1. Which positioning strategy involves offering ‘the same for less’?
A. Offering a basic product at a very low price.
B. Matching competitor’s benefits but at a lower price.
C. Offering more features than competitors at a higher price.
D. Focusing on a very narrow niche market.
2. Which of the following is a key consideration when choosing a targeting strategy?
A. The company’s mission statement.
B. The company’s production capacity.
C. Company resources, market variability, and competitor’s marketing strategies.
D. The CEO’s personal preferences.
3. A hotel chain that offers different amenities and price points to attract both budget travelers and luxury travelers is using:
A. Undifferentiated marketing.
B. Concentrated marketing.
C. Differentiated marketing.
D. Micromarketing.
4. What is ‘concentrated marketing’ (also known as niche marketing)?
A. Concentrating all marketing efforts on a single geographic region.
B. Going after a large share of one or a few smaller segments or niches.
C. Focusing on aggressive pricing strategies.
D. Offering a wide variety of products to appeal to many different segments.
5. What is the purpose of a ‘positioning statement’?
A. To define the company’s mission.
B. To summarize the company’s financial performance.
C. To communicate the brand’s value proposition to the target audience.
D. To outline the company’s organizational structure.
6. Which of the following is NOT a typical basis for segmenting consumer markets?
A. Geographic: Region, city size, density.
B. Demographic: Age, gender, income, occupation.
C. Psychographic: Lifestyle, values, personality.
D. Astrological: Zodiac sign.
7. What does ‘customer lifetime value’ (CLV) have to do with segmentation and targeting?
A. CLV is irrelevant to segmentation and targeting.
B. Segments with higher potential CLV should be prioritized for targeting.
C. CLV is only important for customer service.
D. CLV is used to determine the optimal advertising budget.
8. Which of the following is an example of ‘benefit segmentation’?
A. Targeting customers who live in urban areas.
B. Targeting customers who are loyal to a specific brand.
C. Targeting customers who seek convenience, value, or status.
D. Targeting customers based on their ethnicity.
9. What is a ‘value proposition’ in the context of positioning?
A. A guarantee of product quality.
B. The full positioning of a brand – the full mix of benefits on which it is positioned.
C. A discount offered to new customers.
D. A statement of the company’s core values.
10. Which of the following is the BEST example of psychographic segmentation?
A. Targeting customers based on their income level.
B. Targeting customers based on their geographic location.
C. Targeting customers based on their lifestyle and values.
D. Targeting customers based on their age and gender.
11. A company decides to target teenage girls with a new line of cosmetics. This is an example of:
A. Mass marketing.
B. Niche marketing.
C. Demographic segmentation.
D. Psychographic segmentation.
12. Which of the following is an example of ‘behavioral segmentation’?
A. Targeting customers based on their age range.
B. Targeting customers based on their geographic location.
C. Targeting customers based on their purchase history.
D. Targeting customers based on their income level.
13. A company that produces personalized coffee mugs, allowing customers to upload their own designs, is practicing:
A. Mass customization.
B. Differentiated marketing.
C. Concentrated marketing.
D. Undifferentiated marketing.
14. Which positioning strategy focuses on delivering ‘more for more’?
A. Offering the lowest price.
B. Offering the best quality and service at a higher price.
C. Offering the same benefits for less.
D. Offering less for much less.
15. How can a company effectively differentiate its offering?
A. By offering the lowest price.
B. By copying competitor’s features.
C. Through product, services, channels, people, or image.
D. By avoiding any form of advertising.
16. What is the risk associated with a ‘more for the same’ positioning strategy?
A. Customers may perceive the product as too expensive.
B. Customers may not believe the product offers superior value compared to competitors.
C. The company may not be able to sustain the lower price point.
D. The company may attract too many customers and run out of inventory.
17. A company that positions its product as ‘the most environmentally friendly’ is using positioning based on:
A. Price.
B. Competitor.
C. Attribute.
D. Occasion.
18. What is a potential danger of the ‘less for much less’ positioning strategy?
A. Customers may be willing to pay more for better quality.
B. Customers may perceive the product as too cheap and unreliable.
C. Competitors may easily undercut the price.
D. The company may not be able to generate enough profit.
19. What does ‘Positioning’ refer to in marketing?
A. The physical location of a store.
B. The place a product occupies in consumers’ minds relative to competing products.
C. The process of setting a product’s price.
D. The distribution channels used to sell a product.
20. What is the primary focus of Chapter 6 in a fundamental marketing course, often titled ‘Segmentation, Targeting, and Positioning’?
