Question 1

In general, marketers can employ which of the following types of pricing strategies both online and offline ________.

Accepted Answer

A)  fixed pricing 
B)  auction pricing 
C)  dynamic pricing 
D)  all of the above 
A)  fixed pricing 
B)  auction pricing 
C)  dynamic pricing 
D)  all of the above D

Question 2

Price dispersion is the observed spread between the highest and lowest price for a given product.

Accepted Answer

A) True 
 B)False  True

Question 3

In the narrowest sense, price is the amount of money charged for a product. However, a much broader definition of price may be more accurate. What factors are accounted for in a broader definition of price? Give real life examples of each.

Accepted Answer

-Price is sum of all values both monetary and non-monetary. It may include factors/values such as money, time, energy, and psychic cost.
-Monetary cost - what you pay at the grocery for milk
-Time - Buying Airline tickets on the net can take much more time, than dealing with an agent
-Energy - Like time finding something on e-Bay can take a lot of energy
-Psychic Cos t- Buying clothing on the internet can involve high psychic cost. What looks good in a picture alone, or on a model, may not look or feel good on you.

Question 4

The objective of competition-based pricing is to price according to the company's costs or demand.

Accepted Answer

A) True 
 B)False

Question 5

The internet is currently an efficient market.

Accepted Answer

A) True 
 B)False

Question 6

In a "flash sale," a site member may be eligible to purchase a product at a deep discount for a limited time.

Accepted Answer

A) True 
 B)False

Question 7

A market is truly efficient when customers have equal access to information about ________.

Accepted Answer

A)  products 
B)  prices 
C)  distribution 
D)  all of the above 
A)  products 
B)  prices 
C)  distribution 
D)  all of the above

Question 8

The phenomenon that some people may actually pay a higher price for auctioned products than they would pay an online retailer is known as ________.

Accepted Answer

A)  seller control 
B)  buyer control 
C)  dynamic pricing 
D)  the winner's curse 
A)  seller control 
B)  buyer control 
C)  dynamic pricing 
D)  the winner's curse

Question 9

A key issue for companies who have an online and an offline presence is how to coordinate pricing between the two channels.

Accepted Answer

A) True 
 B)False

Question 10

________ refers to the idea that both buyers and sellers can view all competitive prices for items sold online.

Accepted Answer

A)  Price transparency 
B)  Dynamic pricing 
C)  Online pricing 
D)  None of the above 
A)  Price transparency 
B)  Dynamic pricing 
C)  Online pricing 
D)  None of the above

Question 11

With value segment pricing the seller recognizes that not all customers provide equal value to the firm.

Accepted Answer

A) True 
 B)False

Question 12

In terms of dynamic pricing, negotiation is most often initiated by the seller.

Accepted Answer

A) True 
 B)False

Question 13

Which of the following customer group is of least value to a seller?

Accepted Answer

A)  A+ 
B)  A 
C)  B 
D)  C 
A)  A+ 
B)  A 
C)  B 
D)  C

Question 14

Online sellers are less willing to negotiate than offline sellers, giving more power to seller.

Accepted Answer

A) True 
 B)False

Question 15

Which of the following attributes of the internet puts upward pressure on prices?

Accepted Answer

A)  online customer service 
B)  affiliate programs 
C)  customer acquisition costs 
D)  all of the above 
A)  online customer service 
B)  affiliate programs 
C)  customer acquisition costs 
D)  all of the above

Question 16

________ and ________ are types of fixed pricing strategies.

Accepted Answer

A)  Price leadership; promotional pricing 
B)  Price leadership; negotiation 
C)  Promotional pricing; segmented pricing 
D)  Negotiation; segmented pricing 
A)  Price leadership; promotional pricing 
B)  Price leadership; negotiation 
C)  Promotional pricing; segmented pricing 
D)  Negotiation; segmented pricing

Question 17

The internet is always considered a low cost option for selling products and services. From a firm's perspective what are some factors that add to the expense of doing business on the internet and why?

Accepted Answer

-Online Customer Service - Personnel and

Question 18

Define and distinguish between the four types of markets recognized by economists. What kind of market is the internet at this time?

Accepted Answer

-Pure Competition - Many buyers and sell

Question 19

________ suggests that 80% of a firm's business typically comes from the top 20% of customers.

Accepted Answer

A)  The Pareto principle 
B)  Customer loyalty 
C)  Value segmenting 
D)  Dynamic pricing 
A)  The Pareto principle 
B)  Customer loyalty 
C)  Value segmenting 
D)  Dynamic pricing

Question 20

Giving high-value customers the first shot at discounts will reinforce their loyalty.

