Question No: 1 ( Marks: 1 ) - Please choose one
Which of the following is the first step in writing a marketing plan?
► Situation analysis
► Opportunity and threat analysis
► Executive summary
► Market analysis
2. Executive Summary
The Plan should open with a brief summary of the plans most important
Goals and Recommendations. The summary can be expressed like in a
brief statement, “increase sales by 10% this year” or “reduce expenses by
5 %” or say “will enter UK
Question No: 2 ( Marks: 1 ) - Please choose one
A market leader firm can expand the total market through:
► Decreasing distribution of the product
► Introducing the new usage of the product
► Eliminating some features of product
► Increasing cost
Question No: 3 ( Marks: 1 ) - Please choose one
Process engineering skills are required for the successful implementation of
which of the following strategy?
► Market segmentation strategy
► Market dominance strategy
► Differentiation strategy
► Cost leadership strategy
COST LEADERSHIP STRATEGY
Tthe strategy can easily be mimicked by competitors. Successful
implementation also benefits from:
• process engineering skills
Question No: 4 ( Marks: 1 ) - Please choose one
Any tangible thing that can be offered to a market for attention, acquisition, use,
or consumption that might satisfy a want or need is called:
► Service
► Product
► Demand
► Idea
Question No: 5 ( Marks: 1 ) - Please choose one
Luxury products, such as Rolex watches, are also known as:
► Shopping product
► Convenience product
► Emergency product
► Specialty product
Marketers of specialty products like Waterford
and Rolex watches
Question No: 6 ( Marks: 1 ) - Please choose one
Aggressive pricing is associated with which of the following stage of product life
cycle?
► Introduction
► Growth
► Maturity
► Decline
The introduction stage of theproduct life cycle occurs when a product is
first introduced to ..... and more aggressive pricing, profit usually peaks
during the growth stage.
Question No: 7 ( Marks: 1 ) - Please choose one
All of the following are the sources of idea for new product development
EXCEPT:
► Government agencies
► Competitors
► Suppliers
► Customers
Sources for new product ideas include
internal sources, customers, competitor's products, distributors & suppliers,
Question No: 8 ( Marks: 1 ) - Please choose one
Which of the following is NOT a decision required in commercialization?
► Why to launch the product?
► How to launch the product?
► Where to launch the product?
► When to launch the product?
The decisions required are:
• WHEN TO LAUNCH THE PRODUCT?
• WHERE TO LANCH THE PRODUCT?
• TO WHOM TO LAUNCH THE PRODUCT?
• HOW TO LAUNCH THE PRODUCT?
Question No: 9 ( Marks: 1 ) - Please choose one
Which of the following are the people who purchase new products almost as
soon as the products reach the market?
► Innovators
► Late majority
► Early majority
► Late adopters
Question No: 10 ( Marks: 1 ) - Please choose one
Which of the following is the spread of idea from the source of invention to the
ultimate user or consumers?
► Innovation adoption process
► Innovation diffusion process
► Adoption process
► New product recognition
DIFFUSION PROCESS has been defined as
“The spread of idea from the source of invention or creation to the ultimate
user or consumers
Question No: 11 ( Marks: 1 ) - Please choose one
Which of the following is essential requirement for medicines and drugs?
► Secondary packaging
► Primary labeling
► Decorative packaging
► Mandatory labeling
With regard to food and drugs, mandatory labeling has been a major
battleground between consumer advocates and corporations since the late
19th century.
Question No: 12 ( Marks: 1 ) - Please choose one
Which of the following is less likely to damage reputations of a brand if a new
product fails?
► Brand extension branding
► Individual branding
► Overall family branding
► Line family branding
Brand extension
The existing strong brand name can be used as a vehicle for new or
modified products;
MIDTERM EXAMINATION
MKT501- Marketing Management
Fall 2009 2010 & 2011
All papers solved in one mega file
By Admin Binish Awais
www.vuaskari.com
Question No: 13 ( Marks: 1 ) - Please choose one
Which of the following brands cost more than other products in the category?
► Premium brand
► Economy brand
► Fighting brand
► Corporate brand
A Premium Brand typically costs more than other products in the categor
Question No: 14 ( Marks: 1 ) - Please choose one
Using one brand name for several related products is known as which of the
following?
► Family branding
► Group branding
► Combination branding
► Premium branding
When one brand name is used for several related products, this is referred
to as Family branding.
Question No: 15 ( Marks: 1 ) - Please choose one
Gift baskets are the example of which one of the following types of packaging?
► Decorative
► Secondary
► Shipping
► Primary
Question No: 16 ( Marks: 1 ) - Please choose one
Which of the following is the packaging objective, in which small products are
grouped together in one package for the reasons of efficiency?
► Information transmission
► Agglomeration
► Physical protection
► Theft reducing
•Agglomeration - Small objects are typically grouped together in one
package for reasons of efficiency. For example, a single box of 1000
pencils requires less physical handling than 1000 single pencils.
Alternatively, bulk commodities (such as salt) can be divided into packages
that are a more suitable size for individual households.
Question No: 17 ( Marks: 1 ) - Please choose one
Which of the following is a brand created and owned by a larg retailer of a
product after purchasing in large quantity from manufacturer?
► Co-brand
► Private brand
► Manufacturer's brand
► Licensed brand
When large Retailers buy products in bulk from manufacturers and put
their own brand name on them, this
is called Private Branding, store brand, or private label.
Question No: 18 ( Marks: 1 ) - Please choose one
Which of the following is also known as functional branding?
► Economy branding
► Co-branding
► Family branding
► Individual branding
Question No: 19 ( Marks: 1 ) - Please choose one
Tarang milk is an example of which of the following?
► Corporate brand
► Co-brand
► Individual brand
► Family brand
When a company's name is used as a product brand name, this is referred
to as Corporate brandin
Question No: 20 ( Marks: 1 ) - Please choose one
Which of the following price is very close to the maximum that customers are
happily and readily willing to pay?
► Premium
► Cooperative
► Effective
► Efficient
An efficient price is a price that is very close to the maximum that
customers are prepared to pay.
Question No: 21 ( Marks: 1 ) - Please choose one
Geographic pricing is also known as:
► Skimming pricing
► Zone pricing
► Psychological pricing
► Penetration pricing
A type of geographical pricing called "zone pricing"
Question No: 22 ( Marks: 1 ) - Please choose one
Which of the following is a pricing technique used by retailers?
► Cost–push pricing
► Cost-plus pricing
► Demand- push pricing
► Demand- pull pricing
The pricing technique used by most retailers is cost-plus pricin
Question No: 23 ( Marks: 1 ) - Please choose one
Which of the following method is mostly used in the retailing?
► Courier service
► Online shops
► Self-service
► Counter-service
The second, and now more widely used method of retail, is self-service.
Question No: 24 ( Marks: 1 ) - Please choose one
Market price is also known as:
► Effective price
► List price
► Retail price
► Wholesaler price
The market price (also called effective price) is the amount actually paid.
Question No: 25 ( Marks: 1 ) - Please choose one
A company wants prompt payment from the customers. What type of discount
will be suitable for the company?
► Seasonal discount
► Trade discount
► Quantity discount
► Cash discount
1) Cash discounts for prompt payment - These are intended to speed
payment and thereby provide
liquidity to the firm. They are sometimes used as a promotional device.
Question No: 26 ( Marks: 1 ) - Please choose one
A seller wants payment from buyer within 10 days of sales (whereas customer
can made payment within 30 days) and offers 4% discount if payment is made
within 10 days. What type of cash discount will be suitable?
► 4/10 net 30
► 10/4 net 30
► 10/30 net 4
► 4/30 net 10
Question No: 27 ( Marks: 1 ) - Please choose one
Which of the following markets involve decisions such as: what country to enter
in, how to enter, how to adopt their product and services and how to price?
► Consumer markets
► Business markets
► Global markets
► Non profit markets
GLOBAL MARKETS
This is when we talk beyond frontiers; marketers are faced with tougher
decisions for global markets. Export of product is in itself a major
undertaking. Which country to enter? How to enter? How to Price? How to
communicate? are just a few important and underlying decisions. Legal
system, styles of negotiation; currency situation, political situation etc a
few others to be considered by the marketer.
Question No: 28 ( Marks: 1 ) - Please choose one
Which one of the following 4Ps of marketing mix involves in decisions regarding
list prices, discounts, allowances and payment periods or credit terms?
► Product
► Price
► Place
► Promotion
Question No: 29 ( Marks: 1 ) - Please choose one
The Cargo business covers which of the following decisions under the marketing
mix strategy?
► Product
► Price
► Placement
► Promotional
Question No: 30 ( Marks: 1 ) - Please choose one
Customer cost will be considered as which of the following Ps of marketing mix?
► Product
► Price
► Place
► Promotion
Question No: 31 ( Marks: 1 ) - Please choose one
Which of the following elements of marketing mix directly affects the value of
sales?
► Price
► Place
► Promotion
► Product
Question No: 32 ( Marks: 1 ) - Please choose one
The basic human requirement defines which of the following?
► Need
► Demand
► Want
► Satisfaction
NEED
Needs can be described as human requirements. Need is there and its
natural. We need food to satisfy our hunger, water to quench out thirst. Of
course need can be more than just food, water and shelter. We need
recreation, education, entertainment and lots of other things to sustain our
livin
Question No: 33 ( Marks: 1 ) - Please choose one
Willingness and ability to buy the product leads towards which of the following?
► Demand
► Need
► Want
► Market
DEMAND
Want becomes a demand when backed up by an individual’s ability to pay
for it. A hungry person can want a burger, but does he have money to
demand a burger. Or is there a burger available to him?
Question No: 34 ( Marks: 1 ) - Please choose one
The loyalty marketing focuses on establishing long term relationship between:
► Company and retailer
► Retailer and customer
► Retailer and consumer
► Company and customer
Relationship Marketing focuses on establish and
building long term relationship between the company and customer. We
also call it loyalty marketing.
Question No: 35 ( Marks: 1 ) - Please choose one
Which of the following is NOT a technique used by marketers to understand the
customers?
► Focus group
► Commercialization
► Web and telephones
► Surveys
Question No: 36 ( Marks: 1 ) - Please choose one
Which of the following is NOT an example of unsought goods?
► Insurance policy
► Course book
► Encyclopedia
► Funeral plots
Question No: 37 ( Marks: 1 ) - Please choose one
A customer requirement about any product in which he/ she needs to avail core
features in that product, is called:
► Real need
► Stated need
► Unstated need
► Delighted need
Question No: 38 ( Marks: 1 ) - Please choose one
Order processing decisions are related to which of the following?
► Product
► Price
► Distribution
► Promotion
Question No: 39 ( Marks: 1 ) - Please choose one
Which of the following is NOT a distribution decision?
