Marketers drive traffic to the company Web sites solely through using other online and
digital marketing tools.
A market segment consists of consumers who respond in different ways to a given set
of marketing efforts.
When segmenting by user status, markets are segmented into light, medium, and heavy
product users.
Advertising specialties include displays and demonstrations that take place at the point
of sale.
Advertising involves a personal presentation by the firm’s sales force for the purpose of
making sales and building customer relationships.
Secondary beliefs and values are less open to change than core beliefs and values.
A clear mission statement acts as an “invisible hand” that guides people in the
organization.
The number of products supplied indicates the length of a channel.
The simplest way to enter a foreign market is through direct investment.
Using an undifferentiated marketing strategy, a firm might decide to target several
market segments and designs separate offers for each.
Companies find it as easy to come up with a good positioning strategy as to execute it.
Electronic data interchange is the digital exchange of data between organizations, which
primarily is transmitted via the Internet.
Government organizations typically require suppliers to submit bids, and normally they
award the contract to the lowest bidder.
Break-even volume is the number of unit sales required for total revenue to cover total
cost.
A downward-sloping experience curve is indicative of a company’s rapidly increasing
production costs.
Style is a larger concept than design. Design simply describes the appearance of a
product.
Companies that do not target individual consumers do not benefit from using social
media tools to appeal to their business customers.
If demand changes greatly with price, the demand is inelastic.
The American marketing system never has been accused of poorly serving
disadvantaged consumers.
Superstores are much larger than regular supermarkets and offer a large assortment of
routinely purchased food products, nonfood items, and services.
The marketing mix consists of people, property, planning, and position.
Online flash sales are used to create buying urgency and make buyers feel lucky to have
gotten in on the deal.
Direct and digital marketing includes catalogs, e-mail, direct mail, social media, and
mobile marketing.
Early adopters are opinion leaders in their communities. They adopt new ideas early but
carefully.
Full-service stores usually carry more specialty goods for which customers need or
want assistance or advice.
For a company to be both environmentally sustainable and profitable is very difficult as
the environmental goals and standards have a negative impact on a company’s expenses
and profitability.
The most common form of advertainment is product placement.
The distribution strategy during the decline stage of PLC involves building more
intensive distribution networks.
A company will always choose the largest and fastest-growing segments as the most
attractive for it to enter.
Marketing management can control environmental forces. A reactive approach is,
therefore, the most beneficial approach to the marketing environment.
Prior to the Great Recession of 2008/2009, American consumer spending was careful
and restrained.
The first question in a questionnaire should be intentionally difficult and complicated in
order to weed out uninterested respondents.
While an individual’s beliefs are difficult to change, an individual’s attitudes are easy to
change.
Marketing channel design calls for analyzing consumer needs, setting channel
objectives, identifying major channel alternatives, and evaluating those alternatives.
Most companies prefer to compete against strong competitors.
Sales promotion consists of long-term incentives to encourage the purchase of a product
or service.
A trend has been people’s growing mastery over nature through technology and the
belief that nature is bountiful, but also the realization that it is finite and fragile.
The service profit chain includes internal service quality, satisfied and productive
service employees, greater service value, healthy service profits and growth, and
________.
A) higher market share
B) better paid employees
C) satisfied and loyal customers
D) increased manufacturing efficiency
E) higher morale
Which of the following stages of the new product development process occurs
immediately after the completion of the business analysis for the product or service?
A) idea screening
B) product development
C) product activation
D) marketing strategy development
E) product design
Teenagers are expected to respond in a similar way to a set of marketing efforts. In
other words, this group represents a ________.
A) channel intermediary
B) line extension
C) market segment
D) product attribute
E) brand personality
________ refers to how a company will create differentiated value for targeted
segments and what positions it wants to occupy in those segments.
A) Targeted marketing
B) Market segmentation
C) Product positioning
D) Value proposition
E) Niche marketing
Progressive Insurance uses Flo to represent its product. Which of the following message
execution styles was used by Progressive Insurance?
