question bank

Multiple Choice Question Bank Marketing Management

By: Vivek Singh Tomar

1. Which of the following statements is correct?

a) Marketing is the term used to refer only to the sales function within a firm b) Marketing managers usually don't get involved in production or distribution

decisions c) Marketing is an activity that considers only the needs of the organization, not the needs of society as a whole d) Marketing is the activity, set of institutions, and processes for creating, communicating, delivering, and exchanging offerings that have value for customers, clients, partners, and society at large

2. Which among the following statement is inappropriate?

a) Customer is at the core of all marketing activities. b) Marketing focuses on the needs and wants of customers. c) Marketing is all about selling and informing consumers of goods and services d) Marketing is a social and managerial process.

3. The term "marketing mix" describes:

a) A composite analysis of all environmental factors inside and outside the firm b) A series of business decisions that aid in selling a product c) The relationship between a firm's marketing strengths and its business weaknesses d) A blending of four strategic elements to satisfy specific target markets

4. Customer relationship management (CRM), is

a) a process used to retain customers when purchases are based on low price or convenience. b) best used when the seller has infrequent customer contact. c) the combination of strategies and tools that drive relationship programs, reorienting the entire firm to a concentrated focus on satisfying customers. d) a technique used to create a company focus on individual and immediate sales

Marketing Management (MCQ’s) By: Vivek Singh Tomar (ABS)

Module I: Understanding Marketing in New Perspective Fundamentals of Marketing, Customer Value and Satisfaction, Customer Delight, Conceptualizing Tasks and Philosophies of Marketing Management, Value Chain, Scanning the Marketing Environment, Marketing Mix Elements, Difference between marketing and Selling, Relationship marketing, Social mar keting, Strategic Planning in marketing, formulating the marketing plan.

5. Marketing is a) Only a function of management b) Function of management as well as a business philosophy c) It is only a business philosophy d) Selling goods and services

6. Production Concept says:

a) Consumers will prefer products that are widely available and inexpensive b) Consumers will prefer better products c) Consumers will prefer lower prices d) Consumers prefer products exclusively produced for them

7. The key term in the American Marketing Association's definition of marketing is:

a) Process b) Customers c) Stakeholders d) Value

8. Product Concept means:

a) Make more and more products available for customers b) let customers select products that they want and then produce them c) Products will not purchased by the consumers if they are not advertised d) Consumers will favor those products that offer most quality, performance or innovative features

9. Selling Concept emphasizes that:

a) Selling is the most important part in marketing b) If consumers are left alone, they will ordinarily not buy enough of the organisation’s products. c) Sales people should be trained to sell the products well. d) Offering the best product at the best price

10. Societal Marketing Concept

a) Supply the best products wanted by all the people in the society b) Make sure that you meet the needs of the society as a whole whilst satisfying the needs and wants of the customers c) Customers will think more about the society when they buy products d) Marketers should pay taxes to look after the well being of the society

11. A market orientation recognizes that:


a) Price is the most important variable for customersb) What the customer thinks he or she is buying is most importantc) Selling and marketing are essentially the same thingd) Sales depend predominantly on an aggressive sales force

12. When customer expectations regarding product quality, service quality, and value-based price are met or exceeded, _____ is created.

a) Customer satisfactionb) Planning excellencec) A quality riftd) A value line

13. Marketing decision makers in a firm must constantly monitor competitors' activities-their products, prices, distribution, and promotional efforts-because

a) The competitors may be violating the law and can be reported to the authoritiesb) The actions of competitors may threaten the monopoly position of the firm in its industryc) The actions of competitors may create an oligopoly within an industryd) New product offerings by a competitor with the resulting competitive variations may require adjustments to one or more components of the firm's marketing mix

14. Toyota's Prius and Honda's hybrid Civic are examples of technological products inspired by:

a) Style considerations in the Japanese automobile industryb) Social pressure to develop more fuel-efficient vehicles with fewer dangerous emissionsc) The desire of many engineers to simply make interesting productsd) The realization that Japanese people didn't need large, high-speed cars

15. The 'operations' in a passenger airline service would be:

a) The manufacture of the aircraft b) Getting passengers and baggage from A to B by means of flying in an aircraft

c) The design of the price structure and yield pland) Selling the tickets to passengers

