Mkt517 MCQ

Question 1
What do companies that focus on filling a gap in the market engage in?
Your answer:
b) Traditional marketing
Correct answer:
c) Niche marketing
Feedback:
Niche marketing is designed to focus on a well identified gap in the market.
Page reference: 531
Question 2
What is not part of a marketing plan?

Your answer:
a) Marketing mix
Correct answer:
c) Government support
Feedback:
Government support is not a factor that is part of a marketing plan.
Page reference: 532
Question 3
What is the term for a market that is defined by specific characteristics?
Your answer:
c) Market characteristic
Correct answer:
d) Market segment
Feedback:
A market segment has well defined characteristics.
Page reference: 533
Question 4
Which of the following does not form the basis of a performance indicator for a marketing
plan?
Your answer:
c) Marketing effectiveness
Correct answer:
a) Competitor reaction
Feedback
Although of interest, the reaction of competitors is not usually used as a formal indicator
of the marketing plan performance.
Page reference: 536
Question 5
What is the term for the development and design of value adding products and/or
services to meet the demand characteristics of individual customers?
Your answer:
b) Personalisation
Feedback:
Meeting specified demand characteristics at the individual level is called personalisation
in the context of marketing.
Page reference: 537
Question 6
What do the four 'P's' of marketing relate to?
Your answer:
d) Product, price, post and promotion
Correct answer:
a) Product, price, place and promotion
Feedback:
The four 'P's' refer to product, price, place and promotion.
Page reference: 536
Question 7
The brand of BP is an example of what type of brand name?

Your answer:
b) Free-standing
Correct answer:
d) Descriptive
Feedback:
BP stands for British Petroleum and is therefore a descriptive type of brand name.
Page reference: 542
Question 8
Consumer values based on personality types are a form of what type of brand value?
Your answer:
a) Core
Correct answer:
c) Expressive
Feedback:
Personality based brand values are termed expressive values.
Page reference: 542
Question 9
What is the term for gaining consumers' express agreement to receive marketing
material?
Your answer:
c) Targeted marketing
Correct answer:
b) Permission marketing
Feedback:
Permission marketing is when consumers agree to receive a certain amount and type of
marketing material.
Page reference: 545
Question 10
What does CRM stand for?
Your answer:
b) Customer Relationship Marketing
Correct answer:
c) Customer Relationship Management
1. CRM is a business philosophy that aims at maximizing ___ in the long run.
Ans. Customer value
2. Contacts with a customer can be managed by phone, fax and e-mail. (True/False)
Ans. True
3. According to ___, CRM is an iterative process that turns customer information into
positive customer relations.
a) Ronald S. Swift
b) Stanley A. Brown
c) Chris Todman
d) Gartner Group
Ans. Ronald S. Swift
4. In the 1980s, the emergence of ___ marketing took place.

Ans. Database
5. CRM helped in increasing customer satisfaction from order to end product. (True/False)
Ans. True
6. Although ___ was developed as a Linux program, it is compatible with Windows. (Pick
the right options)
a) Telemation
b) SAP
c) Oracle
d) PeopleSoft
Ans. Telemation
7. A CRM system stores comprehensive information of a customer in a centralized way

which is accessible anytime. (True/False)
Ans. True.
8. A successful CRM increases production and profit throughout the ___.

Ans. Customer lifecycle
9. CRM understands the ___ and the capability to create an action plan for the staff
working in the various segments.
Ans. Segmental relationship
10. Companies that are using ___ are raising the level of personalization.
Ans. Proactive CRM
11. Operational CRM has developed into two variants namely eCRM and mCRM.
(True/False)
Ans. True
12. The main goal of ___ is to enable two-way continuous interactivity between the
customer and the company.
Ans. mCRM
13. The objective of data mining is to detect ‘known’ relationships among data.
(True/False)
Ans. False. The objective of data mining is to detect ‘hidden’ relationships among data.
14. Which of the following options includes relationship management with external
stakeholders in the value chain?
a) Analytical CRM
b) eCRM
c) Collaborative CRM
d) EAI
Ans. c) Collaborative CRM
15. The tools of technology are Information Technology and Knowledge Management.
(True/False)
Ans. True
16. ___ are important to develop and evaluate the results of marketing interactions. (Pick
the right option)
a) Campaign management tools
b) Interfaces
c) Analytical tools
d) Data warehouses
Ans. Campaign management tools
17. The result of the comparison between customer’s expectation and customer’s
perception is ___.
Ans. customer satisfaction
18. Measuring customer satisfaction requires a set of activities such as preparing

questionnaires, conducting surveys, and analyzing the results. (True/False)
Ans. True
19. ___ means customer’s belief related to products or services received or experienced.
Ans. Perception
20. CRM system generates ___ throughout interactions on different channels.

Ans. 360-degree customer view
21. There are three phases of customer interaction. (True/False)

Ans. False. There are four phases involved in customer interaction.
22. ___ is the translation of customers’ strategies into rules. Ans. Context
23. Integrated view of the customer provides a connection between customer interaction
channels and customer strategy. (True/False) Ans. True
24. In ___, active management and assessment of products and services take place. (Pick
the right option)
a) Intelligence phase
b) Value creation phase
c) Integration phase
d) Initial phase
Ans. c) Integration phase
25. CRM ___ combines the information of the customer that flows through different
departments and customer channels.
Ans. Architecture
26. Salesforce automation helps automate some processes that are associated with
services. (True/False)
Ans. False. Customer service automation helps to automate some processes that are
associated with service.
27. The ___ of CRM deals with communication between companies and their customers.
(Pick the right option)
a) Collaborative feature
b) Operational feature
c) Analytical feature
d) Automation feature
Ans. Collaborative feature
28. Technology plays a vital role in managing ___.

Ans. Customer Knowledge Store
29. SFA ensures ___ and helps to increase the revenues by making better decisions.
Ans. Customer satisfaction
30. SFA enables collaboration and improves communication in the sales team. (True/False)
Ans. True
31. ___ enables wireless or wired data synchronization between enterprise systems and
mobile devices.
Ans. Server-based iMobile suite
32. Docking synchronization is done once a day and it is primarily used to retrieve basic
information like addresses, phone numbers, etc. (True/False)
Ans. True
33. Which one of the following options is the correct benefit of SFA?
a) Decreases trading and increases administration
b) Helps to close agreements slower
c) Provides real-time visibility into sales
d) Helps to implement consistent sales processes across departments only
Ans. c) Provides real-time visibility into sales
34. Features like strong ___, easier integration, and better end-user experience are
included in SFA.
Ans. Customization
35. Which of the following features of SFA helps to integrate financial functionality of the
back and front office of an organization?
a) Contract management
b) Opportunity management
c) Asset management
d) Data quality management
Ans. Contract management
36. Dashboards provide immediate access to a real-time view of sales data. (True/False)
Ans. True
37. A 360-degree view of each lead, customer and account can be developed through a
medium of ___ in an organization.
Ans. SalesForce Automation software
38. Opportunity management functionality of SFA helps to manage multichannel

interactions. (True/False)
Ans. False. The customer management functionality of SFA helps to manage multi-channel
interactions.
39. Which of the following options is linked to order management?

a) Improves financial planning by easily tracking sales pipeline
b) Maintains audit information automatically
c) Associates opportunity data records with purchase decisions
d) Exports and imports account data
Ans. Improves financial planning by easily tracking sales pipeline
40. ___ and sharing of information are enabled in SFA to improve the organization.
Ans. Collaboration
41. If ___ is not done regularly, organizations may find it very expensive to manage data.
Ans. Data deduplication
42. It is essential that marketing managers or team leaders have monthly access to the SFA
system. (True/False)
Ans. False. It is essential that marketing managers or team leaders have daily access to the
SFA system.
43. Most of the SFA systems have default lead and opportunity stages, accounts and
contacts fields, reports and dashboards. (True/False)
Ans. True
44. The entire sales pipeline is affected by ___ reporting.

Ans. Inconsistent
45. Conflicts of data should be reconciled at the record level rather than at the field level.
(True/False)
Ans. False. Conflicts of data should be reconciled at the field level rather than at the record
level
46. An efficient synchronization system must: (Choose the false option)
a) Support large-scale field implementation
b) Give flexible support for the server database
c) Be dependent on the database
d) Easy to use
Ans. c) Be dependent on the database
47. During synchronization, to avoid database errors, the system should apply only those
files that are complete. (True/False)
Ans. True
48. Use of ___ help to supplement sales efforts and provide fast data amidst a busy
business schedule.
Ans. SFA tools
49. Reporting engine pulls out information from multiple sources to produce reports.
(True/False)
Ans. True
50. Name two industries that use tools to provide product-specific configuration support
to build products for their customers.
Ans. Computer technology vendors, Telephone companies
51. ___ is part of customer automation and part of sales force automation.
Ans. Field Force Automation (FFA)
52. EMA is designed to ___ the processes like designing, implementing and analyzing
direct marketing campaigns which are sophisticated in nature.
Ans. Automate
53. The main objective of EMA is to fasten the cycle of the direct marketing campaign.
(True/False)
Ans. True
54. Which among the following is defined as an ability to track and respond to clients in
an individualized manner? a) Personalization
b) Automation
c) Inbound management
d) Outbound management
Ans. a) Personalization
55. Personalization is done by analyzing each customer’s past contacts and behaviour.
(True/False)
Ans. True
56. Outbound e-mail management helps organizations to handle inbound queries raised
by customers.
(True/ False)
Ans. False. Outbound e-mail management helps organizations to form and perform
permission-based marketing campaigns.
57. The ___ e-mail management is totally considered as a service-oriented activity.

Ans. Inbound
58. ___ helps the organizations to form and perform permission-based marketing
campaigns.
Ans. Outbound e-mail management
59. Enterprise Marketing Automation helps in improving marketing effectiveness and

efficiencies by planning, testing, and executing ___.
Ans. Marketing campaigns
60. EMA software helps an organization to pick up the contact details from multiple
sources in ___ form.
Ans. Soft copy
61. De-duping helps to make only one entry per customer. (True/False)
Ans. True
62. It is important to store the list generated for a particular campaign in the database.
(True/False)
Ans. True
63. A ___ is successful and effective if there are careful research and a well-planned design
that focuses on the details and implementation of the campaign.
Ans. Marketing campaign
64. Which among the following is a major part of applications and techniques that helps in
gathering, storing, analyzing, and accessing the data?
a) Business analytics
b) Data visualization
c) Data mining
d) Virtual reality
Ans. a) Business analytics
65. A business analytical application automates the process of ___ and generally carries out
a part of the decision-making activities of a human being.
Ans. Thinking
66. Financial modelling, budgeting, resource allocation, and competitive intelligence are
some of the advanced applications of BA. (True/False)
Ans. True
67. The process of analyzing and extracting the important information from a pile of
collected data is defined as___.
Ans. Knowledge Discovery
68. Visualization or data visualization is a ___ tool that helps in interpreting data using
visuals or images.
Ans. Business Analytics
69. DSS are highly helpful in identifying the relationship between trends. (True/False)
Ans. False. Visual tools are highly helpful in identifying the relationship between trends.
70. In ___, devices connect directly and synchronize with their owners’ data on a PC. (Pick
the right option)
a) Software-based synchronization
b) Web-based portal synchronization
c) Enterprise space synchronization
d) Docking synchronization
Ans. a) Software-based synchronization
71. An efficient synchronization system is a system that is successful in sending ___ amount
of data to remote users.
Ans. Minimal
72. ___ is the latest, new generation direct marketing software that helps marketers to
automate their marketing activities.
Ans. Enterprise Marketing Automation
72. Integrated marketing strategy aims at unifying different marketing methods.

(True/False)
Ans. True
73. Indirect communication channels promote sales whereas direct communication

channels promote sales and improve the ___.
Ans. Customer relationship
74. Name two direct communication channels.

Ans. Direct mail, e-mail
Within the context of a supply chain, __________ is the ability of a logistics system to satisfy users in terms of time,
dependability, communication and convenience.
► Customer service
► Just-in-time inventory
► Distribution management
► Replenishment
Question No: 2 (M-1).

Which of the following is the description of good sales people?
► On site support
► Problem solver
► Organized
► Empathetic
Operational customer relationship management supports which one of the following functions?
► Customer campaigns
► Front Office
► Data mining
► Effective interaction
Which of the following processes is MOST critical to the success of the firm?
► Resource-allocation
► Manufacturing and distribution
► Payment and billing
► Customer support/handling
Which of the following refers to the “lowest” level of strategy?

► Financial strategies
► Marketing strategies
► Operational strategies
► HR strategies

The skill to stimulate someone to take action refers to which of the following?
► Skill to foresee
► Skill to speed up response
► Skill to listen
► Skill to induce
Which of the following is the act of designing the company’s offering and image to occupy a distinctive place in the mind
of the target market?
► Segmenting
► Positioning
► Targeting
► Imaging
The customer relationship involves tracking the full range of interactions with prospects and customers EXCEPT:
► Customer service and support interaction
► Sales interaction
► Marketing interaction
► Higher management activities
Which of the following process consists of the buying and selling of products or services over electronic systems such
as the internet and other computer networks?
► E-mail Marketing
► Web Personalization
► Sales force Automation
► E-commerce
Question No: 10 ( M - 1 ) - Please choose on
Salesforce.com was one of the first to deliver customer relationship management (CRM) software over the internet.
Many companies are using CRM to create more sales with existing customers. All of these companies are banking on
the increasing importance of __________ as a growing source of sales.
► Media convergence
► Distribution elasticity
► E-commerce
►Sales force automation

Front Office CRM Systems covering real-time aspects of sales related activity is referred to as:
►Sales Force Automation
► CRM Customer Services
► CRM Customer Communications
► Automated Marketing
Which of the following is NOT a characteristic of the Business-to-Business arena?
► Large markets
► Wide geographic spread
► Complex buyer behavior
► Low volume of transactions

The phase in the selling process in which the salesperson gathers as much information about the prospective client
before the sales call is called:
►Prospecting
►Targeting
► The approach
► Pre-approach
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Negotiation is a give and take activity in which both parties try to shape a deal that satisfies both of them; it reflects
which one of the following negotiation?
► Standard negotiation
► Co-operative negotiation
► Collusive negotiations
► Competitive negotiation

“Lead tracking, distribution and management” are functional components of which of the following?
►Marketing application
► Sales application
► Support application

Electronic booksellers like amazon.com and barnesandnoble.com are likely to enjoy strong sales in the future
because books are a product category that:
► Can be delivered digitally

► Are highly standardized
► Require audio or video demonstration
► Do not require pre-purchase trial
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Which of the following is the application of insight to create relevant interaction or communication with consumers,
customer’s channels suppliers and partners that build value relationships
► Combine
► Correlate
► Cognize
► Connect
“The process to impart information from a sender to a receiver with the use of a medium” reflects which one of the
following concepts?
► Channel
► Decoding
► Communication
► MessageQuestion No: 19 (M-1).
The ability to communicate effectively
► Can be learned
► Depends on the education level of those around you
► Depends on not using technology to send messages
► Is a natural talent that cannot be learned
A good, service, or idea consisting of a bundle of tangible and intangible attributes that can satisfy consumers is called
a:
► Commodity
► Product
► Durable good
► Nondurable good
The target market for cookbooks is predominantly female and over 25 while the readership for comic books is mainly
males between the ages of 15 to20. This is important __________ information for a publisher to know.
► Psychographic
► Socioeconomic
► Demographic
► Geographic
Customer satisfaction with the purchase of a product is dependent upon what?
► The product's performance relative to the buyer's expectations
► The product's performance relative to the price
► The product's performance relative to the service
► The product's performance relative to the quality
A loyal customer has which kind of the relationship with the organization?
► No relationship
► Indifferent relationship
► Emotional relationship
► Transactional relationship
Which of the following tracks all the steps in the sales process
► None of the given options
► SCM
► SFA
► CRM
In property development, customer relationship is based on which of the following factors?
► Attitudes
► Money
► Trust
► Convenience
Which of the following does not drive the growth of direct marketing?
►Technology
► Customer perceptions
► Poduct
► Market changes
Which of the following is NOT a benefit of direct marketing?
► Convenience
► Interactive
►Customer relationship building
► Assists client prospecting
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Inquisitive is the characteristic of which of the following category?

► Hypocritical mood customer
► Complaining mood customer
►Objection mood customer
► Indifference mood customer
Which of the following is a person’s pattern of living as expressed in his or her psychographics?
► Social class
►Lifestyle
► Culture
► Personality
The buyer-supplier relationship characterized by a close cooperative relationship where the seller adapts to meet the
customer's needs without expecting much adaptation or change on the part of the customer in exchange is referred to:
► Customer is king
►Buyer-supplier relationship is transctional
► Supplier is king
► None of the given option
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Internal strengths and weaknesses are usually referred to as
► Uncontrollable activities within an organization
►Controllable activities within an organization
► Most important for shareholders and stakeholders
► Important as external opportunities and threat

Karen's company just finished meeting with the consultants who delivered a 4-year plan of renovation for a company.
Which part of the strategic landscape has been described in this statement?
► Strategy assessment
► Strategy implementation
►Strategy formulation
► Strategy initiation
When an organization understands the psyche of people at large scale through research and marketing activities
towards organization and product is known as
► Formulation and implementation of an organization's procedures
► Good-will through a two way communication process
► Coordination of communications programs public
► Evaluation of public attitudes and opinion
After shopping at www.americangirl.com , Mr.A received an e-mail from the online retailer of dolls and doll accessories
that told him when the doll would be shipped and when it should arrive at him house. The e-mail is an important element
of which one of the seven elements of web design?
► Content
► Clarity
► Customization
► Communication
Identify which is NOT the part of Modules of CRM
► Advanced technologies
► Functional components
► Financial components
► Channel
In which of the following phase of CRM, a business relies on CRM software tools and databases to help the company
proactively identify and reward its most loyal and profitable customers to expand their business via targeted marketing
and relationship marketing programs.
► Satisfied
► Retain
►All of the given options
► Acquire
The changing demographics of global consumers has tremendous implications on the nature of opportunities for
organizations. In view of this which of the following statements in incorrect
►Global marketers need to face up to the challenges.
► This can only be regarded as a major threat to the survival of today's organizations as it will
bring significant costs to them.
► There has been a reduction in birth rates in many developed economies.

► Businesses need to develop and market products and services that cater to the changing needs of the
ageing consumers
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Which of the following is the best example of a people-based service
► Vending machines
► Airlines
► Appliance repair
► Movie theater
Any single product or service can deliver
► Same benefits to different customers
► Same benefits to delighted customers

► Different benefits to different customers
► Same benefits to loyal customer
In a recent agreement with South African Fruit Growers Cooperative, UPS contracted to transport its produce to
supermarkets in Great Britain. In marketing terminology, the supermarkets are an example of __________, and the
people who buy the fruit are examples of ___________.
► Ultimate consumers; organizational buyers
► Organizational users; individual users
► Broad markets; narrow markets
► Organizational buyers; ultimate consumer
It is likely that global competition will become more fiercely intensive because:
► Organizations are forming alliances with other market players.
► Competitors are becoming more aggressive.
► Competitors can seemingly access any international market and compete freely.
► Competitors are increasing in size and have more resources to compete
http://www.oup.com/uk/orc/bin/9780199239429/01student/mcqs/ch01
Which one of the following options is NOT considered a major area on which customer relationship management
focuses?
► Expansion of customer base
► Reduction of advertising costs
► Gaining new customers but no focus on existing ones
► Personal information gathering and processin
Question # 1 of 15 ( Start time: 03:14:50 PM ) Total M - 1

Marketing relationships are:
Select correct option:
Intensely personal, like human relationships
Intended to deliver short-term customer satisfaction
Intended to deliver long-term customer satisfaction
The most important element of the marketing mix

Strategic drift, where strategies progressively fail to address the strategic position of the organization,
is frequently followed by:
A change of CEO
Transformational change
Transformational change or demise
Transactional change

In which case, probability of customer incraese to become a defector?
Complaints not expressed but resolved

Complaints expressed and resolved
Complaints not expressed and not resolved
Complaints expressed but not resolved

Companies can build interest and enthusiasm by using databases to remember customer preferences.
This strategy helps to which of the following?
Identify prospects
Avoid serious customer mistakes
Reactivate dormant customers
Deepen customer loyalty

The acronyms that we use for FUD is:
Fear, Uncertainty, Divisions

Fear, Uncertainty, Doubts
Fear, Understandings, Doubts
Fear, Understand, Debits

Customer service facilitation includes EXCEPT:
Divert attention of customer

Resolve problem
Improve efficiency
Provide full information

Customer relationship management applications dealing with the analysis of customer data to provide
information for improving business performance best describes by which of the following?
Generic customer relationship management applications

Supply chain management applications.
Analytical customer relationship management applications
Operational customer relationship management applications

Horizon cat food mailed a packet of catnip seed to every person who visited its website. Along with the
catnip seed was a note that advised consumers to visit www.horizon.com if they wanted to create a
cat-friendly garden. This illustration is the best use of which concept for approaching prospect
customer?
Print advertising
Direct marketing
Personal selling
Public relations

Which one of the following terms deals with the same product availability in different weights?
Proliferation of Labeling
Proliferation of Imaging
Proliferation of Packaging
Proliferation of Brand

All helps to prevent customers’ defection EXCEPT:
Compulsion due to technological and environmental forces

Attempt to Track Losses
Customers Specific Approach
Customer Win—Back Program

The marketing concept holds that customers will remain loyal if:
The company produces a product with enough features to satisfy everybody

The company's marketing activities are persuasive enough.
A company offers numerous 'specials'.
The customers' needs are met at a price that represents value for money.

Which of the following statements is correct?
Acquiring customers is on tenth the cost of retaining customers

Retaining customers is same as the cost of acquiring new customers
Retaining customers is on fifth the cost of acquiring new customers
Retaining customers is on tenth the cost of acquiring new customers

Personal selling is an effective tool to assist the buying process, especially for high priced products.
Personal selling is not commonly used for which of the following purposes?
Building up buyer's preferences

Pressurizing the customer into making a decision
To create static images only
Developing customer convictions and feelings about a product and company

What is not the part of an effective integrated advertising campaign?
Precision of message
Cultivation of customer relationships
Impact
Static images only

With respect to customer satisfaction, which of the following is referred as the key to success?
Preference
Up-to-date Supply
Courtesy
Enthusiasm
Multiple Choice Questions with Answers:-
1. Customer Relationship Management is about

a) Acquiring the right customer
b) Instituting the best processes
c) Motivating employees
d) All of the above
Answer:D
2. CRM technology can help in

a) Designing direct marketing efforts
b) Developing new pricing models
c) Processing transactions faster
d) All of the above
Answer:D
3. A _________ is an organized collection of detailed information about individual customers or
prospects that is accessible, actionable and current for marketing purposes such as lead generation
and others.
a) Customer database
b) Customer mailing list
c) Business database
d) None of the above
Answer:A
4. _______uses sophisticated mathematical and statistical techniques such as neutral networking

and cluster analysis.
a) Data mining
b) Data survey
c) CRM
Answer:A
5. The main drawback of CRM is
a) Implementing CRM before creating a customer strategy

b) Rolling out CRM before changing the organization to match
c) Stalking, not wooing, customers
d) All of the above
Answer:D
6. The marketing messages committed to customers wishes is a part of
a) Permission marketing
b) Activity marketing
c) Supplier marketing
Answer:A
7. The method used to assess real cost of providing services to an individual customer is
a) Cost based accounting

b) Activity based accounting
c) Turnover based accounting
d) Price based accounting
Answer:B
8. _______is any occasion on which the brand or product is used by end customers.
a) Customer touch point

b) Retailers touch point
c) Company touch point
Answer:A
9. _________ is the study of how individuals, groups and organizations select, buy, use and dispose
off goods, services, ideas or experiences to satisfy their needs and wants.
a) Consumer behavior
b) Product cycle
c) Purchase behavior
Answer:A
10. A consumer buying behavior is influenced by
a) Cultural and social factors

b) Personal factors
c) Both a and b
d) None of the above.
Answer:C
11. ________ exerts the broadest and deepest influence on buying behavior.
a) Social factors
b) International factors
c) Personal factors
d) Cultural factors
Answer:D
12. ________ is the fundamental determinant of a person’s wants and behavior.
a) Culture
b) Attitude
c) Value
Answer:A
13. Indian marketers use a term called socioeconomic classification, which is based on the _______
of chief wage earner.
a) Education
b) Occupation
c) Both a and b
Answer:C
14. Socioeconomic system classifies urban households into _____ broad categories.
a) 4
b) 8
c) 6
Answer:B
15. For the rural areas, the socioeconomic system use _________ of the chief wage earner.
a) Occupation and Type of home

b) Education and occupation
c) Education and type of home
Answer:A
16. Socioeconomic system classifies rural households into _____ broad categories.
a) 8
b) 6
c) 4
Answer:C
17. Social class is indicated by ________variables.
a) Single
b) Several
c) None
Answer:B
18. A person’s _________ are all the groups that have a direct or indirect influence on their
attitudes or behavior.
a) Inspirational groups
b) Reference groups
c) Dissociative groups
Answer:B
19. Process of manage information about customers to maximize loyalty is said to be

a) company relationship management
b) supplier management
c) retailers management
d) customer relationship management
Answer:D
20. In buyer decision process, percentage of potential customers in a given target market is called
a) customer funnel
b) company funnel
c) marketing funnel
d) retailers funnel
Answer:C
21. Aggregate value of customer's base is classified as
a) shareholder value
b) base value
c) retention value
d) marketers base value
Answer:A
22. Record which is based on business customers past purchases, sales price and volumes is
classified as
a) business database
b) customer database
c) databases marketing
d) company marketing
Answer:A
23. Whole cluster of benefits when company promises to deliver through its market offering is
called
a) value proposition
b) customer proposition
c) product proposition
d) brand proposition
Answer:A
24. Third step in customer's value analysis
a) assessing attributes importance

b) assessing company's performance
c) monitoring competitors performance
d) both b and c
Answer:D
25. All costs customer expects to incur to buy any market offering is called
a) total economic cost

b) total functional cost
c) total customer cost
d) total functional cost
Answer:C
26. Percentage or number of customers who move from one level to next level in buying decision
process is called
a) conversion rates
b) marketing rates
c) shopping rates
d) loyalty rates
Answer:A
27. Customized products and services for customers and interaction to individual customers are
part of
a) retailers management
b) customer relationship management
c) company relationship management
d) supplier management
Answer:B
28. Company's 'customer relationship capital' is another name of
a) satisfied customers
b) dissatisfied customers
c) customer retention
d) customer conversion
Answer:A
29. Company's monetary, time and energy cost, all are included in
a) total customer cost

b) psychological cost
c) personal benefits
d) image benefits
Answer:A
30. A person or company that yields a revenue more than incurred costs of selling and serving is
called
a) dissatisfaction
b) superior value
c) profitable customers
d) satisfied customers
Answer:C
31. Customers lifetime purchases that generate net present value of future profit streams is called
a) customer lifetime value

b) customer purchases value
c) customer cost incurred
d) customer relationships
Answer:A
32. 'total customer benefits' includes
a) product benefits
b) services benefit
c) image benefit
d) all of above
Answer:D
33. Programs designed for customers which is limited to any affinity group are classified as
a) club membership programs

b) royalty programs
c) loyalty programs
d) group membership programs
Answer:A
34. First step in analysis of customer value is to
a) identify customers value attributes

b) assessing attributes importance
c) assessing company's performance
d) assessing competitors performance
Answer:A
35. Difference between customers evaluation including all costs incurred and benefits is called
a) customer perceived value

b) company market value
c) customer affordability
d) customer reliability
Answer:A
36. Process of building, organizing and using databases of customers to build customer relationship
is classified as
a) database marketing
c) detailed database
d) company database
Answer:A
37. Perceived monetary value of all benefits which customers expect from a given product because
of brand image is called
a) total customer benefit

b) total customer cost
c) total economic cost
Answer:A
38. System includes all experiences while using market offering is classified as
a) customer proposition
b) value delivery system
d) distinctive proposition
Answer:B
39. Number of customers or potential customers who will help in company's growth is classified as
a) customer base
b) retailer base
c) distributors base
d) marketers base
Answer:A
40. Any occasion on which brand or product is encountered by end customers is called
a) customer touch point

b) company touch point
c) retailers touch point
d) relationship touch point
Answer:A
41. Technique which tries to identify real cost of serving an individual customer is called
a) activity based accounting

b) cost based accounting
c) price based accounting
d) turnover based accounting
Answer:A

Answer:D
a) customer funnel
b) company funnel
c) marketing funnel
d) retailers funnel
Answer:C
b) base value
c) retention value
Answer:A
classified as
Answer:A
called
Answer:A
47. This is an approach to selling goods and services in which a prospect explicitly agrees in
advance to receive marketing information.
a) customer managed relationship

b) data mining
C) permission marketing
d) one-to-one marketing
e) batch processing
Answer:C
48. In an Internet context, this is the practice of tailoring Web pages to individual users’
characteristics or preferences.
a) Web services
b) customer-facing
C) client/server
d) customer valuation
e) personalization
Answer:E
49. This is the processing of data about customers and their relationship with the enterprise in order
to improve the enterprise’s future sales and service and lower cost.
a) clickstream analysis
b) database marketing
C) customer relationship management
d) CRM analytics
e) B2C
Answer:D
50. This is a broad category of applications and technologies for gathering, storing, analyzing, and
providing access to data to help enterprise users make better business decisions.
a) best practice
b) data mart
C) business information warehouse
d) business intelligence
e) business warehouse
Answer:D
51. This is a systematic approach to the gathering, consolidation, and processing of consumer data
(both for customers and potential customers) that is maintained in a company’s databases.
b) marketing encyclopedia
C) application integration
d) service oriented integration
e) business technology management
Answer:A
52. This is an arrangement in which a company outsources some or all of its customer relationship
management functions to an application service provider (ASP).
a) spend management
b) supplier relationship management
C) hosted CRM
d) Customer Information Control System
e) online transaction processing
Answer:C
53. This is an XML-based metalanguage developed by the Business Process Management Initiative
(BPMI) as a means of modeling business processes, much as XML is, itself, a metalanguage with
the ability to model enterprise data.
a) BizTalk
b) BPML
C) e-biz
d) ebXML
e) ECB
Answer:B
54. This is a central point in an enterprise from which all customer contacts are managed.
a) contact center
b) help system
C) multichannel marketing
d) call center
e) help desk
Answer:A
55. This is the practice of dividing a customer base into groups of individuals that are similar in
specific ways relevant to marketing, such as age, gender, interests, spending habits, and so on.
a) customer service chat

b) customer managed relationship
C) customer life cycle
d) customer segmentation
e) change management
Answer:D
56. In data mining, this is a technique used to predict future behavior and anticipate the
consequences of change.
a) predictive technology
b) disaster recovery
C) phase change
d) Digital Silhouettes
e) predictive modeling
Answer:

b) data mining
e) batch processing
Answer:C
a) Web services
b) customer-facing
C) client/server
e) personalization
Answer:E
59. This is the processing of data about customers and their relationship with the enterprise in order
to improve the enterprise’s future sales and service and lower cost.
d) CRM analytics
e) B2C
Answer:D
60. This is a broad category of applications and technologies for gathering, storing, analyzing, and
providing access to data to help enterprise users make better business decisions.
a) best practice
b) data mart
Answer:D
61. This is a systematic approach to the gathering, consolidation, and processing of consumer data
(both for customers and potential customers) that is maintained in a company’s databases.
Answer:A
62. This is an arrangement in which a company outsources some or all of its customer relationship
management functions to an application service provider (ASP).
a) spend management
C) hosted CRM
Answer:C
63. This is an XML-based metalanguage developed by the Business Process Management Initiative
(BPMI) as a means of modeling business processes, much as XML is, itself, a metalanguage with
the ability to model enterprise data.
a) BizTalk
b) BPML
C) e-biz
d) ebXML
e) ECB
Answer:B
a) contact center
b) help system
d) call center
e) help desk
Answer:A

Answer: D
1. Building long-term relationships with customers is essential for any

business. The application of technology to achieve CRM is a key element of
e-business but what does CRM stand for?
Your Answer: Consumer relationship management

Correct Answer: Customer relationship management
CRM - customer relationship management is an approach to building and

sustaining long-term business with customers.
2. There are different techniques to both initiate and build relationships with
customers by using a combination of online and offline techniques. What is
the 'customer life cycle' though?
Your Answer: The stages each customer will go through in a long-term

relationship with a supplier
3. The four marketing activities within the customer relationship management

include customer selection, customer acquisition, customer retention, plus:
Your Answer: Customer extension
4. Using digital communications technologies to maximise sales to existing

customers and encourage continued usage on online services is known as:
Your Answer: Mass customisation

Correct Answer: Electronic customer relationship management
E-CRM encapsulates the description provided and combines the interactivity

provided by the web combined with email communications and database
storage of customer information to provide a personalised service.
5. Using the Internet for relationship marketing involves integrating the
customer database with websites to make the relationship targeted and
personalised. Through doing this there are many benefits to be gained but
which of the below is not an advantage?
Your Answer: Achieve mass customisation of the marketing messages

Correct Answer: Minimises breadth, depth and nature of relationship
Not less information regarding relationships but an increase in breadth and

depth.
6. Accepting that a customer has agreed to opt-in to receive further

information, with customer profiling the minimum amount of online
information that needs to be collected is an e-mail address. What is really
required though to decide if the customer is a good potential target for
further communications?
Your Answer: Permission marketing

Correct Answer: A qualified lead
A qualified lead provides additional information and from there to build up a

customer profile that registers customer interests, demographics, and so on
although there are data protection and privacy considerations to take into
account.
7. RACE is a practical framework to help marketers manage and improve the

commercial value gained from digital marketing. The term stands for Reach,
Act, C, Engage. What does 'C' refer to?
Your Answer: Collaborate

Correct Answer: Convert
The C stands for Convert and conversion marketing uses marketing

communication to maximise conversion of potential customers to actual as
well as encouraging existing customers to become repeat customers.
8. Companies that understand how customers use digital media in their

purchase decision buying can develop integrated communications strategies
to support their customers at each stage in the buying process. Customers
have individual preferences in the ways they use the web depending upon
why they need to use it and this web use is known as:
Your Answer: Directed-information seekers

Correct Answer: Searching behaviours
Searching behaviours act as an umbrella terms for different approaches to

find information which vary from direct to undirected. The other answers are
examples of these with bargain hunting and entertainment seeking being
two others.
9. E-commerce managers aim to deliver the most effective mix of
communications to drive traffic to their e-commerce sites. The different
techniques can be characterised as:
Your Answer: All of the above
10. A marketing campaign will not be successful if the costs of acquiring site
visitors and customers are too high. The term used to describe the cost of
acquiring a new customer is known as:
Your Answer: Cost per acquisition
11. The use of online and offline promotion techniques to increase the audience
of a site is known as a:
Your Answer: Search engine optimisation

Correct Answer: Traffic building campaign
Various techniques can be employed in a traffic building campaign to

increase both new and existing customers accessing websites. It would help
to study how search engines work and how these can be utilized to improve
an internet search profile.
12. Online public relations (or e-PR) should aim to maximise favourable
mentions of companies, products, brands, etc which are likely to be visited
by target audiences. Which of the following activities fall within the remit of
e-PR?
13. Social media (e.g. Facebook, Twitter) usage has become so widespread that
to discount a social media strategy would be a mistake best avoided. Social
customer relationship management (Social CRM) is a relatively new term
which helps to define the broad scope of social media across the customer
life cycle and value chain. The Altimeter report (2010) provides a framework
for reviewing strategy implementation and is known as:
Your Answer: Social CRM modelling

Correct Answer: The 5Ms
It is a recent report so The 5Ms may not be well known but includes
Monitoring, Mapping, Management, Middleware, and Measurement.
14. Online marketing communications include the development on online
partnerships and are regarded as an important part of a marketing mix.
There are three key types of online partnerships; link building, affiliate
marketing, and one other:
Your Answer: Online sponsorship
15. E-mail marketing has to make strategic plans regarding outbound and
inbound e-mails. E-mail is most widely used as a prospect conversion and
customer retention tool. A database of customer names, email addresses
and profile information used for e-mail marketing is usually known as:
Your Answer: House list
16. A strength of social media and viral marketing is:
Your Answer: Considered credible

Correct Answer: It is possible to reach a large number at relatively low
cost
1. ______ is a key e-CRM technique to follow-up a customer when they

abandon a shopping cart to encourage them to buy.
Your Answer: Referral, recommendation or advocacy

Correct Answer: None of the above
2. ______ is a key e-CRM technique to tailor messages according to stated

preferences or observed buyer behaviour.
Your Answer: Personalisation
3. Match these stages in online relationship building.
Option Your Answer: Correct Answer:
3.1 Stage C. Further dialogue occurs B. Relationship or dialogue starts.

1 between the company and
customer.
3.2 Stage B. Relationship or dialogue E. Information about the customer is

2 starts. stored in a database.
3.3 Stage C. Further dialogue occurs C. Further dialogue occurs between

3 between the company and the company and customer.
customer.
3.4 Stage A. Company monitors D. Tailored communications and or
4 customer response and products are offered to the customer
adjusts future offers consistent with information stored
accordingly. about the customer.
3.5 Stage A. Company monitors A. Company monitors customer

5 customer response and response and adjusts future offers
adjusts future offers accordingly.
accordingly.
4. In e-CRM, customer retention refers to:
Your Answer: All of the above.
5. In e-CRM, customer acquisition means:
Your Answer: identifying the appropriate customers to target.

Correct Answer: attracting customers in the target profile to your website
and encouraging them to opt-in.
6. What is the typical relationship between satisfaction and loyalty?
Your Answer: None of the above.

Correct Answer: Satisfaction determines loyalty.
7. Mass customisation is the use of technology to:
Your Answer: deliver offers and products tailored for individuals.

Correct Answer: deliver offers and products tailored for individuals or
segments.
8. The concept of opt-in typically involves:
Your Answer: profiling a customer's interests and value to an

organisation.
Correct Answer: All of the above.
9. Which information would typically be most useful when profiling to deliver a

relevant message to a consumer of a business service?
Your Answer: Business size/turnover.
Correct Answer: Not possible to say; all of the above.
10. Match these benefits of online relationship marketing with their descriptions.
10.1 Targeting more B. It is possible to see C. It is more costly to

cost-effectively who has clicked on which personalise direct mail.
offer in an e-mail.
10.2 Learning A. Cost of e-mail lower B. It is possible to see

relationship than direct mail. who has clicked on which
offer in an e-mail.
10.3 Lower physical B. It is possible to see A. Cost of e-mail lower

cost who has clicked on which than direct mail.
offer in an e-mail.
10.4 More rapid C. It is more costly to D. Most recipients

response personalise direct mail. respond within 24
hours.
11. ______ data is information about how the customer has responded to
campaigns.
Your Answer: Behavioural data
12. ______ data is information about the purpose of communications to the

customer.
Your Answer: Profile data

Correct Answer: Campaign history
13. Permission marketing is also known as interruption marketing.
Your Answer: True

Correct Answer: False
No that's incorrect, permission marketing is aimed at more focused

communications which have higher impact because they have been
requested.
14. Online communities or social networks can assist with CRM through:
Your Answer: researching customer perceptions about products.
15. Match these stages in permission marketing.
15.1 Stage A. Contact is offered as an A. Contact is offered as an

1 incentive to opt-in by a incentive to opt-in by a
company. company.
15.2 Stage B. Company welcomes the E. Profile information about the

2 customer through e-mail or customer is stored in a
other media. database.
15.3 Stage C. Tailored communications B. Company welcomes the

3 and or products offered to the customer through e-mail or
customer are consistent with other media.
information stored about the
customer.
15.4 Stage D. Company monitors the C. Tailored communications

4 customer response, updates and or products offered to the
profile and adjusts future offers customer are consistent with
accordingly. information stored about the
customer.
15.5 Stage C. Tailored communications D. Company monitors the

5 and or products offered to the customer response, updates
customer are consistent with profile and adjusts future offers
information stored about the accordingly.
customer.
16. Match these definitions of significant CRM acronyms
16.1 LTV A. A method of evaluating B. A historical or forward looking

the brand preference for a measure of the profit contributed
company based on the by a group of customers.
likelihood of its customers
to recommend a brand.
16.2 MGC B. A historical or forward D. A grouping of customers

looking measure of the showing their potential to
profit contributed by a contribute future profit. MVC (most
group of customers. valuable customers is another
customer type in this
categorization).
16.3 RFM A. A method of evaluating C. A method of reviewing the

the brand preference for a behaviour of customers in terms of
company based on the
likelihood of its customers their patterns of purchase or
to recommend a brand. interactions on a website
16.4 NPS A. A method of evaluating A. A method of evaluating the

the brand preference for a brand preference for a company
company based on the based on the likelihood of its
likelihood of its customers customers to recommend a brand.
to recommend a brand.
1. Which of the following is based on a suite of integrated software modules

and a common central database?
Your Answer: Network operating systems

Correct Answer: Enterprise systems
Incorrect
2. Which of the following is considered to be the leading enterprise software

vendor?
Your Answer: SAP
3. After installing an Oracle enterprise system in 1999, Lucent Microelectronics

Group shortened its processes that used to take 10 or 15 days to:
Your Answer: 8 days.

Correct Answer: Less than 8 hours.
Incorrect
4. Which of the following is NOT a major supply chain process as defined by

SCOR?
Your Answer: Plan

Correct Answer: Acquire
Incorrect
5. The central objective of supply chain management systems is:
Your Answer: supply chain leverage.

Correct Answer: information visibility.
Incorrect
6. Determining how much product a business needs to make in order to satisfy
all the customers' demands best describes:
Your Answer: demand planning.
Correct
7. Capabilities of supply chain execution would NOT include:
Your Answer: replenishment.

Correct Answer: marketing.
Incorrect
8. The total elapsed time to complete a business process best describes:
Your Answer: completion time.

Correct Answer: cycle time.
Incorrect
9. A supply chain driven by production master schedules based on forecasts or

best guesses of demand for products best describes a(n):
Your Answer: innovation-based model.

Correct Answer: push-based model.
Incorrect
10. Automation of the firm's relationships with its selling partners using
customer data and analytical tools to improve coordination and customer
sales best describes:
Your Answer: partner relationship management.
Correct
11. Which of the following companies would NOT be classified as one of the
major CRM application software vendors?
Your Answer: Siebel systems

Correct Answer: Intel
Incorrect
12. The marketing of elevated-value products or services to new or existing

customers is referred to as:
Your Answer: discount selling.

Correct Answer: up-selling.
Incorrect
13. The practice of marketing complementary products to customers is known

as:
Your Answer: market segmentation.

Correct Answer: cross-selling.
Incorrect
14. Sales force automation, call center and customer service support, and
marketing automation are types of:
Your Answer: generic customer relationship management applications.

Correct Answer: operational customer relationship management
applications.
Incorrect
15. The new generation of Web-centric enterprise applications is sometimes

referred to as:
Your Answer: XML.

Correct Answer: XRP.
Question 1
e-CRM can be defined as:
Your answer:
b) A marketing philosophy aimed at developing added value experiences via integrated
business functions
Correct answer:
a) The efficient handling of all customer relations by web-based methods integrated into
back office systems
Feedback:
e-CRM brings together front and back office systems via the Internet.
Page reference: 232
Question 2
The CAN SPAM Act of 2003 relates to:
Your answer:
d) The key requirements governing the sending of commercial e-mails in the United
States
Feedback:
The CAN SPAM Act relates to the sending of pornography and marketing messages in the
US.
Page reference: 234
Question 3
Eliciting customer opinions on products and services relates to which one of Kotler's
relationship levels?
Your answer:
c) Accountable
Correct answer:
d) Proactive
Feedback:
Kotler suggest organisations are being proactive by seeking customer opinion but often
on an infrequent basis determined by the 'need to know'.
Page reference: 234-235
Question 4
Reicheld suggests that customer attitudes towards loyalty are driven by:
Your answer:
a) Their perception of value
Feedback:
Value perceptions can be individual or collective but loyalty is primarily influenced by the
value placed and obtained from the organisation's offering.
Question 5
Front Office CRM Systems covering real-time aspects of sales related activity is referred to
as:
Your answer:
b) CRM Customer Communications
Correct answer:
d) Sales Force Automation
Feedback:
Sales Force Automation (SFA) provides real-time content management covering sales
promotions, order entry, account handling and lead tracking.
Page reference: 242
Question 6
A 2004 BT/EIU survey on the barriers to successful CRM implementation rated what as
the most important factor?
Your answer:
b) Lack of training for people using CRM applications
Correct answer:
c) Difficulties capturing the right customer data
Feedback:
The report which surveyed 172 UK executives found that capturing the right data was
problematic.
Question 7
Rosenspan identifies a key problem with Permission Marketing which is:
Your answer:
a) It is built around the customers schedule
Correct answer:
b) It is built around the marketers schedule
Feedback:
Poor practice in Permission Marketing centres all activity around the marketer's schedule
instead of around the customer.
Page reference: 250
Question 8
Online Personalisation relies on:
Your answer:
b) Upholding customer privacy
Correct answer:
a) Individual customers volunteering increasing amounts of personal data
Feedback:
Organisations can only personalise communications and offers when they possess
current personal data.
Page reference: 254
Question 9
Phishing is:
Your answer:
b) The process of stealing personal data after luring consumers to seemingly, legitimate
web sites
Feedback:
Phishing is the identity fraud process where people are driven to a supposedly genuine
web site where they unknowingly offer personal data to the fraudsters.
Page reference: 257
Question 10
The 'Privacy Paradox' refers to:
Your answer:
c) Data minimization and privacy
Correct answer:
a) The desire for the personalisation of products balanced with the concern for privacy
CRM techniques

d) All of the above
View Answer / Hide Answer
ANSWER: d) All of the above

d) All of the above
3. A _________ is an organized collection of detailed information about individual

customers or prospects that is accessible, actionable and current for marketing
purposes such as lead generation and others.
ANSWER: a) Customer database
4. _______uses sophisticated mathematical and statistical techniques such as

neutral networking and cluster analysis.
a) Data mining
b) Data survey
c) CRM
ANSWER: a) Data mining

d) All of the above

ANSWER: a) Permission marketing
7. The method used to assess real cost of providing services to an individual

customer is

ANSWER: b) Activity based accounting
8. _______is any occasion on which the brand or product is used by end

customers.

