Deck 14: Sustainable Marketing: Social Responsibility, ethics and Legal Compliance

Question 1

Many critics allege that the marketing system causes ________ to be higher than they would be under more 'sensible' systems.

A)imports
B)exports
C)prices
D)product safety measures
E)employee morals

Answer 1

C

Question 2

The 'sustainable marketing' concept is a philosophy of customer value and ________.

A)company profit
B)mutual gain
C)innovation
D)relationship-building
E)social benefits

Answer 2

B

Question 3

Critics charge that high advertising and promotion costs unnecessarily increase retail prices.Marketers would most likely respond to this criticism by arguing that advertising adds ________.

A)only psychological value
B)value by providing information about product availability and merits
C)quality to the product
D)functional value to the product
E)economic value to the product

Answer 3

B

Question 4

________ calls for socially and environmentally responsible actions that meet the present needs of consumers and businesses while also preserving or enhancing the ability of future generations to meet their needs.

A)Sustainable marketing
B)Green marketing
C)Societal marketing concept
D)Global marketing
E)Strategic planning

Question 5

________ persuades people to buy goods they had not previously thought of buying.

A)Sustainable marketing
B)High-pressure selling
C)Deceptive placement
D)Redlining
E)Reverse red-lining

Question 6

In Australia,the national organisation responsible for administering the country's competition,fair-trading and consumer protection laws is the ________.

A)Australian Competition and Consumer Commission
B)Australian Consumers' Association
C)Business Development Corporation
D)Business Council of Australia
E)Australian Investments and Securities Commission

Question 7

A long-standing criticism against intermediaries is that they mark up prices beyond the ________.

A)value of their services
B)delivery charges
C)going market price
D)range most consumers can afford to pay
E)resale value

Question 8

_________ marketing calls for socially and environmentally responsible actions to meet current and future needs.

Question 9

In which of the following scenarios would high-pressure selling tactics typically be most advantageous for marketers?

A)selling situations with long-time customers
B)selling situations with new customers with a high likelihood of becoming repeat customers
C)selling situations with a company's most highly valued customers
D)one-time selling situations for short-term gain
E)selling situations with dissatisfied customers

Question 10

Advertising 'puffery' is a term for ________.

A)a straightforward promotional message
B)innocent exaggeration for effect
C)emotional appeals to consumers
D)subliminal appeals to consumers
E)value-added promotions

Question 11

Critics of the marketing system are most likely to claim that intermediaries ________.

A)are too few in number
B)are expensive
C)provide only necessary services
D)under-price their services
E)are too competitive

Question 12

The ________ considers the future welfare of consumers.

A)societal marketing concept
B)strategic planning concept
C)sustainable marketing concept
D)marketing concept
E)consumer business concept

Question 13

Critics point out that in the pharmaceutical industry,a pill that costs five cents to make may cost the consumer $2 to buy.This is an example of which of the following?

A)deceptive advertising
B)redlining
C)excessive mark-ups
D)high-pressure selling
E)shoddy products

Question 14

A firm was accused of 'deceptive pricing' by the ACCC.Which of the following explains what might have happened?

A)It refused to advertise sale prices in the local paper.
B)It enticed customers to the store for a bargain that was out of stock.
C)It advertised a large price reduction from a phony high retail list price.
D)It misrepresented a product's features in an ad.
E)All of the above.

Question 15

The ________ specifically focuses on future company needs rather than both future company and future customer needs.

A)societal marketing concept
B)strategic planning concept
C)sustainable marketing concept
D)marketing concept
E)consumer business concept

Question 16

Recently,a class-action lawsuit was brought against a fast-food chain,charging that its food has contributed to the nationwide obesity epidemic.The suit was eventually dismissed,but many critics continue to point out the health dangers of many fast-food menu items.These critics are concerned that the fast-food industry is pushing ________.

A)high-pressure selling
B)deceptive promotions
C)deceptive pricing
D)deceptive packaging
E)harmful products

Question 17

A CBD department store was accused of 'deceptive promotion'.Which of the following best explains what might have happened?

A)It refused to advertise sale prices in the local paper.
B)It lured customers to the store for a bargain that is out of stock.
C)It advertised a large price reduction from a phony high retail list price.
D)It used misleading labelling on some products.
E)All of the above.

Question 18

Which of the following advertising situations would LEAST likely be considered 'puffery'?

A)Mr.Clean coming to a housewife's rescue
B)instantly toned thighs and legs as a result of using the Thigh Master for only 15 minutes each day
C)children growing into attractive adults as a result of drinking milk
D)a retired couple drinking a vitamin and protein shake and then going bicycling
E)a sleepy mom who wakes up to a grey day,drinks a cup of coffee,and then looks out her window to see golden sunshine,beautiful flowers blooming,songbirds singing,and a rainbow on the horizon

Question 19

'Deceptive promotion' differs from 'deceptive pricing' in that deceptive promotion overstates the product's ________ or ________.

