A product is said to have achieved brand preference when:
a. the product becomes familiar to the consumer.
b. the marketers start selling the product at a discount.
c. the consumer sees or recognizes the product and chooses it over its competitors.
d. the product has attained monopoly position with its customers.
The information collected for the first time specifically for a marketing research study
is called _____ data.
a. qualitative
b. primary
c. processed
d. secondary
Which of the following is true of pure competition?
a. It is a market structure with very few sellers.
b. It presupposes a market condition where start-up costs are high for sellers.
c. It is a market structure with very few buyers.
d. It presupposes a market condition where sellers produce homogenous products.
_____ refers to the number of sales representatives who report to first-level sales
managers.
a. span of control
b. field selling
c. inside selling
d. order processing
e. virtual sales team
f. team selling
g. approach
h. creative selling
i. presentation
j. sales promotion
k. premium
l. coupon
m. network marketing
n. cold calling
o. expectancy theory
p. over-the-counter selling
q. missionary selling
r. relationship selling
s. push money
t. consultative selling
A pricing strategy that emphasizes benefits of a product in comparison to the price and
quality levels of competing offerings is called _____ pricing.
a. incremental-cost
b. full-cost
c. cost-plus
d. value
Reminder advertising is typically used during the growth stage and the early part of the
maturity stage of the product lifecycle.
a. True
b. False
The concept of _____ refers to placing a product at a certain point or location within a
market in the minds of prospective buyers.
a. target market
b. market segmentation
c. cohort effect
d. primary metropolitan statistical area
e. differentiated marketing
f. concentrated marketing
g. micromarketing
h. positioning map
i. VALS
j. AIO statement
k. core region
l. consumer product
m. demographic segmentation
n. Pareto’s law
o. psychographic segmentation
p. geographic information systems
q. positioning
r. geographic segmentation
s. business product
t. mass marketing
_____ involves movement of high-wage jobs from one country to lower-cost overseas
locations.
a. Insourcing
b. Value engineering
c. Offshoring
d. Leasing
In Maslow’s hierarchy of needs, _____ needs refer to the desire of a person to be
accepted by people and groups important to that individual.
a. self-actualization
b. safety
c. belongingness
d. physiological
The process of tracking, measuring, and evaluating a firm’s social media marketing
initiatives is called _____.
a. influencers
b. social networking sites
c. social media monitoring
d. app
e. online forum
f. demographics
g. social media tool
h. return on investment
i. microblog
j. social media marketing
k. social media
l. transparency
m. social media marketing plan
n. bookmarking site
o. social media strategist
p. social media analytics
q. social media platform
r. content marketing
s. social news site
t. QR codes
When a business purchaser reorders a product that has performed satisfactorily in the
past without assessing competing options, the buying situation is called:
a. a straight rebuy.
b. new-task buying.
c. value engineering.
d. a modified rebuy.
Your boss, the CEO of a restaurant chain, is very bullish on nontraditional marketing.
He has instructed you to implement some of his team’s ideas in the next six months –
but first, to flag any of the ideas that are inaccurate applications of nontraditional
marketing. Which of the following should you flag?
a. Implement cause marketing by donating $1 from every dinner check to antipoverty
agencies.
b. Implement place marketing by locating new restaurants in impoverished urban areas
that need economic investment.
c. Implement event marketing by sponsoring a highprofile sports tournament.
d. Implement person marketing by obtaining endorsements of the company’s food from
celebrity chefs.
e. Implement organic marketing by switching to organiccertified ingredients.
You are a staunch environmentalist. When hybrid vehicles were introduced, the supply
was very limited. Buyers were paying a premium over the listed manufacturer’s
suggested retail price (MSRP). At that time, your budget could not stretch that far, but
you still wanted to own a car that does not depend on petroleum products. By waiting,
you find that the automobile dealers have announced that their shipments of new hybrid
cars have increased by 10 percent. Meanwhile, the average price of regular gasoline
rose from $3.30 to $3.63 per gallon.