ANSWER: a) Customer touch point
1. As seller holds the stock, therefore blanket contracts are also known as
a) Stockless purchase plans

b) Stockless seller plans
c) Stock purchase plans
ANSWER: a) Stockless purchase plans

2. Corporate credibility depends on ______ factors.
a) Eight
b) Six
c) Four
d) Three
ANSWER: d) Three
3. _________ is the extent to which a company is seen as able to make and sell
product or conduct services.
a) Corporate expertise
b) Corporate liability
c) Corporate trustworthiness
ANSWER: a) Corporate expertise
4. The buyer-supplier relationships varies as per:
a) Availability of alternative
b) Importance and complexity of supply
c) Supply market dynamism
d) All of the above
5. _________ is a buyer-seller relationship in which more adaptation is needed on

seller front and also needs less cooperation and information exchange.
a) Bare bones
b) Contractual transaction
c) Mutually Adaptive
d) Customer supply
ANSWER: a) Bare bones
6. In contractual transaction, there are ________ levels of trust, cooperation and

interaction.
a) High
b) Low
c) Medium
ANSWER: b) Low
7. In customer supply, _________ is the dominant form of governance.
a) Competition
b) Cooperation
c) Can't say
ANSWER: a) Competition
8. In_________ much trust and commitment lead to true partnership.
a) Cooperative systems
b) Mutually adaptive
c) Collaborative exchanges
ANSWER: c) Collaborative exchanges
9. The buyer-seller relationship in which buyers and seller make relationship

specific adaptations, without necessarily achieving strong trust or cooperation is:
a) Mutually adaptive
b) Mutually constructive
c) Mutually destructive
ANSWER: a) Mutually adaptive
10. Some form of cheating or under-supply relative to an implicit or explicit

contract:
a) Opportunism
b) Self-interest
c) Fraud
ANSWER: a) Opportunism
1. Relationship marketing is all about
Your Answer: Maintaining customer relationships
2. Relationship marketing is all about
Your Answer: Recognizing the lifetime value of the customer

Correct Answer: All of the above
Pg. 89
3. The goal of an organization should be to
Your Answer: Lose fewer potential customers at all costs

Pg. 89
4. Relationship marketing is especially applicable when
Your Answer: There is little supplier choice for alternatives

Correct Answer: There is ongoing and periodic desire for the service by
the customer
Pg. 93
5. The lifetime value of a customer can be viewed as
Your Answer: It is really not a business function that you can measure
from an accounting and financial perspective
Correct Answer: Net profit derived from doing business with a customer
during the time that the customer continues to buy from
you
Pg. 93
6. It is estimated that a ________ percent increase in customer loyalty can

produce a profit increase of 25-85%.
Your Answer: 5
7. Value ______ strategies are designed to rectify a lapse in service delivery.
Your Answer: created

Correct Answer: added
Pg. 102
8. _______ means building extra in the service in order to help improve

customer loyalty.

Correct Answer: Service augmentation
Pg. 101
9. In relationship marketing, true customer loyalty is built on
Your Answer: Good word of mouth and direct selling

Correct Answer: None of the above
Pgs. 103-104
10. Employee relationship marketing is commonly referred to as
Your Answer: Relationship maintenance

Correct Answer: Internal marketing
Pg. 108
11. The handling of customer complaints are
Your Answer: Typically done through empowerment recovery

Correct Answer: Inevitable and healthy
1. Which of the following is not considered a primary activity in the value chain
framework developed by Michael Porter?
Your Answer: (blank)
2. Which of the following is not considered a secondary activity in the value

chain framework developed by Michael Porter?
Your Answer: Firm infrastructure management

Correct Answer: Sales and service
3. In order to maintain leadership in its product offerings, which of the

following make or buy decision(s) will a firm undertake?
Your Answer: It will outsource the IT management function to a third

party.
Correct Answer: It will carry out the brand management function itself
and outsource the IT management function to a third
party
4. The core processes of a firm are:
Your Answer: Product innovation

Correct Answer: CRM, Product innovation and SCM
5. In order to maintain its core competence, high-end pharmaceutical firms

should focus on:
Your Answer: Sales and service
Correct Answer: Product innovations
6. In order to maintain its corporate image in the market, Wal-Mart should

focus on:
Your Answer: Brand building

Correct Answer: Supply chain management
7. For the purpose of identifying a firm’s core processes through product

architecture route, a sub-system is considered strategic if
Your Answer: It involves technologies that change rapidly.

Correct Answer: It involves fast changing technology, requires
specialized skills and has significant impact on the
performance of the product on important customer
attributes
8. Costs incurred in connection with the control and co-ordination of external

suppliers are known as:
Your Answer: Transaction costs
9. Costs incurred in connection with the control and co-ordination of internal

supply chain are known as
Your Answer: Transaction costs

Correct Answer: Agency costs
10. Which one of the following costs is tangible in nature?
Your Answer: Agency costs

Correct Answer: Economies of scale
11. Which one of the following is not true regarding relationship-specific asset?
Your Answer: It reduces costs.

Correct Answer: It can be redeployed for other customers without any
significant cost.
12. The items with high strategic importance and high supply risk are termed
as:
Your Answer: Strategic items
13. The items with low strategic importance and high supply risk are termed as:
Your Answer: Strategic items

Correct Answer: Bottleneck items
14. The items with high strategic importance and low supply risk are termed as:
Your Answer: Vital items

Correct Answer: Leverage items
15. The items with low strategic importance and low supply risk are termed as:
Your Answer: Routine items
16. Transaction costs do not include:
Your Answer: Costs incurred in control and coordination of internal supply
1. Building and sustaining long term business with customers is the aim of :
Your Answer: Customer management

2. There are four classic marketing activities involving customer selection,

acquisition, retention, and one other:
Your Answer: Customer differentiation

Correct Answer: Customer extension
3. By integrating customer databases with websites, marketing can be
improved and the benefits of electronic customer relationship management
(e-CRM) then include:
Your Answer: Lower costs

Correct Answer: All the above are correct
4. Permission marketing is an established approach and the concept of opt-in

typically involves:
5. An example of the concept of opt-out is:
Your Answer: A customer agreeing to receive an e-mail newsletter

Correct Answer: A customer unsubscribing to an e-mail newsletter
6. To engage a customer in an online relationship, the minimum information

that needs to be collected in an online form is:
Your Answer: E-mail address
7. A key CRM technique is to encourage existing customers to recommend

friends or colleagues to purchase. This is:
Your Answer: Referral
8. A key CRM technique is a sub-set of cross-selling, but in this case selling

more expensive products. This is:
Your Answer: Referral

Correct Answer: Up-sell
9. Using the RACE (Reach, Act, Convert, Engage) marketing value framework,
what does Reach aim to do?
Your Answer: Build customer relationships over time to achieve

retention rates
Correct Answer: Build awareness on other sites and in offline media and
drive to web presences
10. What would be a key performance indicator for the Reach step?
Your Answer: Revenue or goal value per visit
11. Which of the following refers to the propensity of customers to select

products online, but buy offline?
Your Answer: Offline purchase, offline informed

Correct Answer: Mixed-mode buying
12. Customers who are signed up for an online service but who have never used
it are described as:
Your Answer: None of the above

Correct Answer: Inactive
13. E-commerce managers aim to integrate an effective mix of electronic

communications to drive traffic to their e-commerce sites. Which answer
best represents an offline marketing strategy to generate website traffic?
Your Answer: Social media marketing

Correct Answer: TV advertising
14. When assessing marketing communications effectiveness, the cost of getting

the visitor to the website plus the cost of achieving the outcomes during
their visit is known as:
Your Answer: Allowable cost per acquisition

Correct Answer: Cost per acquisition
15. The online communications technique of search engine optimisation

involves:
Your Answer: Gaining a good ranking in the organic or natural listings of

search engines
16. The online communications technique of link building involves:

Your Answer: Gaining a good ranking in the organic or natural listings
of search engines
Correct Answer: Gaining a position in web directories like Yahoo!
17. A factor which will improve results from search engine optimization is:
Your Answer: Including the copy of a search term within a site's web page
1. Correct. You answered: b. mid-group relationships.
Relationships where employees perform their job acceptably, but not exceptionally well and
managers don’t think of them when looking for extra help or special assignments are:
The correct answer was: b. mid-group relationships.
2. Incorrect. You answered: b. volunteering for specific assignments.
To effectively communicate with your manager, which of the following guidelines should you
follow?
The correct answer was: d. all of the above.
3. Correct. You answered: d. all of the above.
In order to maintain cohesion with coworkers, you can:
The correct answer was: d. all of the above.
4. Correct. You answered: b. “I’m sorry, Jim. Our budget just isn’t allowing for us to place an order
for six months. But would you contact me in June and we can see how the fiscal year is going?”.
You have to tell a vendor that you can't work with him/her for this particular sale. What is the
best way to communicate that information?
The correct answer was: b. “I’m sorry, Jim. Our budget just isn’t allowing for us to place an
order for six months. But would you contact me in June and we can see how the fiscal year is
going?”.
5. Incorrect. You answered: d. none of the above.
What is the process of communicating with people outside the organization in a mutually
beneficial relationship called?.
The correct answer was: b. boundary spanning.
6. Incorrect. You answered: b. mentoring relationships.
Which of the following is NOT a form of informal work relationship?
The correct answer was: d. none of the above.
7. Incorrect. You answered: c. sequential task-completion culture.

Which type of culture-based workstyle prioritizes building relationships at the workplace over
results?
The correct answer was: b. relationship-oriented organizational culture.
8. Incorrect. You answered: a. ask for permission.
Which of the following is NOT a guideline for giving constructive criticism?
The correct answer was: d. ask the person what he/she believes they have done wrong.
1. Advertising and marketing are the same thing. True or false?
True
False
Answer:
False
2. The American Marketing Association’s definition of marketing is; ‘Marketing is the set of
activities which lead to profitable exchanges which add value to the seller’s business’. True or
false?
True
False
Answer:
False
3. A company which invests most of its budget into sales training and support of their sales
teams, is likely to have a market orientation. True or false?
True
False
Answer:
False
4. Transactional marketing is more concerned with making the immediate sale than with building
relationships. True or false?
True
False
Answer:
True
5. Regular customers are all brand loyal. True or false?
True
False
Answer:
False
6. Define the term ‘market’.
a. a place where similar products grouped together

b. a competitive high street
c. a place where buyers and sellers meet
d. a basket of goods
e. a shopping mall
Answer:
c. a place where buyers and sellers meet
7. How might you categorise the market for office photocopiers?
a. B2C
b. B2B
c. C2C
d. C2B
e. B2B
Answer:
b. B2B
8. What is the difference between the term ‘customer’ and the term ‘consumer’?
a. There is no difference.
b. The term consumer refers only to people who buy food and drink products.
c. Customers buy products but it is consumers who use them.
d. Customers make organisational rather than personal purchases.
e. Consumers buy products on behalf of customers.
Answer:
c. Customers buy products but it is consumers who use them.
9. In what way does an organisation’s ‘strategic orientation’ affect the way it operates?
a. It guides the organisation’s marketing activities and strategy.

b. It dictates appropriate sources of funding.
c. It assists the government in classifying the organisation.
d. It affects shareholders’ decisions about how the organisation should be run.
e. It helps an organisation to choose the best advertising strategy.
Answer:
a. It guides the organisation’s marketing activities and strategy.
10. Which form of strategic orientation focuses on customers and competition?
a. customer orientation
b. product orientation
c. sales orientation
d. societal orientation
e. market orientation
Answer:
e. market orientation
11. Why is marketing important in a demand-driven economy?
a. Consumers have lots of choice.

b. There is competition for customers.
c. Supply often exceeds demand.
d. All of the above.
e. None of the above.
Answer:
d. All of the above.
12. It is often said that marketing is about managing the exchange process. In an exchange one
person or organisation gives up something of value (e.g. a product) in return for something else
of value (e.g. money). If an exchange is based on good marketing principles, who benefits most
and how?
a. The seller manages to overcharge the customer without them realising it.
b. The buyer gets away without paying.
c. The seller persuades the customer that the product is better than it really is.
d. It is a fair exchange that makes both seller and buyer happy.
e. It is the most profitable exchange for the seller.
Answer:
d. It is a fair exchange that makes both seller and buyer happy.
13. It is generally recognised that one of the best ways to get an advertising message across is
through word of mouth, that is, getting people to pass on the message to friends and family. Why
is this such a successful way to get messages heard?
a. It is free as there is no need to do any advertising.

b. The message reaches lots of people fast and is more likely to be believed.
c. The message is not wasted on people who will not buy your products anyway.
d. The message keeps being passed on forever and so more people hear it.
e. The message can be more complicated as you have experts to explain it.
Answer:
b. The message reaches lots of people fast and is more likely to be believed.
14. Many consumers now ask other consumers for advice on products rather than consulting
manufacturers or retailers. What makes it easier for them to do this?
a. Modern mobile phones have internet connections and more sophisticated cameras.
b. New European regulations mean that manufacturers no longer have exclusive rights to
give advice and guidance about their products.
c. The Consumers’ Association has run a number of conferences and set up an advice
share network.
d. The government has encouraged manufacturers to delegate this responsibility to other
consumers in order to save costs.
e. Social networking sites, blogs and online reviews have made it easier and cheaper for
consumers to self-publish and communicate.
Answer:
e. Social networking sites, blogs and online reviews have made it easier and cheaper for
consumers to self-publish and communicate.
15. How is a ‘supply-led’ market characterised?
a. There is a surplus of goods for sale.

b. There is a shortage of goods for sale.
c. There is an exact match between goods available for sale and goods wanted for purchase.
d. There are no goods available.
e. There are too many suppliers.
Answer:
b. There is a shortage of goods for sale.
16. What is ‘marketing communications’ an alternative term for?
a. promotion
b. email
c. sales talk
d. price lists
e. product literature
Answer:
a. promotion
17. What is the point where the supply curve and the demand curve cross called?
a. breakeven point
b. equilibrium point
c. point of balance
d. apex point
e. maximising point
Answer:
b. equilibrium point
18. What is the term for a market in which products are sold to organisations who will use them
to make other products? For example, flour may be sold to a bakery which uses it to bake cakes.
a. consumer market
b. reseller market
c. B2B market
d. industrial market
e. supplier market
Answer:
d. industrial market
19. What are brand ambassadors?

a. salespeople who work on a particular brand, or range of brands
b. bloggers who advocate the benefits of branding
c. individuals who feel strongly about a brand and recommend it highly to other people
d. export agents who make the first approaches to distributors in a foreign market
e. the first people to try a new brand
Answer:
c. individuals who feel strongly about a brand and recommend it highly to other people
20. In a competitive market it is important to retain customers, keep them happy and increase the
value of their orders. One of the techniques that has evolved to assist with this is called:
a. cause-related marketing
b. transactional marketing
c. buzz marketing
d. customer relationship management
e. consumer data management
Answer:
d. customer relationship management
21. A retailer who has both an online and high street presence (e.g. John Lewis, Top Shop) is
sometimes referred to as bricks and ______.
Answer:
clicks
22. In the twentieth century, many organisations moved from a product focus to a ______ focus.
Answer:
customer
23. Peter Drucker, a world renowned marketer, once famously said, ‘The aim of marketing is to
make ______ superfluous’
Answer:
selling
24. Market ______ is vital in understanding customer needs and how to design products and
services to meet those needs.
Answer:
research
25. It is often said that 20 per cent of a firm’s customers generate ______ of its profits (the Pareto
principle).
Answer:
80 per cent
1. Maintaining and improving the growth of the customer-supplier relationship is known

as _________
a) Relationship Development
b) Customer Development
c) Supplier Development
d) Customer Satisfaction
View Answer
Answer: a
Explanation: Maintaining and improving the growth of the customer-supplier relationship
is known as relationship development. Relationship development is crucial for proper
establishment of customer-supplier relationships.
2. Which of the following is not a phase of quality inspection?

a) 100% inspection
b) Sampling inspection
c) 99% inspection
d) Inspection audit
View Answer
Answer: c
Explanation: 100% inspection, sampling inspection, and inspection audit are the different
phases of quality inspection. In addition to this, identity check is the fourth phase of quality
inspection.
3. In 100% inspection phase, _______ are inspected.

a) All the items
b) Some of the items
c) Most of the items
d) 99% of the items
View Answer
Answer: a
Explanation: In 100% inspection phase, all the items that are delivered by the supplier to
the customer is inspected. 100% inspection is one of the four phases of quality inspection.
4. Successful inspection during 100% inspection phase may make the customer switch to
sampling inspection during the next round of delivery from the supplier.
a) True
b) False
View Answer
Answer: a
Explanation: Successful inspection during 100% inspection phase may make the customer
switch to sampling inspection during the next round of delivery from the supplier. This is
because in 100% inspection all the delivered materials are inspected.
5. Success in sampling inspection may make the customer switch to auditing.

a) True
b) False
View Answer
Answer: a
Explanation: Success in sampling inspection may make the customer switch to auditing.
Auditing here refers to auditing the supplier’s performance. Sampling inspection and
inspection through auditing are the different phases of the quality inspection.
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6. At the audit phase, the customer has complete confidence in the supplier and initiates
_______
a) 100% inspection
b) Sampling inspection
c) Inspection audit
d) Identity checks
View Answer
Answer: d
Explanation: At the audit phase, the customer has complete confidence in the supplier and
initiates identity checks. This reduces the time taken for the conventional inspection
process and production runs continuously without any interruptions.
7. Proper training in quality, team work, and other management aspects is necessary for
_________
a) Customers
b) Suppliers
c) Customers and suppliers
d) It is not necessary
View Answer
Answer: c
Explanation: Proper training in quality, team work, and other management aspects is
necessary for both customers and suppliers. This is because they are interdependent and
miscommunications can hinder progress. Hence, proper knowledge is vital for both of
them.
8. Which of the following is not a form of invitation given to the supplier by the customer?
a) Seminars
b) Workshops
c) Courses
d) Ledger
View Answer
Answer: d
Explanation: Seminars, workshops, courses and exhibition are different ways in which
customers invite the suppliers. This forms a part of the training process. It also is a way to
establish mutual trust between both of them.
9. Which of the following is not a way of developing partnering relationship between

customer and supplier?
a) Inspection
b) Training
c) Team Approach
d) Recognition only
View Answer
Answer: d
Explanation: The partnering relationship between customer and supplier is developed by
inspection, training, team approach, and recognition. A firmly established relationship
between customer and supplier is essential for the success of any organization.
10. Which of the following is incorrect with respect to strengthening customer-supplier

relationship?
a) Reward and recognition concept
b) Team meetings should be held at both partners’ workplace
c) Both of them should be trained in quality, team work, and other management concepts
d) Reward and recognition should be abolished
View Answer
Answer: d
Explanation: Team meeting should be held at both partners’ workplace. The concept of
reward and recognition is also vital. Both supplier and customer must be trained in quality,
team work and other management concepts.
1. Suppliers are considered as partners in the organization.

a) True
b) False
View Answer
Answer: a
Explanation: In modern days, high quality and zero-defect products are greatly desired.
Hence, suppliers are treated as partners in the organization.
2. Continuous quality improvement cannot be translated into reality without treating

suppliers as partners.
a) True
b) False
View Answer
Answer: a
Explanation: Continuous quality improvement cannot be translated into reality without
treating suppliers as partners. A commitment to continuous quality improvement needs
the support of the suppliers.
3. The quality of the product is substantially affected by _______

a) Supplier quality
b) Supplier fund
c) Supplier money
d) Supplier name
View Answer
Answer: a
Explanation: In modern days, supplier quality is very important as defects are desired to
be resolved in the initial stages of production. So, a good supplier will supply good raw
materials or good intermediate materials.
4. Which of the following should not be included in a non-adversarial contract between

customer and supplier?
a) Quality
b) Quantity
c) Delivery method
d) Threat to quit
View Answer
Answer: d
Explanation: Quality, quantity, and delivery method should be included in a non-
adversarial contract between customer and supplier. The threat should never be a part of
the relationship between customer and supplier.
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5. Who gave the ten principles for customer/supplier relations?

a) Ishikawa
b) Deming
c) Crosby
d) Taguchi
View Answer
Answer: a
Explanation: Ishikawa gave the ten principles for customer/supplier relations. In modern
days, high quality and zero-defect products are greatly desired. Hence, suppliers are
treated as partners in the organization.
6. Both _____ and _____ are fully responsible for the control of quality.
a) Organization, supplier
b) Organization, ambassador
c) Supplier, ambassador
d) Ambassador, organization founder
View Answer
Answer: a
Explanation: Both organization and supplier are fully responsible for the control of quality.
A non-adversarial contract between supplier and organization is essential for delivering
high quality and zero-defect products.
7. Which of the following business activities must be performed by customers and

suppliers so that a friendly and satisfactory relationship is maintained between them?
a) Procurement only
b) Production and inventory planning only
c) Clerical work and systems only
d) Procurement, production and inventory planning, clerical works and systems
View Answer
Answer: d
Explanation: Procurement, production and inventory planning, clerical works and systems
are the business activities that must be performed by customers and suppliers so that a
friendly and satisfactory relationship is maintained between them. In the modern world,
the relationship between suppliers and customers holds vital importance.
8. Which of the following concept can be used for continually exchanging information
between suppliers and customers in order to improve the product or service quality?
a) Multifunctional teams
b) Product ambassador
c) Service ambassador
d) There is no such concept
View Answer
Answer: a
Explanation: By introducing multifunctional teams, information can be continually
exchanged between suppliers and customers in order to improve the product or service
quality. In the modern world, the relationship between suppliers and customers holds vital
importance.
1. “Benchmark” means____________
(1) Benches for customers to sit
ADVERTISEMENTS:
(2) Set standards

(3) Benches for salesmen to sit
(4) Products displayed on a bench
(5) All of the above
ADVERTISEMENTS:
Ans. (2)
2. A call centre is____________
(1) A meeting place for DSAs
(2) A training centre for DSAs
ADVERTISEMENTS:
(3) A meeting place for customers
(4) Data centre
(5) A back office set up where customer queries are answered
Ans. (5)
ADVERTISEMENTS:
3. The sequence of a sales process is____________

(1) Lead generation, call, presentation & sale
(2) Sale, presentation, Lead generation & call
(3) Presentation, Lead generation, Sale & Call
ADVERTISEMENTS:
(4) Lead generation, Call, Sale & Presentation

(5) There is no sequence required
Ans. (1)
4. ‘Value -added services’ means_____________
ADVERTISEMENTS:
(1) Additional services

(2) Better value at a premium
(3) Costlier services
(4) Better value at a discount
ADVERTISEMENTS:
(5) At services
Ans. (1)
5. To ‘Close a Call’ means____________
(1) To clinch the sale
(2) To end the conversation
(3) To put the phone down
ADVERTISEMENTS:
(4) To close the doors

(5) To close the business
Ans. (1)
6. ‘Customization’ means__________
(1) Tailor-made products for each customer
(2) Customers selling goods
ADVERTISEMENTS:
(3) Tailor-made products for each staff
(4) A selling process
(5) None of these
Ans. (1)
7. A ‘Call’ in marketing language means__________
(1) Calling on a salesperson
ADVERTISEMENTS:
(2) Calling on a customer

(3) Making a phone-call
(4) Telemarketing
(5) None of these
Ans. (5)
8. A marketing survey is required for____________
ADVERTISEMENTS:
(1) Deciding marketing strategies

(2) Deciding product strategies
(3) Deciding pricing strategies
(4) All of these
(5) None of these
Ans. (4)
ADVERTISEMENTS:
9. The target group for Education loans is________

(1) Meritorious students seeking higher education
(2) All colleges
(3) All parents
(4) Research scholars
(5) All of these
Ans. (1)
10. Cross-selling means___________
(1) Selling with a cross face
(2) Cross country marketing
(3) Selling to friends
(4) Selling other products to existing customers
(5) Selling to employees
Ans. (4)
11. Marketing segmentation is useful for__________
(1) Preferential marketing
(2) Targeting existing clients
(3) Identifying prospects
(4) Knowing customers’ tastes
(5) All of these
Ans. (5)
12. The target Group for savings deposit Accounts is
(1) Newborn babies
(2) Students
(3) Parents
(4) Businessman
(5) All of these
Ans. (2)
13. Market Segmentation can be resorted to by means of
(1) Segmenting by age
(2) Segmenting by income
(3) Segmenting by geographically
(4) All of these
(5) None of these
Ans. (4)
14. The target group for a Car loan is_____________
(1) All auto drivers
(2) All auto dealers
(3) All car owners
(4) Any individual needing a car
(5) All of these
Ans. (4)
15. Market information means_____________
(1) Knowledge of industries
(2) Knowledge of households
(3) Knowledge of peers
(4) Knowledge of customer’s tastes
(5) All of these
Ans. (4)
16. Bancassurance means____________
(1) Banks promising to give loans
(2) Bank promising to pay interest
(3) Banks selling insurance products
(4) Assurance to repay loans
(5) None of these
Ans. (3)
17. The target group for agricultural loan is________
(1) Any farmer
(2) Farm labourers
(3) Any individual dealing in agricultural or related activity
(4) Farmers’ societies
(5) All of these
Ans. (3)
18. The target group for credit card is_____________
(1) Existing cardholders
(2) All graduates
(3) All minors
(4) Individuals with taxable income
(5) All of these
Ans. (4)
19. Market segmentation means_____________
(1) Segmenting the salesmen
(2) Segmenting the employees
(3) Segmentation the customers as per their needs
(4) Segmenting the products
(5) All of these
Ans. (3)
20. A ‘Target Group’ means___________
(1) A group of sellers
(2) A group of buyers
(3) A group of products
(4) A group of person to whom sales should be focused
(5) All of these
Ans. (4)
21. Marketing is the art of___________
(1) Buying more
(2) Paying more
(3) Selling more
(4) Talking more
(5) Only land 2
Ans. (3)
22. Marketing of services is resorted in____________
(1) Manufacturing concerns
(2) Insurance business
(3) Hostels
(4) Only land 2
(5) Only 2 and 3
Ans. (5)
23. Marketing is a__________
(1) One day effort
(2) Team effort
(3) One man effort
(4) All the above
(5) None of the above
Ans. (2)
24. Service marketing is the same as___________
(1) Transaction marketing
(2) Relationship marketing
(3) Internal marketing
(4) Outdoor marketing
(5) All the above
Ans. (2)
25. Good marketing requires one of the following
(1) Proper planning
(2) Good team work
(3) Good communication skills
(4) Knowledge of products
(5) All of these
Ans. (2)
26. Marketing in banks is a necessity today, due to
(1) Liberalisation
(2) Nationalisation
(3) Fashion
(4) Urbanisation
(5) Marketing in banks is not necessary, as banking in India is more
than 200 years old
Ans. (1)
27. Marketing is influenced by__________
(1) Product demand
(2) Public taste
(3) Buyer behaviour
(4) Brand image
Ans. (5)
28. Market share means__________
(1) Share of business among peers
(2) Share market
(3) Share prices
(4) IPOs
(5) Scope for marketing
Ans. (1)
29. Marketing helps in__________
(1) Boosting production
(2) Getting new clients
(3) Interacting with strangers
(4) All of these
(5) None of these
Ans. (4)
30. A DSA helps in________
(1) Boosting direct sales
(2) Boosting sales through the net
(3) Strengthening indirect marketing
(4) Strengthening telemarketing
Ans. (1)
31. A DSA (Direct Selling Agent) is one___________
(1) Who sells through the internet
(2) Who works on the bank counters
(3) Who works in bank office setup
(4) Who sells direct to the client
Ans. (4)
32. Selling is_________
(1) Different from marketing
(2) A sub-function of marketing
(3) Same as marketing
(4) More than marketing
(5) None of these
Ans. (5)
33. A ‘Lead’ in marketing jargon, means__________
(1) A likely consumer
(2) A metal
(3) A leash
(4) A team leader
(5) None of these
Ans. (1)
34. Good selling skills involve____________
(1) Patience
(2) Presence
(3) Empathy
(4) Knowledge
(5) All of these
Ans. (5)
35. EMI stands for:
(1) Earnest Monthly Instalment
(2) Equated Money Instalment
(3) Equated Monthly Instalment
(4) Equated Major Instalment
(5) Essential Monthly Instalment
Ans. (3)
36. A true marketing mindset requires___________
(1) Control mindset
(2) Command mindset
(3) Passive mindset
(4) Active mindset
(5) Inert mindset
Ans. (4)
37. Innovation means_________
(1) Inspiration
(2) Enthusiasm
(3) Compensation
(4) Creativity
(5) All of these
Ans. (4)
38. Internal marketing means__________
(1) Marketing to self
(2) Marketing to family members
(3) Marketing to the staff members
(4) Marketing inside India
(5) Marketing outside India
Ans. (3)
39. Modern styles of marketing are____________
(1) Telemarketing
(2) Web marketing
(3) Advertisement on the net
(4) E-mails
(5) All of these
Ans. (5)
40. A good and effective DSA should_____________
(1) Copy the competitor company
(2) Criticize the competitor company
(3) Join the competitor company
(4) Be passive
(5) Be more effective than the competitor company
Ans. (5)
41. Prior to the Industrial Revolution, selling was no problem
and no sales team is required because
(1) Marketing was not a subject then
(2) People was not a subject then
(3) People don’t want to sell anything
(4) Small-scale enterprises dominated the economic scene
(5) None of these
Ans. (4)
42. A form of distribution in which manufacturer makes an
agreement, with a middleman in each market area stipulating
that the distribution of the product within that is to be
confined solely to that middleman is known as-
(1) Mass Distribution
(2) Exclusive agency distribution
(3) Selective distribution
(4) Price Distribution
(5) None of these
Ans. (2)
43. The long term objective of marketing is_________
(1) Customer Satisfaction
(2) Profit Maximisation
(3) Cost cutting
(4) Profit Maximisation with customer
(5) None of these
Ans. (4)
44. Which among the following is statistical indicator for
equality in income distribution?
(1) Gini Coefficient
(2) Price Indices
(3) GNP
(4) GDP
(5) None of these
Ans. (1)
45. Short term planning focuses on
(1) Functional Plans
(2) Long term objectives
(3) Specific Goals
(4) Both (1) and (3)
(5) None of these
Ans. (4)
46. In marketing terms, Attitude can best be defined as a
(1) Rude behaviour of salesperson
(2) Rude behaviour of Consumer
(3) Mental state of consumer
(4) Ego of the marketing executive
(5) None of these
Ans. (3)
47. The nominal scale used for marketing research, refers to
(1) Population characteristics based on age or sex or ownership of a
specific consumer durable
(2) Ordering of scale
(3) Both 1 and 2
(4) Neither 1 nor 2
(5) None of these
Ans. (1)
48. Reference group influences vis-a-vis consumption
decision, is a function of the
(1) Product category
(2) Group characteristics
(3) Group communication process
(5) None of these
Ans. (4)
49. Just in time (JIT) technique is getting wider acceptance
world over, the technique was first introduced in
(1) India
(2) Indonesia
(3) Japan
(4) America
(5) None of These
Ans. (3)
50. Gate Keepers___________
(1) Use the products
(2) Reports on product performance
(3) Control the flow of information into buying centre
(4) Issue challan for discharge of products
(5) None of these
Ans. (4)
51. Consumer Day is celebrated on____________
(1) 15th March
(2) 16th March
(3) 20th April
(4) 20th March
(5) None of these
Ans. (1)
52. A situation where by market is expanded by developing
new products to satisfy new consumer needs is called
(1) Market development
(2) Diversification
(3) Both land 2
(4) Neither 1 nor 2
(5) None of these
Ans. (2)
53. The level of commitment that consumers feel toward a
given brand is called
(1) Brand equity
(2) Brand name
(3) Brand loyalty
(4) Brand utility
(5) None of these
Ans. (3)
54. Assigning specific jobs and work places to the selected
candidates is known as____________
(1) Placement (2) Recruitment
(3) Transfer (4) Promotion
(5) None of these
Ans. (1)
55. As a counselor, a personnel manager__________
(1) Reminds the management of moral obligations towards employees
(2) Encourages the employees
(3) Tries to settle the disputes between labour and management
Ans. (2)
56. Which among the following is NOT included in fringe
benefits available to an employee?
(1) Old age survivors benefits
(2) Pensions
(3) Gratuities
(4) Both land 2
(5) None of these
Ans. (5)
57. Which among the following is an example of tele-
conferencing?
(1) Computer conferencing
(2) Audio conferencing
(3) Video conferencing
Ans. (4)
58. Information systems can assist managers by
(1) Providing information
(2) Providing data on internal sources
(3) Directing
Ans. (4)
59. Which among the following is a disadvantage of an EDI
system?
(1) Speed
(2) Errors
(3) Expensive
(4) Mismatch
(5) None of these
Ans. (3)
60. In online marketing, there is____________
(1) No exchange
(2) Exchange is the core of marketing
(3) Guarantee
(4) Only warranty
(5) None of these
Ans. (4)
61. EMI is marketing tool if
(1) It is very high
(2) It is very low
(3) It is increasing
(4) It is fluctuating
(5) It has no role as marketing tool
Ans. (2)
62. The target group for Home-loan is
(1) All body-builders
(2) Tiles manufacturers
(3) Housing societies
(5) Individuals not owning any house
Ans. (5)
63. Delivery Channels means:
(1) Sales outlets
(2) Purchased goods
(3) Product shelf-life
(4) Courier person
(5) Channel finance
Ans. (1)
64. Customer Relation can be ensured by:
(1) Offering freebies
(2) Offering loans at low rates
(3) Catchy slogans
(4) Giving incentives
(5) Personalized services
Ans. (5)
65. Standard marketing practices include
(1) Poaching
(2) Unhealthy competition
(3) Lowering the selling price
(4) Unhealthy discount scheme
(5) Phishing
Ans. (3)
66. Marketing of service is adopted in
(1) Grocery stores
(2) Garments trade
(3) Medicine shop
(4) Fruit stalls
(5) Hotels
Ans. (5)
67. Selling is _____________
(3) Offering discounts
(5) Nothing to do with marketing
Ans. (4)
68. Indirect marketing is the same as
(1) Onsite selling
(2) Using a smart-phone
(3) Viral marketing
(4) Advertisements
(5) Online marketing
Ans. (4)
69. ‘To close a call’ means
(1) To look for a new clients
(2) Telemarketing
(3) To clinch the sale deal
(5) Indoor marketing
Ans. (3)
70. Market size also means
(1) Marketing planning
(2) Market pricing
(3) Market space
(4) Market distribution
(5) Market channels
Ans. (4)
71. Digital Marketing is the same as
(2) Cross-selling
(3) Website designing
(4) Road shows
(5) Door-to-door marketing
Ans. (1)
72. Service Marketing is resorted to in
(1) All MNCs
(2) All production houses
(3) Industrial units
(4) Insurance companies and banks
(5) Fish markets
Ans. (4)
73. Customization results in
(1) Customer exit
(2) Customer retention
(3) Customer complaints
(4) Better balance sheet figures
(5) Better technology
Ans. (4)
74. The sole aim of marketing is to
(1) improve the balance sheet figures
(2) increase recruitments
(3) increase profits
(4) increase production
(5) increase branch network
Ans. (3)
75. Efficient marketing style requires
(1) Proper planning
(2) Good debating skills
(3) Arrogant staff
(4) Knowledge of many languages
(5) Ignorant customers
Ans. (2)
76. Target group means
(1) All employers
(2) All sales persons
(3) Intended buyers
(4) All industries
(5) Call center persons
Ans. (3)
77. ‘Push’ marketing style requires
(1) Collective effort
(2) Good pushing strength
(3) Lengthy talks
(4) Ability to identify the leads
(5) Aggressive marketing
Ans. (1)
78. Web marketing involves
(1) Selling websites
(2) Door-to-door marketing
(3) E-mail chatting
(4) Browsing the yellow page
(5) Web advertisements
Ans. (5)
79. The task of marketing involves
(1) Opening new branches
(2) Buying a company
(3) Selling a company
(4) Selling products and services of a company
(5) Mergers
Ans. (4)
80. Market space means
(1) Place where goods are sold
(2) Trade fairs and meals
(3) Road shows
(4) Scope available for selling
(5) Competition
Ans. (4)
81. Which one of the following Is NOT a target group for
saving accounts?
(1) Salaried persons
(2) Loss making companies
(3) Doctors
(4) Government employees
(5) Insurance agents
Ans. (2)
82. Target group for home loans is
(1) Existing creditors
(2) Persons having no house of their own
(3) Persons having one or more than one house
(4) Builders
(5) NRIs
Ans. (2)
83. Digital marketing is similar to
(1) Cold calling
(2) Web designing
(4) Market for cast
Ans. (3)
84. Full form of DSA is___________
(1) Delivery Staff Agency
(2) Direct Selling Agency
(3) Distributors and Supply Agency
(4) Driving Sales Ahead
Ans. (2)
85. In online marketing, there is____________
(1) Only warranty
(2) No exchange
(3) Exchange is the core of marketing
(4) Guarantee
Ans. (1)
86. Which of the following is a part of marketing?
(1) The Process of Creating Pricing
(2) Distribution
(3) Promotion
(4) All of these
(5) None of these
Ans. (4)
87. Marketing involves:
(1) Product
(2) Programme
(3) Problem
(4) All of these
(5) None of these
Ans. (1)
88. A total system of interacting business activities designed
to plan, price, promote and distribute want satisfying
Products and Services to Present and Potential Customers.
(1) A System of Production
(2) A system of Accounting
(3) A Product
(4) All of these
(5) None of these
Ans. (4)
89. Which is the essential of marketing?
(1) Marketing is a human activity
(2) Marketing is a Product
(3) Marketing is a knowledge
(4) All of these
(5) None of these
Ans. (1)
90. Marketing includes
(1) Consumer-oriented Process
(2) Certain market
(3) Socio-economic activity
(4) All of these
(5) None of these
Ans. (4)
91. Which is/are the functions of marketing?
(1) Pricing of goods and services
(2) Promotion
(3) Marketing Research
(4) Product Development
(5) All of these
Ans. (5)
92. What is the basis of marketing?
(1) Exchange
(2) Net Sales and Net Profit
(3) Profit
(4) Packaging
(5) All of these
Ans. (1)
93. Marketing is required in banks due to-
(1) Computerisation
(2) Increase in population
(3) Globalisation
(4) Government dictates
(5) None of these
Ans. (3)
94. Marketing is a Social-economic activity because:
(1) Marketing is related with Social Satisfaction
(2) It is a Social Person
(3) It is a Corporate Citizen
(4) All of these
(5) None of these
Ans. (1)
95. Certain market means-
(1) The place where functions of marketing is exercised
(2) Future market
(3) Present market
(4) All of these
(5) None of these
Ans. (1)
96. Which is the subject matter of Marketing?
(1) Machine, man and money
(2) Product or Service
(3) Capital
(4) Brand
(5) Place
Ans. (2)
97. Marketing is:
(1) a day to day function
(2) a one-off affair
(3) a one man show
(4) a collective process
(5) None of these
Ans. (4)
98. Which is the subject Matter of marketing?
(1) Man
(2) Labour
(3) Planning
(4) Word
(5) Goods and Services
Ans. (5)
99. Rural Marketing is related to-
(1) Book
(2) Car
(3) Rural product like-Agricultural tools
(4) Mobile
(5) TV
Ans. (3)
100. Which is the feature of Rural Market?
(1) Number of Consumer
(2) High Income
(3) Educated Population
(4) High Living Standard
(5) None of these
Ans. (1)
101. Lead generation means
(1) Tips for selling tactics
(2) Tips for better production
(3) Generating leaders
(4) Likely sources for prospective clients
(5) None of these
Ans. (4)
102. Marketing Channel means
(1) Delivery period
(2) Delivery time
(3) Delivery place
(4) All of these
(5) None of these
Ans. (4)
103. E-marketing is same as
(1) Virtual Marketing
(2) Digital Marketing
(3) Real time marketing
Ans. (4)
104. Marketing in Banks is:
(1) A one Day Function
(2) A One Man Function
(3) A One off Affair
(4) All of these
(5) None of these
Ans. (5)
105. Effective Marketing Helps in:
(1) Boosting the purchases
(2) Boosting the sales
(3) Diversified Business
(4) Realization of Dreams
(5) All of these
Ans. (2)
106. A “Buyer’s Market” means:
(1) buyers are also sellers
(2) sellers are also buyers
(3) there are not sellers
(4) demand exceeds supply
(5) supply exceeds demand
Ans. (5)
107. The sequence of sales process is
(1) a call, a lead, presentation, sale
(2) a lead, a call, presentation, sale
(3) presentation, sale, lead, call
(4) presentation, lead, sale, call
(5) sale, call, lead, presentation
Ans. (2)
108. A presentation means
(1) Display of products
(2) a gift
(3) explaining the utility of products
(4) display of communication skills
(5) All of these
Ans. (3)
109. Customer retention means:
(1) Retaining the customer at the bank for the full day
(2) quick disposal
(3) customer dealing with the same bank for a long time
(4) better standards
(5) all of these
Ans. (3)
110. Niche market means:
(1) a free market
(2) a social market
(3) equity market
(4) capital market
(5) a specified market for the target group
Ans. (5)
111. Which of the following is target customer?
(1) structure
(2) factors
(3) future customer
(4) suppliers and producers
(5) none of these
Ans. (3)
112. “Marketing is a mixture of mixture” this statement is
related to:
(1) product planning
(2) price determination
(3) cost
(4) saving
(5) marketing mix
Ans. (5)
113. Which of the following is the starting point of marketing?
(1) market
(2) production place
(3) buyer’s house
(4) seller’s house
(5) all of these
Ans. (1)
114. Which of the following customers are main customers of
a bank?
(1) customer
(2) employee
(3) society
(4) all of these
(5) none of these
Ans. (4)
115. For customer oriented company, customer satisfaction is:
(1) target
(2) marketing tool
(3) enterprise of profit
(4) both land 2
(5) all of these
Ans. (4)
116. Promotion mix contain(s):
(1) advertisement
(2) personnel sale
(3) sales promotion
(4) publicity
(5) all of these
Ans. (5)
117. Demand consists:
(1) want or need
(2) willingness to spend
(3) resource to purchase
(4) only 1 and 2
(5) all of these
Ans. (5)
118. All the market efforts starts with the discovery of:
(1) Product
(2) Needs & wants of consumers
(3) Corruption
(4) Valid Crime Case
(5) All of the Above
Ans. (2)
119. What type of relation is there between company and
suppliers?
(1) Direct
(2) Indirect
(3) Multilevel
(4) Social
(5) Private
Ans. (1)
120. What decision is taken under Planning?
(1) What to do?
(2) When to do?
(3) How to do?
(4) Why to do?
Ans. (5)
121. Out of the following_____________ is NOT one of the
three levels of a product.
(1) Core
(2) Augmented
(3) Actual
(4) Fragmented
(5) All of these
Ans. (4)
122. Out of the following______________ is NOT an
objective of pricing.
(1) Profit
(2) Stabilising demand and sales of the product
(3) Improvement in product quality
(4) Expansion of business
(5) All of these
Ans. (4)
123. Which of the following pricing methods is NOT based on
competitors pricing?
(1) English Auction
(2) Sealed-Bid Auction
(3) Group Pricing
(4) None of these
(5) All of these
Ans. (3)
124. A prospect means:
(1) any customer who walks into the bank
(2) an employee of the bank
(3) a customer who is likely to be interested in bank’s product or service
(4) a depositor of the bank’
(5) a borrower of the bank
Ans. (3)
125. Goods that are typically bought by a consumer based on a
comparison of suitability, quality, price & style are
called___________ goods.
(1) Industrial
(2) Specialty
(3) Shopping
(4) Convenience
(5) All of these
Ans. (3)
126. Innovation means:
(1) Compensation
(2) inspiration
(3) additional perquisites
(4) implementing new ideas or new methods
(5) None of these
Ans. (4)
127. A lead means:
(1) a prospect who is more likely to avail of the Bank’s product
(2) a political leader
(3) a religious leader
(4) a bank chairman
(5) None of these
Ans. (1)
128. A Call means:
(1) calling on friends
(2) calling on bank employees
(3) calling on prospective customers
(4) to make telephone calls
(5) calling on relatives
Ans. (3)
129. The Traditional Marketing style involves:
(1) Telemarketing
(3) Indirect Marketing
(4) Direct Marketing
Ans. (4)
130. Modern Method of Marketing include:
(1) Publicity on the net
(3) Soliciting business through e-mails
(4) Tele marketing
Ans. (5)
131. A true marketing requires:
(1) Command and other mindset
(2) Control Mindset
(3) Passive mindset
(4) Active mindset
(5) None of these
Ans. (4)
132. Which of the following sentences is TRUE?
(1) Marketing is not required in a Buyers’ Market
(2) Marketing is not required in a Sellers’s market
(3) Marketing is not required due to competition
(4) Marketing is not required due to liberalization
(5) Marketing is not required due to globalization
Ans. (2)
133. Market information means:
(1) Knowledge of shops and bazaars
(2) Knowledge of shopping malls
(3) Knowledge of customer profile and product mix
(4) Knowledge of various languages
(5) None of these
Ans. (3)
134. Market Research is needed for:
(1) checking the market area
(2) checking the right product to be sold
(3) making proper marketing decisions
(4) deciding right time to sell
Ans. (5)
135. For effective marketing the salesmen should have which
of these qualities?
(1) Creativity
(2) Team spirit
(3) Motivation
(4) Effective communication skills
(5) All of these
Ans. (5)
136. In market skimming pricing strategy:
(1) Initially price is higher and then it is reduced
(2) Initially price is lower and then it is increased
(3) Initial price is high and is maintained high
(4) Initial price is low and is maintained low
(5) None of these
Ans. (2)
137. Marketing plan helps in:
(1) better lead generation
(2) better systems
(3) better results
(4) improved balance sheet
(5) better customer service
Ans. (3)
138. If Marketing is done effectively which of the following is
NOT required?
(1) Publicity
(2) Advertisement
(3) Market Research
(4) Market Segmentation
(5) None of these
Ans. (1)
139. What is Motivation?
(1) Better communication skills
(2) Sales Coaching
(3) Market Research
(4) Inspiring the employees to perform better
(5) None of these
Ans. (4)
140. In a Selling Process in today’s world:
(1) Only standard products are sold
(2) No customization required
(3) the seller need not have product knowledge
(4) the seller should aim at customer satisfaction
(5) only quantum of sales matters
Ans. (4)
141. Find the TRUE statement:
(1) Marketing is a waste of the employees’ time
(2) Marketing is not required in India due to its vast population
(3) Marketing involves additional work
(4) Marketing involves team work
(5) Marketing is not required today due to IT advancement
Ans. (4)
142. A Target market is:
(1) entire country
(2) entire city
(3) entire globe
(4) that which consists of customers who need the identified product
(5) all of these
Ans. (4)
143. Sales forecasting involves:
(1) Sales Planning
(2) Sales Pricing
(3) Distribution Channels
(4) Consumer tastes
Ans. (5)
144. Which of the following product is being sold under the
brand name ZODIAC?
(1) Shirts
(2) Ties
(3) Both land 2
(4) Liberty
(5) None of these
Ans. (3)
145. SWIFT – cars are being manufactured by
(1) DCM
(2) Maruti
(3) Premier Automobiles
(4) Hyundai
(5) All of these
Ans. (2)
146. “With you all the way” is the slogan of:
(1) Vodafone
(2) SBI
(3) ICICI
(4) Raymonds
(5) All of these
Ans. (2)
147. Which company used the slogan “The complete Man”?
(1) DCM
(2) GRASIM
(3) RAYMONDS
(4) VIMAL
(5) All of these
Ans. (3)
148. Which brand uses the slogan “Made for each other” for
its cigarettes?
(1) Cavenders
(2) Four Square
(3) Red & White
(4) Wills
(5) All of these
Ans. (4)
149. The markets are grouped into different types based on
the geographical area, location of market palace, product,
nature of transaction, and volume of the transaction:
In the above statement the following is NOT correct:
(1) Nature of transaction
(2) Geographical area
(3) Location of marketplace
(4) Volume of transaction
(5) None of these
Ans. (3)
150. The following offering is NOT a service:
(1) Fixed deposit receipt
(2) Postage stamp
(3) Gift coupon of a chain store
(4) Insurance Policy
(5) All of these
Ans. (3)
151. The act of obtaining a desired object from someone by
offering something in return is called as a(n):
(1) Transaction
(2) Exchange
(3) Relationship
(4) Value
(5) All of these
Ans. (2)
152. Economists use the term_____________ to refer to a
collection of buyers and sellers who transact in a particular
product class.
(1) Customer
(2) Market
(3) Experience
(4) All of these
(5) None of these
Ans. (2)
153. Out of the items mentioned below_____________ is
NOT a product.
(1) Lecture by Shri Sudhansu Maharaj
(2) Shimla
(3) Visit to Bank’s London office
(4) None of these
(5) All of these
Ans. (3)
154. A product line is a group of related products that function
in a similar manner, are sold to the same customer groups,
and marketed through the same type of outlets:
(1) Group
(2) Line
(3) Category
(4) Market
(5) All of these
Ans. (2)
155. Which of the following pricing strategies is NOT ideal for
new products?
(1) Market-Skimming
(2) Discriminatory Pricing
(3) Promotional Pricing
(4) None of these
(5) All of these
Ans. (2)
156. A_________ discount is offered by the seller to
intermediary who performs functions like selling, storing and
record Keeping.
(1) Quantity
(2) Trade
(3) Cash
(4) Seasonal
(5) All of these
Ans. (2)
157. In market skimming pricing strategy:
(1) Initially price is lower and then it is increased
(2) Initially price is higher and then it is reduced
(3) Initial price is high and is maintained high
(4) None of these
(5) All of these
Ans. (2)
158. Bank of Mathura is offering 1 % higher interest rate on
fixed deposit to senior citizens of 60 years and above. It is
practicing ______________.
(1) Promotional pricing
(2) Psychological pricing
(3) Segmental pricing
(4) Product mix pricing
(5) All of these
Ans. (3)
159. With___________ pricing, the products are priced
below list price (or even below cost) for a temporary period to
create buying urgency.
(1) Reference
(2) By-product
(3) Promotional
(4) Market penetration
Ans. (3)
160. Digital Marketing means:
(1) Marketing of digital instruments
(2) Marketing through Advertisements
(3) Marketing through Internet and Telephones
(4) Both 1 & 3
Ans. (3)
161. Difference between Direct and Indirect Marketing is:
(1) Direct marketing is to employees of the concerned company, while
Indirect is to outsiders
(2) Direct marketing is to outsider, while Indirect is to employees of the
concerned company
(3) Direct Marketing is to Bank’s owner, Insiders is to outsiders
(4) Direct Marketing is to other Bank’s employees, Indirect outsiders
(5) None of these
Ans. (1)
162. Which of the following is the most logical budget setting
method?
(1) Affordable method
(2) Percentage-of-Sales method
(3) Competitive-parity method
(4) Objective-and-task method
(5) None of these
Ans. (4)
163. One common misuse of marketing research findings in
contemporary business is the tendency for marketing
research to:
(1) become a vehicle for pitching the sponsor’s products
(2) become a vehicle for discriminating in the marketplace
(3) become a means for raising prices
(4) become a means for unfair competition
(5) none of these
Ans. (1)
170. A ‘Buyers’ Market’ means:
(1) buyers are also sellers
(2) sellers are also buyers
(3) there are no sellers
(4) supply exceeds demand
(5) none of these
Ans. (4)
171. Market share analysis helps to track:
(1) Share price movements
(2) percentage share of business
(3) pricing strategy for share values
(4) All of these
(5) None of these
Ans. (2)
172. Marketing in Banks is required for:
(1) Getting new customers
(2) Retaining existing customers
(3) Lending
(4) Accepting of deposits
(5) All of these
Ans. (5)
173. Safe deposit locker can be canvassed among
(1) Persons below poverty line
(2) All existing account holders
(3) ATM cardholders
(4) Students
(5) None of these
Ans. (2)
174. EMI can be a marketing tool if
(1) It is very high
(2) EMI is increasing
(3) It is very low
(4) It is a flat rate
(5) None of these
Ans. (3)
175. The advantages of audience selectivity, no ad competition
and personalization apply to which type of media?
(1) Newspapers
(2) Television
(3) Direct Mail
(4) Radio
(5) None of these
Ans. (3)
176. Costs that do not vary with production or sales levels are
called:
(1) fixed costs
(2) variable costs
(3) standard costs
(4) independent costs
(5) None of these
Ans. (1)
177. If a company were to make a product such as a suit of
clothes and sold that product to a retailer, the company would
have sold to the _______ market.
(1) reseller
(2) business
(3) government
(4) service
(5) None of these
Ans. (1)
178. The shrinking of distances due to technological advance
such as computer and fax connections by telephone, are one
characteristic of what new challenge to marketing?
(1) Rapid globalization
(2) The changing world economy
(3) The call for more socially responsible marketing
(4) The micro-chip revolution
(5) None of these
Ans. (1)
179. The goal of the marketing logistics system should be to
provide:
(1) a targeted level of promotional support
(2) a targeted level of customer service at the least cost
(3) a targeted level of transportation expense ratio
(4) a targeted level of field support
(5) None of these
Ans. (2)
180. The practice of going after a large share of a smaller
market or subsets of a few markets is called ____________.
(1) undifferentiated marketing
(2) differentiated marketing
(3) concentrated marketing
(4) turbo marketing
(5) None of these
Ans. (3)
181. What are the 4 P’s in Marketing?
(1) purpose, place, product and promotion
(2) person, place, product and promotion
(3) price, place, product and promotion
(4) person, price, product and promotion
(5) None of these
Ans. (3)
182. Relationship selling means:
(1) Cross selling
(2) Selling to relatives
(3) telemarketing
(4) preparing a list of products to sell for customers
(5) None of these
Ans. (1)
183. Credit cards are used for____________.
(1) Cash withdrawals
(2) Purchase of air tickets
(3) Purchase of consumable items from retail outlets
(4) All of these
(5) None of these
Ans. (4)
184. Marketing is successful when:
(1) Demand exceeds supply
(2) Salesman are effectively trained
(3) Supply exceeds demand
(4) a company sell products at lower price
(5) None of these
Ans. (3)
185. A prospect means:
(1) a person who is working in a bank/ financial institution
(2) details of a company
(3) a likely buyer
(4) head of an financial institution
(5) None of these
Ans. (3)
186. NRI is an easy target for effective marketing because
_________.
(1) he likes Indian goods
(2) he is easily approachable
(3) it is cheaper to contact NRISs
(4) there are special products designed for NRIs
Ans. (1)
187. Study of marketing environment means
(1) study of company’s markets, customers and competitors
(2) study of economic environment
(3) study of current trends
(4) All of these
(5) None of these
Ans. (4)
188. A Market plan includes:
(1) market objectives
(2) market research
(3) pricing strategy
(4) situation analysis
(5) All of these
Ans. (5)
189. Customization is useful for:
(1) motivating the sales force
(2) to add variety in marketing
(3) value added service
(4) pleasing target customers
(5) None of these
Ans. (2)
190. Telemarketing campaigns are resorted to:
(1) avoid cold calls
(2) avoid buyer resistance
(3) avoid seller inhibitions
(4) reaching a wider audience
(5) none of these
Ans. (4)
191. Customer Retention means:
(1) retaining the customers at the Bank for the full day
(2) quick disposal
(3) customers dealing with the same bank for long time
(4) better standards
(5) None of these
Ans. (2)
192. The Traditional Marketing style involves
(1) Telemarketing
(5) None of these
Ans. (3)
193. Which is the technique used for effective marketing
planning?
(1) psychological tools for marketing
(2) goal oriented
(3) marketing research
(4) physical distribution
(5) All the above
Ans. (5)
194. ‘Niche’ Market means:
(1) a free market
(2) a social market
(3) equity market
(4) capital market
(5) a specified market for the target group
Ans. (5)
195. Banks sell insurance for:
(1) Earning more profits
(2) Increasing loans
(3) Increasing deposits
(4) Taking over insurance companies
(5) None of these
Ans. (1)
196. The sales process begins with
(1) Customer identification
(2) Sales presentation
(3) Lead generation
(4) Sales closure
(5) None of these
Ans. (3)
197. Service marketing is the same as_____________
(5) None of these
Ans. (2)
(1) Proper planning
(2) Good team work
(5) None of these
Ans. (2)
(1) Liberalisation
(2) Nationalisation
(3) Fashion
(4) Urbanisation
(5) None of these
Ans. (1)
200. Marketing is influenced by______________
(1) Product demand
(2) Public taste
(3) Buyer behaviour
(4) Brand image
Ans. (5)
201. Market share means_________________
(1) Share market
(2) Share prices
(3) IPOs
Ans. (5)
202. Marketing helps in_____________
(4) All of these
(5) None of these
Ans. (4)
203. A DSA (Direct Selling Agent) is one___________
(1) Who sells through the internet
(3) Who works on the bank counters
(4) Who works in bank office setup
(5) None of these
Ans. (2)
204. Selling is____________
(4) All of these
(5) None of these
Ans. (5)
205. A ‘Lead’ in marketing jargon, means___________
(1) A metal
(2) A leash
(3) A likely consumer
(4) A team leader
(5) None of these
Ans. (3)
206. In Banking services, market can be segmented on the
basis of:
(1) Density
(2) Customers
(3) Employee
(4) Both 1 and 2
(5) Neither 1 nor 2
Ans. (3)
207. Promotion in Marketing means:
(1) passing an examination
(2) elevation from one grade to another
(3) selling the products through various means
(4) selling the product in specific areas
(5) none of these
Ans. (3)
208. In ‘Double-win’ strategy:
(1) Customer gets an additional benefit
(2) Customer gets price debate
(3) Both customs and the sales person come out with sense of
satisfaction
(4) Both (1) and (2)
(5) None of these
Ans. (2)
209. Which among the following is NOT an example of Direct
marketing?
(1) Tele-marketing
(2) Sales on internet
(3) Mail order sales
(4) Retail stores
(5) None of these
Ans. (4)
210. A method, in which Brand equity is measured by
comparing difference between the retail price of the brand
and the retail price of an unbranded product in the same
category is called:
(1) Brand goodwill method
(2) Price premium method
(3) Marketing Integrated method
(4) Both land 2
(5) Neither 1 nor 2
Ans. (2)
211. A true marketing requires
(1) Command and order mindset
(2) Control mindset
(3) Active mindset
(4) Passive mindset
(5) None of these
Ans. (3)
212. A non-traditional, low cost, flexible and highly effective
marketing is termed as:
(1) Strategic marketing
(2) Guerilla Marketing
(5) None of these
Ans. (2)
213. Which of the following is the most appropriate reason for
Bank marketing?
(1) Globalization
(2) Variety of Banking products
(3) mergers
(4) Recession
(5) None of these
Ans. (1)
214. The choice between high markups and high volume is
part of which of the following retailer marketing decisions?
(1) Target market decisions
(2) Product assortment and services decisions
(3) Pricing decisions
(4) Promotion decisions
(5) None of these
Ans. (3)
1. A call center is______