A)true price;performance
B)features;performance
C)packaging;costs
D)design;features
E)availability;package contents

Question 20

Deceptive marketing practices fall into three groups: deceptive ________,deceptive ________,and deceptive ________.

A)product;pricing;promotion
B)pricing;promotion;placement
C)pricing;promotion;packaging
D)packaging;product;promotion
E)product;packaging;placement

Question 21

Critics have charged that some companies intentionally manufacture their products with materials or components that cause the product to need to be replaced before it actually should need replacement.What is this called?

A)product failure
B)short-term planning
C)planned obsolescence
D)non-functional warranty
E)expressed dissatisfaction

Question 22

Marketers respond to charges of planned obsolescence with all of the following EXCEPT which one?

A)Consumers like change.
B)No-one is forced to buy the new product.
C)The product will eventually wear out anyway.
D)For most technical products,customers want the latest innovations.
E)Companies do not want to lose customers to other brands.

Question 23

Critics charge that a company's marketing practices can harm other companies and reduce competition among companies.Problems involved include all of the following EXCEPT which ones?

A)acquisitions of competitors
B)marketing practices that create barriers to entry
C)marketing practices that confuse consumers
D)unfair competitive marketing practices
E)predatory pricing

Question 24

To restore the balance between private and public goods,producers could be required to bear the full ________ costs of their operations.

A)promotional
B)cultural
C)environmental
D)social
E)safety

Question 25

A reporter / marketing critic is concerned about the pervasiveness of marketing.He points to advertising messages everywhere,from websites and emails to unwanted direct mail and catalogues to television commercials and product tie-ins to billboards and store signage.He is concerned about ________.

A)high advertising and promotion costs
B)cultural pollution
C)deceptive practices
D)false wants and too much materialism
E)the balance between private goods and social goods

Question 26

A company that offers consumers the opportunity to buy carbon offsets,which are contributions to projects that combat global warming by reducing carbon emissions,offers contribution packages for driving,flying,and home energy use.Through this package,consumers can pay some of the ________ costs of their private goods and services.

A)promotional
B)safety
C)health
D)distribution
E)social

Question 27

'Cultural pollution' can also be referred to as ________.

A)commercial noise
B)air pollution
C)language barriers
D)a marketer's inability to identify a target market
E)zipping or zapping

Question 28

Critics of marketing claim that marketing creates false wants that benefit ________ more than they benefit ________.

A)consumers;industry
B)industry;consumers
C)stores;manufacturers
D)exporters;importers
E)independent sellers;chain stores

Question 29

Which of the following is most responsible for the shrinking number of competitors in almost every major industry?

A)declining materialism and a return to more basic values
B)acquisition of competitors
C)patents that create barriers to entry
D)unfair consumer protection laws
E)predatory pricing

Question 30

All of the following are examples of 'cultural pollution' EXCEPT ________.

A)commercials during television programs
B)pages of ads in magazines
C)street signs in an urban area
D)billboards blocking beautiful scenery
E)spam in an email inbox

Question 31

The proliferation of marketing messages that assault our senses,interrupt our daily lives and bombard our minds with messages of materialism,sex,power or status is known as ________.

A)advertising clutter
B)information overload
C)cultural pollution
D)white noise
E)environmental pollution

Question 32

Critics claim that companies in the ________ industries introduce planned streams of new products that make older models obsolete,a form of planned obsolescence that harms consumers.

A)car and truck
B)housing and construction
C)food and beverage
D)consumer electronics and computer
E)financial and entertainment

Question 33

Critics of the modern marketing system have charged that marketers have created a culture in which people are judged by what they ________.

A)are
B)own
C)do
D)know
E)avoid

Question 34

It is most accurate to say that a recession would result in which of the following?

A)an overselling of private goods
B)a widespread disbelief in the possibility of achieving the Australian dream
C)a dampening on materialism and conspicuous spending
D)an increase in materialism
E)the elimination of false wants

Question 35

The high failure rate of new products shows that companies are not able to ________.

A)control demand
B)advertise enough
C)find manufacturers
D)find distribution outlets
E)identify consumer needs

Question 36

Trendy Teens manufactures fashionable clothing and accessories for the tween and teen female markets.New merchandise with a very different look is rolled out each season and heavily promoted as the 'must-have' style in a variety of media.Trendy Teens could most easily be criticised for which of the following?

