Question 1

Persuasive advertising is often used during a product's growth state to improve the competitive status of the product.

Accepted Answer

A) True 
 B)False

Question 2

Assume a company wants to increase its profitability.Which of the following would be inconsistent with the company's objective?

Accepted Answer

A)  Operate more efficiently 
B)  Maintain price while increasing the size or amount of the product 
C)  Reduce costs 
D)  Raise prices 
A)  Operate more efficiently 
B)  Maintain price while increasing the size or amount of the product 
C)  Reduce costs 
D)  Raise prices

Question 3

Penetration pricing assumes that a low price will attract new buyers.

Accepted Answer

A) True 
 B)False

Question 4

Texaco and Shell are located directly across the street from one another.Texaco lowers its price for regular unleaded by 5 cents,and Shell quickly follows suit.What pricing objective is Shell using?

Accepted Answer

A)  Competitive pricing 
B)  Skimming pricing 
C)  Odd pricing 
D)  Penetration pricing 
A)  Competitive pricing 
B)  Skimming pricing 
C)  Odd pricing 
D)  Penetration pricing

Question 5

Describe the four basic categories of pricing objectives.

Accepted Answer

The four basic categories of pricing obj

Question 6

T-shirts Unlimited is conducting a breakeven analysis on unbleached cotton tops.Fixed costs are $100,000 and the per-unit contribution to fixed costs is $20.To break even,the company must sell ________ units.

Accepted Answer

A)  20,000 
B)  5,000 
C)  500 
D)  200 
A)  20,000 
B)  5,000 
C)  500 
D)  200

Question 7

A pushing strategy is designed to motivate wholesalers and retailers.

Accepted Answer

A) True 
 B)False

Question 8

Dell Computer is offering $100 cash back on the purchase of a computer.This is an example of a(n)_______________.

Accepted Answer

A)  specialty advertising 
B)  rebate 
C)  sample 
D)  premium 
A)  specialty advertising 
B)  rebate 
C)  sample 
D)  premium

Question 9

To gain a competitive advantage,marketers that utilize integrated marketing communications need a broad view of promotion.

Accepted Answer

A) True 
 B)False

Question 10

Research indicates that the use of Internet coupons is on the decline.

Accepted Answer

A) True 
 B)False

Question 11

A pushing promotional strategy is ________.

Accepted Answer

A)  designed to promote one item at a time and place it near the location of the actual purchase decision 
B)  designed to encourage consumers to ask for the product if the retailer does not carry it 
C)  primarily used when goods or services are marketed to the ultimate consumer 
D)  designed to market the product,product line,or service to wholesalers and retailers 
A)  designed to promote one item at a time and place it near the location of the actual purchase decision 
B)  designed to encourage consumers to ask for the product if the retailer does not carry it 
C)  primarily used when goods or services are marketed to the ultimate consumer 
D)  designed to market the product,product line,or service to wholesalers and retailers

Question 12

The salesperson's task of identifying potential customers is known as ________.

Accepted Answer

A)  follow-up 
B)  approach 
C)  demonstration 
D)  prospecting 
A)  follow-up 
B)  approach 
C)  demonstration 
D)  prospecting

Question 13

The promotional mix consists of two major components,personal selling and nonpersonal selling.

Accepted Answer

A) True 
 B)False

Question 14

Setting a price relatively high compared to similar goods and then gradually lowering it is a pricing strategy called ________ pricing.

Accepted Answer

A)  psychological 
B)  cost-based 
C)  skimming 
D)  penetration 
A)  psychological 
B)  cost-based 
C)  skimming 
D)  penetration

Question 15

Informative advertising is most apt to be used in which stage of the product life cycle?

Accepted Answer

A)  Maturity stage 
B)  Growth stage 
C)  Decline stage 
D)  Introductory stage 
A)  Maturity stage 
B)  Growth stage 
C)  Decline stage 
D)  Introductory stage

Question 16

Tanya is an account representative for an office supply corporation who frequently provides demonstrations to business professionals.When someone complained about the company's fax machine,Tanya viewed the situation as an opportunity to ________.

Accepted Answer

A)  determine if the prospect has the ability to pay for the machine 
B)  propose alternative purchases 
C)  revise her approach to the prospect 
D)  extend the presentation and answer questions 
A)  determine if the prospect has the ability to pay for the machine 
B)  propose alternative purchases 
C)  revise her approach to the prospect 
D)  extend the presentation and answer questions

Question 17

Companies typically prefer sweepstakes to games or contests or because:

Accepted Answer

A)  sweepstakes require more effort to organize. 
B)  the company can predict the number of winners in sweepstakes. 
C)  courts and rulings have limited the use of sweepstakes. 
D)  sweepstakes require product purchase to enter. 
A)  sweepstakes require more effort to organize. 
B)  the company can predict the number of winners in sweepstakes. 
C)  courts and rulings have limited the use of sweepstakes. 
D)  sweepstakes require product purchase to enter.

Question 18

Advertising,sales promotion,direct marketing and public relations are examples of________.

