Which of the following observations concerning beliefs is FALSE?
A. Beliefs don’t necessarily involve any liking or disliking.
B. A belief is a person’s opinion about something.
C. Beliefs may help shape a consumer’s attitudes.
D. Beliefs are more action-oriented than attitudes.
E. None of these observations is FALSE.
Answer:
Which of the following is NOT an agent wholesaler?
A. A drop-shipper
B. An auction company
C. A selling agent
D. A broker
E. A manufacturers’ agent
Answer:
When a producer has won brand insistence in its target market-and just wants to keep
the product’s name before the public-it can use:
A. reminder advertising.
B. pioneering advertising.
C. direct-action advertising.
D. comparative advertising.
E. institutional advertising.
Answer:
Definitely Scrumptious Co., a cookie manufacturer, decides to expand into cake
manufacturing. It begins the buying process for cake molds, toppings, and icing
equipment by setting product specifications and evaluating sources of supply. This is an
example of a
A. simplified buy.
B. straight rebuy.
C. modified rebuy.
D. straight buy.
E. new-task buy.
Answer:
Which of the following statements about the idea evaluation step is false?
A. Companies can often estimate likely costs, revenue, and profitability at this stage.
B. Product planners can compare the cost advantages and limitations of a new product
with those currently being used.
C. Product tests with customers are used to revise the early versions of the product.
D. This step should gather enough information to help decide whether there is an
opportunity.
E. None of these statements is false.
Answer:
Of the following, which are the most receptive to new products and new brands?
A. Young people
B. Senior citizens
C. Empty-nesters
D. Middle-aged people
E. All are equally receptive to new products and new brands.
Answer:
_____ aim at one or more homogeneous segments and try to develop a different
marketing mix for each segment.
A. Combiners
B. Segmenters
C. Segment aggregators
D. Segment combiners
E. Multipliers
Answer:
Use this information for question that refer to the Yummy Ice Cream case.
Kelly Stich, marketing manager for Yummy Ice Cream Products, is thinking about some
of her products and her promotion plans for the coming year.
Yummy Ice Cream Products is introducing a new ice cream treat called PlanetSavers.
This treat uses ice cream produced with environmentally friendly processes that save
energy and protect the ozone. Yummy plans to send articles to magazines, local
newspapers, and environmental groups that explain the environmentally safer treat. The
product also has a unique texture and different flavor.
Stich wants to use counter cards and in-store signs to let people know about Cherry
Walrus, the company’s new flavor. She is also developing sales training materials that
will teach ice cream scoopers in Yummy’s ice cream stores to promote the product.
Right after Cherry Walrus is introduced each store will also hand out coupons that are
good for one day only.
Yummy Mondaes is a product that has been around for 25 years. It is Yummy’s take on
the classic ice cream sundae, but white-brownie and coffee-flavored crumbles are added
to make it extra special. The company sells this product in one and two quart containers
through major grocery store chains. It relies on personal selling and price discounts to
retailers to move more of the product. The company does very little consumer
promotion for this product.
Yummy Fudge on a Stick is a new product of fudge-flavored ice cream on a stick.
Yummy plans to sell it through retail grocery stores and is launching an aggressive
advertising program that will use television, radio, newspaper, magazines, and the
Internet. Most of its promotion will be directed at consumers.
Two years ago, the company introduced Yummy Fruit on a Stick, an all-natural frozen
fruit product on a stick. The product category has been popular, continues to grow, and
is in the market growth stage of the product life cycle.
According to your textbook, with a new product like PlanetSavers, a marketing
manager should:
A. attempt to obtain publicity
B. target initial communications toward innovators and early adopters
C. use an informing promotional objective
D. all of these alternatives are correct
Answer:
Which of the following observations is true?
A. The break-even point can also be figured in dollars.
B. For a single price, multiple break-even points are possible.
C. Beyond the break-even point, profits will grow continually.
D. At break-even point, a firm will cover only its variable costs.
E. At break-even point, a firm will cover only its fixed costs.
Answer:
A convenience product would probably be sold using:
A. Intensive distribution.
B. Exclusive distribution.
C. Selective distribution.
D. Extensive distribution.
E. Sole-source distribution.
Answer:
If the promotion objective is to get attention and hold interest, which type of publicity
would work best?
