Q1: The Selling Concept is
A. Products
B. Customer needs
C. Markets
D. None of the above
Answer
Answer: Products
Q2: Market Means
A. The set of actual and potential sellers of a product
B. The set of actual and potential buyers of a product
C. Both buyers and sellers
D. None of the above
Answer
Answer: Both buyers and sellers
Q3: BCG stands for
A. Boston consumer goods
B. Boston crdit groups
C. Boston consultancy groups
D. Both a and b
Answer
Answer: Boston consultancy groups
Q4: Marketing Mix Elements are
A. Product, price, place, and customers
B. Product, price, place and promotion
C. Product , price, place and physical distribution
D. Both b and c
Answer
Answer: Product, price, place and promotion
Q5: Diversification means
A. A strategy for company growth by starting up or acquiring businesses outside the company’s current products and markets
B. A stage for company growth and starting up or acquiring other companies and their products
C. A unit which deals in many products and services
D. Both b and c
Answer
Answer: A strategy for company growth by starting up or acquiring businesses outside the company’s current products and markets
Q6: Market Segmentation is
A. The process of classifying customer’s into groups, each with different needs, characteristics or behaviours.
B. The process of classifying the markets into groups each with same needs and characteristics
C. The process of making the dealers and distributors happy about the products
D. None of the above
Answer
Answer: The process of classifying customer’s into groups, each with different needs, characteristics or behaviours.
Q7: Strategic Control means
A. A critical review of the company’s overall production effectiveness
B. A critical review of the company’s overall finanicial effectiveness
C. A critical review of the company’s overall marketing effectiveness
D. None of the above
Answer
Answer: None of the above
Q8: Changes in incomies
A. An economic enviorenmental factor
B. A political environment factor
C. A socio cultural environment factor
D. Both b and c
Answer
Answer: An economic enviorenmental factor
Q9: Status is
A. The general life style given by the society
B. The general esteem given to a role by society
C. The symbol in the market
D. None of the above
Answer
Answer: The symbol in the market
Q10: The first step in strategic planning is
A. Defining the company’s mission
B. Designing the marketing program
C. Designing the business portfolio
D. None of the above
Answer
Answer: Defining the company’s mission
Q11: The 4c’s of the marketing mix tactial tool kit are
A. Customer, cost, convienee and curve
B. Customer, cost, convience and coverage
C. Customer, cost, convienence and communication
D. Noe of the above
Answer
Answer: Customer, cost, convienence and communication
Q12: Promotion mix elements are
A. Price, advertising , publicity and sales promotion
B. Advertising, sales promotion, publicity and personal selling
C. Personal selling, strategy, advertising and publicity
D. Both a and c
Answer
Answer: Price, advertising , publicity and sales promotion
Q13: Marketing productivity audit includes
A. Products, price and distribution analysis
B. Profitability analysis and cost effectiveness analysis
C. Advertising and sales force anlaysis
D. Both a and c
Answer
Answer: Products, price and distribution analysis
Q14: Demography is
A. The study of human population in terms of size, location, age, gender, race, occupation and other statistics
B. The study of the marketing plans
C. The study of all the activities in the organization
D. None of the above
Answer
Answer: The study of human population in terms of size, location, age, gender, race, occupation and other statistics
Q15: A sample is a
A. Segment of the area in the market
B. Segment of the population selected to represent the population as a whole
C. Part of the data
D. Both a and c
Answer
Answer: Part of the data
Q16: The two types of sales forecasts are
A. Industry and the market sales forecasts
B. Industry and the price forecasts
C. Industry and the company sales forecasts
D. None of the above
Answer
Answer: Industry and the company sales forecasts
Q17: PVCM stands for
A. Percentage and value cost margin
B. Percentage-variable contribution margin
C. Percentage value cost margin
D. Both a and c
Answer
Answer: Percentage-variable contribution margin
Q18: Inventory turnover is
A. Gross margin/price
B. Sales/cost
C. Sales/average value of inventory
D. Both a and b
Answer
Answer: Sales/average value of inventory
Q19: The product is now more widely known and the sales grow rapidly is the stage of
A. Introduction stage
B. Maturity
C. Growth
D. Decline
Answer
Answer: Growth
Q20: The 4 stages of the PLC
A. Growth, introduction, maturity and decline
B. Growth introduction maturity and new
