Chapter 1

Marketing: Managing Profitable Customer Relationships

Multiple Choice

1. Marketing seeks to create and manage profitable customer relationships by delivering

_____ to customers.
a. competitive prices
b. superior value
c. superior service
d. superior promotion

2. The marketing manager at Sunshine Car Washes is holding a training session for new
employees. She stresses that perhaps the most important concept of modern
marketing is _____.
a. customer relationship management
b. e-mail advertising
c. a quality Web site
d. properly trained sales people

3. Selling on the Web presents serious challenges. Amazon.com has made large initial
investments in computer systems, distribution centers, and _____.
a. customer acquisition
b. inventory
c. employee training
d. employee benefits

4. Many experts predict that the future will belong to retailers who offer both “clicks”
and _____.
a. major discounts
b. bricks
c. superior locations
d. superior promotion

5. You have learned at work that today’s successful companies at all levels have one
thing in common: they are strongly customer focused and heavily committed to
_____.
a. obtaining the best CEOs
b. increasing wealth to stockholders
c. marketing
d. employee motivation

6. _____ is managing profitable customer relationships.

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 a. Management
b. Control
c. Marketing
d. Human Resources

7. The twofold goal of marketing is to attract new customers by promising superior

value and to _____.
a. keep and grow current customers by delivering satisfaction
b. keep and grow current customers by delivering competitive pricing
c. keep and grow current customers by delivering friendly service
d. all of the above

8. Highly successful companies know that if they take care of their customers,
_____ will follow.
a. frequent word of mouth
b. market share
c. profits
d. market share and profits

9. Marketing is more than _____ and advertising.

a. distribution
b. promotion
c. selling
d. customer service

10. Today, marketing must be understood in terms of making a sale and _____.
a. satisfying customer needs
b. understanding customer value
c. customers’ self images
d. brilliant advertising

11. Marketing is not only an exchange and managerial process, it is a _____.

a. numbers game
b. social process
c. cultural process
d. subcultural process

12. You have learned from experience as well as from this course that the most basic
concept underlying marketing is that of _____.
a. selling and advertising
b. customer satisfaction
c. retaining customers
d. human needs

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13. As a new assistant marketing manager trainee, you learn in an orientation meeting
that _____ are the form human needs take as they are shaped by culture and
individual personality.
a. wants
b. demands
c. self concepts
d. desires

14. Greg Williams now has the buying power to purchase the computer system he has
wanted for the last six months. Greg’s want now has become a _____.
a. need
b. necessity
c. demand
d. none of the above

15. What do companies call a set of benefits that they promise to consumers to satisfy
their needs?
a. marketing offer
b. value proposition
c. demand satisfaction
d. need proposition

16. You are preparing a combination of products, services, information, and experiences
to a market to satisfy needs and wants. What are you preparing?
a. value proposition
b. demand satisfaction
c. tactical plan
d. marketing offer

17. We must learn a valuable lesson in marketing. Many sellers make the mistake of
paying more attention to the specific products they offer than to the _____ produced
by those products.
a. benefits
b. experiences
c. benefits and experiences
d. value satisfaction

18. Smart marketers look beyond the attributes of the products and services they sell.
They create brand _____ and brand _____ for consumers.
a. awareness; preference
b. recognition; preference
c. meaning; preference
d. meaning; experiences

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19. By orchestrating several services and products, companies can create, stage, and
market brand _____.
a. meaning
b. experiences
c. awareness
d. preferences

20. The difference between customer value and customer satisfaction is that value is the
difference between the values the customer gains from owning and using a product
and the _____.
a. costs of delivery of the product
b. cost of obtaining the product
c. cost of competing products
d. cost of the lost experience

21. We can safely say that when a customer’s purchase lives up to his or her expectations,
the customer is experiencing this state of being.
a. customer value
b. self-esteem
c. self-actualization
d. customer satisfaction

22. At work, customers decide to satisfy needs and wants through exchange. What
occurs at this point?
a. selling
b. customer service
c. marketing
d. transaction marketing

23. Marketing consists of actions taken to build and maintain desirable _____ with target
audiences involving a product, service, idea, or other object.
a. exchange transactions
b. exchange relationships
c. exchange processes
d. exchange communications

