From a(n) ________ point of view, Pepsi might see its competition as Coca-Cola, Dr
Pepper, 7UP, and the makers of other soft drink brands. From a(n) ________ point of
view, however, the customer really wants “thirst quenching.”
A) market; industry
B) market; consumer
C) industry; competitive
D) industry; market
E) company’s; consumer’s
Buyers with low sales resistance can often be tempted by all the following common
features of infomercials EXCEPT ________.
A) elaborately staged demonstrations
B) “while they last” time limitations
C) free shipping
D) smooth-talking hosts
E) claims of drastic price reductions
Which of the following is the practice of inviting broad communities of customers,
employees, independent researchers, and members of the public into the new product
innovation process?
A) brainstorming
B) idea screening
C) crowdsourcing
D) outsourcing
E) concept testing
________ segmentation divides buyers into different segments based on lifestyle or
personality characteristics.
A) Benefit
B) Occasion
C) Geographic
D) Demographic
E) Psychographic
________ VMS is a vertical marketing system that coordinates successive stages of
production and distribution through the size and power of one of the parties.
A) Contingent
B) Aligned
C) Corporate
D) Contractual
E) Administered
A review of the sales, costs, and profit projections for a new product to find out whether
they satisfy the company’s objectives is called a ________.
A) business feasibility plan
B) marketing strategy development
C) business analysis
D) product acceptance
E) business proposal
A(n) ________ is designed to present brand content that engages consumers and creates
customer-brand community.
A) podcast
B) branded community Web site
C) search engine
D) digital catalog
E) online magazine
Refer to the scenario below to answer the following question(s).
Casey Brickly opened The Landing, a convenience store on the north shore of Witmer
Lake, in 1962. With a sandwich counter on one side and a bait shop and grocery on the
other, The Landing was an immediate hit with weekend lake visitors and local residents
alike. In the summer, boaters parked at the piers and bought all their fishing needs, such
as rods and reels, bait, snacks, and soft drinks at The Landing. Even during the winter
months, snowmobilers and ice fishermen were lured to The Landing for snacks and hot
coffee or hot chocolate.
As time passed, the business changed and grew tremendously. What was formerly a
weekend tourist area gradually became a full-fledged residential area. Many of the
houses, which were built as cottages in the 1950s and 1960s, were remodeled into
residential homes. By the end of the 1970s, the days of small motorboats and 10
mile-per-hour speed limits were gone; skiing and fast speedboats became the rage.
Through it all, The Landing continued to attract flocks of patrons.
In the 1980s, however, Casey started to realize that the grocery area in The Landing
could not compete with larger local retailers. He eventually enlarged the sandwich
counter, transforming the bait shop and grocery into a restaurant with a full menu
typical of any diner. “Getting rid of the bait shop was hard to do,” Casey admitted. “I
still had a summer crowd that relied on us for their fishing needs, but we couldn’t
survive a whole year on four months of profit.”
In the early 2000s, the atmosphere of Witmer Lake and the neighboring lakes became
upscale. “I could see that people were spending more on their speed boats than what
they had originally paid for their cottages!” Casey exclaimed. Many of the cottages
were inherited by children and grandchildren of the original owners. Once again, the
scene started to change as many of the lake houses were used only as weekend lake
homes. Unlike the previous generation, a vast number of the current owners could
afford to live closer to their jobs while maintaining lake homes. “At this point, business
wasn’t growing,” Casey said.
As local competition continued to increase, Casey converted the diner of The Landing
into a bar with a lounge area. “The change might have been too drastic,” Casey said,
“but it was the only way we could maintain a strong, year-round business in spite of the
population shifts and competitive forces.”
Which of the following generational groups is most likely to represent the present
owners of cottages surrounding Witmer Lake?
A) Baby Boomers
B) Echo Boomers
C) Gen Xers
D) Lost Generation
E) Millennials
Tourism Australia’s global marketing campaign, “There’s nothing like Australia” is an
example of ________ marketing.
A) corporate image
B) person
C) organization
D) internal
E) place
Acquisition refers to ________.
A) the buying of a whole company, a patent, or a license to produce someone else’s
product
B) an agreement between two or more commercial companies to produce a common
product
C) a partnership between two companies to produce a product in different countries by
sharing risks
D) investments made in a country’s businesses by foreign citizens, often in the form of
stocks
E) the development of original products, product improvements, product modifications,
and new brands through the firm’s own product development strategies
________ refers to a business buying situation in which the buyer purchases a product
or service for the first time.
A) Modified rebuy
B) Straight rebuy
C) New task
D) Reverse auction
E) Derived demand
Briefly compare the different types of research approaches for gathering primary data.
Which of the following is an example of a salutary product?
A) whitening toothpaste
B) tasty and nutritious snacks
C) life insurance
D) fast food
E) cigarettes
Shine Enterprises mass produces an all-purpose floor cleaner that is aimed at the whole
market. This firm uses a(n) ________ marketing strategy.
A) segmented
B) undifferentiated
C) individual
D) niche
E) one-to-one
Setting prices below cost, threatening to cut off business with suppliers, and
discouraging the purchase of a competitor’s products are all examples of ________.
