Marketing Ch. 19 Overview Assignment, Marketing Ch. 19 Concept Quiz, Marketing Ch. 18 Overview Assignment, Marketing Ch. 18 Concept Quiz, Marketing Ch. 17 Overview Assignment, Marketing Ch. 17 Concept Quiz, Marketing Ch. 16 Overview Assignment, Marke... F (2023)


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Alicia is interested in purchasing a set of ear buds to use with her laptop and smartphone. She visits Best Buy and notices that the prices vary from $10 to several hundred dollars. Alicia prefers wireless ear buds and compares the Skullcandy model that costs $90 to a similar pair from Beats by Dre that cost $119. She decides to purchase the Beats brand because she believes it's a higher quality set. In this case, Alicia has been influenced by the _______ effect of price

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Alicia is interested in purchasing a set of ear buds to use with her laptop and smartphone. She visits Best Buy and notices that the prices vary from $10 to several hundred dollars. Alicia prefers wireless ear buds and compares the Skullcandy model that costs $90 to a similar pair from Beats by Dre that cost $119. She decides to purchase the Beats brand because she believes it's a higher quality set. In this case, Alicia has been influenced by the _______ effect of price


Divit is an organic farmer and sells his fresh produce at weekly farmers' markets in his community. During the summer, he sold watermelons for $3 each. One Saturday, he sold all 50 of the watermelons he had picked. How much revenue did Divit earn from selling his watermelons?


Zari works at a car dealership. She specializes in used vehicles. She receives an inventory report that lists the cost of each vehicle and the asking price. If Zari sells a car at an amount more than the vehicle cost the dealership to acquire, she has earned a _______.


The Peninsula Hotels group is one of the world's leading hotel chains. It operates prestigious luxury properties in ten major cities across the globe such as Hong Kong, New York, Chicago, Beverly Hills, and Paris. The hotel is known for luxurious amenities and exceptional service. Room rates vary from $1,100 per night for a room with a king bed to over $5,000 per night for a two-bedroom suite. The Peninsula Hotels group is most likely implementing a _______ pricing objective.

profit maximization

Jack is the owner of a car wash. His location offers an automatic car wash option and two self-service car wash bays. He views the car wash business as an investment and strives to control expenses. His goal is to achieve a 20 percent profit on his investment, and he sets his prices in order to achieve this goal. Jack is implementing a _______ pricing objective.

target return on investment

Graciela is a licensed massage therapist who owns a business called Stressbusters. She is offering a special "buy two, get one free" promotion by which customers can purchase a certificate for three 60-minute massages for $120. Graciela is implementing a _______ pricing objective.

sales maximization

Elijah owns a tour company near a lake that provides kayak rentals. One of his competitors rents kayaks for $25 per day or $8 per hour. Elijah decided to lower his prices in order to use _______ as his pricing objective and be in line with his competition.

status quo pricing

Miguel's favorite beverage is Pepsi, which normally costs $1.39 for a two-liter bottle. Occasionally, his local grocery store offers three 2-liter bottles of Pepsi for $3. Due to the savings, Miguel stocks up and buys six bottles since he has room to store them in his pantry. This is an example of the _______ concept.


Misaki is an account executive for Canon Business Solutions. She has a company vehicle and travels to meet with customers in her market territory, which covers a 120-mile radius of her home office. She drives approximately 2,000 miles per month and uses premium gasoline. The price of gasoline has no impact on the number of miles Misaki travels for work. Therefore, gasoline for Misaki is classified as having _______ demand.


Caterpillar is a well-known manufacturer of earth-moving equipment. The company is also associated with producing high-quality equipment that is durable and long-lasting. In addition, Caterpillar dealers provide excellent customer service by stocking parts to repair equipment and reduce machine downtime. All these factors lead to high customer satisfaction. Based on this information, demand for Caterpillar equipment will likely be classified as _______.


Zari lives in Orlando, Florida and often uses Uber. She's always surprised how often the fares change and notices that there can be large differences in Uber's prices. She understands that Uber raises fares when more people are requesting rides. This phenomenon is known as _______ pricing.


Leon is planning a trip to attend alumni weekend at the university at which he received his degree. He was shocked to learn that hotel rooms for alumni weekend are now priced at least three times the typical cost. He spoke with a customer service agent who told him that the hotel uses a computer algorithm that changes the price of a room based on room availability and the number of inquiries the hotel is receiving about rooms. This is an example of _______ pricing.


Ishara owns a nail salon that sells nail polish, hand lotion, and other beauty aids. She typically doubles the cost of an item to determine her retail price. This practice is called _______.


Deon has a portable silk-screening business and sells t-shirts at sporting events such as the state track meet. His total fixed costs are $1,500 regardless of the number of shirts he produces. His variable costs are $0.75 for every shirt he makes. If he sells his shirts at $8 each, how many shirts does he need to sell at each event to break even? Round up to the next unit.To calculate Deon's break-even price, use this formula:Break-even is calculated as: fixed costs divided by contribution margin.The contribution margin is the selling price minus variable costs. In other words, first calculate his contribution margin, and then divide Deon's fixed costs by that number.

207 shirts

Ama has a food truck where she sells coffee drinks such as espresso, lattes, and brewed coffee. She travels to various locations around the city to sell coffee beverages. Her daily fixed costs are $500, and her average price of a coffee drink is $5. Assume Ama's variable costs are $0.25 for every coffee drink she sells. How many coffee beverages does Ama need to sell to break even? Round up to the next unit.To calculate Ama's break-even price, use this formula:Break-even is calculated as: fixed costs divided by contribution margin.The contribution margin is the selling price minus variable costs. In other words, first calculate her contribution margin, then divide Ama's fixed costs by that number.

106 coffee beverages

Microwave ovens are now in the maturity stage of the product life cycle. Which of the following statements is true about pricing for microwave ovens?

Pricing of microwave ovens will be reduced as competition increases and high-cost firms are eliminated.

Appliance World is a locally owned appliance retailer. It offers a price-match guarantee to customers. Customers simply provide proof of a similar item at a lower price at a competitor, and Appliance World will match the price. Which of the following statements is true about price matching?

A price matching strategy may result in higher prices

The latest model of the Google Pixel smartphone is introduced at a relatively high price compared to competing products. Previous editions of the Google Pixel phone are then priced at a discount. This is an example of a pricing strategy called _______.

price skimming

Dr. Dre developed a new model of wireless ear buds and introduced them at a relatively low price in order to capture a large share of the market. This is an example of _______.

penetration pricing

Hyundai is introducing a new model of its popular mid-sized sedan, the Sonata. The Sonata competes with Toyota's Camry retailing at $25,050, the Mazda 6 selling for $24,720, and the Honda Accord with a retail price of $24,650. Hyundai plans to price the Sonata at $24,600. This is an example of the _____ pricing strategy.

status quo

If two executives from rival insurance companies met to discuss the policy premiums they would both agree to charge for automobiles, they would be engaging in _______.

price fixing

Deon is the owner of a floral shop. He is often frustrated that Kroger and Walmart sell plants and flowers at lower retail prices than he can purchase at wholesale. Deon thinks his wholesale firm may be engaging in price discrimination. Which of the following statements best explains why Deon may pay more for his plants and flowers?

A firm can charge different prices to different customers if the prices represent manufacturing or quantity discount savings.

Uber has been accused of using _______ pricing in which it charges fares at a very low price with the intent of driving competitors out of business or out of a market.

predatory pricing

Longwei enjoys home improvement projects and often shops at Menards. He recently purchased a Hunter brand ceiling fan. At check-out, he was informed there was an offer by which he could send a copy of his receipt to the manufacturer and receive $10 in return. Longwei picked up the form on his way out of the store. This is an example of a _______, a type of promotional allowance.


Dhruv is shopping at Men's Wearhouse for a new suit. The salesperson shows him that there are basically three levels of quality based on the material and wool content. The top-of-the line suits retail for $1500 each and are ordered according to the customer's measurements. The medium-level suits retail for $750 each, and the base level suits are $450 each. Men's Wearhouse is using a _______ pricing approach.

price lining

The amount charged to customers for a product multiplied by the number of units sold is _______.


A company's product sales as a percentage of total sales for that industry is _______.

market share

The amount of money customers pay to acquire a product is _______.


Revenue minus expenses is _______.


Setting prices to maximize the amount of total revenue relative to total costs is which pricing objective?


The quantity of a product that will be sold in the market at various prices for a specified period is __________ , while the quantity of a product that will be offered to the market at various prices for a specified period is __________ .

demand ; supply

_________ is when consumer demand is insensitive to price changes, and _________ is when consumer demand is sensitive to price changes.

inelastic demand ; elastic demand

The ability to change prices very quickly, often in real time, is referred to as _______.

dynamic pricing

Costs that change with the level of production, such as raw material and production labor costs, are referred to as _______.

variable costs

The retail strategy of marking up merchandise 100 percent over cost is referred to as _______.


Costs that don't change with the level of production, such as rent, administrative labor, and utilities, are referred to as _______.

fixed costs

Break-even analysis determines what __________ must be reached before the company's total costs equal its total __________ .

sales volume ; revenue

The formula for break- even point is: break-even = total fixed costs ÷ _______.

gross margin per unit

Prices decrease as competitors enter the market and economies of scale lower costs of production during which stage of the product life cycle?

Growth stage

Prices are often set high to recover development costs during which stage of the product life cycle?

Introductory stage

A company might use __________ prices if its promotional strategy focuses on prestige and quality. On the other hand, it will use __________ prices if its promotional strategy focuses on value compared to the competition.

higher ; lower

Which of the following pricing strategies involves charging a relatively low price to reach the mass market?

Penetration pricing

A discount only for the initial order is called a _______.

new customer discount

Presenting the sales price as a substantial discount from the "regular" price is called a ______.

reframing discount

What is it called when marketing intermediaries receive a discount to compensate for other services they provide, such as setting up store displays?

Functional discount

What is it called when the seller pays all or part of the actual freight charges and does not pass them on to the buyer?

Freight absorption pricing

When different customers pay different prices, it is called _______.

flexible pricing

Selling certain items at or below cost in the hope shoppers will buy other items once they are in the store is called _______.

loss-leader pricing

Offering product lines with several items at a specific price point is called _______.

price lining

An agreement between two or more firms on the price they will charge for a product is called _______.

price fixing

The practice of charging a very low price for a product with the intent of driving competitors out of business or out of a market is called _______.

predatory pricing

Selling the same product to two or more buyers at different prices is called _______.

price discrimination

Maricel is the owner of a spa and salon. She often monitors the customer comments posted on Google and the spa's Facebook page. She recently became concerned about a negative review from a person who has never visited the salon. Which of the following is an aspect of social media that relates to this issue?

Business owners have little control over the content posted on social media sites

Jaylen is the social media manager of an electronics store chain. He believes social media enhances relationships and brings customers and brands closer. The culture of _______ that social media fosters may be considered a fifth "P" for marketing.


Julian is 13 years old and enjoys creating music videos of himself lip-syncing to popular songs. He uses an app called _______ that lets him post his videos and share them with others.


Mingyu has a small lifestyle boutique offering fashions, home décor, and gift items. She often posts photos of new styles on Facebook. Mingyu now offers the option for customers to comment "sold" and request sizes to purchase items via the Facebook posting. Users simply create an account with Mingyu's Facebook page and are given the option to pick up their items in the store or have them shipped. This is an example of _______ commerce, which combines social media with the basics of e-commerce.


Hakim is a social media consultant and recently met with a new client. Hakim was explaining the basics of social media marketing and stressed the importance of starting with _______.

a marketing plan

Miguel recently shared his opinion about mirrorless cameras by posting on Fuji's Facebook page. Fuji was interested in seeing how customers were using their new line of mirrorless cameras for street photography. The company also asked customers to share their tips and techniques for taking photos in public spaces. Fuji will use this information to create a marketing campaign for its mirrorless cameras. This is an example of _______.


Catarina is the marketing manager for a local Ford dealership. Catarina assists the dealership in its Internet marketing efforts and uses Google Alerts and Social Mention to notify her if the dealership is criticized or receives a negative review. Catarina also routinely scans the dealership's Facebook page for negative and positive customer reviews. This is an example of _______, the process of identifying and assessing what is being said about a company.

social media monitoring

Batini is the general manager of an Embassy Suites hotel franchise. One of her responsibilities involves monitoring guest feedback on social media sites such as TripAdvisor. While it is time consuming, she responds to every post and uses the feedback or criticism to make improvements in guest services. One recent customer comment about poor WiFi connections led her to invest in a new router and faster Internet service. Which social media objective best corresponds to how Batini is using social media as a listening platform?

Improve customer service

Felipe is the social media marketing manager for a local John Deere dealership. He's creating a quarterly report for the general manager to demonstrate the value of social media marketing. Which of the statements is true about evaluating the effectiveness of social media marketing?

Social media effectiveness is difficult to measure because there is no common denominator to measure ROI.

Nanami is a social media marketing intern for a community theater. She has been reviewing best practices for determining social media effectiveness and has specified the following promotional tactic: "Use Facebook to publicize upcoming theater productions in order to sell tickets and achieve 85 percent of available tickets sold for each performance." This is an example of which of the following steps in gauging the effectiveness of a social media effort?

Align your social media goals with your business objectives.

Enzo works in admissions for a private university. He recently attended a conference on higher education and learned that, based on a recent survey of admissions officers, 65 percent of accepted students who join a school's private Facebook group enroll in the university. This is an example of which of the following steps in gauging the effectiveness of a social media effort?

Benchmark against your competitors

Felipe works as an electrical engineer and is concerned about privacy issues. He does not use any apps for social media and believes the privacy risks outweigh any benefits he might receive. According to Forrester Research, Felipe would be classified as a(n) _______ based on his social media usage.


Lady Gaga, a well-known pop singer, was the first Twitter user to reach 30 million followers. Lady Gaga is an example of a _______.

social media celebrity

Nala Cat is known as Instagram's most popular cat with more than 4 million followers. Nala is an example of a _______.

social media star

Phil Steele is a professional photographer and owner of, where he provides video tutorials and courses about photography. His Phil Steele Photography Facebook page has approximately 30,000 followers. Phil Steel Photography is an example of a _______.


Valentina is a kitchen designer based in San Francisco. She often posts before and after photos of her recent kitchen remodeling efforts for clients on Pinterest and Houzz. She enjoys sharing her work and giving others inspiration for their own do-it-yourself projects. Pinterest and Houzz can be categorized as _______ sites.

social news

Natalie Pelletier is an actress living in Los Angeles. She has a website,, on which she writes about food, wine, travel, and acting. She usually posts at least once each month, and she might include a recipe, a book review, and original photographs. Natalie's website can be classified as a _______ site.


Ronald and Hannah are planning a trip to Portugal for their honeymoon. They have never traveled to Portugal and want to learn about the top cities and places to visit. They consult and learn that the top city to visit is Lisbon. In addition, the Oceanário de Lisboa is a top attraction with over 38,000 user comments. The TripAdvisor website can be classified as a _______ site.


Riya is completing her master's degree in biology. She is interested in pursuing a laboratory scientist position in an infectious disease department of a major hospital. Riya updates her profile on LinkedIn and uses the search feature to locate individuals currently working in infectious disease departments at hospitals within a 100-mile radius of her university. She understands the importance of connecting with people in her field and creating personal connections. The LinkedIn website can be classified as a _______ site.

social networking

The Chili's restaurant chain has invested in social media marketing. It allows customers to opt in and receive messages from Chili's on their smartphones. A recent message stated, "Happy National Fajita Day! Chicken Fajitas with a drink and starter are $10 today." Which type of mobile marketing tool is Chili's using?

Short message service (SMS)

Jian travels frequently for work and turns on his smartphone as soon as his plane lands on the runway. He recently traveled to the Atlanta airport and was disembarking from the plane on the D Concourse. He looked at his phone and noticed a message inviting him to visit One Flew South, a fine dining restaurant located on the E Concourse. The message is an example of _______, a type of mobile marketing.

Bluetooth marketing

Antonia has a one-year-old golden doodle dog who eats grain-free dog food. Antonia typically purchases the food from Amazon and likes the convenience of using the Amazon software she downloaded from the Google Play store for Android devices. She just clicks on the Amazon logo and can shop, order, review past orders, and track shipments. The Amazon smartphone software is an example of _______, a type of mobile marketing.

smartphone application (apps)

Luiz has recently been hired to manage the social media marketing efforts for a furniture retailer. Luiz has decided that Facebook, Instagram, Pinterest, and Houzz are the most appropriate social media platforms for the furniture store. Which stage of the social media planning process is Luiz in?

Selecting the tools and platforms

Shaniqua is the social media marketing manager for Ulta Beauty. Ulta Beauty often motivates web and in-store purchases by offering coupons for $5 off on the next purchase. Shaniqua has set a goal to reach a 5 percent return on Instagram coupon offers that are redeemed by customers who show the coupon on their smartphones. This is an example of the _______ stage of social media planning.

setting social media objectives

Eldon is the social media marketing manager for a franchise location of Buffalo Wild Wings. His lunch customers are typically men between the ages of 18 and 35. However, at dinner there are more families with kids during the evenings and weekends. Most customers are sports fans who enjoy watching games in a social environment. Eldon typically uses Twitter to remind his followers about upcoming sports events or special offers at the restaurant since men are more likely to use Twitter than Facebook or Instagram. This is an example of the _______ stage of social media planning.

identifying the target audience

Social media is any tool or service that uses _________ to __________ conversations.

the internet ; facilitate

Social media is unique when compared to traditional mass media in which of the following ways? (Select three)

1. Social media amplifies the impact of word of mouth.2. Social media allows marketers to listen to consumers.3. Social media activity is more measurable.

