1.      What is the name of the company that makes the top-selling heavyweight motorcycles?
a. Yamaha
b. Kawasaki
c. Honda American Classic
d. Harley-Davidson
e. BMW
(Answer: d; p. 127; Easy)

2. The average Harley customer is _____.
a. the Hell’s Angels crowd
b. a young adult in his or her twenties
c. a teenager
d. a 46-year-old husband with a median household income


e. a Generation Xer with above-average income
(Answer: d; p. 128; Moderate)

3. What is not a universal Harley appeal?
a. Freedom.
b. Dependence.
c. Power.
d. Baddest guy on the block.
e. C and D
(Answer: b; p. 128; Easy)

4. _____ is never simple, yet understanding it is the essential task of marketing management.
a. Brand personality
b. Consumption pioneering
c. Early adoption
d. Consumer buying behavior
e. Understanding the difference between primary and secondary data
(Answer: d; p. 128; Easy) 
5. 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
e. group
(Answer: c; p. 129; Easy)

6. 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
e. postpurchase dissonance
(Answer: d; p. 129; Challenging)

7. Marketing stimuli consist of the four Ps. Which is not one of these Ps?
a. Product.
b. Political.
c. Price.
d. Promotion.
e. Place.
(Answer: b; p. 129; Easy)

8. Which is NOT a part of the buyer’s black box?
a. Observable buyer responses.
b. Product choice.
c. Need recognition.
d. Dealer choice.
e. B and D
(Answer: c; p. 129; Challenging)

9. 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
e. social class
(Answer: b; p. 129; Moderate)


10. _____ is(are) the most basic cause of a person’s wants and behavior.
a. Culture
b. Brand personality
c. Cognitive dissonance
d. New product
e. Selective perception
(Answer: a; p. 129; Moderate)

11. 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
e. attitudes
(Answer: b; p. 130; Challenging)

12. 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
e. attitudes
(Answer: c; p. 130; Moderate)

13. Four important subcultures mentioned by the author include all except _____.
a. Hispanics
b. African Americans
c. mature consumers
d. opinions leaders
e. Asian Americans
(Answer: d; p. 130; Easy)

14. Which is not included in the U.S. Hispanic market?
a. Americans of Cuban descent.
b. Mexicans.
c. Spaniards.
d. Those of Puerto Rican descent.
e. B and D
(Answer: c; p. 130; Easy)
15. _____ consumers tend to buy more branded, higher-quality products. They are very brand loyal, and they favor companies who show special interest in them.
a. Hispanic
b. African American
c. Asian
d. Mature
e. Gay and lesbian
(Answer: a; p. 130; Challenging)

16. Although more price-conscious than other segments, _____ consumers are also strongly motivated by quality and selection. They place more importance on brand names, are more brand loyal, and do less “shopping around.”
a. Hispanic
b. African American
c. mature
d. Asian
e. baby boomer
(Answer: b; p. 131; Challenging)

17. Per capita, _____ consumers spend twice as much as _____ consumers for online services.
a. white; Asian
b. black; white
c. black; Asian
d. white; black
e. mature; black
(Answer: b; p. 131; Challenging)

18. _____, the fastest-growing and most affluent U.S. demographic segments, now number more than 10 million.
a. African American
b. Hispanics
c. Asian Americans
d. Mature consumers
e. Gays and lesbians
(Answer: c; p. 131; Challenging)

19. _____ are becoming a very attractive market: they are the ideal market for exotic travel, restaurants, high-tech home entertainment products, leisure goods and services, and designer furniture and fashions.
a. Hispanic
b. Asian Americans
c. Mature consumers
d. African Americans
e. Teenagers
(Answer: c; p. 132; Moderate)
20. Which is not true of mature consumers?
a. The best strategy is to appeal to their active, multidimensional lives.
b. They are an ideal market for exotic travel.
c. High-tech home entertainment products appeal to them.
d. They place more importance on brand names and are more brand loyal.
e. A and C
(Answer: d; p. 132; Moderate)

21. _____ 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
e. Lifestyles
(Answer: a; p. 132; Easy)

22. What is one way that a social class is not measured?
a. Occupation.
b. Education.
c. Income.
d. Number of children in the family.
e. House type.
(Answer: d; p. 132; Easy)

23. _____ 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
e. Social class groups
(Answer: b; p. 133; Easy)

24. _____ 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
e. Wild ducks
(Answer: a; p. 133; Easy)
25. _____ 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 them into talking up a specific brand to their friends and admirers.
a. Family
b. Buzz
c. Personality
d. Opinion
e. Relationship
(Answer: b; p. 133; Easy)

26. 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
e. reference group
(Answer: a; p. 134; Easy)

27. A _____ consists of the activities people are expected to perform according to the persons around them.
a. motive
b. role
c. lifestyle
d. perception
e. tradition
(Answer: b; p. 135; Easy)

28. People often buy the kind of clothing that shows their _____ in society.
a. attitude
b. status
c. learning
d. motive
e. lifestyle
(Answer: b; p. 135; Easy) 

29. 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
e. psychographics
(Answer: a; p. 135; Moderate)

30. People change the goods and services they buy over time because of two important factors. They are _____.
a. belief and attitude
b. perception and personality
c. age and life-cycle stage
d. groups and learning
e. family and tradition
(Answer: c; p. 135; Moderate)

31. _____ is a person’s pattern of living as expressed in his or her psychographics.
a. Personality
b. Culture
c. Lifestyle
d. Motive
e. Social class
(Answer: c; p. 136; Easy)

32. All of the following make up a person’s lifestyle except _____.
a. AIO dimensions
b. interests
c. dissonance-reducing buying behavior
d. opinions
e. C and D
(Answer: c; p. 136; Moderate)

33. Several research firms have developed lifestyle classifications. The most widely used is the _____.
a. VALS
b. AIO
c. CIA
d. B2B
e. R2D2
(Answer: a; p. 136; Easy)


34. _____ are people with so many resources that they can indulge in any or all consumer self-orientation.
a. Habitual buyers
b. Innovators
c. Brand personalities
d. Subcultures
e. Reference groups
(Answer: b; p. 137; Moderate)

35. _____ 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 evaluations
b. Belief
c. Culture
d. Personality
e. Self-awareness
(Answer: d; p. 137; Moderate)

36. Researchers found that a number of well-known brands tended to be strongly associated with one particular trait, such as Levi’s with “ruggedness.” What is the name of the term that means a specific mix of human traits that may attribute to a particular brand?
a. Information search.
b. Social class.
c. Brand personality.
d. New product.
e. Brand equity.
(Answer: c; p. 137; Easy)

37. 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.
e. None of the above.
(Answer: c; p. 138; Moderate)

38. A _____ is a need that is sufficiently pressing to direct the person to seek satisfaction.
a. lifestyle
b. motive
c. culture
d. personality
e. tradition
(Answer: b; p. 138; Easy)

39. 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
e. depth research technique
(Answer: c; p. 138; Easy)

40. 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
d. hierarchy
e. complex
(Answer: d; p. 139; Easy)
2.      41. 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
e. social needs
(Answer: c; p. 139; Moderate)

