eoc fourth 50 – Flashcards
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Which of the following factors should businesses consider when establishing a product's selling
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economic conditions
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A business charges a small company a higher price for a product than it charges a large company for the same product. What does this represent
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price discrimination
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What is the advantage to a business of using bar-code pricing?
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easier to change prices
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Which of the following is an example of an ethical issue as it relates to predatory pricing:
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a local ice-cream shop prices menu items below cost in an effort to eliminate its competition
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What might happen if a business's customers feel that they are not getting the most value for their money?
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customers spend money elsewhere
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One way that many businesses use technology to reduce the costs associated with marking prices on products is by using
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computer-generated tags
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Why do some new companies set their selling prices as low as they can?
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to get market share as fast as possible
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What is an external factor that affects the price that a business charges for its products?
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economic conditions
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How does technology help businesses when it enables them to obtain and analyze vast amounts of information that impact the pricing function?
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by determining the best time to adjust prices
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Which of the following is an aspect of channel management that impacts customer service?
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timeliness
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How do channel members add value to a product?
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by performing certain channel activities expertly
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What do marketers want to achieve by determining distribution intensity
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ideal market exposure
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What indirect channel of distribution is used to reach large retailers when the producer does not want responsibility for the selling activities?
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producer to wholesaler to retailer to consumer
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When is it best for a business to use an exclusive distribution pattern?
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it needs to maintain tight control over a product
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What is an advantage for producers in using the producer to wholesaler to retailer to consumer distribution channel?
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wholesalers usually buy in large quantities
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What is one action that customer service can take to facilitate order processing?
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communicate effectively
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Which situation hinders a business's ability to provide quality customer service?
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vendor consistently has back orders
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What statement is true about technology in relation to channel management?
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some businesses have the capacity to distribute most or all of their products through the internet
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Which of the following makes it possible for a business's drivers to determine their exact location and obtain accurate directions to destinations:
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global positioning system
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What example demonstrates the use of satellite tracking within a distribution channel?
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a dispatcher has current knowledge of a delivery truck's location and destination
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Which of the following would probably use a longer channel of distribution than the others:
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a bottle of shampoo
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Which of the following is an example of distributing goods through a gray-market strategy?
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A pharmacy sells brand medications to customers in foreign countries for a lower price than they can get domestically.
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What is an example of a large business using coercion in the distribution channel?
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Threatening to stop using a supplier unless given major concessions
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What factor could determine legal ownership of goods in the distribution process
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Involvement of agents
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What legal example is represented by a manufacturer selling its products through a toll-free phone system, a company web site, and several retailers?
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Dual distribution
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In which situation might exclusive distribution be considered a legal arrangement?
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A franchiser requires a franchisee to sell only the franchiser's products.
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How should the information be presented when writing informational messages?
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In the order of importance
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What is an example of a topic that would be addressed in an informational message?
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Date and time of an appointment with customer
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What is an example of an external factor that affects promotion?
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Government regulation of ads
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Which advertising message reinforces the concept of materialism?
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The government rates our product higher than our competitor's product.
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Why are there specific guidelines for advertising to children?
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Children are impressionable, and the wrong kinds of advertising can affect their development
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How does promotion benefit customers?
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Helps them to select appropriate products
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What is an example of advertisement stereotyping ?
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A television commercial depicts a woman mopping the kitchen with a new floor cleaner.
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Banner and pop-up ads impact the way audiences receive promotional information. These types of messages exist because of the following technological development:
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Internet
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Which statement is true about regulating international promotional activities?
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A business must understand that the laws governing promotional activities vary by country
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Advertising that promotes the support a bank gives to community projects is __________ advertising.
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service
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What type of promotion is depicted by a business's one-time announcement of its half price sale in the local newspaper?
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Product promotion
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What form of promotion is generally emphasized for complex, technical products sold to industrial users?
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Sales promotion
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What is new technology enabling businesses to create that is impacting the promotion function?
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. Individualized messages
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Which of the following best describes the relationship of promotion and marketing:
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Interrelated
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What is an objective of institutional advertising?
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To demonstrate the organization's role in community affairs
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In which stage of a product's life cycle do promotional activities focus on differences between competing products?
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Growth
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What is an example of publicity?
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Company news release
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Which of the following situations most accurately depicts a promotional ethical issue in relation to children
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A newscast teaser televises graphic film clips of a war zone during prime-time viewing.
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How do competing businesses within the same industry usually react to each other's promotional mixes?
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By changing distribution channels
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Determine whether the following is a true statement: It is important for the promotional message to be factual.
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True, it must be based on facts.
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Some governments regulate promotional activities in their countries to protect consumers from
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deceptive advertising.
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Which of the following is a print promotional medium:
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Shoppers' guide
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Why are promotional media such as newspapers and television referred to as mass media?
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They reach a lot of people at the same time.
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The most important benefit that magazine advertising offers to an advertiser is its ability to
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target a particular group of consumers
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How have technological advancements enhanced a small business's ability to promote its products?
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Information can be communicated by more venues, and messages can be customized.