A. Analyzing a company’s financial statements.
B. Developing advertising campaigns.
C. Understanding consumer behavior in detail.
D. Identifying and serving specific groups of customers.
21. What is ‘differentiated marketing’?
A. Offering a single product with different packaging options.
B. Targeting several market segments and designing separate offers for each.
C. Focusing on cost leadership to attract price-sensitive customers.
D. Creating a luxury brand image.
22. What is the primary benefit of effective market segmentation?
A. Reducing marketing costs.
B. Increasing production efficiency.
C. Meeting customer needs more precisely.
D. Simplifying the product development process.
23. What is ‘undifferentiated marketing’ (also known as mass marketing)?
A. Targeting only the wealthiest customers.
B. Targeting a very small niche market.
C. Ignoring segment differences and targeting the entire market with one offer.
D. Customizing products for individual customers.
24. What is a ‘perceptual map’ used for in marketing?
A. To track website traffic.
B. To visualize how customers perceive different brands or products on key attributes.
C. To manage inventory levels.
D. To schedule social media posts.
25. What is ‘Market Targeting’ primarily concerned with?
A. Developing new product features.
B. Choosing which segments to pursue.
C. Creating advertising slogans.
D. Analyzing competitor strategies.
26. Which of the following is the MOST LIKELY result of poor market segmentation?
A. Increased customer loyalty.
B. Higher profit margins.
C. Ineffective marketing campaigns.
D. Reduced competition.
27. Which of the following is NOT a requirement for effective segmentation?
A. Measurable.
B. Accessible.
C. Substantial.
D. Homogeneous.
28. A small bakery decides to focus on selling gluten-free products to customers with dietary restrictions. This is an example of:
A. Mass marketing.
B. Differentiated marketing.
C. Concentrated marketing.
D. Micromarketing.
29. What is ‘micromarketing’?
A. Marketing on a very small budget.
B. Tailoring products and marketing programs to the needs and wants of specific individuals and local customer segments.
C. Using very small fonts in advertising.
D. Marketing only to employees within a company.
30. A car manufacturer positions its vehicles as ‘the safest on the road.’ This is an example of positioning based on:
A. Price.
B. Quality.
C. Benefit.
D. Distribution.
31. Which of the following is a ‘psychological factor’ influencing consumer behavior?
A. A consumer’s occupation.
B. A consumer’s economic situation.
C. A consumer’s motivation.
D. A consumer’s family.
32. If a consumer consistently buys the same brand of coffee out of habit, this is an example of:
A. Complex buying behavior.
B. Variety-seeking buying behavior.
C. Habitual buying behavior.
D. Dissonance-reducing buying behavior.
33. What is the primary focus of ‘neuromarketing’?
A. Using neuroscience to understand consumer responses to marketing stimuli.
B. Marketing products specifically designed for neurological health.
C. Creating marketing campaigns that target specific brain regions.
D. Analyzing market trends using neural networks.
34. Which of the following best describes ‘opinion leaders’?
A. Individuals who work in marketing and advertising.
B. Individuals within a reference group who exert social influence on others.
C. Individuals who are the first to purchase a new product.
D. Individuals who are highly critical of marketing practices.
35. What is ‘attitude’ in the context of consumer behavior?
A. A person’s relatively consistent evaluations, feelings, and tendencies toward an object or idea.
B. The process by which people select, organize, and interpret information.
C. A descriptive thought that a person holds about something.
D. A need that is sufficiently pressing to direct the person to seek satisfaction.
36. What is ‘motive’ in the context of consumer behavior?
A. A need that is sufficiently pressing to direct the person to seek satisfaction.
B. A person’s overall evaluation of an object or idea.
C. A descriptive thought that a person holds about something.
D. The process by which people select, organize, and interpret information.
37. A reference group is best described as:
A. A group of individuals with similar demographics.
B. A group of people a consumer admires and wants to emulate.
C. A group of products a consumer is considering.
D. A group of competitors in the same industry.
38. The ‘adoption process’ refers to:
A. The mental process through which an individual passes from first learning about an innovation to final adoption.
B. The legal procedures involved in registering a new trademark.
C. The process of a company acquiring another business.
D. The steps involved in developing a new product.
39. What is ‘lifestyle’ in the context of consumer behavior?
A. A person’s pattern of living as expressed in his or her activities, interests, and opinions.
B. A person’s social class and economic status.
C. A person’s psychological characteristics and personality traits.
D. A person’s cultural background and ethnic heritage.
40. Which of the following is NOT a key factor influencing consumer behavior?
A. Cultural factors
B. Social factors
C. Technological factors
D. Personal factors
41. Which stage of the buyer decision process involves the consumer seeking information about potential purchases?
A. Need recognition
B. Information search
C. Evaluation of alternatives
D. Purchase decision
42. How might a marketer use ‘cognitive dissonance’ to their advantage?
A. By creating products that are intentionally confusing to consumers.
B. By reinforcing the customer’s decision after the purchase.
C. By avoiding any form of customer communication after a sale.
D. By offering lower prices than competitors.
43. Which of the following describes ‘complex buying behavior’?
A. Low consumer involvement and little significant brand difference.
B. High consumer involvement and significant differences among brands.
C. Consumers switching brands frequently for the sake of variety.
D. Consumers seeking to reduce post-purchase dissonance.
44. How does ‘economic situation’ affect consumer behavior?
A. It has no impact on consumer spending habits.
B. It significantly influences purchasing power and spending patterns.
C. It primarily affects business-to-business purchasing decisions.
D. It only influences decisions related to luxury goods.
45. What is the significance of ‘subculture’ in marketing?
A. It has no relevance in marketing strategies.
B. It represents groups of people with shared value systems based on common life experiences or situations.
C. It refers to the ethical considerations in marketing practices.
D. It describes the technological advancements used in marketing.
46. What is ‘perception’ in the context of consumer behavior?
A. The process by which people select, organize, and interpret information.
B. The set of values, ideas, and attitudes shared by a group of people.
C. The relatively consistent and enduring evaluations, feelings, and tendencies toward an object or idea.
D. The process by which consumers learn about new products and services.
47. A consumer’s buying decision is MOST influenced by:
A. A single factor that remains consistent across all purchases.
B. A complex interaction of cultural, social, personal, and psychological factors.
C. Primarily economic factors such as price and income.
D. Only the marketing mix elements controlled by the company.
48. What role does ‘culture’ play in influencing consumer behavior?
A. It is the most basic cause of a person’s wants and behavior.
B. It primarily affects business-to-business purchasing decisions.
C. It has a minimal impact on consumer preferences.
D. It only influences consumer behavior in international markets.
49. Which of the following is an example of a ‘social factor’ influencing consumer behavior?
A. A consumer’s age and life-cycle stage.
B. A consumer’s personality and self-concept.
C. A consumer’s culture and subculture.
D. A consumer’s family and reference groups.
50. What is ‘cognitive dissonance’ in the context of consumer behavior?
A. The mental discomfort experienced when holding conflicting beliefs or values.
B. The process of consumers learning about a new product.
C. The stage where consumers evaluate different alternatives.
D. The tendency of consumers to stick to familiar brands.
51. What is ‘belief’ in the context of consumer behavior?
A. A descriptive thought that a person holds about something.
B. A person’s relatively consistent evaluations, feelings, and tendencies toward an object or idea.
C. The process by which people select, organize, and interpret information.