► Inventory management
► Personal selling
► Warehousing
► Distribution centers
Question No: 40 ( Marks: 1 ) - Please choose one
If a bakery business bought a wheat farm in order to reduce the risk associated
with the dependency on flour. Identify the type of integration.
► Backward vertical integration
► Balanced vertical integration
► Forward horizontal integration
► Forward vertical integration
Question No: 41 ( Marks: 10 )
"Marketing concept starts with a well defined market, focuses on customer
needs, coordinates all activities and produces profit by satisfying the
customers". Elaborate the statement.
Question No: 1 ( Marks: 1 ) - Please choose one
Results from the research that have already been conducted are displayed in which of the
following part of marketing plan?
► Marketing strategies
► Executive summary
► Appendix
► Financial summary
Ref: Appendix contains specifications of the new product, results from research
already completed.
Lesson # 8, Under the heading of Appendix
Question No: 2 ( Marks: 1 ) - Please choose one
A market nicher can reduce their operating expense through less spending on:
► Market segment and advertising
► R & D and market segment
► Advertising and promotion
► R & D and advertising
Question No: 3 ( Marks: 1 ) - Please choose one
Which of the following goods are purchased without any planning or search effort?
www.vuaskari.com
► Emergency
► Specialty
► Impulse
► Shopping
ref.
Emergency Goods: goods required immediately
Question No: 4 ( Marks: 1 ) - Please choose one
Which of the following is NOT undertaken by all the companies in the process of new
product development?
► Market testing
► Commercialization
► Idea screening
► Idea generation
Question No: 5 ( Marks: 1 ) - Please choose one
Which of the following is the degree to which new product matches the values and
experiences of the individuals in the community? www.vuaskari.com
► Innovation communicability
► Innovation divisibility
► Innovation compatibility
► Innovation complexity
Question No: 6 ( Marks: 1 ) - Please choose one
Which of the following is the leak-proof packaging that provides additional protection for
the primary container?
www.vuaskari.com
► Primary packaging
► Secondary packaging
► Transport packaging
► Decorative packaging
Ref: Secondary packaging: Leak-proof packaging that provides additional
protection for the primary receptacle(s); it may include absorbent material
Question No: 7 ( Marks: 1 ) - Please choose one
Packaging used for the ice creams is an example of which of the following?
► Decorative packaging
► Transport packaging
► Secondary packaging
► Primary packaging
Question No: 8 ( Marks: 1 ) - Please choose one
The existing strong brand name can be as a vehicle to launch new product in the other
categories. What does this statement imply?
► Family branding
► Line extension
► Individual branding
► Brand extension
Question No: 9 ( Marks: 1 ) - Please choose one
Which of the following is a name, term, sign, symbol, design, or a combination of these,
that identifies the product or service?
► Label
► Co-brand
► Brand
► Product
Question No: 10 ( Marks: 1 ) - Please choose one
The concept of price is central to:
► Administration
► Management
► Macroeconomics
► Microeconomics
The concept of price is central to microeconomics where it is one of the most
important variables in resource allocation theory (also called price theory).
Question No: 11 ( Marks: 1 ) - Please choose one
The basic human requirement defines which of the following?
► Need
► Demand
► Want
► Satisfaction
Question No: 12 ( Marks: 1 ) - Please choose one
The phenomenon, when a customer dislikes a product and talks against the product, is
termed as: www.vuaskari.com
► Propaganda
► Unfavorable environment
► Bad mouth
► Bad impression
Bad mouth is when a customer talks not in favours of the product.
Question No: 13 ( Marks: 1 ) - Please choose one
Distributors are part of which of the following environment?
► Task environment
► Broad environment
► Natural environment
► Political environment
reference..
Task environment involves immediate actors, such as suppliers, distributors, dealers and
consumers etc, involved in production, distribution and promotion.
Question No: 14 ( Marks: 1 ) - Please choose one
In which section of the marketing plan you would find the detailed information about the
marketing environment, market trends, customers and competitors?
► Situation analysis
► Product/market background
► Marketing strategies
► Market analysis
Question No: 15 ( Marks: 1 ) - Please choose one
Which one of the following strategies emphasizes on brand image?
► Cost leadership strategy
► Market dominance strategy
► Differentiation strategy
► Market segmentation strategy
Question No: 16 ( Marks: 1 ) - Please choose one
Which of the following is NOT a type of innovation strategy? www.vuaskari.com
► Pioneers
► Challengers
► Close followers
► Late followers
Innovation Strategies- This deals with the firm rate of new product development and
business model innovation. It asks whether the company is on the cutting edge of
technology and business innovation. There are three types:
· pioneers
· close followers
· late followers
Question No: 17 ( Marks: 1 ) - Please choose one
ABC Company has been selling quality women garments at Rs.2000 to Rs.3000 which is
roughly one tenth of their usual selling price. This is an example of:
► Skimming
► Loss leader
► Demand based pricing
► Cost based pricing
Question No: 18 ( Marks: 1 ) - Please choose one
Distribution of posters regarding the mobile phone usage during driving by the people
against their usage illustrates:
► The government is not involved in marketing
► That the drivers constitute market segment
► How marketing concepts are applied by the non profit organization
► Awareness to the general public
Question No: 19 ( Marks: 1 ) - Please choose one
Which of the following is the unique combination of benefits received by targeted buyers
that includes quality, price, convenience, on time delivery, and both before sale and after
sale service.
► The marketing concept
► Customer value
► The price-quality trade off
► Customer relationship management
Question No: 20 ( Marks: 1 ) - Please choose one
According to the societal marketing concept, who is most involved in deciding what
needs and wants are good for consumers in the long run?
www.vuaskari.com
► The organization itself
► The individual consumers
► Competitive forces
► Marketing researchers
Ref: The societal marketing concept holds that the organization itself should
discover and satisfy the needs of its consumers while also providing for society's
well being in a pro-active way. Marketing researchers may suggest concerns
about society, but they do not make the final decision about what to do.
Question No: 21 ( Marks: 1 ) - Please choose one
Which of the following statements about environmental factors is true?
► Environmental factors have no influence over an organization's opportunities.
► Recent studies have shown that an action-oriented firm still cannot affect
environmental factors in any way.
► Environmental factors are also called controllable factors.
► Environmental factors include social, economic, technological, competitive, and
regulatory forces.
Question No: 22 ( Marks: 1 ) - Please choose one
While writing the marketing plan, the analysis of environmental factors like supply chain,
Government and legal etc, comes under which of the following section of marketing
plan?
► Macro environment
► Market analysis
► Consumer analysis
► Internal environment analysis
ref.
Macro-environment: All situations regarding Economy, Government, Legal, Technology,
Ecological, Socio-cultural, Supply chain and some other macro factors must be carefully
studied. Relevant data from authentic sources regarding these factors must be collected
and analyzed.
Question No: 23 ( Marks: 1 ) - Please choose one
Which of the following goods are purchased by customers after comparisons of
competing goods available in stores on the basis of price, quality, style and colors?
► Specialty goods
► Shopping goods
► Impulse goods
► Convenience goods
Question No: 24 ( Marks: 1 ) - Please choose one
___________type of growth refers to concentrating activities on markets and/or products
that are familiar:
► Diversification
► Condensive
► Integrative
► Intensive
Question No: 25 ( Marks: 1 ) - Please choose one
The “convenience goods” in the industrial market are:
► Operating supplies
► Components parts
► Industrial computers
► Accessory equipment
Question No: 26 ( Marks: 1 ) - Please choose one
Many business executives argue that a more accurate explanation of actual pricing
behavior is that within a given profit constraints, firms strive for:
► Profit maximization
► Target return
► Sales maximization
► Market share
MIDTERM EXAMINATION
MKT501- Marketing Management
Fall 2009 2010 & 2011
All papers solved in one mega file
By Admin Binish Awais
www.vuaskari.com
Question No: 27 ( Marks: 1 ) - Please choose one
Which of the following discourages the entry of competitors as well as act as a barrier to
entry?
► Cost-orientated pricing
► Psychological pricing
► Penetration pricing
► Market skimming pricing
Question No: 28 ( Marks: 1 ) - Please choose one
The opportunity to deduct 2 percent from the bill if payment is made within 10 days is a:
► Trade discounts
► Quality discounts
► Cash discount
► Off price discounts
Which of the following must be developed at each product level for
achieving the goals?
► Corporate plan
► Selling plan
► Marketing plan
► Business plan
Marketing Planning Process
Each product level must develop a marketing plan for achieving its goals.
Which of the following part of a marketing plan defines the plan’s financial
and marketing goals in terms of sales volume, market share and profit?
► Marketing strategy
► Action programs
► Issue analysis
► Objectives
4. Objectives
Defines the plan’s financial and marketing goals in terms of sales volume, market share
and profit.
http://www.steadysales.com/the-contents-of-a-marketing-plan
Assumptions, pro-forma income statement, contribution margin analysis,
breakeven analysis, ratios analysis must be very formally done in:
► Executive summary
► Financial summary
► Promotional plan
► Business plan
7. Financial Summary
Assumptions, pro-forma monthly income statement, contribution margin
analysis, breakeven analysis. This information must be very formally done
at this stag
Which of the following has the largest market share in the relevant product
market?
► Market leader
► Market challenger
► Market nicher
► Market follower
Market Leader
The market leader is dominant in its industry. It has substantial market
share and often extensive distribution arrangements with retailers. It
typically is the industry leader in developing innovative new business
models and new products (although not always). It sometimes has some
market power in determining either price or output. Of the four dominance
strategies, it has the most flexibility in crafting strategy.
http://groups.google.com/group/vu-askari?hl=en
A market nicher can reduce their operating expense through less spending
on:
► Market segment and advertising
► R & D and market segment
► Advertising and promotion
► R & D and advertising
http://webcache.googleusercontent.com/search?
q=cache:mKnoUWHUW08J:www.public-domaincontent.
com/encyclopedia/List_of_marketing_topics/Market_d
* They tend to keep their operating expenses down by spending less on
R&D, advertising, and personal selling.
A market leader firm can expand the total market through:
► Decreasing distribution of the product
► Introducing the new usage of the product
► Eliminating some features of product
► Increasing cost
Market leaders can expand the market by developing new users, new uses,
and more usage of its products
A brand name is one of the elements of the:
► Discounted product
► Core benefit
► Augmented product
► Actual product
http://www.xn--lba.net/articles/20262/Brand
The brand owner will seek to bridge the gap between the brand image and the
brand identity Effective brand names build a connection between the brand
personality as it is perceived by the target audience and the actual
product/service.
Which of the following is TRUE about a product?