24. This group of buyers share a particular need or want that can be satisfied through
exchange relationships.

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 a. segment
b. target market
c. market
d. buying group

25. Economists use the term “market” differently than marketers. They refer to a
collection of buyers and sellers who transact in a particular _____, as in the
commodities or housing market.
a. product class
b. product division
c. market segment
d. target market

26. Marketing is not carried on by sellers alone. _____ also carry on marketing.
a. Suppliers
b. Investors
c. Web designers
d. Buyers

27. _____ means managing markets to bring about profitable exchange relationships
by creating value and satisfying needs and wants.
a. Selling
b. Promoting
c. Marketing
d. Relationship marketing

28. Shawn McCork has an interesting job. He is involved in getting, keeping, and
growing customers through creating, delivering, and communicating superior
customer value. What is Shawn’s job?
a. general manager
b. supervisor
c. marketing manager
d. sales manager

29. Marketers are not concerned with serving all customers in every way. Rather, they
want to serve selected customers that they can serve_____.
a. profitably
b. with superior customer service
c. well
d. well and profitably

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30. Marketing managers are concerned with ways to deal with demand. They may need
to find, increase, _____, or even _____ demand.
a. avoid; slow
b. change; reduce
c. maximize; change
d. change; modify

31. The federal government finds it necessary at times to limit demand by reducing the
number of customers or to shift their demand temporarily or permanently. Name the
term for this type of action.
a. debugging
b. deregulation
c. demarketing
d. gray marketing

32. The five alternative concepts under which organizations conduct their marketing
activities include the production, _____, selling, marketing, and societal marketing
concepts.
a. promotion
b. pricing
c. distribution
d. product

33. After surveying all 3,500 customers by e-mail, Best Value Stores learned that its
customers favor high quality, performance, and innovative features. Best Value’s
customers were surveyed about _____.
a. product concept
b. production concept
c. marketing concept
d. promotion concept

34. We have learned by sad experience that the product concept can lead to marketing
_____.
a. failures
b. myopia
c. problems
d. incongruences

35. Jolene’s firm believes that consumers will not buy enough of the firm’s products
unless the firm undertakes a large-scale selling and promotion effort. Jolene’s firm is
practicing the _____.
a. production concept
b. marketing concept
c. selling concept

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 d. relationship concept

36. Most firms practice the selling concept when they face _____.
a. a crisis
b. a recession
c. fierce competition
d. overcapacity

37. To practice the marketing concept, an organization must deliver the _____ better than
competitors.
a. desired satisfactions
b. attractive prices
c. level of service
d. advertising campaign

38. One of the following is the call of the Information Age where the customer asks:
a. “This is what I want, will you make it safer?”
b. “This is what I want, won’t you please make it?”
c. “Can you make it safer and sell it cheaper?”
d. “This is what I want, can you provide more options?”

39. Jonathan Nash works in sales for a telemarketing firm. His firm uses the selling
concept which takes a (an) _____ approach.
a. outside-in
b. myopic
c. inside-out
d. marketing concept
40. Herb Kelleher of Southwest Airlines uses the marketing concept in his successful
organization. His perspective of having a customer department uses a (an) _____
perspective.
a. outside-in
b. external
c. inside-out
d. modern

41. Customer-driven marketing usually works well when _____ and when customers
_____.
a. a clear need exits; are easy to identify
b. customers know what they want; can afford it
c. a firm can deliver the goods desired; are thoroughly researched
d. a clear need exists; know what they want

42. Marie Ortiz enjoys her work at Futuristic Designs, Inc. Her organization understands
customer needs even better than customers themselves do and creates products and
services that will meet existing and latent needs, now and in the future. Marie’s firm
practices _____ marketing.

