CHAPTER 16
CRS Questions & Answers
MARKETING ETHICS
AND
SOCIAL RESPONSIBILITY
Critics often argue that the American marketing
system results in higher prices for consumers
due to all EXCEPT which of the following?
1. High distribution costs
2. Excessive mark-ups
3. Replacement and repair costs stemming
from poor product quality
4. High advertising and promotion costs
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16-2
Critics often argue that the American marketing
system results in higher prices for consumers
due to all EXCEPT which of the following?
1. High distribution costs
2. Excessive mark-ups
3. Replacement and repair costs stemming
from poor product quality
4. High advertising and promotion costs
Advertising, promotion, and distribution costs are most
often criticized, along with mark-up levels.
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16-3
Among the deceptive marketing practices cited
by critics are _________.
1. Deceptive packaging
2. Deceptive pricing
3. Deceptive promotion
4. All the above
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16-4
Among the deceptive marketing practices cited
by critics are _________.
1. Deceptive packaging
2. Deceptive pricing
3. Deceptive promotion
4. All the above
Deceptive practices lead consumers to believe that
they will receive more value than what they actually do.
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16-5
Deceptive practices have led to legislation and
other consumer actions, including the _____
Act which grants regulatory power to the
Federal Trade Commission.
1. Robinson-Patman
2. FTC
3. Consumer Product Safety
4. Wheeler-Lea
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16-6
Deceptive practices have led to legislation and
other consumer actions, including the _____
Act which grants regulatory power to the
Federal Trade Commission.
1. Robinson-Patman
2. FTC
3. Consumer Product Safety
4. Wheeler-Lea
Visit www.ftc.gov to view the FTC’s
guidelines that describe deceptive practices.
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16-7
An advertising campaign that promotes the
purchase of a luxury car as a means of proving
one’s success would be criticized for:
1. Encouraging materialism
2. Cultural pollution
3. Providing car manufacturers with too much
political power
4. Not offering social goods
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16-8
An advertising campaign that promotes the
purchase of a luxury car as a means of proving
one’s success would be criticized for:
1. Encouraging materialism
2. Cultural pollution
3. Providing car manufacturers with too much
political power
4. Not offering social goods
Ad campaigns that promote opulence, waste, and
conspicuous consumption encourage materialism.
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16-9
Consumer advocates wish to expand buyers’
rights to include all the following EXCEPT:
1. The right to be well informed about
important aspects of the product.
2. The right to be protected against
questionable products and marketing
practices.
3. The right to a full refund if the buyer is
dissatisfied, no questions asked.
4. The right to influence products and
marketing practices in ways that will
improve the "quality of life."
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16-10
Consumer advocates wish to expand buyers’
rights to include all the following EXCEPT:
1. The right to be well informed about
important aspects of the product.
2. The right to be protected against
questionable products and marketing
practices.
3. The right to a full refund if the buyer is
dissatisfied, no questions asked.
4. The right to influence products and
marketing practices in ways that will
improve the "quality of life."
Retailers often give a refund when buyers are dissatisfied;
however, this is not a proposed “consumer right.”
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16-11
The question, "Would making our products
recyclable add value for our customers?" is
likely to come out of what practice of
environmental sustainability?
1. Sustainability vision
2. New environmental technology
3. Pollution prevention
4. Product stewardship
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16-12
The question, "Would making our products
recyclable add value for our customers?" is
likely to come out of what practice of
environmental sustainability?
1. Sustainability vision
2. New environmental technology
3. Pollution prevention
4. Product stewardship
Product stewardship minimizes environmental impacts
throughout the product life cycle, while reducing costs.
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16-13
The statement, "Our mission is for our company
to evolve in ways that help solve social and
environmental problems" likely stems from what
practice of environmental sustainability?
1. Sustainability vision
2. New environmental technology
3. Pollution prevention
4. Product stewardship
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16-14
The statement, "Our mission is for our company
to evolve in ways that help solve social and
environmental problems" likely stems from what
practice of environmental sustainability?
1. Sustainability vision
2. New environmental technology
3. Pollution prevention
4. Product stewardship
The sustainability vision guided the future and
offers a framework for environmental technology,
product stewardship, and pollution control.
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16-15
Suppose that a firm’s corporate goal states that
33% of the company’s revenue must come from
new or improved products. Such a goal is most
consistent with which of the following?
1. Consumer-oriented marketing
2. Innovative marketing
3. Value marketing
4. Societal marketing
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16-16
Suppose that a firm’s corporate goal states that
33% of the company’s revenue must come from
new or improved products. Such a goal is most
consistent with which of the following?
1. Consumer-oriented marketing
2. Innovative marketing
3. Value marketing
4. Societal marketing
The principle of innovative marketing is in
effect when a company continuously seeks
real product and marketing improvements.
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16-17
Life, home, health, and auto insurance are
examples of which of the following?
1. Pleasing products
2. Desirable products
3. Salutary products
4. Deficient products
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16-18
Life, home, health, and auto insurance are
examples of which of the following?
1. Pleasing products
2. Desirable products
3. Salutary products
4. Deficient products
Salutary products have low appeal in that they
do not provide immediate satisfaction, but
actually benefit consumers in the long run.
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16-19
________ is illegal in the U.S., but expected in
countries such as Russia and China where it is
considered to be a standard business practice.
1. Bribery
2. Exclusive dealing
3. Puffery
4. Environmentalism
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16-20
________ is illegal in the U.S., but expected in
countries such as Russia and China where it is
considered to be a standard business practice.
1. Bribery
2. Exclusive dealing
3. Puffery
4. Environmentalism
American companies often find it difficult to compete in
countries where bribery is a standard business practice.
American firms must conform to American law when
doing business in a foreign country.
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