compensate consumers for previous product failures. 4.

1.

award:

10.00 points

The point at which you exchange money for your sandwich of corned beef on rye is which stage of the consumer purchase decision process?

first

second

third

fourth

final

The actual "purchase" follows three previous steps: problem recognition, information search, and alternative evaluation

(after all, you could have had pastrami!). 2.

award: 10.00 points

Which of the following statements about the problem recognition stage of the purchase decision process is most accurate?

The decision-maker perceives a difference between the actual and ideal situations, but it's not big enough to trigger a decision.

Advertisements can activate a consumer's decision process by showing shortcomings of competing products.

Advertisements can activate a consumer's decision process only by showing shortcomings of

currently owned products.

The consumer scans his or her memory for previous experiences with certain products or

brands.

The consumer pays attention to advertising suggesting criteria to use for the purchase.

During the purchase decision process, an individual at the problem recognition stage will perceive differences between his or her ideal and actual situations big enough to trigger a decision. Advertisements can activate a consumer's

decision process by showing shortcomings of competing or currently owned products. The memory scan tak es place in the information search stage, as does the advertising suggesting criteria to use for the purchase.

3. award: 10.00 points

The use of toll-free numbers; liberalized return and refund policies; and extensive training of staff to handle complaints,

answer questions, and solve consumer problems are all strategies used by companies to

maximize customer satisfaction and retention.

woo customers away from lower-priced competitors.

compensate consumers for previous product failures.

coerce customers to buy from one supplier rather than another.

enhance the product purchase experience.

After buying a product a consumer compares it with his or her expectations and is either satisfied or dissatisfied. This occurs at the post-purchase stage. Firms such as General Electric (GE), Johnson & Johnson, Coca-Cola, and British

Airways focus attention on post-purchase behaviour to maximize customer satisfaction and retention. This can include toll-free telephone numbers, liberalized return and refund policies, etc.


For which of the following items would extended problem solving most likely be used?

chewing gum

a backpack

an automobile

cake mix

designer jeans

Extended problem solving exists in high-involvement purchase situations for items such as automobiles and audio systems.


A typical consumer would most likely use __________ in choosing a toaster, a restaurant for lunch, or a

pair of sandals.

routine response behaviour

limited problem solving

extended problem solving

simulated selection

integrated problem solving

In limited problem solving, consumers typically seek some information or rely on a friend to help them evaluate alternatives. There is little time or effort used in these situations. In general, several brands might be evaluated using a

moderate number of different attributes. You might use limited problem solving in choosing a toaster, a restaurant for lunch, or a pair of sandals.


Antecedent states include

the purpose of the purchase.

other people present.

the time of day.

the crowding in retail stores.

the consumer's mood.

Antecedent states (conditions that exist prior to the purchase) include the consumer's mood or the amount of cash on hand.

7. award:

10.00 points

The U.S. Army's former advertising theme, "Be All That You Can Be," relied on which type of psychological need to motivate behaviour?

self-actualization

safety

physiological

antecedent states

lifestyle

Motivation is the energizing force that stimulates behaviour to satisfy a need. The slogan suggested that the Army

could satisfy an individual's need for self-actualization. 8.

award: 10.00 points

Toro introduced a small, lightweight snowblower called the Snow Pup, which worked very well. Toro later found out that consumers perceived the name to mean that Snow Pup was a toy or too light to do any serious snow removal. A

smaller than anticipated sales rate may have been the result of __________ because of customers' interpretation of the name.

selective retention

selective comprehension

selective exposure

selective analysis

stimulus discrimination

A consumer using selective comprehension is interpreting information so that it is consistent with his or her attitudes

and beliefs – in this case that the snowblower was too light to do any serious snow removal. 9.

award: 10.00 points

Marketers can reduce __________ by obtaining seals of approval for products, securing endorsements from influential people, providing trial usage of the product, or providing warranties and guarantees.

consumer angst

cognitive dissonance

purchase anxiety

perceived risk

consumer cynicism

Marketers can and have used all of the above to reduce perceived risk. Examples include the Good Housekeeping

Seal of approval for Fresh Step Crystals cat litter, cardiologists' endorsements of Promise soft spread, samples of Mary Kay's Velocity fragrance, extensive usage instructions for Clairol hair colouring, and Cadillac's four-year, 50,000-mile, bumper-to-bumper warranty.

