Internal Online Examination, Semester II, April, 2017- 201
Marketing Management (201)
Questions and Answers
- 1.
In PLC stages, stage in which company's investment costs mount is classified as:
- A.
Testing stage
- B.
Development stage
- C.
Buying stage
- D.
Merger stage
Correct Answer
B. Development stageExplanation
The correct answer is development stage. In the development stage of PLC (Product Life Cycle), a company invests heavily in research, design, and product development. This is the stage where the product is being created and refined before it is introduced to the market. Investment costs mount during this stage as the company spends on activities such as market research, prototype creation, testing, and marketing strategies. Once the product is developed and ready for market, it moves into the next stage of the PLC.Rate this question:
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- 2.
Set of distinctive and basic modes of expression is called______________.
- A.
Styles
- B.
Fashion
- C.
Fads
- D.
Followers
Correct Answer
A. StylesExplanation
The term "styles" refers to a set of distinctive and basic modes of expression. It encompasses various forms of artistic, cultural, and personal expressions that are unique and characteristic to different individuals, groups, or time periods. Styles can be seen in various aspects of life such as fashion, music, art, architecture, and more. It is a broader concept compared to "fashion" and "fads," which are temporary trends or popular styles that come and go. "Followers" does not accurately describe the set of distinctive and basic modes of expression.Rate this question:
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- 3.
Firm can obtain new product by______________.
- A.
Acquisition
- B.
Amalgamation
- C.
Merger
- D.
New packaging of product
Correct Answer
A. AcquisitionExplanation
Acquisition refers to the process of one company purchasing another company or its assets in order to obtain new products, technologies, or market share. This can be done through a variety of means, such as buying all or a majority of the target company's shares or assets. Therefore, acquiring a new product is a valid option for a firm to obtain it.Rate this question:
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- 4.
Computer giant Dell have an idea storming website used to ask customers for improvement suggestions is an example of___________.
- A.
Internal sourcing
- B.
Crowdsourcing
- C.
Off shoring
- D.
Off sourcing
Correct Answer
B. CrowdsourcingExplanation
The given statement describes Dell's idea storming website, which is used to ask customers for improvement suggestions. This process of involving a large group of people (customers) in generating ideas and suggestions is known as crowdsourcing. Crowdsourcing allows Dell to tap into the collective intelligence and creativity of its customers to gather valuable insights and suggestions for improvement.Rate this question:
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- 5.
Pricing issue arise when manufacturer could not force dealers or retailers to charge a specific price is classified as___________.
- A.
Deceptive pricing
- B.
Price discrimination
- C.
Resale price maintenance
- D.
Fix quantity pricing
Correct Answer
C. Resale price maintenanceExplanation
Resale price maintenance refers to a situation where a manufacturer is unable to enforce a specific price on dealers or retailers. This means that the manufacturer does not have control over the pricing of their products once they are sold to the retailers or dealers. This can lead to pricing issues as the manufacturer may want to maintain a certain price for their products, but they are unable to do so. Therefore, the correct answer for this question is resale price maintenance.Rate this question:
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- 6.
Pricing issues across channel levels includes____________.
- A.
Predatory pricing
- B.
Deceptive pricing
- C.
Price fixing
- D.
None of above
Correct Answer
B. Deceptive pricingExplanation
Pricing issues across channel levels include deceptive pricing. This refers to the practice of misleading customers by manipulating prices, such as falsely advertising discounts or using hidden fees. It is a common problem that can harm consumer trust and create unfair competition among channel partners. Predatory pricing, on the other hand, involves setting very low prices to drive competitors out of the market, while price fixing refers to collusion between competitors to set prices at a certain level. None of the above options accurately describe pricing issues across channel levels except for deceptive pricing.Rate this question:
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- 7.
If a customer buys a cell phone and buy Bluetooth hands free later then pricing strategy used in this situation is called__________.
- A.
Bi-product pricing
- B.
Optional product pricing
- C.
Two way pricing
- D.
Two part pricing
Correct Answer
B. Optional product pricingExplanation
Optional product pricing is the correct answer because it refers to a pricing strategy where the base product is sold at a lower price, and additional optional products or features are offered at an additional cost. In this situation, the customer initially buys the cell phone, which is the base product, and later chooses to purchase the Bluetooth hands-free, which is the optional product. By offering the Bluetooth hands-free separately and at an additional cost, the company is using optional product pricing.Rate this question:
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- 8.
