question

Green technologies such as smart grid electricity services, online energy management, and consumer-generated energy are __________ forces that would be identified through an environmental scan. Question options: social competitive regulatory technological economic

answer

technological

question

The money that remains after paying for taxes and necessities is referred to as Question options: net income. discretionary income. disposable income. household income. gross income.

answer

discretionary income

question

Marketing seeks to discover the needs and wants of prospective customers and satisfy them. Essential to this process is the idea of exchange, which refers to Question options: the trade of things of value between buyer and seller so that each is better off after the trade. the negotiation phase between the manufacturer and the seller. the financial remuneration (monetary payment) for a product or service. the transport of tangible goods to new owners. the practice of swapping products and services for other products and services rather than for money.

answer

the trade of things of value between buyer and seller so that each is better off after the trade.

question

The specialized group of consumers with a structured set of relationships involving a particular brand, fellow customers of that brand, and the product in use is referred to as Question options: a brand community. a VALS. an opinion leader. a social class. a buzz group.

answer

a brand community

question

A __________ is a plan that integrates the marketing mix to provide a good, service, or idea to prospective buyers. Question options: marketing strategy marketing program macromarketing tactic micromarketing tactic customer relationship management

answer

marketing program

question

Marketing refers to Question options: the production of products or services that will generate the highest return on investment. the strategies used in the advertising and promotion of products and services to customers around the globe. the process of identifying target market segments for a product or service. the activity involved in getting a product or service from the manufacturer to ultimate consumers and organizational buyers. the activity, set of institutions, and processes for creating, communicating, delivering, and exchanging offerings that have value for customers, clients, partners, and society at large.

answer

the activity, set of institutions, and processes for creating, communicating, delivering, and exchanging offerings that have value for customers, clients, partners, and society at large.

question

The purpose of copyright law is to Question options: provide incentives for increased competition. give inventors of new and novel products the right to exclude others from making, using, or selling products that infringe the patented invention. level the playing field between inventors who work for large corporations and those who work on their own. guarantee the quality and safety of any product produced or distributed in the United States. give an author of a literary, dramatic, musical, or artistic work the exclusive right to print, perform, or otherwise copy that work.

answer

give an author of a literary, dramatic, musical, or artistic work the exclusive right to print, perform, or otherwise copy that work

question

A simultaneous evaluation of both product attributes and seller characteristics represents which stage of the consumer purchase decision process? Question options: purchase decision information search financial transaction alternative evaluation postpurchase behavior

answer

purchase decision

question

The family life cycle concept describes the distinct phases a family progresses through from __________, each phase bringing with it identifiable purchasing behaviors. Question options: formation to retirement birth to death the birth of children to retirement the birth of children until they leave home marriage to retirement unless a divorce, separation, or death occurs

answer

formation to retirement

question

All of the following statements are true except Question options: LEED stands for Leadership in Energy and Environmental Design. today's college graduates now seek green jobs that involve some aspect of social responsibility. colleges of business have yet to establish sustainability course electives and case studies. many students want to be involved with organizations such as Net Impact to use business to improve the world. millennials want to make a difference by making the world a better place.

answer

colleges of business have yet to establish sustainability course electives and case studies.

question

All of the following are environmental forces that affect an organization except Question options: economic. geographical. social. regulatory. technological.

answer

geographical

question

A college student is taking a full course load, working 20 hours per week, and still has to take out a student loan to cover tuition. One day, he sees a classmate driving a new Lexus LFA sports coupe (price: $375,000) and feels he just has to have one for himself. What factor is most likely to prevent a successful marketing exchange between the student and the local Lexus dealer located in an affluent suburb about 20 miles from his university? Question options: The local Lexus dealer only has one Lexus LFA sports coupe in stock—red, which is the color he wants. The student does not have the resources to qualify for a $375,000 auto loan. Although the Lexus LFA sports coupe is a great car, there may be other cars with better gas mileage and resale value. He's afraid that if someone at school sees him with the car, he might lose his student loan. His girlfriend wants him to drive a Kia Soul.

answer

The student does not have the resources to qualify for a $375,000 auto loan.

question

The name given to the generational cohort who are described as self-reliant, supportive of racial and ethnic diversity, and better educated than previous generations is Question options: Generation Z. Generation Y. millennials. Generation X. baby boomers.

answer

Generation X

question

All of the following are situational influences that can have an impact on a consumer's purchase decision process except Question options: physical surroundings. purchase task. temporal effects. consumer involvement. antecedent states.

answer

consumer involvement

question

A factor that might doom a product in the marketplace is referred to as Question options: an albatross. a land mine. a pitfall. a showstopper. a wild card.

answer

showstopper

question

In an inflationary economy, the cost to produce and buy products and services __________ as prices __________. Question options: increases; increase increases; decrease decreases; increase decreases; decrease does not change; increase

answer

increases; increase

question

Which of the following statements about the family life cycle is most accurate? Question options: The majority of households today are composed of traditional families. Income and gender are two of the variables considered in the family life cycle. Young singles represent a target market for recreational travel, automobiles, and consumer electronics. Single divorcees are more likely to buy life insurance than any other group. The most financially secure group of any family life cycle stage is single parents with children.

answer

Young singles represent a target market for recreational travel, automobiles, and consumer electronics.

question

Small businesses make up the majority of the competitive landscape for most businesses. There are approximately __________ small businesses in the United States. Question options: 17 million 28.2 million 39 million 52 million 97 million

answer

28.2 million

question

All of the following are factors required for marketing to occur except Question options: a desire and ability on the part of two or more parties (individuals or organizations) to be satisfied. something to exchange between two or more parties (individuals or organizations). two or more parties (individuals or organizations) with the same wants. two or more parties (individuals or organizations) with unsatisfied needs. a way for the parties (individuals or organizations) to communicate.

answer

two or more parties (individuals or organizations) with the same wants.

question

Consumerism refers to Question options: a movement of conspicuous consumption that began when World War II ended. conducting business in a way that protects the natural environment while making economic progress. a collaborative effort between buyers and sellers to create an exchange where each benefit. the recognition of the need for organizations to improve the state of people, the planet, and profit simultaneously if they are to achieve sustainable, long-term growth. the grassroots movement started in the 1960s to increase the influence, power, and rights of consumers in dealing with institutions.

answer

the grassroots movement started in the 1960s to increase the influence, power, and rights of consumers in dealing with institutions.

question

A firm conducting an environmental scan of the marketplace might uncover key __________ such as the growing popularity of video bloggers and the increasing mobility and connectivity of consumers. Question options: profits responsibilities idealisms codes trends

answer

trends

question

Which of the following terms best describes the marketing concept? Question options: consumer-oriented production-oriented sales-oriented society-oriented competition-oriented

answer

consumer-oriented

question

The Child Protection Act (1966) and the Consumer Product Safety Act (1972) are examples of Question options: pricing-related legislation. laws specifying product requirements. fair trade legislation. distribution-related legislation. requirement contracts

answer

law specifying product requirements

question

To serve both buyers and sellers, marketing seeks to __________ and satisfy the needs and wants of prospective customers. Question options: change create manipulate discover measure

answer

change

question

The energizing force that stimulates behavior to satisfy a need is referred to as Question options: a personality. an antecedent state. a motivation. a cognitive dissonance. a perception.

answer

a motivation

question

An Arizona cardiac surgery practice agreed to pay the U.S. Department of Health and Human Services a $100,000 settlement following an investigation of potential violations of the Health Insurance Portability and Accountability Act (HIPAA) Privacy and Security Rules. The practice posted clinical and surgical appointments for its patients on an Internet-based calendar that was publicly accessible, which drew complaints for failing to protect health information of consumers. HIPAA rules are an example of __________ forces in the marketing environment. Question options: economic ecological technological social regulatory

answer

regulatory

question

Which of the following products failed in the marketplace because of perceived limited usefulness for consumers? Question options: Life is Good T-shirts Apple Newton Bell bicycle helmets 3M Post-it Flag+Highlighter Dr. Care toothpaste

answer

Apple Newton

question

Which of the following organizations engage in marketing? Question options: the Chicago Cubs the San Francisco Opera the City of Denver the president of the United States Every organization or individual can engage in marketing to some extent.

answer

Every organization or individual can engage in marketing to some extent.

question

The benefits or customer value received by users of a product is called Question options: utility. synergy. consumerism. cost-benefit ratio. customer lifetime value.

