TEST PREP

Question 1

What are the 3C’s?

Answer 1

Customer, Company, Competition

Question 2

What are the three major elements of the marketing plan?

Answer 2

Situation Analysis (3Cs), Strategy (STP), Tactics/Marketing Mix (4Ps)

Question 3

What is STP?

Answer 3

Segmentation, Targeting, and Positioning

Question 4

What are the 4Ps?

Answer 4

Product, Price, Promotion, Place

Question 5

What is the consumer behavior process?

Answer 5

Need recognition, information search, compare alternatives, purchase, post-purchase evaluation

Question 6

What is the Hierarchy of Needs?

Answer 6

Self-actualization, personal needs, social needs, safety needs, physiological needs

Question 7

What is anchoring?

Answer 7

Give a group two numbers, say 5 and 70, then have them estimate something (say the weather) and there answers will be thrown off by the numbers you gave them

Question 8

Explain Decoy Effect

Answer 8

“medium” at a movie theater, its there to people go “ohh that’s not that much more expensive to get a large”

Question 9

What is the compromise effect?

Answer 9

When given a low, medium, and high-quality product a consumer will be more likely to choose the medium product then if the high-price option wasn’t offered

Consumer will often justify their purchase by doing this

Question 10

What is mental accounting

Answer 10

being willing to spend 200 dollars at a fancy restaurant but won’t spend 50 at a mediocre place

Question 11

Endowment effect

Answer 11

paring with good is perceived as a greater loss than the potential gain from acquiring another good of equal value