(1) A meeting place for DCAs
ADVERTISEMENTS:
(2) A training center for DSAs

(3) A meeting center place for customers s
(4) Data center
(5) A back office setup where customer queries are answered
ADVERTISEMENTS:
Ans. (5)
2. The sequence of a sales process is________
(1) Lead generation, call presentation and sale
(2) Sale, presentation, lead generation, sale and call
ADVERTISEMENTS:
(3) Presentation, lead generation, sale and call

(4) Lead generation, call, sale and presentation
(5) There is no sequence required
Ans. (1)
ADVERTISEMENTS:
3. ‘Value-added services’ means_________

(1) Better value at a premium
(2) Costlier services
ADVERTISEMENTS:
(4) Better value at a discount
(5) At par services
Ans. (3)
4. To ‘Close a Call’ means_______
ADVERTISEMENTS:
(1) To end the conversation

(2) To put the phone down
(3) To close the door
(4) To clinch the sale
ADVERTISEMENTS:
(5) To close the business

Ans. (4)
5. ‘Customization’ means_______
(1) Tailor-made products for each customer
(2) Customers selling goods
(3) Tailor-made products for each staff
ADVERTISEMENTS:
(4) A selling process

(5) None of these
Ans. (1)
6. A ‘Call’ in marketing language means_________
(1) Calling on a sales person
(2) Calling on a customer
ADVERTISEMENTS:
(3) Making a phone-call

(4) Tele-marketing
(5) None of these
Ans. (2)
7. Computers manipulate data in many ways, and this
manipulation is called
(1) Upgrading
ADVERTISEMENTS:
(2) Processing
(3) Batching
(4) Utilizing
(5) None of these
Ans. (1)
8. A market survey is required for________
ADVERTISEMENTS:

(2) Deciding product strategies
(3) Deciding pricing strategies
(4) All of these
(5) None of these
Ans. (4)
ADVERTISEMENTS:
9. The Target Group for Education Loan is________

(1) All colleges
(2) All parents
(3) Research scholars
(4) Meritorious students seeking higher education
(5) All of these
Ans. (5)
10. Cross-selling means_______
(1) Selling with a cross face
(2) Cross country marketing
(3) Selling other products to existing customers
(4) Selling to friends
(5) Selling to employees
Ans. (3)
11. Market Segmentation is useful for
(1) Preferential marketing
(2) Targeting existing client
(3) Identifying prospects
(4) Knowing customers’ tastes
Ans. (5)
12. The Target Group for Savings Deposit Account is
(1) New born babies
(2) Students
(3) Parents
(4) Businessman
Ans. (5)
13. Market segmentation can be resorted to by means of
(1) Segmenting by age
(2) Segmenting by income
(3) Segmenting geographically
(4) All of these
(5) None of these
Ans. (4)
14. The target group for a car loan is________
(1) All auto drivers
(2) All auto dealers
(3) All car owners
(4) Any individual needing car
(5) All of these
Ans. (4)
15. Market information means_______
(1) Knowledge of industries
(2) Knowledge of household
(3) Knowledge of peers
(4) Knowledge of customers tastes
(5) All of these
Ans. (5)
16. Bancassurance means_______
(1) Banks promising to give loans
(2) Bank promising to pay interest
(3) Banks selling insurance products
(4) Assurance to repay loans
(5) None of these
Ans. (3)
17. The target group for agricultural loan is________
(1) Any farmer
(2) Farm labourers
(3) Any individual dealing in agricultural or related activity
(5) All of these
Ans. (5)
18. The target group for credit cards is________
(1) Existing cardholders
(2) All graduates
(3) All minors
(4) Individuals with taxable income
(5) All of these
Ans. (4)
19. Market segmentation means________
(1) Segmenting the salesmen
(2) Segmenting the employees
(3) Segmenting the customers as per their needs
(4) Segmenting the products
(5) All of these
Ans. (3)
20. A ‘Target Group’ means________
(1) A group of sellers
(2) A group of buyers
(3) A group of products
(4) A group of persons to whom sales should be focused
(5) All of these
Ans. (4)
21. Direct marketing means
(1) Advertisements
(2) Banners
(3) Face-to-face selling
(4) Selling by all staff
(5) Achieving targets
Ans. (3)
22. Web marketing involves
(1) Selling web cameras
(2) Web advertisements
(3) E-mail chatting
(4) Browsing the web
(5) Door-to-door canvassing
Ans. (2)
23. The ultimate aim of the marketing is to provide
(1) More business to the company
(2) More profit
(3) More staff
(4) More production
(5) More products
Ans. (1)
24. Selling process includes
(1) Publicity
(2) Lead generation
(3) Cross-country contacts
(4) Product designing
(5) Product re-designing
Ans. (2)
25. Market share means
(1) Paid-up capital
(2) Shares held by employees
(3) Shares of business volume as compared to other companies
(4) Share price of the company quoted in the market
(5) Sensex
Ans. (3)
26. Market share can be increased by
(1) Increasing the number of sales person
(2) Increasing the sales volume
(3) Increasing the products
(4) Increasing production
(5) Rewriting profits
Ans. (2)
27. Market segmentation means_______
(1) Segmentation of sales teams
(2) Allocation of territory
(3) Sales arrangement
(4) Segmentation of target group according to their needs
(5) Market share
Ans. (3)
28. Target group of education loans is
(1) All school students
(2) All college students
(3) All colleges
(4) All schools
(5) All hospitals
Ans. (2)
29. Referral means_______
(1) Sales person
(2) All customers
(3) Lead provided by operation staff
(4) Calling the existing purchasers
(5) All purchasers
Ans. (3)
30. “USP” in marketing means________
(1) Unique selling practices
(2) Uniform selling practices
(3) United sales persons
(4) Unique selling proposition
(5) Useful sales person
Ans. (4)
31. The meaning of ‘conversion’ in terms of sale is
___________
(1) Designing new products
(2) Converting purchaser into sellers
(3) Converting seller into purchasers
(4) Converting perspective customers into purchasers
(5) Conversion of religion
Ans. (4)
32. On-line marketing is mostly useful for marketing of
(1) Saving accounts
(2) Credit cards
(3) Home loans
(4) NRI deposits
(5) Business accounts
Ans. (3)
33. Cross-selling means
(1) City to city sales
(2) Selling with cross face
(3) Selling with crossed finger
(4) Selling products to existing customers
(5) Cold calling
Ans. (4)
34. Marketing strategy means________
(1) Ideas for new employment
(2) Old techniques of selling
(3) Techniques for improving marketing activities
(4) Techniques for increasing production
(5) Networking
Ans. (3)
35. Target group means_______
(1) All purchasers
(2) All sales persons
(3) Targeted purchasers
(4) All consumers
(5) Delivery persons
Ans. (1)
36. What is the USP of saving accounts?
(1) High rate of interest
(2) Easy operation
(3) Risky transactions
(4) Expensive transactions
(5) Back office facility
Ans. (2)
37. Which one of the following is not a target group for saving
accounts?
(1) Salaried persons
(2) Loss making companies
(3) Doctors
(4) Government employees
(5) Insurance agents
Ans. (2)
38. Target group for home loans is_______
(1) Existing creditors
(2) Persons having no house of their own
(3) Persons having one or more than one house
(4) Builders
(5) NRIs
Ans. (2)
39. Digital Marketing is similar to_______
(2) Cold calling
(3) Web designing
(4) Market fore-cast
Ans. (1)
40. Full form of DSA is______
(1) Delivery Staff Agency
(2) Direct Selling Agent
(3) Direct Supplier Agent
(4) Distribution and Supply Agency
(5) Driving Sales Ahead
Ans. (2)
41. Digital Banking can be resorted through:

(1) Mobile phones
(2) Internet
(3) Telephones
(4) All of these
(5) None of these
Ans. (4)
42. Delivery channels means
(1) Maternity wards
(2) Handing over the products to the buyers
(3) Place where products are made available to the buyers
(4) All of these
(5) None of these
Ans. (3)
43. Market expansion means
(1) Hiring more staff
(2) Firing more staff
(3) Buying more products
(4) Buying more companies
(5) Growth in sales through existing and new products
Ans. (5)
44. Effective marketing helps in
(1) Developing new product
(2) Creating a competitive environment
(3) Building demands for products
(4) All of these
(5) None of these
Ans. (4)
45. One of the methods for market monitoring is
(1) To watch T.V serials
(2) To discuss with other sales persons
(3) To monitor media outlets
(4) All of these
(5) None of these
Ans. (2)
46. Sources of sales leads are_____
(1) Data mining
(2) Market research
(3) Media outlets
(4) Promotional programs
(5) All of these
Ans. (5)
47. Promotion to marketing means______
(1) Passing an examination
(2) Elevation from one grade to another
(3) Selling the products through various means
(4) Selling the products in specific area
(5) All of these
Ans. (3)
48. A call in marketing means
(1) To phone the customers
(2) To visit the customers
(3) To visit the marketing site
(4) To call on prospective customers
(5) None of these
Ans. (4)
49. Value-Added service means:
(1) Costlier products
(2) Additional benefits at the same cost
(3) Extra work by the sales persons
(4) All of these
(5) None of these
Ans. (5)
50. Rural Marketing can be more effective if it is arranged
through
(1) Meals
(2) Village fairs
(3) Door to door campaigns
(4) All of these
(5) None of these
Ans. (4)
51. The target group for marketing of educational loan is
(1) All customers
(2) Students
(3) Only poor students
(4) Students with good academic record
(5) All of these
Ans. (4)
52. After sales service is not the job of:
(1) Marketing staff
(2) Sales persons
(3) Directors of the company
(4) Employees of the company
(5) All of the above are false
Ans. (5)
53. Innovation means
(1) Product designing
(2) New ideas
(3) Motivation
(4) Only (1) and (2)
(5) Only (2) and (3)
Ans. (4)
54. A good sales person should have following
quality/qualities
(1) Job commitment
(2) Sociability
(3) Empathy
(4) All of these
(5) None of these
Ans. (4)
55. Successful marketing aims at______
(1) Increasing the sales volume
(2) Increasing the profits
(3) Increasing the output of the sales persons
(4) All of these
(5) None of these
Ans. (4)
56. Internet marketing means _______
(1) Marketing to oneself
(2) Marketing to the core group
(3) Marketing to the employees
(4) All of these
(5) None of these
Ans. (5)
57. Market survey means_______
(1) Market research
(2) Market plan
(3) Marketing strategies
(4) Market monitoring
(5) All of these
Ans. (1)
58. Rural marketing need not be resorted to because_______
(1) Rural persons do not understand marketing
(2) It is not cost viable
(3) It is a waste of time
(4) All the statement are false
(5) All the statement are true
Ans. (4)
59. Networking makes marketing_________
(1) Very difficult
(2) Very cumbersome
(3) Easy to handle
(4) Has no role in marketing
(5) None of these
Ans. (3)
60. The target group for marketing of Internet Banking is
(1) All customers
(2) All literate customers
(3) All computer literate customers
(4) Only borrowers
(5) All of these
Ans. (3)
61. Marketing is the combined study of______
(1) Buyer’s behaviour and consumer tasks
(2) Product demand and product supply
(3) Brand building and publicity
(4) Sales force abilities and customer responses
(5) All of these
Ans. (5)
62. Effective marketing helps in______
(1) Boosting the sales
(2) Boosting the purchases
(3) Boosting the demand and supply
(4) All of these
(5) None of these
Ans. (4)
63. Market size means_____
(1) Size of the sales team
(2) Size of the company
(3) Scope for profit
(5) None of these
Ans. (4)
64. Market share means_____
(1) Share market
(2) Sensex
(3) Market changes
(4) Market demands
(5) Share of business among pears
Ans. (5)
65. Direct marketing means_____
(1) Face to face marketing
(2) Over the counter marketing
(3) Door to door marketing
(4) All of these
(5) None of these
Ans. (4)
66. A “Lead” means_____
(1) A buyer
(2) A seller
(3) Employee
(4) Employer
(5) None of these
Ans. (1)
67. DSA means________
(1) District Sales Authority
(2) Direct Selling Agent
(3) Distributor and Sales Agents
(4) Distributor and State Agent
(5) None of these
Ans. (2)
68. A DSA’s main function is_____
(1) To boost customer contacts
(2) To boost emails
(3) To boost telemarketing
(4) All of these
(5) None of these
Ans. (1)
69. A “prospect” means_____
(1) Company’s prospectus
(2) Company’s memorandum of association
(3) A likely buyer
(4) A likely seller
(5) None of these
Ans. (3)
70. To “close a call” means__________
(1) To clinch the sales
(2) To abandon the sales
(3) To lose the business
(4) To annoy the customer
(5) To exit from the sales team
Ans. (3)
71. Good selling skill calls for______
(1) Patience
(2) Perseverance
(3) Persuasion
(4) Pursuit
(5) All of these
Ans. (5)
72. Marketing channels means______
(1) Delivery time
(2) Delivery period
(3) Sales outlets
(4) Purchase outlets
(5) All of these
Ans. (5)
73. Value added services means_____
(1) Additional cost
(2) Additional production
(3) Additional staff
(5) All of these
Ans. (4)
74. A “Target Group” means _________
(1) Group of salesman targeting the customers
(2) Likely buyers
(3) Group of products
(4) Group of companies
(5) All of these
Ans. (5)
75. “USP” in marketing means______
(1) Useful sales procedures
(2) Useful selling propositions
(3) Useful sales persons
(4) Used sales plans
(5) Unique selling propositions
Ans. (5)
76. “ATM” stands for_________
(1) Anywhere marketing
(2) Anytime marketing
(3) Anytime money
(4) Automated teller machine
(5) Automatic timely machine
Ans. (4)
77. Market plan is a_____
(1) Selling process
(2) Year-end-budget
(3) Calendar
(4) Business document for marketing strategies
(5) All of these
Ans. (4)
78. Market segmentation means dividing __________
(1) The market group into homogeneous groups
(2) The market process into easy steps
(3) The sales teams into small groups
(4) All of these
(5) None of these
Ans. (1)
79. “HNI” means_____
(1) Highly Non-Interested Individuals
(2) Highly Needy Individuals
(3) High Network Individuals
(4) Highly Negative Individuals
(5) None of these
Ans. (3)
80. Digital marketing includes-Find the incorrect answer
(1) Web advertisement
(2) E-mail canvassing
(3) Blogs
(4) SMS campaigns
(5) Mobile alerts
Ans. (5)
81. Marketing can be effected by_________
(1) Bringing in new customers
(3) Selling more to existing customers
(4) Quality pre and post sales service
(5) All of these
Ans. (4)
82. Of the 4P’s of marketing, 3 are product, place and
promotion, which is the 4th P?
(1) Price
(2) Pricing
(3) Purpose
(4) Pride
(5) Pursuit
Ans. (1)
83. Innovation in marketing means:
(1) Good commutation skills
(2) Good negotiation skills
(3) Spirited motivation
(4) Novel methods of selling
(5) Tired of marketing
Ans. (4)
84. Telemarketing involves___________
(2) High level of motivation
(3) Door-to-door campaigns
(4) Event management
(5) All of these
Ans. (1)
85. Online marketing is_______
(1) Same as face-to-face marketing
(2) Easier than traditional marketing
(3) Boring as customers are not visible
(4) Voluminous task
(5) None of these
Ans. (2)
86. A mission statement is______
(1) Same as vision statement
(2) Same as targets
(3) Part of the marketing plan
(4) All of these
(5) None of these
Ans. (4)
87. Market research is required for
(1) Deciding sales volume
(2) Deciding production levels
(4) Deciding sales team numbers
(5) All of these
Ans. (5)
88. Market segmentation means _________
(1) Dividing then sales team into small groups
(2) Dividing the marketing process into small steps
(3) Dividing the territory into small areas
(4) Dividing the target groups into homogeneous groups
(5) All of these
Ans. (4)
89. Market segmentation is required
(1) For avoiding old calls
(2) To increase production
(3) For territory allocation
(4) For focused marketing
(5) For increasing profits
Ans. (4)
90. Motivation for sales persons can be achieved through
(1) High success rate of conversion
(2) Better sales incentives
(3) Continuous training and updating of knowledge
(4) Support from operation staff
(5) All of these
Ans. (5)
91. Marketing of education loans can be done by
(1) Approaching eligible loans
(2) Approaching the parents
(3) Approaching colleges
(4) Having tie-ups with educational institutes
(5) All of these
Ans. (5)
92. Diversification means______
(1) Attaching more customers
(3) Increasing sales volume
(4) All of these
(5) None of these
Ans. (4)
93. Education loans can be more effectively canvassed by
(1) Door-to-door campaigns
(2) E-mail contacts
(3) Diversification
(4) Tie-up with colleges
(5) All of these
Ans. (4)
94. One of the following is not a function of retail building
(1) Accepting fixed deposit
(2) Giving home loan
(3) Giving education loan
(4) Joint ventures
(5) None of these
Ans. (4)
95. The target group for fixed deposit is________
(1) All individuals
(2) All corporate
(3) NRI’s
(4) Government bodies
(5) All of these
Ans. (5)
96. Data mining means______
(1) Same as database
(2) Same as data warehouse
(3) Market survey
(4) Analyzing the data on customers
(5) None of these
Ans. (4)
97. Customer database is_______
(1) Useful for lead generation
(2) Useful for cross selling
(3) Useful for CRM
(4) Useful for customization of products
(5) All of these
Ans. (5)
98. Data warehouse is_______
(1) A godown
(2) A shop selling computers
(3) A showroom
(4) A system where data on customers is stored
(5) None of these
Ans. (4)
99. Retail banking is_______
(1) Retail shopkeepers
(2) Banks financing to retail traders
(3) Same as Universal Banking
(4) Giving loans to corporates
(5) Giving consumer loans to various public
Ans. (5)
(1) Proper planning
(2) Good team work
(5) All of these
Ans. (5)
101. Marketing is a_______
(1) One day effort
(2) Team effort
(3) One man effort
(4) All of these
(5) None of these
Ans. (2)
102. Service marketing is the same as________
(5) None of these
Ans. (2)
103. Marketing is influenced by________
(1) Product demand
(2) An public taste
(3) Buyer behaviour
(4) Brand image
(5) All of these
Ans. (5)
____________
(1) Liberalization
(2) Nationalization
(3) Fashion
(4) Urbanization
(5) Marketing in banks is not necessary, as banking in India is more
than 200 years
Ans. (1)
105. Marketing helps in_______
(4) All of these
(5) None of these
Ans. (1)
106. Marketing of services is resorted in_________
(1) Manufacturing concerns
(2) Insurance concerns
(3) Hostels
(4) Only (1) and (2)
(5) Only (2) and (3)
Ans. (5)
107. Marketing is the art of______
(1) Buying more
(2) Paying more
(3) Selling more
(4) Talking more
(5) Only (1) and (2)
Ans. (3)
108. Market share means_______
(1) Share market
(2) Share prices
(3) IPOs
Ans. (5)
109. A DSA (Direct Selling Agent) is one________
(1) Who sells through the Internet
(3) Who works on the Bank Counters
(4) Who works in back office setup
(5) None of these
Ans. (2)
110. Internal marketing means________
(1) Marketing to self
(2) Marketing to family members
(3) Marketing to the staff members
(4) Marketing inside India
(5) Marketing outside India
Ans. (3)
111. A good and effective DSA should________
(1) Copy the competitor company
(2) Criticize the competitor company
(3) Join the competitor company
(4) Be passive
(5) Be more effective than the competitor company
Ans. (5)
112. A DSA helps in______
(1) Boosting direct sales
(2) Boosting sales through the net
(3) Strengthening Indirect Marketing
(4) Strengthening Telemarketing
(5) All of these
Ans. (5)
113. Which of the following statements is correct
(1) Marketing is not required due to globalization
(2) Marketing causes higher expenses and losses
(3) Marketing is not required in profit- making companies
(4) Marketing sharpens the minds of the employees
(5) Marketing is a waste of time in established companies
Ans. (4)
114. A true marketing mindset requires_________
(1) Control mindset
(2) Command mindset
(3) Passive mindset
(4) Active mindset
(5) Inert mindset
Ans. (4)
115. Modern styles of marketing are________
(1) Telemarketing
(2) Web marketing
(4) E-mails
(5) All of these
Ans. (5)
116. Selling is_____
(2) A sub-function from marketing
(5) None of these
Ans. (2)
1. Broadband provision is an example of a service industry.

True
False
Answer:
True
2. Car insurance and IT consultancy are products. True or false?
True
False
Answer:
True
3. Services do not contribute to a country’s economy as they do not result in any net increase in
wealth. True or false?
True
False
Answer:
False
4. Increases in leisure time are one of the reasons behind the growth of service industries.
True
False
Answer:
True
5. Products can be categorised as either goods or services. Very few have significant elements of
both. True or false?
True
False
Answer:
False
6. What are the typical characteristics of services?
a. Services confer benefits; are tangible; are time- and place-dependent; are consistent;
cannot be owned; and providers and consumers form part of the service.
b. Services confer no benefits; are intangible; are time- and place-dependent; are
inconsistent; cannot be owned.
c. Services are intangible; are time- and place-dependent; are inconsistent; cannot be
branded; and providers and consumers form part of the service.
d. Services confer ownership; are intangible; can be consumed at any time or place; are
inconsistent; and providers form part of the service.
e. Services confer benefits; are intangible; are time- and place-dependent; are inconsistent;
cannot be owned; and providers and consumers form part of the service
Answer:
e. Services confer benefits; are intangible; are time- and place-dependent; are inconsistent;
cannot be owned; and providers and consumers form part of the service
7. There are 7Ps in the services marketing mix. What are the additional 3Ps?
a. people, physical evidence and process

b. peripheral products, packaging and people
c. people, physical evidence and presentation
d. physical evidence, presentation and process
e. process, pricing and packaging
Answer:
a. people, physical evidence and process
8. What is the most likely core benefit of a cross channel ferry service?
a. getting from Britain to France safely

b. not being seasick
c. good food
d. a comfortable cabin
e. fast check in procedures
Answer:
a. getting from Britain to France safely

9. What is a ‘service encounter’?
a. a bad service experience

b. the actual handing over of payment for the service
c. an argument between customer and service provider
d. the time during which a customer receives a service
e. the customer’s reaction to the service
Answer:
d. the time during which a customer receives a service
10. Parasuraman et al.’s model proposes five dimensions that contribute to service quality:
tangibles, reliability, assurance, responsiveness and empathy. What is this model called?
a. TRARE
b. QUALSERVE
c. SERVQUAL
d. SQUAL
e. ERRAT
Answer:
c. SERVQUAL
11. A concert ticket is primarily an example of which element of the marketing mix?
a. process
b. physical evidence
c. packaging
d. price
e. place
Answer:
12. Some fast food chains have detailed instructions about how staff should prepare the food.
There are timers to tell them when the chips are cooked and even painted footprints on the floor
to show where they should stand. Which element of the marketing mix are they trying to control?
a. process
c. packaging
d. price
e. place
Answer:
a. process
13. Why is it more difficult to brand services than to brand goods?
a. The rules are tougher.

b. It is harder to make a service consistent.
c. There is no way to measure service quality.
d. There is no packaging to put a logo on.
e. It is impossible to develop a positioning statement for a service.
Answer:
b. It is harder to make a service consistent.

14. Why is it generally harder for service industry managers to cope with peaks and troughs in
demand for their products?
a. Services are inconsistent.

b. There are no salespeople to help with forecasting.
c. Payment is usually made after the service has been provided.
d. Most service customers are not brand loyal.
e. Service products cannot usually be stored.
Answer:
e. Service products cannot usually be stored.
15. What are people who work with information rather than in manufacturing or in more
traditional service industries called?
a. knowledge workers
b. technologists
c. info techs
d. IT users
e. project managers
Answer:
a. knowledge workers
16. Outsourcing has advantages and disadvantages. Name one advantage of outsourcing.
a. delegating responsibility for the organisation’s relationship with its clients

b. being able to draw on specialist expertise that the organisation does not have
c. enhancing the organisation’s staff’s own skill set
d. building stronger customer relationships
e. making managing budgets easier
Answer:
b. being able to draw on specialist expertise that the organisation does not have
17. Two diners complain about a restaurant’s slow service but are delighted to be given a free
bottle of wine and canapés to make the wait less tedious. In the end, they thoroughly enjoy their
evening. In terms of services marketing, what is this a good example of?
a. service encounter
b. service quality
c. process
d. service recovery
e. promotion
Answer:
d. service recovery
18. What is the term given to the total (and frequently complex) environment in which a service is
delivered?
a. multiverse
b. whole environment
c. ambience
d. decor
e. servicescape
Answer:
e. servicescape
19. A cinema’s automated booking service is primarily part of which of the marketing mix
elements?
a. product
b. peripheral product
c. price
d. process
e. physical evidence
Answer:
d. process
20. One of the problems that comes from the intangibility of services is that they are perceived as
higher risk purchases than goods are. Which of the following is most likely to reassure a customer
who has paid in advance for a Centre Court seat at Wimbledon that they will in fact get to see the
tennis?
a. the tournament’s reputation

b. the advertising
c. the weather forecast
d. an expensive and official looking ticket
e. the website
Answer:
d. an expensive and official looking ticket
21. The _______ element of a product is now often the key (if not only) way to differentiate a goods
item (physical product) from its competitors.
Answer:
service
22. The less ______ the service, the more likely it is that it can be performed remotely (i.e. without
customer and service provider being present at the same time).
Answer:
personal
23. One obvious strategy to overcome fears associated with the service product’s ______ is to turn
it into something more tangible.
Answer:
intangibility
24. The tangible aspects of a service are known as ______ evidence.
Answer:
physical
25. Services are transient. They happen at a particular time and cannot be ______ for later sale or
use.
Answer:
stored
1. When a consumer’s current state matches their desired state it means that they have a
problem or an unfulfilled need. True or false?
True
False
Answer:
False
2. The consumer’s level of involvement in a purchase decision has a direct bearing on how they
make that decision and how much time they spend on it. True or False?
True
False
Answer:
True
3. An attitude describes the way people behave when faced with difficult decisions. True or false?
True
False
Answer:
False
4. Perception is the process by which people select, organise and interpret sensory stimulation
(sounds, visions, smell and touch) into a meaningful picture of the world. Without our perception,
we would understand nothing. True or false?
True
False
Answer:
True
5. Language, literature, music and beliefs are all elements of a society’s culture. True or false?
True
False
Answer:
True
6. What is the first stage in the purchase decision process?
a. situation analysis
b. information search
c. price comparison
d. need or problem recognition
e. an advert
Answer:
d. need or problem recognition
7. What is the final stage in the purchase decision process?
a. purchase
b. post-purchase evaluation
c. word of mouth
d. pre-purchase evaluation
e. price
Answer:
b. post-purchase evaluation
8. What is a consumer’s awareness set?
a. the products that a consumer has heard of that may solve their problem
b. the adverts that a consumer likes
c. everything a consumer knows about a product
d. the products that a consumer is seriously considering buying
e. the manufacturers that a consumer has heard of
Answer:
a. the products that a consumer has heard of that may solve their problem
9. What is at the highest level of Maslow’s hierarchy of needs?
a. esteem needs
b. self-actualisation needs
c. social needs
d. safety needs
e. physiological needs
Answer:
b. self-actualisation needs
10. What does the term ‘evoked set’ mean?
a. products that have caused complaints

b. a customer’s close friends
c. a consumer’s shortlist of possible purchases
d. products that stand out
e. products whose advertising is memorable
Answer:
c. a consumer’s shortlist of possible purchases
11. James recently purchased a new car, however now he is worried about whether he made the
right decision. Consumer behaviourists have a term for this state of mind. What is it?
a. purchase concern
b. dithering
c. post-purchase dissonance
d. product evaluation
e. consumer re-evaluation
Answer:
c. post-purchase dissonance
12. 14-year-old Beth is a member of the Girls Aloud fan club. She accesses their Facebook page
regularly and is strongly influenced by what Girls Aloud say and wear. What kind of reference
group is this fan club for Beth?
a. aspirant group
b. inclusive group
c. disassociative group
d. non-membership group
e. membership group
Answer:
e. membership group
13. What kind of buying situation is it when a consumer buys a product regularly and there is very
little financial (or any other) risk associated with its purchase? Examples might be: their favourite
drink, a bar of chocolate or their daily newspaper.
a. extended problem-solving
b. complex problem-solving
c. impulse problem-solving
d. limited problem-solving
e. routine problem-solving
Answer:
e. routine problem-solving
14. John has always loved Citroen cars and so he is delighted when he hears that a Citroen has
won Top Gear’s award for car of the year. It takes his friends a long time to convince him that it
was actually just ‘new hatchback of the year’ and the overall winner was a Jaguar. John has
unintentionally changed the information he heard to match his own beliefs and attitudes. What is
the term for that?
a. attitude reinforcement
b. selective distortion
c. enhanced perception
d. selective retention
e. selective hearing
Answer:
b. selective distortion
15. What are the three components of an attitude?
a. behavioural, personality and motivation

b. learning, belief and lifestyle
c. family, school and work
d. cognitive, affective and conative
e. perception, memory and need
Answer:
d. cognitive, affective and conative

16. What are the internal influences on consumer buying behaviour?
a. personality, perception, learning, motivation, attitudes and beliefs

b. budget, brand loyalty, motivation, ethnicity and family
c. family, friends, personality, lifestyle and beliefs
d. learning, education, attitudes, values and brand loyalty
e. lifestyle, beliefs, socio-economic grouping, understanding and family
Answer:
a. personality, perception, learning, motivation, attitudes and beliefs
17. Jo is a well-paid lawyer who loves new technology and always has to be the first to own the
latest music player or phone. According to Rodgers’ model, which category of adopter best
describes Jo?
a. innovator
b. early adopter
c. early majority
d. late majority
e. laggard
Answer:
a. innovator
18. Name two types of behavioural learning.
a. cognitive learning and affective learning

b. perceptual learning and environmental learning
c. classical conditioning and operant conditioning
d. conservative conditioning and radical conditioning
e. rote learning and reflective conditioning
Answer:
c. classical conditioning and operant conditioning
19. What is a disassociative group?
a. a dysfunctional group of people

b. a failing team
c. a group that has no allegiance to any cause
d. a group that a person does not want to belong to
e. a group that is classed above others
Answer:
d. a group that a person does not want to belong to
20. In which of the following ways the purchasing habits of organisations are rather different to
those of individuals?
a. They have more people involved in making the decision to buy.

b. They buy in larger quantities.
c. They negotiate harder on delivery terms.
d. They have longer, more complex decision-making processes.
e. All of the above.
Answer:
e. All of the above.

