MKTG 2080: EXAM 5 QUESTIONS AND
ACCURATE ANSWERS A+ RATED
Which of the following is the first step in the price-setting process? - ANSWER Define the
pricing objectives
Carla, the marketing manager at Regal Inc., is in the process of setting prices. She has finished
analyzing the competitive price environment. According to the price-setting process, what
should be Carla's immediate next step? - ANSWER Choose a price
The prices that consumers consider reasonable and fair for a product are termed - ANSWER
reference prices
Isabella's landlord has included a clause in the rental contract that makes it possible for him
to increase Isabella's monthly rent if taxes on the property go up. Which clause was included
in the contract? - ANSWER Escalator clause
Frozen Yummy is an ice-cream manufacturer. Its marketing strategy from the month of
November to February is "buy one get one free." Which of the following best describes the
strategy applied by Frozen Yummy? - ANSWER Seasonal discounts
The marketers of Santé, a health drink, have decided to sell a combination package of three
flavors—vanilla, chocolate, and strawberry. This package is priced marginally higher than the
individual flavors. Given this information, we can come to the conclusion that the marketers
, of Santé have applied the _____ strategy. - ANSWER Price bundling
Which of the following is true of gray markets? - ANSWER Gray market goods can be a boon
for consumers
High Tea, a retail store, claims to sell a pack of 20 tea bags at a discounted rate of $20 from
an advertised original price of $40. The original price was verified by regulators to be $25. The
pricing strategy applied by High Tea is an example of - ANSWER Deceptive pricing
Pricing is one of the most important strategic decisions a firm faces because it reflects the
value the product delivers to consumers - ANSWER As well as the value it captures for the
firm
At which point in the price-setting process does a firm decide whether it might engage in
profit skimming? - ANSWER Define the pricing objectives
Which of the following is a product with elastic demand? - ANSWER Airline Tickets
All of the following are examples of common fixed costs except - ANSWER Sales commissions
Once marketers have completed their analysis of demand, costs, and the competitive
environment, they can use a number of different tactics to choose a final price. Which tactic
to use depends on the value customers perceive the product to have, their ability to pay for it,
and how they intend to use the product. (T/F) - ANSWER True
ACCURATE ANSWERS A+ RATED
Which of the following is the first step in the price-setting process? - ANSWER Define the
pricing objectives
Carla, the marketing manager at Regal Inc., is in the process of setting prices. She has finished
analyzing the competitive price environment. According to the price-setting process, what
should be Carla's immediate next step? - ANSWER Choose a price
The prices that consumers consider reasonable and fair for a product are termed - ANSWER
reference prices
Isabella's landlord has included a clause in the rental contract that makes it possible for him
to increase Isabella's monthly rent if taxes on the property go up. Which clause was included
in the contract? - ANSWER Escalator clause
Frozen Yummy is an ice-cream manufacturer. Its marketing strategy from the month of
November to February is "buy one get one free." Which of the following best describes the
strategy applied by Frozen Yummy? - ANSWER Seasonal discounts
The marketers of Santé, a health drink, have decided to sell a combination package of three
flavors—vanilla, chocolate, and strawberry. This package is priced marginally higher than the
individual flavors. Given this information, we can come to the conclusion that the marketers
, of Santé have applied the _____ strategy. - ANSWER Price bundling
Which of the following is true of gray markets? - ANSWER Gray market goods can be a boon
for consumers
High Tea, a retail store, claims to sell a pack of 20 tea bags at a discounted rate of $20 from
an advertised original price of $40. The original price was verified by regulators to be $25. The
pricing strategy applied by High Tea is an example of - ANSWER Deceptive pricing
Pricing is one of the most important strategic decisions a firm faces because it reflects the
value the product delivers to consumers - ANSWER As well as the value it captures for the
firm
At which point in the price-setting process does a firm decide whether it might engage in
profit skimming? - ANSWER Define the pricing objectives
Which of the following is a product with elastic demand? - ANSWER Airline Tickets
All of the following are examples of common fixed costs except - ANSWER Sales commissions
Once marketers have completed their analysis of demand, costs, and the competitive
environment, they can use a number of different tactics to choose a final price. Which tactic
to use depends on the value customers perceive the product to have, their ability to pay for it,
and how they intend to use the product. (T/F) - ANSWER True
