Question 1

The selling concept fails to consider:
A) consumer needs.
B) consumer satisfaction.
C) personalisation of products.
D) all of the above.

Accepted Answer

The selling concept focuses solely on the promotion and sales of a product, without much consideration for consumer needs, preferences, or satisfaction. It also does not prioritize personalization of products to meet specific consumer needs. Therefore, all of the above options are not considered by the selling concept.

Question 2

The digital revolution introduced all of the following dramatic changes into the business environment, except:
A) marketers are facing much greater difficulty in obtaining large amounts of information on their customers.
B) marketers are able to reach their customers more easily and efficiently.
C) marketers can gather complex and valuable data on consumers' buying patterns and personal characteristics.
D) organisations are able to provide much higher levels of customisation in their offerings.

Accepted Answer

The statement that marketers are facing much greater difficulty in obtaining large amounts of information on their customers is not true. On the contrary, the digital revolution has led to an explosion of data on consumers, making it easier for marketers to collect and analyze data on their behavior and preferences.

Question 3

Service providers know that marketing their offerings can be quite difficult because services cannot be tested or purchased in advance, their quality may not be consistent, and because services are:
A) perishable.
B) expensive.
C) inconsistent.
D) unpredictable.

Accepted Answer

Services are perishable, meaning they cannot be stored or saved for use at a later time. This can create challenges for service providers in terms of managing supply and demand, and can also create pressure to sell services quickly before they expire or become outdated.

Question 4

The consumer-oriented philosophy that evolved when marketers realised it would be easier to sell more goods to consumers who had already expressed interest is:
A) the selling concept.
B) the marketing concept.
C) the societal marketing concept.
D) the customer satisfaction philosophy.

Accepted Answer

The marketing concept is focused on meeting the needs and wants of the target consumer and delivering value to them. This philosophy recognises that the key to achieving organisational goals is to understand customer needs and wants and then to develop and deliver products and services to meet those needs. This approach is consumer-oriented and places the customer at the centre of all marketing activities. It is a contrast to the selling concept (A), which emphasises persuading customers to buy what the company wants to sell, regardless of whether it meets their needs or not. The societal marketing concept (C) takes the marketing concept further and considers the impact of marketing activities on society as a whole. The customer satisfaction philosophy (D) places the emphasis on delivering a positive customer experience, but it is not as comprehensive as the marketing concept in terms of focusing on the consumer's needs and wants.

Question 5

The implicit marketing objective of the production concept included:
A) quick production and sales of goods.
B) efficient production of goods to satisfy the target market's wants and needs.
C) cheap, efficient production and intensive distribution of goods.
D) cheap and quick production to satisfy the target market's wants and needs.

Accepted Answer

The production concept focuses on achieving high production efficiency, low costs, and mass distribution. It assumes that customers primarily want products that are affordable and widely available, hence the emphasis on cheap, efficient production and intensive distribution.

Question 6

The digital revolution introduced all of the following dramatic changes into the business environment, except:
A) consumers have more power than ever.
B) consumers face more barriers to accessing information.
C) consumers can receive more personalised products and promotions.
D) consumers are able to provide the business with feedback.

Accepted Answer

The digital revolution has enabled consumers to access more information than ever before, reducing barriers to entry and empowering them with greater knowledge to make informed decisions. Therefore, option B, which states that consumers face more barriers to accessing information, is incorrect. All the other options are true and represent the significant changes that the digital revolution has brought to the business environment.

Question 7

The following are all benefits for Australian businesses exporting their products and services internationally, except:
A) increasing their sales.
B) achieving economies of scale.
C) attaining a complex company structure.
D) growing and surviving in the long-term.

Accepted Answer

Achieving a complex company structure is not a benefit of exporting products and services internationally. In fact, it could be seen as a disadvantage as it might create unnecessary bureaucracy and hinder the flexibility needed for international transactions. The other options, increasing sales, achieving economies of scale, and growing and surviving in the long-term, are all benefits that come with exporting.