D. A need that is sufficiently pressing to direct the person to seek satisfaction.
52. Maslow’s hierarchy of needs, often used in marketing, includes which of the following levels?
A. Esteem, Social, Physiological, Safety, Self-actualization.
B. Recognition, Social, Physiological, Security, Personalization.
C. Esteem, Economic, Physiological, Safety, Self-actualization.
D. Recognition, Social, Psychological, Security, Personalization.
53. How does ‘learning’ influence consumer behavior?
A. It changes an individual’s behavior arising from experience.
B. It determines a consumer’s social class.
C. It defines a consumer’s personality traits.
D. It shapes a consumer’s demographic profile.
54. How can marketers effectively use ‘opinion leaders’?
A. By ignoring their influence as they represent a small portion of the market.
B. By identifying them and directing marketing efforts toward them.
C. By directly advertising to them without personalized content.
D. By preventing them from reviewing their products.
55. When a consumer skips some of the stages in the buying decision process, this is known as:
A. Complex buying behavior
B. Habitual buying behavior
C. Dissonance-reducing buying behavior
D. Variety-seeking buying behavior
56. Which of the following is NOT a personal factor influencing consumer behavior?
A. Age and life-cycle stage
B. Occupation
C. Economic situation
D. Reference groups
57. What is the role of ‘family’ in influencing consumer buying behavior?
A. It has minimal influence on individual purchasing decisions.
B. It is the most important consumer buying organization in society.
C. It only influences decisions related to household products.
D. It primarily affects business-to-business purchasing decisions.
58. What is ‘brand personality’?
A. The monetary value of a brand.
B. The specific blend of human traits that may be attributed to a particular brand.
C. The legal protection afforded to a brand name and logo.
D. The physical attributes of a product associated with a brand.
59. Which of the following is NOT a stage in the buyer decision process?
A. Need recognition
B. Information search
C. Brand advocacy
D. Post-purchase behavior
60. Which of the following is an example of ‘buzz marketing’?
A. Running a television advertisement during prime time.
B. Creating a viral video that generates word-of-mouth marketing.
C. Sending out direct mail to a targeted audience.
D. Offering discounts to existing customers.
61. A restaurant wants to attract more customers during lunch hours. Which of the following promotional tactics would be MOST effective?
A. Offering a discount on dinner entrees.
B. Running a radio ad at midnight.
C. Offering a lunch special at a discounted price.
D. Increasing prices during lunch hours.
62. Which of the following best describes ‘market positioning’?
A. The physical location of a store.
B. The process of setting the marketing budget.
C. Creating a clear, distinctive, and desirable place in the target consumer’s mind relative to competing products.
D. The distribution channels used to reach customers.
63. What is the primary focus of Chapter 6 in a fundamental marketing course?
A. Developing advertising campaigns.
B. Understanding consumer behavior.
C. Analyzing the marketing environment.
D. Creating a marketing plan.
64. A small bakery wants to increase its brand awareness in the local community. Which of the following marketing tactics would be MOST effective, given their limited budget?
A. Running a national television commercial.
B. Sponsoring a local community event.
C. Printing flyers and distributing them door-to-door.
D. Investing in search engine optimization (SEO) for local search terms.
65. A company discovers that its target market is increasingly using mobile devices to access the internet. How should this information influence their marketing plan?
A. They should ignore this trend.
B. They should optimize their website and marketing materials for mobile devices.
C. They should reduce their online marketing spend.
D. They should focus solely on print advertising.
66. A local gym is struggling to retain members. Which of the following strategies would be MOST effective in improving member retention?
A. Increasing membership fees.
B. Ignoring member feedback.
C. Offering personalized training programs and creating a supportive community.
D. Reducing the number of classes offered.
67. A new coffee shop is opening in a busy downtown area. Which of the following ‘place’ (distribution) strategies would be MOST important for their success?
A. Offering online ordering with nationwide shipping.
B. Ensuring a convenient location with easy access for foot traffic.
C. Focusing on wholesale distribution to supermarkets.
D. Selling coffee beans through a multi-level marketing scheme.
68. What is the purpose of ‘market research’ in developing a marketing plan?
A. To avoid making any mistakes.
B. To gather information about the market, customers, and competitors.
C. To guarantee sales success.
D. To reduce the marketing budget.
69. A company decides to launch a new line of organic baby food. Which of the following segmentation variables would be MOST relevant for identifying their target market?
A. Geographic location.
B. Demographic (age, income, family size).
C. Psychographic (lifestyle, values).
D. Behavioral (purchase frequency, brand loyalty).
70. Which section of a marketing plan typically includes sales forecasts, expense budgets, and break-even analysis?
A. Situation analysis.
B. Marketing strategy.
C. Implementation and control.
D. Financial projections.
71. In the context of marketing planning, what does ‘competitive advantage’ refer to?
A. Offering the lowest prices.
B. Having a feature or benefit that allows a company to outperform its competitors.
C. Spending the most on advertising.
D. Having the largest market share.
72. What does ‘market segmentation’ involve?
A. Selling products at a discount.
B. Dividing a broad consumer or business market into sub-groups of consumers based on shared characteristics.
C. Ignoring differences among customers.
D. Focusing on a single product line.
73. Which element of the marketing mix focuses on how a product is communicated to the target audience?
A. Product.
B. Price.
C. Place.
D. Promotion.
74. What is the purpose of defining a ‘target market’ in a marketing plan?
A. To appeal to as many customers as possible.
B. To focus marketing efforts on the most promising group of customers.
C. To reduce marketing costs by avoiding segmentation.
D. To create a product that satisfies everyone.
75. A tech company is launching a new high-end smartphone. They want to position it as a status symbol. Which of the following pricing strategies would be MOST aligned with this positioning?