10. award:

10.00 points

Using the same brand name for different products is an application of which concept from behavioural learning theory?

selective comprehension

selective retention

stimulus generalization

stimulus discrimination

cognitive learning

Stimulus generalization occurs when a response elicited by one stimulus (cue) is generalized to another stimulus.

Using the same brand name for different products is an application of this concept, such as Tylenol Cold & Flu and Tylenol P.M.


Ads depicting happy families in Red Lobster restaurants are segmenting the market based on

__________.

personality

stage of the decision process

cognitive learning level

lifestyles

consumer socialization

One aspect of lifestyle is mode of living which is identified by how people spend their time, including eating out.

12. award:

10.00 points

The two major styles of family decision-making are _________.

joint and judgmental

spouse-dominant and spouse-submissive

spouse-dominant and joint decision-making

democratic and autocratic

joint and family-integrated

Two decision-making styles exist: spouse-dominant and joint decision-making. Spouse-dominant decisions are those for which either the husband or wife is responsible. With a joint decision-making style, both the husband and the wife

make most decisions. 13.

award: 10.00 points

Cognitive dissonance

occurs with all products.

cannot be alleviated once it has occurred.

typically occurs during the information search stage of the purchase decision process.

is defined as post-purchase psychological tension.

To alleviate cognitive dissonance consumers often attempt to applaud themselves for making the right

choice. p. 59 14.

award: 10.00 points

__________ describes the actions that a person takes when purchasing and using products and services.

Consumer purchase

Consumer behaviour

Purchase decision process

Purchase stage

Definition. p. 56

15.

award: 10.00 points

Researchers have identified which of the following general variations in the consumer purchase process?

routine problem solving

limited problem solving

extended problem solving

all of the above

Refer to figure 3-2. p. 59 16.

award: 10.00 points

Extended problem solving involves which stages of the consumer purchase process?

all five

the last two

only the most important

all four

All five stages of the consumer purchase process are used. p. 59

17. award:

10.00 points

Which of the following are situational influences for purchase decision?

both physical surroundings and temporal effects

physical surroundings

cognitive dissonance

temporal effects

p. 61


Time of day or the amount of available time will influence where consumers have breakfast and lunch and what is

ordered. This is referred to as __________.

temporal effects

momentary effects

situational surroundings

meal-time madness

p. 62


An ad for Destin Beach, Florida, invites you to "renew your family's bond on 24 miles of sugar-white sand and

sparkling green waters." This ad is most directly trying to satisfy ______ needs.

physiological

safety

social

self-actualization

Self-actualization needs involve personal fulfillment. For example, travel providers offer specialized educational and

exotic trips. p. 62 20.

award: 10.00 points

One of the largest and fastest-growing visible minorities in Canada, and therefore a subculture of particular interest to marketers, is which of the following?

Italian

Ukrainian

Chinese

Caribbean

Subcultures are becoming an increasingly important target group. p. 71 21.

award: 10.00 points

Marketing research is the process of defining a marketing problem and opportunity, systematically collecting and analyzing information, and __________.

recommending actions.

creating a new budget and financial plan.

tracking the actions of competitors.

assembling a task force to identify specific details.

changing from a domestic market perspective to a global market perspective.

Key term definition - marketing research


The retail mall owner told the marketing researcher, "We have the option of staying open late twice a week, or opening

up an hour early every day. We need to know which will be most profitable because we cannot do both. The decision must be made in 11 weeks, and we have budgeted only $10,000 for this research project." In which stage of the marketing research process would this statement have been made?

define the problem

develop the research plan

collect relevant information

develop findings and recommendations

take marketing actions

The second stage of the research process is to develop the research plan. During the development of the research plan, constraints on the research activity, such as a length of 11 weeks and a budget of $10,000, would be specified.