21. Selective ______ is the process by which stimuli are assessed and non-meaningful stimuli, or
those that are inconsistent with our beliefs or experiences, are screened out.
Answer:
attention
22. An ______ describes a person’s consistently favourable or unfavourable evaluation, feelings

and tendencies towards an object or idea.
Answer:
attitude
23. The roles in a business decision-making unit are: initiator, user, ______, financer, gatekeeper,
decider and buyer.
Answer:
influencer
24. Individuals, such as buyers, technical personnel (e.g. IT experts) or receptionists who have
some control over the flow of information into an organisation, have the role of ______ within the
organisational buying centre.
Answer:
gatekeeper
25. The amount of time and effort that a customer is prepared to invest in finding and buying the
right product is largely determined by their level of ______ with that product and buying decision.
Answer:
involvement
_____ is the father of Modern Marketing.

A. Abraham Maslow
B. Lester Wunderman
C. Peter Drucker
D. Philip Kotler
View Answer
D. Philip Kotler
Explanation
Marketing is a process which aims at ________

A. Production
B. Profit-making.
C. The satisfaction of customer needs
D. Selling products
View Answer
C. The satisfaction of customer needs
Explanation
The term marketing refers to _______

A. Advertising, Sales Promotion, Publicity and Public Relational activities
B. A new product needs ideas, Developments, concepts and improvements.
C. Sales Planning, Strategy and Implementation
D. A philosophy that stresses customer value and satisfaction.

View Answer
D. A philosophy that stresses customer value and satisfaction
Explanation
“Many people want BMW, only a few are able to buy” this is an example of
_______
A. Need
B. Want
C. Demand
D. Status
View Answer
C. Demand
Explanation
Want for a specific product backed by an ability to pay is called _____

A. Demand
B. Need
C. Want
D. Customer
View Answer
A. Demand
Explanation
Select an appropriate definition of “Want”.

A. More consumer Needs
B. Needs backed by buying power

C. Needs directed to the product
D. Basic human requirements
View Answer
C. Needs directed to the product
_______ is the act of obtaining a desired object from someone by offering

something in return.
A. Marketing Myopia
B. Selling
C. Exchange
D. Delivery
View Answer
C. Exchange
In the history of marketing, when did the production period end?

A. In the late 1800s.
B. In the early 1900s.
C. In the 1920s.
D. After the end of the Second World War.
View Answer
C. In the 1920s.
Good marketing is no accident but a result of careful planning and _____.

A. Promotion
B. Selling
C. Policies
D. Execution
View Answer
D. Execution
______is the best illustration of a subculture.

A. Occupation
B. Income
C. Religion
D. Family & Friends
View Answer
C. Religion
______ are the form of human needs take as shaped by culture & individual
personality.
A. Wants
B. Demands
C. Needs
D. Social Needs
View Answer
D. Social Needs
Explanation
Marketers often use the term ________ to cover various groupings of

customers.
A. Buying power
B. Demographic segment
C. Market
D. People
View Answer
C. Market
The most formal and best definition of marketing is ___________

A. An organizational function and a set of process for creating, communicating and
delivering, value to customers and that benefit the organization.
B. Improving the quality of life for consumers by selling them products and
services.
C. Marketing is all about Meeting needs profitability i.e. identifying & fulfilling
consumer needs.
D. Marketing is an organizational function includes the 4Ps i.e product, place, price
and promotion.
View Answer
A. An organizational function and a set of process for creating, communicating and

delivering, value to customers and that benefit the organization.
View Explanation
A place where goods are bought and sold against the price consideration
between the buyers and the sellers is called ______.
A. Exchange
B. Market
C. E-commerce
D. Transaction
View Answer
B. Market
Explanation
Today, marketing must be understood in a new sense that can be

characterized as _________
A. Get there first with the most.
B. Management of youth demand.
C. Satisfying customer needs.
D. Telling and selling.
View Answer
C. Satisfying customer needs.
Explanation
The best Definition of Marketing given by Philip Kotler is _______

A. Marketing is the process by which companies create value for customers & build
strong customer relationships in order to capture value from customers in return.
B. Marketing is a societal process by which individuals & groups obtain what they
need & want through creating offering & freely exchanging products & services of
value with others.
C. Marketing is the activity, set of institutions & processes for creating,

communicating, delivering & exchanging offerings that have value for customers,
clients, partners & society at large.
D. None of the above
View Answer
A. Marketing is the process by which companies create value for customers & build
strong customer relationships in order to capture value from customers in return.
Explanation
Marketing is the activity, set of ___________ & processes for creating,

communicating, delivering & exchanging offerings that have value for
customers, clients, partners & society.
A. Institutions
B. Organizations
C. Companies
D. Enterprises
View Answer
A. Institutions
1. Multichannel data acquisition system has __________

a) multiple channels
b) single channel
c) two channels
d) five channels
View Answer
Answer: a
Explanation: A multichannel data acquisition system has multiple channels. The various
subsystems can be shared in terms of time by more than two or more input sources.
2. How many types of multiplexed system exist?

a) 2
b) 3
c) 5
d) 10
View Answer
Answer: b
Explanation: In general there are three types of multiplexed systems. They are as follows:
• Multichannel Analog Multiplexed System
• Multiplexing Output of Sample/Hold Circuits
• Multiplexing after A/D Conversion.
3. Multichannel Analog Multiplexed System is __________

a) very fast
b) fast
c) slow
d) moderate
View Answer
Answer: c
Explanation: The Multichannel Analog Multiplexed System is one type of multiplexed
system. It is comparatively slow. As it shares more than one channel, the cost is less.
4. Multichannel Analog Multiplexed System utilises time __________

a) using a transformer
b) using a capacitor
c) using a flip-flop
d) using a mux
View Answer
Answer: d
Explanation: Multichannel Analog Multiplexed System is one type of multiplexed system.
It makes use of a multiplexer (mux) to utilise the time. The previous data stored in the
sample and hold circuit gets converted into digital form.
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5. In a Multichannel Analog Multiplexed System __________

a) A/D converter is used
b) D/A converter is used
c) Sigma delta converter is used
d) Modulator is used
View Answer
Answer: a
Explanation: In a Multichannel Analog Multiplexed System, individual analog signals are
applied directly. The signals are amplified and conditioned. An A/D converter then converts
the signals into digital form.
6. In a Multichannel Analog Multiplexed System, data stored in sample and hold circuit is
converted into analog form.
a) True
b) False
View Answer
Answer: b
Explanation: The Multichannel Analog Multiplexed System, converts the previous data
stored in the sample and hold circuit into digital form. Upon data collection, mode of the
sample and hold circuit is changed to hold mode.
7. Many channels can be monitored at the same time by __________

a) Demultiplexing
b) A/D conversion
c) Multiplexing
d) D/A conversion
View Answer
Answer: c
Explanation: Monitoring of a number of channels can be done at the same time by
multiplexing the outputs of the sample and hold circuit.
8. Multiplexing after A/D conversion involves _____________

a) noisy data
b) mixed signal data
c) analog data
d) digital data
View Answer
Answer: d
Explanation: Multiplexing after A/D conversion is also known as fast data acquisition.
Digital data performs the logical operation and depending on the relative speed, the scan
rate can be increased or decreased.
9. Multiplexing after A/D conversion provides immunity to noise.

a) True
b) False
View Answer
Answer: a
Explanation: Multiplexing after A/D conversion involves the transformation of analog signal
into digital form. Data transmission provides, immunity from line frequency and other
interferences.
1. The opening vignette on Sobeys Inc. indicates that successful marketers are
the ones that
Your Answer: divorce themselves from a production mentality.

Correct Answer: manage their customer base.
manage their customer base.
2. The 20-80 rule states _____.
Your Answer: the top 20 percent of customers generate 80 percent of the

company's profits
Correct
3. If a company increases customer satisfaction by lowering its price or

increasing its services, the result may be
Your Answer: unsatisfying experiences.

Correct Answer: lower profits.
lower profits.
4. Customer churn refers to ____.
Your Answer: customer anxiety

Correct Answer: customer defection
customer defection
5. If marketers raise customer expectations too high, the buyer is likely to be

disappointed. However, if the company sets expectations too low, it
Your Answer: will lower total customer cost.

Correct Answer: won't attract enough buyers.
won't attract enough buyers.
6. Frequency programs (FP's) are designed to provide rewards to _____.
Your Answer: customers who buy frequently and in substantial amounts
Correct
7. A _____ is an organized collection of comprehensive information about

individual customers or prospects.
Your Answer: customer database
Correct
8. Through _____ marketing statisticians can extract useful information about

individuals, trends, and segments from the mass of data.
Your Answer: CRM

Correct Answer: datamining
datamining
9. Companies can build interest and enthusiasm by using databases to
remember customer preferences. This strategy helps to _____.
Your Answer: reactivate dormant customers

Correct Answer: deepen customer loyalty
deepen customer loyalty
10. RBC wants to understand what value propositions make sense to which
customers. When the bank discovered that it sometimes makes sense to tell
a customer her or she is not using the right service, even if that services
generates less revenue in the short term, it was acting on a
Your Answer: customer lifetime value.
Correct
11. ____________ is the difference between the prospective customer's

evaluation of all the benefits and all the costs of an offering and the
perceived alternatives.
Your Answer: Value proposition

Correct Answer: Customer perceived value
Customer perceived value
1. USP stands for
Your Answer: unique selling promise

Correct Answer: unique selling proposition
2. ESP stands for
Your Answer: emotional selling process

Correct Answer: emotional selling proposition
3. Ads that have substantial emotional content are more effective than
informational ads and lead to:
Your Answer: stronger levels of recall

Correct Answer: stronger levels of engagement
4. Emotional and informational messages should together, not independently.
Your Answer: True
5. Most of the early advertising models were developed on the principle that
individuals are cognitive information processors and that ads are understood
as a result of_________________
Your Answer: advertising triggers

Correct Answer: information processing
6. A great deal of advertising is directed towards __________ of the target

audience.
Your Answer: Changing the perception

Correct Answer: Getting the attention
7. Where low levels of awareness are matched by low involvement, the prime
objective has to be to create awareness of the product
Your Answer: to create awareness of the product
8. Perception is concerned with how individuals ______, ________, ____,

_______ stimuli so that they can understand the world.
Your Answer: organise and interpret, select

Correct Answer: select, organise and interpret
9. The presentation of (advertising) stimuli that conflict with an individual’s

expectations will invariably ..........................
Your Answer: be remembered

Correct Answer: receive more attention
10. Interpretation is the process by which individuals give meaning to the

stimuli once they have been organised.
Your Answer: True

11. AIDA stands for
Your Answer: Attention, Interest, Desire and Action
12. The major criticism of Hierarchy of Effects models is that they assume that
consumers move through the decision making stages in a logical, rational
manner.
Your Answer: True
13. The salience interpretation is based upon the premise that advertising works
by ........
Your Answer: being attractive

Correct Answer: standing out
14. The To-Go model of advertising works by persuading people to
Your Answer: search, and find out more
15. The Weak theory of advertising was developed by
Your Answer: Strong

Correct Answer: Ehrenberg
16. ATR model of advertising stands for
Your Answer: application–trial–refreshment

Correct Answer: awareness–trial–reinforcement
17. The dimensions used on the vertical axis of the FCB Grid is
Your Answer: Strong-Weak Attractiveness

Correct Answer: Think-Feel
18. Rossiter and Percy suggest that involvement is a continuum

Your Answer: True
Correct Answer: False
19. Fame campaigns work by __________________________
Your Answer: Getting talked about and making waves
20. Reinforcement campaigns work by ________________:
Your Answer: Changing behaviour

Correct Answer: Reinforcing existing behaviour
The concept of Customer-perceived value includes four of the following but

NOT________________ .
1. Your Answer: product benefit
Correct Answer: distributor benefit
2. The concept of total customer cost includes four of the following but NOT
____________ .
Your Answer: overhead cost
3. The extended 7P marketing mix contains four of the mix descriptors below
but NOT ______________ .
Your Answer: physical evidence

Correct Answer: planning
4. Which of the following is NOT normally regarded as a major influence on

buyers’ expectations?
Your Answer: Marketers’ information and promises

Correct Answer: Attractive packaging
5. Marketers need to deal with unhappy customers by four of the procedures

but NOT by ____________ .
Your Answer: employing abrupt and insensitive customer service people

6. Marketers play __________ roles in helping their companies define and
deliver high-quality goods and services (market offerings) to their target
customers.
Your Answer: four

Correct Answer: six
7. Winning companies improve the value of their customer base by excelling at

four of the following activities but NOT by_________________ .
Your Answer: reducing the rate of customer defection

Correct Answer: reducing the costs of associating with the customer base
8. Companies who listen to their customers can achieve this by four of the
methods listed below but NOT by _______________ .
Your Answer: conducting ad hoc customer surveys

Correct Answer: asking all company staff to smile at customers
9. Customer relationship management (CRM) is the process

of__________________ .
Your Answer: crafting the right value proposition

Correct Answer: carefully managing detailed information about individual
customers and all ‘touch points’ to maximise customer
loyalty
10. In a modern exchange economy there are ______________ main markets.
Your Answer: four

Correct Answer: five
11. Loyal customers are at the heart of every business.
Your Answer: True
12. The only value a company will ever create comes from customers.
Your Answer: False
Correct Answer: True
13. The concept of Customer-Perceived Value (CPV) enables marketers to

discover what customers want through the medium of market research.
Your Answer: True
14. CPV offerings consist of a mix of tangible and intangible attributes.
Your Answer: False

15. Customer Loyalty has been defined as ‘a deeply held commitment to re-buy
or re-patronise a preferred product or service in the future despite
situational influences and marketing efforts having the potential to cause
switching behaviour'.
Your Answer: False

16. The ‘value proposition’ consists of the whole cluster of product and service
attributes that comprise a market offering and that the company promises
to deliver.
Your Answer: True
17. Customer satisfaction is an important key to building brand equity and

customer retention.
Your Answer: True
18. Typically 20 per cent of customers generate 80 per cent of a company’s

profits.
Your Answer: True

19. To reduce high customer churn or defection winning companies research the
causes of customer dissatisfaction
Your Answer: False

20. Maximising customer-perceived value means cultivating long-term customer

relationships.
Your Answer: True
Multiple Choice Question Ch1-12
Chapter 1: Multiple Choice Questions
1. In business, there are several types of business organisation, what are these?
a. Private
b. Public and Voluntary
c. Voluntary and Private
d. Public, Private and Voluntary
2. Strategic decision making can take place at various levels of an organisation, what are the three most
common?
a. Operational, board, and industrially
b. Governmental, locally, and individually
c. Corporate, Business, and Functional
d. Board of Directors, Chief Executive, and Junior Management
3. Psychographic segmentation variables would typically include:

a. Eye colour, height, and weight variables
b. Lifestyle, personality, and status variables
c. Age, education, and income variables
d. Race, religion, and personality
4. PESTLE is an acronym for what?

a. Political, environmental, technological, legal, and environmental
b. Political, environmental, shareholding, technological, logistical, and e-marketing
c. Political, environmental, social, technological, legal, and environmental
d. Political, environmental, societal, technological, learning, and e-marketing
5. Zeithaml (1988) defined value as having four elements for a consumer, what are these?
a. Value is low price
b. Value is whatever I want in a product
c. Value is the quality I get for the price I pay and what I get for what I give
d. All of the above
6. The business model canvas describes an organisation’s or a product’s what?

a. Value proposition, infrastructure, customers, and finances
b. Marketing Plan
c. Value proposition, infrastructure, and markets
d. All of the above
7. Michael Porter (1985) identified six stages in the analysis of a business organisation’s value
proposition which are supported by the organisation’s infrastructure, what answer best describes an
organisations infrastructure?
a. Human resource management, technology development, purchasing, and procurement
b. Human resource management, and finance
c. Human resource management, marketing, capital
d. Human resource management, technology development, sales, and research
8. Stewart (1967) noted there to be various types of managers, how many types were identified?
a. 4
b. 7
c. 1
d. 5
9. Henry Mintzberg (1973) identified three categories that his ten identified management roles fell into,
what were these?
a. Informational, interpersonal and decisional
b. Strategic, functional, and operational
c. Team, and individual
d. None of the above
10. How might the size of a business be best measured?

a. Number of employees, and overall gross profit
b. Number of outlets or business units and market value
c. Total revenue and capital investment
d. All of the above
1. Which cities have historically stood out as birthplaces of renewal?

a. Athens London, Paris, Berlin, NYC, Florence
b. Paris, London, Madrid, Vienna, Florence, Athens
c. Athens, Florence, London, Vienna, Paris, Weimar
d. Weimar, Paris, Edinburgh, Florence, Milan, Athens
2. Which factor is NOT part of the Elite view of creativity?

a. Having a rare talent
b. Being teachable
c. A solitary process
d. Always being inspired
3. Which one of Nature’s creations was not turned into a human innovation?
a. The Leaf or Solar Panel
b. The Brain or Computer Circuit
c. The Voice or Microphone
d. Birds or Music
4. Which of these are the five steps of creative thought?

a. Preparation, incubation, insight, evaluation, elaboration
b. Preparation, internalisation, insight, evaluation, elaboration
c. Preparation, incubation, reviews, evaluation, elaboration
d. Preparation, incubation, insight, feedback, elaboration
5. How might an opportunity for innovation emerge?

a. New products, markets, processes, and solutions
b. Political and regulatory shifts, demographic change
c. Improvements to the value chain, supply chain and revenue model
d. All of the above
6. Which of these is NOT part of the Developmental view of creativity?

a. A group process
b. Being teachable
c. That it is within all professions
d. Great works of art
7. Which theorist suggested that an entrepreneur is a special person bringing about change?
e. Dimov (2011)
f. Bygrave (2003)
g. Schumpeter (1934)
h. Sarasvathy (2001)
8. Which of these is NOT a definition of the entrepreneur?

a. Technical Expert
b. Risk Taker
c. Leader
d. Capitalist
9. Which of these numberings of entrepreneurial process models is wrong?

a. Static Frameworks (11)
b. Stage Models (12)
c. Process Dynamic Models (18)
d. Quantification Sequences (1)
10. Which is NOT one of Sarasvathy’s (2001) five principles of effectuation?

a. The bird-in-hand principle,
b. The crazy-quilt principle
c. The lemonade principle
d. The planning principle
1. When you make a decision to run your business as a sole trader, this means:
a. the business is incorporated
b. the business is unincorporated
c. you are employed by the business
d. your business assets are legally separate from your personal assets
2. In relation to a partnership in Scotland under the Partnership Act 1890, which of the following is
untrue?
a. the partnership is formed by incorporation
b. the partnership is a legal person
c. the partnership is formed by agreement
d. the partnership needs a minimum of 2 persons
3. In a partnership under the Partnership Act 1890, the partners:

a. have limited liability for the obligations of the partnership
b. have joint liability for the obligations of the partnership
c. have joint and several liability for the obligations of the partnership
d. have no liability for the obligations of the partnership
4. In a limited liability partnership under the Limited Liability Partnerships Act 2000, which of the
following statements best describes the LLP:
a. there must be at least one general partner
b. LLPs are formed by agreement between the partners
c. all partners have limited liability
d. the LLP is only available for professionals such as accountants and solicitors and is not suitable for
business
5. The concept of limited liability in relation to a company means:

a. the company is liable to a limited extent for its debts and obligations
b. the members are liable to a limited extent for its debts and obligations
c. when necessary, the company has the right to demand that further capital be contributed by members
d. if a company goes into liquidation before a member has paid for his shares in full, liability to pay for
them ceases at that point
6. Which of the following is not a difference between a public and a private limited company?
a. the name of a public company must end in “public limited company” or “plc,” while the name of a
private company (other than an unlimited company) ends in “limited” or “Ltd”
b. a public company must have at least two directors while a private company only needs one
c. a public company has to have a minimum issued share capital of £50,000, whereas a private company
does not, provided it issues at least one share
d. a public company must have its shares listed on the Stock Exchange, whereas a private
company does not
7. Which of the following is not an attribute of the legal personality of a registered company?
a. it can contract with outside parties and with its own members
b. it is liable for its own obligations like any other person
c. its major shareholders and directors cannot be employees of it
d. it has perpetual succession
8. In the case of Salomon v Salomon & Co Ltd, which of the following statements is untrue?
a. the House of Lords held that as Salomon founded the company, he had to ensure that the
company had sufficient money to pay its creditors
b. the House of Lords held that Salomon & Co Ltd was a separate legal person from Salomon
c. the House of Lords held that provided there is no fraud, once a company had been incorporated, the
motives of the incorporators in forming it are irrelevant
d. this is a case in which the House of Lords did not pierce the veil of incorporation
9. In relation to the similarities and differences between fraudulent trading and wrongful trading, which
of the following is untrue?
a. both can arise where the directors have allowed the company to trade on and accept further orders
when it is insolvent, and therefore unlikely to be able to deliver the goods or services
b. intent to defraud creditors needs to be proved for fraudulent trading, while trading in the knowledge
that the company cannot avoid insolvency is sufficient for wrongful trading
c. wrongful trading has replaced fraudulent trading, which is no longer part of the law
d. both can result in the directors being held personally liable to contribute in the liquidation of the
company
10. In the case of Gilford Motor Co Ltd v Horne, which of the following statements is untrue?
a. the case is an example of piercing the veil of incorporation
b. Horne’s company was held by the court to be a sham company
c. Horne’s company was held to be subject to the same contractual provisions as Horne was himself
d. The decision in Gilford Motor Co Ltd v Horne was overruled by the Supreme Court in Prest v
Petrodel Resources Ltd
1. Which of the following is NOT a test used by the courts to establish whether a person is an
employee?
a. Integration Test
b. Mutuality of Obligation Test
c. Agency Test
d. Control Test
2. Which of the following is NOT an automatically unfair reason for dismissing an employee?
a. Declining to sign a workforce agreement
b. Not being able to carry out a task
c. Pregnancy
d. Taking Maternity leave
3. How long must a person be employed for to qualify for unfair dismissal?
a. 1 year
b. 2 years
c. 3 years
d. 4 years
4. What is the most common remedy for unfair dismissal?

a. Reinstatement
b. Re-engagement
c. Compensation
5. What is the absolute maximum basic compensatory award for unfair dismissal?
a. £11,400
b. £12,920
c. £13,100
d. £13,920
6. Which of the following is NOT a situation in which an employer can make an employee
redundant?
a. The business ceases to continue trading
b. A particular factory of a company is closed down due to downsizing
c. An employer buys a new machine that renders an employee unneeded
d. Employees are doing their job at too slow a pace
7. If a claim for unfair dismissal is lodged, where does the onus of proof lie?
a. With the employer
b. With the employee
c. With the Employment Tribunal
9. Kelly v Trusthouse Forte Plc is the leading case for which aspect of employment law?
a. Redundancy
b. Potentially fair reasons for unfair dismissal
c. The ‘mutuality of obligation’ test for employment status
9. Which of the following is NOT a potentially fair reason for unfair dismissal?
a. Incompetence
b. Employee falls pregnant
c. Misconduct
d. Illegality
10. What is the maximum amount of time an employee has to lodge a claim for redundancy payment?
a. 6 months
b. 9 months
c. 1 year
d. 2 years
1. Which of the following terms refers to research that has been undertaken previously for a purpose
other than the current research project?
a. Primary
b. Secondary
c. Market
d. Triangulation
2. Which of the following is NOT a major component of research design?

a. Report Writing
b. Sampling method
c. Data analysis
d. Survey method
3. Which of the following is NOT a qualitative research technique?

a. Focus groups
b. Projective techniques
c. Experimentation
d. Ethnography
4. Which of the following statements refers to a common reason for using qualitative methods?
a. Provides insight
b. Generalisable findings
c. Large samples used
d. Spotting trends
5. Which of the following terms describes the sampling method that ensures that everyone form the
population has an equal chance of being selected?
a. Qualitative
b. Non-probability
c. Quantitative
d. Probability
6. Which of the following terms refers to a list of the whole population under study?
a. Convenience list
b. Quota
c. Sampling frame
d. Cluster
7. Which of the following terms refers to the practice of trying to get charity donations whilst
pretending to do market research?
a. Sugging
b. Snowballing
c. Open ended question
d. Frugging
8. As part of a survey you have decided to stop people in a shopping mall. Which terms
best describes your sampling method?
a. Quota sampling
b. Probability sampling
c. Random sampling
d. Convenience sampling
9. Which of the following statements best defines what is involved in marketing research?
a. Using all firms of market, opinion and social research
b. Looking at the industry behaviour
c. Obtaining relevant information so that management can make better informed
decisions
d. Collecting and analysing data from a census or sample of individuals
10. Which of the following statements best describes the management problem when the research
question is “What are the reasons for sales not meeting our expectation?”?
a. Sales at our new store are lower than expected
b. Customers are bored with our range
c. Customers are doing more of their shopping on line
d. Disposable income is going down
1. Which of the following statements most accurately describes the marketing mix?
a. A series of business decisions that aid selling a product
b. A composite analysis of all the macro environmental factors
c. The relationship between a business and its competitors
d. A blending of four strategic elements to satisfy specific markets
2. Which of the following terms best describes the value created by an organisation when it tries to
keep its existing customers?
a. Price value
b. Relationship Value
c. Performance value
d. Emotional Value
3. Which of the following statements explains the process of psychographic segmentation?

a. The qualitative element of geodemographic analysis
b. Grouping people according to their values, interests and lifestyles
c. Grouping people according to the amount they buy
d. Considering a customer’s psychological weaknesses when selling them products.
4. When segmenting a market the company is aiming for

a. Segment heterogeneity and member homogeneity
b. Segment homogeneity and member heterogeneity
c. Segment homogeneity and member homogeneity
d. Segment heterogeneity and member heterogeneity
5. Which of the following statements describes the identification and choosing a group of customers
for a product?
a. Positioning
b. Segmentation
c. Targeting
d. Differentiation
6. Which of the following promotional methods is most likely to be used when trying to influence
shareholders to invest in a business?
a. Personal Selling
b. Advertising
c. Email
d. Public Relations
7. Which of the following terms best describes a product such as a hairdryer?

a. Fast moving consumer good.
b. Durable good
c. Luxury good
d. Investment good
8. Which of the following statements refers to choosing to sell a product in as many outlets as possible?
a. Exclusive distribution
b. Direct distribution
c. Intensive distribution
d. Selective distribution
9. Which of the following methods of setting budgets sees marketing as an investment?

a. Competitor matching
b. Percentage of sales
c. Affordability
d. Objective and task
10. Which of the following best describes the strategy of pricing a product low in order to gain early
market share
a. Skimming
b. Customer related pricing
c. Penetration Pricing
d. Cost focus Pricing
1. The HRM function can be carried out at two levels namely:

a. Reactive and Strategic
b. Proactive and Strategic
c. Operational and Strategic
d. Technical and Operational
2. Objectives of the HRM function, according to Torrington et al. (2005), include the following except:
a. Change management
b. Performance management
c. Administrative objective
d. Employee ownership
3. The first step in the recruitment process is:

a. Job analysis
b. Interviews
c. Training and development
d. Induction
4. Techniques used during the selection process include the following except:
a. Psychometric tests
b. Aptitude tests
c. Assessment centres
d. Experimental tests
5. Which of the following is not an employment legislation?

a. Education Act 2011
b. Equality Act 2010
c. Equal Pay Act 1970
d. Sex Discrimination Act 1975
6. What is the current minimum pay in the UK for those aged between 18 to 20?
a. £5.13
b. £2.73
c. £3.79
d. £6.50
7. Which of the following characteristics are protected by the Equality Act 2010?
a. Age
b. Disability
c. Race
d. All of the above
8. External influences on HRM include the following except:

a. Demographic changes
b. Legislative changes
c. Personnel changes
d. Economic changes
9. Aside from the HR manager, who else can be involved in Health and Safety?
a. Employees
b. Line management
c. Top-level management
d. All of the above
10. When was the Equality Act established?

a. 1995
b. 2012
c. 2010
d. 1975
1. Work-life balance practices concern:

a) How work is performed
b) How work hours are arranged
c) Who does certain work
d) Maternity and Paternity leave
2. Why are organisations expressing an increasing interest in work-life balance?

a) Changing labour demographics
b) Changing consumer demographics
c) Changing technology
d) Changing UK Government legislation
3. Which of these is not a work-life balance practice?

a) Condensed working hours
b) Homeworking
c) Part-time working
d) Overtime
4. Which of these is not a reason for a business to use work-life balance practices?
a) Greater staff retention
b) Increase discretionary effort made by employees
c) Higher employee productivity
d) It is required by UK law
5. Which of these is not a reason why someone may not wish to take a work-life balance practice?
a) Fear of having ‘special privileges’
b) Lack of career progression
c) A new addition to the family
d) Work intensification
6. Which of these is a barrier to the implementation of homeworking?

a) Employees do not want to work from home
b) Management fear homeworkers may be ‘slackers’
c) Employees perform best in an office environment
d) Technology has not progressed enough to allow homeworking
7. Which reason for requesting a work-life balance practice is viewed most favourably?
a) For childcare purposes
b) For pet care purposes
c) For leisure purposes
d) For parent care purposes
8. Work-life balance practices are usually taken by:

a) Women without children
b) Men with children
c) Women with children
d) Men without children
9. Why do women often have the responsibility for childcare?
a) Men are not responsible enough to care for a child
b) The feminist movement opened the door for women employment but the delegation of domestic
responsibilities has changed little
c) Women want to care for children more than men
d) Men are never afforded a work-life balance practice
10. Work-life balance practices interrelate with…:

a) Gender
b) Class
c) Ethnicity
d) All of the above
1. What does the Porter’s five forces aim to achieve?

a. An external analysis on competition
b. A new marketing strategy
c. An internal shift of human resource
d. A review of supply chain management
2. The key five forces examine rivalry among firms, potential entrants, buyers;
a. Customers
b. Employers and employees
c. Substitutes and supplies
d. Import and Export
3. What benefit is derived from competitive rivalry?

a. Price war
b. Differentiation
c. Alliances
d. Higher marketing budgets
4. Name one of the six barriers of entry as described by Porter (1979):

a. Economies of scale
b. Extensive product line
c. Internationalisation
d. Strong customer service
5. The buying power has the ability to:

a. Supply own goods
b. Increase profits in the industry
c. Reduce the selling price
d. Influence the share price
6. One determinant which allows the supplier to gain selling power is:
a. Easy accessibility
b. High substitutes
c. Threat of entry
d. Buyer switching cost
7. Name one criticism that can be argued against Porters five forces:
a. Cannot generalised results from a singular point in time
b. The model only can be applied to one industry
c. Some forces are more relevant than others
d. Product development is more important than competition
8. What do organisations need to adopt to overcome competition?

a. Relocation strategy
b. Creation of subsidiaries
c. Competitive strategy
d. Collusion
9. By adopting a cost leadership position, organisations will lack in:

a. Profit
b. Demand
c. Specialism
d. Mass Market
10. What would a company have to offer in order to apply differentiation?

a. Unique Selling Point
b. Reduced cost
c. Multiple promotions
d. User engagement
1. Typically, production line lay out is suitable for…

a. low-variety high-volume manufacturing
b. big-variety low-volume manufacturing
c. big-variety high-volume manufacturing
d. low-variety low-volume manufacturing
2. In operations management any unnecessary travel is considered as?

a. No-value adding and needed
b. No-value adding and waste
c. Value adding and needed
d. Value adding and waste
3. Typically, functional/process layout is suitable for…

a. low-variety high-volume manufacturing
b. big-variety low-volume manufacturing
c. big-variety high-volume manufacturing
d. low-variety low-volume manufacturing
4. Which shop floor lay out is suitable for medium batch manufacturing?
a. Group technology/ cellular layout
b. Functional/process layout
c. Production/flow line layout
5. Mass service could be offered when…

a. the volume is low and the variety is low
b. the volume is high and the variety is high
c. the volume is high and the variety is low
d. the volume is low and the variety is high
6. Physical distribution management involves management of good and services to first and second tier
customers regarding their:
a. Inventory levels
b. Inventory locations
c. Warehousing
d. Physical distribution
e. All the above
7. The time frame which operational processes underpin the organisational competitiveness:
a. Future.
b. Medium.
c. Short to medium.
d. Past.
8. In operations management we can help the organisation to achieve its aims and objectives by
managing its processes:
a. Through flexibility and agility
b. Through efficiency and effectiveness
c. Through standardisation and lean
d. Through indicators and clear strategy
9. Measuring performance of processes could happen through indicators. Supplier on-time delivery
could affect customer satisfaction and it is measured from various companies to track performance.
What kind of indicator do you think that supplier on-time delivery is for business processes?
a. Leading indicator
b. Lagging indicator
c. Coincident indicator
10. Which model is measuring the Total Quality Management (TQM) in Japan?
a. Malcolm Baldridge
b. Deming
c. EFQM
1. Which statement best describes a supply chain

a. A chain of interconnected companies
b. A chain of interdependent companies
c. A network of competing companies
d. A network of interdependent and interconnected companies competing as one
2. The aim of supply chain management is to:

a. Manage the storage and movement of materials in the supply chain
b. Reduce total logistics costs
c. Manage suppliers so as to minimise the cost of procurement
d. Enhance value in the final marketplace and maximise profit for the whole supply chain
3. Products that are functional in nature need a supply chain that is:
a. Lean and focussed on market responsiveness
b. Agile and cost efficient
c. Both agile and lean as required
d. Lean and physically efficient
4. The lead-time gap is best described as:

a. The time it takes to satisfy a customer order
b. The total supply chain lead-time from extraction of raw materials to consumption by the end-user
c. The time it takes to make and distribute a product to a customer
d. The time difference between the total supply chain lead-time and the customer order cycle time
5. Which strategies can companies adopt to improve the match between supply and demand?
a. Implement a robust approach statistical forecasting and optimise inventory control
b. Introduce cross-functional collaborative planning such as Sales & Operations Planning (S&OP)
c. Implement agile supply chain strategies such as postponement, so that we can be less dependent on
a forecast of product sales
d. All of the above
6. What is one major fear of managers when they decide to outsource their logistics function?
a. The achievement of cost savings
b. Transfer of fixed costs and capital investments into variable costs and expenditure
c. Increasing the scale and scope of operations
d. Loss of operational control and reduced contact with customers
7. What are the relationship risks that occur when outsourcing logistics activities to external suppliers?
a. Poor ability to train and educate employees
b. Reduction of customer satisfaction
c. Increasing costs for maintaining assets and equipment
d. Information asymmetry and goal incongruences
8. What are firms called that provide advanced and integrated supply chain solutions?
a. Freight forwarders
b. Third-party logistics providers
c. Transportation carriers
d. Fourth-party logistics providers
9. What types of costs need to be considered in making global sourcing decisions?
a. Transportation costs
b. Production costs
c. Inventory carrying costs
d. All of the above
10. What challenge do managers face when making re-location and sourcing decisions?
a. Act local and think local
b. Think global and act global
c. Think local and act global
d. Act local and think global
1. Corporate governance is a form of ______?

A: External regulation
B: Self-regulation
C: Government control
D: Charitable action
2. CSR stands for _____?

A: Company Social Responsibility
B: Corporate Social Rights
C: Corporate Social Responsibility
D: Company Social Rights
3. In what year was Bowen’s seminal contribution to CSR research published?

A: 1951
B: 1952
C: 1953
D: 1954
4. Highlight Carroll’s (1979) four indicators of corporate social performance.

A: Economic, Legal, Environmental, Philanthropic.
B: Economic, Legal, Ethical, Philanthropic.
C: Environmental, Legal, Ethical, Philanthropic.
D: Economic, Local, Ethical, Philanthropic.
5. Which of the following is not one of Dahlrud’s (2008) dimensions of CSR?

A: Legal
B: Voluntariness
C: Stakeholder
D: Social
6. CSR and corporate governance represent a __________ between business and society.
A: Social climate
B: Special contract
C: Special climate
D: Social contract
7. CSR offers a ______ proposition for organisations to gain competitive advantage?

A: Brand
B: Value
C: Unique
D: Sales
8. Which organisation was not discussed in this chapter?

A: Apple
B: Mercedes
C: Cadbury’s
D: Kellogg’s
9. Which author was not discussed in this chapter?
A: Zadek (2004)
B: Davis (1960)
C: Griseri & Seppala (2010)
D: Mintzberg (1973)
9. Who are the stakeholders of the business who are concerned with CSR?
A: Governments, employees, communities, partners, competitors
B: Employees, research agencies, governments, communities, trade organisations
C: Suppliers, partners, employees, communities, investors, education institutions
D: All of the above
HEMCHANDRACHARYA NORTH GUJARAT UNIVERSITY, PATAN
MCQ - Question Bank with Answer
Advance Marketing Management II (MCQ)
1. Marketing utility consists of .