C. Introduction, decline, new product, growth
D. Both a and c
Answer
Answer: Growth, introduction, maturity and decline
Q21: The new product development process starts with
A. screening
B. idea generation
C. product development
D. none of the above
Answer
Answer: idea generation
Q22: The process of creating and developing product specifications that optimize the function, value and appearance of the product is
A. Product design
B. Market design
C. Industrial design
D. None of the above
Answer
Answer: Industrial design
Q23: Setting a price at or near competitive levels is
A. Penetrating pricing
B. Parity pricing
C. Competition pricing
D. Both a and c
Answer
Answer: Penetrating pricing
Q24: In advertising, GRP stands for
A. Grand rating points
B. Growth rating points
C. Gross rating points
D. None of the above
Answer
Answer: Gross rating points
Q25: Inventory cost is
A. Annual sales/inventory turnover X inventory carrying cost
B. Total sales/inventory carrying costs
C. Total costs/annual cost
D. Both b and c
Answer
Answer: Annual sales/inventory turnover X inventory carrying cost
Q26: The systematic design, collection analysis, and reporting of data relevant to a specific marketing situation facing an organization is
A. Market research
B. Marketing research
C. Product research
D. Both a and c
Answer
Answer: Marketing research
Q27: In collecting primary data, the two main research instumetns are
A. Mechanical devices and the telephonic conversation
B. Questionnaire and the mechanical device
C. Questionnaire and the telephonic conversation
D. None of the above
Answer
Answer: Questionnaire and the mechanical device
Q28: VMS stand for
A. Vertical marketing system
B. Vertical management system
C. Value marketing system
D. Vertical measuring system
Answer
Answer: Vertical marketing system
Q29: A descriptive thought that a person has about something is called
A. Idea
B. Belief
C. Value
D. Description
Answer
Answer: Belief
Q30: The collection of businesses and products that make up the company is
A. Product portfolio
B. Business portfolio
C. Market portfolio
D. Both a and c
Answer
Answer: Business portfolio
Q31: Two or more outlets that are commonly owned and controlled are
A. Business stores
B. Chain store
C. Products
D. None of the above
Answer
Answer: Chain store
Q32: The practice of using the established brand names of two different companies on the same product
A. Branding
B. Re branding
C. Co branding
D. None of the above
Answer
Answer: Co branding
Q33: The set of basic values, Perceptions, wants and behaviours learned by a member of society from family and the important institutions is known as
A. Culture
B. Sub culture
C. Attitude
D. None of the above
Answer
Answer: Culture
Q34: The total combines lifetime values of all the company’s customers is called
A. Product equity
B. Customer equity
C. Market equity
D. Both a and c
Answer
Answer: Customer equity
Q35: CRM stands for
A. Cost recovery management
B. Customer relationship management
C. Customer role in management
D. None of the above
Answer
Answer: Customer relationship management
Q36: Adding a standard mark up to the cost of the product is
A. Differentiated pricing
B. Cost plus pricing
C. Cost only pricing
D. None of the above
Answer
Answer: Cost plus pricing
Q37: Human wants that are backed by buying power are called
A. Products
B. Demands
C. Markets
D. Both a and c
Answer
Answer: Demands
Q38: Stocking the product in as many outlets as possible is called
A. Extensive distribution
B. Inclusive distribution
C. Intensive distribution
D. None of the above
Answer
Answer: Intensive distribution
Q39: In marketing, MIS stands for
A. Management information system
B. Marketing information system
C. Market idea system
D. Major information system
Answer
Answer: Marketing information system
Q40: All of the following would be ways to segment within the category of psychographic segmentation EXCEPT
a. social class.
b. occupation.
c. lifestyle.
d. personality.
Answer
Answer: occupation.
Q41: The orange juice manufacturers know that orange juice is most often consumed in the mornings. However, they would like to change this and make the drink acceptable during other time periods during the day. Which form of segmentation would they need to work with and establish strategy reflective of their desires
a. gender segmentation
b. benefit segmentation
c. occasion segmentation
d. age and life-cycle segmentation
Answer
Answer: occasion segmentation
Q42: Using a successful brand name to introduce additional items in a given product category under the same brand name (such as new flavors, forms, colors, added ingredients, or package sizes) is called a(n)
a. line extension.
b. brand extension.
c. multibranding.
d. new brands.
Answer
Answer: line extension.
