MARK 3336 MIDTERM 2 QUESTIONS AND VERIFIED
ANSWERS
New product development starts with __________. - Answers - idea generation
Through ________a company invites broad communities of people into the innovation
process. - Answers - crowdsourcing
If the product passes both the concept test and the product test, the next step is
__________. - Answers - test marketing
__________ development focuses on finding new ways to solve customer problems. -
Answers - Customer-centered new product
__________ is the first stage of the product life cycle. - Answers - Product development
Profits increase during the __________ stage of the product life cycle. - Answers -
growth
Marketers should carefully consider public policy issues and regulations regarding all of
the following except __________. - Answers - product development
One of the disadvantages of product and service standardization for international
market is __________. - Answers - varying worldwide market
Which of the following statements does NOT describe price? - Answers - Price is the
only element in the marketing mix that represents costs.
Which of the following statements does not apply to the description of prices? - Answers
- In recent decades price factors have gained increasing importance.
__________ uses buyers' perceptions of value as the key to pricing. - Answers -
Customer value-based pricing
The goal of the competition-based pricing is __________. - Answers - not to match or
beat competitors' price
__________ reverses the usual process of first designing a new product, determining its
cost, and then asking, "Can we sell it for that?" - Answers - Target costing
Under __________, the market consists of many buyers and sellers trading in a uniform
commodity. - Answers - pure competition
, Market skimming prices are preferred in all of the following conditions except
__________. - Answers - an initial low price is set by the companies
Market penetration prices are preferred in all of the following conditions except
__________. - Answers - enough buyers must want the product at a higher price
Companies that make products that must be used along with a main product are using
__________. - Answers - captive-product pricing
The pricing method in which sellers combine several products and offer a reduced price
is known as __________. - Answers - product bundle pricing
In __________pricing, the company sells a product or service at two or more prices,
even though the difference in prices is not based on differences in costs. - Answers -
segmented
Some sellers use 00-cent endings on regularly priced items and 99-cent endings on
discount merchandise. This is an example of pricing referred to as __________. -
Answers - psychological pricing
Techniques that can be used by sellers for avoiding customers' perception of price
gouging includes all of the following except __________. - Answers - rationing products
to customers
Techniques that can be used by sellers for avoiding customers' perception of price
gouging includes all of the following except __________. - Answers - low-price fighter
items
Federal legislation on __________ states that sellers must set prices without talking to
competitors. - Answers - price-fixing
What is predatory pricing? - Answers - Selling below cost with the intention of punishing
a competitor
In making products and services available to consumers, channel members add value.
Key functions performed by the marketing channels include all of the following except
__________. - Answers - pricing
From the producer's point of view, a greater number of levels of marketing channel
means __________. - Answers - less control and greater channel complexity
A(n) __________ has no intermediary levels. - Answers - direct marketing channel
Distribution channels are more than simple collections of firms tied together by various
flows. Which of the following statements is NOT a characteristic of distribution
ANSWERS
New product development starts with __________. - Answers - idea generation
Through ________a company invites broad communities of people into the innovation
process. - Answers - crowdsourcing
If the product passes both the concept test and the product test, the next step is
__________. - Answers - test marketing
__________ development focuses on finding new ways to solve customer problems. -
Answers - Customer-centered new product
__________ is the first stage of the product life cycle. - Answers - Product development
Profits increase during the __________ stage of the product life cycle. - Answers -
growth
Marketers should carefully consider public policy issues and regulations regarding all of
the following except __________. - Answers - product development
One of the disadvantages of product and service standardization for international
market is __________. - Answers - varying worldwide market
Which of the following statements does NOT describe price? - Answers - Price is the
only element in the marketing mix that represents costs.
Which of the following statements does not apply to the description of prices? - Answers
- In recent decades price factors have gained increasing importance.
__________ uses buyers' perceptions of value as the key to pricing. - Answers -
Customer value-based pricing
The goal of the competition-based pricing is __________. - Answers - not to match or
beat competitors' price
__________ reverses the usual process of first designing a new product, determining its
cost, and then asking, "Can we sell it for that?" - Answers - Target costing
Under __________, the market consists of many buyers and sellers trading in a uniform
commodity. - Answers - pure competition
, Market skimming prices are preferred in all of the following conditions except
__________. - Answers - an initial low price is set by the companies
Market penetration prices are preferred in all of the following conditions except
__________. - Answers - enough buyers must want the product at a higher price
Companies that make products that must be used along with a main product are using
__________. - Answers - captive-product pricing
The pricing method in which sellers combine several products and offer a reduced price
is known as __________. - Answers - product bundle pricing
In __________pricing, the company sells a product or service at two or more prices,
even though the difference in prices is not based on differences in costs. - Answers -
segmented
Some sellers use 00-cent endings on regularly priced items and 99-cent endings on
discount merchandise. This is an example of pricing referred to as __________. -
Answers - psychological pricing
Techniques that can be used by sellers for avoiding customers' perception of price
gouging includes all of the following except __________. - Answers - rationing products
to customers
Techniques that can be used by sellers for avoiding customers' perception of price
gouging includes all of the following except __________. - Answers - low-price fighter
items
Federal legislation on __________ states that sellers must set prices without talking to
competitors. - Answers - price-fixing
What is predatory pricing? - Answers - Selling below cost with the intention of punishing
a competitor
In making products and services available to consumers, channel members add value.
Key functions performed by the marketing channels include all of the following except
__________. - Answers - pricing
From the producer's point of view, a greater number of levels of marketing channel
means __________. - Answers - less control and greater channel complexity
A(n) __________ has no intermediary levels. - Answers - direct marketing channel
Distribution channels are more than simple collections of firms tied together by various
flows. Which of the following statements is NOT a characteristic of distribution