16. In the value chain, primary activities are:

a) Directly involved in the production, marketing and delivery of the product or serviceb) Those activities that are all undertaken in-housec) Those activities that support the production, marketing and delivery of the product or

serviced) Directly involved in the production and delivery of the product or service

17. Marketing managers cannot control ____, but they can at times influence it.


a) Where advertising is placedb) The sales forcec) The external environmentd) How products are priced

18. The ACME Company sets its marketing budget by estimating the market leader's marketing spends. This approach to setting a budget is called

a) percent of sales methodb) objective and task methodc) marginal approachd) comparative parity method

19. Mr. Gupta is a marketer for a global consumer products company. He is working on the promotional campaign designed to reach a target audience in a new international market. Mr. Gupta is working hard to make sure that the promotional campaign is clearly understood by the nation's consumers and doesn't offend anyone. Which of the factors in the external environment is he being influenced by?

a) Socio-cultural environmentb) Competitive environmentc) Economic environmentd) Legal environment

20. Relationship Marketing is

a) The process of creating, building and managing long term relationship with customers, distributors and suppliers. b) Developing good relationships with other departments of the company c) Concerned with the developing exchanges with customers. d) The emphasis is to develop products that will satisfy customers and focus was basically on (single) transaction

21. Strategic marketing planning establishes the:

a) Resource base provided by the firm's strategyb) Economic impact of additional salesc) Tactical plans that must be implemented by the entire organizationd) Basis for any marketing strategy


22. Which of the following is NOT an internal factor that influences the consumer product acquisition process

a) Learningb) Familyc) Self-conceptd) Perceptions

23. With respect to consumer behaviour, one's friends, and relatives could be considered a:

a) Impersonal influenceb) Reference group influencec) Perceptual influenced) Institutional influences

24. When brands are difficult to categorize or evaluate and significant effort is required to analyze purchase alternatives, the type of consumer problem solving that typically results is

a) research analysis. b) extensive analysis buying. c) limited problem solving. d) evaluative problem solving.

25. The idea that a large percent of a product's sales revenues come from a relatively small, loyal group of its purchasers is the

a) true blue syndrome. b) cohort effect. c) 80/20 principle. d) purchase aggregation basis.

26. Toyota knows that some people want sports cars, others want vans, estate cars, or economy cars. In this case Toyota has found its markets to be:

a) heterogeneous b) undifferentiated c) focused d) homogeneous


Module II: Analyzing Consumers & Selecting MarketsThe factors influencing consumer behavior. The stages in the buying process, the buying decision making process, factors effecting the buying decision., Market Segmentations, Levels of Market Segmentations, Patterns, Procedures, Requirement for Effective Segmentation, Evaluating the Market Segments, Selecting the Market Segments, Tool for Competitive Differentiation, Developing a Positioning Strategy

27. With respect to consumer behaviour, the function of one's perceptions, learning and memory processes is to:

a) Attend to messagesb) Filter messagesc) Store messagesd) All of the above

28. Which of the following is typically NOT a result of recognizing the importance of ethnic groups by marketers?

a) Use of an undifferentiated one-size-fits-all marketing strategy b) Different pricing strategies for different groups c) Variations in product offerings to suit the wants of a particular group d) Study of ethnic buying habits to isolate market segments

29. The single group within society that is most vulnerable to reference group influence is

a) The older consumer who feels somewhat left out of thingsb) Married women, many of whom feel a need for stability in their livesc) New immigrants who really want to assimilate into their new cultured) Children, who base most of their buying decisions on outside influences

30. Which of the following can be described as an affective mental state?

a) Attitudes b) Opinions c) Values

d) Conative

31. Early adopters, of which opinion leaders are large comprised, tend to be:

a) Generalized; that is, they tend to lead the group on most issues b) More likely to buy new products before their friends do and voice their opinions about them

c) From the upper class; people from other classes are more likely to be followersd) Quiet, withdrawn people who don't make fashion statements or take risks easily

32. An imbalance between a consumer's actual and desired state in which recognition that a gap or problem needs resolving is called

a) Motive development b) An attitudes

c) A self-conceptd) Product Evalution


33. Which of the following is an assumption in Maslow's hierarchy of needs?

a) Needs are dependent on culture and also on social classb) Lower-level needs must be at least partially satisfied before higher needs can affect behaviour

c) Needs are not prioritized or arranged in any particular order d) Satisfied needs are motivators, and new needs emerge when current needs remain unmet