An influencer organically mentioning a product on Instagram is an example of _______ media.


A brand's sponsored post on Facebook is an example of _______ media.


A brand posting pictures to its company-run Instagram page is an example of _______ media.


The process of identifying and assessing what is being said about a company, individual, product, or brand is known as _______.

social media monitoring

Measuring the number of positive, neutral, or negative comments about the company or product on social media is which type of social media metric?

Measure of sentiment

Measuring sales as a percentage of site visits is which type of social media metric?

Measure of conversion

Measuring the number of impressions for a piece of posted content is which type of social media metric?

Measure of activity

Measuring likes and shares for posted content is which type of social media metric?

Measure of engagement

What are the social media users who produce and share content, such as blogs and videos, known as?


What are social media users who often post comments, ratings, and reviews of products known as?


What are social media users who are less likely to create and more likely to consume content such as blogs, podcasts, and videos known as?


Which social media platform allows users to create communities using profile pages or groups, enabling them to share content and exchange messages?

Social networking sites

Which social media platform is where users facilitate conversations by posting articles and messages?

Blogs and microblogs

Which social media platform is where users upload and distribute photos and videos?

Media sharing sites

Which social media platform is where users post stories and the community votes the stories up or down to rank them?

Social news sites

Which social media platform is where users post opinions about businesses or other experiences?

Review sites

In which ways can marketers reach consumers using mobile technology? (Select three)

1. Text-based marketing2. Mobile ads3. Smartphone applications

Making choices as about goals such as increasing awareness, improving customer service, increasing sales, or some combination relates to which step in creating a social media plan?

Set social media objectives

Selecting and tracking the metrics most relevant to campaign objectives relates to which step in creating a social media plan?

Implement and monitor the strategy

Yasmin works as a trained salesperson at a local furniture and appliance store. Which of the following is likely true about her role as a customer salesperson?

Knowledgeable salespeople enable retailers to assist their customers in selecting the products or services that are best for them.

Zuwena is a marketing consultant and assists clients in determining the best ways to employ a personal sales force. Zuwena recently met with a company that installs residential solar panel systems. A typical installation costs $25,000 or more. Which of the following is the best reason why this company should utilize personal selling rather than advertising or sales promotion?

The product has a high value.

Shun is a sales representative with a medical device company. He typically meets with hospital purchasing managers to discuss their interest in purchasing new equipment. Shun is highly trained and enjoys his job because no two sales calls are alike. One might last 20 minutes while another might take an hour. Which of the characteristics of personal selling most likely accounts for the difference in time Shun spends with each customer?

Shun tailors the sales message according to the motivations and interests of each customer.

Which of the following products would be most likely to benefit from personal selling activities rather than advertising or sales promotion?

Custom replacement windows for a home

Fabian recently purchased his first home and needs to buy a lawnmower. He visits Home Depot, and while in the store evaluating the various models, he uses his smartphone to check the prices of the same model at Menards and Lowe's. Fabian is engaging in a process known as _______.


A local banquet center is considering establishing several social media channels for their business. The owners are not very comfortable using new technology, but they believe having Facebook, Instagram, and Pinterest pages could be beneficial to the company. Which of the following is a benefit the company might receive through social media usage?

The banquet center could establish more direct and meaningful conversations with customers by leveraging social media channels.

Prisha was in the market for a used automobile. She stopped at a local privately-owned dealership and was frustrated with the salesperson's approach. Prisha felt she was at odds with the salesperson, and that he was only interested in making a one-time sale. This type of selling is called _______.

transactional selling

Chikae is a sales representative with Titleist, a golf products company. Chikae typically calls on business owners of golf shops or golf professionals at golf clubs in his territory. Chikae believes that is important to establish rapport with customers by getting to know them personally. Further, he's always working to achieve a win-win outcome and knows that good things will come if he takes care of the customer as his first priority. Chikae is using _______ selling.


Susana is a key account sales representative for Kimberly-Clark. Her primary customers are grocery chains and big box retailers such as Target. Susana uses a relationship selling approach. This approach is subject to which of the following disadvantages?

Relationship selling activities lead to more complex issues in evaluating salesperson performance

Jiao is an account representative with Samsung. She recently attended the Consumer Electronics Show where she spoke with prospective customers about the new line of Samsung appliances. Visitors to the Samsung booth could enter to win a $100 gift card by registering their contact information. The chance to win a gift card is a form of _______ for Samsung.

lead generation

Rosa works as a sales representative for Grainger, an industrial tool and supply company. Her sales manager often tells her to look for smokestacks and dirty buildings as evidence of manufacturing facilities. Rosa pays attention when she's driving in her territory and often stops at buildings to introduce herself and find out what type of business is being conducted. Which type of prospecting activity is Rosa engaged in?

Cold calling

Claudia works for a family-owned heating and cooling company that serves commercial accounts. Her company has recently started selling gas-powered generators to reduce issues resulting from power outages. Claudia has identified several restaurants and grocery stores that have a need for back-up power as well as the financial capital to invest in a generator system. Claudia is engaging in a process known as _______.

lead qualification

Anish was meeting with a prospective customer and completed his presentation regarding how the proposed investment portfolio would result in solid returns. The customer stated, "I'm concerned about the brokerage fees that your company charges. Our current brokerage company does not charge fees." Anish is in the _______ stage of the selling process.

handling objections

Ramla is an account representative with IBM business solutions. She recently contacted Chun who is the lead project manager at an insurance firm that purchased IBM cloud services. Ramla was interested in learning how the cloud services were working for Chun and if there were any questions or issues. Ramla is in the _______ stage of the personal selling process.


Gustavo is an account representative for an office furniture company. He met with a business buyer who was interested in upgrading the office furniture in a doctor's waiting room. Gustavo presented several options and at the conclusion of the presentation, he asked which option would be best: Option A which included several small loveseats and chairs or Option B featuring a sectional couch and chairs. Gustavo is in the _______ stage of the selling process.

closing the sale

Sherwin-Williams employs outside sales representatives who work with customers such as paint contractors and facility managers to procure the Sherwin-Williams paint or wall coatings for their projects. A typical sales representative maintains approximately 150 accounts, and the sales representative identifies the annual revenue potential for each account. Sales managers oversee this process and establish _______, a sales volume goal by month or quarter for the sales representative to achieve.


Sanofi is a major pharmaceutical firm that employs account representatives to meet with physicians, pharmacists, and others to inform and persuade customers to prescribe Sanofi products. Sanofi organizes its sales force by _______ across major areas such as diabetes, oncology (cancer drugs), or vaccine therapy. A family practice physician might interact with several representatives from Sanofi.

product line

CDW is a technology reseller firm that uses both inbound and outbound telephone calls to serve customers. CDW has identified several focal areas and organizes its sales force according to how the business is classified including schools and higher education, government, manufacturing, service establishments, and banking/financial institutions. CDW is organizing its sales force by _______.

industry group

Enterprise Holdings, the parent company of Enterprise Rent-A-Car, recently used a marketing campaign featuring the many former National Collegiate Athletic Association (NCAA) athletes (former university and college players) who are working at Enterprise. The company favors hiring former athletes in sales positions since they possess the trait of _______, defined as a desire to achieve and a drive to win.


Kraft Foods has a professional sales force of 1,000 sales representatives who work with grocery retailers and others to promote the various Kraft brands. Each sales representative receives a base salary, commission, and a bonus opportunity. The company surveys its customers annually and asks them to rate their sales representative on attributes such as expertise, knowledge, ability to understand the customer's needs, and likelihood to recommend the sales representative. How well each sales representative is evaluated by his or her customers determines the bonus compensation. The bonus is linked to customer _______.


Allstate is a major property and casualty insurance company. It also seeks to identify new product opportunities, such as identity theft insurance, based on its interactions with customers. Allstate uses a(n) _______ approach to learn about customer needs and to develop new products or services that meet those needs.


PNC Bank is a regional bank with over 2,000 branch locations across 19 states. It offers both commercial and personal banking services and maintains a centralized database of customer information. The company utilizes this database in making decisions by sharing the information with appropriate bank personnel. This is an example of a process known as _______.

knowledge management

Nanami used her smartphone and the Amazon app to place an order for several items. She received confirmation of the order via e-mail and a tracking number in a second e-mail when her items shipped. These three instances of contact between Amazon and Nanami are called _______.

touch points

Elon is using the Nike Facebook page to review new models of basketball shoes. Elon enjoys reading the customer reviews and learning how other customers like himself rate the shoe. He often bases his purchasing decision on these reviews by considering factors such as foot support, lateral movement, and fit. Nike also uses the information to track how customer reviews of its products are impacting future sales. Each customer who posts a review receives a numerical rating called a net _______ score.


Dell Computer uses a robust CRM program to track customer interactions. It recognized a key market segment as the adult male who enjoys gaming, and it developed specialized laptops and desktop systems specifically for the gamer customer. Dell utilized _______ management to promote these specialized products at a competitive price via e-mail and banner advertisements on social media channels.


Which of the following are advantages of personal selling compared to advertising? (Select three)

1. Personal selling allows for a more detailed explanation of the product.2. Personal selling can be the most effective method for actually obtaining a sale3. The sales message can be customized for each prospect, including answering questions and handling objections.

Which of the following are disadvantages of personal selling? (Select three)

1. Salespeople can be pushy or can convince customers to buy something they don't need.2. It can be difficult to keep the message consistent to all customers.3. The cost per contact is much higher than other promotion methods.

Which of the following factors favors personal selling?

A customized product

Which of the following factors favors advertising and sales promotion?

A product that is easy to understand

Technology impacts personal selling because it changes the nature of the __________ about a product or company.

information flow

Which of the following statements describe the impact of technology on personal selling? (Select three)

1. Potential customers can enter the sales situation with as much or even more information than the salesperson.2. Potential customers can rely on each other by using channels such as social media.3. Potential customers can now conduct their own product research.

Relationship selling is a multistage process that emphasizes _________ win-win outcomes, and _________ as key ingredients.

personalization ; empathy

Which of the following statements describe transactional selling? (Select three)

1. It often uses repetitive, nonflexible presentations.2. It focuses on closing the sale as quickly as possible.3. Low to limited levels of trust are required between the salesforce and the customers.

Which of the following statements describe relationship selling? (Select three)

1. It is focused on maintaining the client relationship over an extended period of time.2. High levels of trust are required to develop and maintain the relationship over an extended period of time.3. Sales techniques are focused on identifying customers' needs and wants to reach the best solution.

Determining whether the leads actually have the need, authority, and buying power to be legitimate prospects describes which step in the sales process?

Qualifying leads

Identifying the customers most likely to have needs that the company can fill describes which step in the sales process?

Generating leads

Which of the following is a form of lead generation in which the salesperson approaches potential buyers without any prior knowledge of the prospects' needs or financial status?

Cold calling

Which of the following is the step of the sales process during which both the salesperson and the prospect offer special concessions in an attempt to arrive at a sales agreement?


Which of the following is a written document or professional presentation that outlines how the company's product will meet the client's needs?

Sales proposal

During which step in the sales process must the salesperson ensure that delivery schedules are met and that goods and services have performed as promised?

Following up

Determining how the company's products can best satisfy the customer's needs describes which step in the sales process?

Developing and proposing solutions

Monitoring customer satisfaction and retention describes which function of sales management?

Evaluating the sales force

A fixed payment made periodically to an employee is a _________. A _________ is a payment tied directly to the sales or profits a salesperson achieves.

salary ; commission

Carefully selecting salespeople describes which function of sales management?

Recruiting and training the sales force

Which function of sales management might include grouping sales staff by product or geography?

Determining the sales force structure

A customer chatting with customer service at a company's online store is an example of which type of common touch point between companies and customers?

Web-based interactions

A customer entering a discount card number when checking out at grocery store is an example of which type of common touch point between companies and customers?

Point-of-sale interactions

A company providing customer service via Twitter is an example of which type of common touch point between companies and customers?

Social CRM

Which of the following are examples of campaign management? (Select three)

1. Cross-selling other products2. Retaining loyal customers3. Designing targeted marketing communications

Aneko is a media buyer with Simantel, an advertising agency. Aneko typically purchases radio and television commercial time slots for local business customers such as restaurants and automobile dealerships. These commercials are examples of _______ media.


Mtn Dew is a major sponsor of NASCAR driver Chase Elliott and his Chevrolet Camaro ZL1 team. Chase Elliott often wears a Mtn Dew hat, and his number 9 vehicle has a prominent Mtn Dew logo. Mtn Dew sponsorship of Chase Elliott is an example of _______ media.


Harry's Razors spends a greater percentage of its promotion budget for advertising and sales promotion than does Gillette, the major category leader in terms of market share. Gillette has learned that sales and market share improvements slow down and eventually decrease regardless of how much money is spent on advertising and promotion. This phenomenon is called the advertising _______.

response function

The Mayhem series of advertisements for Allstate use humor to break through the clutter of television advertising and capture consumer attention. Which of the following is true about using humor in advertising?

Humor is more effective in shaping consumer attitudes when they already have a positive image of the advertised brand.

The Pork Producers Association of America often utilizes _______ advertising to increase the consumption of pork products. Outdoor boards, magazines, and television advertisements in the past used the slogan, "Pork. The other white meat." Today, the ads include new, original music with the song 'Make it Like This!' and showcase creative, delicious pork dishes.


Patagonia, an outdoor clothing company, has been a vocal supporter of environmental causes. It recently used _______ advertising. It invested $700,000 in a minute-long television advertisement featuring its founder, Yvon Chouinard, discussing the need to protect and cultivate America's public lands and questioning recent policy decisions allowing private companies to develop public lands.


The Food and Drug Administration has recently approved a new portable heart monitoring device called KardiaMobil. It consists of a device and app that enables consumers to record and review electrocardiograms (ECGs) anywhere, anytime. The device attaches to the back of most iOS and Android devices and communicates wirelessly with the free Kardia app. KardiaMobile uses television advertising to demonstrate how simple and easy the device is and how it helps consumers with health conditions such as atrial fibrillation or Afib. The KardiaMobile is the first to introduce ECG monitoring for the consumer market. Therefore, the television advertisements are classified as _______ advertisements.


Verizon uses _______ advertising to demonstrate how its service is superior to T-Mobile's by showing a coverage map of the United States and explaining that Verizon customers have fewer dropped calls.


Popeyes Chicken uses the catchy jingle, "Love that chicken from Popeyes" to create a favorable image of the restaurant. Its television advertisements feature photos of hot, juicy chicken and smiling team members ready to serve customers. Popeyes is using _______ advertising to influence consumers to visit the restaurant.


Amazon has a series of related advertisements showcasing its Echo product across a variety of channels such as television, social media, and e-mail direct to consumers. Amazon created more than one hundred 10-second spots, each with a funny little question or request for Alexa. This is an example of an _______.

advertising campaign

Dick's Sporting Goods is developing a campaign for the next Super Bowl. The ads will begin airing during football playoffs, and the primary target audience is active men aged 25 to 60. Dick's has established the advertising _______ of increasing same store sales by 7 percent over the prior year during the weeks of the campaign.


The Chevrolet Corvette is a popular sports car. A recent print advertisement stated, "The 2020 Corvette Stingray will debut with a 6.2-liter V-8 engine—codenamed LT2— that produces 495 horsepower and 470 lb-ft of torque." This information is classified as a(n) _______.


Mike Ditka, a famous NFL football coach, was recently featured in a television advertisement for Blu-Emu where he recommends the numbing pain relief cream. This is an example of the _______ executional style of advertising.


Penzey's, a spice company headquartered in Wisconsin, predominantly utilizes _______ media such as Facebook and Instagram. These apps are some of the fastest-growing social media and can reach a narrow target audience with a relatively short lead time to create messages.


Menard's typically features specific products in its television and newspaper advertising. Recently, it offered a special on General Electric light bulbs. Menards receives funds from General Electric to support the advertising of GE's products. This is known as _______ advertising.


The Mattress Wedge Foam Pillow was recently featured in a 30-minute spot on television. The _______ discussed the attributes and benefits of the foam pillow and included interviews with customers and healthcare professionals who claimed the pillow could reduce issues with acid reflux.


ESPN+ was launched in April 2018 and is a multi-sport, direct-to-consumer video service. Its _______ is over 2 million subscribers who are exposed to advertisements at least once a month during the NFL and NBA seasons.


The Stephen and Ayesha Curry Family Foundation recently announced in a press release that it is creating a $30,000 STEM scholarship for girls. The Foundation has committed to selecting one candidate each year who has demonstrated "aptitude for overcoming adversity, catalyzing change within her community and demonstrating excellence in a STEM-related field of study." The press release is an example of how the Foundation is seeking _______ for its work.