answer

utility

question

Lexi wants to find the perfect gift for her older sister's college graduation. She started looking for the gift last month and expects to spend another couple of weeks to find a gift her sister will use and like. Lexi is engaging in Question options: routine problem solving. limited problem solving. extended problem solving. problem recognition. integrated problem solving.

answer

Extended problem solving

question

The form of competition in which there are many sellers and they each have a similar product is referred to as Question options: pure competition. singular competition. an oligopoly. monopolistic competition. a monopoly.

answer

pure competition

question

Jamie goes shopping with a friend and notices her friend's durable ripstop nylon wallet. She thinks of her own worn wallet and realizes she needs a new one. In which stage of the consumer purchase decision process was Jamie when she had this realization? Question options: information search problem recognition purchase behavior alternative evaluation prepurchase cognition

answer

problem recognition

question

When past experience is insufficient, the risk of making a wrong decision is high, and the cost of gathering information is low, a consumer is more likely to use an __________ for information. Question options: internal search informal search expert directed search external search experiential search

answer

external search

question

The feeling of postpurchase psychological tension or anxiety consumers may experience when faced with two or more highly attractive alternatives is referred to as Question options: angst. the temporal state. the dissociative state. selective perception. cognitive dissonance.

answer

cognitive dissonance

question

Baby boomers can be defined as the generation born Question options: between 1918 and 1945. between 1946 and 1964. between 1965 and 1976. between 1977 and 1994. since 1995.

answer

between 1946 and 1964

question

The purpose of environmental scanning is to Question options: only identify trends in the marketplace. only interpret trends in the marketplace. only forecast trends in the marketplace. identify, interpret, and forecast trends in the marketplace. only identify and interpret trends in the marketplace.

answer

only identify and interpret trends in the marketplace.

question

Individuals who exert direct or indirect social influence over others are referred to as Question options: decision makers. achievers. innovators. buzz managers. opinion leaders.

answer

opinion leaders

question

Which of the following statements about personality is most accurate? Question options: Personality is dynamic and typically changes several times as a person matures. Most personality traits are inherited or formed at an early age. Personality is the energizing force that makes consumer behavior purposeful. Most personality traits are formed during adulthood and don't change thereafter. People with compliant personalities prefer lesser known brand names.

answer

Most personality traits are inherited or formed at an early age.

question

Rob only has 30 minutes for lunch, so he typically goes somewhere within a block or two of his building and is careful about what he orders. This is an example of which situational influence in the purchase decision process? Question options: purchase task social surroundings physical surroundings temporal effects antecedent states

answer

temporal effects

question

Environmental trends arise from all of the following forces except Question options: competitive. economic. regulatory. geographical. social.

answer

geographical

question

Ben & Jerry's is an ice cream producer owned by Unilever. If the Firm identified that its managers lacked the expertise to create additional growth for the Firm's products, a marketing manager would likely incorporate this knowledge into its SWOT analysis as Answers: a. a weakness if the company has a strong working relationships with Unilever. b. an opportunity if the company shares this information directly with its competitors. c. a weakness if the company does not seek to gain that additional expertise d. a threat if Ben & Jerry's does not have resources to develop additional expertise.e. part of a marketing plan; this information would not be part of a SWOT analysis.

answer

c. a weakness if the company does not seek to gain that additional expertise

question

Income used to buy luxury items such as a Regent cruise is referred to as A. gross income. B. disposable income. C. annual income. D. consumable income. E. discretionary income

answer

discretionary income

question

Emily had an excellent year as a saleswoman in 2010. She earned $97,000. She paid $17,000 for "necessities" such as mortgage, food, and clothing. She was given a six-week all expenses paid vacation by the company for her sales performance that had a value of $9,000. Her state and federal income taxes totaled $24,000. What was her discretionary income? A. $56,000 B. $65,000 C. $80,000 D. $97,000 E. There is not enough data provided to calculate her discretionary income

answer

$56,000 Discretionary income is the money that remains after paying for taxes and necessities. Therefore, $97,000 = gross income less 17,000 for necessities less 24,000 for taxes equals $56,000 for discretionary income.

question

The owner of your local KFC franchise has had a good year with rising revenues and reduced operating costs that resulted in a personal income of approximately $100,000. One-third of that was taken for local, state, and federal income taxes, and another third went to pay for mortgage, car payments, food, clothing, and other necessities. What is the remaining third called? A. Windfall B. Bonus C. Discretionary income D. Disposable income E. Franchising fee

answer

Discretionary Income. Since discretionary income is the money that remains after paying for taxes and necessities, $100,000 less one third for taxes and one third for necessities, leaves one third for discretionary income.

question

A brand community refers to A. the relatively permanent, homogeneous divisions in a society that consists of people who share similar values, interests, behaviors, and brands. b.a specialized group of consumers with a structured set of relationships involving a particular brand, fellow customers of that brand, and the product in use. c. people to whom an individual looks as a basis for purchasing particular brands. d.those buyers who, through the size of their purchases, affect where marketing dollars will be spent on a particular brand. e. those brands with whom a person does not wish to be identified

answer

a specialized group of consumers with a structured set of relationships involving a particular brand, fellow customers of that brand, and the product in use.

question

A consumer's purchases are often influenced by the views, opinions, or behaviors of others. Two aspects of personal influence that are important to marketing are __________ and word-of-mouth activity. Answers: a. parental guidance b. peer pressure c. opinion leadership d. government regulation e. psychographics

answer

opinion leadership

question

A marketing program refers to a. a plan that integrates the marketing mix to provide a good, service, or idea to prospective buyers. b. the selection of product benefits and attributes that are added to or subtracted from a given product to create variations within a product line. c. the marketing manager's controllable factors—product, price, promotion, and place—that can be used to solve a marketing problem. d. the specific ratio within a marketing budget that divides resources between advertising, promotions, and personal selling. e. the allocation of resources within a firm towards individual marketing mix elements.

answer

a. a plan that integrates the marketing mix to provide a good, service, or idea to prospective buyers.

question

A __________ is a plan that integrates the marketing mix to provide a good, service, or idea to prospective buyers. a. marketing strategy b. marketing program c. macromarketing tactic d. micromarketing tactic e. customer relationship management

answer

b. marketing program

question

The demographic situation, consisting of married couples with children youger than 18 years old and whic constitutes 21 percent of all US households is referred to as an a. traditional family b. typical household c. socialized household d. reference group e. ideal family unit

answer

a. traditional family

question

A local college of business offers an outstanding graduate business school education program. Marissa pays the tuition to attend and earns her MBA with a concentration in marketing management. Upon graduating, she is offered a high paying, fulfilling position. Was this a marketing exchange? 1. a. No, because the university earned a profit from Marissa's tuition. 2. b. No, because money was exchanged in the form of tuition and Marissa's income will come from her employer, not the graduate school. 3. c. No, because the school did not provide Marissa with a tangible product, only the potential of an education. 4. d. Yes, because the university promised Marissa she would graduate on time, and she did. 5. e. Yes, because paying tuition was exchanged for knowledge that directly led to Marissa's high paying, fulfilling new job.

answer

5. e. Yes, because paying tuition was exchanged for knowledge that directly led to Marissa's high paying, fulfilling new job

question

Five situational influences have an impact on a consumer's purchase decision process: purchase task, social surroundings, physical surroundings, antecedent states, and __________. A. competition B. temporal effects C. perceived value D. independent variables E. economic effects

answer

Temporal Effects

question

Temporal effects include A. the purpose of the purchase. B. other people present. C. the time of day. D. the crowding in retail stores. E. the consumer's mood

answer

The time of day

question

In the United States, grapefruit is almost exclusively eaten as a breakfast fruit. This situation is most closely related to which of the following situational influences? A. purchase task B. social surroundings C. physical surroundings D. temporal effects E. antecedent states

answer

Temporal Effects

question

Sociocultural influences which affects the consumer purchase decision process, include all of the following except ___________. A. personal influence B. reference groups C. family D. culture and subculture E. values, beliefs, and attitudes

answer

E. values, beliefs, and attitudes

question

Which of the following statements best distinguishes between consumer needs and wants? 1. a. Needs are far more influential than wants with respect to marketing decision making. 2. b. Wants affect marketing decisions primarily for planned purchases while needs affect marketing decisions primarily for impulse purchases. 3. c. Wants occur when a person feels deprived of basic necessities such as food, clothing, and shelter while needs are determined by a person's knowledge, culture, or personality. 4. d. Needs occur when a person feels deprived of basic necessities such as food, clothing, and shelter while wants are determined by a person's knowledge, culture, or personality. 5. e. Needs and wants are psychologically the same

answer

4. d. Needs occur when a person feels deprived of basic necessities such as food, clothing, and shelter while wants are determined by a person's knowledge, culture, or personality.