A. Price.
B. Place, price.
C. Product, place, price and profit.
D. Product, Price, place, promotion
ANSWER: D
2. A place for buying and selling activities is called .
A. Market.
B. Marketing.
C. Market research.
D. Market information.
ANSWER: A
3. The exchange value of a good service in terms of money is .
A. Price.
B. Product.
C. Buying.
D. Selling.
ANSWER: A
4. Selling the same product at different prices is known as .
A. Price lining.
B. Dual pricing.
C. Geographical pricing.
D. Monopoly pricing.
ANSWER: B
5. The words used to convey the advertisement idea is .
A. Advertisement.
B. Advertisement Research.
C. Advertisement copy.
D. Advertisement budget
ANSWER: C
6. Advertisement promotes .
A. . Purchases.
B. Production.
C. Sales.
D. Price.
ANSWER: C
7. Agricultural products are .
A. Perishable.
B. Highly priced.
C. Low quality products.
D. Heterogeneous goods
ANSWER: D
8. The social aspect of marketing is to ensure .
A. Price.
B. Demand.
C. Low price with high quality.
D. Service goods.
ANSWER: C
9. The orange juice manufacturers know that orange juice is most often consumed in the
mornings. However, they would like to change this and make the drink acceptable during other
time periods during the day. Which form of segmentation would they need to work with and
establish strategy reflective of their desires?
A. Gender segmentation.
B. Benefit segmentation
C. Occasion segmentation.
D. Age and life cycle segmentation
ANSWER: C
10. The typical method of retail operation used by supermarkets and catalog showrooms is
called:
A. Self service retailing.
B. Limited service retailing.
C. Full service retailing.
D. Service merchandiser.
ANSWER: C
11. Marketing creates profit by creating to the buyer.
A. Value. B. Money. C. Product. D. Price.
ANSWER: A
12. needs the interest of the buyer.
A. Product. B. Sales. C. Production. D. Manufacturing.
ANSWER: A
13. includes the configuration of benefits, value, cost and satisfaction
A. Demand. B. Innovation. C. Creativity. D. Invention.
ANSWER: D
14. All companies strive to build strength.
A. Brand. B. Image. C. Customer. D. Employee
ANSWER: A
15. Which one of the following is not one of the P s of marketing?
A. Product. B. Price. C. Place. D. Production.
ANSWER: D
16. . Which of the following best identifies how marketing must be understood today?
A. Satisfy customer needs. B. Marketing. C. Selling. D. Behaviour.
ANSWER: A
17. A is a trade of vale between two or more parties.
A. Transaction. B. Exchange. C. Transfer. D. Prospecting.
ANSWER: A
18. Which concept holds that consumers will not buy enough of organizations product unless it
takes large scale selling and promotion effort?
A. Marketing. B. Selling. C. Production. D. Product. ANSWER: B
19. includes that other company s offering similar products & services to the same
customer at similar prices.
A. Supply Chain. B. Competition. C. Product. D. Price
ANSWER: B
20. consists of a group of customers who share a similar set of wants
A. Micro Marketing B. Mass Marketing. C. Market Segment. D. Market targeting.
ANSWER: A
21. The starting point for discussing segmentation is .
A. Segregation. B. Positioning. C. Both. D. None
ANSWER: A
22. Need become when they are directed to specific objects that might satisfy the need.
A. Wants B. Needs C. Demand. D. Flexibility.
ANSWER: A
23. A marketer is someone seeking a response from another party called .
A. Marketer. B. Prospect. C. Supplier. D. Distributor.
ANSWER: B
24. are wants for specific products that are backed up an ability and willingness to buy
them.
A. Demand. B. Wants. C. Needs. D. Desire.
ANSWER: A
25. Which is intangible among the following?
A. Product. B. Services. C. Products & services. D. Sales.
ANSWER: B
26. emerges when people decide to satisfy and want through exchange.
A. Marketing. B. Sales. C. Purchase. D. Accounting.
ANSWER: B
27. concept holds consumers will favour those products that offer the most quality or
performance.
A. Product. B. Selling. C. Production. D. Sales.
ANSWER: A
28. concept holds that consumers will favour those products that are conveniently
available in adequate quantity and affordable.
A. Product. B. Production. C. Selling. D. Buying.
ANSWER: B
29. concepts holds that consumers if left alone will ordinarily not buy enough of the
Organization s products.
A. Marketing. B. Product. C. Selling. D. Buying.
ANSWER: A
30. involves managing demand, which in turn involves managing customer relationship.
A. Marketing management. B. Direct marketing.
C. Production management. D. Advertising.
ANSWER: A
31. At which stage in the International Trade Cycle does a country usually import foreign goods?
A. Introduction stage. B. Growth stage. C. Maturity stage. D. Saturation stage.
ANSWER: B
32. Which stage of the product lifecycle is marked by falling costs and rising revenues?
A. Introduction stage. B. Growth stage. C. Maturity stage. D. Saturation stage.
ANSWER: D
33. The usual source for new products is .
A. Marketing research
B. R&D.
C. Accidental discoveries.
D. A variety of sources including customers, competitors, serendipity and formal processes
ANSWER: A
34. The term marketing refers to .
A. New product concepts and improvements.
B. Advertising and promotion activities.
C. A philosophy that stresses customer value and satisfaction.
D. Planning sales campaigns.
ANSWER: C
35. A brand is a .
A. Name. B. Term. C. Sign. D. A combination of all of the above.
ANSWER: D
36. A marketing philosophy summarized by the phrase a good product will sell itself is
Characteristic of the period.
A. Production. B. Sales. C. Marketing. D. Relationship.
ANSWER: A
37. An organization with a orientation assumes that customers will resist purchasing
Products not deemed essential. The job of marketers is to overcome this resistance through
personal selling and advertising.
A. Production. B. Marketing. C. Relationship. D. Sales.
ANSWER: B
38. In the relationship marketing firms focus on_ relationships with .
A. Short term customers and suppliers.
B. Long term customers and suppliers.
C. Short term customers.
D. Long term customers.
ANSWER: D
39. Which of the following is NOT an element of the marketing mix?
A. Distribution. B. Product. C. Target market. D. Pricing.
ANSWER: C
40. The term marketing mix describes .
A. A composite analysis of all environmental factors inside and outside the firm.
B. A series of business decisions that aid in selling a product.
C. The relationship between a firm's marketing strengths and its business weaknesses.
D. A blending of four strategic elements to satisfy specific target marker.
ANSWER: A
41. Newsletters, catalogues, and invitations to organisation-sponsored events are most closely
associated with the marketing mix activity of .
A. Pricing. B. Distribution. C. Product development. D. Promotion.
ANSWER: D
42. A market with which of the following characteristics would generally be less competitive?
A. High barriers to entry.
B. Lots of potential substitutes exist.
C. Strong bargaining power among buyers.
D. Strong bargaining power among suppliers.
ANSWER: C
43. The process of anticipating future events and conditions and determining the best way to
achieve organizational objectives is known as .
A. Researching. B. Planning. C. Controlling. D. Managing.
ANSWER: B
44. Which one of the following best describes the present value of the stream of future profits
expected over the customer s life time purchase?
A. Customers Life time value. B. Suppliers Life time Value.
C. Company s life time value. D. Future value.
ANSWER: A
45. Market expansion is usually achieved by .
A. More effective use of distribution.
B. More effective use of advertising
C. By cutting prices.
D. All of the above are suitable tactics.
ANSWER: B
46. The following are all major stages of a product life cycle except .
A. Sales decline. B. Market maturity. C. Market Introduction. D. Market Growth.
ANSWER: C
47. Techniques of sales promotions are .
A. Free samples. B. Free offers. C. Merchandising. D. All the above.
ANSWER: D
48. A is a set of segements sharing some exploitable similarity.
A. Over segment. B. Counter segment. C. Super segment. D. Selection segment.
ANSWER: A
49. The firm must consider whether investing in the segment makes sense givng the firm
and .
A. Knowledge & objective. B. Objective & resource.
C. Knowledge & resource. D. None.
ANSWER: A
50. and are the major factors influencing the selection of suppliers.
A. Price and Quantity B. Price and Quality.
C. Price and Delivery. D. Quantity and Delivery.
ANSWER: C
51. Promotion mix includes Sales Promotion, Personal Selling, Advertising and
a) Marketing b) Sales c) Publicity d) None of these
Ans: C
52. Copy testing is also known as
a) Pre Testing b) Copy writing c) concurrent testing d) Preview
Ans: A
53. Consumer promotion, trade promotion and are the three forms of sales promotion
a) Media Promotion b) Sales Force Promotion c) Core Promotion d) Media Mix
Ans: B
54. media can give 24 hour exposure to the public eye.
a) Television b) Print c) Internet d) Flex Board
Ans: D
55. It is popularly known as free form of promotion
a) Advertisement b) Publicity c) Personal Selling d) Marketing
Ans: B
56. Which among the following is an example of Trade promotion?
a) Coupons b) Samples c) Push Money d) None of these
Ans: C
57. Which among the following is a Pull Strategy?
a) Trade promotion b) Consumer Promotion c) Sales Force Promotion d) None of these
Ans: B
58. If a company gives false message to the customers, it is known as
a) Obscene ads b) Subliminal ads c) Deception d) None of these
Ans: C
59. The strategy that encourages dealers and distributors to sell a product is known as
a) Push b) Pull c) Combination d) Marketing
Ans: A
60. Creating image of product in the minds of target group is called
a) Marketing b) positioning c) Branding d) Popularizing
Ans: B
61. The process of purchasing space in a media is
a) Media Spacing b) Media Scheduling c) Media Purchasing d) Media Buying
Ans: D
62. The plan that show time, date and frequency of an advertisement is
a) Media Plan b) Media Schedule c) Media Time d) Media Space
Ans: B
63. Series of advertisement messages that share a single idea or theme is
a) Advertisement Campaign b) Advertisement Group
c) Advertisement Cluster d) Advertisement Series
Ans: A
64. Point of Purchase Ads are also known as
a) In-Store Advertising b) Built-in Advertising c) Green Advertising d) Stock Advertising
Ans: A
65. The specific carrier within a medium is called
a) Media Carrier b) Media Bus c) Media Van d) Media Vehicle
Ans: D
66. A series of actions that media planners take to attain the media objectives
a) Media Function b) Media Strategy c) Media Policy d) Media Option
Ans: B
67. The combination of media used for advertising in a target market is
a) Media Mix b) Market-Media Match c) Media Advertising d) Media Option
Ans: A
68. Selection of most appropriate cost-effective medium in advertisement is
a) Media Buying b) Media Scheduling c) Media Purchasing d) Media Selection
Ans: D
69. Direct mail advertising sends messages through
a) Audio b) Video c) Mail d) None of these
Ans: C
70. Which of the following is more of personal medium of advertisement?
a) Internet Advertisement b) Broadcast Media c) Direct Mail Advertising d) Print Media
Ans: C
71. Independent organization of creative people for advertisement and promotional tools are
called
a)Advertisement Makers b) Advertisement Creators
c) Advertisement Developers d) Advertisement Agency
Ans: D
72. Which tool of the promotional mix consists of short-term incentives to encourage the
purchase or sale of a product or service?
a) advertising b) public relations c) direct marketing d) sales promotion
Ans: D
73. If a company wants to build a good “corporate image,” it will probably use which of the
following marketing communications mix tools?
a) advertising b) public relations c) direct marketing d) sales promotion
Ans: B
74. is direct communications with carefully targeted individual consumers to obtain an
immediate response.
a) Personal selling b) Public relations c) Direct marketing d) Sales promotion
Ans: C
75. Which of the following promotional forms is often described as being too impersonal and
only a one-way communication form?
a) advertising b) personal selling c) public relations d) sales promotion
Ans: A
76. The promotion tool that may include coupons, contests, premiums, and other means of
attracting consumer attention is best described as being which of the following?
a) advertising b) personal selling c) public relations d) sales promotion
Ans: D
77. A is a promotion strategy that calls for using the sales force and trade promotion
to move the product through channels.
a) push strategy b) pull strategy c) blocking strategy d) integrated strategy
Ans: A
78. Which of the following strategies is usually followed by B2C companies with respect to
promotion strategy?
a) Push strategy b) Pull strategy c) Blocking strategy d) Integrated strategy
Ans: B
79. Which of the following strategies is usually followed by B2B companies with respect to
promotion strategy?
a) Push strategy b) Pull strategy c) Blocking strategy d) Integrated strategy
Ans: A
80. Marketing management must make four important decisions when developing an advertising
program. All of the following would be among those decisions EXCEPT:
a) Setting advertising objectives. b) Conducting advertising culture audit
c) Setting the advertising budget. d) Developing advertising strategy.
Ans: B
81. The first step in developing an advertising program should be to:
a) Set advertising objectives. b) Set the advertising budget.
c) Evaluate advertising campaigns. d) Develop advertising strategy.
Ans: A
82. A specific communication task to be accomplished with a specific target audience during a
specific period of time is called an:
a) Advertising campaign. b) Advertising objective.
c) Advertising criterion. d) Advertising evaluation.
Ans: B
83. Which of the following WOULD NOT be one of the primary advertising objectives as
classified by primary purpose?
a) to inform b) to persuade c) to remind d) to make profits
Ans: D
84. is used heavily when introducing a new product category.
a) Persuasive advertising b) Inferential advertising
c) Reminder advertising d) Informative advertising
Ans: D
85. Keeping consumers thinking about the product is the objective for which type of advertising?
a) Informative advertising. b) Psychological advertising.
c) Reminder advertising. d) Persuasive advertising.
Ans: C
86. Determining the promotion budget on the basis of financial availability of capital is
characteristic of which of the following budget methods?
a) Affordable method b) percentage-of-sales method
c) competitive-parity method d) objective-end-task method
Ans: A
87. Setting the promotion budget so as to match the budgets of the competitors is characteristic
of which of the following budget methods?
a) Affordable method b) Percentage-of-Sales method
c) competitive-parity method d) Objective-end-task method
Ans: C
88. are vehicles or channels through which the advertising messages are transmitted to
target consumers so that the desired action may be induced at the consumer level
a) advertisement media b) advertisement copy c) advertising layout d) teaser advertisements
Ans : A
89. is a plan of presenting the message in a more specific and compact form within the
advertising space available to the target consumers
a) advertisement media b) advertisement copy
c) advertising layout d) teaser advertisements
Ans: C
90. All of the following methods are used for evaluating advertising effectiveness EXCEPT:
a) Pre- test b) Post- test c) Concurrent test d) Marginal test
Ans: D
91. All of the following methods are considered to be concurrent testing methods EXCEPT:
a) consumer diaries b) co-incidental surveys c) readability studies d) electronic devices
Ans: C
92. The central theme of an advertisement that motivates the consumer to make a purchase
decision is?
a) Advertising appeal b) Advertisement script c) Slogan d) Headline
Ans: A
93. The aggregate of all the factors which arouse the needs of customers and guide them in final
selection is called?
a) Advertising appeal b) Advertising media c) Advertisement d) Buying motive
Ans: D
94. Which among the following is not an essential of advertising appeal?
a) It must be conceptually sound b) It must be interesting
c) It must be economical d) It must be complete
Ans: C
95. The type of appeal which is related to a person‟s psychological and social needs for
purchasing products and services?
a) Rational appeal b) Emotional appeal c) Moral appeal d) Humour appeal
Ans: B
96. Aishwarya Rai Bachan endorsing L‟Oreal is an example of?
a) Rational appeal b) Beauty appeal c) Sex appeal d) Emotional appeal
Ans: B
97. The content and context of a message contained in an advertisement is called?
a) Ad copy b) Script c) Body d) Advertising appeal
Ans: A
98. An Ad copy which informs the target group the fact that the manufacturer is established
enough to give them the right goods is?
a) Institutional copy b) straight selling copy c) Educational copy d) expository copy
Ans: A
99. Searching and identifying potential buyers for a product is
a) Selling b) Prospecting c) Compelling d) Canvasing
Ans: B
100. If a copy tells openly and directly all the features of a product or a service with the help of
suitable pictures, photos and diagrams to impress a customer, it is called?
a) descriptive copy b) educational copy c) straight selling copy d) expository copy
Ans: D
101. An Ad copy that uses the endorsement of a satisfied customer?
a) comparative copy b) reminder copy c) expository copy d) testimonial Ad copy
Ans: D
102. Which among the following is the right sequence of copywriting process?
a) planning, research, organisation, writing, checking, proof reading, editing, revision
b) research, planning, organisation, writing, checking, proof reading, editing, revision
c) planning, research, organisation, writing, checking, editing, proof reading, revision
d) research, planning, organisation, writing, checking, editing, proof reading, revision
Ans: A
103. Consider the following statements:
Statement 1: Two major dimensions of advertising are message creation and message
dissemination
Statement 2: Message creation is meaningful once the advertisement is created.
a) Both statements are right b) Both statements are wrong
c) Only Statement 1 is correct d) Only statement 2 is correct
Ans: C
Statement 1: Media planning refers to series of decision involving delivery of messages to the
target audience
Statement 2: The central theme of media planning is message dissemination.
Ans: A
Statement 1: Media planning starts with analysis target audience
Statement 2: Media strategy is concerned with the selection of appropriate media)
Ans: B
Statement 1: Print media is the oldest and basic forms of mass communication.
Statement 2: Print media can make a faster delivery than broadcast media)
Ans: C
Statement 1: Point of purchase advertising refers to advertising at the place and time of purchase
Statement 2: It is similar to window dressing.
c) Only Statement 1 is correct d) Only statement 2 is correct Ans: C
108. Which among the following is not a function of ad agency?
a) Conduct market analysis b) Develop advertising plans
c) Develop media strategy d) Collect feedback from target audience.
Ans: C
109. Which among the following is not an objective of advertising research?
a) Improve the efficiency of an ad b) Develop advertising plans
c) Evaluate impact of an ad d) To avoid wastage of money
Ans: B
Statement 1: Post testing is an evaluation conducted to know whether a proposed ad campaign is
appealing to target group
Statement 2: It is also known as copy testing.
Ans: B
111. Showing the product in a picture as being bigger than it actually is an example of
a) Deception b) Subliminal Ads c) Obscene ads d) Challenging
Ans: A
112. is a self-regulatory voluntary organization of the advertising industry
a) Securities and Exchange Board of India b) Reserve Bank of India (RBI)
c) Medical Council of India d) Advertising Standards Council of India (ASCI)
Ans: D
113. Colgate is offering scholarships worth one lakh rupees to Indian students. This highlights
a) Advertising clutter b) Corporate Social Responsibility
c) Advertising revolution d) Mass advertising
Ans: B
114. Benetton „Unhate‟ ad campaign, featuring world leaders kissing is a case of
a) Subliminal ads b) Misleading c) Obscene d) Appealing
Ans: A
115. Axe body spray ads are examples of
a) Obscene advertisements b) Deception c) Subliminal d) Rational appeal
Ans: A
116. The large volume of advertising in a society is known as
a) Advertising clutter b) Deception c) Mass advertising d) Large scale advertising
Ans: A
117. It is criticized that advertising causes people to give too much importance to
a) Fashion b) Material goods c) Cost of product d) Standard of living
Ans: B
118. Advertising is an important source of revenue to
a) Advertisers b) Public c) Media d) Government
Ans: C
119. Advertisement aims at
a) Product selling b) Marketing c) Customer relations d) Mass communication
Ans: D
120. is directed towards consumers and traders with the intention to increase
immediate or short term sales.
a) Advertising b) Direct selling c) Sales Promotion d) Publicity
Ans: C
121. The basic objective of push strategy is to encourage the
a) Consumer b) middlemen c) Producer c) Public
Ans: B
122. A pull sales promotion strategy concentrates on the
a) Consumer b) middlemen c) Producer c) Sales force
Ans: A
123. The sales promotion strategy which concentrates on the middlemen and consumers is
known as
a) Pull Strategy b)Combination strategy c) Sale force Strategy d) Push Strategy
Ans: B
124. Couponing is an example of
a) Consumer promotion Techniques b) Trader Promotion Techniques
c) Sales Force Promotion Technique d) Dealer Promotion Technique
Ans: A
125. The reduction in the price of a product for a short span of time is known as
a) Rebate b) Free Offer c) Price off offer d)Trade offer
Ans: C
126. is a non-paid form of promotion
a) Advertising b) Direct Marketing c) Sales Promotion d) Publicity
Ans: D
127. is the oral communication with potential buyers of a product with the intention of
making a sale.
a) Personal Selling b) Direct Marketing c) Sales Promotion d) Publicity
Ans: A
128. is the sum total of values, assets and liabilities generated by a branded product
over a period of time.
a) Brand loyalty b) Brand associationc) Brand Equity d) Brand awareness
Ans: C
129. is a measure of attachment that a consumer has to a brand.
Ans: A
130. Communication activities which provide incentives to consumer is known as
a) Advertising b) Direct Marketing c) Sales Promotion d) Publicity
Ans: C
131. Merchandise allowance is a technique.
a) Consumer promotion Techniques b) Trader Promotion Techniques
c) Sales Force Promotion Technique d) Pull Promotion Technique
Ans: B
132. The additional amount of money consumers are willing to pay for a brand is known as
Ans: C
133. Sales persons who want for the sales to come to them is known as
a) Transactional b) Closers c) Relational d) Consultants
Ans: A
134. The process which consists of six stages; prospecting, preapproach, approach, presentation,
close, and follow-up is called the:
a) Product Marketing Process b) Direct Marketing process
c) Personal selling process d) Purchase decision process
Ans: C
135. Excuses for NOT making a purchase commitment or decision are called
a) Constraints b) Interventions c) Troubles d) Objections
Ans: D
136. The final stage in the personal sales process is the stage
a) Follow-up b) Assumptive close c) Trial Close d) Presentation
Ans: A
137. AIDA stands for Awareness, , Desire and .
a) Interest; Action b) Idea; Approach c) Intensity; Appeal d) Involvement;
Appeal Ans: A
138. A consumer contest is an example of .
a) Personal Selling b) Sales Promotion c) Advertisement d) Indirect
Selling Ans: B
139. Avon, Amway, and Tupperware use which of the following forms of channel
distribution?
a. direct marketing channel b. indirect marketing channel
c. forward channel d. fashion
channel Ans: A
140. Makers of televisions, cameras, tires, furniture, and major appliances normally use
which of the following distribution channel forms?
c. horizontal channel d. synthetic
channel Ans: B
141. The benefits of marketing channels are………..
(a) Cost saving (b) Time saving (c) Financial support given (d) All of
above Ans: D
142. is a marketing channel that has no intermediary levels.
c. forward channel d. hybrid
channel Ans: A
143. Which of the following is not a promotion mix?
A. Sales promotion. B. Personal selling. C. Forecasting. D.
Advertising ANSWER: C
144. Two main components of sales promotion are .
A. Trade promotion and consumer promotion. B. marketing promotion and sales promotion.
C. Consumer promotion and marketing promotion. D. none.
ANSWER: C
145. Marketing and selling are .
A. Same. B. Different. C. Almost same D. Fully
varies. ANSWER: B
146. is not a part of the external marketing environment.
A. Political. B. Legal. C. Product. D. Socio
cultural. ANSWER: C
147. The middlemen who do not take any title to goods
A. Retailer. B. Wholesaler. C. Agent. D. Commission
houses. ANSWER: C
148. are the basic human requirements
A. Needs. B. Wants. C. Luxuries. D.
Offerings. ANSWER: A
149. The direct channel has the limitation of .
A. Market exploitation. B. Communication. C. Control. D.
Cost . ANSWER: D
150. This marketing component is most likely to be standardized
A. Brand . B. Price. C. Advertising. D. Distribution. ANSWER: A
DEPARTMENT OF B.COM – BANKING AND
INSURANCE 16 UBI 518 - CUSTOMER
RELATIONSHIP MANAGEMENT
K1 – LEVEL
MULTIPLE CHOICE QUESTIONS:
UNIT - I
Acquiring the right customer
Instituting the best processes
Motivating employees
All of the above

Company relationship management
Supplier management
Retailer’s management
Customer relationship management

3. A person or company that yields a revenue more than incurred costs of selling and
serving is called
Dissatisfaction Superior
value Profitable customers
Satisfied customers
4. Customers lifetime purchases that generate net present value of future profit streams
is called
Customer lifetime value
Customer purchases
value Customer cost
incurred Customer
relationships

Product benefits
Services benefit
Image benefit
All of above
6. Number of customers or potential customers who will help in company's growth is
classified as
Customer base
Retailer base
Distributor’s base
Marketer’s base

Customer touch point
Company touch point
Retailers touch point
Relationship touch
point
8. Advantage of CRM
Cost of the Software
Improve overall relationship with customer

Customization of the Business All of
the above
Implementing CRM before creating a customer strategy Rolling
out CRM before changing the organization to match Stalking, not
wooing, customers
All of the above

10. Record which is based on business customers past purchases, sales price and volumes
is classified as
Business database
Customer database
Databases
marketing Company
marketing
UNIT - II
11. Customized products and services for customers and interaction to individual
customers are part of
Retailer’s management
Company relationship management
Supplier management
Total customer cost

Psychological cost
Personal benefits Image
benefits
Identify customers value attributes
Assessing attributes importance
Assessing company's performance
Assessing competitor’s performance
14. Difference between customers evaluation including all costs incurred and benefits is
called
Company market value
Customer affordability
Customer reliability

Permission marketing
Activity marketing
Supplier marketing
None of the above
Cost based accounting
Activity based accounting
Turnover based accounting
Price based accounting
17. is any occasion on which the brand or product is used by end customers.
Customer touch point
Retailers touch point
Company touch point
None of the above
18. is the study of how individuals, groups and organizations select, buy, use
and dispose of goods, services, ideas or experiences to satisfy their needs and wants.
Consumer behavior
Product cycle Purchase
behavior
None of the above
19. This is the processing of data about customers and their relationship with the
enterprise in order to improve the enterprise’s future sales and service and lower cost.
Database marketing
CRM analytics
B2C
20. CRM stands for

Customer relations management All
the above
None of the above
UNIT - III
21. B2B stands for
Business to Government
Business to Business All
the above
22. B2C stands for

Business to Government
Business to Consumer
Business to Business
All the above
23. B2G stands for

Business to government
Business to consumer
Business to business
All the above

24. C2C stands for
Business to government
Business to consumer
Business to business
Consumer to consumer
25. An example of C2C IS:

Irctc.com
Ebay.com All
the above
None of the above

26. Which of the following strategies is suited to the Old Economy?
Customisation
Personalisation
Improve sales
Increase in profit
27. Which of the following strategies is suited to the New Economy?

Retailing
Higher point of sales
Personalisation
Improve in profit
28. CRM is
Business centric
Money centric
Profit centric
Customer centric
29. What Are The CRM Technology Components?
Front-Office Solutions
Enterprise Application Integrations (EAIs) for CRM CRM
in the Back Office
All of these
30. What is the last stage of the consumer decision process?
Problem recognition
Post purchase behavior
Alternative evaluation
Purchase
UNIT - IV
Designing direct marketing efforts
Developing new pricing models
Processing transactions faster
All of the above
32. A is an organized collection of detailed information about individual
customers or prospects that is accessible, actionable and current for marketing purposes
such as lead generation and others.
Customer database
Customer mailing list
Business database
None of the above
33. uses sophisticated mathematical and statistical techniques such as neutral

networking and cluster analysis.
Data mining
Data survey
CRM
None of the above

Implementing CRM before creating a customer strategy Rolling
out CRM before changing the organization to match Stalking, not
wooing, customers
All of the above

35. In buyer decision process, percentage of potential customers in a given target market
is called
Customer funnel
Company funnel
Marketing funnel
Retailers funnel
Contact center
Help system Multichannel
marketing Call center
Help desk
37. This is the practice of dividing a customer base into groups of individuals that are
similar in specific ways relevant to marketing, such as age, gender, interests, spending
habits, and so on.
Customer managed relationship
Customer life cycle
Customer segmentation
Change management
Designing direct marketing efforts
Developing new pricing models
Processing transactions faster
All of the above

39. The type of website that engages consumers in interactions that will move them closer
to a direct purchase is known as a website.
Customer service
Interactive
Corporate
Marketing
40. When preparing a website, designers should ensure that the site enables user-to-user
communication. This design feature is known as _ .
Commerce
Context
Community
Connection
UNIT - V
41. This is a broad category of applications and technologies for gathering, storing,
analyzing, and providing access to data to help enterprise users make better business
decisions.
Data mart
Business information warehouse
Business intelligence
Business warehouse
42. This is a systematic approach to the gathering, consolidation, and processing of
consumer data (both for customers and potential customers) that is maintained in a
company’s databases.
Database marketing
Marketing encyclopedia
Application integration Service
oriented integration
43. A well-built e-business infrastructure is a combination of.
Structure and Stability
Safeguards information
Understands costumer
priorities All of the above
44. E-business stands for

Electronic business
Electron business
Electric business
All of the above
45. Customers being able to buy products and services on the Internet is a result of
E-business
E-marketing
E-purchasing
E-commerce
46. One of the major problem for e-business growth is

Lack of markets
Lack of sellers
Lack of proper infrastructure

None of the above
47. E-commerce involves the application of
Knowledge Management systems
Product Management systems
Services Management systems
All of the above

48. Internet is used in Business to
Earn more money
Use latest technology
Speed up business process
To get updated
49. CRM process begins

After sales
After sales and before sales
After purchase Before
sales.
50. is networks that connect people within a company to each other and to the
company network
Intranets
Extranets
Bit streams
Internets
18 UBM 620-CONSUMER
BEHAVIOUR
Multiple Choice Questions:
UNIT-I
1. Any individual who purchases goods and services from the market for his/her end-use is
called a..................
a. Customer b. Purchaser c. Consumer d. All these Answer: A
2 is nothing but willingness of consumers to purchase products and services as per
their taste, need and of course pocket.
a. Consumer behavior b. Consumer interest c. Consumer attitude d. Consumer perception

Answer: B
3 is a branch which deals with the various stages a consumer goes through before
purchasing products or services for his end use.
a. Consumer behavior b. Consumer interest c. Consumer attitude d. Consumer perception
Answer: A
4 refers to how an individual perceives a particular message
a. Consumer behavior b. Consumer interest c. Consumer attitude d. Consumer interpretation.
Answer: D
5. “ ----------- is the action and decisions process or people who purchase goods and services for
personal consumption.”
a. Consumer behavior b. Consumer interest c. Consumer attitude d. Consumer interpretation.
Answer: A
6. emphasize(s) that profitable marketing begins with the discovery and
understanding of consumer needs and then develops a marketing mix to satisfy these needs.
a. The marketing concept b. The strategic plan c. The product influences d. The price influences.
Answer: A
7. is one of the most basic influences on an individual’s needs, wants, and
behaviour.
a. Brand b. Culture c. Product d. Price Answer: B
8. In terms of consumer behaviour; culture, social class, and reference group influences have
been related to purchase and .
a. Economic situations b. Situational influences c. Consumption decisions d. Physiological

influences Answer: C
9. Many sub-cultural barriers are decreasing because of mass communication, mass transit, and a
a. Decline in the influence of religious values b. Decline in communal influences
c. Strong awareness of brands in the market d. Strong awareness of pricing policies in the
market.
Answer: A
10. develop on the basis of wealth, skills and power.
a. Economical classes b. Purchasing communities c. Competitors d. Social classes.
Answer: D
11. (is) are transmitted through three basic organizations: the family, religious
organizations, and educational institutions; and in today’s society, educational institutions are
playing an increasingly greater role in this regard.
a. Consumer feedback b. Marketing information systems c. Market share estimates d. Cultural

values.
Answer: D
UNIT-II
12. In large nations, the population is bound to lose a lot of its homogeneity, and thus
arise.
a. Multilingual needs b. Cultures c. Subcultures d. Product adaptation requirements
Answer: C
13. are based on such things as geographic areas, religions, nationalities, ethnic groups, and
age.
a. Multilingual needs b. Cultures c. Subcultures d. Product adaptation requirements.
Answer: C
14. Marketing managers should adapt the marketing mix to and
constantly monitor value changes and differences in both domestic and global markets.
a. Sales strategies b. Marketing concepts c. Cultural values d. Brand images.
Answer: C
15. has become increasingly important for developing a marketing strategy in
recent years.
a. Change in consumers’ attitudes b. Inflation of the dollar c. The concept and the brand
d. Age groups, such as the teen market, baby boomers, and the mature market. Answer: D
16. Two of the most important psychological factors that impact consumer decision-making
process are product and product involvement.
a. Marketing b. Strategy c. Price d. Knowledge Answer: D
17. Which of the following is the most valuable piece of information for determining the social
class of your best friend's parents?
a. The number of years schooling that they had b. Their ethnic backgrounds
c. Their combined annual income d. Their occupations

Answer: D
18. Changes in consumer values have been recognized by many business firms that have
expanded their emphasis on products.
a. Latest technology b. Timesaving, convenience-oriented c. Health related d. Communication.
Answer: B
19. Many sub cultural barriers are decreasing because of mass communication, mass transit, and
.
a. The rising unemployment situation b.An influence of political power

c. The use of new technology d. A decline in the influence of religious values. Answer: C
20. Different social classes tend to have different attitudinal configurations and that
influence the behaviour of individual members.
a. Personalities b. Values c. Finances d. Decision makers Answer: B
21. is the single factor that best indicates social class.
a. Time b. Money c. Occupation d. Fashion Answer: C
22. In terms of consumption decisions, middle class consumers prefer to .
a. Buy at a market that sells at a whole sale rates. b. Buy what is popular
c. Buy only the brands which sell at affordable prices
d. Analyze the market and select the best at the lowest prices Answer: B
23. refers to the buying behavior of final consumers.
a. Consumer buyer behavior . b. Target market buying c. Market segment buying
d. Business buying behavior Answer: A
24. is individuals and households who buy goods and services for personal
consumption.
a. The target market b. A market segment c. The consumer market. d. The ethnographic market.
Answer: C
25. Understanding consumer buying behavior is not easy. The answers are often locked deep
within the consumer’s head. The central question for marketers is:
a. How much money is the consumer willing to spend?
b. How much does the consumer need the product being offered for sale?
c. How much does a discount or a coupon affect the purchase rate?
d. How do consumers respond to various marketing efforts the company might use?
Answer: .D
26. The starting point in understanding how consumers respond to various marketing efforts the
company might use is the:
a. Lipinski model of buying behavior. b. Stimulus-response model of buyer behavior. .
c. Freudian model of buying behavior. d. Maslow’s model of life-cycle changes.
Answer: B
27. According to the stimulus-response model of buyer behavior , the place where consumers process
marketing stimuli prior to making purchase decision is called
a. Consumer’s value chain. b. Consumer’s cognitive schema. c. Consumer’s black box. .
d. Consumer’s thoughts-emotions network. Answer: C
28. Consumer purchases are influenced strongly by cultural, social, personal, and
a. Psychographic characteristics. b. Psychological characteristics. . c. Psychometric characteristics.
d. Supply and demand characteristics. Answer: B
29. is the most basic cause of a person’s wants and behaviors.
a. Culture. b. Social class c. Personality d .Lifestyle Answer: A
30. Marketers are always trying to spot in order to discover new products that
might be wanted.
a. opinion graphers b. dissonant groups c. cultural shifts .d. benchmarks Answer: C
31. The cultural shift toward has resulted in more demand for casual clothing and
simpler home furnishings.
a. liberal political causes b. conservative political causes c. informality. d. downsizing Answer: C
32. A is a group of people with shared value systems based on common life
experiences and situations.
a. culture b. subculture . c. lifestyle composite d. social class Answer: B
33. The greatest barrier to effectively marketing to the Asian American market is thought to be
a. Reluctance to grant credit to this group. b. Language and cultural traditions. .
c. The urban nature of their neighborhoods. d. Lack of a mass media that reaches this group.
Answer: B
34. Relatively permanent and ordered divisions in a society whose members share similar
values, interests, and behaviors are called
a. Cultures. b. Subcultures. c. Social classes. . d. Social factors. Answer: C
35. As a form of a reference group, the are ones to which the individual
wishes to belong.
a. secondary groups b. facilitative groups c. primary groups d. aspiration groups . Answer: D
36. The is a person within a reference group who, because of special skills,
knowledge, personality, or other characteristics, exerts influence on others.
a. facilitator b. referent actor c. opinion leader . d. social role player Answer: C
37. Even though buying roles in the family change constantly, the has traditionally
been the main purchasing agent for the family.
a. Wife . b. husband c. teenage children d. grandparent Answer: A
38. A major reason for the changing traditional purchasing roles for families is that:
a. The economic conditions are forcing more teens to work.
b. More women than ever hold jobs outside the home. .
c. Children are spending more time on the Web.
d. Men and women now shop together or “shop until you drop” for entertainment Answer: B
39. A(n) consists of the activities people are expected to perform according to
the persons around them.
a. behavior b. attitude c. role . d. status Answer: C
40. The stages through which families might pass as they mature over time is a description of
what is called the
a. Adoption process. b. Lifestyle cycle. c. Values and Lifestyle. d. Family life cycle. Answer: D .
41.A is a person’s pattern of living as expressed in his or her activities,
interests, and opinions.

a. role b. status c. position d. lifestyle . Answer: D
UNIT-III
42. is(are) a person’s unique psychological characteristics that lead to relatively
consistent and lasting responses to his or her own environment.
a. Psychographics b. Personality . c. Demographics d. Lifestyle Answer: B
43. The basic premise of the is that people’s possessions contribute to and reflect
their identities; that is, “we are what we have.”
a. lifestyle concept b. self-concept . c. personality concept d. cognitive concept Answer: B
44. A is a need that is sufficiently pressing to direct the person to seek satisfaction
of the need.
a. Motive. b. want c. demand d. requirement Answer: A
45. A good synonym for motive is a(n) .
a. omen b. need c. drive . d. cue. Answer: C
46. The theory of motivation that views people as responding to urges that are repressed but
never fully under control was developed b
a. Marshall. b. Kant. c. Freud. . d. Maslow. Answer: C
47. According to Maslow’s Hierarchy of Needs, the lowest order of needs are called:
a. Self-actualization needs. b. Social needs. c. Safety needs. d. Physiological needs.

Answer: D.
48. According to Maslow’s Hierarchy of Needs, the highest order of needs are called:
a. Self-actualization needs. .b. Social needs. c. Safety needs. d. Physiological needs. Answer: A
49. is the process by which people select, organize, and interpret information to form a
meaningful picture of the world.
a. Readiness b. Selectivity c. Perception . d. Motivation Answer: C
50. People can form different perceptions of the same stimulus because of three perceptual
processes. These processes are best described as being:

a. Selective attention, selective distortion, and selective retention. .
b. Subliminal perception, selective remembrance, selective forgetting.
c. Closure, modeling, and perceptual screening.
d. Needs distortion, wants analysis, and perceptual screening. Answer: A
51. describes changes in an individual’s behavior arising from experience.
a. Modeling b. Motivation c. Perception d. Learning . Answer: D
52. A is a strong internal stimulus that calls for action.
a. Driv . b. cue c. response d. perception . Answer: A

53. If a consumer describes a car as being the “most economical car on the market,” then this
descriptor is an
a. Rule. b. Attitude. c. Belief. . d. Cue. Answer: C
54. If a consumer tells friends “I like my car more than any other car on the road,” then the
consumer has expressed an
a. Rule. b. Attitude. . c. Belief. d. Cue. Answer: B
55. puts people into a frame of mind of liking or disliking things, of moving
toward or away from them.
a. A rule b. An attitude. c. A belief d. A cue. Answer: B
56. Which of the following is NOT one of the five stages of the buyer decision process?
a. need recognition b. brand identification . c. information search d. purchase decision Answer :B
57. According to the buyer decision process suggested in the text, the first stage is characterized
as being one of
a. Awareness. b. Information search. c. Need recognition. . d. Demand formulation. Answer: C
58. The buying process can be triggered by a(n) when one of the person’s normal
needs—hunger, thirst, sex—rises to a level high enough to become a drive.
a. awareness b. external stimuli c. internal stimuli . d. experiential motivation. Answer: C
59. The stage in the buyer decision process in which the consumer is aroused to search for
more information is called
a. Information search. b. Evaluation of alternatives c. Search for needs d. Perceptual search.
Answer: A
60. The consumer can obtain information from any of several sources. If the consumer were to
obtain information from handling, examining, or using the product, then the consumer would
have obtained the information by using a(n)
a. Personal source. b. Commercial source. c. Informative source. d. Experiential source. Answer: D.
61. How the consumer processes information to arrive at brand choices occurs during which stage
of the buyer decision process?
a. need recognition b. information search c. evaluation of alternatives d. purchase decision
Answer: C
62. Generally, the consumer’s purchase decision will be to buy the most preferred brand, but two
factors can come between the purchase intention and the purchase decision. These two factors
are best described as being:
a. The cost and availability of the product.
b. The attitude of others and the cost of the product.
c. The availability of the product and unexpected situational factors.
d. The attitude of others and unexpected situational factors. . Answer: D
63. With respect to post purchase behavior, the larger the gap between expectations and
performance:
a. The greater likelihood of re-purchase. b. The greater the customer’s dissatisfaction. .
c. The less likely the consumer will be influenced by advertising
d. The less likely the consumer will need sales confirmation and support. Answer: B
64. Cognitive dissonance occurs in which stage of the buyer decision process model?
a. need recognition b. information search c. Evaluation of alternatives d. post purchase conflict .
Answer: D
65. A company must always guard against dissatisfying customers. On average, a satisfied
customer tells 3 people about a good purchase experience. A dissatisfied customer, however,
on average gripes to people.
a. 7 b. 9 c. 11 . d. 30 Answer: C
UNIT-IV
66. The is the mental process through which an individual passes from first
hearing about an innovation to final adoption.
a. adoption process . b. consumption process c. innovation process d. new product development

process Answer: A
67.All of the following are part of the adoption process that consumers may go through when
considering an innovation EXCEPT:
a. Awareness. b. Process. . c. Interest. d. Trial. Answer: B
68. With respect to adopter categories, the are guided by respect, are the
opinion leaders in their communities, and adopt new ideas early but carefully.
a. seekers b. innovators c. early adopters . d. early majority Answer: C
69. With respect to adopter categories, the are skeptical and they adopt
an innovation only after a majority of people have tried it.
a. early adopters b. early majority c. late majority . d. laggards Answer: C
70.Several characteristics are especially important in influencing an innovation’s rate of
adoption. is the degree to which the innovation may be tried on a limited basis.
a. Relative advantage b. Synchronization c. Compatibility d. Divisibility . Answer: D
71. If a company makes products and services for the purpose of reselling or renting them to
others at a profit or for use in the production of other products and services, then the
company is selling to the
a. Business market. . b. International market. c. Consumer market. d. Private sector market.
Answer: A
72. All of the following are among the primary differences between a business market and a
consumer market except
a. Purchase decisions to satisfy needs. . b. Market structure and demand. c. The nature of the buying
unit. d. The types of decisions and the decision process involved. Answer: A
73. The business marketer normally deals with than the consumer marketer
does.
a. far greater but smaller buyers b. far greater and larger buyers c. far fewer but far larger buyers
d. far fewer and smaller buyers Answer: C
74. When demand comes (as it does in the business market) from the demand for consumer
goods, this form of demand is called
a. Kinked demand. b. Inelastic demand. c. Cyclical demand. d. Derived demand. . Answer: D
75.General Motors buys steel because consumers buy cars. If consumer demand for cars drops,
so will General Motors’ demand for steel. This is an example of the relationships
found in
a. Kinked demand. b. Inelastic demand. c. Cyclical demand. d. Derived demand. . Answer: D
76. That business markets have more buyers involved in the purchase decision is evidence of
which of the following characteristic differences between business and consumer
markets?
a. market structure and demand b. the nature of the buying unit . c. types of decisions made
d. type of decision process itself Answer: B
77. The place in the business buying behavior model where interpersonal and individual
Influences might interact is called the
a. Environment. b. Response. c. Stimuli. d. Buying center. Answer: B
78. In a , the buyer reorders something without any modifications.
a. habitual re buying b. straight re buying c. modified re buying d. new task buying Answer: B
79. In a , the buyer wants to change something about product

specifications, prices, terms, or suppliers.
a. habitual re buy b. straight re buy c. modified re buy . d. new task buy Answer: C
80. When a firm buys a product or service for the first time, it is facing a
a. Habitual re buy situation. b. Straight re buy situation. c. Modified re buy situation.
d. New task situation. . Answer: D
81. The “in” suppliers are most likely to get nervous and feel pressure to put their best foot
forward in which of the following types of buying situations?
a. modified re buy . b. new task buying c. straight re buy d. indirect re buy Answer: A
82. The decision-making unit of a buying organization is called its all the
individuals and units that participate in the business decision-making process.
a. buying center . b. purchasing center c. bidding center d. demand-supply center Answer: A
UNIT-V
83. Considering the major influences on business buyer behavior, as shown in a model in
the text, under which influence stage would you expect to find the influences of
authorit
y, status, empathy, and persuasiveness?
a. environmental b. organizational c. interpersonal . d. individual Answer: D
84. The stage of the business buying process where the buyer describes the characteristics and
quantity of the needed item is called
a. Problem recognition. b. General need description. . c. Product specification. d. Proposal

solicitation. Answer: B
85. If a buying team is asked by the purchasing department to rank the importance of reliability,
durability, price, and other attributes of an item, then the team is going through a business
buying process stage called
a. Problem recognition. b. General need description. . c. Product specification. d. Proposal

solicitation. Answer: B
86. is the stage of business buying where an organization decides on and

specifies the best technical product characteristics for a needed item.
a. Problem recognition b. General need description c. Product specification .d. Proposal solicitation.
Answer: C
87. is an approach to cost reduction in which components are studied carefully to determine if they
can be redesigned, standardized, or made by less costly methods of production.
a. Cost analysis b. Order analysis c. Product analysis d. Value analysis . Answer: D
88. Factors such as supplier reputation for repair and servicing capabilities are important criteria
for evaluation at which stage in the business buying process?
a. problem recognition b. supplier search c. supplier selection . d. order-routine specification.
Answer: C
89. Blanket contracts are typically part of which of the following stages in the business buying
process?
a. general need description b. product specification c. supplier selection d. order-routine

specification . Answer: D
90. The may lead the buyer to continue, modify, or drop the arrangement
that has been entered into by the buyer and seller.
a. performance review . b. order-routine specification c. supplier selection d. general need

description Answer: D
91. For the marketing manager, social class offers some insights into consumer behavior and is
potentially useful as a .
a. Market research information b. Market segmentation variable . c. Source of understanding

competition’s strategy d. Source to predict future trends Answer: A
92. is the definition of reference groups.
a. Groups that an individual looks to when forming attitudes and opinions .
b. Groups of people who have been referred to by someone they know
c. Groups of office colleagues

d. Chat groups on the internet Answer: B
93. are factors that have been shown to affect consumer behavior.
a. Brand name, quality, newness, and complexity .
b. Advertising, marketing, product, and price
c. Outlets, strategies, concept, and brand name
d. Quality, advertising, product positioning, Answer: A
94. The reason that higher prices may not affect consumer buying is .
a. Most consumers prefer brand names which have higher prices
b. 70% of the total population looks for quality services and is willing to pay higher
prices
c. Consumers believe that higher prices indicate higher quality or prestige .
d. Most consumers feel that the price is actually affordable Answer: A
95. are the groups that individuals look to when forming attitudes and opinions.
a. Reference groups . b. Teenage groups c. Religious groups d. Adult groups Answer: C
96. For which of the following products would the reference group influence be the strongest?
a. A best-seller novel b. A pickup truck . c. A loaf of bread d. A pair of jeans Answer: A
97. Primary reference groups include .
a. College students b. Office colleagues c. Family and close friends .d. Sports groups Answer: B
98. Secondary reference groups include .
a. Family and close friends b. Sports groups c. Ethnic and religious groups d. Fraternal
organizations and professional associations . Answer: C
99. Marketing strategies are often designed to influence and lead to
profitable exchanges.
a. Consumer decision making . b. Sales strategies c. Advertising strategies
d. Export strategies Answer: D
100. refers to the information a consumer has stored in their memory about a
product or service.
a. Cognitive dissonance b. Product knowledge . c. Product research d. Marketing research.
Answer: A
(CRM)Customer Relationship Management

Multiple Choice Questions with Answers:-

d) All of the above
Answer:D
d) All of the above
Answer:D
3. A is an organized collection of detailed information about individual customers or

prospects that is accessible, actionable and current for marketing purposes such as lead
generation and others.
Answer:A
4. uses sophisticated mathematical and statistical techniques such as neutral
networking and cluster analysis.
a) Data mining
b) Data survey
c) CRM
Answer:A
d) All of the above
Answer:D
Answer:A

Answer:B
8. is any occasion on which the brand or product is used by end customers.
Answer:A
9. is the study of how individuals, groups and organizations select, buy, use and
dispose off goods, services, ideas or experiences to satisfy their needs and wants.
b) Product cycle
Answer:A

b) Personal factors
c) Both a and b
Answer:C
11. exerts the broadest and deepest influence on buying behavior.
a) Social factors
c) Personal factors
d) Cultural factors
Answer:D
12. is the fundamental determinant of a person’s wants and behavior.
a) Culture
b) Attitude
c) Value
Answer:A
13. Indian marketers use a term called socioeconomic classification, which is based on the of
chief wage earner.
a) Education
b) Occupation
c) Both a and b
Answer:C
14. Socioeconomic system classifies urban households into broad categories.
a) 4
b) 8
c) 6
Answer:B
15. For the rural areas, the socioeconomic system use of the chief wage earner.
Answer:A
16. Socioeconomic system classifies rural households into broad categories.
a) 8
b) 6
c) 4
Answer:C
17. Social class is indicated by variables.
a) Single
b) Several
c) None
Answer:B
18. A person’s are all the groups that have a direct or indirect influence on their
attitudes or behavior.
b) Reference groups
Answer:B
Answer:D
a) customer funnel
b) company funnel
c) marketing funnel
d) retailers funnel
Answer:C
b) base value
c) retention value
Answer:A
classified as
Answer:A
called
Answer:A
d) both b and c
Answer:D
Answer:C
26. Percentage or number of customers who move from one level to next level in buying
decision process is called
a) conversion rates
b) marketing rates
c) shopping rates
d) loyalty rates
Answer:A
27. Customized products and services for customers and interaction to individual customers are
part of
Answer:B
Answer:A
d) image benefits
Answer:A
30. A person or company that yields a revenue more than incurred costs of selling and serving is
called
a) dissatisfaction
b) superior value
Answer:C
31. Customers lifetime purchases that generate net present value of future profit streams is called
Answer:A

a) product benefits
b) services benefit
c) image benefit
d) all of above
Answer:D
33. Programs designed for customers which is limited to any affinity group are classified as
b) royalty programs
c) loyalty programs
Answer:A
Answer:A
35. Difference between customers evaluation including all costs incurred and benefits is called

Answer:A
36. Process of building, organizing and using databases of customers to build customer
relationship is classified as
d) company database
Answer:A
37. Perceived monetary value of all benefits which customers expect from a given product
because of brand image is called
Answer:A
38. System includes all experiences while using market offering is classified as

Answer:B
39. Number of customers or potential customers who will help in company's growth is classified
as
a) customer base
b) retailer base
d) marketers base
Answer:A
Answer:A
41. Technique which tries to identify real cost of serving an individual customer is called

Answer:A
Answer:D
a) customer funnel
b) company funnel
c) marketing funnel
d) retailers funnel
Answer:C
b) base value
c) retention value

Answer:A
classified as
Answer:A
called
Answer:A
b) data mining
e) batch processing
Answer:C
a) Web services
b) customer-facing
C) client/server
e) personalization
Answer:E
49. This is the processing of data about customers and their relationship with the enterprise in
order to improve the enterprise’s future sales and service and lower cost.

d) CRM analytics
e) B2C
Answer:D
decisions.
a) best practice
b) data mart

Answer:D
51. This is a systematic approach to the gathering, consolidation, and processing of consumer
data (both for customers and potential customers) that is maintained in a company’s databases.
Answer:A
52. This is an arrangement in which a company outsources some or all of its customer
relationship management functions to an application service provider (ASP).
a) spend management
C) hosted CRM
Answer:C
53. This is an XML-based metalanguage developed by the Business Process Management

Initiative (BPMI) as a means of modeling business processes, much as XML is, itself, a
metalanguage with the ability to model enterprise data.
a) BizTalk
b) BPML
C) e-biz
d) ebXML
e) ECB
Answer:B
a) contact center
b) help system
d) call center
e) help desk
Answer:A

Answer:D
56. In data mining, this is a technique used to predict future behavior and anticipate the
consequences of change.
C) phase change
Answer:
b) data mining
e) batch
processing
Answer:C
a) Web services
b) customer-facing
C) client/server
e) personalization
Answer:E
59. This is the processing of data about customers and their relationship with the enterprise in
order to improve the enterprise’s future sales and service and lower cost.

d) CRM analytics
e) B2C
Answer:D
decisions.
a) best practice
b) data mart

Answer:D
61. This is a systematic approach to the gathering, consolidation, and processing of consumer
data (both for customers and potential customers) that is maintained in a company’s databases.
Answer:A
62. This is an arrangement in which a company outsources some or all of its customer
relationship management functions to an application service provider (ASP).
a) spend management
C) hosted CRM
Answer:C
63. This is an XML-based metalanguage developed by the Business Process Management

Initiative (BPMI) as a means of modeling business processes, much as XML is, itself, a
metalanguage with the ability to model enterprise data.
a) BizTalk
b) BPML
C) e-biz
d) ebXML
e) ECB
Answer:B
a) contact center
b) help system
d) call center
e) help desk
Answer:A
65. This is the practice of dividing a customer base into groups of individuals that are similar
in specific ways relevant to marketing, such as age, gender, interests, spending habits, and so
on.