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 a. customer-driven
b. customer-driving
c. relationship
d. none of the above

43. Now many companies are beginning to think of _____ interests as well as their own
customers’ needs.
a. society’s
b. stockholders’
c. investors’
d. lenders’

44. The societal marketing concept seeks to establish a balance between consumer short-
run wants and consumer_____.
a. short-run costs and profits
b. short-run ethics
c. long-run welfare
d. health

45. You find yourself in a new job. Your marketing manager is heavily involved in the
process of building and maintaining profitable customer relationships by delivering
superior customer value and satisfaction. Your manager is concerned with which one
of the following?
a. database management
b. Web site hits
c. relationship management
d. customer relationship management

46. Companies today face some new marketing realities that mean there are fewer
customers to go around. Changing demographics, _____, and overcapacity in many
industries are great concerns.
a. more sophisticated competitors
b. higher unemployment
c. slowing incomes
d. 9/11

47. _____ is an important concept when we realize that losing a customer means losing
more than a single sale. It means losing the entire stream of purchases that the
customer would make over a lifetime of patronage.
a. Heuristics
b. Net profit
c. Customer lifetime value
d. Relationship marketing

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48. Experience has taught us that the key to building lasting customer relationships is to
create superior customer value and _____.
a. satisfaction
b. great service
c. competitive prices
d. long-term relationships

49. Customers buy from stores and firms that offer the highest _____.
a. value for the dollar
b. customer perceived value
c. level of customer satisfaction
d. both b and c

The Marketing Environment

Multiple Choice

1. The most commercially influential demographic group in history is _____.

a. generation X
b. baby boomers
c. generation Y
d. seniors

2. The current marketing environment has a tendency to turn back the clock to simpler
times. What has this yearning produced?
a. massive nostalgia wave
b. massive nutrition wave
c. massive exercise wave
d. massive music wave

3. _____ is perhaps the company that has been most successful in riding the nostalgia
wave.
a. Capital Records
b. Ovaltine
c. Volkswagen
d. Levi Strauss

4. Most trend analysts believe that the nostalgia craze/wave will _____ as the baby
boomers continue to mature.
a. decline

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 b. slow
c. disappear
d. grow

5. Jamie Bestowitcz is researching the factors and forces outside marketing that affect
marketing management’s ability to build and maintain successful relationships with
target customers. What is Jamie researching?
a. the marketing environment
b. strategic planning
c. target markets
d. none of the above
6. More than any other group in the company, marketers must be the _____ and _____.
a. mass merchandisers; opportunity seekers
b. trend trackers; mass merchandisers
c. most skilled; trend trackers
d. trend trackers; opportunity seekers
7. You are directed to study the factors that are close to the company that affect its
ability to serve its customers – the company, suppliers, marketing intermediaries,
customer markets, competitors, and publics. What are you studying?
a. the macroenvironment
b. the microenvironment
c. the marketing environment
d. the global environment

8. You are directed to study the factors that are larger societal forces that affect your
company – demographic, economic, natural, technological, political, and cultural.
What are you studying?
a. the macroenvironment
b. the microenvironment
c. the marketing environment
d. the global environment

9. All of the groups within a company are called the _____.

a. culture
b. diversity
c. internal environment
d. climate

10. Which of the following do suppliers not provide marketers within your firm?
a. resources to produce products and services
b. insight into trends and competitors
c. partners in creating and delivering customer value
d. the funding for your paychecks

11. LandPort Transportation and Omega Warehousing help distribute the goods your
company sells. The two businesses are examples of _____.

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 a. resellers
b. marketing services agencies
c. marketing intermediaries
d. physical distribution firms
12. These firms help companies to stock and move goods from their points of origin to
their destinations.
a. financial intermediaries
b. physical distribution firms
c. marketing service firms
d. resellers

13. Banks, credit companies, insurance companies, and other businesses that help
finance transactions or insure against the risks associated with the buying and
selling of goods and services are referred to as _____.
a. financial intermediaries
b. physical distribution firms
c. marketing service firms
d. resellers

14. Currently, you are employed by a firm that conducts marketing research and creates
ads for other companies that help them target and promote their products to the right
markets. For whom are you employed?
a. financial intermediary
b. physical distribution firm
c. marketing service firm
d. reseller

15. Percy Originals caters to a market of individuals and households that buys goods
and services for personal consumption. What do we call this market?
a. business
b. reseller
c. government
d. consumer

16. Name the market that buys goods and services for further processing or for use in
the production process.
a. business
b. reseller
c. wholesale
d. consumer

