Homework answers / question archive / Chapter 11 1)When a phone company releases its greatly anticipated new phone models at a premium? price, only to discount them slowly over? time, this is an example of a? ________ pricing strategy

Chapter 11 1)When a phone company releases its greatly anticipated new phone models at a premium? price, only to discount them slowly over? time, this is an example of a? ________ pricing strategy

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Chapter 11

1)When a phone company releases its greatly anticipated new phone models at a premium? price, only to discount them slowly over? time, this is an example of a? ________ pricing strategy.

 

2.  Companies that set a low initial price in order to attract a large number of buyers quickly and win a large market share are employing a? ________ pricing strategy.

 

3.  One major objective associated with a ?market-penetration pricing strategy is to? ________.

 

4.  A company has set a low price on a new product it introduced. It wants to maximize its market share and attract a large number of buyers quickly. Which new product pricing strategy should the company ?use?

 

5.  When Apple introduced its? iPhone, it priced the new product at? $599, considerably higher than either its iPod or competing cellular phones. Apple Computer was pursuing? a(n) ________ new product pricing strategy.

 

6.  Which of the following statements is true concerning new product pricing? strategies?

 

7.  Combo meals at? fast-food restaurants are an example of? ________ pricing.

 

8.  ________ pricing is an appropriate strategy for companies that offer multiple products within a given category with varying levels of quality or functionality.

 

9.  Gillette charges a fairly low price for its razors? (relative to? costs) and a high price for razor blades. It is using a strategy of? ________ pricing.

 

10.  Bath? & Body Works offers? "three-fer" deals on its soaps and lotions? (such as three antibacterial soaps for? $10). This is an example of? _______ pricing.

 

11. A car buyer can choose a base model at one? price, or one with a premium sound and navigation system at a higher price. This is an example of? _______ pricing.
12.  The Ford Mustang is offered in several different models. Ford will use? ________ pricing to determine the price steps between the different models.

 

13.  Whereas a? round-trip economy seat on a flight from New York to London might cost? $1,000, a? business-class seat on the same flight might cost? $4,700 or more. This type of segmented pricing strategy is known as? ________ pricing.

 

14.  A grocery store places its store brand picante? salsa, priced at? $2.49, directly next to bottles of national brand Pace picante? salsa, priced at? $3.19. In so? doing, the store is encouraging the use of the higher priced item as a? ________ price.

 

15.  Many state colleges and universities charge one price for? in-state students and a higher price for? out-of-state students. Which form of segmented pricing are these schools? using?

 

16. Companies that use? ________ continually adjust prices to meet the characteristics and needs of individual customers and situations.

 

17.  Margaret has been invited to a fancy dinner party and wants to bring a good bottle of wine as a gift for the host. Because she does not know much about? wine, she will likely use the price of the wines as? ________.

 

18.  UPS charges different prices for shipping depending on which region of the United States the item is being shipped to. The more distant the city the package is being shipped? to, the higher the price UPS charges. Which geographic pricing method is UPS? using?

 

19.  If a specific market segment is being lost to? lower-priced rivals and? price-sensitive customers are unresponsive to arguments of higher? quality, a firm might choose to introduce a new? ________ brand at a? lower-price point rather than lower the price and quality perceptions of its premium quality brands.

 

20.  When gasoline prices rise? rapidly, angry customers often accuse the major oil companies of? ________, or enriching themselves at the expense of consumers.

 

21.  Which of the following statements is true regarding initiating price? cuts?

 

22.   Assume a competitor has cut prices and a company determines it should respond. Potential actions that the company could initiate include? ________.

 

23.   Which of the following statements is true regarding initiating price? increases?

 

24.  Which of the following is a potentially effective action a company could take in response to a? competitor's price? cut?

 

25.  Federal legislation precludes sellers from talking to competitors prior to setting? prices, an illegal practice known as? ________.

 

26.  The? Robinson-Patman Act seeks to prevent unfair price? ________ by ensuring that sellers offer the same price terms to customers at a given level of trade.

