Deck 16: Sustainable Marketing: Social Responsibility and Ethics

Question 1

Several companies,some of them operating through the Internet,offer "paycheck advances." Consumers are encouraged to take out a loan against a paycheck they expect to receive in the near future.These short-term loans with high-interest rates,and high penalties for late payments,are often marketed to consumers who do not have traditional bank accounts.These companies could most easily be criticized for which of the following?

A)shoddy products
B)poorly serving disadvantaged consumers
C)high-pressure selling
D)high advertising and promotion costs
E)predatory pricing

Answer 1

B

Question 2

Critics of the marketing system are most likely to charge that intermediaries ________.

A)are too few in number
B)are inefficient
C)provide only essential services
D)undervalue their services
E)are overly protective of manufacturers' interests

Answer 2

B

Question 3

Critics have charged that some companies intentionally manufacture their products with materials or components that cause the need for the product to be replaced before it actually should need replacement.What is this called?

A)product failure
B)short-term planning
C)planned obsolescence
D)nonfunctional warranty
E)expressed dissatisfaction

Answer 3

C

Question 4

According to many critics,the American marketing system causes ________ to be higher than they would be under more "sensible" systems.

A)bribes and kickbacks
B)taxes
C)prices
D)product rejections
E)safety hazards

Question 5

A pen that costs five cents to make may cost the consumer $2 to buy.According to critics,this is an example of ________.

A)deceptive advertising
B)redlining
C)excessive markups
D)high-pressure selling
E)shoddy products

Question 6

________ marketing calls for meeting the present needs of consumers and businesses while also preserving or enhancing the ability of future generations to meet their needs.

A)Sustainable
B)Customer-driving
C)Mass
D)Customer-driven
E)Differential

Question 7

In which of the following scenarios would high-pressure selling tactics be most advantageous for marketers?

A)selling situations with long-time customers
B)selling situations where there is a high likelihood of new customers becoming repeat customers
C)selling situations with a company's most highly valued customers
D)selling situations that are "one-time" occurrences
E)selling situations with dissatisfied customers

Question 8

Critics claim that companies in the ________ industries introduce planned streams of new products that make older models obsolete,a form of planned obsolescence that harms consumers.

A)car and truck
B)housing and construction
C)food and beverage
D)consumer electronics and computer
E)financial and entertainment

Question 9

Advertising "puffery" is a term for ________.

A)a straightforward promotional message
B)innocent exaggeration for effect
C)emotional appeals to consumers
D)subliminal appeals to consumers
E)value-added promotions

Question 10

The ________ concept specifically focuses on future company needs,but not on future customer needs.

A)societal marketing
B)strategic planning
C)social marketing
D)direct marketing
E)product development

Question 11

A long-standing charge against intermediaries is that they mark up prices beyond the ________.

A)value of their services
B)delivery charges
C)going market price
D)range most Americans can afford to pay
E)customs duties

Question 12

When major chain retailers avoid placing stores in disadvantaged neighborhoods,they are accused of the discriminatory practice of ________.

A)embargoing
B)licensing
C)redlining
D)puffery
E)scrambling merchandise

Question 13

Deceptive promotion differs from deceptive pricing in that deceptive promotion overstates the product's ________ or ________.

A)true price; packaging
B)features; performance
C)packaging; costs
D)design; contents
E)availability; package contents

Question 14

Critics charge that high advertising and promotion costs unnecessarily increase retail prices.Marketers respond to this criticism by arguing that advertising adds ________.

A)only psychological value to the product
B)value by providing information about product availability
C)quality to the product
D)functional value to the product
E)value by pushing up prices to finance brand repositioning

Question 15

The success of the Tom Dennis Ford dealership has been built largely on return customers and word-of-mouth recommendations.The majority of sales are made to customers who have purchased a vehicle at the dealership before or who know someone who had a positive experience purchasing a vehicle there.The sales force at the Tom Dennis Ford dealership most likely knows that using high-pressure selling does not work if the dealership wants to ________.

A)achieve short-term gains
B)move last year's models
C)obey local and federal law
D)build long-term relationships with customers
E)maintain a database

Question 16

Recently,a class-action lawsuit was brought against McDonald's,charging that its food has contributed to the nationwide obesity epidemic.The suit was eventually dismissed,but many critics continue to point out the health dangers of many fast food menu items.These critics are concerned that the fast food industry is pushing ________.

A)high-pressure selling
B)deceptive promotions
C)deceptive pricing
D)deceptive packaging
E)harmful products

Question 17

Trendy Teens manufactures fashionable clothing and accessories for the tween and teen female markets.New merchandise with a very different look is rolled out each season and heavily promoted as the "must-have" style in a variety of media.Trendy Teens could most easily be criticized for which of the following?

