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1 | |
Profit is: |
| | A) | the point at which company assets equal company liabilities. |
| | B) | the money left over after a firm's total expenses are subtracted from its total revenues. |
| | C) | the goodwill earned from implementing the societal marketing concept. |
| | D) | the money earned as long as the economic order quantity is maintaineD. |
| | E) | accurately described by all of the above. |
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2 | |
Which of the following is true regarding the history of Ben and Jerry's? |
| | A) | Both men learned how to make ice cream from a correspondence course. |
| | B) | Their first ice cream parlor was in a renovated gas station. |
| | C) | Unilever now owns Ben and Jerry's. |
| | D) | Ben & Jerry's purchases supplies from other socially responsible companies. |
| | E) | All of the above statements about Ben and Jerry's are true. |
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3 | |
Railroads may have let other forms of transportation take business away from them because their vision included only the railroad business, rather than the broader definition of: |
| | A) | transportation. |
| | B) | aerospace. |
| | C) | entertainment. |
| | D) | retailing. |
| | E) | wholesaling. |
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4 | |
Jamal read on the second page of the stockholder's report for a manufacturer of automobile parts, "Our goal for the next five year period is to double our return on investment." He now knows the company has __________ goals. |
| | A) | profit |
| | B) | sales revenue |
| | C) | market share |
| | D) | unit sales |
| | E) | survival |
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5 | |
Kellie Johnson is the owner of Yesterday's Kitchen in Minnesota. She produces and markets 35 different kinds of jams and jellies at her home-based business. In 2001, she sold 2,500 jars. Her goal for 2002 was to sell 3,000 jars. This is an example of a __________ goal. |
| | A) | quality |
| | B) | customer satisfaction |
| | C) | unit sales |
| | D) | profit |
| | E) | market share |
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6 | |
Pfizer Pharmaceuticals is offering low-income senior citizens some of its most widely used prescriptions for $15 each a month-well below the regular costs for these drugs. This program to better serve senior citizens likely grew out of a __________ goal. |
| | A) | profit |
| | B) | unit sales |
| | C) | sales revenue |
| | D) | market share |
| | E) | social responsibility |
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7 | |
A business firm is a privately owned organization that serves its customers in order to |
| | A) | benchmark. |
| | B) | demarket. |
| | C) | earn a profit. |
| | D) | resource products. |
| | E) | outsource. |
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8 | |
In 1980, Ford Motor Co. introduced the Ford Escort, which at one time was the company's best-selling car. By 2002, Ford sales managers were describing the Escort as dated. Its success had been overshadowed by the subcompact Focus, which is now the best-selling car in the world. Because its sales were down, and there was no substantial market for the Ford Escort, it would be labeled as a __________ by the Boston Consulting Group growth-share matrix. |
| | A) | cash cow |
| | B) | dog |
| | C) | question mark |
| | D) | problem child |
| | E) | fading star |
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9 | |
_________ are SBUs with a low share of low-growth markets. |
| | A) | Dogs |
| | B) | Cash cows |
| | C) | Question mark |
| | D) | Star |
| | E) | Bonanza |
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10 | |
In 1980, Ford Motor Co. introduced the Ford Escort, which at one time was the company's best-selling car. By 2002, Ford sales managers were describing the Escort as dated. Its success had been overshadowed by the subcompact Focus, which is now the best-selling car in the world. Because its sales are down, and there is no substantial market for the Ford Escort, the recommended strategy for this car would be: |
| | A) | market development |
| | B) | product development |
| | C) | diversification |
| | D) | divestment |
| | E) | market penetration |
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11 | |
Which market-product strategy involves selling a new product to existing markets? |
| | A) | market penetration |
| | B) | market development |
| | C) | divestment |
| | D) | diversification |
| | E) | product development |
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12 | |
In January 2002, Honda announced plans to increase the light truck share of its U.S. sales by 30 percent in 2002. This would be an example of a __________ strategy. |
| | A) | market penetration |
| | B) | product development |
| | C) | market development |
| | D) | product penetration |
| | E) | diversification |
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13 | |
The key steps of planning, implementation, and control are part of what is called: |
| | A) | gap analysis. |
| | B) | the strategic marketing process. |
| | C) | the situational marketing process. |
| | D) | the developmental market analysis. |
| | E) | the market determinant method. |
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14 | |
Determining which products will be directed toward which customers is essential for developing an effective: |
| | A) | marketing program. |
| | B) | market divestiture. |
| | C) | market dramatization. |
| | D) | product demonstration. |
| | E) | product warranty. |
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15 | |
There are many perfumes on the market, but only one that breaks down fragrances into elements so people can wear the particular scents with which they have emotional ties. The perfume's manufacturer is Demeter, and it makes over 150 different fragrances with names like Dirt, Lobster, Dandelion, Sugar Cookie, Brownie, Woodsmoke, Leather, and Turpentine. According to people who use Demeter perfume, its memorable scents would be what makes it superior to other perfumes. What element of the marketing program is being considered when the company's owner decided initially to market the perfumes in a limited number of very exclusive specialty department stores? |
| | A) | Product |
| | B) | Price |
| | C) | Promotion |
| | D) | Place |
| | E) | All of the above |
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16 | |
Two major elements of the implementation phase of the strategic marketing process are: |
| | A) | segmenting the market and selecting target markets. |
| | B) | establishing a business mission and designing measurable goals and objectives. |
| | C) | designing the marketing mix and setting the budget. |
| | D) | identifying deviations in the marketing plan and acting on them. |
| | E) | executing the marketing program and designing the marketing organization. |
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17 | |
Kellie Johnson is the owner of Yesterday's Kitchen in Minnesota. She produces and markets 35 different kinds of jams and jellies at her home-based business. She wants to gradually increase her sales until she is selling 9,000 jars annually. (In 2001, she sold 2,500 jars.) Her _____ for the next five-years is to develop promotions to reach the tourists that visit Minnesota. |
| | A) | tactics |
| | B) | action program |
| | C) | mission |
| | D) | marketing strategy |
| | E) | functional-level strategy |
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18 | |
DVD Overnight is a small company that rents DVD movies by mail using the Web. It jumped into an industry where there were no firm leaders, but lots of competitors. It established a loyal clientele by seizing the opportunity to provide a service that was not available through other companies that rented movies over the Internet-reliable overnight shipment. Its delivery system created its: |
| | A) | viable mission. |
| | B) | competitive advantage. |
| | C) | tactical innovation. |
| | D) | benchmarking-focus. |
| | E) | sales-orientation. |
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19 | |
When would a marketing manager compare desired performance goals with actual performance? |
| | A) | prior to entering the implementation phase of the strategic marketing process |
| | B) | during the planning stage of the marketing program |
| | C) | during the control phase of the strategic marketing process |
| | D) | beginning with the planning phase of the strategic marketing process |
| | E) | any time during the strategic marketing process |
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20 | |
Which of the following is an example of a guideline that should be used if you want to write an effective marketing plan? |
| | A) | Set no page limitations; let the subject matter dictate the length. |
| | B) | Use words like unique, exclusive, and matchless to make your ideas seem more powerful. |
| | C) | Use a unique typeface that says something about your personality. |
| | D) | Use present and future tense as well as active voice. |
| | E) | Avoid the use of visuals because they will be perceived as clutter. |
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