Functions of Marketing
Which major marketing function communicates information to consumers about a business?
A. Pricing B. Promotion C. Product D. Place
B. Promotion
An apparel store groups its audience into categories such as teenagers (ages 13–19), young adults (ages 20–35), and retirees (ages 65+). Which segmentation variable is being used?
A. Psychographic
B. Geographic
C. Behavioral
D. Demographic
D. Demographic
What is COGS?
A. Carry Over Goods Spent
B. Cost of Goods Sold
C. Counting Out Guessed Expenses
D. The revenue before removing expenses
B. Cost of Goods Sold
An entrepreneur evaluates a prospective startup idea by analyzing internal Strengths and Weaknesses alongside external Opportunities and Threats. What business planning tool is being utilized?
A. PEST analysis
B. Break-even analysis
C. SWOT analysis
D. Risk assessment matrix
C. SWOT analysis
Answers may vary.
An electronics store sponsors a local youth sports team and sends out monthly digital flyers to highlight upcoming sales events. Which 4 P's component do these activities fall under?
A. Promotion B. Product C. Place D. Price
A. Promotion
A business decides to market a heavy-duty winter boot exclusively to residents living in northern climates with severe snowfall. What primary segmentation factor guides this strategy?
A. Psychographic
B. Geographic
C. Demographic
D. Behavioral
B. Geographic
A local restaurant collects $15,000 in customer payments during a week of operation. What financial term refers to this total amount of money brought in before deducting any expenses?
A. Net income
B. Profit margin
C. Revenue
D. Retained earnings
C. Revenue
A store associate greets a walk-in customer, asks open-ended questions to determine their specific needs, and presents two matching products. Which core phase of selling is actively occurring?
A. Need discovery and presentation
B. Follow-up and suggestion selling
C. Cold calling and prospecting
D. Post-purchase evaluation
A. Need discovery and presentation
What is the capital of Pennsylvania?
A. Philadelphia
B. Pittsburgh
C. Hershey
D. Harrisburg
D. Harrisburg
A business decides to re-evaluate its distribution channels to ensure products reach customers faster and more cost-effectively. Which element of the marketing mix is the business directly addressing?
A. Price B. Place C. Product D. Promotion
B. Place
A detailed document that describes a target customer's age, income level, education, hobbies, and spending habits is known as a customer:
A. Profile
B. Survey
C. Segment
D. Feedback log
A. Profile
A bakery owner spent more money on flour, sugar, packaging, and employee overtime during a busy holiday month. These costs fluctuate are classified as:
A. Fixed expenses
B. Overhead fees
C. Variable expenses
D. Depreciation
C. Variable expenses
During an economic downturn, overall consumer spending decreases, forcing companies to lower production levels and lay off employees. Which phase of the business cycle does this describe?
A. Peak
B. Expansion
C. Recession
D. Recovery
C. Recession
An employee at a electronics retail chain notices a co-worker taking store inventory without paying for it. Reporting this action to management aligns directly with which aspect of workplace conduct?
A. Business ethics
B. Public relations
C. Customer service
D. Market research
A. Business ethics
Which marketing function involves collecting, analyzing, and using data about customer behavior and competitor strategies to improve business decision-making?
A. Marketing Information Management
B. Pricing
C. Product/Service Management
D. Selling
A. Marketing Information Management
A bakery categorizes its customers based on their buying habits, store loyalty, and frequency of purchases. Which type of market segmentation is being utilized?
A. Geographic
B. Demographic
C. Behavioral
D. Psychographic
C. Behavioral
A lawn care company earns $50,000 in total sales revenue for the quarter and incurs $30,000 in total expenses. What is the business's net profit for the quarter?
A. $80,000
B. $30,000
C. $20,000
D. $50,000
C. $20,000
A sole proprietor assumes unlimited personal liability for all debts and legal obligations incurred by the business. Which legal business structure offers limited liability protection while avoiding corporate double taxation?
A. Partnership
B. Limited Liability Company (LLC)
C. Sole Proprietorship
D. General Partnership
B. Limited Liability Company (LLC)
An athletic apparel company creates an ad campaign featuring a famous professional basketball player using their sneakers during a championship game. Which promotional method is being used?
A. Personal selling
B. Endorsement
C. Sales promotion
D. Direct mail
B. Endorsement
A retail store salesperson works directly with a customer to answer questions, explain product features, and overcome objections to complete a purchase. Which core marketing function does this describe?
A. Promotion B. Financing C. Selling D. Market Planning
C. Selling
A business creates marketing messages aimed at budget-conscious parents who value convenience and time-saving solutions. Combining lifestyle values with family stage demonstrates the use of:
A. Geographic and behavioral profiles
B. Demographic and psychographic profiles
C. Purely demographic profiling
D. Mass market strategy
B. Demographic and psychographic profiles
A boutique calculates that its net income is $15,000 on total sales revenue of $100,000. What is the store's profit margin percentage?
A. 85%
B. 15%
C. 115%
D. 30%
B. 15%
A prospective home buyer tells a real estate agent, "I really like this house, but the kitchen renovation cost feels like too much of a financial burden right now." Which response by the salesperson demonstrates the most effective technique for handling this price objection?
A. "If you can't afford the kitchen updates today, we should probably look at smaller properties in a lower price range."
B. "I completely understand that concern, but let's look at how the sellers are offering a $10,000 credit at closing to offset those remodeling costs."
C. "Would you be ready to sign the purchase agreement today if we finalize the contract within the next hour?"
D. "Let me take down your contact information and call you next week to see if you have changed your mind."
B. "I completely understand that concern, but let's look at how the sellers are offering a $10,000 credit at closing to offset those remodeling costs.
What is 10% of $185.00?
A. $10.00
B. $0.85
C. $18.50
D. $92.50
C. $18.50