question

Product means the need-satisfying offering of a firm

answer

True

question

Market introduction, market growth, market maturity, and sales decline are the four stages of the product life cycle

answer

True

question

A Pareto chart is a visual aid that helps organize cause and effect relationships for "things gone wrong."

answer

False

question

Staples are consumer products which are sold in places like gourmet shops and health food stores, because convenience is not important to the customer

answer

False

question

The FTC places no restriction on the length of time a product can be called "new."

answer

False

question

When planning new products, managers need not be too concerned about safe design because it is each consumer's responsibility to decide what products are safe to buy and use

answer

False

question

During the various stages of the product life cycle, the attitudes and needs of target customers do not change

answer

False

question

A company may decide to benchmark its sales reps against the sales reps of a competitor or against the sales reps of a firm in a completely different industry

answer

True

question

Product managers or brand managers are most often found in firms with only one or a few related products.

answer

False

question

The market maturity stage of the product life cycle has very low promotion expenditures, little price competition, and rising industry profits

answer

False

question

Total quality management applies when the firm's product is a physical good, but not if it is a service

answer

False

question

A product assortment is the set of all product lines and individual products that a firm sells

answer

True

question

The "battle of the brands" hurts consumers by driving up prices

answer

True

question

The total quality management approach recognizes that defects are an inevitable part of mass production, and that the cost of replacing defective goods is just a cost of doing business.

answer

False

question

Shopping products that a customer sees as basically the same and wants at the lowest price are heterogeneous shopping products.

answer

False

question

An industry's sales have leveled off and profits are declining in oligopolistic competition. Consumers see competing products as "homogeneous." Several firms have dropped out of the industry, but a new one entered recently. Firms in the industry are trying to avoid price-cutting by spending on persuasive advertising. These firms are competing in which stage of the product life cycle?

answer

Market Maturity

question

Which of the following would be a convenience product for most consumers?

answer

Butter

question

Consumer product classes are based on ______________, while business product classes are based on ______________.

answer

How the consumers shop for the product, how the product is used.

question

Many small cars get better gas mileage than the old "gas- guzzlers." This was achieved by using lighter (and less protective) materials. Using less gas while being less safe makes such a car a:

answer

Pleasing Product

question

Multiple-buying influence would be most likely for:

answer

Installations

question

The Consumer Product Safety Commission can

answer

All of the above

question

Persuasive promotion is especially important in which of the following product life cycle stages?

answer

Market Maturity

question

If you are seeking new product ideas for your business, a good source is:

answer

All of the Above

question

______________ means potential customers insist on a firm's branded product and are willing to search for it.

answer

Brand Insistence

question

Melanie Morrow is shopping for a new pair of jeans. She has had good experiences with Chic jeans in the past and is looking for Chic now. She probably will buy Chic if she finds some that are at least as good-looking as competitive jeans. This is a good example of:

answer

Brand Preference

question

During the introduction stage of the product life cycle,

answer

Promotion is likely to be needed to build primary demand

question

Industry profits are largest in which of the following product life cycle stages?

answer

Market Growth

question

Cargill, Inc. is finally earning a profit on the unique product it introduced six months ago. Cargill's advertising is both informative and persuasive. Much money is being spent on Place development. There is little price competition, although several competitors have come out with reasonable imitations. Total industry sales and profits are both rising. In which stage of the product life cycle is Cargill operating?

answer

Market Growth

question

The law which focuses on the protection of trademarks and brand names is

answer

Lanham Act

question

According to the text, "product":

answer

means the need-satisfying offering of a firm

question

Which of the following would probably be treated as a capital item by a large clothing manufacturer?