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17. Rachel Patino works for a wholesale company called Distributors Unlimited. She is
responsible for buying and selling goods at a profit to small retailers. What is her
market?
a. business
b. reseller
c. wholesale
d. consumer

18. A company’s marketing environment includes various _____, which consists of any
group that has an actual or potential interest in or impact on an organization’s ability
to achieve its objectives.
a. teams
b. audiences
c. markets
d. publics

19. This type of public is a radio station that carries news, features, and editorial
opinions about your area. What is it?
a. financial
b. media
c. citizen-action
d. local

20. A consumer organization, environmental group, and minority group have challenged
your firm’s stand on a local issue. This is the _____ public.
a. general
b. local
c. government
d. citizen-action

21. Your marketing environment is currently researching the size, density, location, age,
and occupations of your target market. What is this environment?
a. demographic
b. psychographic
c. VALS
d. geographic

22. Statisticians have projected the world’s population to reach _____ billion by the
year 2025.
a. 6.5
b. 6.9
c. 7.5

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 d. 7.9

23. The three largest age groups in America are the baby boomers, generation X, and
_____.
a. seniors
b. generation Y
c. teens
d. toddlers

24. You distribute coupons to every household in America. Sooner or later, you will
reach all ___ million people in this country.
a. 267
b. 277
c. 287
d. 297

25. Research has shown that the most important demographic trend in the United States
is the _____.
a. changing age structure of the population
b. mobility of people
c. slowing birth rate
d. increase in professional jobs

26. Some baby boomers are referred to as “DINKs.” What does this stand for?
a. dependable income, no-kids couple
b. don’t work, intelligent, no-kicks
c. dual-income, no-kids couple
d. none of the above

27. Baby boomers were born between the years 1946 and _____.
a. 1954
b. 1960
c. 1964
d. 1970

28. This demographic age group is approaching life with a new stability and
reasonableness in the way they live, think, eat, and spend. They are _____.
a. generation X
b. generation Y
c. baby busters
d. baby boomers

29. Which group buys a lot of sweaters, boots, electronics, cars, and computers?
a. generation X
b. generation Y
c. baby boomers

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 d. all of the above

30. This group shares new cultural concerns, cares about the environment, and responds
favorably to socially responsible companies. Who are they?
a. generation X
b. generation Y
c. generation Z
d. baby boomers

31. Who are the echo boomers?

a. generation X
b. generation Y
c. generation Z
d. baby boomers

32. This group has created large kid and teen markets. Who are they?
a. generation X
b. generation Y
c. generation Z
d. baby boomers

33. Recently you read a marketing research report that mentioned ____ has (have) utter
fluency and comfort with computer, digital, and Internet technology.
a. generation X
b. generation Y
c. generation Z
d. baby boomers

34. Defining people by their birth date may be less effective than segmenting them by
their _____ or ____.
a. income; occupation
b. lifestyle; occupation
c. lifestyle; life stage
d. occupation; life stage

35. It is interesting to note that about _____ percent of American households contain
married couples with children.
a. 24
b. 28
c. 32
d. 34

36. The three groups of baby boomers include leading, _____, and trailing.
a. core
b. general
c. secondary

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 d. central

37. _____ households are now growing faster than _____ households.
a. Traditional; nontraditional
b. Large; traditional
c. Nontraditional; smaller
d. Nontraditional; traditional

38. In 1950, women made up 30 percent of the workforce; now they make up _____.
a. 35 percent
b. 40 percent
c. 43 percent
d. 46 percent

39. Americans are very mobile. Over the past two decades, the U.S. population has
shifted toward the _____ states.
a. Midwest
b. western
c. sunbelt
d. southeastern

40. Within given regions, the population is moving from large cities to the _____.
a. smaller cities
b. rural areas
c. foreign countries
d. suburbs

41. Nearly 40 million Americans are working out of their homes with electronic
conveniences. They are called the _____ market.
a. telecommuters
b. SOHO
c. mobile
d. work-at-home

42. Population shifts interest marketers because people in different regions _____
differently.
a. eat
b. think
c. buy
d. act

43. Facts For You research firm has just released a report that one of these groups of
workers has declined during the last 20 years. Which one is it?
a. white collar