When a marketing researcher uses financial statements, research reports, customer letters, and sales call reports, she

is using __________.

primary data

internal secondary data

external secondary data

sensitivity analysis

non-probability data

Internal secondary data have already been recorded before the project at hand. Internal secondary data include financial statements, research reports, customer letters, and sales call reports.

24. award:

10.00 points

A publishing company sponsors an informal one-time-only session with seven university instructors who use one of the company's texts. The instructors meet with a moderator who asks their opinions about the text, its study guide, and the product's competition. This is an example of a(n) __________.

jury of executive opinion

consumer panel

focus group

information forum

in-depth interview

Focus groups are informal sessions in which six to ten past, present, or prospective customers are directed by a discussion leader or moderator to identify what they do and don't like about the firm's products and its competitors'

products, how they use the products, and special needs they have that the products don't address. Often video-recorded and conducted in special interviewing rooms with a one-way mirror, these groups enable marketing researchers and managers to hear and watch consumer reactions. It is not a panel of any kind because it meets only

once. 25.

award: 10.00 points

An advantage of using a panel for marketing research is

the discussion leader can help change negative panel responses into positive ones.

the company can find out if consumers change their purchasing behaviour over time.

panel members often help each other by bringing up ideas for discussion that others didn't

initially think of, but that were important to them.

there will usually be one panel member who dominates the discussion and helps keep the

conversation focused.

panel members are highly defined demographically, so it is relatively simple to replace an

individual member without losing continuity.

Marketing researchers often want to know if consumers change their behaviour over time, so they take successive

measurements from the same people using a panel. 26.

award: 10.00 points

Lauder's Leading Lipstick Index tracks sales of lipsticks. It has noted that during every economic downturn, the sale of lipstick goes up, and since the fall of 2001, sales have been steadily increasing for all brands. According to one expert,

"When things get tough, women buy lipstick." Lauder's Leading Lipstick Index gathers __________ data.

experimental

test marketing

ethnographic

internal secondary

Internal data exists within a company such as a sales report. p. 89


Due to India's developing communications infrastructure, 97 percent of all surveys are done in person, and most of this

research is held in surroundings that are comfortable for the participants. Interviewers could gather six to ten homemakers that match the participants' socio-economic backgrounds. Because the women would be comfortable, they would be willing to give their opinions about products, how they use them, and special needs they might have.

These women would be participating in a __________.

mall intercept interview

focus group

dichotomous survey

liker interview

A focus group is an informal interview session in which six to ten people are brought together in a room with a moderator

to discuss topics surrounding the market research problem. p. 90 28.

award: 10.00 points

On a survey about children's cereal, a mother of three toddlers was asked if she frequently fed her children sugared cereal. Which of the following statements best describes this question?

This question is open-ended because it requires the respondent to explain behavior.

This question is an example of a leading question.

This question is ambiguous because it does not explain what is meant by the word "frequently."

This is a poorly worded question because it requires non-mutually-exclusive answers.

Questions can be standardized and asked to a large number of people, as in a survey, or questions can

be posed less formally to a smaller number of people, as in a focus group. p. 92


A sample of consumers or stores from which researchers take a series of measurements (usually over time) is called

a(n) __________.

experiment

jury of executive opinion

panel

survey of experts

A sample of consumers or stores from which researchers take a series of measurements. p. 93


Today’s marketer has extensive sources of information available on which of the following?

competition

market

consumer

all of the above

p. 82 31.

award: 10.00 points

Which of the following techniques is not one of the primary techniques of exploratory research?

focus groups

secondary data analysis

in-depth interview

test markets

The basic tools a researcher has to choose from when conducting exploratory research are secondary

data analysis, focus group research, and in-depth interviews. p. 83


A marketing researcher had people choose the sweeter juice from two containers, a red one and a yellow one. The

respondents expressed a definite preference although the juice was exactly the same. This type of marketing research is called a(n) __________.