► Every tangible thing the customer receives in an exchange
► The idea that the customer receives in an exchange
► The service that is rendered to a customer
► The physical object the customer receives in an exchange
Tyman-Space Online College
PRODUCT anything, tangible or intangible, received in an exchange to satisfy a
want or need. Products include
Identify the stage of product life cycle in which sales are at peak.
► Introduction
► Growth
► Maturity
► Decline
Product Life Cycle Stages | Life Cycle Management
The maturity stage of the product lifec ycle is characterized by sales growth
reaching peaklevels
Which of the followings are considered defensive in nature?
► Maturity and growth stage
► Maturity and decline stage
► Introduction and maturity stage
► Introduction and growth stage
The second two stages, mature and decline stage, are often seen as
defensive in nature.
Standard Cable cut back advertising expenditures to minimum level and
reduced the number of channel members for its industrial cable product.
These actions are indicative of a product in which of the following stage of
its life cycle?
► Introduction
► Growth
► Maturity
► Decline
) Decline Stage of the product life cycle characterized by declining sales
volumes and profits.
http://webcache.googleusercontent.com/search?
q=cache:xhjHBICXvekJ:mencyclopedia.narod.ru/p_text.html+Standard+Cable+cut+back
+advertising+expendi
Highest percentage of ideas for new products originates with/from which of
the following sources?
► Top management
► Customers
► Competitors
► Employees
Know thy market - RFID Training: RFID Education and
Market .. .
Several studies of industrial markets have shown that the highest
percentage of new product ideas originate with customers.
Which of the following are the people who purchase new products almost
as soon as the products reach the market?
► Innovators
► Late majority
► Early majority
► Late adopters
Which of the following is NOT one of the stages that customers go through
in the process of adopting a new product?
► Desire
► Awareness
► Evaluation
► Interest
Which product is MOST likely to be purchased through routine decision
making?
► Television set
► Soft drink
► Shirt
► Car
Which of the following has a quick response towards a new product?
► Opinion leaders
► Late majority
► Early majority
► Early adopters
Which of the following brands is created specifically to counter a
competitive threat?
► Premium brand
► Economy brand
► Fighting brand
► Corporate brand
Using one brand name for several related products is known as which of
the following?
► Family branding
► Group branding
► Combination branding
► Premium branding
Packaging used for the ice creams is an example of which of the following?
► Decorative packaging
► Transport packaging
► Secondary packaging
► Primary packaging
According to “Research supporting odd pricing theory” which of the
following number out of all the numbers between 1 and 100 is thought to
have least perceived value as compared to its actual value?
► 90
► 77
► 55
► 25
To pay premium price for the product customers require:
► Allowance
► Flawless performance
► Discounts
► High promotion
Mr. A, marketer of XYZ Co. is selling his ice-cream in the market at Rs.20,
20% more than his competitors’ price. Still his sales are increasing. Now
his aim is to maintain same pricing. He enjoys which type of leadership?
► Promotion leadership
► Price leadership
► Cost leadership
► Product leadership
Which of the following price is quoted to a potential buyer, usually in
written form?
► Wholesale price
► Market price
► List price
► Retail price
A seller wants payment from buyer within 10 days of sales (whereas
customer can made payment within 30 days) and offers 4% discount if
payment is made within 10 days. What type of cash discount will be
suitable?
► 4/10 net 30
► 10/4 net 30
► 10/30 net 4
► 4/30 net 10
Market-penetration pricing will likely to be used most in selling which of the
following items?
► Specialty
► Convenience
► Unsought
► Pharmaceuticals
Many companies try to set a price that will maximize current profit. This
strategy assumes that company has knowledge of its:
► Cost and production function
► Revenue and cost function
► Demand and market function
► Demand and cost function
Identify the other name for global market.
► Consumer market
► Import market
► Export market
► Government market
Which one of the following 4Ps of marketing mix involves in decisions
regarding list prices, discounts, allowances and payment periods or credit
terms?
► Product
► Price
► Place
► Promotion
http://groups.google.com/group/vu-askari?hl=en
Customer cost will be considered as which of the following Ps of marketing
mix?
► Product
► Price
► Place
► Promotion
Which of the following is about managing strategically the customer’s
entire experience with the product and company?
► Customer experience management
► Customer retention management
► Customer life-time value management
► Customer relationship management
Customer’s viewpoint on a firm’s products and services can be improved
through:
► Experiential world of customers
► Experiential innovation
► Customer interface
► Building experiential platform
Which of the following firms emphasizes on product’s benefits to the
customers rather product attributes?
► Product oriented
► Market oriented
► Sales oriented
► Production oriented
Which of the following is NOT a technique of measuring customer
satisfaction and monitoring customer’s complaint?
► Customer complaints database
► Web and telephone information hotlines
► Exit interviews
► Business analysis
The phenomenon, when a customer dislikes a product and talks against
the product, is termed as:
► Propaganda
► Unfavorable environment
► Bad mouth
► Bad impression
Products that are usually purchased due to adversity and high promotional
back up rather than desire are called:
► Sought goods
► Unique goods
► Unsought goods
► Preferred goods
A customer requirement about any product in which he/ she needs to avail
core features in that product, is called:
► Real need
► Stated need
► Unstated need
► Delighted need
Which of the following products requires mass promotion by a producer?
► Convenience
► Shopping
► Specialty
► Unsought
Which of the following is NOT an aggressiveness strategy?
► Harvesting
► Building
► Intensification
► Holding
Which of the following is NOT a type of innovation strategy?
► Pioneers
► Challengers
► Close followers
► Late followers
Suppose Nestle wants to expand its line of food products. The managers
conduct surveys from customers to determine which food items would
appeal to customers. Nestle is currently in which of the following phase of
new product development?
► Idea generation
► Idea screening
► Test marketing
► Business analysis
Question No: 1 (Marks: 1) - Please choose one
Critical path analysis is a part of which of the following?
► Implementation stage
► Marketing strategies
► Executive summary
► Financial summary
Commercialization
o launch the product
o produce and place advertisements and other promotions
o fill the distribution pipeline with product
o critical path analysis is useful at this stage
Question No: 2 (Marks: 1) - Please choose one
The strategy which involves creating a product that is perceived as unique and
should provide superior value for the customer is called:
► Market segmentation strategy
► Market dominance strategy
► Differentiation strategy
► Cost leadership strategy
DIFFERENTIATION STRATEGY
Differentiation involves creating a product that is perceived as unique. The
unique features or benefits should provide superior value for the customer
if this strategy is to be successful
Question No: 3 ( Marks: 1 ) - Please choose one
A brand name is one of the elements of the:
► Discounted product
► Core benefit
► Augmented product
► Actual product
Question No: 4 ( Marks: 1 ) - Please choose one
Luxury products, such as Rolex watches, are also known as:
► Shopping product
► Convenience product
► Emergency product
► Specialty product
Question No: 5 (Marks: 1) - Please choose one
Which of the following goods are purchased without any planning or search
effort?
► Emergency
► Specialty
► Impulse
► Shopping
Emergency Goods: goods required immediately
Question No: 6 (Marks: 1) - Please choose one
Which of the following is frequently used in testing the acceptance of new
product design?
► Concept development
► Business analysis
► Concurrent engineering
► Conjoint analysis
. It is used frequently in testing customer acceptance of new product
designs and assessing the appeal of advertisements. It has been used in
product positioning, but there are some problems with this application of
the technique.
Question No: 7 (Marks: 1) - Please choose one
Identify the commercialization decision which includes decisions regarding
locality, region, nationally or even internationally launching the product.
► Why to launch the product?
► How to launch the product?
► Where to launch the product?
► When to launch the product?
Question No: 8 (Marks: 1) - Please choose one
Which product is MOST likely to be purchased through routine decision making?
► Television set
► Soft drink
► Shirt
► Car
Question No: 9 (Marks: 1) - Please choose one
Which of the following is the leak-proof packaging that provides additional
protection for the primary container?
► Primary packaging
► Secondary packaging
► Transport packaging
► Decorative
Question No: 10 ( Marks: 1 ) - Please choose one
Which of the following is less likely to damage reputations of a brand if a new
product fails?
► Brand extension branding
► Individual branding
► Overall family branding
► Line family branding
Brand extension
The existing strong brand name can be used as a vehicle for new or
modified products;
Question No: 11 (Marks: 1) - Please choose one
Which of the following brands is created specifically to counter a competitive
threat?
► Premium brand
► Economy brand
► Fighting brand
► Corporate brand
A fighting brand is a brand created specifically to counter a competitive
threat.
Question No: 12 (Marks: 1) - Please choose one
Gift baskets are the example of which one of the following types of packaging?
► Decorative
► Secondary
► Shipping
► Primary
Question No: 13 (Marks: 1) - Please choose one
Which of the following is the packaging objective, in which small products are
grouped together in one package for the reasons of efficiency?
► Information transmission
► Agglomeration
► Physical protection
► Theft reducing
•Agglomeration - Small objects are typically grouped together in one
package for reasons of efficiency. For example, a single box of 1000
pencils requires less physical handling than 1000 single pencils.
Alternatively, bulk commodities (such as salt) can be divided into packages
that are a more suitable size for individual households.
Question No: 14 (Marks: 1) - Please choose one
The label on a pack of frozen peas says, 'packed within an hour of picking'.
These words are used:
► To promote the product
► To satisfy legal requirements
► To provide information
► To fulfill ethical requirement
Question No: 15 (Marks: 1) - Please choose one
Packaging used for the ice creams is an example of which of the following?
► Decorative packaging
► Transport packaging
► Secondary packaging
► Primary packaging
Question No: 16 (Marks: 1) - Please choose one
Which of the following is a name, term, sign, symbol, design, or a combination of
these, that identifies the product or service?
► Label
► Co-brand
► Brand
► Product
Question No: 17 (Marks: 1) - Please choose one
Which of the following is a group of products that are closely related because
they function in a similar manner?
► Convenience product
► Private brand
► Line extension
► Product line
When a company uses the Brand equity associated with an existing brand
name to introduce a new product or product line, this is referred to as
Brand leveraging.
Question No: 18 (Marks: 1) - Please choose one
Which of the following is also known as dual branding?
► Private brand
► Multibrand
► Co-brand
► New brand
When two or more brands work together to market their products, this is
referred to as Co-branding
Question No: 19 (Marks: 1) - Please choose one
The concept of price is central to:
► Administration
► Management
► Macroeconomics
► Microeconomics
The concept of price is central to microeconomics where it is one of the
most important variables in resource allocation theory (also called price
theory)
Question No: 20 (Marks: 1) - Please choose one
Which of the following marketing mix element generates revenue?