The Bank of America Chicago Marathon recently announced results from the most recent event. Over 11,000 runners competed and raised an event record $22.7 million through the Chicago Marathon Charity Program in which runners ask friends and family to support their charity's cause with a donation. The Bank of America is using _______ to improve brand awareness and enhance its corporate image.


The Final Fantasy XV video game features recognizable name-brand products. In the game, the main characters camp with Coleman gear and buy and eat Cup Noodles in bulk. Coleman and Cup Noodles are using _______ to reinforce brand awareness and create favorable attitudes.

product placement

Norwegian Cruise Line is attempting to use _______ in response to a purported mutiny of passengers on its Norwegian Spirit ship who were upset over changes in their voyage itinerary due to bad weather as well as unsanitary conditions on the ship. The company has issued a press release stating, "We understand that it is disheartening when we are unable to call on ports that our guests have been looking forward to visiting. However, we do ask for our guests' patience, cooperation, and understanding that severe weather conditions are an act of God and cannot be controlled, influenced, or remediated by the cruise line."

crisis management

Aurora was recently shopping at a grocery store and planned to purchase chips for an upcoming tailgate party at her home. She noticed that Frito Lay brand chips were discounted, and the store had placed prominent shelf tags showing that consumers could purchase two packages for $3.00. This is an example of a _______ sales promotion.


Victor went to Home Depot to buy ceiling paint for a home remodeling project. He noticed that the Dutch Boy brand of paint was offering a sales promotion in which customers would receive $2.00 in cash with every gallon of paint purchased through the end of the year. Customers simply needed to send a copy of the sales receipt to the company to receive their cash. This is an example of a _______, a type of consumer sales promotion.


Carlos is a brand ambassador for Maui Jim, a specialty eyeglass company known for its sunglasses. Carlos typically sets up a company display at professional golf events around the country. He offers customers a free Professional Golf Association branded glasses case with every purchase. The case is an example of a _______, a type of consumer sales promotion.


Vanya visited Best Buy to purchase a new laptop computer. She was considering the Apple MacBook Pro since she has an iPhone. The sales representative convinced her to buy the MacBook Air instead. Vanya later learned that the sales representative qualified for a bonus of $500 from Apple for reaching a sales goal of 10 MacBook Air sales within a week. This is an example of _______.

push money

Advertising is __________ , __________ communication through various mass media.

paid ; nonpersonal

Which of the following are true about the effects of advertising on market share? (Select two)

1. A certain minimum level of exposure is required to affect purchase habits.2. Advertising helps establish brand awareness.

Which type of advertising is designed to enhance a company's image rather than to promote a particular product?


Which type of advertising is designed to influence demand for a specific brand?


Which type of advertising is intended to stimulate demand for a new product or category?


Which type of advertising directly compares two or more brands on specific attributes?


__________ are simply features of a product, __________ are what the consumer will receive by using the product.

attributes ; benefits

Which type of advertising appeal tells consumers the product will either save, make, or keep them from losing money?


Which type of advertising appeal tells consumers the product will make their life simpler and easier?


Which media selection consideration relates to how long a consumer is exposed to a given ad?


Which media selection consideration relates to the number of customers who are exposed to the ad at least once during a specified period?


Which media selection consideration relates to the number of times an individual is exposed to a given ad in a specified period?


Which advertising medium offers selective targeting and long life but has long lead times and high cost?


Which advertising medium offers the largest reach and has a high audio-visual impact but is very expensive and messages can be easily forgotten?


Which advertising medium offers geographic selectivity and allows for frequent repetition but allows for only short messages and seldom attracts the reader's attention?


Which type of media schedule runs ads steadily and also boosts ads during the best sale periods?


Which type of media schedule runs ads steadily throughout the advertising period?


Which type of media schedule utilizes "on" and "off" times for the ad based on the best sales periods?


Which form of publicity involves events created by the company that are available either in-person or online?

Experiential marketing

Which form of publicity is when a company spends money to support an issue, cause, or event not organized by the company itself?


Which form of publicity is a strategy that involves getting a company's product to appear in entertainment or news media?

Product placement

Which form of trade sales promotion involves bonuses for wholesalers, retailers, or salespeople who hit certain sales targets?

Push money

Which form of trade sales promotion involves price reductions offered to wholesalers and retailers that purchase or promote specific products?

Trade allowances

Which form of consumer trade promotion involves offering an extra item in exchange for proof of purchase?


Which form of consumer trade promotion involves money paid back to the consumer when they provide proof of purchase?

Refunds or rebates

Which form of consumer trade promotion involves the free distribution of small amounts of product in an attempt to obtain future sales?


Misaka is a social media manager for a family-owned restaurant. The owner has shared with her the overall marketing objectives for the restaurant. What should Misaka do with this information?

Develop a social media promotional plan consistent with the overall objectives

Pranav is considering purchasing a new automobile. He is trying to decide between two brands-Lexus and BMW. Both are high quality, but he's heard that customers prefer Lexus due to its primary _________ that the driver is in a cocoon-like atmosphere and doesn't feel or hear any road noise.

competitive advantage

Huilang is an account manager for a radio station. She typically uses _______ communication by meeting with small business owners at their places of business.


Pasua enjoys going to the movies and especially likes seeing the trailers for movies that are coming out soon. These trailers attempt to gain the interest of theatergoers and build excitement for the upcoming movie. They are considered a form of _______ communication.


Anish was watching a World Cup soccer match with friends. During commercial breaks, Anish would typically talk with others about the game or go get something to eat. Anish was distracted and didn't pay attention to the commercials. According to the communication process, this is known as _______.


Maria follows a boutique on Facebook that routinely features live sessions of new releases. The boutique informs customers that there are a limited number of items available. Maria placed an order for an item that was recently featured. According to the communication process, this is known as _______.


Taco Bell recently announced it was debuting a new menu item. Commercials for the new product feature the item and state the product will be available in stores at the end of the month. The primary goal of this promotional message is to _______ the target audience.


Verizon recently launched a campaign giving steep discounts on the new iPhone to new customers. In addition, new users will receive unlimited data plans. This is an example of a promotion designed to _______ the target audience.


Riya recently saw an advertisement for the allergy medication Zyrtec. The ad mentioned that Zyrtec provides relief for indoor and outdoor allergies. The advertisement ended with a list of stores where customers could purchase Zyrtec. This is an example of a promotion designed to _______ the target audience.


Noel often watches TV late at night. During SportsCenter on ESPN, Noel saw an advertisement for Meguiar's Hybrid Ceramic Wax. It says, "Spray on. Rinse Off. Protection and durability...beyond conventional car wax. Ceramic made easy." The spot is visually appealing and shows the simplicity of the process and the customer standing back and saying, "Wow!" This is an example of a promotion designed to _______ the target audience.


Hugo is celebrating his thirtieth birthday and decides to create a birthday fundraiser on Facebook. Hugo recently noticed that the National Football League (NFL) is a major sponsor of the Wounded Warrior Project. Since Hugo enjoys watching NFL games, he decides to post a birthday fundraiser on Facebook to support the Wounded Warrior Project. This is an example of a promotion designed to _______ the target audience.

connect with

Francesca is a media buyer with an advertising agency. She recently met with a client who was primarily interested in connecting with current and prospective customers using social media channels such as Facebook, Instagram, Pinterest, and Twitter. Which of the following is true about digital advertising?

Spending on digital advertising now exceeds spending on advertising through traditional media.

One 30-second advertisement shown during the Super Bowl football game typically costs over $5 million. Due to its high cost, which of the following companies would be most likely to place an advertisement during the Super Bowl?

Ben & Jerry's Ice Cream, a nationally distributed product

Diego works as an account representative for Red Bull. He partners with restaurants and bars to promote his product. Diego can give bar owners a small counter-top refrigerator to keep their Red Bull product cold when they place an order for five cases of product. Diego also distributes hats and T-shirts featuring the Red Bull logo for special events at local clubs. The hats, shirts, and refrigerator are examples of _______, an element of the promotion mix.

sales promotion

Zappos is an online retailer known for its shoes and apparel. Zappos contracts with Facebook and Instagram to feature banner advertisements. These advertisements often appear to customers who have recently visited the Zappos website. This is an example of _______ media.


A few years ago, people everywhere were participating in the Ice Bucket Challenge. The challenge promoted awareness of the disease amyotrophic lateral sclerosis (ALS) and encouraged donations to research. People would post a video of themselves dumping a bucket of ice water over their head or another person's head. The hallenge led to $114 million in contributions to ALS research in August of 2014 and over 17 million participated in the challenge around the world. This is an example of _______ media.


LUVS is a diaper brand. It recently aired a television commercial showing how differently a mom approaches parenting with her first child compared to her second child. The spot ends by saying that parents of their second child are more likely to choose LUVS. A brief product demonstration is shown to prove that LUVS has superior leakage protection compared to competing brands. By demonstrating how LUVS is the better diaper, it is attempting to stimulate _______ based on the AIDA concept.


Nia was recently shopping at Meijer grocery store, and a store employee was offering product samples of a new potato chip flavor. The employee also directed Nia to the location in a store aisle near her where Nia could purchase a bag of the chips for just $2.99. According to the AIDA concept, the store employee was trying to stimulate _______.


Ethan recently accepted a sales position with Vector Marketing to represent Cutco. Ethan meets with customers in their homes and typically has several fresh food items such as apples or tomatoes with him. He uses the fresh food items so customers can compare their "favorite" knives with Cutco's knife featuring the Double D edge. Ethan has been surprised how engaged customers become during these activities because they believe that their knives will perform better than the Cutco brand. A customer's level of engagement and participation in the product demonstration is an example of how _______, a step in the AIDA process, is stimulated.


Ayana was watching an episode of The Bachelor with her mom. During one of the commercial breaks, an advertisement for Mr. Clean airs showing a woman watching a muscular and sexy animated Mr. Clean who is cleaning around the house. This advertisement is most likely trying to create _______ in the mind of the consumer.


Chao-xing is consulting with a retail store that sells furniture and appliances. The store uses television and radio advertising to gain consumers' attention and to create awareness of the store. Which element of the promotion mix should Chao-xing recommend the store use to create strong desire and purchase intent among its target market of customers?

Sales promotion

Old Spice's "Smell like a Man, Man" campaign has revitalized the brand. The first television ad quickly went viral. Old Spice placed print ads using the same wording and talent in targeted publications and supplemented this with a social media presence on Twitter, Instagram, and Facebook. The campaign is an example of _______ marketing communications.


Assume you are a marketing consultant who has been hired to assist a jewelry store that is releasing a new product line. The store will be the only location in a 60-mile radius to carry this product line. Since the product is in the introduction stage of its life cycle, the jewelry store should use _______ to build awareness.

radio or television advertising

Jorge is building a new home and will be selecting all new kitchen appliances. He and his wife, Mariana, will most likely be influenced by _______ when making their purchase decision since it is a complex decision.

a salesperson

Menards, a home improvement supercenter retailer, often uses television advertising. Its advertisements feature the catchy musical jingle "Save big money at Menards" and highlight a specific product such as a pack of light bulbs from GE for a special price of $3.99. Which type of strategy is Menards using to sell its products?


A plan for the optimal use of the elements of promotion is a _______.

promotional strategy

The two general forms of marketing communication are __________ and __________

interpersonal communication ; mass communication

A company runs an ad on social media. This is an example of which type of communication?

Mass communication

A consumer listening to radio advertisement is an example of which component of the communications process?


Promotion can perform one or more main goals: informing, persuading, __________ and __________

reminding ; connecting

Which type of promotional goal is usually used during the maturity phase of a product's life cycle to maintain market share?


Which type of promotional goal focuses on a call to action for the consumer?


Paid, nonpersonal communication through mass media such as a radio ad is an example of which component of the promotional mix?


Which component of the promotional mix includes marketing activities that provide a short-term incentive to buy and is usually used in combination with other forms of promotion?

Sales promotion

Which component of the promotional mix is conducted person-to-person with the buyer and may take place face-to-face, over the telephone, or by online video?

Personal selling

Holding a press conference to communicate with various stakeholders of the firm is an example of which component of the promotional mix?

Public relations

Distributing coupons is an example of which component of the promotional mix?

Sales promotion

Which components of the promotional mix give the marketer control over the message? (Select three)

1. Sales promotion2. Personal selling3. Advertising

Which type of media is based on the traditional advertising model, in which a brand pays for media space?

Paid media

Which type of media can be low cost and effective but may make it difficult for the marketer to control the results and the message?

Earned media

AIDA stands for attention, interest __________ and __________

desire ; action

Which AIDA stage involves selecting promotional tactics that bring awareness to the brand or product?


During which AIDA stage must the company clearly communicate their competitive advantages?


Integrated marketing communications (IMC) is the careful coordination of all promotional messages to ensure the marketer's messages are _______ at every point of contact with the consumer.


Marketers strive to develop an effective promotional mix by evaluating various factors, including which of the following? (Select three)

1. Nature of the product2. Target market characteristics3. Stage in the product life cycle

During which stage of the product life cycle is it recommended that most promotional expenses—but especially advertising—be reduced?

Decline stage

During which stage of the product life cycle is it recommended that a marketer use advertising or public relations to raise awareness of its product?

Introduction stage

If a marketer chooses advertising over personal selling because their product is a routine and simple purchase, they are considering which factor affecting the promotional mix?

Type of buying decision

If a marketer were to run ads so they could reach a large audience that is dispersed over a big geographic area, they are considering which factor affecting the promotional mix?

Target market characteristics

If a marketer were to use public relations mainly because it's inexpensive, they are considering which factor affecting the promotional mix?

Available marketing funds

Which of the following are examples of a push strategy? (Select three)

1. Manufacturers using aggressive business-to-business advertising to convince wholesalers to carry the product2. Retailers using sales promotion to convince consumers to buy3. Wholesalers using personal selling to persuade retailers to carry the products

Which of the following are examples of a pull strategy? (Select three)

1. Consumers encouraging the retailer to carry the product2. Retailers asking their wholesalers to carry the product3. Manufacturers trying to stimulate consumer demand by promoting directly to consumers

Hakim owns a beauty supply retail store that specializes in natural hair care products. Which of the following is true regarding the role of retail operations in the United States economy?

A majority of retail operations are small businesses like Hakim's.

Hagan Automotive is owned by Sarah and David Hagan. It specializes in used, imported automobiles such as Audi, BMW, Mercedes, Porsche, and Volkswagen. Sarah is the office manager, and David is responsible for managing the sales force and purchasing vehicles to be sold by the company. Hagan Automotive is classified as a(n) _______ retail business.


Rosa recently opened a Kumon Math & Reading Center in her city. She paid $70,000 for the right to use the Kumon name and to have access to business and marketing materials. Rosa is excited about being her own boss and believes the upfront investment and monthly royalty fees will help her business succeed. Rosa's Kumon Math & Reading Center is classified as a(n) _______ retail business.


Fabian has a specialty wine, liquor, and imported cheese store. He hosts weekly wine tastings, and his customers appreciate his extensive selection of wines from around the globe. Fabian has cultivated relationships with wine distributors, and he is often the only retail outlet in town to carry specific wine labels. As a specialty retail store, Fabian's selection of wine is _______.


Nerea has high blood pressure and goes to Walgreens to purchase her prescription medicine. Occasionally, Nerea purchases other items such as cosmetics, health and beauty aids, or candy when she picks up her prescriptions. Walgreens can be classified as a _______.


Nanami stopped at Casey's to buy gasoline for her car. She also needed bread and milk, so she picked those items up after she filled her car with gas. Casey's can be categorized as a _______.

convenience store

Ama recently became a consultant with Norwex, a company selling chemical-free cleaning products and microfiber cloths that are used with water. She is an independent contractor and receives commissions from her sales. Ama typically makes presentations to women in the home of a hostess who invites her friends to sample Norwex products. What type of nonstore retailing is Ama using to sell Norwex products?

Direct retailing

Alberto is an inside sales representative with Windows & More. Alberto works from 3 p.m. to 9 p.m. and contacts potential customers via telephone at their homes. He begins his call by asking whether the person owns her home and whether she would like to consider energy-efficient windows or siding. Alberto is using _______, a type of nonstore retailing.


Iben is a frequent traveler and recently visited the Atlanta airport on his way to California. He noticed a beverage machine at which he could purchase a specialty coffee, tea, or hot chocolate beverage. Iben was able to use his credit card, but the machine also accepted cash payments. This is an example of _____, a form of nonstore retailing.

automatic vending

Tuesday Morning is a chain retail operation specializing in close-out and discounted name-brand merchandise. The company alerts consumers to special items via an e-mail catalog. As an off-price or discount retail operation, customers can expect _______.

a limited quantity of inventory available and frequent out-of-stocks of popular items

Bombas is a manufacturer and retailer of socks sold exclusively via its website. Which of the following is an advantage for Bombas as an online retail operation?

Lower-cost remote distribution centers can be utilized.

Milan is the owner of a camera shop specializing in Canon and Nikon products. The store sells camera bodies as well as specialty lenses for the cameras. Milan hosts meetings of the local photography club at the store and schedules a variety of special events. Which of the following statements is likely true for Milan's camera store?

