Deck 4: The Marketing Environment

Question 1

African Americans are nearly six years younger on average than other American consumers.

Answer 1

True

Question 2

Component lifestyles decrease the complexity of consumers' buying habits.

Answer 2

False

Question 3

Millenials are considered to be the most tech-savvy generation yet,spending more time surfing the Web and on social media than they do watching television,listening to radio,or reading newspapers.

Answer 3

True

Question 4

Purchasing power is measured by comparing income to the relative cost of a standard set of goods and services in different geographic areas,usually referred to as the cost of living.

Question 5

Multigenerational householders are a rarity in many parts of the United States.

Question 6

An economic recession increases demand for products and services.

Question 7

Although Asian Americans embrace the values of the larger U.S.population,they also hold on to the cultural values of their particular subgroup.

Question 8

An individual's level of education has little influence on his or her earning potential.

Question 9

The Bureau of Competition provides information and holds conferences and workshops for consumers,businesses,and policy makers on competition issues for market analysis.

Question 10

Social Media have changed the way we communicate,keep track of others,browse for products and services,and make purchases.

Question 11

A key strategy to effectively market to teens is to engage them through promotions that get them involved.

Question 12

While computing purchasing power,a cost of living index takes into account housing,food and groceries,transportation,utilities,health care,and miscellaneous expenses.

Question 13

The management of a firm has utmost control over the competitive environment confronting it.

Question 14

Social Media is an effective tool used to increase brand awareness.

Question 15

Teens patronize big box retailers leaving little room for retailers in between.

Question 16

Firms are finding it hard to maintain their profits and market share because of lack of resources.

Question 17

Technological advances can usher in a whole new set of competitors that can change a firm's business model.

Question 18

After Hal Li purchased and installed a wood-burning stove to heat his home,the stove caught fire and damaged much of the house.He believes the stove had inadequate insulation.Hence,Li should voice his concerns to the Federal Trade Commission.

Question 19

One of the basic values that strongly influenced attitudes in the United States' first 200 years and still holds for a majority of Americans today is nonconformity.

Question 20

If pay raises are matching the rate of inflation,then employees will be no worse off in terms of the immediate purchasing power of their salaries.

Question 21

Paulina is an eleven-year-old girl.She spends a lot of time on social media and likes mobile games.Paulina is most likely to be a:

A)baby boomer.
B)Millenial.
C)Gen Xer.
D)tween.

Question 22

Which of the following statements is true of the Great Recession?

A)It was the largest economic downturn since the Great Depression.
B)Its impact was limited to the United States.
C)It began in 1993.
D)The economy recovered from the Great Recession in 2007.

Question 23

Which of the following basic values strongly influenced attitudes in the United States' first 200 years?

A)Structural mobility
B)Self-sufficiency
C)Nonconformity
D)Self-dealing

Question 24

Which of the following statements is true about Generation Y?

A)Its members were born between 1965 and 1978.
B)Its members are tech savvy but still use traditional media.
C)Its members have the least spending power than any other cohort.
D)Its members are the first generation of latchkey kids.

Question 25

Demographics are significant because they facilitate the study of people's purchasing power and educational attainment.

Question 26

Jessica is twenty-nine years old and spends more time on Facebook than reading magazines.Despite her inclination toward social networking sites,she continues to listen to the radio or read magazines at times.Jessica is most likely to be a:

A)tween.
B)Millenial.
C)Gen Zer.
D)baby boomer.

Question 27

Gen Xers:

A)spend the least on housing than any other cohort.
B)control seventy percent of America's net worth.
C)are aged between twelve and eighteen years.
D)spend more on food than any other cohort.

Question 28

Which of the following statements is true about the tweens in America?

A)They have grown up with and value traditional forms of media more than any other cohort.
B)They are making an effort to look more mature at a younger age.
C)They are a larger cohort than Millennials.
D)They are still not familiar with the use of social media and mobile technologies.

Question 29

Which of the following statements is true in the context of the Great Recession?

A)The economy completely recovered from the Great Recession in 2009.
B)The Great Recession spread to the globe by 2008.
C)The middle class was the least affected by the Great Recession.
D)The Great Recession increased employment rates to almost ten percent.

Question 30

Which of the following is true of individuals belonging to the baby boom generation?

A)They have the least spending power than any other cohort.
B)They spend more on food than any other generational demographic.
C)They are the first generation of latchkey children.
D)They are willing to change brands and try new things.

Question 31

The CAN-SPAM Act:

A)prohibits commercial e-mailers from using false addresses and presenting false or misleading information.
B)requires fast-food chains to open their facilities to health inspection at least once per quarter.
C)requires verifiable parental consent before a Web site can collect information from children.
D)allows commercial e-mailers to charge consumers a fee to "opt out" of receiving further email.