42. _____ 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
e. Assessment
(Answer: b; p. 139; Moderate)

43. 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
e. none of the above
(Answer: c; p. 139; Challenging)

44. People will forget much that they learn. They tend to retain information that supports their attitudes and beliefs. This is called _____.
a. selective retention
b. selective distortion
c. selective attitude
d. selective attention
e. perceptual vigilance
(Answer: a; p. 140; Challenging)

45. _____ advertising is when consumers are affected by marketing messages without even knowing it.
a. Alternative evaluation
b. Subliminal
c. Complex
d. Motive
e. Comparative
(Answer: b; p. 140; Easy)

46. _____ describes changes in an individual’s behavior arising from experience.
a. Lifestyle
b. Learning
c. Perception
d. Cognitive dissonance
e. Aggressiveness
(Answer: b; p. 140; Easy)

47. Learning occurs through the interplay of all of the following except _____.
a. drives
b. stimuli
c. cues
d. dissonance behavior
e. A and C
(Answer: d; p. 140; Challenging)
48. _____ are subtle stimuli that determine where, when, and how a person responds to purchasing an item.
a. Cues
b. Drives
c. Messages
d. Personalities
e. Impulses
(Answer: a; p. 140; Challenging)

49. 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 evaluations
b. social classes
c. the learning theory
d. subcultures
e. family and tradition
(Answer: c; p. 140; Challenging)

50. A _____ is a descriptive thought that a person has about something.
a. lifestyle
b. motive
c. belief
d. habitual behavior
e. stereotype
(Answer: c; p. 141; Easy)

51. _____ describes a person’s relatively consistent evaluations, feelings, and tendencies toward an object or idea.
a. Lifestyle
b. Motive
c. Habitual behavior
d. Attitude
e. Perception
(Answer: d; p. 141; Moderate)

52. 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
e. never
(Answer: a; p. 141; Easy)

53. All of the following are part of habitual buying behavior except which one?
a. Consumers search extensively for information about brands.
b. Consumer behavior does not pass through the usual belief–attitude–behavior sequence.
c. Ad repetition creates brand familiarity rather than brand conviction.
d. The buying process involves brand beliefs formed by passive learning.
e None of the above.
(Answer: a; p. 142; Challenging)

54. In one way or another, most large companies sell to _____.
a. consumers
b. other organizations
c. employees
d. not-for-profit companies
e. the service sector
(Answer: b; p. 148; Moderate)

55. What can we say about the size of the business market compared to consumer markets?
a. It is approximately the same.
b. It is smaller.
c. It is huge.
d. There is no need to compare them.
e. A and D
(Answer: c; p. 149; Easy)

56. 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.
e. None of the above.
(Answer: c; p. 142; Challenging)

57. The buying process starts with _____—the buyer recognizes a problem or need.
a. need recognition
b. information search
c. evaluation of alternatives
d. purchase decision
e. separation of needs and wants
(Answer: a; p. 142; Easy)

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.
e. B and D
(Answer: c; p. 142; Moderate)

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
e. social
(Answer: d; p. 142; Challenging)

60. 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
e. postpurchase dissonance
(Answer: a; p. 143; Moderate)

61. 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.
e. Impulse buying.
(Answer: b; p. 143; Challenging)

62. 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. alterative evaluation
c. postpurchase behavior
d. variety-seeking buying behavior
e. product assessment
(Answer: c; p. 144; Easy)

63. 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
e. service quality
(Answer: a; p. 144; Easy)

64. 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
e. dissatisfaction
(Answer: b; p. 144; Moderate)

65. _____ is a key to building lasting relationships with consumers.
a. Personality
b. Alternative evaluations
c. Need recognition
d. Customer satisfaction
e. Quality
(Answer: d; p. 145; Moderate)

66. Companies should set up systems that _____ customers to complain.
a. discourage
b. encourage
c. do not allow
d. any of the above
e. none of the above
(Answer: b; p. 145; Easy)

67. A new product is a good, service, or idea that is perceived by some potential customers as new. Our interest is in how consumers learn about products for the first time and make the decision to buy them. This is called the _____.
a. new product recognition
b. adoption process
c. variety-seeking buying behavior
d. information search
e. quality assessment
(Answer: b; p. 146; Moderate)

68. Which is not one of the stages that customers go through in the process of adopting a new product?
a. Awareness.
b. Interest.
c. Evaluation.
d. Culture.
e. Desire.
(Answer: d; p. 146; Easy)

69. Relative advantage, compatibility, complexity, divisibility, and communicability are characteristics of _____.
a. alternative evaluation
b. dissonance-reducing buying behavior
c. influence of product on rate of adoption
d. habitual buying behavior
e. service quality
(Answer: c; p. 147; Challenging)

70. Family is one of the _____ factors that influence consumer behavior.
a. cultural
b. social
c. personal
d. psychological
e. business
(Answer: b; p. 132; Moderate)

71. Which of the following is not true regarding African American consumers?
a. They have annual buying power of $630 billion.
b. Black consumers seem to enjoy shopping more than other groups.
c. Many companies work to meet the needs of African American consumers.
d. African Americans are the most affluent U.S. segment.
e. Black consumers spend twice as much as white consumers for online services.
(Answer: d; p. 131; Challenging)

72. Which statement is true regarding social class?
a. Social class is determined primarily by income level.
b. Lines between social classes in the United States are fixed and rigid.
c. Social classes show distinct product preferences in clothing and automobiles.
d. Wealth is more critical than education level in measuring social class.
e. People are relegated to a permanent class layer in the United States.
(Answer: c; p. 132; Challenging) 
3.     
73. Opinion leaders are sometimes referred to as _____.
a. the influentials
b. the upper class
c. the middle class
d. buzz marketers
e. none of the above
(Answer: a; p. 133; Moderate)

74. Lifestyles can be measured through our _____.
a. patterns of living
b. activities, interests, and opinions
c. AIOs
d. attitudes, interests, and opinions
e. A, B, and C
(Answer: e; p. 136; Moderate)

75. Which of the following is not a primary motivation?
a. Achievement.
b. Self-esteem.
c. Ideals.
d. Self-expression.
e. Attitudes
(Answer: b; p. 136; Moderate)
76. Harley-Davidson customers are mainly the Hell’s Angels/Muscle Heads crowd.
(Answer: False; p. 128; Easy)

77. The Harley-Davidson Company found out that buying behavior is simple and understanding it is the essential task of marketing management.
(Answer: False; p. 128; Moderate)

78. Consumer buying behavior refers to the buying behavior of businesses.
(Answer: False; p. 128; Easy)

79. The central question for marketers is: How do consumers respond to various marketing efforts the company might use? The starting point is called the stimulus-response of buyer behavior.
(Answer: True; p. 129; Moderate)

80. A dissonance-reducing buying behavior is designed to probe consumers’ hidden, subconscious motivations.
(Answer: False; p. 145; Challenging)

81. Each culture contains groups of people with shared value systems based on common life experiences and situations.
(Answer: True; p. 129; Moderate)

82. Asian Americans, the fastest growing and most affluent U.S. demographic segment, include Chinese Americans, Japanese Americans, Asian Indians, Korean Americans, and Filipino Americans.
(Answer: True; p. 132; Easy)

