26) When focus group interviews are used in marketing, A. The typical group size is 15 to 20 typical consumers whether online or off-line. B. Each person in the group answers the same questionnaire, to focus the discussion. C. It is primarily as a follow-up to more quantitative research. D. The research conclusions will vary depending on who watches the interview whether online or off-line.
27) Marketing research which seeks structured responses that can be summarized is called: A. Quantitative research. B. Focus group research. C. Qualitative research. D. Situation analysis research.
28) The marketing manager at Massimino & McCarthy, a chain of retail stores that sells men's clothing, is reviewing marketing research data to try to determine if changes in marketing strategy are needed. Which of the following sources of data would be a secondary data source? A. Reviewing videotapes of a recent focus group. B. Looking through the company's marketing information system to see past sales trends. C. Making phone calls to some of the best customers to learn their interest in a new line of clothing. D. Spending time in stores observing customers' behavior.
29) A small manufacturing firm has just experienced a rapid drop in sales. The marketing manager thinks that he knows what the problem is and has been carefully analyzing secondary data to check his thinking. His next step should be to: A. Develop a formal research project to gather primary data. B. Conduct an experiment. C. Conduct informal discussion with outsiders, including intermediaries, to see if he has correctly defined the problem. D. Develop a hypothesis and predict the future behavior of sales.
30) The attitudes and behavior patterns of people are part of the A. Social and cultural environment. B. Political environment. C. Competitive environment. D. Firm's resources and objectives.
31) Market segmentation: A. Is the same thing as positioning. B. Assumes that most submarkets can be satisfied by the same marketing mix. C. Tries to identify homogeneous submarkets within a product-market. D. Means the same thing as marketing strategy planning.
32) Which is the first step in market segmentation? A. Naming a broad product-market of interest to the firm. B. Clustering people with similar needs into a market segment. C. Evaluating market segments to determine if they are large enough. D. Finding one or two demographic characteristics to divide up the whole mass market.
33) The first step in market segmentation should be: A. Finding a demographic group likely to use your products. B. Evaluating what segment(s) you currently serve. C. Defining some broad product-markets where you may be able to operate profitably. D. Deciding what new product you could develop.
34) Which of the following is NOT one of the text's product life cycle stages? A. Market introduction B. Market penetration C. Market growth D. Market maturity
35) The product life cycle: A. Applies more to individual brands than to categories or types of products. B. Has five major stages. C. Shows that sales and profits tend to move together over time. D. Describes the stages a new product idea goes through from beginning to end.
36) Tom and Sally Jones are preparing to purchase a new car. He currently has a Toyota Camry and she has a Honda Accord. They now have two children under age 5, so they plan to trade in Sally's car to purchase a minivan. Sally and Tom decided on a Honda Odyssey because Sally is familiar with Hondas and thinks they are very reliable. In this purchase situation, Tom and Sally's family life cycle stage is a _____________ segmentation dimension, and the benefit Sally seeks (reliability) is a _____________ segmentation dimension. A. Geographic; behavioral. B. Demographic; behavioral. C. Demographic; geographic. D. Geographic; demographic.
37) During the MARKET INTRODUCTION stage of the product life cycle: A. Much money is spent on Promotion, while spending on Place is left until later. B. Price and promotion are more important than Place and Product. C. Money is invested-in the hope of FUTURE profits. D. Large profits are typical-until competition arrives.
38) During the market introduction stage of the product life cycle: A. Most potential customers are quite anxious to try out the new-product concept. B. Products usually show large profits if marketers have successfully carved out new markets. C. Funds are being invested in marketing with the expectation of future profits. D. Considerable money is spent on promotion while place development is left until later stages.
39) Which of the following observations concerning the market maturity stage is NOT TRUE? A. New firms cannot enter the market at this stage. B. There is a long-run downward pressure on prices. C. Promotion costs rise and some competitors cut prices to attract business. D. Many aggressive competitors have entered the race for profits.
40) Advertising allowances A. Allow for coordination and integration of ad messages in the channel. B. Involve intermediaries and producers sharing in the cost of ads. C. Set the allowance amount as a percent of the retailer's actual purchases. D. Are price reductions to firms further along in the channel to encourage them to advertise or otherwise promote the firm's products locally.
41) Price reductions given to channel members to encourage them to advertise or otherwise promote a firm's products locally are: A. Push money allowances. B. Brokerage allowances. C. Advertising allowances. D. Quantity discounts.
42) Noise (in the traditional communication process) refers to: A. Any distractions that reduce the effectiveness of the communication process. B. Efforts by a firm's competitors to block its message channel. C. Messages which are too loud or bold. D. Radio advertising interference only.