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 b. blue collar
c. service
d. unemployed

44. Marketers need to know that almost everyone in this country is a native. Which
country is it?
a. China
b. Bolivia
c. Japan
d. Korea

45. Because of increased _____, Americans will demand higher quality products, books,
magazines, travel, personal computers, and Internet services.
a. income
b. family size
c. education
d. none of the above
46. It is important for marketers to know that the _____ population growth is 12 times
greater than the Caucasian growth rate.
a. Hispanic
b. Ethnic
c. Asian
d. African American

47. Which economic group offers few market opportunities?

a. subsistence
b. second-world
c. industrial
d. industrial-technical

48. The _____ environment consists of factors that affect consumer purchasing power
and spending patterns.
a. social-cultural
b. political-legal
c. technological
d. economic
49. During the 1980s, American consumers fell into a(n) _____ frenzy that may never
be equaled again in our time.
a. debt
b. consumption
c. unemployment
d. spending

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50. What movement has spawned the marketer’s awareness of environmentally
sustainable strategies?
a. EPA
b. black market
c. green movement
d. deregulation

51. Can you find the most likely dramatic force shaping the marketer’s destiny?
a. technological environment
b. natural environment
c. legal-political environment
d. deregulation

52. New technologies create new opportunities and new _____.

a. products
b. services
c. markets
d. means of financing purchases

53. Marketers are aware of laws, government agencies, and pressure groups that
influence or limit various organizations and individuals in a given society. We call
this the _____ environment.
a. social-legal
b. legal-cultural
c. political
d. legal-technological

54. Even the most liberal advocates of free-market economies agree that the system
works best with _____.
a. medium regulation
b. maximum regulation
c. occasional regulation
d. at least some regulation

55. As marketing manager for Laser Industries, you should be aware that legislation
affecting business around the world will continue to _____.
a. exist
b. increase
c. remain steady
d. decrease

56. Business legislation has been created for three basic reasons: to protect companies
from each other, to protect consumers, and to _____.
a. protect the interests of society
b. regulate prices

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 c. increase world trade
d. regulate monopolies

57. The reason business regulation exists to protect the interests of society is to limit
_____.
a. businesses from harming each other
b. unfair business practices
c. unrestrained business behavior
d. monopolistic competition

58. A society’s basic values, perceptions, preferences, and behaviors are found in its
_____ environment.
a. social
b. cultural
c. social-cultural
d. cultural-economic

59. Marketers must understand that a society’s core beliefs and values have a high
degree of _____.
a. persistence
b. rigidity
c. similarity
d. ethnocentrism

60. Your company is making negotiations to enter basic markets in Lower Albania. You
have discovered that _____ beliefs and values are more open to change in this
country.
a. simple
b. secondary
c. primary
d. core

61. As contrasted with the “me” society during the 1980s, the new consumers are
adopting more _____ behaviors and ambitions.
a. family
b. conservative
c. liberal
d. middle-of-the road

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62. Studies suggest a bright future for products and services that serve _____ needs and
provide real _____.
a. emotional; excitement
b. basic; wants
c. basic; value
d. existing; value

63. Marketers have noticed a shift away from the “me” society to the “_____” society.
a. them
b. we
c. new
d. future

64. People’s orientation to their society influences their attitudes toward the marketplace
and their consumption _____.
a. desires
b. needs
c. patterns
d. wants

65. Marketers have observed from research that consumers are involved in more
camping, hiking, boating, fishing, and other outdoor activities because of their
_____.
a. love of nature
b. awareness of nature
c. need for exercise
d. none of the above

66. Some experts explain that Americans are concerned with the meaning of life and
issues of the soul and spirit and are on a _____ journey that marketers need to
envision.
a. religious
b. philosophical
c. eternal
d. spiritual

67. Marketers can take _____ by taking aggressive action to affect the publics and
forces in their marketing environments.
a. an environmental perspective
b. an environmental management perspective
c. a natural perspective
d. a natural management perspective

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68. Firms that take an environmental management perspective will hire ____ to
influence legislation affecting their industries to their advantage.
a. mediators
b. lobbyists
c. negotiators
d. politicians

