. reduce the amount of customer data that is collected
E. wait at least six months before changing an element of the marketing mix
In Booms and Bitner’s 7 Ps of the marketing mix, physical evidence refers to which of
the following?
A. the product image
B. packaging and design
C. the environment in which the service is delivered
D. the way in which the customer uses the product or service
E. the way the service is delivered
Which of the following is an advantage of telephone interviews?
A. They are less expensive to conduct than online questionnaires.
B. Interviewer variability can be controlled.
C. Response rates are increasing.
D. Interviewers can provide feedback and have flexibility in follow-up questions.
E. Interviewers’ interpretation of responses is easily standardized.
When determining the distribution intensity, three strategies are available to marketers:
intensive, exclusive, and ________ distribution.
A. multichannel
B. selective
C. international
D. direct
E. extensive
All of the following are reasons that marketers may be losing confidence in network
television advertising EXCEPT which one?
A. Production expenses for a polished TV commercial can be substantial.
B. Network television no longer commands the majority of broadcast spending.
C. Many viewers are using DVRs to watch television shows after they have aired.
D. Network television advertising is not as effective at marketing toward smaller and
more narrowly defined target markets.
E. The results of network television advertising are not as easily measurable as the
results of Internet advertising.
Physical distribution focuses on ________ logistics.
A. inbound
B. horizontal
C. vertical
D. outbound
E. reverse
What is one major assumption made by marketers who choose to use an
undifferentiated marketing strategy?
What are two external factors that may cause a company to reconsider its
marketing-mix strategy?
Why have American youth, in general, been exposed to a greater diversity of cultures
than previous generations?
In addition to understanding the wants and needs of the target audience, what must
marketers understand when introducing a new product into an established market
segment?
Briefly explain the cultural value of uncertainty avoidance.
Briefly explain the purpose of an implementation schedule.
Explain how the government may influence a company’s marketing decisions.
Explain why consumers in one country’s market may have more in common with
certain segments in another country’s market than with consumers in their own country.
Compare and contrast the purpose of a test market and a control market, explaining how
the two function together.
Identify and discuss three activities that are typically involved in the marketing
accountability process.
Discuss the impact of retailing on the U.S. and global economy.
Give an example of how marketers introduce products based on the development of
new technologies.
Briefly describe several of the inputs that marketers typically contribute to a company’s
business plan.
Identify and explain one reason that there are so many different brands available in
today’s market.
Explain how society and culture relate to one another.
Identify and describe the four different perspectives considered by the balanced
scorecard.
Explain how a company that practices social responsibility views the relationship
between generating profits and being socially responsible.