34. Opinions can be referred to as cognitive and

a) Is a measure of the emotional content of the opinionb) Deals with the aesthetic content of the opinionc) Refers to the individual's knowledge and information about an object or conceptd) Measures the speed with which one learns about others opinions

35. Providing free samples of perfumes (scent) in magazines is an example of which of the following?

a) Classical conditioningb) Operant conditioningc) Social learningd) Behavioural learning

36. Which of the following is NOT an example of habitual decision making?

a) Buying a latte from Starbucks every morning on the way to workb) Buying your favourite brand of shampoo in your fortnightly grocery shopc) Setting up a mortgage account with a new bankd) Running to the shop every Sunday to purchase the Sunday papers

37. Post purchase re-evaluation of the consumer product acquisition process attempts to measure the degree of:

a) Selling success experienced by the vendorb) Consumer satisfaction with the purchasec) Follow-up effectiveness of the firmd) Advertising influence on the purchase

38. Which of the following consumer buying behaviours requires the LEAST effort?

a) High involvement buying situationb) New buying situationc) Routine buyingd) Impulsive buying


39. The process that creates changes in behaviour is called:

a) Selective adaptationb) Learningc) Involvement manipulationd) Attitude adjustment

40. Of the following, which of the following would most likely be the factor having the greatest influence on the decision to buy a homogeneous shopping product?

a) the store's name and reputation b) the brand name of the product c) the price and perceived value of the product d) uniqueness of the product

41. The process of dividing a total market into market groups so that persons within each group have relatively similar product needs is called:

a) segmenting b) differentiating c) target marketing d) concentrating

42. By offering Signal for Kids (attractive taste for children), Regular Signal for cavity control, and Tartar Control Signal toothpastes, Unilever is segmenting the market based on:

a) benefits b) lifestyle c) demographics d) attitudes

43. To ensure the effectiveness of segmentation, the segments should be measurable, substantial, accessible, actionable and:

a) Differentiable b) Stable c) Economic d) Reachable


44. Skoda has launched a series of ads in which it attempts to demonstrate its Fabia’s; products superiority on selected passenger safety relative to competitive brands. It is attempting to _________ its product.

a) segment b) profile c) promote d) position

45. Key steps in consumer buyer behavior are

a) Purchace, information search, Problem recognition, Evaluation and Post purchase evaluation

b) Problem recognition, information search, evaluation of alternatives, Purchase decision, Post purchase evaluation

c) Purchase, Problem recognition, Complaining, getting a replacement d) Evaluation of alternatives, Purchase, Problem recognition, Information search, Post

purchase evaluation

46. Market Targeting is a process of

a) Subdividing the customers in the market to groups having simillar needs b) Placing the product in the collective mind set of the customers c) Choosing the market segments that the firm hopes to offer its products or services d) Offering one product to all the markets

47. Which of the following refers to process element of the marketing mix

a) Training and development of the staff b) Making the sales outlet look attractive c) Deciding the Capacity of customers that one sales person can handle d) Giving rewards for good members of the staff

48. Sanguine Services an Indian BPO practices a marketing strategy where its limited resources are used to go after a large share of two small niches. Sanguine practices which one of these strategies?

a) Differentiatedb) Concentratedc) Undifferentiatedd) Geographically dispersed


49. With concentrated marketing, the marketer goes after a ________ share of ________.

a) small; a large marketb) large; the mass marketc) small; a small marketd) large; one or a few niches

50. Brown's Pet Supplies divides the pet market according to the owners' race, occupation, income, and family life cycle. What type of segmentation does Brown use?

a) Demographicb) Psychographicc) Geographicd) Behavioral

51. We define a ________ as anything that can be offered to a market for attention, acquisition, use, or consumption that might satisfy a want or need

a) Brandb) Productc) Serviced) Consumer

52. Product planners need to think about products and services on three levels. The most basic level is the ________, which addresses the question, "What is the buyer really buying?"