question

The National Center for Public Policy and Higher Education reports that since 1980, college tuition and fees have increased by 440 percent whereas family incomes have risen less than 150 percent. This is an example of a(n) __________ economy. a. deflationary b. recessionary c. disinflationary d. inflationary e. depressive

answer

depressive

question

Small businesses account for __________ of the gross domestic product (GDP). a. 25 percent b. 30 percent c. 50 percent d. 65 percent e. 80 percen

answer

65 percent

question

The American business period that attempts to satisfy consumer needs while achieving organizational goals is called the __________ era. A. sales B. production C. marketing concept D. societal marketing concept E. consumerism

answer

Marketing Concept Era

question

Which era of U.S. business history does the following statement best describe? "We are in the business of satisfying needs and wants of consumers." A. The production era B. The sales era C. The marketing concept era D. The marketing orientation era E. The societal marketing era

answer

C. The marketing concept era

question

Whether an individual is buying for personal use or use for his household, or an organization is buying for its own use or for resale, the individual or organization would be considered A. a prospective customer. B. the primary marketing decision maker. C. a potential marketing risk. D. an informed buyer. E. an unqualified prospect

answer

a prospective buyer

question

A student wants to buy a cell phone so she can share pictures with her friends, and an insurance claims adjuster wants to buy a cell phone to document accident reports. If they both purchase the same model phone, which statement is most accurate? A. The adjuster is a prospective customer because the phone will be used for work; the student is only a secondary user since the purpose of the phone is just for entertainment. B. Both the adjuster and students are potential customers because in their own way, they both benefit from the product. C. Neither the adjuster nor the student is a prospective customer, since most likely the company will pay for the adjuster's phone and the student's parents will pay for hers. D. The student is the prospective customer since there are more students buying phones for personal use than there are insurance adjusters buying phones for business use. E. Every person who uses a cell phone is a prospective customer whether they receive benefit from the phone or not

answer

B. Both the adjuster and students are potential customers because in their own way, they both benefit from the product.

question

Which of the following statements best describes a good that can be marketed? A. Goods are physical objects B. Goods are intangible items C. Goods are intangible concepts and thoughts about products, actions, or causes D. Goods look at the flow of an entire nation's goods and services E. Goods are concern with the marketing activities of an individual or organization

answer

goods are physical objects

question

The five stages a buyer passes through in making choices about which products and services to buy is called the __________. A. information decision process B. purchase decision process C. alternative evaluation process D. postpurchase behavior process E. problem recognition process

answer

B. purchase decision process

question

Scanning your memory for previous experiences with products or brands occurs during which stage of the consumer purchase decision process? A. information search B. purchase decision C. alternative evaluation D. postpurchase behavior E. problem recognition

answer

A. information search

question

In _________, there are many sellers and they each have a similar product. Companies that deal in commodities common to agribusiness are found in this form of competition. A. pure competition B. limited competition C. oligopoly competition D. monopoly competition E. cross-market competition

answer

pure competition

question

The form of competition in which ever company has a similar product is referred to as __________. A. pure competition B. cross-market competition C. oligopoly D. monopolistic competition E. monopoly

answer

pure competition

question

The form of competition in which many sellers compete with their products on a substitutable basis is called A. pure competition. B. cross-market competition. C. oligopoly. D. monopolistic competition. E. monopoly.

answer

monopolistic competition

question

Paul Avery is a salesperson at the only Ford automobile dealership in Wausau, Wisconsin. However, there are several other auto dealerships in town, offering both domestic and foreign cars and trucks. Paul works hard to keep his customers satisfied because he knows that if his customers are unhappy, they can simply buy a car from one of the many other comparable dealers in Wausau. This is an example of A. pure competition. B. monopolistic competition. C. an oligopoly. D. a monopoly. E. incremental competition

answer

B. monopolistic competition.

question

Which type of consumer product is purchased relatively infrequently and the purchase decision takes some time because the consumer compares offerings during the shopping experience? Question options: convenience product shopping product specialty product unsought product discretionary product

answer

shopping product

question

Which of the following is the best example of a convenience product? Question options: Kindle Fire Lexus LS 460 luxury automobile flight on United Airlines Roget's Thesaurus Hidden Valley Ranch salad dressing

answer

Hidden Valley Ranch salad dressing

question

Melanie manages a local store for a national drugstore chain and had received complaints from several customers about rude employees. To check on her customer service, Melanie hired a team of researchers, who posed as customers shopping in the store. Occasionally, they bought something, but their primary purpose was to take notes and record the actions of the service staff. The research information Melanie received was a form of __________ data. Question options: secondary developmental observational national questionnaire

answer

observational

question

Airlines have developed frequent-flyer programs to encourage passengers to use the same airline repeatedly to create loyal customers. Airlines are using __________ segmentation here. Question options: psychographic behavioral demographic social geographic

answer

behavioral

question

Which of the following products would have a fad product life-cycle curve? Question options: women's hosiery car tattoos electric cars convection ovens sport drinks

answer

car tattoos

question

The __________ stage of the product life cycle is characterized by rapid increases in sales. Question options: introduction growth maturity decline harvest

answer

growth

question

Which of the following best illustrates the concept of derived demand? Question options: The number of retail stores in a downtown area decreases even though demand for retail goods increases. An increase in the number of new, single-family homes results from a spike in the gross national product. A Chinese plastics company increases its output because of its customers' higher toy exports to the United States. A heat wave results in an increased demand for air conditioners. Honda reducing its car prices causes GM to do the same.

answer

A Chinese plastics company increases its output because of its customers' higher toy exports to the United States.

question

Recently, U.S. dairies, struggling to increase milk sales, tried to change the way adults thought about chocolate milk. The dairies wanted to __________ chocolate milk in the minds of adult consumers. Question options: segment differentiate explain promote reposition

answer

reposition

question

Sampling and statistical inference are special __________, which are vital in marketing research to solve all or part of a problem. Question options: systems styles methods manners modes

answer

methods

question

One test of whether marketing research should be done is if Question options: different outcomes will lead to different marketing actions. multiple changes can be implemented simultaneously. interpreting the data can be done using a jury of executive opinions. the decision to undertake it is unanimous. there is a budget for the research.

answer

different outcomes will lead to different marketing actions.

question

Grouping potential buyers into meaningful segments involves meeting some specific criteria that answer the following question: Question options: Is this product useful on a global scale? Is it possible to reposition this product? Is there too much competition for this product? Is the market loyal to the product? Would segmentation be worth doing and is it possible?

answer

Would segmentation be worth doing and is it possible?

question

The 80/20 rule is most closely related to which basis of segmentation? Question options: geographic psychographic opportunistic demographic behavioral

answer

behavioral

question

Which of the following is not a reason to segment a market? Question options: The ability to assign buyers to a segment is simple and cost-effective. It would cause an increase in market share or profit. All the buyers in the entire market have similar wants and needs. There is a potential marketing action to reach it. There are different wants and needs of buyers in the entire market.

answer

All the buyers in the entire market have similar wants and needs.

question

During the __________ stage of the product life cycle, product proliferation occurs to help differentiate a company's brand from competitors. Question options: introduction growth maturity decline harvest

answer

growth

question

The stage of the new-product process that develops a pool of concepts to serve as candidates for new products is referred to as Question options: idea generation. product development. open innovation assessment. screening and evaluation. new-product strategy development.

answer

idea generation.

question

Facts and figures obtained by watching, either mechanically or in person, how people actually behave are referred to as __________ data. Question options: inspection hypothetical primary source observational eyewitness

answer

observational

question

When a marketing researcher uses a collection of reports, customer letters, financial statements, and surveys from different departments within her firm to make marketing decisions today, she is using Question options: internal secondary data. primary data. external secondary data. sensitivity analysis. probability data.

answer

internal secondary data.

question

Specialty products refers to Question options: products for which there are many substitutes. products purchased for their prestige or high perceived value. products a consumer will make a specific effort to search out and buy. items for which the consumer compares several alternatives on several criteria such as price, quality, or style. items that the consumer does not know about or knows about but does not initially buy.

answer

products a consumer will make a specific effort to search out and buy.

question

The concept of the diffusion of innovation shows how a product "diffuses" or spreads through the population over time. The consumer population is divided into five categories of product adopters based on when they adopt (i.e., first buy) a new product. Each product adopter category has a unique profile. Consumers who are deliberate adopters with many informal social contacts are called Question options: innovators. early adopters. early majority. late majority. laggards.