► Promotion
► Price
► Place
► Product
Question No: 21 (Marks: 1) - Please choose one
ABC Company priced the product as of Rs. 19.99 instead of Rs.20. Which of the
following pricing techniques is ABC Company using?
► Dodging pricing
► Deceptive pricing
► Premium pricing
► Psychological pricing
Question No: 22 ( Marks: 1 ) - Please choose one
To pay premium price for the product customers require:
► Allowance
► Flawless performance
► Discounts
► High promotionm,
Question No: 23 (Marks: 1) - Please choose one
Which of the following is NOT an objective of discounts?
► Reward valuable customers
► Reward competitors
► Move out-of-date stock
► Increase short-term sales
Question No: 24 (Marks: 1) - Please choose one
3/10 net 30 is an example of which of the following?
► Seasonal discount
► Trade discount
► Quantity discount
► Cash discount
1) Cash discounts for prompt payment - These are intended to speed
payment and thereby provide liquidity to the firm. They are sometimes
used as a promotional device.
Question No: 25 (Marks: 1) - Please choose one
Market price is also known as:
► Effective price
► List price
► Retail price
► Wholesaler price
The Effective Price is the price the company receives after accounting for
discounts, promotions, and other incentives.
Question No: 26 ( Marks: 1 ) - Please choose one
Which of the following best describes 3/10 net 40 ROG?
► the buyer must pay within 10 days of receipt of goods but will receive 3%
discount if paid in 10 days
► The buyer must pay within 3 days of receipt of goods but will receive 10%
discount if paid in 40 days
► The buyer must pay within 10 days of receipt of goods but will receive 3%
discount if paid in 40 days
► The buyer must pay within 40 days of receipt of goods but will receive 3%
discount if paid in 10 days
Question No: 27 (Marks: 1) - Please choose one
Which of the following is also known as accumulation discounts?
► Trade discount
► Non-cumulative quantity discount
► Cumulative quantity discount
► Quantity discount
•Cumulative quantity discounts (also called accumulation discounts).
These are price reductions based on the quantity purchased over a set
period of time. The expectation is that they will impose an implied
switching cost and thereby bond the purchaser to the seller.
Question No: 28 (Marks: 1) - Please choose one
A company is providing warehousing facility to its channel members. The
company is using which of the following?
► Seasonal discount
► Trade discount
► Quantity discount
► Cash discount
4) Seasonal discounts - These are price reductions given when an order is
placed in a slack period (example: purchasing skis in April in the northern
hemisphere or in September in the southern hemisphere). On a shorter
time scale, a happy hour may fall in this category.
Question No: 29 (Marks: 1) - Please choose one
To attract customers into stores, the store advertises its milk at a price less than
cost, hoping that customers will purchase other groceries as well. Milk is acting
as which of the following?
► Premium item
► On- sale item
► Discounted item
► Loss leader
Question No: 30 (Marks: 1) - Please choose one
Many companies try to set a price that will maximize current profit. This strategy
assumes that company has knowledge of it’s:
► Cost and production function
► Revenue and cost function
► Demand and market function
► Demand and cost function
Question No: 31 (Marks: 1) - Please choose one
Which one of the following 4Ps of marketing mix involves in decisions regarding
list prices, discounts, allowances and payment periods or credit terms?
► Product
► Price
► Place
► Promotion
Question No: 32 (Marks: 1) - Please choose one
When need is directed towards a specific object it is called:
► Actual need
► Want
► Demand
► Satisfaction
WANT
Need becomes Want, when they are directed towards a specific object.
When hungry we need food; but we want say a burger. Want can vary from
place to place and from people to people. A man in USA
to eat when hungry whereas a man in Pakistan needs a ‘Nan ”. Want can be
different at different income levels and in various time
Question No: 33 (Marks: 1) - Please choose one
In which one of the following orientations companies often design the products
with little or no input from customers?
► Market-oriented
► Product-oriented
► Sales-oriented
► Production-oriented
Question No: 34 (Marks: 1) - Please choose one
A customer requirement about any product in which he/ she needs to avail core
features in that product, is called:
► Real need
► Stated need
► Unstated need
► Delighted need
Question No: 35 (Marks: 1) - Please choose one
Factors of broad environment affect:
► Economic environment
► Task environment
► Cultural environment
► Technological environment
Question No: 36 (Marks: 1) - Please choose one
Marketing starts with which of the following 4Ps?
► Product
► Price
► Place
► Promotion
Question No: 37 (Marks: 1) - Please choose one
A business wants to create the awareness about the features and befits of the
product in the market. Which of the following decisions are important to achieve
the goal?
► Price decisions
► Place decisions
► Promotion decisions
► Product decisions
Promotion Decisions
In the context of the marketing mix, promotion represents the various
aspects of marketing communication, that is, the communication of
information about the product with the goal of generating a positive
customer response. Marketing communication decisions include:
• Promotional strategy (push, pull, etc.)
• Advertising
• Personal selling & sales force
• Sales promotions
• Public relations & publicity
• Marketing communications budget
Question No: 38 (Marks: 1) - Please choose one
If a bakery business bought a wheat farm in order to reduce the risk associated
with the dependency on flour. Identify the type of integration.
► Backward vertical integration
► Balanced vertical integration
► Forward horizontal integration
► Forward vertical integration
In backward vertical integration, the company sets up subsidiaries that
produce some of the inputs used in the production of its products. For
example, an automobile company may own a tire company, a glass
company, and a metal company. Control of these three subsidiaries is
intended to create a stable supply of inputs and ensure a consistent quality
in their final product
Question No: 39 (Marks: 1) - Please choose one
Which of the following products requires mass promotion by a producer?
► Convenience
► Shopping
► Specialty
► Unsought
Question No: 40 (Marks: 1) - Please choose one
Which of the following is NOT included in the financial summary of a marketing
plan?
► Pro-forma income statement
► Month-by-month agenda
► Breakeven analysis
► Assumptions
7. Financial Summary
Assumptions, pro-forma monthly income statement, contribution margin
analysis, breakeven analysis. This information must be very formally done
at this stage
Question No: 41 (Marks: 10)
What is conjoint analysis? Why it is often used by marketers while
introducing new product?
Answer:
Conjoint Analysis and Reason of Why Marketers Use This While Introducing New
Product:
It is a statistical technique hat is originated in mathematical psychology. It is used
in many of the social sciences and applied sciences like marketing, operations
research and product management.
The main objective of conjoint analysis in marketing is to determine what
combination of a limited number of attributes is mostly preferred by the public.
It is often used in testing customer acceptance of a new product designs and
assessing the appeal of advertisements used in product positioning. There are
few steps for conducting conjoint analysis.
The basic steps are:
1. Select feature to be tested.
2. Show these features combination to the potential customers.
3. Input data from a representative sample of potential customers into the
statistical software and select the conjoint analysis procedure; the software
will produce the utility functions for each feature.
4. Incorporate the most preferred features into a new product and
advertisement.
It is very useful market analysis as we can determine the customer needs and
their interest their liking and disliking and will lead to success of the product to be
launched. That is why it is mostly used by the marketers while introducing a new
product.
Which of the following must be developed at each product level for
achieving the goals?
► Corporate plan
► Selling plan
► Marketing plan
► Business plan
Marketing Planning Process
Each product level must develop a marketing plan for achieving its goals.
Which of the following part of a marketing plan defines the plan’s financial
and marketing goals in terms of sales volume, market share and profit?
► Marketing strategy
► Action programs
► Issue analysis
► Objectives
Defines the plan’s financial and marketing goals in terms of sales volume, market share
and profit.
http://www.steadysales.com/the-contents-of-a-marketing-plan
Assumptions, pro-forma income statement, contribution margin analysis,
breakeven analysis, ratios analysis must be very formally done in:
► Executive summary
► Financial summary
► Promotional plan
► Business plan
7. Financial Summary
Assumptions, pro-forma monthly income statement, contribution margin analysis,
breakeven analysis. This information must be very formally done at this stag
Which of the following has the largest market share in the relevant product
market?
► Market leader
► Market challenger
► Market nicher
► Market follower
Market Leader
The market leader is dominant in its industry. It has substantial market
share and often extensive distribution arrangements with retailers. It
typically is the industry leader in developing innovative new business
models and new products (although not always). It sometimes has some
market power in determining either price or output. Of the four dominance
strategies, it has the most flexibility in crafting strategy.
http://groups.google.com/group/vu-askari?hl=en
A market nicher can reduce their operating expense through less spending
on:
► Market segment and advertising
► R & D and market segment
► Advertising and promotion
► R & D and advertising
http://webcache.googleusercontent.com/search?q=cache:mKnoUWHUW08J:www.public-domaincontent.
com/encyclopedia/List_of_marketing_topics/Market_d
* They tend to keep their operating expenses down by spending less on
R&D, advertising, and personal selling.
A market leader firm can expand the total market through:
► Decreasing distribution of the product
► Introducing the new usage of the product
► Eliminating some features of product
► Increasing cost
Market leaders can expand the market by developing new users, new uses, and
more usage of its products
A brand name is one of the elements of the:
► Discounted product
► Core benefit
► Augmented product
► Actual product
http://www.xn--lba.net/articles/20262/Brand
The brand owner will seek to bridge the gap between the brand image
and the brand identity Effective brand names build a connection
between the brand personality as it is perceived by the target audience
and the actual product/service.
Which of the following is TRUE about a product?
► Every tangible thing the customer receives in an exchange
► The idea that the customer receives in an exchange
► The service that is rendered to a customer
► The physical object the customer receives in an exchange
PRODUCT anything, tangible or intangible, received in an exchange to
satisfy a want or need
Identify the stage of product life cycle in which sales are at peak.
► Introduction
► Growth
► Maturity
► Decline
Product Life Cycle Stages | Life Cycle Management
The maturity stage of the product lifec ycle is characterized by sales growth
reaching peaklevels
Which of the followings are considered defensive in nature?
► Maturity and growth stage
► Maturity and decline stage
► Introduction and maturity stage
► Introduction and growth stage
Standard Cable cut back advertising expenditures to minimum level and
reduced the number of channel members for its industrial cable product.
These actions are indicative of a product in which of the following stage of
its life cycle?
► Introduction
► Growth
► Maturity
► Decline
Highest percentage of ideas for new products originates with/from which of
the following sources?
► Top management
► Customers
► Competitors
► Employees
Know thy market - RFID Training: RFID Education and
Market .. .
Several studies of industrial markets have shown that the highest percentage of new product
ideas originate with customers.
http://groups.google.com/group/vu-askari?hl=en
Which of the following are the people who purchase new products almost
as soon as the products reach the market?
► Innovators
► Late majority
► Early majority
► Late adopters
One who are early adopters. They are very quick in their response. These
people are venture some and willing to try new ideas. In fact they are
innovators in life and early adopters.