A)deceptive promotions
B)shoddy products
C)high-pressure selling
D)poor service to disadvantaged consumers
E)planned obsolescence

Question 37

The overselling of private goods results in ________,such as cars causing traffic jams,air pollution,injuries and deaths.

A)cultural pollution
B)misdirected funding
C)social costs
D)materialism
E)opportunity costs

Question 38

'Planned obsolescence' might involve all of the following EXCEPT which one?

A)the use of unsafe materials
B)producers continually changing consumer styles
C)the holding back of attractive functional features,then introducing them later to make older models obsolete
D)the use of materials that will rust sooner than they should
E)the use of components that will break soon after purchase

Question 39

In response to charges of ________,marketers point out that advertising makes much of television and radio free to users and also keeps down the cost of magazines and newspapers.

A)too few social costs
B)creating false wants
C)creating too much materialism
D)high promotion costs
E)cultural pollution

Question 40

Marketers are most effective when they appeal to ________ rather than when they ________.

A)exciting new inventions;use old ones
B)teenagers;target older people
C)existing wants;attempt to create new ones
D)emotions;appeal to actual needs
E)the mass market;appeal to market segments

Question 41

Which of the following is NOT a traditional sellers' right?

A)the right to charge any price for the product
B)the right to spend any amount to promote the product
C)the right to sell consumer information
D)the right to use any buying incentive programs
E)the right to introduce any product in any size and style

Question 42

Many critics of marketing allege that marketing's preoccupation with material goods is not ________.

Question 43

Outline the concepts of 'consumerism' and 'environmentalism' and explain how they impact on marketing strategies.

Question 44

List and discuss three common criticisms of marketing.For each criticism,state how you,as a marketer,might respond to the criticism.

Question 45

Critics of the marketing system rarely target advertising as a problem.

Question 46

Though marketers may make long-term gains with high-pressure selling tactics,this approach can do serious damage to short-term customer relationships.

Question 47

Many marketers have been accused of overselling private goods at the expense of public goods because many private goods require greater investment in public services that are usually not forthcoming.

Question 48

A common criticism aimed at consumer advertising is that it makes you buy things you don't need.

Question 49

________ is an organised movement of citizens and government agencies to improve the rights and power of buyers in relation to sellers.

A)Environmentalism
B)The Bill of Rights
C)Grassroots politics
D)Consumerism
E)The Human Relations Movement

Question 50

Which of the following is NOT a potential advantage of the practice of acquisition?

A)The acquiring company can gain economies of scale.
B)Acquisitions require little government oversight.
C)An acquiring company may improve the efficiency of an acquired company.
D)An industry might become more competitive after an acquisition.
E)The acquisition may result in lower costs,leading to lower prices for consumers.

Question 51

Large marketing companies can use patents and heavy promotion spending to ________.

A)acquire smaller companies
B)bear the social costs of their operations
C)set up barriers for others wanting to enter the industry
D)achieve economies of scale
E)offset cultural pollution

Question 52

The major criticisms of marketing include harming consumers through high prices,deceptive practices,high-pressure selling,shoddy or unsafe products,planned obsolescence and poor service to disadvantaged countries.

Question 53

Marketers argue that most companies avoid deceptive practices because such practices harm their business in the long run.

Question 54

_________ critics of marketing claim that certain marketing practices hurt consumers,society and other business firms.

Question 55

The two major movements to keep business in line are environmentalism and ________.

A)consumerism
B)protectionism
C)capitalism
D)socialism
E)communism

Question 56

Consumers can rarely buy functional versions of highly promoted branded products at lower prices.

Question 57

ABC Toy Company has been accused of producing shoddy and unsafe children's toys.If ABC is typical of most companies,the complaints will centre on manufacturer indifference,increased production complexity and poorly trained labour.

Question 58

Setting prices below cost,threatening to cut off business with suppliers and discouraging the purchase of a competitor's products are all examples of ________.

A)routine competition
B)excessive materialism
C)predatory competition
D)acquisitions
E)barriers to entering a market

Question 59

When a company expands by developing its own products rather than acquiring a competitor,the company is likely to be accused of reducing competition.

Question 60

When responding to consumer complaints about high prices,marketers often explain that consumers do not understand the costs involved that justify the prices.

Question 61

________ is a management approach that involves developing strategies that both sustain the environment and produce profits for the company.

A)Consumerism
B)Environmentalism
C)Environmental sustainability
D)Social responsibility
E)Ethical decision making

Question 62

A firm is looking into the future and working internally on the third level of environmental sustainability,which involves investing in and searching for new technologies and capabilities in order to create fully sustainable strategies.This approach is known as ________.

A)sustainable vision
B)new clean technology
C)corporate citizenship
D)green marketing
E)greening activity

Question 63

Environmentalists assert that the marketing system's goal should be to maximise ________.

