SMALL BUSINESS MANAGEMENT EXAM 3 UPDATED
ACTUAL QUESTIONS AND CORRECT ANSWERS
Question:
1. For an entrepreneur, a business plan ________.
Answer:
D) contains both a marketing plan and a financial plan
Question:
2. The focus of a small company's marketing plan should be on ________.
Answer:
B) the customer
Question:
3. Small businesses can compete with larger rivals with bigger budgets by employing unconventional,
low-cost creative techniques known as ________.
Answer:
C) bootstrap marketing strategies
Question:
4. Which of the following is not one of the objectives a bootstrap marketing plan should accomplish?
Answer:
B) Determine how the company will be able to serve all customers.
Question:
5. The specific group of customers at whom a company aims its good or services is referred to as a
________.
Answer:
A) target market
Question:
6. The foundation of every business is ________.
Answer:
C) satisfying the customer through a customer-driven marketing strategy
Question:
7. Which of the following statements concerning a company's target market is false?
Answer:
B) A "shotgun approach" to marketing (trying to appeal to everyone rather than to only a small market
segment) is the most effective way to compete with large companies and their bigger marketing budgets
Question:
8. One of the greatest marketing mistakes small businesses make is ________.
Answer:
A) failing to identify the target market
, Question:
9. Studies of shifting patterns in age, income, education, race, and other population characteristics are the
subject of ________.
Answer:
B) demographics
Question:
10. A common mistake entrepreneurs make is ________.
Answer:
D) assuming that a market exists for their product or service
Question:
11. Entrepreneurs can find the right match based on trends, their products or services, and the appropriate
target markets through ________.
Answer:
D) market research
Question:
12. Which of the following is not a secondary source of market research data?
Answer:
C) Focus groups
Question:
13. A process in which computer software that uses statistical analysis, database technology, and artificial
intelligence finds hidden patterns, trends, and connections in data so that business owners can make better
marketing decisions and predictions about customers' behavior is known as ________.
Answer:
B) data mining
Question:
14. One "natural" advantage small businesses have over large businesses, which can be a significant
competitive advantage, is ________.
Answer:
A) building a community with customers and connecting with them on an emotional level
Question:
15. Which of the following bootstrap marketing tactic(s) allow a small company to utilize relationship
marketing successfully?
Answer:
A) Keep in close contact with customers with "thank you's" and other personal communication techniques.
B) Organize and sponsor a service or community-oriented project.
C) Launch a loyalty or frequent buyer program.
D) All of the above
Question:
16. The marketing approach that is generally most effective today for a small business is _______.
ACTUAL QUESTIONS AND CORRECT ANSWERS
Question:
1. For an entrepreneur, a business plan ________.
Answer:
D) contains both a marketing plan and a financial plan
Question:
2. The focus of a small company's marketing plan should be on ________.
Answer:
B) the customer
Question:
3. Small businesses can compete with larger rivals with bigger budgets by employing unconventional,
low-cost creative techniques known as ________.
Answer:
C) bootstrap marketing strategies
Question:
4. Which of the following is not one of the objectives a bootstrap marketing plan should accomplish?
Answer:
B) Determine how the company will be able to serve all customers.
Question:
5. The specific group of customers at whom a company aims its good or services is referred to as a
________.
Answer:
A) target market
Question:
6. The foundation of every business is ________.
Answer:
C) satisfying the customer through a customer-driven marketing strategy
Question:
7. Which of the following statements concerning a company's target market is false?
Answer:
B) A "shotgun approach" to marketing (trying to appeal to everyone rather than to only a small market
segment) is the most effective way to compete with large companies and their bigger marketing budgets
Question:
8. One of the greatest marketing mistakes small businesses make is ________.
Answer:
A) failing to identify the target market
, Question:
9. Studies of shifting patterns in age, income, education, race, and other population characteristics are the
subject of ________.
Answer:
B) demographics
Question:
10. A common mistake entrepreneurs make is ________.
Answer:
D) assuming that a market exists for their product or service
Question:
11. Entrepreneurs can find the right match based on trends, their products or services, and the appropriate
target markets through ________.
Answer:
D) market research
Question:
12. Which of the following is not a secondary source of market research data?
Answer:
C) Focus groups
Question:
13. A process in which computer software that uses statistical analysis, database technology, and artificial
intelligence finds hidden patterns, trends, and connections in data so that business owners can make better
marketing decisions and predictions about customers' behavior is known as ________.
Answer:
B) data mining
Question:
14. One "natural" advantage small businesses have over large businesses, which can be a significant
competitive advantage, is ________.
Answer:
A) building a community with customers and connecting with them on an emotional level
Question:
15. Which of the following bootstrap marketing tactic(s) allow a small company to utilize relationship
marketing successfully?
Answer:
A) Keep in close contact with customers with "thank you's" and other personal communication techniques.
B) Organize and sponsor a service or community-oriented project.
C) Launch a loyalty or frequent buyer program.
D) All of the above
Question:
16. The marketing approach that is generally most effective today for a small business is _______.
