Deck 5: Societal, Ethical, and Consumer Issues

Question 1

Social responsibility is most correctly defined as

A) a concern for the consequences of a person's or firm's acts as they might affect the interests of others.
B) a marketing practice that capitalizes on short-run material wearout, style changes, and functional product changes.
C) behavior based upon honest and proper conduct.
D) the activities of government, business, and independent organizations that are designed to protect people from practices that infringe on their rights as consumers.

Answer 1

a concern for the consequences of a person's or firm's acts as they might affect the interests of others.

Question 2

Which concept is concerned with the impact of production and product consumption from a product's conception to its ultimate disposal?

A) Planned obsolescence
B) The socioecological view of marketing
C) Process-related ethical issues
D) Product-related ethical issues

Answer 2

The socioecological view of marketing

Question 3

Involuntary consumers, who must share the consequences of someone else's consumption, are directly considered in

A) the socioecological view of marketing.
B) consumerism.
C) planned obsolescence.
D) process-related ethical issues.

Answer 3

the socioecological view of marketing.

Question 4

BMW's "design for disassembly" (DFD) auto facilitates the recycling of parts from old cars. This strategy best illustrates which social responsibility concept?

A) The socioecological view of marketing
B) Process-related ethical issues
C) Product-related ethical issues
D) Planned obsolescence

Question 5

Which of the following is NOT an example of a social responsibility dilemma to a marketer?

A) Consumers willing to pay a 10 percent premium for recycled paper
B) High-heeled shoes that are viewed as attractive, but that can cause foot disorders
C) A crash diet plan that is desired by consumers, but which may cause injury to one's health
D) A deposit bottle law that is required by a state legislature at a time when consumers desire disposable bottles

Question 6

The depletion of crude oil resources can be most effectively lowered by encouraging

A) car manufacturers to post mileage ratings on all new cars.
B) car owners to drive at slightly above the speed limit.
C) consumers to purchase U.S.-produced cars.
D) car pooling and allowing car pools with three or more passengers access to special traffic lanes on congested highways.

Question 7

What marketing practice most contributes to landscape littering?

A) Planned obsolescence
B) Trade-in programs for major appliances and automobiles
C) No-deposit beverage containers
D) The use of steel cans for soda that cannot be recycled

Question 8

The major government agency involved with pollution is the

A) Recycling Administration.
B) Environmental Protection Agency (EPA).
C) Food and Drug Administration (FDA).
D) Federal Trade Commission (FTC).

Question 9

Which statement concerning planned obsolescence is correct?

A) It is a practice that falls under consumerism.
B) It encourages short-run material wearout, style changes, and functional product changes.
C) It is specifically concerned with environmental pollution.
D) It is specifically concerned with natural resource usage.

Question 10

Which form of planned obsolescence is most applicable to disposable cameras?

A) Integrated planned obsolescence c. Functional planned obsolescence
B) Material planned obsolescence d. Style planned obsolescence

Question 11

Which of the following is an example of material planned obsolescence?

A) The popularity of small microwave ovens for use in dorm rooms
B) A new model camcorder that is one-third the weight of a previous model
C) A disposable razor designed specifically for business people who travel and for tourists
D) Same-color ties and shirts that are being heavily promoted in men's clothing magazines

Question 12

Which of the following is an example of style planned obsolescence?

A) A new-model camcorder that allows the operator to view a color picture in the viewfinder (older models were only visible in black-and-white)
B) A new model camcorder that is one-third the weight of a previous model
C) A disposable razor designed specifically for business people who travel and for tourists
D) Dress slacks without pleats that are being heavily promoted in men's clothing magazines

Question 13

Which of the following is an example of functional planned obsolescence?

A) A new-model camcorder that allows the operator to view a color picture in the viewfinder (older models were only visible in black-and-white)
B) Recycled paper used in a textbook to increase the appeal of the text to both faculty and students
C) A disposable razor designed specifically for business people who travel and for tourists
D) Double-breasted suits that have been heavily promoted in men's clothing magazines

Question 14

Which form of planned obsolescence is most applicable to personal computers?