Question 8

The term 'consumer behaviour' describes two different kinds of consuming entities: _____ and ______ consumers.
A) non-profit; government
B) non-profit; for-profit
C) personal; organisational
D) government; private

Accepted Answer

Consumer behaviour can be studied from two perspectives: personal consumers who are individuals buying goods and services for their own use, and organizational consumers who are businesses, institutions, and government agencies buying goods and services for their own use or for resale. Option A, B, and D are incorrect because they do not accurately describe the two types of consuming entities that the term 'consumer behaviour' refers to.

Question 9

An organisational consumer:
A) only purchases goods but not services.
B) purchases products used in making other products.
C) is an end user.
D) could be any of these.

Accepted Answer

Organisational consumers purchase products (including goods and services) used in the production of other products, in their operations, or for resale. They do not purchase for personal, family, or household purposes, distinguishing them from end users.

Question 10

New product introductions and changes in technology have caused product life cycles to:
A) lengthen.
B) disperse.
C) shorten.
D) remain the same.

Accepted Answer

New product introductions and changes in technology have caused product life cycles to shorten. As technology develops rapidly, new products are constantly introduced, and existing products become quickly obsolete. This shortens the life cycle of products, and companies must respond by frequently introducing new and upgraded products to maintain their competitiveness in the market.

Question 11

Organisational consumers include all except:
A) government agencies.
B) households.
C) non-profit businesses.
D) for-profit businesses.

Accepted Answer

Organisational consumers refer to businesses, government agencies, and non-profit organizations that purchase goods and services for their operations. The individuals or households that purchase goods and services for personal consumption are not considered organizational consumers. Therefore, option B, households, is not included in organizational consumers.

Question 12

Today, the ______ that consumers are experiencing allows for greater customisation of products, services and promotional messages than older marketing tools.
A) digital revolution
B) one-to-one concept
C) consumerism movement
D) environmental conversion

Accepted Answer

The digital revolution refers to the advancement of technology and the rise of digital media and platforms, which has resulted in consumers having greater access to a variety of products, services, and promotional messages. This has allowed for greater customisation and personalisation in marketing strategies. The other options, such as the one-to-one concept, consumerism movement, and environmental conversion, are not as relevant to the concept of customisation in marketing.

Question 13

All of the following are examples of customisation of products and services except:
A) Amazon.com sending personalised emails to previous book purchasers announcing newly published books on similar topics.
B) Qantas sending tailored emails to its frequent flyer members with specialised offers.
C) an online business sending you updated product information on your recent 	purchase.
D) when entering a keyword, the website displaying all related products containing that keyword with price information included.

Accepted Answer

Displaying related products containing a keyword with price information is not customization, it is simply a search function. The other options all involve personalized communication or updates based on a customer's previous behavior or purchases, which is a form of customization.

Question 14

A personal consumer buys goods for all except:
A) personal consumption.
B) gifts.
C) home business.
D) use of one's household.

Accepted Answer

A personal consumer typically buys goods for personal consumption, gifts, and use within their household. However, buying goods for a home business would fall under the category of business or commercial purchases.

Question 15

Personal consumers buy goods and/or services:
A) for themselves and other individuals.
B) for use by their company.
C) for the production of personal care products.
D) as intermediary users.

Accepted Answer

Personal consumers buy goods and/or services for their personal use or for other individuals (such as family or friends) and not for business or production purposes. Choices B, C, and D do not fit the definition of personal consumers.

Question 16

The ______ concept assumes that consumers will buy the product that offers them the highest quality, the most features and the best performance.
A) production
B) product
C) selling
D) marketing

Accepted Answer

The product concept is based on the idea that consumers will choose the product that offers them the most quality, features, and performance. This approach prioritizes product development and innovation to create the most attractive product possible, with the belief that consumers will be willing to pay a premium price for it. The other concepts listed (production, selling, marketing) are not focused primarily on the product itself, but on other aspects of the business such as efficiency, promotion, or customer needs.

