Ch 11-15

Question 1

Ownership utility satisfies wants by providing goods and services at a convenient place for customers.

Answer 1

Ch 11

False

Question 2

Customer relationship management is the ongoing process of acquiring, maintaining, and growing profitable relationships by delivering unmatched value.

Answer 2

Ch 11

True

Question 3

Nike created a marketing initiative in China called “hip hoop” to develop the youth market for sneakers. Nike’s marketing approach paid off with the sales in 2010 growing 23%. Nike’s “hip hoop” marketing approach is an example of the consumer market segmentation known as demographic segmentation.

Answer 3

Ch 11

True

Question 4

Motivation and attitudes are both major elements of the cultural influences on consumer decision making.

Answer 4

Ch 11

False

Question 5

The consumer decision-making process involves need recognition, the search for information, evaluation of alternatives, the purchase decision, and postpurchase behavior.

Answer 5

Ch 11

True

Question 6

Marketers use the Internet to reach larger audiences with 24/7 access to information and product choices from all over the world.

Answer 6

Ch 11

True

Question 7

Utility is the ability of goods and services to satisfy consumer “wants.”

Answer 7

Ch 11

True

Question 8

In today’s relationship era of marketing, the emphasis is on finding ways to quickly reach new customers.

Answer 8

Ch 11

False

Question 9

Ellie wants to do some marketing research to uncover the attitudes and motivations that shape consumer choices. The best way to obtain this information would be to use observation research to obtain primary data.

Answer 9

Ch 11

False

Question 10

Social responsibility has become a marketing goal for companies in response to consumer demands for broader community support.

Answer 10

Ch 11

True

Question 11

Core benefits are provided by augmentations to the actual product.

Answer 11

Ch 12

False

Question 12

The brand name, features, and the packaging of a product are considered part of the actual product.

Answer 12

Ch 12

True

Question 13

The decision by Coca-Cola to begin selling breakfast cereal under the Coca-Cola brand name would be an example of a brand extension.

Answer 13

Ch 12

True

Question 14

For a business to thrive long term, effective new product development is vital.

Answer 14

Ch 12

True

Question 15

The goal of dynamically continuous product innovation is to find a way to produce a product more efficiently than competitors in order to offer it at a lower price.

Answer 15

Ch 12

False

Question 16

The continuously changing format of audio books from cassette to CD to MP3 are examples of continuous innovation.

Answer 16

Ch 12

True

Question 17

Marketing experts have determined that the product diffusion rate is really influenced by only three factors: compatibility, image, and sustainability.

Answer 17

Ch 12

False

Question 18

Integrated marketing communication (IMC) is used to coordinate the delivery of a consistent message to consumers through multiple promotional channels.

Answer 18

Ch 12

True

Question 19

Using integrated marketing communication involves creating different product messages for different media in order to adjust for the unique strengths and weaknesses of each medium.

Answer 19

Ch 12

False

Question 20

Coca Cola’s slogan “Open happiness” is an example of a big idea based on an emotional premise.

Answer 20

CH 12

True

Question 21

The channel of distribution refers to the actual movement of products as they travel from the producer to the ultimate consumer.

Answer 21

Ch 13

False

Question 22

Physical distribution occurs as products actually travel along the distribution pathway.

Answer 22

Ch 13

True

Question 23

Cash and carry wholesalers are full-service merchant wholesalers who specialize in selling to small retailers.

Answer 23

Ch 13

False

Question 24

Examples of limited service wholesalers include drop shippers, truck jobbers, and cash and carry wholesalers.

Answer 24

Ch 13

True

Question 25

Everyday-low pricing is a pricing strategy that is consistent with a goal of achieving long-term profitability through high volume.

Answer 25

Ch 13

True

Question 26

Penetration pricing makes the most sense in situations where a significant group of potential customers are willing to pay a premium price for the good.

Answer 26

Ch 13

False

Question 27

High/low pricing is the strategy of charging some customers a high price while charging other customers a low price for exactly the same product at the same time.

Answer 27

Ch 13

False

Question 28

Marketers who want to boost volume are likely to use skimming pricing.

Answer 28

Ch 13

False

Question 29

Zappos, Overstock.com, and Amazon.com are examples of online retailers who offer the best customer service according to the National Retail Federation.

