Carson cares deeply about the environment and strives to eat clean by choosing foods
that are natural and contain no artificial ingredients. When buying fresh produce, he’s
willing to pay more for organic and loves that organic produce is more widely available
– from Fresh Market, Whole Foods, Meijer, Kroger and even Aldi’s. He especially likes
shopping at Aldi’s where he can save money when buying fresh, organic produce. This
is an example of:
a. retail convergence
b. scrambled merchandising
c. local sourcing
d. produce preferences
Cremant Cellars is a family-owned winery located in the Loire region of France.
Cremant is a sparkling wine and the winery owners are interested in gaining access to
markets outside of France as a way to generate alternative sources of revenue. The
owner, Jacques has met with several firms and decided to work with Export Partners, a
firm that has expertise in obtaining business with alcohol distributors across Europe as
well as Asia and the Untied States. Export Partners will also provide assistance in
managing the necessary paperwork, complying with local laws and regulations
regarding proper labeling and food/beverage testing. Export Partners is most likely
serving as a(n) ___________ to assist Cremant Cellars with their international
expansion.
a. export management company (EMC)
b. export trading company (ETC)
c. subcontractor
d. franchisor
Which of the following profitability ratios measures the firm’s efficiency in generating
sales and profits from the total amount invested in the company?
a. Inventory turnover
b. Gross profit margin
c. Return on assets
d. Net interest expense
State laws requiring sellers to maintain minimum prices for comparable merchandise
are called _____ laws.
a. tax-exemption
b. unfair-trade
c. price-discrimination
d. loss-leader
During which stage in a product lifecycle does the public become acquainted with the
item’s merits and begins to accept it?
a. Introductory stage
b. Growth stage
c. Maturity stage
d. Decline stage
A _____ is a master plan created by a marketer for conducting market research.
a. research cluster
b. research hypothesis
c. probability sample
d. research design
When groups establish values and behaviors they deem appropriate for their members,
those values and behaviors are called group _____.
a. cliques
b. norms
c. dyads
d. shifts
Your company is looking to hire someone who will oversee a new product line. This
individual will be responsible for ensuring that the products are meeting the needs of
consumers and will engage in new product planning and development. Which of the
following positions is your company hiring?
a. analyst
b. category manager
c. brand manager
d. product manager
e. brand manager
In marketing, the term product:
a. refers only to tangible items that can be seen, tasted, or touched.
b. refers to a broad concept encompassing the satisfaction of consumer needs.
c. limits itself to include goods alone.
d. excludes package design, brand name, or warranty from its purview.
Dollar General is one of the fastest growing retail store chains in the United States and
typically establishes store locations in under-served or rural towns. In the early days,
the stores were small with limited product lines but as Dollar General has seen its
revenues grow, it’s built new stores, added product lines, and has become a major
grocery and household item competitor. What concept explains the patterns of change
over time for the Dollar General company?
a. wheel of retailing
b. law of retail metamorphosis
c. evolution of retail
d. retail growth theorem
People are asked to select unidentified products on the basis of available advertising
copy in a(n):
a. blind product test.
b. recognition test.
c. unaided recall test.
d. inquiry test.
Marketers implement leader pricing policies to avoid violating maximum-markup
regulations and to earn a maximum return on promotional sales.
a. True
b. False
Jessica is visiting Chicago with several friends from college and wants to book
reservations at one of the top restaurants in the city. She accesses the OpenTable
application on her smart phone and reviews several restaurants that are near her
location. After discussing with her friends, she makes a reservation at 8 p.m. at one of
the restaurants for that evening. Which capability of emarketing has Jessica utilized to
obtain a reservation for dinner?
a. righttime marketing
b. global reach
c. personalization
d. integrated marketing
A shift in cultural values away from accumulating material possessions to spending
time with family and friends benefit those who market:
a. expensive automobiles.
b. luxury cars.
c. amusement parks and picnic areas.
d. children’s designer clothes.