Question 32

Business firms can stimulate innovation by:

A)hiring employees with low risk tolerance.
B)telling employees that they have the freedom to fail.
C)using micromanagement techniques.
D)curbing research activities.

Question 33

Basic research:

A)is aimed at confirming an existing theory.
B)is aimed at developing new or improved products.
C)is aimed at a specific,pragmatic problem.
D)is given little emphasis by business firms in the United States.

Question 34

Which of the following statements is true about the Great Recession?

A)Tweens are the most affected by it.
B)It increased inflation rates to almost ten percent.
C)It began with the collapse of inflated housing prices.
D)It increased employment rates to almost ten percent.

Question 35

Which of the following statements is true in the context of ethnic markets in the United States?

A)Asian American buying power has decreased significantly.
B)African American buyers are on average older than all other ethnic groups.
C)More than half of Hispanic Americans are of Mexican descent.
D)Asian Americans have the lowest education levels among all other ethnic groups.

Question 36

The United States' Hispanic consumer market is now larger than all but thirteen world economies.

Question 37

Which of the following statements is true in the context of social media?

A)Social networking is part of regular life for people of all ages.
B)Social media seldom influence the buying behavior of consumers.
C)The majority of forty-five and older place a high value on social network information.
D)Social media have limited opinion sharing about companies.

Question 38

Which of the following is an example of demographic information?

A)An individual's level of intelligence
B)An individual's moral values
C)An individual's hobbies
D)An individual's age

Question 39

Upward mobility,a value that strongly influenced attitudes in America's first 200 years,emphasizes:

A)hard work.
B)nonconformity.
C)self-dealing.
D)unconventionality.

Question 40

Which of the following statements is true about the current consumers in the United States?

A)They emphasize price more than product quality.
B)They seldom register brand names.
C)They give importance to durability of products.
D)They tend to choose products that are expensive.

Question 41

Which of the following statements is true about teens?

A)Most teens prefer to shop online than in stores.
B)Teens consider shopping to be a social sport whether online or at the mall.
C)Teens spend more on food than any other cohort group.
D)Most teens prefer watching television or listening to radio than surfing the Web and on social media.

Question 42

Baby boomers:

A)spend less money than any other cohort.
B)spend more on food than any other population group.
C)have many health care expenses.
D)are not open to new brands.

Question 43

Which of the following is true of African Americans?

A)More than half of African American children are exclusively raised by their mothers.
B)African Americans are nearly ten years older on average than other American consumers.
C)The promotional dollars spent on African Americans is drastically reducing.
D)African Americans are less influenced by traditional media than any other group.

Question 44

Which of the following statements is true about tweens?

A)They are the first generation of latchkey children.
B)They are an attractive market segment for mobile games.
C)They are a larger cohort than baby boomers.
D)They are aged between fourteen to eighteen years.

Question 45

Which of the following statements is true of members of Generation X?

A)They were hit hard by the Great Recession.
B)They spend the least on food and family-oriented products.
C)They are aged between eighteen to twenty-five years.
D)They spend the least on housing than any other cohort.

Question 46

Social media:

A)can help companies gain market share.
B)are most widely used by tweens.
C)are eliminating the effect of component lifestyles.
D)have significantly decreased the complexity of buyer behavior.

Question 47

Which of the following statements is true about the trends prevalent among various ethnicities in the ethnic markets?

A)African Americans are on average older than all other ethnic groups.
B)Women are the primary decision makers in the majority of Hispanic households.
C)Asian Americans retain strong core values as they acclimate to American culture.
D)Asian Americans have the least spending power than any other minority group.

Question 48

Companies can effectively market to teens by:

A)making products that are complex to use.
B)distributing products online rather than in stores.
C)using radio as the primary promotional tool.
D)using interactive contests and voting challenges.

Question 49

Which of the following statements is true about the Hispanic consumer market?

A)The United States' Hispanic consumer market is now larger than all world economies.
B)Hispanics prefer purchasing local products than their native products.
C)Over the last decade,the largest growth in the Hispanic population has come from immigration,not births.
D)Hispanics accounted for most of the population growth in the 2010 Census.

Question 50

Which of the following statements is true about Gen Xers?

A)They are a primary target for marketers promoting family-oriented products.
B)They control the majority or of America's net worth.
C)They spend more on luxury products and services than any other cohort.
D)They are the group least affected by the Great Recession.

Question 51

An example of demographic information would be:

A)the location in which an individual stays.
B)the ethical principles of an individual.
C)the level of creativity of an individual.
D)the technology an individual uses.

Question 52

Which of the following statements is true about tweens in the United States?

A)Nearly sixty percent of tweens own a mobile phone.
B)Tweens have more spending power than any other cohort group.
C)The majority of tweens are in their early twenties.
D)Tweens are a larger cohort than Millennials.

Question 53

Which of the following statements is true about Hispanic Americans?