a) Augmented productb) Actual productc) Core Productd) Base Product

53. An increasing number of retailers and wholesalers have created their own ________, also called store brands.

a) Private Brand


Module III: Managing Product & Pricing Strategies

Classification of products, New Product development, stages of product development, Adoption process, Product mix decisions and line management, Length, width and depth of a line, line analysis, and brand management, product life cycle, stages in lifecycle and factors affecting each stage, Managing product life cycles. Setting the price, adapting the price, initiating and responding the price changes

b) Global Brandc) Co Brandd) Consumer Brand

54. ________ occurs when two established brand names of different companies are used on the same product

a) Multi brandingb) Co brandingc) Brand extensiond) Cannibalization

55. The purchase of __________ is least likely affected by demographic factors

a) A carb) Table saltc) Personal computerd) Fast food

56. An example of convenience consumer product is

a) Petrol b) Sport watchc) Ambulance serviced) Stereo system

57. Items that are purchased routinely, do not become part of final physical product, and are treated like expense items rather than capital goods are called

a) Raw materialb) Accessory equipmentc) Component partd) Processing equipment

58. P&G manufactures at least eight different detergents, it illustrates:

a) Product mix widthb) Product mix consistencyc) Product mix depthd) Product item width

59. Aggressive pricing is typical during the _________ life-cycle-stage of the product

a) Introductionb) Growthc) Maturity


d) decline

60. A car towing service would be best described as what kind of product

a) Convenientb) Unsoughtc) Durabled) Shopping

61. Everyday low pricing is a strategy devoted to continuous low prices as opposed to

a) seasonal changes in prices based on current demand. b) purely cost-based prices that vary as the manufacturer's costs vary. c) relying on short-term price-cutting tactics such as cents-off coupons, rebates, and special sales. d) prices that are set daily, weekly, or monthly in reaction to competitors' actions.

62. The ideal suggested pricing strategy for a new brand of Tomato sauce would be

a) Skimming pricing strategy b) Skimming or penetrative pricing strategy c) Competitive or penetrative pricing strategy d) Competitive or skimming pricing strategy

63. A product mix is best described as

a) All products offered by the firmb) Product, distribution promotion and pricec) All products of a particular typed) All groups of closely related products

64. Wilsons’s K-28 and staff golf club sets would be part of golf product _________ for a sporting goods retailer.

a) Mixb) Line c) Width d) Depth

65. What measure of the product mix involves the number of product lines a company offer


a) Mixb) Linec) Widthd) depth

66. A carton of Orange Juice has no brand name on the package, only the name of the product ‘Orange Juice’. This is an example of

a) A manufacturer’s brandb) A generic brandc) A no-frills brandd) An own label brand

67. When a firm uses one of its existing brand names as part of brand name for an improved or new product, the branding is called

a) Individual brandingb) Overall family brandingc) Line family brandingd) Brand extension branding

68. Labeling is important for three reasons, including promotion and legal reasons. What is the third reason?

a) Marketingb) Brandingc) Informationald) Strategic

69. As Mukul works on the prototype of module for a new mission oriented game for Sony’s PSP, he’s at which stage of the new product development process

a) Idea generationb) Screeningc) Test marketingd) Product development

70. When Anderson Motors offers to let qualified buyers test drive the new ‘Saab’, the dealer is primarily trying to simulate which stage of product adoption process

a) Awarenessb) Interest c) Evaluation d) Trial


71. The owner of ‘Beauty Spot’ beauty salon is has difficulty in standardizing and controlling the quality of service that their customers receive in the salon. The problem represent which of the unique characteristics of services.

a) Intangibilityb) Inseparabilityc) Perishabilityd) Heterogeneity

72. Which of the following pricing objective is rarely operational because its achievement is difficult to measure

a) Profit maximizationb) Market sharec) ROId) Cash flow

73. The perception of price depends on

a) A product’s actual price and consumer’s expectations regarding the priceb) Consumer’s analysis of competitive pricec) Consumers price expectations d) A product’s actual price compared with manufacturer’s suggested price

74. Which of the following type of price discrimination can be seen in any market where excess capacity needs to be eliminated?

a) First degree discrimination b) Second degree discrimination c) Third degree discrimination d) Forth degree discrimination

75. Which of the following relating to price is considered as a key element in the marketing mix?

a) The size of the sales force b) The speed of an exchange c) Quality and cost controls d) The generation of total revenue


