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Direct mail and catalogue retailing are examples of _____

03/12/2021 Client: muhammad11 Deadline: 2 Day

BUS 560 Exam

1. Many personal care products bring to the purchaser feelings of self-enhancement and security in addition to the essential benefits they offer. This is an illustration of A. An extended product B. A generic product C. Tangible product D. Conventional product 2. The physical entity that is offered to the buyer is known as a(n) A. Extended product B. Value product C. Tangible product D. Generic product 3. The tangible product along with the whole cluster of services that accompany it is called a(n) A. Extended product B. Intangible product C. Generic product D. Conventional product 4. Which of the following is a basic assumption underlying product classification schemes? A. Each product is unique and should be marketed differently B. The same marketing strategy can be used for all product types C. Products with common attributes can be marketed in a similar fashion D. Products should be differentiated on the basis of profit margins 5. Products having limited number of buyers are better known as a A. Limited market B. Vertical market C. Horizontal market D. Non-segmented market 6. Which of the following best describes a horizontal market? A. These markets offer only specialty goods so that consumers will make a special effort to buy them B. These markets offer certain products that have a limited number of buyers C. These markets offer goods that are purchased by all types of firms in many different industries D.These markets include only those convenience goods that are purchased frequently and with minimum effort 7. Convenience goods generally require A. Broadcast promotion and long channels of distribution B. Broadcast promotion and short channels of distribution C. Targeted promotion and long channels of distribution D. Targeted promotion and short channels of distribution 8. _____ goods are purchased frequently with minimum effort. A. Convenience B. Specialty C. Shopping D. Organizational 9. Which of the following best fits the definition of total-quality management? A . It is a method used to minimize manufacturing costs through large-volume production units and thus lower distribution costs B . It encompasses high quality adherence only for consumer goods that generally require broadcast promotion and long channels of distribution C. It is the degree of excellence or superiority that an organization's product possesses D . It is a commitment to satisfy customers by continuously improving every business process involved in delivering products or services 10. Identify the correct statement from the following. A. The number of outlets is few for convenience goods B. The time spent planning for a shopping good is very little C. The price and quality are compared in the case of shopping goods D. The stock turnover is reasonably high for specialty goods 11. An alternative to line extension is a(n) _____, where a current brand name is used to enter a completely different product class A. Line extension B. Brand extension C. Dual branding D. Franchise extension 12. Arm & Hammer first introduced a line of toothpastes with the Arm & Hammer brand. The introduction of a mouthwash and a chewing gum using the Arm & Hammer brand name are examples of a(n) A. Line extension B. Product mix addition C. Brand extension D. Franchise extension 13. Mama Moo's began by manufacturing butter. Today this company also produces Mama Moo's cream cheese, which is an example of A. A brand extension B. A product mix addition C. A franchise extension D. Dual branding 14. When a corporate name is attached to a product to enter into an entirely new market segment, for example, Honda lawnmower and Toyota Lexus, it would be an example of a A. Multibranding strategy B. Franchise extension C. Dual branding strategy D. Line extension 15. Products ranging from cranberries to grapefruits marketed by Ocean Spray are sold under the Ocean Spray corporate name. Ocean Spray uses A. Dual branding B. Singular branding C. Family branding D. Associate branding 16. Procter & Gamble makes Camay soap for those concerned about soft skin and Safeguard soap for those who want deodorant protection. What is the strategy used by P&G? A. Multibranding B. Joint branding C. Product extension D. Brand extension 17. All of the following are advantages of using multiple brand names except A. The firm can distance products from other offerings it markets B. The image of one product is not associated with other products the company markets C. The products can be targeted at a specific market segment D. The probability of a product failure impacting on other company products is maximized 18. Who ultimately determines brand equity? A. Advertisers B. Employees C. Consumers D. Management 19. Products that are equivalent to national brands but are priced much lower are called A. Premium brands B. Value brands C. Quality brands D. Deluxe brands 20. Arizona jeans, which is a store brand of J.C. Penney Company, is an example of a A. National brand B. Private label brand C. Dual quality brand D. Deluxe brand 21. Which of the following observations about marketing strategies used during various stages of the product life cycle is true? A. Sales promotion is not used in the maturity stage B. Limited number of channels are used during the growth stage C. Communication is always high during the decline stage D. A defensive strategy is adopted during the maturity stage 22. The diffusion of innovation is A. Used to describe an audit task that is carried out at regular intervals B. Described using five adopter categories C. The term used for the introductory stage of the life-cycle D. Used to emphasize the effect of sales after the product has been introduced 23. According to the adopter categories, consumers who are first to purchase a product are known as A. Innovators B. Early adopters C. Laggards D. Early majority 24. According to the adopter categories of diffusion of innovation, the biggest category of buyers is divided into groups called the A. Innovators and laggards B. Laggards and late majority C. Early majority and late majority D. Early majority and innovators 25. A company changes the packaging of one of its existing products to make it more attractive to consumers. The company has undertaken product improvement by changing the A. Marketing dimensions B. Product attributes C. Channels of distribution D. Promotional strategy 26. In improving a product, the term "attributes" mainly refer to A. Product price B. Product features C. Promotion strategy D. Distribution channels 27. Clothes Store sent a manager to visit the L.L.Bean warehouse to determine how the warehouse employees are able to pick and package merchandise three times as fast as Clothes Store's workers. By comparing the work performed by the warehouses' workers with the retailer's employees, Clothes Store was able to improve its own operation. Clothes Store engaged in A. Capacity planning B. Product rejuvenation C. Benchmarking D. Product renewal 28. Which of the following is not true of benchmarking? A. It helps enhance the product quality B. It is used to develop more user-friendly products C. It increases delivery lead times D. It improves customer order-processing activities 29. General Foods has managers who are solely responsible for each of its brands of coffee - Brim, Maxwell Houses, International