Q43: If a company’s objective were to reach masses of buyers that were geographically dispersed at a low cost per exposure, the company would likely choose which of the following promotion forms
a. Advertising
b. Personal selling
c. Public relations
d. Sales promotion
Answer
Answer: Advertising
Q44: Successful service companies focus their attention on both their customers and their employees. They understand which links service firm profits with employee and customer satisfaction
a. internal marketing
b. service-profit chains
c. interactive marketing
d. service differentiation
Answer
Answer: service-profit chains
Q45: Anything that can be offered to a market for attention, acquisition, use, or consumption that might satisfy a want or need is called a(n)
a. idea.
b. demand.
c. product.
d. service.
Answer
Answer: product.
Q46: is the general term for a buying and selling process that is supported by electronic means
a. Internet commerce
b. Web commerce
c. Computer commerce
d. Electronic commerce
Answer
Answer: Electronic commerce
Q47: consists of dividing a market into distinct groups of buyers on the basis of needs, characteristics, or behaviour who might require separate products or marketing mixes
a. Product differentiation
b. Market segmentation
c. Market targeting
d. Market positioning
Answer
Answer: Market segmentation
Q48: is the process of evaluating each market segment’s attractiveness and selecting one or more segments to enter
a. Mass marketing
b. Market segmentation
c. Market targeting
d. Market positioning
Answer
Answer: Market targeting
Q49: The fact that services are sold, produced, and consumed at the same time refers to which of the following service characteristics
a. Intangibility
b. Inseparability
c. Variability
d. Perishability
Answer
Answer: Inseparability
Q50: factors are the most popular bases for segmenting customer groups
a. Geographic
b. Demographic
c. Psychographic
d. Behavioral
Answer
Answer: Demographic
Q51: The stage is the product life cycle that focuses on expanding market and creating product awareness and trial is the
a) Decline stage.
b) Introduction stage.
c) Growth stage.
d) Maturity stage.
Answer
Answer: introduction stage.
Q52: A set of interdependent organizations involved in the process of making a product or service available for use or consumption by the consumer or business user is called a(n)
a. retailer.
b. wholesaler.
c. distribution channel.
d. logistics.
Answer
Answer: distribution channel.
Q53: In evaluating messages for advertising, telling how the product is better than the competing brands aims at making the ad
a. meaningful.
b. distinctive.
c. believable.
d. remembered.
Answer
Answer: distinctive.
Q54: is the practice of adopting policies and developing strategies that both sustain the environment and produce profits for the company
a. Environmentalism
b. Environmental sustainability
c. Consumerism
d. Consumer accountability
Answer
Answer: Environmental sustainability
Q55: Consumer goods with unique characteristics or brand identification often requiring a special purchase effort are called
a. custom products.
b. specialty products.
c. convenience products.
d. shopping products.
Answer
Answer: specialty products.
Q56: A price reduction to buyers who buy in large volumes is called a(n)
a. quantity discount.
b. cash discount.
c. seasonal discount.
d. trade discount.
Answer
Answer: quantity discount.
Q57: R&D and engineering first produce the product concept into a physical product during which of the following stages of the new product development process
a. Concept development and testing
b. Marketing strategy
c. Business analysis
d. Product development
Answer
Answer: Product development
Q58: The primary reason that many companies work to become the “low-cost producers” in their industry is because
a. they can generate more advertising.
b. they can please top management.
c. they can gain tax advantages.
d. they can set lower prices that result in greater sales and profits.
Answer
Answer: they can set lower prices that result in greater sales and profits.
Q59: Conflicts between different levels of the same channel of distribution are referred to as
a. horizontal conflicts.
b. vertical conflicts.
c. layer-based conflicts.
d. parallel conflicts.
Answer
Answer: vertical conflicts.
Q60: ___is a philosophy holding that a company’s marketing should support the best long-run performance of the marketing system
a. Enlightened marketing
b. Myopic marketing
c. Fundamental marketing
d. Conceptual marketing
Answer
Answer: Myopic marketing and/or Enlightened marketing
Q61: A company is practicing___if it focuses on subsegments with distinctive traits that may seek a special combination of benefits
a. micromarketing
b. niche marketing
c. mass marketing
d. segment marketing
Answer
Answer: niche marketing
Q62: When a company reviews sales, costs, and profit projections for a new product to find out whether these factors satisfy the company’s objectives, they are in which of the following new process development stages
a. Concept development and testing.
b. Commercialization.
c. Business analysis.
d. Marketing strategy development.