Answer 29

Ch 13

True

Question 30

Best Buy, Home Depot, and Staples are examples of retailers who rely mainly on outlet stores.

Answer 30

Ch 13

False

Question 31

Management is achieving the goals of an organization through planning, organizing, leading, and controlling organizational resources including people, money, and time.

Answer 31

Ch 14

True

Question 32

Top management usually performs the task of strategic planning, a process that requires the managers to develop a conceptual approach to the business.

Answer 32

Ch 14

True

Question 33

Theory Y managers tend to believe that workers usually lack the intelligence and motivation to perform complex jobs

Answer 33

Ch 14

False

Question 34

Theory X managers assume that workers dislike their jobs and prefer to be directed rather than use their own initiative.

Answer 34

Ch 14

True

Question 35

Victor Vroom was the first proponent of equity theory.

Answer 35

Ch 14

False

Question 36

A SWOT analysis is a strategic planning tool that evaluates a company’s competitive position in the marketplace.

Answer 36

Ch 14

True

Question 37

An organization’s mission statement is usually a complex document that provides a detailed description of the principles that guide the organization and the way those principles should be applied to its major business initiatives.

Answer 37

Ch 14

False

Question 38

Effective managers usually determine a particular style of leadership that works best for them and then consistently use that style.

Answer 38

Ch 14

False

Question 39

A manager’s leadership style is defined by the way he or she utilizes power.

Answer 39

Ch 14

True

Question 40

A key step in effective controlling is establishing clear performance standards.

Answer 40

Ch 14

True

Question 41

Human resource management is the management function focused on maximizing the effectiveness of the workforce by recruiting world-class talent, promoting career development, and determining workforce strategies to boost organizational effectiveness.

Answer 41

Ch 15

True

Question 42

Workers, stockholders, and other stakeholders generally accept that the gap between average worker pay and the pay of CEOs can be justified by the heavy burdens and responsibilities associated with holding the top job at a major corporation

Answer 42

Ch 15

False

Question 43

Younger workers often bring optimism, open minds, technological know-how, a team orientation, and a multicultural perspective to the workforce.

Answer 43

Ch 15

True

Question 44

In response to the unfriendly business environment more highly-qualified, professional women are leaving the workforce than men.

Answer 44

Ch 15

True

Question 45

Firms that have seasonal business patterns are less likely to hire contingent workers than firms that have relatively stable employment patterns.

Answer 45

Ch 15

False

Question 46

Management development helps current and potential executives develop the skills they need to move into leadership positions.

Answer 46

Ch 15

True

Question 47

Andrea just graduated from college and is about to enter the workforce. Andrea should have no problem getting a job since employment levels have returned to pre-recession levels.

Answer 47

Ch 15

False

Question 48

Title VII is a portion of the Civil Rights Act of 1964 that prohibits discrimination in hiring, firing, compensation, apprenticeships, training, terms, conditions, or privileges of employment based on race, color, religion, sex, or national origin for employers with 15 or more workers.

Answer 48

Ch 15

True

Question 49

The Equal Employment Opportunity Commission (EEOC) was established to enforce the provisions of Title VII of the Civil Rights Act of 1964.

Answer 49

Ch 15

True

Question 50

Sexual harassment cases during the past decade are on the increase, as evidenced by the fact that the EEOC reports that sexual harassment cases doubled between the years of 1998 and 2008.

Answer 50

Ch 15

False

Question 51

._____ satisfies wants by converting inputs into a finished product.

a) Form utility
b) Ownership utility
c) Production utility
d) Marketing

Answer 51

Ch 11

a) Form Utility

Question 52

EZ Eats is a local fast food restaurant that is open 24-7. Management guarantees that customers will be served within five minutes after placing an order for any item on its menu. EZ Eats is focusing on satisfying customers by providing

a) selection utility.
b) form utility.
c) comparative utility.
d) time utility.

Answer 52

Ch 11

d) Time utility

Question 53

The American Marketing Association defines marketing as the

a) function of using advertising and publicity to promote goods and services.
b) development of new products on a regular basis.
c) activity, set of institutions, and processes for creating, communicating, delivering, and exchanging offerings that have value.
d) creation of profits through effective capital investments.

