________ offer “hard goods” at substantial price cuts to customers.
A. Supermarkets
B. Discount houses
C. Supercenters
D. Mass-merchandisers
E. Convenience stores
When a supermarket manager decides to set up an end-of-aisle display for 12-pack
containers of Coke Zero, this is a decision about:
A. Product.
B. Place.
C. Promotion.
D. Price.
A “buying center”
A. may vary from purchase to purchase.
B. refers to all the purchasing agents in a large firm.
C. is usually identified on a firm’s organization chart.
D. is usually controlled by the purchasing manager.
E. is usually located in major wholesale markets.
A change in the _____ environment can affect consumer purchases of homes, cars, and
other items usually bought on credit.
A. legal
B. political
C. social/cultural
D. technological
E. economic
Classifying marketing costs in terms of their purposewhy the money was spentrequires
the use of:
A. iceberg accounts.
B. marketing audit accounts.
C. expense accounts.
D. functional accounts.
E. natural accounts.
The largest producer of “fuzz-busters” (radar detectors) sees that many states are
increasing the penalty for using them. Clearly, this firm’s marketing strategy may have
to adapt to these changes in the
A. economic and technological environments.
B. resources and objectives of the firm.
C. competitive environment.
D. political and legal environments.
E. cultural and social environment.
Professional Dental Supply has been successfully selling dental instruments to dentists
for the past twenty years, and has developed strong customer relations. When looking
for new marketing opportunities, Professional Dental Supply will most likely look first
at
A. market penetration.
B. diversification.
C. market development.
D. product development.
E. Professional Dental Supply will look at all opportunities equally.
Coupons, samples, and point-of-purchase materials are examples of
A. advertising.
B. publicity.
C. specialty service.
D. personal selling.
E. sales promotion.
Passage of the Consumer Product Safety Act means that:
A. some businesspeople may go to jail if they offer unsafe products.
B. consumers will be more willing to pay for safer products in the future.
C. product-related injuries will be eliminated in the future.
D. producers are no longer liable for an injury if it is the consumer’s fault.
E. All of these alternatives are correct.
The transporting function adds value by:
A. making products available where they’re needed.
B. making JIT the best approach.
C. making products available when they’re needed.
D. making products available when AND where they’re needed.
E. making the storage function obsolete.
Which of the following would be treated as an expense item for a children’s clothing
manufacturer?
A. Cloth.
B. Sewing needles.
C. Buttons.
D. Zippers.
E. All of these would be treated as expense items.
A marketing manager wants to know why her sales are down. She talks with several
sales reps and finds that a competitor has introduced a successful new product. This
“research” seems to be part of
A. the situation analysis.
B. the problem solution stage.
C. obtaining problem-specific data.
D. the data interpretation stage.
E. the problem definition stage of the research process.
Mass-merchandisers:
A. locate only in large downtown areas with large sales potential.
B. are large, self-service stores which stress low price to get faster turnover.
C. emphasize nationally-advertised “hard goods.”
D. usually have about as much floor space as the average supermarket.
E. All of these alternatives are correct for mass-merchandisers.
In serving individuals within target segments, _____ tries to get a competitive
advantage by finding a low-cost way to give each customer more or better choices.
A. mass marketing
B. standardization
C. traditional manufacturing
D. outsourcing
E. mass customization
At zero output, total variable cost is
A. higher than total fixed cost.
B. equal to total fixed cost.
C. unity.
D. zero.
E. substantial.
An energy company that has expertise in drilling for oil would also likely have the
resources to:
A. manufacture automobiles.
B. operate a chain of gas stations.
C. drill for natural gas.
D. sell office supplies.
E. make medical devices.
A food processor considering snack-food opportunities identified three possible market
segments and gave them “nicknames”: the dieters, health faddists, and
nutrition-conscious parents. It developed a marketing mix around a line of good tasting,
nutritious children’s snacks. The firm is apparently
A. relying on cluster analysis techniques.
B. using a multiple target market approach.
C. using a single target market approach.
D. using a combined target market approach.
E. ignoring the criteria that good market segments should be operational.
When focus group interviews are used in marketing,
A. each person in the group answers the same questionnaire, to focus the discussion.
B. the typical group size is 15 to 20 typical consumers whether online or off-line.
C. it is primarily as a follow-up to more quantitative research.
D. the research conclusions will vary depending on who watches the interview whether
online or off-line.
E. the consumer in the group who knows the most about the topic is asked to lead the
discussion.
