Upgrade to remove ads
MK 3010 (Exam 2 Chapters 9, 10, 12)
Exam 2 Chapters 9, 10, 12
Terms in this set (182)
Candace doesn't want another company to copy her idea for a self-charging phone case. To protect her idea, Candace should file for a _____.
The Consumer Product Safety Commission has the power to _____.
remove a toy from the market if it posed a choking hazard
______ arrangements, which competing channel members enter into, are considered illegal in the United States because they suppress market competition and negatively impact consumers.
In which two instances do ethical dilemmas tend to occur in multichannel distribution systems? (Check all that apply.)
When customers' Place needs change
When there are shifts in the competition
The failure rate for small retailers in the United States is _____.
Which of these products is protected by copyright law?
A musical score
As a demonstration of their innovation in the grocery industry, in a typical year, Frieda's wholesale introduces about ______ new products.
Which governmental body was set up to encourage safety in product design and better quality control?
Consumer Product Safety Commission
What is the term for wholesalers who own the goods they sell to others?
______ distribution agreements can be affected by U.S. antimonopoly laws.
What do service wholesalers do?
perform every wholesaling activity
Ethical dilemmas can rise in ______ because not everyone will win.
In the United States, ____ of all retail operations are classified as small.
General merchandise, single-line, and specialty are three types of merchant wholesalers known as _____________ wholesalers.
True or false: Frieda's Wholesale knows that tradition is the key to success and relies on traditional food items to meet the demands of its retail clients.
Windy City Supplies offers a broad line of products, including hardware, furniture, industrial equipment, clothing, and sporting goods, to many different retailers in the Chicago area, including hardware stores, furniture stores, sporting goods stores, department stores, and convenience stores. Windy City Supplies is which type of wholesaler?
What is a characteristic of merchant wholesalers?
They focus on offering specific types of goods.
A wholesaler known as a(n) ______ wholesaler participates in every wholesaling function.
Wholesalers carrying fewer types of products and supplying limited-line retailers are known as ______-line retailers.
Which of the following are types of service wholesalers? (Check all that apply.)
What is an advantage of specialty wholesalers?
They provide more customer assistance
What are some characteristics of the product lines of general merchandise wholesalers? (Check all that apply.)
They do not spoil.
They are varied.
Retailers known as ______-function wholesalers participate in select (but not all) wholesaling activities.
Except for the payment required, the activities of service wholesalers resemble the activities of what other type of wholesaler?
Limited-function wholesalers who sell products but do not touch, store, or ship them are known as what type of wholesalers?
Service wholesalers that offer more limited types of goods than general merchandise firms are known as what type of wholesalers?
What is one advantage that truck wholesalers offer?
They can quickly provide goods before they spoil.
Service wholesalers that stock a very narrow range of products and offer more service are known as what type of wholesalers?
Wholesalers who engage in certain wholesaling activities (but not all wholesaling activities) are known as what kind of wholesalers?
Music Unlimited manages all of the music items for Klein's retail stores. Klein's relies on Music Unlimited to decide which titles to place in the local retail stores and applies that knowledge in other stores. What type of wholesaler is Music Unlimited?
What type of wholesalers require their customers to pay for their purchases with cash only?
Limited-function wholesalers who use booklets that feature goods that customers can order are known as what type of wholesalers?
What kind of wholesalers do not carry stock, but take orders and give these orders to manufacturers?
Wholesalers who do not possess products themselves but help others with their retail transactions are known as wholesalers.
Limited-function wholesalers that provide goods that they store in their vehicles are known as ______ wholesalers.
What are two characteristics of a manufacturers' agent? (Check all that apply.)
Sell goods from different manufacturers
If a global company needs help understanding the market in different areas of the world, the company can turn to what type of agent?
Export or import
It is the job of a ______ to specialize in hard-to-handle product assortments that a retailer doesn't want to manage.
A broker usually has a _____ relationship with the buyer and seller in a transaction.
If customers use booklets to study products and then place their orders online, by phone, or through the mail, they are using the services of what type of wholesalers?
What are some common responsibilities of selling agents? (Check all that apply.)
Wholesalers who do not take title to goods, but focus more on purchasing and selling are what type of wholesalers?
What is the term for places where goods are offered and purchased through the use of bids?
What kind of wholesalers receive commissions for selling multiple manufacturers' goods?
Agents who focus on retail transactions in different countries are known as _____ agents.
export or import
Brokers who unite manufacturers and customers earn ______ from the entity that employed them.
What is the term for the type of agents who assume all marketing responsibilities for manufacturers?
Products that experience quick shifts in supply and demand, such as livestock, are often sold through ______ companies.
Workers known as ______ unite businesses offering goods with businesses purchasing goods.
