Deck 11: Marketing Processes and Consumer Behavior

Question 1

The reseller market includes farmers,manufacturers,and some retailers.

Answer 1

False
Explanation:The reseller market consists of intermediaries, including wholesalers and retailers, that buy and resell finished goods.

Question 2

Companies with an existing distribution network are at a disadvantage in the global context.

Answer 2

False
Explanation:Established distribution networks are so crucial in the international context that some companies buy companies with existing networks to leverage a competitive advantage.

Question 3

B2B sellers rarely have long-term relationships with buyers.

Answer 3

False
Explanation:In contrast, industrial situations often involve frequent and enduring buyer-seller relationships.

Question 4

Psychographics cannot be changed by marketing efforts.

Question 5

The institutional market is made up of businesses that buy goods to be converted into other products or that are used up during production.

Question 6

The formula for value is benefits divided by costs.

Question 7

Product differentiation is selecting the best price at which to sell a product.

Question 8

Benefits add value by providing features that increase the customer's satisfaction.

Question 9

Marketing consists primarily of advertising a product or service.

Question 10

What is the term for the process of creating,communicating,and delivering value to customers and for managing customer relationships in ways that benefit the organization and its stakeholders?

A) financial planning
B) controlling
C) operations management
D) marketing
E) demographic profiling

Question 11

The B2B market includes industrial,reseller,and government/institutional markets.

Question 12

What is the term for intangible products,such as time,expertise,or an activity that can be purchased?

A) industrial goods
B) personal goods
C) risky assets
D) services
E) ideas

Question 13

Which of the following identifies products that are dissimilar from those of competitors,but can fulfill the same need?

A) brand competition
B) international competition
C) the marketing mix
D) product shift
E) substitute products

Question 14

Geographic variables describe populations by identifying traits,such as age,income,gender,ethnic background,marital status,race,religion,and social class.

Question 15

Target marketing requires dividing a market into categories of customer types or "segments."

Question 16

Rational motives involve nonobjective factors and include sociability,imitation of others,and aesthetics.

Question 17

Time utility is created by a sales agreement that stipulates where products will be delivered to customers.

Question 18

A description such as single,aged 20-34,earning $30,000 a year,is an example of a psychographic variable.

Question 19

Economic conditions greatly influence marketing plans for product offerings.

Question 20

Marketing concepts can be extended to the promotion of ideas.

Question 21

What is data warehousing?

A) a marketing strategy that creates sales agreements that stipulate product delivery
B) the process of dividing a market into categories of customer types
C) the study of consumer needs and wants and the way in which sellers can best meet them
D) the process of collecting, storing, and retrieving data in electronic files
E) a customer identification strategy that targets potential buyers

Question 22

For marketers,what type of variables are lifestyles,opinions,interests,and attitudes?

A) geographic variables
B) demographic variables
C) psychographic variables
D) product use variables
E) labor market variables

Question 23

Congress has conducted hearings on the use of cell phones while driving.What factors would this constitute in a company's external environment?

A) political-legal
B) sociocultural
C) technological
D) competitive
E) demographic

Question 24

What part of the marketing mix includes communicating information about products?

A) product
B) promotion
C) price
D) place
E) psychographics

Question 25

A company decides to introduce a line of crackers made with organically grown grains and vegetables.What environmental trend is the company responding to?

A) competitive
B) sociocultural
C) political-legal
D) economic
E) technological

Question 26

What kind of factor in the business environment are smart phones considered an example of?

A) economic
B) technological
C) global
D) competitive
E) sociocultural

Question 27

Marketing managers often support the activities of political action committees (PACs).In doing this,which environment are they attempting to influence?

A) competitive
B) economic
C) technological
D) political-legal
E) geo-demographic

Question 28

What is the decision process by which customers come to purchase and consume products?

A) marketing
B) segmentation
C) resource management
D) consumer behavior
E) acculturation

Question 29

What type of behavior do consumers exhibit by regularly purchasing products because they are satisfied with their performance?

A) psychological influences
B) need recognition
C) brand loyalty
D) emotional motives
E) consumer activism

Question 30

What are fitness programs and drug regimens to lower cholesterol levels both examples of?

A) brand competition
B) marketing targets
C) substitute products
D) social trends
E) brand extension

Question 31

What type of goods includes raw materials and integrated circuits?