Answer 53

Ch 11

c) activity, set of institutions, and processes for creating, communicating, delivering, and exchanging offerings that have value

Question 54

_____ is the customer’s perception that a product has a strong, positive relationship between its cost and benefits.

a) Marketing
b) Utility
c) Value
d) Customer satisfaction

Answer 54

Ch 11

c) Value

Question 55

In customer relationship management, firms selling big-ticket items with small customer bases often find it advantageous to develop

a) full partnership relationships with their major customers.
b) a limited relationship with every customer.
c) a soft-sell approach.
d) exclusive relationships with the two or three largest customers.

Answer 55

Ch 11

a) full partnership relationships with their major customers.

Question 56

The relevant concept of value in marketing is based on _____

a) objective measures of quality and price.
b) the customer’s belief that a product is uniquely able to meet their needs.
c) the ability to satisfy basic consumer needs at the lowest possible cost.
d) the form utility of the product.

Answer 56

Ch 11

b) the customer’s belief that a product is uniquely able to meet their needs.

Question 57

Many firms develop a formal _____ to answer the question: Who is your target market and how do you plan to reach them?

a) marketing mix
b) market vision statement
c) marketing priority list
d) marketing plan

Answer 57

Ch 11

d) marketing plan

Question 58

A well-chosen target market embodies the following characteristics:

a) size, profitability, accessibility, and limited competition.
b) size, limited profitability, and competition.
c) limited size, profitability, and intense competition.
d) large population with the ability to buy.

Answer 58

Ch 11

a) size, profitability, accessibility, and limited competition.

Question 59

The consumer decision-making process involves need recognition, followed by

a) information search, alternative evaluation, purchase decision, and postpurchase behavior.
b) information search, learning, and postpurchase behavior.
c) product search, benefit analysis, price analysis, and value analysis.
d) cognitive dissonance, alternative evaluation, and learning.

Answer 59

Ch 11

a) information search, alternative evaluation, purchase decision, and postpurchase behavior.

Question 60

_____ describes how people act when buying products to use directly or indirectly to produce other products.

a) Consumer buyer behavior
b) Customer buyer behavior
c) Business buyer behavior
d) Technology buyer behavior

Answer 60

Ch 11

c) Business buyer behavior

Question 61

By definition, a(n) ____ satisfies consumer wants and needs.

a) payable
b) product
c) survey
d) prototype

Answer 61

Ch 12

b) product

Question 62

A product has three product layers. They are the

a) implied benefit, explicit benefit, and combined benefit.
b) physical form, intangible form, and perceived form.
c) core benefit, actual product, and augmented product.
d) external layer, internal layer, and environmental layer.

Answer 62

Ch 12

c) core benefit, actual product, and augmented product.

Question 63

Utilized by businesses, _____ include(s) small, movable capital purchases, designed for a relatively short productive life.

a) unsought products
b) accessory equipment
c) raw materials
d) installations

Answer 63

Ch 12

b) accessory equipment

Question 64

When marketers characterize quality, they are concerned with two dimensions. The dimension that refers to how well the product performs its core function is _____, while the dimension that refers to how well the product repeatedly performs is _____.

a) reliability; product differentiation
b) product consistency; variability
c) the level of separability; the quality level
d) the quality level; product consistency

Answer 64

Ch 12

d) the quality level; product consistency

Question 65

_____ are the characteristics of the product that companies offer the consumer. If a product is well-designed, each element corresponds to meaningful _____.

a) Product features; customer benefits
b) Product layers; product perceptions
c) Pure services; sensory experience
d) Hedonic attributes; product categories

Answer 65

Ch 12

a) Product features; customer benefits

Question 66

___ involves purchasing the right to use another company’s brand name or symbol.

a) Diffusion
b) Line extension
c) Branding
d) Licensing

Answer 66

Ch 12

d) Licensing

Question 67

The stages of the new product development process are

a) idea generation, idea screening, analysis, development, testing, and promotional planning.
b) idea generation, idea screening, analysis, development, testing, and commercialization.
c) idea generation, idea screening, market research, focus groups, intercept surveys, and observation research.
d) idea generation, idea screening, market research, development, testing, and observation research.

Answer 67

Ch 12

b) idea generation, idea screening, analysis, development, testing, and commercialization.