83. Younger consumers are better off financially than mature consumers. They are the ideal market for exotic travel, restaurants, high-tech home entertainment products, and leisure goods and services.
(Answer: False; p. 132; Easy)

84. Social classes are society’s relatively permanent a
nd ordered divisions whose members share similar values, interests, and behaviors.
(Answer: True; p. 132; Easy)

85. Social classes 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 them into talking up a specific brand to their friends and admirers.
(Answer: False; p. 132; Moderate)

86. Lifestyle is a person’s pattern of living as expressed in his or her psychographics.
(Answer: True; p. 136; Easy)

87. A belief is the specific mix of human traits that may be attributed to a particular brand.
(Answer: False; p. 141; Moderate)

88. A person’s buying choices are further influenced by four major psychological factors: motivation, perception, learning, and beliefs and attitudes.
(Answer: True; p. 138; Easy)

89. A motive exists when consumers are highly involved with an expensive, infrequent, or risky purchase but see little difference among brands.
(Answer: False; p. 138; Easy)

90. Maslow’s theory is that human needs are arranged in a hierarchy. They include physiological needs, safety needs, social needs, esteem needs, and self-actualization needs. An unsatisfied need motivates one to take action to satisfy it.
(Answer: True; p. 139; Moderate)


91. Alternative evaluation is the process by which people select, organize, and interpret information to form a meaningful picture of the world.
(Answer: False; p. 142; Challenging)

92. The consumer’s purch
ase decision will be to buy the most preferred brand, but two factors can come between the purchase intention and purchase decision. The first factor is need recognition.
(Answer: False; p. 143; Moderate)

93. After purchasing the product, the consumer will be satisfied or dissatisfied and will engage in postpurchase behavior.
(Answer: True; p. 144; Easy)

94. Almost all major purchases result in cognitive dissonance, or discomfort caused by postpurchase conflict.
(Answer: True; p. 144; Easy)

95. When a consumer learns about a new product for the first time and makes a decision to try it, it is called the alternative evaluation process.
(Answer: False; p. 142; Moderate)

96. People differ greatly in their readiness to try new products. In each product area, there are “consumption pioneers.” They are also called laggards.
(Answer: False; p. 146; Challenging)

97. Early adopters are guided by respect; they are opinion leaders in their communities and adopt new ideas early but carefully.
(Answer: True; p. 146; Moderate)

98. The early majority are deliberate; although they rarely are leaders, they adopt new ideas before the average person.
(Answer: True; p. 146; Moderate)

99. The late majorities are skeptical; they adopt an innovation only after their friends have tried it.
(Answer: False; p. 146; Challenging)

100. In general, innovators tend to be relatively older, more mature, and have a lower income than late adopters.
(Answer: False; p. 146; Challenging)

101. Five characteristics are especially important in influencing an innovation’s rate of adoption. Two of these are relative advantage and compatibility.
(Answer: True; p. 147; Moderate)

102. Although consumers in different countries have different values, attitudes, and behaviors, the products they buy are very similar to each other.
(Answer: False; p. 148; Challenging)

103. Dissonance-reducing buying behavior occurs when consumers are highly involved with an expensive, infrequent, or risky purchase but see a lot of difference among brands.
(Answer: False; p. 144; Challenging)

104. Alternative evaluation is how the consumer processes information to arrive at brand choices. Consumers do not use a simple and single evaluation process in all buying situations.
(Answer: True; p. 143; Moderate)

105. The consumer’s purchase decision will be to buy the most preferred brand, but two factors can come between the purchase intention and purchase decision. The first factor is need recognition.
(Answer: False; p. 143; Moderate) 106. Describe five reasons why Harley-Davidson’s customers are very loyal.

Harley-Davidson customers are loyal because the company makes a lifestyle statement and displays the attitude of being “the toughest, baddest guy on the block.” The customer feels “wicked astride all that power.” In addition, Harley-Davidson renews the customer’s spirit and announces the customer’s independence. Harley-Davidson also makes the customers feel that thumbing the starter of a Harley does a lot more than fire the engine; it fires the imagination! Harley-Davidson sells a dream.
(pp. 127–128; Moderate)

107. Cultural factors exert a broad and deep influence on consumer behavior. The marketer needs to understand the role played by the buyer’s culture, subculture, and social class. Describe the differences among culture, subculture, and social class.

Culture is the most basic cause of a person’s wants and behavior. Each culture contains smaller subcultures, or groups of people with shared value systems based on common life experiences and situations. Subcultures include nationalities, religions, racial groups, and geographic regions. Social classes are society’s relatively permanent and ordered divisions whose members share similar values, interests, and behaviors.
(p. 129; Challenging)


108. Many subcultures make up important market segments. Examples of four such important subculture groups include Hispanic, African American, Asian American, Chinese Americans, and mature consumers. Describe the characteristics of each of these groups.

Hispanic consumers tend to buy more branded, higher-quality products—generics do not sell well to Hispanics. Perhaps more important, Hispanics are very brand loyal, and they favor companies who show special interest in them. African American consumers are more price-conscious than other segments; they are also strongly motivated by quality and selection. They place more importance on brand names, are more brand-loyal, and do less “shopping around.” Per capita, African American consumers spend twice as much as white consumers for online services. Asian American consumers have the biggest barriers with cultural traditions and language. Chinese Americans have plenty of money—they trade two or three times as much as other investors, generating a lot of commissions as reported by the Schwab Company. Mature consumers are better off financially than are younger consumer groups. They are an ideal market for exotic travel, restaurants, high-tech home entertainment products, leisure goods and services, designer furniture and fashions, financial services, and healthcare services. The best strategy is to appeal to their active, multidimensional lives.
(p. 130; Challenging)

109. A consumer’s behavior is also influenced by social factors, such as the consumer’s small groups, family, and social roles and status. Explain the differences among these social factors.

Small groups to which a person belongs have a direct influence on what a person buys. Reference groups serve as direct or indirect points of comparison or reference in forming a person’s attitudes or behaviors. An aspirational group is one to which the individual wishes to belong. Reference groups expose a person to new behaviors and lifestyles, influence a person’s attitudes and self-concept, and create pressures to conform that may affect the person’s product and brand choices. Opinion leaders are also included in reference groups. The family, furthermore, is the most important consumer buying organization in society. Marketers are interested in the roles and influence of each member. Social roles and status: Anna Flores plays the role of a daughter and a wife, and in her company she plays the role of a brand manager. A role consists of the activities people are expected to perform according to the persons around them. Anna will buy the kind of clothes that reflect her role and status.
(p. 132; Challenging)
110. Each person’s distinct personality influences his or her buying behavior. Personality is usually described in terms of traits. What are these traits, and how do they affect the way people purchase items?

Personality is described in terms of traits such as self-confidence, dominance, sociability, autonomy, defensiveness, adaptability, and aggressiveness. Personality can be useful in analyzing behavior for certain products. For example, coffee marketers have discovered that heavy coffee drinkers tend to be high on sociability.
(p. 137; Easy)

111. A brand personality is the specific mix of human traits that may be attributed to a particular brand. One researcher identified five brand personality traits. Name three of these traits and tell about them.

