FINAL SAMPLE QUESTIONS
Chapter 16 Personal Selling and Sales Promotion
1) Which of the following elements of the promotion mix involves making personal
connections with customers for the purpose of making sales?
A) personal selling
B) advertising
C) e-commerce
D) publicity
E) public relations
2) A ________ is an individual acting on behalf of a company who performs one or more
of the following activities: prospecting, communicating, servicing, and information
gathering.
A) press agent
B) media planner
C) marketing director
D) salesperson
E) publicist
3) ________ involves two-way, personal communication between salespeople and
individual customers, either in person, by telephone, or through Web conferences.
A) Advertising
B) Public relations
C) Personal selling
D) Telemarketing
E) Integrated marketing communication
4) Whom do members of a sales force typically represent?
A) They represent the company to customers.
B) They represent the company to investors.
C) They represent the customer to the company.
D) A and C
E) all of the above
5) A company can unite its marketing and sales functions through all of the following
activities EXCEPT ________.
A) assigning a telemarketer the task of visiting a customer
B) arranging joint meetings to clarify all aspects of communication
C) appointing an executive to oversee both departments
D) having a salesperson preview ads and sales-promotion campaigns
E) sending brand managers on sales calls with a salesperson
6) When a company sets out to analyze, plan, implement, and control sales force
activities, the company is undertaking ________.
A) sales design
B) sales force management
C) group sales efforts
D) co-op selling and advertising
E) promotional objectives
7) Of the three typical types of sales force structures, which one is often supported by
many levels of sales management positions in specific geographical areas?
A) territorial
B) product
C) customer
D) complex systems
E) A and B
8) All of the following are considered advantages of a territorial sales force structure
EXCEPT ________.
A) travel expenses can be minimized
B) each salesperson's job is clearly defined
C) accountability is clearly defined for each salesperson
D) salespeople develop in-depth knowledge of a product line
E) salespeople have the opportunity and incentive to build strong relationships with
customers
9) Which of the following is NOT a disadvantage of a product sales force structure?
A) extra selling costs involved with multiple sales visits from separate divisions
B) overlapping use of resources with big customers
C) salespeople spending time to see the same customer's purchasing agents
D) increased customer delivery time
E) B and C
10) Companies that use a customer sales force structure organize their salespeople by
________.
A) product
B) territory
C) industry
D) demand
E) hierarchy
11) Which of the following would a company most likely use to determine sales force
size?
A) the workload approach
B) product availability
C) demographic characteristics of the sales force
D) the outside sales force method
E) profit margin
12) What is the term used to identify the individuals in a company who travel to call on
customers in the field?
A) product sales force
B) outside sales force
C) inside sales force
D) complex sales force
E) customer sales force
13) Members of a company's ________ conduct business from their offices using
telephones, e-mails, or visits from prospective buyers to generate sales.
A) outside sales force
B) inside sales force
C) complex sales force
D) customer sales force
E) product sales force
14) To reduce time demands on their outside sales forces, many companies have
increased the size of their inside sales forces, which include technical support people,
sales assistants, and ________.
A) retail supervisors
B) sales managers
C) telemarketers
D) accountants
E) programmers
15) A sales assistant working for an outside sales force will most likely have all of the
following duties EXCEPT ________.
A) answering customer's questions when a salesperson is unavailable
B) providing administrative backup
C) confirming appointments
D) following up on deliveries
E) determining price points
16) The growing trend of using a group of people from sales, marketing, engineering,
finance, technical support, and even upper management to service large, complex
accounts is known as ________ selling.
A) department
B) multiple
C) team
D) personal
E) complex
17) Which of the following best explains why companies are adopting the team selling
approach to service large, complex accounts?
A) Products have become too complicated for one salesperson to support.
B) Customers prefer dealing with many salespeople rather than one sales representative.
C) Salespeople prefer working in groups because of the opportunity for flex hours and
job sharing.
D) A group of salespeople assigned to one account is cost effective for corporations.
E) Fewer skilled salespeople are working in the high-tech industry.
18) All of the following are disadvantages of the team selling approach EXCEPT which
one?
A) Selling teams can overwhelm customers.
B) Many salespeople are unaccustomed to working with others.
C) Selling teams decrease costs.
D) Individual contributions and compensations can be difficult to assess.
E) Most salespeople are trained to excel in individual performance.
19) All of the following are problems associated with the poor selection of salespeople
EXCEPT ________.
A) lower sales
B) costly turnover
C) less productivity
D) less office support
E) disrupted customer relationships
20) According to research by the Gallup polling organization, which of the following is
one of the four key talents a successful salesperson must possess?
A) managerial skills
B) disciplined work style
C) aggressive personality
D) technological know-how
E) fluency in a second language
21) During the hiring process, companies that test sales applicants typically measure all
of the following abilities EXCEPT ________.
A) sales aptitude
B) organizational skills
C) accounting skills
D) analytical skills
E) personality traits
22) The purpose of a training program for salespeople is to teach them about all of the
following EXCEPT ________.
A) customers' buying habits
B) customers' buying motives
C) the company's main competitors
D) the company retirement benefits
E) the company's organizational structure
23) Which of the following is a primary reason that companies use e-learning to conduct
sales training programs?
A) Customer needs and habits are easily conveyed through e-learning.
B) Customers appreciate the flexibility of e-learning.
C) E-learning allows for more employee feedback.
D) E-learning is the best way to simulate sales calls.
E) E-learning cuts training costs.
24) Commissions or bonuses that a salesperson receives from a company are categorized
as the ________ of a compensation plan.
A) base salary
B) fixed amount
C) variable amount
D) fringe benefit
E) pension component
25) All of the following are basic types of compensation plan for salespeople EXCEPT
________.
A) straight commission
B) straight salary
C) salary plus commission
D) commission plus bonus
E) salary plus bonus
26) Companies are increasingly moving away from high commission compensation plans
because such plans often lead to salespeople ________.
A) undermining the work of the inside sales team
B) ignoring management and marketing objectives
C) being too pushy and harming customer relationships
D) working multiple sales jobs to maximize their income
E) spending too much time traveling between customers
27) Helping the sales force "work smart" is the goal of ________.
A) sales supervision
B) sales motivation
C) sales compensation
D) the organizational climate
E) return on sales investment
28) The aim of sales management motivation is to encourage salespeople to ________.
A) "work smart"
B) "work hard"
C) "work cooperatively"
D) "work creatively"
E) "work quickly"
29) Which sales management tool helps a salesperson know which customers to visit and
which activities to carry out during a week?
A) time-and-duty analysis
B) sales force automation systems
C) call plan
D) sales quota plan
E) positive incentives plan
30) Companies are always looking for ways to increase face-to-face selling time. All of
the following are ways to accomplish this goal EXCEPT ________.
