Roll of Marketing

Question 1

The principle task of marketers is to offer a product or service that offers satisfaction. Such an exchange process is intended to satisfy customer ___________.

(A) wants
(B) expectations
(C) needs
(D) A and C
(E) B and C

Answer 1

(D) A and C (wants and needs)

Question 2

The sign on the wall of The Health Hut reads, “We want to provide our customers with the freshest and healthiest of foods so that they can live life to the fullest.” This sign reflects the:

(A) strategic plan.
(B) corporate motto.
(C) marketing campaign.
(D) mission statement.
(E) situational assessment

Answer 2

(D) Mission Statement

Question 3

When backed by buying power, wants become ________.

(A) social needs
(B) demands
(C) physical needs
(D) self-esteem needs
(E) exchanges

Answer 3

(B) demands

Question 4

In contrast to a selling orientation, a marketing orientation seeks to

(A) increase market share by emphasizing promotion
(B) increase sales volume by lowering price
(C) lower the cost of distribution by direct marketing
(D) satisfy the needs of targeted consumers at a profit
(E) market products that make efficient use of the firm’s resources

Answer 4

(D) satisfy the needs of targeted consumers at a profit

Question 5

Which of the following strategies for entering the international market would involve the highest risk?

(A) Joint ventures
(B) Exporting
(C) Licensing
(D) Direct investment
(E) Franchising

Answer 5

(D) Direct investment

Question 6

For a United States manufacturer of major consumer appliances, the most important leading indicator for forecasting sales is

(A) automobile sales
(B) computer sales
(C) educational level of consumers
(D) housing starts
(E) number of business failures

Answer 6

(D) housing starts

Question 7

Marketing strategy planning includes

(A) supervising the activities of the firm’s sales force
(B) determining the most efficient way to manufacture products
(C) selecting a target market and developing the marketing mix
(D) determining the reach and frequency of advertising
(E) monitoring sales in response to a price change

Answer 7

(C) selecting a target market and developing the marketing mix

Question 8

The ability to tailor marketing processes to fit the specific needs of an individual customer is called

(A) customization
(B) community building
(C) standardization
(D) mediation
(E) product differentiation

Answer 8

(A) customization

Question 9

While writing a marketing plan, Melanie decides that the marketing objective should be “to increase market share by 5 percent.” A weakness in this objective is that

(A) it is not measurable
(B) it should be related to brand image rather than market share
(C) it does not specify a time period
(D) if the product is an industrial product, the objective should specify product quality
(E) it does not address all elements of the business plan

Answer 9

(C) it does not specify a time period

Question 10

Rachel Terry, regional manager at Wilcon Solvents, Inc., compares last quarter’s sales with the levels projected in the firm’s marketing plan. She identifies three solvent brands whose sales are below projections and initiates a series of inquiries to discover the reasons for the shortfall. Ms. Terry is engaged in which stage of the strategic marketing process?

(A) Environmental scanning
(B) Opportunity analysis
(C) Planning
(D) Implementation
(E) Control

Answer 10

(E) Control

Question 11

A marketing strategy is composed of both

(A) a target market and market opportunities
(B) a target market and related marketing mix
(C) a target market and SWOT analysis
(D) a marketing mix and required resources
(E) a marketing mix and competition

Answer 11

(B) a target market and related marketing mix

Question 12

Which of the following is the set of benefits a company promises to deliver the customer to satisfy their needs?

(A) a money-back guarantee
(B) low pricing
(C) good customer service
(D) a value proposition
(E) an attribute

Answer 12

(D) a value proposition

Question 13

Relationship marketing can help a company…

(A) Create long-term, cost-effective links with individual customers for mutual benefit.
(B) Reduce its strategic planning effort since the need for such planning is greatly diminished.
(C) Find more effective media for use in advertising and mass marketing.
(D) Cut through the planning process straight to tactical plans.
(E) Increase its market share by increasing its profit

Answer 13

(A) Create long-term, cost-effective links with individual customers for mutual benefit.

Question 14

________ is an important concept when we realize that losing a customer means losing more than a single sale. It means losing the entire stream of purchases that the customer would make over a lifetime of patronage.

