Prncpes of Marketng Semester Revew

What is Marketing: Choose the correct answer.

___D__1. __________ provdes a means for the exchange process to occur.
(a) seng (b) promoton (c) earnng (d) marketng
___D__2. A __________ s a good or servce that has monetary vaue and satsfes a
customers needs and wants.
(a) consumer s (b) servce (c) good (d) product
___A__3. __________ are ndvduas or companes whch have needs to be met and
have somethng to exchange.
(a) consumer s (b) servce (c) good (d) product
___C__4. A __________ s a tangbe ob|ect that s usefu to customers.
(a) consumer s (b) servce (c) good (d) product
___B__5. A __________ s an act or task performed for a customer for a prce or a fee.
(a) consumer s (b) servce (c) good (d) product
Answer A for true or B for false for each question below.
___T__6. We experence marketng n the newspaper, on the rado, and even at the
grocery store.
___F__7. Havng your o changed by |ffy Lube s an exampe of a good.
___F__8. Marketng heps connect busnesses to ther producers.
___T__9. Marketng can be descrbed as the rght product, n the rght pace, at the
rght tme, and at the rght prce.
___T__10. The functons of marketng add vaue to a product.
Choose the correct answer using the following answer choices:
(A) Form utty (B) Prce utty (C) Pace utty (D) Informaton utty
(E) Tme utty (F) Possesson utty (G) Utty
11. The abty to purchase a new par of shoes wth my Dscover, Amercan
Express, Vsa, or MasterCard s an exampe of ______F_____.
12. Pure hand santzer advertses that ts product "ks 99.99% of germs" on the
botte. Ths s an exampe of _____D_____.
13. Smuckers has decded to produce ther |ey n a squeezabe, shatter-proof
pastc contaner rather than a gass |ar. Ths s an exampe of _____A____.
14. Chck-f-a decdng to be open for busness seven days a week rather than sx s
an exampe of _____E____.
15. |anSport backpacks are sod at Academy, Target, and Wamart stores
throughout the country. Ths s an exampe of _____C_____.
Choose the correct answer using the following answer choices:
(A) Seng (B) Promoton (C) Prcng (D) Product/Servce Management
(E) Fnancng (F) Dstrbuton (G) Marketng Informaton Management
16. ____B______ s any form of communcaton used to nform, persuade, or remnd
customers about a busnesss products or servces.
17._____F_____ s where products are sod and how the products get from the
producer to the consumer.
18. Whch marketng functon heps marketers answer the queston, "What are we
gong to produce or se?" _____D_____
19. _____G_____ s the process of gettng the marketng nformaton needed to make
sound busness decsons.
20.____A____ s provdng customers wth the goods or servces they want.
21. Whch functon of marketng s mportant because t determnes how much
gross proft a busness w make on a product or servce? _____C_____
22._____E_____ s gettng the money needed to fnance the operaton of the
busness.
Free Enterprise System: Choose the correct answer.
___C__23. Whch of the foowng is a roe of the government n our free enterprse
system?
(a) supporter of o (b) dctator (c) reguator (d) provder of goods
___A__24. Whch of the foowng s not one of the basc prncpes of a free
enterprse system?
(a) suppy & demand (b) proft (c) competton (d) rsk
___A__25. After hurrcane IKE, Houstonans had a hard tme fndng gas statons
that were open for busness. Ths s an exampe of __________.
(a) shortage (b) surpus (c) equbrum (d) rsk
___D__26. Recenty, our government has proposed a(n) ___________ pan to hep
Wa Street survve the effects of bad mortgage nvestments?
(a) economc (b) compensaton (c) dumb (d) baout
___C__27. Monopoes are not permtted under a free enterprse economy because
they prevent __________.
(a) rsk (b) proft (c) competton (d) ownershp
___C__28. Ths pan s gong to cost the country _________ bon doars?
(a) 500 (b) 600 (c) 700 (d) 800
___B__29. The Federa Reserve contros __________ n order to manpuate economc
actvty and nfaton.
