Assignments -> Basic Marketing-SUMMER 2008
Basic Marketing
Quiz Three
Chapters 17-22

Multiple Choice: 20 questions

DUE ...........JUNE 5, 2008
1. A major disadvantage of the 15 per cent commission rate for ad agencies is that a. the agencies obtain lower revenues from large accounts due to quantity discounts from media. b. agency revenue is not related to performance or costs. c. large accounts will not accept volume discounts. d. because agencies cannot accept competing accounts, they often drop smaller accounts for larger ones. 2. A national magazine, with a circulation of 800,000, charges $40,000 for one full-page 4-color ad. Its cost per thousand is a. $5.00. b. $20.00. c. $50.00. d. $200.00. 3. A magazine's circulation is 100,000. It has a passalong rate of 5. The magazine's reach is a. 100,000. b. 500,000. c. 600,000. d. 5,000,000. 4. Which of these selling positions is the most involved with generating customer leads, persuading customers, and closing sales? a. Order getter b. Order taker c. Missionary salesperson d. Service salesperson 5. What kind of salesperson is most likely to describe new pharmaceuticals to physicians (in terms of their value in treatment, side effects, and characteristics)?Order getter a. Order getter b. Order taker c. Missionary salesperson d. Service salesperson 6. A firm finds that the cost of a single field sales call is over $250. Although the majority of its customers have an order size of $2,000 or more, one-fifth place average orders of $350 or less. To reduce its selling costs to the latter group, the firm should a. grant seasonal discounts of 10 per cent. b. provide an extra 10 per cent quantity discount on all orders. c. utilize telemarketing. d. charge an additional $100 fee on all orders below $500. 7. The need-satisfaction approach in personal selling closely coincides with a. differentiated marketing. b. the sales era of marketing. c. the marketing concept. d. the selling concept. 8. A refrigerator manufacturer determined that its brand has relatively low brand recognition among final consumers. A research study shows that retail sales personnel are important in determining the brand and model purchased by customers. The firm should utilize which sales promotion form directed at channel members? a. Sales training b. Push money c. Trade shows d. Rebates 9. A firm increases its promotion budget by 15 per cent in order to increase awareness of its brand among its target market. Preliminary research suggests that less than 40 per cent of the target market is aware of the firm's brand name. What budgeting method is being used? a. Percentage of sales b. Incremental c. All you can afford d. Objective and task 10. An emphasis on personal selling in the promotion mix is most desirable when a. the target market is large and dispersed. b. the firm has a large promotion budget. c. competitors stress advertising. d. products are highly technical. 11. The major difference between advertising and _____ can be summarized in the statement: "Advertising is pad for, _____ is prayed for." a. publicity, publicity b. sales promotion, sales promotion c. public relations, public relations d. goodwill, goodwill 12. Media costs are expressed on the basis of _____ readers for newspapers. a. thousand b. ten thousand c. hundred thousand d. million 13. Reach is best defined as a. the per cent of a media's audience that is within the firm's target market. b. the number of readers and viewers who watch, read, or listen to an advertisement. c. a media's audience less its waste circulation. d. the total number of delivered copies of a print media. 14. Two or more noncompeting retailers could agree to share advertising costs with a _____ advertising agreement. a. distributed b. horizontal-cooperative c. massed d. vertical-cooperative 15. Which promotion tool works best with a pulling strategy? a. Massed promotion b. Distributed promotion c. Advertising d. Personal selling 16. Any form of communication used to inform, persuade, or remind people about an organization's or individual's goods, services, image, ideas, community involvement, or impact on society is a. sales promotion. b. promotion. c. publicity. d. advertising. 17. Noise is a. an unanticipated reaction to an advertisement. b. interference only in the encoding stage of the channel of communication. c. interference only in the decoding stage of the channel of communication. d. interference at any stage along a channel of communication. 18. If marketing research shows that a large proportion of the target market has not reached the awareness stage about a new technological development that can affect tire safety, the tire company needs to a. obtain consumer preference. b. generate primary demand. c. obtain favorable attitudes. d. emphasize comparative advertising. 19. What promotional enforcement tool requires a firm to discontinue a promotion practice and then modify its message to correct the previous false impressions? a. Remediation b. Cease-and-desist orders c. Full disclosure d. Corrective advertising 20. The giving away of coupons that can be redeemed for free samples of cat food is an example of which promotional type? a. Advertising b. Personal selling c. Publicity d. Sales promotion