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1 | |
__________ is the process of continually acquiring information on events occurring outside the organization to identify and interpret potential trends. |
| | A) | Outsourcing |
| | B) | Competitive intelligence gathering |
| | C) | Company protection |
| | D) | Business modeling |
| | E) | Environmental scanning |
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2 | |
In 2001 all over Japan, children were gathering around "stadiums" no bigger than serving platters to shoot spinning, battling tops of metal and plastic called Beyblade. The winner is the top that keeps spinning the longest. This top is the latest fad in the nation that created Pokemon, PlayStation, and Power Rangers and is expected to be popular in all of the developed nations of the world. Twenty million of the tops sold in 2001 in Japan along with Beyblade candy, notebooks, video games, and shampoo. Beyblade is an example of a(n) __________ trend among children. |
| | A) | technological |
| | B) | economic |
| | C) | competitive |
| | D) | regulatory |
| | E) | social |
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3 | |
Anya has been instructed to prepare a short paper on her ancestors' demographics. She has asked some friends to explain her topic to her. Which of the following statements offers the BEST explanation? |
| | A) | She is supposed to write about her family's customs. |
| | B) | She is supposed to describe the personalities in her family. |
| | C) | She is supposed to write about the ethnic composition of her family. |
| | D) | She is supposed to write about any geographical shifts her family has made and how it changed them. |
| | E) | She is supposed to write about her family's attitude toward life in the United States. |
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4 | |
Between now and 2030, the 65-and-over populations in Singapore, Malaysia, Colombia, and Costa Rica are expected to at least triple in size. This population growth raises important marketing issues as a result of changes in _________ forces. |
| | A) | ecological |
| | B) | social |
| | C) | cultural |
| | D) | regulatory |
| | E) | competitive |
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5 | |
Generation X is the label often given to: |
| | A) | persons 65 years old and older. |
| | B) | hip, urban teenagers. |
| | C) | persons born between 1965 and 1976. |
| | D) | the generation born between baby-boomers and their parents. |
| | E) | fans of Dixieland jazz music. |
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6 | |
The term _________ is used to describe a population's characteristics, such as age, gender, ethnicity, income, and occupation: |
| | A) | cultural census |
| | B) | psychographics |
| | C) | territorial statistics |
| | D) | demographics |
| | E) | social audit |
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7 | |
The U.S. Census Bureau has developed a three-level classification system that reflects the varying locations of the population. The largest of these classifications is called the: |
| | A) | consolidated metropolitan statistical area (CMSA). |
| | B) | secondary marketing statistical area (SMSA). |
| | C) | combined marketing statistical area (CMSA). |
| | D) | primary marketing statistical area (PMSA). |
| | E) | metropolitan statistical area (MSA). |
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8 | |
You are the marketing director for a large potato chip and snack food company. You have learned that a major portion of your current market has been switching from salty snacks to healthier snack foods. Which environmental force most likely has contributed to this change in dietary habits? |
| | A) | economic |
| | B) | regulatory |
| | C) | competitive |
| | D) | social |
| | E) | ecological |
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9 | |
Frank has a gross income of $24,000. He pays $4,000 in taxes. His yearly expenditures for food, shelter, and clothes total $17,250. What is his discretionary income? |
| | A) | $2,750 |
| | B) | $6,750 |
| | C) | $13,250 |
| | D) | $20,000 |
| | E) | Frank has no discretionary income. |
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10 | |
In 2002 after four years of recession in Argentina, its government found it impossible to repay $132 billion in loans. As the Argentine government struggled to find ways to pay its debt, it froze many bank accounts and limited all bank withdrawals to $1,000. The country also experienced plunging consumer confidence, which directly impacted its marketing environment. This is an example of how __________ forces affect marketing. |
| | A) | economic |
| | B) | technological |
| | C) | competitive |
| | D) | social |
| | E) | ecological |
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11 | |
The owner of your local KFC franchise has had a good year with rising revenues and reduced operating costs that resulted in personal income of roughly $100,000. Approximately one-third of that was taken for local, state, and federal income taxes, and another third went to pay for mortgage, car payments, food, clothing, and other necessities. What is the remaining third called? |
| | A) | windfall |
| | B) | bonus |
| | C) | discretionary income |
| | D) | disposable income |
| | E) | franchiser fee |
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12 | |
Which of the following statements about electronic business technologies is true? |
| | A) | The Internet and the World Wide Web are synonyms. |
| | B) | The World Wide Web is part of the Internet. |
| | C) | Intranets permit communication between a company and its suppliers and distributors. |
| | D) | Users access the Internet through the use of commercial online servers. |
| | E) | All of the above statements about electronic business technologies are true. |
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13 | |
Today, by using the internet for purchases, consumers can buy products from around the world without leaving their homes. This is made possible by changing _________ forces. |
| | A) | economic |
| | B) | technological |
| | C) | regulatory |
| | D) | ecological |
| | E) | social |
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14 | |
Prior to 2002, Asian catfish cut into the sales of the more expensive U.S.-grown catfish because the Food and Drug Administration made no distinction between the two. In 2002, importers, restaurants, and grocery stores were required to call the Asian catfish (which comes out of Vietnam) "basa" to differentiate it from U.S. catfish. Which of the five environmental forces was most directly affected by the broader use of the catfish name prior to 2002? |
| | A) | cultural |
| | B) | technological |
| | C) | competitive |
| | D) | ecological |
| | E) | social |
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15 | |
Because there are few sellers, price competition among firms is not desirable in which form of competition? |
| | A) | pure competition |
| | B) | cross-market competition |
| | C) | monopolistic competition |
| | D) | monopoly |
| | E) | oligopoly |
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16 | |
Police in Israel had to investigate dozens of civil servants on suspicion they obtained fake academic degrees to win pay raises. In Israel, government workers win an automatic 10 percent to 20 percent raise for every advanced degree they earn. By legislating this pay raise, Israel increased the buying power of people who did not deserve the increased income. This law affects how __________ forces impact the external environment. |
| | A) | regulatory and economic |
| | B) | competitive and regulatory |
| | C) | ecological and economic |
| | D) | technological and ecological |
| | E) | social and economic |
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17 | |
The American corporation of today needs: |
| | A) | constant change rather than stability |
| | B) | networks rather than hierarchies |
| | C) | partnerships |
| | D) | alliances |
| | E) | all of the above |
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18 | |
In 1998, F. Hoffman-LaRoche Ltd. and BASF AG, two international pharmaceutical companies, were ordered by the U.S. Department of Justice to pay $725 million in fines for plotting to raise and fix prices of vitamins used in virtually every home in the U.S. This is an example of how __________ forces affect the marketing environment. |
| | A) | economic |
| | B) | ecological |
| | C) | technological |
| | D) | social |
| | E) | regulatory |
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19 | |
The FTC Act of 1914 can be best described as __________ legislation. |
| | A) | product-related |
| | B) | management related |
| | C) | distribution-related |
| | D) | promotion-related |
| | E) | pricing related |
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20 | |
The Better Business Bureau (BBB): |
| | A) | has no legal power. |
| | B) | is the best-known example of a self-regulatory group. |
| | C) | is a voluntary alliance of companies whose goal is to maintain fair practices. |
| | D) | tries to use moral suasion to get members to comply with its rulings. |
| | E) | is accurately described by all of the above |
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