Marketing Management Chapter 11 Test Bank

Marketing Management Chapter 11 Test Bank (2024) Which of these is an accurate observation about pricing in today's business environment? A) With ubiquitous online price matching, pricing decisions are more or less automatic these days. B) Many companies do not handle pricing well and fall back on familiar methods that aren't as effective as they should be. C) Across industries and regions, most companies now use the same pricing methods. D) The internet empowered buyers but doesn't help sellers optimize their pricing. E) The hope of offering personalized price promotions hasn't really panned out. - B) Many companies do not handle pricing well and fall back on familiar methods that aren't as effective as they should be. Which of these has been a complaint some marketers have about Groupon and its coupon deals? A) Few consumers know about Groupon, so businesses must spend money to educate them. B) Groupon doesn't try hard enough to sell the service. C) The money-saving coupons attract only deal-seekers who rarely become long-term customers. D) Consumers are getting bored with shopping and couponing apps. E) Nobody pays attention to "buzz" anymore; they all crave authentic engagement - C) The money-saving coupons attract only deal-seekers who rarely become long-term customers. _______—various visual, verbal, and numerical indicators that convey information about price—are an important part of the psychology of pricing A) Pricing cues B) Price tags C) Bar codes D) QR codes E) Quality labels - A) Pricing cues Which of these psychological pricing tactics is likely going on when a seller positions a dress among expensive competitors and away from the less-expensive garments in the store? A) The retailer has demanded strict partitioning by designer label. B) The seller is trying to manipulate consumers' reference prices through the quality-price assumption. C) "Name" designers refuse to have their wares located near other well-known designer labels. D) The most expensive clothes are always in the back of the store. E) The most expensive clothes are always in the front of the store. - B) The seller is trying to manipulate consumers' reference prices through the quality-price assumption. _____ is especially effective with ego-sensitive products such as perfumes, expensive cars, and designer clothing. A) Exclusive pricing B) Price matching C) Hidden price tagging D) Image pricing E) Value-perception pricing - D) Image pricing When consumers examine products, they often compare an observed price to an internal price they remember. This is known as a(n) ____ A) markup B) reference C) market-skimming D) accumulated E) target - B) reference ______ price refers to what the consumers feel the product should cost A) Fair B) Typical C) Usual discounted D) List E) Maximum retail - A) Fair While shopping at the mall, Jane was asked by one of the sales representatives at the cosmetics counter to try out a new lipstick that her company was test marketing. The company representative asks her how much she would be willing to pay for the lipstick. After trying it out, Jane is of the opinion that $5 is just the right price for it. What type of a reference price is Jane using? A) Usual discounted price B) Fair price C) Maximum retail price D) Last price paid E) Historical competitor price - B) Fair price The reservation price, the maximum that most consumers will pay for a given product, is known as the ________ price A) expected future B) usual discounted C) upper-bound D) typical E) historical competitor - C) upper-bound Which of the following is NOT one of the possible consumer reference prices?