Question 17

________ is the study of behaviour that consumers display in searching for, purchasing, using, evaluating and disposing of the products and services that they expect will satisfy their needs.
A) Consumptive behaviour
B) Consumer behaviour
C) User behaviour
D) End-use consumption

Accepted Answer

Consumer behaviour is the study of how individuals, groups, and organizations select, buy, use, and dispose of goods, services, ideas, or experiences to satisfy their needs and wants. It involves understanding consumer psychology and decision-making processes, as well as factors that influence these behaviours, such as societal, cultural, economic, and personal factors. Consumer behaviour is important for marketers to understand as it helps them create more effective marketing strategies and better meet the needs and wants of their target consumers.

Question 18

The underlying premise of the marketing concept is that a company should:
A) strive to make products available at the lowest prices possible.
B) make what it can sell.
C) sell what it can make best.
D) include the latest features and technologies in their products.

Accepted Answer

The marketing concept emphasizes on identifying and satisfying the needs of customers by providing products they want to buy, rather than just producing what the company can make or selling products at the lowest prices possible. Therefore, Choice B is the best answer as it aligns with the main premise of the marketing concept.

Question 19

Industry trade practices, advertising and pricing practices are monitored by the:
A) Pricing Commission.
B) Federation of Australian Commercial Television Stations (FACTS).
C) Australian Bureau of Statistics.
D) Australian Competition and Consumer Commission.

Accepted Answer

The Australian Competition and Consumer Commission (ACCC) is responsible for monitoring industry trade practices, advertising, and pricing practices to ensure fair competition and protect consumer rights. The Pricing Commission does not exist, the Federation of Australian Commercial Television Stations (FACTS) is a trade association that represents commercial television broadcasting companies, and the Australian Bureau of Statistics (ABS) is responsible for collecting and publishing statistical data.

Question 20

Which of the following is an incorrect statement about buyers and users?
A) The primary focus of marketers should be placed on the buyer.
B) The buyer is not always the user.
C) The payer is not necessarily the one who makes the product decision.
D) The product may be used by people other than the buyer.

Accepted Answer

While the buyer is important in the marketing process, both the buyer and user should be considered in developing a successful marketing strategy. It is important to understand the user's needs, wants, and behavior to create a product that meets their needs, while also considering the buyer's decision-making process and purchasing criteria.

Quiz 1: The foundations of consumer behaviour

The selling concept fails to consider:

The digital revolution introduced all of the following dramatic changes into the business environment, except:

Service providers know that marketing their offerings can be quite difficult because services cannot be tested or purchased in advance, their quality may not be consistent, and because services are:

The consumer-oriented philosophy that evolved when marketers realised it would be easier to sell more goods to consumers who had already expressed interest is:

The implicit marketing objective of the production concept included:

The digital revolution introduced all of the following dramatic changes into the business environment, except:

The following are all benefits for Australian businesses exporting their products and services internationally, except:

The term 'consumer behaviour' describes two different kinds of consuming entities: _ and __ consumers.

An organisational consumer:

New product introductions and changes in technology have caused product life cycles to:

Organisational consumers include all except:

Today, the ______ that consumers are experiencing allows for greater customisation of products, services and promotional messages than older marketing tools.

All of the following are examples of customisation of products and services except:

A personal consumer buys goods for all except:

Personal consumers buy goods and/or services:

The ______ concept assumes that consumers will buy the product that offers them the highest quality, the most features and the best performance.

________ is the study of behaviour that consumers display in searching for, purchasing, using, evaluating and disposing of the products and services that they expect will satisfy their needs.

The underlying premise of the marketing concept is that a company should:

Industry trade practices, advertising and pricing practices are monitored by the:

Which of the following is an incorrect statement about buyers and users?