Coffee, Sanka and Yuban. These brand managers are A. Responsible for everything from research to advertising for their products B. Often considered to be superior to the marketing managers C. A part of the system that is also known as category management D. Only concerned with the product's sales and product planning 30. Which of the following observations is true of the brand-manager system? A . Brand managers have difficulties in their line of work because they do not have authority commensurate with their responsibilities B.Also known as the category-management system, the brand-manager system has been criticized on several dimensions C . Under a brand-manager system, a manager focuses on all the functional areas of marketing such as research, advertising, sales promotion, sales and product planning D.Organizations such as PepsiCo, Purex, Eastman Kodak and Levi Strauss use some form of brand-manager system 31. Compared to current products, new product sales typically` A. Grow very slowly B. Remain the same C. Grow far more rapidly D. Come down 32. A major obstacle to effectively predicting new product demand is A. Competition B. Market segmentation C. Limited vision D. Market research 33. Products that take a firm into a product type new to it, but that are not new to the world are known as A. New-to-the-world products B. New category entries C. Additions to product lines D. Product improvements 34. Hallmark sells cards, gift-wrapping materials and collectibles. However, in the summer of 2000, Hallmark added fresh-cut flower arrangements to its product offering. In which of the new product categories would the floral arrangements fall? A. New-to-the-world products B. New category entries C. Additions to product lines D. Product improvements 35. Identify the products that are considered as flankers to the firm's current market. A. New-to-the-world products B. New category entries C. Additions to product lines D. Product improvements 36. For the last decade, Green Giant has sold frozen vegetables in various types of sauces. In 2002, the company changed its packaging and began offering frozen vegetables in re-sealable bags with separate frozen sauce pellets. In which of the new product categories would this new method of packaging frozen vegetables fall? A. New-to-the-world products B. New category entries C. Additions to product lines D. Product improvements 37. "Details" magazine was introduced to the market as a raw and bold "underground nightlife magazine." Sales were low, so the publisher of the magazine re-launched it as a fashion and lifestyle magazine for twenty something males. In which of the new product categories would this product fall? A. New-to-the-world products B. New category entries C. Product improvements D. Repositioning 38. Minefree Games Inc. develops and markets mobile entertainment software. The company's application portfolio includes single and multiplayer games, ring tones and other entertainment content. Their most popular mobile game is the Nightfly200. Recently, they released a new improved version compatible with all major mobile handsets, the Nightfly 201 series. Which is the product category that would best describe Nightfly 201 series? A. New-to-the-world products B. Additions to product lines C. Repositionings D. Product improvements 39. Healthfood Inc. manufactures jelly, made out of gelatin - a colorless, edible protein - in various fruit flavors. The company discovers that women used powdered gelatin dissolved in acetylene - a liquid organic compound - to strengthen their fingernails. It introduces a flavorless jelly as a nail-building agent. The new-use strategy was directed toward revamping the sales of a product whose growth, based on its original conceived use, had slowed down. Identify the product category involved. A. Additions to product lines B. Product improvements C. Repositionings D. New category entries 40. Coca-Cola plans to launch a new version of Diet Coke called Diet Coke Plus. The drink will be similar to the current Diet Coke, but it will be fortified with vitamins and minerals. The Diet Coke Plus would be a part of which of the following new products based categories? A. New-to-the-world products B. New category entries C. Product improvements D. Repositionings 41. The manufacturer of Snapple lemonade adds a diet lemonade beverage to its current markets. This is an example of A. New-to-the-world products B. New category entries C. Additions to product lines D. Product improvements 42. Avon first marketed its Skin So Soft lotion as a body lotion to compete with other similar body lotions. Today Avon promotes its Skin So Soft lotion as an insect repellant that is good to your skin. In which of the new product categories would Skin So Soft lotion fall? A. New-to-the-world products B. New category entries C. Additions to product lines D. Repositionings 43. An approach to the new product question developed by H. Igor Ansoff is termed A. Corporate marketing B. Marketing mix C. Growth vectors D. Benchmarking 44. The use of movie stars like Brad Pitt on NBC's Friends television show is a strategy used to find new viewers for the existing show. It also helps in increasing NBC's market share. NBC encourages such guest appearances to implement which growth strategy? A. Market development B. Product development C. Market saturation D. Diversification 45. Which of the following is an example of a product development strategy? A. Jeep introduces a new four-wheel drive vehicle to replace the Jeep Cherokee B. McDonald's continually seeking expansion into overseas markets C. A carpet manufacturer introduces an organic stain remover designed to remove even the worst spills D. The manufacturer of Nine Lives cat food adds a line of flea collars 46. What kind of new product strategy is being used when an automobile manufacturer introduces a new car model to replace an existing one? A. Market development B. Product development C. Market diversification D. Market penetration 47. Which of the following growth strategies are examples of product mix strategies? A. Diversification and market penetration B. Product development and diversification C. Market development and diversification D. Market development and market penetration 48. Which of the following organizational growth strategies deal with present products in present markets? A. Diversification B. Product development C. Market development D. Market penetration 49. Which of the following is (are) critical to providing an atmosphere that stimulates new product activity? A. Unionization B. Politics within the organization C. Top-management support D. External consultants 50. To facilitate top-management support, it is essential that new product development be focused on A. Designing new selling concepts B. Facilitating rapid R&D C. Gathering vast channel sources D. Meeting market needs 51. Define a strategic alliance. A . Members from many different departments coming together to jointly establish new product development goals and priorities B. A relationship between an organization and it employees C.A long-term partnership between two organizations designed to accomplish the strategic goals of both parties D. A relationship between a business and the community in which it is headquartered 52. Aerospace Technologies, Australia, had an idea for a new airplane rudder. When it could not gain access to the resources it needed to develop the new product, it entered into a long-term