(a) proft (b) nterest rates (c) Wa Street (d) stocks
___A__30. Prces n a free economc system are determned by __________.
(a) suppy & demand (b) proft (c) competton (d) rsk
___B__31. A __________ encourages ndvduas to start and operate ther own
busness?
(a) payday oan ( b) free enterprse system (c) suppy & demand (d)
rsk
___C__32. Accordng to the aw of demand, f prces are ow enough, demand for a
product usuay __________.
(a) decreases (b) stays the same (c) ncreases (d) none of the
above
___B__33. Cothng stores often order too many products every season and fnd t
hard to se ther entre nventory. Ths s an exampe of __________.
(a) shortage (b) surpus (c) equbrum (d) rsk
___A__34. Last week Ms. Ms taught her students about the economy. The
students earned a ot and proved ther knowedge by makng an "A" on ther exam.
Ths s an exampe of:
(a) equbrum (b) demand (c) proft (d) suppy
___D__35. Customers determne __________ n our economc system.
(a) rsk (b) mortgage rates (c) nterest rates (d) products
Answer true or false for each question below.
___T__36. A target market s specfc group of peope that you want to reach.
___T__37. The answer to ths queston s true.
___F__38. As the potenta for makng more proft decreases, the rsk ncreases.
___F__39. The government does not nterfere at a n our free enterprse system.
___F__40. A surpus s when demand exceeds suppy.
Business & Social Responsibility: Choose the correct answer.
___C__41. Mrs. Cooey, the manager of BerrBends, has set goas to measure the
success of her busness. She understands that n order for her busness to reach
these goas she must make effectve use of her staff, products, and hours of
operaton (resources) through pannng, ______________, and organzng.
(a) seng (b) producng (c) controng (d) pannng
___D__42. Marshas often buys cothes from cothng producers and reses them to
ther customers n ther stores natonwde. In ths exampe, Marshas s a
_____________.
(a) manufacturer (b) producer (c) whoesaer (d) retaer
___B__43. Busness s defned as a of the actvtes nvoved n ______________ and
marketng goods and servces.
(a) seng (b) producng (c) controng (d) pannng
___D__44. Borden owns the and and the cows that they receve ther mk from.
They aso manufacture and create marketng strateges for ther products at the
same ocaton. Bordens actvtes are an exampe of ______________.
(a) whoesang (b) retang (c) organzng (d) producng
___C__45. A arge busness empoys more than ______________ peope.
(a) 10 (b) 100 (c) 1,000 (d) 1,000,000
___A__46. Busnesses ke agrcuture, forestry, fshng, mnng that take somethng
from the earth or sea are caed _______________.
(a) extractors (b) pouters (c) producers (d)
manufacturers
___A__47. The post offce, schoos, and brares are a exampes of ______________
sector busnesses.
(a) pubc (b) prvate (c) proft (d) nonproft
___C__48. K&G Suppy purchased ce cream from Bue Be creameres for $2 a
gaon. They then sod the ce cream to Travs Hgh Schoo for $3 a gaon. In ths
scenaro, K&G Suppy s the ______________.
(a) manufacturer (b) producer (c) whoesaer (d) retaer
___D__49. Gudenes for good behavor, based on knowng the dfference between
rght and wrong and dong what s rght s caed _______________.
(a) moras (b) consumersm (c) managng (d) ethcs
___B__50. After the move Supersize Me debuted n theaters McDonads receved a
ot of crtcsm from ther customers about the unheathy sde effects of fast food.
To combat aganst the negatve press, McDonads temporary dscontnued ther
super sze opton on ther vaue meas and added heather optons to ther menu.
Ths scenaro s an exampe of ______________ n acton.
(a) ethcs (b) consumersm (c) pubc reatons (d) demand
Sales: Choose the correct answer.
___C__51. Durng a recent trp to the grocery store, I purchased the same brand of
toothpaste and detergent I aways use. Ths shoppng experence s an exampe of
__________ decson makng.
(a) extensve (b) mted (c) routne (d) ratona
___D__52. Bran spent 30 mnutes expanng the dfferences between two HDTVs to
a customer. When the customer fnay decded that he ked the Sony teevson
over the Samsung, Bran reped "pease foow me to the regster so that I may rng
ths up for you." Ths s an exampe of
(a) determnng needs (b) presentng the product (c) suggestve
seng (d) cosng the sae
___B__53. Every summer my famy goes on a vacaton. We aways use a trave
agent to hep us make a decson about our destnaton. Ths shoppng experence
s an exampe of __________ decson makng.