A) substitute products
B) industrial goods
C) consumer goods
D) marketing goods
E) disposable goods

Question 32

A product's benefits include all of the following EXCEPT which?

A) the emotional satisfaction associated with owning the product
B) the satisfaction associated with experiencing the product
C) the time required to purchase the product
D) the functions of the product
E) the acceptance by a peer group

Question 33

Satellite dish and home television shopping provide examples of changes to which of the following external environmental factors that affect marketing?

A) economic
B) technological
C) legal
D) political
E) competitive

Question 34

Which of the following terms describes the kind of products marketed by insurance companies,airlines,investment counselors,health clinics,and public accountants?

A) personal goods
B) services
C) industrial goods
D) psychographics
E) reseller goods

Question 35

What is the term for the type of competition based on buyers' perceptions of the benefits of products offered by particular companies?

A) institutional competition
B) monopolistic competition
C) forced competition
D) perfect competition
E) brand competition

Question 36

What type of marketing is a "loyalty banking" program an example of?

A) industrial marketing
B) relationship marketing
C) social marketing
D) economic marketing
E) consumer marketing

Question 37

What are the tangible and intangible qualities that a company builds into its products?

A) features
B) requirements
C) benefits
D) safety devices
E) guarantees

Question 38

Which is usually the first step in the marketing strategy?

A) distribution
B) product differentiation
C) target market selection
D) pricing
E) integration

Question 39

What is the term for a detailed strategy for focusing marketing efforts on consumers' needs and wants?

A) marketing mix
B) marketing manager
C) product differentiation
D) product development
E) marketing plan

Question 40

What is the term that encompasses a good,a service,or an idea designed to fill a consumer need?

A) product
B) firm
C) want
D) utility
E) condition

Question 41

Which of the following occurs between similar products and is based on buyers' perceptions of the benefits of products offered by particular companies?

A) international competition
B) substitute competition
C) brand competition
D) benefit competition
E) placement competition

Question 42

What does the process of "positioning" involve?

A) hiring only employees who have the strongest credentials
B) designing a company's products to appeal to target customers
C) focusing on only one component of the marketing mix
D) disregarding customers' reactions to a company's products
E) reorganizing employees according to seniority

Question 43

What would be the BEST target market for waterproof fragrances?

A) male lifeguards
B) college fraternity members
C) Olympic ice skaters
D) school-aged children who live in warm climates
E) female swimmers and divers

Question 44

Burberry is repositioning itself as a global luxury brand,such as Gucci and Louis Vuitton,a strategy that calls for luring fashion-conscious customers.This is an example of what type of market segmentation?

A) geographic
B) demographic
C) psychographic
D) product-use
E) strategic

Question 45

Little Earth Productions is a company that makes fashion accessories such as handbags.After examining shopping habits,what should they focus on for better visibility of the product for customers?

A) better shipping techniques
B) better in-store displays
C) zero response time
D) lower pricing
E) distribution

Question 46

Some products can be sold abroad with virtually no changes.Which of the following is an example of such a product?

A) Coca-Cola
B) electric razors
C) Gerber baby food
D) Apple computers
E) fruit juices

Question 47

Which of the following is the BEST example of a B2B market transaction?

A) A college student buys dorm furniture from an on-campus store.
B) A group of teenage girls buy new clothes for the upcoming school year.
C) A high-school coach borrows sports equipment from a neighboring school.
D) A dentist provides free toothbrushes to patients.
E) A chain of ice cream parlors regularly purchases napkins from the same supplier.

Question 48

What do B2B buyer-seller situations often involve?

A) frequent and enduring buyer-seller relationships
B) incidental buyer-seller interactions
C) buyers and sellers with limited training
D) short-term buyer-seller relationships
E) commercial buyer-seller networks

Question 49

Accessing a Web site in search of magazine articles about a product before its purchase is an example of what part of the consumer buying process?

A) post-purchase evaluation
B) problem-solving
C) information seeking
D) purchasing the product
E) recognizing a need

Question 50

Reading the relevant issues of Consumer Reports prior to purchasing a product is an example of what part of the consumer buying process?

A) problem recognition
B) information seeking
C) selecting substitutes
D) need recognition
E) consideration setting

Question 51

Which of the following is the LEAST important influence on consumer behavior?