A)deceptive promotions
B)shoddy products
C)high-pressure selling
D)poor service to disadvantaged consumers
E)perceived obsolescence

Question 18

________ persuades people to buy goods they had no thought of buying.

A)Sustainable marketing
B)High-pressure selling
C)Deceptive placement
D)Redlining
E)Reverse redlining

Question 19

A major step in regulating "unfair or deceptive acts or practices" was the enactment of the ________ in 1938.

A)Robinson-Patman Act
B)Wheeler-Lea Act
C)Consumer Product Safety Act
D)Taft-Hartley Act
E)Sherman Act

Question 20

Which of the following advertising situations would least likely be considered "puffery"?

A)Mr. Clean coming to a housewife's rescue
B)instantly toned thighs and legs as a result of using the Thigh Master for only 15 minutes each day
C)children growing into attractive adults as a result of drinking milk
D)a retired couple drinking a vitamin and protein shake and then going bicycling
E)a cup of coffee keeping you awake and fresh 18 hours a day

Question 21

Which of the following is most responsible for the shrinking number of competitors in almost every major industry?

A)declining materialism and a return to more basic values
B)acquisition of competitors
C)patents that create barriers to entry
D)unfair antitrust regulations
E)predatory pricing

Question 22

Proposals related to the consumer's right to ________ include controlling the ingredients that go into certain products and reducing the level of advertising "noise."

A)not buy a product that is offered for sale
B)expect the product to perform as claimed
C)be well informed about important aspects of the product
D)be protected against questionable marketing practices
E)influence products and marketing practices in ways that will improve quality of life

Question 23

________ is a management approach that involves developing strategies that both support the environment and produce profits for the company.

A)Consumerism
B)Quasi-environmentalism
C)Environmental sustainability
D)Materialism
E)Ethical decision making

Question 24

Companies emphasizing ________ are developing "green marketing" programs that develop ecologically safer products,recyclable and biodegradable packaging,and more energy-efficient operations.

A)pollution prevention
B)product stewardship
C)"beyond greening"
D)new clean technology
E)sustainability vision

Question 25

Minimizing pollution from production and all environmental impacts throughout the full product life cycle is called ________.

A)green marketing
B)design for environment
C)product stewardship
D)environmental sustainability
E)pollution prevention

Question 26

Marketers are most effective when they appeal to ________ rather than when they ________.

A)exciting new inventions; use old ideas
B)teenagers; target older people
C)existing wants; attempt to create new ones
D)emotions; appeal to actual needs
E)the mass market; appeal to market segments

Question 27

Jeremy Clarkson,a marketing critic,is concerned about the pervasiveness of marketing.He points to advertising messages everywhere,from Web sites and e-mails to unwanted direct mail and catalogs to television commercials and product tie-ins to billboards and store signages.Jeremy is concerned about ________.

A)high advertising and promotion costs
B)cultural pollution
C)deceptive practices
D)false wants and too much materialism
E)the balance between private goods and social goods

Question 28

The two major citizen action movements to keep businesses in line are ________.

A)environmentalism and consumerism
B)protectionism and materialism
C)antimonopoly legislation and regulation of interstate commerce
D)liberalism and monetarism
E)innovation and predatory pricing

Question 29

It is most accurate to say that the recent Great Recession has resulted in ________.

A)an overselling of private goods
B)a widespread disbelief in the possibility of achieving the American dream
C)a decline in conspicuous spending
D)an increase in materialism
E)extravagant spending rather than saving

Question 30

The high failure rate of new products shows that companies are not able to ________.

A)control demand
B)advertise enough
C)find manufacturers
D)find outlets
E)identify consumer needs

Question 31

Setting prices below cost,threatening to cut off business with suppliers,and discouraging the purchase of a competitor's products are all examples of ________.

A)routine competition
B)excessive materialism
C)predatory competition
D)acquisitions
E)barriers to entering a market

Question 32

Qtopia Inc.is currently designing a new product line with the goal of making each product easy to recover,reuse,or recycle.Qtopia Inc.hopes to recover many of these products when they reach the end of their life cycle and reuse components in new products.Qtopia Inc.is in the ________ stage of environmental sustainability.

A)pollution prevention
B)new clean technology
C)product stewardship
D)beyond greening
E)sustainability vision

Question 33

________ involves thinking ahead to create products that are easier to recover,reuse,recycle,or safely return to nature after usage,thus becoming part of the ecological cycle.