answer

early majority.

question

Facts and figures that have already been recorded before the project at hand are referred to as Question options: primary data. empirical data. secondary data. demographic data. observational data.

answer

secondary data.

question

A product life cycle for which little customer education is required and there is a very short introductory period is an example of a __________ product. Question options: high-learning fashion low-learning fad generalized

answer

low-learning

question

A salesforce survey forecast involves Question options: asking prospective customers if they are likely to buy the product during some future time period. asking the firm's salespeople to estimate sales during a coming period. selecting the forecasting alternative that would allow a firm to survive financially even if the forecasts were totally incorrect. making decisions without any intervening steps. averaging the projections obtained from just regional sales managers and then making the final projection.

answer

asking the firm's salespeople to estimate sales during a coming period.

question

If a customer is reluctant to try a new product because she's afraid it might make her ill, the company is most likely facing __________ barrier. Question options: a usage a risk a value an emotional a psychological

answer

a risk

question

The approaches that can be used to collect data to solve all or part of a marketing research problem are referred to as Question options: methods. proposals. strategies. tactics. analyses.

answer

methods

question

The __________ stage of the product life cycle is characterized by the appearance of competitors. Question options: decline maturity introduction growth harvest

answer

growth

question

Considering the two main types of data, if facts and figures are newly collected for a project, which type of data is being collected? Question options: internal primary data secondary data external primary data primary data internal secondary data

answer

primary data

question

Set during the marketing research process, __________ are the specific, measurable goals the decision maker seeks to achieve in conducting the marketing research. Question options: measures of success research constraints marketing research plans hypothetical scenarios research objectives

answer

research objectives

question

ChoiceShirts is an online company that makes made-to-order T-shirts. Its online customers can order their shirts using any downloaded photo inserted into 600 templates or even design a shirt from scratch. This is an example of Question options: family branding. mass customization. multiple products and multiple market segments. one product and multiple market segments. specialty customization.

answer

mass customization.

question

The lack of profit in the introductory stage of the product life cycle is very often the result of Question options: pricing the product too low in an attempt to quickly gain market share. targeting the wrong target market segment. a lack of wholesaler support. the large investment costs in product development. ineffective execution of the marketing program

answer

the large investment costs in product development.

question

Considering the five-step marketing research approach leading to marketing actions, lessons learned from past research mistakes Question options: are fed back at the end of Step 5. are used to develop the research plan. are a form of primary research. are used to develop findings. are fed back to improve each of the steps.

answer

are fed back to improve each of the steps.

question

Occasionally, a firm's Stage 1 product development activities can be blind-sided by a revolutionary new product or technology that completely disrupts its business, which is sometimes called a Question options: marketing opportunity. disruptive innovation. business threat. crowdsourcing. concept test.

answer

disruptive innovation.

question

Which of the following is a criterion used in forming market segments? Question options: similarity of segments to competitors' segments differences between potential suppliers or distributors differences of needs of buyers within a segment market size of the segment simplicity and cost-effectiveness of assigning potential buyers to segments

answer

simplicity and cost-effectiveness of assigning potential buyers to segments

question

The facts and figures related to a research problem are referred to as Question options: data. statistics. variables. concepts. constraints.

answer

data.

question

A full-scale operating model of the product or service under development is referred to as a Question options: sample. framework. template. prototype. blueprint.

answer

prototype.

question

The place a product occupies in consumers' minds on important attributes relative to competitive products is referred to as Question options: product repositioning. relative positioning. competitive positioning. product positioning. selective perception.

answer

product positioning.

question

Two key elements in deciding how to collect marketing data are Question options: concepts and notions. concepts and methods. constraints and hypotheses. terms and constraints. terms and hypotheses.

answer

concepts and methods.

question

A market-product grid is a framework to relate the __________ to products offered or potential marketing actions by an organization. Question options: market segments of potential buyers marketing objectives of potential products total anticipated revenue total anticipated profit market share of the closest competitor

answer

market segments of potential buyers

question

A market-product grid is a framework to relate Question options: total estimated expenses for each product sold to each market segment. total anticipated revenue for each product-market segment combination. total anticipated profit for each product sold to each market segment. the market segments of potential buyers to relative market share compared to the largest competitor. the market segments of potential buyers to products offered or potential marketing actions by an organization.

answer

the market segments of potential buyers to products offered or potential marketing actions by an organization.

question

Segmentation based on some observable actions or attitudes by prospective customers, such as what benefits they seek, as well as where, how frequently, and why they buy, is referred to as Question options: demographic segmentation. psychographic segmentation. geographic segmentation. behavioral segmentation. socioeconomic segmentation.

answer

behavioral segmentation.

question

Even though Liquid Paper correction fluid is in the __________ stage of its product life cycle, Sanford, its manufacturer, has not deleted it from its line because there is still a residual core of consumers who use the product. Question options: decline introduction growth maturity deletion

answer

decline

question

During the maturity stage of the product life cycle, profit declines primarily because Question options: there are fewer and fewer competitors in the market. promotional expenditures increase. production costs increase the more a firm has to manufacture the same product. there is fierce price competition among sellers. more consumers enter the market seeking bargains.

answer

there is fierce price competition among sellers.

question

Which of the following is a criterion used in forming market segments? Question options: similarity of segments to competitors' segments differences between potential suppliers or distributors differences of needs of buyers within a segment market size of the segment simplicity and cost-effectiveness of assigning potential buyers to segments

answer

simplicity and cost-effectiveness of assigning potential buyers to segments

question

Melanie manages a local store for a national drugstore chain and had received complaints from several customers about rude employees. To check on her customer service, Melanie hired a team of researchers, who posed as customers shopping in the store. Occasionally, they bought something, but their primary purpose was to take notes and record the actions of the service staff. The research information Melanie received was a form of __________ data. Question options: secondary developmental observational national questionnaire

answer

observational

question

A framework to relate the market segments of potential buyers to products offered or potential marketing actions by an organization is referred to as a Question options: payoff table. cross-tabulation. market-product grid. growth-share matrix. product differentiation table.

answer

market-product grid.

question

Items consumed in one or a few uses, such as food and fuel, are referred to as Question options: services. perishable goods. durable goods. nondurable goods. disposable goods.

answer

nondurable goods.

question

The __________ stage of the product life cycle is characterized by the appearance of competitors. Question options: decline maturity introduction growth harvest

answer

growth

question

A full-scale operating model of the product or service under development is referred to as a Question options: sample. framework. template. prototype. blueprint.

answer

prototype.

question

One test of whether marketing research should be done is if Question options: different outcomes will lead to different marketing actions. multiple changes can be implemented simultaneously. interpreting the data can be done using a jury of executive opinions. the decision to undertake it is unanimous. there is a budget for the research.

answer

different outcomes will lead to different marketing actions.

question

There are two key elements when defining a marketing research problem. One of these is Question options: specify constraints. set the research objectives. determine how to collect data. evaluate previous research results. identify data needed for marketing actions.

answer

set the research objectives.

question

A product in the introduction stage of its product life cycle should have which of the following marketing objective(s)? Question options: stress differentiation gain awareness and stimulate trial foster brand loyalty gain as much distribution as possible target a marketing niche

answer

gain awareness and stimulate trial

question

In the new-product process, product ideas that survive the business analysis stage proceed to the __________ stage. Question options: market testing screening and evaluation business analysis development commercialization

answer

development

question

Which type of consumer product is purchased relatively infrequently and the purchase decision takes some time because the consumer compares offerings during the shopping experience? Question options: convenience product shopping product specialty product unsought product discretionary product

answer

shopping product

question

Two key elements in deciding how to collect marketing data are Question options: concepts and notions. concepts and methods. constraints and hypotheses. terms and constraints. terms and hypotheses.

answer

concepts and methods.

question

Which of the following best illustrates the concept of derived demand? Question options: The number of retail stores in a downtown area decreases even though demand for retail goods increases. An increase in the number of new, single-family homes results from a spike in the gross national product. A Chinese plastics company increases its output because of its customers' higher toy exports to the United States. A heat wave results in an increased demand for air conditioners. Honda reducing its car prices causes GM to do the same.

answer

A Chinese plastics company increases its output because of its customers' higher toy exports to the United States.

