Edition Solomon
Consumer Behavior, 13e (Solomon)
Chapter 2 Consumer and Social Well-Being
1) Which act makes it illegal for American executives to bribe foreigners to gain business?
A) Lanham Act
B) Foreign Corrupt Practices Act
C) Patriot Act
D) Robinson-Patman Act
Answer: B
Diff: 1
LO: 2.1: Ethical business is good business.
AACSB: Application of knowledge
2) Rules of conduct that guide actions in the marketplace are called .
A) social obligation
B) social responsibility
C) business ethics
D) social awareness
Answer: C
Diff: 1
LO: 2.1: Ethical business is good business.
AACSB: Ethical understanding and reasoning
3) The importance people attach to worldly possessions is called .
A) ego products
B) materialism
C) needs
D) wants
Answer: B
Diff: 1
LO: 2.1: Ethical business is good business.
AACSB: Application of knowledge
4) Though the Organization for Economic Cooperation and Development (OECD) outlaws
bribery in business practices, it is still common in .
A) Japan
B) Mexico
C) Germany
D) All of the above
Answer: D
Diff: 1
LO: 2.1: Ethical business is good business.
AACSB: Ethical understanding and reasoning
1
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5) The U.S. government is trying to encourage businesses and consumers to select green cleaning
products, which of the following are examples of company's pursuing such products?
A) Arm & Hammer
B) Unilever
C) Nestle
D) SC Johnson & Co.
Answer: D
Diff: 3
LO: 2.1: Ethical business is good business.
AACSB: Application of knowledge
6) Business ethics are rules of conduct published by the Better Business Bureau that guide
actions in the marketplace.
Answer: FALSE
Diff: 2
LO: 2.1: Ethical business is good business.
AACSB: Ethical understanding and reasoning
7) Products meet existing needs, and marketing activities only help to communicate their
availability.
Answer: TRUE
Diff: 1
LO: 2.1: Ethical business is good business.
AACSB: Ethical understanding and reasoning
8) Advertising is a service for which consumers are willing to pay because the information it
provides reduces their search time.
Answer: TRUE
Diff: 1
LO: 2.1: Ethical business is good business.
AACSB: Application of knowledge
9) What is the role of a product and how does it relate to marketing activities?
Answer: Products meet existing needs, and marketing activities only help to communicate their
availability. The economics of information perspective regards advertising as an important
source of consumer information learning. This view emphasizes the economic cost of the time
we spend to search for products. Accordingly, advertising is a service for which consumers are
willing to pay because the information it provides reduces their search time.
Diff: 2
LO: 2.1: Ethical business is good business.
AACSB: Application of knowledge
2
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Edition Solomon
10) If you are unhappy with a product or service, what are your three possible courses of action?
Answer: You may use a voice response, private response, or third-party response. The voice
response is the best for the marketer because it enables a correction to the problem.
Diff: 1
LO: 2.1: Ethical business is good business.
AACSB: Application of knowledge
11) Explain why advertising is necessary.
Answer: Advertising helps to communicate products' availability and usefulness.
Diff: 3
LO: 2.1: Ethical business is good business.
AACSB: Application of knowledge
12) When consumers are unhappy with a product, they boycott the product and/or store and
express dissatisfaction to friends. This is called a response.
A) private
B) third-party
C) voice
D) public
Answer: A
Diff: 1
LO: 2.2: Marketers have an obligation to provide safe and functional products as part of their
business activities.
AACSB: Application of knowledge
13) When consumers are unhappy with a product, they may file a complaint in the form of legal
action, Better Business Bureau complaint, or publishing a negative review. This is called a
response.
A) private
B) third-party
C) voice
D) complaint
Answer: B
Diff: 1
LO: 2.2: Marketers have an obligation to provide safe and functional products as part of their
business activities.
AACSB: Application of knowledge
3
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