This document contains 38 multiple choice questions about marketing concepts such as the marketing mix, market segmentation, marketing research, and the product life cycle. The questions cover topics like the 4 P's of marketing, steps in market segmentation, types of marketing research, and stages of the product life cycle. Sample questions ask about the marketing mix variables, the purpose of market segmentation, types of marketing research methods, and characteristics of the market introduction stage.

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1) Predicting what types of bicycles different customers will want and deciding which of these customers the business
will try to satisfy are activities a firm should do as part of
A. A command economy.
B. Production.
C. Marketing.
D. Making goods or performing services.
2) For Tesla, a new firm that makes an electric sports car, estimating how many competitors will make electric
vehicles and what kinds they will make, is:
A. A part of marketing.
B. One of the universal functions of innovation.
C. A production activity.
D. An example of the micro-macro dilemma.
3) According to the text, marketing means:
A. Advertising.
B. Much more than selling and advertising.
C. Selling.
D. Producing and selling.
4) Which of the following statements regardingmarketing strategies is FALSE?
A. These strategies require decisions about the specific customers the firm will target and the marketing mix the firm
will develop to appeal to that target market.
B. It is useful to think of the marketing strategy planning process as a narrowing-down process.
C. These strategies must meet the needs of target customers, and a firm is likely to get a competitive advantage if it
just meets needs in the same way as some other firm.
D. Developing successful marketing strategies does not need to be a hit-or-miss proposition.
5) To compete more successfully with its many competitors offering packaged cookies, Famous Amos added its own
line of extra chunky premium cookies. This seems to be an effort at:
A. Product development.
B. Combination.
C. Market penetration.
D. Market development.
6) Professional Dental Supply has been successfully selling dental instruments to dentists for the past 20 years, and
has developed strong customer relations. When looking for new marketing opportunities, Professional Dental Supply
will most likely look first at
A. Product development.
B. Market penetration.
C. Diversification.
D. Market development.
7) Product is NOT concerned with:
A. Packaging.

2. B. Quality level.
C. Branding.
D. Wholesale price.
8) The marketing mix
A. Includes four variables—advertising, personal selling, customer service, and sales promotion.
B. Includes four variables—People, Place, Promotion, and Price.
C. Includes the target market
D. Helps to organize the marketing strategy decision areas.
9) The four Ps of a marketing mix are:
A. Product, Place, Promotion, and Price
B. Production, Personnel, Price, and PhysicalDistribution
C. Promotion, Production, Price, and People
D. Product, Price, Promotion, and Profit
10) Dell, Inc. wants to offer customers televisions in addition to computers. This is a change in their
_____________________
A. promotional.
B. pricing.
C. product.
D. personnel.
11) A firm's decisions regarding channel type, market exposure, and kinds of intermediaries would fall under
the marketing mix variable of
A. Place.
B. Product.
C. Price.
D. Promotion.
12) When one considers the strategy decisionsorganized by the four Ps, branding is related to packaging as:
A. Production is to marketing.
B. Branding is to pricing.
C. Personal selling is to mass selling.
D. Store location is to sales force selection.
13) Which of the following would probably NOT be in a proposed marketing plan?
A. A statement of how frequently the design of the website will be changed.
B. A list of what company resources (costs) would be required.
C. A description of the target market and marketing mix.
D. Expected sales and profit results.
14) The main difference between a marketing strategyand a marketing plan is that:
A. A marketing plan includes several marketingstrategies.
B. Time-related details are included in a marketing plan.
C. A marketing strategy omits pricing plans.
D. A marketing strategy provides more detail.
15) Which of the following is part of a completemarketing plan?
A. Competitors' marketing strategies.
B. What company resources (costs) are required and at what rate.
C. How different marketing mixes (for different target markets) relate to each other.

3. D. All of these.
16) Marketing strategy planners should recognize that:
A. Mass marketing is often very effective and desirable.
B. Target markets should not be large and spread out.
C. Target marketing is not limited to small market segments.
D. Large firms like General Electric, Target, and Procter & Gamble are too large to aim at clearly defined markets.
17) Good marketing strategy planners know that:
A. Target marketing does not limit one to small market segments.
B. Firms like Nabisco and WalMart are too large to aim at clearly defined target markets.
C. The terms mass marketing and mass marketer mean basically
19) Clustering techniques applied to segmenting markets
A. Usually require computers to group people based on data from market research.
B. Remove the need for managerial judgment.
C. Eliminate the need for marketing managers to specify in advance what dimensions might be relevant for grouping
consumers.
D. All of the above are true.
20) ______________ is the process of naming broadproduct-markets and then segmenting these broadproduct-
markets in order to select target markets and develop suitable marketing mixes.
A. Market segmentation
B. Market positioning
C. Diversification
D. Mass marketing
21) The process of naming broad product-markets and then segmenting them in order to select target markets and
develop suitable marketing mixes is called:
A. Market development.
B. Market penetration.
C. Market segmentation.
D. Market research.
22) ________________ ________________ utilizes qualitative and quantitative analysis procedures to
helpmarketing managers make more informed decisions.
A. Marketing structure.
B. Marketing planning.
C. Marketing processing.
D. Marketing research.
23) Procedures that develop and analyze new information to help marketing managers make decisions are called:
A. Analytical research.
B. Strategy planning.
C. Operational planning.
D. Marketing research.
24) A ______________ is an organized way of continually gathering and analyzing data to get information to
help marketing managers make ongoing decisions.
A. Marketing research project
B. Marketing information system
C. Marketing model

