CIM L4 Marketing april 2015 exam paper

1. © The Chartered Institute of Marketing 2015
CIM Level 4 Certificate in
Professional Marketing
Time: 14:00 – 16:00
Date: 1 April 2015
 The examination comprises 50 compulsory questions
 Section 1 – stand-alone multiple choice questions
 Section 2 – 2 case studies each with 5 related multiple choice questions
 Each question is worth 2 marks
 The examination will be TWO hours in duration
Total marks available – 100
Candidate guidance:
 Answer all questions on the separate answer sheet provided and make sure you read
the guidance information provided at the top of the answer sheets
 Ensure your membership number and centre number or name are provided on the
answer sheet
 Read all questions carefully before attempting them
Marketing (2100)

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Answer ALL questions.
Choose ONE answer from the options provided.
Section 1
1. Organisations who have adopted marketing as a business philosophy will consider
which of the following?
a. the organisation must focus on selling every product in the portfolio
b. new products must be developed continually irrespective of need
c. production capacity must always be fully utilised at all costs
d. the customer is at the centre of everything the organisation does
2. Why do marketing orientated organisations strive to create and deliver customer
value? Because it is:
a. key to retaining and attracting customers
b. necessary to develop the marketing mix
c. easy to achieve yet highly effective
d. the only source of product differentiation
3. Which of the following is an important output, for the organisation, of effective cross-
functional working involving marketing?
a. there will always be enough budget to carry out research
b. every product launched is guaranteed to be a success
c. products launched will meet the choice criteria of customers
d. everyone at work will get on well with each other

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4. The 'MOST' approach to marketing planning includes which of the following?
a. marketing research, online, segmentation and targeting
b. mission, objectives, strategy and tactics
c. measurement, observation, sales and TV advertising
d. messaging, outsourcing, social media and test marketing
5. Why is it important for marketers to understand customer behaviour? So that:
a. market research budgets can be reduced
b. customers will never shop around
c. all stakeholders are engaged in decision-making
d. marketing activities can be tailored to the segment
6. For marketers, building and managing customer relationships should concentrate on
which of the following?
a. identified prospect customers
b. customers who have recently moved to competitors
c. all long-term existing customers
d. the most profitable customers
7. The consumer's purchase decision can be directly influenced by marketers through
use of which of the following?
a. promotional offers
b. marketing database
c. environmental factors
d. market research

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8. Which of the following is a personal factor which is likely to impact a consumer's
buying behaviour?
a. state of the economy
b. life-cycle stage
c. peer group pressure
d. exposure to advertising
9. Which of the following occurs at the end of the organisational buying process?
a. evaluating potential suppliers
b. establishing supplier selection criteria
c. searching for potential suppliers
d. agreeing terms and conditions
10. In organisational buying, typically which of the following would be involved in the
buying process?
a. the decision-making unit
b. all the organisation's board directors
c. everyone in the organisation
d. only the procurement manager
11. Consumer buying, relative to organisational buying, is likely to involve more:
a. personal selling
b. protracted negotiating
c. decision makers
d. impulse purchases

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12. Routine response purchases are commonly associated with which of the following?
a. FMCG products
b. most organisational purchases
c. buying a property overseas
d. complex investment products
13. Which of the following is a key criterion when establishing if a segment will be
effective for marketing purposes?
a. accessibility
b. perishability
c. variability
d. confidentiality
14. In many segments, customers are now more likely to shop online than to actually
travel to a physical store to make a purchase. Which macro-environmental factor has
facilitated this change in customer behaviour?
a. legal
b. economic
c. technological
d. political
15. Industry regulators and professional bodies can be described as an organisation's:
a. stakeholders
b. shareholders
c. intermediaries
d. partners

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16. Which of the following is a useful tool when assessing the organisation's internal and
external marketing environment?
a. PESTEL
b. DRIP
c. SWOT
d. SOSTAC
17. Which of the following is a key element of an organisation's internal environment?
Its:
a. main sources of supplies
b. preferred customer markets
c. attitude to risk management
d. major lenders and shareholders
18. An organisation's mission statement and vision are of most relevance to which of the
following?
a. suppliers and intermediaries
b. customers and shareholders
c. competitors and the media
d. regulators and banks
19. Which of the following is a micro-environmental factor that will impact an
organisation's marketing tactics? Changes in:
a. regulation and legislation
b. interest rates
c. competitor activities
d. government policy

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20. 'Field research' refers to which of the following?
a. primary research
b. online research
c. secondary research
d. desk research
21. Which of the following is true about the use of self-completion surveys for data
gathering purposes?
a. bias from interviewers is problematic
b. response rates are usually low
c. interviewers must be highly trained
d. they are regarded as being expensive
22. Test marketing is a form of which of the following in terms of data gathering?
a. panel
b. delphi method
c. focus group
d. experimentation
23. Which of the following sources is likely to provide the most accurate, unbiased and
reliable data?
a. government statistics
b. blogs
c. the media
d. company websites

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24. Which of the following is a benefit of social media as a potential source of data for
marketing purposes? It is:
a. reliable and can be trusted
b. likely to be unbiased
c. current when published
d. directly relevant to the marketer
25. MKIS is which of the following?
a. market knowledge input scan
b. marketing information system
c. macro-environmental know-how in segmentation
d. messaging to key and interested stakeholders
26. An environmental scan features which of the following?
a. stakeholder and customer analysis only
b. micro and macro factors only
c. internal and external factors
d. internal factors only
27. Which of the following elements of the marketing mix has a direct correlation to both
how the customer perceives value and the revenues which can be achieved for the
organisation?
a. product
b. price
c. place
d. promotion