partnership with Boeing. Today Boeing uses this rudder on its 777 commercial passenger jet. The relationship between Aerospace and Boeing is an example of a(n) A. Merger B. Budget plan C. Acquisition D. Strategic alliance 53. Identify the two methods commonly used for creating and managing project teams. A. Idea screening and observational research B. Test marketing and marketing applications C. Skunkworks and rugby approach D. Idea generation and consumer research 54. Various alternatives exist for creating and managing cross-functional product development teams. Two of the better-known methods are the establishment of skunkworks and A. Rugby approach B. The iceberg method C. Idea equity D. The tag team approach 55. Best City Co. opened Mobile Phone-only stores at nine locations in Manhattan to gauge consumer's reactions to them. These stores, called Best City Mobile, carried more than 80 cell phones from big manufacturers. Shoppers here also had the option to choose from seven mobile phone service carriers. Based on positive consumer reaction and the success of these stores, Best City opened stores nation wide. This is an example of A. Product development B. Test marketing C. Project planning D. Idea screening 56. What is the main goal of a test market? A. Evaluate and adjust the general marketing strategy to be used and the appropriate marketing mix B.Emphasize on the organizational structure and management talent needed to implement the marketing strategy C. Evaluate the product plan from the standpoint of engineering, manufacturing, finance and marketing D. Increase frequency of consumption or increase the number of customers using the firm's product(s) 57. The product-launch step where the firm commits to introducing the product into the marketplace is referred to as A. Commercialization B. Test marketing C. Personal selling D. Direct marketing 58. Identify the stage where heavy emphasis is placed on the organization structure and management talent needed to implement the marketing strategy. A. Commercialization B. Test marketing C. Personal selling D. Direct marketing 59. In the development of new products, marketers have several important decisions to make about the characteristics of the product itself. These include all of the following except A. Quality level B. Product features C. Geographic reach D. Product design 60. What is a guarantee? A. Unstated promises that businesses have to compensate buyers if their products fail to perform B. The measure used to check if products conform to established standards of safety C. An assurance that the product is as represented and will perform properly D. A promise by the customer to pay for goods and services in a timely manner 61. Positive images can create value for customers by adding A. Meaning to products B. Features to products C. Design elements to products D. Price details to products 62. Building relationships with wholesalers and retailers would pertain to which of the following strategic goals of marketing communication? A. Create awareness B. Build channel relationships C. Retain customers D. Identify prospects 63. The promotion mix of which of the following products is most likely to contain short-run incentives? A. An essential commodity B. An established product requiring nonpeak sales season stabilization C. A product in the decline stage of the product life cycle D. A product in the research and development stage of the product life cycle 64. If the product is a new complex technology that requires a great deal of explanation, its promotional mix will most likely A. Focus heavily on personal selling B. Contain short-run incentives C. Rely more on advertising D. Rely on mass media to answer buyer questions 65. This paid form of nonpersonal communications may use media such as outdoor displays, car cards, directories, etc., to reach out to a target audience. A. Direct marketing B. Advertising C. Personal selling D. Sales promotion 66. Which of the following statements about personal selling is true? A . It is a paid form of communication about an organization, its products or its activities that is transmitted through a mass medium B . It is a nonpersonal form of communication that seeks to influence the attitudes, feelings and opinions of customers, noncustomers and stockholders C . It is face-to-face communication with potential buyers to inform them about and persuade them to buy an organization's product D . It can take the form of direct mail, online marketing, catalogs, outdoor displays, telemarketing and direct response advertising 67. All of the following are promotional efforts undertaken when a new product is introduced in the market, except A. Making sure that buyers are aware of the product B. Changing the product design according to buyer needs C. Convincing buyers of the product's value D. Informing the customer about the benefits of the product 68. Identify a nonpersonal form of communication that seeks to influence the attitudes, feelings and opinions of customers, noncustomers, stockholders, suppliers, employees and political bodies about the organization. A. Personal selling B. Door to door selling C. Telemarketing D. Public relations 69. If a product is a new complex technology that requires a great deal of explanation, the promotional mix will most likely focus heavily on _____ so that potential buyers can have their questions answered. A. The mass media B. Sales promotion C. Advertising D. Personal selling 70. According to the concept of integrated marketing communication, potential buyers usually go through all of the following stages except A. Conviction that the product has value for them B. Ordering the product C. Enhancing product image through publicity D. Awareness of the product or service 71. A traditional approach to marketing communications A. Uses one communication management agency B. Focuses on mass marketing and customer acquisition C. Uses cross-functional planning and monitoring D. Focuses on creating core competencies 72. The generalist viewpoint about the contribution of advertising to the economic health of the firm is primarily concerned with all of the following except A. Sales B. Profits C. Return on investment D. Effects of specific ads 73. Which method of determining advertising spending attempts to determine retail price by using production costs as a base? A. Percent of sales B. The task approach C. Per-unit expenditure D. All you can afford 74. Using economic power to gain favorable publicity is a concern associated with this element. A. Public relations B. Advertising C. Sales promotion D. Personal selling 75. A local hardware store owner is preparing an advertising budget for his firm for the year. He uses data on the proportion of sales that other hardware stores in the region allocate to advertising as a base. Which of the following methods for establishing an advertising budget is he using? A. All you can afford B. Task approach C. Competitive parity D. The research approach 76. "Advertising is defensive" is the basic philosophy underlying which of the following approaches? A. Competitive parity B. Per-unit expenditure C. Percent of sales D. The research approach 77. From a strategy standpoint, this is a "followership" technique. A. Competitive parity B. Per-unit expenditure C. Percent of sales D. The research approach 78. A product is advertised on a popular radio channel and is targeted at office goers driving back from work in the evening. However, due