Section 1: Multiple Choices (75%)This section has 30 questions, each worth 2.5%. For each question, you must choose ONLY one choice which you think best fits in. Please transfer the code of your choice into the attached Answer Sheet.1.Marketing seeks to create and manage profitable customer relationshipsby delivering ________ to customers.petitive pricesb.superior valuec.superior serviced.superior promotione.product assortment2.Customer satisfaction depends on the product’s perceived valuerelative to the buyer’s ________.a.cost of obtaining the productb.expectationsc.cost of competing productsd.cost of the lost experiencee.all of the above3.To reduce demand for space on congested expressways in Washington, D.C.,the Metropolitan Washington Council of Governments has attempted to engage in ________.a.target marketingb.deregulationc.demarketingd.gray marketinge.integration4. Your firm is attempting to divide up the total market to determine the bestsegments it can serve. Which is the correct order of doing so?a.market segmentation, target marketing, market positioningb.target marketing, market positioning, market segmentationc.market positioning, market segmentation, target marketingd.market segmentation, market positioning, target marketinge.mass marketing, demographic segmentation, psychographicsegmentation5. A company with limited resources might enter a new market by serving ________ segment(s).a.the largestb.the most profitablec.duald.one or a fewe.three or more6.Today the four Ps are compared to the four Cs. Product and place are called________ and ________, respectively.a.convenience; customer solutionb.customer cost; conveniencemunication; customer solutiond.customer solution; conveniencemunication; convenience7.This systematic collection and analysis of publicly availableinformation about competitors and developments in the marketing environment is very useful. What is it called?a. marketing datab. marketing intelligencec. Web masterd. sales and sales managemente. secondary data8.Survey research is best suited for gathering ________ information.a. personalb. preferencec. attituded. descriptivee. exploratory9.Which form of data can usually be obtained more quickly and at a lowercost?a. primaryb. censusc. secondaryd. syndicatede. tertiary10. ________ are people within a reference group who, because of special skills, knowledge, personality, or other characteristics, exert influence on others.a. Opinion leadersb. Habitual buyersc. Charismatic personalitiesd. Perceptionistse. Wild ducks11. ________ are defined as smaller cultural groups of people with sharedvalue systems based on common life experiences and situations.a. Alternative evaluationsb. Cognitive dissonancesc. Subculturesd. Motivese. Attitudes12. To marketers, more important than reality is ________, the processby which people select, organize, and interpret information to forma meaningful picture of the world.a. personalityb. perceptionc. selective groupd. habitual behaviore. assessment13. Markets can be segmented into groups of nonusers, ex-users, potentialusers, first-time users, and regular users of a product. This method of segmentation is called ________.er statusage ratec.benefitd.behaviore.product frequency14. Mass marketers, such as Target and Venture Stores, ignore marketsegment differences and target the whole market with one offer. What is their approach to segmenting?a.undifferentiated marketingb.differentiated marketingc.target marketingd.blanket marketinge.intelligent marketing15. A segmenting approach that has been around for a long time that canbe very effective—________— tailors brands and promotions to the needs and wants of specific cities, neighborhoods, and even specific stores.a.micromarketingb.differentiated marketingc.niche marketingd.local marketinge. A or D16. ________ are consumer products and services with uniquecharacteristics or brand identification for which a significant group of buyers is willing to make a special purchase effort.a.Shopping productsb.Unsought productsc.Specialty productsd.Industrial productse.Line extensions17. A(n) ________ is a name, term, sign, symbol, design, or a combinationof these, that identifies that maker or seller of a product or service.a.serviceb.brandc.co-brandd.internal markete.external market18.Product mix ________ refers to the number of different product linesthe company carries. Procter & Gamble markets 250 brands organized into many product lines.a.lengthb.heightc.widthd.perimetere.depth19.General Electric worked with Culligan to develop its Water byCulligan Profile Performance refrigerator with a built-in Culligan water filtration system. This is an example of ________.a.brand extensionb.brand equityc.co-brandingd.internal marketinge.cannibalization20. Which of the stages in the product life cycle is characterized byrapid market acceptance, increasing sales, and increasing profits?a.introductionb.maturityc.growthd.declinee.development21.What actually leads to greater competition in the maturity stage ofthe PLC?a.overcapacityb.many competitorsc.poor managementd.inadequate promotione. a lack of money22. Some companies have adopted a ________ strategy, offering just theright combination of quality and good service at a fair price.a.value-based pricingb.good-value pricingc.cost-plus pricingd.low-price imagee.none of the abovewyers, accountants, and other professionals typically price byadding a standard markup for profit. This is known as ________.a.variable costsb.cost-plus pricingc.value-based pricingd.break-even pricee.penetration pricing24.Consumer perceptions of the product’s val ue set the ________.a.demand curveb.floorc.ceilingd.variable coste.image25. By definition, a conventional distribution channel consists of oneor more independent producers, wholesalers, and ________.a.productsb.retailersc.contractsd.strangerse.merchants26.The most common type of contractual agreement in business is the________.a.franchise organizationb.vertical marketing systemc.conventional marketing channeld.corporate VMSe.scrambled system27. A recent major trend, whereby producers are bypassing intermediariesand going directly to final buyers, or radically new types of channel intermediaries are emerging to displace traditional ones is referred to as ________.a.the vertical marketing systemb.the corporate marketing systemc.disintermediationd.the corporate mergere. a hostile takeover28. The communication tools a company uses to pursue its advertisingand marketing objectives is often referred to as the company’s ________.a.direct marketingb.integrated marketingc.promotion mixpetitive marketinge.target marketing29.The major promotion tool that includes catalogs, telephone marketing,kiosks, the Internet, and more is called ________.a.sales promotionb.direct marketingc.affordable methodd.public relationse.advertising30. A message showing a product’s quality, economy, value, orperformance is called a ________ appeal.a.structuralb.rationalc.emotionald.morale.linguisticSection 2 Short Answer Questions (25%)Answer each question with adequate knowledge you have learned in this course. You need to present your answer and the question number in the Attached Answer Sheet.1.Outline the four major steps in designing a customer-drivenmarketing strategy. (7%)Answer KeysThe first step is market segmentation: dividing a market into smaller groups of buyers with distinct needs, characteristics, or behaviors, who might require separate products or marketing mixes. The company then identifies different ways to segment the market and develops profiles of the resulting market segment. The third step is differentiating the firm’s market offering to create superior customer value. The final step is market positioning: arranging for a market offering to occupy a clear, distinctive, and desirable place relative to competing products in the minds of target consumers..2.Discuss the importance of consumer perceptions of value and coststo setting prices. (8%)Answer KeysCustomer perceptions of value set the upper limit for prices, and costs set the lower limit. However, in setting prices within these limits the company must then consider other internal and external factors. Internal factors affecting pricing include the c ompany’s overall marketing strategy, objectives, and marketing mix, as well as other organizational considerations. External factors include the nature of the market and demand, competitors’ strategies and prices, and other environmental factors.3.What advantages do multichannel distribution systems offer intoday’s markets? (8%)Answer KeysWhat is the principle advantage of using a multichannel distribution system? With each new channel in a multichannel distribution system the company expands its sales and market coverage and gains opportunities to tailor its products and services to the specific needs of diverse customer segments.。