Which marketing function involves communicating directly with potential customers to determine their needs?

Which marketing function involves communicating directly with potential customers to determine their needs?

a. product and service management
b. pricing
c. selling
d. financial analysis


Answer: c

Which of the following is a direct channel of distribution?

Which of the following is a direct channel of distribution?

a. Wally builds ten birdhouses and sells them to Taylor at a flea market. Taylor then sells the birdhouses to her neighbors at a yard sale the following weekend.
b. Custom Clothiers produces men's suits, which are sold to customers at department stores all around the country
c. Farmer Jame grows tomatoes and sells them to customers at a roadside stand next to her farm
d. Smoothy Silt ice cream is manufactured at its Minnesota factory and shipped to a grocery store in your town, where you buy two gallons


Answer: c

This type of marketing research study gathers information from people using a carefully planned set of questions

This type of marketing research study gathers information from people using a carefully planned set of questions

a. secondary research
b. experiment
c. observation
d. survey


Answer: d

Services are intangible. This means that

Services are intangible. This means that

a. they have no physical form
b. their availability must match their demand at a specific time
c. there will be differences in the type and quality of service provided
d. they cost more than products


Answer: a

Which of the following is a function of promotion?

Which of the following is a function of promotion?

a. advertising
b. budgeting for marketing activities
c. improving products
d. market research


Answer: a

Contest, games, and product giveaways are all examples

Contest, games, and product giveaways are all examples

a. public relations
b. publicity
c. sales promotion
d. personalized promotion


Answer: c

After new product ideas have been generated, companies will most likely

After new product ideas have been generated, companies will most likely

a. develop full marketing strategies for each of them
b. evaluate the ideas to determine which have the best chance to be successful
c. produce a limited quantity of each product and test them to see which are the most popular
d. determine a production procedures for the products


Answer: b

Gross margin is

Gross margin is

a. the difference between the selling price and the product costs
b. the amount of money available to the business after all costs and expenses have been paid
c. a reduction from the original selling price
d. all expenses of operating a business that are associated with a product


Answer: a

In a communication path, the person or organization that has information to communicate to another person or organization is called the:

In a communication path, the person or organization that has information to communicate to another person or organization is called the:

a. decoder
b. sender
c. receiver
d. channeler


Answer: b

Which of the following scenarios will most likely result in comparatively low prices?

Which of the following scenarios will most likely result in comparatively low prices?

a. a product has few close competitors because it is unique
b. a product is highly complex and technical
c. products are sold at a large warehouse store offering little personal service located on the outskirts of town
d. supply of a product is low and demand is high


Answer: c

Product costs + operating costs + profit =

Product costs + operating costs + profit = 

a. selling price
b. markup
c. gross cost
d. markdown


Answer: a

Additions and improvements to a basic product are called

Additions and improvements to a basic product are called

a. warranties
b. guarantees
c. product features
d. brand names


Answer: c

Which of the following would NOT generally be considered one of the marketing functions?

Which of the following would NOT generally be considered one of the marketing functions?

a. repairing
b. promotion
c. selling
d. pricing


Answer: a

Businesses that take part in a channel of distribution are known as

Businesses that take part in a channel of distribution are known as

a. retailers
b. channel members
c. consumers
d. distributors


Answer: b

A key difference between advertising and publicity is that

A key difference between advertising and publicity is that

a. advertising is paid communication and publicity is non-paid
b. advertising is presented through the media and publicity is not
c. advertising is personalized promotion and publicity is mass promotion
d. advertising is always positive and publicity is always negative


Answer: a

Personal selling is usually done

Personal selling is usually done

a. by telephone
b. on the Internet
c. face to face with each customer
d. via advertising


Answer: c

To plan effective promotion, marketers must first

To plan effective promotion, marketers must first

a. understand the communication process
b. know what their message is
c. have plenty of face-to-face meetings with customers in the target market
d. make plenty of room in the budget for advertising


Answer: a

The most known and used type of mass promotion is

The most known and used type of mass promotion is

a. door-to-door selling
b. personal selling
c. advertising
d. publicity


Answer: c

What are the four elements of a marketing mix:

What are the four elements of a marketing mix:

a. product, distribution, price and promotion
b. cost, location, time and advertising
c. demographics, income, supply and demand
d. consumers, manufacturers, retailers and distributors


Answer: a

The first step in the consumer decision-making process is to:

The first step in the consumer decision-making process is to:

a. gather information
b. recognize a need
c. make a purchase decision
d. select and evaluate alternatives


Answer: b