Test Bank for Contemporary Marketing, 20th Edition by Louis E. Boone, David L. Kurtz
Chapter 1 - Marketing: The Art and Science of Satisfying Customers
True / False
1. Production and marketing of goods and services are two basic functions that create utility.
a. True
b. False
ANSWER: True
2. Form utility is created when the company converts raw materials and component parts into finished goods and services.
a. True
b. False
ANSWER: True
3. A popular coffee chain takes advantage of time and place utility by positioning its cafes in low-traffic locations such as
retail stores and airports across the country.
a. True
b. False
ANSWER: False
4. The transfer of title to goods or services at the time of purchase creates ownership utility.
a. True
b. False
ANSWER: True
5. Vending machines and convenience stores focus on providing place utility for people buying newspapers, snacks, and
soft drinks.
a. True
b. False
ANSWER: True
6. Designing and marketing want-satisfying goods, services, and ideas are the foundation for the creation of utility.
a. True
b. False
ANSWER: True
7. Marketing of a product begins after it hits the shelf.
a. True
b. False
ANSWER: False
Multiple Choice
8. Production orientation is a business philosophy that stresses on the importance of _________.
a. quantity of products
b. quality of products
c. production process
Page 1
,Name: Class: Date:
Chapter 1 - Marketing: The Art and Science of Satisfying Customers
d. output efficiency
ANSWER: b
9. In the sales era, firms primarily focused on:
a. determining consumer needs before producing products.
b. matching their output to the potential number of customers.
c. building long-term customer relationships through service and quality.
d. focusing on mass production and distribution excluding customer demand.
ANSWER: b
10. Buying and selling represent _________.
a. exchange functions
b. financing functions
c. administrative functions
d. executive functions
ANSWER: a
11. The marketing era is the successive historical outcome of the ________.
a. sales era
b. research era
c. production era
d. industrial era
ANSWER: a
12. The marketing era is defined by a shift in focus from products and sales to satisfying a__________.
a. producer’s needs
b. consumer’s needs
c. wholesaler’s needs
d. market needs
ANSWER: b
13. The emergence of the marketing concept has resulted in companies being better able to:
a. predict future market trends and reduce product development costs.
b. understand their customers' buying needs and tailor offerings accordingly.
c. increase production efficiency and reduce operational costs.
d. focus solely on product quality and minimize customer interaction.
ANSWER: b
14. The advent of a strong buyer’s market created the need for businesses to adopt:
a. product orientation, focusing on maximizing production efficiency.
b. consumer orientation, prioritizing customer needs and preferences.
c. sales orientation, aiming for higher volume sales regardless of customer preferences.
d. market orientation, focusing on targeting a wide audience with generic products.
ANSWER: b
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,Name: Class: Date:
Chapter 1 - Marketing: The Art and Science of Satisfying Customers
15. The marketing concept focuses on the objective of achieving:
a. long-run profits.
b. short-term success.
c. immediate market share.
d. aggressive sales tactics.
ANSWER: a
16. Based on Glen Inc.’s strategy of producing goods based on local customers’ experiences, needs, and preferences,
which of the following statements best describes their approach?
a. Glen Inc. uses a production-driven strategy, focusing on mass production of standard products.
b. Glen Inc. uses a market-driven strategy, creating products tailored to the needs and preferences of local
customers.
c. Glen Inc. uses a sales-driven strategy, relying on aggressive sales tactics to sell standardized products.
d. Glen Inc. uses a product-driven strategy, prioritizing innovation over customer needs and preferences.
ANSWER: b
17. In the history of marketing, the fourth era (relationship era) has given way to the fifth era, called the ________.
a. sales era
b. production era
c. research era
d. social era
ANSWER: d
18. Which of the following statements best describes a firm that has fully implemented the marketing concept?
a. The firm focuses on short-term sales goals, often at the expense of customer satisfaction.
b. The firm emphasizes company-wide production efficiency without considering customer needs.
c. The firm adopts a consumer orientation throughout the organization, aiming for long-term success.
d. The firm relies on aggressive sales tactics to drive immediate profits excluding customer loyalty.