A) Integrated planned obsolescence
B) Material planned obsolescence
C) Style planned obsolescence
D) Functional planned obsolescence

Question 15

Which of these is NOT a benefit of social responsibility?

A) Cleaner air
B) Improved business image
C) Resources allocated to prevention, rather than invention
D) Improved standard of living

Question 16

Actions based on honest and proper conduct ("what is right" and "what is wrong") involve

A) socioecological marketing.
B) consumerism.
C) ethical behavior.
D) social responsibility.

Question 17

Which ethical theory asserts that individuals act exclusively in own their self-interest?

A) Duty-based
B) Virtue ethics
C) Utilitarianism
D) Egoism

Question 18

A firm believes ethical behavior will result in high long-term profits. This illustrates which ethical theory?

A) Egoism
B) Duty-based
C) Utilitarianism
D) Virtue ethics

Question 19

Which ethical theory asserts that individual and organizational actions are proper only if they yield the greatest good for the most people?

A) Utilitarianism
B) Virtue ethics
C) Duty-based
D) Egoism

Question 20

A supermarket is taking 10 percent off its prices for senior citizens. The supermarket's management is concerned over the plight of seniors who are living on fixed incomes. This practice best illustrates which theory of ethics?

A) Duty-based
B) Virtue ethics
C) Utilitarianism
D) Egoism

Question 21

The unethical use of a marketing strategy or tactic involves

A) a process-related ethical issue.
B) a product-related ethical issue.
C) planned obsolescence.
D) socioecological marketing.

Question 22

Which of the following is an example of a process-related ethical issue?

A) The marketing of tobacco products
B) The marketing of products overseas that have been recalled in the United States
C) The marketing of beer in a college town
D) The marketing of diet products

Question 23

The appropriateness of marketing certain goods and/or services is questioned in

A) process-related ethical issues.
B) product-related ethical issues.
C) consumerism.
D) social responsibility.

Question 24

Which of the following is NOT an example of a product-related ethical issue?

A) The marketing of diet products
B) The marketing of tobacco products
C) Advertising a low-priced camera which is not available in sufficient quantities
D) The marketing of beer in a college town

Question 25

Which statement about ethical codes is NOT correct?

A) Most of the Fortune 500 companies have formal ethical codes.
B) Cause-related marketing is a controversial practice.
C) French, British, and German firms are more likely to have formal codes than U.S. firms.
D) Different societies typically have different ethical standards.

Question 26

A nonprofit organization seeks contributions from a profit-based organization on the basis of consumer purchases of its goods and services. This practice is referred to as

A) cause-related marketing.
B) green marketing.
C) product-related ethical behavior.
D) process-related ethical behavior.

Question 27

Through how many distinct eras has consumerism evolved?

A) Two
B) Three
C) Four
D) Five

Question 28

Consumerism's first era (occurring in the early 1900s) involved

A) product labeling and consumer refunds.
B) consumer rights.
C) deceptive advertising and consumer rights.
D) product purity and product shortages.

Question 29

An important event in the second era of consumerism was

A) the founding of consumer groups, such as Consumers Union.
B) publication of Hidden Persuaders by Vance Packard.
C) President Kennedy's public announcement of a consumer bill of rights.
D) the growth of service industries, such as airlines and financial services.

Question 30

The current era of consumerism (begun in the 1990s) is best characterized by

A) a concern for consumer rights to safety, to be heard, to choice, and to be informed.
B) increasing conflict between conservative and liberal consumer rights activists.
C) a heightened concern to balance consumer and business rights.
D) a growing emphasis on deregulation and self-regulation.

Question 31

Which of the following is NOT a consumer right?

A) Choice
B) Information and education
C) Safety
D) Fair prices

Question 32

The Magnuson-Moss Act deals with

A) deregulation of services.
B) the right of consumers to be heard.
C) warranties.
D) fairness in advertising.

Question 33

An express warranty

A) states that a product is fit for use.
B) states that a product is properly labeled.
C) is printed on the package or its inserts.
D) states that a product is properly packaged.

Question 34

The most common implied warranty is that a product

A) is safe, usable, and fit for its intended purpose.
B) meets all legal requirements as of the time it is manufactured.
C) is described accurately in its label.
D) does not have any major manufacturing defect.