 

27.  Archer Daniels Midland Co is the? world's largest processor of? soybeans, corn, and wheat. In the? 1990s, the Justice Department found it guilty of regularly meeting with competitors when setting prices. ADM was guilty of? ________.

 

28.  ________ is the practice of pricing products below cost to harm competitors.

 

29.  ________ occurs when retailers set an artificially high? "regular price" and then advertise a? "sale price," which is actually close to their everyday price.

 

30.  What is the purpose of the? Robinson-Putnam Act?

Chapter 12

1.  Marketers, however, have traditionally focused on the downstream side of the supply? chain, often referred to as the? ________ channels, that look toward the customer.

 

2.  Big? food, drug, and discount? retailers, such as? Safeway, Walgreens, and? Target, buy various types of candy bars by the truckload and stock it on their? stores' shelves. In? turn, you can buy a single Snickers bar along with a shopping cart full of other items when you visit the store. This example demonstrates how channel intermediaries contribute value by performing the? ________ function.

 

3.  Which channel partners in a? company's supply chain are upstream from a manufacturer or? producer?

 

4.  One key function performed by channel members is? ________, shaping offers to meet the? buyer's needs, including activities such as? manufacturing, grading,? assembling, and packaging.

 

5.  Which of the following is a reason that producers use marketing channels and channel? intermediaries?

 

6.  The length of a channel is indicated by the number of? ________.

 

7.  Although channel members depend on one? another, they often act alone in their own? short-run best interests and might disagree on their respective roles and rewards. Such disagreements over? goals, roles, and rewards generate? ________.

 

8.  Online music download services such as iTunes and Amazon Music have pretty much put traditional? music-store retailers out of business. This is an example of the concept of? ________.

 

9.  ?Sherwin-Williams sells its paint and other branded products exclusively through? company-owned retail stores.? Sherwin-Williams has established? a(n) ________.

 

10.  Large retailers like Walmart have enormous channel control due to their size and power. Which type of channel arrangement does this? represent?

 

11.  Which of the following is an example of horizontal channel? conflict?

 

12.   When a single firm sets up two or more marketing channels to reach one or more customer? segments, it is using? a(n) ________.

 

13.  Producers of convenience? products, such as bar soap and? candy, typically seek to employ? ________ distribution strategies.

 

14.  Many producers of luxury items purposely limit the number of intermediaries handling their products in order to enhance perceptions of the premium quality of their? goods, a practice known as? ________.

 

15.   Producers of? ________ typically use intensive distribution for their products.

 

16.  What is the first step in marketing channel? design?

 

17.  When setting channel? objectives, companies should state the objectives in terms of? ________.

 

18.  When the company has defined its channel? objectives, it should next identify its major channel alternatives in terms of the types of? intermediaries, the number of? intermediaries, and? ________.

 

19.  _______ involves the processes associated with? selecting, managing, and motivating individual channel members and evaluating their performance over time.

 

20.  Most companies see their intermediaries as? first-line customers and partners. They employ? a(n) ________ approach to forge? long-term partnerships with channel members.

 

21.   Companies today see channel members as? first-line customers and practice strong? ________.

 

22.  _______ is a practice whereby a producer agrees to sell a brand to a dealer only if the dealer agrees to sell some or all of the rest of its line.
23.  _______ is a strategy in which the seller requires that dealers not handle? competitors' products.

 

24.  Companies now use? ________ and supply chain management software to help? recruit, train,? organize, manage,? motivate, and evaluate relationships with channel partners.

 

25.  ________, also called? "physical distribution," involves? planning, implementing, and controlling the physical flow of? goods, services, and related information from points of origin to points of consumption to meet customer requirements at a profit.

 

26.  ________ refers to processes that make it easier and more efficient for customers and resellers to? reuse, recycle,? refurbish, or dispose of? broken, unwanted, or excess products.

 

27.  What are the four major functions of? logistics?

 

28.  ?________ involves ?reusing, recycling,? refurbishing, or disposing of? broken, unwanted, or excess products returned by consumers or resellers.

 

29.   Using? ________, the customer shares? real-time data on sales and current inventory levels with the supplier. The supplier then takes full responsibility for managing inventories and deliveries.

