Marketing exam

Question 1

Intangible

Answer 1

service as deed, cant taste

Question 2

Tangible

Answer 2

defined as objects, devices

Question 3

Inseparability

Answer 3

Customer is involved in the production, multiple customers are involved together

Question 4

Cannibalization

Answer 4

2 products priced similary to kill 1 product sales

Question 5

Internal Factors

Answer 5

Survival, Current profit maximization, Market-share Leadership, Product Quality Leadership

Question 6

Marginal Cost

Answer 6

Cost per one additional unit

Question 7

The Experience Curve

Answer 7

price lowers when volume increases

Question 8

External Factors

Answer 8

Pricing in Different Type of Markets, Consumer Perceptions of Price & Value

Question 9

Pure Competition

Answer 9

Market sets price

Question 10

Monopolistic Competition

Answer 10

When you differentiate products, can charge whatever price

Question 11

Oligiopolistic Competition

Answer 11

Few competitiors - sensitive to other prices

Question 12

Pure Monoply

Answer 12

Charge wtv custo wants to pay

Question 13

Inelastic Demand

Answer 13

lower price, revenue goes down

Question 14

Elastic Demand

Answer 14

lower price, revenue goes up

Question 15

Mark up on Cost Price

Answer 15

MU/CP x 100

Question 16

Mark up on Sale Price

Answer 16

MU/TP x 100

Question 17

Breakeven Point

Answer 17

Fixed Cost / Price Per Unit - Avg Var Cost per Unit

Question 18

Cash Discount

Answer 18

2% discount if paid within 10 days, 30 days to pay full amount

Question 19

Step 1

Answer 19

Define The Problem

Question 20

Step 2

Answer 20

Develop Research

Question 21

Step 3

Answer 21

Collect Relevant Information

Question 22

Step 4

Answer 22

Develop find

Question 23

Step 5

Answer 23

Take Marketing Action

Question 24

Casual Research

Answer 24

is there a cause & effect relationship

Question 25

Exploratory Research

Answer 25

explore & understand research question

Question 26

Descriptive Research

Answer 26

Describes target market

Question 27

Integrated Marketing Communications

Answer 27

how to coordinate marketing & make sure each msg has consistency (volkswagon game and ads)

Question 28

Promotional Mix

Answer 28

- Advertising - Direct Marketing - Sales Promotion - Publicity/public Relations - Personal Selling

Question 29

Principles of Salesmanship

Answer 29

- Prospecting - Pre-approach - Approach - Presentation - Trial - Objection - Meet Objection - Trial Close - Close - Follow-up & Service

Question 29

Heterogeneity/inconsistency

Answer 29

selecting right people customize service - individualize industrialized

Question 29

Target Audience

Answer 29

- Inform - Persuade - Remind - Add value - Budget - Message - Media - Advertising Evaluation

Question 29

Decisions in building/managing sale

Answer 29

- Establish salesforce objective - Designing salesforce strategy - Recruiting sales people - Train - Supervise - Evaluate Sales Rep

Question 29

0-Level

Answer 29

Manufacture to Customer

Question 29

1-Level

Answer 29

Manufacture -> Retailer -> Customer

Question 30

2-Level

Answer 30

Manufacture -> Wholesaler -> Retailer -> Customer

Question 31

3-Level

Answer 31

Manufacture -> Wholesaler -> Jobber -> Retailer -> Customer

Question 32

Vertical Marketing - Corporate

Answer 32

store owned by a wholesaler

Question 33

Vertical Marketing - Contractual

Answer 33

Franchises where the Company goes to family

Question 34

Vertical Marketing - Administered

Answer 34

Walmart, Cinemark, anything that has corporated

Question 35

Horizontal Marketing

Answer 35

Buying competitor

Question 36

Intensive Distribution

Answer 36

All stores sell coke cause frequent purchase

Question 37

Selective Distribution

Answer 37

Few stores like Polo in Macy

Question 38

Exclusive Distribution

Answer 38

One store in town (lambo)

Question 39

Legal Issues - Dual Distribution

Answer 39

creates second distributor to undermind first distributor

Question 40

Legal Issues - Restricted Sales Territories

Answer 40

to reduce competition is illegal

Question 41

Legal Issues - Tying Contract

Answer 41

Distribution cannot be forced to buy other products

Question 42

Legal Issues - Exclusive Dealing

Answer 42

Prevents a distributor from selling the products of a different manufacturer

Question 43

Legal Issues - Refusal to Deal

Answer 43

prevents harm to other competitors to enhance market power

Question 44

Economic Order Quantity Formula

Answer 44

√ [2(annual usage in unit) (order cost in $ per order)] / [(price per unit)(carrying cost in % per year)]

Question 45

Qualitative data

Answer 45

Data that is not numeric such as interviews, maps, images, mailbox mail

Question 46

Push strategy

Answer 46

Push through channels such as sales men

Question 47

Pull Strategy

Answer 47

Using external factors to pull customers

Question 48

Pretesting

Answer 48

test the effectiveness of ad before it is used

Question 49

Post Testing

Answer 49

How effective was the ad

Question 50

Product-Line Pricing

Answer 50

set different prices

Question 51

Optional Product Pricing

Answer 51

add options that are optional that add to price (fully loaded)

Question 52

Captive Product Pricing

Answer 52

Giveaway razor handle but not blade (pay for blade)

Question 53

By-Product Pricing

Answer 53

Crude Oil has by product that can be sold aswell

Question 54

Odd Even Pricing

Answer 54

to make price look cheaper

Question 55

Customary Pricing

Answer 55

price at particular location (walmart and cinemark candy)

Question 56

Prestige Pricing

Answer 56

higher brand, higher price (toyota & lexus)

Question 57

Price Lining

Answer 57

releasing multiple versions of same products at different price points at same time