Exam 12: Pricing, Distributing, and Promoting Products

Managers routinely use the IS to decide on products and markets for the next 5 to 10 years,beyond the firm's daily operations.

Short Case Scenario 13-1 Bill Chung is the recently appointed Vice President of Information Systems for Worldwide Corporation. This is a newly created position. Bill joins the preexisting management team of Vice Presidents for Operations, Finance, and Marketing. Bill is determined to make himself useful and to improve the way Worldwide does business. Very quickly, Bill observes that Worldwide has collected rooms full of data but rarely use it to make decisions. During his first week of work, he comments to the company's president, Cindy Stevens, that the company has plenty of data but very little information. Cindy looks puzzled. -Explain how a firewall keeps computers safe from hackers.

A(n)________ is software and hardware that prevent hackers from accessing a company's internal network.

________ refers specifically to the activities needed to move products efficiently from manufacturer to consumer.

How have auto dealers responded to the economic crisis and concerns over loss of jobs?

What is a cybermall?

________ is a computer-based system that allows people to communicate simultaneously from different locations via telephone,e-mail,or video.

Publicity is information about a company,a product,or an event transmitted by the general mass media to attract public attention.

Which of the following best describes information?

Short Case Scenario 13-1 Bill Chung is the recently appointed Vice President of Information Systems for Worldwide Corporation. This is a newly created position. Bill joins the preexisting management team of Vice Presidents for Operations, Finance, and Marketing. Bill is determined to make himself useful and to improve the way Worldwide does business. Very quickly, Bill observes that Worldwide has collected rooms full of data but rarely use it to make decisions. During his first week of work, he comments to the company's president, Cindy Stevens, that the company has plenty of data but very little information. Cindy looks puzzled. -Key information seems to be distributed across a number of computers around the company but is inaccessible to most employees.What technological solution will allow all employees to share key information?

A firm introduces a totally new product.Knowing that it must bring in revenues to cover the costs of developing and promoting this new product,the firm decides to sell the product at a very high price.This practice is referred to as ________.

Direct selling is the main strategy of such firms as Tupperware,Amway,and Avon.

If prices are set too high,the company will make a large profit on each item but will sell fewer units.

Mass-customization is a principle in which companies produce in very small quantities,and each unit features the unique options that the customer prefers.

Once inside a computer network,hackers are able to commit ________,the unauthorized stealing of personal information.

Short Case Scenario 12-1 Bill and Farrah have been recently hired by Superior Stereo Systems, a cutting-edge manufacturer of stereo speakers. Both Bill and Farrah have been assigned to work on two product teams, the Superior V, an existing product, and the Superior VI, a brand new speaker technology. The Super V is reviewing the pricing strategy used to this point. Bill, a recent graduate with a degree in economics, is insistent that they should price the speakers to maximize profits. He explains, "It is basic economics-companies price their products to maximize products. There's no question-this is the strategy that we should take." Farrah, remembering what she learned in her marketing courses, isn't so sure that Bill is on the right track. The technical specifications of the Superior VI speakers have been worked out, but the team is struggling with pricing. Some members of the group think that the speakers should be priced higher than the Superior V, while others are arguing for a lower price. -When putting together the promotion campaign for Superior,what purposes of promotion should managers at Superior keep in mind?

Shopping at home from channels on your TV is called video marketing and is a form of interactive marketing.

________ can travel from computer to computer without your needing to open any software to spread the contaminated file.

The value of agents and brokers lies in their knowledge of markets and their merchandising expertise.Which of the following do they also do?

Pricing above the market plays on the common assumption that ________.