Answer: D
Multiple Choice Questions Elective – II Marketing
Management – IV
Strategic Marketing
1) Which of the following pricing strategies is NOT ideal for new products?
A) Market-Skimming
B) Discriminatory Pricing
C) Promotional Pricing
D) None of these
2) In market skimming pricing strategy:

A) Initially price is higher and then it is reduced
B) Initially price is lower and then it is increased
C) Initial price is high and is maintained high
D) Initial price is low and is maintained low
3) With pricing, the products are priced below list price (or even below cost) for a
temporary period to create buying urgency.
A) Reference
B) By-product
C) Promotional
D) Market penetration
4) The formula is the essence of strategic marketing.
A) STP- Segmentation, Targeting, Positioning

B) CRM- Customer Relationship Management
C) TPD- Targeting, Positioning, Distribution
D) None of the above
5). Customer Relationship Management is about
A) Acquiring the right customer
B) Instituting the best processes
C) Motivating employees
D) All of the above
6) is the study of how individuals, groups and organizations select, buy, use and
dispose off goods, services, ideas or experiences to satisfy their needs and wants.
A) Consumer behavior
B) Product cycle
C) Purchase behavior
D) None of the above
7)Customized products and services for customers and interaction to individual customers are
part of
A) retailers management
B) customer relationship management
C) company relationship management
D) supplier management
8)Customers lifetime purchases that generate net present value of future profit streams is called
A) customer lifetime value
B) customer purchases value
C) customer cost incurred
D) customer relationships
9)This is the processing of data about customers and their relationship with the enterprise
in order to improve the enterprise’s future sales and service and lower cost.
A) clickstream analysis
B) database marketing
D) CRM analytics
10)This is a central point in an enterprise from which all customer contacts are managed.
A) contact center
B) help system
D) call center
BASICS OF MARKETING- 106
MULTIPLE CHOICE
QUESTIONS
1. Good marketing is no accident, but a result of careful planning and .
execution
selling
strategies
research
2. Marketing management is .
managing the marketing process
monitoring the profitability of the company’s products and services
the art and science of choosing target markets and getting, keeping, and
growing customers through creating, delivering, and communicating
superior customer value
developing marketing strategies to move the company forward
3. Chimney Sweeps employs people to clean fireplaces and chimneys in homes and apartments.
The firm is primarily the marketer of which one of the following?
An image
A service
A good
An idea
4. Marketers often use the term to cover various groupings of customers.
people
buying power
demographic segment
market
5. The concept holds that consumers and businesses, if left alone, will ordinarily not
buy enough of the organization’s products.
productio
n selling
marketing
holistic marketing
6. .Which of the following would be the best illustration of a subculture?
A religion.
A group of close friends.
Your university.
Your occupation.
7. The buying process starts when the buyer recognizes a .
Product
an advertisement for the product
a salesperson from a previous visit
problem or need
8. If actual performance exceeds the expected performance of the product, Then customer is
Satisfied
Dissatisfied
Delighted
Neutral
9. Bread and milk are which kind of products?
Specialty Products
Convenience products
Shopping products
Unsought products
10. Parents buy toys for their children act as in the buying process.
Decider
Buyer
Maintainer
All of the above
11. If a firm is practicing , the firm is training and effectively

motivating its customer-contact employees and all of the supporting service people to work as a
team to provide customer satisfaction.
double-up marketing
interactive
marketing service
marketing internal
marketing
12. A cluster of complementary goods and services across diverse set of industries is called as
Market place
Meta market
Market space
Resource Market
13. Adding new features to a product is advocated by which of the approaches?
Product Approach
Production Approach
Marketing Approach
Selling Approach
14. One of the key tasks of marketers is and to create consumer perceptions that
the product is worth purchasing.
To make products easily visible and available
To promote sales of products
To differentiate their products from those of competitors

To do marketing surveys
15. What is the last stage of the consumer decision process?
problem recognition
post purchase behavior
alternative evaluation
purchase
16. markets are made up of members of the distribution chain.
Consumer
Business-to-business (industrial)
Channel
Institutional
17. Which of the following is considered a “key player” in the marketing industry?
marketer
suppliers or vendors
distributors or retailers
all of the above
18. Marketing Mix is the most visible part of the marketing strategy of an organization.
True
False
19. Businesses spend most of their advertising rupees on business-to-business markets.

True
False
20. A transaction in which the organization is making an initial purchase of an item to be used to
perform a new job refers to which of the following purchases?
Straight rebuy purchase
Delayed purchase
New-task purchase
Modified rebuy purchase
21. markets include a wide variety of profit and nonprofit organizations, such as
hospitals, government agencies, and schools, which provide goods and services for the benefit of
society.
Consumer
Business-to-business (Industrial)
Reseller
Institutional
22. Which of the following is NOT considered a type of reseller?
wholesaler
retailer
manufacturer
distributor
23. The promotion “P” of marketing is also known as .
Product Differentiation
Distribution
Cost
Marketing Communication
24. When a company distributes its products through a channel structure that includes one or
more
resellers, this is known as .
Indirect marketing
direct marketing
multi-level marketing
integrated marketing
25. In marketing theory, every contribution from the supply chain adds to the product.
value
costs
convenience
ingredients
26. Institutional markets consist of people who buy products and services for personal use.
True
False
27. Listing alternatives that will solve the problem at hand and determining the characteristics of
each occurs during which stage of the final consumer’s decision process?
Information search
Purchase
Evaluation of alternatives
Post purchase
28. The act of trading a desired product or service to receive something of value in return is
known as which key concept in marketing?
product
exchange
productio
customer
29. The most basic level of a product is called the:
core product.
central product.
fundamental product.
augmented product.
30. Anything that can be offered to a market for attention, acquisition, use, or consumption that
might satisfy a want or need is called a(n):
idea.
demand.
product.
service.
31. In consumers may share a strong need that cannot be satisfied by an existing
product.
negative demand
latent demand
declining
demand irregular
demand
32. Marketing is both an “art” and a “science” there is constant tension between the formulated
side of marketing and the side.
creative
selling
managemen
t
behavior
33. Mr. Lopez buys goods and services for use in the production of products that are sold and
supplied to others. Mr. Lopez is involved in .
consumer buying
behavior post-purchase
dissonance retail buyer
behavior business buyer
behavior
34. The four unique elements to services include:
Independence, intangibility, inventory, and inception
Independence, increase, inventory, and intangibility
Intangibility, inconsistency, inseparability, and inventory
Intangibility, independence, inseparability, and inventory
35. Convenience products usually have intensive distribution because sales of these products
tend to have a direct relationship to availability.
True
False
36. The holds that the organization’s task is to determine the needs, wants, and interests
of target markets and to deliver the desired satisfactions more effectively and efficiently than
competitors in a way that preserves or enhances the consumer’s and the society’s wellbeing.
customer-centered business
focused business model
societal marketing concept
ethically responsible
marketing
37. A change in an individual's behavior prompted by information and experience refers to which
one of the following concept?
Learning
Role selection
Perception
Motivation
38. Holistic marketers achieve profitable growth by expanding customer share, , and
capturing customer lifetime value.
undermining competitive competencies
building customer loyalty

milking the market for product desires
renewing a customer base

39. pricing is the approach of setting a low initial price in order to attract a large
number of buyers quickly and win a large market share.
Market-skimming
Value-based
Market-penetration
Leader
40. While buying milk which kind of behaviour is displayed by a person?
Extensive problem solving behaviour
Routinized buying behaviour
Variety seeking behaviour
None of the above
41. markets include a wide variety of profit and nonprofit organizations, such as
hospitals, government agencies, and schools, which provide goods and services for the benefit of
society.
Consumer
Business-to-business (Industrial)
Reseller
Institutional
42. Which of the following is NOT considered a type of reseller?
wholesaler
retailer
manufacturer
distributor
43. The promotion “P” of marketing is also known as .
Distribution
Cost
Marketing Communication
44. When a company distributes its products through a channel structure that includes one or
more resellers, this is known as .
indirect marketing
direct marketing
multi-level marketing
integrated marketing
45. In marketing theory, every contribution from the supply chain adds to the product.
value
costs
convenience
ingredients
46. Institutional markets consist of people who buy products and services for personal use.
True
False
47. Listing alternatives that will solve the problem at hand and determining the characteristics of
each occurs during which stage of the final consumer’s decision process?
Information search
Purchase
Evaluation of alternatives
Post purchase
48. The act of trading a desired product or service to receive something of value in return is
known as which key concept in marketing?
product
exchange
productio
customer
49. The most basic level of a product is called the:

core product.
central product.
fundamental product.
augmented product.
50. Anything that can be offered to a market for attention, acquisition, use, or consumption that
might satisfy a want or need is called a(n):
idea.
demand.
product.
service.
51. In consumers may share a strong need that cannot be satisfied by an existing
product.
negative demand
latent demand
declining
demand irregular
demand
52. Marketing is both an “art” and a “science” there is constant tension between the formulated
side of marketing and the side.
creative
selling
management
behavior
53. Mr. Lopez buys goods and services for use in the production of products that are sold and
supplied to others. Mr. Lopez is involved in .
consumer buying
behavior post-purchase
dissonance retail buyer
behavior business buyer
behavior
54. The four unique elements to services include:
Independence, intangibility, inventory, and inception
Independence, increase, inventory, and intangibility
Intangibility, inconsistency, inseparability, and inventory
Intangibility, independence, inseparability, and inventory
55. Convenience products usually have intensive distribution because sales of these products
tend to have a direct relationship to availability.
True
False
56. The holds that the organization’s task is to determine the needs, wants, and interests
of target markets and to deliver the desired satisfactions more effectively and efficiently than
competitors in a way that preserves or enhances the consumer’s and the society’s wellbeing.
customer-centered business
focused business model
societal marketing concept
ethically responsible
marketing
57. A change in an individual's behavior prompted by information and experience refers to which
one of the following concept?
Learning
Role selection
Perception
Motivation
58. Holistic marketers achieve profitable growth by expanding customer share, , and
capturing customer lifetime value.
undermining competitive competencies
building customer loyalty

milking the market for product desires
renewing a customer base

59. pricing is the approach of setting a low initial price in order to attract a large
number of buyers quickly and win a large market share.
Market-skimming
Value-based
Market-penetration
Leader
60. While buying milk which kind of behaviour is displayed by a person?
Extensive problem solving behaviour
Routinized buying behaviour
Variety seeking behaviour
None of the above
61. Whether to sell via intermediaries or directly to consumers, how many outlets to sell through,
and whether to control or cooperate with other channel members are examples of decisions
marketers must make about
Promotion
Price
Distribution
Product
62. The extended Ps of service marketing mix are :

People, Product, Place
Price Physical Evidence, Promotion
Physical Environment, Process, People
Product, Process, Physical Environment
63. A social and managerial process by which individuals and organizations obtain what they
need and want through value creation refers to which one of the following concepts?
Selling
Advertising
Barter
Marketing
64. What is the basic property of a service which makes it different from a product.
Shape
Size
Very expensive
Intangibility
65. Which one of the following phrases reflects the marketing concept?
The supplier is a king in the market
Marketing should be viewed as hunting not gardening
This is what I make, won’t you please buy it?

This is what I want, won’t you please make it?
66. The task of any business is to deliver at a profit.
customer needs
customer value
products and services
improved quality
67. The solution to price competition is to develop a differentiated:
product, price, and
promotion. offer, delivery,
and image. package and
label. international Web site.
68. Red Cross blood donations are considered to be specialty products and, therefore,
have a specialty offer to the consumer.
True
False
69. You purchase cleaning supplies for your custodial help regularly. It is showing which
buying situation?
Modified rebuy
Straight rebuy
Modified straight
rebuy Consumer buy
70. Internal marketing is marketing by a service firm to train and effectively motivate its
customer-contact employees and all the supporting service people to work as a team to provide
customer satisfaction.
True
False
71. Customer’s evaluation of the difference between all the benefits and all the costs of a
marketing offer relative to those of competing offers refers to which of the following options?
Marketing myopia
Customer satisfaction
72. Buying goods and services for further processing or for use in the production process refers to
which of the following markets?
Consumer markets
Government
markets Business
markets
International
markets
73. The packaging concept states what the package should be or do for the product.
True
False
74. Marketing managers should adapt the marketing mix to and

constantly monitor value changes and differences in both domestic and global markets.
Sales strategies
Marketing
concepts Cultural
values Brand
images
75. Resellers may actually take ownership of the product and participate in the marketing,
including the advertising.
True
False
76. The materials and ingredients used in producing the product are obtained from other
companies who are referred to as distributors.
True
False
77. The refers to the various companies that are involved in moving a product from its
manufacturer into the hands of its buyer.
distribution chain
network chain
supply chain
promotion
network
78. is the study of how individuals, groups, and organizations select, buy, use, and
dispose of goods, services, ideas, or experiences to satisfy their needs and wants.
Target marketing
Psychographic segmentation
Consumer behavior
79. A person’s consist(s) of all the groups that have a direct (face-to-face) or indirect
influence on his/her attitudes or behavior.
culture
subculture
psychographics
reference groups
demographics
80. Product choice is greatly affected by economic circumstances. All of the following would be
among those circumstances EXCEPT .
spendable income
savings and assets

debts
occupation
borrowing
power
81. is a set of distinguishing human psychological traits that lead to relatively

consistent and enduring responses to environmental stimuli.
Image
Personality
Beliefs
Heredity
Culture
82. portrays the “whole person” interacting with his or her environment.
Attitude
Reference
group Lifestyle
Culture
Subculture
83. A when it is aroused to a sufficient level of intensity.
need becomes a
motive motive
becomes a need desire
becomes a reality
unfulfilled demand becomes a crisis

personal demand exceeds the ability to rationally reject
84. The five-stage model of the consumer buying process includes all of the following stages
EXCEPT .
problem
recognition
information search
social interaction
purchase decision
85. If performance meets consumer expectations, the consumer is _.
delighted
satisfied
disappointe
d surprised.
86. The primary purpose of marketing activities is to facilitate and encourage exchange
transactions with potential customers.
True
False
87. Merchant wholesalers sell goods and services directly to final consumers for their personal,
nonbusiness use.
True
False
88. A service can be defined as “any activity or benefit that one party can offer another that is
essentially intangible and that does not result in the ownership of anything.”
True
False
89. The intangible nature of many services can create unique challenges for marketers.
True
False
90. Auction sites, such as eBay, QXL are examples of Consumer-to-Consumer (C2C) channels.
True
False
91. Product planners need to think about products and services on three levels. Each level adds
more customer value. Which one of the following is the most basic level that addresses the
question, “What is the buyer really buying?”
Actual product
Augmented
product Core
benefit
Co-branding
92. The mental act, condition or habit of placing trust or confidence in another shows which of
the following options?
Motive
Belief
Behavior
Attitude
93. How do consumers respond to various marketing efforts the company might use? What is a
starting point of a buyer’s behavior?
Belief
Subculture
Post purchase feeling
Stimulus-response Model
94. Which one of the following factor relates to family that influences consumer behavior?
Cultural
Social
Personal
Business
95. Unique psychological characteristics that lead to relatively consistent and lasting responses to
one’s own environment refers to which one of the following?
Belief
Culture
Personality
Self-awareness
96. Which one of the following statements by a company chairman BEST reflects the marketing
concept?
We have organized our business to satisfy the customer needs

We believe that marketing department must organize to sell what we produce
We try to produce only high quality, technically efficient products
We try to encourage company growth in the market

97. Which one of the following is a key to build lasting relationships with consumers?
Price of the product
Need recognition
Quality of product
98. The factors such as the buyer’s age, life-cycle stage, occupation, economic situation, lifestyle,
personality and self-concept that influences buyer’s decisions refers to which one of the following
characteristic?
Personal characteristics
Psychological characteristics
Behavioral characteristics
Demographical characteristics
99. A is someone seeking a response (attention, a purchase, a vote, a donation) from

another party, called the .
salesperson, customer
politician, voter
marketer, prospect
celebrity, audience
100. Companies selling mass consumer goods and services such as soft drinks, cosmetics, air
travel, and athletic shoes and equipment spend a great deal of time trying to establish a superior
brand image in markets called .
business markets
global markets
consumer markets
nonprofit and governmental markets
service markets
101. The is practiced most aggressively with unsought goods, goods that buyers
normally do not think of buying, such as insurance, encyclopedias, and funeral plots.
marketing concept
selling concept
production concept
product concept
holistic marketing concept
102. The concept holds that consumers will favor those products that offer the most
quality, performance, or innovative features.
product
marketing
productio
n selling
holistic marketing
103. . marketing has the aim of building mutually satisfying long-term relations with
key parties such as customers, suppliers, distributors, and other marketing partners in order to earn
and retain their business.
Holistic
Demand-
based Direct
Relationship
Synthetic
104. One traditional depiction of marketing activities is in terms of the marketing mix or four Ps.
The four Ps are characterized as being .
product, positioning, place, and price
product, production, price, and place
promotion, place, positioning, and price

place, promotion, production, and positioning
product, price, promotion, and place

105. David Packard of Hewlett-Packard once said, “Marketing is far too important to leave to
.”
the advertising boys
uninformed managers
novices
the CEO
the marketing department

106. The traditional view of marketing is that the firm makes something and then it.
markets
sells
distributes
prices
services
107. is the single factor that best indicates social class.
Time
Money
Occupation
Fashion
108. Marketing strategies are often designed to influence and lead to

profitable exchanges.
Consumer decision making

Sales strategies
Advertising strategies
Export strategies
109. refers to the information a consumer has stored in their memory about a
product or service.
Cognitive dissonance
Product knowledge
Product research
Marketing research
110. When consumers are seeking low-involvement products, they are unlikely to engage in
extensive search, so is important.
Order processing
Order booking
Ready availability
Information about warranty
111. constitutes moderate consumer behavior, but still involves time

and effort searching for and comparing alternatives.
Limited decision making

Need recognition
Routine decision making
Post purchase evaluation
112. Experimental sources of information for consumers refer to .
Advertising, marketing, selling, and profit making
Handling, examining, and trying the product while shopping

Buying after a demonstration
Buying the product directly from a manufacturer
113. Which of the following is NOT one of the four philosophies of marketing?
production orientation
societal marketing orientation

sales orientation
promotion orientation
114. Of the four competing philosophies, the Furniture Industry is an example of what kind of
orientation:
Sales Orientation
Societal Marketing Orientation
Marketing Orientation
Production Orientation
115. Marketing is defined by the American Marketing Association as the activity, set of
institutions, and processes for , , , and offerings that
have value for customers, clients, partners, and society at large.
Making, Arranging, Maintaining and Selling
Creating, Communicating, Delivering, and Exchanging
Creating, Advertising, Selling, and Transferring
Performing, Displaying, Offering, and Exchanging
116. The focus of marketing today is .
Value and Satisfaction
Quality and Long Term Relationships
All of the Above

None of the Above
117. Which of the following firms emphasizes on product’s benefits to the customers rather product
attributes?
Product oriented
Market oriented
Sales oriented
Production oriented
118. Products
that are usually purchased due to adversity and high
promotional back up rather than desire are called:
Sought goods
Unique goods
Unsought goods
Preferred goods
119. Which product is MOST likely to be purchased through routine

decision making?
Television set
Soft drink
Shirt
Car
120. Luxury products, such as Rolex watches, are
also known as: Shopping product
Convenience product
Emergency product
Specialty product
121. Which of the following is NOT included as a basic idea in the definition of marketing
concepts?
Total company effort

Profit
Productivity
122. Which of the following is the most recent stage of marketing evolution?
Marketing department era

Production era
Sales era
Marketing company era

123. Which of the following is NOT included as a basic idea in the definition of marketing
concepts?
Total company effort
Profit
Productivity
124. is defined as the difference between the benefits a customer

sees from a market offering and the costs of obtaining those benefits.
Customer value
Satisfaction scale
Profit margin
Competitive
benefit
125. Which of the following is NOT included in the marketing management process used by the
marketing manager to achieve its objectives?
Planning marketing activities
Raising funds to finance the marketing projects

Controlling marketing plans
Directing implementation of the marketing plans
126.A channel of distribution is any series of firms (or individuals) who participate in the flow of
products to final user or customer.
True
False.
127. is defined as communication with large numbers of customers at the same

time.
Personal selling
Sales promotion
Mass selling All
of the above
128.The marketing concept applies to production firms, but not to service industries.
True
False
129. In a orientation, the role of marketing research is to determine
customer needs and how well the company is satisfying them.
Marketing
Production
Both of the above
None of the above
130.The marketing concept means that an organization aims the majority of its efforts at
satisfying customers, at a profit.
True
False
131.When a manager focuses on making whatever products are easy to produce, and then trying
to sell them, that manager has a orientation.
Marketing
Production
Sales
Profit
132. Which of the following is NOT consistent with a manager having a marketing orientation?
Inventory levels are set with customer requirements and costs in mind
Customer relationship focuses on customer satisfaction before and after sale, leading to a
profitable long-run relationship
Focus of advertising is on product features and how products are made
Packaging is designed for customer convenience and as a selling tool
133.Often, the best way to improve customer value, and beat the competition, is to be first to
satisfy a need that others have not even considered.
True
False
134. It is more costly to retain current customers by satisfying their needs, than to get new
customers by taking them away from a competitor.
True
False
135.In addition to businesses, the marketing concept is also applicable to .
Government agencies
Religious groups
Fine arts organizations
All of the above
136. The controllable variables a company puts together to satisfy a target group is called the
.
Marketing strategy
Marketing mix
Strategic planning
Marketing concept
137. In order for exchange to occur:
a complex societal system must be involved.
organized marketing activities must also occur.
a profit-oriented organization must be involved.
each party must have something of value to the other party.

138. Four competing philosophies strongly influence the role of marketing and marketing
activities within an organization. Which if the following is not a component of market orientation?
Customer orientation.
Profitability orientation.
Marketing orientation.
Competitor orientation.
139.A market orientation recognizes that:
price is the most important variable for customers.
market intelligence relating to current and future customer needs is

important.
selling and marketing are essentially the same thing.
sales depend predominantly on an aggressive sales force.
140. When customer expectations regarding product quality, service quality, and value-based
price are met or exceeded, is created.
customer satisfaction
planning excellence
a quality rift
a value line
141. A critical marketing perspective is the process of determining:
the value of a product, person, or idea.
how places compete with each other.
the worth and impact of marketing activities.
which type of promotional strategy works best.
142. The way in which the product is delivered to meet the customers' needs refers to:
new product concepts and improvements.
selling.
advertising and promotion activities.
place or distribution activities.

143. The term 'marketing mix' describes:
a composite analysis of all environmental factors inside and outside the firm.
a series of business decisions that aid in selling a product.
the relationship between a firm's marketing strengths and its business weaknesses.
a blending of strategic elements to satisfy specific target markets.

144. Newsletters, catalogues, and invitations to organisation-sponsored events are most closely
associated with the marketing mix activity of:
Pricing
Distribution
Product development
Promotion
145. Which of the following is not an element of the marketing mix?
Distribution.
Product.
Target market.
Pricing.
146. In relationship marketing firms focus on relationships with .
short-term; customers and suppliers
long-term; customers and suppliers

short-term; customers
long-term; customers
147.A further 3Ps are incorporated into the marketing mix:

physical evidence, process and price.
process people and promotion.
physical evidence, people and production.
physical evidence, process and people.

148. A marketing philosophy summarized by the phrase 'a stronger focus on social and ethical
concerns in marketing' is characteristic of the period.
production
sales
marketing
societal marketing
149. Which of the following statements is correct?
Marketing is the term used to refer only to the sales function within a firm.
Marketing managers don't usually get involved in production or distribution decisions.
Marketing is an activity that considers only the needs of the organization; not the needs of society
as a whole.
Marketing is the activity, set of institutions, and processes for creating,

communicating, delivering, and exchanging offerings that have value for
customers, clients, partners, and society at large.
150. The term marketing refers to:
new product concepts and improvements.
advertising and promotion activities.
a philosophy that stresses customer value and satisfaction.
planning sales campaigns.
151. Which of the following involves designing and manufacturing the container or wrapper for
a product?
Labeling
Packaging
Branding
Product line
152. The basic role of promotion is .
Information
Manipulation
Communication
Interpretation
153.If the aim of the promotion to introduce a new consumer product is to achieve high
awareness levels, the firm will most likely make heavy use of in the promotional mix.
Advertising
Sales
promotion
Personal selling
Publicity
154.A consumer contest is an example of .
Personal selling
Sales promotion
Advertising
Indirect selling
155. Advertising appropriations are largest for which type of product?
Industrial products
Convenience goods
High-priced products
Specialty goods
156.A television advertisement showing the safety features of the Volvo 240 DL would be best
classified as which of the following?
Product advertising
Pioneer advertising
Defensive advertising
Societal marketing
157. Need becomes when they are directed towards a specific object.
Actual need
Want
Satisfaction
Demand
158. Which of the following BEST describes the consumer’s preference for products that are
widely available to them?
Production concept
Marketing concept
Selling concept
Product concept
159. Buying and selling of mass consumer goods and services comes under which of the
following markets?
Business markets
Global markets
Consumer markets
Government
markets
160. Which one of the following BEST describes the human need?
Food
French-fries
Burger
Pizza
161. Which of the following firms emphasis on product’s benefits to the customers rather than on
product attributes.
Product oriented
Market oriented
Sales oriented
Production
oriented
162. All of the following are the examples of unsought goods EXCEPT:
Course books
Encyclopedia
Funeral plots
Insurance policy
Unsought Goods
163. While considering the place for a product which of the following is important for customer.
Communication
Convenience
Cost
Solution
164. Market –oriented firms focus on:
Retailers
Distributors
Customers
Wholesalers
165. Price is the only element in the marketing mix that produces:
Fixed cost
Expense
Variable cost
Revenue
166. Identify the products that the customer usually buys frequently and with a minimum of
comparison and buying effort.
Specialty
Convenience
Unsought
Augmented
167. Which of the following is NOT included in product decisions?
Styling
Brand name
Warehousing
Packaging
168. Which of the following takes place at retailer’s end?
Promotion
Placing
Pricing
Exchange
169. Aggressive selling is a characteristic of which of the following concept of marketing?
Production
concept Marketing
concept Selling
concept Product
concept
170. Which of the following is a name, term, sign, symbol, design, or a combination of these,
that identifies that maker or seller of a product or service?
Label
Co-brand
Brand
Product
171. The consumer’s estimate of the product’s overall capacity to satisfy his or her needs is
called:
Product Cost
Product Value
Product need
Product Satisfaction
172. According to the text, a product is
everything the customer receives in an exchange.

the physical object the customer receives in an exchange.
the service that is rendered to a customer.
the idea that the customer receives in an exchange.
173. An example of a convenience consumer product is
stereo equipment.
petrol.
a motorcycle.
a bicycle.
athletic shoes.
174. Which one of the following is NOT an industrial product?

oil to be refined into fuel for homes
transistors used as components for portable radios
paper, pens, and glue used in bank branch offices
computer software to help people complete personal tax forms

175. SaiNath called several airlines to compare rates and chose a flight on British Midland as it had
a better reputation for service and competitive prices. The airline ticket is an example of which
type of product?
A)convenience
B)shopping
C)specialty
D)unsought
176. Products that are relatively inexpensive and are purchased frequently with minimal effort
can be classified as products.
shopping
convenience
industrial
specialty
unsought
177. Large tools and machines used in a production process for a considerable length of time are
classified as
major equipment.
accessory equipment.
component parts.
raw materials.
consumable supplies.
178. Items that are purchased routinely, do not become part of the final physical product, and are
treated like expense items rather than capital goods are called
raw materials.
major equipment.
accessory equipment.
component parts.
process materials.
179. Products that are used directly in the production of a final product but are not easily
identifiable are categorised as
accessory products.
component parts.
consumable supplies.
assembly components.
process materials.
180. Industrial products are
purchased for personal consumption.
frequently purchased for both their functional aspects and their psychological rewards.
traditionally classified according to their characteristics and intended uses.

not purchased by non-business organisations.
181. A company designs the product with little or no input from customers, the company is
practicing which of the following concept?
Product concept
Marketing concept
Selling concept
Production concept
182. Which of the following 4Ps of marketing mix involves decisions regarding channels
coverage, assortments, locations, inventories or transports?
Product
Price
Place
Promotio
183. Which of the following is NOT a part of marketing communication mix?
Telemarketing
Public relations
Sales
promotion
Advertising
184. A dissonance-reducing buying behavior is designed to probe consumers’ hidden,

subconscious motivations.
True
False
185. Consumer buying behavior refers to the buying behavior of businesses.
True
False
186. A fundamental part of the distribution function is to get the product:
To the right place at the right time

Launched into new markets
To intermediaries
To market to avoid channel conflict
187. The identifies the product or brand.
Container
Label
Advertisemen
t Warranty
188. A(n) product exceeds customer expectations.
Strategic
Superior
Augmented
Anticipated
189. Which of the following are products and services bought by final consumers for personal
consumption? These include convenience products, shopping products, specialty products, and
unsought products.
Material and parts
Consumer products
Industrial products
Capital items
190. The skimming, penetration, bargaining and bundling are decided in the of
the Marketing Mix strategy.
Price Decisions
Place Decisions
Product Decisions
Promotion Decisions
191. Low Consumer involvement in purchase and little significant brand difference comes in
which types of buying behaviors.
Complex buying behavior

Dissonance-reducing buying behavior
Habitual buying behaviors
Variety-seeking buying behaviors
192. Distribution of product to get it in the marks refers to which of the following activities?
Selling Activities
Advertising activities
Promotion Activities
Place or distribution activities

193. How many stages are involved in the consumer buying / adoption process?
Six
Seven
Three
Five
194. Which one of the following factor relates to family that influences consumer behavior?
Cultural
Social
Personal
Business
195. “ Buy it now” refers to which one of the following options?
Personal selling
Advertising
Sales promotion
Publicity
196. At least how many parties should be included in “Exchange”?
Two
Three
Four
Five
197. The buyer decision process consists of five stages. Which of the following is NOT one of
these stages?
Evaluation of Alternatives
Information search
Variety-seeking buying behavior

Post purchase behavior
198. You are planning to install a steel manufacturing plant in your city. For that purpose you want
to have a supplier who supplies you the steel in raw form for manufacturing. Here supplier supplies
you which of the following form of industrial product?
Material and parts
Capital items
Supplies and services
None of the given options
199. “How are you telling consumers in your target group about your product” This question
belongs to which marketing concept?
Product
Price
Place
Promotion
200. A transaction in which the organization is making an initial purchase of an item to be used
to perform a new job refers to which of the following purchases?
Straight rebuy purchase
Delayed purchase
New-task purchase
Modified rebuy purchase
MCQ: Unit-1: introduction to Operations and Supply

Chain management
1. "Quality is defined by the customer" is :
An unrealistic definition of quality
A user-based definition of quality
A manufacturing-based definition of quality
A product-based definition of quality
2. According to the manufacturing-based definition of quality
quality is the degree of excellence at an acceptable price and the control of variability at
an acceptable cost
quality depends on how well the product fits patterns of consumer preferences
even though quality cannot be defined, you know what it is
quality is the degree to which a specific product conforms to
standards
3. The supply chain concept originated in what discipline?
a) marketing
b) operations
c) logistics
d) production
4. Zero defects in manufacturing is
a. is a relevant goal only in electronic assembly

b. is readily achievable in all areas
c. is the goal of TQM

d. is an unobtainable and misleading idea
5. The supply chain management philosophy emerged in which decade?
1960s
1970‟s
1980s
1990s
6. A encompasses all activities associated with the flow and transformation of
goods from the raw material stage, through to the end user, as well as the associated information
flows.
production line
supply chain
marketing
channel
warehouse
7. Which one of the following is not a typical question dealt with by an operations managers?
How much capacity will be needed in the months ahead?

What is a satisfactory location for a new facility?
How to motivate employees?
All are typical of operations decisions.
8. Which of the following are not key attributes of supply chain management?
inventory control
leveraging technology
customer power
all are key attributes
9. Positive, long-term relationships between supply chain participants refer to:
Co-opetitions tailored
logistics partnerships
supply chain management
10. Which one of the following best represents a pure good?
Soap
Fast food
Attending a play
Vehicle repair
11. Which of the following statements is true of LEAN?
Lean principles focus on advanced statistical methods

Lean principles are separate body of knowledge
Lean principles have been developed over a lengthy period of time.
Lean principles include reducing waste.
12. The bullwhip effect:
is an ineffective way to motivate warehouse employees
applies to rodeos and has nothing to do with supply chain management

refers to the “swaying” motion associated with triple trailers
Refers to variability in demand orders among supply chain participants.
"quality is the degree of excellence at an acceptable price and the control of variability at
an acceptable cost"
quality depends on how well the product fits patterns of consumer preferences
even though quality cannot be defined, you know what it is
quality is the degree to which a specific product conforms to
standards
14. The variability in demand orders among supply chain participants:
cannot be controlled
refers to the bullwhip effect
can be controlled with electronic order placement
is more pronounced in relational exchanges
16. Cooperative supply chain relationships developed to enhance the overall business
performance of both parties is a definition of:
third-party logistics supply chain
collaboration dovetailing
relationship marketing
17. Process improvement technique that sorts the "vital few" from the "trivial many" is
Taguchi analysis
Pareto analysis
benchmarking
Yamaguchi analysis
18. A fishbone diagram is also known as a

cause-and-effect diagram
poka-yoke diagram
Kaizen diagram Taguchi
diagram
19. Which of the following functions is not a core function of an organisation?

The Product/Service Dev.Function
The Operations Function
The Marketing ( Including Sales ) Function
The accounting and finance function
20. What is a perfect order?
simultaneous achievement of relevant customer metrics
an order that arrives on time
an order that arrives undamaged
an order that is easy for the receiver to fill
21. Total Quality Management emphasizes

the responsibility of the Quality Control staff to identify and solve all quality-related
problems
A commitment to quality that goes beyond internal company issues

to suppliers and customers
A system where strong managers are the only decision makers
A process where mostly statisticians get involved
22. "Quality is defined by the customer" is

an unrealistic definition of quality
a user-based definition of quality
a manufacturing-based definition of quality a product-
based definition of quality
the definition proposed by the American Society for Quality Control
23. Which of the following is not one of the major categories of costs associated with quality?
prevention costs
appraisal costs internal
failures
none of the above, they are all major categories of costs associated with
quality
24. According to the manufacturing-based definition of quality,
quality is the degree of excellence at an acceptable price and the control of variability at an
acceptable cost
quality depends on how well the product fits patterns of consumer preferences even
though quality cannot be defined, you know what it is
quality is the degree to which a specific product conforms to standards
25. An important feature of supply chain management is its application of electronic commerce
technology that allows companies to share and operate systems for:
Order processing, transportation scheduling, and inventory
management
cost-effective flowing of raw materials
future purchasing of computer systems
future merger opportunities
26. Lean production involves
Elimination of cost only
Improvement of quality only
Improvement of speed only
Elimination of all types of waste
27. All of the following costs are likely to decrease as a result of better quality except
customer dissatisfaction costs
maintenance costs
scrap costs
warranty and service costs
28. Inspection, scrap, and repair are examples of
internal costs
external costs
costs of dissatisfaction societal
costs
29. Which of the following activities is not a direct responsibility of operations management?
Determining the exact mix of products and services that the
customers will want
Designing the operation's products,services and processes
Developing an operations strategy for the operations
Planning and controlling the operation
30. Total Quality Management emphasizes
the responsibility of the Quality Control staff to identify and solve all quality-related problems
a commitment to quality that goes beyond internal company issues to

suppliers and customers
a system where strong managers are the only decision makers a process
where mostly statisticians get involved
31. A successful TQM program incorporates all of the following except
continuous improvement
employment involvement
benchmarking
centralized decision making authority
32. Which of the following would not be normally considered as a key feature of Operations
Management?
Operations is the part of an organisation which creates wealth through the management of
the transformation process
World class Operations can give an organisation competitive advantage
Most new technology is implemented in Operations areas
Operations is the area of a business where most people work
33. "Kaizen" is a Japanese term meaning

a foolproof mechanism
Just-in-time (JIT) a fishbone
diagram
continuous improvement
34. Costs of dissatisfaction, repair costs, and warranty costs are elements of cost in the
Taguchi Loss Function
Pareto Chart
ISO 9000 Quality Cost Calculator
Process Chart
35. A quality loss function utilizes all of the following costs except
the cost of scrap and repair
the cost of customer dissatisfaction inspection,
warranty, and service costs sales costs
costs to society
36. Which of the following is the least likely decision to be made by Operations Managers?
Selecting the location and layout of a facility
Deciding which market areas to manufacture products for
How much capacity is required to balance demand
Designing and improving the jobs of the workforce
37. Pareto charts are used to

identify inspection points in a process outline
production schedules
organize errors, problems or defects

show material flow
38. Among the tools of TQM, the tool ordinarily used to aid in understanding the sequence of
events through which a product travels is a
Pareto chart
Flow chart
check sheet
Taguchi map
39. Which one of the following would not generally be considered an aspect of operations
management?
Work methods
Secure financial resources
Maintain quality
Product or service design
40. Which one of the following is not a typical question dealt with by an operations managers?
What is a satisfactory location for a new facility?
How to motivate employees?
41. A worker operates a shear press. She notices that the metal sheets she is cutting have curled
edges. Who should get the first "shot" at solving the problem?
the foreman
a member of the Quality Control department

the operator herself
the employee's supervisor
42. Which of the following is not a key activity of an operations manager?

Understanding the needs of customer
Continually learning
Managing cash flows
Exploiting technology to produce goods and services
43. A recent consumer survey conducted for a car dealership indicates that, when buying a car,
customers are primarily concerned with the salesperson's ability to explain the car's features, the
salesperson's friendliness, and the dealer's honesty. The dealership should be especially concerned
with which dimensions of service quality?
communication, courtesy, and credibility competence,
courtesy, and security competence, responsiveness,
and reliability
communication, responsiveness, and reliability
44. Which one of the following best represents a pure service?
Bank loans
Computer diagnosis and
repair Attending a theatre
play Fast food restaurant
45. Which one of the following best represents a pure good?

Salt
Fast food
Attending a play
Vehicle repair
46. Which one of the following would not generally be considered an aspect of operations
management?
Schedule work
Secure financial resources
Maintain quality
Oversee the transformation process
47. Which one of these was not mentioned in the list of recent trends in operations management?
Total quality management
Worker involvement Global
competition. Automation.
48. Which came last in the development of manufacturing techniques?
Lean production.
Division of labor.
Mass production.
Craft production.
49. Which function typically employs more people than any other functional area?
Information System
Operations
Marketing
Finance
50. Which of the following is not a type of operations?

Goods production
storage/transportation
entertainment
price reduction
51. Which of the following is not true about a lean production system?
It puts emphasis on quality, flexibility, and time reduction.
It puts emphasis on reducing a company's labor force.
It is involved in maintaining and improving the system with lower amounts of inventory.
It relies on buffers against unforeseen occurrences.
52. The inputs to a transformation process include all of the following except
Material
People
Information
Assembly
53. is an example of a pure good.

Restaurant
Dentist
Coal Mining
Education
54. Which one of the following is not a typical question dealt with by an operations manager?
What is a satisfactory location for a new facility? Which
products/services should be offered?
55. Which one does not use operations management?
A CPA firm.
A bank.
A hospital
They all use it.
56. Zero defects in manufacturing

is an unobtainable and misleading ideal
is the goal of TQM
is readily achievable in all areas
is a relevant goal only in electronic assembly
57. Which one is not generally considered an advantage of using models for decision-making?
Providing a systematic approach to problem solving.
Emphasizing quantitative information. Providing an exact
representation of reality.
Requiring users to be specific about objectives.
58. ”Quality is conformance to specifications”-This definition of quality is from point of view of
Customer
Manufacturer
Quality Circle Forum
TQM
59. Which came last in the development of manufacturing techniques?

Lean production.
Division of labor. Mass
production.
Interchangeable parts.
60. The goal of Total Quality Management is:
Product differentiation
Brand equity
Acting globally
61. Which of the following is not a typical supply chain member?
Retailer‟s Creditor
Wholesaler
Producer
Customer
62. Quality is both quantitative and
Supportive
Qualitative
Measurable
Conclusive
63. When suppliers, distributors, and customers partner with each other to improve the
performance of the entire system, they are participating in a
Channel Of Distribution
Value Delivery Network
Supply Chain
Supply And Demand Chain
64. A company's channel decisions directly affect every .
customer's choices
employee in the channel
channel member
Marketing decision.
65. From the economic system's point of view, the role of marketing intermediaries is to transform
the assortment of products made by producers into the assortment of products wanted by
Channel members.
manufacturer
s marketers
distributors
consumers
66. Intermediaries play an important role in matching .

dealer with customer
manufacturer to product
information and
promotion supply and
demand
67. Marketing logistics involves getting the right product to the right customer in the right place
at the right time. Which one of the following is not included in this process?
implementing the plan for the flow of goods and services planning the
physical flow of goods and services
controlling the physical flow of goods, services, and information
gathering customer's ideas for new products
68. Raw materials and specialised services procured are converted into useful service offerings
and finaly distributed to customers in following Industry
Hotel
Cement
Sugar
Refinery
69. Which of the following is not an area of responsibility for a logistics manager?
inventory
purchasing
warehousin
g marketing
70. To reduce inventory management costs, many companies use a system called ,
which involves carrying only small inventories of parts or merchandise, often only enough for a
few days of operation.
reduction-inventory management supply
chain management economic order quantity
just-in-time logistics
limited inventory logistics
71. A Supply Chain includes the chain of entities involved in the
planning,procurement,production and -------------- of products and services
Distribution
Supply
Demand
Transport
72. In a SC,Material flows in one direction while from in both direction

Process
Information
Product
Semifinished Goods
73. Companies manage their supply chains through .
information transportation
modes competitors
the Internet
skilled operators
74. Julie Newmar recognizes that her company needs to provide better customer service and trim
distribution costs through teamwork, both inside the company and among all the marketing
channel organizations. Julie will begin the practice of .
intermediation
customer relationship management supply
chain management
horizontal marketing system management
75. There are four generic processes involved in any SCM-Planning for operations,Sourcing
decisions,Manufacturing related activities and
Purchase
Inventory
Information
Distribution

77. Today, a growing number of firms now outsource some or all of their logistics to
intermediaries.
competitors
third-party logistics providers channel
members
cross-functional teams
78. Most operations produce a mixture of both products and services. Which of the following
businesses are closest to producing “pure” services?
Counsellor/Therapist
Restaurant
IT company
Steel company
79. If a sample of parts is measured and the mean of the measurements is outside the control
limits the process is
in control, but not capable of producing within the established control limits
out of control and the process should be investigated for assignable variation
within the established control limits with only natural causes of variation
monitored closely to see if the next sample mean will also fall outside the control
limits
80. A quality circle holds a brainstorming session and attempts to identify the factors responsible
for flaws in a product. Which tool do you suggest they use to organize their findings?
Ishikawa diagram
Pareto chart
process chart
control charts
81. When a sample measurement falls inside the control limits, it means that
each unit manufactured is good enough to sell

the process limits cannot be determined statistically the
process output exceeds the requirements
if there is no other pattern in the samples, the process is in control
82. Which of the following statements is true of LEAN?

Lean principles focus on advanced statistical methods
Lean principles are separate body of knowledge
Lean principles have been developed over a lengthy period of time.
Lean principles include reducing waste.
83. Which one does not use operations management?

Supermarket
Bank
Hospital
They all use it.
84. The trend in organizations is to place the SCM function:
Under the manufacturing function
Under the finance function Under the
engineering function
At the same level as the other major functions
85. Which of the following is NOT a factor affecting the supply chain?
Reduced number of suppliers
Increased competition
Longer product life cycles

Increased opportunities to strategically use technology
86. If two potential suppliers can deliver a part with the same quality and prices, the selection
should be based on:
Age of the firms A coin flip
Outside evaluation
The capabilities and flexibilities of the firms
87. Just-in-time/SCM purchasing requires the following condition:

Many suppliers Short-term
contracts
Cooperation between purchasing and suppliers

Continuous competitive bidding
88. The amount of inventory kept at each stock point in a warehouse network is usually based
on:
Minimizing transportation costs Constant
demand
Tradeoffs between warehousing, inventory, and transportation costs

Product pricing strategy
89. Which of the following is true regarding control charts?

Values above the upper and lower control limits indicate points out of adjustment. Control charts
are built so that new data can be quickly compared to past performance data.
Control charts graphically present data.
All of the above are true.
90. The goal of inspection is to
detect a bad process

immediately add value to a
product or service correct
deficiencies in products correct
system deficiencies
91. Which of the following is not a typical inspection point?

upon receipt of goods from your supplier
during the production process
before the product is shipped to the customer
at the supplier's plant while the supplier is producing after a
costly process
92. What name is often given to the Japanese „total approach‟ to removing anything that does not
add value to the final product?
Jobbing processes
Lean production processes

Continuous processes.
Batch processes.
94. The most common form of quality control includes:

Planning
Organizing
Inspection
Directing
95. Which of the following is not a typical supply chain member?