A) using phones and video conferencing instead of traveling
B) simplifying record keeping and other administrative tasks
C) developing better sales-call and routing plans
D) reducing the number of customers each sales rep must visit
E) supplying more and better customer information
31) Which of the following is an advantage created by the use of a sales force automation
system?
A) lower costs for training sales personnel
B) increased motivation to acquire new customers
C) decreased need for an inside sales force
D) stronger organizational climate developed by the sales team
E) more efficient scheduling of sales calls and sales presentations
32) Which of the following is a potential drawback of using Web-based technologies for
making sales presentations and servicing accounts?
A) Salespeople have to invest more time in preparing for this type of interaction with
customers.
B) The cost of the technology outweighs any savings gained by eliminating the need for
travel.
C) The systems can intimidate salespeople who are unfamiliar with the technology.
D) Customers are less likely to buy the product when a Web conference is used.
E) Customers lack the technology required to participate in a Web conference.
33) A company that treats its salespeople as valuable contributors with unlimited income
opportunities has developed a(n) ________ that will have fewer turnovers and higher
sales force performance.
A) sales force system
B) organizational climate
C) compensation package
D) sales structure
E) workload
34) A sales ________ is the standard that establishes the amount each salesperson should
sell and how sales should be divided among the company's products.
A) goal
B) task
C) quota
D) incentive
E) contest
35) Sales ________ encourage a sales force to make a selling effort that is above and
beyond the normal expectation.
A) contests
B) quotas
C) meetings
D) reports
E) plans
36) A salesperson's ________ is often related to how well he or she meets a sales quota.
A) profit-sharing plan
B) compensation
C) call report
D) sales report
E) expense report
37) A(n) ________ is a salesperson's write-up of his or her completed sales activities.
A) call plan
B) call report
C) sales report
D) expense report
E) time-and-duty analysis
38) Which of the following questions would provide management with the LEAST
beneficial information regarding the performance of its sales force?
A) Is the sales force meeting its profit objectives?
B) Is the sales force working well with the marketing team?
C) Are sales force costs in line with sales force outcomes?
D) Is the sales force accomplishing its customer relationship objectives?
E) Does the sales force complete its sales reports and expense reports in a timely manner?
39) The selling process consists of several steps that the salesperson must master,
focusing on the goals of ________ and ________ from them.
A) closing sales; getting orders
B) getting new customers; obtaining service ideas
C) getting new customers; obtaining orders
D) overcoming objections; developing relationships
E) managing old customers; following up
40) Prospecting is the step in the selling process in which the salesperson ________.
A) gathers information about a prospective customer before making a sales call
B) meets the customer for the first time
C) identifies qualified potential customers
D) tells the product's "value story" to the customer
E) clarifies and overcomes customer objections to buying
41) A salesperson in the prospecting stage most likely uses of the following methods
EXCEPT ________.
A) referrals from competing salespeople
B) referrals from current customers
C) referrals from dealers
D) referrals from suppliers
E) cold calling
42) Which of the following is the LEAST relevant characteristic that a salesperson should
consider when qualifying a prospect?
A) financial ability
B) longevity in the market
C) special needs
D) location
E) volume of business
43) During the prospecting stage, a salesperson needs to discriminate between good leads
and poor leads, a process known as ________.
A) closing
B) referring
C) presenting
D) qualifying
E) approaching
44) A salesperson who researches a company's buying styles and product line is most
likely in the ________ stage of the selling process.
A) prospecting
B) preapproach
C) approach
D) presentation
E) closing
45) The salesperson meets the customer for the first time in the ________ step of the
selling process.
A) prospecting
B) qualifying
C) preapproach
D) approach
E) presentation
46) Technologies such as handheld computers and interactive whiteboards enable
salespeople to enhance the ________ stage of the selling process.
A) prospecting
B) preapproach
C) presentation and demonstration
D) qualifying
E) follow-up
47) Which type of sales approach is best for today's customers who expect answers,
results, and useful products?
A) hard-sell
B) customer-solution
C) razzle-dazzle
D) sales development
E) personal relationship
48) The qualities that buyers value most in salespeople include empathy, honesty,
dependability, thoroughness, follow-through, and ________.
A) good listening
B) good presenting
C) sympathy
D) caring
E) candor
49) A salesperson should seek out, clarify, and overcome any customer objections during
the sales presentation in order to ________.
A) offer the buyer a discount for placing an order
B) minimize the buyer's concerns about the product
C) compliment the buyer for mentioning the objections
D) turn the objections into reasons for buying
E) turn the objections into an opportunity for humor
50) The qualities buyers dislike most in salespeople include all EXCEPT which of the
following?
A) being pushy
B) being deceitful
C) being reliant on technology
D) being unprepared
E) being disorganized
51) The step of ________ is difficult for some salespeople because they lack confidence,
feel guilty about asking for an order, or may not recognize the right time to ask for an
order.
A) approaching the prospect
B) making a presentation
C) handling objections
D) closing the sale
E) following up
52) Salespeople should be trained to recognize ________ signals from the buyer, which
can include physical actions such as leaning forward and nodding or asking questions
about prices and credit terms.
A) qualifying
B) approach
C) objection
D) closing
E) follow-up
53) Which of the following is NOT a closing technique?
A) asking for the order
B) reviewing points of agreement
C) offering to help write up the order
D) explaining that the buyer will lose out if the order isn't placed now
E) asking the buyer to clarify any objections
54) Which step in the sales process is most focused on ensuring customer satisfaction and
repeat business?
A) proper approach
B) professional presentation
C) handling objections
D) qualifying prospects
E) follow-up
55) Which of the following best describes the practice of value selling?
A) earning business from customers based on low prices
B) delivering superior customer value and capturing a fair return on that value
C) closing deals quickly to meet team sales quotas
D) gaining short-term sales that increase annual sales volume
E) challenging customers to find better deals for products and services
56) A ________ is a short-term incentive used to encourage the immediate purchase of a
product or service.
A) sponsorship
B) press release
C) bonus
D) sales promotion
E) publicity stunt
57) Sales promotions are targeted toward all of the following EXCEPT ________.
A) retailers
B) investors
C) final buyers
D) business customers
E) members of the sales force
58) The rapid growth of sales promotions in consumer markets is most likely the result of
all of the following factors EXCEPT ________.
A) consumers and large retailers becoming more deal oriented
B) product managers facing pressure to increase current sales
C) competing brands attempting to differentiate from each other
D) declining advertising costs
E) advertising efficiency on the decline because of media clutter
59) Consumers are increasingly ignoring promotions and not making immediate
purchases because of ________.