hypothesis generation

experiment

deviation test

decision task

An experiment in marketing is a variable involved in a customer purchase to find out what happens. p. 92

33. award:

10.00 points

Profiling product purchasers, describing the size and characteristics of markets, detailing product usage patterns, or outlining consumer attitudes toward particular brands are examples of __________.

exploratory research

causal research

sampling

descriptive research

Unlike exploratory research, with descriptive research the researcher has a general understanding of the marketing

problem and is seeking more conclusive data that answers particular questions. p. 83 34.

award: 10.00 points

Research projects usually involve a complete census of every person in the research population

if time and cost are reasonable.

if the plan is well executed.

if the subset of the population is representative.

almost never. Research projects rarely involve a complete census of every person in the

research population.

Time and cost are the primary factors. p. 87


Secondary data are

facts and figures that are newly collected for the project at hand.

facts and figures obtained by watching people mechanically rather than in person.

facts and figures obtained by asking people questions.

facts and figures that have already been recorded before the project.

Definition. p. 89 36.

award: 10.00 points

Richard Magnus runs a community outreach program. His organization compiles data on immigration, population shifts, education, income, age, and ethnicity that he uses to determine specific community needs. He gets the data he

uses from Statistics Canada. Magnus uses __________ data.

primary

external secondary

observational

internal secondary

Secondary data can be divided into two parts: internal data that exists within a company, such as a sales report, and

external data from unpublished sources. p. 89 37.

award: 10.00 points

The two principal ways of collecting primary data are _____________.

observing people and asking questions

directories and publications

trade sources and word of mouth

problem solving and plan design

Compared to secondary data, primary data have the advantage of being more specific to the problem

being studied. p. 92


Information presents itself to companies through market research studies and which of the following?

data management

marketing information system

data profiler

consumer information system

There are two main ways marketers get information. p. 82 39.

award: 10.00 points

Two main concerns that marketers have for market research are that it is _________.

accurate and efficient

cost-efficient and accessible

cost-efficient and accurate

accessible and accurate

Research has to be cost-efficient and accurate. p. 82

40. award:

10.00 points

Without market research, marketers would have difficulty making _____.

sound marketing decisions

any marketing decisions

all marketing decisions

difficult marketing decisions

Research underpins sound marketing decisions. p. 82 41.

award: 10.00 points

When a company compares the sales figures for their product both before and after an advertising campaign, it is conducting which kind of research?

exploratory

descriptive

experimental

causal

Understanding various research applications. p. 84 42.

award: 10.00 points

The first and most important thing to do when designing a research approach is to _____.

define the problem

conduct exploratory research

collect secondary data

collect quantitative data

Defining the problem will ensure more relevant and accurate research. p. 85

43. award:

10.00 points

At which step of the ten-step market research process does a researcher design the data collection plan?

step 3

step 2

step 4

step 5

It is important to have a data collection plan when designing the research plan. p. 86


When a grocery store owner wants to check how many of the apple pies on sale were bought in a weekend, the best

way for him to check is probably _____.

to check store scanner information

to ask the checkout clerk

by social listening

by personal observation of consumer action

There are different ways to collect information. p. 92


One of the advantages of social listening is that

it doesn’t require a lot of people.

it is cheaper than most other research.

it can help gain insights that lead to new opportunities and ideas.

it is ethically superior.

Social listening that monitors online consumer conversations is a growing new data source. p. 92 46.

award: 10.00 points

Manufacturers, wholesalers, retailers, and government agencies that buy goods and services for their own use or for resale are __________.

multinational buyers

manufacturing cooperatives

organizational buyers

ultimate consumers

institutional buyers

Key term definition - organizational buyers 47.

award: 10.00 points

Apex Therapeutic buys medical supplies and services from a multitude of sources for people with hemophilia and

other related blood diseases. It then sells these products to anyone who needs them. When it sells directly to a person who is a hemophiliac, it would most accurately be classified as a(n) __________.

service provider

monopoly

reseller

industrialist

capitalist

Resellers are wholesalers and retailers that buy physical products and resell them again without any

reprocessing. 48.

award: 10.00 points

The North American Industry Classification System (NAICS) provides common industry definitions to facilitate the measurement of economic activity for the __________.

