Question 1

The most beneficial type of marketing cost analysis is the study of:

Accepted Answer

A)   balance sheet assets and debits.
B)   income statements.
C)   expenses and profitability of specific components of a product assortment or total market.
D)   activity costs for the entire organization.
E)   breakeven points. C

Question 2

A(n) _____ is a detailed study of the net sales section of a company's profit and loss statement.

Accepted Answer

A)   organizational audit
B)   marketing audit
C)   sales volume analysis
D)   marketing cost analysis
E)   financial statement C

Question 3

The owner of a small company that produces a maple-smoked bacon noticed sales for 2002 were 3 percent lower than they were in 2001. Up until that point, sales had been gradually increasing. He is gathering actual information on where exactly sales dipped--was it in a particular region or was one of the methods of distribution less effective? He also wants to develop a way to prevent next year's sales from declining. The owner of the company is engaged in the _____ stage of the marketing management process.

Accepted Answer

A)   staffing
B)   planning
C)   evaluation
D)   execution
E)   accounting C

Question 4

An oil field equipment supplier provides customized equipment for land and water drilling. Its equipment for water drilling is broken down into two further categories--one for warm water as is found in the Caribbean and one for cold water as is found in the North Sea. Which form of organization would be best suited for its sales force?

Accepted Answer

A)   one based on sales force abilities
B)   one based on geographical territories
C)   one based on the number of competitors
D)   one based on size of customers
E)   one based on customer's level of technological knowledge

Question 5

The three types of specialization by sales forces are:

Accepted Answer

A)   product line, customer type, and geographic.
B)   size of order, type of use, and geographic.
C)   geographic, industry size, type of order.
D)   type of buying center, order size, and demographic.
E)   customer type, type of order, and order size.

Question 6

Perioperative nurses use a myriad of devices, supplies, and equipment when caring for patients. Many of these items are inherently dangerous and have the potential to injure patients if used improperly. As a result, the manufacturers of this type of equipment are concerned about:

Accepted Answer

A)   arbitration situations.
B)   product liability claims.
C)   FTC accusations of improper use of express warranties.
D)   fines as a result of the violation of an implied warranty.
E)   revisions of the organizational code of ethics.

Question 7

In most firms, a large proportion of the total orders, customers, territories, or products account for only a small share of the company's total sales or profits. This relationship is referred to as the _____ _____.

Accepted Answer

The answer of In most firms, a large proportion of...

Question 8

ArvinMeritor is a company that makes integrated systems for motor vehicles. It has four business groups: the Commercial Vehicle Systems (sells component parts to manufacturers of commercial trucks), the Commercial Vehicle Aftermarket (sells to mechanics that repair the trucks), the Light Vehicle System (sells parts to light truck and SUV manufacturers), and the Light Vehicle Aftermarket (sells to car maintenance and repair centers). Which form of sales organization would be best suited for ArvinMeritor's sales force?

Accepted Answer

A)   one based on type of customer
B)   one based on geographical territories
C)   one based on the number of competitors
D)   one based on the sales force's abilities
E)   one based on types of competitors

Question 9

A _____ _____ analysis is a detailed study of the net sales section of a company's profit and loss  statement.

Accepted Answer

The answer of A _____ _____ analysis is a detailed...

Question 10

The simplest and least expensive approach to marketing cost analysis results from the analysis of:

Accepted Answer

A)   functional expenses.
B)   the contribution margin.
C)   functional costs by market segment.
D)   all costs by territories.
E)   ledger expenses.

Question 11

Organizations prefer geographic specialization of their sales force because this form of specialization allows sales people to gain specialized product knowledge.

Accepted Answer

A) True 
 B)False

Question 12

Implementation involves organization of the marketing effort, staffing of the organization, and direction of those people selected to carry out the strategic plans.

Accepted Answer

A) True 
 B)False

Question 13

Two tools are available for marketers to evaluate how well a strategic plan has been implemented. They are market cost analysis and:

Accepted Answer

A)   the economic order quantity (EOQ)  model.
B)   sales volume analysis.
C)   the environmental audit.
D)   the marketing mix audit.
E)   the 80-20 principle.

Question 14

When an order arrives at a company that manufactures archery equipment is below the break-even point, the order is likely to create a(n):

Accepted Answer

A)   order-quantity arrhythmia.
B)   marketing-cost dilemma.
C)   small-order problem.
D)   need for an ABC analysis.
E)   ledger-account bubble.

Question 15

Pernod Ricard, the French distiller, went into a joint venture with the Cuban government in 1995 to produce and market Havana Club rum. In 2005, the venture sold 300,000 cases. During the _____ stage of the management process, Pernod members should determine whether the benefits of being in this joint venture outweighs the problems associated with being in an alliance with a communist country whose products are boycotted in several nations

Accepted Answer

A)   staffing
B)   planning
C)   evaluation
D)   execution
E)   mobilization

Question 16

The organization of the sales force on the basis of _____ is the most widely used method of specializing selling activities.

Accepted Answer

A)   geographical territories
B)   customer type
C)   customer sales volume
D)   industry
E)   product specialization

Question 17

When selling to The Home Depot, it is logical that a manufacturer like Black & Decker would use a _____ organization.

Accepted Answer

A)   dominant-account
B)   benchmark
C)   major-accounts
D)   matrix
E)   sales-oriented

Question 18

Caterpillar is the world's largest manufacturer of medium speed engines and high speed diesel engines. In 1990 the company decentralized its structure, reorganizing into three business units, each responsible for return on assets and customer satisfaction. The three business units are machines, engines, and insurance/ financing services to help customers around the world acquire and use Cat and related equipment. The machine unit is further divided into a division that has sole responsibility for negotiating all contracts with U.S. government agencies. The company has experienced continuous growth except during the worldwide recession in 1981-1983, which cost Caterpillar the equivalent of $1 million a day and forced it to dramatically reduce its number of employees.
-Caterpillar is a globally competitive corporation with more than 66,000 employees worldwide. During which management process does this staffing process occur?

Accepted Answer

A)   implementation
B)   mobilization
C)   planning
D)   organization
E)   control

Question 19

Caterpillar is the world's largest manufacturer of medium speed engines and high speed diesel engines. In 1990 the company decentralized its structure, reorganizing into three business units, each responsible for return on assets and customer satisfaction. The three business units are machines, engines, and insurance/ financing services to help customers around the world acquire and use Cat and related equipment. The machine unit is further divided into a division that has sole responsibility for negotiating all contracts with U.S. government agencies. The company has experienced continuous growth except during the worldwide recession in 1981-1983, which cost Caterpillar the equivalent of $1 million a day and forced it to dramatically reduce its number of employees.
-In 2001, Caterpillar's sales and revenues worldwide were $20.45 billion. Caterpillar would need this information to conduct a(n):

Accepted Answer

A)   environmental impact statement.
B)   environmental audit.
C)   market-rating analysis.
D)   sales volume analysis.
E)   marketing mix audit.

Question 20

A furniture manufacturer that has separate sales forces calling on retailers, interior design firms, and furniture wholesalers is using _____ _____ to organize its sales force.

Accepted Answer

The answer of A furniture manufacturer that has separate sales...

Exam 21: Marketing Implementation and Evaluation