Question 1

Corporate environmentalism recognizes the need to integrate environmental issues into the firm's strategic plans.

Accepted Answer

A) True 
 B)False

Question 2

Suppose an individual buyer purchases three pairs of shoes each year at $50 each pair and that there are 50 million such consumers in the economy. Compute the total market potential for shoes.

Accepted Answer

A)  $6,500 million 
B)  $5,000 million 
C)  $75 billion 
D)  $7,500 million 
E)  $10,000 million

Question 3

Today, corporations need to make sure that they are good corporate citizens and that their consumer messages are honest in order to positively align themselves with consumers' ________.

Accepted Answer

A)  views of others 
B)  views of organizations 
C)  views of themselves 
D)  views of the universe 
E)  views of society

Question 4

How do retailers use mystery shoppers?

Accepted Answer

The answer of How do retailers use mystery shoppers?...

Question 5

A new market opportunity generally guarantees success, if the new product is technically feasible.

Accepted Answer

A) True 
 B)False

Question 6

Novamalt Asia, a manufacturer of health drinks, plans to introduce its new range of woman health drinks into the market. It involves a specialized marketing research firm to forecast the sales of this product. The research firm analyzes past buying behavior of customers and uses time-series analysis for making the sales forecasts. Which of the following information bases is being used by the research firm in this scenario?

Accepted Answer

A)  what people say 
B)  what people do 
C)  what people have done 
D)  what people will do 
E)  what people speculate

Question 7

An intended effect of business legislation is to _____________________.

Accepted Answer

A)  restrict fair competition in the market 
B)  encourage unbridled business behavior 
C)  reduce the social cost of producing a particular commodity 
D)  expose consumers to unfair trade practices 
E)  protect companies from unfair competition

Question 8

Suppose a cotton-textile company wants to estimate the area market potential for its high quality fabrics in Thailand. List the possible steps that the marketers will follow to compute the area market potential.

Accepted Answer

The answer of Suppose a cotton-textile company wants to estimate...

Question 9

A low market-penetration index indicates ________.

Accepted Answer

A)  it will be expensive for the firms to attract the few remaining prospects 
B)  substantial growth potential for all firms 
C)  the rival firms try to capture greater market share by lowering their product price 
D)  the profit margins of the firms decline 
E)  the firms cannot raise demand substantially by raising its market expenditure

Question 10

Sales reps might have better insight into developing trends than any other group, and forecasting might give them greater confidence in their sales quotas and more incentive to achieve them.

Accepted Answer

A) True 
 B)False

Question 11

The major responsibility for identifying significant marketplace changes falls to the company's marketers.

Accepted Answer

A) True 
 B)False

Question 12

Environmental laws imposed by the government may at times create new business opportunities.

Accepted Answer

A) True 
 B)False

Question 13

Secondary beliefs and values are passed on from parents to children and reinforced by major social institutions, making them very difficult to change by marketers.

Accepted Answer

A) True 
 B)False

Question 14

When a company acquires consumer-panel data from firms like A.C. Nielsen Company and Taylor Nelson Sofrés, which of the following steps to improve the quality of a company marketing intelligence system is the company resorting to?

Accepted Answer

A)  training and motivating the sales force to spot and report new developments 
B)  motivating distributors, retailers, and other intermediaries to pass along important intelligence 
C)  hiring external experts to collect intelligence 
D)  using external network 
E)  purchasing information from outside research firms and vendors

Question 15

Companies can prepare as many as ________ different types of demand estimates.

Accepted Answer

A)  6 
B)  30 
C)  60 
D)  90 
E)  150

Question 16

________ projects the next period's sales by combining an average of past sales and the most recent sales, giving more weight to the latter.

Accepted Answer

A)  Timeseries analysis 
B)  Statistical demand analysis 
C)  Econometric analysis 
D)  Cost effectiveness analysis 
E)  Exponential smoothing

Question 17

With an increase in marketing expenditure, market demand ________.

Accepted Answer

A)  continues to increase at an increasing rate 
B)  initially increases and then declines 
C)  increases first at an increasing rate, then at a decreasing rate 
D)  decreases first and then spikes 
E)  continues to increase at a decreasing rate.

Question 18

The penetrated market is the set of consumers who have an interest in a market offer but do not have the accessibility.

Accepted Answer

A) True 
 B)False

Question 19

Marketing strategies of firms should not consider the ethnic and racial diversity existing in their markets.

Accepted Answer

A) True 
 B)False

Question 20

The sales goal set for a product line, company division, or sales representative of an organization is called ________.

Accepted Answer

A)  sales budget 
B)  company sales forecast 
C)  sales quota 
D)  company sales potential 
E)  market potential

Exam 3: Gathering Information and Scanning the Environment

Corporate environmentalism recognizes the need to integrate environmental issues into the firm's strategic plans.

Suppose an individual buyer purchases three pairs of shoes each year at $50 each pair and that there are 50 million such consumers in the economy. Compute the total market potential for shoes.

Today, corporations need to make sure that they are good corporate citizens and that their consumer messages are honest in order to positively align themselves with consumers' ________.

How do retailers use mystery shoppers?

A new market opportunity generally guarantees success, if the new product is technically feasible.

An intended effect of business legislation is to _____________________.

Suppose a cotton-textile company wants to estimate the area market potential for its high quality fabrics in Thailand. List the possible steps that the marketers will follow to compute the area market potential.

A low market-penetration index indicates ________.

Sales reps might have better insight into developing trends than any other group, and forecasting might give them greater confidence in their sales quotas and more incentive to achieve them.

The major responsibility for identifying significant marketplace changes falls to the company's marketers.

Environmental laws imposed by the government may at times create new business opportunities.

Secondary beliefs and values are passed on from parents to children and reinforced by major social institutions, making them very difficult to change by marketers.

When a company acquires consumer-panel data from firms like A.C. Nielsen Company and Taylor Nelson Sofrés, which of the following steps to improve the quality of a company marketing intelligence system is the company resorting to?

Companies can prepare as many as ________ different types of demand estimates.

________ projects the next period's sales by combining an average of past sales and the most recent sales, giving more weight to the latter.

With an increase in marketing expenditure, market demand ________.

The penetrated market is the set of consumers who have an interest in a market offer but do not have the accessibility.

Marketing strategies of firms should not consider the ethnic and racial diversity existing in their markets.

The sales goal set for a product line, company division, or sales representative of an organization is called ________.