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1) According to the text, marketing means:
A. Selling.
B. Much more than selling and advertising.
C. Producing and selling.
D. Advertising.
2) Predicting whattypes of bicycles different customerswill wantand deciding which ofthese customers the business
will try to satisfyare activities a firm should do as partof
A. A command economy.
B. Production.
C. Marketing.
D. Making goods or performing services.
3) Which of the following statements bestdescribes the modern view of marketing?
A. Marketing should take over production,accounting,and financial services within a firm.
B. The job of marketing is to get rid of whatever the companyis producing.
C. Marketing is concerned with generating a single exchange between a firm and a customer.
D. Marketing begins with anticipating potential customer needs.
4) Which of the following statements regardingmarketing strategies is FALSE?
A. These strategies mustmeetthe needs of targetcustomers,and a firm is likely to get a competitive advantage if it
justmeets needs in the same wayas some other firm.
B. It is useful to think of the marketing strategy planning process as a narrowing-down process.
C. Developing successful marketing strategies does notneed to be a hit-or-miss proposition.
D. These strategies require decisions aboutthe specificcustomers the firm will targetand the marketing mix the firm
will develop to appeal to that target market.
5) To compete more successfullywith its manycompetitors offering packaged cookies,Famous Amos added its own
line of extra chunky premium cookies.This seems to be an effort at:
A. Market penetration.
B. Combination.
C. Market development.
D. Product development.
6) Professional Dental Supplyhas been successfullyselling dental instruments to dentists for the past20 years, and
has developed strong customer relations.When looking for new marketing opportunities,Professional Dental Supply
will mostlikelylook firstat
A. Diversification.
B. Market penetration.
C. Market development.
D. Product development.
7) Which of the following is true?
A. The productP in the marketing mixstands for both physical goods and tangible
B. The productP in the marketing mixstands for onlytangible merchandise.

2. C. The product P in the marketing mixstands for only physical goods.
D. The product P in the marketing mixstands for both physical goods and services.
8) The marketing mix
A. Includes four variables—advertising,personal selling,customer service,and sales promotion.
B. Helps to organize the marketing strategy decision areas.
C. Includes four variables—People,Place, Promotion,and Price.
D. Includes the target market
9) The four Ps of a marketing mixare:
A. Product, Place, Promotion,and Price
B. Product, Price, Promotion,and Profit
C. Production,Personnel,Price,and Physical Distribution
D. Promotion,Production,Price, and People
10) Hewlett-Packard sells personal computers through specialtycomputer stores,electronics superstores,and its
own Internet site. The marketing mixvariable that is being considered here is:
A. Placement.
B. Product.
C. Pricing.
D. Promotional.
11) When one considers the strategy decisionsorganized by the four Ps,branding is related to packaging as:
A. Personal selling is to mass selling.
B. Store location is to sales force selection.
C. Branding is to pricing.
D. Production is to marketing.
12) Big Fizz Co., a manufacturer of cola-flavored drinks,wants to add packaged fruitjuices to its existing product line.
Big Fizz mustmake some decisions regarding packaging and branding ofthe fruit juices.Thesedecisions would fall
under which variable of themarketing mix?
A. Price
B. Promotion
C. Product
D. Place
13) The main difference between a marketing strategyand a marketing plan is that:
A. A marketing strategyomits pricing plans.
B. A marketing strategyprovides more detail.
C. Time-related details are included in a marketing plan.
D. A marketing plan includes several marketingstrategies.
14) A marketing plan is:
A. A target marketand a related marketing mix.
B. A marketing strategy—plus the time-related details for carrying it out.
C. A marketing program.
D. A marketing strategy.
15) Which of the following is partof a completemarketing plan?
A. Competitors'marketing strategies.
B. What companyresources (costs) are required and atwhat rate.
C. How different marketing mixes (for different target markets) relate to each other.

3. D. All of these.
16) Good marketing strategyplanners know that:
A. The terms mass marketing and mass marketer mean basicallythe same thing.
B. Mass marketing is often very desirable and effective.
C. Firms like Nabisco and Wal-Mart are too large to aim at clearly defined target markets.
D. Target marketing does notlimitone to small market segments.
17) Marketing strategy planners should recognize that:
A. Target marketing is notlimited to small marketsegments.
B. Large firms like General Electric,Target, and Procter & Gamble are too large to aim at clearly defined markets.
C. Target markets should notbe large and spread out.
D. Mass marketing is often very effective and desirable.
18) Target marketing,in contrastto mass marketing,
A. Focuses on fairly homogeneous marketsegments.
B. Ignores markets thatare large and spread out.
C. Is limited to small marketsegments.
D. Assumes thatall customers are basicallythe same.
19) ______________ is the process ofnaming broad product-markets and then segmenting these broad product-
markets in order to selecttarget markets and develop suitable marketing mixes.
A. Diversification
B. Mass marketing
C. Market positioning
D. Market segmentation
20) The process ofnaming broad product-markets and then segmenting them in order to selecttarget markets and
develop suitable marketing mixes is called:
A. Market segmentation.
B. Market penetration.
C. Market development.
D. Market research.
21) Clustering techniques applied to segmenting markets
A. Usuallyrequire 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 specifyin advance whatdimensions mightbe relevant for grouping
consumers.
D. All of the above are true.
22) A ______________ is an organized wayof continuallygathering and analyzing data to get information to
help marketing managers make ongoingdecisions.
A. Marketing model
B. Marketing information system
C. Marketing research project
D. Marketing research department
23) ________________ ________________ utilizes qualitative and quantitative analysis procedures to
helpmarketing managers make more informed decisions.
A. Marketing processing.
B. Marketing planning.