A) psychological factors
B) personal factors
C) social factors
D) technological factors
E) cultural factors

Question 52

In consumer behavior,what is the name for the influences that include the "way of living" that distinguishes one large group from another and one ethnic group from another?

A) psychological
B) personal
C) social
D) domestic
E) cultural

Question 53

Garrett is in the business of selling baseball bats.He decides to employ focus groups to determine which bats will likely be bestsellers.Which of the following groups will he be LEAST likely to invite as participants?

A) players from the state's professional baseball team
B) local college and high school coaches
C) administrators of the local Little League baseball program
D) spectators at a baseball tournament
E) junior high players from the surrounding counties

Question 54

Quinn Clothes is a successful business selling fashionable and athletic swimwear.The marketing staff has said that the company's plan to develop and market waterproof perfumes might be hindered by a lack of experience in the perfume field.Which of the following is the BEST response to that weakness?

A) Hire a chemist to develop the fragrances.
B) Seek product ideas from existing staff.
C) Employ new graphic designers to develop a new logo.
D) Ensure that the perfume can be sold in the same retail stores as the swimwear.
E) Rethink the company's promotional approach to selling products.

Question 55

Tamika starts a business making teddy bears and elects to use focus groups to determine whether customized bears would be well received in a hospital setting.The focus groups prove to be unhelpful in answering this question.Which of the following could NOT be a valid explanation?

A) Not enough focus groups were used.
B) Focus groups are not a recommended method for obtaining people's opinions.
C) The people in the focus groups could not relate to a hospitalized child's experience.
D) Responses from focus group members were not recorded accurately.
E) The questions asked were not designed to reveal the information being sought.

Question 56

What do consumers exhibit when they regularly purchase products because they are satisfied with the products' performance?

A) aspirations
B) cultural influence
C) social influence
D) brand loyalty
E) expectations

Question 57

Leif designs and sells surfboards.Although his sales are declining,he decides to keep his prices constant.Which of the following statements,if true,would support Leif's decision?

A) Surfboards at other shops in the region are priced lower.
B) Customers rate Leif's surfboards as being of about average quality.
C) Demand for surfboards has been declining for several years.
D) Leif offers a much wider variety of surfboards than his competitors do.
E) Leif has calculated that lowering prices would reduce profits.

Question 58

Which of the following is the BEST example of an emotional motive in consumer purchasing?

A) A major shoe company purchases the latest designer styles in order to please customers.
B) A leather shop provides goods to local handbag makers.
C) A businesswoman buys a new suit for an important presentation.
D) A housewife donates unworn dresses to a resale shop.
E) A group of neighborhood moms holds a free childcare seminar for new mothers.

Question 59

Marketing does not stop with the sale of a product.What is the term that describes what happens after the sale?

A) postpurchase evaluation
B) prepurchase evaluation
C) rational motives
D) emotional motives
E) evoked set

Question 60

Tamika starts a business making teddy bears and is excited to deliver the first batch to young patients.When Tamika arrives at the hospital,she learns that she has more bears than she needs.Which of the following would likely explain this?

A) Tamika failed to collect primary data.
B) Tamika did not interview all of the children.
C) Tamika was not told that five more children had been admitted.
D) Tamika conducted too much market research.
E) Tamika received incorrect secondary data from the hospital.

Question 61

During 2010,Macmoo completed fewer real estate transactions than it did during any similar time period during the last five years.Still,the Marketing Director claims that its marketing efforts led to very positive financial results for Macmoo.Which of the following,if true,would resolve this seeming discrepancy?

A) In 2010, Macmoo spent more on advertising than it did in 2009.
B) In 2010, Macmoo diverted marketing efforts to support several corporate social responsibility initiatives.
C) Sales projections completed in 2010 predicted even lower sales volume in 2011.
D) In 2010, marketing efforts focused on sales of very expensive properties.
E) In 2010, Macmoo's principal competitors cut back on their marketing expenditures.

Question 62

The director of marketing argues that Dinasonic should alter its marketing strategy in different countries by adapting its methods of advertising.Which of the following,if true,would support this position?

A) Dinasonic has won awards for its advertising campaigns.
B) Consumers in most countries are attracted to American consumer goods.
C) Laws regulating advertising vary between different countries.
D) Dinasonic has several sales managers experienced in international sales.
E) The company is planning to subcontract some of its international sales operations.