A physical retail store is needed to display and sell merchandise.

Julen is the vice president of marketing at American Eagle. Every two to three years, the retailer reviews trends and demographics for major markets across the United States. Recently, the company revised its customer profile to include young men and women aged 12 to 24 who enjoy casual clothing. This description is known as the company's _____, the identification of which is the first and foremost task in developing a retail strategy.

target market

Vanessa is the owner of a spa who worked with a designer to ensure the layout and atmosphere of the space would be comforting, relaxing, and prestigious. This element of the retailing mix is known as _____.


Many retail grocery stores are now offering the option of ordering online and picking up the groceries at curbside. Consumers appreciate the convenience of ordering online and avoiding the need to shop in the store. However, retailers must be concerned about how online sales could _______ in-store sales, since grocery retailers benefit from impulse purchases.


Diego visited Men's Wearhouse to buy a new suit for his college's upcoming career fair. The salesperson provided Diego with several shirts that would complement the suit and offered his opinion on ties that would match well. The salesperson was using a sales technique known as _______.

suggestion selling

Biyu is the office manager for an orthodontist office. She typically schedules check-up appointments in 10-minute intervals, which is the average amount of time needed for the orthodontist to check a patient's progress. However, the orthodontist occasionally needs more time with a patient. Which area of service distribution is impacted most by the occasional variability in the time spent with a patient?

Minimizing wait times

KFC restaurants experienced a sell-out of its Beyond Fried Chicken Sandwich. The plant-based fried chicken is made by Beyond Meat. Which area of service distribution is impacted when customers are unable to order an item from the menu?

Managing service capacity

Demarco has always enjoyed McDonald's "Big Breakfast," which includes pancakes, bacon or sausage, and an egg. However, he rarely had the chance to purchase it until recently, McDonald's breakfast was only served until 10 a.m. Demarco was excited to hear about McDonald's decision to serve breakfast all day. He can now order the Big Breakfast any time he wishes. Which area of service distribution is impacted by McDonald's decision to offer breakfast items all day long?

Improving service delivery

Gabriel is the manager of a restaurant that is known for its daily specials. Due to a larger than normal dinner service, the chef has just informed Gabriel that several special items are no longer available. What should Gabriel do to avoid customer dissatisfaction?

Gabriel should alert the wait staff and ask the servers to notify restaurant guests that several special menu items are not available.

Shun purchased a dress through an online boutique. She was at work when it arrived and forgot to try it on. Shun tried on the dress about 14 days after receiving it and didn't like how it fit. She decided she would return it. Shun was busy and didn't have time to go online and complete a return request. Forty days later, Shun discovered that the company has a strict 30-day return policy and she is now unable to return the dress. Which actions do you recommend for the online boutique to improve customer satisfaction?

Accept customer returns over a longer time period such as 60 to 90 days

Jos. A. Bank is a men's clothing retailer that offers high-quality men's apparel such as suits, shirts, ties, shoes, and casual clothing. The company's retail stores offer personalized service and complimentary tailoring on dress pants and suits. However, customers can also order from the company's website. Those ordering online also have the ability to pick up items at their local stores and receive tailoring provided by their nearest Jos. A. Bank location. Which retailing trend is the company utilizing?

Retail channel omnification

Clara stopped into a Barnes & Noble bookstore with a friend to browse the selection of books appropriate for her kids, aged five and seven. She made her way to the children's section and noticed an alert on her phone. She had just received a message from Barnes & Noble that included a 10 percent off coupon on adult fiction titles. In addition, she was notified that the café was offering a buy one, get one free offer on beverages. Which retailing technology is the company utilizing?


Inês is the marketing manager for Untuckit, an online retailer of men's shirts that are designed to be worn untucked. The company uses sophisticated software to analyze customers' buying habits and identify the most popular styles. This information helps the company understand its target market and develop new products and styles that will appeal to customers. What retailing technology is the company utilizing?

Big data analytics

Milan visited Bed Bath & Beyond to purchase a coffee maker. He enjoys specialty drinks and was looking at systems that could create espresso-based beverages. He was surprised by the number of models available and was attempting to analyze each one. Suddenly, he heard a voice and realized there was a device mounted to the shelf that was asking him questions. He interacted with the device and based upon his answers, it informed him of two models that would fit his needs. Which retailing technology is Bed Bath & Beyond utilizing?

Voice-assisted commerce

A chain store and a franchise are examples of which method of classifying retailers?

Ownership arrangement

The width and depth of a retailer's product line refers to which method of classifying retailers?

Product assortment

Which type of store carries a deep range of brands within a narrow category of products?

Specialty stores

Which type of retailers are large stores specializing in groceries but also carrying nonfood items, such as flowers and personal care?


Which type of store competes on the basis of low price and high volume?

Discount stores

Consumers exchanging goods with one another through a digital marketplace is called _______.

sharing economy

Representatives selling door-to-door or in homes is called _______.

direct selling

The use of machines to offer services is called _______.

self-service technology (SST)

The use of machines to offer goods for sale is called _______.

automatic vending

In terms of retail operations models, retailers are often categorized by which of the following factors? (Select three)

1. Product assortment2. Service level3. Price

In terms of retail operations models, customers paying premium prices will likely demand _______?

higher levels of service

Company-level goals such as increasing revenue, cutting costs, and maximizing return on investment are called _______.

strategic goals

Store-level goals such as increasing store traffic, managing inventory, and managing employees are called _______.

tactical goals

Factors such as the size and profit potential of the market and the level of competition for its business affect the selection of a company's _______.

target market

Which component of the retailing mix relates to location and hours?


Which component of the retailing mix relates to layout and atmosphere?


Which component of the retailing mix relates to advertising and publicity?


Which component of the retailing mix relates to customer service and personal selling?


Which of the following are priorities for managing service delivery? (Select two)

1. Manage or increase service capacity2. Minimize wait times

Hotels, salons, and other __________ companies employ many of the same "distribution" skills and strategies as companies selling __________

service ; physical goods

A company hoping to recover from or avoid service lapses should notify customers in advance of _________ and issue product _________ notices with promotional incentives for customers to purchase later.

stockouts ; recall

Small sensors that can track the location of items are called _______.

RFID tags

Devices that send out connecting signals to customers' smartphones are called _______.


Graphics technology that displays a realistic visual of a digital image is called _______.

virtual reality

Footlocker, a specialty retailer of athletic shoes, works closely with its suppliers. Footlocker seeks to partner with Adidas, Nike, and Under Armour to reduce customer wait times for new products, reduce supply chain complexity, and continuously monitor the best-selling styles for each store location. In other words, Footlocker seeks to implement supply chain _______.


Beauty of a Site is an independent retail store with a single brick-and-mortar location. The company also offers its products on its website and via Joey, the owner, has been considering _______ the functions of order fulfillment and inventory management to Amazon to create efficiencies and reduce the time necessary to fill orders from her local store. Joey believes placing Amazon in charge of inventory management and order fulfillment for website orders will reduce customer wait times and enhance customer satisfaction.


Recently, Zari was shopping at her local J. Crew store. She was interested in purchasing a dress, but the store did not have one in her size. The team member assisting Zari offered to check other stores in the area via computer to determine whether another location in the area had the dress in stock in her size. J. Crew team members can offer this service since it utilizes _______ and smart tags to keep track of inventory locations and restocking needs in real time.

radio-frequency identification

Pranav is the production manager for a Hormel manufacturing facility in Minnesota. The primary product produced is Spam, which is made predominantly of pork. Pranav is responsible for sourcing ingredients such as potato starch, which are needed to produce Spam. He works with Cargill, a supplier of potato starch, and strives to achieve _______ integration to ensure just-in-time inventory and availability of raw materials for each day's production output.

material and service supplier

Misaki is an account manager with Office Depot who works in the healthcare sector. Recently, Southwest Medical Center selected Office Depot as a preferred supplier. Misaki worked with her technology team to create a Web portal or intranet. The portal enables all departmental staff at the Medical Center who have the authority to order office supplies and receive special pricing. The use of the Web portal provides _______ integration that connects managers across both firms via both hardware and software systems used to exchange information.

technology and planning

Alejandro is an account manager with Frito-Lay. He serves a geographic region that includes about 300 customer accounts. Alejandro uses a tablet computer when meeting with store managers so he can input information about anticipated orders directly into Frito-Lay's enterprise resource management software system. This system is also utilized by the various manufacturing plants that produce products so they can accurately plan and forecast the amount of product to be produced. This is an example of _______ integration.


Zion visited the website of B&H Photo, an online retailer with a location in New York City. He was interested in purchasing a new lens for his camera. It was in stock and could be shipped free to his home via FedEx and arrive in two days. Zion's experience with B&H Photo provides an example of how the _______ business process is important to supply chain managers.

order fulfillment

Graciela is a professional portrait photographer who often orders canvas prints and other custom products from Artsy Couture. Graciela regularly receives e-mail notices from Artsy Couture with special incentives such as 20 percent off her next order. Graciela feels appreciated by Artsy Couture as one of its top customers, and she has developed a sense of loyalty to the company. Graciela's experience with Artsy Couture provides an example of why the _______ business process is important to supply chain managers.

customer relationship management

Manuel loves to grill, so he recently purchased a new gas grill online from Costco. The grill arrived, but unfortunately, it was damaged in shipping. Several aluminum pieces were dented, and the shipping box was noticeably damaged. Manuel contacted Costco, which emailed him a shipping label. He learned that the damaged grill will be sent to a Costco warehouse. Costco will file a claim with UPS and receive reimbursement for the grill since it was insured against damage. Which business process related to supply chain management is highlighted by this example?

Returns management

Walmart is tracking a new measure, called the _______, to determine the impact of various initiatives such as using alternative fuels in its trucks, installing solar and passive lighting in retail stores, and reducing waste from shipping containers. Walmart believes it is important to the company's long-term success to continue investing in sustainability programs.

triple bottom line

A large fast food chain has received complaints from customers and environmental interest groups over the company's continued use of plastic and Styrofoam containers. However, the company just launched a social media campaign to publicize its use of solar power to reduce its carbon footprint. This use of marketing techniques to portray the company as environmentally friendly is known as _______.


Ansh is a supply chain management specialist with Toyota. He is currently reviewing supplier contracts and is interested in reducing the environmental impact within the supply chain. He is hoping that by sourcing materials closer to manufacturing facilities and reducing air shipments, Toyota's supply chain can be more efficient, cost-effective, and environmentally sound. This is an example of _______.

sustainable supply chain management

John Deere is a manufacturer of agriculture equipment. Deere supplies replacement parts to dealerships across the globe. John Deere has begun utilizing technology so it can identify the geographic location of the parts. This information is available to dealerships and is especially useful in reducing equipment downtime. Agriculture equipment owners can have their machines repaired with replacement parts in a shorter amount of time than before the use of the tracking technology. This is an example of a phenomenon referred to as the _______.

Internet of Things

Kayla is a route delivery driver for Ray's Potato Chips. She has 100 different retail outlets on her route and typically visits each store twice a week to replenish stock. The company uses a computer system that determines the optimum delivery schedule and automatically programs the navigation system Kayla uses for her routes. The computer system also produces an inventory list for each store that the loading team utilizes to place items in Kayla's truck. It's a very efficient system since the items at the back of the truck are delivered to the first store on the route. The computer system is utilizing _______ to determine Kayla's routes and facilitate efficient product loading onto her truck.

artificial intelligence

Amazon has begun using _______, which are unmanned aerial vehicles, to reduce the costs of "final mile" delivery in urban areas.


Suhani works for a grocery meat wholesaler. The company purchases fresh pork and beef products from the farmers who raise the animals. The farmers deliver the meat products to Suhani's company in packages ready to be taken to the grocery store. Which type of utility do the farmers provide to the grocery meat wholesaler?

Form utility

Aditi purchases frozen food items from Schwan's. Her Schwan's account representative delivers the items Aditi has purchased to her home once a week. Aditi enjoys buying Schwan's products because of the convenience. The items stay cold because there is less travel time from the refrigerated truck in her driveway to her home freezer. Which type of utility does Schwan's provide Aditi?

Place utility

Sysco is a food distributor that serves the restaurant, hospitality, and institutional markets. Sysco offers a variety of items and typically offers a net 30-day payment. However, companies that have approved credit may be approved for longer-term financing, up to a 90-day payment of their invoices. Sysco is providing a key channel function as an intermediary known as _______.


Bombas socks are available only through the company's website, Bombas is using the _____ channel system to make its products available to consumers.


Enzo enjoys performing routine maintenance on his vehicle. He recently purchased a new alternator at AutoZone. The salesperson told him that after Enzo installed the new alternator, he could return his used alternator and receive $25 for the part. AutoZone would recycle the part and return it to the manufacturer. This is an example of a _______ channel.

Pella Windows is a manufacturer of windows. The company has a range of window styles and finishes that can be customized to meet each customer's needs. The product is relatively complex and must be made-to-order to meet an individual customer's requirements. Which of the following statements is true regarding the factors that affect the channel choice for Pella Windows?

A shorter and more direct distribution channel is preferred.

Prairie Farms is a dairy business that offers milk, cheese, butter, ice cream, and other dairy products to grocery and convenience stores. Which type of distribution intensity would be best for Prairie Farms?


Jo Malone is a designer fragrance company. Its perfume and cologne products are available at a limited number of stores including Sephora and Nordstrom. Jo Malone is using a(n) _______ distribution intensity.


Daiyu was interested in purchasing a new laptop computer. She did a quick online search at Best Buy's website using her smartphone. She was able to see that her local Best Buy had the product in stock. Daiyu purchased the item and requested it be held at the store for pickup. This is an example of the _______ system.


A major shoe manufacturer, which currently uses a multichannel distribution system to make its products available to customers, is considering changing to an omnichannel strategy. Which of the following is true regarding a multichannel system?

A multichannel distribution system can be more expensive due to redundancy and complexity in the firm's distribution system

Which of the following are true statements about supply chains? (Select three)

1. A company's supply chain includes all the companies involved in the flow of providing products to customers.2. Supply chain partners could include home delivery partners.3. The goal of supply chain management is to integrate all supply chain activities into a seamless process.

Which of the following are examples of supply chain integration strategies? (Select three)

1. Effective use of customer sales data2. Increased communication with supply chain partners3. Careful selection of supply chain partners

By relying on customer data, a company discontinues products that aren't in demand before inventories can build up. This is an example of which benefit of supply chain management?

Streamlined product mix

There are two main types of supply chain integration: __________ & __________

internal ; external

Which of the following best describes the demand-supply integration (DSI) philosophy?

The company departments charged with creating customer demand communicate frequently with company departments charged with fulfilling demand

Sharing a basic framework for how companies in the supply chain will communicate and work together is an example of what level of external integration?

Relationship integration

The creation and maintenance of information systems that connect managers across firms in the supply chain is an example of what level of external integration?

Technology and planning integration

Ensuring that firms in the supply chain can manage production with flexibility and efficiency describes which process of supply chain management?

Manufacturing flow management

Aligning supply and demand throughout the supply chain by anticipating customer demand and planning production and inventory accordingly describes which process of supply chain management?

Demand management

Facilitating the joint development and marketing of new offerings among a group of supply chain partner firms describes which process of supply chain management?

Product development and commercialization

Sustainable supply chain management involves the integration and balancing of _________ , __________ and economic thinking into all phases of the supply chain management process.

environmental ; social

Which channel member makes the product?


Which channel members buy products from producers and distribute them to retailers?


Which channel members buy products directly from producers or wholesalers and sell directly to consumers?


_______ is the increased value of a product that is created as its ownership is transferred.

Exchange utility

A product can take any of several possible routes to reach the final consumer. The channel where product moves from the __________ to the __________ with no other intermediaries in between is the direct channel.

producer ; consumer

When a smaller producer lacks the marketing power to be visible to wholesalers and retailers, they would likely choose which distribution channel?

Agent/broker channel

To maximize margins or keep prices low, a producer with significant resources would likely choose a(n) _______.

direct channel

Which type of channel variation uses another manufacturer's already established channel?

Strategic channel alliance

Which type of channel variation utilizes channel partners to facilitate returns or recycling?


Which type of channel variation sells the same product using multiple channel structures?

Dual distribution

Which type of channel is a variation of the direct channel that utilizes e-commerce and social media?


A company sells inventory that must always be refrigerated. This is an example of which factor affecting the choice of distribution channel?

Product factors

A company has chosen to launch in one distribution channel exclusively before launching in any other. This is an example of which factor affecting the choice of distribution channel?

Timing factors

If a company partners with only one retailer per state, this is an example which type of distribution?


Omnichannel marketing is an effort by companies to unify the __________ experience across various _________

customer's ; marketing channel

Which of the following are examples of omnichannel marketing? (Select two)

1. Customer can use a mobile app to assist with in-store product research and purchasing.2. Customer can order online and pick-up at the physical store.

Juan is in a management development program with Cisco, a worldwide leader in information technology, networking, and cyber security solutions. Cisco is a manufacturer known for its routers, switches, and wireless units, but it has seen an increase in revenues related to services such as cloud computing. It's no surprise that services account for _______ percent of the economic output of the United States.