answer

Computer controlled fabric cutting machines

question

Product life cycles refer to the life of:

answer

Product Idea

question

A large U.S. firm produces potato chips, shortening, dishwashing detergent, laundry detergent, shampoo, disposable diapers, and facial tissues. These are the firm's

answer

Product Assortment

question

The text's consumer product classes are based on:

answer

the way consumers think about and shop for products

question

Low long-run consumer welfare but high immediate satisfaction is provided by:

answer

Pleasing Products

question

Only about 5 percent of families in the U.S. have incomes over $164,104, but these families get more than 20 percent of the total income.

answer

True

question

The "hierarchy of needs" model suggests that we never reach a complete state of satisfaction, and that as lower level needs are satisfied higher level needs become more dominant

answer

True

question

"Selective exposure" refers to a person's ability to screen out or modify ideas, messages, and information that conflict with previously learned attitudes and beliefs.

answer

False

question

"Empty nesters" is a term that refers to young couples with no children.

answer

False

question

A formal marketing research project usually involves gathering primary data.

answer

True

question

Use of the scientific method in marketing research helps managers make the best decisions possible.

answer

True

question

An intranet works like the Internet but access is limited to a company's employees.

answer

True

question

The Internet is not very useful for firms that want to target government markets.

answer

True

question

Government is one of the smallest groups (in sales volume) of customers in the United States.

answer

False

question

Most retail and wholesale buyers see themselves as purchasing agents for their target customers.

answer

True

question

The Internet is making it faster and easier for organizational buyers to use competitive bidding procedures.

answer

True

question

Although we talk about close "relationships" between firms in business markets, in practice it is just the relationship between the salesperson and purchasing manager that becomes close.

answer

False

question

A requisition is a request to buy something.

answer

True

question

Purchasing managers are buying specialists for organizations and may have a lot of power.

answer

True

question

Organizational buyers are also referred to as industrial or intermediate buyers.

answer

True

question

Marketing research is concerned with gathering and analyzing new information to help marketing managers do a better job of:

answer

All of the above

question

Procedures to gather and analyze new information to help marketing managers make decisions are called:

answer

marketing research

question

Educated guesses about the relationships between things or about what will happen in the future are:

answer

hypotheses

question

A consumer products manufacturer wants consumer reaction to its existing products. Interaction is considered important to stimulate thinking. The firm should use:

answer

Focus group interviews

question

"Qualitative research" involves

answer

questioning to obtain in-depth open-ended responses.

question

Which of the following would be a source of primary data?

answer

market tests

question

A marketing manager wants to know why her sales are down. She talks with several sales reps and finds that a competitor has introduced a successful new product. This "research" seems to be part of

answer

the situation analysis.

question

The most difficult step of the marketing research process is:

answer

collecting data

question

Government buyers in the U.S. usually buy by

answer

specification and negotiated contracts

question

Large wholesale and retail buyers typically

answer

buy most of their products as straight rebuys

question

Regarding organizational buying, "reciprocity" refers to:

answer

the policy of if you buy from me, I'll buy from you

question

A vendor is MOST likely to make a sale if the buyer has bought from the vendor before and is doing:

answer

straight rebuy buying

question

Regarding organizational buying, the people who have the power to select or approve the supplier--especially for larger purchases-- are called:

answer

deciders

question

Which of the following buying methods would a supermarket buyer be MOST LIKELY to use in the purchase of grade A large eggs?

answer

purchasing specifications

question

Reference group influence is likely to have the strongest effect on the particular BRAND of ______________ purchased.

answer

watch

question

Which of the following is NOT a social influence in consumer buying?

answer

beliefs

question

The statement, "I like Southwest Air," is an example of a(n):

answer

attitude

question

The order of the steps in the learning process is

answer

drive, cue, response, reinforcement.

question

Which of the following is an example of using a cue to attract consumers?

answer

all of the above

question

Pepe Corona has itchy eyes and a stuffy nose, and suddenly becomes aware of many TV ads for allergy products that he never noticed before. This illustrates:

answer

selective exposure

question

The statement, "Of course people will buy our product--each of its features is better than the competition," most closely reflects which consumer behavior concept?