A. Penetration pricing (setting a low initial price).
B. Competitive pricing (matching competitor prices).
C. Premium pricing (setting a high price to signal quality and exclusivity).
D. Cost-plus pricing (adding a markup to the production cost).
76. What is the MOST important reason for regularly reviewing and updating a marketing plan?
A. To keep the marketing team busy.
B. To ensure the plan remains relevant and effective in a changing market environment.
C. To increase the marketing budget.
D. To confuse competitors.
77. Which section of the marketing plan typically includes information about the market size, growth rate, and trends?
A. Executive summary.
B. Situation analysis.
C. Marketing strategy.
D. Financial projections.
78. A clothing retailer is experiencing declining sales. Their SWOT analysis reveals that online retailers are a significant threat. Which of the following strategies would be MOST effective in addressing this threat?
A. Ignoring online competition.
B. Lowering prices to match online retailers.
C. Investing in improving the in-store customer experience and offering personalized services.
D. Reducing marketing spend.
79. Which of the 4Ps of marketing is primarily addressed in the ‘pricing strategy’ section of a marketing plan?
A. Product.
B. Place.
C. Promotion.
D. Price.
80. What is a ‘marketing strategy’?
A. A detailed list of marketing tactics.
B. A broad approach to achieving marketing objectives.
C. The company’s overall business plan.
D. A financial forecast for the next year.
81. What does a ‘SWOT analysis’ primarily evaluate?
A. Sales, wages, operations, and taxes.
B. Strengths, weaknesses, opportunities, and threats.
C. Specific, measurable, attainable, relevant, and time-bound goals.
D. Segmentation, targeting, and positioning.
82. A company is considering expanding into a new international market. What is the MOST crucial step to take before developing a marketing plan for that market?
A. Hiring a local marketing agency.
B. Conducting thorough market research to understand the local culture, consumer behavior, and competitive landscape.
C. Translating their existing marketing materials into the local language.
D. Assuming their current marketing strategy will work in the new market.
83. How does ‘differentiation’ contribute to a company’s competitive advantage?
A. By making the product cheaper.
B. By making the product similar to competitors’.
C. By making the product unique and appealing to a specific segment.
D. By making the product available everywhere.
84. A company’s marketing plan includes the objective to ‘increase brand awareness by 20% in the next quarter’. Which of the following metrics would be MOST appropriate for measuring the success of this objective?
A. Website traffic.
B. Social media engagement.
C. Brand recall and recognition surveys.
D. Sales revenue.
85. What is the role of ‘marketing objectives’ in a marketing plan?
A. To describe the company’s history.
B. To outline specific, measurable, achievable, relevant, and time-bound (SMART) goals.
C. To list all marketing activities.
D. To provide a general direction for the company.
86. A non-profit organization is launching a fundraising campaign. Which of the following marketing messages would be MOST effective in motivating donations?
A. A vague message about helping people.
B. A message highlighting the organization’s administrative costs.
C. A message showcasing the specific impact of donations with compelling stories and data.
D. A message focused on the organization’s history.
87. Which of the following is NOT a key component of a marketing plan?
A. Situation analysis.
B. Target market definition.
C. Production schedule.
D. Marketing strategy.
88. A company is launching a new energy drink targeted at athletes. Which of the following promotional channels would be MOST effective in reaching their target audience?
A. Advertising in a cooking magazine.
B. Sponsoring a local sports team.
C. Running a billboard campaign in a rural area.
D. Placing ads on daytime television.
89. A software company decides to offer a free trial version of their product. What is the MOST likely marketing objective behind this strategy?