Sincerity (down-to-earth, honest, wholesome, and cheerful), excitement (daring, spirited, imaginative, and up-to-date), competence (reliable, intelligent, and successful), sophistication (upper class and charming), and ruggedness (outdoorsy and tough) are the five brand personality traits.
(p. 138; Easy)

112. How might the market leader encourage habitual buying behavior?

The market leader will try to encourage habitual buying behavior by dominating shelf space, keeping shelves fully stocked, and running frequent reminder advertising.
(p. 142; Easy)

113. Explain brand personality as it affects specific brands.

A brand personality is the specific mix of human traits that may be attributed to a particular brand. Five brand personality traits include: sincerity, excitement, competence, sophistication, and ruggedness. Many well-known brands tend to be strongly associated with one particular trait.
(p. 138; Easy)

114. Explain Maslow’s needs hierarchy.

Maslow suggested that our unfulfilled needs are enough to motivate us and that our needs are arranged in a hierarchy. The hierarchy of needs includes: physiological, safety, social, self-esteem, and self-actualization. Maslow suggested that we fill the bottom-level, basic needs first before moving up the hierarchy.
(p. 139; Easy)

115. Explain the stages in the adoption process.

In the awareness stage, consumers become aware of the new product but lack information about it. Then, consumers seek information about the new product in the interest stage. In the evaluation stage, consumers consider whether trying the new product makes sense. Consumers try the product on a limited basis in the trial stage. Consumers decide to make full use of the product in the adoption stage.
(p. 146; Moderate)
116. What would not appear on Harley-Davidson’s home page?
a. Our goal is to run production at a level that everyone who wants a Harley can get one right away.
b. We sell a dream.
c. It gives you maximum self-expression in your own space.
d. Owning this makes you a member of the Harley family.
e. Feel the independence!
(Answer: a; p. 128; Challenging)

117. 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
e. the buyer’s personal characteristics
(Answer: c; p. 129; Easy)

118. P&G currently markets heavily to the growing Hispanic segment. What is one thing it does not do?
a. P&G targets advertising toward Hispanics.
b. P&G spends almost $170 million on Hispanic print and TV ads.
c. P&G demands that Hispanics must have a P&G credit card.
d. P&G creates Hispanic versions of some of its products.
e. B and D
(Answer: c; p. 130; Challenging)
119. What is one thing that Wal-Mart does not do to cater to the Asian American market in one Seattle store?
a. Wal-Mart stocks a large selection of CDs from Asian artists.
b. Wal-Mart stocks videos from Asian artists.
c. Wal-Mart stocks Asian-favored health and beauty products.
d. Wal-Mart puts out white bows because Asians think it is a lucky color.
e. B and C
(Answer: d; p. 132; Moderate)

120. Sony recently overhauled its marketing approach in order to target products and services to consumers based on their life stages. It created a new unit called the Consumer Segment Division that has seven life-stage segments. Which of the following is not one of these segments?
a. Generation Y.
b. DINKs.
c. Opinion leaders.
d. Zoomers.
e. A and D
(Answer: c; p. 136; Easy)

121. Anna Flores can consider buying an expensive Nikon camera if she has enough _____, savings, or borrowing power.
a. personality
b. personal income
c. culture
d. information search
e. clout
(Answer: b; p. 136; Easy)

122. Many marketers use a concept related to personality—a person’s self-concept. The basic self-concept premise is that people’s possessions contribute to and reflect their identities; that is, “We are what we have.” This leads consumers to _____. a. buy books to support their self-images
b. use brand personalities
c. begin habitual buying behavior
d. begin variety-seeking buying behavior
e. conduct the information search
(Answer: a; p. 138; Challenging)

123. Bob’s job description had been changed. The rationale for the changes made no sense to Bob when they were explained. Bob continued to perform most of his job duties as usual. He has engaged in _____.
a. selective distortion
b. selective attitude
c. selective retention
d. selective attention
e. perceptual defense
(Answer: d; p. 140; Moderate)

124. Stephanie and Jamal attended a sales seminar. Both left the seminar with differing opinions about what was important to implement in their jobs. Both used the information in different ways, according to what each already believed was important. They have engaged in _____.
a. selective distortion
b. selective attitude
c. selective retention
d. selective attention
e. perceptual defense
(Answer: a; p. 140; Moderate)

125. If the experience is rewarding, a consumer will probably use the product more and more. The consumer’s response to the product will be _____.
a. a learning experience
b. a belief
c. reinforced
d. a dissonance experience
e. a selective distortion
(Answer: c; p. 141; Easy)

126. Blake is in the process of buying a new car. He is highly involved in the purchase and perceives significant differences among his three favorite models. Blake will likely undertake _____.
a. postpurchase behavior
b. complex buying behavior
c. opinion leadership
d. dissonance
e. marketing myopia
(Answer: b; p. 142; Challenging)

127. As a purchasing agent, Benni Lopez buys goods for use in the production of products that are sold and supplied to others. Benni is involved in _____. 
a. consumer buying behavior
b. post-purchase dissonance
c. reseller buying behavior
d. business buying behavior
e. A or C
(Answer: d; p. 149; Easy)

128. Bill thought he had received the best deal on his new car. Shortly after the purchase, Bill started to notice certain disadvantages of his new car as he learned more about other cars available. Bill is experiencing _____.
a. postpurchase culture
b. perception
c. postpurchase dissonance
d. purchase decision
e. perceptual vigilance
(Answer: c; p. 144; Moderate)

129. Annie Laurie works for Arrow Star, a wholesaler and retailer of outdoor furniture. Her job is to acquire goods to resell and rent to other retailers and consumers at a profit. Annie is involved in _____. 
a. consumer buying behavior
b. corporate buying behavior
c. marketing myopia
d. business buying behavior
e. reseller buying behavior
(Answer: d; p. 149; Easy)

130. Kroger buys a lot of cranberry products at Christmas due to high consumer demand. This is an example of _____ demand. 
a. joint
b. derived
c. elastic
d. fluctuating
e. increasing
(Answer: b; p. 149; Moderate)

131. You purchase cleaning supplies for your custodial help regularly. It is therefore a _____.
a. modified rebuy
b. new task
c. straight rebuy
d. modified straight rebuy
e. consumer buy
(Answer: c; p. 151; Moderate)
132. 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
e. dismissal
(Answer: d; p. 142; Challenging)

133. 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. Some consumers are brand-loyal.
e. All of the above.
(Answer: e; p. 143; Easy)

134. You call in a department manager to assist in a purchase of industrial equipment. You are considering a change in product specifications, terms, and possibly suppliers. This sounds like a _____. 
a. modified rebuy
b. new task
c. straight rebuy
d. tough decision
e. gatekeeper activity
(Answer: a; p. 151; Easy)

135. After an individual’s need for food, clothing, and shelter is filled, he or she will work to fill _____ needs.
a. physiological
b. safety
c. social
d. self-esteem
e. self-actualization
(Answer: b; p. 139; Easy)
136. What role do the four Ps play in consumer behavior?

