Marketing
A business that effectively coordinates channel management with marketing activities is more likely to provide
A.good customer service.
B.attractive product displays.
C.free delivery.
D.flexible credit terms.
A
Good customer service. Channel management is one of the marketing functions that must work with the other marketing activities to get goods and services from producers to consumers. The goal of marketing is to satisfy consumer wants and needs while achieving company goals. Businesses cannot satisfy those needs and provide quality customer service unless all the marketing activities work together. For example, businesses are only able to serve customers when they have the advertised items on hand and at the right price. Not all businesses need or use product displays, provide free delivery, or offer flexible credit terms
If a motel experiences a fire, earthquake, or severe flood, the motel staff should
A.administer first aid as soon as possible.
B.activate each motel room's sprinkler system.
C.call the appropriate medical professionals.
D.follow appropriate emergency procedures
D
Follow appropriate emergency procedures. Motels must be prepared to handle emergencies if they occur. Depending on the property's geographic location, the property might be more likely to experience some emergencies (e.g., earthquakes, floods) than others. And because the effects of natural disasters differ from one another, motels should have procedures for the various types of emergencies they are likely to encounter. A motel should thoroughly explain to employees the procedures for each emergency it might face. By preparing employees for each type of emergency, the employees can better respond and get guests, themselves,and coworkers out of harm's way. The sprinkler system usually goes off automatically when fires occur. Calling medical professionals and administering first aid may or may not be necessary and depends on the type of emergency at hand
What management function is responsible for coordinating resources in ways that maximize efficiency?
A.Organizing
B.Staffing
C.Directing
D.Controlling
A
Organizing. The organizing function of management focuses on setting up the way the business's work will be done. Organizing involves determining what resources the business needs and how the various resources will work together to accomplish the business's goals in the most efficient ways. Staffing is the management function of finding workers for the business. Directing is the management function of providing guidance to workers and work projects. Controlling is the management function that monitors the work effort.
What type of tax are businesses required to pay on the profits they earn?
A.Excise
B.Income
C.Sales
D.Property
B
Income. Income tax is a tax on profit. When businesses earn a profit from supplying goods and services to consumers, they pay a certain percentage of that profit to the government. The tax that businesses pay on the profits they earn is not an example of excise or sales tax. Property tax is a tax on material goods rather than on profi
Which of the following is one way that businesses use marketing information:
A.To predict change
B.To analyze data
C.To develop surveys
D.To conduct research
A
To predict change. Businesses need a wide variety of information in order to make decisions about how the business will market its goods or services. Businesses gather marketing information about their customers, the competition, the economy, and sales trends in order to predict what may occur in the future. The use of marketing information allows businesses to prepare for change and adapt in order to remain successful. Businesses often develop surveys and conduct research to obtain the marketing data they need to analyze in order to predict change
Which of the following characteristics is included in demographic segmentation:
A.Personality
B.Lifestyle
C.Location
D.Income
D
Income. Demographic segmentation is the division of a market on the basis of characteristics people have in common that affect their purchasing power. Income is one ofthose characteristics. Geographic segmentation divides markets according to where consumers are located. Lifestyle and personality are psychographic segmentation factors that group markets according to people's interests, values, activities, traits, and behavior
Trends indicate a rise in the number of people who like to bring their dogs with them on vacation. To accommodate this travel trend, there arean increasing number of
A.all-inclusive resorts.
B.residential dog parks.
C.pet-friendly hotels.
D.boutique pet stores.
C
Pet-friendly hotels. Because many people consider pets to be important members of their families, they often prefer to travel with them. Many hotel chains and destination rental properties are beginning to provide pet-friendly accommodations. Some boutique hotels even provide special services to pamper pets such as grooming, spa, and walking services. Many communities are opening dog parks, which tend to attract local residents that need a place for their pets to exercise rather than travelers. All-inclusive resorts are those in which food and beverages are included in the price ofthe guest's stay. All-inclusive resorts may or may not allow pets on the property
When entering into a contract with another business, an agent is the party that represents the
A.consultant.
B.defendant.
C.opposition.
D.principal.
D
Principal. In the legal system, an agent is a person who acts on the behalf of his/her client. The client is called the principal. A defendant is a person who is charged with a tort or crime. Opposition refers to the other party involved in a contract or dispute. A consultant is an advisor.
What can you do to help your company control expenses?
A.Focus strictly on how much work you can get done. B.Follow company policies and procedures.