A. To increase production costs.
B. To generate leads and convert trial users into paying customers.
C. To decrease customer satisfaction.
D. To reduce brand awareness.
90. A company decides to use a ‘pull’ marketing strategy. What does this typically involve?
A. Focusing on personal selling to distributors.
B. Creating demand directly from consumers, who then ‘pull’ the product through the distribution channel.
C. Offering discounts to retailers.
D. Pushing products through the distribution channel using incentives.
91. What is the purpose of A/B testing in digital marketing?
A. To reduce marketing expenses
B. To compare two versions of a marketing element to see which performs better
C. To eliminate the need for market research
D. To guarantee a return on investment
92. What is a key advantage of using a database in direct marketing?
A. Reduced marketing costs
B. Ability to personalize marketing messages
C. Guaranteed increase in sales
D. Elimination of the need for market research
93. A company wants to create a strong brand image by associating its product with a particular lifestyle. Which advertising appeal should they use?
A. Rational appeal
B. Emotional appeal
C. Moral appeal
D. Technical appeal
94. What is the purpose of sales promotion?
A. To build long-term brand loyalty
B. To create immediate sales
C. To educate consumers about product features
D. To improve public perception of the company
95. What is the main challenge of using viral marketing?
A. High cost of implementation
B. Difficulty in controlling the message
C. Limited reach to target audience
D. Lack of measurability of results
96. A company sends personalized emails to customers based on their past purchases. What type of marketing is this?
A. Advertising
B. Public Relations
C. Direct Marketing
D. Sales Promotion
97. A small business uses creative street art to promote its new product. This is an example of?
A. Traditional Advertising
B. Direct Marketing
C. Guerrilla Marketing
D. Personal Selling
98. What is the primary goal of integrated marketing communications (IMC)?
A. To maximize the number of advertisements placed.
B. To ensure consistent messaging across all channels.
C. To minimize marketing expenses.
D. To focus solely on digital marketing efforts.
99. Which of the following is an example of a trade promotion?
A. Coupons offered to consumers
B. Discounts offered to retailers to stock more product
C. Free samples given to consumers
D. Contests for consumers
100. What is the key difference between advertising and public relations?
A. Advertising is always free, while public relations is paid for.
B. Advertising is paid for, while public relations is generally earned.
C. Advertising is more credible than public relations.
D. Public relations is focused on short-term sales, while advertising is not.
101. What is viral marketing?
A. Marketing that uses viruses to spread messages
B. Creating content that is so infectious that customers will want to pass it along to others
C. Marketing that targets a very small niche market
D. Marketing that is only effective for short periods of time
102. What is ‘reach’ in the context of media planning?
A. The cost of running an advertisement.
B. The number of times an individual is exposed to an advertisement.
C. The percentage of people in the target market exposed to an ad campaign.
D. The effectiveness of an advertisement in generating sales.
103. Which promotion budgeting method involves setting the budget based on what the company can afford?
A. Percentage-of-sales method
B. Competitive-parity method
C. Objective-and-task method
D. Affordable method
104. Which of the following is NOT a key element of the communication process?
A. Encoding
B. Decoding
C. Noise
D. Calculation
105. What is ‘frequency’ in the context of media planning?
A. The cost of running an advertisement
B. The average number of times a person in the target market is exposed to the message
C. The percentage of people in the target market exposed to an ad campaign
D. The effectiveness of an advertisement in generating sales
106. Which of the following is a disadvantage of using television advertising?
A. High reach
B. Low cost per exposure
C. High clutter
D. Ability to target specific demographics
107. What is direct marketing?
A. Marketing through intermediaries
B. Direct connections with carefully targeted individual consumers
C. Mass marketing to a broad audience
D. Marketing only through online channels
108. What is the role of ‘noise’ in the communication process?
A. To enhance the clarity of the message
B. To provide feedback to the sender
C. To interfere with the intended message
D. To encode the message
109. Which of the following is an example of a ‘pull’ promotional strategy?
A. Offering retailers discounts to stock a product.
B. Advertising directly to consumers to create demand.
C. Providing sales training to distributors.
D. Sending promotional materials to wholesalers.
110. Which promotional tool involves direct interaction with customers to make a sale?
A. Advertising
B. Public Relations
C. Personal Selling
D. Sales Promotion
111. What is guerilla marketing?
A. A form of marketing that uses aggressive sales tactics
B. Unconventional marketing activities that are low-budget and high-impact
C. Marketing that targets a very small niche market
D. Marketing that is only effective for short periods of time
112. A company sets its promotion budget by defining specific objectives, determining the tasks needed to achieve those objectives, and estimating the costs of performing these tasks. Which method is this?