to traffic and other distractions, some of the ads message gets lost. In terms of the communication process this hampering of communications is an example of A. Encoding B. Decoding C. Noise D. Positioning 79. Identify the disadvantage of advertising through the internet. A. Short message life B. High cost per exposure C. High information content D. Ads can be placed in interest sections 80. Advantages of the radio as a major advertising media include all of the following except A. Audience selectivity via station format B. Mass use C. Standardized rate structures D. Low cost 81. The number of times, on average that people are exposed to an advertisement within a given time period is known as A. Average frequency B. Reach intensity C. Frame rate D. Time to target market 82. High school juniors who were considering applying to the University of Southern Mississippi were asked to rank five different print ads intended to increase the enrollment to the college. The ads were to be ranked according to believability, interest-level and attractiveness. The survey the students filled out was an example of a(n) A. Opinion test for evaluating specific ads B. Recall test to determine ad effectiveness C. Awareness test for evaluating specific advertising objectives D. Recognition test for determining the number of people who are aware of an ad campaign 83. Identify the procedure for evaluating specific advertising objectives where potential buyers are asked to indicate brands that come to mind in a product category. A message used in an ad campaign is given and buyers are asked to identify the brand that was advertised using that message. A. Awareness B. Attitude C. Opinion D. Publicity 84. Which of the following pertains to price deals as a form of consumer promotion? A. Customers are offered regular trial sizes of the product either free or at a nominal price B. Customers are offered discounts from the product's regular price C. Additional amounts of the product are given to buyers when they purchase the product D. Customers are given reimbursements for purchasing the product either on the spot or through the mail 85. Which of the following statements about trade sales promotions is true? A. Trade promotions are those promotions which are aimed at consumers B. A major objective of trade promotions is to encourage consumers to repurchase C . Promotions built around price discounts and advertising or other allowances are likely to have lower distributor/retailer participation levels D. Trade promotions encourage retailers to give the product more favorable shelf space 86. All of the following are stated objectives of consumer promotions except A. Inducing the consumer to try the product B. Rewarding the consumer for brand loyalty C. Stimulating the consumer to make repeat purchases of the product D. Convincing retailers to carry the manufacturer's products 87. In which type of consumer promotion are prizes available to consumers either through chance selection or games of skill? A. Rebates and refunds B. Coupons C. Sweepstakes and contests D. Premiums 88. The objective of a news release is to A. Inform members of the media of an event in the hope that they will convert it into a story B. Announce major news events such as new products, technologies, mergers C. Request members of the media to donate time for advertising for contributions and donors D. Compile facts developed by journalists published in the print media 89. This is a form of publicity wherein nonprofit organizations rely on the media to donate time for advertising for contributions and donors. A. Public service announcements B. Sponsorship C. Press releases D. News conference 90. Identify the public relations tool used for providing support for and associating the organization's name with events, programs or even people such as amateur athletes or teams. A. Sponsorship B. News release C. News conference D. Public service announcement 91. Personal selling, unlike advertising or sales promotion, involves A. Customer inducements B. Direct relationship between buyer and seller C. Mass marketing D. A non-personal medium 92. _____ are in the best position to act as the intermediary, through whom valuable information can be passed back and forth between buyers and producers. A. Shareholders B. Financiers C. Advertisers D. Salespeople 93. One of the main tasks of the salesperson providing after-sale service is A. Delivery or installation of the product or service that meets or exceeds customer expectations B. Gathering information about prospects C. Selling additional or complementary items to repeat customers D. Converting undecided customers into first-time buyers 94. Genesis International has developed a new device for monitoring refrigerant leaks in supermarket refrigerated display cases. The devices are in compliance with recent environmental protection legislation. To find supermarkets and convenience stores interested in its new product, Genesis's sales department took out a full page in a trade publication called Grocery Equipment. The ad had a coupon which any interested store owner or manager could use to request further information. Genesis is using _____ for its prospecting. A. Selected-lead searching B. Prospect recruiting C. Mass qualifying D. Random lead generation 95. Which of the following is generally considered to be a salesperson's best source of prospects? A. Editorials B. Referrals from satisfied customers C. Company employees D. Financial publications 96. _____, as a source of generating leads, can be used by a salesperson by tying into a company's direct mail, telemarketing and trade shows to secure and qualify leads. A. Canvassing B. Promotional activities C. Screening D. Center of influence 97. A sales person using canvassing as a source of lead generation would A. Try to generate leads by calling on totally unfamiliar organizations B. Use secondary data sources to generate leads, which can be free or fee-based C. Write personal letters to potential leads D. Contact current and previous customers for additional business and leads 98. Brad Wilson sells a scanner that converts large documents to an electronic format for editing and printing items up to six feet long and four feet wide. He spent this morning showing his product to the marketing manager of a large department store, which had been identified by his sales force as a prospect. The manager is excited about the idea of being able to get multiple use of a graphic designed sign. When Brad asks the manager if she is willing to buy, she says, "No, all purchases must be made through our purchasing department." Brad now knows that the manager A. Was completely wasting his time B. Is a qualified prospect C. Is an unqualified lead D. Should have been better screened 99. To find potential advertisers for Birder's World magazine, Allie Hagher attended the 2002 Birdwatch America trade show in College Park, Georgia. Which of the following methods did Hagher use to find leads? A. Centers of influence B. Canvassing C. Promotional activities D. Endless chain 100 . Sylvia Keyes is a salesperson at Eltron International. She sells handheld bar code verifiers. The verifier interfaces with a retail store's computer and uses a point-and-shoot device to read bar codes and confirm that products are marked correctly. Today Sylvia is planning on using canvassing as a source for generating leads. This means that she will be A. Asking current and previous