76. If the fee for MBA programme offered by the same private university cost different at different city campuses in a particular state, this would reflect which of the following pricing method

a) Price differentiationb) Base point pricingc) Transfer pricingd) Zone pricing

77. A penetration pricing policy is particularly appropriate when demand is

a) Increasingb) Decreasingc) Highly elasticd) Highly inelastic

78. Which of the following pricing policies may result in losing money on product

a) Price leadershipb) Psychological discountingc) Penetration pricingd) Special event pricing

79. The policy that assumes that demand is relatively inelastic over certain price ranges is called

a) Price liningb) Odd-even pricingc) Price skimmingd) Prestige pricing

80. Delta Airlines prices its tickets so that it is less expensive to travel on weekends than during weekdays when there is heavy business travel, this illustrates __________ pricing.

a) Psychological pricingb) Seasonal pricingc) Demand oriented pricingd) Competition oriented pricing


81. Today's sales representative's role in the promotion process has changed from that of persuader to that of

a) technician and expert on product repair. b) process designer. c) consultant and problem solver. d) close friend and confidant.

82. This retailing format, averaging 300,000 square feet in size, seeks to offer a combination of shopping, entertainment, and restaurants in an attractive environment preserving the intimacy of neighborhood retailing.

a) Such a shopping center is known as a power center. b) A facility of this magnitude is called a national mall. c) This type of facility is known as a lifestyle center. d) Most such centers are now known as downtowns.

83. When marketing partners share the cost of a promotional campaign that meets their mutual needs, the general term for the activity is

a) cross promotion. b) spending push money. c) trading promotion. d) partnership advertising

84. An example of a direct-selling strategy in the consumer goods market is

a) the party plan. b) agents calling on wholesalers. c) vending machines. d) telemarketing by industrial distributors.

85. Newsletters, catalogues, and invitations to organisation-sponsored events are most closely associated with the marketing mix activity of:

a) Pricingb) Distribution c) Product developmentd) Promotion

86. Distribution in a service may refer to


Module VI: Designing Distribution and Managing the Integrated CommunicationChannel functions and flows. Channel design decisions. Channel management decisions. Channeldynamics; vertical horizontal and multi channel marketing systems. Market Logistics decisions. Effective Communication, Integrated Marketing Communication, Marketing Communication Process, Promotion mix, Advertising, Personal Selling, Sales Promotion and Publicity and Public Relations, Direct Marketing

a) storage, handling and movement of goods from manufacturer to consumer b) Point at which the service is delivered c) Point at which service is promoted and communicated d) None of the above

87. In an integrated marketing communications program, which of the following is NOT one of the ways in which a customer may have contact with the organization?

a) direct mail b) personal letters from competitors c) personal selling d) Internet messages

88. In a simple economy of five producers and five consumers, there would be ____________ transactions possible without an intermediary and _____________ transactions possible with one intermediary

a) Twenty five; tenb) Ten; twenty fivec) Twenty; tend) Ten; twenty

89. A(n) is an independent business that sells complementary products of several producers in assigned territories and is compensated through commission

a) Industrial distributorb) Product agentc) Wholesaler d) Manufacturer’s agent

90. Décor Ltd. which makes, markets and retail paint and home decorating products in a coordinated channel is an example of

a) Administrated vertical marketing systemb) Corporate vertical marketing systemc) Channel networkd) Conventional marketing channel

91. What is the major source of channel conflict?

a) Degree of powerb) Role expectationsc) Loss of integration d) Role deviance


92. If an intermediary wants to carry Tide detergent and P&G agrees only if the supplier purchases P&G’s entire line of detergents as well, the company is engaging in which of the following channel management practice

a) Restricted sales territoriesb) Tying agreementc) Exclusive dealingd) Dual distribution

93. Which of the following wholesaler not only provides transportation and deliver products to retailers, but also provides the service of placing products on retailer’s shelves

a) Truck wholesalerb) Cash-and carry wholesalerc) Rack jobberd) Drop shipper

94. Kane products Ltd. a ___________ takes possession of truckloads of tomatoes, arrange for its storage and transport them to auctions to be sold.

a) Manufacturer’s agentb) Selling agentc) Commission merchantd) Commission broker

95. All of the following are types of limited-service merchant wholesalers except

a) Cash-and carry wholesalersb) Truck wholesalersc) Mail-order wholesalersd) Specialty-line wholesalers