A) mood or image
B) fantasy
C) personality symbol
D) technical expertise
E) musical
The break-even volume is the point at which ________.
A) the total revenue and total cost curves intersect
B) demand equals supply
C) the production of one more unit will not lead to increase in demand
D) the company can pay off all its long-term debt
E) a firm exceeds the sales forecast
A marketer of women’s hair care products targeting Chinese customers created an
advertising message that told women their hair could be worn any way they wanted as
opposed to wearing it straight. The message suggested the women did not need to
conform to the mainstream media definition of beauty. It is most accurate to say that
this ad was based on an understanding of customers’ ________.
A) social class
B) life-cycle stage
C) self-concept
D) status
E) role
Industrial products and services include raw materials, buildings, fixed equipment,
supplies, services, and ________.
A) computers and desks
B) electricity
C) groceries
D) insurance
E) employees
When major chain retailers avoid placing stores in disadvantaged neighborhoods, they
are likely to be accused of the discriminatory practice of ________.
A) embargo
B) licensing
C) redlining
D) puffery
E) scrambled merchandising
Joanna uses her smartphone to accomplish many tasks everyday. She is also an avid
shopper. Which online marketing tool will benefit Joanna the most to help her shop?
A) e-mail messages from sites to which she subscribes
B) banking app for her bank
C) instant deals and digital coupons
D) YouTube video
E) Facebook friends
John assured his venture capitalists an earning of 25-percent return on equity when he
began his IT startup. In order to achieve this result, he will most likely use which of the
following pricing approaches?
A) value-based pricing
B) markup pricing
C) EDLP
D) customer-based pricing
E) target return pricing
Workers, managers, and members of the board are examples of ________ publics.
A) general
B) internal
C) local
D) citizen-action
E) media
Finding ads on shopping carts, ATMs, transit buses, and even municipal garbage cans is
known as ________.
A) paid media
B) earned media
C) shared media
D) media multitasking
E) alternative media
________ is determined by a customer’s evaluation of the benefits and costs of a market
offering relative to those of competing offers.
A) Customer-perceived value
B) Customer lifetime value
C) Share of customer
D) Customer-managed relationship
E) Brand value proposition
For marketing information to have value, it must be available to decision makers. This
may include non-routine information for special situations. Companies frequently use
________ in these instances.
A) e-mail messages
B) computer extranets
C) company intranet and internal CRM systems
D) scanned documents and faxes
E) video conferences
Which of the following is a major tool used by PR professionals?
A) standardized global advertising
B) market penetration
C) news
D) bait-and-switch strategy
E) product packaging
Packaging decisions that may be called into question under the law include ________.
A) minimum pricing
B) pollution
C) product quality and safety
D) exclusive territorial distributorship
E) product warranty
Sellers might accept a(n) ________, one whose removal from the country is restricted
by the buyer’s government, if they can buy other goods in that country that they need
themselves or can sell elsewhere for a needed currency.
A) blocked currency
B) countervailing duty
C) custom duty
D) anti-dumping duty
E) tariff
A ________ is a set of interdependent organizations that help make a product or service
available for use or consumption by the consumer or business user.
A) product line
B) product delivery network
C) marketing channel
D) consumer base
E) resource bank
The two major citizen movements to keep businesses in line are environmentalism and
________.
A) consumerism
B) protectionism
C) liberalism
D) capitalism
E) materialism
Consumers who show their allegiance to brands, stores, or companies help marketers to
segment consumers by their ________.
A) user status
B) degree of loyalty
C) income
D) geographic location
E) benefit-seeking attitudes
Companies that set a low price for a new product in order to attract a large number of
buyers and a large market share are using the ________ strategy.
A) market-skimming pricing
B) market-penetration pricing
C) cost-plus pricing
D) inclusive pricing
E) exclusive pricing
Which of the following brands most likely requires heavy advertising in order to be set
apart from similar products?