customers for the names of potential customers B. Using directories of retail outlets to locate potential customers C. Trying to generate leads by calling on stores which are totally unfamiliar to her D. Trying to secure the name of at least one potential customer from each customer she talks to 101 . During the production era of the evolution of personal selling, the role of the salesperson was as a A. Persuader B. Value creator C. Problem solver D. Provider 102 . The main activity of the salespeople in the sales era of the evolution of personal selling was A. Taking orders, delivering goods B. Aggressively convincing buyers to buy the products C. Matching available offerings to buyers needs D. Creating new alternatives, matching buyers needs with seller capabilities 103 . Which of the following observations pertaining to objections during a sales presentation is true? A. Objections are typically best handled by ignoring them B. Objections can arise at any time during the sales presentation C. A good salesperson only allows objections to be raised once the sales presentation is concluded D.In handling an objection, a salesperson should be willing to challenge the prospect's opinion and experience 104 . Salespeople who can adapt their _____ to individual buyer's needs and styles have much stronger overall performance than less flexible counterparts. A. Selling style B. Personal style C. Leadership style D. Management style 105 . In response to an objection, the salesperson should _____ the customer. A. Not challenge B. Argue with C. Listen passively to D. Actively challenge 106 . If at the end of a sales call, commitment is not obtained, salespeople should analyze the reasons and determine whether A. More sales calls are necessary to obtain commitment B. The prospects objections should have been challenged more strongly C. Information given could have been manipulated to hide the products shortcomings D. The prospect decisions could be influenced by deprecating the competing product. 107 . When organizations move beyond functional relationships, they develop A. Prospect maximization B. Strategic partnerships C. Dissonance transformation D. Functional alliances 108 . Which of the following is not a key reason for the increased use of cross-functional sales teams? A. Increased customer satisfaction B. Superior decision making through synergy C. More flexibility in decision making D. Frequent marketing programs 109 . AT&T and Sovintel, a Russian telephone company, joined forces to offer high speed ISDN services for digitized voices, data and video communications between the two countries. By working together, the telecommunications companies could reach more businesses than either could do alone. The relationship between AT&T and Sovintel is an example of a A. Transactional relationship B. Relational subsidy C. Strategic alliance D. Functional relationship 110 . A company has a technically complex product which is extremely high priced and is being sold to the whole organization. Specialized knowledge is also required by units of the buying organization. The organization is most likely to use _____ in this situation. A. Missionary salespeople B. Technical sales specialists C. Cross-functional sales teams D. New prospects 111 . The distribution channel for a line of products for cleaning hazardous waste sites starts at the manufacturer, moves to the distributor and stops at the end user. The manufacturer has _____ who call on distributors to offer suggestions on how they can better market the cleaning products and to train their sales force in product usage. A. Prospects B. Technical sales specialists C. Missionary agents D. Advertisers 112 . In which of the following situations would an organization most likely use a cross-functional sales team? A . To sell $200,000 printing press for a company that publishes school directories for colleges, universities and high schools all over the United States B. To convince pharmacies to promote a new cold remedy C . To implement an ad campaign for a local used car dealer who claims to sell at least 50 cars in a month and at a good profit margin D. To replace a couple of computers in a university computer lab 113 . In a _____, each salesperson is assigned to prospects and customers for a particular product or product line. A. Product structure B. Geographical structure C. Marketing structure D. New task approach 114 . A sales structure where a company makes use of team selling to focus on major customers to establish long-term relationships is called A. Major account management B. Coparity support C. Product structure D. Geographic structure 115 . One of the advantages of a customer structure is that it A. Can result in large sales and satisfied customers B. Is inexpensive C . Evenly distributes a salesperson time among a large number of customers as opposed to being devoted to a singe customer D. Limits the distance each salesperson must travel to see customers 116 . _____ can be the largest marketing expense component in the final price of the product. A. Research and development B. Product development C. Personal selling D. Persuasion 117 . The _____ of sales forecasting combines and averages the views of top management representing marketing, production, finance, purchasing and administration. A. Sales force composite method B. Customer expectations method C. Correlation analysis D. Jury of executive opinion method 118 . A commonly used sales forecasting method that involves analyzing past sales data and the impact of factors that influence sales is known as A. Sales force composite method B. Customer expectations method C. Time-series analysis D. Jury of executive opinion method 119 . Controlling the sales force would involve all of the following key functions except A. Forecasting sales B. Establishing sales territories and quotas C. Undertaking research and development D. Motivating and compensating performance 120 . In order to forecast sales for a marketing management text book, the bookstore owner analyzed past sales data and the impact of the number of books on similar topics released in the market. The bookstore owner used _____ for its sales forecasting. A. Jury of executive opinion method B. Sales force composite method C. Customer expectations method D. Time-series analysis 121 . A manufacturer of bathtubs could measure the relationship between its sales and the number of new houses being built in a particular region to forecast its sales in that region. This type of forecasting is an example of A. Jury of executive opinion method B. Sales force composite method C. Customer expectations method D. Correlation analysis 122 . A sales forecasting method that obtains the combined views of the sales force about the future outlook for sales is A. Jury of executive opinion method B. Sales force composite method C. Customer expectations method D. Correlation analysis 123 . The establishment of sales territories and sales quotas represents the management's need to match personal selling efforts with A. Sales potential B. Customer wants C. Advertising D. Production 124 . _____ provide(s) quantitative standards against which the performance of individual sales representatives or other marketing units can be measured. A. Sales strategies B. Promotional mix C. Sales quotas D. Market research 125 . _____ allows the company to monitor whether salespeople are engaging in activities such as calling on new accounts, collecting past due