A) advertising specialization
B) promotion clutter
C) promotional marketing
D) advertising clutter
E) promotion differentiation
60) Sellers use trade promotions for all of the following reasons EXCEPT to ________.
A) encourage retailers to carry more inventory
B) convince retailers to advertise the product
C) gain more shelf space for the product
D) encourage salespeople to sign up new accounts
E) persuade retailers to buy products in advance
61) Of the main consumer promotion tools, which is the MOST effective for introducing
a new product or creating excitement for an existing one?
A) coupons
B) samples
C) cash refunds
D) price packs
E) contests
62) Which of the following consumer promotion tools is the MOST costly way for
companies to introduce a new product?
A) samples
B) coupons
C) premiums
D) cash refunds
E) price packs
63) Which consumer promotion tool requires consumers to send a proof of purchase to
the manufacturer?
A) cents-off deals
B) coupons
C) samples
D) cash refunds
E) promotional products
64) Which of the following involves marking a reduced price directly on a product's
packaging and often results in the stimulation of short-term sales?
A) promotional products
B) patronage rewards
C) price packs
D) samples
E) rebates
65) ________ are goods offered either free or at low cost as an incentive to buy a
product.
A) Coupons
B) Premiums
C) Price packs
D) Cash refund offers
E) Point-of-purchase promotions
66) A ________ has the advertiser's name on it and is given as a gift to consumers.
A) sample
B) price pack
C) cents-off deal
D) promotional product
E) sweepstake
67) Which consumer promotion offers consumers the chance to win something by
presenting them with an item such as a scratch-off card or a bingo number ?
A) game
B) contest
C) price pack
D) sweepstakes
E) point-of-purchase promotion
68) Marketers who send coupons to customers' cell phones are using ________.
A) trade promotions
B) mobile marketing
C) premiums
D) point-of-purchase promotions
E) sampling
69) Marathons, concerts, and festivals with corporate sponsors are examples of
________.
A) point-of-purchase promotions
B) business promotions
C) trade promotions
D) event marketing
E) personal selling
70) Manufacturers direct more sales promotion dollars toward ________ than to
________.
A) consumers; retailers
B) customers; wholesalers
C) retailers and wholesalers; consumers
D) salespeople; retailers
E) retailers; wholesalers
Chapter 17 Direct and Online Marketing: Building Direct Customer Relationships
1) Amazon.com was the first company to use ________, which is technology that sorts
through customer purchasing patterns to create personalized site content.
A) database marketing
B) personalized marketing
C) records management
D) customer filtering
E) collaborative filtering
2) What are the two main goals of direct marketing?
A) to identify a potential customer and obtain an immediate response
B) to obtain an immediate response and to facilitate a purchase
C) to obtain an immediate response and build a lasting customer relationship
D) to provide information and build a lasting customer relationship
E) to save marketing dollars and facilitate a purchase
3) Modern direct marketers rely heavily on database technologies and the Internet, while
early direct marketers primarily used direct mailers, telemarketing, and ________.
A) door-to-door salespeople
B) catalogs
C) POP promotions
D) e-mail
E) inside salespeople
4) Amazon.com, eBay, and GEICO employ ________ as their only method of doing
business with customers.
A) mass marketing
B) sales promotion
C) direct marketing
D) public relations
E) personal selling
5) Direct marketing is continuing to become more ________ oriented.
A) television
B) Web
C) mail
D) telephone
E) radio
6) All of the following are benefits of direct marketing for buyers EXCEPT ________.
A) access to numerous products
B) access to product reviews
C) guaranteed low prices
D) convenience
E) privacy
7) All of the following are benefits of direct marketing for sellers EXCEPT ________.
A) efficiency in reaching markets
B) price and program flexibility
C) mass reach and frequency
D) lower cost-per-contact
E) efficiency in order processing
8) One of the advantages of direct marketing for sellers is that direct marketing
________.
A) offers access to buyers outside local markets
B) eliminates the need for a company to employ a sales force
C) provides statistical information about industry buying habits
D) provides comparative information about customers and competitors
E) avoids expenses such as rent, insurance, and utilities
9) Which of the following is essential for direct marketing to be effective?
A) an online presence
B) a good customer database
C) a well-trained sales force
D) inbound telephone marketing
E) digital direct marketing technologies
10) A typical customer database is an organized collection of geographic, demographic,
psychographic, and ________ data about individual customers or prospects.
A) ethical
B) cultural
C) medical
D) behavioral
E) emotional
11) Information about a customer's age, income, and family makeup is in the ________
category of a customer database.
A) demographic
B) psychographic
C) geographic
D) behavioral
E) assessment
12) Data about the recency, frequency, and monetary value of past purchases are included
in the ________ category of a customer database.
A) demographic
B) psychographic
C) geographic
D) behavioral
E) assessment
13) Psychographic data in a customer database used by direct marketers includes
information regarding a customer's ________ and ________.
A) interests; income
B) activities; opinions
C) age; buying preferences
D) opinions; age
E) hobbies; income
14) All of the following are common uses for a direct marketing customer database
EXCEPT ________.
A) generating sales leads
B) identifying prospective customers
C) profiling customers based on previous purchases
D) gathering marketing intelligence about competitors
E) building long-term customer relationships
15) How does database marketing benefit consumers?
A) Companies make name-brand products and images readily available to customers.
B) Companies match customer needs and interests with products and services.
C) Customers receive better prices on products and services that they need.
D) Customers receive faster and more reliable service from companies.
E) Customers receive instant credit from more companies.
16) All of the following are forms of direct marketing EXCEPT ________.
A) personal selling
B) public relations
C) telemarketing
D) direct-mail marketing
E) kiosk marketing
17) Which kind of marketing involves sending an offer, announcement, reminder, or
other item to a person at a particular physical or virtual address?
A) kiosk marketing
B) digital direct marketing
C) catalog marketing
D) direct-mail marketing
E) telephone marketing
18) Catalogs, brochures, samples, and DVDs can all used in which type of marketing?
A) direct-response marketing
B) direct-mail marketing
C) digital direct marketing
D) kiosk marketing
E) online marketing
19) Which of the following reasons is LEAST likely to explain why direct-mail
marketing drives more than a third of all U.S. direct marketing sales?
A) less expensive than mass media ads per thousand people reached
B) high target market selectivity
C) ability to be personalized
D) measurable results
E) flexibility
20) Which of the following is an individualized Web site that allows a customer to
directly connect to a marketer?
A) kiosk
B) PURL
C) DMA
D) FTC
E) spam
21) Most companies that create print catalogs now also provide ________ catalogs.
A) DVD
B) e-mail
C) store
D) Web-based
E) personalized
22) Which of the following is an advantage of printed catalogs over digital catalogs?
