Jennifer Clarkson, a sales representative for a publisher of college textbooks, had the
southern half of the state as a sales territory. Last year, John Wilmen, director of
marketing for the publishing company, told Gloria Shepherd, Jennifer’s sales manager,
to increase Jennifer’s territory to the entire state. Now Jennifer’s customers are less
satisfied with the company. They are most likely to blame for their reduced level of
customer satisfaction. a. the textbook authors
b. John Wilmen
c. the marketing manager d. Gloria Shepherd
e. Jennifer Clarkson
When three buyers purchase the products of three producers, nine transactions are
required. If one intermediary serves both producers and buyers, the number of possible
transactions is:
a. fifteen.
b. five.
c. eighteen.
d. six.
e. twenty.
Which of the following is an example of a category killer?
a. J.C. Penney
b. Walmart
c. Marshalls
d. Sams
e. Toys “R” Us
The Cooper Tire & Rubber Company has been searching for less expensive raw
materials for manufacturing its bicycle tires. Cooper has found that there are less
expensive sources in the country of Indonesia, but it needs to form a partnership with
the government of Indonesia in order to gain access to the country’s rubber. What type
of partnership will need to be formed?
a. A multinational enterprise
b. A contract manufacturing arrangement
c. A strategic alliance
d. A franchise
e. A joint venture
Scenario 7.1
Use the following scenario to answer the questions.
FreezeAll is an upcoming manufacturer in the home appliance market. It plans to enter
the market with a model called French Door Refrigerator. While designing the
production facility, FreezeAll discovered that they need various pieces of equipment
that includes the perpetual assembly belt-drive, assembly pods, and finishing stations.
The purchasing agent for the Appliance Division inquires about the people who will be
needed for input on the purchasing decision. FreezeAll has already contacted several
producers of quasi-assembly pods, and has begun negotiations with their sales
representatives.
Which of the following groups should FreezeAll not include in its buying center for the
new equipment?
a. Purchasing agents at FreezeAll
b. Eventual users within FreezeAll
c. Potential future FreezeAll customers
d. Gatekeepers within FreezeAll
e. Senior managers at FreezeAll
Nathan, the manager at a local recreational vehicle store, Off-Road Rage, believes the
next two years will be difficult because of an economic recession. Using this forecast,
he determines the effect on the industry’s market potential and then estimates how his
company’s potential sales will look based on this outlook. This manager is using a
approach to estimate sales potential.
a. breakdown
b. recessionary
c. buildup
d. pyramid
e. dimensional
A product that indicates only the product category and do not include the company
name or other identifying terms is known as a .
a. private brand
b. no-name product
c. generic brand
d. poor quality item
e. lean manufacturer brand
Which of the following is most likely to stimulate customer loyalty?
a. Coupons
b. Sweepstakes
c. Frequent-user incentives
d. Samples
e. Premiums
A person who has buying power also has the authority to buy.
a. True
b. False
A company wanting to maximize profits from its new product would use product-line
pricing.
a. True
b. False
While playing soccer Bryan suddenly fell and broke his arm. On his way to the hospital,
he sees a billboard for The Cleveland Clinic promoting its time-text service where he
can call the number GET-TXT-TIME, and they will text him the approximate waiting
time at the closest three hospital locations. Thus, the Cleveland Clinic is providing
enhanced service to its patients by capitalizing on the environmental force.
a. economic
b. competitive
c. political
d. legal and regulatory
e. technological
While Alec’s grandfather still prefers using a land line, he just bought his first cell
phone. Alec’s grandfather is most
likely oriented toward the past and is a member of the group.
a. non-adopters
b. laggards
c. innovators
d. late adopters
e. late majority
As a product gains market acceptance, new distribution outlets become more difficult to
secure during the growth stage of a product’s life cycle.
a. True
b. False
A strategic window is:
a. the right combination of circumstances and timing that permits an organization to
take action to reach a particular target market.
b. what determines the factors that are most important in making a market attractive or
strong.
c. a long-term view, or vision, of what the organization wants to become.
d. a temporary period of optimum fit between the key requirements of a market and the
particular capabilities of a firm competing in that market.
e. the process that seeks information about events and relationships in a company’s
external environment.
Initiators are those consumers who generate their own media outlets, such as blogs and
wikis.
a. True
b. False
On a break between classes, Kelley enters her contact information on the Publishers
Clearing House site. She doubts that she will win $10 million, but she never passes up a
chance to participate in a:
a. premium.
b. consumer contest.
c. trade sale.
d. sales contest.
e. sweepstakes.