Exam 3: The Marketing Environment, Ethics, and Social Responsibility

When a seller charges different prices for the same quantity and quality of products to two different customers who are in competition with each other, it is guilty of predatory pricing.

Deflation is necessarily better for the economy than inflation as inflation devalues money and reduces the purchasing power of consumers.

Assume that Quaker Oats is offering a new product designed to meet the nutritional needs of women between the ages of 45 and 60. What trend is Quaker Oats responding to?

What type of environment would be most significantly affected by a research and development project that results in a patent being granted?

The Robinson family recently bought a car because they were offered a no-interest financing option. The family's annual vacation was also booked through a discount travel firm. The family has purchasing power, but they prefer to spend their money cautiously like most other families in the country. The above stated instances indicate which stage of the business cycle?

When prices rise due to excess demand and the increasing cost of production, what is the resulting monetary condition known as?

Explain time-based competition.

What is the most highly regulated aspect of the marketing strategy?

Demarketing is a reaction to a shortage of production materials that results in product demand exceeding supply.

A firm's philosophy when dealing with society as a whole is to "play by the rules" and no more. What level of corporate social responsibility is this firm exhibiting?

Despite its many advantages, technology can seldom address social concerns.

What does the decision about whether to have lunch at a fast-food restaurant, such as McDonald's, Subway, or Wendy's, illustrate?

Social responsibility includes four dimensions: economic, legal, ethical, and philanthropic.

Which ethical issue is associated with firms' product strategies?

Lockheed Martin won the world's largest ever military contract by proving it could be the first company to develop and fly a new model plane in just four years. What does this illustrate?

During what economic period does unemployment begin to rise?

Environmental management rarely works because marketers cannot hope to influence the external environment, only respond to changes in it.

A manufacturer provides discounts to a large retailer in exchange for product advertising, special placement within the stores, and a guarantee that the retailer will purchase a certain volume of product over a three-month period. The manufacturer will not extend this offer to other retailers in the marketplace. What best describes the category that is affected by legal and ethical questions regarding this practice?

Friums & You, a Canadian firm, together with its subsidiaries, manufactures and markets snacks, confectionery, and quick meal products worldwide. The firm has been trying to expand its business into China, but Chinese laws require foreign firms to do business with local companies. What will Friums & You need to be involved in to start operations in China?

By analyzing data on trends in consumer tastes, marketers can engage in environmental scanning.