Marketing Management

501. In product life cycle growth stage, the marketing objective is to:

  1. create product awareness
  2. maximize market share
  3. defend market share and profits
  4. reduce expenditure
Correct answer: (B)
maximize market share

502. Compared to multiple brands in a single market, a single brand in a single market is inferior in terms of:

  1. marketing impact
  2. overall advertising costs
  3. retail shelf space
  4. economies of scale
Correct answer: (C)
retail shelf space

503. Companies pursue survival as their major objective if they are plagued with ______________.

  1. legal prosecution
  2. weak competition
  3. static consumer wants
  4. shareholder activism
  5. overcapacity
Correct answer: (E)
overcapacity

504. The number of intermediaries are severely limited in

  1. Exclusive distribution
  2. Selective distribution
  3. Intensive distribution
  4. None of the above
Correct answer: (A)
Exclusive distribution

505. A private-label brand is developed by:

  1. Wholesalers
  2. Retailers
  3. Both a and b
  4. None of the above
Correct answer: (C)
Both a and b

506. Competitors in growth stage of product life cycle are:

  1. Few
  2. Growing number
  3. Stable but begins declining
  4. Declining number
Correct answer: (B)
Growing number

507. When two established brands work together, on an offering to generate increased consumer appeal and attraction is called:

  1. brand licensing.
  2. co-branding.
  3. brand extensions.
  4. brand stretching.
Correct answer: (B)
co-branding.

508. All of the following would be possible advantages of co-branding EXCEPT:

  1. combined brands create broader consumer appeal.
  2. combined brands create greater brand equity.
  3. combined brands always offer economies of scale and reduced prices.
  4. combined brands allow a company to expand its existing brand into other categories.
Correct answer: (C)
combined brands always offer economies of scale and reduced prices.

509. At breakeven point which of the following holds true?

  1. Total expense=Total revenue
  2. Total expense>Total revenue
  3. Total expense<Total revenue
  4. All of the above
Correct answer: (A)
Total expense=Total revenue

510. This is where one channel member perceives another channel member to be acting in a way that prevents the first member from achieving its distribution objectives:

  1. Channel Communication
  2. Channel Conflict
  3. Channel relationship
  4. Customer conflict
Correct answer: (B)
Channel Conflict
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