_______ are often considered a more realistic picture of product growth.
A.New purchases
B.Revenues
C.Unit sales
D.Repeat purchases
E.Replacement purchases
Currency fluctuations can lead to wide variations in revenue, and price increases can
also dramatically affect total revenue. So unit sales are often considered a more realistic
picture of product growth.
Toyota sells and manufactures automobiles worldwide with operational bases in 27
countries and regions. Toyota is engaged in ____________.
A.Global marketing
B.Indirect foreign marketing
C.Global partnerships
D.Foreign marketing
E.Direct foreign marketing
A global marketing company realizes that all world markets (including the company’s
own domestic market) are, in reality, a single market with many different segments.
Although individuals are exposed to 2,000 to 5,000 messages daily, all messages are not
processed, retained and interpreted because of ________, a psychological tool which
helps individuals focus on what is relevant and eliminate what is not.
A.Selective awareness
B.Selective distortion
C.Selective retention
D.Selective attention
E.Selective hearing
An individual is exposed, on average, to between 2,000 and 5,000 messages daily.
People cannot process, let alone retain, all those messages, so they employ a
psychological tool known as selective awareness to help them focus on what is relevant
and eliminate what is not.
Industrial sellers often include with the RFP a ________.
A.Strong financial analysis of the purchase
B.Strong request to be the sole source for the contract
C.Grease payment to smoothen the process
D.Financial incentives to make the purchase in the form of free service
E.None of the above
The actual purchase price is just one consideration in determining the real cost of a
purchase. Maintenance and operating costs, repair charges, and supplies are all costs
associated with ownership. Industrial sellers often include with the RFP a strong
financial analysis of the purchase which would identify real cost of purchase and the
break even point.
When JC Penney orders winter coats, it sends them to stores at different times of the
year. This is an example of _______.
A.Demographic segmentation
B.Geographic segmentation based on climate
C.Behavioral segmentation
D.Psychographic segmentation
E.Demographic segmentation based on social class
JC Penney segments its target market by geographic climate. It wisely recognizes
different customer needs across different climates and builds its marketing plans
accordingly.
Scott thinks about the challenges and opportunities that his customers face from their
point of view. In fact, he reinforces to all members of his team that their jobs revolve
around satisfying customers. Scott _____________.
A.Has a customer mindset
B.Is trying to maximize profits, no matter what
C.Is focusing his team on the bottom line
D.Has a short term orientation
E.Needs to expand his managerial horizons
When a person believes that understanding and satisfying customers, whether internal
or external to the organization, is central to the proper execution of his or her job,
he/she is said to have a customer mindset.
CRM is _______________.
A.A software system
B.A business strategy
C.Focused on maximizing profitability through serving the best customers
D.Customer-centric
E.All of the above
CRM is a comprehensive customer-focused program that is relationship oriented and
increases revenue and profits.
____________________ is/are essential tools in an integrated marketing strategy.
A.Advertising
B.Sales promotion
C.Public relations
D.Personal selling
E.All of the above
Advertising, sales promotion, and public relations are essential tools in an integrated
marketing communications strategy. However, they are all, for the most part,
unidirectional. As a result, effective integrated marketing communications incorporates
interactive, personal communication methods, including personal selling, direct
marketing, and interactive marketing.
Operating with _______ price/______ benefits can be problematic. Some firms use
price skimming strategies, especially on product introductions, even when all the bugs
have yet to be worked out of the product.
A.High, high
B.High, low
C.Low, high
D.Low, low
E.None of the above
Firms and brands that continually attempt to operate in the high price/ low benefits
quadrant do not survive over the long run as customer trust is damaged.
As with average-cost pricing, the effectiveness of __________________ is highly
dependent on the accuracy of the forecast.
A.Cost plus pricing
B.Price war
C.Markup on sales price
D.Markup on cost
E.Target return pricing
Target return pricing requires accurate forecasts of demand. This is one of the draw
backs of target return pricing.
Once a(n) _____ strategy is in place, inventory tends to fluctuate less and it is easier to
manage inventory levels.
A.Every day low pricing (EDLP)
B.High/low pricing
C.Market penetration
D.Intensive distribution
E.Market development
EDLP can help build customer loyalty because customers know they can rely on
consistently low prices. The loyal customers ultimately reduce inventory fluctuations
and managing inventory levels becomes easy.