C.Handle sales transactions as quickly as possible. D.Carry out research and development activities
B
Follow company policies and procedures. Most businesses have specific policies that provide guidelines for the ways in which employees are expected to carry out their tasks. Following these guidelines can save the business money. For example, some company policies limit the time during which customers can return purchases. When employees follow this rule, the company avoids losing money on products it can neither return to the vendor nor sell to other customers. Although you should try to work as efficiently as possible, it's not a good idea to focus strictly on how much work you can get done. The quality of the work is often moreimportant than the quantity. Instead of handling customer transactions as quickly as possible, it's better to focus on accuracy. Handling sales transactions correctly is a great opportunity to save the company money. Carrying out research and development activities is one of the effectsof expense control, not a way an employee can help his or her company with expense contr
When a supervisor evaluates an employee's performance, the evaluation should be based on the __________ standards.
A.organization's
B.supervisor's
C.competition's
D.employee's
A
Organization's. Each organization, or business, develops standards for evaluating an employee's performance. When supervisors evaluate employees, they should rate them according to established standards. An employee is more likely to resent a negative evaluation if it is based on the supervisor's standards. Evaluations are not based on the standards set by employees or competitor
To develop a better understanding of a problem's complexity, marketing researchers often gather background information about the issue via a __________ analysis
A.competitive
B.situation
C.SWOT
D.break-even
B
Situation. A situation analysis is a tool that is often used to gather background information about a current business situation or problem. Researchers use the information that they gather via a situation analysis to familiarize themselves with the complete problem or issue. This information may help researchers to identify what caused the problem, as well as possible consequences of the issue. A competitive analysis is the process of comparing a business's income statement with that of its competitors to see how it is doing by industry standards. A SWOT analysis is a marketing tool that investigates a business's strengths, weaknesses, opportunities, and threats in an organized fashion. A break-even analysis is a financial analysis whose purpose is to identify the level of sales needed to reach the break-even point at various prices.
Which of these lodging services would most likely be automated using software:
A.Registration
B.Concierge
C.Room setup
D.Sales forecasting
A
Registration. Software best handles routine tasks such as registration. Registration can be handled online, over the phone, or in person. All registrations go into a software program. This makes it easy to analyze sales and marketing data. Concierge and room setup services are performed by humans. Sales forecasting is not a service
Which of the following are examples of capital goods:
A.Trucks, drum scanners, and minerals
B.Bull dozers, photocopiers, and roads
C.Tractors, laborers, and cranes
D.Refineries, iron ore, and computers
B
Bull dozers, photocopiers, and roads. Capital goods are manufactured or constructed items that are used to produce goods and services. Bull dozers, photocopiers, roads, trucks, drum scanners, tractors, cranes, refineries, and computers are types of capital goods. Laborers are human resources. Minerals and iron ore are natural resources
What is the most negative information possible on a credit report?
A.Collection agency report
B.Late payment
C.Lien
D.Bankruptcy
D
Bankruptcy. Bankruptcy is the last-resort action for poor credit. Late payments, liens, and collection agency reports all appear on a credit report, but none have as negative of an impact as bankruptcy
The FPD Company keeps copies of its brochures, catalogs, and flyers on file for future reference. This is an example of a company that is maintaining __________ records.
A.inventory
B.legal
C.promotional
D.asset
C
Promotional. Promotional records are documents containing information about the various types of communication that businesses use to inform, persuade, or remind customers of their products, images, or ideas. Businesses often keep copies of their promotional materials in case they need to refer to them in the future for some reason (e.g., to answer customer inquiries). Contracts, permits,and leases are examples of records that businesses keep for regulatory and legal purposes. Inventory records contain information about the types and quantities of materials or products the business has available or on order. Asset records contain information about the things that a business owns, such as the equipment and furniture it uses to operate.
Which area of promotion will pricing affect?
A.Choice of transportation channels
B.Advertising budget
C.Where the product is offered
D.Materials used in production
B
Advertising budget. Companies that selllow-priced items will not have as large an advertising budget as companies with higher priced items. Place decisions, including consideration of transportation channels and market location, as well as product decisions, such as selection of production materials, are not areas of promotion.
One of the services provided by some professional organizations in the travel and tourism industry is training that leads to obtaining
A.online instruction.
B.firsthand experience.
C.college degrees.
D.certification.
D
Certification. Some professional organizations in the travel and tourism industry provide training that results in conferring a certificate of completion. This certification indicates that an individual has completed an approved training course and is qualified to perform certain functions. For example, the National Tour Association awards a certificate to tour professionals who take specific courses and have at least five years of experience in the tour industry. Not all training programs provide firsthand experience. Professional organizations do not award college degrees. Some courses are offered online as a way for participants to obtain certification
Madelyn is responsible for selecting Elite Manufacturing Company's new payroll-processing vendor. Madelyn has narrowed down her selection to three vendors and is favoring Pay Day Enterprises, the small company where her brother works. The primary concern with Pay Day is that it has never handled payroll for a company as large as Elite, which presents a business risk to the manufacturing company. This situation illustrates an ethical issue related to
A.levels of service.
