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108 Test Bank for A Framework for Marketing
Management 1st
Mutiple Choice Question - Page 1
When Bob sells a TV to Roger and receives $400 in cash, a(n) __________
has just occurred.
1.

A) transaction

2.

B) transfer

3.

C) donation

4.

D) contribution

5.

E) charitable action

Intel, one of the largest producers of integrated circuit chips, puts a great
deal of effort into
expanding production of chips to drive down the cost and thus expand the
market. This is most indicative of the __________ concept.
1.


A) societal

2.

B) production

3.

C) customer

4.

D) product

5.

E) marketing

Which is NOT true about the selling concept?
1.

A) The selling concept is practiced most aggressively with unsought goods.

2.

B) Firms tend to practice the selling concept when they have overcapacity.

3.

C) It always takes into account the greater societal good.


4.

D) It focuses on the needs of the seller.

5.

E) It assumes that consumers must be coaxed into buying.


__________ is based on the development, design, and implementation of
marketing programs,
processes, and activities that recognizes their breadth and interdependen
cies. It recognizes that ʺeverything mattersʺ with marketing.
1.

A) Relationship marketing

2.

B) Just-in-time production

3.

C) Holistic marketing

4.

D) The Ford Motor Company Light Truck Division


5.

E) A marketing network

__________ is a set of marketing tools that the firm uses to pursue its mar
keting objectives in the target market.
1.

A) A consumer market

2.

B) A business market

3.

C) The marketing mix

4.

D) Environmental scanning

5.

E) Consumer behaviour

Under which of the following company orientations toward the marketplac
e would we expect to find the ʺbetter mousetrapʺ fallacy?
1.


A) marketing concept

2.

B) holistic marketing concept

3.

C) product concept

4.

D) production concept

5.

E) selling concept


__________ is(are) an organizational function(s) and a set of processes for
creating, communicating,
and delivering value to customers and for managing customer relationshi
ps in ways that benefit the organization and its shareholders.
1.

A) Strategic Planning

2.

B) Management


3.

C) Marketing

4.

D) Exchange Transactions

5.

E) Consumer Behaviour

Companies at the greatest risk in todayʹs marketplace are doing all of the f
ollowing EXCEPT:
1.

A) not monitoring their competitors.

2.

B) not monitoring their customers.

3.

C) not lowering prices sufficiently.

4.

D) taking a short-term, sales-driven view of their business.


5.

E) failing to continuously improve.

Producers of unsought products like burial insurance would normally emp
loy the __________concept.
1.

A) marketing

2.

B) production

3.

C) product

4.

D) customer

5.

E) selling

The holistic marketing concept rests on which four sets of forces?
1.


A) Products, integrated marketing, sales volume, and competition.


2.
3.

B) Customer needs, competition, sales volume, and profit.
C)
Internal marketing, socially responsible marketing, integrated marketing, and relatio
nship

4.

marketing.

5.

D) Customer needs, target market, integrated marketing, and profitability.

6.

E) Product, price, promotion, and place.

Which of the following represents the product concept?
1.

A) Selling more products will allow for lower production costs and higher profits.

2.


B) It is a customer-centered, ʺsense and respondʺ philosophy.

3.

C) It is both a proactive and a reactive form of marketing.

4.

D) Consumers, if left alone, will not buy enough of the organizationʹs product.

5.

E) A better mousetrap will lead people to beat a path to the marketerʹs door.

When IKEA noticed that people wanted good furniture at a substantially lo
wer price and created
knockdown furniture, they demonstrated marketing savvy and turned a pri
vate or social need into a(n)
1.

A) invention.

2.

B) market need.

3.

C) customer want.


4.

D) profitable business opportunity.

5.

E) product development.

Which is NOT necessary in order for exchange to exist?
1.

A) Each party has something that might be of value to the other party.

2.

B) Each party is free to accept or reject the offer.

3.

C) At least two parties.


4.

D) Satisfaction by both parties.

5.

E) Each party believes it is appropriate or desirable to deal with the other party.


Which of the following is NOT generally true of marketing networks?
1.

A) Customers are independent of marketing networks.