Accepted Answer

A)  order processing 
B)  personal selling 
C)  nonpersonal selling 
D)  creative selling 
A)  order processing 
B)  personal selling 
C)  nonpersonal selling 
D)  creative selling

Question 19

The breakeven point determines at which point to halt production because sales beyond the breakeven point result in losses to the firm.

Accepted Answer

A) True 
 B)False

Question 20

Explain how marketers breakeven analysis.

Accepted Answer

Breakeven analysis is a method of determ

Persuasive advertising is often used during a product's growth state to improve the competitive status of the product.

Assume a company wants to increase its profitability.Which of the following would be inconsistent with the company's objective?

Penetration pricing assumes that a low price will attract new buyers.

Texaco and Shell are located directly across the street from one another.Texaco lowers its price for regular unleaded by 5 cents,and Shell quickly follows suit.What pricing objective is Shell using?

Describe the four basic categories of pricing objectives.

T-shirts Unlimited is conducting a breakeven analysis on unbleached cotton tops.Fixed costs are $100,000 and the per-unit contribution to fixed costs is $20.To break even,the company must sell ________ units.

A pushing strategy is designed to motivate wholesalers and retailers.

Dell Computer is offering $100 cash back on the purchase of a computer.This is an example of a(n)_______________.

To gain a competitive advantage,marketers that utilize integrated marketing communications need a broad view of promotion.

Research indicates that the use of Internet coupons is on the decline.

A pushing promotional strategy is ________.

The salesperson's task of identifying potential customers is known as ________.

The promotional mix consists of two major components,personal selling and nonpersonal selling.

Setting a price relatively high compared to similar goods and then gradually lowering it is a pricing strategy called ________ pricing.

Informative advertising is most apt to be used in which stage of the product life cycle?

Tanya is an account representative for an office supply corporation who frequently provides demonstrations to business professionals.When someone complained about the company's fax machine,Tanya viewed the situation as an opportunity to ________.

Companies typically prefer sweepstakes to games or contests or because:

Advertising,sales promotion,direct marketing and public relations are examples of________.

The breakeven point determines at which point to halt production because sales beyond the breakeven point result in losses to the firm.

Explain how marketers breakeven analysis.

The Changing Face of Business

Business Ethics and Social Responsibility

Economic Challenges Facing Contemporary Business

Competing in World Markets

Forms of Business Ownership and Organization

Starting Your Own Business: The Entrepreneurship Alternative

Management, Leadership, and the Internal Organization

Human Resource Management: From Recruitment to Labour Relations

Top Performance through Empowerment, Teamwork, and Communication

Production and Operations Management

Customer-Driven Marketing

Product and Distribution Strategies

Using Technology to Manage Information

Understanding Accounting and Financial Statements

The Financial System

Financial Management

Filters

Exam 13: Promotion and Pricing Strategies

Persuasive advertising is often used during a product's growth state to improve the competitive status of the product.

Assume a company wants to increase its profitability.Which of the following would be inconsistent with the company's objective?

Penetration pricing assumes that a low price will attract new buyers.

Texaco and Shell are located directly across the street from one another.Texaco lowers its price for regular unleaded by 5 cents,and Shell quickly follows suit.What pricing objective is Shell using?

Describe the four basic categories of pricing objectives.

T-shirts Unlimited is conducting a breakeven analysis on unbleached cotton tops.Fixed costs are $100,000 and the per-unit contribution to fixed costs is $20.To break even,the company must sell ________ units.

A pushing strategy is designed to motivate wholesalers and retailers.

Dell Computer is offering $100 cash back on the purchase of a computer.This is an example of a(n)_______________.

To gain a competitive advantage,marketers that utilize integrated marketing communications need a broad view of promotion.

Research indicates that the use of Internet coupons is on the decline.

A pushing promotional strategy is ________.

The salesperson's task of identifying potential customers is known as ________.

The promotional mix consists of two major components,personal selling and nonpersonal selling.

Setting a price relatively high compared to similar goods and then gradually lowering it is a pricing strategy called ________ pricing.

Informative advertising is most apt to be used in which stage of the product life cycle?

Tanya is an account representative for an office supply corporation who frequently provides demonstrations to business professionals.When someone complained about the company's fax machine,Tanya viewed the situation as an opportunity to ________.

Companies typically prefer sweepstakes to games or contests or because:

Advertising,sales promotion,direct marketing and public relations are examples of________.

The breakeven point determines at which point to halt production because sales beyond the breakeven point result in losses to the firm.

Explain how marketers breakeven analysis.

The Changing Face of Business

Business Ethics and Social Responsibility

Economic Challenges Facing Contemporary Business

Competing in World Markets

Forms of Business Ownership and Organization

Starting Your Own Business: The Entrepreneurship Alternative

Management, Leadership, and the Internal Organization

Human Resource Management: From Recruitment to Labour Relations

Top Performance through Empowerment, Teamwork, and Communication

Production and Operations Management

Customer-Driven Marketing

Product and Distribution Strategies

Using Technology to Manage Information

Understanding Accounting and Financial Statements

The Financial System

Financial Management

Filters