فاينل تست بانك محول

Chapter 4
Market
1) Nike sells sneakers, but it also markets sneakers, using ________ to get its message out to
customers.
A) publicity
B) advertising and publicity
C) advertising
D) coupons
Answer: B
Diff: 1 Page Ref: 130Learning Object.: 4.1 Discriminate between marketing and selling.
AACSB Category: Reflective thinking2
2) Marketing is ________.
A) satisfying customers at a profit
B) the business function that identifies customers and their needs and wants
C) product, place, promotion, and price
D) All of the above.
Answer: D
AACSB Category: Reflective thinking
3) Which business function do experts agree you should focus on first when preparing to
start a business?
A) operations
B) marketing vision
C) financing
D) core concepts
Answer: B
4) A ________ identifies distinctively the goods or services of one organization from others
through a design, symbol, name, term or other distinguishing features.
A) product
B) brand
C) strategy
D) positioning
Answer: B
AACSB Category: Analytical thinking
5) ________ is the business function that identifies customers and their needs and wants.
A) Marketing
B) Advertising
C) Selling
D) Promoting
Answer: A
6) An entrepreneur's market is ________.
A) people who like your product
B) the same as competitors' markets
C) a three square-block area surrounding his or her location
D) the group of people who are current and possible future customers
Answer: D

7) A business that markets is the same as a market-driven business.
Answer: FALSE
8) Explain why marketing is considered the business function that should drive all a
business's decisions.
Answer: Marketing is the business function that identifies a business's customers and their
needs and wants. Through marketing, the name of a business comes to mean something
clear and concrete in the customer's mind. Above all, marketing is the way a business tells its
customers that it is committed to meeting their needs.
9) The most important thing you should do before launching your product or service is
________.
A) thoroughly research the market
B) raise enough capital
C) design your logo
D) hire the right employees
Answer: A
Diff: 1 Page Ref: 130Learning Object.: 4.2 Summarize how market research prepares you
for success.
15) Which of the following aspects of a product/service is the most important to focus on
when selling?
A) benefits
B) features
C) price
D) usefulness
Answer: A
Diff: 2 Page Ref: 140Learning Object.: 4.3 Choose your market segment and research it.
16) Which of the following is a step in determining how customers decide to buy a product?
A) Determine the need it meets.
B) Analyze the buying process.
C) Think about who might actually buy it.
Answer: D
17) Dividing a population on the basis of age, gender, income or education is ________.
A) marketing statistics
B) demographics
C) behavioral data
D) psychographics
Answer: B
18) Consumers who have a similar response to a certain type of marketing can be classified
as a________.
A) market segment
B) target market
C) market
D) small niche
Answer: A

19) Which of the following is not a step in the buying process?
A) awareness
B) demographic analysis
C) information search
D) evaluation of purchase
Answer: B
20) Which of the following is not a stage in the product life cycle (PLC)?
A) Competitive
B) Growth
C) Maturity
D) Decline
Answer: A
21) Dividing the market by purchase behaviors that have been observed is ________
segmentation.
A) demographic
B) behavioral
C) psychographic
D) benefits-sought
Answer: B

22) By teaching customers how to use its products, Home Depot is helping customers see
the ________ of its products.
A) ramifications
B) benefits
C) features
D) utility
Answer: B
27) Understanding the status and trends of an industry can be aided by ________.
A) checking out the internet public library, your local Small Business Administration,chamber
of commerce, or local business school or college library
B) looking for recent articles on the industry in magazines or by using Google or othersearch
engines
C) looking on competitors' web sites
Answer: D
28) The set of four stages that a product or market goes through from its beginning until its
end is called the ________.
A) phases of product maturity
B) product life cycle
C) marketing cycle
D) product stages cycle
Answer: B
29) Market research is typically ________.

A) complete when the product or service is introduced
B) complete within six months after introduction
C) complete a year after product introduction
D) ongoing; you always do market research
Answer: D
30) The product life cycle phases include ________.
A) introduction
B) decline
C) growth and maturity
Answer: D
31) Smart marketers always emphasize ________.
A) benefits, not features
B) features, not benefits
C) benefits, not prices
D) None of the above.
Answer: A
32) The product life cycle compares gross profit to sales as a product/service moves through
its life stages.
Answer: FALSE
AACSB Category: Reflective thinking33) Market research should be an integral part of your
business.
Answer: TRUE
34) Explain the difference between features and benefits and how it applies to sales.
Answer: The features are facts about the product. These facts create the benefits that a
product can provide for a consumer. You might be selling a pan, for example, with Teflon
coating. This feature creates a benefit; food cooked in the pan will not stick and the pan will
be easy to clean. The essence of selling is showing how and why the outstanding features of
your product or service will benefit customers. Smart marketers always emphasize the
benefits, not the features, of a product.
38) Positioning your product in the market involves ________.
A) buying advertising and obtaining publicity
B) distinguishing your product by demonstrating to customers that it is the cheapest in the