A)Product stewardship
B)Design for environment
C)Beyond greening
D)Wildlife conversation
E)Sustainability vision

Question 34

In response to charges of ________,marketers point out that advertising makes much of television and radio free to users and also keeps down the cost of magazines and newspapers.

A)too few social costs
B)creating false wants
C)creating too much materialism
D)high promotion costs
E)cultural pollution

Question 35

________ is an organized movement of citizens and government agencies to improve the rights and power of buyers in relation to sellers.

A)Environmentalism
B)Proactivism
C)Affirmative action
D)Consumerism
E)The human relations movement

Question 36

Carboi is a company that offers consumers the opportunity to buy carbon offsets,which are contributions to projects that combat global warming by reducing carbon emissions.Carboi offers contribution packages for driving,flying,and home energy use.Through Carboi,consumers can pay some of the ________ costs of their private goods and services.

A)promotional
B)safety
C)recovery
D)distribution
E)social

Question 37

Companies can develop ________ to serve as a guide to the future,laying out how the company's products and services,processes,and policies must evolve and what new technologies must be developed to get there.

A)DFE practices
B)cradle-to-cradle practices
C)pollution prevention
D)product stewardship
E)a sustainability vision

Question 38

Reverend John McTally wants people to resist the temptation to shop.He annually leads a group of volunteers in his post-Thanksgiving Buy Nothing Parade in front of Macy's in Manhattan.The Reverend is criticizing the American marketing system for creating ________.

A)too few social goods
B)environmental problems
C)shoddy products
D)false wants and too much materialism
E)predatory competition

Question 39

Large marketing companies can use patents and heavy promotion spending to ________.

A)acquire smaller companies
B)bear the social costs of their operations
C)set up barriers for others wanting to enter the industry
D)achieve economies of scale
E)offset cultural pollution

Question 40

Environmentalists assert that the marketing system's goal should be to maximize ________.

A)gross domestic product
B)consumer satisfaction
C)life quality
D)consumer choice
E)consumption

Question 41

A company that makes products that give high immediate satisfaction but may hurt consumers in the long run makes ________ products.

A)deficient
B)pleasing
C)salutary
D)desirable
E)threatening

Question 42

In societal marketing,it is accurate to say that companies should try to turn ________.

A)deficient products into pleasing ones
B)desirable products into pleasing ones
C)deficient products into salutary ones
D)all of their products into salutary ones
E)all of their products into desirable ones

Question 43

The societal marketing challenge for makers of which type of product is to add long-run benefits without reducing the product's agreeable qualities?

A)salutary
B)desirable
C)pleasing
D)durable
E)deficient

Question 44

When a company makes marketing decisions by considering consumers' wants and interests,the company's requirements,and society's long-run interests,it is practicing ________ marketing.

A)value
B)societal
C)sense-of-mission
D)consumer-oriented
E)customer-value

Question 45

What are deficient products?

A)products that have neither immediate appeal nor long-run benefits
B)products that give high immediate satisfaction but hurt consumers in the long run
C)products that have low appeal but may benefit consumers in the long run
D)products that are either unsafe or inferior
E)any product in the decline stage of the product life cycle

Question 46

Some firms define their purpose in narrow product terms.Others that define their purpose in broad social terms follow ________.

A)societal marketing
B)sense-of-mission marketing
C)consumer-oriented marketing
D)customer-value marketing
E)innovative marketing

Question 47

Ingenious Group views and organizes its marketing activities from the viewpoint of its buyers.Management works hard to sense,serve,and satisfy the needs of its well-defined group of buyers.What does Ingenious Group practice?

A)consumer-oriented marketing
B)societal marketing
C)sense-of-mission marketing
D)customer-value marketing
E)innovative marketing

Question 48

What do most companies today focus on when it comes to protecting the environment?

A)investing heavily in pollution prevention
B)practicing product stewardship
C)developing a sustainable vision
D)investing heavily in environmental technology
E)biodegradability

Question 49

________ products give both high immediate satisfaction and high long-run benefits.

A)Deficient
B)Pleasing
C)Desirable
D)Salutary
E)Threatening

Question 50

Which of the following is the best example of a salutary product?

A)breakfast cereal
B)cigarettes
C)water
D)junk food
E)dental insurance

Question 51

When Hancock & Dunberry developed and introduced new simplified wills for the elderly and less educated markets,less expensive home visits,and a free statewide legal referral service,the law firm began practicing ________ marketing.

A)consumer-oriented
B)innovative
C)customer-value
D)societal
E)sense-of-mission

Question 52

Barriers to entry is a ________ decision made by marketers that may be called into question under the law.

