Trimester 02, 2022

International University Foundation Program

Final Examination
UNIT CODE: MKT1207
UNIT NAME: Introductory Marketing

Student ID:
Student Name:
Lecturer:

Duration: Reading Time: 10 minutes

Working Time: 02 hours
TOTAL TIME: 02 hours and 10 minutes
Instructions: • This examination paper consists of 03 sections
• Writing is NOT allowed during reading time
• Write answers in the exam booklet provided for Section B and C
• Return the exam paper to the Exam Supervisor upon completion.
• Pencils are not permitted. Please write in Blue or Black pen.
Answers written in Pencil will not be marked.
• Correction fluid (tipex) is not permitted.

Marks: Section A: 20 marks

Section B: 25 marks
Section C: 15 marks
This examination is worth 20% of your final Grade

Type of Exam: Open Book

Materials: Calculators: Not approved

Electronic devices: Mobile phones and all other electronic devices capable of accessing the internet
or storing information are not allowed to be in your possession during examinations
Breaches of the above conditions will be considered an act of Academic Misconduct and
penalties will apply (as per the Assessment Policy and Student Misconduct Policy).

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SECTION A: Multiple Choice Questions - 20 marks

Underline the correct answer

Attempt all questions. 1 mark each

1. When marketers create the value proposition, it involves the __________ element of the
marketing mix.
a. policy
b. promotion
c. price
d. product
e. place
2. The __________ era embraced the belief that a good product would sell itself.
a. production-oriented
b. sales-oriented
c. consumer-demand
d. market-oriented
e. value-based
3. Which of the following accurately depicts the activities included in the 4E Framework for
social media?
a. excite, entice, educate, and employ
b. excite, educate, experience, and engage
c. enlighten, excite, engage, and evolve
d. encounter, experience, engage and employ
e. enlighten, educate, exhaust, and evolve
4. What is microblog?
a. a blog that supports only links to other posts
b. a blog service that supports only short posts
c. a blog whose owner doesn’t post very often
d. a blog runs by a small business
e. a blog that reports lengthy discussions

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5. __________ refers to the process by which the use of a product or process spreads
throughout a market group, over time and across various categories.
a. the product life cycle
b. fashion cycles
c. innovation
d. market segmentation
e. diffusion of innovation
6. Marketers selling milk, bread, and other consumer staples, know most customers do not
spend much time searching or comparing alternative. For most consumers, these are
__________ goods.
a. specialty
b. impulse
c. shopping
d. convenience
e. unsought
7. Marketers need to think about the product offer on three levels. Which of the following
levels includes associated services such as warranties, financing, support, and after-sale
service?
a. modified product
b. actual product
c. augmented product
d. core customer value
e. immediate product
8. The text describes the macro-environmental factors that operate in the external
environment by which acronym?
a. SWOT
b. RFID
c. CCC
d. CDSTEP
e. GENX

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9. Virgin Atlantic hosts a service called Taxi2 to make it easier for passengers to share rides
from the airport to their destination at a lower cost. In this way, Virgin Atlantic is
responding to the social trend of:
a. privacy concerns
b. thrift
c. greener consumer
d. health and wellness concerns
e. a time-poor society
10. The concept of services being __________ highlights the fact that a hair stylist can
positively impact the overall customer experience be having a friendly, attentive attitude.
a. variable
b. perishable
c. inseparable
d. unalterable
e. intangible
11. When an organisation selects a single, primary target market and focuses all its energies
on providing a product to fit that market’s needs, it is using a(n) __________ targeting
strategy.
a. mass marketing
b. concentrated
c. micromarketing
d. undifferentiated
e. differentiated
12. Which of these is NOT one of the main components of a value proposition?
a. The name of the product or brand being offered
b. The target markets
c. The price of the product being offered
d. The product category or concept being offered
e. The unique point of difference or benefit being offered

