Question 1
In the late 1950s and 1960s, television Westerns were extremely popular and included Gunsmoke, Bonanza, Wagon Train, and The Big Valley. When ratings declined as viewers' tastes changed, production companies used a(n) __________ strategy and stopped producing all television Westerns when the networks stopped showing them.
Multiple Choice
diversification
aggregation
segmentation
deletion
Question 2
The United States Army was both praised and criticized for its use of a popular video game, America's Army, which was designed to reach potential recruits. The game's creator, Colonel Casey Wardynski, wanted to provide a sense of the training and teamwork one could find in the Army's military environment. The game was designed for "boys 14 years or older," which represent the Army's
Multiple Choice
mass market.
actual recruits.
restricted market.
target market.
Question 3
A small electronics company has begun production of a small line of high-quality, professional studio-model components targeted at audiophiles who shop at thousands of specialty stores across the United States. How should the small electronics company best distribute its new products?
Multiple Choice
Use its established indirect marketing channel.
Distribute directly to mass market consumers.
Distribute through agents that sell to specialty electronics stores that will feature the new line.
Sell directly to specialty electronics stores that will feature the new line.
Establish its own chain of electronics retail stores.
Question 4
Sherrie sold about $800 worth of produce last weekend at a farmer's market, but it was sunny and warm both days. This Saturday and Sunday are both supposed to be rainy, so she thinks fewer people will attend. She estimates she'll only sell about three-fourths of her total for last time, or $600. This is an example of a(n)
Multiple Choice
direct forecast.
lost-horse forecast.
buyers' intentions forecast.
indirect forecast.
incremental forecast.
Question 5
TransWave International is a small company that has developed a system that uses the Internet and patented electronic sensors as an early-warning device for pipeline leaks. With recent growth in the natural gas industry, the timing is right for this company's success, but it must use __________ advertising so oil companies will know of its product's existence.
Multiple Choice
reminder
competitive
pioneering
institutional
objective
Question 6
Among business products, copiers would be best considered which type of support product?
Multiple Choice
installations
accessory equipment
supplies
industrial services
raw materials
Question 7
Bentley Motors makes one of the world's most prestigious automobile brands, targeting the ultra-luxury segment. Which type of market coverage does Bentley most likely use?
Multiple Choice
intensive distribution
extensive distribution
selective distribution
exclusive distribution
private label distribution
Question 8
The owner of a small restaurant that sells takeout fried chicken and biscuits each month pays $2,500 in rent, $500 in utilities, $750 interest on his loan, insurance premium of $200, and $250 on advertising on local buses. A bucket of chicken is priced at $9.50. Unit variable costs for the bucket of chicken are $5.50. How many buckets of chicken does the restaurant need to sell to break even each month?
Multiple Choice
442 buckets
764 buckets
1,050 buckets
3,150 buckets
4,200 buckets
Question 9
If a marketing manager queries his marketing databases to determine the effect of three different levels of price for a new product, he is using
Multiple Choice
action analysis.
an environmental scan.
a problem search.
situational analysis.
sensitivity analysis.
Question 10
Mrs. Renfro's, Inc., sells 25 different relishes in 45 states. Mrs. Renfro's chipotle corn salsa is so popular that the company cannot make enough to keep its resellers stocked. Its price of $4.50 for a jar seems just right to consumers who savor its hot and spicy taste. The popularity of hot and spicy food is an example of a __________ that Mrs. Renfro's has taken advantage of to make its product a success.
Multiple Choice
barter factor
demand factor
supply factor
consumer index
macroeconomic environmental factor
Question 11
If you know the contents and price of a McDonald's Extra Value Meal, it may serve as __________ to you when you visit other fast-food restaurants and consider the purchase of a meal option there.
Multiple Choice
a marginal analysis
a profit equation
a reference value
a break-even analysis
price elasticity of demand
Question 12
While querying the company's databases, marketing researchers for a convenience store chain discovered that when consumers bought a sandwich, many also purchased toothpaste. Researchers used __________ to uncover the statistical link between the two product categories.
Multiple Choice
linear trend extrapolation
heuristic modeling
data mining
descriptive research
business intelligence
Question 13
Forever Quilting makes quilting kits priced at $120. The costs of the materials that go into each kit total $45. It costs $5 in labor to assemble a kit. The company has monthly expenses of $1,000 for rent and insurance, $200 for heat and electricity, $500 for advertising, and $4,500 for the monthly salary of its owner. Forever Quilting's unit variable cost for its kits is
Multiple Choice
$5.
$45.
$50.
$120.
$170.
Question 14
An important social trend is the continued concern for health and well-being in the United States. This is most likely evidenced by
Multiple Choice
the increased sales of Cigar Aficionado magazine.
the introduction of Lay's Kettle Cooked potato chips, which have 40 percent less fat than regular potato chips.
the opening of more Starbucks coffee boutiques in supermarkets.
the upsizing of menu items at fast-food restaurants.
the introduction of tablet devices such as the iPad.
Question 15
Suppose you are the owner of a picture frame store and you wish to calculate how many pictures you must sell to cover your fixed and variable costs at a given price. Demand for pictures is strong, so the average price customers are willing to pay for each picture frame is $120. Also, suppose your fixed costs (FC) total $32,000 (real estate taxes, interest on a bank loan, etc.) and unit variable cost (UVC) for a picture frame is $40 (labor, glass, frame, and matting). What is the quantity of picture frames you will need to sell to break even?