Question 35

An item's being fit for its intended use is an example of which type of warranty?

A) Full
B) Limited
C) Express
D) Implied

Question 36

A stipulation that a product is fit for use, packaged properly, and conforms to promises on the label represents a(n)

A) express warranty.
B) implied warranty.
C) full warranty.
D) guarantee.

Question 37

Which statement concerning cooling-off laws is NOT correct?

A) Cooling-off laws are an example of federal-based consumer protection legislation.
B) Cooling-off laws are intended to allow consumers time to reconsider certain purchases.
C) Cooling-off laws are only applicable to purchases made in consumers' homes.
D) Cooling-off laws allow consumers to cancel purchase commitments.

Question 38

The process whereby consumers receive skills and knowledge to wisely allocate their resources in the marketplace represents

A) truth in advertising.
B) consumer education.
C) social responsibility.
D) consumerism.

Question 39

Which statement concerning the Consumer Product Safety Commission (CPSC) is NOT correct?

A) The CPSC is a federal agency.
B) The CPSC is the major federal agency responsible for product safety.
C) The CPSC has jurisdiction over food, drugs, and motor vehicles.
D) The CPSC has jurisdiction over such products as television sets, stairs, and electrical wiring.

Question 40

The Consumer Product Safety Commission's prime enforcement tool is the

A) ordering of a product's replacement.
B) ordering of a refund of a product's purchase price.
C) imposing of a fine.
D) ordering of a product recall.

Question 41

Which federal agency has jurisdiction over the safety of motor vehicles?

A) The Consumer Product Safety Commission (CPSC)
B) The National Motor Vehicle Safety Commission (NMVSC)
C) The National Highway Traffic Safety Administration (NHTSA)
D) The Environmental Protection Agency (EPA)

Question 42

The practice of affected consumers joining together to sue the maker or seller of an injurious product is known as

A) a breach of an implied warranty.
B) a class-action suit.
C) an implied warranty legal suit.
D) social responsibility.

Question 43

Which of these statements about the government's role in consumer choice is correct?

A) Mergers add to consumer choice.
B) Patents encourage increased choice.
C) Deregulation increases consumer choice.
D) Generally, less-developed countries offer consumers more choice than developed countries.

Question 44

Which statement about consumers' right to be heard is correct?

A) Firms are unlikely to listen to consumer complaints.
B) Few states have consumer affairs offices.
C) The right to be heard involves consumer desires for product choice.
D) No federal consumer agency exists to represent consumers' overall interests.

Question 45

Which practice by supermarkets reduces the ability of consumers to compare prices of competing goods?

A) Universal Product Code pricing
B) Point-of-sale pricing
C) Unit pricing
D) Item price removal

Question 46

Which controversial practice is supported by some retailers on the basis of cost savings (that can be passed onto consumers)?

A) Point-of-sale pricing
B) Universal Product Code pricing
C) Item price removal
D) Unit pricing

Question 47

The largest and broadest business-operated trade association involved with consumer issues is the

A) Better Business Bureau.
B) Federal Trade Commission.
C) U.S. Association of Manufacturers and Retailers.
D) Major Appliance Consumer Action Panel.

Question 48

Which statement best describes the current role of consumerism in the United States?

A) There is now a somewhat more aggressive federal position in supporting consumer rights.
B) The role of government agencies has been curbed under the belief that consumers have become too powerful.
C) The government agencies have begun a "hands off" approach to business.
D) Deregulation initiatives have begun to increase consumer choice.

Question 49

Which statement about the role of consumerism on an international basis is correct?

A) Most foreign countries have extensive legislation designed to protect consumer rights.
B) Less-developed nations typically have more consumer protection than industrialized nations due to the comparatively low education of their residents.
C) The U.S. is a world leader in consumer protection legislation.
D) While the U.S. is viewed as the world leader in consumerism, most European countries are viewed as innovators in consumer protection.

Question 50

Only a small percentage of dissatisfied consumers actually take the time to write complaint letters to offending companies. This suggests that a firm receiving a moderate number of product-related complaints should

A) wait for more complaints before acting.
B) investigate further to see if a real problem exists.
C) resolve all complaints, regardless of fault, to consumers' satisfaction.
D) assume that some consumers are always prone to be unhappy.

