Multiple choice questions

Relationship marketing in business markets typically focuses on:

Retaining existing customers

Which of the following statements is true?

Customers have needs before interacting with marketers

The degree of which there is a match between customer expectations and the actual performance of a good or service is known as:

Customer satisfaction

Which group is the primary focus of marketing that separates it from other business functions?

Customers

When a company tries to grow its business by establishing itself in new foreign markets is called:

Market development

The process of regularly collecting information about the external marketing environment is:

Environmental scanning

Among consumer goods, advertising and wide distribution are especially important for:

Nondurable goods

A business determines that it can increase its market share by promoting its products to females who are between 18 to 34 years old. This business is segmenting the market on the basis of:

Demographics

Tobacco advertising is now virtually banned in all marketing communication forms in many countries around the world. This can be explained as an influence of:

Legal environment

Psychographic segmentation divides the market by:

Lifestyle and personality

To what does the term ‘subculture’ refer? 

A group of people with shared values based on common life experiences and situations

Typically the number of customers in business/organisational markets will be:

Small

Which of the following brand strategies requires that all the products use the organization’s name, either entirely or in part?

Corporate branding

What is the term used to refer to the process when a successful brand is used to launch a new product into a new market?

Brand extension

The marketing environment consists of which of the following?

Micro environment and Macro environment

A penetration pricing strategy:

May be wise if a firm expects strong competition after product introduction

In addition to the traditional 4Ps, three extra dimensions are commonly used to make up the services mix. These are people, physical evidence and:

Process

This marketing and communication tool offers a direct persuation or an incentive to encourage customers to buy a product/service:

Sales promotion

Which of the following varies according to the number of units of goods made or services sold:

Variable costs

The marketing mix consists of which of the following four major elements?

Promotion, Place, Product and Price

A channel of distribution:

Is any series of firms or individuals who participate in the flow of goods and services from the producer to consumer to final user

Where publicity is generated from word of mouth recommendations on the internet or email, this is referred to as which of the following?

Viral marketing

The objective of positioning is:

To create and sustain a distinctive place in the market

The use of firm’s database of existing customer data (e.g. CRM) for marketing purposes is an example of:

Internal secondary data

A marketing researcher selects a sample that is one-half randomly selected males and one-half randomly selected females. This is a:

Stratified sample

Focus groups and in-depth interviews are used in what type of marketing research?

Qualitative

The primary reason for businesses to expand their operations to foreign countries is to:

Increase revenues

What is the most risky mode of entry in international marketing?

Direct investment

What is the least risky mode of entry in international marketing?

Exporting

Which is NOT one of the ‘evils’ that marketing has been accused of?

Too much political power

Consumerism seeks to improve the rights and power of sellers in relation to buyers.

False

The value of a product or service should be viewed from:

The customer’s perspective

Which of the following statements is true?

Needs exist before products or markets

Customer costs include anything the buyer must give up inorder to obtain the benefits the product provides. The most obvious customer cost is:

Price

How might a company’s competitors in the microenvironment impact its marketing strategy?

Companies must be aware of competitors’ actions and strategies to respond effectively and gain a competitive advantage

Which of the following is an example of a macroenvironmental factor that can impact a company’s marketing strategy?

Technological advancements and innocations

Which of the following factor is NOT typically considered an influence on consumer behavior?

Competition among business

Which stage in the consumer decision-making process involves the evaluation of different products or brands based on various criteria?

Evaluation of alternatives

What role does customer segmentation play in creating customer value?

It allows companies to tailor their marketing efforts to different customer groups

Which statement is true regarding targeting strategies in marketing?

Concentrated targeting focuses on multiple market segments with different marketing strategies

Which of the following is an example of a customer loyalty program often used in relationship marketing?

Issuing reward points or discounts for repeat purchases

Which of the following is a key challenge in business-to-business marketing that is less common in consumer marketing?

Managing complex, long sales cycles with multiple decision-makers

How do B2B marketers typically approach the pricing strategy for their products or services?

Negotiated pricing based on the unique needs of each business customer

How does a strong brand benefit a company?

It helps build customer trust and loyalty

What is the primary purpose of a brand’s positioning in the market?

To establish a unique and meaningful place in the minds of customers

In the context of the marketing mix, what does “Place” refer to?

The distribution and channels used to make the product available to customers

Giving customers a list of locations at which they can obtain repair or replacement as part of a warranty or guarantee provides the customer benefit of:

Reduced anxiety about purchases

What is the key objective of a promotional mix that includes advertising, personal selling, sales promotions, and public relations?

To create a consistent and compelling message to reach and influence the target market

High-tech media options like mobile phones and the Internet have had the largest impact on which aspect of the marketing mix of traditional, non-electronic products?

Promotion

Dog walking service, tax advice, and psychotherapy counselling are examples of what?

Pure service

Which pricing strategy involves initially setting a low price to gain market share and the gradually increasing it over time?

Penetration pricing

What is the significance of customer data and analytics inrelationship marketing?

They help companies understand their customer’s needs and preferences

Which type of marketing research method involves collecting data from a sample of individuals or organizations to draw conclusions about the entire population?

Survey research

Which of the following is NOT a suitable use of qualitative marketing research methods?