The four Ps are built around the tar
get market; these four Ps create a “package” that attempts to attract the targeted consumers.
(p. 129; Easy)
137. Give an example of a cultural shift that may impact the marketing of products or services.

From time to time, for example, Americans develop a “fitness craze” that generates increased marketing of exercise equipment and gear and decreased marketing of fast food.
(p. 130; Easy)

138. Why might the Asian American market be the most viable targeted group for a new marketer of products?

Asian Americans are among the least brand-loyal consumers; they change brands more often compared with other groups.
(p. 132; Challenging)

139. In terms of spending behaviors, how might the current group of mature consumers differ from the mature consumers of the 1970s and 1980s?

The mature consumers in the 1970s and 1980s may have been more conservative, having remembered economic strife during the Great Depression, and they were less attracted to exotic travel, restaurants, or leisure items than the current group of mature consumers.
(p. 132; Challenging)

140. How might consumers in their twenties measure social class differently than consumers in their fifties?

Consumers in their twenties may pay more attention to the type of car driven, clothing brands worn, and accessibility to high-tech gadgets. Consumers in their fifties may especially notice house type, neighborhood, income, and source of income.
(p. 132; Moderate)

141. List two factors that may allow an individual to move to a higher social class in the United States.

Such factors may include a change in income or source of income and increased education.
(p. 132; Easy)

142. In what way might a marketer rely on opinion leaders?

Opinion leaders can influence other larger groups of consumers.
(p. 133; Easy)


143. Give an example of a product for which buzz marketing may not be necessary.

Buzz marketing may not be necessary for products with very little competition or for products that strongly complement the sale of another product.
(p. 133; Moderate)

144. Explain why typical husband-dominant or wife-dominant products 
of the 1970s may no longer be regarded as such.

More single-parent families and more dual-income families have changed the traditional buying roles over time.
(p. 134; Moderate)

145. Give an example of how changes in family life-cycle stages may change a marketer’s promotional strategy.

In TV ads, for example, the marketer who portrays a typical family with the father, mother, and children is alienating childless couples, same-sex couples, and single parents; once a group feels alienated it may become difficult for the marketer to reach that group in the future.
(p. 135; Challenging)

146. Explain how lifestyles may be developed.

Answers will vary. Many individuals may believe that lifestyles are molded by the way individuals are raised and as a result of life experiences.
(p. 136; Moderate)

147. According to the VALS Lifestyles Classifications, how do innovators differ from survivors?

Innovators have so many resources that they exhibit motivations by achievement, ideals, and self-expression; whereas, survivors lack resources and show no primary motivations.
(p. 136; Moderate)

148. How is a brand personality developed?

A brand personality is the specific mix of human traits that may be attributed to a particular brand.
(pp. 137–138; Easy)

149. An upscale nightclub two stories below street level was filled to capacity with patrons. After an upset candle ignited a tablecloth, the club was engulfed in flames. Briefly explain the shift in needs, according to Maslow’s hierarchy.

Upon arrival, the patrons were filling their social needs. After the fire broke out, safety quickly became the predominant need for the group.
(p. 139; Challenging)

150. Explain why selective attention is not controllable by a marketer.

A marketer cannot guarantee that a consumer will pay attention to or remember a specific ad, for example; numerous stimuli affect a consumer’s level of attention.
(p. 140; Moderate)

151. Explain how selective distortion is somewhat controllable by a marketer.

Marketers can attempt to understand consumers’ mindsets and how these will affect perceptions of advertisements.
(p. 140; Moderate)

152. Knowing that selective retention prevents consumers from remembering everything about an ad, what might a marketer do to reduce selective retention?

Use of drama, fear, or extreme humor in an ad can often promote retention among consumers; ad repetition may also work.
(p. 140; Moderate)

153. When does a need become a motive? 

A need becomes a motive when it is aroused to a sufficient level of intensity. 
(p. 138; Moderate)

154. “Attitudes decay over time, especially toward products that are purchased less frequently.” Explain this statement.

Dissatisfaction toward a type of product purchased frequently, such as bath soap or breakfast cereal, is reinforced every time thought is given to the purchase of that product type; this reinforces the negative attitude. As for a type of product purchased less frequently, the negative attitude was given more time to fade between purchases.
(p. 141; Challenging)

155. Explain how marketers may be able to reduce postpurchase dissonance.

Marketers must make every effort to enhance after-sale communications, providing evidence and support to help consumers feel good about their purchases.
(p. 145; Moderate)
1. Despite the data glut that marketing managers receive, they frequently complain that they lack _____.
a. enough information of the right kind
b. quality information
c. timely information
d. accurate and reliable information
e. valid information
(Answer: a; p. 97; Easy)

2. An MIS consists of people, equipment, and procedures to gather, sort, _____, evaluate, and distribute information to marketing decision makers.
a. test
b. test market
c. analyze
d. critique
e. assess
(Answer: c; p. 97; Easy)

3. Your firm has just developed its first successful MIS. It interacts with information users to assess information needs, develop needed information, _____ the marketing information, and help managers use it in their decision making.
a. distribute
b. collect
c. retrieve
d. store
e. validate
(Answer: a; p. 97; Challenging)

4. The marketing information system is not limited to use by the company it serves. It may also provide information to _____.
a. the government
b. external partners
c. various publics
d. competitors
e. none of the above
(Answer: b; p. 97; Moderate)



5. Marketers must weigh carefully the costs of additional information against the _____ resulting from it.
a. uses
b. benefits
c. knowledge
d. rewards
e. cost
(Answer: b; p. 98; Easy)

6. Four common sources of internal data include the accounting department, operations, the sales force, and the _____.
a. owners
b. stockholders
c. marketing department
d. custodians
e. quality control department
(Answer: c; p. 99; Moderate)

7. Marketing information from this type of database usually can be accessed more quickly and cheaply than other information sources. Which one is it?
a. External.
b. MDSS.
c. EIS.
d. Internal.
e. Field representatives.
(Answer: d; p. 99; Easy)

8. This systematic collection and analysis of publicly available information about competitors and developments in the marketing environment is very useful. What is it called?
a. Marketing data.
b. Marketing intelligence.
c. Web Master.
d. Sales and sales management.
e. Secondary data.
(Answer: b; p. 99; Moderate)

9. Which of the following was not mentioned in your textbook as a source of marketing intelligence?
a. Suppliers.
b. Resellers.
c. Key customers.
d. Your company reports.
e. Sales force.
(Answer: d; p. 101; Easy)

10. Which of the following was not mentioned in your textbook as a source of marketing intelligence?
a. Competitors’ garbage.
b. Buying competitors’ products.
c. Monitoring competitors’ sales.
d. Checking for new goodwill.
e. Purchasing agents.
(Answer: d; p. 101; Moderate)

11. Your competitor may reveal intelligence information through which of these sources of information?
a. Annual reports.
b. Trade show exhibits.
c. Web pages.
d. Press releases.
e. All of the above.
(Answer: e; p. 101; Easy)

12. In today’s information age, companies are leaving a paper trail of information _____.
a. in the wastebasket
b. online
c. in annual reports
d. with government agencies
e. that is inaccessible
(Answer: b; p. 101; Moderate)

