AFM 131 MIDTERM EXAM QUESTIONS AND ANSWERS
WITH COMPLETE SOLUTIONS GRADED A++ LATEST
UPDATE
Podcasting
Distributing videos and audio over internet that lets users subscribe to a file and then
hear/view material when they wat
Supply Chain
Sequence of firms that perform activities required to create and deliver a
product/service to consumers or industrial users
- starts from suppliers who provide raw materials, so longer than channels of distribution
that start from manufacturers
Supply chain management
integration/organization of info/logistics across firms in a supply chain to provide
goods/services that provide value to consumers
Logistics
Activities focusing on getting right amount of products/services at the right place at the
right time
Purchasing
Functional area of a business responsible for finding quality resources, best suppliers,
negotiating deals
Materials requirement planning
computer-based product management system where sales forecasts are used to makes
sure right materials are available at right place at right time
Enterprise resources planning
computer app allowing multiple firms to manage all of their operations (finance,HR,
orders etc) on a single, integrated database
Production management
Activities managers do to help firms create goods
-- getting as much output as possible out of inputs
Operations management
Specialized area in management concerned with turning resources (including HR) into
goods and services
-- administration, optimizing processes, cutting down resources used
ISO 9000
quality management and assurance standards
ISO 14000
collection of best practices for managing an organization's impact on the environment
Deming cycle (Total Quality Management TQM)
Plan: look for ways to reduce error in prorcess
Do: do small scale tests
Check: evaluate results from small-scale tests
Act: adjust or make it large scale
Buzz marketing
, Popularity created by consumer word of mouth
-- often uncontrollable
Viral marketing
Online version of word of mouth
Publicity
Info about an individual, product, service that is spread by the media and is not paid for
by the seller
Public relations
Management function that evaluates public attitudes, changes policies in accordance to
public's requests and acts to earn public understanding and acceptance
Advertising
Paid, non-personal communication through various medias by organizations and
individuals identified in the message
Integrated Marketing Communication (IMC)
Combining all promotional tools to produce one unified promotional strategy
Promotion mix
Direct selling, advertising, Sales promotion, Public relations, personal selling
Direct selling
Selling to customers at their homes or in workplace
Personal selling
face-to-face presentation and selling of goods/services
Retailer
Sells to ultimate consumers
Wholesaler
Marketing intermediary selling to other organization
Agents/brokers
Marketing intermediary, brings buyers and sellers together to help negotiate, but never
takes ownership of goods
Channels of distribution
set of marketing intermediaries that join together to transport goods in their path from
producers to consumers
Direct channels of distribution
Manufacturers sell directly to consumers
Indirect channels of distribution
Use intermediaries to sell to consumers
Marketing intermediaries
Organizations that assist in moving goods/services from producers to consumers
Break-even analysis
Used to determine profitability at different levels of sales
Break-even point =
(Total Fixed Cost/(Price of one unit - Variable cost of one unit) = number of stuff that
needs to be sold for revenue= cost
Fixed cost
Same no matter how much product is produced (ex: rent, utilities)
Variable costs
Changes according to production levels (ex: labor, materials used)
WITH COMPLETE SOLUTIONS GRADED A++ LATEST
UPDATE
Podcasting
Distributing videos and audio over internet that lets users subscribe to a file and then
hear/view material when they wat
Supply Chain
Sequence of firms that perform activities required to create and deliver a
product/service to consumers or industrial users
- starts from suppliers who provide raw materials, so longer than channels of distribution
that start from manufacturers
Supply chain management
integration/organization of info/logistics across firms in a supply chain to provide
goods/services that provide value to consumers
Logistics
Activities focusing on getting right amount of products/services at the right place at the
right time
Purchasing
Functional area of a business responsible for finding quality resources, best suppliers,
negotiating deals
Materials requirement planning
computer-based product management system where sales forecasts are used to makes
sure right materials are available at right place at right time
Enterprise resources planning
computer app allowing multiple firms to manage all of their operations (finance,HR,
orders etc) on a single, integrated database
Production management
Activities managers do to help firms create goods
-- getting as much output as possible out of inputs
Operations management
Specialized area in management concerned with turning resources (including HR) into
goods and services
-- administration, optimizing processes, cutting down resources used
ISO 9000
quality management and assurance standards
ISO 14000
collection of best practices for managing an organization's impact on the environment
Deming cycle (Total Quality Management TQM)
Plan: look for ways to reduce error in prorcess
Do: do small scale tests
Check: evaluate results from small-scale tests
Act: adjust or make it large scale
Buzz marketing
, Popularity created by consumer word of mouth
-- often uncontrollable
Viral marketing
Online version of word of mouth
Publicity
Info about an individual, product, service that is spread by the media and is not paid for
by the seller
Public relations
Management function that evaluates public attitudes, changes policies in accordance to
public's requests and acts to earn public understanding and acceptance
Advertising
Paid, non-personal communication through various medias by organizations and
individuals identified in the message
Integrated Marketing Communication (IMC)
Combining all promotional tools to produce one unified promotional strategy
Promotion mix
Direct selling, advertising, Sales promotion, Public relations, personal selling
Direct selling
Selling to customers at their homes or in workplace
Personal selling
face-to-face presentation and selling of goods/services
Retailer
Sells to ultimate consumers
Wholesaler
Marketing intermediary selling to other organization
Agents/brokers
Marketing intermediary, brings buyers and sellers together to help negotiate, but never
takes ownership of goods
Channels of distribution
set of marketing intermediaries that join together to transport goods in their path from
producers to consumers
Direct channels of distribution
Manufacturers sell directly to consumers
Indirect channels of distribution
Use intermediaries to sell to consumers
Marketing intermediaries
Organizations that assist in moving goods/services from producers to consumers
Break-even analysis
Used to determine profitability at different levels of sales
Break-even point =
(Total Fixed Cost/(Price of one unit - Variable cost of one unit) = number of stuff that
needs to be sold for revenue= cost
Fixed cost
Same no matter how much product is produced (ex: rent, utilities)
Variable costs
Changes according to production levels (ex: labor, materials used)