Research that assesses advertising effectiveness after it has appeared in a print or
broadcast medium is called _____.
a. noise
b. advertising
c. promotion
d. publicity
e. sales promotion
f. guerrilla marketing
g. posttesting
h. split runs
i. cooperative advertising
j. marketing public relations
k. media scheduling
l. pretesting
m. informative advertising
n. persuasive advertising
o. retail advertising
p. missiles
q. cross-promotion
r. interactive advertising
s. sponsorship
t. institutional marketing
The original objective of product packaging was to increase consumer awareness of the
product.
a. True
b. False
Marketers are keenly aware that good marketing alone is not enough to win the hearts
and minds of consumers anymore. Now, marketers must market in a socially
responsible manner or risk alienating consumers in ways that can be irreparable. Which
one of the following statements is trueregarding social responsibility?
a. Government legislation can mandate socially responsible actions.
b. Consumer activism cannot promote social responsibility.
c. There are five dimensions of social responsibility.
d. Consumers demand that marketers give more weight to profits than to social
wellbeing.
e. The traditional concept of social responsibility only extended to employees.
The marketing era is defined by a shift in focus from products and sales to satisfying a
consumer’s needs.
a. True
b. False
A demand is said to be inelastic when the:
a. demand curve and the supply curve do not intersect.
b. total cost and total revenue are equal at all levels of demand.
c. elasticity of demand is less than 1.
d. elasticity of demand is greater than 1.
Cynthia and William enter Franklin’s Electronics to buy a television set. They had
previously planned to replace their 10-year-old color set with a new model of the same
brand but are surprised by the array of brands the store offers, each having a special
feature. They decide to take their time and look at every type of TV Franklin’s has to
offer. Cynthia and William are exhibiting _____ response behavior.
a. routinized
b. variety seeking
c. extended
d. limited
Your marketing assistant has developed recommendations for increasing customer
loyalty to your wine bar. You note that most are based on frequency marketing. Choose
the recommendation(s) based on affinity marketing.
a. Top customers get a free bottle of wine.
b. Customers receive 10 percent off their check when they visit more than twice a week.
c. Top customers get flowers on their birthdays.
d. Your wine bar becomes a sponsor of the state university’s basketball team.
e. Your wine bar advertises big discounts in the local newspaper.
A(n) _____ is a form of trade restriction that imposes a complete ban on the import of
specified products.
a. exporting
b. WTO
c. infrastructure
d. exchange rate
e. tariff
f. import quota
g. dumping
h. ISO certification
i. foreign licensing
j. multinational corporation
k. global marketing strategy
l. multidomestic marketing strategy
m. countertrade
n. related party trade
o. exchange control
p. customs union
q. CAFTA-DR
r. importer
s. embargo
t. franchise
A group of ceramic artists think that their artwork would be successful in another
country. Nothing similar is available in the target country. They have a lot of marketing
collateral from their successful efforts in the United States, but most of their home
country business comes from word of mouth. Which global strategy is the best pathway
for them to adopt?
a. making a direct investment to collaborate with another art-connected business
b. reusing their current original marketing collateral in the new country
c. starting the word-of-mouth effort by dedicating a website to their products
d. selling their artwork to an export-trading company in the new country
e. starting a publicity tour of art and craft galleries in the new country
In an oligopolistic market, price cutting is likely to increase total industry revenues.
a. True
b. False
Nearly four of every five dollars in the United State’s gross domestic product comes
from services such as banking, entertainment, business and technical services, retailing,
and communications.
a. True
b. False
Each SBU pursues its own distinct mission and often develops its own plans
independently.
a. True
b. False
The need for a business plan is more acutely felt in a small company than in a large
multinational company.
a. True
b. False
Mommy & Little Tots manufactures products for mothers-to-be as well as newborn
infants. Their products include maternity wear, diapers, wipes, burp clothes, and
swaddling blankets. These products constitute the “product _____” at Mommy & Little
Tots.
a. pack
b. congregation
c. cluster
d. line
A food lobbying group funded by Coca Cola worked to counter proposed legislation
about school lunches and the availability of soda in vending machines at schools across
the country. Coca Cola supports lobbyists in an effort to engage in _________.
a. environmental management
b. environmental scanning
c. environmental screening
d. competitive intelligence
Today’s salesperson often employs a combination of personal selling approaches in
order to provide high levels of customer service and satisfaction. What is one advantage
of team selling in business-to-business sales situations?
a. Team selling forms relationships between companies rather than between individuals.
b. Team selling capitalizes on a firm’s strengths by selling to existing customers.
c. Team selling emphasizes being well prepared for a sales call and presenting
professionally.
d. Team selling builds company loyalty.
e. Team selling helps develop the patience necessary to cooperate with sales team
members.