ANSWER: c
19. Which of the following statements best describes a firm with a sales orientation?
a. The firm believes that consumers will only purchase essential goods.
b. The firm believes consumers will resist purchasing nonessential goods and services.
c. The firm prioritizes long-term customer satisfaction and builds relationships with consumers.
d. The firm focuses on producing high-quality products and assumes that demand will naturally follow.
ANSWER: b
20. Which of the following type of marketing is used by celebrities?
a. Event marketing
b. Sales marketing
c. Person marketing
d. Time marketing
ANSWER: c
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, Name: Class: Date:
Chapter 1 - Marketing: The Art and Science of Satisfying Customers
21. Promotional events designed to attract visitors to a particular area or to improve the image of a city, state, or nation
would be examples of _______.
a. cause marketing
b. event marketing
c. organization marketing
d. place marketing
ANSWER: d
22. How can a company’s involvement in social issues influence its marketing strategy and brand perception?
a. By solely focusing on the social issue, companies may alienate potential customers who have different values
or interests.
b. Cause marketing helps companies generate higher immediate sales by promoting social causes that align with
consumers' personal beliefs.
c. Cause marketing strengthens brand perception and loyalty by associating a brand with a cause that resonates
with target audiences.
d. d. Cause marketing leads to negative outcomes as it diverts the company’s resources from product
development and production.
ANSWER: c
23. A theater group promoting a performance to raise funds in the fight against cancer is an example of both cause
marketing and __________.
a. event marketing
b. person marketing
c. place marketing
d. time marketing
ANSWER: a
24. Marketing of sporting, cultural, and recreational activities to selected target markets is known as________.
a. culture marketing
b. event marketing
c. target marketing
d. sport marketing
ANSWER: b
25. Virtually all colleges and universities have alumni associations that publish magazines, hold reunions, and try to raise
funds. These activities constitute___________.
a. organization marketing
b. academic marketing
c. cause marketing
d. place marketing
ANSWER: a
26. The traditional view of marketing can be described as:
a. relationship-based marketing.
b. customer-oriented marketing.
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Chapter 1 - Marketing: The Art and Science of Satisfying Customers
True / False
1. Production and marketing of goods and services are two basic functions that create utility.
a. True
b. False
ANSWER: True
2. Form utility is created when the company converts raw materials and component parts into finished goods and services.
a. True
b. False
ANSWER: True
3. A popular coffee chain takes advantage of time and place utility by positioning its cafes in low-traffic locations such as
retail stores and airports across the country.
a. True
b. False
ANSWER: False
4. The transfer of title to goods or services at the time of purchase creates ownership utility.
a. True
b. False
ANSWER: True
5. Vending machines and convenience stores focus on providing place utility for people buying newspapers, snacks, and
soft drinks.
a. True
b. False
ANSWER: True
6. Designing and marketing want-satisfying goods, services, and ideas are the foundation for the creation of utility.
a. True
b. False
ANSWER: True
7. Marketing of a product begins after it hits the shelf.
a. True
b. False
ANSWER: False
Multiple Choice
8. Production orientation is a business philosophy that stresses on the importance of _________.
a. quantity of products
b. quality of products
c. production process
Page 1
,Name: Class: Date:
Chapter 1 - Marketing: The Art and Science of Satisfying Customers
d. output efficiency
ANSWER: b
9. In the sales era, firms primarily focused on:
a. determining consumer needs before producing products.
b. matching their output to the potential number of customers.
c. building long-term customer relationships through service and quality.
d. focusing on mass production and distribution excluding customer demand.
ANSWER: b
10. Buying and selling represent _________.
a. exchange functions
b. financing functions
c. administrative functions
d. executive functions
ANSWER: a
11. The marketing era is the successive historical outcome of the ________.
a. sales era
b. research era
c. production era
d. industrial era
ANSWER: a
12. The marketing era is defined by a shift in focus from products and sales to satisfying a__________.
a. producer’s needs
b. consumer’s needs
c. wholesaler’s needs
d. market needs
ANSWER: b
13. The emergence of the marketing concept has resulted in companies being better able to:
a. predict future market trends and reduce product development costs.
b. understand their customers' buying needs and tailor offerings accordingly.
c. increase production efficiency and reduce operational costs.
d. focus solely on product quality and minimize customer interaction.