A) oligopolistic competition
B) social costs
C) predatory competition
D) acquisitions
E) cultural pollution
To help recruit, train, organize, manage, motivate, and evaluate relationships with
channel partners, companies are now installing integrated high-tech ________ systems.
A) advertiser funded programming
B) customer segmentation network
C) brand content management
D) partnership relationship management
E) closed loop marketing
________ becomes more important as competition increases. With this type of
advertising, a company’s objective is to build selective demand.
A) Institutional advertising
B) Informative advertising
C) Reminder advertising
D) Not-for-profit advertising
E) Persuasive advertising
Which of the following is NOT a major logistics function?
A) inventory management
B) product designing
C) warehousing
D) transportation
E) packaging
Through ________, an organization in the foreign market buys the right to use a
company’s manufacturing process, trademark, patent, trade secret, or other item of
value.
A) indirect exporting
B) licensing
C) contract manufacturing
D) management contracting
E) joint ownership
Most competitors in the music download industry see Apple’s iTunes Music Store as a
________ because it created a closed system with mass appeal.
A) good competitor
B) marginal competitor
C) weak competitor
D) bad competitor
E) distant competitor
________ are less frequently purchased consumer products and services that customers
compare carefully on suitability, quality, price, and style.
A) Shopping products
B) Convenience products
C) Unsought products
D) Capital items
E) Supplies and repair services
________ is very believable because news stories, features, sponsorships, and events
seem more real and believable to readers than ads do.
A) Differentiated marketing
B) Public relations
C) Direct marketing
D) Sales promotion
E) Personal selling
The collection of businesses and products that make up a company is called its
________.
A) strategic business unit
B) supply chain
C) strategic plan
D) business portfolio
E) internal value chain
Peter Adams, an entrepreneur, decided to start a new technology venture. As he needed
servers and computers for his company, he decided to order these from a local vendor
who was offering attractive discounts. In this instance, Peter ________.
A) faces a new task situation
B) faces a modified rebuy situation
C) is most likely to benefit the most from reverse auction
D) faces the need for product differentiation
E) plans to attract customers by offering products at below-market prices
If Selman & Saks allowed a French company to produce and market razors and
trimmers carrying the company’s brand in exchange for a royalty, Selman & Saks would
be using the market entry strategy of ________.
A) exporting
B) franchising
C) licensing
D) contract manufacturing
E) joint ownership
The physical environment affecting marketing activities is referred to as the ________
environment.
A) economic
B) natural
C) cultural
D) political
E) social
Refer to the scenario below to answer the following question(s).
Fun-Spot Fun Park began as a small amusement park in 1985. With nothing more than a
merry-go-round, a slide, pony rides, and an ice cream stand, Fun-Spot grew into a
popular family attraction with 20 rides, a restaurant, and an outdoor performing arts
theater.
“My wife, Gail, and I didn’t know what we were getting into,” commented Ron Hart,
the owner. “We just knew that weekenders coming to the lakes in our rural area
represented an untapped market.”
Today, thousands of visitors flock to Fun-Spot: families, children of all ages, and even
senior citizens who enjoy strolling through the gardens and the arbors. “There’s
something here for everyone,” Gail Hart said with a smile. “Dozens of companies hold
annual company picnics here. We have welcomed class field trips. And we even had
one wedding here at the park!”
“Here’s the funny thing,” Ron chimed in. “We really don’t know why we’ve been so
successful. There is nothing else like Fun-Spot Fun Park in the area. We were just
lucky.” “I think it’s the ambience of the park that has brought so many visitors,” Gail
added. “We provide a ‘total package’ of entertainment. Plus, we try to change our rides
and various attractions from time to time for variety.”
Ron and Gail Hart admitted that making every visitor happy is a priority. “That has
always been our philosophy,” they said. “Like the park’s motto at the entrance reads,
‘We’re here to make you happy!’ And we’ve always been able to deliver on that because
we’ve never allowed ourselves to grow too big too quickly.”
Fun-Spot Fun Park represents a high-growth, high-share business. According to the
BCG matrix, it can be classified as a ________.
A) star
B) question mark
C) bear
D) cat
E) dog
Sigma Inc., a software firm based in California, reordered 50 printers from the
designated provider without any modifications. This is an example of ________.
A) derived demand
B) inelastic demand
C) a straight rebuy
D) a new task
E) a modified rebuy
Shifting away from mass marketing, marketers are developing ________ which are
designed to build relationships with customers in more narrowly defined micromarkets.
A) focused marketing programs
B) horizontal diversification programs
C) backward integration strategies
D) new pull strategies
E) new push strategies
Critics charge that promotion adds only ________ to a product.
A) functional value
B) psychological value
C) moderate value
D) strategic value
E) qualitative value
Micropolitan areas are ________.
A) likely to have a higher crime rate than metropolitan areas
B) less likely to attract telecommuters
C) likely to offer the same advantages as metropolitan areas
D) less likely to offer market expansion opportunities
E) generally unattractive to niche marketers