A) undifferentiated brands
B) specialty brands
C) international brands
D) mature brands
E) high-share brands
A cell phone manufacturing firm produced 1,000 cell phones a day but believed that it
could reasonably step up production to 2,000 cell phones a day. Consequently, it built a
larger plant and installed efficient machinery and work arrangements to realize the
projected output. Which of the following can most likely be inferred from this
information?
A) The unit cost of producing 2,000 cell phones per day would be twice that of the unit
cost of producing 1,000 units per day.
B) A production plant with the capacity of producing 5,000 cell phones a day would be
most efficient.
C) The unit cost of producing 2,000 cell phones per day would be lower than the unit
cost of producing 1,000 units per day.
D) A 2,000-capacity production plant would be less efficient because of increasing
diseconomies of scale.
E) The fixed costs of the firm are more likely to increase with the increase in output.
Which of the following are examples of close competitors?
A) Applebee’s and Subway
B) Taco Bell and T.G.I. Friday’s
C) Pizza Hut and Burger King
D) McDonald’s and Taco Bell
E) McDonald’s and Burger King
The ________ limits the number of commercials aired during children’s programs.
A) Children’s Online Privacy Protection Act
B) Child Protection Act
C) Fair Packaging and Labeling Act
D) Children’s Television Act
E) Consumer Product Safety Act
________ pricing refers to offering just the right combination of quality and gratifying
service at a fair price.
A) Markup
B) Good-value
C) Cost-plus
D) Target profit
E) Break-even
Sears and Holiday Inn encountered difficult times because they did not stand out as the
lowest in cost, highest in perceived value, or best in service of their primary target
market segment. Both companies are ________.
A) niches
B) jack-of-all-trades
C) middle-of the roaders
D) red oceans
E) laggards
Companies that plan to implement ________ develop innovative sets of environmental
skills and capabilities.
A) product stewardship
B) a sustainability vision
C) pollution prevention
D) a new clean technology
E) a DFE practice
Product mix ________ refers to the number of versions offered for each product in the
line.
A) length
B) depth
C) height
D) width
E) consistency
Which of the following is the last step in the selling process?
A) qualifying
B) handling objections
C) demonstration
D) follow-up
E) approach
Effective positioning begins with ________.
A) pricing
B) diversification
C) differentiation
D) promotion
E) segmentation
Price & Malone Corp., a company based in Houston, caters to a market of individuals
and households that buy goods and services for personal consumption. Price & Malone
caters to a ________ market.
A) business
B) reseller
C) government
D) consumer
E) wholesale
Carol Veldt has decided to ask selected guests to participate in an extensive survey
about their experience at Seagull Terrace and about their requirements in terms of
amenities and cuisines. By implementing the suggestions she receives from guests,
Carol would be following the ________ concept.
A) production
B) product
C) selling
D) marketing
E) societal marketing
How have shopping centers changed in the past few decades?
What is a category killer? Provide an example and a description of a category killer.
Why are people that are reached by direct mail better prospects for a company than
those reached by mass media such as television or magazines?
What is product value analysis?
Explain break-even pricing.
Why should a salesperson set call objectives?
Compare the practices of price fixing and predatory pricing. Explain why each is
prohibited by law.
Why might individual departments prefer sequential product development?
What constitutes retail convergence?
Describe the differences between discount stores and off-price retailers.
Explain the goal of viral marketing.
How do firms practicing channel differentiation gain competitive advantage?
What does market targeting involve?
Discuss the concepts of advertainment and branded entertainment.
Cultural factors exert a broad and deep influence on consumer behavior. The marketer
needs to understand the role played by the buyer’s culture, subculture, and social class.
Distinguish between culture, subculture, and social class.
Why is price considered one of the most flexible elements of the marketing mix?
What is the primary focus of a customer-centered company?
Why might the Hispanic American market be a viable targeted group for a new
marketer of products?
Why must marketers guard against stereotypes when using age and life-cycle
segmentation?
Why do businesses use cash discounts when they are in essence losing some money on
the sale?