MARK 460 FINAL QUESTIONS WITH VERIFIED
ANSWERS
Start a student passMarketing Communication - Answers - process by which
information about a firm and its offerings is disseminated to selected markets
communication informs the buyer of - Answers - -availability of an offering
-unique benefits of an offering
-where/ how to get and use offering
The message should be - Answers - - Desirable to the Target Market
- Exclusive to the Offering
- Believable as to the Offering's Benefits
marketing communication mix - Answers - -personal selling- most flexible
-advertising - least flexible
-public relations
-direct marketing
-sales promotions
3 decisions for social media - Answers - 1. which country should I be active
2. which network should I use- might not be the most popular one in your host country
3. what content should I offer
challenges/ key tasks of SM - Answers - - matching SM platform to target market
-measuring success
-managing info
-engaging audiences
-identifying influencers
-keeping regional & country specific content fresh
dynamic information - Answers - constantly changing content to keep things interesting
and engaging
SM Strategy - Answers - -think globally, but act locally (speak to consumers in the right
time and their language.)
-SM does NOT erase need for website- have a co website
-Monitor SM to gain consumer insights in real time & respond in a timely manner (*Oreo
"Dunk in Dark")
Role of price - Answers - -creates revenue
-competitive tool
, -helps position prod in the market
-cannot be decided in isolation
price floor - Answers - no profits below this price
price ceiling - Answers - no demand above this price
1st time pricing strategies - Answers - skimming pricing
market pricing
penetration pricing
skimming pricing - Answers - high price to help recover development costs
-only works with unique product and segment of customers willing to pay premium
market pricing - Answers - competition based pricing
-when similar products already exist in targeted market segments
-requires strong product knowledge of costs & prod lifecycle duration
penetration pricing - Answers - setting a low initial price on a new product to appeal
immediately to the mass market
-creates barriers to entry
-requires large mass markets w price sensitive customers & decreasing costs as sales
volume increasing to allow Econ of scale to be realized.
Forward Contract - Answers - Foreign currency forward contracts are used as a foreign
currency hedge when an importer/exporter has an obligation to make/take a foreign
currency payment at some point in the future. If the date of the foreign currency
payment and the last trading date of the foreign currency forward contract are matched
up, the investor has in effect "locked in" the exchange rate payment amount
Option Contract - Answers - •a contract that grants the buyer the right, but not the
obligation, to buy or sell a specified currency at a specified exchange rate on or before a
specified date.
Currency Futures Market - Answers - exchange-traded futures contracts to buy or sell a
specified amount of a particular currency at a set price and date in the future.
•Price adjustment approaches: - Answers - ▫Pass through: high price to customer to
cover exchange rate fluctuation
▫Absorption - seller bears losses due to exchange rate fluctuation (can mitigate this risk
thru forward contract)
ANSWERS
Start a student passMarketing Communication - Answers - process by which
information about a firm and its offerings is disseminated to selected markets
communication informs the buyer of - Answers - -availability of an offering
-unique benefits of an offering
-where/ how to get and use offering
The message should be - Answers - - Desirable to the Target Market
- Exclusive to the Offering
- Believable as to the Offering's Benefits
marketing communication mix - Answers - -personal selling- most flexible
-advertising - least flexible
-public relations
-direct marketing
-sales promotions
3 decisions for social media - Answers - 1. which country should I be active
2. which network should I use- might not be the most popular one in your host country
3. what content should I offer
challenges/ key tasks of SM - Answers - - matching SM platform to target market
-measuring success
-managing info
-engaging audiences
-identifying influencers
-keeping regional & country specific content fresh
dynamic information - Answers - constantly changing content to keep things interesting
and engaging
SM Strategy - Answers - -think globally, but act locally (speak to consumers in the right
time and their language.)
-SM does NOT erase need for website- have a co website
-Monitor SM to gain consumer insights in real time & respond in a timely manner (*Oreo
"Dunk in Dark")
Role of price - Answers - -creates revenue
-competitive tool
, -helps position prod in the market
-cannot be decided in isolation
price floor - Answers - no profits below this price
price ceiling - Answers - no demand above this price
1st time pricing strategies - Answers - skimming pricing
market pricing
penetration pricing
skimming pricing - Answers - high price to help recover development costs
-only works with unique product and segment of customers willing to pay premium
market pricing - Answers - competition based pricing
-when similar products already exist in targeted market segments
-requires strong product knowledge of costs & prod lifecycle duration
penetration pricing - Answers - setting a low initial price on a new product to appeal
immediately to the mass market
-creates barriers to entry
-requires large mass markets w price sensitive customers & decreasing costs as sales
volume increasing to allow Econ of scale to be realized.
Forward Contract - Answers - Foreign currency forward contracts are used as a foreign
currency hedge when an importer/exporter has an obligation to make/take a foreign
currency payment at some point in the future. If the date of the foreign currency
payment and the last trading date of the foreign currency forward contract are matched
up, the investor has in effect "locked in" the exchange rate payment amount
Option Contract - Answers - •a contract that grants the buyer the right, but not the
obligation, to buy or sell a specified currency at a specified exchange rate on or before a
specified date.
Currency Futures Market - Answers - exchange-traded futures contracts to buy or sell a
specified amount of a particular currency at a set price and date in the future.
•Price adjustment approaches: - Answers - ▫Pass through: high price to customer to
cover exchange rate fluctuation
▫Absorption - seller bears losses due to exchange rate fluctuation (can mitigate this risk
thru forward contract)