Answer
Answer: Business analysis.
Q63: is a strategy of using a successful brand name to launch a new or modified product in a new category
a) Duo-branding
b) Line extension
c) Brand extension
d) Multi-branding
Answer
Answer: Brand extension
Q64: The fact that service cannot be stored for later use or sale is evidence of their
a. intangibility.
b. inseparability.
c. variability.
d. perishability.
Answer
Answer: perishability.
Q65: is the concept under which a company carefully integrates and coordinates its many communications channels to deliver a clear, consistent, and compelling message about the organization and its products
a) The promotion mix
b) Integrated international affairs
c) Integrated marketing communications
d) Integrated demand characteristics
Answer
Answer: Integrated marketing communications
Q66: The course of a product’s sales and profits over its lifetime is called
a. the sales chart.
b. the dynamic growth curve.
c. the adoption cycle.
d. the product life cycle.
Answer
Answer: the product life cycle.
Q67: The type of trade-promotion discount in which manufacturers agree to reduce the price to the retailer in exchange for the retailer’s agreement to feature the manufacturer’s products in some way is called a(n)
a. discount.
b. allowance.
c. premium.
d. rebate.
Answer
Answer: allowance.
Q68: When producers, wholesalers, and retailers act as a unified system, they comprise a
a. conventional marketing system.
b. power-based marketing system.
c. horizontal marketing system.
d. vertical marketing system.
Answer
Answer: horizontal marketing system.
Q69: is a person’s distinguishing psychological characteristics that lead to relatively consistent and lasting responses to his or her own environment
a. Psychographics
b. Personality
c. Demographics
d. Lifestyle
Answer
Answer: Personality
Q70: ___has the advantage of being high in selectivity; low cost; immediacy; and interactive capabilities
a. Direct Mail
b. Outdoor
c. Online
d. Radio
Answer
Answer: Online
Q71: If an advertiser wants flexibility, timeliness, good local market coverage, broad acceptability, and high believability, the advertiser will probably choose which of the following mass media types
a. Newspapers
b. Television
c. Direct Mail
d. Radio
Answer
Answer: Newspapers
Q72: A(n)___is a name, term, sign, symbol, or design, or a combination of these that identifies the maker or seller of a product or service
a. product feature
b. sponsorship
c. brand
d. logo
Answer
Answer: brand
Q73: All of the following factors can affect the attractiveness of a market segment EXCEPT
a. the presence of many strong and aggressive competitors.
b. the likelihood of government monitoring.
c. actual or potential substitute products.
d. the power of buyers in the segment.
Answer
Answer: the likelihood of government monitoring.
Q74: A___is any activity or benefit offered for sale that is essentially intangible and does not result in the ownership of anything
a. demand
b. basic staple
c. product
d. service
Answer
Answer: service
Q75: The___holds that consumers will favor products that are available and highly affordable (therefore, work on improving production and distribution efficiency)
a) Product concept
b) Production concept
c) Production cost expansion concept
d) Marketing concept
Answer
Answer: production concept
Q76: A company is in the___stage of the new product development process when the company develops the product concept into a physical product in order to assure that the product idea can be turned into a workable product
a. product development
b. commercialization
c. marketing strategy
d. business analysis
Answer
Answer: product development
Q77: The practice of going after a large share of a smaller market or subsets of a few markets is called
a. undifferentiated marketing.
b. differentiated marketing.
c. concentrated marketing.
d. turbo marketing.
Answer
Answer: concentrated marketing.