A) the ability to offer an almost unlimited amount of merchandise
B) efficiencies in production, printing, and mailing costs
C) a stronger emotional connection with customers
D) less competition for customers' attention
E) real-time merchandising
23) Why are historically online shops such as Zappos.com adding catalogs to their
marketing methods?
A) to provide comparative information for customers
B) to offer a wider array of merchandise
C) to save production money spent online
D) to drive online sales
E) to reduce the need for telemarketers
24) Marketers use ________ telephone marketing to receive orders from television ads
and catalogs.
A) inbound
B) outbound
C) interactive
D) direct-response
E) business-to-business
25) Using ________ telephone marketing to contact potential customers, marketers sell
directly to consumers.
A) inbound
B) outbound
C) direct-response
D) opt-out
E) business-to-business
26) Which of the following is an advantage of a well-designed and targeted telemarketing
plan?
A) exemption from the National Do Not Call Registry
B) high recruitment and referral rate
C) purchasing convenience for customers
D) emotional connections with customers
E) limitless merchandise available to customers
27) How has the National Do Not Call Registry changed the telemarketing industry?
A) Telemarketing for nonprofit groups has become nonexistent.
B) Telemarketing is no longer used by small and medium sized companies.
C) Telemarketing has replaced direct mail and personal selling because of low costs.
D) Telemarketers are more effectively developing relationships with new customers.
E) Telemarketers are more likely to use "opt-in" calling systems.
28) Which of the following is the most accurate name for a 30-minute television
advertising program marketing a single product?
A) direct-response TV advertisement
B) home shopping channel
C) integrated marketing
D) direct-response commercial
E) infomercial
29) What are two major forms of direct-response television marketing?
A) home television response and direct-response TV advertising
B) home shopping channels and infomercials
C) home-selling and toll-free response
D) call-in response and Web-site response
E) home shopping channels and podcasts
30) Direct-response advertisements always contain ________, making it easier for
marketers to gauge the effectiveness of their sales pitches.
A) a mailing address for comments
B) a 1-800 number or Web address
C) a hit button to record the number of viewers
D) an account number
E) pop-ups
31) A television program or entire channel dedicated to selling goods and services is
known as a(n) ________.
A) direct-response television advertisement
B) home shopping channel
C) infomercial
D) digital catalog
E) kiosk
32) According to your text, ________ "bridge the gap between old-fashioned stores and
online shopping."
A) kiosks
B) home shopping channels
C) online catalogs
D) infomercials
E) mobile phones
33) Firms such as Kodak and Fuji are placing ________ in stores, airports, and other
locations to provide people with information about products and services or to enable
customers to place orders.
A) kiosks
B) TV monitors
C) wireless networks
D) cell phones
E) vending machines
34) Ring-tone giveaways, mobile games, and text-in contests are all examples of
________ marketing.
A) kiosk
B) online
C) podcast
D) vodcast
E) mobile phone
35) Marketers view mobile phones as the next big marketing medium for all of the
following reasons EXCEPT which one?
A) More consumers are using their cell phones for text messaging, surfing the Web, and
watching videos.
B) Unlike telemarketing, mobile phone marketing is initially appealing to most cell
phone users.
C) Cell phones are very popular with the highly desirable 18-to-34-year-old
demographic.
D) Cell phone users can respond instantly to time-sensitive offers.
E) Most consumers always have their cell phones with them.
36) Which of the following enables consumers to download files from the Internet to a
handheld device?
A) telemarketing
B) interactive TV
C) podcasting
D) infomercials
E) direct mail
37) ________ allows consumers to gain additional information about a product through
the use of a remote control.
A) Mobile phone marketing
B) The home shopping channel
C) Podcasting
D) Vodcasting
E) Interactive television
38) What is the fastest growing form of direct-marketing?
A) mobile-phone marketing
B) online marketing
C) interactive TV
D) direct-response television
E) podcasts
39) Consumers and companies connect to each other and access and share huge amounts
of information through a public web of computer networks called ________.
A) a transaction site
B) a content site
C) the Internet
D) an extranet
E) an intranet
40) Which of the following operate only on the Internet?
A) brick-and-mortar companies
B) click-and-mortar companies
C) big box companies
D) click-only companies
E) Web-and-mortar companies
41) As one of the first ________, Amazon.com changed the rules of marketing and set
the bar high for the online customer experience.
A) e-tailers
B) transaction sites
C) content sites
D) search engines
E) click-and-mortar companies
42) New York Times on the Web, ESPN.com, and Encyclopaedia Britannica Online are
known as ________ because they provide financial, research, and other information.
A) search engines
B) content sites
C) portals
D) ISPs
E) e-tailers
43) ________ is the term used to describe a company that does not use online marketing.
A) Offlist business
B) Brick-and-mortar
C) Click-and-mortar
D) E-business
E) Corporate site
44) The growth of the Internet caused many brick-and-mortar firms to ________ in
response to customer demands and a changing marketplace.
A) become click-only firms
B) send out more catalogs
C) become click-and-mortar firms
D) develop more infomercials
E) expand their outside sales forces
45) Which of the following is NOT one of the four major online marketing domains?
A) B2C (business-to-consumer)
B) B2R (business-to-retailer)
C) B2B (business-to-business)
D) C2C (consumer-to-consumer)
E) C2B (consumer-to-business)
46) The popular press has paid the most attention to ________ online marketing, which is
the online selling of goods and services to final consumers.
A) B2C
B) B2B
C) C2C
D) C2B
E) B2R
47) Online trading networks aimed at obtaining buying efficiencies and better prices are
most closely associated with ________ online marketing.
A) B2C
B) B2B
C) C2C
D) C2B
E) B2R
48) The online exchange of goods and information between final consumers is called
________.
A) B2C
B) B2B
C) C2C
D) C2B
E) social networking
49) Overstock.com Auctions and eBay are popular market spaces that facilitate the online
exchange of goods and information and are examples of ________ online marketing.
A) B2C
B) B2B
C) C2C
D) C2B
E) global commerce
50) Blogs are ________ that are usually focused on a narrowly defined topic.
A) online social networks
B) online journals
C) online videos
D) personalized Web sites
E) malware
Chapter 18 Creating Competitive Advantage
1) Gaining ________ requires delivering more value and satisfaction to target consumers
than competitors do.
A) competitive advantage
B) competitor analysis
C) benchmarking
D) a market-center
E) a target advantage
2) The first step in initiating competitive marketing strategies is to conduct ________.
A) a private screening
B) a competitive advantage analysis
C) management modifications
D) competitor analysis
E) absolute advantage processing
3) Part two of a competitor analysis is assessing all of the following EXCEPT a
company's ________.