A. Percentage-of-sales method
B. Competitive-parity method
C. Objective-and-task method
D. Affordable method
113. Which of the following is NOT a common objective of advertising?
A. To inform
B. To persuade
C. To remind
D. To calculate
114. A company uses press releases and sponsorships to build a good image. Which promotional tool are they using?
A. Advertising
B. Public Relations
C. Direct Marketing
D. Sales Promotion
115. A company decides to use celebrity endorsements in its advertising campaign. What is a potential risk of this strategy?
A. Increased brand awareness
B. Enhanced brand credibility
C. Negative publicity associated with the celebrity
D. Guaranteed increase in sales
116. Which of the following is an advantage of using social media for marketing?
A. High cost of implementation
B. Limited reach to target audience
C. Ability to target specific demographics and interests
D. Lack of measurability of results
117. What is the purpose of setting a promotion budget?
A. To minimize marketing expenses
B. To allocate resources effectively to achieve promotional goals
C. To guarantee a return on investment
D. To eliminate the need for marketing research
118. Which of the following is NOT a form of direct marketing?
A. Catalog marketing
B. Telemarketing
C. Billboard advertising
D. Email marketing
119. A company creates a humorous video that quickly spreads across social media. This is an example of?
A. Public Relations
B. Direct Marketing
C. Viral Marketing
D. Personal Selling
120. Which promotion budgeting method involves setting the budget to match competitors’ spending?
A. Percentage-of-sales method
B. Competitive-parity method
C. Objective-and-task method
D. Affordable method
121. What is ‘product placement’?
A. Designing the physical appearance of a product.
B. Paying to have a product appear in a movie or TV show.
C. Distributing free samples of a product.
D. Creating a catchy slogan for a product.
122. What does ‘AIDA’ stand for in the context of marketing communications?
A. Awareness, Interest, Desire, Action.
B. Attention, Innovation, Differentiation, Acquisition.
C. Analysis, Implementation, Development, Assessment.
D. Affordability, Impact, Durability, Advantage.
123. Which of the following is an example of direct marketing?
A. Running a television commercial.
B. Sending a personalized email to a customer.
C. Sponsoring a local charity event.
D. Placing an advertisement in a newspaper.
124. A small business owner wants to improve their online presence. Which marketing communication tool should they focus on first?
A. Television advertising.
B. Search engine optimization (SEO).
C. Print advertising.
D. Sponsorship of a major sporting event.
125. What is ‘integrated marketing communications’ (IMC)?
A. Using only one type of marketing communication to reach consumers.
B. Coordinating all promotional activities to project a consistent brand image.
C. Focusing on digital marketing channels exclusively.
D. Separating advertising and public relations efforts.
126. Which of the following is a disadvantage of using sales personnel for marketing communications?
A. High cost per contact.
B. Inability to tailor the message to individual customers.
C. Lack of credibility.
D. Difficulty in measuring results.
127. Which digital marketing communication tool allows for direct and personalized interaction with customers?
A. Search engine optimization (SEO).
B. Email marketing.
C. Display advertising.
D. Social media advertising.
128. A company wants to measure the effectiveness of its advertising campaign. Which metric would be most relevant?
A. Employee satisfaction.
B. Website traffic and sales conversion rates.
C. Production costs.
D. Number of social media followers.
129. What is the main purpose of sales promotion?
A. To build long-term brand loyalty.
B. To create immediate sales and excitement.
C. To educate consumers about product features.
D. To improve the company’s public image.
130. Why is it important to have a consistent brand message across all marketing communication channels?
A. To confuse customers and make them think about the brand more.
B. To create a clear and recognizable brand identity.
C. To save money on advertising costs.
D. To make it easier to target different customer segments.
131. Which promotional tool is most suitable for creating long-term relationships with customers?
A. Mass advertising.
B. Sales promotion.
C. Direct marketing.
D. Public relations.
132. What is the primary focus of Chapter 6 in a fundamental marketing textbook?
A. Analyzing the competitive landscape.
B. Developing pricing strategies.
C. Understanding consumer behavior.
D. Creating effective marketing communications.
133. What is ‘personal selling’?
A. Any paid form of nonpersonal presentation and promotion of ideas, goods, or services by an identified sponsor.
B. Short-term incentives to encourage the purchase or sale of a product or service.
C. Personal customer interactions by the firm’s sales force for the purpose of making sales and building customer relationships.