4. D. Marketing research department
25) The part of the relevant population that is surveyed by a researcher is called the:
A. Target population.
B. Representative group.
C. Focal group.
D. Sample.
26) Focus groups:
A. Always do a good job of representing the broader target market.
B. Are usually composed of 10 to 15 people asparticipants.
C. Yield results that are largely dependent on the viewpoint of the researcher.
D. Are expensive compared to other marketing research methods.
27) One of the major disadvantages of the focus group interview approach is that
A. It is difficult to get in-depth information about the research topic.
B. Ideas generated by the group cannot be tested later with other research.
C. It is difficult to measure the results objectively.
D. There is no interviewer, so the research questions may not be answered.
28) A small manufacturing firm has just experienced a rapid drop in sales. The marketing manager thinks that he
knows what the problem is and has been carefully analyzing secondary data to check his thinking. His next step
should be to:
A. Conduct informal discussion with outsiders, including intermediaries, to see if he has correctly defined the problem.
B. Conduct an experiment.
C. Develop a formal research project to gather primary data.
D. Develop a hypothesis and predict the future behaviorof sales.
29) Which of the following statements about consumer products is true?
A. Specialty products are those that customers usually are least willing to search for.
B. Convenience products are those that customers want to buy at the lowest possible price.
C. Shopping products are those products for which customers usually want to use routinized buyingbehavior.
D. Unsought products are not shopped for at all.
30) The attitudes and behavior patterns of people are part of the
A. Political environment.
B. Social and cultural environment.
C. Firm's resources and objectives.
D. Competitive environment.
31) The first step in market segmentation should be:
A. Deciding what new product you could develop.
B. Evaluating what segment(s) you currently serve.
C. Defining some broad product-markets where you may be able to operate profitably.
D. Finding a demographic group likely to use your products.
32) Which is the first step in market segmentation?
A. Finding one or two demographic characteristics to divide up the whole mass market.
B. Clustering people with similar needs into a market segment.
C. Evaluating market segments to determine if they are large enough.
D. Naming a broad product-market of interest to the firm.

5. 33) ______________ is the process of naming broadproduct-markets and then segmenting these broadproduct-
markets in order to select target markets and develop suitable marketing mixes.
A. Market segmentation
B. Strategic planning
C. Market positioning
D. Mass marketing
34) The product life cycle:
A. Describes the stages a new product idea goes through from beginning to end.
B. Has five major stages.
C. Shows that sales and profits tend to move together over time.
D. Applies more to individual brands than to categories or types of products.
35) Which of the following is a DEMOGRAPHIC segmenting dimension?
A. Rate of use.
B. Brand familiarity.
C. Family life cycle.
D. Type of problem solving.
36) Which of the following is NOT one of the text's product life cycle stages?
A. Market maturity
B. Market penetration
C. Market growth
D. Market introduction
37) During the MARKET INTRODUCTION stage of the product life cycle:
A. Large profits are typical—until competition arrives.
B. Price and promotion are more important than Place and Product.
C. Money is invested—in the hope of FUTURE profits.
D. Much money is spent on Promotion, while spending on Place is left until later.
38) During the market introduction stage of the product life cycle:
A. Considerable money is spent on promotion while place development is left until later stages.
B. Products usually show large profits if marketers have successfully carved out new markets.
C. Funds are being invested in marketing with the expectation of future profits.
D. Most potential customers are quite anxious to try out the new-product concept.
39) An industry's sales have leveled off and profits are declining in oligopolistic competition. Consumers see
competing products as homogeneous. Several firms have dropped out of the industry, but a new one entered
recently. Firms in the industry are trying to avoid price-cutting by spending on persuasive advertising. These firms are
competing in which stage of the product life cycle?
A. Market growth
B. Market maturity
C. Market introduction
D. Market development
40) Typically the _____ is responsible for building gooddistribution channels and implementing place policies.
A. Advertising manager
B. Human resources manager
C. Public relations manager
D. Sales manager