market
C) distinguishing your product from others being offered to the market segments you have
targeted
D) moving it to the top in search engine optimizing
Answer: C
Diff: 3 Page Ref: 146Learning Object.: 4.4 Position your product or service within your
market.
39) The positioning statement for a business includes its name/brand, its competitive
industry/category, ________, and audience/target market.
A) features and points of difference
B) benefits or points of difference
C) benefits and similarities
D) pricing and distribution

Answer: B
market.
40) A marketing plan can serve as a stand-alone document or be part of an overall business
plan.
Answer: TRUE
market.

Chapter 3
1) Which of the following is not an element of business definition?
A) the offer
B) the acceptance
C) target market
D) production and delivery capability
Answer: B
Diff: 2 Page Ref: 94Learning Object.: 3.1 Define your business.
2) A target market of every adult in the United States is too ________.
A) narrow
B) broad
C) specific
D) limiting
Answer: B
3) Business definition answers the questions of who, what, and ________.
A) how
B) when
C) why
Answer: A
4) A ________ is a group of people who would be interested in buying a given product or

service.
A) market
B) consumer
C) customer
D) target
Answer: A
5) The business definition has three elements: ________.
A) target market, potential customers, and production capability
B) offer, target market, and production/delivery capability
C) offer, acceptance, and consideration
D) business definition, target market, and market analysis
Answer: B
6) A solid business definition has three elements: 1) the offer, 2) target market, 3)
production and delivery capability.
Answer: TRUE
7) Before you can start your business, you must define it. Describe the questions the
business definition answers and its three elements.
Answer: The business definition answers three questions: Who, What, and How?
a) Who will the business serve? In other words, who is in the market for your product or
service?
b) What will the business offer the customers? What are the products (or services) the
business will sell?
c) How will the business provide the products or services it offers?

What are the primary actions and activities required to conduct this business? For example:
• Buying or developing or manufacturing the product.
• Identifying its prospective customers and selling the product to them.
• Producing and delivering the product or service.
• Receiving payment.
The definition of the business has three elements:
1) The Offer - What will you sell to your customers?
That is called your offer. This includes exactly which products and services you will bring to
the market, and how you will price them.
2) Target Market - Which segment of the consumer market are you aiming to serve? This is
called your target market. Defining your target market in a way that helps you to identify
potential customers is an important factor in achieving success.
3) Production and Delivery Capability - How will you provide your offer to your targeted
customers? This includes how you will perform all key activities required to produce the
product or service, deliver it to your customers, and ensure that they are satisfied.
8) ________ is the core values of an organization in action.
A) Mission
B) Culture
C) Vision
Answer: B
Diff: 2 Page Ref: 97Learning Object.: 3.2 Articulate your core beliefs, mission, and vision.
9) When you start your business your ________ will guide the business operations and
decisions.
A) core beliefs
B) track record
C) guiding light
D) competitive offers
Answer: A
10) Your ________ is a concise communication of your strategy including your business
definition, purpose, and your competitive advantage.
A) target market analysis
B) business plan
C) values statement
D) mission statement
Answer: D
11) Which of the following is not a strong method of identifying business opportunities?
A) Searching through a process of identification and selection beginning with self- developed
(or group-developed) ideas.
B) A person has a talent for making something and decides that he or she should go into
business.
C) Searching through a process of identification and selection starting with research on "hot"
businesses or growth areas.
D) A person has an idea for a product or service and searches for a market.
Answer: B
12) Your company's vision defines the work environment.
Answer: FALSE
13) Which item below is not a competitive advantage?

