Question 1

Which of the following is a significant challenge presented by the product life cycle? A) plotting the stages as a product goes through them B) anti-trust laws C) new-product development D) measurement of results E) static tastes and zero competition

Accepted Answer

C) new-product development

Question 2

Acquisition refers to _________. A) the buying of a whole company  B) the development of original products, product improvements, product modifications, and new brands through the firm\'s own product development strategies C) investments made in a country\'s businesses by foreign citizens, often in the form of stocks D) an agreement between two or more commercial companies to produce a common product E) a partnership between two companies to produce a product in different countries by sharing risks

Accepted Answer

A) the buying of a whole company

Question 3

Electron Corp. purchased Proton Corp. by buying all of its assets and ownership equity. This is an example of a(n) ________. A) divestment  B) joint venture C) acquisition D) greenfield investment E) new-product development

Accepted Answer

C) acquisition

Question 4

A(n) ________ is an individual who represents a company to customers by prospecting, communicating, selling, servicing, information gathering, and/or relationship building. A) trainer B) salesperson C) manager D) human resource personnel E) auditor

Accepted Answer

B) salesperson

Question 5

________ refers to the amount of money charged for a product or service.  A) Price  B) Wage  C) Salary  D) Value E) Cost

Accepted Answer

A) Price

Question 6

Companies set not a single price, but a pricing ________ which covers different items in its line and changes over time as products move through their life cycles. A) cycle B) by-product C) loop D) structure E) bundle

Accepted Answer

D) structure

Question 7

Which of the following is true about the sales force of a company? A) The primary responsibility of a sales force is to formulate operational strategies. B) Salespeople represent customers to the company and manage the buyer-seller relationship. C) The sales force oversees the auditing process and recovers money from defaulting customers. D) Salespeople represent workers\' interests to upper management. E) The sales force is responsible for product development and product strategy.

Accepted Answer

B) Salespeople represent customers to the company and manage the buyer-seller relationship.

Question 8

Companies facing the challenge of setting prices for the first time can choose between two broad strategies: market-penetration pricing and ________. A) market-skimming pricing  B) competitive pricing C) market-segmentation pricing  D) comparative pricing E) cost-plus pricing

Accepted Answer

A) market-skimming pricing

Question 9

Which of the following is true of value-based pricing? A) A company using value-based pricing designs what it considers to be a good product, adds up the costs of making the product, and sets a price that covers costs plus a target profit. B) Value-based pricing involves setting prices based on the costs of producing, distributing, and selling the product plus a fair rate of return for its effort and risk. C) The targeted value and price drive decisions about what costs can be incurred and the resulting product design. D) Value-based pricing is mostly product driven. E) The marketer usually designs a product and marketing program and then sets the price.

Accepted Answer

C) The targeted value and price drive decisions about what costs can be incurred and the resulting product design.

Question 10

Midnight Magic, a perfume manufacturing company, plans to release a new fragrance during the holiday season at $99 per bottle. The company intends to bring the price down to $49 within six months of its release to attract buyers who couldn\'t afford the initial price. Which of the following pricing strategies is Midnight Magic using? A) competitive pricing  B) cost-plus pricing C) market-penetration pricing  D) product-line pricing E) market-skimming pricing

Accepted Answer

E) market-skimming pricing

Question 11

A ________ is made up of the company, suppliers, distributors, and customers who partner with each other to improve the performance of the entire system. A) consumer base B) horizontal channel C) product line D) product delivery network E) value delivery network

Accepted Answer

E) value delivery network

Question 12

The term \"demand chain\" is considered limited because it ________. A) takes a step-by-step, linear view of purchase-production-consumption activities B) suggests that planning starts with raw materials, productive inputs, and factory capacity C) overlooks the needs of target customers D) advocates a make-and-sell view of the market that relies on a responsive supply network E) ignores the evolution of the global marketplace

Accepted Answer

A) takes a step-by-step, linear view of purchase-production-consumption activities

Question 13

Which of the following terms refers to the wholesalers and retailers that form a vital link between the firm and its customers? A) upstream partners B) factory-supply networks C) downstream partners  D) supply channels E) resource banks

Accepted Answer

C) downstream partners

Question 14

The sets of firms that supply companies with the raw materials, components, parts, information, finances, and expertise needed to create products or services are known as ________. A) downstream partners  B) distributors C) retailers D) upstream partners E) distribution channels

Accepted Answer

D) upstream partners

Question 15

Companies which set a low price for a new product in order to attract a large number of buyers and a large market share are using the ________ strategy. A) inclusive pricing  B) exclusive pricing C) market-penetration pricing  D) market-skimming pricing E) cost-plus pricing

Accepted Answer

C) market-penetration pricing

Question 16

________ pricing uses buyers\' perceptions of value as the key to pricing.  A) Time-based B) Markup C) Target return  D) Cost-based E) Customer value-based

Accepted Answer

E) Customer value-based

Question 17

________ is the only element in the marketing mix that produces revenue.  A) Place B) Product C) Fixed costs  D) Price E) Variable costs

Accepted Answer

D) Price

Question 18

Product improvements, product modifications, and original products can all be classified as ________. A) product extensions  B) blueprints C) new products  D) test products E) prototypes

Accepted Answer

C) new products

Question 19

________ includes all the activities involved in selling products or services directly to final consumers for their personal, nonbusiness use. A) Wholesaling  B) Retailing C) Brokering D) Disintermediation E) Franchising

Accepted Answer

B) Retailing

Question 20

A company\'s total marketing communications mix consists of a special blend of advertising, sales promotion, public relations, personal selling, and direct-marketing tools that the company uses to communicate customer value and build customer relationships. Which of the following terms best describes this communications mix? A) product line filling B) horizontal diversification C) the product mix  D) the price mix E) the promotion mix

