MKT 291 Exam 2

One argument for protectionism is that it
helps defend a nation’s political security.
Tariffs serve primarily to
raise prices on imports.
__________ decides on trade disputes between members across the world, and issues binding decisions.
the WTO
__________ has resulted in more open borders, allowing French tire maker Michelin to close 180 of its European distribution centers and it now uses just 20 to serve all EU countries.
the EU
Proctor & Gamble markets its popular multipurpose cleaner as Mr. Clean in North America and Asia but uses several different brand names like Maestro Limpio and
Mr. Proper in other parts of the world. These differences arise because P&G is a(n) __________ firm.
multinational
Which of the following statements about global brands is most accurate?
A global brand uses the same product formulation or service concept across multiple countries and cultures.
The fact that American women use more cosmetics than American men while French men use twice as many cosmetics as French women is an example of differences in the nations’
customs
Once a company has decided to enter the global marketplace, it must select a means of market entry. As the firm moves from exporting to direct investment, the amount of financial commitment, risk, marketing control, and profit potential__________.
increases
Governments such as China’s may require or strongly encourage a(n) __________ before it allows a foreign company to enter its market.
joint venture
When companies price their products very high in some countries but competitively in others, they face which problem?
a gray market
Marketing research is the process of defining a marketing problem and opportunity, systematically collecting and analyzing information, and __________.
recommending actions
The first step in the five-step marketing research approach is to
define the problem
In marketing research, the research objectives are the __________ goals of the decision maker.
specific and measurable
In a marketing decision, __________ are likely to be restrictions on the time and money available to solve the problem.
constraints
A company is interested in producing self-stick decorative posters. It selects a representative sample of middle school students who currently have one or more standard posters on their walls. After interviewing them and collecting other relevant data, the firm then makes generalizations about what all middle school students want in their posters. The method used is
statistical inference
When a marketing researcher uses a collection of reports, customer letters, financial statements, and surveys from different departments within her firm, she is using
internal secondary data
Which of the following is a form of secondary data?
company sales reports
An advantage of using a panel for marketing research is
researchers can take successive measurements of consumers to determine if they change their purchasing behaviors over time.
The last step in the marketing research approach is to
take marketing actions
Asking the firm’s salespeople to estimate sales during a coming period is referred to as
a salesforce survey forecast.
A good, service, or idea consisting of a bundle of tangible and intangible attributes that satisfies consumers’ needs and is received in exchange for money or something else of value is referred to as a(n)
product
Which of the following is considered a durable good?
a lamp
Services are
intangible activities or benefits that an organization provides to satisfy consumers’ needs in exchange for money or something else of value.
Consumer products are classified based on the: (1) attributes used in making the purchase decision; (2) frequency of purchase; and (3)
effort the consumer spends on the decision
Products that the consumer does not know about or knows about but does not initially want are referred to as
unsought products
When a manager at Target announced to customers, “There is no wait in checkout lanes 2 and 5,” he recognized a need to manage his
idle production capacity
Which of the following products at the time of their introduction was the best example of a continuous innovation?
Blu-Ray player
Ideally, before a new product is developed, a firm should have a precise protocol, which is a statement that identifies: (1) what the product will be and do to satisfy consumers; (2) specific customers’ needs, wants, and preferences; and (3) __________.
a well-defined target market
Research shows that __________ is the single most important factor for a new product to defeat competitive ones—having superior characteristics that deliver unique benefits to the user.
a distinctive point of difference
In the new-product development process, the __________ stage involves specifying the product features and marketing strategy along with making financial projections needed to bring it to market.
business analysis
All products sold by the Tabasco Company use the Tabasco brand. This is an example of __________.
multiproduct branding
When selecting a brand name, it should: (1) suggest product features; (2) be memorable, distinctive and positive; (3) fit the company or product image; (4) have no legal or regulatory restrictions; (5) __________; and (6) have favorable phonetic and semantic associations in other languages.
be simple and emotional
__________ begins with new-product purchases first by innovators, and then by early adopters.
Diffusion of innovation
Profit margins often peak as competitors enter the market and aggressive pricing strategies take hold. This happens during which stage of the product life cycle?
growth
Profit margins often peak as competitors enter the market and aggressive pricing strategies take hold. This happens during which stage of the product life cycle?
growth stage
When a brand name cannot be spoken, it is considered a __________.
logo
An extended introduction stage of the product life cycle occurs for which type of product?
high-learning
Skimming or penetration pricing are appropriate pricing strategies during the __________ stage of a product’s life cycle.
introduction
The seven Ps of services refer to an expanded marketing mix for services that includes the four Ps (product, price, place, and promotion) as well as
people, physical environment, process
Harvesting is an option for a product in the __________ stage of its product life cycle.
decline
Integrated marketing communications (IMC) is
the concept of designing marketing communications programs that coordinates all promotional activities to provide a consistent message across all audiences.
For a message to be communicated effectively, the sender and receiver must have a mutually shared __________.
field of experience
Mass selling refers to
advertising, sales promotions, and public relations activities that are used with groups of prospective buyers.
At which stage in the product life cycle would a company’s promotional objective most likely be to increase the level of consumer awareness?
introduction
Cake mix is in the maturity stage of its product life cycle. A manufacturer selling cake mixes would most likely use advertising to
remind buyers of the marketer’s and its brand’s existence.
What is the promotional objective of the decline stage of the product life cycle?
phase out
Which of the following occurs during the planning stage of the promotion decision process?
set the budget
After reading the daily newspaper, the restaurant owner of Zefferelli’s Tower of Pizza said, “I see that the owner of Fellini’s House of Noodles ran a quarter-page ad in today’s paper. We’ll have to match his efforts by running our own ad the day after tomorrow.” Based on this statement, what promotional budgeting technique is the Zefferelli’s restaurant owner most likely using?
competitive parity budgeting
Which of the following statements regarding direct marketing is most accurate?
Many customers believe direct marketing saves time, is entertaining, and offers privacy.
Factors such as the need for improved reliability and security in postal systems and new government regulations represent important challenges for __________ in the global market.
direct marketing
Comparative advertising is one form of __________ advertising.
competitive
Which of the following is a potential problem when using humorous appeals in advertising?
Humor tends to wear out quickly, boring the consumer.
Reach refers to
the number of different people or households exposed to an advertisement.
One of the disadvantages associated with television as an advertising medium is that it
has a perishable message
Which of the following statements regarding newspaper as an advertising medium is most accurate?
National ad campaigns for major advertisers like P&G rarely use newspapers unless it is in conjunction with local distributors of their products, such as when they use cooperative advertising.
Click fraud refers to
the deceptive clicking of ads solely to increase the amount advertisers must pay.
Continuous scheduling would most likely be used for advertising __________.
chewing gum
Using radio ads in one market and television ads in another and comparing the results is a form of __________.
sales test
For marketers, the primary objective of a premium is to
encourage customers to return frequently or to use more of the product.
National sales meetings sponsored by the manufacturer and field visits to a reseller’s location to inform and motivate salespeople to sell the products are considered forms of
salesforce training