Chapter 13 (13.1-13.4, 13.7-13.8)

Question 1

Profit-maximizing

Answer 1

pricing to maximize profit (bottom line)
may sacrifice unit sales to maximize profit

Question 2

Market-share

Answer 2

pricing to gain the greatest possible market percentage

Question 3

Cost-oriented pricing

Answer 3

considers the cost of the product and adds a “markup” to arrive at a final cost
a light bulb costs $0.45 to the retailer
the retailer sells it for $0.75 (a markup of $0.30)

Question 4

Promotion Strategies

Answer 4

Push strategy
firm promotes aggressively to intermediaries
Pull strategy
firm promotes directly to consumers, who demand the product from intermediaries

Question 5

Promotional Mix

Answer 5

ads, personal selling, sales promotion, publicity, public relations

Question 6

E-intermediaries

Answer 6

internet-based channel members who perform one or both of two functions:
collect information about sellers and present it to consumers
they help deliver internet products to buyers

Question 7

Physical Distribution

Answer 7

activities needed to move a product efficiently from manufacturer to consumer

Question 8

Warehousing Operations

Answer 8

the storing of goods through the distribution process