question

The purpose of the five key steps in segmenting and targeting markets is to Question options: identify competitors that provide similar products that satisfy a firm's customers' needs. provide guidance to reposition a firm's products. generate new-product ideas for firms that are not growing in market share. link market needs of customers to the organization's marketing program. correlate directly to each of the five environmental forces.

answer

link market needs of customers to the organization's marketing program.

question

Occasionally, a firm's Stage 1 product development activities can be blind-sided by a revolutionary new product or technology that completely disrupts its business, which is sometimes called a Question options: marketing opportunity. disruptive innovation. business threat. crowdsourcing. concept test.

answer

disruptive innovation.

question

Selling a product to a different market segment usually requires a different marketing action that, in turn, means greater costs. If increased revenues don't offset extra costs of this action, a marketer should Question options: increase the advertising budget. prune the product offerings. family brand the products. combine segments. group products into categories.

answer

combine segments.

question

Specialty products refers to Question options: products for which there are many substitutes. products purchased for their prestige or high perceived value. products a consumer will make a specific effort to search out and buy. items for which the consumer compares several alternatives on several criteria such as price, quality, or style. items that the consumer does not know about or knows about but does not initially buy.

answer

products a consumer will make a specific effort to search out and buy.

question

Even though Liquid Paper correction fluid is in the __________ stage of its product life cycle, Sanford, its manufacturer, has not deleted it from its line because there is still a residual core of consumers who use the product. Question options: decline introduction growth maturity deletion

answer

decline

question

The two most common pricing alternatives for products in the introduction stage of the product life cycle are Question options: skimming pricing and penetration pricing. price lining and product line pricing. markdown pricing and quantity discount pricing. skimming pricing and bundle pricing. penetration pricing and experience curve pricing.

answer

skimming pricing and penetration pricing.

question

Considering the two main types of data, if facts and figures are newly collected for a project, which type of data is being collected? Question options: internal primary data secondary data external primary data primary data internal secondary data

answer

primary data

question

Facts and figures that are newly collected for a project at hand are referred to as Question options: statistical data. empirical data. secondary data. primary data. inferential data.

answer

primary data.

question

Segmentation based on some observable actions or attitudes by prospective customers, such as what benefits they seek, as well as where, how frequently, and why they buy, is referred to as Question options: demographic segmentation. psychographic segmentation. geographic segmentation. behavioral segmentation. socioeconomic segmentation.

answer

behavioral segmentation.

question

A concept that describes the stages a product goes through in the marketplace—introduction, growth, maturity, and decline—is referred to as the Question options: retail life cycle. product life cycle. marketing mix. product growth cycle. diffusion of product innovation.

answer

product life cycle.

question

Items for which the consumer compares several alternatives on several criteria such as price, quality, or style are referred to as Question options: specialty products. selective products. shopping products. prestige products. convenience products.

answer

shopping product

question

Extending a pattern observed in past data into the future is an example of what type of statistical forecasting? Question options: causal analysis non-parametric regression curvilinear extrapolation infinite dimension linear trend extrapolation

answer

linear trend extrapolation

question

The 3M Co. is a master of the __________ pricing strategy. According to a 3M manager, "We hit fast, price high, and get the heck out when the me-too products pour in." Question options: penetration cost-plus ROI market-oriented skimming

answer

skimming

question

Set during the marketing research process, __________ are the specific, measurable goals the decision maker seeks to achieve in conducting the marketing research. Question options: measures of success research constraints marketing research plans hypothetical scenarios research objectives

answer

research objectives

question

Which of the following products would have a fad product life-cycle curve? Question options: women's hosiery car tattoos electric cars convection ovens sport drinks

answer

car tattoos

question

At which stage in the product life cycle do industry profits usually peak? Question options: introduction growth maturity decline accelerated development

answer

growth

question

The stage of the new-product process that internally and externally evaluates new-product ideas to eliminate those that warrant no further effort is referred to as Question options: development. Stage-Gate. idea generation. business analysis. screening and evaluation.

answer

screening and evaluation.

question

The seven stages an organization goes through to identify business opportunities and convert them into salable products or services is referred to as the Question options: commercialization process. SWOT process. business prospect development cycle. opportunity stage gate sequence. new-product development process.

answer

new-product development process.

question

Which stage in the product life cycle is characterized by a slowing of total industry sales or product class revenue? Question options: introduction growth maturity decline decelerated implementation

answer

maturity

question

A salesforce survey forecast involves Question options: asking prospective customers if they are likely to buy the product during some future time period. asking the firm's salespeople to estimate sales during a coming period. selecting the forecasting alternative that would allow a firm to survive financially even if the forecasts were totally incorrect. making decisions without any intervening steps. averaging the projections obtained from just regional sales managers and then making the final projection.

answer

asking the firm's salespeople to estimate sales during a coming period.

question

Barter refers to a reciprocity agreement stipulating that if company "A" purchases services from company "B," then company "B" must purchase similar services from company "A." a tying agreement stipulating that if company "A" purchases a product from company "B," it must also purchase one of its services. the practice of exchanging products and services for other products and services rather than for money. the practice of exchanging services for products of equal or greater value. the practice of exchanging products and services for money.

answer

the practice of exchanging products and services for other products and services rather than for money.

question

Frito-Lay recognizes that its tortilla chip products are partial substitutes for one another. Its bean and cheese dips and salsa sauces complement its tortilla chips. Frito-Lay uses this knowledge to set prices for each item in order to ensure that the entire line is profitable. This pricing strategy is known as bundle pricing. price lining. customary pricing. product-line pricing. loss-leader pricing.

answer

product-line pricing.

question

Pioneering advertisements would most likely be used during which stage of the product life cycle? introduction decline maturity harvesting growth

answer

introduction

question

The most frequently used type of compensation plan for salespeople is a straight salary compensation plan. straight commission compensation plan. combination compensation plan. weighted compensation plan. market share compensation plan.

answer

combination compensation plan.

question

Cost-plus pricing refers to summing the total unit cost of providing a product or service and adding a specific amount to the cost to arrive at the price. setting the price of a line of products at a number of different price points. adding a fixed percentage to the cost of all items in a specific product class. setting prices to achieve a profit that is a specified percentage of the sales volume. increasing the price slightly to protect against undue profit losses from unforeseen environmental forces.

answer

summing the total unit cost of providing a product or service and adding a specific amount to the cost to arrive at the price.

question

One advantage of using the yellow pages as an advertising medium is their short life span. they are used more than 150 billion times annually. the print pages are quicker and easier to use than the Internet. they are more mobile than other information sources. they are available 24 hours a day 365 days per year.

answer

they are available 24 hours a day 365 days per year.

question

The prices for all furniture sold at American Furniture Warehouse end in $9.99, such as $599.99, $899.99, etc. American Furniture Warehouse uses odd-even pricing. dynamic pricing. price lining. bundle pricing. product-line pricing.

answer

odd-even pricing.

question

A waitress at a Chili's restaurant uses __________ when she asks a family if "they have any room left for dessert." formula selling need-satisfaction selling consultative selling a transactional sales presentation a stimulus-response presentation

answer

a stimulus-response presentation

question

Program-length (30-minute) advertisements that take an educational approach to communication with potential customers are referred to as advertorials. infomercials. advermercials. edutainment ads. extended advertising messages.

answer

infomercials

question

The right to be heard means that the U.S. Department of Commerce has the right to hear consumer complaints. the American Marketing Association has the right to discipline marketers based on customer complaints. consumers should have access to public policy makers regarding complaints about products and services. companies should have access to public policy makers regarding complaints about fraudulent consumer practices. consumers should have access to public policy makers regarding new product ideas.

answer

consumers should have access to public policy makers regarding complaints about products and services.

question

A health club wishes to follow the American Marketing Association Statement of Ethics and decides to offer a modified workout class at a very low price for senior citizens who otherwise might not be able to afford their services. This action exhibits which key AMA ethical value? honesty fairness respect openness responsibility

answer

responsibility

question

Which type of salesforce training is the most popular type of training? individual instruction on-the-job training formal classes seminars taught by sales trainers computer-based training

answer

on-the-job training

question

Team selling refers to the practice of using an entire group of professionals in selling to and servicing major customers. sending an entire group of a firm's sales representatives into the field. combining the expertise and resources of buyers and sellers to create customized solutions, commit to joint planning, and share customer, competitive, and company information for their mutual benefit, and ultimately the customer. sending a group of sales representatives to concentrate on performing promotional activities and introducing new products. assigning a group of sales representatives, each with his or her own unique product, to the same geographic sales territory to ensure that the company can meet the needs of these customers.