Question 51

The role of marketing products in a framework of social responsibility shifts from achieving a firm's profit and sales goals to

A) marketing what firms can profitability produce.
B) forcing consumers to use socially acceptable products.
C) seeking to protect or enhance society's interests.
D) educating consumers to use the firm's products.

Question 52

Which of these marketing strategies does NOT reflect the socioecological view of marketing?

A) A chemical company decides to sell a byproduct of production to a soap manufacturer at a low price as an alternative to disposing of the product.
B) A compact disk manufacturer uses a large cardboard package as a means of limiting consumer pilferage.
C) A film manufacturer reconditions used film canisters from photo processors for reuse in film.
D) A municipality imposes a new $50 tax on all new cars sold. The proceeds of the tax go to removing abandoned vehicles from roads.

Question 53

Which of these concepts most closely considers the role of involuntary consumers, who share the impact of someone else's consumption?

A) The socioecological view of marketing
B) Consumerism
C) Social responsibility
D) Express warranties

Question 54

After researching the diet market, a firm concludes that a high proportion of overweight individuals would purchase a special diet program (consisting of lectures, weekly meetings, and a special frozen food plan). Research by the firm, however, has concluded that the weight loss is often temporary in the program. Furthermore, some individuals gain considerable weight after discontinuing the program. The diet program represents

A) material planned obsolescence.
B) a process-related ethical issue.
C) a social responsibility dilemma.
D) an express warranty.

Question 55

Which statement concerning the response of marketing to social responsibility is correct?

A) Through recycling, natural resource depletion can be significantly reduced.
B) Disposable products are good for society.
C) The current thinking by major academics is that the social responsibility role of marketing is limited to satisfying customers and generating profits.
D) While social responsibility proponents currently view energy and paper as limited resources, they view the air and water as limitless resources.

Question 56

Which of the following contributes the most to the depletion of natural resources?

A) Packaging materials
B) Newspapers
C) Use of plastics
D) Automobiles

Question 57

While attractive packaging is necessary to better enable products to be sold through self-service merchandising, packaging materials pose a social responsibility dilemma due to

A) process-related ethical issues.
B) planned obsolescence.
C) environmental pollution.
D) natural resource depletion.

Question 58

The Following Questions are linked to this scenario: As product manager for a major camera manufacturer, you have been asked to defend some of your firm's strategies to several groups concerned with social responsibility.

-The firm's critics are concerned about the camera manufacturer's depletion of natural resources. Which practice of the firm is most subject to criticism on the basis of this criterion?

A) Some of the firm's cameras feature leather-substitute cases that look and feel like leather.
B) The firm markets a $14.95 disposable camera, aimed at tourists who forgot to bring their camera to a destination.
C) The firm has a high market share in the photographic paper market.
D) The firm's most expensive camera has a high percentage of recycled plastic components.

Question 59

The Following Questions are linked to this scenario: As product manager for a major camera manufacturer, you have been asked to defend some of your firm's strategies to several groups concerned with social responsibility.

-The firm's critics are concerned about the camera manufacturer's role in functional planned obsolescence. Which practice of the firm is most subject to criticism on the basis of this criterion?

A) A disposable camera marketed to tourists who forgot to bring their camera
B) A camera that has a built-in battery, which must be replaced by a camera technician at a cost of $25
C) The introduction of a supercompact autofocusing model, within one year of introducing a previous model
D) A camera marketed to commemorate the Olympic games

Question 60

Planned obsolescence is an example of a

A) socially responsible action.
B) process-related ethical issue.
C) product-related ethical issue.
D) practice not desired by most consumers.

Question 61

When its consumers prefer disposable diapers to cloth diapers, a firm has what type of social responsibility dilemma?

A) Material planned obsolescence
B) Style planned obsolescence
C) Functional planned obsolescence
D) Process-related ethical issue

Question 62

Manufacturers of high-tech goods such as personal computers are most likely to utilize what type of planned obsolescence?

A) Material
B) Functional
C) Component
D) Style

Question 63

The bribing of an official to gain an important contract is an illustration of a(n)

A) process-related ethical issue.
B) product-related ethical issue.
C) legal business practice.
D) acceptable business practice.