accounts and planning and developing sales presentations to the extent desired. A. Quantitative quotas B. Activity quotas C. Market research D. Productivity logs 126 . An effective sales manager should assign quotas not only for dollar sales but also for each major A. Strategy implemented B. Product developed C. Sales forecast D. Selling function 127 . Which of the following is a results oriented measure for evaluating sales people? A. Number of demonstrations completed B. Number of checks on reseller stocks C. Distributor sales-inventory ratios D. Number of inquiries followed up 128 . Sales forecasts should include a(n) A. Sales expense budget B. Activity quota C. Strategic alliance D. Mission statement 129 . An important task for the sales manager, which also is major determinant of sales force productivity, is A. Motivating and compensating the sales force B. Undertaking research and development C. Taking part in production activities D. Recruiting employees for the organization 130 . Which of the following is not useful for motivating salespeople? A. Positive feedback on salesperson's evaluation B. Travel allowance C. Positive feedback on performance evaluations D. Deductions in incentives 131 . The _____ provide(s) the ultimate consumer or organizational buyer with time, place and possession utility. A. Marketing plan B. Strategic plan C. Channels of distribution D. Marketing concept 132 . Identify the merchant establishment operated by a concern primarily engaged in buying, taking title to, usually storing and physically handling goods in large quantities and reselling the goods to retailers or to organizational buyers. A. Broker B. Wholesaler C. Middleman D. Facilitating agent 133 . A broker A . Is an independent business concern that operates as a link between producers and ultimate consumers or organizational buyers B. Is a merchant middleman who is engaged primarily in selling to ultimate consumers C. Assists in the performance of distribution tasks other than buying, selling and transferring title D . Does not usually have physical custody of products and is not looked upon as a permanent representative of either the buyer or the seller 134 . _____ is a facilitating function of channels of distribution. A. Financing B. Buying C. Selling D. Transporting 135 . In transactional functions of channels of distribution, contacting potential customers, promoting products and soliciting orders is concerned with A. Buying B. Assorting C. Selling D. Sorting 136 . Major functions performed in the channels of distribution include all of the following, except A. Buying B. Selling C. Producing D. Financing 137 . Public warehouses, trucking companies, credit unions and railroad companies are all examples of A. Facilitating agents B. Merchant middlemen C. Merchandise jobbers D. Product sellers 138 . Which of the following observations about direct channels of distribution is true? A. Direct marketing is a good example of an indirect distribution center B . The movement of products from a manufacturer, to a wholesaler, to a retailer, to a consumer is an example of a direct channel C. No more than two intermediaries are ever used in a consumer physical distribution channel D.In contrast to consumer products, the direct channel is often used in the distribution of organizational goods 139 . Identify the incorrect conventional channel of distribution of consumer goods? A. Manufacturer to agent to wholesaler to retailers to consumers B. Manufacturer to retailers to wholesaler to consumers C. Manufacturer to consumers D. Manufacturer to retailers to consumers 140 . Gateway 2000 sold computers through a variety of methods which included telemarketing, catalog selling and cable selling and online selling. Identify the type of channel used by Gateway 2000. A. Direct channel B. Indirect channel C. Peer to peer marketing D. Indirect marketing 141 . Channels with one or more intermediaries are referred to as A. Administered systems B. Direct channels C. Indirect channels D. Centralized channels 142 . In the consumer markets, _____ are used when manufacturers do not wish to have their own sales force. A. Wholesalers B. Planners C. Agents D. Producers 143 . All of the following are reasons why manufacturers may not wish to have their own sales forces except A. It may not be economical for sellers to have their own sales teams B. The market may be geographically too dispersed C. It is always more efficient to have outside sales agents D. The market may consist of too many small customers 144 . Which among the following requires a direct channel of distribution and why? A. Cream dessert, because it is perishable B. Beer cans, because they are inexpensive C. Soda cans, because they are perishable D. Box of candies, because they are prestige products 145 . All of the following are environmental characteristics that need to be considered in channel planning except A. Degree of standardization B. Technological changes C. Economic conditions D. Political issues 146 . Distribution coverage can be viewed along a continuum ranging from intensive to selective to A. Segmented distribution B. Divisional distribution C. Exclusive distribution D. Proportional distribution 147 . The general considerations in channel planning include customer characteristics, company characteristics, environmental characteristics, product characteristics, competitor characteristics and A. Structural characteristics B. Individual characteristics C. Intermediary characteristics D. Behavioral characteristics 148 . Which of the following is a company characteristic that needs to be considered while channel planning? A. Past channel experience B. Product perishability C. Geographic dispersion of consumers D. Number of competitors 149 . All of the following are competitor characteristics considered during channel planning, except A. Their distribution channels and strategy B. Their financial condition and estimated marketing budget C. Their overall marketing strategy employed D. Their past channel experiences 150 . During channel planning, all of the following customer characteristics are considered except A. Geographic dispersion B. Preferred channels and outlets for purchase C. Degree of standardization D. Purchasing patterns 151 . Why would a manufacturer of health and beauty products share promotional expenditures with its intermediaries as well as provide them with the computer software needed for an inventory system? A. To shorten its channel of distribution B. To avoid having to perform risk-taking activities C. To avoid having to perform any sorting activity D. To maintain a degree of control over its intermediaries 152 . All of the following are stated characteristics of perfect intermediaries except A . They provide services to customers—credit, delivery, installation and product repair—and honor the product warranty conditions B.They carry adequate stocks of the manufacturer's products and a satisfactory assortment of other products C. They have access to the market that the manufacturer wants to reach D. They build product demand for these products by advertising them 153 . In many places much of the population has moved from inner cities to suburbs and thus buyers make most of their purchases in shopping centers and malls. If a manufacturer had a long-term _____ dealership with retailers in the inner city, the ability to adapt to the population shift from inner cities to suburbs could have been severely limited. A. Selective