D. Building good relations with the company’s various publics by obtaining favorable publicity, building up a good corporate image, and handling or heading off unfavorable rumors, stories, and events.
134. Which of the following is an example of a ‘push’ promotion strategy?
A. A social media campaign targeting end consumers.
B. Offering free samples to customers in stores.
C. Providing incentives to salespeople for meeting sales targets.
D. Publishing informative articles in industry magazines.
135. What is the purpose of setting communication objectives?
A. To determine the budget for the marketing campaign.
B. To define the specific goals that the marketing communication efforts aim to achieve.
C. To select the most appropriate media channels.
D. To create a catchy slogan for the product.
136. A company wants to create a sense of urgency for its product. Which sales promotion tool would be most effective?
A. Free samples.
B. A contest.
C. A limited-time discount.
D. Loyalty program.
137. Which of the following is NOT a primary goal of marketing communication?
A. To inform consumers about a product or service.
B. To persuade consumers to purchase a product or service.
C. To remind consumers about a product or service.
D. To determine the production costs of a product or service.
138. What is ‘reach’ in the context of advertising?
A. The persuasiveness of the advertising message.
B. The number of times an individual is exposed to an advertisement.
C. The percentage of people in the target market exposed to an ad campaign during a given period.
D. The cost of running an advertisement.
139. Which of the following is a key benefit of using social media for marketing communications?
A. It is always cheaper than traditional advertising.
B. It allows for direct interaction and engagement with customers.
C. It guarantees a high return on investment.
D. It eliminates the need for other marketing communication tools.
140. What is the role of public relations in marketing communications?
A. To directly persuade customers to purchase a product.
B. To build good relations with the company’s various publics by obtaining favorable publicity.
C. To manage the company’s advertising budget.
D. To handle customer service inquiries.
141. What is ‘buzz marketing’?
A. Using traditional advertising methods.
B. Generating excitement and word-of-mouth about a brand or product.
C. Focusing on direct sales techniques.
D. Ignoring customer feedback.
142. What is ‘content marketing’?
A. Selling products directly through online platforms.
B. Creating and distributing valuable, relevant, and consistent content to attract and engage a target audience.
C. Focusing solely on advertising through paid channels.
D. Ignoring customer feedback and focusing on product features.
143. What is the primary goal of reminder advertising?
A. To build primary demand.
B. To keep the brand in customers’ minds during off-seasons.
C. To persuade customers to switch brands.
D. To inform customers about new products.
144. Which of the following is NOT a key element of the marketing communications mix?
A. Advertising.
B. Public relations.
C. Product design.
D. Sales promotion.
145. Which of the following is an example of ‘pull’ promotion strategy?
A. Offering retailers discounts for stocking a new product.
B. Advertising directly to consumers to create demand.
C. Providing sales incentives to distributors.
D. Training retail staff to promote a product.
146. A company is facing negative publicity due to a product defect. What is the most appropriate PR strategy?
A. Ignore the negative publicity and hope it goes away.
B. Issue a press release acknowledging the defect and outlining steps to address it.
C. Launch a new advertising campaign to distract from the issue.
D. Blame the defect on a supplier.
147. What is ‘frequency’ in the context of advertising?
A. The cost per impression of an advertisement.
B. The average number of times a person in the target market is exposed to an advertisement.
C. The creative execution of an advertisement.
D. The number of different media channels used.
148. What is a key disadvantage of using advertising as a marketing communication tool?
A. It is difficult to reach a large audience.
B. It is very expensive and impersonal.
C. It lacks creative potential.
D. It is not effective for building brand awareness.
149. A company launching a new product with a limited budget should prioritize which communication tool?
A. National television advertising.
B. Public relations.
C. Sponsorship of a major sporting event.
D. Direct mail campaign to all households.
150. What is ‘guerrilla marketing’?
A. A marketing strategy that involves aggressive sales tactics.
B. An unconventional marketing strategy that relies on surprise and creativity.
C. A marketing strategy focused on targeting military personnel.
D. A marketing strategy that involves illegal or unethical practices.