B.financial reporting methodology.
C.a conflict of interest.
D.the company's structure.
C
A conflict of interest. Because Madelyn's brother works for a potential vendor, Madelyn may not be able to be objective and neutral when making a final selection for her employer's new payroll-processing provider. Whenselecting a vendor, it is important to be objective and consider all of the advantages, disadvantages, and potential risks with each candidate. A vendor that has not worked with large companies may not have the resources readily available to provide adequate service. Because Madelyn has a conflict of interest in this situation, she may want to seek input from her managers or formally request that someone else make the final decision. The situation presented does not involve an ethical issue related to financial reporting methodology, levels of service, or the company's structur
By understanding the time value of money concept, you know that
A.saving money can buy time on debt payment.
B.it is better to receive $101 a year from now than $100 today.
C.it is better to receive $100today than $101 a year from now.
D.time and money are related by due date.
C
It is better to receive $100 today than $101 a year from now. According to the concept of the time value of money, the sooner money is received the more time you have to let it grow. Receiving money later costs you the opportunity to earn interest or other appreciation. Saving money will not buy time on debt payment. Time and money are not related by due date
The future that you desire to create is known as a
A.mission statement.
B.goal.
C.prediction.
D.vision.
D
Vision. Vision is the future you desire to create. A goal is an objective or want that you plan to fulfill. A prediction is a forecast made about the future. A mission statement is a brief summary of what a business owner wants a business to be doin
A department store sells clothing from brands like Levi's, but it also sells its own private brands of clothing, also known as __________ brands.
A.business
B.corporate
C.value
D.distributor
D
Distributor. Distributor brands are owned by the retailer or wholesaler that sells the brands, rather than the manufacturer. Store brands and private brands are two types of distributor brands. Corporate brands are all the combined customer impressions and experiences associated with a particular company. Value and business brands are not terms typically used to refer to distributor brands.
What characteristic of the hospitality and tourism product is described in the following scenario: If an airline sells 150 of 200 seats on an airplane, the airline cannot inventory the seats until the next flight and sell 250 seats.
A.Perishability
B.Seasonality
C.Standardization
D.Inseparability
A
Perishability. If the 50 seats on the airplane go unsold, they are lost forever because they cannot be stockpiled or inventoried for a later flight. Inseparability refers to the need for the customer and service provider to be present for the service to be performed—the service provider cannot be separated from the service. Although businesses train employees to provide the same quality of outstanding service, in effect attempting to standardize the service provided, services are performed by people whose personalities, attitudes, and abilities vary. While many hospitality and tourism services are seasonal, the scenario does not relate to that characteristic
Frederic used to own the only pizza place in town—until a new place opened up. Even though Frederic's never been to the new pizza place, he tells everyone he meets that the new place uses inferior ingredients and has been investigated by the health department. He even leaves negative reviews of the pizza place online. Which business tort do Frederic's actions fall under?
A.Wrongful interference
B.Unfair competition
C.Copyright infringement
D.Disparagement
D
Disparagement. Frederic is making false statements about the quality of the new pizza place's food and the cleanliness of the restaurant. He is also leaving false negative reviews of the pizza place online. This constitutes disparagement. This is not an example of unfair competition or wrongful interference. Frederic is not infringing on the new pizza place's copyright
A new employee left JRB Manufacturing two weeks after s/he completed the company's training program. The expense of training the new employee is a(n) __________ for the company.
A.external cost
B.sunk cost
C.current asset
D.capital liability
B
Sunk cost. Sunk costs are costs that are incurred and cannot be recovered. In the situation described, the business spent money to train an employee who quit shortly thereafter. The business will not be able to recoup the training costs because the employee is no longer there to perform the work that s/he was trained to do. Training is an internal cost. Current assets include things such as inventory, cash, accounts receivable, etc. A capital liability is the responsibility incurred when purchasing a capital asset such as a building or a piece of equipment. This often involves borrowing a large amount of money to obtain the asset
Which of the following payback periods in a cost/benefit analysis would businesses prefer if all other things were equal:
A.2 years
B.1 year
C.3 years
D.4 years
B
1 year. Businesses prefer a short payback period. This is the point at which a decision begins to pay for itself. In other words, the payback period is the time it takes for the benefits of a change to repay its costs. Another term for payback period is break-even point