A. Customer reviews
B. Articles in the press
C. White papers
D. Case studies
E. Webinars
Answer:
Use the following information to answer the following question that refer to the Sure
Foot case.
Sure Foot, Ltd. produces high-quality shoes and boots for serious hikers.
Sure Foot’s shoes have suggested retail prices ranging from just under $40 to about
$150. Usually, the retailer buys the shoes for about 50 percent less than the list price,
and the retailer pays the freight charges from Sure Foot’s plant in Maine. Sure Foot’s
credit terms are 2/10, net 30. Although Sure Foot’s brand appears on every shoe-the
firm does very little mass selling, except for a limited program of cooperative
advertising and some sales promotion at walking events.
Sure Foot’s shoes are carried by “better” sporting goods stores all across the
nation-although usually in fairly small quantities. Its main showroom is in Boston,
where two salaried salespeople handle most of the firm’s large accounts. Sure Foot’s
products are also sold by seven independent “field reps” who are paid a 5 percent
commission on all sales. Each of these field reps is responsible for a several state
territory-emphasizing mostly the small stores in or near major cities. The field reps
carry Sure Foot’s products as a minor line-but none of their lines are competitive with
each other.
The walking shoe market is supplied by 7 large firms and 50 or more smaller firms.
While these firms are competitive, they do vary their materials, styles, prices, and
promotion. The “high-quality” market is supplied by only 5 firms-Sure Foot being the
largest. While these firms are also competitive, they generally offer a more limited
assortment of materials, styles, and prices because the “high-quality” part of the market
is not as large-and does not appear to be growing any more.
“Credit terms” of 2/10, net 30 mean that Sure Foot is offering customers a:
A. functional discount.
B. quantity discount.
C. seasonal discount.
D. cash discount.
E. cooperative advertising allowance.
Answer:
Very large retail stores that carry not only foods-but all goods and services that
consumers purchase ROUTINELY-are called:
A. supercenters.
B. general stores.
C. supermarkets.
D. mass-merchandisers.
E. department stores.
Answer:
________________ ________________ utilizes qualitative and quantitative analysis
procedures to help marketing managers make more informed decisions.
A. Marketing planning
B. Marketing processing
C. Marketing structure
D. Marketing research
E. Marketing strategy
Answer:
At Toyota, its Lexus designers attempt to make improvements to the car’s design each
year, even if those changes are minor ones. This process is an example of:
A. continuous improvement.
B. concept testing.
C. product liability.
D. empowerment.
E. market testing.
Answer:
Producers that advertise in GOOD HOUSEKEEPING magazine sometimes show that
they have the Good Housekeeping ‘seal of approval.” This illustrates their recognition
of the importance of the ______________ in the communication process.
A. feedback
B. noise
C. decoding
D. encoding
E. message channel
Answer:
A local symphony group that has adopted the marketing concept would be most likely
to
A. lower ticket prices until all its concerts sell out.
B. advertise so consumers know about the quality of the musicians who play in its
concerts.
C. find out what kind of music local residents want to hear.
D. use only its best musicians to handle solo performances.
Answer:
____________ wholesalers are service wholesalers that carry a wide variety of
nonperishable items.
A. General merchandise
B. Limited-function
C. General-line
D. Specialty
E. Drop-shipper
Answer:
The idea that people will pay extra for “quality” and status is the idea behind
A. price lining.
B. average cost approaches to pricing.
C. penetration skimming.
D. prestige pricing.
E. psychological pricing.
Answer:
Most firms in the business world set their prices using:
A. federal price guidelines.
B. demand-oriented price setting.
C. cost-oriented price setting.
D. supply and demand analysis.
E. marginal analysis.
Answer:
In the purchase of a new computer monitor, which of the following is an example of a
user?
