Answer the following questions and choose the correct answer provided.

1. It is pricing done by mostly sari-sari stores or hardware stores or drugstores, wherein the they price the products they sell as they see fit. This is identified as:

A. Cost-plus pricing

B. None of the above

C. Mark-up pricing

D. Cost based pricing

E. Customer based pricing

2. While contribution margin is used by companies to determine:

A. What is the profit outcome of the initial product

B. What will be the sales volume needed for the initial product

C. What is the contribution of the initial product after variable cost is deducted

D. What is the contribution of each product after variable cost is deducted

E. None of the above

3. SM's is opening of supermarkets, grocery and hypermarkets nationwide, using the latest bar-scanning technology and placing twice as much check-out counters as compared to competitors, to the satisfaction of its loyal patrons. They did this to differentiate themselves from their competitors like, Pure Gold and Robinsons Supermarkets. This type of method of pricing that SM will adopt can be identified as:

A. None of the above

B. Value to the customer

C. Differentiation value

D. Customer based pricing

E. Reference value

4. When airline companies, like PAL and CebuPac, have lower price for those passenger that booked one-year in advance compared to those that just booked last week for a trip to Boracay, this type of pricing issue can be identified as:

A. Buyer-seller interactivity

B. Price structure

C. Price setting

D. None of the above

E. Price format

5. We can notice, that in most cases especially in cakes and donuts, like Krispy Kreme and other brands, they use chocolate brands like MnM's, KitKat's and Mars product as part of their cakes and donuts. Since they use is to produce another product and they purchase it in industrial quantity, they can save on individual packaging. The price that the makers of MnM's and the others will be lower. This decision in pricing is identified as:

A. Pricing format

B. None of the above.

C. Buyer-seller interactivity

D. ricing policy

E. Pricing structure

6. Mac was the first laptop to remove the CD drive in their products, despite this move, the product is priced above competitors and yet they have a huge patrons queuing to buy their products. Why is this?

A. Is it because of the peer pressure

B. Is it because they want to flaunt that they have money to splurge

C. Is it because having a Mac product is in

D. None of the above

E. Is it because of its core-quality characteristics

7. When Kia and Hyundai, changed or upgraded the design of the sedan vehicles, it was noticed by customers and saw sales increase. They had a better understanding of their customers. This type of understanding can be identified as:

A. Core-quality characteristics

B. Reputation characteristics

C. Reputation and support services characteristics

D. Features and styling characteristics

E. None of the above

8. What is the value created by products and services, through trimedia and social media promotions, using third party distributors to reach customers and the product or services itself

A. Value to the customer

B. Differentiation value

C. Reference value

D. None of the above

E. Customer based pricing

9. When the buyer negotiates with the seller in the marketplace to haggle down the price of the product or service that the customer wants to avail, this type of pricing issue can be identified as:

A. None of the above

B. Price structure

C. Price setting

D. Price format

E. Buyer-seller interactivity

10. It is am economic factor in price changes wherein, if the prospective customer has to shell out or pay more than the usual for them to avail of the other product because of price change of their preferred product.

A. Amount of money involve in the price change

B. None of the above

C. Customer search cost

D. Amount of the price change that the customer will pay

E. Customer experience

11. It is a pricing decision that marketing managers make when setting an initial price or a product or service or determining the discounts to be given during special seasonal events like Black Friday Sale in the US and Christmas Season in the Philippines.

A. Pricing structure

C. Pricing policy

B. Buyer-seller interactivity

D. Pricing format

12. It is a marketing activity that makes sure that the product is available to its existing and potential customers.

A. None of the above

B. Promotion

C. Pricing activity

D. Place

E. Pricing strategy

13. When the company harps more about their products features and benefits, they are doing so because:

A. Their variable cost has increased

B. They know that their product is superior compared to competition

C. None of the above

D. They want to increase their sales volume

E. Their price is higher compared to competition

14. Most consumers buy branded products rather than generic products, even though they are a bit pricey, why is this?

A. None of the above

B. Is it because they want to flaunt that they have money to splurge

C. Is it because it show people that they have taste

D. Is it because of the reputation of the brand

E. It makes them feel accepted by society

15. If the company say Proctor and Gamble will be using the skimming strategy for the initial price of their products, what should be the best consideration they need to include in their campaign to justify their price:

A. That the one who developed the product is a women

B. That the company despite being a multinational company is being led by a Filipino

C. None of the above

D. That the company has done several test before coming up with the product

E. That the product is made by a multinational company

16. Most supermarkets and department stores around the world use this type of pricing scheme where the last digits of their prices of the products they sell ends with a odd number. This pricing scheme is identified as:

A. Buyer-seller interactivity

B. Price structure

C. None of the above

D. Price setting

E. Price format

17. Adding a restaurant that has a Michelin star tag into a hotel chain like Nobu, will enhance the prestige and at the same time justify the hotels room's rate. This understanding of the customer can be identified as:

A.Core-quality characteristics

B. Reputation characteristics

C. Features and styling characteristics

D. None of the above

E. Reputation and support services characteristics

18. This pricing method is mostly being done by manufacturers worldwide because it covers all necessary cost in producing a product or creation of services.

