Test Bank For Advertising And Promotion Global Edition by Belch

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Test Bank For Advertising And Promotion Global Edition by Belch

Chapter 02 The Role of IMC in the Marketing Process


True / False Questions

1.

Market opportunities are areas where the company believes that customer needs and opportunities are being satisfied. 
 
True    False

2.

A market can rarely be viewed as one large, homogeneous group of customers; rather, it consists of many heterogeneous groups, or segments. 
 
True    False

3.

Dominating channels of distribution is one way of creating a competitive advantage. 
 
True    False

4.

Marketers often go after the entire market with one product, brand, or service offering to create the maximum impact. 
 
True    False

5.

In a typical target marketing process, the stage of segmenting the market is immediately followed by positioning one’s product or service through effective marketing strategies. 
 
True    False

6.

Target market identification isolates consumers with similar lifestyles, needs, and the like, and increases the knowledge of their specific requirements. 
 
True    False

7.

The more marketers segment the market, the less precise is their understanding of it. 
 
True    False

8.

In the geographic segmentation approach, markets are divided into units based on consumers’ occupations and lifestyles. 
 
True    False

9.

When a market is segmented based on how aware and informed the consumers are, the variable used to choose a marketing approach is product knowledge. 
 
True    False

10.

In the psychographic approach to segmentation, determination of lifestyles is usually based on an analysis of the activities, interests, and opinions (AIOs) of consumers. 
 
True    False

11.

Segmenting the market based on consumers’ product or brand usage and the degree of use is an example of behavioristic segmentation. 
 
True    False

12.

Differentiated marketing is used when the firm selects one segment and attempts to capture a large share of this market. 
 
True    False

13.

The consumer approach positions a product by comparing it and the benefit it offers against those offered by competitors. 
 
True    False

14.

Premium brands positioned at the high end of the market usually use the price/quality approach to positioning. 
 
True    False

15.

While positioning by product class, marketers only position against brands, and not against other product categories. 
 
True    False

16.

Repositioning of a product usually occurs because of declining or stagnant sales. 
 
True    False

17.

Strong symbolic features and social and psychological meaning may be more important than functional utility for many products. 
 
True    False

18.

Brand equity refers to the tangible assets earned through a product’s functional purpose. 
 
True    False

19.

A marketer with an integrated marketing communications (IMC) perspective is likely to link high relative ad expenditures with premium prices, and low relative ad expenditures with low prices. 
 
True    False

20.

Trade advertising focuses on sales promotion efforts directed toward the ultimate consumer. 
 
True    False


Multiple Choice Questions

21.

According to the marketing and promotions process model, the marketing process begins with the: 
 

A.  development of the brand equity.

B.  development of a marketing strategy.

C.  development of the promotional mix.

D.  determination of the promotional budget.

E.  establishment of a nano-campaign marketing strategy.

22.

According to the marketing and promotions process model, in which of the following stages does the company decide the product or service areas and particular markets where it wants to compete? 
 

A.  Development of a marketing strategy and analysis

B.  Development of the target marketing process

C.  Allocation of advertising budget

D.  Development of the marketing planning program

E.  Creation of a positioning strategy

23.

_____ is a detailed assessment of the current marketing conditions facing the company, its product lines, or its individual brands. 
 

A.  Matrix analysis

B.  Micro analysis

C.  Situation analysis

D.  Opportunity analysis

E.  Competitive analysis

24.

Which of the following is best defined as areas where there are favorable demand trends, customer needs and wants are not being satisfied, and where a company thinks it can compete effectively? 
 

A.  Market opportunities

B.  Market segmentations

C.  Marketing channels

D.  Marketing-stubs

E.  Market economics

25.

A situational analysis: 
 

A.  does not include an assessment of a company’s product lines.

B.  usually starts with a positioning strategy.

C.  does not include an assessment of the conditions facing the company.

D.  typically involves creating branding strategies.

E.  includes an assessment of its individual brands.

26.

During a routine market study conducted by CL Foods, it was noted that Chinese and Indian food products were in high demand in American society. In order to take advantage of such a demand, CL Foods manufactured and sold these food items locally. In this scenario, the company is taking advantage of a _____. 
 

A.  market opportunity

B.  market aggregation

C.  market assimilation

D.  marketing buzz

E.  market threat

27.

FunZone Inc. identified and developed a SmartCard that can be used at fair grounds to make the ticketing process easier. The company found that the existing system was complicated and highly time-consuming. The SmartCard was easy to operate and each swipe would deduct the cost of a ride automatically. According to the given scenario, FunZone has recognized a: 
 

A.  market opportunity.

B.  marketing buzz.

C.  marketing engagement.

D.  marketing channel.

E.  market threat.

28.

There are several medicines that relieve allergy-related symptoms but only Sensitine comes in a quick dissolving form that can be easily swallowed without water. The manufacturer of Sensitine hopes the fact that it dissolves and enters the system quicker than other brands will create a: 
 

A.  market aggregation.

B.  marketing assimilation.

C.  competitive advantage.

D.  cross-merchandising strategy.

E.  market dis-intermediation.

29.

Offering quality products that command a premium price, providing superior customer service, having the lowest production costs and lower prices, or dominating channels of distribution are ways of: 
 

A.  achieving competitive advantage.

B.  practicing cross-merchandising strategy.

C.  creating market space.

D.  practicing bait-and-switch marketing.

E.  establishing a marketing-stub.

30.

_____ is defined as something unique or special a firm possesses or does that gives it an edge over other firms in a similar industry. 
 

A.  Competitor indexing

B.  Switch marketing

C.  Competitive advantage

D.  Marketing-stub

E.  Bait marketing

31.

John & Bauer Inc., manufacturers of health drugs, are the manufacturers of a painkiller called JB Revive. The painkiller is unique as it contains calcium, and it is quite unlike any other pain killer in the market. The addition of calcium led to an increase in sales of the medicine as well. In this scenario, the addition of calcium gives the company a: 
 

A.  market engagement.

B.  cross-merchandising opportunity.

C.  competitive advantage.

D.  marketing assimilation.

E.  competitive index.

32.

The first step in the target marketing process is to: 
 

A.  develop positioning strategies.

B.  request government approval.

C.  determine whether to use a market segmentation strategy or a mass marketing strategy.

D.  identify markets with unfulfilled needs.

E.  develop new products.

33.

The market segmentation process: 
 

A.  divides a market into distinct groups that have heterogeneous needs.

B.  divides a market into distinct groups that will respond similarly to marketing actions.

C.  offers one version of the product to all markets.

D.  creates products for several markets that have independent needs.

E.  positions products in the minds of prospects and customers.

34.

Directing a company’s efforts toward one or more groups of customers who share common needs is known as: 
 

A.  cross-merchandising.

B.  competitor indexing.

C.  mass customization.

D.  market segmentation.

E.  cross-branding.

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