Chapter 10 Flashcards
This is a plan for companies and people to accomplish the goals they set. It is designed to shape the company’s or individual’s identity and is typically based on a vision, goal, or ethics.
Select one:
a. Vision statement
b. Mission statement
c. Business plan
d. Strategic plan
Correct Answer: Mission statement
Rationale: A Mission Statement is a plan for companies and people to accomplish the goals they set. It is designed to shape the company’s or individual’s identity and is typically based on a vision, goal, or ethics. A Mission Statement can be helpful to a mortgage agent because it presents a way to establish and understand goals and brings substance and meaning to the purpose of the business.
Relevant section(s) of the textbook: 10.2 Business Development for Mortgage Agents
The correct answer is: Mission statement
According to Equifax, what credit score range has the most Canadians?
Select one:
a. 750-799
b. 600-649
c. 700-749
d. 650-699
Correct Answer: 750-799
Rationale: Referring to the chart, Distribution of Canadian Credit Scores
Relevant section(s) of the textbook: 10.1 Market Demographics and Trends
The correct answer is: 750-799
How many clients do you need to start a database for marketing?
Select one:
a. One hundred
b. Five hundred
c. One
d. Ten
Correct Answer: One
Rationale: Database marketing begins with a single client and can be built to encompass thousands of clients. The key to database marketing is to have a system in place whereby clients receive marketing on a regular basis.
Relevant section(s) of the textbook: 10.2 Business Development for Mortgage Agents
The correct answer is: One
The age demographic with the most Ontarians in 2021 is:
Select one:
a. 60-64
b. 25-29
c. 55-59
d. 50-54
Correct Answer: 25-29
Rationale: Referring to the chart, Population by Age
Relevant section(s) of the textbook: 10.1 Market Demographics and Trends
The correct answer is: 25-29
This practice provides a consumer with an attractive offer to obtain him or her as a client but the offeror is unable to provide the product or service at the indicated price.
Select one:
a. Misrepresentation
b. Advertising
c. Bait and switch
d. Fraud
Correct Answer: Bait and switch
Rationale: Providing a consumer with an attractive offer to obtain him or her as a client but being unable to provide the product or service at the indicated price
Relevant section(s) of the textbook: 10.6 Key terms and Definitions
The correct answer is: Bait and switch
According to CMHC’s Residential Mortgage Industry Dashboard, Winter 2022, the size of the Canadian mortgage market, in terms of the value of all outstanding mortgages in the county, was estimated to be:
Select one:
a. $200 billion
b. $1.77 trillion
c. $2 trillion
d. $177 trillion
Correct Answer: $1.77 trillion
Rationale: According to CMHC’s Residential Mortgage Industry Dashboard, Winter 2022, the size of the Canadian mortgage market, in terms of the value of all outstanding mortgages in the county, was estimated to be $1.77 trillion. This represents a 249% increase from 441 billion in 2000.
Relevant section(s) of the textbook: 10.1 Market Demographics and Trends
The correct answer is: $1.77 trillion
This is a call made to a potentially unfriendly new client or referral source who does not know the caller.
Select one:
a. Cold call
b. Cold lead
c. Call script
d. Warm lead
Correct Answer: Cold call
Rationale: A call made to a cold or potentially unfriendly new client or referral source who does not know the caller
Relevant section(s) of the textbook: 10.6 Key terms and Definitions
The correct answer is: Cold call
This refers to the emotional state a buyer is in after completing what is typically a large purchase and who is no longer in an emotionally charged state.
Select one:
a. Dissatisfied
b. Cognitive dissonance
c. Purchaser’s remorse
d. Cooling off period
Correct Answer: cognitive dissonance
Rationale: Commonly referred to as buyer’s remorse, this refers to the emotional state a buyer is in after completing what is typically a large purchase and who is no longer in an emotionally charged state.
Relevant section(s) of the textbook: 10.6 Key terms and Definitions
The correct answer is: Cognitive dissonance
This is something that the business or mortgage agent aspires to become. It should illustrate the core belief of the business or mortgage agent and effectively communicate that to the reader.
Select one:
a. Vision statement
b. Business plan
c. Strategic plan
d. Mission statement
Correct Answer: Vision statement
Rationale: A Vision Statement is something that the business or mortgage agent aspires to become. It should illustrate the core belief of the business or mortgage agent and effectively communicate that to the reader. The main objective of a Vision Statement is to explain the core belief of where the company or mortgage agent is going with the business.
Relevant section(s) of the textbook: 10.2 Business Development for Mortgage Agents
The correct answer is: Vision statement
The use of this type of marketing can have the effect of reducing the need of a consumer to touch or feel a product.
Select one:
a. Advertising
b. Testimonials
c. Continued contact
d. Business cards
Correct Answer: Testimonials
Rationale: The use of testimonials can have the effect of reducing the need of a consumer to touch or feel a product. Testimonials from satisfied clients have the effect of personalizing the process. The consumer can relate to another person who has had a beneficial experience and translate that experience to him or her. In essence this provides the consumer with something tangible: another consumer who can be seen or heard.
Relevant section(s) of the textbook: 10.2 Business Development for Mortgage Agents
The correct answer is: Testimonials
