Exam 13: Pricing, Promoting, and Distributing Products

Jack wants to sell his new marketing ideas from any location and yet be as global as possible. Which advertising medium should Jack use? Word of mouth Radio Outdoor E-commerce Television

What is a vertical marketing system?

Which of the following is correct with regard to the pricing of existing and new products? Price skimming is generally most effective for consumer goods, but penetration pricing is generally most effective for industrial goods. The penetration pricing option is generally most effective for both consumer and industrial goods. In the car rental business, setting prices below the market generally works best. Penetration pricing is generally superior to a skimming strategy for new products. None of these are correct.

List three options for pricing existing products.

What is nonstore retailing? Identify the major types.

What is the difference between a profit maximization objective and a market share objective?

A retail seller of music would like to hit the break-even point as late as possible so profits will be maximized.

Which type of promotion is outside of the company's control? Coupons Television advertising Personal selling by sales agents Publicity Trade shows

Companies often price their products to establish ________, a company's percentage of the total market sales for a specific product type. breakeven point sales percentage variable costs fixed costs market share

If total fixed costs are $300 000, the product is sold for $20, and the variable cost is $10, the breakeven point is 10 000 units.

Frisell says: The most important online threat facing us today is identity theft. Consumers have to rely on online shopping today more than ever, and they are exposed to all kinds of dangers by people gaining access to credit cards, bank information, and Social Security numbers. Identity theft is a lucrative "business," and identity thieves will keep finding new ways to rip off consumers as long as online shopping and transactions are widespread. Scofield responds: Consumers have suffered from online theft, but the most far-reaching danger to people today from the internet is viruses and malware. These have the capacity to take down entire networks, affecting both businesses and consumers. It's not clear that anti-virus measures will ever be able to keep up with all of the threats that are out there. Scofield's claim assumes which of the following? Viruses can be spread through various parts of a network. Current anti-virus measures are adequate to deal with current threats. Consumers are sufficiently aware of the importance of keeping their systems virus-free. Businesses are sufficiently aware of the importance of keeping their systems virus-free. Identity thieves do not use malware to steal consumers' identities.

Publicity and public relations are important tools in making the buyer aware that the firm's product exists, especially when the buyer is in the information seeking stage of the buying process.

Which of the following is a type of sales promotion? Publicity Contests and sweepstakes Advertising Personal selling Public relations

Why has channel 3 (wholesale distribution) gained in popularity?

What is a channel captain?

A_______ entitles the bearer to stated savings off a product's regular price, while a________ is a free or reduced-price item given to consumers in return for buying a specified product. coupon; premium premium; coupon contest; premium point-of-sale display; contest premium; contest

Which of the following makes it easier for customers to find a product and eliminate competitors' products from consideration? POS displays Coupons Trade shows Contests Premiums

What results can be expected if Trimar Videos used a price skimming strategy to price its video equipment? Large profits may be earned on each sale. It may generate a lot of consumer interest, but very low profits. It permits the store to gain entrance to a market and then later adjust the price to a more realistic figure. It generates a lot of consumer interest. It will increase Trimar's market share

Viral marketing, buzz marketing, and product seeding are all varieties of word-of-mouth advertising.

What is public relations?