answer

economic buyer theory

question

A young working couple earned $50,000 last year. Of that, they paid $16,000 in taxes and $15,000 in rent, food, insurance and other necessities. Their discretionary income for the year was:

answer

$19,000

question

Effective product market segmentation is a two-step process that starts with naming broad product-markets and then goes on to segmenting these broad product-markets into more homogenous submarkets.

answer

True

question

A market is a group of two or more sellers who offer substitute ways of satisfying customer needs.

answer

False

question

A firm is most likely to rely on customer relationship management (CRM) approaches when it does not have a database of information on individual customers.

answer

False

question

The objectives of a firm should direct the operation of the marketing department, but are not important to the rest of the business.

answer

False

question

Not having a competitive advantage just leads to head on competition.

answer

True

question

A mission statement sets out the organizations basic purpose for being.

answer

True

question

Consumerism is a social movement that seeks to punish uncooperative businesses.

answer

False

question

Changes in technology can have major impacts on marketing strategy planning.

answer

True

question

The post-World War II "baby boom" produced about 25% of the present U.S. population.

answer

True

question

Americans are not very mobile - less than 2% of all Americans move each year.

answer

False

question

When evaluating opportunities, quantitative criteria help a manager decide what kind of opportunities to pursue.

answer

True

question

The first step in in a competitor analysis is to identify current and potential competitors.

answer

True

question

Earning a profit probably should be one of the objectives of a firm, but it should not be the only one.

answer

True

question

A "substantial" market segment is one which is big enough to be profitable.

answer

True

question

One of the difficult things about segmenting is not every customer will neatly fit into some market segment.

answer

True

question

A "market" consist of:

answer

All of the above

question

A digital camera, a computer video-cam and a computer scanner might compete in the same

answer

Generic Market

question

"Good" market segments are those which are:

answer

All of the above

question

A market-oriented strategy planner applies the _______ target market approach.

answer

Any of the above

question

Jazzy Tile Company segmented its broad product-market and decided to aim at two different segments, offering each segment a different marketing mix. Jazzy Tile Company is following the _________approach.

answer

Multiple Target Market

question

__________ segmenting dimensions help decide whether a person might be a potential customer - but not which specific products or brands that person might buy.

answer

Qualifying

question

Market segmentation:

answer

identifies homogeneous submarkets within a product-market

question

Which of the following statements about market-oriented strategy planning is TRUE?

answer

both segmenters and combiners can be target marketers

question

Which of the following offers a firm the greatest potential for profit?

answer

Any of the above--depending on the situation

question

______________ is a marketing management aid which refers to how customers think about proposed and/or present brands in a market.

answer

positioning

question

Safety standards for products such as bicycles are set by the:

answer

Consumer Product Safety Commission

question

Which of the following is MOST LIKELY to be a DETERMINING dimension with respect to purchase of a particular brand of coffee?

answer

taste

question

Overall company objectives should

answer

all of the above

question

The Sherman Act and the Clayton Act

answer

none of the above is true

question

The attitudes and behavior patterns of people are part of the

answer

social and cultural environment

question

Rising costs and inflation are part of the uncontrollable ______________ environment.

answer

economic

question

The MOST USEFUL dimensions for segmenting markets are:

answer

It depends on what product-market one is segmenting.

question

A widely used measure of income in most countries is:

answer

gross domestic product.

question

A "Buy American" campaign is an example of:

answer

nationalism

question

AT&T reacted to the popularity of the cellular phone by adding several cellular models to its line of regular phones. Availability and popularity of cellular phones is most likely due to changes in the ____________ environments.

answer

social and technological

question

Which of the following possible segmenting dimensions is a "demographic" dimension?

answer

social class

question

Marketing is basically selling and advertising.

answer

false

question

Marketing is a social process -- i.e., it is not a set of activities performed by an organization.

answer

false

question

Macro-marketing emphasizes how the whole marketing system works.