A)consumer protection
B)consumer satisfaction
C)life quality
D)consumer choice
E)consumption

Question 64

Minimising pollution from production and all environmental impacts throughout the full product life-cycle is called ________.

A)green marketing
B)design for environment (DFE)
C)product stewardship
D)environmental sustainability
E)pollution prevention

Question 65

'Barriers to entry' and 'predatory competition' are both ________ decisions made by marketers that may be called into question under the law.

A)advertising
B)product
C)packaging
D)channel
E)competitive relations

Question 66

Companies emphasising ________ are developing 'green marketing' programs that develop ecologically safer products,recyclable and biodegradable packaging,more energy-efficient operations and better pollution controls.

A)pollution prevention
B)product stewardship
C)beyond greening
D)new clean technology
E)sustainability vision

Question 67

A firm is currently designing a new product line with the goal of making each product easy to recover,reuse or recycle.It hopes to recover many of these products when they reach the end of their life-cycle,and reuse components in new products.The firm is in the ________ stage of environmental sustainability.

A)pollution prevention
B)new clean technology
C)product stewardship
D)beyond greening
E)sustainability vision

Question 68

Proposals related to the consumer's right to ________ include controlling the ingredients that go into certain products and reducing the level of advertising 'noise'.

A)not buy a product that is offered for sale
B)expect the product to perform as claimed
C)be well informed about important aspects of the product
D)be protected against questionable marketing practices
E)quality of life

Question 69

Each basic consumer right has led to more specific proposals from consumerists,such as nutritional and ingredient labelling.

Question 70

Consumer advocates call for all of the following additional consumer rights EXCEPT which one?

A)The right to be protected from unwanted marketing messages.
B)The right to be well informed about important product aspects.
C)The right to be protected against questionable products and marketing practices.
D)The right to influence marketing practices in ways that will improve the quality of life.
E)The right to influence products in ways that will improve the quality of life.

Question 71

The management strategy of environmental sustainability focuses on developing ways to sustain the environment while also producing profits.

Question 72

What can most companies today focus on when it comes to protecting the environment?

A)investing heavily in pollution prevention
B)practicing product stewardship
C)developing a sustainable vision
D)investing heavily in environmental technology
E)biodegradability

Question 73

Which of the following does NOT represent a quadrant in the environmental sustainability grid?

A)pollution prevention
B)product stewardship
C)societal marketing
D)new clean technology
E)sustainability vision

Question 74

________ is an organised movement of concerned citizens and government agencies to protect and improve people's living environment.

A)Consumerism
B)Environmentalism
C)Social responsibility
D)Enlightened marketing
E)Sense-of-mission marketing

Question 75

When a firm worked consistently to design products that are easier to reuse or recycle,it was adopting ________.

A)pollution prevention
B)green marketing
C)a sustainability vision
D)design for environment (DFE)practices
E)new environmental technologies

Question 76

Companies can develop ________ to serve as a guide to the future,laying out how the company's products and services,processes,and policies must evolve and what new technologies must be developed to get there.

A)design for the environment (DFE)practices
B)cradle-to-cradle practices
C)pollution prevention
D)product stewardship
E)a sustainability vision

Question 77

A company adopting a design for environment approach and cradle-to-grave practices that emphasises design which is easy to recover,reuse,recycle and return to nature after use is operating within the ________ quadrant of the sustainability grid.

A)pollution prevention
B)product stewardship
C)new clean technology
D)sustainability vision
E)None of the above.

Question 78

As international trade barriers come down and global markets expand,environmental issues are having ________ impact on international trade.

A)a neutral
B)a slowly declining
C)a smaller
D)an ever-greater
E)more impact on cultural differences and less

Question 79

Global giant,BP,has a poor reputation for environmental practices but is on track to repair its image.In the early 2000s,it changed its name from 'British Petroleum' to 'BP' (short for Beyond Petroleum).Behind this simple name change stands BP's commitment to long-term sustainability and improved environmental practices.In 2005,BP rolled out its alternative cleaner energies program which includes including solar,wind and biofuels.In addition,the company invests in a range of innovative programs to sequester and store carbon.Finally,BP is also investigating a range of operating practices that will reduce its carbon footprint,minimise the environmental impact of its global operations.To achieve these long-term objectives,BP invests heavily in workforce training and capability development as well as educational programs for all its stakeholders.BP is most likely operating in which grid of the environmentally sustainable grid?

A)sustainable vision
B)new clean technology
C)corporate citizenship
D)green marketing
E)greening activity

Question 80

Design for environment (DFE)involves thinking ahead in the design stage to create products that are easier to reuse,recycle or ________ after usage.

A)service
B)return to nature
C)maintain
D)export
E)store