Which of the following is NOT one of the stages that customers go through
in the process of adopting a new product?
► Desire
► Awareness
► Evaluation
► Interest
FIVE SUCH STAGES HAVE BEEN OBSERVED
• AWARENESS: this stage is when a consumer hears about an innovation,
but lacks information about it
• INTEREST: the consumer is stimulated to seek information about the
innovation
• EVALUATION: this is when the consumer decides whether to use the
product or not
• TRIAL: the consumer tries the product to estimate the value of innovation
• ADOPTION: this is when the consumer adopts to use the product on
regular basis and use
the innovation
Which product is MOST likely to be purchased through routine decision
making?
► Television set
► Soft drink
► Shirt
► Car
Which of the following has a quick response towards a new product?
► Opinion leaders
► Late majority
► Early majority
► Early adopters
One who are early adopters. They are very quick in their response.
Which of the following brands is created specifically to counter a
competitive threat?
► Premium brand
► Economy brand
► Fighting brand
► Corporate brand
A fighting brand is a brand created specifically to counter a competitive
threat.
Using one brand name for several related products is known as which of
the following?
► Family branding
► Group branding
► Combination branding
► Premium branding
When one brand name is used for several related products, this is referred
to as Family branding.
Packaging used for the ice creams is an example of which of the following?
► Decorative packaging
► Transport packaging
► Secondary packaging
► Primary packaging
primary packaging is used to color beverages, dessert powders, candy, ice
cream
According to “Research supporting odd pricing theory” which of the
following number out of all the numbers between 1 and 100 is thought to
have least perceived value as compared to its actual value?
► 90
► 77
► 55
► 25
In a study, the perceived value of all the numbers between 1 and 100 were
studied, and 77 was shown to
have the lowest perceived value relative to its actual value.
To pay premium price for the product customers require:
► Allowance
► Flawless performance
► Discounts
► High pro
3. They require flawless performance in this application - The cost of
product malfunction is too high
to buy anything but the best - example: heart pacemaker motion
Mr. A, marketer of XYZ Co. is selling his ice-cream in the market at Rs.20,
20% more than his competitors’ price. Still his sales are increasing. Now
his aim is to maintain same pricing. He enjoys which type of leadership?
► Promotion leadership
► Price leadership
► Cost leadership
► Product leadership
Which of the following price is quoted to a potential buyer, usually in
written form?
► Wholesale price
► Market price
► List price
► Retail price
They could modify either the manufacturer's list price (determined by the
manufacturer and often printed
on the package), the retail price (set by the retailer and often attached to
the product with a sticker), or the
list price (which is quoted to a potential buyer, usually in written form).
A seller wants payment from buyer within 10 days of sales (whereas
customer can made payment within 30 days) and offers 4% discount if
payment is made within 10 days. What type of cash discount will be
suitable?
► 4/10 net 30(page#43)
► 10/4 net 30
► 10/30 net 4
► 4/30 net 10
Market-penetration pricing will likely to be used most in selling which of the
following items?
► Specialty
► Convenience
► Unsought
► Pharmaceuticals
Many companies try to set a price that will maximize current profit. This
strategy assumes that company has knowledge of its:
► Cost and production function
► Revenue and cost function
► Demand and market function
► Demand and cost function
Identify the other name for global market.
► Consumer market
► Import market
► Export market
► Government market
Which one of the following 4Ps of marketing mix involves in decisions
regarding list prices, discounts, allowances and payment periods or credit
terms?
► Product
► Price
► Place
► Promotion
http://groups.google.com/group/vu-askari?hl=en
Customer cost will be considered as which of the following Ps of marketing
mix?
► Product
► Price
► Place
► Promotion
Which of the following is about managing strategically the customer’s
entire experience with the product and company?
► Customer experience management
► Customer retention management
► Customer life-time value management
► Customer relationship management
CUSTOMER EXPERIENCE MANAGEMENT
5 Nov 2009 ... Is related to managing strategically customers entire
experience with the product and the company.
Customer’s viewpoint on a firm’s products and services can be improved
through:
► Experiential world of customers
► Experiential innovation
► Customer interface
► Building experiential platform
STEP NO 5
Continue experiential innovation
• Anything that can improve customer’s own viewpoint on your products
and services
Which of the following firms emphasizes on product’s benefits to the
customers rather product attributes?
► Product oriented
► Market oriented
► Sales oriented
► Production oriented
MARKETING ORIENTATION FIRM CHARACTERISTICS
Broad product lines
Emphasis on a product’s benefits to customers rather than
on productattributes
http://webcache.googleusercontent.com/search?
q=cache:QPK3NRVx6lAJ:churmura.com/business/marketorientation/
22142/+Market+oriented+firms+emphasi
Which of the following is NOT a technique of measuring customer
satisfaction and monitoring customer’s complaint?
► Customer complaints database
► Web and telephone information hotlines
► Exit interviews
► Business analysis
The phenomenon, when a customer dislikes a product and talks against
the product, is termed as:
► Propaganda
► Unfavorable environment
► Bad mouth
► Bad impression
The customer still may not fully like the product and have
what we calls ‘bad-mouth’. Bad mouth is when a customer talks not in
favours of the product. Bad mouth
travels fas
Products that are usually purchased due to adversity and high promotional
back up rather than desire are called:
► Sought goods
► Unique goods
► Unsought goods
► Preferred goods
This concept emphasizes on aggressive selling and high promotional back
up. Selling, concept is
practical on what we call as ‘unsought goods’ such as insurance,
encyclopedia et
A customer requirement about any product in which he/ she needs to avail
core features in that product, is called:
► Real need
► Stated need
► Unstated need
► Delighted need
Which of the following products requires mass promotion by a producer?
► Convenience
► Shopping
► Specialty
► Unsought
Which of the following is NOT an aggressiveness strategy?
► Harvesting
► Building
► Intensification
► Holding
Marketing Strategies
Aggressiveness strategies - This asks whether a firm should grow or not, and if
so, ... One scheme divides strategies into: building; holding; harvesting
Which of the following is NOT a type of innovation strategy?
► Pioneers
► Challengers
► Close followers
► Late followers
Market Strategies | Economy Watch
Innovation strategies also also let the company know if it is on the verge of fore
fronting technology ... These can be of three types-pioneers,close
followers and late followers
Suppose Nestle wants to expand its line of food products. The managers
conduct surveys from customers to determine which food items would
appeal to customers. Nestle is currently in which of the following phase of
new product development?
► Idea generation
► Idea screening
► Test marketing
► Business analysis
http://webcache.googleusercontent.com/search?q=cache:-
XtQ9vRd_EsJ:www.ehow.com/info_8196815_list-new-product-developmentprocess.
html+test+
Question No: 1 ( Marks: 1 ) - Please choose one
The skimming, penetration, bargaining and discounts are included in which of the
following marketing mix strategy?
► Product decisions
► Price decisions
► Place decisions
► Promotion decisions
Price Decisions
Some examples of pricing decisions to be made include:
• Pricing strategy (skim, penetration, etc.)
• Suggested retail price
• Volume discounts and wholesale pricing
• Cash and early payment discounts
• Seasonal pricing
• Bundling
• Price flexibility
• Price discriminatio
Question No: 2 ( Marks: 1 ) - Please choose one
The building, holding, and harvesting are the types of:
► Innovation strategy
► Aggressiveness strategy
► Diversification strategy
► Market dominance strategy
• Aggressiveness Strategies - This asks whether a firm should grow or not, and if so,
how fast.
One scheme divides strategies into:
o building
o holding
o harvesting
Question No: 3 ( Marks: 1 ) - Please choose one
Which of the following attacks the vulnerable part of a competitor?
► Market leader
► Market challenger
► Market nicher
► Market follower
Market Challenger
A market challenger is a firm in a strong, but not dominant position that is
following an aggressive strategy of trying to gain market share. It typically targets
the industry leader (for example, Pepsi targets Coke), but it could also target
smaller, more vulnerable competitors.
Question No: 4 ( Marks: 1 ) - Please choose one
The strategy which involves creating a product that is perceived as unique and should
provide superior value for the customer is called:
► Market segmentation strategy
► Market dominance strategy
► Differentiation strategy
► Cost leadership strategy
DIFFERENTIATION STRATEGY
Differentiation involves creating a product that is perceived as unique. The unique
features or benefits should provide superior value for the customer if this strategy is
to be successful
Question No: 5 ( Marks: 1 ) - Please choose one
Presenting the product concept to appropriate target consumers and getting their
reactions, describes which of the following options?
► Concept development
► Concept testing
► Commercialization
► Concept trial
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Question No: 6 ( Marks: 1 ) - Please choose one
Which of the following is the packaging objective, in which small products are grouped
together in one package for the reasons of efficiency?
► Information transmission
► Agglomeration
► Physical protection
► Theft reducing
Question No: 7 ( Marks: 1 ) - Please choose one
Which of the following marketing mix element generates revenue?
► Promotion
► Price
► Place
► Product
Question No: 8 ( Marks: 1 ) - Please choose one
Which of the following is considered as dead end of distribution?
► Promotion
► Warehousing
► Wholesaling
► Retailing
Question No: 9 ( Marks: 1 ) - Please choose one
While considering the place for a product which of the following is important for
customer?
► Communication
► Convenience
► Customer cost
► Customer solution
Question No: 10 ( Marks: 1 ) - Please choose one
The loyalty marketing focuses on establishing long term relationship between:
► Company and retailer
► Retailer and customer
► Retailer and consumer
► Company and customer
Relationship Marketing focuses on establish and building long term relationship
between the company and customer. We also call it loyalty marketing
Question No: 11 ( Marks: 1 ) - Please choose one
Which of the following is NOT an ancillary service?
► Warranty
► Installation
► Delivery
► Labeling
The offering of ancillary services like credit availability, delivery, installation, and
warranty
MIDTERM EXAMINATION
MKT501- Marketing Management
Fall 2009 2010 & 2011
All papers solved in one mega file
By Admin Binish Awais
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Question No: 12 ( Marks: 1 ) - Please choose one
Which of the following best describes the definition of marketing mix?
► The way product is priced
► The way product are arranged in the stores
► The way business elements are combined to meet the needs of customers
► The way business distribute the products in the market
Question No: 13 ( Marks: 1 ) - Please choose one
Which of the following strategies requires premium pricing?
► Target market strategy
► Market segmentation strategy
► Differentiation strategy
► Cost leadership strategy
Question No: 14 ( Marks: 1 ) - Please choose one
Price is the only element in the marketing mix that produces __________.
► Revenue
► Variable costs
► Expenses
► Stability
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Question No: 15 ( Marks: 1 ) - Please choose one
Which of the following is involved in decisions such as: what country to enter in, how to
enter, how to adopt their product and services and how to price?