13. To combat marketing intelligence by competitors, Unilever Corporation is now providing _____ to employees.
a. intelligence training
b. privacy blocks
c. protection
d. less information
e. none of the above
(Answer: a; p. 102; Moderate)

14. Which of the steps in the marketing research process has been left out: defining the problems and research objectives, implementing the research plan, and interpreting and reporting the findings?
a. Developing the research budget.
b. Choosing the research agency.
c. Choosing the research method.
d. Developing the research plan.
e. Comparing and contrasting primary and secondary data.
(Answer: d; p. 102; Moderate)

15. Your colleague is confused about using the marketing research process. He seems to be having problems with _____, which is often the hardest step to take.
a. defining the problem
b. defining the research objectives
c. defining the problem and research objectives
d. researching a research agency to help
e. C and D
(Answer: c; p. 102; Moderate)

16. The objective of _____ research is to gather preliminary information that will help define the problem and suggest hypotheses.
a. descriptive
b. exploratory
c. causal
d. corrective
e. descriptive and exploratory
(Answer: b; p. 103; Easy)

17. It is important to note that research objectives must be translated into specific _____.
a. marketing goals
b. information needs
c. dollar amounts
d. results that justify the means
e. time allotments
(Answer: b; p. 103; Easy)

18. The research plan outlines sources of existing data and spells out the specific research approaches, contact methods, _____, and instruments that researchers will use to gather new data.
a. personnel
b. sampling plans
c. budget requirements
d. all of the above
e. none of the above
(Answer: b; p. 103; Moderate)

19. The way to begin marketing research is to gather secondary data, which consists of information _____.
a. that already exists somewhere
b. that does not currently exist in an organized form
c. that already exists somewhere, having been collected for another purpose
d. used by competition
e. that the researcher can obtain through surveys and observation
(Answer: c; p. 103; Easy)


20. How would you describe the primary data being used by your firm?
a. Collected for the specific purpose at hand.
b. Original information.
c. First-time information.
d. Fresh and perhaps more reliable than secondary data.
e. All of the above.
(Answer: e; p. 105; Easy)

21. Which form of data can usually be obtained more quickly and at a lower cost?
a. Primary.
b. Census.
c. Secondary.
d. Syndicated.
e. Tertiary.
(Answer: c; p. 105; Moderate)

22. Your assistant wants to use secondary data exclusively for the current research project. You advise him that the use of secondary data has some potential problems. Which of the following is not one of them?
a. It may not exist.
b. All of the needed data is rarely available.
c. It may not be useable.
d. It is generally more expensive when purchased from the government.
e. You do not know why it was originally collected.
(Answer: d; p. 105; Challenging)

23. Primary data must be relevant, current, unbiased, and _____.
a. complete
b. accurate
c. inexpensive
d. collected before secondary data
e. valid
(Answer: b; p. 105; Moderate)

24. Which method of research can obtain information that people are unwilling or unable to provide?
a. Observation.
b. Focus groups.
c. Personal interviews.
d. Fax surveys.
e. Questionnaires.
(Answer: a; p. 106; Easy)




25. Survey research, called the backbone of primary research, is the most widely used method for primary data collection and is best suited for gathering _____ information.
a. personal
b. preference
c. attitude
d. descriptive
e. exploratory
(Answer: d; p. 107; Moderate)

26. Fredia Pellerano has just discovered the major advantage of survey research. She reports to her supervisor that it is _____.
a. flexibility
b. cost effectiveness
c. quickness to administer
d. understandability
e. simplicity
(Answer: a; p. 107; Moderate)

27. Experimental research is best suited for gathering _____ information.
a. unknown
b. causal
c. complicated
d. interactive
e. descriptive
(Answer: b; p. 107; Challenging)

28. One of the following is not a current survey research method. It is contact by _____.
a. online use
b. mail
c. telephone
d. fax
e. none of the above
(Answer: d; p. 107; Easy)

29. All of the following are disadvantages of telephone interviewing except one. Which one?
a. Higher cost than mail questionnaires
b. Introduces interviewer bias
c. Under time pressures some interviewers might cheat
d. Interviewers tend to interpret answers similarly
e. A and C
(Answer: d; p. 108; Challenging)
30. Currently, you find yourself involved in marketing research. The form you are using is flexible, allows explanation of difficult questions, and lends itself to showing products and advertisements. What is this form of research?
a. Personal interviewing.
b. Online interviewing.
c. Vision phone interviewing.
d. Mall intercepts.
e. None of the above.
(Answer: a; p. 108; Easy)

31. Which of the following is not an advantage of Web research?
a. Speed.
b. Low costs.
c. Instantaneous results.
d. All of the above.
e. A and C
(Answer: e; p. 109; Easy)

32. DelRay Pools and Spas is collecting marketing data through online (Internet) marketing research. Management will have the choice of using Internet surveys, experiments, or _____.
a. online focus groups
b. individual interviewing
c. hit counting
d. questionnaire responses
e. observations
(Answer: a; p. 109; Challenging)

33. Judy Hammerschmidt regularly conducts online marketing research at work. She has found that it has several advantages over traditional methods. Which of these is not an advantage?
a. Respondents tend to be more honest.
b. It is more cost efficient.
c. Report generation turnaround time is much quicker.
d. There is greater personal interaction.
e. Respondents cannot remain anonymous.
(Answer: d; p. 109; Challenging)

34. Marketing researchers usually draw conclusions about large groups of consumers by studying a small _____ of the total consumer population.
a. group
b. sample
c. population
d. target group
e. audience
(Answer: b; p. 110; Easy)
35. Why would In The Mood Music Distributors choose a sampling of its customers to research rather than all 1,500 of them?
a. Researching all of them is too time-consuming.
b. Researching all of them can be too expensive.
c. The sample can fairly represent the entire population.
d. The customers may all be similar.
e. All of the above.
(Answer: d; p. 110; Moderate)

36. Sampling requires the answers to three questions. Choose the inappropriate one.
a. Who is to be sampled (what sampling unit)?
b. How many people should be surveyed (what sample size)?
c. Why should they be sampled (justification)?
d. How should the people be chosen (what sampling method)?
e. None of the above.
(Answer: c; p. 110; Challenging)

37. The backbone of marketing research, or the most common instrument used, is the _____.
a. mechanical device
b. live interviewer
c. questionnaire
d. teleinterviewer
e. Internet
(Answer: c; p. 110; Easy)

38. In creating research questionnaires, which of the following is good advice for Mark Hammel, research specialist at New Wave Data, to follow?
a. Use care in the wording and ordering of questions.
b. Questions do not have to be arranged in a logical order.
c. Ask difficult questions in the beginning to “weed out” uninterested respondents.
d. Ask personal questions in the middle of the instrument.
e. Avoid eye contact as it may confuse the respondents.
(Answer: a; p. 111; Moderate)

39. Which of the following was not mentioned in your text as a common mechanical instrument used to conduct market research?
a. Supermarket scanners.
b. People meters.
c. Galvanometers and eye cameras.
d. Telephones.
e. e. B and C
(Answer: d; p. 111; Moderate)