Elijah is the director of a long-term care community that serves adults aged 65 and over. There are many different communities for independent living in the community, and Elijah knows that prospective residents consider a variety of factors when making a choice. On his tours, he often emphasizes his facility's wellness amenities such as the swimming pool, exercise classes, and weight machines. He also shows a sample apartment so customers can visualize the room sizes, and how their furniture might fit. Elijah is recognizing that _______ qualities are evaluated as part of the services purchase process.


Anasa recently purchased automobile insurance for her vehicle. Her family has always used State Farm, but Anasa decided to try Progressive because she liked the advertisements featuring Flo, a fictitious salesperson. Anasa has never had a claim and primarily purchased the product because it is required by law. Which characteristic of services relates to Anasa's perception of insurance services?


Zion is the Director of Admissions for Butler University. He seeks to attract approximately 1,400 students as incoming freshmen to the university. The last class had 1,326 - just 74 students shy of Zion's goal. However, the student shortfall translates into open seats in classes and a reduction in tuition revenues. Which characteristic of services is best exemplified by Zion's shortfall of students in the incoming class?


Valentina loves going to concerts. One of her favorite bands is Twenty One Pilots. She's seen the group live several times but thought their last concert at Lollapalooza in Chicago, Illinois, was their worst. Valentina thought their drummer was slightly off-beat and the lead singer, Tyler Joseph, did not seem as energetic as he had in the past. However, Valentina still enjoyed the concert. Which characteristic of services is best exemplified by Valentina's evaluation of Twenty One Pilots' performance?


Lachlan recently celebrated his twenty-first birthday by getting a custom-designed tattoo on his forearm. Lachlan did some research and chose an artist who's known for her use of color. Lachlan also appreciated the way his artist interacted with him and took an interest in him. Which characteristic of services is best exemplified by Lachlan's experience of getting a tattoo?


Bill's Tree Service is an independently owned tree trimming and tree removal service. One of Bill's former customers, Elena, gave Bill's Tree Service a positive recommendation by commenting that Bill returns calls within 24 hours and is always on time for appointments. Which aspect of service quality is Elena emphasizing in her review of Bill's Tree Service?


Javier is a funeral director who meets with family members to discuss funeral arrangements for their loved ones. He has a caring demeanor and can naturally show through his words and actions how much he understands their grief during their difficult time. Javier makes sure to ask questions about the loved ones, and he is always interested to learn about their lives. Which aspect of service quality is Javier demonstrating when meeting with family members to plan a funeral?


Malik is a certified public accountant who works with individuals to provide tax services. He has many clients who have been using him every year for their federal and state taxes. One client recently gave the following review: "Malik is a wonderful accountant. We've been using his services for the last 5 years and he is courteous, efficient, and accurate. In addition to having his CPA, he's also an officer in the local accounting organization. We know he can be trusted with your tax returns, too." Which aspect of service quality is being demonstrated by the customer review?


Diya owns a Lexus automobile and schedules routine maintenance at her local Lexus dealer. When she visits for an oil change, she is shown to the luxurious customer waiting area that features a snack bar, espresso machine, and comfortable chairs and couches. In addition, Wi-Fi is available so those needing to work can be accommodated. Diya always feels pampered even though it's her car that's receiving the service. Which aspect of service quality is being demonstrated by Diya's experience at the Lexus dealership?


Tanvi works in marketing for a hospital. Recently, the hospital has used marketing activities to attract expectant mothers to use the hospital's maternity services. However, recent patient satisfaction scores have dropped due to patient ratings of the amount of time they are allowed to spend with their new babies. The hospital assumed that new mothers would like to keep their babies in the nursery but it is now realizing that most women would rather have their babies stay in their rooms. Based on the gap model of service quality, which type of gap has occurred?

A gap between what customers want, and what management thinks customers want

Hannah and Ella recently dined at Buffalo Wild Wings. They placed their order for drinks and their dinners. Their drinks arrived quickly, but after 20 minutes, Hannah and Ella had still not received any food. Finally, Hannah and Ella received their meals after waiting over 30 minutes. This wait time was much longer than Hannah and Ella expected and is an example of which type of service gap?

A gap between the service that customers receive, and the service they want

Dhruv is director of admissions for a private university. He's working with a marketing consultant to prepare new brochures to send to prospective students. In this campaign, the university is interested in highlighting all the different ways students can find their passion by getting involved in student organizations, mentoring relationships with alumni, and co-op or internship work experiences. Which of the following terms best describes these aspects of the university's product mix as a service?

Supplementary services

Marc's Automotive Services specializes in imported cars and provides an array of services such as oil changes, tire mounting and rotation, brake service, engine repair, and transmission work. As a service provider, Marc's work can be categorized as _______ processing.


Julio is a Subway franchise owner who appreciates the opportunity to give his customers exactly what they want. Subway offers a variety of options for bread, meat, cheese, vegetables, and condiments. Customers can pick and choose to order exactly the type of sandwich they desire. Subway can be categorized as using _______ processing.


Makayla is an Uber driver in Orlando, Florida. She enjoys the opportunity to meet different people and earn extra income. During high usage times, Uber's proprietary application determines the fee charged to Makayla's customers. Thus, a consumer using Uber to travel from the airport to a downtown hotel might pay a different price at 1 p.m. on a weekday compared to a busier time at 5:30 p.m. on a weekday. Which type of pricing objective is Uber utilizing?

Operations-oriented pricing

Dante is an account manager for Mediacom, which markets internet and cable television services to businesses such as restaurants, bars, and hotels. Dante practices relationship marketing because he realizes _______.

it's more expensive to attract new customers than to retain existing customers

Harley-Davidson Motorcycles has built a strong and loyal following of customers. The company's Harley Owners Group (HOG) hosts events such as drives, barbecues, open houses, product demonstrations, and races. HOG members may also receive promotional discounts on products via email, text, or snail mail. Membership in HOG enables Harley owners to meet and mingle with others to get the most out of their Harley ownership experiences. This is an example of the _______ level of relationship marketing.


Paola is the owner of Five Senses Spa and Salon, a full-service salon. Unlike other spa and beauty companies, Paola provides a salary with a bonus compensation program to her employees as well as full benefits. In addition, throughout the year, Paola offers a variety of educational programs such as budgeting and finance to help her employees learn about personal financial planning. Paola realizes the importance of _______ marketing, because happy employees create happy customers.


Miu is the owner of an indoor trampoline park called Elevate. She has a staff of 25 employees including five full-time managers and 20 part-time employees. Miu is seeking ways to reduce turnover and to increase the levels of engagement between staff and customers. Miu understands that customer satisfaction is more easily achieved when employees are happy. Which of the following would likely lead to higher employee satisfaction?

College tuition reimbursement grants for any employee working 15 or more hours per week

Ramla is a fundraising director for the College of Business at the University of Alabama. She works with the local business community, alumni, current faculty, and students to generate donations. Ramla's business _______ is to generate $1 million in donations per year to fund scholarships to students and to provide grants for faculty research. Thus, she is seeking funds to cover expenses rather than to earn a profit.


The #DareToWearOne campaign aims to increase use of life jackets and to increase water safety in order to reduce drownings. The nonprofit organization, National Injury Prevention Council, is using a social media push to make wearing life jackets more acceptable among teens and young adults. Unfortunately, drowning rates have increased for men ages 15 to 24 years of age, since many believe it's not "cool" to wear a life jacket. Which of the following statements is most applicable to the National Injury Prevention Council in its aim to promote life jacket use?

Traditional promotional tools may be inadequate to motivate teens and young adults to use life jackets.

The Cleveland Museum of Art houses over 43,000 works in its permanent collection thanks to a trust founded in 1913. The museum is free, but it generates revenue from programs, sales of merchandise, special exhibits, and memberships. Recently, the iHeart radio group in Cleveland ran several free 30-second spots known as _______ to encourage attendance of a special exhibit at the museum.

public service announcements

CGN is a global consulting firm offering supply chain, logistics, and lean manufacturing consulting services to Fortune 500 firms. As a global provider, CGN can use a variety of consultants to deliver services to clients. It charges a standard hourly rate of $200 per hour for consulting services but may offer discounts for loyal customers. Which aspect of the marketing mix is highlighted by this example?


SIS International is a global organization that offers marketing research services to clients. Its primary office is in New York with one satellite office in London. The company wants to expand overseas to attract a more diverse client base. It is especially interested in the Asian market. SIS International is conducting its own research to compare Singapore, Beijing, Hong Kong, and Mumbai. Which aspect of the marketing mix is highlighted by this example?


Services can't be touched, consumed, or felt in the same way as goods. This is an example of _______.


Services can't be stored, warehoused, or inventoried. This is an example of _______.


Services tend to be less standardized and uniform than goods. This is an example of _______.


The consumer must be present for the consumption of services. This is an example of _______.


The ability to provide prompt service is an example of which component of service quality?


Caring, individualized attention is an example of which component of service quality?


The ability to provide physical evidence of the service is an example of which component of service quality?


In the gap model of service quality, the gap between the service quality specifications and the service that is actually provided is called _______?

Gap 3

In the gap model of service quality, the gap between what customers want and what management thinks customers want is called _______?

Gap 1

A factor affecting product (service) strategy is _______.

level of customization

A factor affecting place (distribution) strategy is _______.


A factor affecting service promotional strategy is _______.

stressing tangible cues

Which of the following are factors related to product (service) strategy? (Select three)

1. The service mix2. Level of customization3. The nature of the core service and supplementary services

Which of the following are strategies used to build relationships when marketing services? (Select three)

1. Loyalty programs2. Selling in bulk3. Memberships

Offering only discounts is an example of which level of relationship marketing?

Level 1

Offering discounts, building a social bond, offering customization, and value-added services is all an example of which level of relationship marketing?

Level 4

Offering employees of a service company benefits such as flextime, on-site daycare, and free food are examples of _______.

internal marketing

Which of the following best describes a nonprofit organization?

An organization that exists to achieve a goal other than earning a profit

Nonprofits must juggle two objectives: __________ from supporters and __________ to their target audience.

raising money ; providing services

Which of the following are target market challenges unique to marketing nonprofits? (Select three)

1. Pressure to adopt undifferentiated segmentation2. Apathetic or opposed markets3. The need for complementary positioning

Which of the following would support the ability of a service company to expand worldwide?

High global brand awareness

To succeed in global markets, service companies need to _______ and _______. (Select two)

1. mind the gaps in service quality2. adapt to local conditions

A drone is an unmanned aerial vehicle that is guided remotely, and farmers across the world are now utilizing drones, which are revolutionizing the farming industry. Although drones are not new, their use in agriculture is significantly impacting the industry and creating an entirely new market. Which type of new product is a drone in the context of agriculture?

New-to-the-world product

Burger King launched a new menu item called the Impossible Whopper, a burger made with a plant-based, protein-filled patty. Burger King has offered a garden vegetable patty burger in the past, but its new Impossible Whopper looks and tastes like meat. The Impossible Whopper is classified as a(n) _______ according to the chapter's categories of new products.

addition to existing product lines

Starbucks is now selling Cookie Straws in grocery stores across the United States. Starbucks describes the product as a toasted rolled wafer cookie filled with a luscious layer of rich, dark chocolatey sweetness. Cookie Straws are the first "cookie" product offered by Starbucks with placement in the cookie and cracker aisle. Which type of new product are the Cookie Straws?

New-product line

BMW has announced changes to its 3-series models for the upcoming year. The changes include reduced weight, improved aerodynamics, and enhanced driving dynamics. In addition, consumers will have the option of purchasing the vehicle with or without all-wheel drive. How would you classify BMWs 3-series vehicles?

Improvements or revisions of existing products

Subway, a chain known for its fresh, made-to-order sandwiches, has launched the Green Goddess Tuna Melt in more than 3,000 U.S. restaurants. The sandwich features flaked tuna blended with mayo, topped with shredded mozzarella cheese, and toasted on nine-grain bread. It is then layered with fresh spinach, tomatoes, onions, and green goddess dressing. Subway is the first national quick-service restaurant chain to use green goddess dressing on a sandwich. Subway's offering of the Green Goddess Tuna Melt is an example of a(n) _______ type of new product.

addition to existing product line

Lay's potato chips hold a contest called "Do Us a Flavor," in which customers pitch new flavor combinations of the popular Lay's potato chip for the chance to win $1 million. Contestants submit flavor ideas on the "Do Us a Flavor" website. They choose a catchy title, select up to three ingredients, create a quick pitch, and design the bag. What stage of the new-product development process is described by this stage of the Lay's contest?

Idea generation

Nanami is a new-product development engineer with siffron, a company specializing in display solutions for retail outlets. Nanami and her team have created a new product called ModoShelf. It has removable antimicrobial tiles that can be cleaned in a dishwasher. The product is now available to grocery retailers throughout the country for fresh produce displays such as lettuce that may be prone to bacteria formation. What stage in the new-product development process best describes this example?


Aarav lives in Houston, Texas, and is excited to try McDonald's new jalapeño salsa breakfast sandwiches. These sandwiches come in either biscuit or muffin varieties, with bacon or sausage as the meat options. The sandwiches are topped with a slice of white cheddar cheese, eggs, and a jalapeño salsa concoction. Aarav asks a store employee about the item and learns that the product is only available in Houston at select McDonald's locations. Which stage in the new-product development process best describes this example?

Test marketing

Starbucks's corporate office in Seattle offers Cold Pop, a beverage stand open to employees and visitors. It's open three days a week and serves about 200 drinks a day for $5 per beverage. Cold Pop serves potential new menu items, and employees who purchase the new items also get to vote on the item. Based on the number of votes and positive comments that the new products receive, Starbucks employees begin analyzing the business opportunity for the product. The opportunity to sample and vote on menu prototypes for Starbucks represents the _______ stage of the new-product development process.

idea screening

Nike launched its wearable fitness tracker, the FuelBand, in 2012 after Fitbit's debut in 2007. The FuelBand tracked "Fuel Points," even though customers didn't really know what this metric meant or how it was calculated. Customers also complained that you could sit at your desk waving your hand to ramp up your score. In the four years of FuelBand's existence, Nike only captured about 10 percent of the wearable market, while its rival, Fitbit, became the category leader. Based on this description, what was the primary reason for the FuelBand's failure?

It did not offer a benefit compared to existing products.

Nintendo launched the Wii U console in 2012 but stopped production in 2016 prior to the debut of the Nintendo Switch. The Wii U was considered a relatively complicated system. The tablet controller only worked about 15 feet away from the home base console and was not portable. In addition, there were very few new games supported by the system. During this time, both Sony and Microsoft's Xbox systems outperformed and outsold Nintendo. Based on this description, what was the primary reason for the Wii U console's failure?

Wii U offered a poor match between product features and customer desires for portability.

The KFC food chain operates restaurant locations around the globe and is known for its "finger-lickin' good" chicken. In India, KFC locations offer Vegetable Strips and the Potato Krisper Burger to satisfy the needs of the vegetarian market. Locations in China have a Shrimp Burger, and in Thailand they have a Shrimp Donut. Which of the following statements about global issues in new-product development is true?

KFC has created new menu items that meet the unique needs of customers in each country.

Khushi recently downloaded a new app to her smartphone. She enjoys trying new things and is usually the first person in her social group to learn about new apps. She works in the technology industry and is an avid reader of scientific journals and technology-related magazines. Which category of adoption best describes Khushi?


Catarina recently downloaded Snapchat. She is a mom to two daughters, who are 11 and 13. The girls recently began using Snapchat and love playing with the filters to take selfies, and they encouraged their mom to get Snapchat too so they can share fun photos with each other. Catarina feels like she is the last one in her friend group to use Snapchat, as most of her friends have been using it for several years. Catarina has very few apps on her smartphone, because she is skeptical of companies and concerned about privacy issues. Which category of adoption best describes Catarina?


Jalen is in his late thirties and has always enjoyed running. He is training for his first marathon and recently purchased a Garmin running watch to help him train and pace his workouts. He considered the pros and cons of the Garmin system, read many product reviews, and spoke with many friends who recommended the Garmin. Jalen is excited about his purchase but is wondering why he waited so long to get a running watch. He has now become a big advocate for Garmin and has been a vocal supporter of the brand. Which category of adoption best describes Jalen?

Early majority

Rowena has a Costco membership and enjoys the opportunity to try items at the store. On a recent visit, an associate was offering samples of a quick meal, "Brown Rice & Quinoa," that can be microwaved or boiled to heat and cooks in 90 seconds. After sampling the item, Rowena decided to purchase it. Which characteristic most likely contributed to Rowena's decision to purchase the new meal option?


Laqueta is shopping at Dick's Sporting Goods and notices a display for Yeti beverage containers. She likes the various colors and prefers to use a reusable container to reduce her use of plastic. She has read about how the Yeti container keeps beverages hot or cold for several hours. Laqueta is impressed with the product and thinks it will be a real improvement over her current Tervis tumbler. She decides to buy the Yeti product. Which characteristic most likely contributed to Laqueta's decision to purchase the new option?

Relative advantage

Rosa was enjoying a cheeseburger at McDonald's recently and noticed another customer eating fries topped with cheese and bacon. She was intrigued and learned that the restaurant had recently introduced Cheesy Bacon Fries. She thought they looked delicious and decided to try them on her next visit. Which characteristic most likely contributed to Rosa's decision to purchase the new meal option?