4. C. Marketing structure.
D. Marketing research.
24) Procedures thatdevelop and analyze new information to help marketing managers makedecisions are called:
A. Operational planning.
B. Strategy planning.
C. Analytical research.
D. Marketing research.
25) Focus groups:
A. Yield results thatare largely dependenton the viewpointof the researcher.
B. Are usuallycomposed of10 to 15 people as participants.
C. Always do a good job of representing the broader target market.
D. Are expensive compared to other marketing researchmethods.
26) When focus group interviews are used in marketing,
A. The typical group size is 15 to 20 typical consumers whether online or off-line.
B. Each person in the group answers the same questionnaire,to focus the discussion.
C. It is primarilyas a follow-up to more quantitativeresearch.
D. The research conclusions will vary depending on who watches the interview whether online or off-line.
27) Marketing research which seeks structured responses thatcan be summarized is called:
A. Quantitative research.
B. Focus group research.
C. Qualitative research.
D. Situation analysis research.
28) The marketing manager atMassimino & McCarthy, a chain of retail stores thatsells men's clothing,is
reviewing marketing research data to try to determine ifchanges in marketing strategyare needed.Which of
thefollowing sources ofdata would be a secondarydata source?
A. Reviewing videotapes ofa recent focus group.
B. Looking through the company's marketing information system to see pastsales trends.
C. Making phone calls to some ofthe best customers to learn their interestin a new line of clothing.
D. Spending time in stores observing customers'behavior.
29) A small manufacturing firm has justexperienced a rapid drop in sales.The marketing manager thinks thathe
knows whatthe problem is and has been carefullyanalyzing secondarydata to check his thinking.His next step
should be to:
X. XXXXXXX a formal research projectto gather primarydata.
B. Conductan experiment.
C. Conductinformal discussion with outsiders,including intermediaries,to see if he has correctly defined the
problem.
D. Develop a hypothesis and predictthe future behavior of sales.
30) The attitudes and behavior patterns of people are part of the
A. Social and cultural environment.
B. Political environment.
C. Competitive environment.
D. Firm's resources and objectives.
31) Market segmentation:
A. Is the same thing as positioning.

5. B. Assumes thatmostsubmarkets can be satisfied bythe same marketing mix.
C. Tries to identify homogeneous submarkets within a product-market.
D. Means the same thing as marketing strategyplanning.
32) Which is the first step in market segmentation?
A. Naming a broad product-marketofinterestto the firm.
B. Clustering people with similar needs into a marketsegment.
C. Evaluating marketsegments to determine ifthey are large enough.
D. Finding one or two demographic characteristics to divide up the whole mass market.
33) The firststep in market segmentation should be:
A. Finding a demographic group likelyto use your products.
B. Evaluating what segment(s) you currently serve.
C. Defining some broad product-markets where you maybe able to operate profitably.
D. Deciding whatnew product you could develop.
34) Which of the following is NOTone of the text's product life cycle stages?
A. Market introduction
B. Market penetration
C. Market growth
D. Market maturity
35) The productlife cycle:
A. Applies more to individual brands than to categories or types of products.
B. Has five major stages.
C. Shows that sales and profits tend to move together over time.
D. Describes the stages a new productidea goes through from beginning to end.
36) Tom and Sally Jones are preparing to purchase a new car. He currently has a Toyota Camry and she has a
Honda Accord. They now have two children under age 5, so they plan to trade in Sally's car to purchase a minivan.
Sally and Tom decided on a Honda Odyssey because Sallyis familiar with Hondas and thinks they are very reliable.
In this purchase situation,Tom and Sally's family life cycle stage is a _____________segmentation dimension,and
the benefitSally seeks (reliability) is a _____________ segmentationdimension.
A. Geographic;behavioral.
B. Demographic;behavioral.
C. Demographic; geographic.
D. Geographic;demographic.
37) During the MARKET INTRODUCTION stage of the product life cycle:
A. Much money is spenton Promotion,while spending on Place is left until later.
B. Price and promotion are more importantthan Place and Product.
C. Money is invested—in the hope of FUTURE profits.
D. Large profits are typical—until competition arrives.
38) During the marketintroduction stage of the productlife cycle:
A. Most potential customers are quite anxious to try out the new-productconcept.
B. Products usuallyshow large profits ifmarketers have successfullycarved out new markets.
C. Funds are being invested in marketing with the expectation of future profits.
D. Considerable moneyis spenton promotion while place development is leftuntil later stages.
39) Which of the following observations concerning the marketmaturitystage is NOT TRUE?
A. New firms cannotenter the market at this stage.