Required:
If the price elasticity of demand for new hybrid cars is 1.25 and for gasoline is 1.0, what
was the effect on the prices of a new hybrid car and on gasoline?
a. The price of the hybrid car fell by 2.5 percent and the price of gasoline increased by
1.1 percent.
b. The price of the hybrid car rose by 12.5 percent and the price of gasoline increased
by 11.1 percent.
c. The price of the hybrid car fell by 10 percent as did the price of gasoline.
d. The price of the hybrid car rose by 8 percent, and the price of gasoline increased by
10 percent.
e. The price of the hybrid car fell by 8 percent, and the price of gasoline increased by 10
percent.
Which of the following factors contributed to the transition from the production era to
the sales era?
a. Increased consumer demand
b. Sophisticated production techniques
c. Increase in urbanization
d. The Great Depression
_____ is the development, growth, and maintenance of cost-effective, high-value
relationships with individual customers, suppliers, distributors, retailers, and other
partners for mutual benefit over time.
a. strategic alliance
b. relationship marketing
c. cobranding
d. frequency marketing
e. value chain
f. database marketing
g. exponential smoothing
h. customer relationship management
i. trend analysis
j. internal customers
k. comarketing
l. quick-response merchandising
m. affinity program
n. lifetime value of a customer
o. Delphi technique
p. national account selling
q. transaction-based marketing
r. customer churn
s. buzz marketing
t. grassroots marketing
An excellent brand name or symbol in one country may prove disastrous in another.
a. True
b. False
The number of suppliers available to a manufacturer or retailer affects the bargaining
power of buyers.
a. True
b. False
Which of the following statements is accurate about sales promotion?
a. Sales promotion can increase sales by providing extra purchasing incentives.
b. Sales promotion encompasses personal selling.
c. Sales promotion has increased dramatically, primarily at the expense of personal
selling.
d. Product characteristics are not relevant when deciding on sales promotions.
e. Sales promotion encompasses public relations.
_____ is a marketing effort that gathers volunteers to try products and then relies on
them to talk about their experiences with their friends and colleagues.
a. strategic alliance
b. relationship marketing
c. cobranding
d. frequency marketing
e. value chain
f. database marketing
g. exponential smoothing
h. customer relationship management
i. trend analysis
j. internal customers
k. comarketing
l. quick-response merchandising
m. affinity program
n. lifetime value of a customer
o. Delphi technique
p. national account selling
q. transaction-based marketing
r. customer churn
s. buzz marketing
t. grassroots marketing
Which of the following is the least-used method for collecting primary data?
a. Focus group
b. Telephone survey
c. Controlled experiment
d. Online survey
Governments use import quotas to protect domestic industry and employment and
preserve foreign exchange.
a. True
b. False
The federal government is the largest single source of statistical information on
business markets.
a. True
b. False
In the context of Web communication, the term “hits” represents the number of user
requests for a file.
a. True
b. False
_____ is a hypothesis that attempts to explain the patterns of change in retailing.
a. stock-keeping unit (SKU)
b. markup
c. markdown
d. retail convergence
e. scrambled merchandising
f. atmospherics
g. broker
h. general merchandise retailer
i. category killer
j. rack jobber
k. supercenter
l. auction house
m. specialty store
n. retailers
o. mass merchandiser
p. truck jobber
q. direct marketing
r. drop shipper
s. planned shopping center
t. wheel of retailing
You’re convinced that it’s time for your kitchen appliance store to invest in a CRM
system. Your business partner, however, has some concerns. Decide which, if any, are
valid.
a. CRM results are not measurable.
b. CRM systems are likely to increase the costs of store management.
c. CRM will enable you to assess customer satisfaction with your appliances, but not to
reduce customer response time if those appliances malfunction.
d. CRM decentralizes data on buyers of particular appliance brands.
e. None of the concerns is valid.
Penetration pricing is likely to be utilized when demand for a good or service is highly
inelastic.
a. True
b. False
A SWOT analysis helps planners compare internal organizational strengths and
weaknesses with external opportunities and threats.
a. True
b. False
Marketers can attempt to shape the outcome of the post purchase evaluation by:
a. helping consumers to identify potential problems or needs.
b. offering personal assistance with any problem experienced with the product.
c. attempting to convince consumers that a competing brand does not meet their criteria.
d. trying to get consumers to expand their evoked sets to include their product.
_____ is a combination of strategies and tools that drives relationship programs,
reorienting the entire organization to a concentrated focus on satisfying buyers.
a. Data warehousing
b. Business process reengineering
c. Value engineering
d. Customer relationship management