Consumer Behaviour
1. Most large companies research _____ buying decisions to find out what they buy,
where they buy, how and how much they buy, when they buy, and why they buy.
a. market
b. permanent
c. consumer
d. social

2. How do consumers respond to various marketing efforts the company might use?
The starting point is the _____ of a buyer’s behavior.
a. belief
b. subculture
c. postpurchase feeling
d. stimulus-response

3. Marketing stimuli consist of the four Ps. Which is not one of these Ps?
a. product
b. political
c. price
d. promotion

4. Which is not a part of the buyer’s black box?

a. observable buyer responses
b. product choice
c. need recognition
d. dealer choice

5. The marketer wants to understand how the stimuli are changed into responses inside
the consumer’s _____, which has two parts. First, the buyer’s characteristics
influence how he or she perceives and reacts to the stimuli. Second, the buyer’s
decision process itself affects the buyer’s behavior.
a. culture
b. black box
c. belief
d. lifestyle

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6. The marketer needs to understand the role played by all of the following except
_____.
a. the buyer’s culture
b. the buyer’s subculture
c. the weather
d. the buyer’s social class

7. _____ is the most basic cause of a person’s wants and behavior.

a. Culture
b. Brand personality
c. Cognitive dissonance
d. New product

8. What is the most pronounced difference that marketers must study?

a. motive
b. information search
c. habitual buying behavior
d. international differences

9. Marketers are always trying to spot _____ in order to discover new products that
might be wanted.
a. lifestyles
b. cultural shifts
c. groups
d. dissonance

10. Each culture contains smaller _____, or groups of people with shared value systems
based on common life experiences and situations.
a. alternative evaluations
b. cognitive dissonances
c. subcultures
d. motives

11. Four important subcultures mentioned by the author include all except _____.
a. Hispanics
b. African Americans
c. mature consumers
d. opinion leaders

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12. _____ are society’s relatively permanent and ordered divisions whose members
share similar values, interests, and behaviors.
a. Social classes
b. Purchase decisions
c. Perceptions
d. Attitudes

13. What is one way that a social class is not measured?

a. occupation
b. education
c. income
d. number of children in the family

14. _____ are ones to which the individual wishes to belong, as when a teenage
basketball player hopes to play someday for the Los Angeles Lakers.
a. Membership groups
b. Aspirational groups
c. Reference groups
d. Leisure groups

15. _____ are people within a reference group who, because of special skills,
knowledge, personality, or other characteristics, exert influence on others.
a. Opinion leaders
b. Habitual buyers
c. Charismatic personalities
d. Perceptionists

16. _____ marketers are now taking to the streets, as well as cafes, nightclubs, and the
Internet, in record numbers. Their goal: to seek out the trendsetters in each
community and subtly push then into talking up a specific brand to their friends and
admirers.
a. Family
b. Buzz
c. Personality
d. Opinion

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17. The _____ is the most important consumer buying organization in society.
Marketers are interested in the roles and influence of the husband, wife, and
children on the purchase of different products and services.
a. family
b. social class
c. opinion leader
d. information search

18. A _____ consists of the activities people are expected to perform according to the
persons around them.
a. motive
b. role
c. lifestyle
d. perception

19. People often buy the kind of clothing that shows their _____ in society.
a. attitude
b. status
c. learning
d. motive

20. A buyer’s decisions also are influenced by _____ such as the buyer’s age and life-
cycle stage, occupation, economic situation, lifestyle, and personality and self-
concept.
a. personal characteristics
b. learning
c. habitual buying behavior
d. variety-seeking buying behavior

21. People change the goods and services they buy over time because of two important
factors. These are _____.
a. belief and attitude
b. perception and personality
c. age and life-cycle stage.
d. groups and learning

22. Anna Flores can consider buying an expensive Nikon camera if she has enough
_____, savings, or borrowing power.

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 a. personality
b. spendable income
c. culture
d. information search

23. _____ is a person’s pattern of living as expressed in his or her psychographics.

a. Personality
b. Culture
c. Lifestyle
d. Motive

24. All of the following make up a person’s lifestyle except _____.

a. AIO dimensions
b. interests
c. dissonance-reducing buying behavior
d. opinions