The four stages new-product ideas go through are known as _____.
the product life cycle
Which of the following typically occur in the market introduction stage of the product life cycle? (Check all that apply.)
Firms inform customers about the product.
Sales are low.
Customers are not seeking the product.
Which market situation is typical of the market growth stage of the product life cycle?
Which of the following occur in the market maturity stage of the product life cycle? (Check all that apply.)
Competition gets tougher.
Industry profits decline.
Which of the following occur in the sales decline stage of the product life cycle? (Check all that apply.)
New products replace old.
Price competition becomes vigorous.
Strong brands can make profits.
True or false: The sales and profits of an individual brand always follow the product life-cycle pattern.
Sales of an individual product or brand will ______ follow the product life-cycle pattern.
The product life-cycle concept ______ indicates precisely how long each stage will last.
Rapidly changing ______ is one reason why product life cycles are getting shorter.
If a new product has a greater comparative advantage over products already on the market, sales will tend to _____.
grow more rapidly
The first company to introduce a new product to a market is known as a(n) ______.
Firms that sell ______-related products should expect short product life cycles.
Which of the following should impact marketing strategy planning? (Check all that apply.)
How fast the product is moving to the next stage
Where a product is in its life-cycle stage
Because introducing a new product is expensive, a marketing manager may try to the market--- charging a relatively high price to help pay for the introductory costs.
True or false: Marketing managers should focus on informing customers about their brand during the market growth stage of the product life cycle.
Competitive advantage is especially important in ______ product-markets.
Many firms respond to the increased competition of the market ______ stage of the product life cycle by slashing prices in order to maintain market share.
Finding a new use for an existing product in a mature market has the potential to ______.
stimulate sales growth
A phase-out strategy should be implemented _____.
______ is essential if a company is going to survive in today's dynamic markets.
New product development
An offering that is different in any way from a company's other products is known as a(n) ______ product, even if it is a refined version of a previous product.
The introduction of camera technology to cell phones, which required users to learn relatively minor new behaviors, is an example of a(n) _____.
dynamically continuous innovation
Seeing sales of its tennis balls in decline, the brand manager at Tennis Pro International made minor changes to the brand's packaging (moving from three-ball packages to four-ball packages) and promoted this as a new product. How would the Federal Trade Commission respond to this decision?
It probably would not approve of it.
The cost of new-product development is typically ______ and the associated risk of failure is ______.
What are four common reasons why new products may fail? (Check all that apply.)
The product is not designed well.
A company underestimates the competition.
The marketing plan for the product is weak.
The benefit offered is not unique.
Match the activities (on the right) with the appropriate step of the new-product development process (on the left).
Idea generation-(Solicit ideas from customers)
Screening-(Idea fit with company objectives)
Idea evaluation-(Concept testing)
Commercialization-("Roll out" product in select markets)
It is important to evaluate a new idea's return on investment and likely ___________.
profitability or profits
When companies use their competitors as sources of new-product ideas, they often ______.
disassemble competitors' products in order to reverse engineer their innovations
You would conduct a S.W.O.T. analysis in the _____ phase of the new product development process.
Concept testing in the form of focus groups, surveys, or online testing are all ways to conduct ______.
In the ______ step of the new-product development process, the physical product is designed.
A sunglasses manufacturer that develops a sample of a new product design to test among employees and customers has produced a(n) ______.
It is important that a firm _____ in the new-product development process.
should not skip steps
Which of the following factors are important to new product success? (Check all that apply.)
Offering superior customer value
Effective product design
Effective transitions from idea to market
An organizational culture that emphasizes ______ can generate more ideas.
The major responsibility of most product managers or brand managers is ______.
A firm that attempts to provide superior customer service by focusing on quality throughout each of its activities is engaging in ______.
total quality management (TQM)
Which of the following are ideas consistent with total quality management? (Check all that apply.)
Poor quality equals lost customers.
It is less expensive to do things right the first time.
Everyone in the company should care about quality.
Continuous improvement means that an organization strives to ______.
constantly make things better
Matthew received a pacemaker to help the arrhythmia he is experiencing with his heart. The pacemaker provides a continual stream of information that is monitored by specialists at the heart clinic and if they notice any indicators of concern, they contact Matthew and he reports to the clinic for assessment. What is helping the heart clinic improve the quality of care Matthew is receiving?
Direct contact between the customer and the company occurs most often among ______ organizations.
Two keys to improving service quality are ______.
training and empowerment
The cost of ______ is lost customers.
poor quality product
What part of the marketing mix concerns the distribution channels used to get a product to the consumer?
When shopping for homogeneous goods, consumers are most likely to focus on _____.
________ decisions often have long-run effects and are harder to change than Price decisions.
Associated Farmers' Products is a new producer of fruit and vegetable products. The company uses wholesalers and retailers to get its goods to consumers. This is an example of a(n) ______ channel system.