A) objectives
B) employees
C) strategies
D) strengths and weaknesses
E) reaction patterns
4) Strategies that strongly position the company against competitors and that give the
company the strongest possible strategic advantage are ________.
A) competitor analyses
B) customer relationship strategies
C) competitive marketing strategies
D) competitive relationship strategies
E) universal strategy analyses
5) ________ involves first identifying and assessing competitors and then selecting
which competitors to attack or avoid.
A) Competitor analysis
B) Benchmarking
C) Customer-centered analysis
D) Market leading
E) The marketing management process
6) To plan effective marketing strategies, the company needs to find out all it can about
its competitors. It must constantly compare its marketing strategies, products, prices,
channels, and promotion with those of close competitors. This is an example of
________.
A) benchmarking
B) competitor analysis
C) customer value analysis
D) product leadership
E) continuous innovation
7) Companies can identify competitors from a ________ point of view by defining
competitors as companies that are trying to satisfy the same customer need or build
relationships with the same customer group.
A) customer's
B) market nicher's
C) market
D) database
E) industry
8) Companies can identify ________ from both the industry and market point of view.
A) competitors
B) products
C) customers
D) locations
E) employees
9) A company is guilty of ________ if the company forgets latent competitors and only
focuses on current competitors.
A) marketing myopia
B) misdirected segmentation
C) competitor synergy
D) competitor phobia
E) competitor myopia
10) From a(n) ________ point of view, Pepsi might see its competition as Coca-Cola, Dr
Pepper, 7UP, and the makers of other soft drink brands. From a(n) ________ point of
view, however, the customer really wants "thirst quenching."
A) market; industry
B) market; consumer's
C) industry; competitive
D) industry; market
E) company's; consumer's
11) Each competitor has a mix of objectives. The company wants to know the relative
importance that a competitor places on all of the following EXCEPT ________.
A) company history
B) current profitability
C) market share growth
D) cash flow
E) technological and service leadership
12) A company that pursues ________ leadership will react much more strongly to a
competitor's ________ manufacturing breakthrough than to the same competitor's
advertising increase.
A) high-cost; cost reducing
B) low-cost; cost reducing
C) service; cost reducing
D) high-cost; efficiency improving
E) market share; efficiency improving
13) The more that one firm's strategy resembles another firm's strategy, the more likely
the two firms are to ________.
A) compete
B) join
C) grow
D) partner
E) succeed
14) Companies need to know each competitor's product quality, features, and mix;
customer services; pricing policy; distribution coverage; sales force strategy; and
advertising and sales promotion programs. These are all the dimensions that identify
________ groups within the industry.
A) target
B) leading
C) geographic
D) strategic
E) competing
15) ________ is the process of comparing the company's products and processes to those
of competitors or leading firms in other industries to find ways to improve quality and
performance.
A) Competitive advantage
B) Advertising synergy
C) Sales promotion
D) Benchmarking
E) Publicity
16) Benchmarking has become a powerful tool for increasing a company's ________.
A) brand image
B) mass appeal
C) employee training services
D) distribution channels
E) competitiveness
17) Knowing how major competitors react gives the company clues on how best to
________ competitors or how best to ________ the company's current positions.
A) remove; decrease
B) attack; increase
C) attack; defend
D) value; change
E) decrease; defend
18) Most companies prefer to aim competition against ________.
A) their biggest competitor
B) the market leader
C) weak competitors
D) new competitors
E) distant competitors
19) A firm should compete with ________ competitors in order to sharpen its abilities.
Succeeding against these competitors often provides greater returns.
A) strong
B) international
C) weak
D) distant
E) smaller
20) Analysis conducted to determine what benefits target customers value and how they
rate the relative value of various competitors' offers is known as ________.
A) customer value analysis
B) competitive customer analysis
C) power analysis
D) advertising specialty analysis
E) benchmarking
21) The purpose of ________ is to find the place where a company meets customers'
needs in a way that rivals can't.
A) customer value analysis
B) benchmarking
C) entrepreneurial marketing
D) intrapreneurial marketing
E) overall cost leadership
22) If the company's offer delivers greater value by exceeding the competitor's offer on
important attributes, the company can charge a higher price and ________, or it can
charge the same price and ________.
A) earn lower profits; gain higher profits
B) earn higher profits; lose profits
C) earn higher profits; gain more market share
D) lose profits; gain more market share
E) lose profits; gain higher profits
23) Most companies will compete with ________ rather than ________.
A) distant competitors; close competitors
B) close competitors; distant competitors
C) benchmarkers; distant competitors
D) market challengers; market followers
E) market challengers; market nichers
24) The following are all examples of close competitors EXCEPT ________.
A) Nike and Adidas
B) Walmart and Target
C) Pepsi and Coca-Cola
D) Neiman Marcus and Nordstrom
E) Nike and Timberland
25) A company's close competitors are ________.
A) considered "bad" competitors
B) those that least resemble the company's operation
C) those that most resemble the company's operations
D) a negligible threat
E) the sole focus of successful companies
26) All of the following statements identify benefits from the existence of competitors
EXCEPT?
A) Competitors may share the costs of market and product development.
B) Competitors help legitimize new technologies.
C) Competitors serve less-attractive segments or lead to more product differentiation.
D) Competitors fracture the target market.
E) Competitors may help increase total demand.
27) An industry often contains "good" and "bad" competitors. Good competitors
________.
A) break the rules of fair competition
B) value excellent customer service
C) play by the rules of the industry
D) dominate the market
E) share their marketing strategies
28) Rather than competing head to head with established competitors, many companies
seek out unoccupied positions in uncontested market spaces. They try to create products
and services for which there are no direct competitors. This is called a ________.
A) "red ocean strategy"
B) "strategic sweet spot"
C) "common platform"
D) "blue ocean strategy"
E) "strategic platform"
29) Tomorrow's leading companies will succeed by seeking out unoccupied positions in
uncontested market spaces. Such strategic moves, termed ________, create powerful
leaps in value for both the firm and its buyers, creating new demand for new products.
A) "strategic sweet spots"
B) "common platforms"
C) "value innovation"
D) "strategic platforms"
E) "service nichers"
30) There are specific kinds of information that companies need about their competitors.
The ________ system first identifies the vital types of competitive information and the
best sources of this information.
A) marketing information
B) global network
C) competitive intelligence
D) marketing research
E) marketing database
31) Which statement does NOT accurately describe a competitive intelligence system?
A) The system identifies the vital types of competitive information needed and the best
sources of this information.
B) The system creates a new brand image and marketing concept.
C) The system collects information from the field and from published data.
