The World of Marketing
Which statement BEST describes marketing?
A. Convincing customers to buy products they do not need
B. Creating, communicating, and delivering value to customers
C. Producing as many products as possible
D. Advertising products through social media
B. Creating, communicating, and delivering value to customers
Which marketing function involves informing customers about a product and persuading them to buy it?
A. Pricing
B. Promotion
C. Financing
D. Distribution
B. Promotion
Your company had total sales of $5 billion last year, while your industry as a whole sold $50 billion. Your company’s sales divided by total industry sales equals 10%, or your
A. efficiency
B. ethics
C. market share
D. brand value
C. market share
A new customer moving into your area is a(n)
A. strength
B. weakness
C. opportunity
D. threat
C. opportunity
Which of the following is a true statement about the term “environment”:
A. it consists of your surroundings
B. it refers only to the earth and its resources
C. it has no effect on your performance
D. it applies to individuals, not businesses
A. it consists of your surroundings
What provides the basis for all marketing goals and actions?
A. pricing
B. planning
C. budgeting
D. retailing
B. planning
Gathering, accessing, synthesizing, evaluating, and disseminating data for use in making business decisions is the responsibility of
A. market planning
B. product/service management
C. marketing-information management
D. product development
C. marketing-information management
Crumbl and a local bakery both sell cookies to customers in the same community. They would MOST likely be considered:
A. Direct competitors
B. Indirect competitors
C. Suppliers
D. Intermediaries
A. Direct competitors
A company's experienced employees and strong reputation would both be classified as:
A. Opportunities because they can help the company grow
B. Strengths because they are positive internal factors
C. Strengths because they are positive external factors
D. Opportunities because customers value them
B. Strengths because they are positive internal factors
Consumers increasingly expect businesses to offer mobile ordering and contactless payment. Which environmental factor is MOST directly responsible for businesses developing these capabilities?
A. Economic
B. Political
C. Technological
D. Competitive
C. Technological
The purpose of communicating with customers is to
A. gather participants for a survey
B. befriend customers
C. determine prices
D. attract customers interest
D. attract customers interest
A product being in great demand is a factor that might encourage businesses to
A. decrease inventory
B. contact competitors
C. adjust prices
D. gather information
C. adjust prices
Which business would MOST likely be an indirect competitor of a movie theater?
A. Another theater showing the same movies
B. A streaming service offering at-home entertainment
C. A theater located five miles away
D. An IMAX theater
B. A streaming service offering at-home entertainment
A restaurant has outdated kitchen equipment at the same time that consumers are becoming increasingly interested in healthier food options. How should these factors be classified?
A. Equipment = weakness; healthy-food trend = opportunity
B. Equipment = threat; healthy-food trend = strength
C. Equipment = weakness; healthy-food trend = strength
D. Equipment = threat; healthy-food trend = opportunity
A. Equipment = weakness; healthy-food trend = opportunity
Interest rates increase significantly, causing consumers to delay purchasing expensive items such as cars and homes. Which environmental factor is MOST directly involved?
A. Sociocultural
B. Economic
C. Competitive
D. Technological
B. Economic
Of the following, which is a durable good:
A. coffee mug
B. insect repellent
C. hamburger
D. lip balm
A. coffee mug
Nike must determine how to move millions of pairs of shoes from factories to warehouses, stores, and customers. Which marketing function is MOST directly involved?
A. Product/service management
B. Distribution
C. Promotion
D. Selling
B. Distribution
A business that advertises a special sale as well as its delivery service is using a combination of __________ competition.
A. local and national
B. direct and indirect
C. perfect and monopolistic
D. price and nonprice
D. price and nonprice
An effective method for gathering external information for use in a SWOT analysis is
A. environmental scanning
B. competition scanning
C. threat scanning
D. opportunity scanning
A. environmental scanning
A fast-food company adds more high-protein menu options after noticing that consumers are increasingly interested in protein-focused diets. Which environmental factor triggered the change?
A. Sociocultural
B. Economic
C. Political
D. Competitive
A. Sociocultural
Which of the following activities is an aspect of marketing a service:
A. finding out customers favorite coffee flavors
B. Determining how much to charge for a haircut
C. offering a new, improved cell phone
D.advertising the state of Michigan on television
B. Determining how much to charge for a haircut
A coffee company notices that customers are buying fewer sugary drinks. It researches the trend and then develops several lower-sugar beverages. Which TWO marketing functions are MOST directly demonstrated?
A. Pricing and financing
B. Selling and distribution
C. Promotion and pricing
D. Marketing-information management and product/service management
D. Marketing-information management and product/service management
A new smoothie shop opens near a high school. It sells fruit smoothies, protein shakes, and smoothie bowls. Which option BEST identifies one direct competitor and one indirect competitor?
A.Direct: Tropical Smoothie Cafe; Indirect: Starbucks
B. Direct: Starbucks; Indirect: Target
C. Direct: Tropical Smoothie Cafe; Indirect: another local smoothie shop
D. Direct: Starbucks; Indirect: a nearby movie theater
B. Direct: Starbucks; Indirect: Target
A company's sales are declining because its website is difficult to use. Meanwhile, a competitor announces plans to open three new locations nearby. Which classification is correct?
A. Website = threat; competitor expansion = weakness
B. Website = weakness; competitor expansion = threat
C. Website = weakness; competitor expansion = opportunity
D. Website = threat; competitor expansion = threat
B. Website = weakness; competitor expansion = threat
A clothing retailer notices the following changes: consumers are spending less because unemployment has risen, customers increasingly prefer sustainable products, and tariffs have increased substaintially over the past year. Which environmental factors are represented, in order?
A. Sociocultural → Economic → Political
B. Political → Sociocultural → Economic
C. Economic → Technological → Legal
D. Economic → Sociocultural → Political
D. Economic → Sociocultural → Political