43) American Tourister, Inc.-a producer of luggage-is planning to introduce a new product line. The marketing manager is having her sales force call on retailers to explain American Tourister's consumer advertising plans, the unique features of the new luggage, how the distributors can best promote it, and what sales volume and profit margins they can reasonably expect. This is an example of: A. A pulling policy. B. A pushing policy. C. Selective distribution. D. Intensive distribution.
44) A producer using very aggressive promotion to get final consumers to ask intermediaries for a new product has: A. A pulling policy B. A pushing policy. C. A selective distribution policy. D. A target marketing policy.
51) Which of the following is NOT a trend affecting marketing strategy planning in the area of international marketing? A. Tensions between have and have-not cultures. B. Decreasing role of airfreight. C. Global communication over the Internet. D. More attention to exporting by small companies.
52) Which of the following statements DOES NOT indicate that a marketing manager is about to make a serious mistake? A. "When it comes to my marketing strategy, if it ain't broke, don't fix it." B. "I try to place myself in the position of the consumer and do unto others as I would have them do unto me." C. "I leave marketing applications of technology to the information technology staff. There's no need for me to learn about them." D. "International competition is just a fad. We can ignore it."
53) Which of the following is a key trend affecting marketing strategy planning? A. Senior and ethnic submarkets are getting smaller. B. Growth of marketing information systems. C. Less use of technology in personal selling. D. Slower new-product development.
54) It is usually the _________ job, perhaps with help from specialists in technology, to decide what types of sales technology tools are needed and how they will be used. A. Marketing executive's B. Sales manager's C. Purchasing manager's D. Procurement manager's
55) Many Internet sites, such as Autobytel.com and Edmunds.com, have extensive information about the prices of new and used vehicles that anyone can use for free. In light of the availability of this information, what is the responsibility of consumers to use it? A. Consumers can use it, but should not feel a responsibility to do so. B. Consumers should not use it because it gives them an unfair advantage over car dealers. C. Consumers should not trust any information they receive from any source except the government. D. Consumers have a responsibility to use the information and be smarter customers.
56) Which of the following statements about ethical behavior in business is true? A. The legal environment sets the minimum standards of ethical behavior B. The legal environment sets the highest standards of ethical behavior. C. The legal environment sets the normative standards of ethical behavior. D. The legal environment sets the maximum standards of ethical behavior.
57) The future poses many challenges for marketing managers because: A. It is marketing managers who have full responsibility to preserve our macro-marketing system. B. New technologies are making it easier to abuse consumers' rights to privacy. C. Social responsibility applies only to firms-not to consumers. D. The marketing concept has become obsolete.
27) Marketing research which seeks structured responses that can be summarized is called: A. Quantitative research. B. Focus group research. C. Qualitative research. D. Situation analysis research.
28) The marketing manager at Massimino & McCarthy, a chain of retail stores that sells men's clothing, is reviewing marketing research data to try to determine if changes in marketing strategy are needed. Which of the following sources of data would be a secondary data source? A. Reviewing videotapes of a recent focus group. B. Looking through the company's marketing information system to see past sales trends. C. Making phone calls to some of the best customers to learn their interest in a new line of clothing. D. Spending time in stores observing customers' behavior.
29) A small manufacturing firm has just experienced a rapid drop in sales. The marketing manager thinks that he knows what the problem is and has been carefully analyzing secondary data to check his thinking. His next step should be to: A. Develop a formal research project to gather primary data. B. Conduct an experiment. C. Conduct informal discussion with outsiders, including intermediaries, to see if he has correctly defined the problem. D. Develop a hypothesis and predict the future behavior of sales.
30) The attitudes and behavior patterns of people are part of the A. Social and cultural environment. B. Political environment. C. Competitive environment. D. Firm's resources and objectives.
31) Market segmentation: A. Is the same thing as positioning. B. Assumes that most submarkets can be satisfied by the same marketing mix. C. Tries to identify homogeneous submarkets within a product-market. D. Means the same thing as marketing strategy planning.
32) Which is the first step in market segmentation? A. Naming a broad product-market of interest to the firm. B. Clustering people with similar needs into a market segment. C. Evaluating market segments to determine if they are large enough. D. Finding one or two demographic characteristics to divide up the whole mass market.
33) The first step in market segmentation should be: A. Finding a demographic group likely to use your products. B. Evaluating what segment(s) you currently serve. C. Defining some broad product-markets where you may be able to operate profitably. D. Deciding what new product you could develop.
34) Which of the following is NOT one of the text's product life cycle stages? A. Market introduction B. Market penetration C. Market growth D. Market maturity
35) The product life cycle: A. Applies more to individual brands than to categories or types of products. B. Has five major stages. C. Shows that sales and profits tend to move together over time. D. Describes the stages a new product idea goes through from beginning to end.
