Question 1

If you did a breakeven analysis for your firm, it would be possible for you to show to your management the point at which _____.

Accepted Answer

A)  the level of sales that will cover all of the company's costs 
B)  the firm would not make a profit if it sold additional units 
C)  profits would be maximized 
D)  the firm's fixed costs would climb sharply 
A)  the level of sales that will cover all of the company's costs 
B)  the firm would not make a profit if it sold additional units 
C)  profits would be maximized 
D)  the firm's fixed costs would climb sharply

Question 2

Score Inc., a home products manufacturer, is introducing a new paper coffee filter at a dramatically reduced cost. Score is entering a market already saturated with stiff competition. Which pricing strategy will enable Score to achieve market recognition?

Accepted Answer

A)  Skimming pricing 
B)  Penetration pricing 
C)  Psychological pricing 
D)  Cost-based pricing 
A)  Skimming pricing 
B)  Penetration pricing 
C)  Psychological pricing 
D)  Cost-based pricing

Question 3

The use of literature and unusual visual aids is part of the _____stage of the sales process.

Accepted Answer

A)  approach 
B)  demonstration 
C)  closing 
D)  qualifying 
A)  approach 
B)  demonstration 
C)  closing 
D)  qualifying

Question 4

Integrated marketing communications would include all of the following EXCEPT _____.

Accepted Answer

A)  direct mail 
B)  sales promotions 
C)  public relations 
D)  distribution 
A)  direct mail 
B)  sales promotions 
C)  public relations 
D)  distribution

Question 5

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 6

The future attitudes of most prospects are affected by the first impression they form of a salesperson. Therefore, salespeople _____.

Accepted Answer

A)  should carefully prepare their approach to potential customers 
B)  should use the same sales pitch to all customers 
C)  must be selective in identifying prospects 
D)  must be tactful when they respond to objections 
A)  should carefully prepare their approach to potential customers 
B)  should use the same sales pitch to all customers 
C)  must be selective in identifying prospects 
D)  must be tactful when they respond to objections

Question 7

Most marketing managers believe that the price-quality relationship holds for a wide variety of prices.

Accepted Answer

A) True 
 B)False

Question 8

Companies that provide _____ for NASCAR teams are eager to spend millions in exchange for a direct association with the biggest spectator sport in the United States.

Accepted Answer

A)  public relations 
B)  sponsorships 
C)  specialty advertising 
D)  product advertising 
A)  public relations 
B)  sponsorships 
C)  specialty advertising 
D)  product advertising

Question 9

Order processing involves identifying customer needs, pointing them out to customers, and completing orders.

Accepted Answer

A) True 
 B)False

Question 10

Increasing sales volume is the most common objective of a promotional strategy.

Accepted Answer

A) True 
 B)False

Question 11

A promotional mix often incorporates more personal selling components than nonpersonal selling components.

Accepted Answer

A) True 
 B)False

Question 12

If a product sells for $20 and the variable costs is $14, then the per-unit contribution to fixed costs is $34.

Accepted Answer

A) True 
 B)False

Question 13

Mex, a restaurant, makes all its menu items from scratch and uses authentic Mexican herbs in its dishes. As a result of its focus on using specialty ingredients, prices are 75 percent higher than its competitors. Mex knows that_____.

Accepted Answer

A)  the higher the price, the better its perceived quality 
B)  people always pay more for items that are unfamiliar to them 
C)  people think that the competitor's food is priced too low 
D)  experience has taught consumers to ignore prices 
A)  the higher the price, the better its perceived quality 
B)  people always pay more for items that are unfamiliar to them 
C)  people think that the competitor's food is priced too low 
D)  experience has taught consumers to ignore prices

Question 14

Sales personnel explain to marketing intermediaries why they should carry particular merchandise, usually supported by _____.

Accepted Answer

A)  corporate financing 
B)  nonpersonal selling 
C)  publicity stunts 
D)  offers of special discounts 
A)  corporate financing 
B)  nonpersonal selling 
C)  publicity stunts 
D)  offers of special discounts

Question 15

MATCHING
Complete the following using the terms listed.
-A _____is a combination of personal selling and nonpersonal selling to meet the needs of a firm's target customers and communicate its message to them.

Accepted Answer

A) breakeven analysis 
B) promotional mix 
C) Volume objectives 
D) Institutional advertising 
E) discount pricing
F)Creative selling
G)Point-of-purchase advertising
H)skimming pricing
I)pushing strategy
J)penetration
K)integrated marketing communications
L)cooperative advertising
M)odd pricing 
A) breakeven analysis 
B) promotional mix 
C) Volume objectives 
D) Institutional advertising 
E) discount pricing
F)Creative selling
G)Point-of-purchase advertising
H)skimming pricing
I)pushing strategy
J)penetration
K)integrated marketing communications
L)cooperative advertising
M)odd pricing

Question 16

Cup-shirt, a T-shirt company, 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 17

Drelfin Community College purchases golf balls engraved with the words "Drelfin Community College," which are distributed at various college fairs in which it participates. These engraved golf balls are considered _____.

