Question 1

The unpredictable income makes the rural consumer highly conservative and&#10;A)value-conscious&#10;B)open-minded&#10;C)adaptable&#10;D)inexperienced

Accepted Answer

Rural consumers, facing unpredictable income, tend to be highly conservative and value-conscious, prioritizing purchases that offer the best value for their money due to the necessity of careful budgeting.

Question 2

The products which have attained the maturity stage in urban market are in __________ stage in rural market&#10;A)introduction&#10;B)growth&#10;C)maturity&#10;D)decline

Accepted Answer

Products that have reached the maturity stage in urban markets are often in the growth stage in rural markets. This is because rural markets may adopt products later than urban markets, so when urban demand stabilizes, rural demand starts to grow.

Question 3

Rural market is&#10;A)shandies or haats&#10;B)weekly markets&#10;C)village retail stores&#10;D)set of consumers in rural areas

Accepted Answer

A rural market refers to the set of consumers located in rural areas, encompassing various forms of marketplaces such as shandies, haats, weekly markets, and village retail stores.

Question 4

Rural is a distinct type of market and&#10;A)is similar to the urban markets&#10;B)is not just a poor extension of the urban areas&#10;C)requires the same marketing strategies as urban markets&#10;D)none of the above

Accepted Answer

Rural markets are not just poor extensions of urban areas; they have their own unique characteristics, demands, and consumer behaviors that differ significantly from urban markets.

Question 5

The cost and __________ of accessing consumers in a highly widespread rural market are very different from those involved in reaching urban consumers.&#10;A)logistics&#10;B)understanding&#10;C)labour&#10;D)acceptability

Accepted Answer

The correct answer is "logistics" because it refers to the detailed coordination of a complex operation involving many people, facilities, or supplies, which is a key factor in accessing consumers in widespread rural markets compared to urban areas.

Question 6

For fast moving consumer goods, rural consumption accounts for __________ share than urban.&#10;A)smaller&#10;B)larger&#10;C)same&#10;D)none of the above

Accepted Answer

Rural consumption accounts for a larger share than urban for fast-moving consumer goods (FMCGs) due to the vast population residing in rural areas, which contributes significantly to the overall consumption volume.

Question 7

While the urban economy thrives mainly on secondary and tertiary activities, the rural economy is driven mainly by primary activities, such as:&#10;A)manufacturing&#10;B)service&#10;C)agriculture&#10;D)agriculture, fishing and forestry

Accepted Answer

Primary activities include the extraction of raw materials and the production of food, which encompasses agriculture, fishing, and forestry. These are the main economic activities in rural areas.

Question 8

The following factors provide opportunities for marketers and favour the growth of rural marketing:
i. Improved Rural Infrastructure
ii. Improved Literacy Rate
iii. Agriculture Prosperity
iv. High cost per contactWhich statement is incorrect?

A)i
B)ii
C)iii
D)iv

Accepted Answer

The high cost per contact is not a factor that provides opportunities or favours the growth of rural marketing. Instead, it is a challenge because reaching each customer in a rural area can be more expensive due to geographical dispersion and lack of infrastructure.

Question 9

Consider the following statements:&#10;i. A rural customer does not care about brands&#10;ii. Rural literacy has now improved&#10;iii. Many lifestyle changes have been witnessed in rural areas&#10;iv. Decision is no longer centralized in the male head of a rural familyWhich state is incorrect?&#10;A)i&#10;B)ii&#10;C)iii&#10;D)iv&#10;

Accepted Answer

Statement i is incorrect because rural customers do care about brands, especially as literacy and exposure to media have increased. Statements ii, iii, and iv reflect accurate trends in rural areas, including improved literacy, lifestyle changes, and more decentralized decision-making within families.

Question 10

Marketing to urban and rural markets may differ in all of the following ways except which?&#10;A)Accessibility&#10;B)Content of message&#10;C)Media reach and habits&#10;D)Price combined with utility

Accepted Answer

Price combined with utility is not an aspect that inherently differs between urban and rural marketing strategies. While accessibility, content of message, and media reach and habits may need to be tailored to fit the specific characteristics of urban vs. rural markets, the combination of price and utility is a fundamental aspect of marketing that applies universally, regardless of the target market's geographic location.