What two advantages does a marketer gain by using direct distribution? (Check all that apply.)
Ability to transform its marketing mix rapidly
Sensitivity to shifts in customer moods
Barnum Manufacturing makes component parts for bicycles which it sells directly to companies that make the bicycles. This is an example of a ______ transaction.
TaxWizard is a tax preparation company with millions of customers worldwide. Because their services are typically produced in collaboration with customers, TaxWizard may be said to use a(n) ______ channel of distribution.
A company produces clothing and household items and sells them to customers via the Internet. This company is using a(n) ______ distribution system.
Which of the following are reasons an intermediary might refuse to work with a producer? (Check all that apply.)
Because the producer is unknown to the intermediary
Because the producer is selling a new product
A woman visited a local and independent mortgage broker to secure a home loan. The independent broker was able to help her decide which one of the various mortgage products would best fit her needs. In this situation, the broker served as a(n) ______ who provided the buyer with information.
True or false: When a company serves multiple target markets, it may choose to sell direct to consumers and also indirectly through intermediaries.
An indirect channel of distribution is often the best choice because an intermediary can help a producer _____.
serve customers better at a lower cost
Aloha Clothing is a manufacturer that promotes its products using Internet commercials and postcards that are mailed to target customers. Aloha Clothing uses _____ to reach its customers.
The difference between the quantity of products it is economical for a producer to make and the quantity final users or consumers normally want is known as which of the following?
Discrepancy of quantity
Activities that solve discrepancies of quantity and assortment throughout an entire distribution channel are called ______ activities.
Which regrouping activity would be beneficial in an agricultural market that consists of many small producers?
Javier Sugar Company collects crops from small sugarcane plantations throughout the Jamaican countryside. The company then exports the large quantity of crops to sugar manufacturers internationally. This is an example of which regrouping activity?
The regrouping activity that divides larger quantities into smaller quantities as products get closer to the final market is referred to as ______.
Separating products into grades and qualities desired by different target markets is called ______.
Putting together a variety of products to give a target market what it wants occurs in which regrouping activity?
True or false: The idea of a shared product-market commitment, when all channel members focus on the same target market, has traditionally been the way most firms have handled channel relationships.
In ______ channel systems, the various channel members make little or no effort to cooperate with each other.
Jenna works for a company that manufacturers rain boots. Recently, the company started selling the boots directly to consumers online, but decided to stop this practice after receiving complaints from retailers who also sold the company's boots. What was Jenna's company hoping to accomplish by removing the online site?
Avoid conflict with the retailers
Some firms enlist a channel _____ to direct the activities of an entire channel.
A multinational corporation produces many of the world's consumer product brands in the categories of food, beverages, cleaning agents, and personal care products, which are sold in many different retail stores. It would be common for this corporation to ______.
take the lead in channel relations
What are two reasons an intermediary might be better suited to lead a channel than a producer? (Check all that apply.)
Because it has data about the final user
Because it is closer to the final user
What are the three types of vertical marketing systems? (Check all that apply.)
In a(n) ______ channel system, a firm may play the role of producer, wholesaler, and retailer.
In an administered channel system, what types of agreements might channel members make? (Check all that apply.)
To share inventory information
To work together on promotions
Selling a product through all appropriate wholesalers or retailers who will stock or sell the product is known as ______.
Camphor Inc. needed to sell more batteries. These are normally an impulse purchase; most people do not go out to a battery store on a regular basis. Camphor needs to pursue a(n) _______ distribution strategy.
In order to only use better-than-average intermediaries, Samson Co. uses ________ distribution.
What channel system would be best for a company to select to avoid selling to wholesalers and retailers that have a poor credit rating?
In the early years, Nike sold its running shoes through retailers that catered primarily to the running market. Then, the company began offering products in many more retail outlets. You can now find Nike products in almost any retailer that carries footwear. Nike's distribution strategy moved from ______ to ______.
In order to maintain high prices, Luxe does not want its retailers to discount its watches. In addition, Luxe demands that its retailers offer only the highest level of service to its customers. The company only has one retail location in any city. Luxe uses a(n) ______ distribution system.
Using several competing channels to reach the same target market is called ______.
There has been growth in multichannel distribution mainly because ______.
it is the way customers want to shop
A reverse channel is a way for a company to ______.
get back its products from customers
What are the five approaches a firm might use to enter international markets? (Check all that apply.)
Selling some of what the firm produces to foreign markets is called ______.
Selling the right to use some process, trademark, patent, or other rights for a fee or royalty is called ______.
When someone offers management and marketing skills and has nothing to do with production or distribution, this person is providing _____.
In a(n) ______, the partners must work together to develop a mutually agreed upon marketing strategy for an international market.