Accepted Answer

E) the promotion mix

Question 21

The use of short-term incentives to encourage the purchase or sale of a product or service is called ________. A) public relations  B) sales promotion  C) personal selling D) direct marketing  E) publicity

Accepted Answer

B) sales promotion

Question 22

Any paid form of nonpersonal presentation and promotion of ideas, goods, or services by an identified sponsor is called ________. A) sales promotion  B) personal selling C) advertising D) public relations E) direct marketing

Accepted Answer

C) advertising

Question 23

Which of the following is one of the five major promotion tools?  A) direct marketing B) product line filling C) market diversification  D) market penetration E) strategic positioning

Accepted Answer

A) direct marketing

Question 24

________ is a type of service offered by those retailers who serve customers that are willing to perform their own \"locate-compare-select\" process in order to save money. A) Wholesaling  B) Self-service  C) Full-service D) Limited-service  E) Specialty-service

Accepted Answer

B) Self-service

Question 25

________ are retailers that offer sales assistance because they carry more shopping goods about which customers might need information. A) Self-service retailers B) Specialty-service retailers C) Off-price retailers D) Limited-service retailers E) Full-service retailers

Accepted Answer

D) Limited-service retailers

Question 26

________ involves using in-store promotions and advertising to extend brand equity to \"the last mile\" and encourage favorable point-of-purchase decisions. A) Affinity marketing B) Bait-and-switch advertising C) Narrowcasting D) Ambush marketing  E) Shopper marketing

Accepted Answer

E) Shopper marketing

Question 27

Any paid form of nonpersonal presentation and promotion of ideas, goods, or services by an identified sponsor is called ________. A) direct marketing  B) public relations  C) personal selling D) sales promotion  E) advertising

Accepted Answer

E) advertising

Question 28

Advertising is used mostly by ________.  A) governments B) not-for-profit organizations  C) business firms D) independent professionals E) social agencies

Accepted Answer

C) business firms

Question 29

Which of the following is true with regard to personal selling? A) Personal selling entails personal presentations by a firm\'s sales force for the purpose of making sales and building customer relationships. B) An outside sales force is not involved in personal selling. C) Personal selling is a relatively new profession. D) Personal selling distances the buyer from the seller and does not focus on building enduring relationships. E) Personal selling involves making personal requests to potential buyers to enter into short-term business relationships with firms.

Accepted Answer

A) Personal selling entails personal presentations by a firm\'s sales force for the purpose of making sales and building customer relationships.

Question 30

Competitive parity and task methods are considered when making decisions about ________.  A) media selection  B) metrics C) sales objectives  D) budget E) message structure

Accepted Answer

D) budget

Question 31

The decisions about reach, frequency, and impact of an advertisement fall into the category of ________ decisions. A) media B) advertising evaluations C) sales objectives  D) message E) budget

Accepted Answer

A) media

Question 32

Amazon.com, eBay, and GEICO approach customers via Web sites or mobile apps. This is an example of ________. A) direct marketing  B) mass marketing C) multi-level marketing  D) ambush marketing E) guerrilla marketing

Accepted Answer

A) direct marketing

Question 33

Which of the following statements is true of direct marketing?  A) Salespersons are compensated for other salespeople they recruit. B) In direct marketing, consumers earn a commission every time they buy a product.  C) Direct marketing is also referred to as referral marketing. D) Direct marketing involves two or more intermediaries. E) Direct marketing offers sellers a low-cost alternative for reaching their markets.

Accepted Answer

E) Direct marketing offers sellers a low-cost alternative for reaching their markets.

Question 34

Which of the following is true about online direct marketing? A) Online direct marketing results in speedier handling of channel and logistics functions. B) Online direct marketing involves two or more intermediaries. C) In online direct marketing, outside and inside sales forces coordinate to provide value products to customers. D) Online direct marketing is also referred to as multi-level marketing. E) Salespersons are compensated for other salespeople they recruit.

Accepted Answer

A) Online direct marketing results in speedier handling of channel and logistics functions.

Question 35

All of the following are benefits of online direct marketing for buyers EXCEPT ________.  A) live product demonstrations B) privacy C) access to numerous products  D) convenience and speed E) access to product reviews

Accepted Answer

A) live product demonstrations

Question 36

The first step in initiating competitive marketing strategies is to ________. A) balance customer and competitor orientations  B) design broad competitive marketing strategies C) conduct transaction analysis  D) conduct competitor analysis E) assess long-term organizational objectives

Accepted Answer

D) conduct competitor analysis

Question 37

Gaining ________ requires delivering more value and satisfaction to target consumers than competitors do. A) first-mover advantage  B) comparative advantage C) competitive advantage  D) economies of scale E) differentiation

Accepted Answer

C) competitive advantage

Question 38

A competitor analysis requires the assessment of all of the following EXCEPT the competitors\' ________. A) strengths and weaknesses B) objectives C) strategies D) reaction patterns E) organizational hierarch

Accepted Answer

E) organizational hierarch

Question 39

________ involves first identifying and assessing competitors and then selecting which competitors to attack or avoid. A) Self-competition B) Competitor analysis C) Perfect competition  D) Quantitative analysis E) Blue ocean strategy

Accepted Answer

B) Competitor analysis

Question 40

Strategies that strongly position the company against competitors and that give the company the best possible strategic advantage are ________ strategies. A) competitive relationship  B) customer identification C) customer relationship  D) competitor analysis E) competitive marketing

Accepted Answer

E) competitive marketing

Marketing Practice Final – Flashcards

Unlock all answers in this set

Haven't found what you were looking for?

Search for samples, answers to your questions and flashcards