B. Extensive C. Exclusive D. Widespread 154 . More recently, a new view of distribution channels has developed which recognizes that much can be gained by developing long-term commitments and harmony among channel members. This view is referred to as A. Customer service B. Team building C. Relationship marketing D. Conflict resolution 155 . In terms of distribution costs, a distributor of petroleum products might be able to optimize total system performance if it could minimize A. Its inventory carrying costs B. The number of products it sells C. The number of products in the introductory stage of the product life cycle D. The time spent on personal selling 156 . Channels in which members are more dependent on one another and develop long term working relationships in order to improve the efficiency and effectiveness of the system are called A. Virtual marketing systems B. Horizontal marketing systems C. Vertical marketing systems D. Disintegrated marketing systems 157 . _____ involve independent production and distribution companies entering into formal contracts to perform designated marketing functions. A. Administered systems B. Contractual systems C. Selective systems D. Corporate systems 158 . In which of the following type of contractual vertical marketing systems do a group of independent retailers unite and agree to pool buying and managerial resources to improve competitive position? A. Retail cooperative organization B. Wholesaler-sponsored voluntary chain C. Franchising programs D. Sponsored organizational programs 159 . Sears obtains over 50 percent of the goods it sells in its retail stores from companies that it partially or wholly owns. Sears participates in a _____ vertical marketing system. A. Retail cooperative B. Contractual C. Selective D. Corporate 160 . A manufacturer purchasing wholesalers or retailers is called A. Forward integration B. Backward integration C. A wholesaler-sponsored voluntary chain D. A franchising program 161 . Which of the following is an example of backward integration? A. A manufacturer purchasing wholesalers B. A wholesaler purchasing channel members above it C. A wholesaler purchasing retailers D. A manufacturer purchasing retailers 162 . Which of the following key ingredients of a franchised business involves the explanation and codification of prescribed methods of buying and selling? A. Commercial knowledge B. Technical knowledge C. Managerial techniques D. Accounting controls 163 . Merchants that are primarily engaged in buying, taking title to, usually storing and physically handling goods in large quantities and reselling the goods to retailers or to industrial or business users are called A. Retailers B. Logistics companies C. Wholesalers D. Vendors 164 . Which of the following observations about wholesaling is true? A.While producers actively seek out wholesalers for their goods, wholesalers do not actively seek out producers B.Agents, brokers and manufacturers' representatives are types of wholesalers that take title to the merchandise they sell C . Wholesalers create value for retailers, producers and users of goods by performing all or some of the distribution functions efficiently and effectively D. Wholesalers do not typically engage in relationship marketing 165 . _____ carry broad product assortments and compete on the basis of offering a good selection in a number of different product categories and offering lower prices on products in their large assortments. A. Specialty stores B. Mass merchandisers C. Convenience stores D. Catalogs and direct Mails 166 . Mass merchandisers compete with other retailers on the basis of A. Where they are located as they have a wide geographical reach B. The sales promotion done by them, which are substantially better than other retailers C. Offering a good selection in a number of different product categories D. How much personal selling is done by their retail sales forces 167 . Which of the following observations about nonstore retailing is true? A . There is no way a catalog retailer can reduce the disadvantage associated with the fact that consumers can't experience the product before they buy it B.Net sales are higher for products sold through TV home shopping than for products sold through vending machines C.Net sales are higher for products sold through electronic exchanges as compared to catalogs and direct mail D.In the business-to-consumer market, electronic exchange is the fastest growing nonstore method of retailing 168 . All of the following are "information search" oriented questions that Web site designers must contemplate except A. Ease of navigation B. Effectiveness of search features C. Checkout process D. Ease of product comparisons 169 . Which of the following a disadvantage of electronic commerce to marketers? A. Strong price competition B. High entry barriers C. Not suited for homogeneous products D. Does not allow full description of product features and benefits 170 . Which of the following companies would have the greatest disadvantage if it were to try to sell its products through an electronic exchange? A. A well known department store like Sears B. A well-known catalog retailer like Lillian Vernon C. A small perfume manufacturer D. A large consumer products manufacturer 171 . _____ on pricing decisions concern primarily the nature of the target market and expected reactions of consumers to a given price or change in price. A. Government influences B. Environmental influences C. Supply influences D. Demand influences 172 . Which of the following is an example of a demographic factor that is important to the pricing decisions made for a new type of low-fat cereal for children? A. How many boxes of the low-fat cereal will be consumed by a household in a month? B. What price will indicate the quality of the cereal? C. How will price elasticity affect the pricing? D. Will potential buyers be attracted to the cereal if its manufacturer uses odd pricing? 173 . Which of the following is an example of a psychological factor that is important to the pricing decisions made for collectible dolls that sell for $299? A. What is the discretionary income of prospective buyers of the doll? B. Will prospective buyers view the doll's high price as an indicator of high quality? C. Are the prospective buyers of the doll geographically clustered? D. How many prospective buyers can afford to pay this much for a doll? 174 . Hertz economy cars are rented for $129 rather than $130 to appear less expensive. This best describes A. Prestige pricing B. Bundle pricing C. Mark-up pricing D. Odd-even pricing 175 . When Greta went to buy some bedding plants for a flowerbed she was building, she noticed that a six-pack of plants was for $.79, a 3-inch container with one plant was for $.99 and a 5-inch container was for $1.29. This example indicates that the seller is using A. Odd pricing B. Bundle pricing C. Prestige pricing D. Exorbitant pricing 176 . Winnie runs an ice cream cooler at the beach each summer. Her brother doesn't charge her rent for setting up her ice cream cooler in his stand. Each bar of ice cream costs her $.20. She adds on an additional $.20 to each bar to pay for electricity for the freezer, napkins and her time, selling the ice cream finally at $.40 per bar. Winnie uses A. Bundle pricing B. Cost-plus pricing C. Odd pricing D. Markup pricing 177 . In Canada, Home Depot shows it is serious about always having the lowest prices by using an animated