 

30. Which of the following describes a? just-in-time logistics? system?

Chapter 13

1.  Retail stores like? Costco, Sam's? Club, and? BJ's, are examples of the? ________ retailer category.

 

2. ?High-end department? stores, such as Nordstrom and Neiman? Marcus, which offer buyers more specialty products and actively seek to assist customers in every phase of the shopping? process, are often referred to as? ________.

 

3.  ______ involves focusing the entire marketing process toward turning shoppers into buyers as they approach the point of sale.

 

4.  ________ carry narrow product lines with deep assortments within those lines.

 

5.  A discount store? (for example,? Target, Kohl's, or? Walmart) sells standard merchandise at lower prices. To do? this, discount stores accept which of the following two? conditions?

 

6.  One type of contractual retail association is a? ________, which is a group of independent retailers that bands together to set up a jointly? owned, central wholesale operation and conduct joint merchandising and promotion efforts.

 

7.  Bass Pro Shop is in the process of converting a landmark? 32-story, stainless steel basketball arena in? Memphis, formerly known as the? Pyramid, into a huge Bass Pro Shops Outdoor World retail store. The facility will include a? restaurant, aquarium,? waterfall, as well as a hotel and museum. Shoppers will even be able to test drive watercraft from an adjoining marina on the banks of the Mississippi River. This is an example of a growing retail marketing trend known as? ________.

 

8.  Retailers such as? Walmart, Costco,? ALDI, and Family Dollar are known for maintaining low prices and rarely offering sales or other? discounts, a practice known as? ________.

 

9.  Retailers must decide on which three major product? variables?

 

10.  The retail marketing mix consists of which of the? following?

 

11. Which of the following statements about retailer marketing decisions is? correct?

 

12.  A ?________ contains between 15 and 50 retail stores. It normally contains a branch of a department store or variety? store, a? supermarket, specialty? stores, professional? offices, and sometimes a bank.

 

13.  The Brazilian sandal maker Havaianas is known for opening temporary? stores, or? ________, at? beaches, festivals, and other summer hot spots around the world.
14.  With increased availability of smartphones and mobile? computing, many shoppers now check out merchandise at physical stores but then buy products online using a computer or mobile? device, sometimes even while they are in the store. This practice is widely known as? ________.

 

15.  A retail trend resulting from weak economic conditions is? ________.

 

16.  By practicing? ________, today's retailers are increasingly adopting environmentally sustainable practices.

 

17.  Increasingly, different types of retailers now sell the same products at the same prices to the same consumers. This trend is called? ________.

 

18.  Which of the following statements about major retail trends is? true?

 

19.  ________ differ from merchant wholesalers in that they do not take possession of the goods and perform only a limited set of functions.

 

20.  _______ buy mostly from producers and sell mostly to? retailers, industrial? consumers, and other wholesalers.

 

21.  _______ are the largest single group of? wholesalers, accounting for roughly? 50% of all wholesaling.

 

22.  Which of the following statements about wholesaling is? true?

 

23.  Which wholesaler channel function helps reduce inventory holding costs and the risks of suppliers and? customers?

 

24.  By performing the channel function of? ________, wholesalers' sales forces help manufacturers reach many small customers at a low cost.

Chapter 14

1.  A? company's ________ consists of the specific blend of? advertising, public? relations, personal? selling, sales? promotion, and direct marketing tools that the company uses to engage? consumers, persuasively communicate customer? value, and build customer relationships.

 

2.  _______, an element of the? firm's promotional? mix, includes tactics such as? discounts, coupons,? displays, samples, and demonstrations.

 

3.  _______ is the promotion mix tool that consists of? short-term incentives to encourage the purchase or sale of a product or service.

 

4. Specific promotional tools used in? ________ include press? releases, sponsorships,? events, and Web pages.

 

5.  ______ is the promotion mix tool that consists of any paid form of nonpersonal presentation and promotion of? ideas, goods, or services by an identified sponsor.

 

6.  Specific promotional tools used in? ________ include direct? mail, catalogs, online and social? media, mobile? marketing, and more.

