D077: Unit 2 Test and Module Quiz Questions

A hardware store sends a coupon to every resident of a town offering 10% off all services.

What type of marketing mix strategy is the hardware store using?

Sales Promotion

A downtown boutique seeks to create a perception of unique flip-flops that possess a superior quality. The boutique prices the flip-flops far above other retail prices of similar products to create the perception of superior quality.

Which pricing strategy is the boutique using?

Prestige

A new car dealer owner encourages the staff to maintain records on customer purchases. The goal is for the staff to contact these customers every three years to present new car models face-to-face.

What type of promotion is this owner encouraging?

Personal selling

Which part of the marketing mix sets the exchange amount that a company will seek based on the perceived economic value to the customer?

Price

Which stage of the product life cycle is marked by low sales, little to no profit, and little competition?

Introductory

What is an ethical marketing practice related to product?

Money-back satisfaction

The product manager for a dairy company's brand of butter is evaluating the risk posed by another company in the industry that introduced a butter-like product.

Which one of Porter's five forces is this manager concerned about?

Threat of substitute products

Which type of planning addresses the activities a company will use to increase profits by 30% in the next two years?

Tactical

When should the BCG matrix be used?

When a company has many products

Which secondary data source deals with syndicated consumer data for purchase as well as database information on consumer purchases and behavior?

Commercial marketing research companies

The director plans to post the menu for the day by 5:00 each morning. This information will include the nutrition facts associated with breakfast, lunch, and dinner, and describe the standards used in the meal preparation.

Which activity is the community center using to create value through its menu marketing?

Creating awareness of fresh meals

The community center is the first in the city to offer freshly prepared meals in partnership with the food warehouse.

Which stage of the product life cycle do the meals represent to the community?

Introduction

The director plans to design and implement a marketing campaign.

Which example describes the director's primary goal for the marketing campaign?

Promoting awareness of its food offerings

What is one example of an uncontrollable element of the community center's marketing environment?

Citizen participation in meals

The director researches the reason for the community's food insecurity and learns that companies closed during the recent recession and left individuals without jobs. This unemployment has created significant food insecurity among those who remain without stable incomes.

Which element of the PEST analysis is the community center responding to by creating its meal program?

Economic needs of community citizens

Which ethical consideration in marketing is illustrated by the community center's meal program?

Offering food to everyone

The chief marketing officer (CMO) has been tasked with developing a comprehensive marketing plan for communications with suppliers, investors, customers, and communities.

The CMO asks an individual to make sure that business communications have a unified message and that they exhibit sensitivity to the cultural practices of the locations where the business operates.

Which step of the marketing planning process is illustrated by this request?

Developing a marketing strategy

An electric car manufacturer partner who operates outside of the United States demands a 20% price reduction in rechargeable batteries because of competition with a U.S. car manufacturer. Management at Sure Start Batteries was surprised by the competitive issues.

Which marketing planning tool could have provided insight to better anticipate the effects of increased competition?

Porter's five forces

Now that Charlie has worked out his pricing with the European electric car manufacturer, he realizes he needs to gain a better understanding of his current market share and current products in the major electric car markets. That information will be needed so Charlie can determine whether Sure Start should begin considering new markets.

Which marketing planning tool will give Charlie this knowledge?

BCG Matrix

The chief financial officer (CFO) asks marketing managers to buy advertising in all trade magazines in their respective geographic areas for one year.

Which type of planning is the CFO asking managers to conduct?

Tactical marketing with controllable elements

The chief financial officer (CFO) asks the marketing managers to generate, collectively, an additional $250,000 in sales annually.

What type of planning is the CFO asking managers to conduct?

Strategic marketing with uncontrollable elements

What is the first question David should address when designing this market study?

How many customers use grocery shopping services?

David decides to conduct personal interviews with nearby potential customers to determine which variables are considered important when using a grocery delivery service.

What type of research is David conducting?

Primary and qualitative

David is reviewing the results of interviews that were conducted to determine what customers would expect from grocery delivery services. Unfortunately, David realizes that the customers were never asked how much they would be willing to pay for the service, which is also important to the business plan.

Which limitation of primary research is David experiencing?

Tailored questions to one focus area

David decides to conduct additional research by posting targeted questions on a recipe publishing platform and network for cooks. The plan is to review all the responses and determine whether influencers will recommend grocery shopping services.

Which research technique is David using?

Social listening

In working with influencers on a local grocery blog, David was asked to share the contact information of the people who were interviewed for the grocery delivery business.

Which ethical conflict does this opportunity present?

Using data in ways not disclosed

A shoe company is introducing a new shoe for the summer season and decides to price the shoe lower than the competition with the goal of increasing market share. Which pricing strategy is being used?

Penetration

A realtor has sent VIP invitations to local TV stations, inviting them to a private viewing of beachfront condos to generate media attention.

Which element of the marketing mix is represented by this private viewing?

Promotion

A company uses unified and constant communication to reach its customers, including print media, retail signage, an e-commerce website, and social media.

What type of communication is this company using?

Omnichannel

A company develops a new, high end product which has no direct competition that is popular with customers. The company seeks to temporarily set the price of the product high to gain as much profit as possible.

What is this name of this pricing strategy?

Skimming

A company makes customized office chairs that are sold only through its website.

What type of distribution channel is the company using?

Direct

When preparing a marketing plan, a manager is considering factors such as changing incomes, unemployment levels, inflation, and recession.

Which element of the marketing environment is the focus of this manager?

Economic

A manager is seeking to use the BCG matrix to design strategies for the company's products. The manager knows the market shares for the products.

What other information about the company's products does this manager need to know to use this technique?

The market growth potential

A company operates in an industry where the customers are highly price sensitive, and the industry supply far exceeds the demand for the company's products.

Which one of Porter's five forces is being illustrated by this company's situation?

Bargaining power of buyers

Which component of the market planning process addresses the actions associated with a marketing strategy?

Tactical planning

Which attribute represents qualitative research?

Exploring ideas, perceptions, and behaviors in depth