Accepted Answer

A) True 
 B)False

In general, marketers can employ which of the following types of pricing strategies both online and offline ________.

Price dispersion is the observed spread between the highest and lowest price for a given product.

In the narrowest sense, price is the amount of money charged for a product. However, a much broader definition of price may be more accurate. What factors are accounted for in a broader definition of price? Give real life examples of each.

The objective of competition-based pricing is to price according to the company's costs or demand.

The internet is currently an efficient market.

In a "flash sale," a site member may be eligible to purchase a product at a deep discount for a limited time.

A market is truly efficient when customers have equal access to information about ________.

The phenomenon that some people may actually pay a higher price for auctioned products than they would pay an online retailer is known as ________.

A key issue for companies who have an online and an offline presence is how to coordinate pricing between the two channels.

________ refers to the idea that both buyers and sellers can view all competitive prices for items sold online.

With value segment pricing the seller recognizes that not all customers provide equal value to the firm.

In terms of dynamic pricing, negotiation is most often initiated by the seller.

Which of the following customer group is of least value to a seller?

Online sellers are less willing to negotiate than offline sellers, giving more power to seller.

Which of the following attributes of the internet puts upward pressure on prices?

and are types of fixed pricing strategies.

The internet is always considered a low cost option for selling products and services. From a firm's perspective what are some factors that add to the expense of doing business on the internet and why?

Define and distinguish between the four types of markets recognized by economists. What kind of market is the internet at this time?

________ suggests that 80% of a firm's business typically comes from the top 20% of customers.

Giving high-value customers the first shot at discounts will reinforce their loyalty.

Past, Present, and Future

Strategic E-Marketing and Performance Metrics

The E-Marketing Plan

Global E-Marketing 30

Ethical and Legal Issues

E-Marketing Research

Consumer Behavior Online

Segmentation, Targeting, Differentiation, and Positioning Strategies

Product: the Online Offer

The Internet for Distribution

E-Marketing Communication: Owned Media

E-Marketing Communication: Paid Media

E-Marketing Communication: Earned Media

Customer Relationship Management

Filters

Exam 10: Price: the Online Value

In general, marketers can employ which of the following types of pricing strategies both online and offline ________.

Price dispersion is the observed spread between the highest and lowest price for a given product.

In the narrowest sense, price is the amount of money charged for a product. However, a much broader definition of price may be more accurate. What factors are accounted for in a broader definition of price? Give real life examples of each.

The objective of competition-based pricing is to price according to the company's costs or demand.

The internet is currently an efficient market.

In a "flash sale," a site member may be eligible to purchase a product at a deep discount for a limited time.

A market is truly efficient when customers have equal access to information about ________.

The phenomenon that some people may actually pay a higher price for auctioned products than they would pay an online retailer is known as ________.

A key issue for companies who have an online and an offline presence is how to coordinate pricing between the two channels.

________ refers to the idea that both buyers and sellers can view all competitive prices for items sold online.

With value segment pricing the seller recognizes that not all customers provide equal value to the firm.

In terms of dynamic pricing, negotiation is most often initiated by the seller.

Which of the following customer group is of least value to a seller?

Online sellers are less willing to negotiate than offline sellers, giving more power to seller.

Which of the following attributes of the internet puts upward pressure on prices?

________ and ________ are types of fixed pricing strategies.

The internet is always considered a low cost option for selling products and services. From a firm's perspective what are some factors that add to the expense of doing business on the internet and why?

Define and distinguish between the four types of markets recognized by economists. What kind of market is the internet at this time?

________ suggests that 80% of a firm's business typically comes from the top 20% of customers.

Giving high-value customers the first shot at discounts will reinforce their loyalty.

Past, Present, and Future

Strategic E-Marketing and Performance Metrics

The E-Marketing Plan

Global E-Marketing 30

Ethical and Legal Issues

E-Marketing Research

Consumer Behavior Online

Segmentation, Targeting, Differentiation, and Positioning Strategies

Product: the Online Offer

The Internet for Distribution

E-Marketing Communication: Owned Media

E-Marketing Communication: Paid Media

E-Marketing Communication: Earned Media

Customer Relationship Management

Filters

and are types of fixed pricing strategies.