Q78: is screening new-product ideas in order to spot good ideas and drop poor ones as soon as possible
a. Idea generation
b. Concept development and testing
c. Idea screening
d. Brainstorming
Answer
Answer: Idea screening
Q79: Technological advances, shifts in consumer tastes, and increased competition, all of which reduce demand for a product are typical of which stage in the PLC
a. decline stage
b. introduction stage
c. growth stage
d. maturity stage
Answer
Answer: decline stage
Q80: Transaction buyers can be generally described as which of the following
a. only interested in the purchase at hand
b. see the benefit of sharing the business between a number of suppliers
c. seek a long-term relationship with suppliers
d. consist mostly of small companies
Answer
Answer: only interested in the purchase at hand
Q81: Which of the following best describes the characteristics of relationship customers
a. seek a short-term orientation with suppliers
b. sees the benefit of sharing the business among a number of suppliers
c. only interested in the purchase at hand
d. consist mostly of small companies
Answer
Answer: sees the benefit of sharing the business among a number of suppliers
Q82: Lifetime customer value is often described as which of the following
a. the cost of customers switching to another brand
b. the stream of revenue a customer can produce over a lifetime with your product
c. acquisition cost
d. variable cost
Answer
Answer: the stream of revenue a customer can produce over a lifetime with your product
Q83: Retained customer’s___than switchers
a. are less profitable
b. are more profitable
c. cost more
d. are less loyal
Answer
Answer: are more profitable
Q84: The compelling economic reason for increasing the customer retention rate is described by___
a. a small difference in retention rate changes slightly over a long period of time
b. a small difference in retention rate is greatly magnified over a long period of time
c. a small difference in retention rate does not change over any period of time
d. retention rate is not a factor in the lifetime customer value
Answer
Answer: a small difference in retention rate is greatly magnified over a long period of time
Q85: According to the text, loyal customers are more profitable because of all of the following reasons, except
a. they stimulate revenue growth
b. are less expensive to serve
c. willing to pay a premium price
d. price sensitive
Answer
Answer: price sensitive
Q86: Which of the following costs represent an initial cost for any customer
a. development cost
b. fixed cost
c. variable cost
d. acquisition cost
Answer
Answer: acquisition cost
Q87: The___is simply the profit margin a company earns from an average customer
a. supplementary profit
b. base profit
c. complementary profit
d. voluntary profit markup
Answer
Answer: base profit
Q88: Retained customers have been found to do which of the following
a. speak negatively about the product
b. increase their purchase quantities over time
c. decrease their purchase quantities over time
d. switch to a competitor within a month
Answer
Answer: increase their purchase quantities over time
Q89: It has been found that existing customers’ cost___to serve compared to new customers
a. less
b. more
c. the same
d. is not applicable
Answer
Answer: less
Q90: Which of the following is not considered one of the strategic approaches to the marketplace as described in the text
a. sales driven
b. technology driven
c. competitor driven
d. customer driven
Answer
Answer: sales driven
Q91: In a customer-focused organization, advertising is considered
a. an investment in the brand name
b. providing value to the customer
c. an expense
d. all of the above
Answer
Answer: All of the above
Q92: The marketing environment where firms compete is not
a. static
b. dynamic
c. fast changing
d. stable
Answer
Answer: static
Q93: Which of the following is not consistent with the marketing concept
a. Embraces the notion of being customer focused
b. Is consistent with being competitor focused and making a profit
c. Serves all customer needs at all costs and the customer is always right
d. Turn away customers and customer segments that are unprofitable to serve
Answer
Answer: Turn away customers and customer segments that are unprofitable to serve
Q94: When Ford or GM sells automobiles to their customers, their customers are actually buying all of the following, except
a. transportation
b. prestige
c. fun
d. automobiles
Answer
Answer: fun
Q95: If you spoke to a marketing manager at P&G regarding the marketing of laundry detergent, he/she would say that they are selling all of the following except
a. laundry detergent
b. clean clothes
c. fresh-smelling clothes
d. no color runs
Answer
Answer: no color runs
Q96: Information from marketing research studies should be sent to individuals in all of the following functional areas, except
a. production personnel
b. application engineers
c. sales personnel
d. marketing personnel
Answer
Answer: application engineers
Q97: From the perspective of a marketing manager, marketing can be viewed as all of the following, except
a. brand enhancement
b. customer service
c. packaging production
d. raw material cost control
Answer
Answer: raw material cost control
Q98: The marketing manager’s internal interactions include all of the following, except
a. sales
b. finance
c. suppliers
d. public relations
Answer
Answer: suppliers
Q99: The internal interactions of the marketing manager’s job can be described as all of the following, except
a. working with the company’s Board
b. dealing with suppliers
c. dealing with members of the media
d. reporting to senior management
Answer
Answer: dealing with suppliers
Q100: The elements of a complete marketing strategy include all of the following, except
a. developing a value proposition
b. developing competitive advantage
c. positioning products and services
d. developing price and delivery programs with raw materials vendors
Answer
Answer: developing price and delivery programs with raw materials vendors
