BUS 101 Final Exam UPDATED Exam
Questions and CORRECT Answers
The activities that are designed to help expedite transactions through distributing, pricing,
creating, and promoting g+s and ideas. - CORRECT ANSWER - What is marketing?
How does Marketing facilitate change? - CORRECT ANSWER - It facilitates exchange by
allowing buyers to think that a seller is offering something of value which allows the opportunity
for further exchanges.
Name the functions of marketing. How does an organization use marketing activities to achieve
its objectives? - CORRECT ANSWER - Buying: Marketer must understand buyers' needs
and desires to determine what products to make available
Selling: A persuasive activity that is accomplished through promotion (advertising, personal
selling, sales promotion, publicity, and packaging).
Transporting: Focus on transportation costs and services
Sorting: Time utility has to do with being able to satisfy demand in a timely manner.
Grading: Standardizing products by dividing them into subgroups and displaying and labeling
them so that consumers clearly understand their nature and quality.
Financing: Arranges credit to expedite the purchase.
Marketing Research: Ascertain the need for new g+s, through research marketers can detect new
trends and changes in consumer tastes.
Risk taking: Most marketing decision result in either success or failure.
What is a marketing strategy? - CORRECT ANSWER - It is a plan of action for
developing, pricing, distributing, and promoting products that meet the needs of specific
customers.
List the variables in the marketing mix. How is each used in a marketing strategy? - CORRECT
ANSWER - Product: a complex mix of tangible and intangible attributes that provide
satisfaction and benefits.
Price: A value placed on an object exchanged between a buyer and a seller.
, Distribution: Making products available to customers in the quantities desired.
Promotion: Persuasive form of communication that attempts to expedite a marketing exchange
by influencing individuals, groups, and organizations to accept goods, services, and ideas.
5. Why are marketing research and information systems important to an organization's planning
and development of strategy? - CORRECT ANSWER - A marketing information system is
a framework for accessing information about customers from sources both inside and outside the
organization. Inside (continuous flow of info about prices, sales, and expenses). Outside (data are
readily available through private or public reports and census statistics). Computer networking
technology (connect to useful databases and customers with instantaneous information about
product acceptance, sales performance, and buying behavior.)
What steps do companies generally take to develop and introduce a new product? - CORRECT
ANSWER - Idea development: Come from marketing research, engineers, and outside
sources such as advertising agencies and management consultants.
New Idea Screening: A marketing manager should look at the organization's resources and
objectives and assess the firm's ability to produce and market the product. Important (consumer
desires, competition, technology, social trends)
Business Analysis: Basic assessment of a product's compatibility in the marketplace and its
potential profitability. (Market size and competing products)
Product development: Developed into a prototype that should reveal the intangible attributes it
possesses as perceived by the consumer. Extremely expensive
Test Marketing: A trial minilaunch of a product in limited areas that represent the potential
market.
Commercialization: full introduction of a complete strategy and the launch of the product for
commercial success (full scale production, distribution, and promotion)
What is the product life cycle? How does a product's life cycle stage affect its marketing
strategy? - CORRECT ANSWER - Introductory stage: consumer awareness and
acceptance of the product are limited, sales are zero, and profits are negative (focus on making
consumers aware of the product and its benefits)
Growth stage: sales increase rapidly and profits peak, then start to decline. (Emphasizes product's
benefits and identifying the market segments that want these benefits.
Maturity Stage: Sales continue to increase but the sales curve peaks and start to decline while
profits continue to decline. (severe competition and heavy expenditures)
Questions and CORRECT Answers
The activities that are designed to help expedite transactions through distributing, pricing,
creating, and promoting g+s and ideas. - CORRECT ANSWER - What is marketing?
How does Marketing facilitate change? - CORRECT ANSWER - It facilitates exchange by
allowing buyers to think that a seller is offering something of value which allows the opportunity
for further exchanges.
Name the functions of marketing. How does an organization use marketing activities to achieve
its objectives? - CORRECT ANSWER - Buying: Marketer must understand buyers' needs
and desires to determine what products to make available
Selling: A persuasive activity that is accomplished through promotion (advertising, personal
selling, sales promotion, publicity, and packaging).
Transporting: Focus on transportation costs and services
Sorting: Time utility has to do with being able to satisfy demand in a timely manner.
Grading: Standardizing products by dividing them into subgroups and displaying and labeling
them so that consumers clearly understand their nature and quality.
Financing: Arranges credit to expedite the purchase.
Marketing Research: Ascertain the need for new g+s, through research marketers can detect new
trends and changes in consumer tastes.
Risk taking: Most marketing decision result in either success or failure.
What is a marketing strategy? - CORRECT ANSWER - It is a plan of action for
developing, pricing, distributing, and promoting products that meet the needs of specific
customers.
List the variables in the marketing mix. How is each used in a marketing strategy? - CORRECT
ANSWER - Product: a complex mix of tangible and intangible attributes that provide
satisfaction and benefits.
Price: A value placed on an object exchanged between a buyer and a seller.
, Distribution: Making products available to customers in the quantities desired.
Promotion: Persuasive form of communication that attempts to expedite a marketing exchange
by influencing individuals, groups, and organizations to accept goods, services, and ideas.
5. Why are marketing research and information systems important to an organization's planning
and development of strategy? - CORRECT ANSWER - A marketing information system is
a framework for accessing information about customers from sources both inside and outside the
organization. Inside (continuous flow of info about prices, sales, and expenses). Outside (data are
readily available through private or public reports and census statistics). Computer networking
technology (connect to useful databases and customers with instantaneous information about
product acceptance, sales performance, and buying behavior.)
What steps do companies generally take to develop and introduce a new product? - CORRECT
ANSWER - Idea development: Come from marketing research, engineers, and outside
sources such as advertising agencies and management consultants.
New Idea Screening: A marketing manager should look at the organization's resources and
objectives and assess the firm's ability to produce and market the product. Important (consumer
desires, competition, technology, social trends)
Business Analysis: Basic assessment of a product's compatibility in the marketplace and its
potential profitability. (Market size and competing products)
Product development: Developed into a prototype that should reveal the intangible attributes it
possesses as perceived by the consumer. Extremely expensive
Test Marketing: A trial minilaunch of a product in limited areas that represent the potential
market.
Commercialization: full introduction of a complete strategy and the launch of the product for
commercial success (full scale production, distribution, and promotion)
What is the product life cycle? How does a product's life cycle stage affect its marketing
strategy? - CORRECT ANSWER - Introductory stage: consumer awareness and
acceptance of the product are limited, sales are zero, and profits are negative (focus on making
consumers aware of the product and its benefits)
Growth stage: sales increase rapidly and profits peak, then start to decline. (Emphasizes product's
benefits and identifying the market segments that want these benefits.
Maturity Stage: Sales continue to increase but the sales curve peaks and start to decline while
profits continue to decline. (severe competition and heavy expenditures)