6. B. There is a long-run downward pressure on prices.
C. Promotion costs rise and some competitors cutprices to attract business.
D. Many aggressive competitors have entered the race for profits.
40) Advertising allowances
A. Allow for coordination and integration ofad messages in the channel.
B. Involve intermediaries and producers sharing in the costof ads.
C. Set the allowance amountas a percentof the retailer's actual purchases.
D. Are price reductions to firms further along in the channel to encourage them to advertise or otherwise promote the
firm's products locally.
41) Price reductions given to channel members to encourage them to advertise or otherwise promote a firm's
products locallyare:
A. Push moneyallowances.
B. Brokerage allowances.
C. Advertising allowances.
D. Quantity discounts.
42) Noise (in the traditional communication process) refers to:
A. any distractions thatreduce the effectiveness of the communication process.
B. Efforts by a firm's competitors to block its message channel.
C. Messages which are too loud or bold.
D. Radio advertising interference only.
43) 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 ofthe new luggage,how the distributors can bestpromote it,and whatsales
volume and profit margins theycan reasonablyexpect. This is an example of:
A. A pulling policy.
B. A pushing policy.
C. Selective distribution.
D. Intensive distribution.
44) A producer using very aggressive promotion to getfinal consumers to ask intermediaries for a new producthas:
A. A pulling policy
B. A pushing policy.
C. A selective distribution policy.
D. A target marketing policy.
45) A producer using normal promotion efforts—personal selling,sales promotion,and advertising—to help sell a
whole marketing mixto possible channel members has:
A. A selective distribution policy.
B. A pushing policy.
C. An intensive distribution policy.
D. A target marketing policy.
46) Which of the following statements aboutpositioning is NOTTRUE?
A. It often makes use oftechniques such as perceptual mapping.
B. It helps marketing managers know how customersview the firm's offering.
C. Positioning issues are especiallyimportantwhencompetitors in a marketare very dissimilar.
D. It refers to how customers think aboutproposed or presentbrands in a market.

7. 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 productdifferences to make its
one basic marketing mixappeal to both submarkets.QCI is using the
A. Combined targetmarketapproach.
B. Mass marketing approach.
C. Multiple target marketapproach.
D. Single target marketapproach
48) Positioning analysis
A. Helps managers understand the actual characteristics oftheir products.
B. Shows that managers and customers usuallyview presentbrands similarly.
C. Is a visual aid to understanding a product-market.
D. Is not a product-oriented approach.
49) When a companygrows globally,this is an example of:
A. Market development
B. Market penetration.
C. Diversification.
D. Product development.
50) A _____ is a marketwith very similar needs and sellers offering various close substitute ways of satisfying those
needs.
A. Generic market
B. Product-market
C. Target market
D. Standard market
51) Which of the following is NOTa trend affectingmarketing strategyplanning in the area of internationalmarketing?
A. Tensions between have and have-not cultures.
B. Decreasing role ofairfreight.
C. Global communication over the Internet.
D. More attention to exporting by small companies.
52) Which of the following statements DOES NOT indicate that a marketing manager is aboutto 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 myselfin the position ofthe consumer and do unto others as I would have them do unto me."
C. "I leave marketing applications oftechnologyto the information technologystaff. There's no need for me to learn
aboutthem."
D. "International competition is justa fad. We can ignore it."
53) Which of the following is a key trend affectingmarketing strategyplanning?
A. Senior and ethnic submarkets are getting smaller.
B. Growth of marketing information systems.
C. Less use oftechnologyin personal selling.
D. Slower new-productdevelopment.
54) It is usuallythe _________ job,perhaps with help from specialists in technology,to decide whattypes of sales
technologytools are needed and how they will be used.
A. Marketing executive's

8. B. Sales manager's
C. Purchasing manager's
D. Procurementmanager's
55) Many Internet sites,such as Autobytel.com and Edmunds.com,have extensive information aboutthe prices of
new and used vehicles that anyone can use for free. In light of the availability of this information,whatis the
responsibilityof consumers to use it?
A. Consumers can use it,but should notfeel a responsibilityto do so.
B. Consumers should notuse itbecause itgives them an unfair advantage over car dealers.
C. Consumers should nottrustany information they receive from any source except the government.
D. Consumers have a responsibilityto use the information and be smarter customers.
56) Which of the following statements aboutethical behavior in business is true?
A. The legal environmentsets the minimum standards ofethical behavior
B. The legal environmentsets the higheststandards ofethical behavior.
C. The legal environmentsets the normative standards ofethical behavior.
D. The legal environmentsets the maximum standards ofethical behavior.
57) The future poses manychallenges for marketingmanagers because:
A. It is marketing managers who have full responsibilityto preserve our macro-marketing system.
B. New technologies are making iteasier to abuse consumers'rights to privacy.
C. Social responsibilityapplies onlyto firms—notto consumers.
D. The marketing concepthas become obsolete.