Issue arise from pricing when big seller sells below cost to put new small competitors out of business and capture large market share is classified as___________.
- A.
Price maintenance
- B.
Discriminatory pricing
- C.
Price fixing
- D.
Predatory pricing
Correct Answer
D. Predatory pricingExplanation
Predatory pricing refers to the practice of a big seller intentionally selling their products below cost in order to eliminate competition from new small competitors and gain a significant share of the market. By selling at such low prices, the big seller aims to drive their competitors out of business and then raise prices once they have established dominance in the market. This strategy is considered anti-competitive and can harm competition and consumer choice.Rate this question:
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- 9.
Strategy of distribution in which seller limits its dealers to not to sell any competitors products is classified as____________.
- A.
Exclusive distribution
- B.
Exclusive dealing
- C.
Inclusive distribution
- D.
Intensive distribution
Correct Answer
B. Exclusive dealingExplanation
Exclusive dealing refers to a strategy where a seller restricts its dealers from selling any products that are in competition with its own. This means that the seller has exclusive control over the distribution of its products and prevents competitors from gaining access to the same distribution channels. This strategy allows the seller to maintain a dominant position in the market and limit competition.Rate this question:
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- 10.
Logistic network through which unwanted or excess products by resellers or consumers is classified as___________.
- A.
Inbound distribution
- B.
Outbound distribution
- C.
Forward distribution
- D.
Reverse distribution
Correct Answer
D. Reverse distributionExplanation
Reverse distribution refers to the logistic network through which unwanted or excess products by resellers or consumers are classified. This process involves the collection, sorting, and redistribution of these products back to the manufacturer or to other appropriate channels. It is the opposite of outbound distribution, which focuses on delivering products from the manufacturer to the end consumers. Reverse distribution is crucial for managing returns, recycling, refurbishing, or disposing of products in a sustainable and efficient manner.Rate this question:
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- 11.
Considering marketing channels, examples of facilitators are______________.
- A.
Sales agents
- B.
Wholesalers
- C.
Independent warehouses
- D.
Retailers
Correct Answer
C. Independent warehousesExplanation
Facilitators in marketing channels refer to entities that assist in the movement and storage of products. Independent warehouses serve as facilitators as they provide storage space for products before they are distributed to retailers or wholesalers. They play a crucial role in ensuring efficient inventory management and logistics, allowing for smooth movement of goods between different points in the supply chain. Therefore, independent warehouses are examples of facilitators in marketing channels.Rate this question:
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- 12.
Marketing channel strategy is used for products with low brand loyalty and product, is an impulse item is classified as_______________.
- A.
Bundle strategy
- B.
Shallow strategy
- C.
Push strategy
- D.
Pull strategy
Correct Answer
C. Push strategyExplanation
A push strategy is used for products with low brand loyalty and that are impulse items. This strategy involves pushing the product through the distribution channel to reach the end consumer. It typically involves aggressive marketing and promotion efforts to create demand and generate sales. This is suitable for products that consumers may not actively seek out, but are likely to purchase when presented with the opportunity.Rate this question:
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- 13.
Kind of direct marketing by which an offer, reminder or announcement is sent to people at specific virtual or physical address is called____________.
- A.
Direct mail marketing
- B.
Kiosk marketing
- C.
Catalog marketing
- D.
Premium marketing
Correct Answer
A. Direct mail marketingExplanation
Direct mail marketing refers to a type of direct marketing where offers, reminders, or announcements are sent to individuals at specific virtual or physical addresses. This method involves sending promotional materials, such as brochures, flyers, or catalogs, directly to the target audience's mailbox or email address. It allows businesses to reach a targeted group of individuals and deliver personalized messages, increasing the chances of generating leads and driving sales.Rate this question:
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- 14.
Companies that practice online marketing into their traditional operations are classified as___________.
- A.
Premium companies
- B.
Direct companies
- C.
Click only companies
- D.