ANSWER: b
14. The advent of a strong buyer’s market created the need for businesses to adopt:
a. product orientation, focusing on maximizing production efficiency.
b. consumer orientation, prioritizing customer needs and preferences.
c. sales orientation, aiming for higher volume sales regardless of customer preferences.
d. market orientation, focusing on targeting a wide audience with generic products.
ANSWER: b
Page 2
,Name: Class: Date:
Chapter 1 - Marketing: The Art and Science of Satisfying Customers
15. The marketing concept focuses on the objective of achieving:
a. long-run profits.
b. short-term success.
c. immediate market share.
d. aggressive sales tactics.
ANSWER: a
16. Based on Glen Inc.’s strategy of producing goods based on local customers’ experiences, needs, and preferences,
which of the following statements best describes their approach?
a. Glen Inc. uses a production-driven strategy, focusing on mass production of standard products.
b. Glen Inc. uses a market-driven strategy, creating products tailored to the needs and preferences of local
customers.
c. Glen Inc. uses a sales-driven strategy, relying on aggressive sales tactics to sell standardized products.
d. Glen Inc. uses a product-driven strategy, prioritizing innovation over customer needs and preferences.
ANSWER: b
17. In the history of marketing, the fourth era (relationship era) has given way to the fifth era, called the ________.
a. sales era
b. production era
c. research era
d. social era
ANSWER: d
18. Which of the following statements best describes a firm that has fully implemented the marketing concept?
a. The firm focuses on short-term sales goals, often at the expense of customer satisfaction.
b. The firm emphasizes company-wide production efficiency without considering customer needs.
c. The firm adopts a consumer orientation throughout the organization, aiming for long-term success.
d. The firm relies on aggressive sales tactics to drive immediate profits excluding customer loyalty.
ANSWER: c
19. Which of the following statements best describes a firm with a sales orientation?
a. The firm believes that consumers will only purchase essential goods.
b. The firm believes consumers will resist purchasing nonessential goods and services.
c. The firm prioritizes long-term customer satisfaction and builds relationships with consumers.
d. The firm focuses on producing high-quality products and assumes that demand will naturally follow.
ANSWER: b
20. Which of the following type of marketing is used by celebrities?
a. Event marketing
b. Sales marketing
c. Person marketing
d. Time marketing
ANSWER: c
Page 3
, Name: Class: Date:
Chapter 1 - Marketing: The Art and Science of Satisfying Customers
21. Promotional events designed to attract visitors to a particular area or to improve the image of a city, state, or nation
would be examples of _______.
a. cause marketing
b. event marketing
c. organization marketing
d. place marketing
ANSWER: d
22. How can a company’s involvement in social issues influence its marketing strategy and brand perception?
a. By solely focusing on the social issue, companies may alienate potential customers who have different values
or interests.
b. Cause marketing helps companies generate higher immediate sales by promoting social causes that align with
consumers' personal beliefs.
c. Cause marketing strengthens brand perception and loyalty by associating a brand with a cause that resonates
with target audiences.
d. d. Cause marketing leads to negative outcomes as it diverts the company’s resources from product
development and production.
ANSWER: c
23. A theater group promoting a performance to raise funds in the fight against cancer is an example of both cause
marketing and __________.
a. event marketing
b. person marketing
c. place marketing
d. time marketing
ANSWER: a
24. Marketing of sporting, cultural, and recreational activities to selected target markets is known as________.
a. culture marketing
b. event marketing
c. target marketing
d. sport marketing
ANSWER: b
25. Virtually all colleges and universities have alumni associations that publish magazines, hold reunions, and try to raise
funds. These activities constitute___________.
a. organization marketing
b. academic marketing
c. cause marketing
d. place marketing
ANSWER: a
26. The traditional view of marketing can be described as:
a. relationship-based marketing.
b. customer-oriented marketing.
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