1. ________ requires finding the major advantages people look for in a product class, the kinds of people who look for each positive aspect of a product, and the major brands that deliver it.

A. Gender segmentation

B. Psychographic segmentation

C. Benefit segmentation

D. Geographic segmentation

2. GamaPix makes point-and-shoot cameras and handycams for amateur photographers and hobbyists. It also has a separate line of cameras dedicated to professional photographers. Additionally, it designs separate offers for each segment. Which of the following marketing strategies does GamaPix most likely use in this instance?

A. Mass marketing

B. Differentiated marketing

C. Individual marketing

D. Local marketing

3. Chronos Inc. designs and markets different brands of cycling watches. Each brand has a single unique feature: the Chronos Cosmos has a heart rate monitor, the Chronos Acumen is designed for older cyclists who prefer a large display, and the Chronos Aegis has a GPS function. Which of the following is evident here?

A. Channel differentiation

B. Service differentiation

C. Product differentiation

D. People differentiation

4. If a consumer purchases a new flat screen "smart" television, which of the following could be the augmented product?

A. State-of the art technology

B. Slick and attractive packaging

C. Brand name

D. Tech support and warranty

5. Erica wants to replace her old washing machine with a new one. In order to get the maximum value for her money, she plans to spend substantial time and effort in gathering information and making product comparisons before making the actual purchase. In this instance, Erica is planning to buy a(n) ________ product.

A. the convenience

B. unsought

C. specialty

D. shopping

6. Which of the following statements is true of the idea generation stage in the new product development process?

A. The purpose of idea generation is to reduce the number of ideas to the least possible number.

B. Truly innovative companies rely exclusively on a single source for new product ideas.

C. Customers are the least important sources of new product ideas.

D. Truly innovative companies develop extensive innovation networks that capture ideas and inspiration from every possible source.

7. Which of the following stages of the PLC is characterized with high promotional expenditures that result from an effort to create consumer awareness?

A. Growth

B. Product development

C. Maturity

D. Introduction

8. What sets the ceiling for product prices?

A. Product manufacturing costs

B. Sellers' perceptions of the product's value

C. Customer perceptions of the product's value

D. Variable costs

9. When McDonald's and other fast food restaurants offer "value meal" items at surprisingly low prices, they are most likely using ________ pricing.

A. break-even

B. target profit

C. good-value

D. cost-plus

10. Whizz Corp. wishes to introduce a new hybrid car into mature markets in developed countries with the goal of gaining mass-market share quickly. Which of the following pricing strategies would help the firm meet its goal?

A. Market-skimming pricing

B. Market-penetration pricing

C. Market-segmentation pricing

D. Cost-plus pricing

11. Which of the following companies uses a direct marketing channel?

A. Fishhooks, a factory that manufactures fishing equipment that it ships to hobby stores worldwide

B. Germfight, a factory that manufactures dental products that it distributes only to selected department stores

C. Apple Blossoms, a company that sells its cosmetics exclusively through Ray's Retail Store

D. Holly Wreaths who makes and sells Christmas ornaments to customers via her online click-to-order catalogs

12. Managers at the Imperial Hotel-Chicago complained that the chain's overall image was hurt because Imperial Hotel-Dallas was overcharging guests and providing poor service. The Imperial Hotel was experiencing ________ conflict.

A. vertical

B. multitiered

C. communal

D. horizontal

13. A ________ VMS consists of independent firms at different levels of production and distribution who join through formal agreements to obtain more economies or sales impact than each could achieve alone.

A. corporate

B. contingency

C. contractual

D. communal

14. At Sogo, a mid-level department store, customers shop for moderately priced products and they are assisted in some phases of the shopping process. Sogo is a:

A. full-service retailer

B. limited-service retailer

C. self-service retailer

D. specialty store

15. A ________ is a small store, located near a residential area that is open long hours seven days a week and carries a limited line of high-turnover goods.

A. convenience store

B. chain store

C. department store

D. supermarket

16. Which of the following promotion tools involves building up a good corporate image and handling unfavorable stories and events?

A. sales promotion

B. personal selling

C. direct and digital marketing

D. public relation

17. Extel Inc., a home appliance manufacturer, uses sales representatives to sell its products to wholesalers and individual customers. This is an example of:

A. sales promotion

B. personal selling

C. public relations

D. direct and digital marketing

18. Companies are doing less ________ and more ________ as a result of the explosive developments in communication technologies to better target smaller customer segments.

A. personal selling; digital activities

B. public relations activities; digital activities

C. digital activities; mass marketing

D. mass marketing; digital marketing

19. Encouraging customers to switch brands is most likely the objective of ________ advertising.

A. informative

B. reminder

C. covert

D. persuasive

20. You receive a report that 68 percent of your target market has been exposed to your ad campaign during a given period. Which of the following aspects of media selection is represented by this information?

A. Frequency

B. Reach

C. Impact

D. Engagement