Business Exam 3

Front 1

When food lion grocery stores offer milk and eggs at all of its location, it is providing customers with ____________ utility.

Back 1

Place

Front 2

Emerson, an electronic manufacturer, purchases the wires it needs to make televisions and stereos from various wire manufacturer. Emerson is part of which type of market?

Back 2

Producer

Front 3

Fern Motors is offering a rebate on cars purchased this month. This activity involves the ________________ of the marketing mix.

Back 3

Pricing

Front 4

General Mills is setting up a marketing information system to keep track of marketing trends. External sources of marketing data includes all of the following except

Back 4

Raw Material Suppliers

Front 5

Iron ore in a steel plant is an example of _______________.

Back 5

Raw Material

Front 6

The Marketing challenge of making potential customers aware of the product’s existence and its features, benefits, and uses is prevalent in which of the product life cycle stages

Back 6

Introduction

Front 7

Car-Tunes, a national car stereo retailer, markets stereos and speakers. The company will soon sell car alarms and cellular phones to ______________ its product mix.

Back 7

Broaden

Front 8

The largest number of product ideas are rejected during the _______________ stage of new product development.

Back 8

Screening

Front 9

The total amount received from the sales of a product is referred to as _____________.

Back 9

Total Revenue

Front 10

The strategy of setting a low price for a new product to gain a large market share for the product quickly is called

Back 10

Peneration Pricing

Front 11

Large retail stores that carry not only food and nonfood items ordinarily found in supermarkets but also additional product lines such as small appliances and clothing are known as ______________.

Back 11

Superstores

Front 12

_________________ involves managing inventories in such a way as to minimize inventory cost, including both holding costs and potential stock-out costs.

Back 12

Inventory Management

Front 13

In its broader role, promotion serves to expedite exchanges directly and to bring exchanges indirectly. In other words, promotion serves to

Back 13

MAINTAIN POSITIVE RELATIONSHIPS BETWEEN A COMPANY AND GROUPS IN THE MARKETING ENVIRNOMENT

Front 14

The Air Store, a retail outlet for fans and air conditioners, increased its advertising during the recent unusually hot summer days to encourage customers to make purchases quickly. This type of advertising is called ____________.

Back 14

Immediate Response

Front 15

Which advertising medium is the most selective?

Back 15

Direct mail

Front 16

Both inside and outside order takers produce most of their company’s sales through _____________.

Back 16

Successful handling of repeat sales

Front 17

All of the following are examples of sales promotion expect _______________.

Back 17

Direct Response adversiting

Front 18

Most data gathered for an MIS come from _________________________.

Back 18

Internal Sources

Front 19

Form Utility is created by making a product available at a location where customers wish to purchase it.

Back 19

False

Front 20

Marketing activities amount to about one-half of every dollar that consumers spend.

Back 20

True

Front 21

From the start of industrial revolution until the early twentieth century, business had a strong production orientation.

Back 21

True

Front 22

Implementation of the marketing concept requires a firm to obtain information on what customers’ needs are and how those needs are being met by products currently on the market.

Back 22

True

Front 23

Market segmentation means dividing consumers according to their wants, income, and geographic location.

Back 23

True

Front 24

During the decline stage of the product life cycle, the sales volume decrease sharply because of an increase in the number of competing firms.

Back 24

False

Front 25

Price is the amount of money a seller is willing to accept in exchange for a product, at a given time and under given circumstances.

Back 25

True

Front 26

Management must set pricing objectives based on the primary objective of making a profit.

Back 26

False

Front 27

Because markup pricing is difficult to use, few retailers and wholesalers use it.

Back 27

False

Front 28

Costs that depend on the number of units produced are called variable costs.

Back 28

True

Front 29

One of the major dangers of competition-based pricing is that it often results in price war.

Back 29

False

Front 30

Differential pricing means different buyers pay different prices for the same quality and quantity of a product.

Back 30

True

Front 31

A channel of distribution is a sequence of marketing organization that directs a product from the producer to the ultimate user.

Back 31

True

Front 32

Every channel of distribution, from the simplest to the most complex, begins with the producer and ends with either the consumer or the business user.

Back 32

True

Front 33

When a producer wants to give its product the widest possible exposure in the marketplace, it choose intensive distribution.

Back 33

True

Front 34

Exclusive distribution is the use of a single retail outlet in each geographic area.

Back 34

True

Front 35

Wholesalers assume the credit risk for producers by extending retailers credit, collecting payment from retailers, and assuming the risk of nonpayment.

Back 35

True

Front 36

An independent retailer is a firm that operates more than one outlet and generally provides personal services.

Back 36

False

Front 37

With warehouse showrooms, a customer selects the merchandise either from a catalog or from the showroom display, fills out an order form provided by the store, and hands the form to a clerk.

Back 37

False

Front 38

A neighborhood shopping center usually has at least one large department store to attract customers to the center.

Back 38

False

Front 39

In terms of total freight carried, trucks are the most important mode of transportation.

Back 39

False

Front 40

A promotion mix can be defined as communication about an organization and its products that is intended to inform, persuade, or remind target market members.

Back 40

True

Front 41

The combination of promotion methods that a firm uses to reach a target market is called advertising.

Back 41

False

Front 42

Determining the location and demographics of people in the advertising target, the content of the message, and the characteristics of the audiences reached by various media is done when creating the advertising message.

Back 42

False

Front 43

The least expensive of the sales promotion techniques is a premium.

Back 43

False

Front 44

A premium is an industry-wide exhibit at which many sellers display their products for promotion.

Back 44

False

Front 45

Industrial products usually are not promoted through personal selling.

Back 45

False

Front 46

Cognitive Dissonance is when a customer expects a poor product and receives a poor product.

Back 46

False

Front 47

Relationship marketing is establishing long-term mutually satisfying buyer-seller relationships.

Back 47

True

Front 48

The number one rule in marketing is to offer excellent solution to a customer.

Back 48

False

Front 49

According to Bill Kiernan, customers buy solutions or benefits to fulfill the needs or desire they have.

Back 49

True

Front 50

Undifferentiated Marketing is the approach that is most cost effective as targeting customers narrows the potential too much and can result in lost sales.

Back 50

False