40. At this point in your marketing research project, Mr. Barnes comments that the _____ phase is generally the most expensive and the most subject to error.
a. exploratory research
b. hypothesis
c. data collection
d. interpreting and reporting the findings
e. data validation
(Answer; c; p. 113; Challenging)
41. AMF Research Group must guard against problems during the implementation phase of marketing research for its clients. Typically, management will not encounter which of these problems?
a. Contacting respondents.
b. Respondents who refuse to cooperate or give biased answers.
c. Interviewers who make mistakes or take shortcuts.
d. Interpreting and reporting the findings.
e. Primary data that conflict with secondary data.
(Answer: d; p. 112; Challenging)

42. Researchers interpret and report findings to their managers. What might be a typical problem the researcher might encounter when discussing the findings?
a. Managers may be biased.
b. Managers may accept results that support their preconceived notions.
c. Managers may interpret the findings differently.
d. Managers may not believe the findings.
e. All of the above.
(Answer: e; p. 113; Easy)
43. Analytical models help analyze marketing information collected from research. These models can help answer _____ and _____ questions.
a. short; simple
b. what if; which is best
c. relevant; current
d. advanced; difficult
e. none of the above
(Answer: b; p. 113; Challenging)

44. What is the purpose of a data warehouse?
a. To gather information.
b. To integrate information a company already has.
c. To interpret data.
d. To analyze data.
e. To discard old data.
(Answer: b; p. 114; Moderate)

45. Tommy Baker is in charge of customer relationship management for American Pie Nostalgia. As a result of his effort in this area, his firm enjoys all of the following except _____.
a. providing higher levels of customer service
b. developing deeper customer relationships
c. creating offers tailored to specific customer requirements
d. understanding competition better
e. understanding how to better build the marketing mix
(Answer: d; p. 114; Moderate)

46. Hiro Chan knows that when CRM works well at his company, the benefits far outweigh the _____ and _____.
a. time; costs
b. time; risks
c. efforts; costs
d. costs; risks
e. efforts; risks
(Answer: d; p. 115; Moderate)

47. Siebel Systems claims that firms using its CRM software report an average of _____ percent increase in revenues and _____ percent increase in customer loyalty and staff efficiency.
a. 14; 16
b. 15; 18
c. 16; 20
d. 16; 21
e. 20; 30
(Answer: d; p. 115; Challenging)

48. Marketing information has no value until it is used to _____.
a. satisfy company objectives
b. make better marketing decisions
c. make management’s job easier
d. please stockholders
e. please customers
(Answer: b; p. 115; Easy)

49. This source of marketing information provides ready access to research information, stored reports, shared work documents, contact information for employees and other stakeholders, and more. What do we call this?
a. A intranet.
b. An extranet.
c. The Internet.
d. An internal database.
e. Marketing intelligence.
(Answer: a; p. 115; Moderate)
50. For conservative small businesses and not-for-profit organizations, good marketing information may be collected by simple _____.
a. purchase
b. observation
c. questioning
d. surveying
e. focus groups
(Answer: b; p. 117; Easy)

51. When managers use small convenience samples such as asking customers what they think or inviting a small group out to lunch to get reactions, they are using _____.
a. informal surveys
b. experiments
c. observation
d. focus groups
e. marketing intelligence
(Answer: a; p. 117; Moderate)

52. Small organizations can obtain most of this type of data available to large businesses with minimal effort. What type is it?
a. Census.
b. The Internet.
c. Secondary.
d. Primary.
e. Business.
(Answer: c; p. 117; Moderate)

53. You have been asked to locate secondary data for current research needs. Which of the following is not a common source for this type of research?
a. The business section at the local library.
b. The U.S. Small Business Administration.
c. The Internet.
d. INS records.
e. The local Chamber of Commerce.
(Answer: d; p. 117; Easy)

54. A common problem in international marketing research is the availability of _____.
a. primary data
b. research specialists
c. secondary data
d. intelligence limitations
e. consumers across cultures to answer surveys
(Answer: c; p. 118; Challenging)

55. In general, domestic researchers deal with fairly homogeneous markets. Foreign markets present the challenges of varying levels of economic development, cultures and customs, and _____.
a. import regulations
b. buying patterns
c. dislike of American goods
d. language barriers
e. social perceptions
(Answer: b; p. 118; Moderate)

56. Because of the scarcity of good secondary data, international researchers often must collect their own primary data. An initial problem with this collection is finding and developing good _____.
a. representative samples
b. research firms
c. rapport with nationals
d. relations with channel members
e. communication methods
(Answer: a; p. 118; Moderate)

57. What do many researchers encounter when conducting market research in foreign countries?
a. Some countries have few telephones that limit access to respondents.
b. Some countries have poor mail services.
c. Some countries have poor roads that limit personal contacts.
d. Some foreign cultures may not understand the value of marketing data.
e. All of the above.
(Answer: e; p. 118; Easy)

58. Cultural differences, especially involving language, can add to research costs in foreign markets and can increase the _____.
a. foreign trade
b. risks of error
c. likelihood of not finding a translator
d. likelihood that a smaller sample could be used
e. none of the above
(Answer: b; p. 119; Moderate)

59. A common problem researchers find when going international is that consumers vary in their _____ marketing research.
a. understanding of
b. beliefs in
c. attitudes toward
d. appreciation of
e. any of the above
(Answer: e; p. 119; Easy)
60. Even when respondents in other countries are willing to respond to research questions, they may not be able to because of _____.
a. high functional illiteracy rates
b. language barriers
c. lack of availability
d. limitations imposed by government
e. B and D
(Answer: a; p. 119; Easy)

61. Anna Gregory just completed reading a marketing research report about the top 25 countries that purchase American products. What might the report say about international research with these countries?
a. It is on the decrease due to high costs.
b. The costs are higher than the benefits.
c. There is a lack of qualified research personnel.
d. There is a growth in international research, and the costs of not doing it are high.
e. Their interpretations of American quality are about the same.
(Answer: d; p. 119; Moderate)

62. Choose the statement that is not a typical consumer reaction to intrusion on consumer privacy.
a. Sophisticated researchers probe our deepest feelings.
b. Marketers use this information to manipulate our buying.
c. Marketers build huge databases full of personal information.
d. Marketers make too many products and services available—it’s confusing.
e. None of the above.
(Answer: d; p. 119; Easy)

63. Your text points out that _____ Americans worry that companies have too much of consumers’ personal information and that _____ Americans feel their privacy is compromised if that information is used to sell products.
a. fewer than half of; fewer than half of
b. all; fewer than half of
c. fewer than half of; all
d. some; no
e. almost three-fourths of; about three-fourths of
(Answer: e; p. 121; Moderate)

64. It has been shown that consumers will gladly provide research information when researchers provide _____.
a. coupons
b. money
c. value for the exchange
d. prizes
e. any of the above
(Answer: c; p. 122; Challenging)
65. The best approach for researchers to take to guard consumer privacy includes all of the following except which one?
a. Ask only for the information needed.
b. Use information responsibly to provide value.
c. Avoid sharing information without the customer’s permission.
d. Sell the information only when it is worth it.
e. Fully explain to the respondents how the information will be used.
(Answer: d; p. 122; Easy)

