OLS 274 EXAM 4 REVIEW QUESTIONS WITH
CORRECT ANSWERS
True or false: Promotion activities increase substantially when a product begins
to enter the decline stage. - ANSWER false
Genuine Products has been involved in intensive price competition with one of
its products. Profits are low and market researchers are concerned that losses
will soon occur due to a reduced market for the item. This product has reached
the ________ stage of the product life cycle.
-maturity
-introductory
-growth
-decline - ANSWER decline
Elizabeth and Tom have an in-ground swimming pool installed in their back yard.
About one week after installation, the salesperson telephones and asks if
everything about the pool has met with their approval. The salesperson is
________________.
-conducting a follow-up
-trying to get a repeat order
-prospecting
-overcoming objections - ANSWER conducting a follow-up
Wal-Mart's pricing objective is based primarily on ________ while a jewelry
store's pricing objective is based primarily on ________.
-profitability; prestige
-volume; prestige
-volume; profitability
-profitability; profitability - ANSWER volume; prestige
True or false: A consumer who is at the stage of brand insistence will go out of
their way to buy a product belonging to that brand, whether it be traveling to a
store farther away or making an online purchase. - ANSWER true
True or false: Many large retailers sell both a private brand and a manufacturer's
brand, which are produced by the same manufacturer. - ANSWER true
True or false: Personal selling is often used for technically complex products. -
ANSWER true
, Dell Computer is offering $100 cash back on the purchase of a computer. This is
an example of a(n) ________.
-rebate
-sample
-premium
-specialty advertising - ANSWER rebate
True or false: An outdoor store sells rafting and camping permits for a close-by
national park. The store is creating place utility. - ANSWER true
One of the most common forms of segmenting consumer markets uses
characteristics such as age, income, household size, and/or ethnic group. This
is known as ________ segmentation.
-geographic
-end-use
-demographic
-psychographic - ANSWER demographic
True or false: Physical distribution is a major focus for logistics management. -
ANSWER true
True or false: The Internet is considered an indirect method for connecting with
customers. - ANSWER false
A company includes an "instant coupon" as part of a product's package, giving
the buyer a reduction off the retail price. What is the company attempting to do?
-differentiate the product
-increase sales
-stabilize sales
-provide information - ANSWER increase sales
True or false: Gender is an example of a factor in demographic segmentation. -
ANSWER true
True or false: Many marketers pay placement fees to promote their products in
television shows or movies. - ANSWER true
_______ involves the use of innovative, low-cost marketing efforts to attract
customer attention.
-trade promotion
-institutional advertising
CORRECT ANSWERS
True or false: Promotion activities increase substantially when a product begins
to enter the decline stage. - ANSWER false
Genuine Products has been involved in intensive price competition with one of
its products. Profits are low and market researchers are concerned that losses
will soon occur due to a reduced market for the item. This product has reached
the ________ stage of the product life cycle.
-maturity
-introductory
-growth
-decline - ANSWER decline
Elizabeth and Tom have an in-ground swimming pool installed in their back yard.
About one week after installation, the salesperson telephones and asks if
everything about the pool has met with their approval. The salesperson is
________________.
-conducting a follow-up
-trying to get a repeat order
-prospecting
-overcoming objections - ANSWER conducting a follow-up
Wal-Mart's pricing objective is based primarily on ________ while a jewelry
store's pricing objective is based primarily on ________.
-profitability; prestige
-volume; prestige
-volume; profitability
-profitability; profitability - ANSWER volume; prestige
True or false: A consumer who is at the stage of brand insistence will go out of
their way to buy a product belonging to that brand, whether it be traveling to a
store farther away or making an online purchase. - ANSWER true
True or false: Many large retailers sell both a private brand and a manufacturer's
brand, which are produced by the same manufacturer. - ANSWER true
True or false: Personal selling is often used for technically complex products. -
ANSWER true
, Dell Computer is offering $100 cash back on the purchase of a computer. This is
an example of a(n) ________.
-rebate
-sample
-premium
-specialty advertising - ANSWER rebate
True or false: An outdoor store sells rafting and camping permits for a close-by
national park. The store is creating place utility. - ANSWER true
One of the most common forms of segmenting consumer markets uses
characteristics such as age, income, household size, and/or ethnic group. This
is known as ________ segmentation.
-geographic
-end-use
-demographic
-psychographic - ANSWER demographic
True or false: Physical distribution is a major focus for logistics management. -
ANSWER true
True or false: The Internet is considered an indirect method for connecting with
customers. - ANSWER false
A company includes an "instant coupon" as part of a product's package, giving
the buyer a reduction off the retail price. What is the company attempting to do?
-differentiate the product
-increase sales
-stabilize sales
-provide information - ANSWER increase sales
True or false: Gender is an example of a factor in demographic segmentation. -
ANSWER true
True or false: Many marketers pay placement fees to promote their products in
television shows or movies. - ANSWER true
_______ involves the use of innovative, low-cost marketing efforts to attract
customer attention.
-trade promotion
-institutional advertising