2.

B) Suppliers are considered part of a companyʹs marketing network.

3.

C) Building effective marketing networks will result in profit.

4.

D) Competition is not between companies but between marketing networks.

5.

E) A marketing network consists of the company and its supporting stakeholders.

__________ marketing aims to build long-term, mutually satisfying relation
ships with key parties,
customers, suppliers, distributorsin order to earn and retain their longterm preference and business.
1.

A) Business-to-business

2.


B) Transaction-oriented

3.

C) Holistic

4.

D) Network

5.

E) Relationship

Companies selling mass consumer goods and services such as soft drink
s, cosmetics, air travel, and
athletic shoes and equipment spend a great deal of time trying to establis
h a superior brand image in markets called
1.

A) global markets.

2.

B) consumer markets.

3.

C) nonprofit and governmental markets.


4.

D) service markets.

5.

E) business markets.


Companies that practice both a reactive and proactive marketing orientati
on are implementing a(n)
__________ and are likely to be the most successful.
1.

A) external focus

2.

B) confrontation process

3.

C) total market orientation

4.

D) competitive, customer focus

5.


E) customer focus

Which of the following is an example of a transfer?
1.

A) Andi places the winning bid on a vase at an auction.

2.

B) Anna donates money to the American Cancer Society.

3.

C) Ms. Kelly gives Bonnie a dozen cookies for walking her dog.

4.

D) Quentin buys a sweater at a flea market.

5.

E) All of the above are examples of transfers.

Which of the following is probably the best definition of marketing?
1.

A)
Using marketing savvy to turn private or social needs into profitable business opport
unities.


2.

B) ʺThe art of selling products.ʺ

3.

C) ʺMeeting needs profitably.ʺ

4.

D)
An organizational function employed to offer lower prices and superior selection.

5.

E)
Creating, communicating, and delivering value to chosen customers in ways that be
nefit the organization and its stakeholders.


Marketing __________ is the art and science of choosing target markets a
nd getting, keeping, and
growing customers through creating, delivering, and communicating supe
rior customer value.
1.

A) integration

2.


B) training

3.

C) management

4.

D) segmentation

5.

E) transfer

A __________ is someone seeking a response (attention, a purchase, a vot
e, a donation) from another party, called the
1.

A) salesperson, customer.

2.

B) politician, voter.

3.

C) fund raiser, contributor.

4.


D) marketer, prospect.

5.

E) celebrity, audience.

Which of the following is an example of a product that can be marketed?
1.

A) a carton of eggs

2.

B) a screenplay based on the life of Bill Clinton

3.

C) a haircut

4.

D) a seminar on time management

5.

E) All of the above

Good marketing is no accident, but a result of careful planning and
1.


A) execution.

2.

B) research.


3.

C) selling.

4.

D) tactics.

5.

E) strategies.

The selling concept assumes
1.

A)
consumers do not have to be compelled by promotions to buy what a company is s
elling.

2.

B) consumers will favour products that offer quality, performance, and innovation.


3.

C)
if left alone, consumers will ordinarily not buy enough of the organizationʹs products.

4.

D)
being more effective than competitors in integrating marketing activities will lead to
success.

5.

E) a company has a social responsibility for the effects of its products.

Nestle Canada began to incorporate peanuts into more of its confectioner
y items. This action shows the company was practising a
1.

A) reactive market orientation.

2.

B) total market orientation.

3.

C) proactive marketing orientation.

4.


D) both reactive and proactive marketing orientation.

5.

E) marketing network.

When 3M, HP, and Motorola practice researching or imaging latent needs
of consumers through a ʺprobe-andlearnʺ process, they are most likely using which of the following marketin
g orientations with respect to their consumers?
1.

A) proactive marketing orientation

2.

B) supply-side orientation

3.

C) promotion orientation


4.

D) selling orientation

5.

E) reactive market orientation


The computer __________ consists of the manufacturers of computer me
mory chips, monitors,
keyboards, coaxial cables, modems, software, storage systems (disks, har
d drives, portable USB
media), and those who install, repair, and maintain systems and software.
1.