Hormel has extended its reach into the snack food market and recently unveiled a new product line. Hormel's Natural Choice snacks come in four varieties, each in 2-ounce packs containing ham, turkey, or chicken paired with white cheddar cheese and either pretzels, almonds, or blueberries covered in chocolate. Their retail price is $1.50 to $2.00 each. Which of the following is the most appropriate marketing activity for Hormel to utilize to gain acceptance of the new products?

Offer samples of the new products in retail grocery stores

Fitness trackers were first introduced as simple pedometers, but with the advent of smartphones and apps, more advanced products have been developed. Fitbit was an early entrant into this market, followed by the Nike FuelBand. The Apple iPhone incorporated activity tracking, and several companies such as Garmin joined the market as well. After only four years, Nike FuelBand exited the market. Today, Fitbit, Apple, and Garmin are all vying for market share as competition is intense. Each company utilizes aggressive advertising campaigns to persuade consumers to buy their brand. Which stage of the product life cycle best describes fitness trackers?


Kemi is a brand manager for Post Cereal and is working with his team to plan marketing strategies and tactics for Grape-Nuts. The cereal has been in production since 1897 and has a loyal following of customers. However, the sales have seen a downward trend, and there are many competing products offering similar benefits. Based on this information, Grape-Nuts is likely in the _______ stage of the product life cycle, and any new customers would be classified as _______, according to the diffusion of innovation stages.

decline; laggards

Anay is an account representative for Kind Bars, a snack bar made with natural ingredients. The snack bar segment faces intense competition from several brands such as NutriGrain, Clif Bar, and Lara Bar to name a few. Unfortunately, new products continue to enter the market, especially in the "health food" category. Anay meets frequently with store managers to discuss product placement and secure shelf space. Sales of Kind Bars are still increasing, thanks to an aggressive consumer promotion campaign. Based on this information, Kind Bars are in the _______ stage of the product life cycle.


Charlotte enjoys trying new products and has a high need for variety. She visits Starbucks at least twice a week and rarely orders the same beverage twice. She recently noticed Starbucks's brand of coffee creamer at the grocery store and picked up the Cinnamon Dolce Latte flavor. Charlotte had never seen the item before but thinks it will be a great success. Based on this information, what stage of the product life cycle best describes the Starbucks creamers?


Alberto works for PepsiCo and is on the marketing team for Gatorade. The company has been concerned about Gatorade sales. Sales are still increasing, but at a slower rate. Gatorade has reduced prices but still maintains a dominant position in the market. Based on this description, Gatorade is in the _______ stage of the product life cycle.


Noroa is a working parent with three busy teenagers, but she tries to prepare a healthy meal every night for dinner. She has recently seen lots of Instagram, Pinterest, and Facebook posts about using an Instapot or a Crock-Pot. She feels somewhat left out since she doesn't own either. However, she takes some time to review the products and decides to purchase a Crock-Pot, which is in the decline stage of the product life cycle. Which category of adopter best describes Noroa?


A good reason to invest in new-product development is _______.

to sustain company growth

Products that supplement a firm's established product line would be considered _______.

additions to existing product lines

Products that are new and improved versions of existing products would be considered _______.

revisions of existing products

Which step in the product development process defines the types of products the organization wants to offer and the markets it wants to serve?

New-product strategy

After ideas have been generated, the next step in the product development process is _______.

idea screening

In the business analysis stage, _______.

ideas are evaluated by projecting cost, sales, and profitability

A variety of factors can affect the accuracy of forecasts during business analysis. For example, __________ markets like soft drinks are easier to forecast. But forecasting the size of __________ markets is more of a challenge.

established ; new or niche

Products that look promising after the business analysis stage of product development then proceed to the _______.

development stage

Test marketing a product happens _______.

after development

There are pros and cons to test marketing. Which of the following is true about test marketing?

It can be expensive and take a long time.

The decision to market a product is called _______.


What type of failure has occurred when a new-product introduction loses money for the company when accounting for development, marketing, and production costs?

Absolute failure

Which of the following will most likely contribute to the failure of a product? (Select three)

1. Inadequate distribution2. Poor marketing3. Inferior product when compared to alternatives

In order to maximize profits for a new product, marketers will ideally _______.

create products that require little or no modification when sold globally

Because product development can be time consuming and expensive, companies want to _______.

develop products that are marketable worldwide

The first group to adopt new products are called _______.


Which group of adopters is an important link to the late majority and helps new products reach a tipping point in diffusion?

Early majority

Which of the following products is more likely to be diffused quickly?

A product that is easy to try on a limited basis

The stage of the product life cycle (PLC) where profits peak is the _______.

growth stage

The stage of the PLC where sales revenue peaks due to market saturation is the _______.

maturity stage

The stage of the PLC where companies focus on increased distribution among wholesalers and retailers is the _______.

growth stage

Zuwena works in research and development with Under Armour. Under Armour continually invests in new technology, and Zuwena's team recently launched a new model of running shoes called the HOVR shoes. These shoes contain built-in pods that connect to the running app MapMyRun, which is also owned by Under Armour. Like many companies, Under Armour invests heavily in product development, which demonstrates that _______.

a firm's product or product offering is the heart of its marketing program

Samsung introduced the Galaxy Note 7 in August of 2016, and upon debut the product received high praise. However, the phone's battery was faulty, and one incident of fire was reported on a Southwest Airlines flight. Subsequently, the Department of Transportation banned the phones on all commercial aircraft. Samsung initiated an immediate product recall and eventually suspended worldwide production of the product in October 2016. Which of the following statements about the product or product offering applies to Samsung?

The failure of the Galaxy Note 7 could significantly damage Samsung's reputation.

Dhruv is on his way home from work and remembers that he doesn't have any paper towels or milk at home. He stops at a local grocery store and buys his favorite brands: Bounty paper towels and Prairie Farm milk. These items are classified as _______ products.


Imani is 45 years old. She recently met with her financial planner to review her contributions to her Roth IRA, a retirement account. The financial planner also mentioned to Imani that she should consider purchasing long-term care insurance since a high proportion of consumers will likely spend one to two years in a nursing home or assisted living space before the end of their lives. The financial planner said that premiums usually increase after age 50, and that there were several good plans Imani should consider. Imani was somewhat familiar with the term long-term care insurance, but she had never thought about purchasing the product. Thus, for Imani, long-term care insurance would be a(n) _____ product.


The Cleveland Clinic has developed a reputation as a high-quality care center where people from around the world might travel for certain procedures such as open-heart surgery. The Cleveland Clinic uses television and print media advertising to create awareness about its heart center and to publicize the excellent care patients receive. If a person has a need for heart surgery, it could be classified as a(n) _______ product.


Sergio enjoys hiking and often backpacks for several days or up to a week at a time. He's interested in purchasing a new tent and is looking for something that is lightweight, durable, and easy to set up. He's visited an REI store, Gander Mountain, and several specialty stores in his area that sell tents. In addition, he's explored the options via the Internet to learn more about what's available. To Sergio, a new tent is a(n) _______ product.


Batini is interested in purchasing a new laptop computer. There are many different brands, each with a variety of models. Each model varies based on the memory chip, graphics cards, speed of the hard drive, size of the monitor, and available warranty. Batini notices that it is fairly easy to compare from one brand to another since the computer manufacturers use the same brand of components such as Intel memory chips. Thus, laptop computers would be classified as _______ shopping products.


Yoplait offers a variety of different single-serve yogurt cups in flavors such as strawberry, blueberry, chocolate, banana, and key lime pie. Yoplait also offers another product line of yogurt products called Go-Gurt, which is marketed for kids and served in long tubes. Parents that purchase and enjoy single-serve cups for themselves are likely to purchase Go-Gurt for their children. What benefit does Yoplait receive by using product lines?

Equivalent quality

Hormel Foods has several different product lines such as ready-to-serve meat entree products, side dishes, and snack items. The variety of product lines a company offers is called its product _______.

mix width

Hormel Foods has a product line called "side dishes." Each side dish product item serves four people and is packaged in a convenient plastic tray, which is suitable for the microwave. Hormel has several different varieties of macaroni and cheese, mashed potatoes, and broccoli with rice. The number of product items offered within the side dish line is referred to as the product _______.

line depth

Shark Vacuum Company is a manufacturer of vacuum cleaners. It offers a traditional-sized vacuum cleaner but has recently released a cordless upright vacuum cleaner that can hold its charge for up to one hour of vacuuming. The model is lightweight, portable, and can be reconfigured to allow owners to use the many attachments that come with the vacuum cleaner model. The change from "corded" to "cordless" would be classified as a _______ modification.


Kraft Foods has strategically sold several business units to enable it to focus on core areas. Through divestment of brands, Kraft has reduced the number of product lines it offers retailers. This phenomenon is called product line _______.


Dyson is a British manufacturer known for its vacuum cleaners, fans, and hairdryers. It has emerged as a leading company highly valued by consumers who routinely pay more than $400 for its top-of-the-line vacuum cleaners. The brand has a high level of awareness, is known for high product quality, and many consumers will only buy the Dyson brand. Dyson is an example of a company exhibiting high brand _______.


Aston Martin is a British automobile manufacturer established in 1913. It gained fame as the car that the character James Bond drove in several movies. The brand is well-known around the world, and only a small proportion of its car sales are from the United Kingdom. Aston Martin is experiencing tremendous growth in China, where it now has twenty dealerships. Thus, Aston Martin is considered a _______ brand.


Ingrid prefers shopping at Aldi, a no-frills grocery retailer, known for its high-quality products including ______ brands such as Millville cereal bars, which are similar to the popular Nutri-Grain bars, and Clancy's chips, which are comparable to Frito-Lay.


Audi, a German automobile manufacturer, commonly places its _______ consisting of four intertwining rings on the grills of its cars. These rings symbolize the amalgamation in 1932 of four previously independent motor vehicle manufacturers: Audi, DKW, Horch, and Wanderer.

brand mark

Jian is shopping at the grocery store for ice cream, and he notices that the Ben & Jerry's brand has subtly altered its packaging. He's always liked the fun and quirky names that Ben & Jerry's uses, such as Cherry Garcia and Phish Food, and he has also noticed that the containers are brightly colored and feature cows doing whimsical things such as holding a bouquet of flowers, lounging in a chair, or soaring across a field. The newly designed packaging featuring different actions of the cows could be considered an example of _______ labeling.


Constanza is a mother of two young children. She consciously tries to avoid added sugar in their diets. Like many children, the kids enjoy peanut butter, and Constanza spends several minutes at the store comparing different brands by examining their ingredient lists. She usually purchases a "natural" peanut butter but reads the ingredients to check for added preservatives and sugar. The part of the product's package that is most important to Constanza is its _______ labeling.


Nestlé, known for its chocolate, has used the phrase "sustainably sourced cocoa beans" on its packages of chocolate bars. However, the company has been accused of contributing to deforestation in West Africa. If true, Nestlé may be using _______ to give the impression that it is environmentally friendly, even though it may be causing harm to the environment.


Gustavo likes using the self-checkout aisle at Walmart to save time, but he is often frustrated when a product's universal product code is not recognized by the scanning system. Then, a customer service agent must assist him to lookup the product's price, and it takes longer than necessary to complete Gustavo's purchase. Which of the following is true regarding the use of universal product codes (UPC)?

Universal product codes enable retailers to collect information about consumer purchases as part of scanner-based research

KFC experienced a rough start in the Chinese market when it translated its popular tag line, "finger-lickin' good," into Chinese characters meaning, "eat your fingers off." This example demonstrates the importance of pursuing a global strategy of _______.

adaptation and modification

The Smarties Candy Company is the maker of the multi-colored, chalky candy known as Smarties. However, the same candy is called Rockets in Canada since in that country there was already another brand called Smarties made by Nestlé, which are bright, colorful, candy-coated chocolates. The Smarties Candy Company demonstrates the importance of pursuing a global strategy of _______.

different brand names in different markets

The German men's and women's luxury fashion brand Hugo Boss is marketed using the same name in 127 different countries and in 439 different BOSS and HUGO stores, as well as other outlets. Which global branding strategy is Hugo Boss utilizing?

One brand name everywhere

Cutco is a manufacturer of kitchen knives and offers a "forever guarantee" on its products. Cutco states, "Since 1949, Cutco owners have enjoyed a Forever Guarantee that ensures the Cutco they use in their home will be as good tomorrow as the first time they used it. We want every Cutco owner to be satisfied forever, and when the product is passed along, we will continue to back that pledge. The guarantee has several important elements." This is an example of a(n) _______ warranty.


Zari purchased a tooth-whitening product that claimed on the package to "drastically whiten teeth 2-3 shades within 15 days of use." These claims on the product's package would be considered a(n) _______ warranty.


A _______ is everything, both favorable and unfavorable, that a person receives in an exchange.


Products that are unknown to the potential buyer or a known product the buyer does not actively seek are called _______.

unsought products

Products that are relatively inexpensive items that merit little shopping effort are called ______.

convenience products

Particular items for which consumers search extensively and are very reluctant to accept substitutes are called ______.

specialty products

A _______ is a company's assortment of product lines and individual product offerings.

product mix

The number of different product lines an organization offers is the company's _______.

product mix width

A modification to a product that changes the taste, texture, sound, smell, or appearance is a _______.

style modification

A product modification intended to improve the dependability and durability of a product is a _______.

quality modification

Companies may manufacture products that become outdated before they actually need replacement. This is called ______.

planned obsolescence

The elements of a brand that cannot be spoken are called the ______.

brand mark

The three main benefits of branding are: _______, _______, and _______. (Select three)

1. repeat sales2. new-product sales3. product identification

The exclusive legal right to use a brand or part of a brand is ______.

trademark protection

Brands offered exclusively by a retailer that are manufactured by a third party are called ______.

captive brands

________ are more expensive to market than ___________ because the company must develop a new promotional campaign to introduce each new product.

individual brands ; family brands

Co-branding can take several forms. _______ identifies the part of the brand that makes up the product.

Ingredient branding

Packages that are easy to transport and stock on shelves are a result of which objective of packaging?

Facilitating the storage, use, and convenience of products

Labels perform both ____ and _____ functions.

promotional ; informational

When a company wants to appear as a local brand in a foreign market, it would likely choose which of the following global brand strategies?

Different brand names in different markets

A(n) _______ is a written guarantee about the quality, abilities, or performance of a product that is communicated by the manufacturer or seller.

express warranty

The Pew Research Center recently published a report that noted that the majority of American workers are employed in the service sector. Specifically, "Among the major service-industry sectors, the biggest was trade, transportation, and utilities (27.8 million workers), followed by education and health services (24.3 million), professional and business services (21.5 million), and leisure and hospitality (16.7 million)." This is an example of the _______ role of marketing research.


Aldi, a grocery retailer, is using market testing in select cities around the country to measure consumer response to curbside pickup. As they do with other retailers, consumers order items from Aldi online and schedule a pickup time to retrieve their items. Based on preliminary results, Aldi estimates that the addition of curbside pickup will lead to a 15 percent increase in store sales, especially in suburban and higher income locations where shoppers are willing to pay extra for convenience. In this example, Aldi is capitalizing on the _______ role of marketing research.


Jasmine is the manager of ticket sales for the Houston Texans, a professional football team. Since their debut in 2002, the Texans have entertained fans in NRG Stadium, which seats close to 72,000 people. Jasmine is responsible for season ticket sales, game-day sales, and group sales to ensure maximum ticket revenue for the team. She recently hired a marketing research consultant to assist her in determining the best approach for marketing season tickets. Jasmine must allocate her marketing budget across various options such as outbound telephone calls, direct mail, radio advertising, print media, and social media. She is hopeful that the marketing research will help her identify the most effective allocation of her budget across these various options. In this case, marketing research is _______.

improving Jasmine's decision-making

Netflix dominates streaming services, and the company is now spending almost 50 percent of company revenue on developing original content for its subscribers. However, Netflix is concerned with the introduction of Disney+, a proprietary streaming service for a monthly subscription fee. As a result of Disney's new streaming service, Disney removed all of its titles from Netflix. Therefore, Netflix is interested in determining the best types of content—movies and/or series—to maintain and grow its subscription base. Netflix can use its proprietary data of customer streaming information to gain insight into this issue, since Netflix knows what content people are watching and when they watch it. Netflix's desire to determine the best type of content to offer in order to maintain and/or grow its subscription base is an example of a _______.

marketing research objective

GameStop operates more than 5,800 retail stores across the United States and 14 countries. It offers a free PowerUp Rewards program that allows customers to earn points and discounts on purchases. Customers can also pay $14.99 per year for a Pro membership that offers additional benefits. More than 55 million people are members of GameStop's Rewards program, providing the company with lots of information about each member's purchasing history, such as the types of products purchased, amount spent per transaction, frequency of shopping, equipment trades, and returns. Which of the following terms best characterizes the information that GameStop owns related to its PowerUp Rewards program?

