Exams

EXAM 1

Topic:&nbspEXAM

Description:

Section I: Please indicate your response as T if the statement is correct or F if it is incorrect. Circle your choice. Each statement is valued at 1 point.

1. A marketer is considering introducing several kiosks through which the firm’s products may be viewed and sold. This represents the Place variable within the marketing mix. T

2. A key element of the marketing concept is establishing short-term, profitable customer relationships. F

3. The Product Life Cycle (PLC) reflects the stages that an individual product category experiences over time. T 4. Branding includes the use of trademarks, images and names to identify a product. T

5. The marketing mix variables are non-controllable factors within an organizations marketing strategy. F

6. A service is not a Product because services do not include any physical good. F

7. The demand for business products derives from the demand for final consumer products. T

8. The Internet is making it possible for firms to reach customers that were impossible to reach before. T

9. A wholesaler might help a producer by reducing the producers need to carry large inventory stocks. T

10. Water carriage offers marketers the least (smallest) amount of transportation capacity. T

11. Researchers have described needs as a basic force that motivates a person or group. T

12. A market penetration strategy is used when organizations want to increase purchases from existing customers. T

13. The marketing process functions whether or not exchange occurs. T

14. Air transport would always be necessary to ship high value, time-sensitive packages. F

15. A fighter or flanker brand is a cheap, unauthorized imitation of a prestige brand. F

Section II: Please select the best answer from among the alternatives provided for each question or statement. Circle your response. Each item is valued at one (1) point.1. A consumer is shopping for a new pair of jeans. He/she has had good experiences with GAP jeans in the past and is looking for GAP now. The consumer will buy GAP if he/she finds some that are at least as good-looking as competitive jeans. This is a good example of: a) Brand rejectionb) Brand non-recognitionc) Brand preferenced) Brand denial2.Industry sales are highest in which of the following product life cycle stages?a) Market maturityb) Sales declinec) Market introductiond) Market growth

3. In traditional channel systems, the channel members or parties: a) Always take title of the goods.b) Usually have a common ownership.&nbspc) Are now working more closely together to improve customer satisfaction and service quality.d) Are always controlled through strong legal contracts and threats.4. If a marketing manager wanted to ship small quantities (less than 1000 pounds) of high-value, electronic products over short distances at an economical cost, which of the following modes should be used?a)Pipelines

b)Railroads

c) Trucking companiesd) Water carriage5.Which of the following channel intermediaries always takes ownership (title) to the goods they carry?a)Service wholesalersb)Merchant wholesalersc)Selling agentsd)Manufacturers Representative

6.This stage of the Product Life Cycle (PLC) shows the highest industry profits/unit sold for a specific product category:a)Market Introduction

b)Market Growth

c) Market Maturityd) Market Decline7. The process used to break down a large group of potential, heterogeneous customers into&nbspsmaller groups having similar characteristics is called:

a) Positioningb) Segmentationc) Convergence&nbspd) Reduction8. When a manufacturer (e.g., Rolex) chooses to market its products through one retailer within a particular geographic area, this strategy is described as:a) Normal distributionb) Exclusive distributionc) Selective distributiond) Intensive distribution

9. The use of U.S. Census data to develop information about a prospective target market is: a) Primary market researchb) Diffusionc) Positioningd) Secondary market research

10. is the consumer decision process typically associated with consumption of products and services that are costly and represent a significant risk to the purchaser:&nbspa) Routine rebuyb) Limited problem-solvingc) Dissonanced) Extensive problem-solving11. The coordination of all internal/external activities associated with the movement of goods is referred to&nbspas___: a) Diffusion

b) Supply Chain Management

c) Adoptiond) Time utility

12. is typically used to describe all the activities associated with making products available for the final consumer?a) Wholesaling

b) Physical Distribution

c) Product Life Cycle (PLC) d) Retailing13. When a manufacturer uses no intermediaries to reach the final customer, we describe this strategy as ___?

