Book Title
A Preface to Marketing Management 14th Edition

MT 476

October 29, 2015
Depending on the type of service, the _____ factor may dictate use of direct channels
because of the need for personal contact between a buyer and a seller.
A. perishability
B. intangibility
C. uniformity
D. inseparability
For which of the following purchases would a consumer most likely engage in routine
decision making?
A. Purchase of a new entertainment center
B. Purchase of a Snickers bar each afternoon as a snack
C. Hiring of a contractor to build a car deck
D. Purchase of a pedigree Golden Retriever puppy
A potential prospect that may or may not have the potential to be a true prospect to
whom a sale could be made is known as a(n) _____.
A. lead
B. assignee
C. target
D. spotter
Mealtimes was started as a fine dining restaurant serving the most exotic European
dishes in the city. The meals ran into several courses and the restaurant was frequented
by people looking for a fancy and leisurely meal. However, with changing times and
needs of consumers, the restaurant altered its offerings to incorporate fast food like
pizzas, burgers, and hot dogs. The company had to venture into new and different
markets to maintain profitability. These new conditions and a redundant mission
statement would most likely make the restaurant a _____.
A. matrix organization
B. static organization
C. drifting organization
D. multidomestic organization
In which of the following instances is greater joint decision making more likely to be
A. A small privately owned company producing sterilizers for hospital use
B. A small and privately owned company producing electric heaters
C. A large company engaging in a straight rebuy
D. A large-scale public corporation producing heavy automobiles
Which of the following statements regarding global distribution strategy is most
A. Global distribution strategy involves creating a single channel, common to the home
country and the foreign country.
B. Wholesalers do not assume title to the manufacturers' products, while agents do.
C. If manufacturers assume the functions of foreign agents or wholesalers, their control
over their global distribution system decreases.
D. The role of the distribution network in facilitating the transfer of goods and titles and
in the demand stimulation process is as important in foreign markets as it is at home.
A razor manufacturer introduces its new three-blade razor at a relatively low price to
counter competition and to encourage more consumers to purchase it. Through this
approach to pricing, the razor manufacturer hopes to create a rapid mass market within
a short span of time and obtain large economies of scale. This is an example of _____.
A. a penetration policy
B. cost-plus pricing
C. bundle pricing
D. a skimming policy
Rex is a salesperson who works for Welwin Inc., a manufacturer of computer
accessories. With several years of experience as a salesperson, Rex has the persuasive
ability to convert undecided customers to first-time buyers. Identify his task in
providing an after-sale service.
A. He reassures Welwin's product superiority through product comparisons and
B. He clearly differentiates features of Welwin's products from those of competitors.
C. He sells additional and complementary items to repeat customers.
D. He tends to the needs of dissatisfied customers.
Bundle pricing is a psychological pricing strategy in which:
A. prices are set a few dollars or a few cents below a round number to encourage the
customers to think of the products as less expensive.
B. a high price is charged to create a signal that the product is exceptionally fine.
C. several products are sold together at a single price to connote value and convenience
for customers.
D. prices are set exclusively on the cost of the product and historical prices.
Understanding the expectations and requirements of a customer and determining how
well a company and its major competitors are succeeding in satisfying these
expectations and requirements are the key issues of:
A. troubleshooting technique measurement.
B. interim customer management.
C. customer satisfaction measurement.
D. job satisfaction measurement.
Price elasticity (e) = x/percent change in price, where x stands for:
A. percent change in number of consumers.
B. gross change in price.
C. gross change in production.
D. percent change in quantity demanded.
_____ do not seek an order but focus on the long-term relationship and increase the
likelihood of sales in the long run.
A. Support personnel
B. Salespeople
C. Spotters
D. Cold callers
Which of the following is a factor that is responsible for hindering the successful
implementation of integrated marketing communication?
A. The lack of planning and budget constraints
B. The reluctance of some advertising agencies to broaden their role beyond advertising
C. The lack of vision and visibility
D. The destruction of creativity due to the broadening of scope
Which of the following is a benefit of observation as a method of data collection?
A. It is accurate in measuring covert behavior.
B. It is useful in studying cross-cultural differences.
C. It can assess attitudes that cause certain behaviors.
D. It can provide clear evidence of causal relationships.
Leo Music Café regularly holds concerts that feature upcoming as well as
well-acclaimed artists. The café is a big hub for music lovers. However, the café
lacks the facility of online booking and only allows bookings at the venue. The manager
of the café is reluctant to adopt newer technology. This implies that the management
at Leo Music Café has:
A. a limited view of marketing.
B. no obsolescence.
C. adopted vertical integration.
D. a lack of strong competition.
Formulating a strategy based on distinctive competencies provides an organization with
a unique benefit that allows the organization to _____.
A. gain advantage over its competitors
B. retain its product-oriented focus for growth
C. rely on the critical characteristics and events of the past
D. focus on selling rather than on customer satisfaction