Secondary data

Yasmin works for Bath & Body Works as a category manager. She is interested in identifying the types of products that are typically purchased as gifts, as well as determining how much Loyalty Rewards Members typically spend on gifts. She consults with a database specialist at the company and learns that, unfortunately, this information is not available as part of the information captured related to transactions or purchase history, because Bath & Body Works is not currently capturing whether the purchase was for the customer or a gift. Yasmin has encountered a common disadvantage related to secondary data. Which of the following best characterizes the disadvantage related to Yasmin's research problem?

There is a mismatch between the researcher's unique problem and the purpose for which the secondary data were originally gathered.

Buckle, a retailer of jeans and fashion clothing, is considering expanding further into related product categories, and the company is interested in conducting research to understand the current shopping habits of customers and how much time they spend in the store. Buckle is planning to use an outside marketing research consulting company to gather data. The research company will record the habits of store visitors, such as the amount of time spent in the store, whether a purchase is made, which categories of products are browsed or purchased, and the role of the salesperson, as well as the number of people in each shopping group and the composition of those groups (e.g., family members, friends). This is a labor-intensive project, but Buckle believes it will provide the insight needed to make decisions on product line expansions. Which of the following is the best research method for Buckle's research consultant to employ?

Observation research

Ida is a category manager for a men's fragrance company. She is interested in learning more regarding how men make decisions about buying cologne or aftershave. She has spoken with several marketing research vendors and has learned that _______ is the most popular technique for gathering primary data.

survey research

Albertsons operates more than 400 grocery store locations across the country. The chain is interested in determining the category of product that is best suited to promotions at end-of-aisle displays. Albertsons selects 25 stores in different geographic areas and varies the types of products it features for two different end-of-aisle displays in each store. Albertsons measures the sales for each product category tested and compares the sales during the end-of-aisle display promotion to the baseline sales. Using this comparison, Albertsons can determine whether any change in sales was observed as a result of the promotion. Which type of research method did Albertson's use?


American Express has millions of customers who carry its credit card. It is interested in learning more about its customers' perceptions of the many benefits and partner companies associated with American Express, so it is launching a research study. The company plans to use a _______ sampling method in which each person who has an American Express credit card has a known statistical likelihood of being selected to participate in the study.


Miguel receives a survey from Gillette about his shaving frequency, and whether he uses an electric razor. Miguel responds that he shaves twice a day with a normal razor, although in truth he only shaves four to five times per week. This is an example of _______ error.


Chili's is a large restaurant chain that now offers patrons the opportunity to order and check out using a kiosk at their table. Customers have the option to rate their experience as they checkout and pay. Chili's uses this experience survey to ask about diners' experiences with the restaurant, such as the friendliness of the staff, quality of food, restaurant ambiance, and the customers' likelihood of dining with Chili's again. The survey also gathers the specific store location where the consumer dined to enable the company to identify high- or low-performing restaurant locations. Identification of high- or low-performing locations helps Chili's act quickly to take corrective adjustments when necessary. This highlights an important advantage of online surveys, which is _______.

real-time reporting

Harley-Davidson enjoys an almost cult-like following for its motorcycles. Most Harley buyers are members of the Harley Owners Group, or HOG. The company offers a variety of benefits to HOG members, including special rides featuring celebrity owners such as Jay Leno and tie-ins to movies using Harley motorcycles. HOG also presents a unique opportunity for Harley-Davidson to gather marketing research insights. The company has recruited several thousand members to participate in ongoing research activities where participants receive gifts such as special shirts or hats for their cooperation. Members typically agree to participate for one year. Members interact with each other and answer company-directed questions via a custom-designed website. This is an example of a(n) _______.

online research community

The College Board is interesting in gaining insights about students' changing needs and the type of information that would be helpful to them as they make decisions about which college to attend and which areas to study. To accomplish this, the organization hires a marketing research consultant who recommends a(n) _______. The research firm will identify individuals in their database who are high school sophomores or juniors who have taken the PSAT test. Students will be recruited to participate in a web-based discussion forum that will be led by a moderator. The look and feel of the web-based platform is like a chat room, so all participants can see all questions and all responses. The information is captured by the research firm and is available for review and analysis. Typically, individuals only participate in a single discussion session.

online focus group

The Coachella Valley Music and Arts Festival is an annual event held at the Empire Polo Club in Indio, California. The festival organizers are interested in capturing participant reactions and perceptions of the food vendors. They invite concertgoers to register their mobile phone numbers and then send surveys to attendees via their phones. During the last festival, more than 35 percent of attendees participated in the research. This example highlights that mobile research offers the advantage of _______.

increased response rates

The executive producers of a major motion picture are interested in gauging reactions to several different versions of movie previews prior to the movie's release to theaters. A marketing research firm recruits participants who meet the target market characteristics of the movie's intended audience. The firm sends the participants different versions of 15-second or 30-second movie trailer advertisements. Following the viewing of the advertisement, participants answer several questions and indicate their likelihood of seeing the movie in the theater. The ability of the research firm to provide video as part of the research activity highlights which important advantage of mobile research?

Immediate feedback

Riko is a marketing director with Uniqlo, a fashion brand based in Japan. She is interested in gathering shoppers' perceptions of the brand and its stores, as well as identifying how Uniqlo compares to its competition. She is reviewing proposals to obtain feedback from 1,000 customers. One firm recommends using a web-based survey that will cost $50 per completed survey. A second firm recommends telephone surveys costing $100 per completed survey, and a third firm proposes mobile research at $25 per completed survey. Riko is surprised to see that mobile research offers the advantage of _______.

cost savings

Consumer packaged goods companies such as Procter & Gamble rely on supermarket purchasing data compiled by companies such as SymphonyIRI to understand how their products are selling, in what quantities, and in which package sizes. In addition, they can obtain data about price points, whether consumers utilized coupons, or information about other in-store sales promotions. SymphonyIRI provides _______ data to consumer goods manufacturers.

scanner-based research

Aisha is a marketing researcher who is using a new methodology to understand consumer decision-making. Her research involves using an MRI machine to examine the brain patterns of participants. She recently played different types of music such as classical, pop, rock, and rap music to identify the areas of the brain that were activated by the music. This is an example of _______.


Frito-Lay has been analyzing sales data compiled by a third-party company and has noticed that sales of baked varieties such as Baked Cheetos and Baked Lay's potato chips are higher in suburban markets compared to urban grocery outlets. This information will assist Frito-Lay in their individual store planning sessions as account managers meet with store managers to discuss inventory and stock positions. The information Frito-Lay is utilizing is called _______.

scanner-based research

L.L. Bean is a well-known outdoor clothing and recreation equipment company based in Maine. It uses catalogs and its website to entice customers to make a purchase. Once customers purchase, they are placed in the customer database, and then the company follows and tracks their interactions. Clara is vice president of online marketing and has asked the database manager to identify those customers who have the highest dollar spend within the last year. She is specifically interested in knowing how many customers spend more than $2,000 a year with L.L. Bean. Which step of the customer relationship management system best characterizes Clara's request to the database team?

Identify the best customers.

JELD-WEN is a manufacturer of doors and windows that are sold through home improvement stores such as Menards, Home Depot, and professional building contractors. JELD-WEN uses a customer relationship management system to track customer interactions. For example, JELD-WEN recently completed a study of its professional contractors and identified three distinct segments of contractors based on their purchase habits. The company will share this information with different divisions within JELD-WEN. Which step of the customer relationship management system best characterizes JELD-WEN's actions of sharing the information with different divisions within the firm?

Leverage customer information.

American Eagle Outfitters offers its own credit card and encourages shoppers to apply for a card by offering a 15 percent one-time discount when they open an account. Thereafter, American Eagle tracks customer purchases using the credit card as part of its customer relationship management system. Upon application, credit card holders provide basic information such as their names, addresses, e-mails, phone numbers, and employment information. Which step in the customer relationship management process is highlighted by this example?

Identify customer relationships.

Sherwin-Williams operates retail outlets that provide paint and supplies to end-user consumers or the "do-it-yourself" market, as well as to painting contractors in the commercial sector. In addition, each store has outside sales representatives who work with facility managers and who will ideally gain their commitments to purchase paint from Sherwin-Williams. The paint industry is very competitive, and Sherwin-Williams competes with a variety of other retail outlets specializing in paint, as well as big box stores such as Menards or Lowe's. Recently, Sherwin-Williams used a web-based survey to identify consumer perceptions of the Sherwin-Williams brand in comparison to other brands. This resulted in consumer insights about how Sherwin-Williams compares to other key brands or competitors. Sherwin-Williams plans to utilize these insights to improve its products, store offerings, and services to enhance customer satisfaction and loyalty. The information provided by this research endeavor is an example of _______.

competitive intelligence

According to the text, competitive intelligence becomes decision-making intelligence _______.

when it has implications for the organization

Marketing research is the process of __________ , __________ , and __________. data relevant to a marketing decision. It provides __________ with data on the effectiveness of the marketing mix.

planning ; collecting ; analyzing ; decision-makers

A graph showing historical sales trends for the company would be an example of ______, while a three-year sales projection for a product the company is about to launch would be _______.

descriptive research; predictive research

Before a marketing research project can be designed, you must first _______.

identify the problem/opportunity

The marketing research problem _______.

involves determining what information is needed and how it can be obtained

Data previously collected for any other purpose than the specific research project at hand is _______.

secondary data

Which of the following are examples of primary data? (Select three)

1. Focus groups2. Ethnographic research3. Surveys

Sending out a questionnaire to determine which product features consumers prefer is an example of which type of primary research?


A questionnaire of car owners asks, "What do you like most about your car?" What type of survey question is this?


A questionnaire of car owners asks, "On a scale of 1 to 10 (with 10 being most important), how important is gas mileage when deciding which car to buy?" What type of survey question is this?


If a researcher needs a sample that is representative of the population they are studying, they will utilize a _______.

probability sample

There are multiple types of probability samples. In a _______ , every member of the population has an equal chance of selection. In a _______ , members of a population are selected in preset intervals.

simple random sample ; systematic sample

Which type of sample makes little attempt to get a representative cross section of the population?

Nonprobability sample

At which step in the marketing research process do you interpret and draw conclusions from the information you've collected?

Analyze the data

After collecting and analyzing the data, what is the next step in the research process?

Preparing and presenting the report

Which survey method involves a business hiring a firm that facilitates an online group discussion and delivers a recap of the discussion?

Online focus groups

Which survey method allows users to create a survey and distribute it to their own audience through email, their website, or social media?

Web survey systems

Which of the following statements is true?

Mobile surveys have higher response rates than paper surveys.

Which of the following are characteristics of mobile research? (Select three)

1. Immediate feedback2. Increased response rates3. Richer content collection

Scanner-based research gathers information _______.

from consumers about the promotions and pricing they are exposed to and the things they buy

A supplier of scanner-based research _______.

collects checkout scanner data and aggregates it for analysis

Marketing research may not be needed if you are _______.

entering a stable market that is well-understood by the company

The customer relationship management (CRM) cycle _______.

allows companies to identify their most profitable customers

A company's customer relationship management (CRM) cycle and CRM system _______.

provide built-in marketing research for the company

Competitive intelligence helps managers assess _______.

their competitors

Competitive intelligence can come from which of the following sources? (Select three)

1. Industry experts2. Salespeople3. Suppliers

Many vendors at fairs and conventions use Square point-of-sale (POS) terminals to accept credit card payments. If their sales decrease, the demand for the improved POS terminal will also decrease because of _______ demand.

Individuals or couples who own their own home, needing to purchase new or replacement furniture and appliances, with the disposable income or access to credit to afford new items, and a desire to purchase

Petco provides products and services for individuals who own pets. Petco might use _______ to tailor marketing mixes to meet the needs of specific customers such as those who own cats, dogs, fish, birds, or other animals.

market segmentation

Often Running is a retail store that caters to individuals who enjoy running and walking. However, the store understands that not all individuals are the same, and many may share one or more characteristics that lead them to have similar product needs. For instance, runners participating in high school or college track teams may need several different types of shoes for training, including running shoes, indoor track shoes, and outdoor spike shoes. The group of runners who are members of a track team would represent a market _______ to the business.


FitNFantastic is an independently owned CrossFit fitness studio, and it is currently struggling to identify its market opportunity. The owner, Badara, received his degree in sports physiology but has never taken any business courses. He's recently been doing some research about market segmentation and learned that if he were to adopt a marketing segmentation strategy, his business might benefit. Which of the following is one of the benefits for firms that use market segmentation?

Market segmentation helps marketers define customer needs and wants more precisely.

Recently, there has been a growth in assisted living centers across the United States as the number of adults aged 65 and older increases due to individuals living longer. This phenomenon indicates that companies that choose to develop senior living centers can be assured that this market segment meets the criterion of _______, meaning that it is large enough to warrant developing and maintaining a special marketing mix.


The Western Store is a retail outlet that specializes in western-style boots, jeans, shirts, and hats. The business frequently uses radio advertising on country radio stations, Pandora, and Spotify. In addition, The Western Store sponsors several high school students who compete in rodeo competitions. The store has about 3,000 followers on Facebook and Instagram. This information indicates that The Western Store's targeted markets are _______ and able to be reached via promotions and social media.


Christina is considering expanding her women's fashion boutique to include clothing for expectant mothers. However, she's concerned about whether her geographic market has enough women who are pregnant to justify her expenditures. Furthermore, she's heard that the birth rates are down across the United States. Which criterion for successful segmentation is of most concern to Christina?


Maui Jim is a manufacturer of premium sunglasses. It is considered a top brand. The glasses are sold directly through the company's website and resellers such as Sunglass Hut. The company's website features a browsing menu titled "Activity" where customers can shop the sunglass line by activities such as golf, fishing, running, hiking, tennis, and water sports. Maui Jim is using these activities as a segmentation approach to appeal to customers who enjoy these various activities by providing specific models of sunglasses to "fit" each activity. Maui Jim is using _______ segmentation by focusing on consumers' active lifestyles.


Rogers and Hollands, a jewelry store chain, is often based in shopping centers. The chain primarily promotes engagement rings and wedding bands to couples who are seeking rings as an outward sign of their relationship commitments. This is an exciting time for couples, and Rogers and Hollands enjoys working with couples to find just the right ring to fit their budgets and style preferences. The focus of Rogers and Hollands on the engagement and wedding ring market exemplifies its use of _______ segmentation.


Eddie Bauer has 275 store locations across the United States. It utilizes a sophisticated, data-driven approach to identifying the styles and selections that each of the stores will offer, dividing the country into eight distinct regions such as the west coast, west north central, east north central, and south Atlantic. Each region contains two or more states; for example, the west south-central region includes Texas, Oklahoma, Arkansas, and Louisiana. Eddie Bauer believes each state within a region is relatively similar in terms of climate, so the chain can determine styles that are best suited to those temperatures and weather patterns. For example, those living in the northeast or midwest would have a greater need for winter parkas than consumers in the west or east south-central regions. Based on this example, Eddie Bauer is using _______ segmentation.


L'Oréal, a beauty brand, offers a variety of powders and liquid foundation for women with different skin tones. The company's website offers guidance to women to help them assess their skin color—from fair, porcelain skin to a deep, dark complexion. L'Oréal is utilizing _______ segmentation by offering a range of products to meet the needs of all women and diverse ethnic backgrounds.


Prisha is an avid music fan. She enjoys attending music festivals in her local city as well as around the country. Her favorite festival is Lollapalooza, held each summer in downtown Chicago, Illinois, but she's also traveled to Austin, Texas, for the South by Southwest festival. Prisha is always surprised to see so many companies with booths and representatives who are interested in interacting with concertgoers, but she assumes it's a great way for them to connect with younger customers like herself who are between the age of 18 and 30. Companies like State Farm, a leading property and casualty insurance company, believe that the best way to create relationships with customers is to join them in activities they enjoy. Which type of market segmentation best captures this combination of age and interest in contemporary or alternative music?


Ren is a business development consultant for a solar energy company. The company is seeking to expand its business with commercial accounts. Ren typically works in the education market specializing in smaller school districts where he can meet with the superintendents and school board to discuss the benefits of utilizing solar power. Ren's market segment would be categorized as a(n) _______.


Caterpillar is a manufacturer of heavy machinery that is sold through its network of dealers around the world. A popular Caterpillar product is the skid steer loader, which is commonly used in general construction, agriculture, and landscaping. Segmenting Caterpillar's skid steer loader customers by industry enables it to better satisfy customer needs by matching its product and available attachments to the industry focus of the customer. Caterpillar is using _______ as a segmentation variable.

product use

Aetna Insurance is a dominant provider of health insurance, and it contracts with businesses to offer employee health insurance. Aetna typically relies on standard segments of business customers based on the number of employees working at the firm. Small businesses are those with fewer than 100 employees; medium-sized businesses employ 101 to 999; and large enterprises have 1,000 or more employees. Aetna's segmentation is based on company _______.


Which of the following statements regarding market segmentation is true?

There are no scientific procedures for selecting appropriate segmentation variables when choosing a basis for segmenting the market.

Fastenal is a distributor of industrial tools and supplies. It operates more than 2,000 branch locations across the country. It focuses primarily on the business-to-business market and has identified several distinct markets to target: 1) smokestack industrials, 2) modern warehouse, 3) mom-and-pop services, and 4) white-collar industrial. These descriptors help Fastenal's account managers to create a unique message and product or service appeal to the distinct market segments. According to the text, at which step of the market segmentation process are segment descriptors determined?