Of all the approaches to entering an international market, which is the most financially risky?
Jake's pastry shop sells baked goods and coffee to customers. What process is the company engaged in during these activities?
What is the status of smaller retail stores in the United States?
They do less business collectively than the larger stores.
What is the name for a company that owns and operates multiple stores?
A corporate chain
Dunkin' Donuts is an example of a _____.
A retailer is more likely to be successful when they ______.
understand why people buy where they do
Kent posts events and activities on the store's Facebook page as a way to draw in customers. Which of the 4 Ps is Kent using?
What name was given to retailers who stocked a wide range of products and were the main retailers in the U.S. about 150 years ago?
Name one advantage of limited-line retailers.
They can focus on specific customers.
Anna's Antique Emporium is a small business that sells only mid-century antique furniture. Which type of store is this?
Tesco, Walmart, and Amazon.com are known as which type of retailers?
A supermarket is a large store that specializes in selling _____.
What are two examples of "soft goods" sold by mass-merchandisers? (Check all that apply.)
What is another name for supercenters?
What are two characteristics associated with warehouse clubs? (Check all that apply.)
Annual membership fee usually paid by customers
Which of the following are characteristics of category killers? (Check all that apply.)
Below average prices
A focus on specific product types
What kind of retailer makes it easy for customers to quickly buy products like milk and bread and avoid purchasing these items at a larger retail grocer?
What types of products are traditionally sold through vending machines? (Check all that apply.)
A person who travels to homes to sell Mary Kay cosmetics is engaging in what type of retailing?
Which two items are most commonly purchased online? (Check all that apply.)
Micah needs paper towels and stops at her local Walmart to pick some up. In this instance, Walmart is an example of a ____ store.
Which two of the following statements about online retailers are true? (Check all that apply.)
They offer low prices to customers who compare prices.
They offer a wide variety of products.
Concerns about unexpected shipping costs, the quality of the merchandise, return policy, and personal information security are issues with ______.
True or false: When using the omnichannel approach, stores focus on service within a single retail channel.
What is the name for the theory that argues that conventional stores are threatened by low-end stores until they, too, become more conventional?
Wheel of retailing
What is the name for merchandisers that carry any goods that they think they can sell profitably?
After Kroger installed a system to track when more than two customers are waiting in line, it managed to reduce checkout line wait times to _____.
less than 30 seconds
What type of wholesalers change their marketing approaches and focus on their channels?
______ wholesalers need to be efficient, but that does mean that their costs will be low.
Which of the following is a reason that some wholesalers have increased operating costs?
They provide specialized attention to some consumers.
K.C. Rao, brand manager for Hershey, has introduced a new low-calorie chocolate candy bar, Choco-Lite. He is gradually rolling out the product, starting to sell it in the western United States before moving east. He has decided on an expensive promotional campaign to make customers aware of the new bar. Choco-Lite is in which step of the new-product development process?
Which of the following is true about retailer strategies?
Retailers have an almost unlimited number of ways to alert their offerings to appeal to a larger market.
True or false: Department stores are usually strong in customer services.
What type of retailers are still in the market growth stage?
Smith Electrical Supplies sells primarily to electrical contractors and manufacturing firms with no sales to consumers. What type of function is Smith Electrical Supply practicing?
A video game retailer removed coupons meant for consumers from a new game's packaging. The producer of the game did not like this practice. The disagreement between the retailer and producer is referred to as ______.
Making a product available widely enough to satisfy target customers' needs but not exceed them is called ______.
ideal market exposure
Which of the following are common ways in which customers obtain information online about products for purchase? (Check all that apply.)
By viewing photos and videos
By reading posted reviews
By chatting with a virtual salesclerk
Why does Amazon.com recommend similar shoes for people who have purchased shoes on its site?
To provide personalized service to consumers
The number of wholesalers in the U.S. has ______ in the last 20 years.
According to the FTC, a product can only be called new for _____.
Different channels can serve different target markets. This avoids ______.
What kinds of producers tend to lead channels?
Channels that are used to retrieve products that customers no longer want are called ______ channels..
Why do Internet retailers have lower operating costs than brick-and-mortar stores?
How has the rise of carriers such as FedEx and UPS affected wholesalers?
It has hurt their business, since manufacturers can send items to customers.
YOU MIGHT ALSO LIKE...
Module 3 Principles of Marketing Exam Study Guide
Marketing Exam #2
Marketing Exam 2
OTHER SETS BY THIS CREATOR
MK 3010 (Exam 2 Chapters 6, 7, 8)
Ch. 4 & 26
OTHER QUIZLET SETS
NURS 347 Exam 4
Ch 8 - Segmenting and Target Markets_sc_version
Art History Unit 1 Ls 2