answer

using an entire group of professionals in selling to and servicing major customers.

question

The retail price of fax machines has decreased from over $10,000 in the early 1970s to less than $100 today. This is due in large part to skimming pricing. prestige pricing. odd-even pricing. experience curve pricing. customary pricing.

answer

experience curve pricing.

question

A maximizing current profit objective implies that a company chooses to set targets whose performance can be measured quickly. give up immediate profit in exchange for achieving a higher market share in hopes of penetrating competitive markets. set a profit goal that is often determined by its board of directors. reduce investment in any further market or product research. set prices based on return on sales.

answer

set targets whose performance can be measured quickly.

question

All of the following statements about a person's moral philosophy are true except moral philosophy cannot be learned through formal education. moral philosophy is learned through the process of socialization with family. moral philosophy is influenced by the corporate culture he/she is in. moral philosophy is learned through the process of socialization with friends. moral philosophy is influenced by the societal culture he/she is in.

answer

moral philosophy cannot be learned through formal education.

question

The owners of Ben & Jerry's Homemade Inc. adhere to the belief that the company should not harm the environment in any way but actually improve it. This is an example of moral capitalism. utilitarianism. existentialism. moral idealism. socialism.

answer

moral idealism.

question

All of the following are types of sales objectives except input-related. employer-related. competitor-related. behaviorally related. output-related.

answer

employer-related.

question

IBM has 30 information technology hardware and software specialists, business consultants, and engineers working at Charles Schwab, a large brokerage firm, all under the direction of a senior IBM sales executive. They are creating and managing a complex financial planning system that helps Schwab clients with their retirement planning. This is an example of transactional selling. partnership selling. strategic alliance selling. creative selling. synergistic selling.

answer

partnership selling.

question

All of the following statements about price are true except small changes in price can have big effects on both the number of units sold and company profit. the price for a product or service must earn a profit for the company. the price for most products and services is always the same. the price must be "right"—in the sense that customers must be willing to pay it. the price must generate enough sales dollars to pay for the cost of developing, producing, and marketing the product.

answer

the price for most products and services is always the same.

question

Advertisers use a mix of media forms and vehicles to maximize the exposure of the message to the target audience while at the same time minimizing reach. frequency. costs. ratings. cost per share point.

answer

costs.

question

There are three key factors when selecting the media for an advertising campaign: (1) the media habits of the target audience, (2) the product's attributes, and (3) __________. cost the perceived risk the reputation of the prospective media firm the length of time required to get the message across the sustainability of the message

answer

cost

question

Discounts that are designed to encourage repeat buying by a single customer over a given time period, such as a year, are referred to as promotional allowances. cumulative quantity discounts. cash discounts. functional discounts. noncumulative quantity discounts.

answer

cumulative quantity discounts.

question

An employee who contacts the SEC to report her company's use of illegal accounting procedures is an example of a crony. a scab. a whistle-blower. a corporate snitch. an ombudsman

answer

a whistle-blower.

question

The Latin phrase caveat emptor is a legal concept that means "Cash on delivery." "Let the buyer beware." "Let's make a deal." "Be informed." "Such is life."

answer

"Let the buyer beware."

question

Profit responsibility, societal responsibility, and stakeholder responsibility are three concepts of cause marketing. moral idealism. social responsibility. utilitarianism. green marketing.

answer

social responsibility

question

In some cases, penetration pricing may follow which pricing strategy? experience curve target ROI odd-even above market skimming

answer

skimming

question

Which of the following statements regarding a trade-in allowance is most accurate? A trade-in allowance is a noncash exchange of one product for another of equal or lesser value. A trade-in allowance is an effective way to lower the price a buyer has to pay without formally reducing the list price. A trade-in allowance is a cash-back payment when a more expensive item is replaced with a less expensive one. A trade-in allowance is the return of money based on proof of purchase. A trade-in allowance is a cash payment to a retailer for extra in-store support or special featuring of the brand.

answer

A trade-in allowance is an effective way to lower the price a buyer has to pay without formally reducing the list price.

question

Pricing objectives refers to reconciling the prices charged by an organization to the values set forth in its business mission. taking specific steps to capitalize on an organization's internal strengths as they apply to price. specifying the role of price in an organization's marketing and strategic plans. taking specific steps to compensate for an organization's weaknesses as they apply to price. subjectively setting intrinsic values to all products and services offered by an organization.

answer

specifying the role of price in an organization's marketing and strategic plans.

question

__________ is often disguised as gifts, consultant fees, and favors, but is used to gain an unethical advantage over competitors. Economic espionage Utilitarianism Business intelligence Oligopoly Bribery

answer

Bribery

question

Which of the following is an example of green marketing? McDonald's added apple snacks to its Happy Meals targeted at children. Lowe's and Home Depot discontinued the sale of lumber and other wood products. Levi-Strauss marketed prewashed jeans. Joe's Lawn Service offered a special spring cleanup promotion. Walmart implemented buying practices that encourage its suppliers to use containers and packing made from corn, not oil-based resins.

answer

Walmart implemented buying practices that encourage its suppliers to use containers and packing made from corn, not oil-based resins.

question

A conspiracy among firms to set prices for a product is referred to as price discrimination. price fixing. predatory pricing. tying arrangements. exclusive dealing.

answer

price fixing

question

One advantage of using magazines as an advertising medium is the ability to target specific audiences. the relatively short time it takes to place an ad. the extremely low cost. the opportunity to compete with other magazine features. the simplicity of the message.

answer

the ability to target specific audiences.

question

All of the following are alternative forms of institutional advertisements except competitive. public service. reminder. pioneering. advocacy.

answer

public service.

question

The first step in any social audit is to evaluate current social responsibility programs. determine the amount of money that can be allocated for societal marketing programs. recognize a firm's social expectations and the rationale for engaging in social responsibility endeavors. identify social responsibility causes consistent with the company's mission. determine the types of resources needed to achieve social responsibility objectives.

answer

recognize a firm's social expectations and the rationale for engaging in social responsibility endeavors.

question

The purpose of a reminder advertisement is to promote a specific brand's features and benefits. tell people what a product is, what it can do, and where it can be found. state the position of a company on an issue. reinforce previous knowledge of a product. promote the advantages of one product class over another.

answer

reinforce previous knowledge of a product.

question

Trice Jewelers is a high-end independent jeweler located in Milwaukee. It specializes in custom jewelry and has been in business for decades. Which medium would be the best for Trice to use to reach its loyal customers with colorful long-lasting images and which reminds them that Trice is the source for all their gift-giving needs? prime time national television magazines targeted toward wealthy residents of Milwaukee radio stations that targets millennials flyers sent to all the Milwaukee zip codes Milwaukee regional newspapers

answer

magazines targeted toward wealthy residents of Milwaukee

question

With a __________, a salesperson is paid a fixed fee per week, month, or year. sales response compensation plan combination compensation plan straight salary compensation plan straight commission compensation plan market share compensation plan

answer

straight salary compensation plan

question

Which of the following statements about comparative advertising is most accurate? Comparative advertisements now constitute over 90 percent of all television ads. Comparative advertisements attract more consumer attention for the advertiser's brand. Comparative advertisements can decrease the perceived quality of the advertiser's brand. Comparative advertisements have been banned by the Federal Trade Commission. Comparative advertisements can, and often do, cause more harm than good.

answer

Comparative advertisements attract more consumer attention for the advertiser's brand.

question

A pricing method where a supplier is reimbursed for all costs, regardless of what they may be, and who also receives an agreed upon dollar amount of profit that is independent of the final cost of the project, is referred to as target return on investment pricing. cost-plus-percentage-of-cost pricing. target return on sales pricing. experience curve pricing. cost-plus-fixed-fee pricing.

answer

cost-plus-fixed-fee pricing.

question

One disadvantage of using the Internet as an advertising medium is as a relatively new medium, it has attracted limited use. it is difficult to translate messages that can be used in social media networks such as Facebook and Twitter. the effectiveness of online advertising is still uncertain. it often creates more traffic than a firm can actually handle. pay-per-click search ads on Google are expensive and ineffective.

answer

the effectiveness of online advertising is still uncertain.

question

There has been a public outcry about the ethical practices of businesspeople. Public opinion surveys show that only 17 percent of U.S. adults rate the ethical standards of business executives as outstanding. above average. similar to other professions. typical of businesspeople around the world. very high or high.

answer

very high or high.