Question 11

Rural consumers may respond better to promotion that is&#10;A)Flashy&#10;B)Aggressive&#10;C)Personal&#10;D)Repetitive

Accepted Answer

The answer of Rural consumers may respond better to promotion...

Question 12

Rural consumers tend to favour no-frills functional products over&#10;A)brand loyalty&#10;B)small unit packaging&#10;C)value for money&#10;D)aggressive sales

Accepted Answer

The answer of Rural consumers tend to favour no-frills functional...

Question 13

Agro-products includes all of the following except&#10;A)Milk powder&#10;B)Fruits&#10;C)Vegetables&#10;D)Corn flakes

Accepted Answer

The answer of Agro-products includes all of the following except&#10;A)Milk...

Question 14

Educating farmers about the best methods, timings and seasons, technology, tools, prices and best markets for selling their farming products is known as:&#10;A)Public relations&#10;B)Management consultancy&#10;C)Agricultural consultancy&#10;D)Operations consultancy

Accepted Answer

The answer of Educating farmers about the best methods, timings...

Question 15

In line with United Nations Sustainable Development Goals, the Government of India aims to provide tap water regularly to every household by:&#10;A)2022&#10;B)2030&#10;C)2035&#10;D)2040

Accepted Answer

The answer of In line with United Nations Sustainable Development...

Question 16

Rural literacy level that was 25% before independence has now improved to:&#10;A)55%&#10;B)60%&#10;C)64%&#10;D)70%

Accepted Answer

The answer of Rural literacy level that was 25% before...

Question 17

In many products, rural consumption now accounts for a larger share then urban, especially for:&#10;A)Washing soaps&#10;B)Washing machines&#10;C)Microwave&#10;D)Refrigerator

Accepted Answer

The answer of In many products, rural consumption now accounts...

Question 18

To increase awareness of products and services among rural consumers, there needs to be an increase in&#10;A)rural infrastructure&#10;B)penetration of mass media&#10;C)agricultural research&#10;D)population mobility

Accepted Answer

The answer of To increase awareness of products and services...

Question 19

Mobility of rural population to urban areas, metro cities and foreign countries intensifies incomes and, hence,&#10;A)purchasing power of rural people&#10;B)education of rural people&#10;C)connectivity of rural people&#10;D)decision making of rural people

Accepted Answer

The answer of Mobility of rural population to urban areas,...

Question 20

In India, most of the population resides in&#10;A)Cities&#10;B)Towns&#10;C)Urban areas&#10;D)Villages

Accepted Answer

The answer of In India, most of the population resides...

Question 21

______________ developments in agriculture results in overall rural development&#10;A)Cultural&#10;B)Social&#10;C)Technological&#10;D)Political

Accepted Answer

The answer of ______________ developments in agriculture results in overall...

Question 22

The unpredictable income makes the rural consumer&#10;A)decisive&#10;B)highly conservative&#10;C)open to change&#10;D)impulsive

Accepted Answer

The answer of The unpredictable income makes the rural consumer&#10;A)decisive&#10;B)highly...

Question 23

Which product feature can be used to attract rural consumers?&#10;A)functionality&#10;B)high-tech&#10;C)appearance&#10;D)size

Accepted Answer

The answer of Which product feature can be used to...

Question 24

In India, which institution takes care of the agriculture and rural development credit needs?&#10;A)IDBI&#10;B)NABARD&#10;C)RBI&#10;D)FCI

Accepted Answer

The answer of In India, which institution takes care of...

Question 25

What is the role Haats in villages?&#10;A)Contact point for durable goods only&#10;B)A political platform for politicians&#10;C)A place for cultural programmes&#10;D)An opportunity for buying daily necessities&#10;

Accepted Answer

The answer of What is the role Haats in villages?&#10;A)Contact...

Deck 3: Rural Market and Consumer Behavior in India