Question 1

A sign manufacturer who uses plastic, metal, and neon tubing to create a motel sign has performed the marketing benefit of creating ________ utility.

Accepted Answer

The sign manufacturer is creating a physical form or shape for the motel sign using plastic, metal, and neon tubing. This falls under the form utility, which refers to the value added by creating a physical product or form that meets customers' needs and wants. Choice B, place utility, refers to the value added by making a product available where customers can conveniently purchase it, which is not applicable in this scenario. Choice C, possession utility, refers to the value added by making a product easy to purchase through financing, delivery, or other methods, which is also not applicable in this scenario. Choice D, time utility, refers to the value added by making a product available when customers want to purchase it, which is not applicable since the creation of the sign is not time-sensitive. Choice E, creation utility, is not a recognized marketing term.

Question 2

Chris just landed her dream job but realizes that her college wardrobe is not going to work for her new professional position. In this situation, Chris has a(n) ________.

Accepted Answer

Chris has a need to purchase new clothing to fit the professional dress code of her new job.

Question 3

Women who rent their wedding gowns instead of buying them and wearing them only once are taking advantage of ________ utility.

Accepted Answer

Time utility refers to the value that customers place on having a product available at a specific time. In this case, women who rent their wedding gowns are able to fulfill their need for a wedding dress without having to spend a large amount of money on a garment they will only use once. By renting, they are able to access this utility at the time they need it, without the long-term financial burden of owning a dress they will not use again.

Question 4

Which of the following is the best example of a consumer good?

Accepted Answer

The disposable diapers purchased by the new mother for her baby are a clear example of a consumer good, as they are purchased for personal use and consumption. The riding lawn mower, paint, cookies, and art supplies are all examples of producer goods, as they are purchased for use in production or to aid in the production of other goods and services.

Question 5

A customer's desire for a product coupled with the buying power or resources to obtain that product is called ________.

Accepted Answer

Demand is the only option that includes both a customer's desire for a product and the ability to purchase it. Option A (benefit) only refers to the advantages or positive outcomes of a product, option C (need) only refers to a requirement or necessity for a product, option D (utility) only refers to the usefulness or satisfaction provided by a product, and option E (service) only refers to the assistance or performance offered by a business.

Question 6

Alex paid for a(n) ________ when he took his car to the carwash to be washed and waxed.

Accepted Answer

Alex paid for a service, as services are intangible activities or benefits that an organization provides to satisfy consumers' needs in exchange for money or something else of value. Washing and waxing a car is a service because it involves performing work on the car rather than providing a physical product.

Question 7

All of the following are forms of utility created by marketing processes except ________.

Accepted Answer

Price utility is not a form of utility created by marketing processes. The four forms of utility created by marketing processes are form utility (making a product or service more useful through design, features, or performance), place utility (making a product or service available where customers want or need it), time utility (making a product or service available when customers want or need it), and possession utility (helping customers take possession of a product or service, such as delivery or installation).

Question 8

________ utility is the benefit marketing provides by transforming raw materials into finished products, as when a dress manufacturer combines silk, thread, and a zipper to create a bridesmaid's gown.

Accepted Answer

Form utility refers to the benefit provided by transforming raw materials into finished products, which is exactly what the dress manufacturer does by combining silk, thread, and a zipper to create a bridesmaid's gown. Place utility refers to the benefit provided by having a product available where customers can conveniently purchase it; time utility refers to the benefit provided by having a product available when customers want/need it; possession utility refers to the benefit provided by allowing customers to take ownership of a product and use it; and price utility refers to the benefit provided by offering a product at a reasonable price. None of these options apply to the situation described in the question.

Question 9

When Tony rented a loft apartment where he would live for the summer, he acted as a ________.

Accepted Answer

Tony is the one who is purchasing or renting the loft apartment, making him the consumer.

Question 10

Faruk provides heating and air conditioning equipment for office buildings. He sells ________.

Accepted Answer

Faruk is selling equipment that is used for commercial buildings, indicating that he is providing industrial goods.

Question 11

Buyers, sellers, investors, and community residents are all considered ________ in a company.

Accepted Answer

Stakeholders refer to anyone who has an interest in the success or failure of a company, including buyers, sellers, investors, and community residents. Shareholders, on the other hand, specifically refer to individuals who own shares in the company. Consumers refer only to those who purchase goods or services from the company. Channel of distribution members refer specifically to individuals involved in the distribution process of the company's products or services. Collaborative consumers is not a commonly used term in business.

Question 12

The trend of consumers renting out their belongings when they are not in use to other consumers who need them for a limited time is called ________.

Accepted Answer

The trend described is known as collaborative consumption, which involves individuals renting out their possessions to others for temporary use.

Question 13

A glitzy shopping mall, a mail-order catalog, a television shopping network, and an e-commerce website are all examples of ________.

Accepted Answer

All four options are distribution or marketing channels, but only option D, "marketplaces," encompasses all of them. A marketplace is any physical or virtual location or platform where buyers and sellers come together to exchange goods or services. Therefore, a shopping mall, mail-order catalog, television shopping network, and e-commerce website all fit under the category of marketplaces.

Question 14

________ utility is the benefit marketing provides by allowing the consumer to own, use, and enjoy a product.

Accepted Answer

Possession utility is the benefit provided to consumers by marketing when they are able to own, use, and enjoy a product. This utility is created through marketing efforts such as advertising, promotions, and sales activities that make products accessible and attractive to consumers. By providing this benefit, marketing helps to increase sales and build brand loyalty by fostering positive associations with products among consumers.

Question 15

Which of the following is an example of a transaction that might occur in business-to-business marketing?

Accepted Answer

The purchase of athletic shoes by a retail outlet for resale is an example of a transaction that might occur in business-to-business marketing as the retailer is buying goods to sell to their customers.

Question 16

Which of the following is the best example of a service?

Accepted Answer

A medical examination is a service, which involves a professional providing a specific service to a customer (in this case, providing medical care to Jonathan). The other options involve purchasing a physical product or software, which is not a service.

Question 17

Which of the following is an example of a not-for-profit organization that would use marketing principles?

Accepted Answer

The local city zoo is a not-for-profit organization that would use marketing principles to attract visitors, promote its events and exhibits, and encourage donations and support from the community.

Question 18

After saving a portion of several paychecks, Greg Williams now has the buying power to purchase the computer system he has wanted for the last six months. Greg's want has become a(n) ________.

Accepted Answer

A want becomes a demand when backed by a willingness and ability to pay. In this case, Greg has saved money and can now purchase the computer system he wants, making it a demand. It is not a need or necessity as it is not essential for his survival, and it is not an exchange or transaction as those refer to the actual transfer or trade of goods or services.

Question 19

To be part of the ________ for a product, consumers must share a common need that can be satisfied by the product and have the resources, willingness, and authority to purchase the product.

Accepted Answer

The term "market" refers to the group of consumers who share a common need for a particular product and have the ability and willingness to purchase that product. This definition includes the necessary criteria of having a common need and resources, willingness, and authority to purchase the product. Therefore, option E is the best choice.

Question 20

Ruth Terry is a realtor. In her ads, Terry offers the free use of a moving truck to every customer she helps either buy or sell a house. This free use of a moving truck is an example of ________.

Accepted Answer

The free use of a moving truck is a benefit offered by Ruth Terry to her customers.

Quiz 1: Welcome to the World of Marketing: Create and Deliver Value