The Good Sleep Hotel chain offers a simple solution to individuals who need to purchase one or more nights away from home—a good night's sleep! The company has one style of room, all with the same amenities, size, and ability to accommodate up to four people with two queen-size beds. Good Sleep Hotel believes that everyone deserves a restful night away from home. Focusing on this simple need enables the company to reduce its marketing expenditures and costs associated with offering different types of rooms such as singles or suites. The Good Sleep Hotel chain is using _______ targeting.


The purchase of health and beauty aid products can be overwhelming due to the number of choices. For example, Procter & Gamble offers its Old Spice brand for men, Head & Shoulders for individuals needing dandruff control, and Pantene Pro-V formula that "transforms your hair by making it stronger." Procter & Gamble utilizes a unique marketing mix for each brand of shampoo, giving the company many benefits such as greater sales volume, higher profitability, larger market share, and economies of scale in manufacturing and marketing. Procter & Gamble is using _______ targeting.


Dell is a technology manufacturer and marketer best known for its computers. In the laptop category, Dell offers several branded options: XPS, a premium model; Alienware Gaming, for the most up-to-date gaming features; Inspiron, satisfying basic computing needs; and Chromebook, as a budget model. Dell uses a different marketing mix for each model in order to specifically target customers whose needs "fit" or "match" the features provided by the laptop. Which type of segmentation strategy is Dell using to market laptops?

Multisegment targeting

LUS Brands is based in Canada. The company was founded by Sahar Saidi, who is the ultimate "curly girl." Over the years, she had tried every hair care product on the market for curly hair and was always disappointed. She decided to create her own formula. After years of research and development, Sahar created shampoo, conditioner, and styling cream for women with curly hair. LUS Brands is using a(n) _______ targeting strategy.


Pasua is an Amazon Prime member who appreciates the convenience and flexibility of ordering products from Amazon. She typically shops using the Amazon app on her phone. Pasua is always amazed how Amazon's suggestions of products she might like are so on-point. She frequently purchases one or more of Amazon's "recommended for you" items as impulse purchases. Amazon is using _______ as a targeting tool based on its ability to track interactions with customers.

customer relationship management (CRM)

Which of the following statements is true regarding trends that are leading to the continued growth of customer relationship management as a tool for targeted marketing strategies?

Consumers will demonstrate loyalty to companies and brands that have earned their loyalty and that reinforce that loyalty at every purchase occasion.

The Dollar Store has created a unique following of budget-oriented shoppers by offering products priced at $1 and up. It is considered a "value" store where customers can buy generic and brand-name items at deep discount compared to full-service grocery retailers such as Kroger or Meijer. The Dollar Store is using _______ as a positioning base to differentiate its stores from its competition.

price and quality

JCPenney, a U.S.-based retail chain of 870 stores, is more than 110 years old. Since its first days as a single store location in Wyoming until today, it has experienced many transformations. The store has made changes in inventory, advertising messages, and store design to appeal to an ever-changing customer base. In recent years, JCPenney has been using a _______ strategy and now advertises that "We're always helping you find amazing deals on all your favorite items." Thus, JCPenney is attempting to change consumers' perceptions about its stores in relation to its competitors.


A market segment _______.

is a subgroup of people or organizations sharing one or more characteristics that cause them to have similar product needs

A market must have which of the following characteristics? (Select three)

1. Needs and wants2. People or organizations3. The ability and willingness to buy

Market segmentation helps marketers _______.

define customer needs and wants more precisely

A market segment that is large enough to justify its own marketing mix is said to be _______, while a market segment is _______ if marketers can reach members of the segment with customized marketing mixes.

substantial; accessible

A market segment is _______ if marketers can distinguish who is in the segment through demographic information or geographic location.


The characteristics of consumers and organizations that marketers use to divide a market into segments are known as _______.

segmentation bases

Walgreens stores in warmer, sunnier parts of the country might dedicate more shelf space to sunscreen, while stores in colder areas might dedicate more space to gloves and hats. This is based on which geographic variable?


Carrying different recreation products in stores in different parts of the country is based on which geographic variable?


Demographic segmentation uses which of the following bases?

1. Income2. Family Life Cycle3. Gender

_______ focuses on the attributes that consumers seek and what they expect to receive from a good or service.

Benefit segmentation

Companies that use frequency/loyalty programs hope that consumers purchase more of the product or service. This is an example of _______.

usage-rate segmentation

A person's traits, attitudes, and habits are part of their _______.


Business customers who consider numerous suppliers (both familiar and unfamiliar), solicit bids, and study all proposals carefully before selecting one are called _______.


If a company wishes to better compete on price and service, it should consider segmenting its business market on which basis?

Geographic location

When marketers look at the segment size, expected growth, and sales and profit potential, they are in which step of the market segmentation process?

Profile and analyze segments

Marketers should monitor their chosen segments _______.


When a company uses a single marketing mix to target all customers, it is utilizing _______.

undifferentiated targeting

An advantage of the _______ strategy is the firm may have a competitive advantage over other firms trying to reach multiple markets.

concentrated targeting

When a company targets several different market segments and creates a different marketing mix for each segment, they are using _______.

multisegment targeting

Which of the following is not a trend that will lead to the continuing growth of CRM as a targeting tool?

Cost savings

A positioning strategy that focuses on personality or type of consumer is using a _______ positioning base.

product user

A positioning strategy that positions the product as being associated with a particular category of products is using a ______ positioning base.

product class

A _______ is a way to display or graph, in two or more dimensions, the location of products, brands, or groups of products in customers' minds.

perceptual map

When a company changes consumers' perception of a brand in relation to competing brands, they are ______ the product.


Kendra is a sales representative for Dell Computers. She is primarily responsible for marketing Dell products to buyers in the educational market who will use the equipment as part of their jobs related to teaching or administrative work for the school, district, college, or university. Which of the following individuals would NOT be one of Kendra's potential customers?

Students purchasing computers through the university's technology service

Which of the following is an example of a business product?

Crest selling sample-size toothpaste to a dentist who will distribute the product to his or her patients

Stepan Chemical produces chemicals that are sold to consumer product manufacturers, such as Procter & Gamble, as raw materials in the manufacturing processes to create shampoos and detergents. Stepan's chemicals are known as _______ products.


McKinsey is a consulting company that offers services to a variety of industries and issue areas. Its website includes a variety of publications such as white papers and case studies that provide readers with a glimpse of McKinsey's capabilities. The case studies and white papers are an example of _______ marketing.


Kalani is a sales representative with Sherwin-Williams, a paint company that markets coatings and materials to contractors, facility managers, and other business accounts. She often uses LinkedIn, a social media platform, to network with other business professionals and to identify individuals who have the job titles such as facility manager, director of operations, and paint contractor in her geographic territory. Like other business-to-business professionals, Kalani is using LinkedIn as a tool to _______.

gather leads and prospect for new customers

Jarrell is the digital marketing manager for Grainger, a company selling tools, fasteners, and other items via its web-based catalog to business customers including manufacturers, automobile dealerships, and automotive service companies. He uses a blog to post case studies showing how customers are using Grainger products and provides a link to the products in the online catalog. He's then able to monitor and measure the _______ rate to identify how many customers actually click on the links, and whether or not a purchase is made. Jarrell enjoys the opportunity to track customer behavior and knows his role makes an important impact to Grainger's revenue and profitability.


Sapporo Brewery, Nissan, Yamaha, and Canon are all Japanese firms that are united under one conglomerate called a _______, defined as a network of interlocking corporate affiliations.


According to a recent publicity announcement, "Walgreens Boots Alliance Inc. (WBA) and Microsoft Corp. have joined forces to develop new health care delivery models, technology, and retail innovations to advance and improve the future of health care. The companies will combine the power of Microsoft Azure, Microsoft's cloud and AI platform, health care investments, and new retail solutions with WBA's customer reach, convenient locations, outpatient health care services, and industry expertise to make health care delivery more personal, affordable, and accessible for people around the world." This is an example of a _______.

strategic alliance

Grubhub, a company providing delivery of restaurant menu options, and YUM! Brands, the corporate owner of Taco Bell and KFC, announced a strategic partnership. Grubhub will be an exclusive national partner to YUM! by providing dedicated support for KFC and Taco Bell. Grubhub will provide branded online delivery channels, logistics, last-mile support for delivery orders, and point-of-sale integration to streamline operations. In addition, KFC, Taco Bell, and Grubhub will engage in joint marketing initiatives that will generate new diners and drive order frequency for existing diners. A key element of the alliance between Grubhub and YUM! Brands will be the level of confidence each partner has about the other partner's reliability and integrity. Thus, maintaining _______ is critical to the success of this strategic alliance.


On its corporate website, LG states, "We create consumer electronics, appliances, and mobile devices designed to help you connect with those who matter most. Whether that means cooking a nutritious, delicious meal for your family, staying connected on-the-go, sharing your favorite photos, watching a movie with your kids, or creating a clean, comfortable place to celebrate the moments that matter, we'll be there for you every step of the way." The company also highlights its major product categories such as mobile phones, kitchen appliances, televisions, laundry machines, and vacuum cleaners. According to the text, LG would be classified as a(n) _______ type of business customer.


Katie is the marketing director for a local office of the Komen Foundation, a non-profit organization that advances research and treatment options for individuals with breast cancer. Katie often makes purchases of supplies, marketing materials, and branded merchandise for events such as the Race for the Cure. Which type of business buyer is the Komen Foundation?


Kyrin is the information technology director for the police department in Newburgh, Indiana. She is responsible for purchasing and maintaining all technology-related equipment and services for the department including computers, printers, body cameras, in-car video devices, servers, and networking equipment. She often buys from CDW, a technology-related firm, and appreciates the opportunity to work with dedicated account executives who are experienced in assisting _______ accounts like the police department.


CDW is a technology-related firm based in Chicago. The company maintains a dedicated salesforce of account executives who are organized into a variety of divisions to primarily serve their business customers. CDW purchases equipment from manufacturers such as Dell, Asus, and Microsoft that is then sold online or via inbound or outbound telemarketing. CDW is classified as a(n) _______.


According to the _______, an industry classification system, the United States has 860,701 business entities in category "72," which is described as "accommodations and food service." The classification system enables business marketers to analyze, segment, and target markets.

North American Industry Classification System (NAICS)

Cintas is a company that provides business owners with items such as floor mats, cleaning supplies, custom apparel, and fire protection solutions. It is a dominant provider to many industries including category "721191"—the bed-and-breakfast inn category—that, according to the _______, has approximately 18,014 businesses.

North American Industry Classification System (NAICS)

Trevor is a marketing manager for Hormel Foods. He typically works with businesses in the hospitality and institutional markets. He's moving to a new territory and is interested in identifying the market opportunity or potential number of businesses that match his target customer specifications. Which of the following would be the most useful source to assist Trevor in this endeavor?

North American Industry Classification System (NAICS)

Kalani is an account executive with a medical device company that sells sophisticated camera equipment used in surgical procedures such as knee and hip surgery. Therefore, she primarily works with orthopedic surgeons and hospital surgical departments to promote her company's products. Kalani's territory includes five counties in the southwestern part of Tennessee. Kalani can easily visit each customer account once a month to maintain contact. What is the primary difference between business markets and the consumer markets described by Kalani's customer accounts?

Business markets are comprised of fewer customers than consumer markets.

The Florida Citrus Growers organization has been concerned with a recent decline in orders for oranges by companies such as Tropicana that produce orange juice. Orange juice has been purported to have high levels of sugar, and many families are limiting the quantity of fruit juices consumed in their homes. Therefore, the demand for oranges can be classified as _______.


Levi is a supply chain manager for Moroccan Oil. This company makes hair care products such as shampoo, conditioners, and styling products. He is primarily responsible for purchasing the various ingredients that are used in manufacturing the company's products and must also work collaboratively to determine formulations, pricing, delivery schedules, and payment terms. Levi uses persuasive communication skills to create outcomes that result in lower prices or higher profit margins for Moroccan Oil. It's a complex process that demonstrates how the _______ is a key differentiator between consumer and business firms.

type of negotiations

OfficeMax is a retailer that provides consumable products such as paper, pens, boxes, ink cartridges, and envelopes to both consumer and business markets. Business purchasers such as Lincoln Memorial Hospital typically use an intranet, a customized web-based platform to order products needed for the hospital or connected physician office facilities. The type of business products mentioned that are offered by OfficeMax to its business customers are classified as _______.


Marc is the owner of Marc's Auto Service, specializing in imported automobiles. He typically orders parts needed to repair customers' cars from NAPA Auto Parts. NAPA can deliver to Marc's business, and if he orders a part by 8 a.m., he usually receives it by lunchtime. Marc appreciates the ability to get exactly the right part for each vehicle's make and model. These items might include oil filters, radiator hoses, belts, or light bulbs. The products Marc orders from NAPA would be classified as _______.

component parts

Jim Beam White Label bourbon is made from a recipe that is more than 200 years old. The ingredients include corn, rye, barley malt, and natural Kentucky water. The corn, rye, and barley malt arrive at Jim Beam's manufacturing facility in their natural forms as whole grains. These items are fermented using a yeast strain kept alive by Jim Beam since the end of Prohibition. Next, the company distills the mixture twice prior to aging the final product for four years in new, charred, American oak barrels. Some believe it is the best-tasting brand of Kentucky straight bourbon whiskey in the world. According to the text, how would the ingredients of corn, rye, and barley malt be classified?

Raw materials

Rodney is an account executive with Canon Business Solutions and works in Cleveland, Ohio. He typically serves accounts located in the downtown business district and specializes in larger businesses such as investment firms, law offices, and banks. His first goal when prospecting for new customers is to introduce himself to the business receptionist and try to gain some information about the type of equipment the company is currently purchasing and where it buys items such as copy machines or printers. However, the receptionists can be tight-lipped and often are not willing to provide any information to Rodney. Which role in the buying center are receptionists performing?


Jaray is a chemist and responsible for new product development in the agriculture division of Syngenta. He is developing a formula for an herbicide that can be used to control weeds but is also natural and has no harmful chemicals. Jaray is seeking to collaborate with his chemical suppliers, including Dow and Stepan, to get samples of their naturally formulated surfactants to use in his herbicide. Ultimately, Jaray will decide which formulation is best and identify the one or two brands that meet Syngenta's specifications. Jaray is performing the role of _______ as a member of the buying center.


Christina is a supply chain professional for Panera Bread. She is responsible for negotiating prices for various ingredients such as yeast, flour, spices, and sugar that are utilized in the making of the bread products that are created prior to distribution to company-owned or franchise stores. Christina works with the manufacturing team to schedule product deliveries and to order sufficient quantities to meet the weekly demand schedule. Christina places orders for the needed items based on the projected demand for that week. Which type of buying situation best describes Christina's process?

Modified rebuy

Business products are different from consumer products in that business products _______.

are used to manufacture other goods or services, to help an organization's operations, or resold to consumers

The goal of content marketing is to ______.

attract and retain a clearly defined audience and drive profitable customer action

Marketers measure the effectiveness of marketing campaigns through which of the following?

1. awareness2. engagement3. conversion

In a strategic alliance, _______ and _______ are necessary.

commitment; trust

_______ is a network of interlocking corporate affiliates important in Japan.


Hospitals, colleges and universities, and museums fall into the ______ category of business customers.


Which category of business customers accounts for the largest volume of purchases in the United States?


Retailers and wholesalers are part of the _______ category.


Which category of business customers include all individuals and firms that acquire products to support, directly or indirectly, the production of other goods and services?


The first two digits of a NAICS code designate the _______.


The NAICS is a system for classifying businesses _______.

in North America

The more shared digits companies have, the more _______ they are.


Derived demand means _______.

there is a linkage between the demand for a company's output and its purchases of resources

When the demand for one business product is related to the demand for another business product used in combination with the first item, _______ occurs.

joint demand

When considering distribution structure and how business markets and consumer markets differ, business markets have _______ , while consumer markets have _______ .

relatively short, direct channels ; longer channels that may involve producers and wholesalers

Portable tools and office equipment would be categorized as _______.

accessory equipment

Component parts _______.

are either finished items ready for assembly or products that need very little processing before becoming part of some other product

Unprocessed extractive or agricultural products, such as mineral ore, lumber, wheat, and corn would be categorized as ______.

raw materials

Supplies are _______.

consumable items that do not become part of the final product. Paper and pencils are examples of supplies

In the buying center, _______ are people who affect the buying decision by supplying information to guide the evaluation of alternatives or by establishing buying specifications.


In the buying center, the decider is _______.

the person who selects a good or service to purchase

The three criteria business buyers use to evaluate business products include _______.

quality, service, and price

In a _______, the business buyer reorders the same goods or services without looking for new information or investigating other suppliers.

straight rebuy

Marketing Ch. 19 Overview Assignment, Marketing Ch. 19 Concept Quiz, Marketing Ch. 18 Overview Assignment, Marketing Ch. 18 Concept Quiz, Marketing Ch. 17 Overview Assignment, Marketing Ch. 17 Concept Quiz, Marketing Ch. 16 Overview Assignment, Marke... Flashcard | (1)

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