a)Advertising

b)Direct Selling/Channel

c) Exclusive distribution

d) Monopolistic marketinge) Intensive distribution

14. When a manufacturer uses only a few intermediaries within a specific geographic region, it is using a&nbsp___ strategy?a)Selective distribution

b)Intensive distribution

c) Exclusive distributiond) Diversification15. These goods are likely to be marketed using an intensive distribution strategy:a)Convenience goods (i.e., snacks)

b)Luxury goods

c) Appliances and other durables

d) Automobiles16. Which of the following organizations has been described as a channel captain due to their dominance of&nbspthe distribution process?a)US Postal Service

b) Pella Windows

c) Wal-Mart

d) Yellow Freight Lines

e) Just Born Candies, Inc. 17. The establishment of mutually, beneficial relationships focused upon meeting customer needs and earning a profit is called ___?a)Product development

b)Competitive advantage

c) Differentiation

d) Marketing Concept18. These variables represent the only factors under the control of a marketer:a)Economy

b)Marketing Mix

c) Competitorsd) Government

19. Consumers’ willingness to accept a new idea or try a new product or service is called _?a) Innovation

b) Experimentation

c) Weaknessd) Adoption20. The __stage of the Product Life Cycle (PLC) is typically characterized by nominal sales growth and intense competition among producers for revenues. Competitive advertising and pricing&nbspincentives are used to gain market share.&nbspa) Market Decline

b) Market Introduction

c) Market Maturityd) Market Growth

Section III: Please select the best answer to complete each statement. Each item is valued at one (1) point.&nbspMarket development /Competitive advantage /Market penetrationRetailing/ Intensive distribution/ Convenience productsRailroad/ Specialization of Labor /Exclusive distributionSpecialty products/ Selective distribution/ Primary dataSpecialization of Labor reflects that intermediaries in the distribution channel become an expert at performing certain distribution functions.

Retailing describes all the activities associated with the sale of products and services to final consumers.

When a manufacturer sells only through one intermediary in a particular geographic area, Exclusive distribution is being used.

Primary data is a type of data developed specifically for a user’s purpose.&nbsp

A producer has a marketing mix that is perceived to be better than competitor offerings. This is referred to as Competitive advantage.

A marketing strategy that is focused upon new markets and customers for existing products is called Market development.

Specialty products are branded products which customers request by name.

Intensive distribution is selling a product through all responsible and suitable intermediaries who will stock and/or sell the product.

If a producer wished to ship a large volume of salt to a land-locked (no water access) receiver at the lowest cost, the Railroad mode of transportation would likely be used.

Convenience products are products a consumer needs but isn’t willing to spend much time and effort shopping for.&nbsp

Section IV. Answer only two (2) of the following four (4) questions completely. Each question is worth five (5) points.&nbspFor section four this paper addresses question one and question three. The first question is about exchange and the conditions necessary for it to take place. The next question is about the three types of distribution intensity strategies that are available to marketers.

Exchange and the conditions necessary for it to take place.

Exchange is a process in which an individual gives up something valuable to receive an item of similar or of more value. If an exchange is to occur, firstly, there must be two parties. The two parties involved in a transaction can be, a buyer and a seller. For instance, an individual selling a policy and another person who is buying the policy. Exchange only takes place when there is something of value. The item of value is either an item or a service of worth. Examples of valuable products and services include, but not limited to, food, housing, health, transport, education among others.

Also, exchange only happens when one can communicate the offer. This communication is done verbally or in writing. Another condition necessary is the desire to deal with the other party. One must be willing to buy while another must be ready to sell. Finally, there should be freedom to accept or reject an offer. All parties privy to the exchange should be free to make independent decisions.

The three types of distribution intensity strategies that are available to marketers.

The three types of distribution intensity strategies available to marketers are intensive distribution, selective distribution and exclusive distribution. Intensive distribution is where a marketer uses all outlets available to sell products. This method is mostly used for convenience products, products that customers need but will not spend a lot of energy to acquire them. Selective distribution is whereby a marketer chooses a few outlets to distribute goods within a given area. In exclusive distribution, the marketer works with a single distributor.