6. 41) SGCA is having a sales contest to encourage retailers to quickly reduce the inventory of SuperGamer computers.
Retailers with the highest sales during the next month win an expense paid trip to a special dealer meeting at a resort
in Hawaii. This is
A. The type of promotion that continues to impact sales even after the promotion is over.
B. An example of a producer using sales promotion in the channel.
C. Probably illegal because it might encourage price competition among retailers.
D. An example of cooperative advertising.
42) While watching a television program, Liza gets a phone call just as a commercial is starting. She presses the
mute button on the television's remote control and takes the call, so she pays no attention to the commercial. In terms
of the communication process, the telephone call is an example of:
A. Decoding.
B. Feedback.
C. Encoding.
D. Noise.
43) The Canyonlands Corporation is introducing a new product next month. To prepare for the introduction,
themarketing manager is having his sales force call on distributors to explain the unique features of the new product,
how the distributors can best promote it, and what sales volume and profit margins they can reasonably expect. In
addition, Canyonlands is budgeting 2% of its estimated sales for magazine advertising. This is an example of:
A. Exclusive distribution.
B. A pushing policy.
C. Selective distribution.
D. A pulling policy.
44) Integrated direct-response promotion:
A. Is not necessary or useful when the channel ofdistribution involves intermediaries.
B. Is usually part of a pushing effort rather than part of a pulling approach.
C. Focuses on achieving a measurable, direct response from specific target customers.
D. None of these are true.
45) American Tourister, Inc.—a producer of luggage—is planning to introduce a new product line.
The marketingmanager is having her sales force call on retailers to explain American Tourister's consumer
advertising plans, the unique features of the new luggage, how the distributors can best promote it, and what sales
volume and profit margins they can reasonably expect. This is an example of:
A. Selective distribution.
B. A pushing policy.
C. A pulling policy.
D. Intensive distribution.
46) Positioning analysis
A. Is a visual aid to understanding a product-market.
B. Shows that managers and customers usually view present brands similarly.
C. Helps managers understand the actual characteristics of their products.
D. Is not a product-oriented approach.
47) Quality Ceramic, Inc. (QCI) defined five submarkets within its broad product-market. To obtain some economies
of scale, QCI decided NOT to offer each of the submarkets a different marketing mix. Instead, it selected two
submarkets whose needs are fairly similar, and is counting on promotion and minor product differences to make its
one basic marketing mix appeal to both submarkets. QCI is using the

7. A. Multiple target market approach.
B. Mass marketing approach.
C. Combined target market approach.
D. Single target market approach
48) Which of the following statements about positioning is NOT TRUE?
A. Positioning issues are especially important when competitors in a market are very dissimilar.
B. It helps marketing managers know how customers view the firm's offering.
C. It often makes use of techniques such as perceptual mapping.
D. It refers to how customers think about proposed or present brands in a market.
49) A _____ is a market with very similar needs and sellers offering various close substitute ways of satisfying those
needs.
A. Target market
B. Product-market
C. Generic market
D. Standard market
50) Which of the following is NOT a trend affectingmarketing strategy planning in the area of internationalmarketing?
A. Tensions between have and have-not cultures.
B. Decreasing role of airfreight.
C. Global communication over the Internet.
D. More attention to exporting by small companies.
51) When a company grows globally, this is an example of:
A. Market development
B. Market penetration.
C. Diversification.
D. Product development.
52) Which of the following statements DOES NOT indicate that a marketing manager is about to make a serious
mistake?
A. "When it comes to my marketing strategy, if it ain't broke, don't fix it."
B. "I try to place myself in the position of the consumer and do unto others as I would have them do unto me."
C. "I leave marketing applications of technology to the information technology staff. There's no need for me to learn
about them."
D. "International competition is just a fad. We can ignore it."
53) It is usually the _________ job, perhaps with help from specialists in technology, to decide what types of sales
technology tools are needed and how they will be used.
A. Sales manager's
B. Purchasing manager's
C. Marketing executive's
D. Procurement manager's
54) Which of the following is a key trend affectingmarketing strategy planning?
A. Senior and ethnic submarkets are getting smaller.
B. Growth of marketing information systems.
C. Less use of technology in personal selling.
D. Slower new-product development.
55) Which of the following statements about ethicalbehavior in business is true?

8. A. The legal environment sets the highest standards of ethical behavior.
B. The legal environment sets the normative standardsof ethical behavior.
C. The legal environment sets the minimum standardsof ethical behavior
D. The legal environment sets the maximum standardsof ethical behavior.
56) Many Internet sites, such as Autobytel.com and Edmunds.com, have extensive information about the prices of
new and used vehicles that anyone can use for free. In light of the availability of this information, what is the
responsibility of consumers to use it?
A. Consumers should not use it because it gives them an unfair advantage over car dealers.
B. Consumers should not trust any information they receive from any source except the government.
C. Consumers can use it, but should not feel a responsibility to do so.
D. Consumers have a responsibility to use the information and be smarter customers.
57) The future poses many challenges for marketingmanagers because:
A. New technologies are making it easier to abuse consumers' rights to privacy.
B. Social responsibility applies only to firms—not to consumers.
C. It is marketing managers who have full responsibility to preserve our macro-marketing system.
D. The marketing concept has become obsolete.