A) marketspace

2.

B) metamarket

3.

C) marketplace

4.

D) micromarket

5.

E) macromarket

Customers, employees, suppliers, and distributors could all be considere
d
1.


A) channel members.

2.

B) part of the marketing organization.

3.

C) stakeholders.

4.

D) supply chain members.

5.

E) stockholders.

The act of obtaining a desired product from someone by offering somethin
g in return is known as
1.

A) the cost of the product.

2.

B) customer satisfaction.

3.


C) an exchange.

4.

D) product valuation.

5.

E) the service desired of the product.


Dinetah Shoes collects information on its customersʹ past purchases, thei
r demographics and
psychographics, and their media use and preferences. The goal is to capt
ure a higher share of
future purchases and developing stronger loyalty among its most importa
nt target segments. Dinetah Shoes is using
1.

A) knowledge management.

2.

B) network marketing.

3.

C) relationship marketing.

4.


D) integrated marketing.

5.

E) multidimensional scaling.

If the automobile industry sends advertising communications and persona
l sales messages to
prospective buyers in a simple marketing system, it expects __________ i
n return if the exchange process is really working.
1.

A) image enhancement

2.

B) goods

3.

C) information

4.

D) money

5.

E) services


Which of the following is NOT true?
1.

A) Careful marketing homework often results in lots of consumer demand.

2.

B) The most important part of marketing is not selling.

3.

C) All that is needed for success is to make a good product or service available.

4.

D) Ideally, marketing should result in a customer who is ready to buy.


5.

E)
Famous business guru Peter Drucker said, ʺThe aim of marketing is to make selling
superfluous.ʺ

Which of the following is correct?
1.

A) A megamarket includes only suppliers.


2.

B) A metamediary is a physical marketplace.

3.

C) A metamarket is a huge store.

4.

D) A marketspace is a stall in a flea market.

5.

E) A marketspace is a digital shopping ʺarea.ʺ

Which of the following is most closely associated with a proactive marketi
ng orientation?
1.

A) The marketer focuses on the customersʹ latent needs.

2.

B) It involves delivering superior value.

3.

C) It is about understanding and meeting customersʹ expressed needs.


4.

D) It is preoccupied with the need to turn the product into cash.

5.

E) It represents the ʺmake and sellʺ philosophy.

Which of the following is NOT an entity that can be marketed?
1.

A) information

2.

B) persons

3.

C) places

4.

D) events

5.

E) All of the above can be marketed.



The first computers originated for home use were only sold in kit form to t
echnical enthusiasts who
did their own assembly. Demand was high and so were prices. At that time
, the firm offering these
kits would likely have been using the __________ concept.
1.

A) product

2.

B) production

3.

C) selling

4.

D) market

5.

E) technological

74 Free Test Bank for A Framework for Marketing
Management 1st Canadian Edition by Kotler
Mutiple Choice Question - Page 2
Which of the following is NOT one of the customerʹs ʺfour Csʺ as defined
by Robert Lauterborn?

1.

A) convenience

2.

B) customer cost

3.

C) communication

4.

D) customer solution

5.

E) commitment

For each 20 kilo bag of Good Boy High Pro dog food that is purchased, the
manufacturer makes a
donation to the American Humane Society. The terms of the donation are
prominently displayed
on the bags and included in its print ads. The manufacturer of Good Boy i
s using __________ marketing.
1.

A) advocacy



2.

B) cause-related

3.

C) nonprofit

4.

D) service

5.

E) pro bono

Marta has a(n) __________ need; she is expecting admiration of her fashio
n sense from her friends
because she has just purchased a skirt in this springʹs hottest colour.
1.

A) stated

2.

B) delight

3.


C) real

4.

D) secret

5.

E) unstated

Which of the following is NOT true about cause-related marketing?
1.

A) It may result in increased consumer loyalty.

2.

B) It is generally considered the same thing as the societal marketing concept.

3.

C) It provides an opportunity to enhance corporate reputation.

4.

D) It can be used to raise brand awareness.

5.

E) It can help build sales.