Question 63

Which of the following,if true,would weaken the CEO's position?

A) Young males have shown strong brand loyalty to the current market leader in energy drinks.
B) Young males are especially likely to be opinion leaders on many lifestyle issues.
C) Clothing companies typically segment more precisely than beverage companies.
D) Even effective targeting does not guarantee success when it is followed by ineffective positioning.
E) As compared to other groups, young males spend a high percentage of their income on discretionary purchases.

Question 64

Explain the difference between demographic variables and psychographic variables.

Question 65

The president of DVD Heaven has been talking to several other business owners,and now expresses some concerns over developing the e-commerce side of the business.The vice president argues that it is essential for continued growth,but the president argues that there are too many consumer concerns.Which of the following statements,if true,would NOT support the argument being made by the president regarding consumer concerns?

A) Fraudulent businesses are being set up and run on the Internet. Many consumers would rather enter a building that houses a business they know really exists.
B) Identity theft and the theft of credit card numbers can occur when ordering online.
C) Privacy can be compromised on the Internet, and unethical e-businesses can track or sell sensitive information such as buying patterns.
D) College students are five times more likely to order over the Internet than older adults.
E) Customers like to see and feel products before ordering them.

Question 66

Which of the following practices would support the CEO's argument?

A) Penelope's Pizza decides to seek a contract with PepsiCo to feature Pepsi soft drinks.
B) Penelope's Pizza employees all must wear the same uniform.
C) Penelope's corporate Web site has links to individual stores for ordering pizza online.
D) All Penelope's Pizza restaurants have an art deco interior design.
E) Penelope's Pizza encourages individual stores to create their own menu options and pricing structure.

Question 67

Which of the following,if true about the real estate industry in general,would weaken the Marketing Director's argument?

A) The demand for houses is higher than it was last year.
B) The supply of houses for sale is lower than it was last year.
C) Sales are generally higher in March than in February.
D) Sales are generally higher in April than in March.
E) In February, home loan interest rates dropped.

Question 68

Which of the following is assumed by the Marketing Director's argument?

A) Real estate transactions can usually be completed in one month.
B) The rates for advertising during the spring are lower than the rates during other times of the year.
C) Other real estate companies increase the amount they spend on advertising during March.
D) The spring advertising campaign is better at promoting general awareness of the Macmoo brand than it is at generating sales leads.
E) The spring advertising campaign is equally effective for commercial real estate and private real estate.

Question 69

The vice president of marketing suggests opening a Facebook page for DVD Heaven,but the president argues that social media sites would not help its business.Which of the following statements,if true,would support the argument made by the president for NOT using social media sites as part of DVD Heaven's advertising strategy?

A) Social media is changing so rapidly that what is relevant today may easily be outdated tomorrow.
B) Search ads combined with social media campaigns lead to higher results for products than just using general search ads.
C) Brands entered in social networks as topics or members of the community can build customer relations.
D) Social media sites can increase buzz and word of mouth simply by conversation about a product or business.
E) Social media sites provide real-time discussions that can include the latest DVDs available or recommendations for DVD purchases.

Question 70

The director of marketing argues that Dinasonic should use an adaptation strategy for its marketing because its products will need to be adapted to different markets.Which of the following,if true,would strengthen this position?

A) Dinasonic's products have consistently had the most competitive prices in the U.S. market.
B) For the kinds of products that Dinasonic makes, preferences for their use vary between different cultures.
C) Dinasonic will not face much competition in the countries in which it plans to sell its products.
D) Dinasonic will have a limited advertising budget for its international marketing efforts.
E) Dinasonic has consistently gained in market share in the United States over the last several years.

Question 71

Which of the following,if true,would weaken the VP of Operation's position?

A) Success in the energy drink market was an important goal mentioned in the company's annual report.
B) Young males have demonstrated low awareness of many soda brands.
C) Professionals tend to have more disposable income than nonprofessionals.
D) Concern over social responsibility is rising across a wide variety of market segments.
E) Professionals are more likely than nonprofessionals to be concerned about the long-term health effects of energy drinks.

Question 72

Which of the following,if true,would support the CEO's position?