Multiple Choice
200 picture frames
400 picture frames
800 picture frames
1,600 picture frames
2,000 picture frames
Question 16
Recognized for excellence by Advertising Age, Alma creates advertising to reach diverse segments by searching "for that intangible fiber that touches the lives of consumers creating relevant and unique business-building communication ideas." Alma has created Hispanic campaigns for McDonald's, Sprint, and Clorox as a part of their programs incorporating
Multiple Choice
psychographic differences.
population inputs.
multicultural marketing.
a value consciousness.
macroeconomics.
Question 17
When the Office of National Drug Control Policy ran an ad with the headline, "Marijuana harmless? Didn't see the merging truck," it was using which type of ad appeal?
Multiple Choice
humor
fear
sex
nostalgic
guilt
Question 18
Which of the following quotes from a new-product adopter would signal the need for a firm to counteract a psychological barrier?
Multiple Choice
"I feel self-conscious wearing this."
"What if I can't make the monthly payments?"
"I don't want to try this if it means I have to swallow it with milk."
"Big deal, the only difference is the shape of the package."
"Sure I'll try it; why not!"
Question 19
Prudential, a financial planning firm, offers retirement plans and wealth management advice. These products are most likely targeted toward which generational cohort?
Multiple Choice
Generation X
baby busters
Generation Y
the greatest generation
baby boomers
Question 20
An ad for Citrucel fiber supplement claimed that in a blind taste test, consumers preferred the taste of Citrucel to Metamucil 2 to 1. This ad is an example of __________ advertising.
Multiple Choice
reinforcement
comparative
persuasive
informative
reminder
Question 21
If a bank is known for delivering customer value through its focus on taking great care of customers, it is most likely focusing on providing its customers with the best
Multiple Choice
assortment.
products/services.
price.
customer service.
availability.
Question 22
George and Alice Renfro decided to start a family business in 1990 to produce chowchow, a Southern regional food. To determine how they would price the chowchow, the Renfros had to examine (1) the demand for the product (e.g., would people eat store-bought?); (2) the costs of the jars for and bottling of the chowchow; and (3) the cost to distribute the product to area grocery stores. The Renfros are doing which step of the price-setting process?
Multiple Choice
identifying pricing constraints
estimating break-even points and revenue points
setting the list price
selecting an approximate price level
determining cost, volume, and profit relationships
Question 23
magine that Eveready has developed solar rechargeable batteries that cost only slightly more to produce than the rechargeable batteries currently available. These solar batteries can be recharged by sunlight up to five times, after which they are to be discarded. Unfortunately, the production process cannot be patented, so competitors could enter the market within a year. Which of the following is the best description of the product life cycle of this product?
Multiple Choice
rapid growth followed by rapid decline
long, level beginning, and rapid ascent
moderately slow introduction, followed by modest growth, gradually leveling off
high introductory sales followed by rapid decline
high initial sales followed by slow decline
Question 24
Samsung sells a variety of TVs, from simple and small ones to large smart TVs with Internet connectivity and 3-D technology. Customers prefer different features, so Samsung uses which type of segmentation variable based on their viewing preferences?
Multiple Choice
demographic segmentation
psychographic segmentation
behavioral segmentation
geographic segmentation
socioeconomic segmentation
Question 25
Cessna is considered the volume leader in the executive jet market. It has been described as "almost totally vertically integrated." This quote means that Cessna
Multiple Choice
does not fall under the jurisdiction of any federal regulatory agency.
owns several of the entities that would make up the traditional marketing channel.
has eliminated economies of scale.
has achieved a high level of social responsibility.
uses outsourcing for all component parts and materials.
Question 26
The Lemon Tree is a high-fashion boutique selling top-of-the-line women's clothing and accessories. The keys to its success include knowing customers' changing tastes and providing something different than other retailers. In addition, because of the high value of the merchandise, The Lemon Tree's management is investing in the use of computerized inventory controls and sales order processing. The least important environmental force to The Lemon Tree at this time is likely to be
Multiple Choice
economic.
competitive.
technological.
social.
regulatory.
Question 27
Lands' End will custom-fit a Marinac jacket and make it with additional features such as thumb loops, underarm ventilation slits, and a key clip when you order from LandsEnd.com. This is an example of
Multiple Choice
family branding.
mass customization.
"Tiffany/Walmart" marketing.
market melding.
specialty customization.
Question 28
A testimonial ad for a First Alert carbon monoxide (CO) detector features parents who are discussing the dangers of carbon monoxide poisoning and how purchasing and using the advertised product can avert disaster. Such advertisements use
Multiple Choice
compassionate appeals.
guilt appeals.
family appeals.
fear appeals.
coercive appeals.
Question 29
Oil prices have an impact on transportation costs for many types of products. Should oil prices change, the price consumers pay for products is often adjusted accordingly. Changing oil prices would be an example of a(n) __________ force.
Multiple Choice
social
economic
technological
competitive
regulatory
Question 30
The Vermont Teddy Bear Co. sells handmade teddy bears designed to be given as gifts for almost every occasion imaginable. The Love Bandit Bear is designed for people to give on Valentine's Day. The unique identification number that the Vermont Teddy Bear Co. uses to distinguish this teddy bear from the others in order to track it in the warehouse is called a(n)
Multiple Choice
inventory ID code.
QR code.
NAICS stock code.
order quantity code.
stock keeping unit
