Pfi
ste
r06
1. What are the four components of the marketing mix described in
chapter 6?
Correct Answer:
product, price, place, promotion
2. Marketing is another name for advertising.
a. True
*b. False
3. The tangible and intangible elements of a good or service are the
_________ of an RET enterprise.
a. purpose
*b. product
c. promise
d. provision
e. none of the above
4. An RET entrepreneur can improve services by
a. changing hours
b. providing new program content
c. hiring new instructors
*d. all of the above
e. b and c
5. What requires a cruise line to tell passengers about port charges
and fuel surcharges?
Correct Answer:
truth-in-advertising laws
6. The pricing strategy called bait and switch is legal.
a. True
*b. False
7. A start-up business may decide to set some prices as _________ and
incur some loss.
a. profit maximization
b. full cost
c. explicit
*d. introductory
e. indirect
8. An RET entrepreneur can increase sales reach by partnering with
other professionals including
a. event planners
b. sales representatives
c. travel agents
*d. all of the above
e. b and c
9. What are the three goals of promotion?
Correct Answer:
inform, persuade, remind
10. Less than half of all travel purchased in 2007 by American
customers was done online.
a. True
*b. False
11. Advertising is any form of paid _________ communications placed in
the media.
a. nonbiased
*b. nonpersonal
c. creative
d. conventional
e. none of the above
12. For an RET business, the Internet offers marketing opportunities
including
a. publicity
b. direct e-mail promotion
c. online sales
*d. all of the above
e. b and c
13. What are two disadvantages of personal sales?
Correct Answer:
expense and limited reach
14. For small RET businesses, cultivating publicity is almost always
not worth the effort.
a. True
*b. False
15. An effective Web site _________ can generate publicity with photos
and company background.
a. portfolio
b. keyword
*c. pressroom
d. placement
e. none of the above
16. An RET business can evaluate the effectiveness of advertising with
a. a campaign-specific toll-free telephone number
b. promotion codes
c. campaign-exclusive coupons
*d. all of the above
e. none of the above
17. What are the two biggest sources of sales for a typical RET
business?
Correct Answer:
returning customers and referrals
18. The most effective form of promotion for many RET businesses is
word of mouth.
*a. True
b. False
19. Small firms from one type of business can join together for
_________ brochure and ad campaign.
*a. a co-op
b. a coupon
c. an organized
d. a publicity
e. none of the above
20. Examples of Internet sales promotion tactics include
a. virtual tours
b. Internet coupons
c. Web page sponsorships
d. trial offers
*e. all of the above
21. Which of the following is NOT an accurate statement about social
media on the Internet?
a. Web sites are designed to facilitate social interaction
between friends and build online communities.
b. Social media facilitate the easy exchange of opinions and
photos.
c. It can generate unfounded negative comments about an RET
business.
*d. Businesses can do nothing to encourage positive comments on
social media.