66. Some companies often use study results as claims in their _____.
a. advertising
b. promotion
c. A and B
d. annual reports
e. all of the above
(Answer: c; p. 122; Easy)

67. Many research studies appear to be little more than vehicles for _____.
a. gathering names for resale
b. pitching the sponsor’s products
c. building company image
d. tearing down competition
e. training future salespeople to work with people face-to-face
(Answer: b; p. 122; Moderate)

68. Recognizing that surveys can be abused, several research associations have developed _____ and _____.
a. research conduct; standards of ethics
b. codes of research ethics; standards of conduct
c. safeguards; public policy
d. research ethics; safeguards
e. stiff fines; punishments for abusers
(Answer: b; p. 123; Challenging)

69. Which of the following statements is not true regarding information collected by marketers?
a. Managers lack information of the right kind.
b. Most managers do not need more information.
c. Most managers need better information.
d. Many managers are burdened by data overload.
e. Managers have the right information and they have enough of it.
(Answer: e; p. 97; Moderate)

70. The marketing information system can serve _____.
a. the company’s marketing managers
b. suppliers
c. resellers
d. marketing services agencies
e. all of the above
(Answer: e; p. 97; Easy)

71. Which of the following statements regarding marketing intelligence is(are) true?
a. Marketing intelligence is privately held information.
b. Much intelligence is difficult or impossible to collect.
c. All marketing intelligence is free.
d. Marketing intelligence is publicly available information.
e. B and D
(Answer: d; p. 99; Moderate)

72. Managers often start with _____ research and later follow with _____ research.
a. exploratory; descriptive
b. exploratory; causal
c. descriptive; causal
d. A and B
e. all of the above
(Answer: d; p. 103; Challenging)

73. Secondary data are _____.
a. collected mostly via surveys
b. expensive to obtain
c. sometimes not reliable
d. never purchased from outside suppliers
e. always necessary to support or refute the primary data collected
(Answer: c; p. 105; Moderate)

74. Secondary data must be _____.
a. relevant
b. accurate
c. current
d. impartial
e. all of the above
(Answer: e; p. 105; Easy)
75. Ethnographic research _____.
a. comes from traditional focus groups
b. provides greater insights into buying behavior
c. provides secondary data
d. is most popular in the service sector
e. provides data to marketers when observation is impossible
(Answer: b; p. 106; Moderate)
76. In the last decade, Coach has ignored marketing research when designing new bags.
(Answer: True; p. 96; Easy)

77. Many analysts believe that Coach’s exhaustive market research has failed to pay off.
(Answer: True; p. 96; Easy)

78. Today, marketing managers are viewing research information not only as an input for making internal decisions but also as an input for external partners.
(Answer: True; p. 97; Moderate)

79. Most marketers today believe they still lack a sufficient quantity of research data to make high-quality decisions.
(Answer: False; p. 97; Easy)

80. An effective MIS assesses information needs, develops needed information, and distributes the information to help managers use it in decision making.
(Answer: True; p. 98; Moderate)

81. Too much information can be as harmful as too little.
(Answer: True; p. 98; Easy)

82. When you glean information from your company’s accounting and sales records stored in the computer, you are developing an internal database.
(Answer: True; p. 99; Moderate)

83. You have just extracted sales and cost data used by the accounting department for preparing financial statements. Most likely, this information should be complete and in useable form to build an internal marketing database.
(Answer: False; p. 99; Challenging)

84. It is important to note that data age quickly, and keeping the database current requires a major effort.
(Answer: True; p. 99; Easy)

85. After carefully questioning your major suppliers and resellers, you ascertain they do not form important sources of intelligence information for marketing decision making.
(Answer: False; p. 101; Challenging)

86. Your manager asked you to go through three of your competitors’ garbage bins to gather marketing intelligence from their discarded paperwork. One of them caught you in the act and has summoned you to court. The judge will most likely rule this to be an illegal activity and fine you and your company.
(Answer: False; p. 101; Challenging)

87. Good sources of marketing intelligence information include competitors’ annual reports, business publications, trade show exhibits, press releases, advertisements, and Web pages.
(Answer: True; p. 101; Moderate)

88. Your firm faces determined marketing intelligence efforts by competitors. You take the typical response by “letting it ride.”
(Answer: False; p. 101; Easy)

89. Marketing research is conducted to systematically design, collect, and report data directly relevant to a specific marketing situation facing the organization.
(Answer: False; p. 102; Moderate)

90. The research and development department just released a report and commented that “Defining the problem and research objectives is often the hardest step in the research process.”
(Answer: True; p. 102; Easy)

91. Once the research problems and objectives have been defined, researchers must determine the exact information needed and present it to management.
(Answer: False; p. 102; Challenging)

92. After conducting formal marketing research for your department, you make an oral presentation with notes to management. You are following normal marketing research steps.
(Answer: False; p. 102; Moderate)

93. Marketing researchers can conduct their own searches of secondary data sources today by using commercial secondary data sources.
(Answer: True; p. 103; Easy)

94. Secondary data provide good starting points and often help to define problems and research objectives, though most companies must also collect primary data.
(Answer: True; p. 105; Moderate)
95. ABC Interior Designs wants to collect research data through mechanical observation. The three typical methods are video cameras, checkout scanners, and Internet cookies.
(Answer: False; p. 111; Challenging)

96. A single-source data system uses huge consumer panels and electronically monitors survey respondents’ purchases and exposure to various marketing activities.
(Answer: True; p. 107; Moderate)

97. Focus groups use no interviewer to bias the answers, may produce more honest answers, and can be used to collect large amounts of data at a low cost per respondent.
(Answer: False; p. 108; Moderate)

98. You have decided upon a method of collecting research data with flexible interviewing, whereby trained interviewers can explain difficult questions and explore issues as the situation requires. Audio-visual aids can also be used. We refer to this as focus group interviewing.
(Answer: False; p. 108; Moderate)

99. Parley Trade Shows wants to use the latest technology in marketing research. You are told this method is online (Internet) marketing research.
(Answer: True; p. 109; Easy)

100. Ideally, a sample should be representative so that the researcher can make accurate estimates of the thoughts and behaviors of the larger population.
(Answer: True; p. 110; Easy)

101. You want to calculate confidence limits for sampling error. It would be best to use nonprobability samples.
(Answer: False; p. 110; Challenging)

102. Marketers all agree that questionnaires are the most common research instrument.
(Answer: True; p. 111; Easy)

103. The researcher interprets findings, draws conclusions, and reports those conclusions to management. Ideally, we should present important findings that are useful to the major decisions faced by management to prevent overwhelming them.
(Answer: True; p. 113; Moderate)

104. You have just identified the “touch points” of the 400 best customers in your database. At this point, you want to manage detailed information about each of them to maximize customer loyalty. You should use customer relationship management (CRM).
(Answer: True; p. 113; Challenging)

105. Buy-It-Lower Stores has gained many benefits from CRM. If this company is typical, it will realize how to provide higher levels of customer service and develop deeper customer relationships. Management can also pinpoint low-value customers and begin to eliminate them while tailoring offers to specific customers.
(Answer: False; p. 114; Challenging)

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