Retailer‟s creditor wholesaler
reseller
producer
a. "quality is the degree of excellence at an acceptable price and the control of variability at
an
acceptable cost"
b. quality depends on how well the product fits patterns of consumer preferences
c. even though quality cannot be defined, you know what it is
d. quality is the degree to which a specific product conforms to
standards
97. TQM refers to
a. total quantity management
b. total quality management

c. total quality marketing
d. total quotient management
98. When suppliers, distributors, and customers collaborate with each other to improve the
performance of the entire system, they are participating in a
a) channel of distribution
b) value delivery network

c) supply chain
d) supply and demand chain
99. A company's channel decisions directly affect every .

a) customer's choices
b) employee in the channel
c) channel member
d) competitor's actions
100. A supply chain is a sequence of firms that perform activities required:

a. to find products that are similar
b. to facilitate wholesalers inventory selections
c. to create synergy in their training programs
d. to create and deliver goods to consumers
101. A supply chain is essentially a sequence of linked:
a. customer and prospects
b. supplier and manufacturer
c. suppliers and customers

d. warehousing and wholesaling units
102. From the economic system's point of view, the role of marketing intermediaries is to
transform the assortment of products made by producers into the assortment of products wanted
by Channel members.
a) manufacturers
b) marketers
c) distributors
d) consumers
103. Intermediaries play an important role in matching .
a) dealer with customer
b) manufacturer to product
c) information and promotion
d) supply and demand
104. Marketing logistics involves getting the right product to the right customer in the right place
at the right time. Which one of the following is not included in this process?
a) implementing the plan for the flow of goods and services
b) planning the physical flow of goods and services
c) controlling the physical flow of goods, services, and information
d) gathering customer's ideas for new products
105. A supply chain is a sequence of firms that perform activities required:

e. to find products that are similar
f. to facilitate wholesalers inventory selections
g. to create synergy in their training programs
h. to create and deliver goods to consumers
106. A supply chain is essentially a sequence of linked:
e. customer and prospects
f. supplier and manufacturer
g. suppliers and customers
h. warehousing and wholesaling units
107. Which of the following is not an area of responsibility for a logistics manager?
a) inventory
b) purchasing
c) warehousing
d) marketing
108. To reduce inventory management costs, many companies use a system called ,
which involves carrying only small inventories of parts or merchandise, often only enough for a
few days of operation.
a) reduction-inventory management
b) supply chain management
c) economic order quantity
d) just-in-time logistics
109. Companies manage their supply chains through .
a) information
b) transportation modes
c) competitors
d) the Internet
110. Julie Newmar recognizes that her company needs to provide better customer service and trim
distribution costs through teamwork, both inside the company and among all the marketing
channel organizations. Julie will begin the practice of .
a) intermediation
c) integrated logistics management
d) supply chain management
111. Today, a growing number of firms now outsource some or all of their logistics to
intermediaries
a) competitors
b) third-party logistics providers

c) channel members
d) cross-functional teams
112. Supply chain concept originated in what discipline?
a) marketing
b) operations
c) logistics
d) production
113. A restaurant is an example of a
a. major service with accompanying goods and services
b. hybrid
c. pure service
d. pure tangible good
114. The supply chain management philosophy emerged in which decade?
a) 1960s
b) 1970s
c) 1980s
d) 1990s
115. A encompasses all activities associated with the flow and transformation of
goods from the raw material stage, through to the end user, as well as the associated information
flows.
a) production line
b) supply chain
c) marketing channel
d) warehouse
116. Which of the following are not key attributes of supply chain management?
a) inventory control
b) leveraging technology
c) c. customer power
d) all are key attributes
117. Positive, long-term relationships between supply chain participants refer to:
a) co-opetitions
b) tailored logistics
c) partnerships
d) supply chain management
118. The bullwhip effect:

a) is an ineffective way to motivate warehouse employees
b) applies to rodeos and has nothing to do with supply chain management
c) refers to the “swaying” motion associated with triple trailers
d) refers to variability in demand orders among supply chain
participants.
119. The variability in demand orders among supply chain participants:

a) cannot be controlled
b) refers to the bullwhip effect

c) can be controlled with electronic order placement
d) is more pronounced in relational exchanges
120. Cooperative supply chain relationships developed to enhance the overall business
performance of both parties is a definition of:
a) third-party logistics
b) supply chain collaboration

c) dovetailing
d) relationship marketing
121. What is a perfect order?
a) simultaneous achievement of relevant customer metrics
b) an order that arrives on time
c) an order that arrives undamaged
d) an order that is easy for the receiver to fill
122. Which of the following is NOT a reason that companies are depending more on their
suppliers?
a) More focus on core competencies
b) Need for more flexibilities
c) Desire to share risks
d) More control over their suppliers
123. Which of the following is NOT a benefit of SCM Purchasing?
a) Consistent quality
b) Savings on resources
c) Lower costs
d) Less dependence on suppliers

124. What term describes a vertical expansion of job duties in order to give the worker more
responsibility?
a) Job enlargement
b) Job rotation
c) Job enrichment
d) Job design
125. What are the two basic types of production systems?

a) Automated and manual
b) Intermittent and non-intermittent process

c) Normal and continuous process
d) Continuous process and batch
126. What type of process would a paper mill be most likely to use?
a) Continuous flow
b) Project
c) Job shop
d) Flow shop
127. What technique deals with the problem of supplying sufficient facilities to production lines
or individuals that require uneven service?
a) Supply-demand theory
b) PERT
c) Inventory theory
d) Queuing theory
128. A manufacturer has been receiving excessive numbers of defective standard machine parts
from a vendor on a regular basis. What is the most effective way to design a formal inspection
system for incoming parts?
a) Queuing analysis
b) Time series analysis
c) Statistical quality control

d) Regression analysis
129. A set of simultaneous equations that has more variables than constraints has
a) no solution
b) an infinite number of solutions

c) a finite solution
d) an infinite solution
130. In a PERT/CPM network, computing the critical path requires
a) determining the total project duration
b) assigning the earliest finish time for an activity as the earliest start
time for the next
c) that the latest finishing time for an activity not delay the overall project beyond initial
expectation
d) a sophisticated and complex computer program
131. At the completion of the forward and backward passes, the slack for an activity is given by the
a) difference between early start and early finish
b) difference between early start and latest finish
c) difference between latest start and early finish
d) amount of idle labor on the critical path
UNIVERSITY OF CALICUT
SCHOOL OF DISTANCE EDUCATION

BBA (2011 Admn.)
III SEMESTER
CORE COURSE
ORGANISATIONAL BEHAVIOUR
QUESTION BANK
1. “ ------------ are social inventions for accomplishing goals through group efforts”
a. Management c. Leadership
b. Organization d. Behavior
2. Which of the following is/are the key features of organization

a. Social invention c. Group efforts
b. Accomplishing goals d. All of these
3. A study of human behavior in organizational settings is

a. Individual c. Organizational behavior
behavior d. None of these
b. Group
behavior
c. F.W. Taylor
4. Scientific
d. A. Maslow
Management
approach is
developed by
a. Elton Mayo
b. Henry Fayol
5. Who proposed “ bureaucratic structure” is suitable for all organization

a. Elton Mayo c. F.W. Taylor
b. Henry Fayol d. Max Weber
6. “Hawthrone experiment” which was a real beginning of applied research in OB was

conducted by
7. Process or administrative theory of organization is being given by

8. Whose concept states that interpersonal and human relations may lead to productivity
a. Elton Mayo organization are
b. Henry Fayol a. Open system
9. Today’s b. Closed system
c. F.W. Taylor
d. Max Weber
c. Open as well as
closed
d. None of these
10. Which organization theory can be understood by IF and THEN relationship
a. System c. Process approach
approach d. Scientific approach
b. Contingency
approach
c. Total system approach
11. Organization
d. All of these
Behavior is
a. An
interdisciplin c. Normative science
ary approach d. Pessimistic approach
b. A
humanistic c. Tolman
approach d. Piajet
12. Organization
Behavior is not a
/an
a. A separate
field of study
b. Applied
science
13. “Cognitive
theory” of
learning was
given by
a. Skinner
b. Pavlov
14. Extension of behavior modification into organization is called

a. Enrichment c. OB Mod
b. Enlargement d. OB Ext
15 --------------- is a relatively permanent change in behavior that occurs as a result of experience

a. Behavior c. Motivation
modification d. Skills
b. Learning
16. which of the following is / are included as structure of human mind

a. Id c. Super ego
b. Ego d. All the above
17 is largely childish, irrational, never satisfied, demanding and destructive of others

a. Ego c. Negative ego
b. Super ego d. Id
18 represent noblest
thoughts, ideals c. Negative ego
etc.
d. Id
a. Ego
b. Super ego
19 is reality and practical oriented part of thinking
a. Ego c. Negative ego
b. Super ego d. Id
20. Thematic Apperception Test (TAT) is designed to understand

a. Perception c. Learning of individual
of d. None of these
individual
b. Personality
of
individual
21 ------------------ is “the reactions of individuals to new or threatening factors in their work

environments”
a.Attitude c.Dissonance
b.Stress d.Disappointment
22. Which of the following is/are not job related source of stress
a.Role c.Ethical dilemmas
ambiguity d.Career concerns
b.Role overload
23. Which of the following is/are not organizational factors causing stress
a. Task demand c. Role conflict
b.Role demand d.Satisfaction
24. Which of the following is / are method of managing stress
a. Job c. Recreational facility
relocation d. All the above
b. Career
counseling
25. Which of the following is / are not a method of managing stress

a. Time c. Role Analysis techniques (RAT)
management d. Rorschach test
b. Supervisor
training
26 ---------------- refers to the negotiation or an agreement between two groups

a. Contracting c. Pressure tactics
b. Co-opting d. None of these
27. Which of the following methods is/are used to solve intergroup conflicts indirectly
a. Avoidance c. Bargaining
b. Encouragem d. All of these
ent
28. Which of the following is / are not direct method to solve intergroup conflicts
a. Problem c. Removing key figures in conflict
solving d. Persuasion
b. Domination
by the
management
29. A technique to bring changes in the entire organization, rather man focusing attention on
individuals to bring changes easily.
a. Organization c. Organizational culture
al d. Organizational conflicts
development
b. Organization
al change
30. Which of the following is/are OD intervention techniques

a. Sensitivity c. Quality of work life
training d. All the above
b. MBO
31. Which of the following is NOT an important issue relating to goal-setting theory?
a. Goal c. Feedback
specificity d. Defining the goal
b. Equity
among
workers
32. Behaviour, power, and conflict are central areas of study for .
a. sociologist b. Anthropologists
c. Social psychologists d. Operations analysts
33. When a bank robber points a gun at a bank employee, his base of power is:
a. Coercive b. Punitive
c. Positional d. Authoritative
34. The managers of a multinational company are located in France, India, Brazil, and the United
States. Which decision-making technique seems most reasonable for this organization?
a. A postal service interaction b. A brainstorming session
c. A nominal discussion d. An electronic meeting
35. What do we call it when we judge someone on the basis of our perception?
a. Stereotyping b. Categorizing
c. Halo effect d. Prototyping
36. Sobha is an honest and straightforward person. She believes her employees are all similarly
honest and straightforward, ignoring signs that they may be manipulating her.
What perceptual shortcut is Sobha most likely using?
a. Contrast effect b. Halo effect
c. Stereotyping d. Projection
37. Sathish has a low absenteeism rate. He takes responsibility for his health and has good health
habits. He is likely to have a(an):
a. Internal locus of control b. External locus of control
c. Core locus of control d. High emotional stability level
38. Raju believes that men perform better in oral presentations than women. What shortcut has been
used in this case?
a. The halo effect c. Projection
b. The contrast d. Stereotyping
effect
39. Mr. Manoj, Manager ABC Company found that skills of workers and machinery used by them as
compared to the competitors in the market are obsolete within a year, which type of challenge
ABC Company is facing?
a. High Quality and Low Quality b. Globalization and Culture

c. Rapid Pace of Change d. Multiple Stakeholders
40. According to Robert Katz, when managers have the mental ability to analyze and diagnose
complex situations, they possess skills.
a. Technical b. Leadership
c. Problem-solving d. Conceptual
41. What sort of goals does Management By Objectives (MBO) emphasize?

a. Tangible, c. Challenging, emotional and constructive
verifiable and d. Hierarchical, attainable and effective
measurable
b. Achievable,
controllable and
profitable
42. Today’s managers understand that the success of any effort at improving quality and productivity
must include .
a. Quality c. Employee's participation
management d. Manufacturing simplification
programs
b. Customer service
improvements
43. Which of the following would be least likely to pose a barrier to cross-cultural communications?
a. Tone difference c. Political correctness
b. Word d. Differences among perceptions
connotations
44. Which of the following theory is proposed by Clayton Alderfer?
a. Theory X and Theory Y b. Hierarchy of Needs

c. ERG Theory d. Theory
45. Concept of MBO
was introduced by: c. Henry Fayol
a. Peter. F.Drucker d. Philip Kotler
b. Mary Parker
46. Mr. Sunil’s one-day salary was deducted because of his uninformed leave, as he was already
warned about this behaviour. It is an example of which method of shaping behaviours?
a.Reinforcement c. punishment
b. Positive d. Negative Reinforcement
Reinforcement
47. While managing political behaviours in organization, the manager requires discouraging:
a. Negotiation b. Relationships
c. Self interest d. Dialogue
48. People with which type of personality trait commonly make poor decisions because they make
them too fast?
a. Type As c. Self-monitors
b. Type Bs d. Extroverts
49. Which of the following is an environmental force that shapes personality?

a. Gender c. Experience
b. Height d. Brain size
50. Factors other than satisfaction that impact one’s decision to leave a current job include all of the
following EXCEPT:
a. Labour market c. Organizational citizenship behavior
conditions d. Expectations about alternative job
b. Length of tenure opportunities
with the
organization
51. Praveen is dissatisfied with his job but believes that his supervisor is a good man who will do the
right thing. Praveen has decided that if he just waits, conditions will improve. Praveen’s approach to
this problem is termed as:
a. Exit c. Loyalty
b. Voice d. Neglect
52. Which of the following leadership behaviours are identified by the path-goal theory?
a. Supportive, employee-oriented, laissez-faire and participative
b. Achievement-oriented, supportive, humanistic, and directive
c. Participative, achievement-oriented, directive, and supportive
d. Directive, participative, supportive, and laissez-faire
53. Which of the following is not a trait dimension in Big 5 personality trait?
a. Extroversion c. Ego
b. Agreeableness d. Culture
54. In which stage of the conflict process does conflict become visible?
a. Illumination c. Behaviour
b. Intentions d. Cognition
55. Which dimension of Big 5 personality traits represents artistically sensitive, refined etc.
a. Culture c. Conscientiousness
b. Emotional d. Extroversion
stability
56. refers to the network of personal and social relations that is developed
spontaneously between people associated with each other.
a. Formal c. Business organization
organization d. Government organization
b. Informal
organization
57. The cognitive process through which an individual selects, organizes but misinterprets
environmental stimuli is known as
a. Perception c. Selective Perception
b. Projection d. Mis-Perception
58. The more consistent behaviour, the more the observer is inclined to _.
a. Attribute it to c. Attribute it to consensus
interpretation d. Attribute it to external causes
b. Attribute it to
internal causes
59. Which of the following is one of the relationships proposed in expectancy theory?
a. Reward- c. Rewards-personal goals relationship
satisfaction d. Effort-satisfaction relationship
relationship
b. Satisfaction-
performance
relationship
60. In Maslow’s hierarchy needs which of the following pair of needs is ranked as” lower order needs”?
a. Physiological and c. Self actualization and safety needs
safety needs d. Social and esteem needs
b. Physiological and
social need
61. Maslow grouped the five needs into two categories

a. Higher-order c. Self needs and others needs
needs and Lower- d. Luxurious needs and comfort needs
order needs.
b. Supreme needs
and local needs
62. If everyone who is faced with a similar situation responds in the same way, attribution theory
states that the behaviour shows .
a. Consensus c. Reliability
b. Similarity d. Consistency
63. Your boss never gives you the benefit of the doubt. When you were late back from lunch, he
assumed that you had simply taken too much time. He never considered that the elevators were out
and you had to walk up 10 flights of stairs. Your boss is guilty of .
a. Self-serving bias c. Fundamental attribution error
b. Selective d. Inconsistency
perception
64. Mr.Sajeev rated Mr. Rajiv high in his job evaluation because both belong to same area and
graduated from the same University. It is an example of:
a. Central Tendency c. Similar-to-me effect
b. Halo effect d. Misperception
65. All the following are dimensions of Intellectual ability EXCEPT:

a. Inductive reasoning
b. Dynamic strength c. Deductive reasoning
d. Number aptitude
66. What sort of actions is most likely to be attributed to external causes?

a. Actions that have high distinctiveness, high consensus and high consistency
b. Actions that have high distinctiveness, high consensus and low consistency
c. Actions that have high distinctiveness, low consensus and low consistency
d. Actions that have low distinctiveness, low consistency and high consensus
67. A threatened strike action by a labour union to force the management to accept their demands is an
example of which of the following power?
a. Referent power c. Reward power
b. legitimate d. Coercive power
power
68. Which of the following departmentalization can be considered necessary in an organization where the
company’s products fall into several categories with very different production methods for each category?
a. Customer c. Process
b. Production d. Matrix
69. Mr.Dirash has a job which pays an excellent salary. He has a good relationship with his peers and
his supervisors. He also likes the fact that the company policy fits well with what he personally believes,
and that he has received considerable recognition for his achievements at the company. Which of these
factors is 'MOST likely' responsible for the fact that Dirash loves his job?
a. High c. Good nature of supervisor relationships
compensation d. Recognition for his achievements
b. Good nature of
peer relationships
70. Job appraisal is the c. Psychology

part of_ d. Political science
a. Sociology
b. Anthropology
71. Over the past two decades, business schools have added required courses on people skills to many
of their curricula. Why have they done this?
a. Managers no longer need technical skills in subjects such as economics and accounting to
succeed.
b. There is an increased emphasis in controlling employee behavior in the workplace.
c. Managers need to understand human behavior if they are to be effective.
d. These skills enable managers to effectively lead human resources departments.
72. Which of the following is most likely to be a belief held by a successful manager?
a. Technical knowledge is all that is needed for success.
b. It is not essential to have sound interpersonal skills.
c. Technical skills are necessary, but insufficient alone for success.
d. Effectiveness is not impacted by human behavior.
73. What term is used for the extent to which an individual displays different behaviours in different
situations?
a. continuity c. flexibility
b. integrity d. distinctiveness
74. What does consensus
refer to in
attribution theory?
a. There is general
agreement
about a
perception.
b. Different people respond the same way in the same situation.

c. There is general agreement about how people desire to respond to the same situation.
d. Different people perceive a situation similarly.
75. If everyone who is faced with a similar situation responds in the same way, attribution theory
states that the behaviour shows.
a. consensus c. reliability
b. similarity d. consistency
76. Which of the following is not one of the four primary management functions?
a. Controlling c. Staffing
b. Planning d. organizing
77. Determining how tasks are to be grouped is part of which management function?
a. Planning c. Controlling
b. Leading d. organizing
78. Mintzberg concluded that managers perform 10 different, highly interrelated roles. Which of the
following is one of the broad categories into which these roles could be grouped?
a. Intrapersonal c. Decisional
b. Institutional d. affective
79. As a manager, one of James’s duties is to present awards to outstanding employees within his
department. Which Mintzberg managerial role is James acting in when he does this?
a. leadership role c. monitor role
b. liaison role d. figurehead role
80. According to Mintzberg, one of management’s interpersonal roles is .

a. spokesperson c. Negotiator
b. leader d. monitor
81. Robert Katz identified three essential skills that managers need to have in order to reach their
goals. What are these skills?
a. technical, decisional and interpersonal
b. technical, human, and conceptual
c. interpersonal, informational and decisional
d. conceptual, communication and networking
82. A manager is valued by her colleagues for her ability to perform effective break-even analysis on
upcoming ventures. In this case, her colleagues value her for competencies that fall within which of
Katz’s essential management skills categories?
a. Technical c. Human
b. Communicatio d. conceptual
n
83. According to Katz, technical skills encompass the ability to.

a. analyze and diagnose complex situations
b. exchange information and control complex situations
c. apply specialized knowledge or expertise
d. initiate and oversee complex projects
84. Which one of the following would not be considered a human skill in Katz’s structure?
a. Decision c. resolving conflicts
making. d. working as part of a team
b. Communicati
ng
85. According to Katz, when managers have the mental ability to analyze and diagnose complex
situations, they possess skills.
a. Technical c. problem-solving
b. Leadership d. conceptual
86. According to Fred Luthans and his associates, which of the following is considered a part of
traditional management?
a. Disciplining c. exchanging routine information
b. decision d. acquiring resources
making
87. Which of Luthans’ managerial activities involves socializing, politicking, and interacting with
outsiders?
a. traditional c. human resource management
management d. networking
b. communicatin
g
88. While the Functions, Roles, Skills, and Activities approaches to management all differ, they all
recognize that effective and successful managers must develop which of the following?
a. People c. Efficiency
skills d. entrepreneurialism
b. technical
skills
89. An OB study would be least likely to be used to focus on which of the following problems?
a. an increase in absenteeism at a certain company
b. a fall in productivity in one shift of a manufacturing plant
c. a decrease in sales due to growing foreign competition
d. an increase in theft by employees at a retail store
90. If a person responds the same way over time, attribution theory states that the behaviour shows.
a. Distinctiven c. Consistency
ess d. continuity
b. Consensus
91. Mr.Balu is late for work each day by about ten minutes. How would attribution theory describe
this behaviour?
a. It shows c. It shows reliability.
consensus. d. It shows consistency
b. It shows
similarity.
92. Which of the following is a reason that the study of organizational behaviour is useful?
a. Human behavior does not vary a great deal between individuals and situations.
b. Human behavior is not random.
c. Human behavior is not consistent.
d. Human behavior is rarely predictable.
93. Psychology’s major contributions to the field of organizational behavior have been primarily at
what level of analysis?
a. the level of c. the level of the organization
the group d. the level of the culture
b. the level of
the
individual
94. Which behavioural science discipline is most focused on understanding individual behaviour?
a. Sociology c. Psychology
b. social d. anthropology
psychology
95. The science that seeks to measure, explain, and sometimes change the behaviour of humans and
other animals is known as .
a. Psychiatry a. Corporate strategy
b. Psychology b. Anthropology
96. blends concepts
from psychology
and sociology.
c. Sociology
d. organizational
c. Political science.
behavior
d. Social psychology
97. The science that focuses on the influence people have on one another is.
a. Psychology c. political science
b. Anthropolo d. social psychology
gy
98. Which of the following fields has most helped us understand differences in fundamental values,
attitudes, and behaviour among people in different countries?
a. Anthropolo c. political science
gy d. operations research
b. Psychology
99. The subject of organizational culture has been most influenced by which behavioural science
discipline?
a. Anthropolo c. social psychology
gy d. political science
b. Psychology
100. Which of the following OB topics is not central to managing employees’ fears about terrorism?
a. Emotion c. Communication
b. Motivation d. work design
101. According to management guru Tom Peters, almost all quality improvement comes from of
design, manufacturing, layout, processes, and procedures.
a. Modificatio c. Integration
n d. simplification
b. Stratificati
on
102. Today’s managers understand that the success of any effort at improving quality and productivity
must include.
a. process c. customer service improvements
reengineeri d. employees
ng
b. quality
c. Human being
manageme
d. technology
nt
programs
103. Most valuable
asset in an
organization is
a. Land and
building
b. Cash and
bank
balances
104. What term is used to describe voluntary and involuntary permanent withdrawal from an
organization?
a. Absenteeis c. Downsizing
m d. truancy
b. Turnover
105. is discretionary behaviour that is not part of an employee’s formal job requirement, but
that promotes the effective functioning of the organization.
a. Productivity c. Organizational citizenship
b. Motivation d. Organizational behavior
106. Individual-level independent variables include all of the following except.

a. Leadership c. Perception
b. Learning d. motivation
107. Which of the following statements is true about the term “ability”, as it is used in the field of
organizational behaviour?
a. It refers to an individual’s willingness to perform various tasks.
b. It is a current assessment of what an individual can do.
c. It refers exclusively to intellectual skills.
d. It refers exclusively to physical skills
108. Which of the following is not a biographical characteristic?

a. political c. Sex
affiliation d. tenure
b. age
109. Experiments performed by Ivan Pavlov led to what theory?

a. classical c. social learning
conditionin d. behavior shaping
g
b. operant
conditionin
g
110. What role did the meat play in Pavlov’s experiment with dogs?
a. an c. a conditioned response
uncondition d. an unconditioned stimulus
ed response
b. a
conditione
d stimulus
111. In Pavlov’s
experiment, the c. conditioned stimulus
bell was a/an . d. conditioned response
a. uncondition
ed stimulus
b. unconditio
ned
response
112. Which of the following is not true of classical conditioning?

a. Classical conditioning is passive.
b. Classical conditioning can explain simple reflexive behaviors.
c. Learning a conditioned response involves building an association between a conditioned
stimulus and an unconditioned stimulus.
d. A neutral stimulus takes on the properties of a conditioned stimulus.
113. Operant conditioning argues that .

a. behavior is reflexive
b. behavior is unlearned
c. behavior is a function of its consequences
d. the tendency to repeat a behavior is very strong
114. Which of the following researchers thought that reinforcement was the central factor involved in
behavioural change?
a. Pavlov c. Skinner
b. Fayol d. Deming
115. According to operant conditioning, when behaviour is not reinforced, what happens to the
probability of that behaviour occurring again?
a. It increases. c. It remains unchanged.
b. It declines. d. It becomes zero.
116. What do we call the view that we can learn both through observation and direct experience?
a. situational c. social learning theory
learning d. the Pavlov principle
theory
b. classical
learning
117. Four processes have been found to determine the influence that a model will have on an
individual. Which of the following is not one of those processes?
a. attention c. motor reproduction processes
processes d. consequential processes
b. retention
processes
118. Which of the following processes deals with how well an individual remembers a model’s action
after it is no longer readily available?
a. Attitudinal c. motor reproduction
b. Retention d. reinforcement
119. What do we call the practice of reinforcing closer and closer approximations of a desired
behaviour?
a. Modeling c. classical conditioning
b. Shaping d. social learning
120. Suspending an employee for dishonest behaviour is an example of which method of shaping
behaviour?
a. Extinction c. punishment
b. negative d. reaction
reinforceme
nt
121. The application of reinforcement concepts to individuals in the work setting is referred to as
a. classical c. Reengineering
conditionin d. OB Mod
g
b. self-
manageme
nt
122. Who said “Give me a child at birth and I can make him into anything you want”?
a. B.F. c. Sigmund Freud
Skinner d. James Emery
b. Ivan
Pavlov
123. Syam is always late coming to work and the manager cut his increment. This is an example of.
a. positive c. Punishment
reinforceme d. extinction
nt
b. negative
reinforcem
ent
124. What is the process by which individuals organize and interpret their sensory impressions in
order to give meaning to their environment?
a. Interpretatio c. Outlook
n d. perception
b. environme
ntal
analysis
125. Two people see the same thing at the same time yet interpret it differently. Where do the factors
that operate to shape their dissimilar perceptions reside?
a. the c. the timing
perceivers d. the context
b. the target
126. What is the most relevant application of perception concepts to OB?

a. the perceptions people form about each other
b. the perceptions people form about their employer
c. the perceptions people form about their culture
d. the perceptions people form about society
127. What is the name of the theory that deals with how we explain behaviour differently depending
on the meaning we assign to the actor?
a. behavioral c. selective perception theory
theory d. attribution theory
b. judgment
theory
128. In attribution
theory, what is
distinctiveness?
a. whether an individual displays consistent behaviors in different situations
b. whether an individual displays different behaviors in different situations
c. whether an individual displays consistent behaviors in similar situations
d. whether an individual displays different behaviors in similar situations
129.is once view of
reality c. Outlook
a. Attitude
d. Personality
b. Perception
130.is the dynamic organization within the individual that determine his unique adjustment
to the environment
a. Perception c. Behavior
b. Attitude d. personality
131. Which is also
known as a non- c. Extinction
reinforcement d. all the above
a. Punishment
b. Negative
reinforceme
nt
132. Most of the
learning that takes c. Cognitive learning
place in the Class
d. Social learning
room is
a. Classical
conditioning
b. Operant
conditioning
133.are those factors that exists in the environment as perceived by the individual
a. Physiologica c. Cue stimuli
l drive d. Reinforcement
b. Psychologica
l drive
134.is the process of screening out information that we are uncomfortable with or that
contradict to our beliefs
a. Perceptual c. Halo effect
context d. Stereotyping
b. Selective
perception
135. The extent to which individuals consistently regard themselves as capable, worthy, successful etc. is
a. Self esteem c. Tolerance for ambiguity
b. Authoritaria d. Workhollism
nism
136. A learned pre-disposition to respond in a consistently favourable or unfavourable manner with

respect to a given object
a. Perception c. Behavior
b. Attitude d. personality
137. “I don’t like that company”- is ………components of attitude.

a. Affective c. Intentional component
component d. None of these
b. Cognitive
component
138. “They are the worst firm I have ever dealt with” is ………components of attitude.
b. Cognitive
component
139. “I will never do business with them again” is ………components of attitude.

b. Cognitive
component
140. Which of the following is a method of measuring attitude?
a. Opinion c. Scaling techniques
survey d. All the above
b. Interview
141. Basis of c. Leadership
“Autocratic Model d. Partnership
of OB is
a. Economic
resources c. Leadership
b. Power d. Partnership
142. Basis of “Custodial

Model of OB is c. Leadership
a. Economic d. Partnership
resources
b. Power c. Leadership
143. Basis of d. Partnership
“Supportive Model
of OB is
a. Economic
resources
b. Power
144. Basis of “Collegial
Model of OB is
a. Economic
resources
b. Power
145. Managerial a. Persons physical fitness match with the
orientation of job
“Autocratic b. Persons skills match with the job
Model” of OB is
a. Authority
b. Money
146. Managerial
orientation of
“Supportive
Model” of OB is
a. Authority
b. Money
147. Managerial
orientation of
“Custodial model”
of OB is
a. Authority
b. Money
148. Managerial
orientation of
“Collegial
Model” of OB is
a. Authority
b. Money
149. Employees needs
met by Autocratic
Model is
a. Subsistence
b. Security
met by Custodial
Model is
a. Subsistence
b. Security
met by Supportive
Model is
a. Subsistence
b. Security
met by Collegial
Model is
a. Subsistence
b. Security
153.” Person-Job fit”
means
c. Support c. Status and Recognition
d. Teamwork d. Self-actualization



c. Persons contributions match with the incentives offered by the organization
d. Persons education match with the job
154. Which of the following is not an attribute of psychological individual difference?

a. Motivation c. Personality
b. Learning d. Complexion
155. Which of the following is not an attribute of physiological individual difference?

a. Appearance c. Attitude
b. Complexion d. Body shape
156.is a person’s belief about his chances of successfully accomplishing a specific task
a. Self esteem c. Self efficacy
b. Job d. Self appraisal
satisfaction
157. Select the correct hierarchical order of qualities of an individual

a. Ability- c. Skills- Aptitude- Competency- Ability
Skills- d. Competency-Ability-Skills- Aptitude
Aptitude-
Competency
b. Aptitude-
Ability-
Skills-
Competency
158. As per Stimulus-Response Model, input for behaviour process is
a. Drive c. Stimuli
b. Organism d. Response
159. S-O- B-A Model
combines the S-R c. Human being
Model and d. drive
a. Stimuli
b. Response
160. An enduring attribute of a person that appears constantly in a variety of situation is

a. behavior c. attitude
b. trait d. culture
161. Sociable, talkative,
assertive etc. are c. extroversion
features of d. conscientiousness
a. introversion
b. agreeablenes
c. extroversion
s
d. conscientiousness
162. Good natured,
cooperative and
trusting are the
features of
a. introversion
b. agreeablenes
s
163. Responsible, dependable, persistent and achievement oriented are features of

a. introversion c. extroversion
b. agreeablenes d. conscientiousness
s
164. Imaginative, c. extroversion
artistically d. conscientiousness
sensitive etc. are
features of
a. Openness c. extroversion
b. agreeablenes d. conscientiousness
s
165. Tensed, insecurity
and nervousness
are features of
a. emotional
instability
b. agreeablenes
s
166. Some people strongly believe that each person have control of his own life. This is
a. extroversion b. conscientiousness
c. internal d. external locus of control
locus of
control
167. Some people think that what happens to them is a result of fate, chance, luck etc. this is
a. extroversion c. internal locus of control
b. conscientiou d. external locus of control
sness
168.is the tendency of individual, which directs them to be inward and process ideas and
thought within themselves
b. Introversion d. external locus of control
169.persons are likely to be most successful in the field of advertisement, sales department,
public relation etc
b. conscientiou d. external locus of control
sness
170.persons are likely to be most successful in the field of research and work based on
abstract idea.
b. introversion d. external locus of control
171 ------------ indicates the level of uncertainty that people can tolerate to work efficiently without
experiencing undue stress
a. Risk c. Tolerance for ambiguity
propensity d. Workahollism
b. Authoritaria
nism
172. The extent to which individual believes in importance of power, status difference in organization
a. Self esteem c. Tolerance for ambiguity
b. Authoritaria d. Workahollism
nism
173 is the extent of c. Risk propensity
rigidity of a d. Tolerance for ambiguity
person’s belief
a. Authoritaria
nism
b. Dogmatism
174 is the degree to which an individual is willing to take chances and risky decisions
a. Authoritaria c. Risk propensity
nism d. Tolerance for ambiguity
b. Dogmatism
175 is manipulating and influencing others as a primary way of achieving one’s goal
a. Authoritaria c. Risk propensity
nism d. Machiavellianism
b. Dogmatism
176 persons feel chronic c. Type A
sense of time d. Type B
urgency
a. Authoritaria
nism
b. Dogmatism
177 persons are easy going people and do not feel time urgency
a. Authoritaria c. Type A
nism d. Type B
b. Dogmatism
178 is an attitude reflects the extent to which an individual is gratified or fulfilled by his work
a. Motivation needs
b. Job
satisfaction
179. Maslow’s “basic
needs” are also
known as
a. Social needs
b. Esteem
c. Contribution
d. Cognitive c. Safety needs
dissonance
d. Physiological needs
180. In Maslow’s Need hierarchy which needs are shown between Esteem needs and Safety needs
a. Social needs c. Security needs
b. Esteem d. Basic need
needs
181. ERG theory of c. Alderfer
motivation was d. Mc Gregor
proposed by
a. Maslow
c. Remuneration
b. F. Herzberg
d. Relatedness
182. Under ERG theory,
“R” stands for------
--- c. Alderfer
a. Rationality d. Mc Gregor
b. Responsibilit
y
183. Dual structure
approach of
motivation is
developed by
a. Maslow
b. F. Herzberg
184. Under Herzberg’s theory, factors causing dissatisfaction is called
a. Demotivator c. Hygiene factors
s d. Defectors
b. Negative
stimuli
c. Defectors
185. Hygiene factors are d. All of these
a. Satisfiers
b. Maintenance
c. Both of these
factors
d. None of above a and b
186. In Two Factor
theory, “Salary”
coming under ------ c. Alderfer
------- d. Mc Gregor
a. Satisfiers
b. Maintenance c. Z theory
factors d. None of these
187. Who propounded
X and Y theory of
motivation
a. Maslow
b. F. Herzberg
188 -----------------theory
believes that employees
dislike work
a. X theory
b. Y theory
189. According to --------- employees love work as play or rest

a. X theory c. Z theory
b. Y theory d. None of these
190. Z theory is a Japanese approach of motivation developed by

a. Mc Clelland c. Alderfer
b. William d. Mc Gregor
Ouchi
191. According to ---------- the managers and workers should work together as partners and of equal
importance for the organizations success
a. X theory c. Z theory
b. Y theory d. 2 Factor theory
192. Which one of the following need is not coming under Mc Clelland theory of motivation?
a. Need for Need Based Theory of motivation?
power a. Maslow’s Theory
b. Need for b. F. Herzberg’s theory
achievement
193. Which one is not a Process Based Theory of
192. Which one is not a motivation?
a. Porter c. Need for affiliation
Lawler d. Need for actualization
theory
b. Mc
c. Alderfer’s theory
Clelland’s
theory d. Vroom’s theory
194. Who developed

Equity theory of c. Stacy Adams theory
motivation? d. Vroom’s theory
a. Porter
Lawler c. Stacy Adams
b. Mc Clelland d. Vroom
195. Porter Lawler
Model is an c. Stacy Adams theory
extension of
d. Vroom’s theory
a. Maslow’s
theory
b. Mc
Clelland’s
theory
196. Cognitive Evaluation Theory of motivation is introduced by
a. Stacy Adams c. Ouchy
b. Charms d. F W Taylor
197. Goal setting theory
is pioneered by c. Edwin Locke
a. Stacy Adams d. F W Taylor
b. Charms
198. The group formed by an organization to accomplish narrow range of purposes within a specified
time
a. Formal c. Interest Group
Group d. Functional Group
b. Task Group
199 ----------- is the attractiveness of the members towards the group or resistance to leave it
a. Group norms c. Group cohesiveness
b. Group d. Group structure
behavior
200. Believes, attitudes, traditions and expectations which are shared by group members is called
a. Group norms c. Group cohesiveness
b. Group d. Group structure
communicati
on
201 --------------- is the ability of influencing people to strive willingly for mutual objectives
a. Motivation c. Leadership
b. Control d. Supervision
202. In -------------- leadership, there is a complete centralization of authority in the leader

a. Democratic c. Free rein
b. Autocratic d. Bureaucratic
203. In ---------- in fact
“No leadership at c. Free rein
all” d. Bureaucratic
a. Democratic
b. Autocratic
c. Laissez-faire
204. Free rein d. Bureaucratic
leadership is also
known as
a. Democratic
b. Autocratic
205 leadership emphasize on rules and regulation in an organization

a. Democratic c. Laissez-faire
206 leader is self confident and can attract followers by his great influence
a. Charismatic c. Laissez-faire
207. under sensitivity training, the preferable T- group members is

a. 25 to 50 c. 50 to 100
b. 10 to 20 d. 5 to 10
208. Grid Organisation
Development was c. F W Taylor
developed by d. Max weber
a. Blake and
Mounton
b. Elton Mayo
209. ------------ refers to the basic changes in the content and responsibilities of job so as to satisfy
higher motivational needs
a. Job c. Work relocation
enrichment d. Process consultation
b. Job
enlargement
210 ------------- is a set of values that states what an organisation stands for
a. Organization c. Organizational spirit
behavior d. Organizational effectiveness
b. Organization
al culture
211. An extent to which an organisation achieves its predetermined objectives within given resources
and without undue strain to its members
a. Organization c. Organizational spirit
behavior d. Organizational effectiveness
b. Organization
al culture
c. Contingency theory
212. Which one of the d. All of these
following is/are
leadership
theories?
a. Trait theory
b. Behavior
theory
213. Least Preferred Co-worker ( LPC) model of leadership was developed by

a. Martin c. Fred Fielder
Evans d. Whetton
b. Robert
House
c. Whetton
214. Path-goal model of d. Cameron
Leadership was
introduced by
a. Martin
Evans &
Robert
House
b. Fred Fielder
215. Which of the following is not a contingency theory of leadership

a. LPC theory c. Vroom-Yetton-Jago theory
b. Path Goal d. Job centered Leadership
theory
216 is an attempt through a formal program to integrate employees’ needs and wellbeing with
the intention of improved productivity, better involvement and satisfaction
a. Quality of Work life
b. Quality c. Alternative Work schedule
Circle d. Job Redesign
217 is small groups of workers who meet regularly with their supervisor to solve work
related problem
a. Quality of c. Alternative Work schedule
Work life d. Job Redesign
b. Quality
Circle
c. Alternative Work schedule
218. The concept of d. Job Redesign
Work- Week is
related with
a. Quality of
Work life
b. Quality
Circle
219. When a group gives some of its leadership positions to the members of other group, it is
a. Contracting c. Co-alition
b. Co-opting d. Competition
220 --------------- refers to the combination of two or more individuals, groups or organisation for a
common goal with a minimum common programme
a. Contracting c. Co-alition
b. Co-opting d. Competition
ANSWER KEY
Q.No ANS Q.No ANS Q.No ANS Q.No ANS Q.No ANS Q.No ANS
1 B 38 D 75 A 112 D 149 A 186 B
2 D 39 C 76 C 113 C 150 B 187 D
3 C 40 D 77 D 114 C 151 C 188 A
4 C 41 A 78 C 115 B 152 D 189 B
5 D 42 C 79 D 116 C 153 C 190 B
6 A 43 C 80 B 117 D 154 D 191 C
7 B 44 C 81 B 118 B 155 C 192 D
8 A 45 A 82 A 119 B 156 C 193 B
9 A 46 C 83 C 120 C 157 B 194 C
10 B 47 C 84 A 121 D 158 C 195 D
11 D 48 A 85 D 122 A 159 C 196 B
12 D 49 C 86 B 123 C 160 B 197 C
13 C 50 D 87 D 124 D 161 C 198 B
14 C 51 C 88 A 125 A 162 B 199 C
15 B 52 C 89 C 126 A 163 D 200 A
16 D 53 C 90 C 127 D 164 A 201 C
17 D 54 C 91 D 128 B 165 A 202 B
18 B 55 A 92 B 129 B 166 C 203 C
19 A 56 B 93 b 130 D 167 D 204 C
20 B 57 D 94 C 131 C 168 B 205 D
21 B 58 B 95 B 132 C 169 A 206 A
22 D 59 C 96 D 133 C 170 B 207 B
23 C 60 B 97 B 134 B 171 C 208 A
24 D 61 A 98 A 135 A 172 B 209 A
25 D 62 A 99 A 136 B 173 B 210 B
26 A 63 C 100 D 137 A 174 C 211 D
27 A 64 C 101 D 138 B 175 D 212 D
28 D 65 A 102 D 139 C 176 A 213 C
29 A 66 D 103 C 140 D 177 B 214 A
30 D 67 D 104 B 141 B 178 B 215 D
31 B 68 C 105 C 142 A 179 D 216 A
32 A 69 D 106 A 143 C 180 A 217 B
33 A 70 C 107 B 144 D 181 C 218 C
34 D 71 C 108 A 145 A 182 D 219 B
35 A 72 C 109 A 146 C 183 B 220 C
36 D 73 D 110 D 147 B 184 C
37 A 74 B 111 C 148 D 185 B
1. Building long-term relationships with customers is essential for any

business. The application of technology to achieve CRM is a key element of
e-business but what does CRM stand for?
Your Answer: Customer relationship management
2. There are different techniques to both initiate and build relationships with
customers by using a combination of online and offline techniques. What is
the 'customer life cycle' though?
Your Answer: An approach to building and sustaining long-term

business with a customer
Correct Answer: The stages each customer will go through in a long-
term relationship with a supplier
The customer life cycle model has four stages of Select, Acquire, Retain,
and Extend and describes how a long term business relationship with a
customer progresses.
3. The four marketing activities within the customer relationship

management include customer selection, customer acquisition, customer
retention, plus:
Your Answer: Customer Up-sell

The correct answer is customer extension but note that the other answers
are related in that they refer to a range of extension techniques in this
activity of customer development.
4. Using digital communications technologies to maximise sales to existing

customers and encourage continued usage on online services is known as:
Your Answer: Personalisation

Correct Answer: Electronic customer relationship management
E-CRM encapsulates the description provided and combines the

interactivity provided by the web combined with email communications
and database storage of customer information to provide a personalised
service.
5. Using the Internet for relationship marketing involves integrating the

customer database with websites to make the relationship targeted and
personalised. Through doing this there are many benefits to be gained but
which of the below is not an advantage?
Your Answer: Lower costs

Correct Answer: Minimises breadth, depth and nature of relationship
Not less information regarding relationships but an increase in breadth and

depth.
6. Accepting that a customer has agreed to opt-in to receive further

information, with customer profiling the minimum amount of online
information that needs to be collected is an e-mail address. What is really
required though to decide if the customer is a good potential target for
further communications?
Your Answer: Permission marketing

Correct Answer: A qualified lead
A qualified lead provides additional information and from there to build up

a customer profile that registers customer interests, demographics, and so
on although there are data protection and privacy considerations to take
into account.
7. RACE is a practical framework to help marketers manage and improve the

commercial value gained from digital marketing. The term stands for
Reach, Act, C, Engage. What does 'C' refer to?
Your Answer: Collect

Correct Answer: Convert
The C stands for Convert and conversion marketing uses marketing

communication to maximise conversion of potential customers to actual as
well as encouraging existing customers to become repeat customers.
8. Companies that understand how customers use digital media in their

purchase decision buying can develop integrated communications
strategies to support their customers at each stage in the buying process.
Customers have individual preferences in the ways they use the web
depending upon why they need to use it and this web use is known as:
Your Answer: Undirected information-seekers

Correct Answer: Searching behaviours
Searching behaviours act as an umbrella terms for different approaches to

find information which vary from direct to undirected. The other answers
are examples of these with bargain hunting and entertainment seeking
being two others.
9. E-commerce managers aim to deliver the most effective mix of

communications to drive traffic to their e-commerce sites. The different
techniques can be characterised as:
Your Answer: Digital media channels

They are all applicable including the traditional off line marketing
techniques such as television and print, through to internet based
communications.
10. A marketing campaign will not be successful if the costs of acquiring site
visitors and customers are too high. The term used to describe the cost of
acquiring a new customer is known as:
Your Answer: Bounce rate

Cost per acquisition (or cost per action) is the term used. To control costs,
a limit allowable cost per acquisition can be set within the overall
marketing campaign budget.
11. The use of online and offline promotion techniques to increase the
audience of a site is known as a:
Your Answer: Quality score

Correct Answer: Traffic building campaign
Various techniques can be employed in a traffic building campaign to

increase both new and existing customers accessing websites. It would
help to study how search engines work and how these can be utilized to
improve an internet search profile.
12. Online public relations (or e-PR) should aim to maximise favourable
mentions of companies, products, brands, etc which are likely to be visited
by target audiences. Which of the following activities fall within the remit
of e-PR?
Your Answer: Blogs and podcasts

All of the activities mentioned are included under e-PR.
13. Social media (e.g. Facebook, Twitter) usage has become so widespread
that to discount a social media strategy would be a mistake best avoided.
Social customer relationship management (Social CRM) is a relatively new
term which helps to define the broad scope of social media across the
customer life cycle and value chain. The Altimeter report (2010) provides
a framework for reviewing strategy implementation and is known as:
Your Answer: Social CRM modelling

Correct Answer: The 5Ms
It is a recent report so The 5Ms may not be well known but includes
Monitoring, Mapping, Management, Middleware, and Measurement.
14. Online marketing communications include the development on online

partnerships and are regarded as an important part of a marketing mix.
There are three key types of online partnerships; link building, affiliate
marketing, and one other:
Your Answer: Interactive advertising

Correct Answer: Online sponsorship
Online sponsorship is the correct answer with the others all pertaining to
interactive advertising, another marketing communications strategy.
15. E-mail marketing has to make strategic plans regarding outbound and
inbound e-mails. E-mail is most widely used as a prospect conversion and
customer retention tool. A database of customer names, email addresses
and profile information used for e-mail marketing is usually known as:
Your Answer: Customer and prospect database

Correct Answer: House list
A house list may be far more extensive than generally assumed with
Lastminute.com having over 10 million contact details.
16. A strength of social media and viral marketing is:
Your Answer: Cannot be ignored in user's inbox

Correct Answer: It is possible to reach a large number at relatively low
cost
An effective viral agent needs to have creative material and clearly target
websites, blogs, contacts, etc., to start the e-mail virus spreading. As
such, it is effective in reaching many user e-mail addresses. However, it
does need monitoring and there are negative possibilities such as brand
damage.
FINALTERM EXAMINATION
Spring 2009
MKT610 - Customer Relationship Management
Solved By Black Shadow(Street)
Time: 120 min
M - 81
Within the context of a supply chain, __________ is the ability of a logistics system to satisfy users in terms of time,
dependability, communication and convenience.
► Just-in-time inventory
► Distribution management
► Replenishment

Which of the following is the description of good sales people?
► On site support
► Problem solver
► Organized
► Empathetic
Operational customer relationship management supports which one of the following functions?
► Customer campaigns
► Front Office
► Data mining
► Effective interaction
Which of the following processes is MOST critical to the success of the firm?
► Resource-allocation
► Manufacturing and distribution
► Payment and billing
► Customer support/handling
Which of the following refers to the “lowest” level of strategy?