Question 64

Which of these practices involves a product-related ethical issue?

A) Marketing cigarettes to residents in less-developed nations
B) Price fixing of contracts for an electric generator to use in a less-developed nation
C) Bribing foreign officials in order to receive contracts to build apartment houses
D) Selling fine watches through unauthorized dealers

Question 65

Which one of the following strategies is NOT suitable for increasing the ethical behavior of a firm's employees?

A) Developing clear ethical codes which indicate acceptable and unacceptable behavior
B) Rewarding ethical behavior through plaques, promotions, and bonuses
C) Discouraging unethical behavior by dismissing employees with questionable behavior
D) Focusing increased attention on outcomes (the ends) rather than processes (the means)

Question 66

Cause-related marketing is viewed negatively by some marketers because

A) there is an implicit endorsement of the sponsor's products by the nonprofit organization.
B) direct contributions are solicited.
C) indirect contributions are solicited.
D) it represents a product-related ethical issue.

Question 67

Which statement concerning global ethics is NOT correct?

A) Ethical standards vary by country.
B) Generally, less-developed nations are less concerned about ethical standards than industrialized countries.
C) There may be misunderstandings about transactions due to language translations.
D) Global ethical disputes are generally easy to mediate.

Question 68

In comparing consumerism to social responsibility, consumerism has a

A) broader role because it alone considers process-related ethical issues.
B) narrower role because it only considers ecological issues.
C) narrower role because it only considers consumers.
D) broader role because it alone considers all publics.

Question 69

While social responsibility covers the relationship of marketing to multiple publics, consumerism is involved with

A) ethical, as well as legal behavior.
B) the socioecological concept.
C) channel members' rights.
D) buyers.

Question 70

Lands' End states in its advertisements that "if you are not completely satisfied with any item you buy from us, at any time during your use of it, return it and we will refund your full purchase price." This illustrates a(n) ___ warranty.

A) express
B) implied
C) strict
D) limited

Question 71

A consumer who purchased a car that leaks and is difficult to start in rainy weather can seek restitution on the basis of a(n) ___ warranty.

A) express
B) implied
C) strict
D) limited

Question 72

Cooling-off laws were originally aimed at

A) stopping abuses from unscrupulous car dealers.
B) stopping abuses from unscrupulous direct salespeople.
C) firms making deceptive claims in television ads.
D) firms that do not monitor consumer complaints.

Question 73

A real-estate firm publishes and distributes (at no charge) a booklet describing the characteristics of each school district in its area (based upon department of education test score data). This best illustrates

A) a consumer education program.
B) a product-related ethical issue.
C) a process-related ethical issue.
D) the consumer bill of rights.

Question 74

A tool for consumer protection via prevention is

A) arbitration.
B) fines.
C) class-action suits.
D) consumer education.

Question 75

The greatest difficulty for a manufacturer implementing a product recall program for a durable good would probably be in

A) contacting channel members that sell affected products.
B) obtaining adequate press coverage.
C) contacting persons who have bought its affected products on a used basis from original purchasers.
D) locating the affected items in the warehouses of wholesalers and retailers.

Question 76

Product recalls and recycling involve reverse channels of distribution. This means the product

A) is socially responsible.
B) is a form of green marketing.
C) must travel long distances.
D) goes back from the consumer-user to the manufacturer.

Question 77

A product recall program can be facilitated if a manufacturer maintains a

A) testing program for all new products.
B) complaint file.
C) file of current users by serial number.
D) file of former customers.

Question 78

A class-action suit extends legal action

A) from an implied warranty to strict liability.
B) from state to federal court.
C) to all eligible affected consumers.
D) to all channel members selling the product in question.

Question 79

A group of industrial consumers sue a manufacturer of industrial pumps stating that the product was not suitable for its intended purpose. What are the consumers claiming in the class-action suit?

A) Misrepresentation
B) Negligence
C) Breach of implied warranty
D) Strict liability

Question 80

Which consumer right is addressed with limited patent rights?

A) The right to information
B) The right to be heard
C) The right to choose
D) The right to purchase