European Union (EU)

Fiscal Development International Coalition (FDIC)

North American Free Trade Agreement (NAFTA)

North Atlantic Treaty Organization (NATO)

USCAMEX

Key term definition - North American Industry Classification System 49.

award: 10.00 points

The North American Industry Classification System (NAICS) designates industries with a numerical code in a defined structure. A six-digit coding system is used. The fifth digit designates a(n) __________.

subsector of the economy

industry group

specific industry

individual country-level national industry

sector of the economy

The first two digits designate a sector of the economy, the third digit designates a subsector, and the fourth digit represents an industry group. The fifth designates a specific industry. The sixth digit designates individual country-level national industries.

50.

award: 10.00 points

During late summer and early fall, there is a large demand for containers located in Asia that are used to ship

consumer goods from Asia to the United States in time for the holiday selling season. The demand for these containers is __________ demand.

unitized

derived

consumer

applied

implied

Derived demand means that the demand for industrial products and services is driven by, or derived from, demand for

consumer products and services. The demand for containers is driven by consumer demand for goods manufactured in Asia.


Because orders in organizational buying are typically much larger than in consumer buying, buyers must often

__________ when the order is above a specific amount, such as $5,000.

pay taxes in advance

bond and insure their employees

get competitive bids from at least three prospective suppliers

equivocate to their superiors about how much things really cost

carry personal insurance to cover possible losses

With so much money at stake, most organizations place constraints on their buyers in the form of purchasing policies or procedures such as obtaining competitive bids. Buyers most often get competitive bids from at least three

prospective suppliers when the order is above a specific amount, such as $5,000. 52.

award: 10.00 points

Seven of the most commonly used organizational buying criteria are (1) price, (2) ability to meet the quality specifications required for the item, (3) ability to meet required delivery schedules, (4) technical capability, (5)

__________, (6) past performance on previous contracts, and (7) production facilit ies and capacity.

consumer demand

promotional incentives

warranties and claim policies

current mood of the buyer

senior management directives

Organizational buying criteria are the objective attributes of the supplier's products and services and the capabilities of the supplier itself. These include (1) price, (2) ability to meet the quality specifications required for the item, (3) ability

to meet required delivery schedules, (4) technical capability, (5) warranties and claim policies in the event of poor performance, (6) past performance on previous contracts, and (7) production facilities and capacity.


Which of the following characterizes organizational buyer-seller relationships?

Purchases are often made after brief negotiations.

Purchases are usually of large dollar values.

Short-term relationships are often prevalent.

Reciprocal arrangements rarely exist.

Delivery schedules are less important than production capacity.

Organizational buying is more likely to involve complex negotiations concerning delivery schedules, price, technical specifications, warranties, and claim policies. These negotiations also can last for an extended period of time. Reciprocal arrangements also exist in organizational buying. Long-term contracts are also prevalent. In some cases,

buyer-seller relationships evolve into supply partnerships. 54.

award: 10.00 points

Which of the following statements accurately describes the people in the buying centre of a medium-size manufacturing plant?

The composition of the buying centre never changes.

The buying centre avoids cross-functional teams if possible.

The composition of the buying centre depends on the specific item being purchased.

The key difference between large and medium firms' buying centres is that medium-size firms do not include an organizational buyer or purchasing agent.

Cross-functional teams are not used when the purchased item is to become part of a manufactured product.

The composition of the buying centre changes as the item that is to be purchased changes. Cross -functional teams

are used in buying centres, especially if the purchased item is to become part of the manufactured product. The only consistency within the buying centre is the inclusion of the organizational buyer or purchasing agent.