A) using a new patented manufacturing process that reduces manufacturing costs by 25%
B) offering free samples during a two week promotion
C) consistently providing better customer service than the competition
D) reducing operating costs by 7%
Answer: B
Diff: 3 Page Ref: 100Learning Object.: 3.3 Analyze your competitive advantage.
14) Business definition + competitive advantage is ________.
A) competitive tactics
B) competitive strategy
C) business mission
D) business plan success
Answer: B
15) For a business to be successful, a competitive advantage must be ________.
A) expensive
B) legal
C) sustainable
D) profitable
Answer: C
16) A competitive advantage can be based on any of six factors. Which factor below is not
one of the six?
A) opportunity
B) selection
C) service
D) quality
Answer: A
17) For your business to be successful you will need a strategy for beating the competition,
i.e., your ________.
A) competitive advantage
B) customer analysis
C) target market
D) market analysis
Answer: A
18) In analyzing competitive advantage, you will need to ask three questions. Among these
are:
A) Cost structure - are you at a cost advantage or disadvantage?
B) What is your unique selling proposition? What do you have that competitors cannot or
will not match?
C) Competitive offers - how do you compare with competitors on a feature-by-feature basis?
Answer: D
Diff: 3 Page Ref: 102, 103Learning Object.: 3.3 Analyze your competitive advantage.
19) Entrepreneurs tend to be ________.
A) risk averse
B) negative
C) optimistic
D) dispassionate
Answer: C
20) The six factors of competitive advantage are quality, price, location, selection, service,
and speed/turnaround.
Answer: TRUE
21) Describe the six factors of competitive advantage.
Answer: Competitive advantage comes from one (or a combination) of six factors:
1) Quality - Can you provide higher quality than competing businesses?
2) Price - Can you offer a lower price than your competition?
3) Location - Can you find a more convenient location for customers?
4) Selection - Can you provide a wider range of choices than your competitors?
5) Service - Can you provide better, more personalized customer service?
6) Speed/Turnaround - Can you deliver your product or service more quickly than the
competition?
22) How do you decide if your competitive advantage is strong enough, and give an
example?
Answer:
1) Sell to a market that is large and growing, for example, China or iPods.
2) Sell to a market where the competition is able to make a profit. For example, right now,
the jury is out on whether hybrid cars will be profitable. However, selling the Honda Accord
(the U.S.'s most purchased car) is obviously profitable for Honda.
3) Sell to a market where competitors are succeeding, but they cannot block your entry or
make market entry hard. For example, take your product and sell it at a flea market.
4) Sell a product or service that solves problems consumers have with competitors. For
example, FEDEX offered overnight delivery and began to beat the United States Postal
Service and United Parcel Service.
5) Sell a product or service at a competitive price that will attract customers. For example,
UPS fought back against FEDEX by offering a lower price than FEDEX for overnight delivery.
Diff: 3 Page Ref: 101, 102Learning Object.: 3.3 Analyze your competitive advantage.
23) Briefly describe a product or service idea, e.g., a bookstore, and describe how you might
create a competitive advantage.
Answer: Answers will vary, but the answer should focus on using the following
tactics/elements to develop a unique selling proposition:
a) location,
b) product characteristics,
c) design, and/or
d) price.
The student may well include promotion as well.
24) The cost of selling one unit of a product is called ________.
A) cost of materials
B) cost of goods sold
C) cost of services sold
D) marginal cost
Answer: B
Diff: 3 Page Ref: 107Learning Object.: 3.4 Prepare viability tests using the economics of
one unit.
25) To help determine whether your business will be profitable, calculate the ________.
A) difference between the costs and profits for one unit
B) economics of one unit
C) cost of goods sold
D) marginal cost of one unit