question

Which of the following statements regarding price lining is most accurate? In order for price lining to be effective, there should be at least five specified price points. Price lining assumes that demand is inelastic at each price point but elastic between price points. Price lining assumes that demand is elastic at each price point but inelastic between price points. Price lining is the preferred pricing strategy for governmental contracts. Price lining is the same as above-, at-, or below-market pricing

answer

Price lining assumes that demand is elastic at each price point but inelastic between price points.

question

There are three key reasons for putting the customer into customer solutions in selling: (1) considerable time and effort is necessary to fully understand a specific customer's requirements; (2) effective customer solutions are based on relationships among sellers and buyers; and (3) __________. it is ultimately the customer who converts a lead into a sale only the customer knows how much it is willing to pay for any given solution consultative selling is central to providing novel solutions for customers, thereby creating value for them only the salesperson knows when the solution has finally been found customers are better able to articulate their problems and solutions than sellers

answer

consultative selling is central to providing novel solutions for customers, thereby creating value for them

question

Cause marketing programs incorporate all three concepts of social responsibility by addressing public concerns, satisfying customer needs, and protecting the environment. enhancing corporate sales and profits. following industry-specific codes of ethics. fulfilling societal objectives. demonstrating ethical behavior.

answer

enhancing corporate sales and profits.

question

A form of click fraud is called PTR, which is an acronym for paid-to-read. ping-to-read. profit-to-read. place-to-read. priced-to-read.

answer

paid-to-read.

question

When developing the advertising program, specifying __________ helps advertisers with other choices in the process such as selecting media and evaluating a campaign. product or service features time constraints pricing constraints target audiences advertising objectives

answer

advertising objectives

question

Price elasticity of demand is determined by a number of factors, such as the availability of substitutes, the necessity of the product or service, and the cash outlay of the purchase relative to a person's disposable income. the stage of the product or service in its product life cycle. the degree of carrying costs for the manufacturer or distributor. the financial resources of the organization itself. the ability of the organization to meet sudden increases in demand.

answer

the cash outlay of the purchase relative to a person's disposable income.

question

A statement describing what is to be achieved and where and how the selling effort of salespeople is to be deployed is known as a sales plan. salesforce framework. sales protocol. workload plan. sales assessment.

answer

sales plan.

question

As the use of the Internet grows around the world, there must be as easy an exchange of ideas and information as possible between countries. One important issue is opt-in versus opt-out. In general, European websites have opt-in policies while U.S. websites have opt-out policies. Opt-in means customers must ask to be involved in data collection and marketing while opt-out companies automatically include customers in data collection unless the customer specifically asks not to be included. Europeans believe it is unethical to invade someone's privacy. Americans are not nearly as protective of their right to privacy. What ethical factor is illustrated by this example? industry practices social legislation societal culture and norms changes in international law organizational culture and expectations

answer

societal culture and norms

question

When the Swiss watchmaker TAG Heuer raised the average price of its watches from $250 to $1,000, its sales volume jumped sevenfold. The likely cause of this volume increase is because the watch market is highly conservative. because economies of scale in production would be substantial. because retailers are not willing to carry new brands of watches in this category. because once the initial price is set, it is nearly impossible to lower the price without alienating early buyers because watches in this category have an element of prestige pricing, so that lower prices may result in lower sales

answer

because watches in this category have an element of prestige pricing, so that lower prices may result in lower sales

question

Discounts that are designed to encourage repeat buying by a single customer over a given time period, such as a year, are referred to as promotional allowances. cumulative quantity discounts. cash discounts. functional discounts. noncumulative quantity discounts.

answer

cumulative quantity discounts.

question

When developing the advertising program, specifying __________ helps advertisers with other choices in the process such as selecting media and evaluating a campaign. product or service features time constraints pricing constraints target audiences advertising objectives

answer

advertising objectives

question

Pricing constraints refers to barriers that must be overcome in order to set pricing objectives. competitive pricing advantages one firm has over another. different pricing strategies for each of the firm's products. factors that limit the range of prices a firm may set. barriers to entry a firm faces when launching a new product.

answer

factors that limit the range of prices a firm may set.

question

A limited-service agency provides the most complete range of services. is compensated by a contractual agreement. provides a range of services from limited to full. avoids a integrated marketing approach. engages only in social media strategies.

answer

is compensated by a contractual agreement.

question

The Beef Council promotes a series of ads in which the tagline is "Beef—it's what's for dinner." The purpose of these ads is to encourage the audience to eat more beef. This type of ad is a reminder institutional ad. a pioneering institutional ad. a product institutional ad. a competitive institutional ad. an advocacy ad.

answer

a competitive institutional a

question

The practice of building ties to customers based on a salesperson's attention and commitment to customer needs over time is referred to as order processing. order taking. customer value creation. relationship selling. partnership selling

answer

relationship selling.

question

All of the following are examples of economic espionage except wiretapping. trespassing. bribery. searching a competitor's trash. noncompete clause employment contract violations.

answer

bribery.

question

One disadvantage of using magazines as an advertising medium is the inability to target specific audiences. the long lead time needed to place an ad. the extremely low cost. the antagonism with environmentalists. the lack of noise associated with their use in the communication channel.

answer

the long lead time needed to place an ad.

question

Which type of salesforce training is the most popular type of training? individual instruction on-the-job training formal classes seminars taught by sales trainers computer-based training

answer

on-the-job training

question

One of the disadvantages associated with radio as an advertising medium is that it has a long exposure time. is listened to less due to the large number of media options. cannot target specific audiences. cannot use humor, sound, and intimacy effectively. has an unlimited amount of advertising time available.

answer

is listened to less due to the large number of media options.

question

Bundle pricing refers to an extra amount of "free goods" awarded sellers in the channel of distribution for promoting a product. marketing two or more products in a single package price. using BOGOs—requiring customers to "buy one to get one free" as a strategy to increase sales and profits. setting the price of a line of products at two specific pricing points. the practice of charging two or more prices depending upon the outlet carrying the product.

answer

marketing two or more products in a single package price.

question

Harry goes to the local Staples store to purchase a laptop computer. He asks many questions of the salesclerk, compares various models on display, and decides on the Sony Vaio. The salesperson then recommends to Harry that he should purchase an extended warranty service contract for the computer. This is an example of inquiry selling. formula selling. method selling. suggestive selling. need-satisfaction selling.

answer

suggestive selling.

question

The retail price of fax machines has decreased from over $10,000 in the early 1970s to less than $100 today. This is due in large part to skimming pricing. prestige pricing. odd-even pricing. experience curve pricing. customary pricing.

answer

experience curve pricing.

question

A method of pricing where the price the seller quotes includes all transportations costs, and the seller is responsible for any damage that may occur because the seller retains title to the goods until delivered to the buyer, is referred to as FOB destination pricing. FOB origin pricing. geographical allowance. uniform delivered pricing. transportation allowance.

answer

uniform delivered pricing.

question

Which of the following is a major reason for the violation of ethics codes? government regulation family influence lack of religious beliefs fear of disciplinary action perceived behavior of top management

answer

perceived behavior of top management

question

IBM has 30 information technology hardware and software specialists, business consultants, and engineers working at Charles Schwab, a large brokerage firm, all under the direction of a senior IBM sales executive. They are creating and managing a complex financial planning system that helps Schwab clients with their retirement planning. This is an example of transactional selling. partnership selling. strategic alliance selling. creative selling. synergistic selling.

answer

partnership selling.

question

Program-length (30-minute) advertisements that take an educational approach to communication with potential customers are referred to as advertorials. infomercials. advermercials. edutainment ads. extended advertising messages.

answer

infomercials.

question

The tasks involved in managing personal selling include the following: (1) setting objectives; (2) organizing the salesforce; (3) recruiting, selecting, training, and compensating salespeople; and (4) __________. identifying potential target markets. evaluating the performance of individual salespeople. using salesforce input to make product modifications. maintaining open communications between sales representatives and all other stakeholders. designing new promotional campaigns for the purpose of generating new sales.

answer

evaluating the performance of individual salespeople.

question

The moral principles and values that govern the actions and decisions of an individual or group are referred to as social norms. cultural values. ethics. societal philosophy. religion.

answer

ethics.

question

A need-satisfaction presentation format that focuses on problem identification, where the salesperson serves as an expert on problem recognition and resolution, is referred to as adaptive selling. suggestive selling. formula selling. consultative selling. relationship selling.

answer

consultative selling.

question

Interactive ads that have drop-down menus, built-in games, or search engines to engage viewers are referred to as rich media. banner ads. interactive media. pay-per-click ads. infotainment ads.

answer

rich media.

