Laelle Corp., a furniture manufacturing company, uses marketing efforts like paid
television commercials and magazine inserts to publicize its products. These are
examples of activities associated with:
a. advertising.
b. franchising.
c. personal selling.
d. nonstore retailing.
During offseason, the Rues Hotel offers a 25 percent discount on its rooms to attract
guests. The Rues Hotel is demonstrating the ______.
a. power of yield management systems
b. advantage of markup pricing
c. relationship between price and quality
d. use of price as a promotional tool
The qualities of search, experience, and credence make it easier for marketers to
communicate the benefits of an intangible service than to communicate the benefits of
tangible goods.
a. True
b. False
Which of the following statements is true of morals?
a. They are universal and seldom vary.
b. They are independent of factors such as culture and religion.
c. They reflect the laws and regulations that affect social and economic behavior.
d. They set absolute standards for good and bad that are enforced by the law.
Given the United States’ current balance of trade, if more U.S. firms that export their
goods, the country’s balance of trade will improve.
a. True
b. False
Each product item in the product mix may require a separate marketing strategy.
a. True
b. False
Toys“R”Us working with Macy’s to open storeswithinastore at numerous Macy’s
locations is an example of a smaller specialty line opening shop inside a larger store to
expand the former’s retail opportunities without risking investment in a separate store.
a. True
b. False
Which of the following is an activity that users can perform on social news sites?
a. Decide which content is promoted by voting that content up (if interesting to users)
or down (if not)
b. Post, read, rate, and comment on opinions regarding products and services
c. Upload and distribute multimedia content like videos and photos
d. Connect—or network—with friends, peers, and business associates
Which is a limitation of the PLC concept?
a. It does not tell managers the length of a product’s life cycle or its duration in any
stage.
b. It can only dictate marketing strategy with forecasts of events depending on life cycle
length.
c. It only tells managers the length of a product’s life cycle based on past and currently
running cycles.
d. It cannot help marketers forecast future events and suggest appropriate strategies.
Because of the impact of Internet and social media, consumers are now able to become
senders as opposed to only brands being senders.
a. True
b. False
Fullline discounters typically carry ______.
a. narrow assortments of merchandise that are shallow
b. narrow assortments of merchandise that are deep
c. wide assortments of merchandise that are shallow
d. wide assortments of merchandise that are deep
Which of the following describes thirdparty logistics company (3PL)?
a. It sells physical products as well as services.
b. It minimizes the ordertocash cycle in a firm’s order fulfillment process.
c. It is a permanent part of the firm’s supply chain.
d. It does not include information sharing.
A basic, longterm pricing framework that establishes the initial price for a product and
the intended direction for price movements over the product life cycle is called
___________.
a. strategic management
b. a price strategy
c. a promotional strategy
d. advertising strategy
_____ refers to how an individual actually perceives himself or herself.
a. Selfesteem
b. Selfactualization
c. Ideal selfimage
d. Real selfimage
The term marketing mix refers to a unique blend of product, place (distribution),
promotion, and pricing strategies (often referred to as the four Ps) designed to produce
mutually satisfying exchanges with a target market.
a. True
b. False
A convenience product is a relatively inexpensive item that merits little shopping effort
—that is, a consumer is unwilling to shop extensively for such an item.
a. True
b. False
Which of the following correctly defines the role of an export broker?
a. An export broker is an intermediary who plays the traditional broker’s role by
bringing buyer and seller together.
b. An export broker is an intermediary who acts like a manufacturer’s agent for the
exporter; the export agent lives in the foreign market.
c. An export broker is an intermediary in the global market that assumes all ownership
risks and sells globally for its own account.
d. An export broker is an intermediary who sells domestically produced products to
buyers in other countries.
The firms belonging to construction, manufacturing, transportation, finance, real estate,
and food service industries, fall under the category of _____________.
a. resellers
b. producers
c. distributors
d. governments
Compared to innovators, early adopters ______.
a. rely less on group norms and values
b. are less oriented to the local community
c. are more likely to be opinion leaders
d. have weaker affiliations with groups
A quota sample is a nonprobability sample in which the researcher finds a prescribed
number of people in several categories.
a. True
b. False
Fresnas Inc., an oil refinery, buys crude oil and converts it into various products such as
gasoline, kerosene, and diesel. Fresnas Inc. then sells these products to other companies
or retailers. Based on this information, which segment of the business market is most
likely represented by Fresnas Inc.?
a. Resellers
b. Producers
c. Distributors
d. Marketers
Companies selling to business buyers face the same challenges as all marketers of
goods and services, including determining __________.
a. the target market and deciding how best to reach it
b. supply chain efficiency
c. the activity of organizing the movement to reach end customers
d. the attractive offers of the products to buyers
Once known as a rugs brand, in 2006 Burberry revamped its product line to reinvent
itself as a luxury brand by harnessing the power of heritage. Which strategy did
Burberry use to influence the overall perception of its brand in the eyes of its old and
potential new customers?
a. Positioning
b. Repositioning
c. Perceptual mapping
d. Product differentiation
A(n) _____ is an intermediary who brings a buyer and a seller together.
a. licensor
b. export broker
c. contract manufacturer
d. export merchant
Around the world, most retailers are independent, with each owner operating a singular
store within a local community.
a. True
b. False
Which of the following actions is primarily associated with a niche strategy?
a. Choosing a target market that is not crucial to the success of major competitors
b. Manufacturing products in bulk and targeting average customers
c. Selling products without extra frills or options
d. Creating crossdepartmental teams across all strategic business units
The Federal Trade Commission currently does not allow the identification of competing
brands in comparative advertising.
a. True
b. False
Ambient Management, Inc. was experiencing a gap in the services it was providing. It
closed the gap by ensuring that its customerfacing staff had the skills, training, and
proper tools to perform their jobs. When compared with the gap model of service
quality, the gap that the company addressed was between what ______.
a. customers wanted and what management thought customers wanted
b. the company provided and what the customers were told it provided
c. management thought customers wanted and the quality specifications it developed
d. the service quality specifications were and the service that was actually provided
When considering ethics in other countries, which of the following statements is true?
a. Corruption seldom occurs in international business dealings.
b. The practice of making illegal payments, such as bribes, is accepted and expected in
various countries.
c. Ethical beliefs vary widely from culture to culture.
d. Prosecutions under the Foreign Corrupt Practices Act have significantly declined.
Fresnas Corp., a company that designs in its New York headquarters and had
manufactured apparel in Malaysia, now practices inshoring. Given this information,
which of the following is most likely to be true of Fresnas Corp.?
a. It keeps its research team in close proximity to its domestic manufacturers.
b. It faces increased shipping and transportation costs.
c. It outsources its manufacturing jobs to other countries.
d. It outputs a lot of production.
Which of the following statements is true of post purchase behavior?
a. Communication with consumers does not help in reducing cognitive dissonance.
b. Marketers encourage customers to have doubts even after they purchase a product.
c. Consumers expect certain outcomes from a product after making a purchase.
d. Consumers tend to increase dissonance by justifying their purchase decision.
Unlike nonmarketingcontrolled information sources, marketingcontrolled information
sources:
a. are types of internal information sources.
b. include friends and families.
c. are unbiased toward a specific product.
d. include mass media advertising.
Which of the following sites combine the fun of social networking with the utility of
locationbased GPS technology?
a. YouTube and Flickr
b. Digg and Reddit
c. Facebook and Twitter
d. Foursquare and Loopt