Target return pricing objectives:
A. usually are very high for firms facing heavy competition.
B. aren’t used by industry leaders because they can maximize profits.
C. would never make sense for a nonprofit organization.
D. may simplify the management of large producers with many divisions or
departments.
E. All of these alternatives are correct.
Compared to conventional retailers, which of the following types of retailers offer a
wider product assortment but less service?
A. Convenience stores.
B. Supermarkets.
C. Telephone order retailers.
D. Department stores.
E. Limited-line stores.
Which of the following statements DOES NOT indicate that a marketing manager is
about to make a serious mistake?
A. “When it comes to my marketing strategy, if it ain’t broke, don’t fix it.”
B. “International competition is just a fad. We can ignore it.”
C. “I leave marketing applications of technology to the information technology staff.
There’s no need for me to learn about them.”
D. “I try to place myself in the position of the consumer and do unto others as I would
have them do unto me.”
E. “My job is to sell products. If they happen to damage the environment because a
consumer doesn’t dispose of them properly, that’s not my problem.”
Recently, some executives for highway construction companies agreed to stop
competing with each other on price and to meet every three months to decide their price
for the next quarter. In this situation:
A. the Sherman Act has been violated.
B. the Robinson-Patman Act has been violated by price discrimination.
C. the executives are exercising their right to free trade.
D. the unfair trade practice acts have been violated.
E. as long as prices don’t increasethe executives have done nothing wrong.
Which of the following is NOT a “Something of Value” which might be offered to
FINAL CONSUMERS in the “price equation”?
A. Stocking allowance
B. Service
C. Repair facilities
D. Credit
E. Packaging
The basic problem with the average-cost approach is that it
A. does not consider cost variations at different levels of output.
B. does not consider historical values.
C. does not add a reasonable markup to the average cost of a product.
D. is not commonly used.
E. is a complex method.
Indirect distribution usually
A. requires less investment capital than direct approaches.
B. increases the initial cash outlay.
C. has no effect on capital investment when compared to direct approaches.
D. drastically increases the time required to bring a product to market.
E. is always the most effective distribution method.
A marketing plan that included sections on transportation requirements, inventory
product-handling requirements, and facility requirements would include those sections
under the area of ___________.
A. Promotion
B. Price
C. Place
D. Product
E. Personnel
Over time, a skimming policy usually involves
A. price movement up the demand curve.
B. price movement down the demand curve.
C. profit minimization in the market introduction stage.
D. efforts to target the top portion of the demand curve.
E. declining sales and profits.
When evaluating macro-marketing:
A. the evaluation is necessarily subjective.
B. the best approach is to consider the profit generated by individual firms within the
overall system.
C. one must determine how efficiently the society’s resources are used.
D. one must consider each individual firm’s role in the marketing system.
E. All of these alternatives are correct.
To get the sale price, customers
A. buy when they have to buy.
B. buy when the seller wants to sell.
C. have to buy things that they never need.
D. have to give up all consumer surplus.
E. buy when they have a necessity.
Which of the following statements about sales promotion is NOT TRUE?
A. Sales promotion refers to those promotion activities that stimulate interest, trial, or
purchase by final consumers.
B. A particular sales promotion activity usually lasts for only a limited time period.
C. It is generally used to complement the other promotion methods.
D. Sales promotion objectives usually focus on prompting some long-term action.
E. Sales promotion can often be implemented quickly and get sales results sooner than
advertising.
A cluster analysis of the “toothpaste market” would probably show that:
A. the broad product-market can be served effectively with one marketing mix.
B. most consumers are mainly concerned about brightness of teeth.
C. factors such as taste, price, and ‘sex appeal” are not important.
D. different market segments seek different product benefits.
E. None of these alternatives is correct.
Which of the following is NOT a separate stage of the new-product development
process?
A. Idea generation.
B. Screening.
C. Idea evaluation.
D. Marketing research.
E. Commercialization.
Test-marketing is an example of a(n):
A. Mail survey.
B. Focus group.
C. Situation analysis.
D. Telephone survey.
E. Experiment.
Discrepancies of assortment happen when
A. producers prefer to produce and sell in large numbers, but consumers prefer to buy
and consume in smaller numbers.
B. consumers may not want to consume goods and services at the time producers would
prefer to produce them.
C. consumers value goods and services in terms of costs and competitive prices
whereas producers value them in terms of satisfying needs and ability to pay.
D. producers specialize in producing a narrow range of goods and services but
consumers need a wide variety.
E. producers hold title to goods and services that they themselves do not want to
consume.