► Consumer markets
► Business markets
► Global markets
► Non profit markets
Question No: 16 ( Marks: 1 ) - Please choose one
If an NGO purchases furniture for its office, it is purchasing a(an):
► Consumer good
► Consumer service
► Industrial good
► Industrial service
Question No: 17 ( Marks: 1 ) - Please choose one
The want satisfying power of a product or service is known as a/an:
► Desire
► Need
► Utility
► Motive
Question No: 18 ( Marks: 1 ) - Please choose one
Factors of broad environment directly affect the:
► Economic environment
► Task environment
► Cultural environment
► Technological environment
Question No: 19 ( Marks: 1 ) - Please choose one
While writing the marketing plan, the analysis of company’s own resources comes under
which of the following section of marketing plan?
► Macro environment
► Market analysis
► Consumer analysis
► Internal environment analysis
b) Current Situation - Market Analysis
Indeed, market situation must be taken into account in all details and carefully
studied. Market definition, Market size, Market Segmentation, Industry Structure
and strategic groupings, Competition and market share, Competitors' Strengths
and Weaknesses and Market Trends must be carefully studied and analyzed.
This will give us t
Question No: 20 ( Marks: 1 ) - Please choose one
The firm objective in the introductory stage of the product life cycle is to:
► Extend the cycle as long as possible
► Improve warranty terms and service availability
► Emphasize market segmentation
► Stimulate demand for the product
Question No: 21 ( Marks: 1 ) - Please choose one
The majority of firms enter in a particular market during the:
► Introduction
► Growth
► Maturity
► Decline
Question No: 22 ( Marks: 1 ) - Please choose one
Which of the following come(s) under the category of new product?
► New product lines
► Product improvements
► Cost reductions
► All of the given options
Question No: 23 ( Marks: 1 ) - Please choose one
Suppose Nestle wants to expand its food products line. The managers conducted surveys
from customers to determine which food items would appeal to customers. Nestle is
currently in which of the following phase of new product development?
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► Idea generation
► Idea screening
► Test marketing
► Business analysis
• Idea Screening
o eliminate unsound concepts
o must ask three questions:
. will the target market benefit from the product
. is it technically feasible to manufacture the product
. will the product be profitable
Question No: 24 ( Marks: 1 ) - Please choose one
The stage in the adoption process that has been reached when an individual becomes
sufficiently involved with a new product to begin to seek information about it is called:
► Awareness
► Evaluation
► Interest
► Trial
TRIAL: the consumer tries the product to estimate the value of innovatio
Question No: 25 ( Marks: 1 ) - Please choose one
Based on pricing objectives, a general guideline that is intended for use in specific
pricing decision is called:
► A product line
► A pricing policy
► A strategic pricing
► An objective pricing
Question No: 26 ( Marks: 1 ) - Please choose one
The consumer’s perception of prices such as Rs. 5.95 and Rs. 6.99 is that these prices
are:
► Regular retail prices
► Wholesale prices
► Competitive prices
► Discount prices
Question No: 27 ( Marks: 1 ) - Please choose one
Which of the following is the traditional pricing objective?
► Increase market share
► Maximize profits
► Meet competitors’ prices
► Increase market growth
Question No: 28 ( Marks: 1 ) - Please choose one
A supermarket advertises sugar and coffee at very low prices with the objective of
attracting customers who will buy other high profit items. This is called:
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► Product line pricing
► Multiple unit pricings
► Odd pricing
► Loss leader
Question No: 1 ( Marks: 1 ) - Please choose one
The marketing plan is one of the most important outputs of:
► Business plan
► Marketing process
► Production process
► Selling plan
A marketing plan may be part of an overall Business Plan.
Question No: 2 ( Marks: 1 ) - Please choose one
A market leader firm can expand the total market through:
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► Decreasing distribution of the product
► Introducing the new usage of the product
► Eliminating some features of product
► Increasing cost
Question No: 3 ( Marks: 1 ) - Please choose one
Which of the following are the products bought by individuals and organizations for
further processing or for use in conducting a business?
► Specialty
► Industrial
► Shopping
► Consumer
Industrial Products: used in the production of other good
Question No: 4 ( Marks: 1 ) - Please choose one
The high cost, low sales volume and losses are likely to occur at the:
► Decline stage
► Introduction stage
► Maturity stage
► Growth stage
2. Market introduction stage
• Cost high
• Sales volume low
• Losses
Question No: 5 ( Marks: 1 ) - Please choose one
Aggressive pricing is associated with which of the following stage of product life cycle?
► Introduction
► Growth
► Maturity
► Decline
3. Growth stage
• Costs reduced due to economies of scale
• Sales volume increases significantly
• Profitability
• Prices to maximize market shar
Question No: 6 ( Marks: 1 ) - Please choose one
Which of the following is the leak-proof packaging that provides additional protection for
the primary container? www.vuaskari.com
► Primary packaging
► Secondary packaging
► Transport packaging
► Decorative packaging
Question No: 7 ( Marks: 1 ) - Please choose one
Packaging used for the ice creams is an example of which of the following?
► Decorative packaging
► Transport packaging
► Secondary packaging
► Primary packaging
Question No: 8 ( Marks: 1 ) - Please choose one
Which of the following marketing mix element generates revenue? www.vuaskari.com
► Promotion
► Price
► Place
► Product
Question No: 9 ( Marks: 1 ) - Please choose one
The buyer at ABC Furniture Store is informed that if he/she will increase his/her recent
order of fifteen mattress sets to twenty, she will receive a 14 percent price reduction. This
offer is due to a recent overstock condition at the factory and will not be available in the
future. What is the type of discount offered by ABC Furniture store?
► Trade
► Seasonal
► Non-cumulative
► Promotional
3) Trade discounts (also called functional discounts) –
These are payments to distribution channel members for performing some
function . Examples of these functions are warehousing and shelf stocking. Trade
discounts are often combined to include a series of functions, for example 20/12/5
could indicate a 20% discount for warehousing the product, an additional
12% discount for shipping the product, and an additional 5% discount for keeping
the shelves stocked. Trade discounts are most frequent in industries where retailers
hold the majority of the power in the distribution channel (referred to as channel
captains).
Question No: 10 ( Marks: 1 ) - Please choose one
BATA offered 10% discount on the sale of shoes at the end of winter season. What can
be the purpose of giving such discount?
► Reward the customers
► Move- out- of- date stock
► Encourage the salespeople
► To increase short term sales
Question No: 11 ( Marks: 1 ) - Please choose one
Which of the following is also known as accumulation discounts?
► Trade discount
► Non-cumulative quantity discount
► Cumulative quantity discount
► Quantity discount
•Cumulative quantity discounts (also called accumulation discounts). These are
price reductions based on the quantity purchased over a set period of time. The
expectation is that they will impose an implied switching cost and thereby bond the
purchaser to the seller.
Question No: 12 ( Marks: 1 ) - Please choose one
Many companies try to set a price that will maximize current profit. This strategy
assumes that company has knowledge of its: www.vuaskari.com
► Cost and production function
► Revenue and cost function
► Demand and market function
► Demand and cost function
Question No: 13 ( Marks: 1 ) - Please choose one
Companies that are involved in selling mass consumer goods and services are found in
which of the following markets?
► Business markets
► Consumer markets
► Global markets
► Government markets
CONSUMER MARKETS
Selling of mass consumer goods and services such as soft drinks, tooth pastes, TV
sets etc. Great time is spent in establishing superior brand image to be successful in
consumer product marketing. It requires clear understanding of target consumers,
the product, which meets their needs, communicating brand positioning more
forcefully and creatively etc. All this will help them establish number one or two
position
Question No: 14 ( Marks: 1 ) - Please choose one
Which of the following 4Ps of marketing mix involves in decisions regarding channels
coverage, assortments, locations, inventories or transports?
► Product
► Price
► Place
► Promotion
Question No: 15 ( Marks: 1 ) - Please choose one
While considering the place for a product which of the following is important for
customer? www.vuaskari.com
► Communication
► Convenience
► Customer cost
► Customer solution
Question No: 16 ( Marks: 1 ) - Please choose one
Which of the following is NOT a technique of measuring customer satisfaction and
monitoring customer’s complaint?
► Customer complaints database
► Web and telephone information hotlines
► Exit interviews
► Business analysis
Business Analysis
o estimate likely selling price
o estimate sales volume
o estimate profitability and breakeven poin
Question No: 17 ( Marks: 1 ) - Please choose one
A customer requirement about any product in which he/ she needs to avail core features
in that product, is called:
► Real need
► Stated need
► Unstated need
► Delighted need
b. Real need (wants a car which is lower in maintenance)
Question No: 18 ( Marks: 1 ) - Please choose one
Marketing starts with which of the following 4Ps?
► Product
► Price
► Place
► Promotion
Question No: 19 ( Marks: 1 ) - Please choose one
In which section of the marketing plan you would find the detailed information about the
marketing environment, market trends, customers and competitors?
► Situation analysis
► Product/market background
► Marketing strategies
► Market analysis
4. Summary of Situation Analysis
External threats, external opportunities, internal strengths, internal weaknesses, key
success factors in the industry, our sustainable competitive advantage, marketing
research etc must be carefully understood and analyzed. Information requirements,
research methodology and research results must be carefully ascertained at this
stage and carried out
Question No: 20 ( Marks: 1 ) - Please choose one
Which of the following is NOT an option available for market leaders?
► Reduce the product quality
► Improve customer service
► Protect the existing market share
► Expand the total market
Question No: 21 ( Marks: 1 ) - Please choose one
Especially for which type of products the marketers should view packaging as a major
strategic tool? www.vuaskari.com
► Convenience products
► Consumer shopping products
► Industrial products
► Specialty products
Question No: 22 ( Marks: 1 ) - Please choose one
When a firm or store offers a price reduction to customers who buy during off-peak
periods throughout the year, we say the firm is giving a(n) _____ discount.
► Functional
► Seasonal
► Annual
► Allowance
Question No: 23 ( Marks: 1 ) - Please choose one
The want satisfying power of a product or service is known as a/an:
► Desire
► Need
► Utility
► Motive
Question No: 24 ( Marks: 1 ) - Please choose one
In a television advertisement a group of teenagers is searching for some cold drinks to
quench their thrust. In their searching they find a shop and they purchase the soft drinks.
The selection of cold drink appeals to consumers’ _________ for liquid and attempts to
shape consumers’ _________ for the advertised product.
► Needs, preferences
► Wants, needs
► Needs, wants
► Want, preference
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Question No: 25 ( Marks: 1 ) - Please choose one
Which of the following is the part of implementation section of marketing plan?
