SMPS CPSM Test Questions with Correct Answers Latest Update 2025 Graded A+
ExamAction Plan - Answers Defines the tasks that must be accomplished to implement each strategy
within the marketing plan and who will be responsible for accomplishing that task.
Advertising agency - Answers Professional services agency to handle advertising, selection is similar to
AEC firm - people and technical qualifications.
Aimed at the Right Audience - Answers Advertising directed to those interested in and needing your
service
Alliance - Answers A long-term relationship between two parties for services on several projects. Usually
based on a unique service the seller can provide the client, linking the two where the seller becomes
almost an extension of the client. (EX: Design-Build Relationship)
Alternate Dispute Resolution - Answers Alternative methods, besides litigation, to settle project dispute -
mediation or arbitration.
Alternate Dispute Resolution Mediation - Answers A procedure in which the parties submit their
disputes, including details of their positions to an independent, third party mediator. The mediator then
discusses the dispute with the parties, including the mediator's view of the strengths and weaknesses of
each party's position. The mediator helps the parties attempt to reach a settlement of their dispute. If
the dispute is not settled, the next step is arbitration or litigation, depending on the terms of the
contract.
Mediation is an example of non-binding dispute resolution
Alternate Dispute Resolution Arbitration - Answers In order to have a binding arbitration agreement, the
parties must, in writing, agree to submit any claims or dispute to arbitration. Generally the parties agree
to submit the arbitration to the AAA per the Construction Industry Arbitration Rules.
Dictionary.com:
The hearing and determining of a dispute or the settling of differences between parties by a person or
persons chosen or agreed to by them.
Attention Getting - Answers Advertising must be: distinctive, repetitive, unique, words and images must
work together.
Audience - Answers To whom things are aimed. Qualify and target the audience.
Benchmarking Studies - Answers A standard by which something can be measured or judged. To
measure according to specified standards in order to compare it with and improve one's product.
, Benchmarking - Answers Is a comparative measure. Establishes a standard and shows progress or
decline. To compare one's goods, services or processes with recognized leaders in those areas.
Brand Positioning - Answers One sentence distinguishes and differentiates
Brand Equity - Answers Good will, value and volume margins
Brochure - Answers Firm marketing tool to present salient facts about the firm at a glance. Cross selling
tool explains who you are and what you do.
• Three Year shelf life
• Six months to plan and produce
Budget Goal-Based Method - Answers Also known as the bottom-up method, this method assigns cost
to each item in marketing plan. This method allows you to base your budgeting on the year's business
plan revenue goals and marketing plan implementation tasks.
Budget Percentage Method - Answers Also known as the top-down method, this method of budgeting
allocates a certain percentage of the firm's total operating revenue to marketing. The percentage usually
falls between 5 - 15%.
Budget Projection Method - Answers Also known as the comparison method; relies on using the prior
year's costs to develop the upcoming year's budget. This process works well if the company is stable but
it doesn't allow consideration of year's marketing planning goals or the changing conditions of the
market.
Business Plan - Answers The business plan establishes the firm's near-term goals, including gross
revenues, net revenues and expenditures by category and profit amounts and percentages. Marketing
plan is part of the overall business plan. Developed yearly. Should consist of Market Segment analysis.
Contract - Answers An exchange of promises between two or more parties that creates a legal obligation
between them. In its simplest form, it is an offer and an acceptance. Oral and written. Used to
appropriately allocate risk and avoid ambiguity.
Signature is not a required element
Commitment - Answers A key leadership quality, conveyed through personal action.
Charge Multiplier - Answers Ratio of charge (billable) rate to its payroll rate. Average for industry is a 3.0
multiplier.
Client Newsletter - Answers Provides on-going client contact, pertinent issues not firm glorification
ExamAction Plan - Answers Defines the tasks that must be accomplished to implement each strategy
within the marketing plan and who will be responsible for accomplishing that task.
Advertising agency - Answers Professional services agency to handle advertising, selection is similar to
AEC firm - people and technical qualifications.
Aimed at the Right Audience - Answers Advertising directed to those interested in and needing your
service
Alliance - Answers A long-term relationship between two parties for services on several projects. Usually
based on a unique service the seller can provide the client, linking the two where the seller becomes
almost an extension of the client. (EX: Design-Build Relationship)
Alternate Dispute Resolution - Answers Alternative methods, besides litigation, to settle project dispute -
mediation or arbitration.
Alternate Dispute Resolution Mediation - Answers A procedure in which the parties submit their
disputes, including details of their positions to an independent, third party mediator. The mediator then
discusses the dispute with the parties, including the mediator's view of the strengths and weaknesses of
each party's position. The mediator helps the parties attempt to reach a settlement of their dispute. If
the dispute is not settled, the next step is arbitration or litigation, depending on the terms of the
contract.
Mediation is an example of non-binding dispute resolution
Alternate Dispute Resolution Arbitration - Answers In order to have a binding arbitration agreement, the
parties must, in writing, agree to submit any claims or dispute to arbitration. Generally the parties agree
to submit the arbitration to the AAA per the Construction Industry Arbitration Rules.
Dictionary.com:
The hearing and determining of a dispute or the settling of differences between parties by a person or
persons chosen or agreed to by them.
Attention Getting - Answers Advertising must be: distinctive, repetitive, unique, words and images must
work together.
Audience - Answers To whom things are aimed. Qualify and target the audience.
Benchmarking Studies - Answers A standard by which something can be measured or judged. To
measure according to specified standards in order to compare it with and improve one's product.
, Benchmarking - Answers Is a comparative measure. Establishes a standard and shows progress or
decline. To compare one's goods, services or processes with recognized leaders in those areas.
Brand Positioning - Answers One sentence distinguishes and differentiates
Brand Equity - Answers Good will, value and volume margins
Brochure - Answers Firm marketing tool to present salient facts about the firm at a glance. Cross selling
tool explains who you are and what you do.
• Three Year shelf life
• Six months to plan and produce
Budget Goal-Based Method - Answers Also known as the bottom-up method, this method assigns cost
to each item in marketing plan. This method allows you to base your budgeting on the year's business
plan revenue goals and marketing plan implementation tasks.
Budget Percentage Method - Answers Also known as the top-down method, this method of budgeting
allocates a certain percentage of the firm's total operating revenue to marketing. The percentage usually
falls between 5 - 15%.
Budget Projection Method - Answers Also known as the comparison method; relies on using the prior
year's costs to develop the upcoming year's budget. This process works well if the company is stable but
it doesn't allow consideration of year's marketing planning goals or the changing conditions of the
market.
Business Plan - Answers The business plan establishes the firm's near-term goals, including gross
revenues, net revenues and expenditures by category and profit amounts and percentages. Marketing
plan is part of the overall business plan. Developed yearly. Should consist of Market Segment analysis.
Contract - Answers An exchange of promises between two or more parties that creates a legal obligation
between them. In its simplest form, it is an offer and an acceptance. Oral and written. Used to
appropriately allocate risk and avoid ambiguity.
Signature is not a required element
Commitment - Answers A key leadership quality, conveyed through personal action.
Charge Multiplier - Answers Ratio of charge (billable) rate to its payroll rate. Average for industry is a 3.0
multiplier.
Client Newsletter - Answers Provides on-going client contact, pertinent issues not firm glorification