A) Snazzy decided that producing a line of energy drinks would be more profitable than attempting to penetrate international markets.
B) Young males, as a group, consume more energy drinks than any other market segment.
C) Energy drinks cost more per ounce than other popular beverages.
D) Energy drink manufacturers have recently tried to associate their product with positive social causes.
E) Different companies define "young" differently.

Question 73

Which of the following,if true,would MOST strongly support the VP of Operation's position?

A) Industry-leading companies tend to target as wide a market as possible.
B) Female professionals are more likely to stay with a known brand for expensive items such as cars.
C) Female professionals tend to have a strongly positive opinion of Snazzy's current products.
D) Young females consume more energy drinks per person than does the general population.
E) Male professionals often report a lack of energy while at work.

Question 74

Hilltel's head of marketing thinks that a standardized marketing strategy will allow the company to portray a consistent global brand.Which of the following,if true about using a single marketing approach,would strengthen his case?

A) The company would face more competition overseas than otherwise.
B) The company's products would need to be of the most recent technology.
C) The prices of the company's products will be the same everywhere in the world.
D) An international marketing team would need to be hired to craft an appropriate strategy.
E) The company's products could be standardized accordingly.

Question 75

Why is product development a long and expensive process?

Question 76

Hilltel's CEO thinks that having a standardized marketing strategy will enable the company to control and plan production better.Which of the following,if true about using a single marketing approach,would strengthen her case?

A) It means the company will sell in the same way to countries regardless of culture.
B) It allows for simplifying inventory and quality control processes.
C) It means that more employees will need to be hired at the company's headquarters.
D) It locks the company into one marketing strategy for the long term.
E) It means that more extensive managerial oversight in sales will be needed.

Question 77

The director of marketing argues that Dinasonic's products will need to be adapted to local markets to fit the standard of living in other countries.Which of the following,if true,would strengthen this position?

A) Dinasonic plans to enter only markets in advanced economies.
B) Dinasonic has some of the best marketing talent in the industry.
C) Dinasonic's manufacturing processes are very cost-effective.
D) None of Dinasonic's major competitors will be entering the same markets Dinasonic will.
E) Many consumers in developing economies would not be able to afford Dinasonic's products.

Question 78

Penelope's Pizza also wants to be at the forefront of current trends and changes in the practice of advertising.The account manager wants to focus on consumer-generated advertising via YouTube,Twitter,and Facebook,whereas the CEO prefers to focus on mainstream media.Which of the following,if true,would support the position of the account manager?

A) The number of television cable channels has skyrocketed in recent years.
B) Over the same time, the four major television networks suffered a 20 percent decrease in viewership, leading to a reduction in advertising rates.
C) The emphasis on effectiveness and accountability has lowered the production costs for a 30-second television commercial.
D) Television networks are seeking to ban the feature in recording devices that allows viewers to record television shows while deleting all commercial messages.
E) Young adults, under the age of 30, consume the largest amount of pizza per capita, and are the greatest users of social media.

Question 79

Which of the following questions is LEAST relevant to Snazzy Sodas' evaluation of the desirability of the young male market segment?

A) What is the percentage of young males in the general population?
B) What attitudes do members of this group likely have about Snazzy Sodas?
C) How does the consumption of energy drinks by young males compare to the consumption patterns of other groups?
D) Would Snazzy Sodas be likely to target young males if it were producing a different product?
E) Are young males likely to consider a company's reputation for social responsibility when they purchase energy drinks?

Question 80

After becoming a successful national brand,Penelope's Pizza has made the decision to expand overseas and enter the global market.Using a globally integrated marketing plan,Penelope's plans to enter the pizza market in Germany,Japan,and India.The CEO wants to use an adaptation plan in the new markets,and thus offer kielbasa pizza in Germany,sushi pizza in Japan,and vegetarian pizza in India.The advertising firm recommends a standardization approach as being more cost efficient and brand identifiable.Which statement,if true,supports the CEO's argument?

A) Traditionally, all three markets are slow to adapt to the idea of fast food, and prefer meals with known ingredients that are familiar to them.
B) The cost of introducing new ingredients to the menu will increase the price of pizza by 15 percent.
C) Marketing surveys show that the under-30 generation in each of the three countries is increasingly eager to consume American fast food as a status symbol of increasing wealth.
D) The current economic slump has decreased the volume of sales for all fast foods on a global basis.
E) Obtaining vendors for new pizza toppings would require the hiring of additional translators in each country.