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28. Consumers can only buy Tigo Corporation products by telephone or online. The
effective management of Tigo's call centre and website are part of which element of
the marketing mix?
a. promotion
b. price
c. product
d. place
29. Which of the following is used by marketers because services lack tangibility?
a. promotion
b. price
c. process
d. physical evidence
30. The cleanliness of a waiting room in a doctor's surgery and the way it is decorated
are examples of:
a. customer segmentation
b. physical evidence
c. product placement
d. channel management
31. Which of the following, when developing a marketing campaign, is a likely benefit of
ensuring that all elements of the marketing mix are relevant for the intended market?
a. campaign success will be guaranteed
b. better results will be achieved
c. consumers can select the elements which apply
d. not all elements will be required

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32. The adoption of a more co-ordinated approach to developing the marketing mix will
enhance:
a. packaging
b. distribution
c. positioning
d. orientation
33. When a customer’s needs change, which of the following should the product
manager do as a priority?
a. consider the relevance of the current marketing mix
b. review competitor brochures and websites
c. consider the needs of internal stakeholders
d. execute a communications campaign immediately
34. Jack is a product manager. He has just read a report from a reliable source indicating
that the changing economy and legislation is going to impact directly on his product
portfolio. What action should Jack take now?
a. launch new products which meet the changing conditions
b. initiate an email marketing campaign to build the product profile
c. review the entire marketing mix for the portfolio
d. reduce product pricing to maintain demand
35. Which of the following provides evidence to all stakeholders of the tactics deployed
by an organisation to achieve its marketing objectives?
a. market research
b. market segmentation
c. marketing mix
d. marketing strategy

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36. StayWarm is a very small charity for the homeless. It wants to communicate specific
messages about homelessness to young adults in employment. Which of the
following is likely to be the best method?
a. national press advertising
b. social media
c. TV advertising
d. sponsorship activities
37. Which of the following is the most important element of the marketing mix in
business-to-business services marketing where a high level of personal involvement is
necessary to close a sale?
a. people
b. process
c. product
d. physical evidence
38. Days Manufacturing Group has introduced a new approach to the distribution of its
existing products. This is most likely following a review of which element of the
marketing mix?
a. people
b. product
c. promotion
d. place

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39. Chico is a recognisable high quality premium brand and has very limited competition.
It is under pressure from shareholders to increase revenues. Changing which of the
following is likely to have the most immediate impact?
a. product
b. place
c. price
d. process
40. Nesbit Bank has launched a new current account banking package to attract new
customers and in an attempt to retain existing customers. How might the bank
measure the effectiveness of its marketing mix in respect of the new account?
a. competitor benchmarking
b. market share
c. cost per contact
d. media coverage

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Section 2
Case Study 1
Paulo is a product manager and has been tasked by his marketing director with developing a
plan to launch a new product. As part of the plan, he has developed an appropriate
marketing mix to support the launch. Within this, he has decided that his marketing
communications activities will focus on the use of a range of advertising intended to trigger
a specific need or want from consumers in order to prompt them into thinking that they
would like to buy the product. The advertising will feature a free-phone number and email
address for consumers to make contact to register an interest in the product and to obtain
further information.
Paulo has already analysed the competition and evaluated potential distributors and
suppliers, to ensure the launch is a success. One month after the launch he will hold a focus
group session to obtain more detailed feedback from consumers.
CS1.1 Which of the following will be the most useful approach to Paulo in developing his
plan for the product launch?
a. ACORN
b. BCG
c. PLC
d. SOSTAC
CS1.2 Paulo has decided to influence consumers at which stage of the buying process?
a. collecting data
b. evaluating alternatives
c. post-purchase review
d. recognising the need

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CS1.3 Paulo's analysis and evaluation has focused on which of the following?
a. competitor environment
b. internal environment
c. macro-environment
d. micro-environment
CS1.4 The effectiveness of the intended marketing communications activities can be
measured most easily through which of the following?
a. level of cross-sales
b. media coverage
c. number of enquiries generated
d. revenue per lead
CS1.5 The focus group session Paulo is holding one month after the launch will generate
which type of data?
a. online
b. qualitative
c. quantitative
d. secondary

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Case Study 2
Marcel Veenstra is a marketing manager at Medin Insurance Corporation. Marcel is
responsible for a range of highly complex products targeted at large corporate clients in the
shipping industry. These products require a great deal of negotiation with each customer to
ensure that their requirements are fully met when the policy is first established.
Medin Insurance Corporation, like others in the financial services industry, has been
significantly impacted by the financial crisis and the increase in regulation across the
industry, the result of which is that the organisation’s entire product range and marketing
communications have been changed. However, the organisation has now established a
strong product proposition, largely as a result of Marcel’s considerable efforts internally in
cross-functional working and in understanding customer needs. To do this, Marcel organised
an event which was attended by eight clients. This involved a group discussion during which
valuable qualitative data was gathered.
CS2.1 Marcel's considerable efforts internally within Medin Insurance Corporation would
have involved which of the following?
a. creating a new marketing information system
b. reviewing websites and brochures of competitors
c. undertaking detailed desk research
d. working with colleagues in other departments
CS2.2 For Marcel's clients, which of the following will be the first stage of the buying
process?
a. need recognition
b. preparing the specification
c. search for suppliers
d. supplier evaluation

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CS2.3 For Marcel's products which of the following is likely to be the most important
element of the marketing mix?
a. people
b. physical evidence
c. place
d. promotion
CS2.4 Marcel understood customer needs through use of which of the following?
a. delphi method
b. experiment
c. focus group
d. observation
CS2.5 Which of the following has had the greatest impact on Medin Insurance
Corporation's marketing planning?
a. environmental factors
b. legal factors
c. social factors
d. technological factors
END OF EXAMINATION

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