36) Tom and Sally Jones are preparing to purchase a new car. He currently has a Toyota Camry and she has a Honda Accord. They now have two children under age 5, so they plan to trade in Sally's car to purchase a minivan. Sally and Tom decided on a Honda Odyssey because Sally is familiar with Hondas and thinks they are very reliable. In this purchase situation, Tom and Sally's family life cycle stage is a _____________ segmentation dimension, and the benefit Sally seeks (reliability) is a _____________ segmentation dimension. A. Geographic; behavioral. B. Demographic; behavioral. C. Demographic; geographic. D. Geographic; demographic.
37) During the MARKET INTRODUCTION stage of the product life cycle: A. Much money is spent on Promotion, while spending on Place is left until later. B. Price and promotion are more important than Place and Product. C. Money is invested-in the hope of FUTURE profits. D. Large profits are typical-until competition arrives.
38) During the market introduction stage of the product life cycle: A. Most potential customers are quite anxious to try out the new-product concept. B. Products usually show large profits if marketers have successfully carved out new markets. C. Funds are being invested in marketing with the expectation of future profits. D. Considerable money is spent on promotion while place development is left until later stages.
39) Which of the following observations concerning the market maturity stage is NOT TRUE? A. New firms cannot enter the market at this stage. B. There is a long-run downward pressure on prices. C. Promotion costs rise and some competitors cut prices to attract business. D. Many aggressive competitors have entered the race for profits.
40) Advertising allowances A. Allow for coordination and integration of ad messages in the channel. B. Involve intermediaries and producers sharing in the cost of ads. C. Set the allowance amount as a percent of the retailer's actual purchases. D. Are price reductions to firms further along in the channel to encourage them to advertise or otherwise promote the firm's products locally.
41) Price reductions given to channel members to encourage them to advertise or otherwise promote a firm's products locally are: A. Push money allowances. B. Brokerage allowances. C. Advertising allowances. D. Quantity discounts.
42) Noise (in the traditional communication process) refers to: A. Any distractions that reduce the effectiveness of the communication process. B. Efforts by a firm's competitors to block its message channel. C. Messages which are too loud or bold. D. Radio advertising interference only.
43) American Tourister, Inc.-a producer of luggage-is planning to introduce a new product line. The marketing manager is having her sales force call on retailers to explain American Tourister's consumer advertising plans, the unique features of the new luggage, how the distributors can best promote it, and what sales volume and profit margins they can reasonably expect. This is an example of: A. A pulling policy. B. A pushing policy. C. Selective distribution. D. Intensive distribution.
44) A producer using very aggressive promotion to get final consumers to ask intermediaries for a new product has: A. A pulling policy B. A pushing policy. C. A selective distribution policy. D. A target marketing policy.
51) Which of the following is NOT a trend affecting marketing strategy planning in the area of international marketing? A. Tensions between have and have-not cultures. B. Decreasing role of airfreight. C. Global communication over the Internet. D. More attention to exporting by small companies.
52) Which of the following statements DOES NOT indicate that a marketing manager is about to make a serious mistake? A. "When it comes to my marketing strategy, if it ain't broke, don't fix it." B. "I try to place myself in the position of the consumer and do unto others as I would have them do unto me." C. "I leave marketing applications of technology to the information technology staff. There's no need for me to learn about them." D. "International competition is just a fad. We can ignore it."
53) Which of the following is a key trend affecting marketing strategy planning? A. Senior and ethnic submarkets are getting smaller. B. Growth of marketing information systems. C. Less use of technology in personal selling. D. Slower new-product development.
54) It is usually the _________ job, perhaps with help from specialists in technology, to decide what types of sales technology tools are needed and how they will be used. A. Marketing executive's B. Sales manager's C. Purchasing manager's D. Procurement manager's
55) Many Internet sites, such as Autobytel.com and Edmunds.com, have extensive information about the prices of new and used vehicles that anyone can use for free. In light of the availability of this information, what is the responsibility of consumers to use it? A. Consumers can use it, but should not feel a responsibility to do so. B. Consumers should not use it because it gives them an unfair advantage over car dealers. C. Consumers should not trust any information they receive from any source except the government. D. Consumers have a responsibility to use the information and be smarter customers.
56) Which of the following statements about ethical behavior in business is true? A. The legal environment sets the minimum standards of ethical behavior B. The legal environment sets the highest standards of ethical behavior. C. The legal environment sets the normative standards of ethical behavior. D. The legal environment sets the maximum standards of ethical behavior.
57) The future poses many challenges for marketing managers because: A. It is marketing managers who have full responsibility to preserve our macro-marketing system. B. New technologies are making it easier to abuse consumers' rights to privacy. C. Social responsibility applies only to firms-not to consumers. D. The marketing concept has become obsolete.
