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MARKETING 3310 WOLTER FINAL
EXAM 2026 LATEST QUESTIONS AND
ANSWERS| ACE YOUR GRADES.
What are the 4 types of markets we discussed and how do they
relate to a firms pricing power? - correct answer -(on a scale -
price takers' price is set by customers, price setters can charge
whatever they want, because they hold market power) Price
Takers→ - Pure Competition -- Monopolistic Competition --
Oligopolistic Competition -- Pure Monopoly - ← Price Setters
What is a demand curve? - correct answer -A curve that shows
the relationship between the price of a product and the quantity
demanded
What is price elasticity? - correct answer -The responsiveness of
demand to a change in price.
How does price elasticity affect a demand curve? - correct
answer -Elasticity changes the slope of the demand curve; a
more elastic product has a flatter line because people will
generally keep buying the product at a similar rate even if the
price changes, but a more inelastic product has a more vertical
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line because people will stop buying the product (bringing the
demand way down) if the price increases.
What factors influence price elasticity? - correct answer -
Substitutes - if people can buy another similar product, the
demand is more inelastic (ex. if sharpies start to cost twice as
much we can go buy an off-brand, so our demand for name-brand
sharpies goes down [that's a bad example, but you get it right?])
Necessities - things you need are more elastic, because you'll
have to keep buying them even if price changes
% of disposable income - if the product makes up a larger % of
disposable income, it is more inelastic
What is the difference between movement along a demand curve
and moving/shifting the demand curve? - correct answer -A
change in something other than price that affects demand causes
the entire demand curve to shift.
What are the aspects we discussed that shift a demand curve? -
correct answer -Consumer income, price of related goods,
consumer taste, population and demographics, expectations,
marketing
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Why is pricing so important when considering profitability? -
correct answer -It's the most important factor from those we
discussed; it has a more direct effect on profit; 1% change in price
results in a lot more in profit
What is demand-based, cost-based, and competition-based
pricing? - correct answer -(Demand) value based pricing - using
buyer's perceptions of value as the key to pricing
Cost-based; setting prices based on the costs of producing,
distributing, and selling the product plus a fair rate of return for the
company's effort and risk
Competition based; Setting prices based on competitor's
strategies, costs, prices and market offerings
What are the considerations in setting the price between a cost-
based pricing versus a value-based pricing? - correct answer -
VBP - assess customers needs/value, determine costs that can
happen, design product last to deliver value at target price
CBP - design product, determine cost, set price based on cost,
convince buyers of product value
What is the sequence of steps for demand-based vs cost-based
pricing? - correct answer -CBP; design a good
MARKETING 3310 WOLTER FINAL
EXAM 2026 LATEST QUESTIONS AND
ANSWERS| ACE YOUR GRADES.
What are the 4 types of markets we discussed and how do they
relate to a firms pricing power? - correct answer -(on a scale -
price takers' price is set by customers, price setters can charge
whatever they want, because they hold market power) Price
Takers→ - Pure Competition -- Monopolistic Competition --
Oligopolistic Competition -- Pure Monopoly - ← Price Setters
What is a demand curve? - correct answer -A curve that shows
the relationship between the price of a product and the quantity
demanded
What is price elasticity? - correct answer -The responsiveness of
demand to a change in price.
How does price elasticity affect a demand curve? - correct
answer -Elasticity changes the slope of the demand curve; a
more elastic product has a flatter line because people will
generally keep buying the product at a similar rate even if the
price changes, but a more inelastic product has a more vertical
, Page | 2
line because people will stop buying the product (bringing the
demand way down) if the price increases.
What factors influence price elasticity? - correct answer -
Substitutes - if people can buy another similar product, the
demand is more inelastic (ex. if sharpies start to cost twice as
much we can go buy an off-brand, so our demand for name-brand
sharpies goes down [that's a bad example, but you get it right?])
Necessities - things you need are more elastic, because you'll
have to keep buying them even if price changes
% of disposable income - if the product makes up a larger % of
disposable income, it is more inelastic
What is the difference between movement along a demand curve
and moving/shifting the demand curve? - correct answer -A
change in something other than price that affects demand causes
the entire demand curve to shift.
What are the aspects we discussed that shift a demand curve? -
correct answer -Consumer income, price of related goods,
consumer taste, population and demographics, expectations,
marketing
, Page | 3
Why is pricing so important when considering profitability? -
correct answer -It's the most important factor from those we
discussed; it has a more direct effect on profit; 1% change in price
results in a lot more in profit
What is demand-based, cost-based, and competition-based
pricing? - correct answer -(Demand) value based pricing - using
buyer's perceptions of value as the key to pricing
Cost-based; setting prices based on the costs of producing,
distributing, and selling the product plus a fair rate of return for the
company's effort and risk
Competition based; Setting prices based on competitor's
strategies, costs, prices and market offerings
What are the considerations in setting the price between a cost-
based pricing versus a value-based pricing? - correct answer -
VBP - assess customers needs/value, determine costs that can
happen, design product last to deliver value at target price
CBP - design product, determine cost, set price based on cost,
convince buyers of product value
What is the sequence of steps for demand-based vs cost-based
pricing? - correct answer -CBP; design a good