Service jobs have _________ in the United States over the last 30 to 40 years.
A.Decreased
B.Increased
C.Stayed the same
D.Been in decline
E.None of the above
Service jobs have increased in the US over the last 30 years.
There are at least two methods to build a list of potential suppliers once product
specifications have been outlined. One of the methods is to use the cumulative
experience of the company over time. The second method is _______.
A.Buying a list from a list broker
B.Using supplier search websites like Thomas Global Register
C.Asking all sales people to respond to the RFP
D.Creating a list from the Yellow Pages
E.Going to several trade shows and finding suitable suppliers
The Internet has become a valuable tool for companies in identifying potential
suppliers. General search engines and even dedicated supplier search Web sites, such as
Thomas Global Register, are easy to use and enable customers to identify specific
potential vendors.
“Does the prospect have a need for the company’s products?” “Can the prospect derive
added value from the product in ways that the company can deliver?” “Does the
prospect have the financial ability and authority to make the sale?” All of these
questions form part of which step in the personal selling process?
A.Qualifying the prospect
B.Opening the relationship
C.Making the sales presentation
D.Handling customer objections
E.Following up with consumers
Before salespeople spend much time trying to establish a relationship with the
prospective account, it is important to qualify the prospect to determine if the company
is a legitimate potential customer. The process involves answering five questions
relating to the prospect’s need for the product, the value-additions derived by the
prospect from the product, the salesperson’s ability to complete the sales process, the
financial ability and authority of the prospect to make the sale, and the profitability of
the sale.
Starbucks does not use advertise to promote its stores. This decision most likely reflects
the company’s _____________.
A.Advertising budget
B.Marketing (Big M)
C.Marketing (little m)
D.Relationship orientation
E.Sales orientation
Big M reflects the company’s strategic thinking. Starbuck’s successful early growth was
fueled by an understanding of the markets and competitors and other external factors
and internal capabilities. Management believed that word of mouth would be the most
successful promotion strategy.
Bella Luna is a specialty baby furniture store. Most of the items in the store are
designer, and, therefore, tend to be more expensive than other baby furniture. Recently
Bella Luna started to put the manufacturer’s suggested retail price next to the price they
charge in order to show the savings. Bella Luna is using __________________.
A.Product line pricing
B.Captive pricing
C.Price bundling
D.Reference pricing
E.Prestige pricing
Bella Luna is trying to create a powerful psychological impact on customers by virtue
of the savings demonstrated by the comparison. This becomes an example of reference
pricing.
The section of the plan that contains best case, worst case, and most likely case
scenarios is called ___________________.
A.Contingency planning
B.Strategic planning
C.Marketing metrics
D.Action plans
E.Marketing programs
Contingency plans ensure that implementation of marketing strategies would be
different depending on how performance against the forecast actually materializes.
Hence it contains best case, worst case, and most likely case scenarios.
_______________ is the second phase in the process cycle for CRM.
A.Analysis and refinement
B.Supplier interface
C.Customer interaction
D.Marketing planning
E.Knowledge discovery
Marketing planning is the second element in the CRM process which uses output from
the knowledge discovery phase and develops marketing and customer strategies and
programs.
Rita spent four years at HSN (formerly Home Shopping Network) as a category
manager in healthcare products aimed at the B2C market. Target headquarters in
Minneapolis recruited her to manage the stationery division. She contracts with
suppliers worldwide to supply the chain with notebooks, notepads, art supplies,
computer paper, etc. In analyzing the target markets, should Rita use an undifferentiated
or differentiated target marketing strategy? Which of Michael Porter’s competitive
strategies does Target use?
What are the three core functions of PR that are most closely aligned with the role of
the marketing manager and why are they important?
What is advertising wearout, and how does it impact promotional strategy? Give an
example of a company that has had to deal with this issue.
What are the two ways that companies may get new products?
What are the five states of the innovation diffusion process?
When the social networking site Facebook started, its primary members were in the
young adult market of 18 to 24 year olds. Now the 35 and over age group has the
largest membership. What kind of value does Facebook offer to different segments?
How does Gillette use gender segmentation?