 

7.  The? ________ concept implies that companies should carefully integrate their communications channels to deliver a? clear, consistent, and compelling message about their organizations and brands.

 

8. Many advertisers are now introducing video ad campaigns that stretch across multiple viewing? platforms, such as traditional television and? digital, mobile, and social? media, a concept known as? ________.

 

9. Which of the following statements regarding the changing communications landscape is? correct?

 

10.  What is the goal of integrated marketing? communications?

 

11.  One reason there is a need for integrated marketing communications is that? ________.

 

12. Which of the following statements is true regarding advertising in the new marketing communications? model?

 

13.  Advertising messages that emphasize a? product's quality,? economy, value, or performance are said to be using? a(n) ________ appeal.

 

14.  Due to unplanned? ________ during the communication? process, a receiver may end up getting a different message than the one the sender sent.

 

15.  The first step in developing an effective marketing communications program is to? ________.

 

16.  One framework for designing an effective message is the AIDA model. In the AIDA? model, ________.

 

17.   In the content of a? message, marketers often use? ________ appeals such as? joy, love,? humor, fear, and guilt.

 

18.  Nonpersonal communication channels include? ________.

 

19.  Under the? ________ budgeting? method, the company sets its promotion budget based on what it wants to accomplish with promotion. This budgeting method entails? (1) defining specific promotion? objectives, (2) determining the tasks needed to achieve these? objectives, and? (3) estimating the costs of performing these tasks. The sum of these costs is the proposed promotion budget.

 

20.   ________ is the most effective tool at certain stages of the buying? process, particularly in building up? buyers' preferences,? convictions, and actions. 

 

21.  Which method for setting the total budget for advertising is the most difficult to? use?

 

22.  A company wants to reach a large number of geographically dispersed buyers at a low cost per exposure. Which element of the promotional mix should the company? use?

 

23.  Using a push? strategy, a firm directs its promotional efforts towards? ________.

 

24. Which element of the promotional mix is most effective in building up? buyers' preferences,? convictions, and? actions?

Chapter 15

1.  Advertising objectives can be classified by whether their primary purpose is to? ________, persuade, or remind.

 

2.  Advertising strategy consists of two major? elements: creating advertising messages and? ________.

 

3.  Advertising appeals should be? meaningful, believable, and? ________.

 

4.  An? advertisement's ________ refers to the? style, tone,? words, and format employed in delivering the brand message.

 

5.  What is the overall objective of advertising in an advertising? program?

 

6.  Which of the following statements about setting an advertising budget is? correct?

new products typically need relatively large advertising budgets to build awareness and to gain consumer trial.

 

7.  What are the three characteristics that advertising appeals should? have?

 

8.  The? ________ execution style shows one or more? "typical" people using the product in a normal setting.

 

9.  _______ refers to all the? mass-promotion activities designed to engage and build good relations with the? company's various publics.

 

10.  Building and maintaining national or local community relationships is part of the? ________ function of public relations.

 

11.   ________ consists of activities designed to engage and build good relations with the? company's various publics.

 

12.   The public relations function of? ________ is used to build and maintain national or local community relationships.

 

13.  The public relations function of? ________ is used to work with donors or members of nonprofit organizations to gain financial or volunteer support.

 

14.  Which of the following statements about public relations is? correct?

 

15.  Public relations professionals often utilize? ________, such as news conferences and? speeches, brand? tours, sponsorships, and educational? programs, in order to reach and interest target publics.

 

16.  ________ include(s) items like? logos, stationery,? brochures, signs, business? forms, business? cards, buildings,? uniforms, and even company? vehicles, all designed with the intent to create a strong corporate identity that the public immediately recognizes.

 

17.  Which PR tool uses news? conferences, speeches, brand? tours, sponsorships, laser light? shows, multimedia? presentations, and educational programs designed to reach and interest target? publics?

 

18.  Annual? reports, brochures,? articles, and company newsletters and magazines are all which type of PR? tool?

 

19.  Logos, stationery,? brochures, signs, business? forms, business? cards, buildings,? uniforms, and company cars and trucks are all types of? ________.

 

20.  Which PR tool improves public goodwill by having companies contribute money and? time?