Advertising
A. always results in higher prices for products.
B. is a waste of resources.
C. costs so much that it reduces the chance to achieve economies of scale in production.
D. guarantees a product’s success.
E. None of these alternatives is correct.
In the United States, the basic objective of the market-directed economic system has
been:
A. Providing everyday low prices.
B. Immediate delivery of products.
C. Offering easy financing.
D. Consumer satisfaction.
E. Making advertising memorable.
______________ means trying to increase sales of a firm’s present products in its
present markets.
A. Product development
B. Market penetration
C. Market development
D. Mass marketing
E. Diversification
Comparing GDP for foreign countries can help a marketing manager evaluate potential
markets if the manager remembers that:
A. GDP measures show people’s tendency to buy particular products.
B. income tends to be evenly distributed among consumers in most countries.
C. GDP estimates may not be very accurate for very different cultures and economies.
D. GDP measures show the degree of competition in a market.
E. GDP shows which brands will achieve the greatest sales.
Rothbart Inc. has a quality control manager, order-taking salesperson and financial
manager as part of the personnel involved in helping to improve a customer
relationship. Which of the following approaches is Rothbart using?
A. Telemarketing
B. Order getting
C. Team selling
D. Order taking
E. Merchandising
Sears uses a(n) _______________ brand when it uses the same brand name for several
products. In contrast, General Motors, by using different brands for each car line, uses
______________ brands.
A. individual, generic
B. generic, family
C. manufacturer, dealer
D. national, local
E. family, individual
A good job description for a salesperson:
A. Should be somewhat vague in order to give salespeople some flexibility.
B. Has nothing to do with the selection of new salespeople.
C. Lists the specific tasks that salespeople are expected to do.
D. Should not be used as a basis for performance evaluation.
E. None of these alternatives are correct.
A firm may raise money by selling shares of ownership in the company called:
A. Bonds.
B. Working capital.
C. Capital.
D. Stock.
E. None of these.
A corporate chain:
A. Is formed by independent retailers that work together.
B. Is sponsored by a wholesaler.
C. Is formed when a firm owns and manages more than one store.
D. Involves franchisees that pay commissions and fees to the parent company.
E. None of these alternatives is correct for a corporate chain.
____ dimensions actually affect the customer’s purchase of a specific product or brand
in a product-market.
A. Behavioral
B. Demographic
C. Determining
D. Qualifying
E. Geographic
Reshma Ananda, a marketing manager for the Grocery SuperStore retail chain, fired up
a computer program that gave her ready access to information about product
availability and customer buying. The program helped her immediately set prices for
bananas and cherries. This type of computer program is called ______.
A. a decision support system
B. data warehouse management
C. an Internet
D. PRICE analysis software
E. raw data manager
3-D-T has developed a printer that will “print” t-shirts and other simple articles of
clothing on demand. In order to let customers know about this product, an advertising
campaign should emphasize:
A. pioneering advertising.
B. institutional advertising.
C. comparative advertising.
D. reminder advertising.
E. price-deal advertising.
From the Industrial Revolution until the 1920s, most companies were in the production
era.
“Promotion” is NOT concerned with:
A. creating billboard ads.
B. designing new products.
C. publicity.
D. television commercials.
E. personal selling.
An item costs a retailer $140. If a 30 percent markup is desired, what should the retail
selling price be?
A. $191.00
B. $242.00
C. $182.00
D. $140.30
E. $200.00
Advertising
A. tries to attract attention to the firm and its offerings without having to pay media
costs.
B. is any unpaid form of nonpersonal presentation of ideas, goods, or services.
C. must be paid for, while another form of mass sellingpublicityis “free.”
D. is the main form of personal selling which includes the use of traditional media as
well as new media.
E. involves direct spoken communication between sellers and potential customers.
The selling formula approach:
A. Starts out much like the consultative selling approach.
B. Makes some general benefit statements to get the customer’s attention and interest.
C. Follows a series of logical steps based on some knowledge of the target customer.
D. Becomes identical to the prepared sales presentation as the salesperson approaches
an opportunity to close the sale.
E. All of these are correct for the selling formula approach.
Which of the following is NOT a trend affecting marketing strategy planning in the area
of International Marketing?