D) The system checks information for validity and reliability, interprets it, and organizes
it in an appropriate way.
E) The system sends key information to relevant decision makers and responds to
inquiries from managers about competitors.
32) A manager who used to work for a competitor might follow that competitor closely to
see what it does in the marketplace. Such a manager would be considered your company's
________ expert.
A) market leader
B) market follower
C) strategy
D) in-house
E) technical
33) Having identified and evaluated its major competitors, the company now must design
broad competitive marketing strategies by which it can gain competitive advantage
through superior ________.
A) customer value
B) compensation
C) employee value
D) employee service
E) target locations
34) Companies that operate large marketing departments, conduct expensive marketing
research, spell out elaborate competitive strategies, and spend huge sums on advertising
are using ________ competitive marketing strategies.
A) informal
B) formal
C) blue ocean
D) red ocean
E) innovative
35) Approaches to marketing strategy and practice often pass through which of the three
following stages?
A) formulated marketing, intrepreneurial marketing, and innovative marketing
B) entrepreneurial marketing, intrepreneurial marketing, and innovative marketing
C) entrepreneurial marketing, formulated marketing, and strategic marketing
D) entrepreneurial marketing, formulated marketing, and intrepreneurial marketing
E) innovative marketing, strategic marketing, and formulated marketing
36) Most companies are started by individuals who live by their wits. They visualize an
opportunity, construct flexible strategies on the backs of envelopes, and knock on every
door to gain attention. What stage in marketing strategy are these individuals in?
A) exponential marketing
B) formulated marketing
C) entrepreneurial marketing
D) intrepreneurial marketing
E) innovative marketing
37) As small companies achieve success, they inevitably move toward more ________
marketing. They pore over the latest Nielsen numbers, scan market research reports, and
try to fine-tune their competitive strategies and programs.
A) niched
B) formulated
C) entrepreneurial
D) intrepreneurial
E) targeted
38) Companies that have been in existence for some time often lose the marketing
creativity and passion that they had at the start. They now need to refresh their marketing
strategies and try new approaches. This is known as ________.
A) network marketing
B) formulated marketing
C) entrepreneurial marketing
D) intrepreneurial marketing
E) blue sky marketing
39) There will be a constant tension between the formulated side of marketing and the
________.
A) creative side
B) competitor side
C) customer side
D) overall cost leadership
E) product value
40) Michael Porter suggests four basic competitive positioning strategies that companies
can follow-three winning strategies and one losing one. Which of the following are
considered winning strategies?
A) middle-of-the-roader, focus, and overall cost leadership
B) focus, differentiation, and middle-of-the-roader
C) overall cost leadership, differentiation, and middle-of-the-roader
D) overall cost leadership, differentiation, and focus
E) differentiation, operational excellence, and focus
41) Companies that pursue a clear strategy will likely perform well. Firms that do not
pursue a clear strategy are called ________.
A) challenger risk-takers
B) middle-of-the-roaders
C) nichers
D) analyzers
E) overall cost leaders
42) Sears and Holiday Inn encountered difficult times because they did not stand out as
the lowest in cost, highest in perceived value, or best in serving some market segment.
Both companies are ________.
A) nichers
B) challenger risk-takers
C) middle-of the roaders
D) differentiated
E) formulated
43) Companies can pursue any of which of the following three strategies, called value
disciplines, for delivering superior customer value?
A) operational excellence, overall cost leadership, and differentiation
B) customer intimacy, operational excellence, and focus
C) employee relations, product leadership, and overall cost leadership
D) product leadership, customer intimacy, and focus
E) operational excellence, customer intimacy, and product leadership
44) When a company provides superior value by leading its industry in price and
convenience, it has obtained what is called ________.
A) product leadership
B) employee excellence
C) operational excellence
D) employee intimacy
E) focus leadership
45) When customers are willing to pay a premium to get precisely what they want and a
company responds quickly to satisfy customer needs, the company has achieved what is
called ________.
A) customer intimacy
B) employee intimacy
C) operational excellence
D) promotional intimacy
E) marketing intelligence
46) If a company's aim is to make its own and competing products obsolete and serve
customers who want state-of-the-art products and services, it is using a value discipline
called ________.
A) captive-product innovation
B) promotional innovation
C) new product innovation
D) product leadership
E) market leadership
47) Which of the following is NOT an example of the competitive positions or roles that
firms play in the target market?
A) market leader
B) market challenger
C) market follower
D) market nicher
E) market provider
48) Most of the market is in the hands of the ________, the firm with the largest market
share.
A) market challenger
B) market follower
C) market leader
D) market nicher
E) market provider
49) Firms that serve small segments not being pursued by other firms are called
________.
A) market followers
B) direct marketers
C) market challengers
D) market nichers
E) market leaders
50) ________ are those runner-up firms that are working to increase their market share in
an industry.
A) Market leaders
B) Market challengers
C) Market followers
D) Market analyzers
E) Market nichers
51) What is the benefit to companies of using blogs as marketing tools?
A) Blogs provide companies with additional revenue.
B) Blog content is easy to filter, monitor, and control.
C) Lifetime customer value can be evaluated through blogs.
D) Demographic information about customers can be easily tracked.
E) Blogs are an inexpensive yet personal way to reach a fragmented audience.
52) Which of the following is a potential drawback to advertising on a blog?
A) The content of a blog is difficult to control.
B) Advertising on a blog is typically expensive.
C) It is difficult to use blogs to reach highly targeted audiences.
D) Blogs are gaining popularity as consumers move away from newer Internet forums.
E) Blogs do not provide the kind of personalized medium that today's marketers want.
53) ________ online marketing sites are online exchanges in which consumers search out
sellers, learn about their offers, and initiate purchases.
A) B2C
B) B2B
C) C2C
D) C2B
E) B2R
54) Which of the following Web sites facilitates consumer-to-business online marketing?
A) eBay.com
B) cisco.com
C) Craigslist.com
D) Kaboodle.com
E) PlanetFeedback.com
55) When consumers can drive transactions with businesses, what type of online
marketing is being used?
A) blogs
B) podcasting
C) social networking
D) business-to-consumer
E) consumer-to-business
56) For most companies, the first step in conducting online marketing is to ________.
A) send e-mails
B) create a Web site
C) create a Web community
D) place promotions online
E) develop search-related ads
57) What is the main purpose of a corporate Web site?
A) to sell the company's products directly
B) to build customer goodwill
C) to show a catalog and give shopping tips
D) to give out coupons and tell about sales events or contests
E) to point out and explain competitors' weaknesses
58) ________ are designed to build customer goodwill and to supplement other sales
channels, rather than to sell the company's products directly.