A. A purchasing manager who arranges the terms of the sale
B. An IT manager who supplies information for evaluating alternatives
C. A secretary whose computer monitor is being replaced
D. A receptionist who controls the flow of information
E. A supply manager who helps write specifications
Answer:
LAGGARDS or NON-ADOPTERS:
A. are usually the smallest businesses with the least specialization.
B. tend to be older and less well educated.
C. rely mainly on other laggards for information.
D. are suspicious of new ideas.
E. All of these are correct for LAGGARDS.
Answer:
The development and spread of new ideas, goods, and services for the marketplace is
called:
A. marketing.
B. the micro-macro dilemma.
C. collaboration.
D. innovation.
E. production.
Answer:
Truly Awesome jeans targets ads based on consumers conversations and behaviors on
social media like Facebook and Twitter. Truly Awesome is using _____.
A. Social targeting
B. Digital targeting
C. Behavioral targeting
D. Pay-per-target
E. Media network targeting
Answer:
Use this information for question that refer to the United Tools case.
Terry Harter is marketing manager for United Tools and Mike O’Reilly is the firm’s
logistics manager. They work together to make decisions about how to get United’s
hand and power tools to its customers-a mix of manufacturing plants and final
consumers (who buy United tools at a hardware store). United Tools does not own its
own transport facilities and it works with wholesalers to reach its business customers.
Together, Harter and O’Reilly try to coordinate transporting, storing, and product
handling activities to minimize cost while still achieving the customer service level
their customers and intermediaries want. This usually requires that United keep an
inventory of most of its products on hand, but demand for its products is fairly
consistent over time so inventory is easy to manage.
Harter has identified four options for physical distribution systems she could use to
reach two of her key wholesalers, Ralston Supply and Ricotta Tool Co. The total cost
for each option-and the distribution service levels that can be achieved-are as follows:
Ralston Supply expects a very high level (90 percent) of distribution customer service.
Ricotta Tool Co. is willing to settle for a 70 percent customer service level, even if that
means some products will occasionally be out of stock, if it gets products at a lower
price.
For its large retail hardware customers (like Home Depot), United regularly ships
smaller orders directly to individual stores or in some cases to the retail chain’s
warehouses. Cross-country shipments usually go by rail while regional shipments
usually go by truck.
United’s shipments to international markets often rely on containerization. The likely
reason for this is that
A. the tools are shipped by airfreight.
B. it makes it easier to move shipments between different transportation modes.
C. containerization is very useful for small, frequent shipments.
D. containerization allows a firm to carry less inventory.
E. all of these are benefits of containerization.
Answer:
Regarding the current legal environment facing U.S. marketing managers:
A. state and local laws vary but contain important regulations.
B. food and drugs are now controlled.
C. product safety is now controlled.
D. businesses and individual managers are subject to both criminal and civil laws.
E. all of these statements about the legal environment are correct.
Answer:
The text considers five “eras” of marketing evolution. Which of the following shows the
logical order in which these eras occur?
A. Marketing department, production, sales, simple trade, marketing company
B. Sales, production, marketing department, marketing company, simple trade
C. Sales, simple trade, marketing company, production, marketing department
D. Simple trade, production, sales, marketing company, marketing department
E. Simple trade, production, sales, marketing department, marketing company
Answer:
“Good” market segments are those that are:
A. homogeneous between.
B. heterogeneous within.
C. operational and substantial.
D. international in nature.
E. All of these choices are correct.
Answer:
A penetration pricing policy
A. tries to sell the top of the demand curve initially.
B. tries to sell the whole market at one low price.
C. tries to sell the top of a market.
D. tries to target the elite market first.
E. involves price movement down the demand curve over time.
Answer:
A firm would prefer an administered channel system to a corporate channel system for
all the following reasons except:
A. managing all manufacturing, wholesaling, and retailing functions in a channel is too
challenging.
B. administered channel systems are more costly to operate than corporate systems.
C. corporate channel systems offer more control over marketing activities than
administered systems.
D. administered channel systems offer good enough channel cooperation for the firms’
distribution needs.
E. administered channel systems have some of the same benefits of corporate channel
systems but without the expense.
Answer:
Personal selling lets the salesperson adapt the firm’s marketing mix to a specific
customer. This is an aspect of which marketing mix variable?
A. Price
B. Place
C. Promotion
D. Product
Answer:
The ______________ method is an information gathering method in which the
responses of groups which are similar-except on the characteristic being tested-are
compared.
A. focus group
B. random
C. observing
D. experimental
E. qualitative questioning
Answer: