MGT 103 QUIZ 1 QUESTIONS WITH CORRECT ANSWERS LATEST UPDATE 2026
marketing - Answers the activity, set of institutions, and processes for creating, communicating,
delivering, and exchanging offerings that have value for customers, clients, partners, and society at
large
a solution to a problem - Answers what makes a good product?
product, price, promotion, place - Answers What are the 4 P's of marketing?
value proposition - Answers benefits that an organization promises to the customer
build product that customer values - Answers what is the goal of fulfilling consumer needs and
wants?
organization - Answers legal entity that consists of people who share a common mission
for profit organization - Answers a business firm (Nike, Facebook, Toyota)
non profit organization - Answers non-governmental organization that does not have profit as its
main goal (Boys and Girls Club, American Heart Association, Khan Academy)
government agency - Answers provides a specific service to its constituents (Census Bureau)
corporate level - Answers top management directs overall strategy for the entire organization
(boards, senior mgt)
strategic business unit (SBU) - Answers subsidiary of an organization that targets a specific market
functional level - Answers more specific group of specialists that serve certain functions (e.g. finance
department, marketing department)
strategic planning - Answers ongoing process of making decisions that guide the firm; helping
managers make informed decisions
core values - Answers fundamental, passionate and enduring principles that guide the conduct of an
organization
organizational culture - Answers set of values, ideas, attitudes and norms of behavior that is learned
and shared among members of the organization
specific, measurable, attainable, relevant, time-bound - Answers S.M.A.R.T. objectives
environmental scan - Answers process of continually acquiring information on events occurring
outside the organization; this is done to identify and interpret potential trends that might impact the
business
consumer behavior - Answers the actions a person takes in purchasing and using products and
services, including the mental and social processes that come before and after these actions
problem recognition > information search > evaluation of alternatives > purchase > post purchase
evaluation - Answers what is the consumer buying decision process?
extended decisions - Answers decisions that are expensive; choosing a University
habitual decisions - Answers decisions that are made easily daily
limited decisions - Answers decisions that are between extended and habitual; buying new shoes
problem recognition - Answers 1st stage if decision making; a consumer sees a difference between
their current state and ideal state
information search - Answers 2nd stage of decision making; consumers need adequate information
to make a decision
evaluation of alternatives - Answers 3rd stage of decision making
evoked set of alternatives - Answers alternatives a consumer knows about
consideration set - Answers alternatives that are considered acceptable for further consideration in
decision making
inept set - Answers alternatives that are unacceptable when making a decision
sunk costs - Answers costs that are made in the past and cannot be recovered
endowment effect - Answers when ownership increases the value of an item; taking a care for a test
drive
compromise effect - Answers a consumer is more likely to choose the middle option of a selection set
rather than the extreme options
decoy effect - Answers Preferences for either option A or B change in favor of option B when option C
is presented, which is similar to option B but in no way better.
price lining - Answers using the compromise effect to an extreme; Apple offers a range of iPhones in a
variety of price ranges with each differing only by presence of few additional features
post-purchase evaluation - Answers last stage in decision making; consumer
satisfaction/dissatisfaction after purchase of product
marketing - Answers the activity, set of institutions, and processes for creating, communicating,
delivering, and exchanging offerings that have value for customers, clients, partners, and society at
large
a solution to a problem - Answers what makes a good product?
product, price, promotion, place - Answers What are the 4 P's of marketing?
value proposition - Answers benefits that an organization promises to the customer
build product that customer values - Answers what is the goal of fulfilling consumer needs and
wants?
organization - Answers legal entity that consists of people who share a common mission
for profit organization - Answers a business firm (Nike, Facebook, Toyota)
non profit organization - Answers non-governmental organization that does not have profit as its
main goal (Boys and Girls Club, American Heart Association, Khan Academy)
government agency - Answers provides a specific service to its constituents (Census Bureau)
corporate level - Answers top management directs overall strategy for the entire organization
(boards, senior mgt)
strategic business unit (SBU) - Answers subsidiary of an organization that targets a specific market
functional level - Answers more specific group of specialists that serve certain functions (e.g. finance
department, marketing department)
strategic planning - Answers ongoing process of making decisions that guide the firm; helping
managers make informed decisions
core values - Answers fundamental, passionate and enduring principles that guide the conduct of an
organization
organizational culture - Answers set of values, ideas, attitudes and norms of behavior that is learned
and shared among members of the organization
specific, measurable, attainable, relevant, time-bound - Answers S.M.A.R.T. objectives
environmental scan - Answers process of continually acquiring information on events occurring
outside the organization; this is done to identify and interpret potential trends that might impact the
business
consumer behavior - Answers the actions a person takes in purchasing and using products and
services, including the mental and social processes that come before and after these actions
problem recognition > information search > evaluation of alternatives > purchase > post purchase
evaluation - Answers what is the consumer buying decision process?
extended decisions - Answers decisions that are expensive; choosing a University
habitual decisions - Answers decisions that are made easily daily
limited decisions - Answers decisions that are between extended and habitual; buying new shoes
problem recognition - Answers 1st stage if decision making; a consumer sees a difference between
their current state and ideal state
information search - Answers 2nd stage of decision making; consumers need adequate information
to make a decision
evaluation of alternatives - Answers 3rd stage of decision making
evoked set of alternatives - Answers alternatives a consumer knows about
consideration set - Answers alternatives that are considered acceptable for further consideration in
decision making
inept set - Answers alternatives that are unacceptable when making a decision
sunk costs - Answers costs that are made in the past and cannot be recovered
endowment effect - Answers when ownership increases the value of an item; taking a care for a test
drive
compromise effect - Answers a consumer is more likely to choose the middle option of a selection set
rather than the extreme options
decoy effect - Answers Preferences for either option A or B change in favor of option B when option C
is presented, which is similar to option B but in no way better.
price lining - Answers using the compromise effect to an extreme; Apple offers a range of iPhones in a
variety of price ranges with each differing only by presence of few additional features
post-purchase evaluation - Answers last stage in decision making; consumer
satisfaction/dissatisfaction after purchase of product