Question 68

Researchers have identified five product characteristics that affect the rate of adoption and diffusion. Which of the following is NOT one of these five characteristics?

a) stability
b) trialability
c) observability
d) compatibility

Answer 68

Ch 12

a) stability

Question 69

A product in the _____ stage is experiencing periods of rising sales and profits.

a) introduction
b) growth
c) maturity
d) decline

Answer 69

Ch 12

b) growth

Question 70

Which of the following is an example of a big idea based on a rational premise?

a) Budweiser: “Whassssuuup?!?!
b) GE: “We bring good things to life”
c) “Got Milk?”
d) Motel 6: “We’ll leave the light on for you.”

Answer 70

Ch 12

c) “Got Milk?”

Question 71

The average grocery store carriers _____ different products.

a. over 50,000
b. about 50,000
c. less than 50,000
d. approximately 10,000

Answer 71

Ch 13

b. about 50,000

Question 72

_____ satisfies customer needs by providing the right products in the right place.

a. Contingency planning
b. Distribution utility
c. Value stream mapping
d. Place utility

Answer 72

Ch 13

d. Place utility

Question 73

Independent wholesalers fall into two categories:

a. merchant wholesalers and agent/brokers.
b. distributors and retailers.
c. truck jobbers and drop shippers.
d. cash and carry wholesalers and credit-based wholesalers.

Answer 73

Ch 13

a. merchant wholesalers and agent/brokers.

Question 74

_____ takes legal possession of the goods being distributed, while _____ do not take title of the goods.

a. Supply chain management; supply chains
b. An ownership utility; service utilities
c. A merchant wholesaler; agents/brokers
d. A channel of distribution; direct channels

Answer 74

Ch 13

c. A merchant wholesaler; agents/brokers

Question 75

_____ offer goods to business customers. These business customers are too small to merit a sales call from the distributor’s representative.

a. “Five and dime” wholesalers
b. Merchant wholesalers
c. Truck jobbers
d. Cash and carry wholesalers

Answer 75

Ch 13

d. Cash and carry wholesalers

Question 76

_____ sell a complete selection of food and general merchandise at a steep discount in a single enormous location.

a. Supermarket stores
b. Discount stores
c. Merchant clubs
d. Supercenter stores

Answer 76

Ch 13

d. Supercenter stores

Question 77

The _____ is a theory that describes the upscale evolution of many retail firms; however, it does not account for stores that launch at the higher end of the market or for firms that retain their reputation as discount retailers.

a. wheel of retailing
b. channel intermediaries
c. independent wholesaling businesses
d. multichannel retailing

Answer 77

Ch 13

a. wheel of retailing

Question 78

Employing _____ means selling products at a limited number of preferred retailers in a given area; this approach tends to work best for distributing medium- and higher-priced products.

a. exclusive distribution
b. exclusionary distribution
c. maximum distribution
d. selective distribution

Answer 78

Ch 13

d. selective distribution

Question 79

What do Mary Kay Cosmetics, The Pampered Chef, and Tupperware have in common?

a. They are intensive distribution, nonstore retailers.
b. They are multilevel marketers.
c. They earn the majority of their revenue from direct response marketing.
d. They are a part of the wheel of retailing.

Answer 79

Ch 13

b. They are multilevel marketers.

Question 80

Sending products by _____ is the most expensive option available to producers.

a. rail
b. truck
c. ship
d. plane

Answer 80

Ch 13

d. plane

Question 81

_____ is the achievement of the goals of an organization through planning, organizing, leading, and controlling organizational resources.

a) Accounting
b) Management
c) Motivation
d) Leadership

Answer 81

Ch 14

b) Management

Question 82

_____ involves determining a structure for both individual jobs and the overall organization.

a) Controlling
b) Leading
c) Organizing
d) Planning

Answer 82

Ch 14

c) Organizing

Question 83

An example of a social need in Maslow’s hierarchy of needs in the workplace would be

a) feedback.
b) retirement plan.
c) creative jobs.
d) department outings.

Answer 83

Ch 14

d) department outings

Question 84

Job enrichment includes all of the following factors EXCEPT

a) task identity.
b) job security.
c) autonomy.
d) skill variety.