(A) heuristics
(B) net profit
(C) customer lifetime value
(D) relationship marketing
(E) market share

Answer 14

(C) customer lifetime value

Question 15

A statement most consistent with the philosophy of the marketing concept would say that the key to success is

(A) innovative product development
(B) a persuasive sales force
(C) an experienced team of marketing managers
(D) customer satisfaction
(E) minimization

Answer 15

(D) customer satisfaction

Question 16

Which of the following statements about the European Union is true?

(A) The EU creates a single Pan-European government.
(B) The EU eliminates trade barriers among member countries.
(C) The EU is considered the United States of Europe, with its capital in Brussels.
(D) The EU removes all internal and external trade barriers to global trade.
(E) The EU minimizes inflation through price controls.

Answer 16

(B) The EU eliminates trade barriers among member countries.

Question 17

The demand for industrial goods is sometimes called “derived” because it depends on

(A) economic conditions
(B) demand for consumer goods
(C) governmental activity
(D) availability of labor and materials
(E) the desire to make a profit

Answer 17

(B) demand for consumer goods

Question 18

Which of the following is the fastest growing non-store retail segment in the United States?

(A) Television home shopping
(B) Automatic vending
(C) Online retailing
(D) Catalog marketing
(E) Direct-response marketing

Answer 18

(C) Online retailing

Question 19

Which of the following is true of global marketing standardization?

(A) It occurs more frequently with consumer products than with industrial goods.
(B) It encourages individualized variation in the product, packaging, and pricing for each nation or local market.
(C) It addresses legal and cultural differences.
(D) It assumes that global consumers increasingly have similar needs.
(E) It reduces profit margins.

Answer 19

(D) It assumes that global consumers increasingly have similar needs.

Question 20

For the following event, indicate which kind of environment it belongs to:
The development of new production techniques

(A) Sociocultural Environment
(B) Economic Environment
(C) Technological Environment

Answer 20

(C) Technological Environment

Question 21

For the following event, indicate which kind of environment it belongs to:
The growing Latino population

(A) Sociocultural Environment
(B) Economic Environment
(C) Technological Environment

Answer 21

(A) Sociocultural Environment

Question 22

For the following event, indicate which kind of environment it belongs to:
Rising mortgage rates

(A) Sociocultural Environment
(B) Economic Environment
(C) Technological Environment

Answer 22

(B) Economic Environment

Question 23

You are directed to study the demographic, economic, natural, technological, political, and cultural factors that are larger societal forces affecting your company. What are you studying?

(A) the macroenvironment
(B) the microenvironment
(C) the external environment
(D) the marketing mix
(E) the global environment

Answer 23

(A) the macroenvironment

Question 24

In a marketing research study for a manufacturer of porch swings, _____ would most likely be a source of primary data.

(A) reports from the homebuilding association
(B) a study on how individuals spend their leisure time done by York University
(C) annual financial statements provided by the swing manufacturer
(D) a survey conducted by Mother Earth News
(E) researchers’ interviews with hardware-store owners who sell porch swings

Answer 24

(E) researchers’ interviews with hardware-store owners who sell porch swings

Question 25

The best business portfolio is one that best fits the company’s strengths and weaknesses to ________.

(A) the established market
(B) the potential target markets
(C) the company’s values statement
(D) opportunities in the environment
(E) all of the above

Answer 25

(D) opportunities in the environment

Question 26

Which of the following specifies a limit on the amount of certain products that can be imported into a country?

(A) A tariff
(B) A quota
(C) A credit restriction
(D) An exchange control
(E) An embargo

Answer 26

(B) A quota

Question 27

Which of the following statements about secondary data is correct?

(A) Secondary data are usually more expensive to obtain than primary data.
(B) Secondary data are usually available in a shorter period of time than primary data.
(C) Secondary data are usually more relevant to a research objective than are primary data.
(D) Secondary data must be collected outside the firm to maintain objectivity.
(E) Previously collected data are not secondary data.

Answer 27

(B) Secondary data are usually available in a shorter period of time than primary data.

Question 28

To save time and money, a marketing research team uses data that have already been gathered for some other purpose. Which type of data is the team using?

(A) Sample
(B) Primary
(C) Secondary
(D) Survey
(E) Experiment

Answer 28

(C) Secondary

Question 29

The three types of marketing research are

(A) explanatory, normative, and descriptive
(B) predictive, normative, and innovative
(C) interactive, diagnostic, and predictive
(D) proactive, interactive, and reactive
(E) exploratory, descriptive, and causal

Answer 29

(E) exploratory, descriptive, and causal

Question 30

Which answer has the four steps of the marketing research process in the correct order.