A) Marketing Web sites
B) Corporate Web sites
C) Small business Web sites
D) Nonprofit corporation web sites
E) Rich media display ads
59) ________ are designed to engage consumers in interactions that will move them
closer to a direct purchase or other marketing outcome.
A) Corporate Web sites
B) Marketing Web sites
C) Web communities
D) Brand Web sites
E) Affiliate programs
60) Online ads that incorporate animation, video, sound, and interactivity are called
________.
A) search-related ads
B) pop-ups
C) contextual ads
D) viral ads
E) rich media ads
61) A large percentage of online advertising expenditures goes towards ________, which
are text-based ads and links that appear alongside search engine results.
A) content sponsorships
B) reminder advertisements
C) informative advertisements
D) contextual advertisements
E) rich media advertisements
62) What does the term viral marketing mean?
A) It is another term for online privacy.
B) It is another term for online security.
C) It refers to problems associated with computer viruses.
D) It refers to word-of-mouth marketing that occurs online.
E) It refers to negative publicity associated with company blogs.
63) Which of the following is a primary disadvantage of viral marketing?
A) The costs of viral marketing are too high for most companies.
B) The brand associated with the viral message is usually forgotten.
C) Marketers have little control over who receives the viral message.
D) Viral messages are offensive to many potential customers.
E) Viral messages are blocked by most search engines.
64) All of the following are examples of online social networks EXCEPT ________.
A) Twitter
B) Facebook
C) YouTube
D) Yahoo!
E) Flickr
65) Online communities where people socialize or exchange information and opinions
are called ________.
A) corporate Web sites
B) marketing Web sites
C) online social networks
D) interactive Web sites
E) affiliate programs
66) Which of the following is a challenge of marketing through online social networks?
A) Users often resent an intrusive marketing message.
B) Existing networks are resistant to advertising.
C) Most existing networks are already controlled by major corporations.
D) Virtual worlds will most likely replace social networks in the near future.
E) Measuring the frequency and volume of network usage is difficult.
67) What characteristic of niche sites makes the medium MOST appealing to marketers?
A) audience sizes larger than those of social networking sites
B) wide variety of demographics and purchasing patterns
C) audiences of people with similar interests
D) commercial transaction capabilities
E) podcasting and vodcasting capabilities
68) Unsolicited and unwanted commercial e-mails are known as ________.
A) phishing
B) e-tailing
C) display ads
D) viral e-mails
E) spam
69) According to your textbook, what is the most likely future for online marketing?
A) Online marketing will replace magazines, newspapers, and eventually stores as
sources for information and products.
B) The growth of online marketing will continue but at a much slower pace.
C) The use of online marketing will decline until its effectiveness can be better measured.
D) Online marketing will remain an important approach in an integrated marketing mix.
E) Online social networking will become the primary type of online marketing.
70) In an attempt to take advantage of impulsive or less sophisticated buyers, heat
merchants use ________ to deceive customers.
A) direct-mail marketing
B) telephone marketing
C) direct-response television marketing
D) mobile phone marketing
E) kiosk marketing
Chapter 19 The Global Marketplace
1) ________ industries are safe from foreign competition.
A) Most
B) Major
C) Few
D) NAFTA
E) European Union
2) As global trade is growing, global competition is ________.
A) leveling off
B) declining
C) erratic
D) intensifying
E) stabilizing
3) Firms that play it safe and do not enter the global market are likely to lose their
chances to enter other markets ________.
A) but protect themselves from competition at home
B) but gain a competitive edge against imports in their home markets
C) but successfully shield themselves from foreign competition
D) and risk losing their home markets
E) A and B
4) A ________ is one that, by operating in more than one country, gains marketing,
production, research and development, and financial advantages that are not available to
purely domestic competitors.
A) global firm
B) domestic firm
C) whole-channel view
D) direct investment
E) free trade zone
5) All of the following are major decisions a company faces in international marketing
EXCEPT which one?
A) deciding which markets to enter
B) deciding how to enter the market
C) deciding how to set standardized prices
D) deciding on the global marketing program
E) deciding on the global marketing organization
6) Of the following, a company should make which major decision about international
marketing first?
A) deciding which markets to enter
B) deciding how to enter the market
C) deciding on the global marketing organization
D) deciding on the global marketing program
E) deciding on the global communication program
7) A(n) ________ is a tax levied by a foreign government against certain imported
products.
A) embargo
B) tariff
C) export
D) exchange control
E) quota
8) A(n) ________ is a limit on the amount of goods that an importing country will accept
in certain product categories.
A) embargo
B) tariff
C) benchmark
D) quota
E) exchange control
9) A(n) ________ serves to limit the amount of foreign exchange and the exchange rate
against other currencies.
A) trade system
B) tariff
C) quota
D) exchange control
E) tariff trade barrier
10) Bias against bids made by American companies is an example of a(n) ________.
A) quota
B) tariff
C) boycott
D) nontariff trade barrier
E) exchange control
11) Which of the following is designed to help foster trade between nations?
A) tariffs
B) GATT
C) exchange controls
D) quotas
E) nontariff trade barriers
12) The ________ is a 62-year-old treaty designed to promote world trade by reducing
tariffs and other international trade barriers.
A) WTO
B) GATT
C) EU
D) CAN
E) NAFTA
13) Concluding in 1994, the Uruguay Round reduced trade barriers, set international
standards for trade, and established the ________ to enforce GATT rules.
A) WTO
B) EU
C) NAFTA
D) CAFTA
E) CAN
14) Which of the following reduced the world's merchandise tariffs by 30 percent,
toughened international protection of copyrights and trademarks, and has been extended
to cover trade in agriculture and a wide range of services?
A) GATT
B) EU
C) NAFTA
D) CAFTA
E) FTAA
15) Economic communities are also known as ________.
A) global firms
B) free trade zones
C) management communities
D) production communities
E) open channels
16) ________ is a group of nations organized to work toward common goals in the
regulation of international trade.
A) A joint venture
B) A strategic marketing group
C) An economic community
D) A global firm
E) A multinational enterprise
17) Formed in 1957, the ________ set out to create a single European market by reducing
barriers to the free flow of products, services, finances, and labor among member
countries and developing policies on trade with nonmember nations.
A) Uruguay Round
B) European Union
C) European Organization
D) NAFTA
E) CAFTA
18) The European Union and NAFTA (North American Free Trade Agreement) are
examples of ________.
A) non-barrier zones
B) open economic areas
C) economic communities
D) barter organizations
E) world trade organizations
19) There is concern that through the ________ lower barriers inside Europe will create
only thicker outside walls.
A) European Union
B) Euro-Scandinavian Pact
C) Euro-American Union
D) Atlantic Free-Trade Area
E) General Agreement on Tariffs and Trade
20) Which of the following economic communities is responsible for the adoption of the
euro?