June and Henry produce and sell garden artwork. They are debating over
a description of the
potential customers for their artwork. Jane and Henry are debating
1.

A) who their market is.

2.

B) relationship marketing.

3.

C) what constitutes an exchange.

4.

D) customer satisfaction.


5.

E) the definition of customer value.

One traditional depiction of marketing activities is in terms of the marketin
g mix or four Ps. The four Ps are characterized as being
1.

A) place, promotion, production, and positioning.


2.

B) promotion, place, positioning, and price.

3.

C) product, price, promotion, and place.

4.

D) product, positioning, place, and price.

5.

E) product, production, price, and place.

A few years ago, Target Corporation (then called Dayton-Hudson) decided
that it would no longer sell tobacco products, giving up a
very profitable line for them at the time. At the time, liability and corporate
responsibility were cited as the reasons for this move. Even if a Target co
nsumerwanted to buy tobacco products, no physical
product exchange could take place. Why?
1.
2.

A) There are not two parties.
B)
One of the parties believes it is inappropriate or undesirable to deal with the other p
arty.


3.

C) One of the parties cannot accept or reject the exchange.

4.

D) One of the parties is incapable of communicating or delivering.

5.

E) One of the parties lacks the something that could be of value to the other.

Which of the following is a part of the distribution channel for a producer
of bottled water?
1.

A) the insurance company that insures the company in the event of litigation

2.

B) the bank where it borrowed the money to purchase its filtration system

3.

C) the warehouse where empty plastic bottles are stored

4.

D) the print media that runs its advertisements



5.

E) the toll-free number it uses for customer orders

The tasks of hiring, training, and motivating employees to embrace a ʺthin
k customerʺ perspective are all a part of __________ marketing.
1.

A) internal

2.

B) integrated

3.

C) extrapolated

4.

D) myopic

5.

E) relationship

When a customer has a(n) __________ need he/she wants a car whose op
erating cost, not its initial price, is low.

1.

A) delight

2.

B) secret

3.

C) real

4.

D) unstated

5.

E) stated

__________ channels deliver messages to and receive messages from tar
get buyers.
1.

A) Communication

2.

B) Distribution


3.

C) Informal

4.

D) Delivery

5.

E) Supplier


Companies see __________ as an opportunity to enhance their corporate r
eputation, raise brand
awareness, increase customer loyalty, build sales, and increase press cov
erage.
1.

A) equity marketing

2.

B) recognition marketing

3.

C) cause-related marketing

4.


D) direct marketing

5.

E) brand marketing

A few years ago, Target Corporation (then called Dayton-Hudson) decided
that it would no longer sell tobacco products, giving up avery profitable lin
e for them at the time. At the time, liability and corporate responsibility we
re cited as the reasons for this move. Which component of the broad envir
onment likely had the most impact on
Targetʹs decision to delete tobacco products from its product line-up?
1.

A) manufacturing environment

2.

B) natural environment

3.

C) political-legal environment

4.

D) task environment

5.


E) demographic environment

If a marketer decides to use warehouses, transportation companies, bank
s, and insurance
companies to facilitate transactions with potential buyers, the marketer is
using what is called a
1.

A) distribution channel.

2.

B) relationship channel.

3.

C) brand channel.


4.

D) intermediary channel.

5.

E) service channel.

Taking into account profitability, customerʹs need, and the greater societal
good when marketing is called

1.

A) the societal marketing concept.

2.

B) cause-related marketing.

3.

C) the customer concept.

4.

D) the value proposition.

5.

E) the selling orientation.

A brand name such as BMW carries many associations in the minds of pe
ople: speed, expensive,
engineering, status, the BMW logo. These associations make up BMWs
ʹ
1.

A) brand strength.

2.


B) brand image.

3.

C) value proposition.

4.

D) effective demand.

5.

E) customer value triad.

The __________ holds that the organizationʹs task is to determine the nee
ds, wants, and interests of
target markets and to deliver the desired satisfactions more effectively an
d efficiently than
competitors in a way that preserves or enhances the consumerʹs and the
societyʹs well-being.
1.

A) SWOT concept

2.

B) comparative advantage concept

3.