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13. Red Bull sends out student brand managers to distribute free samples to their peers.
What form of marketing communication is this?
a. mobile marketing
b. direct marketing
c. public relations
d. sales promotion
e. service marketing
14. Which of the following statements about IMC is NOT correct?
a. IMC programs regard each of the firm’s marketing communications
b. IMC encompasses a variety of communication disciplines
c. IMC represents the ‘promotion’ part of the four Ps
d. IMC does not include online marketing or social media
e. IMC stands for Integrated Marketing Communications
15. Retailers use __________ to get rid of slow moving or obsolete merchandise.
a. price lining
b. slotting allowances
c. markdowns
d. rebates
e. leasing
16. Some consumers make it a point to go shopping the day after Christmas in order to:
a. take advantage of everyday low pricing strategies
b. take advantage of seasonal discounts
c. enjoy odd pricing benefits
d. collect coupons as holiday gifts
e. to search for price bundled products

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17. A set of techniques and principles for systematically collecting, recordings, analysing and
interpreting data that can aid decision makers involved in marketing goods, services or
ideas is known as:
a. market segmentation
b. the STP process
c. the marketing mixes
d. a SWOT analysis
e. marketing research
18. Information that has been collected prior to the start of the research product for another
purpose is called __________ data.
a. secondary
b. syndicated
c. tertiary
d. primary
e. internal
19. The discrepancy between a consumer’s actual state and desired state is associated with
which of the following steps in the consumer decision process?
a. need recognition
b. post-purchase
c. purchase
d. information search
e. alternative evaluation
20. When Catherine was considering different brands of jeans to buy, she limited the choices
to three she would consider purchases. These three brands make up her __________ set.
a. retrieval
b. brand
c. universal
d. evoked
e. purchase

END OF SECTION A

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SECTION B: Short Answer Questions 25 marks
Answer ONLY five (5) questions
Each question is worth 5 marks

1. Explain the main characteristics of the value-based marketing era, which currently
applied by marketers today.

2. Explain the concept of Segmentation and different ways a market can be segmented.

3. The MICRO and MACRO environment can directly affect consumers’ buying. Briefly
discuss the three elements that comprise the immediate environment.

4. How do the four stages of the product life cycle affect sales?

5. Explain the difference between primary and secondary data.

6. Explain the difference between market penetration and price skimming as pricing
strategies.?

END OF SECTION B

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SECTION C: Case Study 15 marks
Answer all questions

Ikes Sandwiches which opened its operation in 2014 is relatively new to the industry in relation
to their main competitor SUBWAY.
Ikes and Starbucks, are the two go to places for sandwiches in San Francisco, CA, USA. Each
brand claimed it has a unique set of Sandwiches over its competitors. SUBWAY have been the
market leader for a considerable time period; however, it was eminent that the market share has
dropped drastically as a result of IKES popping up around highly populated areas such as China
Town, Downtown and inner San Fransisco.
Star Bucks main source of Income is through different variants of subs, though it also sells
coffee and other beverages. Furthermore 90% of the consumers purchase SUBWAY to go (main
audience been individuals who grab food to compensate for the busy lifestyle). Its unique selling
point has always been quality, culture and speed of delivery. In comparison customers need to
pay 30% more than that they pay at any other local coffee shop.
IKES focuses on a different customer base. The settings in comparison are much larger to the
Subway. And 70% of the customers are dine in customers who are teenagers who spend in
average over an hour at the premises. However, unlike Subway the price at Ikes is 20% higher,
but they provide discounts for purchases between 10 a.m. and 4.00 p.m. And unlike Subway
Ikes have a wider array of food other than sandwiches.

1. Explain the target market difference between Subway and Ikes Coffee. (2 marks)

2. Why is Ikes growing at a faster rate in comparison to Subway in San Fransisco? Provide
reasons for their success. (5 marks)

3. Evaluate the Unique selling proposition (USP) of both Ikes and Subway. Students can bring
in outside information to further strengthen the answer (8 marks)

END OF SECTION C: Case Study

END OF EXAM PAPER

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