(a) extensve (b) mted (c) routne (d) ratona
___C__54. There are ____ steps that a saesperson uses when hepng a customer
make a purchase.
(a) 5 (b) 6 (c) 7 (d) 8
___C__55. After shoppng for a of the tems that were on my grocery st, I decded
to buy a Snckers bar after watng n the ne at the regster. Ths s an exampe of
a _______ buyng motve.
(a) smart (b) mted (c) emotona (d) ratona
___C__56. Before Suze fnshed checkng out a customer purchasng a new par of
sungasses, she asked f she woud ke to purchase ens ceaner for ony $5 more.
Ths s an exampe of
(a) determnng needs (b) presentng the product (c) suggestve
seng (d) cosng the sae
___D__57. Before gong to work ths mornng I reazed that I had no mk, cerea, or
bread. After work, I went to the store to pck these tems up n preparaton for the
next day. Ths s an exampe of a _________ motve.
(a) smart (b) mted (c) emotona (d) ratona
___A__58. Last week I purchased a new car. To hep me make my decson I vsted
the deaershp, read onne revews, and even consuted auto magaznes before I
bought t. Ths shoppng experence s an exampe of __________ decson makng.
(a) extensve (b) mted (c) routne (d) ratona
___B__59. Whch of the foowng s NOT a step of the seng process?
(a) approach the customer (b) gnore ob|ectons (c) cose the sae
(d) present the product
___A__60. After stenng to a customer expan that he was ookng for an
nexpensve brthday gft for hs wfe, |ennfer suggested a new handbag that her
store had on sae that day. Ths s an exampe of
(a) determnng needs (b) presentng the product (c) suggestve
seng (d) cosng the sae
Price Planning: Answer true or false for each question below.
___T__61. A marketers prcng goa s ganng market share.
___F__62. Mk and bread are exampes of eastc products.
___F__63. Return on nvestment s a cacuaton used to determne the number of
saes for a product that a busness nvests n.
___T__64. Doar Genera s an exampe of a busness that uses prce nng.
___F__65. Prce s not one of the 4 Ps of the Marketng Mx.
Choose the correct answer.
___A__66. In the potato chp market, Lays sod $150, 000 worth of products out of
the $950, 000 tota market saes. What s Lays market share.
(a) 16% (b) 17% (c) 18% (d) 21%
___A__67. Prce heps a busness estabsh and mantan a of the foowng except?
(a) marketng (b) proft (c) compettve edge (d) mage
__A__68. When DVD payers were frst ntroduced to the market they were prced at
$200-$300. Ths prcng strategy s an exampe of
(a) skmmng (b) odd-even (c) prestge (d) promotona
___C__69. The break-even pont s when
(a) saes<costs (b) saes>costs (c) saes=cost (d) none of the above
___A__70. The formua to cacuate the break-even pont s
(a) tota amount of cost & expenses/seng prce (b) seng prce/tota amount
of costs & expenses (c) costs/nvestment (d) nvestment/cost
___B__71. The formua for Return on Investment (ROI) s
(a) nvestment/proft (b) proft/nvestment (c) nvestment/seng
prce
(d) seng prce/nvestment
___B__72. Wamart prces Gan at $7.88 for a 64oz botte of detergent. Ths prcng
strategy s an exampe of
(a) skmmng (b) odd-even (c) prestge (d) promotona
___D__73. Two young entrepreneurs, Thomas and Mkey, open a emonade stand n
front of ther house. It cost them 35 cents to make one gass of emonade. They
se the emonade for 50 cents a gass. What s ther ROI?
(a) 33% (b) 35% (c) 41% (d)
43%
___D__74. Lennys Lawn servce expects to mow 25 yards at $30.00 each on
Saturday. It costs $10.00 per yard to pay ther mowers. About how many yards
does Lennys busness needs to cut n order to break-even for the day?