Accepted Answer

A)  point-of-purchase advertising 
B)  samples 
C)  premiums 
D)  specialty advertising 
A)  point-of-purchase advertising 
B)  samples 
C)  premiums 
D)  specialty advertising

Question 18

Advertising is a form of nonpersonal selling.

Accepted Answer

A) True 
 B)False

Question 19

Explain why companies and consumers often prefer sweepstakes to contests or games as a form of promotion.

Accepted Answer

Companies like sweepstakes because they

Question 20

Describe the relationship between price and quality.

Accepted Answer

In general, most consumers equate higher

If you did a breakeven analysis for your firm, it would be possible for you to show to your management the point at which _____.

Score Inc., a home products manufacturer, is introducing a new paper coffee filter at a dramatically reduced cost. Score is entering a market already saturated with stiff competition. Which pricing strategy will enable Score to achieve market recognition?

The use of literature and unusual visual aids is part of the _____stage of the sales process.

Integrated marketing communications would include all of the following EXCEPT _____.

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

The future attitudes of most prospects are affected by the first impression they form of a salesperson. Therefore, salespeople _____.

Most marketing managers believe that the price-quality relationship holds for a wide variety of prices.

Companies that provide _____ for NASCAR teams are eager to spend millions in exchange for a direct association with the biggest spectator sport in the United States.

Order processing involves identifying customer needs, pointing them out to customers, and completing orders.

Increasing sales volume is the most common objective of a promotional strategy.

A promotional mix often incorporates more personal selling components than nonpersonal selling components.

If a product sells for $20 and the variable costs is $14, then the per-unit contribution to fixed costs is $34.

Mex, a restaurant, makes all its menu items from scratch and uses authentic Mexican herbs in its dishes. As a result of its focus on using specialty ingredients, prices are 75 percent higher than its competitors. Mex knows that_____.

Sales personnel explain to marketing intermediaries why they should carry particular merchandise, usually supported by _____.

MATCHING Complete the following using the terms listed. -A _____is a combination of personal selling and nonpersonal selling to meet the needs of a firm's target customers and communicate its message to them.

Cup-shirt, a T-shirt company, 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.

Drelfin Community College purchases golf balls engraved with the words "Drelfin Community College," which are distributed at various college fairs in which it participates. These engraved golf balls are considered _____.

Advertising is a form of nonpersonal selling.

Explain why companies and consumers often prefer sweepstakes to contests or games as a form of promotion.

Describe the relationship between price and quality.

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 Labor 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

If you did a breakeven analysis for your firm, it would be possible for you to show to your management the point at which _____.

Score Inc., a home products manufacturer, is introducing a new paper coffee filter at a dramatically reduced cost. Score is entering a market already saturated with stiff competition. Which pricing strategy will enable Score to achieve market recognition?

The use of literature and unusual visual aids is part of the _____stage of the sales process.

Integrated marketing communications would include all of the following EXCEPT _____.

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

The future attitudes of most prospects are affected by the first impression they form of a salesperson. Therefore, salespeople _____.

Most marketing managers believe that the price-quality relationship holds for a wide variety of prices.

Companies that provide _____ for NASCAR teams are eager to spend millions in exchange for a direct association with the biggest spectator sport in the United States.

Order processing involves identifying customer needs, pointing them out to customers, and completing orders.

Increasing sales volume is the most common objective of a promotional strategy.

A promotional mix often incorporates more personal selling components than nonpersonal selling components.

If a product sells for $20 and the variable costs is $14, then the per-unit contribution to fixed costs is $34.

Mex, a restaurant, makes all its menu items from scratch and uses authentic Mexican herbs in its dishes. As a result of its focus on using specialty ingredients, prices are 75 percent higher than its competitors. Mex knows that_____.

Sales personnel explain to marketing intermediaries why they should carry particular merchandise, usually supported by _____.

MATCHING Complete the following using the terms listed. -A _____is a combination of personal selling and nonpersonal selling to meet the needs of a firm's target customers and communicate its message to them.

Cup-shirt, a T-shirt company, 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.

Drelfin Community College purchases golf balls engraved with the words "Drelfin Community College," which are distributed at various college fairs in which it participates. These engraved golf balls are considered _____.

Advertising is a form of nonpersonal selling.

Explain why companies and consumers often prefer sweepstakes to contests or games as a form of promotion.

Describe the relationship between price and quality.

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 Labor 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