Answer 84

Ch 14

b) job security

Question 85

_____ planning focuses on establishing an organization’s long-term objectives, determining broad action steps, and allocating resources.

a) Strategic
b) Tactical
c) Operational
d) Contingency

Answer 85

Ch 14

a) Strategic

Question 86

Strengths and weaknesses are _____ to the organization; they include factors that either build up or drag down the firm’s performance.

a) environmental
b) contingent
c) external
d) internal

Answer 86

Ch 14

d) internal

Question 87

The degree of _____ relates directly to the source of power and control within an organization.

a) centralization
b) concentration
c) operational control
d) dispersion

Answer 87

CH 14

a) centralization

Question 88

One advantage of a centralized organization is that it is

a) a good way to get more people within the organization involved in decision-making.
b) likely to result in a strong corporate image and uniform approach to customers.
c) very responsive to customer needs.
d) likely to result in a high level of employee morale.

Answer 88

Ch 14

b) likely to result in a strong corporate image and uniform approach to customers.

Question 89

_____ refers to the number of people a manager supervises.

a) Span of control
b) Managerial focus
c) Locus of supervision
d) Span of operations

Answer 89

Ch 14

a) Span of control

Question 90

A _____ organization creates flexibility as it brings together specialists from different areas of the company to work temporarily on individual projects.

a) line
b) line-and-staff
c) matrix
d) corporate

Answer 90

Ch 14

c) matrix

Question 91

Southwest Airlines has gained a competitive edge and built long-term profits by putting its _____ first.

a) stockholders
b) employees
c) customers
d) creditors

Answer 91

CH 15

b) employees

Question 92

Investment in _____ is the largest investment for many firms.

a) accounts payable
b) cash equivalents
c) human resources
d) legal advice

Answer 92

CH 15

c) human resources

Question 93

A major challenge human resource managers face with their baby boom generation employees is that

a) many of these workers lack education and experience, leading to high training costs at a time when most American firms are under pressure to keep labor costs as low as possible.
b) they have little loyalty to their employer, resulting in high labor turnover.
c) workers in this generation are more likely than other workers to demand flexible work schedules so that they can enjoy a better work-leisure balance.
d) this very large group is nearing retirement age, raising the possibility that firms will lose many of their most talented and experienced employees.

Answer 93

Ch 15

d) this very large group is nearing retirement age, raising the possibility that firms will lose many of their most talented and experienced employees.

Question 94

In today’s economy, flexibility in work schedules is desired

a) across all ages and by both men and women.
b) mainly by young women.
c) mainly by older workers (both men and women).
d) mainly by older men.

Answer 94

CH 15

a) across all ages and by both men and women

Question 95

Several recent studies show that women in the labor force

a) now make up more than half of all workers.
b) now earn as much as men for doing work that requires the same level of education and training.
c) still face a significant degree of discrimination in terms of both pay and promotions.
d) usually prefer to work for major corporations rather than for smaller firms.

Answer 95

Ch 15

c) still face a significant degree of discrimination in terms of both pay and promotions.

Question 96

Human resource managers are trying to ease the “brain drain” in the workforce caused by highly-qualified, professional women leaving the workforce early—both with specific retention plans, and

a) hiring more male younger workers fresh out of college.
b) taking proactive steps to reintegrate women back into the workforce.
c) making the highly qualified, professional male workers do more of the work.
d) requiring baby boomers to work longer before they can retire.

Answer 96

Ch 15

b) taking proactive steps to reintegrate women back into the workforce

Question 97

._____ is used to examine the specific tasks assigned to each position within a company.

a) A probationary period
b) Management development
c) On-the-job training
d) A job analysis

Answer 97

Ch 15

d) A job analysis

Question 98

A(n) _____ is the explanation of responsibilities for a specific position.

a) job specification
b) external recruitment
c) on-the-job training
d) job description

Answer 98

CH 15

d) job description

Question 99

Temporary full-time workers, on-call workers, and contract agency workers are all examples of:

a) part-time employees.
b) content workers.
c) contingent workers.
d) short-term employees.

Answer 99

CH 15

c) contingent workers.

Question 100

Which of the following is considered a structured interview question?

a) How late do you normally like to work?
b) What would you do if your boss asked you to complete a key project within an unreasonable timeframe?
c) How many children do you currently have and how many more do you want?
d) If you realized a co-worker was cheating on their spouse, how would you handle the situation?

Answer 100

CH 15

b) What would you do if your boss asked you to complete a key project within an unreasonable timeframe?