► Critical path analysis
► Physical distribution
► Competitor indexing
► Brand equity
Question No: 26 ( Marks: 1 ) - Please choose one
These objectives are often the most suitable when firms operate in a market dominated by
a major competitor and where their financial resources are limited.
► Niche
► Hold
► Harvest
► Diversification
Help prepare for the sale of the business (harvesting)
Question No: 27 ( Marks: 1 ) - Please choose one
Suppose Nestle wants to expand its food products line. The managers conducted surveys
from customers to determine which food items would appeal to customers. Nestle is
currently in which of the following phase of new product development?
► Idea generation
► Idea screening
► Test marketing
► Business analysis
Question No: 28 ( Marks: 1 ) - Please choose one
As a marketer you want to use lower than normal prices as an ingredient in your firm’s
marketing strategy. The technique you would use is:
► Price lining
► Zone pricing
► Relative pricing
► Promotional pricing
Question No: 29 ( Marks: 3 )
Why price war is not beneficial for small companies?
Answer:
Price was is state of intense competition over the price of product
One competitor reduce the price other will lower its price to match and then a cycle of
price reduction starts. Which can leads of selling of product below the cost.
Normally smaller companies cannot compete and shut down.
Question No: 30 ( Marks: 3 )
Explain how Marketers can prolong the lives of many products in the maturity or
decline stages of the PLC? Also how can they move those products back to their
growth stage?
Answer:
In the decline stage of the marketing product development cycle, owners reduce or stop
marketing efforts and expenses. The plan is to lower the marketing efforts while your
competitors discontinue theirs.
If you keep selling the product while your competitor stop selling, then you can get the
market share which your competitor left. www.vuaskari.com
Question No: 31 ( Marks: 5 )
Describe quantity discounts and its types.
It is discount normally give on buying at large scale. Idea behind that is if we sell more
we can achieve the economy of scale and that benefit we can share with our customers.
Answer:
There are two type of two Types of Quantity Discounts
Cumulative:
This discount is based on the items purchased over the period of time. Like with in month
we have to purchase this much quantity for the entailment of discount.
No cumulative
It is based on the single bulk order buying. Idea behind that discount is that we can save
the shipping, billing , sales personal expenses.
Question No: 32 ( Marks: 5 )
The first step in the product development process is generation of ideas. Discuss what are
the internal and external sources of ideas? Why external sources are considered to be the
more important than internal source?
Answer:
Every new product development starts with idea generation. Idea generation is process to
produce large number of idea are produce. It should be ongoing process.
During idea one should not criticize the ideas of others.
Following are few ways for idea generation
Brainstorming session: In this whole team participate and everyone can give any idea
there will b no criticism on any idea.
Idea can be obtained by basic research and SWOT analysis
Idea can be obtained from customers.
Retailers
Focus groups.
Trade shows
Question No: 1 ( Marks: 1 ) - Please choose one
Which of the following has the largest market share in the relevant product market?
► Market leader
► Market challenger
► Market nicher
► Market follower
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Market Leader
The market leader is dominant in its industry. It has substantial market share and
often extensive distribution arrangements with retailers. It typically is the industry
leader in developing innovative new business models and new products (although
not always). It sometimes has some market power in determining either price or
output.
Question No: 2 ( Marks: 1 ) - Please choose one
Which of the following attacks the vulnerable part of a competitor?
► Market leader
► Market challenger
► Market nicher
► Market follower
Market Challenger
A market challenger is a firm in a strong, but not dominant position that is
following an aggressive strategy of trying to gain market share. It typically targets
the industry leader (for example, Pepsi targets Coke), but it could also target
smaller, more vulnerable competitors.
Question No: 3 ( Marks: 1 ) - Please choose one
Presenting the product concept to appropriate target consumers and getting their
reactions, describes which of the following options?
► Concept development
► Concept testing
► Commercialization
► Concept trial
• Concept Development and Testing
o develop the marketing and engineering details
. who is the target market
. what benefits will the product provide
. how will consumers react to the product
. how will the product be produced
. what will it cost to produce it
o test the concept by asking a sample of prospective customers what they think of
the idea
Question No: 4 ( Marks: 1 ) - Please choose one
Which of the following is the spread of idea from the source of invention to the ultimate
user or consumers?
► Innovation adoption process
► Innovation diffusion process
► Adoption process
► New product recognition
STAGES OF CONSUMER ADOPTION PROCESS
Let us first take a look at the INNOVATION DIFFUSION theory. An innovation
refers to anything perceived by some one as new. It may have a long history of
innovating product. But in true sense its an Innovation to the person, who sees it
and it is he who spreads it through a social system. INNOVATION DIFFUSION
PROCESS has been defined as “The spread of idea from the source of invention or
creation to the ultimate user or consumers”. Consumer Adoption Process focuses on
the mental process through which an individual goes through from first hearing
about the innovation to the final stage of adoption
Question No: 5 ( Marks: 1 ) - Please choose one
Gift baskets are the example of which one of the following types of packaging?
► Decorative
► Secondary
► Shipping
► Primary
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Question No: 6 ( Marks: 1 ) - Please choose one
Which of the following is NOT a use of secondary packaging?
► It is recyclable and environmentally safe
► It facilitates transportation, storage, and handling for middlemen
► It can not be reused for purposes other than its initial use
► It can be used as a promotional tool
Question No: 7 ( Marks: 1 ) - Please choose one
Which of following is an example of corporate brand?
► Rafhan foods
► Knorr
► National foods
► Mercedes
When a company's name is used as a product brand name, this is referred to as
Corporate branding
Question No: 8 ( Marks: 1 ) - Please choose one
Which of the following is also called as prestige price? www.vuaskari.com
► Skimming price
► Penetration price
► Psychological price
► Premium price
Question No: 9 ( Marks: 1 ) - Please choose one
Which of the following price will be used for the heart pacemaker?
► Skimming price
► Penetration price
► Psychological price
► Premium price
Question No: 10 ( Marks: 1 ) - Please choose one
A book shop has arranged a book fair and offered 20% discount on all types of books.
What will be the purpose of offering the discount?
► Reward the customers
► Move- out- of- date stock
► Encourage the salespeople
► To increase short term sales
Question No: 11 ( Marks: 1 ) - Please choose one
Which of the following is the effect of low price? www.vuaskari.com
► Reduction in market share
► Reduction in production
► Increase in profit margin
► Reduction in profit margin
Question No: 12 ( Marks: 1 ) - Please choose one
Which of the following markets involve buying and selling of goods for their utility and
enabling them to make or re-sell a product to others?
► Global markets
► Government markets
► Consumer markets
► Business markets
Question No: 13 ( Marks: 1 ) - Please choose one
Which one of the following 4Ps of marketing mix involves in decisions regarding list
prices, discounts, allowances and payment periods or credit terms?
► Product
► Price
► Place
► Promotion
Question No: 14 ( Marks: 1 ) - Please choose one
While considering the place for a product which of the following is important for
customer? www.vuaskari.com
► Communication
► Convenience
► Customer cost
► Customer solution
Question No: 15 ( Marks: 1 ) - Please choose one
Identify which one is an ancillary service.
► Delivery
► Promotion
► Labeling
► Packaging
The offering of ancillary services like credit availability, delivery, installation, and
warranty
Question No: 16 ( Marks: 1 ) - Please choose one
Which of the following is NOT a part of a broad environment?
► Economy
► Corporate culture
► Technology
► Demographics
Broad environment consists of; demographic, natural, economic, technological,
political-legal and sociocultural environmen
Question No: 17 ( Marks: 1 ) - Please choose one
Marketing starts with which of the following 4Ps? www.vuaskari.com
► Product
► Price
► Place
► Promotion
Question No: 18 ( Marks: 1 ) - Please choose one
Which of the following is NOT included in the financial summary of a marketing plan?
► Pro-forma income statement
► Month-by-month agenda
► Breakeven analysis
► Assumptions
Question No: 19 ( Marks: 1 ) - Please choose one
When a firm or store offers a price reduction to customers who buy during off-peak
periods throughout the year, we say the firm is giving a(n) _____ discount.
► Functional
► Seasonal
► Annual
► Allowance
Question No: 20 ( Marks: 1 ) - Please choose one
“The future isn’t ahead of us, it has already happened”. This sentence is closely related to
which of the following concept of marketing?
► Marketing Mix
► Marketing for the millennium
► New advancement in marketing
► Marketing research and innovation
Question No: 21 ( Marks: 1 ) - Please choose one
If an NGO purchases furniture for its office, it is purchasing a(an):
► Consumer good
► Consumer service
► Industrial good
► Industrial service
Question No: 22 ( Marks: 1 ) - Please choose one
Which of the following is the part of implementation section of marketing plan?
► Critical path analysis
► Physical distribution
► Competitor indexing
► Brand equity
Commercialization
o launch the product
o produce and place advertisements and other promotions
o fill the distribution pipeline with product
o critical path analysis is useful at this stag
Question No: 23 ( Marks: 1 ) - Please choose one
Which of the following is NOT an aggressiveness strategy with regards of marketing
strategies? www.vuaskari.com
► Harvesting
► Building
► Intensification
► Holding
• Horizontal Integration
o vertical integration
o diversification (or conglomeration)
o intensification
Question No: 24 ( Marks: 1 ) - Please choose one
A Company wants to create awareness about the features and befits of their products in
the market. Which of the following decisions are important to achieve this goal?
► Price decisions
► Place decisions
► Promotion decisions
► Product decisions
Question No: 25 ( Marks: 1 ) - Please choose one
Profits begin to decline during which of the following stage?
► Introduction
► Growth
► Maturity
► Decline
Question No: 26 ( Marks: 1 ) - Please choose one
Which of the following step involves determining the compatibility of product with
company’s objectives and resources on a general level? www.vuaskari.com
► Idea generation
► Idea screening
► Product development
► Business analysis
Idea Screening
o eliminate unsound concepts
o must ask three questions:
. will the target market benefit from the product
. is it technically feasible to manufacture the product
. will the product be profitabl
Question No: 27 ( Marks: 1 ) - Please choose one
The degree to which innovation is consistent with the values and experiences of potential
adopters is the characteristics of innovation referred to as:
► Communicability
► Complexity
► Divisibility
► Compatibility
Question No: 28 ( Marks: 1 ) - Please choose one
The most commonly used method of setting prices today is:
► Marginal analysis pricing
► Cost plus pricing
► Full cost pricing
► Break even pricing
Question No: 29 ( Marks: 3 )
Suppose a consumer product is at its maturity stage and as a marketing manager
you are assigned a task to suggest some strategies which company can adopt to
increase the sales volume at this stage. What strategies will you suggest at this stage
to increase the profit margins of the company?