C) holistic marketing concept


4.

D) societal marketing concept

5.

E) customer is king concept

A __________ is an offering from a known source.
1.

A) need

2.

B) demand

3.

C) brand

4.

D) product

5.


E) service

__________ reflects the perceived tangible and intangible benefits and cos
ts to customers.
1.

A) Loyalty

2.

B) Value

3.

C) Expectations

4.

D) Satisfaction

5.

E) Comparison shopping

The two key themes of __________ are that: (1) many different marketing a
ctivities are employed to
communicate and deliver value, and (2) all marketing activities are coordin
ated to maximize their joint effects.
1.


A) product management

2.

B) integrated marketing

3.

C) bad word-of-mouth communications

4.

D) anticipative marketing

5.

E) responsive marketing


A few years ago, Target Corporation (then called Dayton-Hudson) decided
that it would no longer sell tobacco products, giving up avery profitable lin
e for them at the time. At the time, liability and corporate responsibility we
re cited as the reasons for this move. This decision by Target illustrates w
hich of the following?
1.

A) the marketing concept

2.


B) relationship marketing

3.

C) integrated marketing

4.

D) societal marketing concept

5.

E) benchmarking

__________ are wants for specific products backed by an ability to pay.
1.

A) Needs

2.

B) Morals

3.

C) Demands

4.

D) Exchanges


5.

E) Values

According to our text, the centre of all marketing activity should be
1.

A) the public.

2.

B) target customers.

3.

C) the marketing control system.

4.

D) stakeholders.

5.

E) suppliers.

Marketers can increase the value of a customer offering by
1.

A) reducing service.


2.

B) lowering service and raising price.


3.

C) increasing price.

4.

D) not considering the competitive offering.

5.

E) raising quality.

All of the following represent types of needs discussed in the text EXCEPT
1.

A) unstated needs.

2.

B) obvious needs.

3.

C) stated needs.


4.

D) real needs.

5.

E) delight needs.

Which of the following best represents the societal marketing concept?
1.

A) Nordstrom strives at all costs to give the customers what they want.

2.

B) McDonaldʹs develops a new, brighter package for the Filet-O-Fish.

3.

C) Wal-Mart promises to sell at the lowest price.

4.

D)
A Dunkinʹ Donuts portable breakfast sandwich adds convenience for the consumer.

5.

E)

Target Corporation chooses to eliminate profitable cigarette sales in their stores.

Which is true?
1.

A) Needs preexist marketers.

2.

B) Demand strictly means desire for some object.

3.

C)
Wants become needs when they are directed at specific objects that might satisfy t
he want.

4.

D) Marketers create needs.

5.

E) A personʹs need for food or shelter is a creation of marketers.


When the design and implementation of any one marketing activity is don
e with all other activities in mind, this is called
1.


A) integrated marketing.

2.

B) marketing consistency.

3.

C) internal marketing.

4.

D) target marketing.

5.

E) cause-related marketing.

The __________ process consists of analyzing marketing opportunities; s
electing target markets;
designing marketing strategies; developing marketing programs; and man
aging the marketing effort.
1.

A) opportunity analysis

2.

B) market research


3.

C) strategic planning

4.

D) share of customer

5.

E) marketing planning

A number of companiesincluding the Body Shop, Loblaws, and the Can
adian Imperial Bank of
Commercehave achieved notable sales and profit gains by adopting and
practicing a form of the
societal marketing concept called __________ by which a company with a
n image, product, or
service to market builds a relationship or partnership with a cause, or a nu
mber of causes, for mutual benefit.
1.

A) social marketing

2.

B) environmental marketing

3.


C) responsible marketing


4.

D) benefit marketing

5.

E) cause-related marketing

For each target market, the firm develops a __________. The offering is po
sitioned in the minds of
the target buyers as delivering some central benefit(s).
1.

A) market offering

2.

B) segment offering

3.

C) niche offering

4.

D) value offering


5.

E) social offering

__________ includes all the actual and potential rival offerings and substit
utes that a buyer might consider.
1.

A) The supply chain

2.

B) Competition

3.