► Financial strategies
► Marketing strategies
► Operational strategies
► HR strategies
The skill to stimulate someone to take action refers to which of the following?
► Skill to foresee
► Skill to speed up response
► Skill to listen
► Skill to induce

Which of the following is the act of designing the company’s offering and image to occupy a distinctive place in the
mind of the target market?
► Segmenting
► Positioning
► Targeting
► Imaging
The customer relationship involves tracking the full range of interactions with prospects and customers EXCEPT:
► Customer service and support interaction
► Sales interaction
► Marketing interaction
► Higher management activities
Which of the following process consists of the buying and selling of products or services over electronic systems such
as the internet and other computer networks?
► E-mail Marketing
► Web Personalization
► Sales force Automation
► E-commerce
Salesforce.com was one of the first to deliver customer relationship management (CRM) software over the internet.
Many companies are using CRM to create more sales with existing customers. All of these companies are banking on
the increasing importance of __________ as a growing source of sales.
► Media convergence
► Distribution elasticity
► E-commerce
►Sales force automation
Front Office CRM Systems covering real-time aspects of sales related activity is referred to as:
►Sales Force Automation
► CRM Customer Services
► CRM Customer Communications
► Automated Marketing
Which of the following is NOT a characteristic of the Business-to-Business arena?
► Large markets
► Wide geographic spread
► Complex buyer behavior
► Low volume of transactions

The phase in the selling process in which the salesperson gathers as much information about the prospective client
before the sales call is called:
►Prospecting
►Targeting
► The approach
► Pre-approach
http://wps.pearsoned.co.uk/ema_uk_he_kotler_prinmark_4/27/7112/1820819.cw/content/index.html
Negotiation is a give and take activity in which both parties try to shape a deal that satisfies both of them; it reflects
which one of the following negotiation?
► Standard negotiation
► Co-operative negotiation
► Collusive negotiations
► Competitive negotiation

“Lead tracking, distribution and management” are functional components of which of the following?
►Marketing application
► Sales application
► Support application

Electronic booksellers like amazon.com and barnesandnoble.com are likely to enjoy strong sales in the future
because books are a product category that:
► Can be delivered digitally

► Are highly standardized
► Require audio or video demonstration
► Do not require pre-purchase trial
http://highered.mcgraw-hill.com/sites/0072999896/student_view0/chapter18/multiple_choice_quiz_b.html
Which of the following is the application of insight to create relevant interaction or communication with consumers,
customer’s channels suppliers and partners that build value relationships
► Combine
► Correlate
► Cognize
► Connect
“The process to impart information from a sender to a receiver with the use of a medium” reflects which one of
the following concepts?
► Channel
► Decoding
► Communication
► MessageQuestion No: 19 (M-1).
The ability to communicate effectively
► Can be learned
► Depends on the education level of those around you
► Depends on not using technology to send messages
► Is a natural talent that cannot be learned

A good, service, or idea consisting of a bundle of tangible and intangible attributes that can satisfy consumers is
called a:
► Commodity
► Product
► Durable good
► Nondurable good
The target market for cookbooks is predominantly female and over 25 while the readership for comic books is mainly
males between the ages of 15 to20. This is important __________ information for a publisher to know.
► Psychographic
► Socioeconomic
► Demographic
► Geographic
Customer satisfaction with the purchase of a product is dependent upon what?
► The product's performance relative to the buyer's expectations
► The product's performance relative to the price
► The product's performance relative to the service
► The product's performance relative to the quality
A loyal customer has which kind of the relationship with the organization?
► No relationship
► Indifferent relationship
► Emotional relationship
► Transactional relationship
Which of the following tracks all the steps in the sales process
► None of the given options
► SCM
► SFA
► CRM
In property development, customer relationship is based on which of the following factors?
► Attitudes
► Money
► Trust
► Convenience
Which of the following does not drive the growth of direct marketing?
►Technology
► Customer perceptions
► Poduct
► Market changes
Which of the following is NOT a benefit of direct marketing?

► Convenience
► Interactive
►Customer relationship building
► Assists client prospecting
http://wps.pearsoned.co.uk/ema_uk_he_kotler_prinmark_4/27/7112/1820808.cw/index.htm
Inquisitive is the characteristic of which of the following category?
► Hypocritical mood customer
► Complaining mood customer
►Objection mood customer
► Indifference mood customer
Which of the following is a person’s pattern of living as expressed in his or her psychographics?
► Social class
►Lifestyle
► Culture
► Personality
The buyer-supplier relationship characterized by a close cooperative relationship where the seller adapts to meet the
customer's needs without expecting much adaptation or change on the part of the customer in exchange is referred
to:
► Customer is king
►Buyer-supplier relationship is transctional
► Supplier is king
► None of the given option
http://wps.prenhall.com/bp_kotler_mm_12/33/8681/2222417.cw/index.htm
Internal strengths and weaknesses are usually referred to as
► Uncontrollable activities within an organization
►Controllable activities within an organization
► Most important for shareholders and stakeholders
► Important as external opportunities and threat
Karen's company just finished meeting with the consultants who delivered a 4-year plan of renovation for a company.
Which part of the strategic landscape has been described in this statement?
► Strategy assessment
► Strategy implementation
►Strategy formulation
► Strategy initiation
When an organization understands the psyche of people at large scale through research and marketing activities
towards organization and product is known as
► Formulation and implementation of an organization's procedures
► Good-will through a two way communication process
► Coordination of communications programs public
► Evaluation of public attitudes and opinion

After shopping at www.americangirl.com , Mr.A received an e-mail from the online retailer of dolls and doll
accessories that told him when the doll would be shipped and when it should arrive at him house. The e-mail is an
important element of which one of the seven elements of web design?
► Content
► Clarity
► Customization
► Communication
Identify which is NOT the part of Modules of CRM
► Advanced technologies
► Functional components
► Financial components
► Channel
In which of the following phase of CRM, a business relies on CRM software tools and databases to help the company
proactively identify and reward its most loyal and profitable customers to expand their business via targeted
marketing and relationship marketing programs.
► Satisfied
► Retain
►All of the given options
► Acquire
http://books.google.com.pk/books?id=UIc0bwYS-
0EC&pg=PA250&lpg=PA250&dq=In+which+of+the+following+phase+of+CRM,+a+business+relies+on+CRM+softwar
e+tools+and+databases+to+help+the+company+proactively+identify+and+reward+its+most+loyal+and+profitable+cu
stomers+to+expand+their+business+via+targeted+marketing+and+relationship+marketing+programs.&source=bl&ot
s=DjxL-LhbU4&sig=cTo528VZJ3P-BTHdBDYqpSVFkqg&hl=en&ei=tfZiS6-UGYHY7APe-
bEe&sa=X&oi=book_result&ct=result&resnum=10&ved=0CDkQ6AEwCQ#v=onepage&q=&f=fals
The changing demographics of global consumers has tremendous implications on the nature of opportunities for
organizations. In view of this which of the following statements in incorrect
►Global marketers need to face up to the challenges.
► This can only be regarded as a major threat to the survival of today's organizations as it will
bring significant costs to them.
► There has been a reduction in birth rates in many developed economies.

► Businesses need to develop and market products and services that cater to the changing needs of the
ageing consumers

d) All of the above
Answer:D

d) All of the above
Answer:D
3. A _________ is an organized collection of detailed information about

individual customers or prospects that is accessible, actionable and current
for marketing purposes such as lead generation and others.
Answer:A
4. _______uses sophisticated mathematical and statistical techniques such as

neutral networking and cluster analysis.
a) Data mining
b) Data survey
c) CRM
Answer:A

d) All of the above
Answer:D
Answer:A
7. The method used to assess real cost of providing services to an individual

customer is

Answer:B
8. _______is any occasion on which the brand or product is used by end

customers.

Answer:A
9. _________ is the study of how individuals, groups and organizations

select, buy, use and dispose off goods, services, ideas or experiences to
satisfy their needs and wants.
b) Product cycle
Answer:A

b) Personal factors
c) Both a and b
Answer:C
11. ________ exerts the broadest and deepest influence on buying behavior.
a) Social factors
c) Personal factors
d) Cultural factors
Answer:D
12. ________ is the fundamental determinant of a person’s wants and behavior.
a) Culture
b) Attitude
c) Value
Answer:A
13. Indian marketers use a term called socioeconomic classification, which is

based on the _______ of chief wage earner.
a) Education
b) Occupation
c) Both a and b
Answer:C
14. Socioeconomic system classifies urban households into _____ broad

categories.
a) 4
b) 8
c) 6
Answer:B
15. For the rural areas, the socioeconomic system use _________ of the chief
wage earner.

Answer:A
16. Socioeconomic system classifies rural households into _____ broad

categories.
a) 8
b) 6
c) 4
Answer:C
17. Social class is indicated by ________variables.

a) Single
b) Several
c) None
Answer:B
18. A person’s _________ are all the groups that have a direct or indirect
influence on their attitudes or behavior.
b) Reference groups
Answer:B
19. Process of manage information about customers to maximize loyalty is said

to be

Answer:D
20. In buyer decision process, percentage of potential customers in a given

target market is called
a) customer funnel
b) company funnel
c) marketing funnel
d) retailers funnel
Answer:C
b) base value
c) retention value
Answer:A
22. Record which is based on business customers past purchases, sales price
and volumes is classified as
Answer:A
23. Whole cluster of benefits when company promises to deliver through its
market offering is called
Answer:A

d) both b and c
Answer:D

Answer:C
26. Percentage or number of customers who move from one level to next level
in buying decision process is called
a) conversion rates
b) marketing rates
c) shopping rates
d) loyalty rates
Answer:A
27. Customized products and services for customers and interaction to

individual customers are part of
Answer:B
Answer:A

d) image benefits
Answer:A
30. A person or company that yields a revenue more than incurred costs of
selling and serving is called
a) dissatisfaction
b) superior value
Answer:C
31. Customers lifetime purchases that generate net present value of future
profit streams is called

Answer:A
a) product benefits
b) services benefit
c) image benefit
d) all of above
Answer:D
33. Programs designed for customers which is limited to any affinity group
are classified as

b) royalty programs
c) loyalty programs
Answer:A

Answer:A
35. Difference between customers evaluation including all costs incurred and
benefits is called

Answer:A
36. Process of building, organizing and using databases of customers to build

customer relationship is classified as
d) company database
Answer:A
37. Perceived monetary value of all benefits which customers expect from a
given product because of brand image is called

Answer:A
38. System includes all experiences while using market offering is classified
as
Answer:B
39. Number of customers or potential customers who will help in company's

growth is classified as
a) customer base
b) retailer base
d) marketers base
Answer:A
40. Any occasion on which brand or product is encountered by end customers is

called

Answer:A
41. Technique which tries to identify real cost of serving an individual

customer is called

Answer:A
42. Process of manage information about customers to maximize loyalty is said

to be

Answer:D
43. In buyer decision process, percentage of potential customers in a given

target market is called
a) customer funnel
b) company funnel
c) marketing funnel
d) retailers funnel
Answer:C
b) base value
c) retention value
Answer:A
45. Record which is based on business customers past purchases, sales price
and volumes is classified as
Answer:A
46. Whole cluster of benefits when company promises to deliver through its
market offering is called
Answer:A
47. This is an approach to selling goods and services in which a prospect

explicitly agrees in advance to receive marketing information.

b) data mining
e) batch processing
Answer:C
48. In an Internet context, this is the practice of tailoring Web pages to

individual users’ characteristics or preferences.
a) Web services
b) customer-facing
C) client/server
e) personalization
Answer:E
49. This is the processing of data about customers and their relationship
with the enterprise in order to improve the enterprise’s future sales and
service and lower cost.
d) CRM analytics
e) B2C
Answer:D
50. This is a broad category of applications and technologies for gathering,

storing, analyzing, and providing access to data to help enterprise users
make better business decisions.
a) best practice
b) data mart
Answer:D
51. This is a systematic approach to the gathering, consolidation, and

processing of consumer data (both for customers and potential customers) that
is maintained in a company’s databases.
Answer:A
52. This is an arrangement in which a company outsources some or all of its

customer relationship management functions to an application service provider
(ASP).
a) spend management
C) hosted CRM
Answer:C
53. This is an XML-based metalanguage developed by the Business Process

Management Initiative (BPMI) as a means of modeling business processes, much
as XML is, itself, a metalanguage with the ability to model enterprise data.
a) BizTalk
b) BPML
C) e-biz
d) ebXML
e) ECB
Answer:B
54. This is a central point in an enterprise from which all customer contacts
are managed.
a) contact center
b) help system
d) call center
e) help desk
Answer:A
55. This is the practice of dividing a customer base into groups of

individuals that are similar in specific ways relevant to marketing, such as
age, gender, interests, spending habits, and so on.

Answer:D
56. In data mining, this is a technique used to predict future behavior and
anticipate the consequences of change.
C) phase change
Answer:
57. This is an approach to selling goods and services in which a prospect

explicitly agrees in advance to receive marketing information.

b) data mining
e) batch processing
Answer:C
58. In an Internet context, this is the practice of tailoring Web pages to

individual users’ characteristics or preferences.
a) Web services
b) customer-facing
C) client/server
e) personalization
Answer:E
59. This is the processing of data about customers and their relationship
with the enterprise in order to improve the enterprise’s future sales and
service and lower cost.
d) CRM analytics
e) B2C
Answer:D
60. This is a broad category of applications and technologies for gathering,

storing, analyzing, and providing access to data to help enterprise users
make better business decisions.
a) best practice
b) data mart
Answer:D
61. This is a systematic approach to the gathering, consolidation, and
processing of consumer data (both for customers and potential customers) that
is maintained in a company’s databases.
Answer:A
62. This is an arrangement in which a company outsources some or all of its

customer relationship management functions to an application service provider
(ASP).
a) spend management
C) hosted CRM
Answer:C
63. This is an XML-based metalanguage developed by the Business Process

Management Initiative (BPMI) as a means of modeling business processes, much
as XML is, itself, a metalanguage with the ability to model enterprise data.
a) BizTalk
b) BPML
C) e-biz
d) ebXML
e) ECB
Answer:B
64. This is a central point in an enterprise from which all customer contacts
are managed.
a) contact center
b) help system
d) call center
e) help desk
Answer:A
65. This is the practice of dividing a customer base into groups of

individuals that are similar in specific ways relevant to marketing, such as
age, gender, interests, spending habits, and so on.

Answer: D
1. CRM is a business philosophy that aims at maximizing ___ in the long run.
Ans. Customer value
2. Contacts with a customer can be managed by phone, fax and e-mail. (True/False)
Ans. True
3. According to ___, CRM is an iterative process that turns customer information into
positive customer relations.
a) Ronald S. Swift
b) Stanley A. Brown
c) Chris Todman
d) Gartner Group
Ans. Ronald S. Swift
4. In the 1980s, the emergence of ___ marketing took place.

Ans. Database
5. CRM helped in increasing customer satisfaction from order to end product.

(True/False)
Ans. True
6. Although ___ was developed as a Linux program, it is compatible with Windows. (Pick
the right options)
a) Telemation
b) SAP
c) Oracle
d) PeopleSoft
Ans. Telemation
7. A CRM system stores comprehensive information of a customer in a centralized way

which is accessible anytime. (True/False)
Ans. True.
8. A successful CRM increases production and profit throughout the ___.

Ans. Customer lifecycle
9. CRM understands the ___ and the capability to create an action plan for the staff
working in the various segments.
Ans. Segmental relationship
10. Companies that are using ___ are raising the level of personalization.
Ans. Proactive CRM
11. Operational CRM has developed into two variants namely eCRM and mCRM.
(True/False)
Ans. True
12. The main goal of ___ is to enable two-way continuous interactivity between the
customer and the company.
Ans. mCRM
13. The objective of data mining is to detect ‘known’ relationships among data.
(True/False)
Ans. False. The objective of data mining is to detect ‘hidden’ relationships among data.
14. Which of the following options includes relationship management with external
stakeholders in the value chain?
a) Analytical CRM
b) eCRM
c) Collaborative CRM
d) EAI
Ans. c) Collaborative CRM
15. The tools of technology are Information Technology and Knowledge Management.
(True/False)
Ans. True
16. ___ are important to develop and evaluate the results of marketing interactions. (Pick
the right option)
a) Campaign management tools
b) Interfaces
c) Analytical tools
d) Data warehouses
Ans. Campaign management tools
17. The result of the comparison between customer’s expectation and customer’s
perception is ___.
Ans. customer satisfaction
18. Measuring customer satisfaction requires a set of activities such as preparing
questionnaires, conducting surveys, and analyzing the results. (True/False)
Ans. True
19. ___ means customer’s belief related to products or services received or experienced.
Ans. Perception
20. CRM system generates ___ throughout interactions on different channels.

Ans. 360-degree customer view
21. There are three phases of customer interaction. (True/False)

Ans. False. There are four phases involved in customer interaction.
22. ___ is the translation of customers’ strategies into rules. Ans. Context
23. Integrated view of the customer provides a connection between customer

interaction channels and customer strategy. (True/False) Ans. True
24. In ___, active management and assessment of products and services take place. (Pick
the right option)
a) Intelligence phase
b) Value creation phase
c) Integration phase
d) Initial phase
Ans. c) Integration phase
25. CRM ___ combines the information of the customer that flows through different
departments and customer channels.
Ans. Architecture
26. Salesforce automation helps automate some processes that are associated with
services. (True/False)
Ans. False. Customer service automation helps to automate some processes that are
associated with service.
27. The ___ of CRM deals with communication between companies and their customers.
a) Collaborative feature
b) Operational feature
c) Analytical feature
d) Automation feature
Ans. Collaborative feature
28. Technology plays a vital role in managing ___.

Ans. Customer Knowledge Store
29. SFA ensures ___ and helps to increase the revenues by making better decisions.
Ans. Customer satisfaction
30. SFA enables collaboration and improves communication in the sales team.
(True/False)
Ans. True
31. ___ enables wireless or wired data synchronization between enterprise systems and
mobile devices.
Ans. Server-based iMobile suite
32. Docking synchronization is done once a day and it is primarily used to retrieve basic
information like addresses, phone numbers, etc. (True/False)
Ans. True
33. Which one of the following options is the correct benefit of SFA?
a) Decreases trading and increases administration
b) Helps to close agreements slower
c) Provides real-time visibility into sales
d) Helps to implement consistent sales processes across departments only
Ans. c) Provides real-time visibility into sales
34. Features like strong ___, easier integration, and better end-user experience are
included in SFA.
Ans. Customization
35. Which of the following features of SFA helps to integrate financial functionality of
the back and front office of an organization?
a) Contract management
b) Opportunity management
c) Asset management
d) Data quality management
Ans. Contract management
36. Dashboards provide immediate access to a real-time view of sales data. (True/False)
Ans. True
37. A 360-degree view of each lead, customer and account can be developed through a
medium of ___ in an organization.
Ans. SalesForce Automation software
38. Opportunity management functionality of SFA helps to manage multichannel

interactions. (True/False)
Ans. False. The customer management functionality of SFA helps to manage multi-
channel interactions.
39. Which of the following options is linked to order management?

a) Improves financial planning by easily tracking sales pipeline
b) Maintains audit information automatically
c) Associates opportunity data records with purchase decisions
d) Exports and imports account data
Ans. Improves financial planning by easily tracking sales pipeline
40. ___ and sharing of information are enabled in SFA to improve the organization.
Ans. Collaboration
41. If ___ is not done regularly, organizations may find it very expensive to manage data.
Ans. Data deduplication
42. It is essential that marketing managers or team leaders have monthly access to the
SFA system. (True/False)
Ans. False. It is essential that marketing managers or team leaders have daily access to
the SFA system.
43. Most of the SFA systems have default lead and opportunity stages, accounts and
contacts fields, reports and dashboards. (True/False)
Ans. True
44. The entire sales pipeline is affected by ___ reporting.

Ans. Inconsistent
45. Conflicts of data should be reconciled at the record level rather than at the field
level. (True/False)
Ans. False. Conflicts of data should be reconciled at the field level rather than at the
record level
46. An efficient synchronization system must: (Choose the false option)
a) Support large-scale field implementation
b) Give flexible support for the server database
c) Be dependent on the database
d) Easy to use
Ans. c) Be dependent on the database
47. During synchronization, to avoid database errors, the system should apply only
those files that are complete. (True/False)
Ans. True
48. Use of ___ help to supplement sales efforts and provide fast data amidst a busy
business schedule.
Ans. SFA tools
49. Reporting engine pulls out information from multiple sources to produce reports.
(True/False)
Ans. True
50. Name two industries that use tools to provide product-specific configuration
support to build products for their customers.
Ans. Computer technology vendors, Telephone companies
51. ___ is part of customer automation and part of sales force automation.
Ans. Field Force Automation (FFA)
52. EMA is designed to ___ the processes like designing, implementing and analyzing
direct marketing campaigns which are sophisticated in nature.
Ans. Automate
53. The main objective of EMA is to fasten the cycle of the direct marketing campaign.
(True/False)
Ans. True
54. Which among the following is defined as an ability to track and respond to clients in
an individualized manner? a) Personalization
b) Automation
c) Inbound management
d) Outbound management
Ans. a) Personalization
55. Personalization is done by analyzing each customer’s past contacts and behaviour.
(True/False)
Ans. True
56. Outbound e-mail management helps organizations to handle inbound queries raised
by customers.
(True/ False)
Ans. False. Outbound e-mail management helps organizations to form and perform
permission-based marketing campaigns.
57. The ___ e-mail management is totally considered as a service-oriented activity.

Ans. Inbound
58. ___ helps the organizations to form and perform permission-based marketing
campaigns.
Ans. Outbound e-mail management
59. Enterprise Marketing Automation helps in improving marketing effectiveness and

efficiencies by planning, testing, and executing ___.
Ans. Marketing campaigns
60. EMA software helps an organization to pick up the contact details from multiple
sources in ___ form.
Ans. Soft copy
61. De-duping helps to make only one entry per customer. (True/False)
Ans. True
62. It is important to store the list generated for a particular campaign in the database.
(True/False)
Ans. True
63. A ___ is successful and effective if there are careful research and a well-planned
design that focuses on the details and implementation of the campaign.
Ans. Marketing campaign
64. Which among the following is a major part of applications and techniques that helps
in gathering, storing, analyzing, and accessing the data?
a) Business analytics
b) Data visualization
c) Data mining
d) Virtual reality
Ans. a) Business analytics
65. A business analytical application automates the process of ___ and generally carries
out a part of the decision-making activities of a human being.
Ans. Thinking
66. Financial modelling, budgeting, resource allocation, and competitive intelligence are
some of the advanced applications of BA. (True/False)
Ans. True
67. The process of analyzing and extracting the important information from a pile of
collected data is defined as___.
Ans. Knowledge Discovery
68. Visualization or data visualization is a ___ tool that helps in interpreting data using
visuals or images.
Ans. Business Analytics
69. DSS are highly helpful in identifying the relationship between trends. (True/False)
Ans. False. Visual tools are highly helpful in identifying the relationship between trends.
70. In ___, devices connect directly and synchronize with their owners’ data on a PC. (Pick
the right option)
a) Software-based synchronization
b) Web-based portal synchronization
c) Enterprise space synchronization
d) Docking synchronization
Ans. a) Software-based synchronization
71. An efficient synchronization system is a system that is successful in sending ___

amount of data to remote users.
Ans. Minimal
72. ___ is the latest, new generation direct marketing software that helps marketers to
automate their marketing activities.
Ans. Enterprise Marketing Automation
72. Integrated marketing strategy aims at unifying different marketing methods.

(True/False)
Ans. True
73. Indirect communication channels promote sales whereas direct communication
channels promote sales and improve the ___.
Ans. Customer relationship
74. Name two direct communication channels.

Ans. Direct mail, e-mail
1. The ___ is the most commonly used enabling technology in tackling integration issues.
Ans. Session Initiation Protocol (SIP)
2. Integrated open standards-based architecture facilitates CICs to deliver immediate

feedback across mediums that provide outstanding customer service. (True/ False)
Ans. True
3. The main objective of customer service is to have an integrated multichannel and

multi-device communication. (True/ False)
Ans. True
4. What provide insight and intelligence necessary to customize messages, product

offers, and service according to individual customer needs?
Ans. Customer Analytics
5. ___ involves the process of generating awareness in a prospective customer and

converting that customer into an actual customer who buys the products.
Ans. Integrated Sales and Marketing
6. In larger companies, sales and operations communicate routinely and decisions that
integrate the knowledge of both the market and operations happen naturally.
(True/False)
Ans. False. In smaller companies sales and operations communicate routinely and
decisions that integrate the knowledge of both the market and operations happen
naturally.
7. In an organization, which department is responsible for generating leads?

Ans. The marketing department
8. ___ is the art of dealing with customer response and feedback via numerous
communication channels available.
Ans. Customer Response Management
9. Give the names of a few communication channels to receive customer feedback.
Ans. Call centre, surveys, e-mails, social networking, and mobile devices
10. ___ is used widely for targeting a large segment of customers, keen on receiving
messages on the move.
Ans. SMS
11. Which of the following response media provides the three different service models
of ‘Immediate Assistance’, ‘Deferred Assistance’ and ‘Engaging’ with the company via
self-service.
a) E-mail
b) Call centre
c) SMS
d) Web site
Ans. b) Call centre
12. CTI combines the functions of the ___ and the ___.
Ans. Telephone, Computer
13. If the calling party’s number is not in the database, CTI rejects the call. (True/False)
Ans. False. If the calling party’s number is not in the database, then IVRS is used.
14. ___ allows customers to solve their problems quickly and easily by interactive
mediums.
Ans. Improving customer service
15. The best way to retain customers is through ___ and ___.
Ans. Positive relationship management and outstanding customer service
16. In Customer Interaction Centers, customers get different levels of service depending
on the method of contact used with the organization (e-mail, phone, fax, or online chat).
(True/False)
Ans. False. In CICs, customers get constant service, irrespective of the method of contact
they use with the organization.
17. It is important to provide customers with a particular point of contact and access to
the combined skills and resources of the entire company. (True/False)
Ans. True
18. With ___, an organization can make full use of all its customer interactions, giving it a
significant competitive advantage in the drive for personalization.
Ans. An integrated strategy
19. ___ ___ is a telecommunication tool that effectively routes and distributes incoming
calls in an even way to a specific group of people.
Ans. An Automatic Call Distributor (ACD)
20. ___ is a technology that computerizes interactions with telephone callers.

Ans. Interactive Voice Response (IVR)
21. Programs that manage, control, reply and respond to the telephone calls on the IVR
platform are known as IVR applications. ( True/False)
Ans. True
22. ___ is the process of captivating verbal words as an input to a computer program.
Ans. Voice recognition
23. ___ is a kind of speech production application. It translates standard language text
into speech. (Pick the right option)
a) Voice Speech Recognition
b) Hosted FAQ services
c) Text-to-Speech
d) IVR applications
Ans. c) Text-to-Speech (TTS)
24. Verbal communication consists of two components ___ and ___.

Ans. Physiological component and a behavioural component
25. Through CTI a company can provide service to its customers for ___ hours.
Ans. 24 hours
26. CTI requires the customers to re-state their identity to a new agent. (True/False)
Ans. False. When CTI is used, customers need not re-state their identity to a new agent.
27. ____ of the customer is maintained in CTI by providing secured access.

Ans. Privacy
28. ___ and ___ are the two call control types of CTI.
Ans. The first party, Third party
29. TAPI stands for ___ and exists between the ___ and ___.
Ans. Telephony Application Programming Interface, Windows-equipped PC application,
Telephone system.
30. ___ and ___ are the popular PC telephony applications with CTI.
Ans. Softphone, Screen pop
31. ___ is the API for media binding in CTI. (Pick the right option)
a) TAPI
b) TSAPI
c) JTAPI
d) MTAPI
Ans. c) JTAPI
32. In Web-enabled CTI, interactions with customers is through the___. (Pick the right
option)
a) Server
b) Telephone switch
c) Internet
d) Computer
Ans. Internet
33. ___ service offered through Web-enabled CTI saves money on printing and mailing.
Ans. e-Billing
34. The first unit to which an incoming call lands in a CTI is ___.
Ans. PBX or ACD
35. The ____ system provides the tools needed to optimally manage incoming calls.
Ans. ACD
36. When the agent is unavailable the call centre shuts down. (True/False)
Ans. False. In the absence of the agent at the call centre, the ACD stores the call in a
queue.
37. Responses are ___ in an IVRS.

Ans. Recorded
38. Digital voice recording is the function of ___ unit.

Ans. Voice logger
39. Cumulative time spent on a project is reduced for a company investing in CTI.
(True/False)
Ans. True
40. Operators in call centres are also called ___.

Ans. Agents
41. The kick-off meeting is the place where all the project stakeholders get acquainted.
(True/False)
Ans. True
42. In the kick-off meeting, responsibility is assigned to various team members from the
___.
Ans. Company’s core departments
43. Requirements gathering is always company-centric. (True/False)

Ans. False. Requirements gathering is always customer-centric.
44. Discussions are held with all the ___ of the company during requirements gathering.
a) Technical staff
b) Managers
c) Sales personnel
d) Stakeholders
Ans. Stakeholders
45. Requirements gathering reduce ___ and ___ overruns.

Ans. Cost, Time
46. The output from the requirements stage of CRM implementation is ___.
Ans. Requirements specification document
47. A scoping and prioritizing activity ensures that ___ are targeted towards a common
delivery.
Ans. Discrete requirements
48. Component complexity arises due to the relationships between the functional
processes. (True/False)
Ans. False. System complexity arises due to the relationships between the functional
processes.
49. ___ is the input to the scoping and prioritizing stage of CRM implementation. (Pick
the right option)
a) Scope statement
b) Requirements list
c) Design document
d) Business plans
Ans. b) Requirements list
50. Proper scoping of a project helps to reduce and mitigate risks. (True/False)
Ans. True
51. Project management is the first step in designing a CRM project. (True/False)
Ans. False. The project kick-off meeting is the first step in designing a CRM project
52. Project planning involves breaking up of requirements specifications into ___.

Ans. Smaller subtasks
53. ___ outlines the interactions between a user and an application. (Pick the right
option)
a) Use case
b) Technical specification document
c) Functional specification document
d) Project user training plan
Ans. Use case
54. Pre-implementation stage is a CRM ___ assessment stage.

Ans. Readiness
55. Top management commitment is one of the organizational critical success factors.
(True/False)
Ans. True
56. Before the implementation of CRM, it is necessary to obtain the commitment of the
___.
Ans. Management
57. CRM implementation should be done in a single phase. (True/False)

Ans. False. CRM implementation should be done in phases.
58. CRM strategy should be in line with the company’s ___ strategy.
Ans. Business
59. The different types of prototype models are ___, ___ and ___.
Ans. Proof of concept model, Low fidelity model, High fidelity model
60. The major output from a prototype demo is ___.

Ans. Feedback
61. eCRM is much more than Internet access for CRM. (True/False)
Ans. True
62. eCRM provides a ___ view of the customer.

Ans. Holistic
63. Prototyping plugs the gap between ___ and ___.

Ans. CRM functions, Business processes
64. Prototyping is a joint activity between ___ and ___.

Ans. Vendor, CRM team of the company
65. ___ generations is done after prototyping. (Pick the right option)
a) Report
b) Proposal
c) Bill
d) Plan
Ans. b) Proposal
66. Customization is a process of ___ the CRM solution. (Pick the right option).
a) Planning
b) Buying
c) Fine-tuning
d) Integrating
Ans. c) Fine-tuning
67. The size of a project is determined by ___, ___ and ___.

Ans. The complexity of the interfaces, Workflow, Functions to be implemented
68. Match the following

Set A:
A. Inception
B. Analysis
C. Design
D. Development
Set B:
1. Building of modules
2. Specifics of customization worked out
3. Study of customization requirement
4. Planning of customization
Ans. A – 4, B – 3, C – 2, D – 1
69. ___ analysis is done to evaluate technical specifications and the functions of the CRM
solution.
Ans. Fit/gap analysis
70. Workflow and rule changes during customization affect the ___ and ___.
Ans. Costs, Schedule
71. Experienced end users are also called ___.

Ans. Power users
72. Customization is the beginning of the ___ transfer stage from the vendor to the
customer.
Ans. Knowledge
73. ___ document maps old data fields with new data fields.
Ans. Mapping
74. Integrating the CRM solution with other ___ is a challenging exercise.
Ans. Business-critical applications
75. The very first training one gets after installation of software is called___.
Ans. Initial user training
76. The staff of the company who maintains software systems is given ___ training. (Pick
the right option)
a) Initial user training
b) Train the trainer
c) System administrator training
d) Remedial training
Ans. c) System administrator training
77. ___ training enables a person to get trained at the person’s convenience.
Ans. E-training
78. Vertical rollout is suitable for ___ organizations.
Ans. Small
79. ___ is a major issue in data porting between central and remote locations.
Ans. Synchronization
80. The financial benefit a company gets at the end of CRM deployment is ___.
Ans. Return on Investment
1. How many types of BI users are there?

A. 2
B. 3
C. 4
D. 5
View Answer
Ans : C
Explanation: Four types of BI users : The Professional Data Analyst, The IT users, The
head of the company, The Business Users.
2. Which of the following statement is true about Business Intelligence?

A. BI convert raw data into meaningful information
B. BI has a direct impact on organization's strategic, tactical and operational
business decisions.
C. BI tools perform data analysis and create reports, summaries, dashboards,
maps, graphs, and charts
D. All of the above
View Answer
Ans : D
Explanation: All of the above statement are true.
3. KPI stands for?

A. Key Performance Indicators
B. Key Performance Identifer
C. Key Processes Identifer
D. Key Processes Indicators
View Answer
Ans : A
Explanation: BI : creating KPI (Key Performance Indicators) based on historic data
4. Which of the following does not form part of BI Stack in SQL Server?
A. SSRS
B. SSIS
C. SSAS
D. OBIEE
View Answer
Ans : D
Explanation: Oracle Business Intelligence Enterprise Edition Plus, also termed OBI EE Plus,
is Oracle Corporation’s set of business intelligence tools.
5. _________ is a category of applications and technologies for presenting

and analyzing corporate and external data.
A. MIS
B. DIS
C. EIS
D. CIS
View Answer
Ans : C
Explanation: EIS stands for Enterprise Information System.
6. Which of the following areas are affected by BI?

A. Revenue
B. CRM
C. Sales
D. CPM
View Answer
Ans : B
Explanation: Customer relationship management (CRM) is a system for managing a

company’s interactions with current and future customers. It often involves using technology
to organize, automate and synchronize sales, marketing, customer service, and technical
support.
7. Business intelligence (BI) is a broad category of application programs
which includes _____________
A. Decision support
B. Data Mining
C. OLAP
D. All of the above
View Answer
Ans : D
Explanation: Business intelligence (BI) is a broad category of application programs and

technologies for gathering, storing, analyzing, and providing access to data from various
data sources.
8. __________ is a system where operations like data extraction,

transformation and loading operations are executed.
A. Data staging
B. Data integration
C. ETL
D. None of the above
View Answer
Ans : A
Explanation: In computing, Extract, Transform and Load (ETL) refers to a process in

database usage and especially in data warehousing.
9. Business intelligence equips enterprises to gain business advantage

from data
A. TRUE
B. FALSE
C. Can be true or false
D. Can not say
View Answer
Ans : A
Explanation: Once an organization is powered with BI it can anticipate enhanced turnaround

time on data collection, come up with fresh ideas for novel business initiatives.
10. BI is a category of database software that provides an interface to
help users quickly and interactively scrutinize the results in a variety of
dimensions of the data
A. TRUE
B. FALSE
C. Can be true or false
D. Can not say
View Answer
Ans : B
1. Building and sustaining long term business with customers is the aim of :
Your Answer: Electronic customer relationship management

2. There are four classic marketing activities involving customer selection,

acquisition, retention, and one other:
Your Answer: Customer differentiation

3. By integrating customer databases with websites, marketing can be

improved and the benefits of electronic customer relationship management
(e-CRM) then include:
Your Answer: All the above are correct
4. Permission marketing is an established approach and the concept of opt-in

typically involves:
Your Answer: The customer agreeing to receive marketing

communications
5. An example of the concept of opt-out is:
Your Answer: A customer agreeing to receive an e-mail newsletter

Correct Answer: A customer unsubscribing to an e-mail newsletter
6. To engage a customer in an online relationship, the minimum information

that needs to be collected in an online form is:
Your Answer: Credit rating

Correct Answer: E-mail address
7. A key CRM technique is to encourage existing customers to recommend

friends or colleagues to purchase. This is:
Your Answer: Cross-sell

Correct Answer: Referral
8. A key CRM technique is a sub-set of cross-selling, but in this case selling

more expensive products. This is:
Your Answer: Reactivation

Correct Answer: Up-sell
9. Using the RACE (Reach, Act, Convert, Engage) marketing value

framework, what does Reach aim to do?
Your Answer: Engage audience with brand on its website or other

online presence
Correct Answer: Build awareness on other sites and in offline media
and drive to web presences
10. What would be a key performance indicator for the Reach step?
Your Answer: Repeat conversion

Correct Answer: Revenue or goal value per visit
11. Which of the following refers to the propensity of customers to select
products online, but buy offline?
Your Answer: Mixed-mode buying
12. Customers who are signed up for an online service but who have never
used it are described as:
Your Answer: Inactive
13. E-commerce managers aim to integrate an effective mix of electronic

communications to drive traffic to their e-commerce sites. Which answer
best represents an offline marketing strategy to generate website traffic?
Your Answer: Digital media channels

Correct Answer: TV advertising
14. When assessing marketing communications effectiveness, the cost of

getting the visitor to the website plus the cost of achieving the outcomes
during their visit is known as:
Your Answer: Referral costs

15. The online communications technique of search engine optimisation

involves:
Your Answer: Gaining a position in web directories like Yahoo!

Correct Answer: Gaining a good ranking in the organic or natural
listings of search engines
16. The online communications technique of link building involves:
Your Answer: Gaining a position in web directories like Yahoo!

17. A factor which will improve results from search engine optimization is:
Your Answer: Ensuring that partners can gain good earnings per
click
Correct Answer: Including the copy of a search term within a site's web
page
e-CRM can be defined as:
Your answer:
b) A marketing philosophy aimed at developing added value experiences via integrated
business functions
Correct answer:
a) The efficient handling of all customer relations by web-based methods integrated
into back office systems
Feedback:
e-CRM brings together front and back office systems via the Internet.
Page reference: 232
Question 2
The CAN SPAM Act of 2003 relates to:
Your answer:
b) Distance Selling regulations in Europe
Correct answer:
d) The key requirements governing the sending of commercial e-mails in the United
States
Feedback:
The CAN SPAM Act relates to the sending of pornography and marketing messages in
the US.
Page reference: 234
Question 3
Eliciting customer opinions on products and services relates to which one of Kotler's
relationship levels?
Your answer:
c) Accountable
Correct answer:
d) Proactive
Feedback:
Kotler suggest organisations are being proactive by seeking customer opinion but often
on an infrequent basis determined by the 'need to know'.
Question 4
Reicheld suggests that customer attitudes towards loyalty are driven by:
Your answer:
b) Their expectations
Correct answer:
a) Their perception of value
Feedback:
Value perceptions can be individual or collective but loyalty is primarily influenced by
the value placed and obtained from the organisation's offering.
Question 5
Front Office CRM Systems covering real-time aspects of sales related activity is referred
to as:
Your answer:
b) CRM Customer Communications
Correct answer:
d) Sales Force Automation
Feedback:
Sales Force Automation (SFA) provides real-time content management covering sales
promotions, order entry, account handling and lead tracking.
Page reference: 242
Question 6
A 2004 BT/EIU survey on the barriers to successful CRM implementation rated what as
the most important factor?
Your answer:
d) Failure to integrate back office systems properly
Correct answer:
c) Difficulties capturing the right customer data
Feedback:
The report which surveyed 172 UK executives found that capturing the right data was
problematic.
Question 7
Rosenspan identifies a key problem with Permission Marketing which is:
Your answer:
b) It is built around the marketers schedule
Feedback:
Poor practice in Permission Marketing centres all activity around the marketer's
schedule instead of around the customer.
Page reference: 250
Question 8
Online Personalisation relies on:
Your answer:
a) Individual customers volunteering increasing amounts of personal data
Feedback:
Organisations can only personalise communications and offers when they possess
current personal data.
Page reference: 254
Question 9
Phishing is:
Your answer:
a) Verification of online identities
Correct answer:
b) The process of stealing personal data after luring consumers to seemingly, legitimate
web sites
Feedback:
Phishing is the identity fraud process where people are driven to a supposedly genuine
web site where they unknowingly offer personal data to the fraudsters.
Page reference: 257
Question 10
The 'Privacy Paradox' refers to:
Your answer:
a) The desire for the personalisation of products balanced with the concern for privacy

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Question 1

What is not part of a marketing plan?

What is the term for a market that is defined by specific characteristics?

What do the four 'P's' of marketing relate to?

The brand of BP is an example of what type of brand name?

What does CRM stand for?

4. In the 1980s, the emergence of ___ marketing took place.

7. A CRM system stores comprehensive information of a customer in a centralized way

8. A successful CRM increases production and profit throughout the ___.

18. Measuring customer satisfaction requires a set of activities such as preparing

20. CRM system generates ___ throughout interactions on different channels.

21. There are three phases of customer interaction. (True/False)

28. Technology plays a vital role in managing ___.

38. Opportunity management functionality of SFA helps to manage multichannel

39. Which of the following options is linked to order management?

44. The entire sales pipeline is affected by ___ reporting.

57. The ___ e-mail management is totally considered as a service-oriented activity.

59. Enterprise Marketing Automation helps in improving marketing effectiveness and

72. Integrated marketing strategy aims at unifying different marketing methods.

73. Indirect communication channels promote sales whereas direct communication

74. Name two direct communication channels.

Question No: 2 (M-1).

Question No: 3 (M-1).

Question No: 4 (M-1).

► Payment and billing

Question No: 5 (M-1).

Which of the following refers to the “lowest” level of strategy?

Question No: 6 (M-1).

► Skill to speed up response

Question No: 7 (M-1).

Question No: 8 (M-1).

► Customer service and support interaction

► Higher management activities

Question No: 9 (M-1).

► Sales force Automation

Question No: 10 ( M - 1 ) - Please choose on

►Sales force automation

► CRM Customer Communications

Question No: 12 (M-1).

Which of the following is NOT a characteristic of the Business-to-Business arena?

► Wide geographic spread

► Complex buyer behavior

► Low volume of transactions

Question No: 13 (M-1).

Question No: 14 (M-1).

Question No: 15 (M-1).

Question No: 16 (M-1).

► Can be delivered digitally

► Require audio or video demonstration

► Do not require pre-purchase trial

Question No: 18 (M-1).

► MessageQuestion No: 19 (M-1).

The ability to communicate effectively

► Depends on the education level of those around you

► Depends on not using technology to send messages

► Is a natural talent that cannot be learned

Question No: 20 (M-1).

Question No: 21 ( M - 1 ) - Please choose on

Question No: 22 ( M - 1 ) - Please choose on

Customer satisfaction with the purchase of a product is dependent upon what?

► The product's performance relative to the buyer's expectations

► The product's performance relative to the price