25. Several research firms have developed lifestyle classifications. The most widely
used is the _____.
a. VALS
b. AIO
c. CIA
d. B2B

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26. _____ are people with so many resources that they can indulge in any or all
consumer self-orientation.
a. Habitual buyers
b. Actualizers
c. Brand personalities
d. Subcultures

27. _____ refers to the unique psychological characteristics that lead to relatively
consistent and lasting responses to one’s own environment. It is usually described
in traits such as self-confidence, dominance, sociability, autonomy, defensiveness,
adaptability, and aggressiveness.
a. Alternative evaluation
b. Belief
c. Culture
d. Personality

28. A person’s buying choices are further influenced by four major psychological
factors. Which is not one of these factors?
a. motivation
b. perception
c. habitual buying behavior
d. learning

29. A _____ is a need that is sufficiently pressing to direct the person to seek
satisfaction.
a. lifestyle
b. motive
c. culture
d. personality

30. The term _____ refers to qualitative research designed to probe consumers’ hidden,
subconscious motivations.
a. social class
b. opinion leader
c. motivation research
d. need recognition

31. Maslow’s theory is that human needs are arranged in a _____ from the most
pressing at the bottom to the least pressing at the top.
a. social class
b. culture
c. perception

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 d. hierarchy

32. Maslow has a list of human needs from the most pressing to the least pressing. They
include all of the following except _____.
a. physiological needs
b. safety needs
c. need recognition
d. self-actualization

33. _____ is the process by which people select, organize, and interpret information to
form a meaningful picture of the world.
a. Personality
b. Perception
c. Selective group
d. Habitual behavior

34. People can form different perceptions of the same stimulus because of three
perceptual processes. All of the following name these processes except _____.
a. selective attention
b. selective distortion
c. selective attitude
d. selective retention

35. _____ is the tendency for people to screen out most of the information to which they
are exposed.
a. Selective distortion
b. Selective attitude
c. Selective retention
d. Selective attention

36. _____describes the tendency of people to interpret information in a way that will
support what they already believe.
a. Selective distortion
b. Selective attitude
c. Selective retention
d. Selective attention

37. People will forget much that they learn. They tend to retain information that
supports their attitudes and beliefs. This is called _____.
a. selective retention

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 b. selective distortion
c. selective attitude
d. selective attention

38. _____ advertising is when consumers are affected by marketing messages without
even knowing it.
a. Alternative evaluation
b. Subliminal
c. Complex
d. Motive

39. _____ describes changes in an individual’s behavior arising from experience.

a. Lifestyle
b. Learning
c. Perception
d. Cognitive dissonance
40. Learning occurs through the interplay of all of the following except _____.
a. drives
b. stimuli
c. cues
d. dissonance behavior

41. _____ are minor stimuli that determine where, when, and how a person responds to
purchasing an item.
a. Cues
b. Drives
c. Messages
d. Personalities

42. If the experience is rewarding, she will probably use the camera more and more.
Her response to cameras will be _____.
a. a learning experience
b. a belief
c. reinforced
d. a dissonance experience

43. The practical significance of _____ for marketers is that they can build up demand
for a product by associating it with strong drives, using motivating cues, and
providing positive reinforcement.
a. alternative evaluation
b. social classes
c. learning theory
d. subcultures

44. A _____ is a descriptive thought that a person has about something.

a. lifestyle

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 b. motive
c. belief
d. habitual behavior

45. _____ describes a person’s relatively consistent evaluations, feelings, and

tendencies toward an object or idea.
a. Lifestyle
b. Motive
c. Habitual behavior
d. Attitude
46. A person’s attitudes fit into a pattern, and to change one attitude may require
difficult adjustments in many others. Thus, a company should _____ try to fit its
products into existing attitudes rather than attempt to change attitudes.
a. usually
b. not
c. once in a while
d. seldom

47. Consumers undertake _____ when they are highly involved in a purchase and
perceive significant differences among brands.
a. postpurchase behavior
b. complex buying behavior
c. opinion leaders
d. dissonance