Click and mortar companies
Correct Answer
D. Click and mortar companiesExplanation
Companies that practice online marketing into their traditional operations are classified as click and mortar companies. This term refers to businesses that have both a physical presence, such as a brick-and-mortar store, as well as an online presence. By integrating online marketing strategies into their traditional operations, these companies are able to reach a wider audience and cater to the needs of both online and offline customers. This approach allows them to leverage the advantages of both online and offline channels, creating a seamless and comprehensive customer experience.Rate this question:
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- 15.
Marketing of products done by companies by placing ordering and information machines is called___________.
- A.
Kiosk marketing
- B.
Offline marketing
- C.
Telephone marketing
- D.
Direct response TV marketing
Correct Answer
A. Kiosk marketingExplanation
Kiosk marketing refers to the practice of promoting products by using ordering and information machines placed by companies. These machines are typically located in public spaces such as shopping malls, airports, or train stations, allowing customers to interact with them and make purchases or gather information about the products being marketed. This form of marketing aims to provide convenience and accessibility to customers while promoting the company's products.Rate this question:
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- 16.
Fear appeals work when
- A.
When source credibility is high
- B.
They are not so strong
- C.
When the communication promises to relieve
- D.
All of the above
Correct Answer
D. All of the aboveExplanation
Fear appeals work when source credibility is high because people are more likely to trust and believe in information provided by a credible source. They are not so strong because if the fear appeal is too intense, it may overwhelm individuals and lead to defensive reactions or rejection of the message. When the communication promises to relieve fear, it provides individuals with a solution or a way to alleviate their fears, making the fear appeal more effective. Therefore, all of the above factors contribute to the effectiveness of fear appeals.Rate this question:
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- 17.
The BCG matrix is based on ___________.
- A.
Industry attractiveness & Business strength
- B.
Industry growth rate & Business strength
- C.
Industry attractiveness & Relative market share
- D.
Industry growth rate & Relative market share
Correct Answer
D. Industry growth rate & Relative market shareExplanation
The BCG matrix is based on industry growth rate and relative market share. This matrix categorizes a company's products or services into four quadrants: stars, question marks, cash cows, and dogs. The industry growth rate helps determine the potential for growth and profitability, while the relative market share indicates the company's competitive position within the industry. By analyzing these two factors, the BCG matrix helps companies make strategic decisions about resource allocation and portfolio management.Rate this question:
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- 18.
Another name for GE 9 cell model is _____________.
- A.
Three colour matrix
- B.
Stop light strategy matrix
- C.
Strategic portfolio matrix
- D.
Colour light matrix
Correct Answer
B. Stop light strategy matrixExplanation
The correct answer is "Stop light strategy matrix." This model is also known as the Stop light strategy matrix because it uses a traffic light analogy to categorize strategic business units (SBUs) based on their market attractiveness and competitive position. The matrix is divided into three zones: green for high potential SBUs, yellow for medium potential SBUs, and red for low potential SBUs. This helps organizations assess their portfolio of SBUs and make strategic decisions accordingly.Rate this question:
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- 19.
Marketing Audit is a part of:
- A.
Systematic control
- B.
Effective control
- C.
Strategic control
- D.
Profit control
Correct Answer
C. Strategic controlExplanation
A marketing audit is a comprehensive and systematic examination of a company's marketing environment, objectives, strategies, and activities. It evaluates the effectiveness of the marketing function and helps identify areas for improvement. Strategic control refers to the process of evaluating and monitoring the overall strategic direction of an organization. Since a marketing audit assesses the marketing strategies and activities, it falls under the category of strategic control.Rate this question:
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- 20.
In the BCG approach, ________ are high-share, high-growth businesses or products. Theyneed heavy investment to finance rapid growth. When their growth slows down, they turn into ________.
- A.
Dogs; cash cows
- B.
Stars; cash cows
- C.
Stars; question marks
- D.
Question marks; dogs
Correct Answer
B. Stars; cash cowsExplanation
In the BCG approach, "stars" are high-share, high-growth businesses or products. These stars require heavy investment to finance their rapid growth. However, when their growth slows down, they turn into "cash cows". Cash cows are businesses or products that have a high market share in a mature industry and generate a steady stream of income with minimal investment.Rate this question:
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Mar 20, 2023Quiz Edited by
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Mar 23, 2017Quiz Created by
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