Test 2

Question 1

_____ consists of evaluating each market segments attractiveness and selecting one or more segments to enter

Answer 1

Market targeting

Question 2

______ are consumer products and services with unique characteristics or brand identification for which a significant group of buyers is willing to make a special purchase effort

Answer 2

Specialty products

Question 3

A company that uses well-known celebrities to help sell its products is using _______ marketing

Answer 3

Person

Question 4

A pen company begins offering new felt-tip pens, multiple-cartridge pens, and quills. These are examples of ______

Answer 4

Product line filling

Question 5

The fundamental asset underlying brand equity is ________, the value of customer relationships that the brand creates

Answer 5

Customer equity

Question 6

Product quality is harder to define and judge than service quality. T or F?

Answer 6

False

Question 7

______ consists of arranging for a market offering to occupy a clear, distinctive, and desirable place relative to competing products in the minds of target consumers

Answer 7

Positioning

Question 8

What refers to a behavioral segmentation variable that involves segmenting markets into nonusers, ex-users, potential users, first-time users, and regular users of a product

Answer 8

User status

Question 9

______ marketing is more suited for products that vary in design

Answer 9

Differentiated

Question 10

Apex describes its clothing line as “elegance….. for the daily office goer… apex makes sure you get noticed” this is an example of a

Answer 10

Positioning statement

Question 11

Marketing mix planning begins with _____

Answer 11

Building an offering that brings value to target customers

Question 12

_______ are industrial products that aid in the buyers production or operations

Answer 12

Capital items

Question 13

______ occurs when a company lengthens its product line beyond its current range

Answer 13

Product line stretching

Question 14

_______ represents consumers perceptions and feelings about a product and its performance

Answer 14

Brands

Question 15

Branding decisions include determining a product price. T or F?

Answer 15

False

Question 16

Why might idea screening be the most important step of new product development

Answer 16

It saves the company money in product development costs by going ahead with only the product ideas that are likely to be profitable

Question 17

In a ________, new products and marketing tactics are tested among specifically identified groups of customers and stores

Answer 17

Controlled test market

Question 18

In a _________ new products and marketing tactics are tested online in a virtual shopping environment

Answer 18

Simulated test market

Question 19

Harvesting the product involves reducing various costs such as maintenance, R&D, and advertising to increase profits. T or F?

Answer 19

True

Question 20

______ pricing involves charging higher prices on an everyday basis but running frequent promotions to lower prices temporarily on selected items

Answer 20

High-low

Question 21

John assured his venture capitalists an earning of 25 percent return on equity when he began his IT startup. To achieve this, he will most likely use which pricing approach?

Answer 21

Target return pricing

Question 22

What is true of price skimming?

Answer 22

It can be profitably used when the products quality and image support its price

Question 23

Companies that set a low price for a new product in order to attract a large number of buyers and a large market share are using the _______ strategy

Answer 23

Market-penetration

Question 24

Using ______ pricing companies are able to turn their trash into cash, allowing them to make the price of their main product more competitive

Answer 24

By-product

Question 25

What product mix pricing strategy involves pricing multiple products to be sold together

Answer 25

Product bundling pricing

Question 26

Motor zone calculates shipping charges based on shipping from Boston even though sometimes it comes from St. Louis. This is what kind of pricing

Answer 26

Basing-point

Question 27

_______ is a pricing strategy in which sets up two or more clearly identified geographic regions within which all customers pay the same total price

Answer 27

Zone pricing

Question 28

The _______ seeks to prevent unfair price discrimination by ensuring that sellers offer the same price terms to customers at a given price level

Answer 28

Robinson-patman act

Question 29

Price discrimination is legal when

Answer 29

A seller can prove its costs are different when selling to different retailers

Question 30

For segmented pricing to be an effective strategy, prices should reflect real differences in customers perceived value. T or F?

Answer 30

True

Question 31

The term supply chain is considered limited because it _________

Answer 31

Suggests that planning begins with raw materials and factory capacity

Question 32

Conflict that occurs between different levels of the same marketing channel is known as _______ conflict

Answer 32

Vertical

Question 33

What is true of conventional distribution channels?

Answer 33

Channel members seek to maximize their own profits

Question 34

The bookworm began delivering books through mail instead of brick and mortar companies. This is an example of _______

Answer 34

Disintermediation

Question 35

Producers of strong brands sometimes sell to dealers only on the condition that the dealers take some or all of the rest of the product line. This is know as _______

Answer 35

Full-line forcing