A. Tensions between “have” and “have-not” cultures.
B. More attention to exporting by small companies.
C. Global communication over the Internet.
D. Decreasing income and population in emerging markets.
E. Impact of “pop” cultures on traditional cultures.
Regarding measuring advertising effectiveness, which of the following statements is
FALSE?
A. Advertising effectiveness is easily measured by looking at the sales results.
B. Managers probably should pretest advertising rather than relying only on the
judgment of advertising “experts.”
C. If specific advertising objectives are set, then marketing research can help evaluate
the effectiveness of ads.
D. Some advertisers are now demanding laboratory or market tests to evaluate
effectiveness.
E. No single research technique has proven most effective.
When marketing a truly new product, a marketing manager should:
A. use an informing promotion objective.
B. target communication towards innovators and early adopters.
C. attempt to obtain publicity.
D. All of these alternatives are correct.
Which of the following products would be bought using purchasing specifications?
A. 100 gallons of Du Pont brand muriatic acid.
B. 1,000 700MB CD-Rs.
C. 50 pounds of number 10 USX nails.
D. All of these products would be bought using purchasing specifications.
SouthFace Corporation just named Chloe Perry to a marketing management position.
One of the reasons she accepted a position with this company was its reputation for
market-oriented long-range planning. SouthFace Corp. is probably operating in the
______________ era.
A. planning
B. marketing company
C. marketing research
D. marketing department
E. none of these is a correct answer.
When consumers screen out or modify ideas, messages, and information that conflict
with previously learned attitudes and beliefs, this is called:
A. cognitive perception.
B. selective perception.
C. selective retention.
D. conscious perception.
E. selective exposure.
Budgeting for promotion expenditures by computing a percentage of past or expected
sales:
A. is the most common method of setting the promotion budget.
B. is a complex method of budgeting.
C. will increase promotional expenditures when business is poor.
D. is especially suitable for new products.
E. None of these alternatives is correct.
This act, passed by the U.S. Congress in 1977, prohibits U.S. firms from paying bribes
to foreign officials.
A. Corporate Responsibility for the New Millennium Act
B. Racketeer Influenced and Corrupt Organization Act
C. Ethics in Business Act
D. Anti-Bribery Act
E. Foreign Corrupt Practices Act
Splash World Pool Supplies wants its salespeople to call on pool wholesalers five times
per year and to spend two hours on each sales call. Every salesperson works a 40-hour
week and takes off two weeks for vacation each year. A salesperson must spend half of
the time on travel and administration. Approximately how many salespeople does
Splash World need to service 1000 accounts?
A. 10
B. 20
C. 8
D. 2
E. 24
A salesperson on a(n) ________ earns the same amount regardless of how he or she
spends time.
A. bonus plan
B. commission pay
C. straight salary
D. combination plan
E. incentive plan
Which advertising agency ‘supergroup” had the largest revenue (almost $14 billion) in
2009?
A. Omnicom Group
B. BBDO
C. WPP Group
D. Interpublic
E. Publicis Groupe
“Product” is NOT concerned with:
A. quality level.
B. branding.
C. wholesale price.
D. packaging.
E. warranty.
Most purchasing managers:
A. reject “vendor analysis” as too subjective.
B. want to be ‘sold” by persuasive salespeople.
C. spend most of their time on new-task buying.
D. stress dependability as well as lower cost and higher quality.
E. dislike the higher risk that is involved in buying from a supplier that meets the ISO
9000 standard.
Nature Fresh Cereal does not feel satisfied with the location and amount of shelf space
it is given at Sunshine Health Food Markets. This creates a source of
A. vertical conflict.
B. diagonal conflict.
C. horizontal conflict.
D. parallel conflict.
E. placement conflict.
Which of the following is an example of inbound communication with a customer
seeking new hiking boots? (Timberland is a brand of hiking boots)
A. A searches for and then visits the website of a Timberland to read about boots.
B. The customer receives a mailing that features Timberland boots from a local shoe
store.
C. Timberland runs television ads on its new boots.
D. The customer reads Timberland’s CEO Twitter messages.
E. The customer goes into a store selling Timberland boots.
A ________ requires a detailed look at the company’s current marketing plans to see if
they are still the best plans the firm can offer.
A. cost analysis
B. full-cost approach
C. sales analysis
D. marketing audit
E. strategic scenario review