Once an organization making a purchase decision passes through the problem recognition stage of the process, it

reaches the __________ stage.

information search

value analysis

alternative evaluation

purchase decision

behavioural learning

Figure 6-4 shows that the second stage of the organizational buying decision process is information search.

56. award:

10.00 points

At which stage in the buying decision process would a firm visit a potential supplier in order to assess their quality control?

problem recognition

information search

alternative evaluation

purchase decision

post-purchase behaviour

Figure 6-4 shows that in the alternative evaluation stage, purchasing and engineering personnel visit with suppliers

and assess facilities, capacity, quality control, and financial status. 57.

award: 10.00 points

Within the buying centre, deciders are people who

have the formal authority and responsibility to select the supplier and negotiate the terms of

the contract.

control the flow of information in the buying centre.

have the formal or informal power to select or approve the supplier that receives the contract.

facilitate the buying decision usually by helping define the specifications for what is bought.

actually use and evaluate the product or service.

Text term definition – deciders


A sales representative for a pharmaceutical company visits a doctor's office, hoping to explain a new drug to her.

However, the office receptionist explains that the doctor is with patients and will not be able to see the sales rep. The

receptionist is acting as a __________.

user

influencer

buyer

decider

gatekeeper

A gatekeeper controls the flow of information in the buying centre. Purchasing personnel, technical experts, and

secretaries can all keep salespeople or information from reaching people performing the other four roles. The receptionist could facilitate or hinder the flow of information to and from the doctor and would not otherwise be involved in selecting drugs to prescribe to patients.

59. award:

10.00 points

Researchers who have studied organizational buying identify three types of buying situations: straight rebuy, new buy, and modified rebuy. These are referred to as __________.

purchase criteria

buy classes

buying alternatives

purchase prioritizations

purchase hierarchies

Key term definition - buy classes

60. award:

10.00 points

A buy class situation affects buying centre tendencies in different ways. If there are two or three people involved, the problem definition has only minor modifications, and the time required for a decision is moderate, most likely the buy class situation is a __________.

new buy

straight rebuy

conditional rebuy

modified rebuy

standard buy

In a modified rebuy, two or three people are involved, the decision time is moderate, the problem definition is one with minor modifications, the buying objective is the low-priced supplier, the present suppliers are those considered, and the buying influence is the purchasing agent and others.

61.

award: 10.00 points

Independent e-marketplaces act as a neutral third party and provide an Internet technology trading platform and a(n)

__________ that enable exchanges between thousands of geographically dispersed buyers and sellers.

centralized market

decentralized market

segregated market

integrated market

non-competitive

Independent e-marketplaces act as a neutral third party and provide an Internet technology trading platform and a centralized market that enable exchanges between buyers and sellers. They charge a fee for their service and exist in

settings that have one or more of the features listed in the question. 62.

award: 10.00 points

When Lands' End reorders linen blend blazers that it has been selling for the last 20 years in misses sizes in new larger women's sizes, it would most likely be an example of a __________.

new buy

modified rebuy

conditional rebuy

make-buy

standard buy

In a modified rebuy, users, influencers, or deciders in the buying centre want to change product specifications.


Which of the following terms identifies a group of people within an organization who participate in the buying process

and share common goals, risks, and knowledge important to a purchase decision?

procurement committee

purchasing agency

buying centre

gatekeepers

Definition. p. 113

64.

award: 10.00 points

Another name for an e-marketplace is a(n) __________.

21 market forum

hub knot

e-hub

B1 marketplace

Understanding that there are different terms. p. 116 65.

award: 10.00 points

Andersen Windows is a manufacturer of high-quality, energy-efficient windows for homes and offices. The number of windows sold is linked to the number of new homes being built. When the economy is strong and many homes are

constructed, Andersen sells many windows. When few homes are constructed, few windows are sold. This is an example of __________.

derived demand

price elasticity

the acceleration principle

fluctuating demand

Derived demand is a characteristic of organizational buying. p. 107

© 2011 The McGraw-Hill Companies. All rights reserved.

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