answer

true

question

"Economies of scale" means that as a company produces more of a product line the cost of each unit produced goes down

answer

true

question

Customer value is the difference that a customer sees between the benefits of a firm's offering and the costs of obtaining those benefits.

answer

true

question

Moral standards often vary from one person to another and from one society to another, so there is likely to be disagreement about what opinion is correct when it comes to marketing ethics

answer

True

question

A marketing strategy is composed of two interrelated parts -- a target market and a marketing mix.

answer

true

question

Marketing strategy planning should specify all of the operational decisions to implement the plan.

answer

True

question

Finding "competitive advantages" is important because they are needed for survival in increasingly competitive markets.

answer

True

question

The letters in "S.W.O.T. analysis" are an acronym for "strengths, weaknesses, opportunities, and threats."

answer

True

question

Differentiation emphasizes uniqueness rather than similarity.

answer

True

question

The three basic jobs in the marketing management process are planning, implementation and control

answer

True

question

Marketing should begin with the production process.

answer

True

question

All marketing activities should begin with potential customer needs, not with the production process.

answer

True

question

Product, Place, Price, and Promotion are the four major variables (decision areas) in a firm's marketing mix.

answer

True

question

Customer satisfaction is the extent to which a firm fulfills a consumer's:

answer

all of the above

question

The following headlines are for articles from the WALL STREET JOURNAL, which is most likely to be reporting a MACRO-marketing topic?

answer

DVD Popularity Leads to More DVD Retailers

question

The primary purpose of the transporting and storing functions of marketing is to overcome:

answer

spatial separation.

question

The advantages of working with an intermediary increase when there is

answer

all of the above

question

Which of the following is LEAST LIKELY to be a government role in a market-directed economic system?

answer

To set prices, allocate resources and distribute income.

question

The owner of a company that produces electronic circuit boards sees many competitors with extra capacity and says the "only hope is that our sales manager, who makes all our marketing decisions, will find a way to sell more boards." It seems that this company is run as if it were in the:

answer

sales era

question

Which of the following is one of the three basic ideas in the "marketing concept?"

answer

customer satisfaction

question

Which of the following organizations would most likely be the first to adopt the marketing concept?

answer

a producer of a bar of soap

question

Trying to balance the interest of people who want to drink beer and the dangers of drunk driving is an example of:

answer

macro-micro dilemma.

question

A local symphony group that has adopted the marketing concept would be most likely to

answer

find out what kind of music local residents want to hear.

question

A "production-oriented" firm typically:

answer

tries to sell the products it can make easily.

question

____________ involve(s) sorting products according to size and quality.

answer

Standardization and grading

question

When one considers the strategy decisions organized by the four P's, branding is related to packaging as:

answer

personal selling is to mass selling.

question

Scott Paper uses many middlemen to reach its target markets; Citibank uses none. Which of the marketing variables is being considered here?

answer

place

question

"Product" is concerned with:

answer

all of the above might be involved.

question

A 'marketing plan" should include the following:

answer

all of the above

question

Differentiation refers to the __________ of the firm's marketing mix to meet the needs of the target market.

answer

uniqueness

question

If Frito-Lay (shich has products in almost all the submarkets for snack foods) were to try to increase its share of one of these markets, it would be pursuing a ________ opportunity.

answer

market penetration

question

When a firm tries to increase sales by offering new or improved products to its present markets, this is called:

answer

product development

question

An Australian wine producer, facing declining sales at home, set up a new channel of distribution to sell wine in the United States. This seems o be an effort at ________

answer

market development

question

If a cola producer bought out a Mango juice producer in an attempt to appeal to health-conscious consumers who do not drink soft drinks, it would be pursuing ________.

answer

diversification

question

The most risky types of marketing opportunity to pursue usually involve ______.

answer

diversification

Frank CHS Marketing Midterm – Flashcards

Unlock all answers in this set

Haven't found what you were looking for?

Search for samples, answers to your questions and flashcards