48. _____ occurs when consumers are highly involved with an expensive, infrequent, or
risky purchase but see little difference among brands.
a. Brand personality
b. Dissonance-reducing buying behavior
c. Complex buying behavior
d. Consumer market

49. After a purchase, consumers might experience _____ when they notice certain
disadvantages of the purchased carpet brand and hear favorable things about brands
not purchased.
a. postpurchase culture
b. perception
c. postpurchase dissonance
d. purchase decision

50. _____ occurs under conditions of low consumer involvement and little significant
brand difference. Consumers have little involvement in this product category – they
simply go to the store and reach for a brand.
a. Alternative evaluation
b. Habitual buying behavior
c. Brand personality

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 d. Opinion leader

51. With habitual buying behavior, buyers are not highly committed to any brands;
marketers of low-involvement products with few brand differences often use _____
and _____ promotions to stimulate product trial.
a. belief; attitude
b. learning; attitude
c. price; sales
d. culture; learning

52. Consumers undertake _____ in situations characterized by low consumer

involvement but significant perceived brand differences. In such cases, consumers
often do a lot of brand switching.
a. dissonance buying behavior
b. complex buying behavior
c. need recognition behavior
d. variety-seeking buying behavior

53. Which of the following does not encourage habitual buying behavior?
a. dominating shelf space
b. running frequent reminder advertising
c. keeping shelves fully stocked
d. putting out new products

54. What is one thing that challenger firms do not do to encourage habitual buyers to try
their products?
a. They offer lower prices.
b. They advertise special deals.
c. They put their products high on the shelf to be above all the others.
d. They give out coupons and free samples.

55. The buyer decision process consists of five stages. Which of the following is not
one of these stages?
a. need recognition
b. information search
c. variety-seeking buying behavior
d. purchase decision

56. The buying process starts with _____— the buyer recognizes a problem or need.

29
 a. need recognition
b. information search
c. evaluation of alternatives
d. purchase decision

57. If the consumer’s drive is strong and a satisfying product is near at hand, the
consumer is likely to buy it then. If not, the consumer may store the need in
memory or undertake a(n) _____.
a. brand personality
b. alternative evaluation
c. postpurchase behavior
d. information search

58. The consumer can obtain information from any of several sources. Which is not one
of these sources?
a. personal
b. commercial
c. attitude
d. public

59. The most effective source that consumers obtain information from is _____ because
it legitimizes or evaluates products for the buyer.
a. commercial
b. public
c. experimental
d. personal

60. What is the only promotion method that is of consumers, by consumers, and for
consumers?
a. public sources
b. word-of-mouth sources
c. commercial sources
d. subculture sources

61. The marketer needs to know about _____— that is, how the consumer processes
information to arrive at brand choices.
a. alternative evaluation
b. opinion leaders
c. lifestyle
d. habitual buying behavior

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62. Consumers arrive at attitudes toward different brands through some evaluation
procedures. Which describes how this happens?
a. Consumers use careful calculations and logical thinking.
b. Consumers sometimes do little or no evaluating; instead they buy on impulse
and rely on intuition.
c. Sometimes consumers turn to friends for advice.
d. All of the above apply.

63. Generally, the consumer’s purchase decision will be to buy the most preferred
brand, but two factors can come between the purchase intention and the purchase
decision. What is one of these factors?
a. postpurchase behavior
b. attitude of others
c. cognitive dissonance
d. habitual buying behavior

64. The marketer’s job does not end when the product is bought. After purchasing the
product, the consumer will be satisfied or dissatisfied and will engage in _____.
a. habitual buying behavior
b. alternative evaluation
c. postpurchase behavior
d. variety-seeking buying behavior

65. What determines whether the buyer is satisfied or dissatisfied with a purchase? The
answer lies in the relationship between the consumer’s expectations and the
product’s _____.
a. perceived performance
b. brand personality
c. recognition
d. consumer market

66. Almost all major purchases result in _____, or discomfort caused by postpurchase
conflict.
a. opinion leaders
b. cognitive dissonance
c. purchase decisions
d. complex buying behavior

67. _____ is a key to building lasting relationships with consumers.

a. Personality
b. Alternative evaluation
c. Need recognition

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 d. Customer satisfaction
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