PRINCIPLES OF MARKETING. Sample Test 4 Questions
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1 PRINCIPLES OF MARKETING Sample Test 4 Questions
2 Question #1 From the economic system's point of view, the role of marketing intermediaries is to. A. facilitate the production of products without direct customer feedback B. help a company develop a direct channel selling system C. buy small quantities of products from producers and break them down into narrow assortments for customers D. increase the amount of work that must be done by producers and consumers E. transform the assortments of products made by producers into the assortments wanted by consumers
3 Question #2 Crowbar Records used to sell its music CDs through a network of retail outlets, record stores, and music dealers but stopped using these agents with the advent of MP3 technology. Crowbar now sells its music independently on its Web site, through personal mail, and on social networking sites. Which type of marketing system has Crowbar most likely adopted? A. an administered marketing system B. a contractual marketing system C. a horizontal marketing channel D. a direct marketing channel E. a vertical marketing channel
4 Question #3 Kevin Pinker is a freelance computer programmer who writes computer algorithms for companies such as SoftStar and BlueHill. SoftStar and BlueHill use these algorithms to make specific programs based on online market research. These programs are then sold to the online retailer, Abundon, which then sells them to individual consumers and businesses. Which of the following is a marketing intermediary in this chain? A. SoftStar B. BlueHill C. the consumer D. Abundon E. Kevin Pinker
5 Question #4 Which of the following statements is true of retailing? A. All retail stores are full-service retail stores. B. A department store has a narrow product line with a deep assortment. C. The largest type of retail outlet is a supermarket. D. Services like hotels, banks, airlines, restaurants, colleges, and hospitals can be retailed. E. A feature common to all types of retail stores is the use of the everyday low pricing strategy.
6 Question #5 Which contractual system is distinguished by the fact that it is normally based on some unique product or service? A. voluntary chain B. retailer cooperative C. franchise D. corporate chain E. warehouse club
7 Question #6 Channels of distribution A. usually do not involve conflicts as long as each of the members have similar profit goals. B. should help to increase discrepancies of quantity between producers and consumers. C. usually require longer-term planning than other marketing mix elements because channel decisions are more difficult to change quickly. D. that include middlemen result in higher distribution costs than for channels without middlemen. E. for which there is no channel captain is called administered channels.
8 Question #7 Remington Motors releases a new line of hybrid electric vehicles called Electra. The line promises superior mileage and excellent horsepower in an environmentally friendly automobile. Remington decides to use advertising as the promotional tool for the car's launch. Which of the following would qualify as an advertisement for Electra? A. A front-page notice of the release of Electra in all leading newspapers with the caption "Green Speed." B. A press conference to discuss the various safety issues, actual mileage, and environmental features of Electra. C. The use of dedicated sales personnel in dealer showrooms to explain the qualities of Electra to potential customers. D. The involvement of a celebrity at the launch of Electra to endorse the hybrid car. E. A buyers-only lottery where Electra buyers have a chance of winning a prize
9 Question #8 Mercury Electric, a leading manufacturer of kitchen appliances, releases a new line of blenders called SpinPro. To boost sales, Mercury Electric gives scratch-and-win coupons to all buyers and provides a three-day trip to Hawaii for the winner. Which element of the promotion mix has Mercury Electric used in this scenario? A. Public relations B. Sales promotion C. Advertising D. Crowdsourcing E. Personal selling
10 Question #9 Dazed is a bar which mostly plays trance music and has a dedicated day every week for local bands to perform. To build strong customer relations, Dazed sends text messages to customers, telling them about happy hours, bands playing that week, dedicated genre nights, and other activities. Which of the following promotion mix tools does Dazed employ to reach target customers in this scenario? A. Public relations B. Personal selling C. Direct marketing D. Crowdsourcing E. Retailing
11 Question #10 A company that sells only one product line to one industry with customers in many locations would typically use a. A. product sales-force structure B. territorial sales-force structure C. market sales-force structure D. customer sales-force structure E. complex sales-force structure
12 Question #11 Lemony Inc. sells its popular bottled lemonade the company's only product in various geographic locations through tie-ups and agreements with retailers. Each location is represented by two salespersons, one of whom serves current customers while the other finds new ones. Which of the following sales-force structures has most likely been combined to form the complex sales-force structure at Lemony Inc.? A. market and territorial B. market and customer C. product and territorial D. market and product E. geographical and product
13 Question #12 The difference between an inside sales force and an outside sales force is that an outside sales force. A. acquires more decision-maker contacts each day B. consists mostly of telemarketers and Internet sellers C. conducts business from headquarters via telephone D. spends less money to reach and support customers E. travels frequently to call on customers in the field
14 ANSWERS 1. E 2. D 3. D 4. D 5. C 6. C 7. A 8. B 9. C 10. B 11. A 12. E
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