(A) Determine the research design. Define the problem. Collect data. Choose the data collection method.
(B) Define the problem. Determine the research design. Choose the data collection method. Collect data.
(C) Choose the data collection method. Define the problem. Determine the research design. Collect data.
(D) Collect data. Choose the data collection method. Define the problem. Determine the research design.
(E) Determine the research design. Collect data. Define the problem. Choose the data collection method.

Answer 30

(B) Define the problem. Determine the research design. Choose the data collection method. Collect data.

Question 31

With seven other homeowners, Marty was invited to a(n) _____ where the researcher asked the group general questions about how they do yard work. The interview revealed that most have limited time to work in the yard and would be willing to hire a lawn care service if the price were reasonable.

(A) walking interview
(B) focus group
(C) experimental method
(D) centralized survey method
(E) shopping mall intercept

Answer 31

(B) focus group

Question 32

Causal research is used to ________.

(A) test hypotheses about cause-and-effect relationships
(B) gather preliminary information that will help define problems
(C) uncover information at the outset in an unstructured way
(D) describe marketing problems or situations
(E) quantify observations that produce insights unobtainable through other forms of research

Answer 32

(A) test hypotheses about cause-and-effect relationships

Question 33

In the marketing research process, firms often gather and analyze secondary data rather than primary data because secondary data

(A) is more readily available and less expensive to collect than primary data
(B) provides more detailed information about consumer preferences than does primary data
(C) is easier to analyze than primary data
(D) is limited to internal sources, while primary data includes external sources as well
(E) can be more readily adapted to individual needs

Answer 33

(A) is more readily available and less expensive to collect than primary data

Question 34

Defined by the American Marketing Association as “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.”

(A) Value
(B) Product
(C) Marketing
(D) Promotion
(E) Pricing

Answer 34

(C) Marketing

Question 35

A social and managerial process by which individuals and groups obtain what they NEED and WANT through creating and exchanging PRODUCTS and VALUES with others.

(A) Value
(B) Product
(C) Marketing
(D) Promotion
(E) Pricing

Answer 35

(C) Marketing

Question 36

Determining needs and wants of consumers and delivering the desired satisfactions more effectively and efficiently than competitors.

(A) Value concept
(B) Product concept
(C) Marketing concept
(D) Promotion concept
(E) Pricing concept

Answer 36

(C) Marketing concept

Question 37

The personal value equation:

(A) value = price - [benefits received - hassle]
(B) value = benefits received - [price + hassle]
(C) value = price + [benefits received - hassle]
(D) value = benefits received + [price - hassle]

Answer 37

(B) value = benefits received - [price + hassle]

Question 38

The modern “marketing mix” consists of:

(A) creating, selling, communicating, promoting
(B) creating, pricing, promoting, communicating
(C) creating, communicating, delivering, exchanging
(D) creating, placing, delivering, pricing

Answer 38

(C) creating, communicating, delivering, exchanging

Question 39

The traditional “marketing mix” (the four Ps) are:

Product, Promotion, Place, and _____.

(A) Planning
(B) Promptness
(C) Pricing
(D) Profit

Answer 39

(C) Pricing

Question 40

The consumers’ evaluation of the difference between total benefits and total costs. When the benefits outweigh the costs in a better way than competitors’ offerings, the company has an advantage that helps it attract, retain, and grow its customers’ base.

(A) Value proposition
(B) Customer value
(C) Demands
(D) Wants and Needs

Answer 40

(B) Customer value

Question 41

Jerry gives a 30-second “elevator pitch” to his client; he states the benefits his product offers and why it is superior to his competitors. This is an example of:

(A) Speech
(B) Sales pitch
(C) Value proposition
(D) The exchange process

Answer 41

(C) Value proposition

Question 42

In environmental scanning, these factors consist of the actors close to the company that affect its ability to serve its customers: the company, suppliers, marketing intermediaries, customer markets, competitors, and publics.

(A) Micro factors
(B) Macro factors

Answer 42

(A) Micro factors

Question 43

In environmental scanning, these factors consist of the larger societal forces that affect the environment: demographic forces, economic forces, natural forces, technological forces, political forces, legal forces, and cultural forces.

(A) Micro factors
(B) Macro factors

Answer 43

(B) Macro factors