Deck 11: Marketing

Question 1

The use of a mission statement ensures that a firm is focused and will seek to be all things to all people.

Answer 1

False

Question 2

As competitors begin to draw business in the surrounding area, a company's radius decreases.

Answer 2

True

Question 3

In pricing a product/service, one method is for the owner to place a value on the product/service and charge what it is worth to the market.

Answer 3

True

Question 4

The higher the price the firm charges for a product/service, the longer it will take for competitors to challenge the business.

Question 5

A cost leader is a product or service that is sold at a non-operating loss.

Question 6

Dennis determines that a new blinking slinky will cost him $3.50; he adds 20 percent to make the new cost $4.20. This pricing is called cost-plus pricing.

Question 7

When pricing a product, a price that ends in 99 cents is perceived as a value to the consumer.

Question 8

Promotion is the means that a small business makes the product/service available to potential customers.

Question 9

Mixed model promotions cross television and radio ads for the product.

Question 10

When an owner designs signage for a business, the goal should be for a simple but distinctive sign.

Question 11

During the past 10 years, Web pages have moved from an unorthodox competitive advantage to an orthodox practice.

Question 12

A sales relationship is the definition of the individuals who build and maintain relationships with customers.

Question 13

A micro method of forecasting sales is to take the average sale and multiply it by the number of customers who will make purchases from business during the day.

Question 14

Independent representatives who are not employees of a firm can be used to sell industrial products.

Question 15

Due to credit card fraud, businesses have to add some percentage to the price of the product/ service.

Question 16

Marketing efforts need to be based on the:

A) aligned marking strategies
B) focused strategies
C) core values
D) mission statement

Question 17

Once a small business owner defines the geographic area, the next step is to define the _________
Segment of the market that the business is seeking to serve.

A) marketing
B) particular
C) advertising
D) multimarket

Question 18

A small business owner providing a service should recognize that pricing is a valuable tool to __________ customer flow.

A) quicker
B) slow
C) balance
D) maximize

Question 19

Individual consumers are generally _________ to change the suppliers of the goods and services they want to buy.

A) willing
B) conscientious about
C) unwilling
D) agonize about

Question 20

Pricing something that ends in 99 cents makes a big difference in the buying of a product. This is because of a consumer's:

A) ethics
B) values
C) pocketbook
D) perception

Question 21

_________ are strictly financial agreements in which a business pays for some outputs, such as TV advertisements.

A) Pure promotions
B) Mixed promotions
C) Hybrid promotions
D) Free promotions

Question 22

Forecasting sales require _________ to make attainable goals.

A) pro forma
B) secondary data
C) hybrid research
D) data history

Question 23

A(n) _________ is when a company hires independent salespeople with a variety of experiences and contacts on a contract basis.

A) contract sales force
B) market sales force
C) independent sales force
D) consumer sales force

Question 24

_________ has(have) been trouble to the mail order business; owners need to include the cost of this in the pricing of their products.

A) Coding
B) Returns
C) Fraud
D) Printing

Question 25

According to the book, what is the most important thing that a business owner needs to define after the geographic area has been determined?

A) the potential competitors in the market
B) the business's mission statement
C) the particular segment of the market that the business is seeking to serve
D) all of these

Question 26

What is the cost-plus pricing method?

A) The firm determines its costs and then subtracts some level of profit it determines to be appropriate.
B) The firm determines its profit and then adds some level of loss it determines to be appropriate.
C) The firm determines its cost and then adds some level of profit it determines to be appropriate.
D) None of these.

Question 27

Promotion is the means by which businesses make their product or service known to potential customers. Which of the following is the most commonly used form of promotion?

A) viewed on the Internet
B) heard on a radio station
C) seen in television
D) all of these

Question 28

In the case study James Monsees and Adam Bowen: Ploom, one of the marketing problems the founders have is:

A) the ability to market the problem internationally
B) the ability to make claims about the health benefits
C) the ability to develop promotion
D) none of these

Question 29

In the case study Friend's Home Health, the founders had issues with identifying potential customers because:

A) they were targeting elderly persons likely to be hospitalized
B) they were targeting individuals who loved and cared for elderly people
C) they were targeting rehabilitation hospitals
D) all of these

Question 30

In the case study Flow Right Brewery & Bar: A Family Affair, Chris decided to advertise in:

A) the Wall Street Journal
B) the Los Angeles Times
C) the local community newspaper
D) all of these

Question 31

Web pages can be used as a:

A) means of promotion
B) distribution channel
C) both of these
D) none of these

Question 32

A _________ plan is developed by a business to specify who the best customers are, and how they might be attracted to the company.

Question 33

As the number of competitors increase around a business, the radius for the firm becomes_________.

Question 34

Why is a marketing plan needed for a small business owner?

Question 35

What issues need to be considered in sales management?