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 Latest Version: 6.0
Question: 1
A company's_____ specifies the marketing activities that a firm will undertake in a specific period of
time.

A. mission statement
B. code of conduct
C. marketing plan
D. statement of purpose
E. marketing mix

Answer: C

Question: 2
Talyn Cosmetics sells high-end cosmetics that are coveted by women, but are priced out of the budgets
of most average buyers. Talyn wants to enter the Arian market and is conducting market research to
identify the market segment on which it should focus its strategy. Researchers send out a questionnaire
to a vast pool of potential customers in Aria and analyze the results. Which of the following questions
should research analysts focus on to identify the target segment?

A. Would you choose Talyn Cosmetics over other cosmetics brands in the market? Why?
B. Would you be interested in buying Talyn Cosmetics? What is the most you would be willing to spend
on a brand of cosmetics?
C. What is your preferred mode of purchase of cosmetics—retail stores or online?
D. List your favorite brands of cosmetics.
E. How old were you when you began using cosmetics?

Answer: B

Question: 3
Services are:

A. physical objects sold in exchange for value.

B. intangible customer benefits that cannot be separated from the producer.
C. the concepts and thoughts about ideas or causes.
D. the benefits organizations receive in exchange for selling products.
E. the concepts and philosophies that go into creating a good.

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 Answer: B

Question: 4
BrewCraft Beer is a microbrewery that sells its beer at its own beer gardens in Central City. Though
customers were initially unused to the concept of a beer garden, BrewCraft undertook a long-running
social media campaign to popularize the concept. It also advertised the fact that all its ingredients were
sources locally and sustainably. Which of the following would be considered the service that BrewCraft
is selling customers?

A. The beer
B. The concept of a beer garden
C. The fact that its products are local and sustainably sourced
D. The experience customers have at BrewCraft beer gardens
E. The use of social media for its ad campaign

Answer: D

Question: 5
Blue Sun Ads creates advertisements for a variety of clients selling goods, services, and ideas. Which of
the following is an example of a service?

A. A health check-up
B. A video game
C. A frozen meal
D. A public service message
E. A nonprofit charity organization

Answer: A

Question: 6
Which of the following activities is part of the place aspect of the marketing mix?

A. Manufacturing the product from raw materials

B. Changing product designs in response to customer feedback
C. Undertaking market research to determine the target audience for the product
D. Coordinating between suppliers of raw materials for production
E. Introducing the product to the market at a discount to encourage consumers to try it

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 Answer: D

Question: 7
United Beverages opens a number of new outlets to market its beverage products across the country.
This reflects the _____ aspect of the marketing mix.

A. product
B. price
C. promotion
D. place
E. process

Answer: D

Question: 8
The place aspect of the marketing mix typically involves interactions between the marketer and _____.

A. customers
B. regulatory bodies
C. suppliers
D. customers
E. advertisers

Answer: C

Question: 9
Jim wants to sell his couch and posts an advertisement on an online portal with the details. He includes
a photo of the couch and the price he is willing to sell for. Steve notices the ad and contacts Jim to buy
the couch. This type of business process is known as _____.

A. C2C marketing
B. B2B marketing
C. B2C marketing
D. C2B marketing
E. direct marketing

Answer: A

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 Question: 10
Which of the following is an example of C2C marketing?

A. DRD Furnishing sources wood for its products from Timber Supplies Inc.
B. Persephone Fashions sells its designs both online and through retail stores.
C. Gillian advertises her bicycle on an online marketplace and sells it to a buyer from her city.
D. Ryerson Electronics sells its products directly to customers, eliminating wholesalers and retailers.
E. Sereni-Tea sells its herbal teas only through its website and has products delivered to customers who
order them.

Answer: B

Question: 11
_____ reflects the relationship of benefits to costs, or what customers get for what they give.

A. Ethics
B. Price
C. Brand parity
D. Value
E. Brand equity

Answer: D

Question: 12
Customer relationship management refers to

A. the view that organizations should satisfy the needs of consumers in a way that provides for society’s
well-being.
B. the process of identifying prospective buyers, understanding them intimately, and developing
favorable long-term perceptions of the organization and its offerings so that buyers will choose them in
the marketplace.
C. the idea that an organization should (1) strive to satisfy the needs of consumers (2) while also trying
to achieve the organization’s goals.
D. the links an organization has to its individual customers, employees, suppliers, and other partners for
their mutual long-term benefit.
E. the cluster of benefits that an organization promises customers to satisfy their needs.

Answer: B

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 Question: 13
Which of the following statements is most characteristic of a firm that has a relational orientation?

A. Improving sales techniques is the key to marketing success.

B. A firm's success depends on producing goods as quickly as possible.
C. Firms should focus on the value of each customer transaction rather than long-term sales.
D. Marketers should focus on producing products and then creating customer needs for the products.
E. Marketing success depends on building lifetime profitability from customers.

Answer: E

Question: 14
A group of firms that make and deliver a given set of goods and services is known as a _____.

A. market segment
B. line extension
C. focus group
D. supply chain
E. marketing mix

Answer: D

Question: 15
The management team at Green Meadows Inc. is debating expanding its corporate social responsibility
(CSR) budget for the year. Greg is against the proposal, saying that the expenditure on CSR activities
does not profit the firm in any way. In his opinion, the money could be better invested in other
activities, especially as the market is seeing some volatility. Paolo, however, says that investing in CSR
will benefit the firm's reputation in its target market in the long run. Which of the following, if true,
weakens Greg's argument?

A. The firm has an assured customer base for its products as it is the only supplier in the market.
B. The country in which Green Meadows operates has recently introduced stricter regulations about the
import of raw materials.
C. The firm has many competitors who sell similar products at similar prices.
D. The firm's B2B division is much larger and more profitable than its B2C division.
E. Most of the firm's customers are long-time customers who have been loyal to the firm for many
years.

Answer: C

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 Question: 16
A sustainable competitive advantage for a firm refers to:

A. an advantage that a firm possesses as a result of being first in a particular market.

B. an advantage that a firm possesses for a short period of time, till a competitor replicates it.
C. an advantage that is not easily copied and thus can be maintained over a long period of time.
D. an advantage companies possess by being already established in a market.
E. an advantage that a firm has as a result of its ability to produce goods at a lower cost than its
competitors.

Answer: C

Question: 17
Mars Inc., a retailer, maintains strong relationships with its suppliers. It has a strong supply chain and
the company motto is ""We never miss our delivery dates."" In this scenario, Mars Inc. is achieving
sustainable competitive advantage through a strategy of _____ excellence.

A. locational
B. product
C. service
D. operational
E. customer

Answer: D

Question: 18
What should a firm do to create a sustainable advantage based on product excellence?

A. Maintain strong relationships with suppliers and retailers

B. Undertake advertising and brand-building campaigns to reinforce brand positioning
C. Situate stores in all busy shopping areas and malls in a city
D. Develop a script for customer service so that all customers have a consistent experience
E. Introduce customer loyalty programs to retain existing customers

Answer: B

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 Question: 19
The three major phases of the marketing plan are _____.

A. planning, implementation, and control

B. introduction, growth, and decline
C. leading, organizing, and controllling
D. recession, depression, and recovery
E. segmentation, targeting, and positioning

Answer: A

Question: 20
The planning phase of the marketing plan involves

A. defining the mission and vision for the business.

B. evaluating different opportunities by engaging in segmentation, targeting, and positioning.
C. executing the marketing mix using the four Ps.
D. taking any necessary corrective actions to correct deviations from the plan.
E. evaluating the performance of the marketing strategy using marketing metrics.

Answer: A

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