hammer that is shown in its ads smashing prices to make them even lower. In the United States, Wal-Mart uses a smiley face in its ads because it has low prices. Both stores are promoting their use of _____ pricing strategy. A. Everyday low B. Target-return C. Rate-of-return D. High/low 178 . Kroger uses a strategy of price discrimination to increase profits. It charges higher prices to customers who are not price sensitive and low prices to price sensitive customers who will wait for sales. Identify the pricing strategy of Kroger. A. Target pricing B. Odd-even pricing C. High/low pricing D. Discount pricing 179 . The estimated production and sales for a coffee table book on celebrity gardening is 50,000 volumes at a total cost of $750,000. Calculate the sales price for each book if the publisher desires a before-tax return of 25 percent. A. $12.50 B. $15.00 C. $18.75 D. $30.00 180 . Which of the following is a product consideration in pricing? A. Affordability B. Distinctiveness C. Target return on investment D. Target market share 181 . Which of the following statements about product distinctiveness is true? A. All commodities have a high degree of distinctiveness B. Producers of fruits, vegetables and processed food cannot increase their products' distinctiveness C.Branding and brand equity are commonly used to make products distinctive in the minds of the customer D. Products can be distinctive in the sense that demand for them is confined to a specific time period 182 . The fixed costs for manufacturing hand-painted wooden decorative plaques are $7,000. The 5- inch oval plaques are sold at craft fairs for $2.25. Variable costs to produce 100 plaques are $100. What is the break-even point in units? A. 1,786 plaques B. 3,111 plaques C. 5,600 plaques D. 7,000 plaques 183 . Manufactured goods can be differentiated on the basis of certain features, such as package, trademark, engineering design and chemical features. These features highlight the _____ of the product. A. Distinctiveness B. Perishability C. Life cycle D. Intangibility 184 . Ned buys old lawn mowers, reconditions them and sells them for $225. He knows he needs to sell 80 mowers to break even. Calculate Ned's variable cost per lawn mower if his fixed costs are $8,000. A. $125 B. $100 C. $80 D. $150 185 . Game Cube video game console was launched with an introductory price of $199.95, which was quite low for products of this category. The reasoning behind this low pricing was that the game cube manufacturers expected competition to move in rapidly. Identify the pricing policy used here. A. Penetration policy B. Prestigious policy C. Skimming policy D. Going-rate policy 186 . For which of the following products is the seller most likely to use going-rate pricing? A. Sports cars B. Wedding apparel C. Whole milk D. Designer furniture 187 . A new device "Sniffer", used for testing alcohol levels in drunken driving suspects, is priced out of the reach of most law enforcement units. Those units that have bought the Sniffer are extremely pleased with its results and the fact that these results are readily accepted in court. There is nothing on the market today that has the accuracy and the portability of the Sniffer. The manufacturer of the Sniffer is likely to be using _____ pricing. A. Penetration B. Odd C. Skimming D. Going-rate 188 . The two most important environmental influences in pricing decisions are competition and A. Price elasticity B. Government regulations C. Demographic conditions D. Psychological factors 189 . Which is the primary law that is used to protect companies from price fixing? A. Sherman Antitrust Act B. Robinson-Patman Act C. Federal Trade Commission Act D. Clayton Act 190 . An important legal constraint on pricing is that A. Promotional pricing, such as cooperative advertising and price deals are illegal per se B . Price fixing is not illegal per se, but sellers must make agreements with competitors or distributors concerning the final price of the goods C. Price discrimination that lessens competition or is deemed injurious to it is outlawed D. Deceptive pricing practices are allowed under Section 5 of the Federal Trade Commission Act 191 . Marking merchandise with an exceptionally high price and then claiming that the lower selling price actually used represents a legitimate price reduction, is an example of A. Deceptive pricing B. Odd pricing C. Bundle pricing D. Mark-up pricing 192 .

How does an organization know if its promotional allowances are legal? A. They are legal if they are given proportionally to all buyers B. They are not legal if they cannot satisfy all consumer wants C. They are legal if they enable the target market to purchase goods at prices lower than other customers D.They are legal if the sellers make agreements with competitors or distributors concerning the final price of the goods 193 . Which legal tool monitors the illegal practice of granting price reductions to some customers under the guise of promotional allowances? A. Clayton Act B. Federal Trade Commission Act C. Robinson-Patman Act D. Sherman-Antitrust Act 194 . The sales of Noritake dinner plates are high even though a Noritake dinner plate is priced relatively high for its product class. This is because it offers high quality, has special features and consumers view it as a prestige product. The pricing used by Noritake can be best described as A. Value pricing B. Markup pricing C. Deceptive pricing D. Bundle pricing 195 . In which step of the general pricing model do we estimate how much of a particular product the target market will purchase at various price levels? A. Analyzing profit potential B. Evaluating product-price relationships C. Changing price as needed D. Estimating costs and other price limitations 196 . One of the price limitations that need to be considered by manufacturers is A. The price that is charged by competitors for similar and substitute products B. Offering quantity discounts for purchasing a large number of units C. The payments made to retailers to get them to stock items on their shelves D. To redesign the product so that its costs are lower

197 . If a product cannot be produced and marketed at a price to cover its costs and provide reasonable profits in the long run, then one possibility is to A. Redesign the product so that its costs are lower B. Mark the product at an exceptionally high price C. Negotiate price fixing agreements with competitors and distributors D. Offer discounts to customers on proportionately unequal terms 198 .

An individual who buys a twenty-four-issue subscription to Ellery Queen Mystery Magazine saves $49 over the single issue newsstand price. This is an example of a A. Quality discount B. Slotting discount C. Quantity discount D. Functional discount

199 . Why do manufacturers offer channel members quantity discounts, promotional allowances and slotting allowances? A. To decrease associated costs of marketing B. To decrease recall memory of competitions' products in consumers' minds C. To take advantage of price inelasticity D. To encourage them to actively market the product

200 . It is common for the manufacturer of a new product to have to pay a retailer $30,000 in order to get the shelf space needed to sell its new product in a particular retail establishment. This $30,000 fee is an example of a A. Slotting allowance B. Promotional allowance C. Quantity allowance D. Rebates allowance

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