(a) 5 (b) 11 (c) 7 (d)
8
___C__75. Mercedes Benz prces ts automobes 15-20% hgher than the
competton. Ths prcng strategy s an exampe of
(a) skmmng (b) odd-even (c) prestge (d) promotona
Promotion: Answer A for true or B for false for each question below.
___F__76. The four parts of the Promotona Mx are persona seng, advertsng,
seng, and pubc reatons.
___F__77. Advertsng s any nonpad communcaton that tres to nform, persuade,
or remnd a customer about a product.
___F__78. The four parts of the Promotona Mx are product, prce, pace, and
promoton.
___T__79. Busnesses use pubc reatons to enhance the mage of themseves,
ther products, or ther poces.
___T__80. A saes promoton s a short-term ncentve used to encourage a
customer to buy a good or servce.
Choose the correct answer.
___C__81. The Lmted had an n store speca today that dscounted 40% off the
prce of a of ther cothng. Ths s an exampe of
(a) persona seng (b) advertsng (c) saes promoton
(d) pubc reatons
___D__82. Gap reeased a statement about how the company ntends to ncrease
the amount of money they donate to the goba AIDS fund. Ths s an exampe of
(a) persona seng (b) advertsng (c) saes promoton
(d) pubc reatons
___B__83. Coca-Coa has a commerca on teevson durng the hodays that
features poar bears drnkng ther product. Ths s an exampe of
(a) persona seng (b) advertsng (c) saes promoton
(d) pubc reatons
___B__84. Busnesses use __________ promoton to convnce potenta buyers to
purchase ther product over the competton.
(a) nsttutona (b) product (c) saes (d)
creatve
___A__85. Whe shoppng for shoes n Champs, Rcardo showed me severa brands
of shoes, heped me try them on, and even rang up my purchase. Ths s an
exampe of
(a) persona seng (b) advertsng (c) saes promoton
(d) pubc reatons
A!ertising: Choose the correct answer.
___D__86. Whch of the foowng s not one of the ma|or parts of a prnt ad.
(a) mage (b) copy (c) tag ne (d) cost
___A__87. __________ ads are prnted to the very edge of the paper.
(a) beed (b) premum (c) coor (d) creatve
___C__88. Newspapers, magaznes, drect ma, and bboards are a exampes of
___________________ advertsng.
(a) broadcast (b) nternet (c) prnt (d) specaty
___C__89. The man coors used n the four-coor process for magazne ads are
back, magenta, yeow, and __________.
(a) bue (b) pnk (c) cyan (d) senna
___B__90. A dsadvantage of newspaper advertsng s
(a) ow readershp (b) short fe span (c) ow reader nvovement
(d) cost to consumer
___D__91. An advantage of rado advertsng s
(a) ong fe span (b) competton of statons (c) undstracted
drvers
(d) concentrated audence durng "drve tmes"
___C__92. An advantage of onne advertsng s
(a) arge readershp (b) short fe span (c) ts easy to measure t
effectveness
(d) hgh response rates
___B__93 __________ are the agences, means, or nstruments used to convey
advertsng messages to the pubc.
(a) medums (b) meda (c) ads (d) busnesses
___A__94. The ___________ rate aows the newspaper to choose where to run the ad.
(a) run-of-paper (b) open (c) contract (d) dscount
___A__95. Adrenne purchased an ad n the furnture secton of the Houston
Chronce that cost $2 per word to hep her se a bed she no onger needed. Ths s
an exampe of a ____________ ad.
(a) cassfed (b) dspay (c) newspaper
(d) persona
Answer A for true or B for false for each question below.
___T__96. Cost per thousand (CPM) s the cost of exposng 1,000 readers to an ad.
___T__97. Teevson s the utmate advertsng medum because t can
communcate a message wth sound, acton, and coor.
___F__98. Bus advertsng s an exampe of specaty meda.
___F__99. It s estmated that rado reaches ess than 96% of a peope 12 and
over.
___T__100. Rado and teevson are the two forms of broadcast advertsng.