A) NAFTA
B) European Union
C) Euro-American Union
D) CAFTA
E) WTO
21) Which of the following is an advantage created by the adoption of the euro?
A) Countries outside of Europe no longer face trade obstacles within Europe.
B) European countries with previously weak currencies are more attractive markets.
C) It has decreased the annual combined GDP.
D) A homogeneous European market has been created.
E) It is the last step necessary for the countries of Europe to act like a single entity.
22) In 1994, ________ established a free trade zone among the United States, Canada,
and Mexico.
A) GATT
B) WTO
C) NAFTA
D) EU
E) CAFTA
23) In 2005, the ________ established a free trade zone between the United States and
Costa Rica, the Dominican Republic, El Salvador, Guatemala, Honduras, and Nicaragua.
A) CAFTA-DR
B) FTAA
C) CAN
D) NAFTA
E) EU
24) What is the name of the single agreement that created a market of 452 million people
and has eliminated trade barriers and investment restrictions among the United States,
Mexico, and Canada?
A) GATT
B) WTO
C) NAFTA
D) CAFTA-DR
E) EU
25) Formed in 2004 and formalized in 2008, ________ makes up the largest trading
block after NAFTA and the European Union.
A) CAFTA-DR
B) FTAA
C) UNASUR
D) MCAN
E) GATT
26) All of the following are types of industrial structures EXCEPT?
A) subsistence economies
B) raw material exporting economies
C) marketing economies
D) industrializing economies
E) industrial economies
27) The two key economic factors reflecting a country's attractiveness as a market are its
industrial structure and its ________.
A) communication adaptation
B) nontariff trade barriers
C) exchange controls
D) income distribution
E) transportation systems
28) In a(n) ________, the vast majority of people engage in simple agriculture and
consume most of their output.
A) raw material economy
B) subsistence economy
C) industrializing economy
D) emerging economy
E) industrial economy
29) Of the following industrial structures, which presents the fewest market
opportunities?
A) subsistence
B) raw material exporting
C) industrializing
D) emerging
E) industrial
30) A(n) ________ economy is poor in some ways but rich in one or more natural
resources responsible for creating most of its exporting revenue.
A) industrial
B) industrializing
C) raw-material exporting
D) subsistence
E) agrarian
31) ________ are major exporters of manufactured goods, services, and investment
funds. They trade goods among themselves and export them to other types of economies
for raw materials and semifinished goods.
A) Material economies
B) Subsistent economies
C) Industrializing economies
D) Industrial economies
E) Developing economy
32) In a(n) ________ economy, fast growth in manufacturing results in rapid overall
economic growth. This type of economy typically has a new rich class and a small but
growing middle class, both demanding new types of imported goods.
A) industrial
B) industrializing
C) materials exporting
D) subsistence
E) agrarian
33) Industrializing economies do NOT include ________.
A) China
B) India
C) Brazil
D) Sweden
E) any of the above
34) All of the following are political-legal factors that should be considered when
deciding whether to do business in a given country EXCEPT which one?
A) attitudes toward international buying
B) government bureaucracy
C) business norms
D) monetary regulations
E) political stability
35) Countries with ________ economies consist mostly of households with very low
family incomes.
A) industrial
B) industrializing
C) service
D) technological
E) subsistence
36) In international trade, it is ideal if the buyer can pay in ________.
A) countertrade
B) the seller's currency
C) barter
D) buyback
E) counterpurchases
37) Sellers might accept a ________, one whose removal from the country is restricted
by the buyer's government, if they can buy other goods in that country that they need
themselves or can sell elsewhere for a need currency.
A) blocked currency
B) counterpurchase
C) barter
D) buyback
E) tariff
38) Which of the following involves the direct exchange of goods and services?
A) cash transaction
B) compensation
C) buyback
D) blocked currency
E) barter
39) It is important to understand how business norms vary from county to country. For
example, ________ like to sit or stand very close to each other when they talk
busine
-to-nose.
A) Americans
B) Japanese
C) South Americans
D) Africans
E) Europeans
40) Why might Asian businesspeople be offended by the typical bargaining tactics of
American executives?
A) Asian businesspeople typically reject offers in face-to-face conversations.
B) Asian executives prefer to start business meetings with polite conversations.
C) American executives prefer to start business meetings with polite, personal
conversations.
D) American executives tend to move closer to each other as they negotiate.
E) American executives tend to conduct tough bargaining through nonpersonal forms of
communication.
41) Which of the following is an example of how American culture is being exported to
the world's countries?
A) the popularity of the Harry Potter series
B) the expansion of Walmart Supercenters
C) the success of "American Idol"
D) the increasing popularity of American soccer
E) the popularity of the Power Rangers
42) Which type of business is LEAST likely to find it necessary to enter international
markets in order to survive?
A) clothing manufacturers
B) food distributors
C) chain retailers
D) small, local businesses
E) automobile producers
43) Which of the following is a factor that is likely to push a company to decide NOT to
enter international markets?
A) The company's home market is stagnant.
B) The company would have to redesign its products.
C) The company needs to counterattack international competitors in their home markets.
D) Foreign markets present higher profit opportunities.
E) Global competitors have offered similar products at lower prices.
44) Of the following, which is the LEAST critical decision a company should make
before going abroad?
A) what its international marketing objectives and policies are
B) what volume of foreign sales it wants
C) how many countries it wants to market in
D) how many people it wants to employ
E) what types of countries it wants to market in
45) Demographic characteristics, geographic characteristics, economic factors,
sociocultural factors, and political and legal factors all help a company ________.
A) determine a market's potential
B) determine a country's degree of globalization
C) evaluate its marketing objectives
D) evaluate its value delivery network
E) identify potential joint ventures
46) Which of the following is a sociocultural factor that a company should consider
before deciding to enter an international market?
A) political stability
B) population density
C) education
D) income distribution
E) consumer lifestyles, beliefs, and values
47) Which of the following is a political and legal factor that a company should consider
before deciding to enter an international market?
A) monetary and trade regulations
B) transportation structure
C) population size and growth
D) industrial infrastructure
E) business norms and approaches
48) Which of the following is an economic factor that a company should consider before
deciding to enter an international market?
A) population size and growth
B) natural resources
C) cultural and social norms
D) political stability
E) climate
49) All of the following are modes of entry that companies can use when they have
decided to sell in a foreign country EXCEPT ________.
A) exporting
B) embargo
C) joint venturing
D) direct investment
E) licensing
50) The simplest way to enter a foreign market is through ________.
A) joint venturing
B) direct investment
C) exporting
D) joint ownership
E) contract manufacturing