Answer:
As a marketing manager I’ll suggest the following strategies
1- Reduction in publicity as product is mature and customers know it
2- Reduction in price because of economies of scale
3- Discounts and allowances
4- Efficient distribution channels
Question No: 30 ( Marks: 3 )
Why do companies use discounts and allowances?
Answer:
Companies use discounts and allowances for various reasons some of them are
1- To give reward to loyal customers
2- For short-term profit or market gain
3- To finish out-of-season stock
4- To make product prominent
Question No: 31 ( Marks: 5 )
Packaging can increase the sales of products but it can act vice versa as well. Explain it
with examples.
Answer:
Packaging is very important element in marketing mix. The objectives and goals of
packaging are many.
Mostly good packaging enhance product sale. But if packaging are not done with
planning or care then it can sabotage all the effort. Because mostly packaging is done for
the safety of the product and its transportation purposes. Suppose if the box or carton in
which a perishable product is enclosed it leaks then what will be the impression of that
product on customers. It will defame the product and company/brand.
The objectives that are gotten by packaging and labeling are
1- Safety
2- Agglomeration
3- Information
4- Advertising through labeling
5- Marketing by attractive packaging
Question No: 32 ( Marks: 5 )
Why price is considered to be one of the most flexible elements of the marketing mix?
Explain what are the factors that can influence the price of any product?
Answer:
Price is considered the most flexible thing in marketing mix because it helps to achieve
strategic as well as business goals and objectives like
1- Profitability (to achieve business/financial objectives)
2- To adjust price according to customer purchasing power(are customers able to
purchase at this price)
3- For market positioning www.vuaskari.com
Factors that can influence the price of any product:
Following factors influence the price decisions
1- Marketing strategic objectives
2- Current Market/economic situation
3- Customer’s purchasing power
4- Cost of the product
5- The decision of what pricing strategy you want to adopt e.g. cost plus profit,
premium price etc.
6- The objectives of the product or brand
7- Available resources
8- Distribution channels and their relative cost
Question No: 1 ( Marks: 1 ) - Please choose one
A market leader firm can expand the total market through:
► Decreasing distribution of the product
► Introducing the new usage of the product
► Eliminating some features of product
► Increasing cost
Question No: 2 ( Marks: 1 ) - Please choose one
Highest percentage of ideas for new products originates with/from which of the following
sources?
► Top management
► Customers
► Competitors
► Employees
Question No: 3 ( Marks: 1 ) - Please choose one
How many stages are there in the new product development process? www.vuaskari.com
► Six
► Seven
► Nine
► Eight
Question No: 4 ( Marks: 1 ) - Please choose one
All of the following are the sources of idea for new product development EXCEPT:
► Government agencies
► Competitors
► Suppliers
► Customers
sources of new-product ideas include
internal sources, customers, competitors, distributors and suppliers, and
others
Question No: 5 ( Marks: 1 ) - Please choose one
Which of the following is essential requirement for medicines and drugs?
► Secondary packaging
► Primary labeling
► Decorative packaging
► Mandatory labeling
MANDATORY LABELING
Mandatory labeling is the requirement of consumer products to state their
ingredients or components. Moral purchasing and avoidance of health problems like
allergies are two things which are enabled by
labeling. It is mandated in most developed nations, and increasingly in developing
nations, especially for food products.
With regard to food and drugs, mandatory labeling has been a major battleground
between consumer
advocates and corporations since the late 19th century.
Question No: 6 ( Marks: 1 ) - Please choose one
When a company’s name is used as a product brand name, this is referred to which of the
following?
► Economy brand
► Fighting brand
► Corporate brand
► Premium brand
. When acompany's name is used as a product brand name,
this is referred to as corporate branding.
Question No: 7 ( Marks: 1 ) - Please choose one
Often a very strong brand name or company name used for a range of products is known
as: www.vuaskari.com
► Brand development
► Multi branding
► Individual branding
► Family branding
When one brand name is used for several related products, this is referred to as
Family branding
Question No: 8 ( Marks: 1 ) - Please choose one
All of the following are true about price EXCEPT:
► Price is independent of the other elements of the marketing mix
► Price is the monetary value of a product
► Price is most flexible tool in the marketing mix
► Price is marketing mix element which produces revenue
Question No: 9 ( Marks: 1 ) - Please choose one
A company wants prompt payment from the customers. What type of discount will be
suitable for the company? www.vuaskari.com
► Seasonal discount
► Trade discount
► Quantity discount
► Cash discount
TYPES OF DISCOUNTS AND ALLOWANCES
The most common types of discounts and allowances are:
1) Cash discounts for prompt payment - These are intended to speed payment and
thereby provide liquidity to the firm. They are sometimes used as a promotional
device.
Question No: 10 ( Marks: 1 ) - Please choose one
Which of the following is NOT a technique of measuring customer satisfaction and
monitoring customer’s complaint?
► Customer complaints database
► Web and telephone information hotlines
► Exit interviews
► Business analysis
MIDTERM EXAMINATION
MKT501- Marketing Management
Fall 2009 2010 & 2011
All papers solved in one mega file
By Admin Binish Awais
www.vuaskari.com
Question No: 11 ( Marks: 1 ) - Please choose one
All are the expression of marketing concept EXPECT:
► Meeting needs profitably
► Find wants and fill them
► Sell what is produced
► Love the customer, not the product
Question No: 12 ( Marks: 1 ) - Please choose one
Order processing decisions are related to which of the following?
► Product
► Price
► Distribution
► Promotion
Distribution (Place) Decisions
Distribution is about getting the products to the customer. Some examples of
distribution decisions include:
• Distribution channels
• Market coverage (inclusive, selective, or exclusive distribution)
• Specific channel members
• Inventory management
• Warehousing
• Distribution centers
• Order processing
• Transportation
• Reverse logistic
Question No: 13 ( Marks: 1 ) - Please choose one
Identify the major components of the microenvironment.
► Company, suppliers, , customer markets, political forces, competitors and
intermediaries
► Company, suppliers, intermediaries,technological forces , competitors and
customer markets
► Company, suppliers, intermediaries, customer markets, competitors, and social
forces
► Company, suppliers, intermediaries, customer markets, competitors, and publics
The microenvironment refers to the forces that are close to
the company and ... itssuppliers, marketing intermediaries, customer
markets, competitors, and publics
Question No: 14 ( Marks: 1 ) - Please choose one
An advertising company’s ownership of radio, television and newspapers is an example
of:
► Backward vertical integration
► Forward vertical integration
► Horizontal integration
► Vertical integration
Forward vertical integration means buying out a customer (e.g. the car
manufacturer .... such astelevision, newspapers, magazines, cinema or radio
• In forward vertical integration, the company sets up subsidiaries that distribute
or marketproducts to customers or use the products themselves. An example of this
is a movie studio that also owns a chain of theaters
Question No: 15 ( Marks: 1 ) - Please choose one
Which of the following are the value maximizers for the organization?
► Customers
► Sellers
► Marketers
► Manufacturers
Customers are value-maximizers. They form an expectation of value and act
on it.
Question No: 16 ( Marks: 1 ) - Please choose one
Marketing management is a broader term and it covers which of the following?
► Marketing mix management
► Demand management
► Marketing process management
► All of the given options
Question No: 17 ( Marks: 1 ) - Please choose one
In a television advertisement a group of teenagers is searching for some cold drinks to
quench their thrust. In their searching they find a shop and they purchase the soft drinks.
The selection of cold drink appeals to consumers’ _________ for liquid and attempts to
shape consumers’ _________ for the advertised product. www.vuaskari.com
► Needs, preferences
► Wants, needs
► Needs, wants
► Want, preference
Question No: 18 ( Marks: 1 ) - Please choose one
Which of the following is the unique combination of benefits received by targeted buyers
that includes quality, price, convenience, on time delivery, and both before sale and after
sale service.
► The marketing concept
► Customer value
► The price-quality trade off
► Customer relationship management
http://highered.mcgrawhill.
com/sites/0072828803/student_view0/chapter1/multiple
_choice_quiz_a.html
Question No: 19 ( Marks: 1 ) - Please choose one
Marketing programs are most closely related to:
► Customer relationship management
► The marketing mix
► The four utilities
► Customer value
Question No: 20 ( Marks: 1 ) - Please choose one
Which of the following is the part of implementation section of marketing plan?
► Critical path analysispage no 28
► Physical distribution
► Competitor indexing
► Brand equity
Question No: 21 ( Marks: 1 ) - Please choose one
Which of the following is NOT an aggressiveness strategy with regards of marketing
strategies?
► Harvesting
► Building
► Intensification page no 18
► Holding
Question No: 22 ( Marks: 1 ) - Please choose one
Which of the following goods are purchased by customers after comparisons of
competing goods available in stores on the basis of price, quality, style and colors?
► Specialty goods page no 25
► Shopping goods
► Impulse goods
► Convenience goods
Question No: 23 ( Marks: 1 ) - Please choose one
Diversification is best described as which of the following?
► Existing products in new markets
► Existing products in existing markets
► New products for new markets
► New products
Question No: 24 ( Marks: 1 ) - Please choose one
One of the benefits of test marketing is,
► It saves on segmentation efforts to individual consumer
► It saves on total competitive advertising and promotional expenditures
► It can save the company from greater potential loss and embarrassment page no
27
► It is long run rather than short run planning www.vuaskari.com
Question No: 25 ( Marks: 1 ) - Please choose one
Which of the following are the opinion leaders in their community and adopt new
products early but carefully?
► Early adopters
► Early majority page#34
► Late majority
► Innovators
ref.
Secondly Early Majority. They are very careful people and take time to adopt things.
They tend to collect
information about the change or the product, study carefully and then adopt on the basis
of their merits.
Question No: 26 ( Marks: 1 ) - Please choose one
ABC Company sells the right to use their brand name by other companies for noncompeting
products, the company is following:
► Brand licensing page#38
► Co-branding
► Family branding
► Individual branding
ref.
When a company sells the rights to use a brand name to another company for use on a
non-competing
product or in another geographical area, this is referred to as Brand licensing.
Question No: 27 ( Marks: 1 ) - Please choose one
As a marketing manager, you decide to use psychological pricing as a straegy in pricing
your firm’s products. He pricing procedure you decide upon is:
► Odd pricing page#40
► Competitive pricing
► Unit pricing
► Trade in pricing
Question No: 28 ( Marks: 1 ) - Please choose one
A trade discount is also known as:
► Cash discount
► Seasonal discount
► Quantity discount
► Functional discount
ERM EXAMINATION
MKT501- Marketing Management
Fall 2009 2010 & 2011
All papers solved in one mega file
By Admin Binish Awais