Answer: B
one unit.
26) Total gross profit = ________.
A) profit - cost of goods sold
B) cost of goods sold - total revenue
C) revenue - cost of goods sold
D) revenue - operating costs
Answer: C
one unit.
27) A typical unit of sale for a wholesaler would be ________.
A) one item
B) one dozen
C) a block of time devoted to a task
D) one hour of work
Answer: B
one unit.
AACSB Category: Application of knowledge
28) Average gross profit per customer is ________.
A) average cost of sale - average sale per customer
B) average cost of tangible product - average cost of intangible product
C) average sale per customer - average cost of sale per customer
D) average sale per consumer + average sale per wholesaler
Answer: C
one unit.
29) Total cost of goods sold per unit consists of ________.
A) volume cost + labor cost
B) labor cost - volume discount per unit
C) materials cost per unit + labor cost per unit
D) selling price per unit + gross profit per unit
Answer: C
one unit.
30) Business leaders create wealth by ________.
A) avoiding the cost of hiring employees
B) reducing their gross margins
C) hiring employees in order to sell more units and generate more profit
D) charging high prices to customers
Answer: C
one unit.
31) What is the average unit of sale for a restaurant that serves $3,250 per day in meals to
200 customers per day?
A) $32.50
B) $20.00
C) $16.25
D) $15.84
Answer: C
one unit.
32) If the Foreign Exchange rate between the Japanese yen and the Euro is 190 : 1, how
many yen will equal 10 euros?
A) 1900
B) 100
C) 1910
D) 1901
Answer: A
one unit.
33) The foreign exchange rate is ________.
A) the relative value between one currency and another
B) the rate at which countries do business
C) the relative value between the dollar and foreign currencies
D) the relative value of last year's currency to this year's
Answer: A
one unit.
34) Tray has a T-shirt business that buys shirts from a wholesaler for four dollars each and
sells them to retailers for eight dollars each. He imprints each shirt with a picture of a
musical artist that costs him two dollars. He also pays his cousin to do the printing at five
dollars an hour. La Shawn prints five shirts per hour. A retailer offers to buy 1000 shirts at
seven dollars each. Should Tray agree to the deal?
A) Yes, Tray will make a profit of one dollar per shirt.
B) No, Tray will not make a profit at this price.
C) Yes, Tray will make a marginal profit at this rate.
D) Yes, even though he may lose money he can make up for it in volume.
Answer: B
one unit.
35) Once you know your ________ you can calculate gross profit.
A) cost of goods sold
B) gross cost
C) unit of sale
D) net profit
Answer: A
one unit.
36) The unit of sale for a retailer is ________.
A) a dozen of an item
B) one item
C) one order
D) one hour of time
Answer: B
one unit.
37) The unit of sale for a manufacturer is ________.
A) a dozen of an item
B) one item
C) one order
D) one hour of time
Answer: C
one unit.
38) The COGS and COSS are equivalent mathematically.
Answer: TRUE
one unit.
39) Why is it a good idea to figure out your Economics of One Unit?
Answer: The Economics of One Unit of Sale (EOU) is a method for seeing whether your
business idea might be profitable. The EOU tells you how much gross profit you will earn on
every unit of your product or service that you sell. If one unit of sale is profitable, the whole
business is likely to be profitable, too. On the other hand, if one unit of sale is not profitable,
then no matter how many units you sell, your business will never be successful.
one unit.
40) To determine the value of a business you can use asset valuation. It is a method that
analyzes the underlying value of a business's sales and operating costs as a basis for
negotiating a price.
Answer: FALSE
Diff: 3 Page Ref: 113Learning Object.: 3.5 Calculate the value of a business.

فاينل تست بانك محول

Uploaded by

Document Information

Original Description:

Original Title

Copyright

Available Formats

Share this document

Share or Embed Document

Sharing Options

Did you find this document useful?

Is this content inappropriate?

Copyright:

Available Formats

فاينل تست بانك محول

Uploaded by

Copyright:

Available Formats

Chapter 4

B) advertising and publicity

AACSB Category: Reflective thinking2

A) satisfying customers at a profit

C) product, place, promotion, and price

D) All of the above.

AACSB Category: Reflective thinking

AACSB Category: Reflective thinking

AACSB Category: Analytical thinking

AACSB Category: Reflective thinking

6) An entrepreneur's market is ________.

A) people who like your product

B) the same as competitors' markets

C) a three square-block area surrounding his or her location

AACSB Category: Analytical thinking

AACSB Category: Reflective thinking

AACSB Category: Analytical thinking

A) thoroughly research the market

B) raise enough capital

C) design your logo

D) hire the right employees

AACSB Category: Reflective thinking

AACSB Category: Reflective thinking

A) Determine the need it meets.

B) Analyze the buying process.

C) Think about who might actually buy it.

D) All of the above.

AACSB Category: Analytical thinking

AACSB Category: Analytical thinking

AACSB Category: Reflective thinking

AACSB Category: Reflective thinking

AACSB Category: Analytical thinking

AACSB Category: Analytical thinking

AACSB Category: Analytical thinking

C) looking on competitors' web sites

D) All of the above.

AACSB Category: Analytical thinking

A) phases of product maturity

B) product life cycle

D) product stages cycle

AACSB Category: Analytical thinking

29) Market research is typically ________.

B) complete within six months after introduction

C) complete a year after product introduction

D) ongoing; you always do market research

AACSB Category: Reflective thinking

30) The product life cycle phases include ________.

C) growth and maturity

D) All of the above.

AACSB Category: Analytical thinking

31) Smart marketers always emphasize ________.

A) benefits, not features

B) features, not benefits

C) benefits, not prices

D) None of the above.

AACSB Category: Reflective thinking

AACSB Category: Reflective thinking

AACSB Category: Analytical thinking

38) Positioning your product in the market involves ________.

A) buying advertising and obtaining publicity

B) distinguishing your product by demonstrating to customers that it is the cheapest in the

D) moving it to the top in search engine optimizing