A)advertising
B)product
C)packaging
D)channel
E)competitive relations

Question 53

As international trade barriers come down and global markets expand,environmental issues are having ________ impact on international trade.

A)a neutral
B)a slowly declining
C)a smaller
D)a greater
E)more impact on cultural differences and less

Question 54

The concept of ________ holds that a company's marketing should support the best long-run performance of the marketing system.

A)consumerism
B)global marketing
C)sustainable marketing
D)differential marketing
E)consumer-oriented marketing

Question 55

Innovative marketing is ________.

A)a principle of environmentalism
B)based on the consumer's point of view
C)the attempt to continuously seek real product and marketing improvements
D)defined in broad social terms
E)a marketing concept that places the emphasis on building customer relationships

Question 56

Maytag's front-loading Neptune washer provides superior cleaning and energy efficiency.The Neptune washer is an example of a ________ product.

A)deficient
B)pleasing
C)salutary
D)desirable
E)satisfying

Question 57

Which sustainable marketing principle emphasizes building long-run consumer loyalty and relationships?

A)sense-of-mission marketing
B)innovative marketing
C)customer-value marketing
D)consumerist marketing
E)differential marketing

Question 58

The societal marketing challenge for makers of which type of product is to add some agreeable qualities so that it will become more desirable in the consumers' minds?

A)salutary
B)desirable
C)pleasing
D)durable
E)aesthetic

Question 59

Jeff Barkins is a conscientious marketing manager.Sometimes,Jeff and his staff are unclear what decisions to make when faced with moral dilemmas.Jeff and other managers could create broad guidelines that everyone in the organization must follow in the form of a ________.

A)company value statement
B)company mission statement
C)company vision statement
D)corporate marketing ethics policy
E)financial statement

Question 60

Timberland employees get 40 hours paid leave each year to pursue volunteer projects.The company runs a service day that hosts projects in 25 countries,and it supports a nonprofit that brings young people into public service for a year.CEO Jeffrey Swartz sees such service as a powerful differentiator for Timberland with its current and potential customers.Timberland could be most accurately described as practicing ________.

A)consumerism
B)environmental sustainability
C)sustainability vision
D)innovative marketing
E)sense-of-mission marketing

Question 61

Each basic consumer right has led to more specific proposals from consumerists,such as nutritional and ingredient labeling.

Question 62

In sense-of-mission marketing,a company defines its mission in broad product terms rather than narrow social terms.

Question 63

New World Food Supplements continuously seeks real product and marketing improvements.Obviously,New World is involved in customer-value marketing.

Question 64

If some resellers try to charge too much relative to the value they add,other resellers will step in with lower prices.

Question 65

When a company views and organizes its marketing activities from only the consumer's point of view,it is practicing societal marketing.

Question 66

Business has been accused of overselling private goods at the expense of public goods because as private goods increase,they require more public services that are usually not forthcoming.

Question 67

It is most accurate to say that within a company,ethics and social responsibility require a ________.

A)future-looking approach
B)total corporate commitment
C)separate budget
D)time commitment that most firms do not have
E)citizen action movement

Question 68

The presence of large national chain stores in low-income neighborhoods would help to keep prices down.

Question 69

Marketers are most effective when they attempt to create new wants rather than when they appeal to existing ones.

Question 70

Deceptive packaging includes exaggerating package contents through subtle design,using misleading labeling,or describing size in misleading terms.

Question 71

The management strategy of environmental sustainability focuses on developing ways to support the environment while also producing profits.

Question 72

Though marketers may make long-term gains with high-pressure selling tactics,this approach can do serious damage to short-term customer relationships.

Question 73

Sunset Lawn Service puts most of its resources into value-building marketing investments.The management at Sunset is practicing consumer-oriented marketing.

Question 74

Whereas the societal marketing concept considers the future welfare of consumers and the sustainable marketing concept considers future company needs,the strategic planning concept considers both.

Question 75

When a company expands by developing its own products rather than acquiring a competitor,the company is likely to be accused of reducing competition.

Question 76

The overselling of private goods results in social costs.

Question 77

Companies that practice perceived obsolescence cause their products to become obsolete before they actually should need replacement.

Question 78

A company that makes marketing decisions by considering consumers' wants and long-run interests,the company's requirements,and society's long-run interests must be practicing consumer-oriented marketing.

Question 79

Satisfying consumers' immediate needs and desires does not always serve the future best interests of either customers or the business.

Question 80

In the progress toward environmental sustainability,a company must first develop a sustainability vision,which serves as a guide to the future.