question

Posttests that involve studies such as controlled experiments (e.g., using radio ads in one market and newspaper ads in another and comparing the results) and consumer purchase tests (measuring retail sales that result from a given advertising campaign) are examples of aided recall tests. unaided recall tests. attitude tests. sales tests. inquiry tests.

answer

sales tests.

question

Companies often pursue a market share objective when industry sales are flat or declining. profits are increasing. industry sales are beginning to rise. there is a sudden increase in production costs. stockholders are seeking higher dividends.

answer

industry sales are flat or declining.

question

Which of the following is a socializing force that dictates what is morally right and just? federal regulatory agencies such as the FTC federal, state, and local legislation the U.S. Supreme Court culture organizational core values

answer

culture

question

Corporate culture refers to a formalized method for controlling the marketing environment. the set of accepted standards and practices within a given industry. the fundamental, passionate, and enduring principles of an organization that guide its conduct over time. the set of values, ideas, and attitudes that is learned and shared among the members of an organization. the formal statement of ethical principles and rules of conduct adopted by an organization.

answer

the set of values, ideas, and attitudes that is learned and shared among the members of an organization.

question

A(n) __________ is a written document that describes job relationships and requirements that characterize each sales position. sales plan job analysis employee contract job description personal performance plan

answer

job description

question

Adaptive selling refers to a presentation format that emphasizes probing and listening by the salesperson to identify needs and interests of prospective buyers. focuses on problem identification, where the salesperson serves as an expert on problem recognition and resolution. consists of information that must be provided in an accurate, thorough, and step-by-step manner to inform the prospect. assumes that given the appropriate stimulus by a salesperson, the prospect will buy. involves adjusting the presentation to fit the selling situation, such as knowing when to offer solutions and when to ask for more information.

answer

involves adjusting the presentation to fit the selling situation, such as knowing when to offer solutions and when to ask for more information.

question

A recent study found that __________ percent of U.S. residents can be reached daily through outdoor advertising. 10 25 40 60 80

answer

80

question

Most advertising messages are made up of two elements, which are expositional and persuasional. informational and persuasional. informational and creative. functional and persuasional. creative and rhetorical.

answer

informational and persuasional

question

There are five common approaches to posttests: aided recall, unaided recall, attitude tests, __________, and sales tests. exposure tests inquiry tests performance tests jury tests comparison tests

answer

inquiry tests

question

Cost-plus pricing refers to summing the total unit cost of providing a product or service and adding a specific amount to the cost to arrive at the price. setting the price of a line of products at a number of different price points. adding a fixed percentage to the cost of all items in a specific product class. setting prices to achieve a profit that is a specified percentage of the sales volume. increasing the price slightly to protect against undue profit losses from unforeseen environmental forces.

answer

summing the total unit cost of providing a product or service and adding a specific amount to the cost to arrive at the price.

question

The workload method determines a fair and equitable compensation plan based on a weighted system for sales of different types of items or from different-sized territories. identifies the target market that most closely meets the special skills of the salesforce. determines the size of a salesforce by integrating the number of customers served, call frequency, call length, and available selling time to arrive at a salesforce size figure. describes what is to be achieved and where and how the selling effort of salespeople is to be deployed. determines when a company's salesforce becomes more profitable than independent sales agents to sell its company's products.

answer

determines the size of a salesforce by integrating the number of customers served, call frequency, call length, and available selling time to arrive at a salesforce size figure.

question

There are three major tasks involved in the implementation stage of the sales management process: salesforce recruitment and selection, __________, and salesforce motivation and compensation. setting sales objectives salesforce training salesforce evaluation assignment of territories and/or accounts developing account management policies

answer

salesforce training

question

One advantage of using the yellow pages as an advertising medium is their short life span. they are used more than 150 billion times annually. the print pages are quicker and easier to use than the Internet. they are more mobile than other information sources. they are available 24 hours a day 365 days per year.

answer

they are available 24 hours a day 365 days per year.

question

Assumptive close refers to demanding the prospect to make a decision on some aspect of the purchase. allowing the prospect to use or lease the item on a limited temporary basis before making a final commitment of purchase. committing the prospect quickly by making references to the time limits of the purchase. making an exchange of money or other unit of value. asking the prospect to make choices concerning delivery, warranty, or financing terms.

answer

asking the prospect to make choices concerning delivery, warranty, or financing terms

question

The view that an organization has an obligation to those who can affect the achievement of its objectives is referred to as social responsibility. value consciousness. benefit marketing. stakeholder responsibility. profit responsibility.

answer

stakeholder responsibility.

question

Price lining is considered to be a __________ approach to pricing. cost-oriented demand-oriented profit-oriented competition-oriented service-oriented

answer

demand-oriented

question

The right to be heard means that the U.S. Department of Commerce has the right to hear consumer complaints. the American Marketing Association has the right to discipline marketers based on customer complaints. consumers should have access to public policy makers regarding complaints about products and services. companies should have access to public policy makers regarding complaints about fraudulent consumer practices. consumers should have access to public policy makers regarding new product ideas.

answer

consumers should have access to public policy makers regarding complaints about products and services

question

If the salesperson's objective is to "obtain a purchase commitment from the prospect and create a customer," what is the name of this stage in the personnel selling process? preapproach close follow-up approach presentation

answer

close

question

Account management policies are policies that specify how salespeople will be compensated and how sales performance will be evaluated. specify which products or services will be offered to which consumers, through which outlets, and at what price. specify the organizational structure of the salesforce and set the sales goals for both individual sales representatives and the salesforce as a whole. specify whom salespeople should contact, what kinds of selling and customer service activities should be engaged in, and how these activities should be carried out. determine the sales quotas for the upcoming year based upon past sales performance and current estimates of demand.

answer

specify whom salespeople should contact, what kinds of selling and customer service activities should be engaged in, and how these activities should be carried out.

question

Which of the following statements about comparative advertising is most accurate? Comparative advertisements now constitute over 90 percent of all television ads. Comparative advertisements attract more consumer attention for the advertiser's brand. Comparative advertisements can decrease the perceived quality of the advertiser's brand. Comparative advertisements have been banned by the Federal Trade Commission. Comparative advertisements can, and often do, cause more harm than good.

answer

Comparative advertisements attract more consumer attention for the advertiser's brand.

question

The primary responsibility of order takers is to "preach" the benefits of a new product or service to a customer rather than close the sale. build market share in a sales territory. convince a customer from a competitor to switch to the firm's product or brand preserve ongoing relationships with existing customers and maintain sales. create a sense of goodwill not only to the brand but also to the entire product mix of the firm

answer

preserve ongoing relationships with existing customers and maintain sales.

question

Tests conducted after an advertisement has been shown to the target audience to determine whether an ad accomplished its intended purpose are referred to as jury testing. tracking tests. exposure testing. posttesting. pretesting.

answer

posttesting.

question

An oligopoly is a competitive market situation where many sellers follow market price for identical, commodity products. one seller sets the price for a unique product. few sellers are sensitive to one another's prices. many sellers compete on nonprice factors. one or few sellers compete solely on nonprice factors.

answer

few sellers are sensitive to one another's prices

question

Which of the following statements regarding cold canvassing is most accurate? Currently, there are no federal regulations regarding cold canvassing. Generally, only 1 in 100 cold canvass calls results in a sale, so it is only effective for costly items. Cold calling is the most common type of sales prospecting in Asia and Latin America. About 75 percent of U.S. consumers consider cold canvassing an intrusion on their privacy. The Telephone Consumer Protection Act not only protects citizens, but it also ensures the rights of telemarketers to call anyone listed in a public directory, whether they choose to be called or not

answer

About 75 percent of U.S. consumers consider cold canvassing an intrusion on their privacy.

question

Advertisements basically consist of two types: prepurchase and post-purchase. promotional and reinforcement. promotional and informative. product and service. product and institutional.

answer

product and institutional

question

One advantage of using the yellow pages as an advertising medium is their short life span. they are used more than 150 billion times annually. the print pages are quicker and easier to use than the Internet. they are more mobile than other information sources. Correct Response they are available 24 hours a day 365 days per year.

answer

they are available 24 hours a day 365 days per year.

question

Pioneering advertisements would most likely be used during which stage of the product life cycle? Correct Response introduction decline maturity harvesting growth

answer

introduction

question

The most frequently used type of compensation plan for salespeople is a straight salary compensation plan. straight commission compensation plan. Correct Response combination compensation plan. weighted compensation plan. market share compensation plan.

answer

combination compensation plan.

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