A)The majority of Hispanic Americans are of Puerto Rican descent.
B)Women are the primary decision makers in Hispanic households.
C)Hispanic population in the United States is steadily declining.
D)Majority of Hispanic men shop for food items at traditional grocery stores.

Question 54

Which of the following statements is true about Millennials?

A)They spend more time watching television or reading newspapers than surfing the Web.
B)They are a smaller cohort than Baby Boomers.
C)They are the group most affected by the Great Recession of 2008-2009.
D)They are aged between forty-five and sixty years.

Question 55

Which of the following statements about American teenagers is correct?

A)They spend about six hours per week tuned in electronically.
B)They make the largest cohort group.
C)They like interactive promotional activities.
D)They prefer Tumblr and Instagram to Facebook.

Question 56

Which of the following statements is true of baby boomers?

A)They are postponing retirement to pay debts.
B)They spend less than any other population group.
C)They have minimal health care expenses.
D)They are affected by the Great Recession than any other cohort.

Question 57

Millenials:

A)are now more in number than baby boomers.
B)spend the most on food than any other cohort.
C)have been least affected by the Great Recession.
D)are less familiar with technology and social media than any other group.

Question 58

Individuals born between 1965 and 1978 form a group called:

A)tweens.
B)Generation X.
C)baby boomers.
D)Millennials.

Question 59

Applied research:

A)is primarily conducted to broaden knowledge base.
B)is primarily aimed at developing new or improved products.
C)is also known as pure research.
D)primarily involves compiling and analyzing sales strategies of competitors.

Question 60

Which of the following statements is true about Asian Americans?

A)They are the fastest growing population among minority groups.
B)They are the least educated amongst all ethnic minority groups.
C)They have the least spending power among all ethnic groups.
D)They seldom retain their core Asian values.

Question 61

The__________is a government body that has the power to prescribe mandatory safety standards for almost all products used by customers.

Question 62

Hydralicious,a juice outlet,had to stop its business as health inspectors found that the storage facilities at the outlet were not hygienic as per standards set by the government.A__________factor affected Hydralicious in this scenario.

Question 63

List and describe the four basic values that have strongly influenced American attitudes and lifestyles.

Question 64

Martha visits a departmental store and learns that a box of exotic candles would cost her ten percent more than what she had paid for it six months ago.In this scenario,Martha has to pay more as a result of__________.

Question 65

Component lifestyles are:

A)making consumers non-discriminating and less demanding.
B)creating demand for products that meet diverse needs.
C)reducing the complexity of buyer behavior.
D)increasing the demand for low-priced mediocre products.

Question 66

The Federal Trade Commission's Bureau of Competition__________.

Question 67

The Bureau of Competition__________.

Question 68

Governments can help all businesses by__________.

Question 69

The__________is charged with enforcing regulations against selling and distributing adulterated,misbranded,or hazardous food.

Question 70

Stephen can file a complaint against an electronics retailer for incessantly sending him e-mails promoting their company's products under the__________.

Question 71

Discuss the characteristics that are typical of an Asian American market?

Question 72

Which of the following can help business firms stimulate innovation?

A)Hiring employees with low risk tolerance
B)Telling employees that they must fear failure
C)Instructing managers to use micromanagement techniques
D)Using teams of writers to imagine detailed opportunities and threats for their companies

Question 73

__________has been one of the important values that have strongly influenced attitudes in the United States' first 200 years.

Question 74

Hispanic Americans:

A)prefer to buy American products rather than brands found in their homelands.
B)are much older than the general U.S.population.
C)believe that the traditional family is the main building block of a healthy community.
D)make the most homogenous ethnic group.

Question 75

Who are the baby boomers and why are they important to marketers?

Question 76

Cuisine Royale,a restaurant chain,has introduced many Asian and Mexican dishes in the menu.This was done because the top management had recognized that the number of their customers from minority groups was increasing.This scenario illustrates how__________factors influence marketing decisions.

Question 77

Which of the following statements is true about tweens?

A)They are aged between eighteen and twenty-five years.
B)They prefer and value traditional media over social media.
C)They have more spending power than any other cohort.
D)They have their own social media outlets.

Question 78

Alex had purchased a battery-operated drill.The drill overheated and exploded when he tried to use it.It was determined that the explosion was due to a problem with how the drill was manufactured.Alex can lodge a complaint about the drill at the__________.

Question 79

Which of the following statements is true about incomes in the United States?

A)The average family incomes rose by one percent in 2012.
B)The median household income in almost the same across different states.
C)Most individuals in the United States prefer to wait for high-paying jobs to taking up lesser paying jobs.
D)The median household incomes have peaked in the United States in the recent years.

Question 80

Which of the following statements is true about population trends in the United States?

A)Rural areas posted their first-ever net loss of population in 2012.
B)Less than a thousand households contain at least two adult generations.
C)Baby boomers are now the smallest population group.
D)Tweens are now the largest population group.