Question 1

The basic consumer rights expounded by President Kennedy include "the right to be safe," referring to the idea that the goods and services people buy should not be injurious in normal use.

Accepted Answer

This is an accurate description of one of the basic consumer rights as expounded by President Kennedy.

Question 2

The choice between pleasing all consumers and remaining profitable-thus surviving-defines one of the most difficult dilemmas facing business.

Accepted Answer

The statement is true as businesses often struggle to strike a balance between meeting the needs and demands of consumers while also maintaining profitability to sustain their operations. Pleasing all consumers may not be feasible, as different consumers have varying needs and preferences, hence businesses often have to make tough decisions on which consumers to prioritize and which products or services to offer in order to remain viable.

Question 3

Marketing theory would define Starbucks,Caribou Coffee,and Dunkin' Donuts as indirect competitors because some coffee drinkers are particular about the brands they purchase.

Accepted Answer

Starbucks, Caribou Coffee, and Dunkin' Donuts are considered direct competitors because they operate within the same industry (coffee and fast-food industry) and target similar customer segments with similar products (coffee and related beverages).

Question 4

Time-based competition is a strategy of developing and distributing goods and services after a competitor to observe the customers' response to a particular product.

Accepted Answer

Time-based competition is a strategy focused on reducing the time required to develop, produce, and deliver products or services, often aiming to be first to market, not after competitors.

Question 5

Environmental management rarely works because marketers cannot hope to influence the external environment,they can only respond to changes in it.

Accepted Answer

Environmental management can work if marketers take proactive measures to reduce the impact of their operations on the environment. Marketers can also collaborate with external stakeholders to influence and advocate for changes in the external environment, such as government policies and consumer behavior. While marketers may not have complete control over the external environment, they can still take actions to minimize their environmental footprint and promote sustainability.

Question 6

Economic recovery can be described as a period when consumer spending begins to cautiously increase,while companies try to hold down rising costs.

Accepted Answer

During an economic recovery, consumers usually start spending more money, but companies still try to control their costs to maintain their profit margins.

Question 7

The U.S.military has historically been a source of product innovation and many of its technologies have been adapted for the consumer markets.

Accepted Answer

The U.S. military has been responsible for developing technologies such as GPS, the internet, and microwaves, which have all been adapted for consumer use.

Question 8

The United States is becoming culturally more diverse and subculture populations are rising.

Accepted Answer

According to demographic trends, the United States is becoming more diverse with an increasing number of subculture populations. This is reflected in the growing populations of racial and ethnic minorities, LGBTQ+ individuals, and other cultural groups.

Question 9

The demand for green products is increasing as consumers have responded by purchasing more and more green goods,providing profits and opportunities for growth to the companies that make and sell them.

Accepted Answer

The statement accurately reflects the current trend in consumer behavior towards green products, which has led to increased profits and growth opportunities for companies that produce and sell them.

Question 10

During the recession stage of the business cycle,consumers have enough money to spend,but caution often restraints their willingness to buy.
Indicate the answer choice that best completes the statement or answers the question.

Accepted Answer

During a recession, consumers often have less money to spend and are more cautious about spending what they do have.

Question 11

One way the Federal Trade Commission can enforce laws is by issuing a consent order in which a firm accused of violations can agree to voluntary compliance without admitting guilt.

Accepted Answer

A consent order is a legal document in which a company agrees to comply with certain rules or regulations without admitting any wrongdoing. The Federal Trade Commission often utilizes consent orders to resolve cases of alleged violations of consumer protection laws. This approach allows the agency to ensure that the offending company changes its behavior and avoids future violations while avoiding lengthy and costly litigation.

Question 12

Changes in an environment are most often the result of sudden crises.

Accepted Answer

Changes in an environment can occur gradually over time, not just as a result of sudden crises. Slow environmental changes can be just as significant and impactful as sudden ones.

Question 13

Strategic alliances are necessary in countries where local laws require foreign companies to work with local businesses.

Accepted Answer

Some countries have laws that mandate foreign companies to work with local businesses. In such situations, strategic alliances become necessary to comply with the law and establish a foothold in the market. These alliances help foreign companies navigate the regulatory landscape and gain access to local expertise, resources, and networks.

Question 14

Laura decided to quit her job and travel for a year.She can be considered a part of the population that is unemployed.

Accepted Answer

Laura is not considered unemployed because she voluntarily left her job and is not actively seeking new employment; instead, she is traveling. Unemployment typically refers to those actively seeking but unable to find work.

Question 15

The success or failure of a product is independent of the competitive environment.

Accepted Answer

The success or failure of a product is heavily influenced by the competitive environment. Competition can affect factors such as pricing, marketing, and differentiation strategies, all of which can impact the success of a product. A product may be successful in a certain market, but if competition increases or a new competitor enters the market, the success of the product may decline.

Question 16

The environmental scanning process helps firms to determine the best response to a particular environment change.

Accepted Answer

Environmental scanning is the process of monitoring and analyzing the internal and external factors that may impact a business, including economic, political, social, technological, and cultural factors. By understanding changes in the environment, firms can develop appropriate responses and strategies to remain competitive and profitable.

Question 17

Environmental scanning is the process of collecting external data,analyzing it,and determining whether the trends identified are opportunities or threats to the company.

Accepted Answer

This statement accurately describes the process of environmental scanning.

Question 18

A customer of All World Bank receives telemarketing calls and emails from the bank's business partners,Specialty Insurance and Global Investments.Since the customer has signed into the Do Not Call Registry,these companies are in violation of the federal regulation.

Accepted Answer

The answer of A customer of All World Bank receives...

Question 19

Technological advancement helps reduce prices and offers superior,cost-efficient distribution methods.

Accepted Answer

Technological advancement allows for more efficient manufacturing processes, automation, and online distribution methods, all of which can help reduce costs and make products more affordable for consumers. Additionally, it can also help businesses save money on logistics and supply chain management, leading to further cost savings.

Question 20

Not-for-profit organizations are not impacted by the rate of discretionary spending.

Accepted Answer

Not-for-profit organizations can still be impacted by the rate of discretionary spending if their funding comes from government grants or donations from individuals or corporations who may have less money to give during economic downturns. Decreased funding may lead to cuts in services or programs, forcing the organization to reevaluate its budget and potentially reduce staff.

Quiz 3: The Marketing Environment, ethics, and Social Responsibility