A. Mark-up pricing

B. None of the above

C. Customer based pricing

D. Cost-plus pricing

E. Cost based pricing

19. One advantage of using this pricing method is that the company will always have consistent profit margins while the downside of this method is that the company should not overlook any cost in the production of the product because if it does, they will be pricing the product incorrectly. This pricing method is identified as:

A. Cost-plus pricing

B. Customer based pricing

C. Mark-up pricing

D. None of the above

E. Cost based pricing

20. A mobile phone's core-quality characteristic is:

A. For clear picture

B. For watching movies

C. For surfing the internet

D. None of the above

E. For music

21. Since most Filipino consumers are a bit price conscious, most manufacturer's price their product:

A. Using skimming strategy

B. Just enough to cover variable cost plus some small profit

C. A bit higher than industry standard

D. Using the price ceiling strategy

E. None of the above

22.There are several methods of setting price of a product or service, but most companies big and small use these two popular methods:

A. Mark-up pricing and customer based pricing

B. Cost-plus pricing and mark-up pricing

C. Mark-up pricing and competition based pricing

D. Competition based pricing and customer based pricing

E. None of the above

23. Most companies implement this type of pricing wherein they ask their customers if they will be the one shouldering the delivery or will the company be the one to shoulder them. This show the breakdown of the product/service that they will avail.

A. Price structure

B. None of the above

C. Price format

D. Buyer-seller interactivity

E. Price setting

24. It is a marketing activity wherein the Unilever and URC undertake to continually inform their potential customers regarding their product offerings.

A. Place

B. Pricing strategy

C. None of the above

D. Pricing activity

E. Promotion

25. The changes is leadership in the upcoming PH elections can cause price changes in consumer products and services under what factors:

A. Emotional

B. Economic

C. None of the above

D. Insensitivity

E. Cognitive

26. The current boycott of certain Chinese made products, although they are priced lower in the market, because of the events in the Kalayaan Group of Islands, can be under shat factor

A. Emotional

B. Economic

C. None of the above

D. Cognitive

E. Sensitivity

27. Breakeven analysis is used by companies to make sure that:

A. None of the above

B. So that they know the sales volume needed to cover variable cost

C. To make sure that despite price changes made, profit remails that same

D. To know that the sales volume will match the price that have set

E. That price that they set is above the variable cost

28. Department stores and supermarkets have products displayed in the open and because of this, competitors can check each other's prices out. That being said some of them will copy each other's price, those that do that is considered to have poor marketing.

A. Mark-up pricing

B. None of the above

C. Cost based pricing

D. Parity pricing

E. Cost-plus pricing

29. There are two basic components when marketing managers and owners of business must make when making decisions regarding pricing their products, these are:

A. Price setting and pricing policy

B. Price structure and price strategy

C. None of the above

D. Price format and pricing policy

E. Price setting and price format

30. Airline industry and universities/schools use this type of pricing scheme wherein they show their passengers/students what compromises their airline or tuition fees.

A. Price setting

B. Price format

C. None of the above

D. Price structure

E. Buyer-seller interactivity

31. It is a pricing decision made by marketing managers wherein the price for consumer use and company use is different. Just like when Nestle prices their coffee creamer brand, Coffee Mate sachets for sales in supermarkets and the Coffee Mate that Mcdonalds, Jollibee and other fast food chain uses to give to their customers as part of their coffee. This pricing decision is called:

A. Pricing policy

B. Pricing format

C. Buyer-seller interactivity

D. Pricing structure

E. None of the above.

32. It is marketing activity that captures all the value of the products and services that companies like P&G provide

A. Place

B. None of the above

C. Pricing strategy

D. Pricing activity

E. Promotion

33. A hotel that has tight security, beautiful and clean rooms and working airconditioned are all part of:

A. Core-quality characteristics

B. Reputation and support services characteristics

C. None of the above

D. Features and styling characteristics

E. Reputation characteristics