Header Ads

Marketing Awareness - Theory Two

I. Choose the correct alternatives for each of the following statements.
a. Out of the following, _____ is not an objective of pricing.
i. profit ii. stabilizing demand and sales of the product iii. improvement in product quality iv. expansion of business
b. Of the following pricing methods, _____ is not based on competitors pricing
i. English auction ii. sealed – bid auction iii. going-rate pricing iv. Group pricing
c. Of the following pricing strategies, _____ is not ideal for new products
i. market – skimming ii. discriminatory pricing iii. market – penetration iv. Promotional pricing
II. State for each of the following statements whether it is true or false:
a. Price for any product is a constant
b. One of the objectives of pricing is getting cash inflows at the required time
c. Perceived value pricing takes the buyers’ perception into account
Answers: I: a. iv b. iv c. ii

II: a. false b. False c. True

I. Choose the correct alternatives for each of the following statements.
a. A _____discount is offered by the seller to intermediary who performs functions like selling, storing and record keeping.
i. quantity ii. trade iii. cash iv. seasonal
b. In market skimming pricing strategy:
i. initially price is lower and then it is increased ii. initial price is high and is maintained high iii. initial price is low and is maintained low iv. Initially price is higher and then it is reduced
c. Bank of Hopefuls is offering 1% higher interest rate on fixed deposit to senior citizens of 60 years and above. It is practicing _____
i. promotional pricing ii. psychological pricing iii. segmental pricing iv. Product mix pricing
d. With _____ pricing, the products are priced below list price (or even below cost) for a temporary period to create buying urgency
i. reference ii. by-product iii. market penetration iv. promotional
e. Of the following pricing methods, _____ is not cost based method.
i. value pricing ii. target-return pricing iii. mark-up pricing iv. marginal cost pricing

I. Ans. a. ii b. iv c. iii d. iv e. i

II. State for each of the following statements whether it is true or false:
a. Trade discount is also called a functional discount.
b. An aspect of psychological pricing is reference prices – prices that buyers carry in their minds and refer to when looking at a give product.
c. A firm should set a single price for a product and keep it constant as it moves through its life cycle.
d. For segmented pricing to be effective, members of the segment paying the lower price should be able to resell the product to the segment paying the higher price.
e. With product-form segmented pricing, different variants of the products are priced differently, but not according to their costs.
Ans. II. a. True b. True c. False d. False e. True

III. Match the items from column ‘A’ to column ‘B’:
a. Factor influencing price i. Ownership of firm
b. Pricing method based on cost ii. Two-part pricing
c. Pricing strategy for new product iii. Loss-leader pricing
d. Promotional pricing iv. Cash rebates
e. Product-mix pricing v. Quantity discount
vi. Market-penetration pricing
vii. Usage characteristics of product
viii. Target-return pricing
ix. Sealed-bid auction
x. Group pricing

a. vi. b. viii c. vi d. iv e. ii

I. Choose the correct alternative for the following statements.
a. Marketing channel refers to _____.
i. a physical channel for movement of goods in them from the seller to the buyer
ii. a set of firms who handle the physical movement of goods from one point to another.
iii. different departments of the producer firm which are associated in ensuring delivery of goods to the buyer.
b. The functions of distribution channel do not include _____.
i. gathering and providing market information ii. marketing research iii assisting the consumer in understanding and using the goods iv. promoting the sales of goods
c. Of the following characteristics _____ is found only in some services like banking and not found incase of many services
i. inseparability ii. variability iii. client relationship iv. perishability
II. State whether these statements are true or false
a. The maximum number of entities at any of the levels in a distribution channels is called the length of the channel.
b. In selection of the marketing channel, the product characteristics are relevant and market characteristics are of no consequence.
c. Banking is a service industry, however, as it is experience oriented, the layout of the branch along with the interior décor make an impact on the customer.

Ans. I. a. iv b. ii c. iii
ii. a. False b. False c. True
I. Choose the correct alternatives for each of the following statements:
a. Distribution channels carry out the following functions except _____
i. Physical distribution ii. Fixing the price iii. Matching the offer Iv. Risk taking
b. A direct marketing channel is also called as _____ level channel
i. three ii. two iii. one iv. zero
c. computerized banking services have helped in working around the following characteristic:
i. perishability and client relationship ii. inseparability and client relationship iii. variability and persihability iv. inseparability and intangibility
d. Of the following intermediaries, _____ are not found working for banks.
i. direct sales agents ii. wholesalers iii. automobile dealers iv. merchant establishments
e. the following is not among the tasks performed under physical distribution _____
i. storage of goods ii. taking orders iii. forecasting demand for product iv. servicing of the product

I. a. ii b. iv c. iv d. ii e. iv

II. State for each of the following statements whether it is true or false
a. For industrial products direct marketing channel is better suited
b. The location of the bank branches should be convenient for maintaining management control due to risky nature of banking business irrespective of the customer convenience
c. The branch network of a bank is affected by RBIs policy among other factors
d. Physical distribution of marketing distribution channel does not have an effect on service
e. The two main modes of transport for goods in India are rail and road.
II. a. True b. False c. True d. False e. True

III. Match the following from column ‘A’ to column ‘B’:
A. Distribution Channel i. Direct Channel
B. Number of Levels ii. Indirect Channel
C. Perishable Products iii. Levels
D. Strong Competition iv. Length of Marketing Channel
E. Distribution Centres v. Two or Three Level Channel
vi. Location of Distributors
vii. Storage Warehouse Equipped To Dispatch Goods Quickly on Receipt Of Orders.
Ans. a. iii b. iv c. I d. v e. viii

No comments

Powered by Blogger.