96. Which one of the following is not a form of direct marketing?

a) Catalogue retailingb) Telemarketingc) Personal sellingd) Direct mail

97. The basic role of promotion is

a) Informationb) Manipulationc) Communicationd) Interpretation


98. If the aim of the promotion to introduce a new consumer product is to achieve high awareness level, the firm will most likely make heavy use of __________ in the promotional mix

a) Advertisementb) Personal sellingc) Sales promotiond) Publicity

99. All of the following are examples of publicity-based public relations tools except

a) Press conferenceb) Feature articlec) News released) Annual report

100. Coors advertise that its beer is the only one that is kept cold from breweries to stores. This type of advertising is called

a) Pioneerb) Competitivec) Comparatived) Institutional

101. Which of the following is most likely to stimulate customer loyalty?

a) Couponsb) Sweepstakesc) Frequent-user incentivesd) Premiums

102. The first step in selling process is

a) Pre-approachb) Sales presentationc) Prospecting

d) Overcoming objections

103. Green Marketing


Module V: Emerging Trends in MarketingAn Introduction to Internet Marketing, Multi Level Marketing, E-Marketing, Green Marketing, Event Marketing, Types of Events, Sponsorship, Cause Related Marketing, Marketing for Non Profit Organizations Marketing Strategies for Leaders, Challengers, Followers and Nichers

a) Making environment friendly products b) Making more products with natural ingredients c) Make use of more green colors in packages d) Educate marketers about the importance of natural environment

104. Distinction between not-for-profit and for-profit -- commercial -- firms is

a) more exact financial and marketing goals on the part of the not-forprofits. b) the inability of the not-for-profits to sell tangible goods. c) a different way of looking at the bottom line by the two different organization types. d) the greater amount of control the customers of the not-for-profits exercise on their acts

105. The problems associated with the decision of whether to lunch at Popeye's, Burger King, Taco Tico, or Little Saigon (a Vietnamese restaurant) illustrate

a) how direct competition affects consumer behavior. b) how some products and services are competitive substitutes for each other. c) the strange food tastes of some of us - I mean, Taco Tico? d) the universal nature of competition.

106. The Coca Cola organisation is an official sponsor of the Olympics. The firm is engaging in: a) Place marketing b) Event marketing c) Person marketing d) Organization marketing

107. Marketing Ethics are

a) The rules as to behavior of the personnel in the Marketing Department of a firm b) Moral principles that define right and wrong behavior in marketing c) Upholding teachings of major religions d) to preserve the culture of a society when marketing products

108. Television advertising that suggests that consumers take a proactive role in family health care by requesting that their physicians prescribe specific medications they see advertised raises issues of ethics in

a) product strategy. b) price strategy. c) distribution strategy. d) promotion strategy.

109. A critical marketing perspective is the process of determining: a) The value of a product, person, or idea


b) How places compete with each other c) The worth and impact of marketing activities d) Which type of promotional strategy works best

110. The way in which the product is delivered to meet the customers' needs refers to: a) New product concepts and improvements b) Selling c) Advertising and promotion activities d) Place or distribution activities

111. Financial Endowment is:a) A transfer of money or property donated to an institutionb) Pure Donationc) Online transfer of money to NGO’s Bank Accountd) Donation in Kind

112. Which of the following is common to both Social advertising and publicity?a) Paid Presentationb) Source control of Presentation

c) Nonpersonal presentationd) Known sponsorship of presentation

113. Crowd funding :a) Appeals to large corporate groups for small donationsb) Appeals to large number of people for small donationsc) Appeals to ordinary people for large donationsd) Appeals to funding agencies for large donations

114. Find the odd one out:a) Corporate Social Responsibilityb) Corporate Citizenshipc) Corporate Philanthropy d) Sustainable Responsible Business

115. Which of the following is a “category killer”? a) These are products which are must have products that need to be stocked by retailers due to consumer demand (e.g. Coca Cola & Kellogg’s) b) These are retail outlets with a narrow product focus but sell products at low prices by bulk buying, accepting low margins and selling high volumes c) These are retail outlets with a wide product focus but with an unusually wide width and depth to that product range

d) These are retail outlets with a narrow product focus but with an unusually wide width and depth to that product range


question bank

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marketing activities

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services d marketing

marketing plan

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