To identify trends among product use among the general population

Which of the following is an example of secondary data in marketing research?

Industry reports, government publications, and previous research studies

What is the term for the practice of a company partnering with a local business in a foreign market to distribute or sell its products or services?

Licensing

Which of the following elements in the marketing environment poses a challenge to both domestic and international marketers due to its uncontrollable nature?

Political/legal forces

In the context of social criticisms of marketing, what is “greenwashing”?

The practice of exaggerating or falsely advertising a product or company as environmentally friendly

What does the critical perspective on marketing often emphasize as a potential solution to address societal and ethical issues related to marketing?

Encouraging responsible marketing practices, transparency, and social responsibility

In the marketing environment of a firm, competition, politicaland legal forces, economic climate, would all be classified as:

Uncontrollable factors

When Volvo runs ads suggesting that its cars are the safest that money can buy, it is trying to:

Position its product

What role does customer segmentation play in creating customer value?

It allows companies to tailor their marketing efforts to different customer groups

Which of the following is a key benefit of effective target marketing?

Higher customer satisfaction

How does relationship marketing differ from transactional marketing?

Emphasis on building long-term customer connections in relationship marketing

In the context of the marketing mix, what does the “Promotion” element primarily focus on?

Communicating with the target audience and creating awareness

What is the concept of “value-based pricing”?

Setting prices based on the perceived value to the customer

According to the augmented product model, what does the ”augmented” level represent?

Additional benefits and features beyond the core product

Which of the following is an example of a quantitative research method in marketing?

Surveys/questionnaires

Which factor is a crucial consideration when adapting marketing strategies for international markets?

Recognizing and adapting to diverse cultural contexts

According to critical views on marketing, what is a potential consequence of agrgessive advertising tactics?

Manipulation of consumer wants and preferences

In the context of ethical concerns about marketing, what is a key issue related to the representation of beauty standards in advertising?

Reinforcement of unrealistic and narrow beauty standards

What is the ultimate goal of marketing in creating customer value and facilitating exchange?

To achieve customer satisfaction and loyalty

Which of the following is a core aspect of the ‘value proposition’?

The unique benefits and experiences promised to customers

Why is understanding customer needs crucial for marketing?

It helps in creating products that meet or exceed customer expectations

Which of the following is part of the marketing microenvironment?

Competitors in the industry

Why is the economic environment important for marketing?

It influences consumer purchasing power and spending patterns

In consumer behavior, wants are typically influenced by:

Cultural, social, and individual preferences

Which of the following best describes cognotive dissonance in consumer behavior?

Regret or anxiety following a purchase decision

Which segmentation variable is most appropriate for a company targeting a niche segment of eco-conscious consumers within a particular income bracket?

Psychographic and demographic

What is the most significant risk of applying niche/concentrated targeting strategy?

It limits market potential and increases vulnerability if the niche declines

In relationship marketing, which of the following strategies is essential for fostering trust and commitment with customers?

Providing consistent, high-quality interactions with customer

The value proposition of a business-to-business (B2B) firm should emphasize:

Cost-effectiveness, efficiency improvements, and return on investment (ROI)

In positioning strategy, repositioning is often necessary when:

Competitors have altered their positioning, affecting market perceptions

What is a primary limitation of using functional benefits as the sole basis for differentiation?

Functional benefits can often be replicated by competitors, reducing long-term uniqueness

A house of brands strategy differs from a branded house strategy in that it:

Focuses on building brand equity for individual brands rather than the parent brand

In a global branding strategy, which of the following represents a primary challenge?

Tailoring the brand message for cultural differences without diluting the brand identity

Which of the following best describes the concept of brand equity?

The financial value created by consumer loyalty, recognition, and positive associations with the brand

What is a significant disadvantage of relying exclusively on e-commerce as a distribution channel?

Limited customer reach, especially among segments preferring in-store purchases

When using a public relations (PR) promotion strategy, the primary goal is typically to:

Build positive brand perception and manage public image in the long term

Using the stimulus-response model, which of the following could be considered a stimilus designed to evoke a positive reaction?

Flashy packaging and brand colors

In the context of the 4Ps, which of the following represents a tangible element of the product mix?

Product design and features

What is the primary goal of price skimming as a pricing strategy?

To recover development costs quickly by targeting consumers willing to pay more

Which of the following is a primary disadvantage of using focus groups as a qualitative research method?

The results may not be generalizable to the broader population

Which of the following is an example of secondary data in marketing research?

Government reports on industry sales trends

What is a significant ethical consideration researches must address when conducting marketing research involving human subjects?

Guaranteeing the confidentiality and anonymity of participants’ responses

Which of the following factors is most critical when determining the pricing strategy for an international market?

Local economic conditions, including purchasing power and currency fluctuations

Which of the following statement best reflects the impact of technology on international marketing?

Technology enables more efficient market entry and commuication with consumers globally

The term cultural imperialism in international marketing refers to:

The domination of local cultures by global brands and practices

Which of the following practices would be considered deceptive advertising?

Omitting critical information about potential side effects of a product

What is the role of certifications, such as ENERGY STAR or Fair Trade, in green marketing?

To provide credible validation of a product’s environmental claims