Question 1

The owners of the TriCities Mall recently renovated the mall's interior. Much of the interior of the mall was made to look like scenes from famous movies. The mall also hired employees to dress like characters from these movies. There are many types of shops in the mall, including six different jewelers; however, only one jeweler carries the very expensive Romex brand of watch that appeals to customers who are looking for status in their jewelry. Romex is practicing exclusive distribution by placing its brand in only one store in a given area.

Accepted Answer

The statement accurately describes exclusive distribution, where a brand is only available in one store or location in a given area.

Question 2

A firm's promotion mix refers to the combination of different promotional tools used to persuade consumers to participate in an exchange.

Accepted Answer

The statement is true.

Question 3

Many firms that want to use an intensive distribution strategy would find vending machines an attractive method of selling their goods.

Accepted Answer

Vending machines allow for a 24/7 sales presence in high-traffic areas, making them ideal for firms implementing an intensive distribution strategy.

Question 4

The Newsville City Press is a daily newspaper serving a city with a population of just over 200,000. The publishers have placed vending machines for their paper throughout Newsville and its suburbs. They also sell their papers at most of the supermarkets, convenience stores, bookstores, and drug stores in the area. The Newsville City Press uses an intensive distribution strategy.

Accepted Answer

The Newsville City Press has placed vending machines throughout the city and sells its papers at multiple stores. This is an example of an intensive distribution strategy, where the goal is to make the product readily available in as many outlets as possible.

Question 5

Newspapers, radio, and directories are especially attractive to local advertisers.

Accepted Answer

Local advertisers often focus on promoting their goods or services to a specific geographic area, and newspapers, radio stations, and directories are all mediums that have a local reach. Therefore, these mediums are especially attractive to local advertisers.

Question 6

Integrated marketing communication simplifies the marketing process by replacing personal selling with extensive use of advertising to create a positive brand image.

Accepted Answer

Integrated marketing communication involves coordinating all aspects of marketing communication, including personal selling, advertising, public relations, and more, to create a cohesive message and brand image. It does not replace personal selling with advertising, but rather works to incorporate all forms of communication into a comprehensive strategy.

Question 7

Lazee Ladd Furniture obtains materials from several suppliers and uses these materials to produce its goods. It relies on several marketing intermediaries to help it distribute the furniture. Together, Lazee Ladd, its suppliers, and the marketing intermediaries are all part of a supply chain.

Accepted Answer

This statement is true. A supply chain includes all the entities involved in the production and distribution of a product or service, including suppliers, manufacturers, distributors, and retailers. Lazee Ladd Furniture, its suppliers, and marketing intermediaries are all part of the same supply chain.

Question 8

Magazine advertising's main strengths are high visibility, repeat exposures, and basically very low cost.

Accepted Answer

The answer of Magazine advertising's main strengths are high visibility,...

Question 9

Advertising provides the public with free TV and radio programs.

Accepted Answer

Advertising generates revenue for TV and radio stations, which allows them to produce and broadcast their programs without charging the public.

Question 10

Integrated marketing communication combines all the promotional tools into one comprehensive, unified promotional strategy.

Accepted Answer

Integrated marketing communication (IMC) is all about creating a seamless, unified brand message across all communication channels and promotional tools, including advertising, sales promotion, personal selling, direct marketing, and public relations. It involves coordinating all promotional activities to work together to create a consistent, cohesive message that resonates with the target audience and drives desired actions or behaviors.

Question 11

Merrill helps growers of fresh fruits and vegetables negotiate sales to food processing companies. However, once he has helped negotiate the transaction, he does not maintain a long-term relationship with the growers. Merrill is an example of an agent in this market.

Accepted Answer

The answer of Merrill helps growers of fresh fruits and...

Question 12

The major complaint with advertising is that it provides no real benefits to the public.

Accepted Answer

While some may argue that advertising provides no real benefits to the public, it can be argued that it does provide benefits, such as informing consumers about new products or services, promoting competition and driving innovation, and providing revenue to support media outlets and free content.

Question 13

Words 4 Hire is a nationwide chain of stores that offers such a huge selection of paperback and hardback books at such competitive prices that small local bookstores have a hard time competing with them. Words 4 Hire is best classified as a discount store.

Accepted Answer

The answer of Words 4 Hire is a nationwide chain...

Question 14

Saul-Mart is the name of a new chain of discount stores. A major part of Saul-Mart's competitive strategy is likely to be based on keeping its prices lower than those of other types of retailers.

Accepted Answer

The statement mentions that keeping prices lower than other retailers is a major part of the competitive strategy of Saul-Mart.

Question 15

Fancy Feet sells high-quality socks and stockings by sending catalogs to customers and offering them a toll-free telephone number so that they can call in their orders 24 hours a day any day of the year. Fancy Feet uses telemarketing.

Accepted Answer

Since Fancy Feet is using a toll-free telephone number for customers to call in their orders, this falls under the category of telemarketing.

Question 16

Direct selling has all but disappeared as a major form of nonstore retailing because the trend toward two-income households means fewer opportunities for selling in the home.

Accepted Answer

Direct selling is still a significant form of nonstore retailing, and the trend towards two-income households has actually created more opportunities for the industry as families may seek additional income streams through direct selling.

Question 17

Depending upon the promotional campaign, advertising may include paid and nonpaid forms of nonpersonal communication.

Accepted Answer

The answer of Depending upon the promotional campaign, advertising may...

Question 18

Advertising helps to cover the production costs of newspapers and magazines.

Accepted Answer

Advertising brings revenue to newspapers and magazines, which helps to cover their production costs.

Question 19

An important reason for the popularity of direct marketing is that many people enjoy developing a personal relationship with a salesperson that comes directly to their home or place or work.

Accepted Answer

The answer of An important reason for the popularity of...

Question 20

Soundworthy Stereo is a producer of high-quality speakers. The company sells its products through a few preferred retailers in any geographic area. Soundworthy uses a selective distribution strategy.

Accepted Answer

Selective distribution involves selling products through a limited number of preferred retailers in a given geographic area, which is consistent with Soundworthy Stereo's distribution strategy.

Quiz 21: Managing the Marketing Mix: Product, Price, Place and Promotion