BUSN 131 Final Questions and Answers with Verified Solutions |
Latest Update
QUESTION
If Nabisco had established a pricing objective of selling one out of every three crackers consumed
in the world, it would have established an objective based on
Answer:
market share.
QUESTION
The strategy of charging the highest possible price for a product during the introduction stage of
its life-cycle is known as
Answer:
price skimming.
QUESTION
Craftsman and Kenmore are examples of a store brand.
Answer:
True
QUESTION
Manufacturers, wholesalers, and retailers do not use negotiated pricing strategies.
Answer:
False
QUESTION
If Macy's department store managers looked at Dillard's department store prices for identical
national brands and, based on that information, decided to advertise a sale on those products, they
would be exercising which pricing method?
Answer:
Competition-based
,QUESTION
William Clark wants to know his breakeven point. His selling price is $20 per unit, his fixed costs
are $6,000, and the variable costs per unit are $6. What is his breakeven quantity?
Answer:
428.6 units
QUESTION
A name, term, symbol, design, or any combination of these that identifies a product and
distinguishes it from a competitor's product is called packaging.
Answer:
False
QUESTION
A product mix is a combination of all the information a producer uses to sell its product to the
public.
Answer:
False
QUESTION
WD-40, Inc. markets only one product, its namesake chemical lubricant. The company offers the
product in several different container sizes: smaller ones for household use, and larger ones for
industrial use. WD-40 would be considered as having a
Answer:
narrow product mix.
QUESTION
In cost-based pricing, a producer adds an amount to the total production cost to provide a profit.
The amount added to the production cost is called a
Answer:
markup.
QUESTION
All of the following are characteristics of warehouse showroom retailers except
Answer:
members-only stores.
, QUESTION
In the past, Tupperware used only personal selling to sell its products; it now uses other methods
as well to reach its target market. Together these various methods are Tupperware's _____.
Answer:
promotion mix
QUESTION
Bill Yee was granted franchise rights from Mc- Donald's for the community in which he lives.
McDonald's practice of granting franchises for specific geographic areas is commonly known as
selective distribution.
Answer:
True
QUESTION
Susan Smith, ad campaign manager for Coca-Cola, is making final changes to the content of an
ad's message. She is talking with network distribution companies about when the ad will air, and
she is discussing expected effects of the ad on consumers with commercial artists. Thus, she is in
which stage of the ad campaign development process?
Answer:
Execution of the campaign.
QUESTION
Post Oak Mall contains two department stores, numerous specialty stores, a movies theater, and
various restaurants. Since it does not contain any convenience stores, Post Oak Mall is an
example of a(n) _____ shopping center.
Answer:
regional
QUESTION
Ski XYZ Company manufactured too many ski jackets, overestimating the quantity retailers
would purchase. So Ski XYZ has offered its customers a lower cost of purchase, 20 percent
lower, if they order ten or more jackets. The company is displaying an example of what?
Answer:
Buying allowances
Latest Update
QUESTION
If Nabisco had established a pricing objective of selling one out of every three crackers consumed
in the world, it would have established an objective based on
Answer:
market share.
QUESTION
The strategy of charging the highest possible price for a product during the introduction stage of
its life-cycle is known as
Answer:
price skimming.
QUESTION
Craftsman and Kenmore are examples of a store brand.
Answer:
True
QUESTION
Manufacturers, wholesalers, and retailers do not use negotiated pricing strategies.
Answer:
False
QUESTION
If Macy's department store managers looked at Dillard's department store prices for identical
national brands and, based on that information, decided to advertise a sale on those products, they
would be exercising which pricing method?
Answer:
Competition-based
,QUESTION
William Clark wants to know his breakeven point. His selling price is $20 per unit, his fixed costs
are $6,000, and the variable costs per unit are $6. What is his breakeven quantity?
Answer:
428.6 units
QUESTION
A name, term, symbol, design, or any combination of these that identifies a product and
distinguishes it from a competitor's product is called packaging.
Answer:
False
QUESTION
A product mix is a combination of all the information a producer uses to sell its product to the
public.
Answer:
False
QUESTION
WD-40, Inc. markets only one product, its namesake chemical lubricant. The company offers the
product in several different container sizes: smaller ones for household use, and larger ones for
industrial use. WD-40 would be considered as having a
Answer:
narrow product mix.
QUESTION
In cost-based pricing, a producer adds an amount to the total production cost to provide a profit.
The amount added to the production cost is called a
Answer:
markup.
QUESTION
All of the following are characteristics of warehouse showroom retailers except
Answer:
members-only stores.
, QUESTION
In the past, Tupperware used only personal selling to sell its products; it now uses other methods
as well to reach its target market. Together these various methods are Tupperware's _____.
Answer:
promotion mix
QUESTION
Bill Yee was granted franchise rights from Mc- Donald's for the community in which he lives.
McDonald's practice of granting franchises for specific geographic areas is commonly known as
selective distribution.
Answer:
True
QUESTION
Susan Smith, ad campaign manager for Coca-Cola, is making final changes to the content of an
ad's message. She is talking with network distribution companies about when the ad will air, and
she is discussing expected effects of the ad on consumers with commercial artists. Thus, she is in
which stage of the ad campaign development process?
Answer:
Execution of the campaign.
QUESTION
Post Oak Mall contains two department stores, numerous specialty stores, a movies theater, and
various restaurants. Since it does not contain any convenience stores, Post Oak Mall is an
example of a(n) _____ shopping center.
Answer:
regional
QUESTION
Ski XYZ Company manufactured too many ski jackets, overestimating the quantity retailers
would purchase. So Ski XYZ has offered its customers a lower cost of purchase, 20 percent
lower, if they order ten or more jackets. The company is displaying an example of what?
Answer:
Buying allowances
