Saturday, July 21, 2012

Principles Of Marketing: Concepts Every Manager Needs To Know - 11

1. Which of the following functions of warehousing uses the warehouse as a station for transferring goods from one place to another?
[A]Stock mixing
[B]Batch method
[C]Cross docking
[D]Continuous method

2. Which of the following relates to a company assessing the monetary feasibility of its products, customer segments, territories, partners etc.?
[A]Annual-Plan control
[B]Profitability control
[C]Efficiency control
[D]Strategic control

3. The Promotional campaign “Malaysia truly Asia” tries to attract tourists to visit Malaysia. This type of promotion/advertising is known as
[A]Event marketing
[B]Person marketing
[C]Idea marketing
[D]Place marketing

4. In Canada, Coca-Cola Beverages has rolled out new marketing, technologies, and packaging to outmaneuver private-label Canadian cola bottlers, which have captured considerable market share. Coke will bring in a new just-in-time distribution system based on unit trains and cross-docking sales centers. Which of the following statements describes how Coke will most likely use its just-in-time (JIT) system?
[A]The just-in-time system will require Coke to purchase and/or lease more warehouse space
[B]The use of just-in-time means Coke does not have reliable demand for its product
[C]The just-in-time system will allow Coke to expand its product line without requiring additional investments
[D]The just-in-time system will allow Coke to operate with very low inventory levels

5. Which of the following deals with techniques for determining profitability at the market segment level, product level, distribution level and customer level?
[A]Contribution analysis
[B]Financial situational analysis
[C]Value analysis
[D]Marginal analysis

6. Smith's Fine Foods is involved in selecting and analyzing a target market and developing a marketing mix to gain long-run competitive advantages. Smith's is involved in
[B]Creating differentiation
[C]SWOT analysis
[D]Creating a marketing strategy

7. Among industrial products, items that are purchased routinely, that do not become part of the final physical product and are treated like expense items rather than capital goods, are called
[A]Raw materials
[B]Capital equipment
[C]Accessory equipment
[D]Component parts

8. Behavioral segmentation is an important variable for understanding different patterns of “behavior” among consumers. Which of the following statements is/are true about behavioral segmentation?
I. It is the best starting point for dividing market segments.
II. Occasion segmenting helps firms build up product usage.
III. A consumer buying toothpaste to prevent tooth decay, can be included in a segment of consumers seeking the same benefits.
IV. Split loyals are people who shift loyalty from one brand to another.
[A]Only (II) above
[B]Both (I) and (II) above
[C](I), (II) and (III) above
[D](II), (III) and (IV) above

9. Entry barriers are those things in place that can make entry into a market very hard. Which of the following is not an entry barrier?
[A]Economies of scale
[B]High capital requirements
[C]Low asset salvage value
[D]Proprietary products

10. Companies continually search for new customers in order to make profits and increase their sales volume. Which of the following is not helpful in attracting new customers?
[A]Developing advertisements
[B]Mailing to prospective customers
[C]Participating in trade shows and fairs
[D]Measuring the defection rate

11. The members of a product venture team who are instrumental in organizing new product development come from
[A]The marketing department
[B]The research and development department
[C]The production and finance departments
[D]Different functional areas of an organisation

12. Which of the following statements is/are not true about an administered vertical marketing system?
I. Two or more firms administrate the channel activities.
II. Firms with dominant market positions wield authority, command and cooperation from other channel members.
III. The system possesses a relatively low degree of inter-organisational management.
IV. Being independently owned and operated makes them different from traditional channels.
[A]Only (I) above
[B]Only (IV) above
[C]Both (I) and (II) above
[D]Both (III) and (IV) above

13. There are a number of characteristics that are distinguished by franchises. Which of the following is not one of these characteristics?
I. The franchiser owns a trade or service mark and licenses it to a franchisee in return for royalty payments.
II. The franchisee does not have to pay for the franchiser's name.
III. The franchisee pays for the right to be part of the system.
IV. The franchiser provides its franchisees with a system for doing business.
[A]Only (II) above
[B]Only (IV) above
[C]Both (I) and (III) above
[D](I), (III) and (IV) above

14. Businesses have gone through different phases or stages of marketing over years. Which of the following is true about the production era?
I. Say’s law-supply creates its own demand-was truly applicable in this era.
II. The market was a seller’s market.
III. Product features were given importance in this era.
IV. Companies focused on manufacturing processes.
[A]Only (I) above
[B]Only (IV) above
[C]Both (II) and (III) above
[D](I), (II) and (IV) above

15. Which of the following is incorrect when assessing the communication process?
I. It should monitor the consumer from pre-selling to post-consumption stages.
II. It can be sabotaged by ‘noise’ which prevents the receiver getting the intended message.
III. It has an encoding element by which the receiver assigns meanings to the symbols or illustrations he receives.
IV. It has some element of feedback.
[A]Only (I) above
[B]Only (III) above
[C]Both (I) and (III) above
[D]Both (III) and (IV) above