C) The product offering

4.

D) A value proposition

5.

E) The marketing environment

Which of the following is NOT one of the major shifts in marketing manage
mentsʹ responsibilities?
1.


A) Stakeholders are the new focus.

2.

B) Marketers are partnering with fewer but better suppliers.

3.

C) Every employee is now recognized to impact the marketing effort.

4.

5.

D)
Brand building is now accomplished through strong and effective advertising alone.
E) There is a movement from local to both global and local.


When an athletic apparel marketer such as Sporthill ensures that direct an
d indirect channels work
together to maximize sales and brand equity, they are practising which ap
proach to holistic marketing?
1.

A) relationship marketing

2.

B) internal marketing


3.

C) integrated marketing

4.

D) global marketing

5.

E) socially responsible marketing

Which of the following is NOT true?
1.

A) Marketing channels connect the marketer to the target buyer.

2.

B) The supply chain includes the final customer.

3.

C)
The supply chain for womenʹs leather purses includes the supplier of the hides and
the tanning process.

4.


D)
The distribution channel is used to display or deliver the physical product or service
s to the buyer or user.

5.

E) The supply chain is longer than the marketing channel.

When Caitlin Peterson began OldeTowne Spice Company, she had one pr
oduct, an all -purpose
seasoning mix called OldeTowne Special Blend for adding flavor to bland
casseroles. She sold 5.5ounce bottles of her seasoning mix for $6.95. Her only outlets were booths
at craft fairs throughout the Northeast. She relied on word-ofmouth advertising and a few feature articles in
regional newspapers to tell people about her product. The above describe
s OldeTowne Spice Companys
ʹ
1.

A) method of exchange.


2.

B) marketing mix.

3.

C) transfer marketing.

4.


D) transaction marketing.

5.

E) marketing tactics.

__________ is a combination of quality, service, and price.
1.

A) The consumer cost-benefit ratio

2.

B) Benefit evaluation

3.

C) A customer satisfaction level

4.

D) Price-setting

5.

E) The customer value triad

The __________ environment includes the immediate actors involved in pr
oducing, distributing,

and promoting the offering such as the company, suppliers, distributors, d
ealers, and the target customers.
1.

A) management

2.

B) operations

3.

C) task

4.

D) tactical

5.

E) strategic

Free Text Questions
discuss the marketerʹs argument for why an organization should embrace
the marketing concept.
Answer Given


The companyʹs assets have little value without the existence of customers. The ke
y company task, therefore, is to attract

and retain customers. Customers are attracted through competitively superior offe
rings and retained through
satisfaction. Marketingʹs task is to develop a superior offering and deliver custome
r value and satisfaction. Customer
satisfaction is affected by the performance of other departments. Marketing needs
to influence those other departments
to cooperate in delivering customer satisfaction.

describe the supply chain for denim jeans.
Answer Given

The supply chain begins with cotton growers, then on to cloth textile processors, c
utting operations and sewing
operations. Next, the jeans are sent through distribution channels, such as wholes
alers and retailers. From there, consumers purchase them.

In a short essay, explain the five types of needs associated with a consum
er who says she wants a ʺnice mp3 player.ʺ
Answer Given

(1) Stated Needthe consumer wants a nice mp3 player. (2) Real Needthe cons
umer wants a portable music device
that is not too expensive or flashy, but above the ʺaverageʺ player. (3) Unstated N
eedthe consumer does not want to have to deal with a poorlymade or nonworking product. (4) Delight Needthe consumer would like to have a
colour
screen and an FM tuner included. (5) Secret Needthe consumer would like to be
seen as someone who has the good
taste to buy the best mp3 player available. Answers may vary.

describe the buying interaction between a customer and Wal-Mart, incorp

orating the five
conditions that must be satisfied so that exchange can happen.
Answer Given

(1) There are at least two parties involved, the consumer and Wal-Mart. (2) The co
nsumer has money that is valuable to Wal-Mart, and WalMart has merchandise that is valuable to the consumer. (3) The consumer can sp
eak with representatives of WalMart and can deliver the money in the form of cash, check, or credit/debit card. W


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