Consumer Behaviour Practice Exam
Course Introduction
Consumer Behaviour explores the psychological, social, and cultural processes that influence how individuals and groups select, purchase, use, and dispose of products, services, and experiences. The course examines theories and models from psychology, sociology, and economics to analyze factors such as motivation, perception, learning, attitude formation, and decision-making. Through case studies and real-world examples, students gain insights into how marketers can anticipate and respond to consumer needs, develop effective marketing strategies, and foster long-term customer relationships in an ever-evolving marketplace.
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Marketing 3rd Canadian Edition by
Dhruv Grewal
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Page 2
Chapter 1: Overview of Marketing
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Sample Questions
Q1) The trade of things of value between a buyer and a seller so that each is better off as a result is referred to as a(n):
A) demand.
B) want.
C) exchange.
D) necessity.
E) need.
Answer: C
Q2) For marketers,the key to determining prices is to:
A) vary the price of products frequently before finalizing.
B) focus exclusively on high organizational profitability.
C) figure out how much customers are willing to pay.
D) rely on the price range of competitors to determine pricing strategies.
E) involve employees in making price decisions.
Answer: C
Q3) Marketing cannot be designed to benefit an entire industry at a time.
A)True
B)False
Answer: False
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Page 3
Chapter 2: Developing Marketing Strategies and a Marketing Plan
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Q1) Which of the following is Qwerty most likely to do as part of its strategy?
A) It will announce bonus points for regular customers.
B) It will get celebrities to endorse its product.
C) It will start producing laptop accessories.
D) It will expand its operation to new countries.
E) It will begin a media campaign for marketing its product.
Answer: D
Q2) A product with a low market share that competes in a high-growth market is called a dog.
A)True
B)False
Answer: False
Q3) In the context of a SWOT analysis,which of the following is considered a company's weakness?
A) Changes in consumer behaviour
B) Lack of financial resources
C) Unfavourable political changes
D) Natural disasters that affect the company
E) Entry of new players into the industry
Answer: B
Page 4
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Chapter 3: Marketing Ethics
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Sample Questions
Q1) Explain how the trend of green marketing helps companies that sell environmentally friendly products.
Answer: For companies selling environmentally friendly products,this trend represents a great opportunity.The demand for green-oriented products has been a boon to the firms that supply them.For instance,marketers encourage consumers to replace their older versions of washing machines and dishwashers with water- and energy-saving models and to invest in phosphate-free laundry powder and mercury-free,rechargeable batteries.Canada's love affair with recycling also has created markets for recycled building products,packaging,paper goods,and even sweaters and sneakers.Similarly,this raised energy consciousness has spurred the growth of more-efficient appliances,lighting,and heating and cooling systems in homes and offices.Health-conscious consumers continue to fuel the markets for organic foods,natural cleaning and personal care products,air- and water-filtration devices,bottled water,and organic fertilizers.By offering environmental responsibility,these green products add extra value that other products do not have.
Q2) Generation Xers are also called millennials or the "echo boom" generation.
A)True
B)False
Answer: False
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Page 5
Chapter 4: Analyzing the Market Environment
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Sample Questions
Q1) Ishika is planning to throw a party for her friends in a restaurant.She tries to recall all the restaurants that she has visited over the years and weighs the pros and cons of each of these restaurants before coming to a decision.Which of the following is being exemplified in this scenario?
A) Habitual decision making
B) An internal search for information
C) Postpurchase dissonance
D) Impulse buying
E) An external search for information
Q2) Mia goes to the local bakery every morning to have her breakfast,which consists of a bagel with cream cheese and a freshly brewed cup of coffee.She has been doing this for the last 10 years.This is an example of:
A) impulse buying.
B) limited problem solving.
C) postpurchase dissonance.
D) ritual consumption.
E) extended problem solving.
Q3) Explain three examples of decision heuristics.
Q4) Explain Maslow's hierarchy of needs.
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Chapter 5: Consumer Behavior
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Q1) AutoParts Inc.is a firm involved in producing various electrical components used in the production of cars.The demand for its products is dependent on the demand for new cars.Which of the following best explains the demand for AutoParts' products?
A) Latent demand
B) Composite demand
C) Negative demand
D) Competitive demand
E) Derived demand
Q2) The role played by Arthur in the decision-making process is that of a(n):
A) influencer.
B) initiator.
C) buyer.
D) decider.
E) user.
Q3) What is derived demand?
Q4) The information search in the business-to-business process is more informal and less structured when compared to the business-to-consumer process.
A)True
B)False
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Chapter 6: Business-To-Business Marketing
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Sample Questions
Q1) Discuss the use of value as a positioning method with examples.
Q2) A company launches a wide range of perfumes.Customers can go to the company's store and combine the perfumes in different ways to create unique scents.This is an example of:
A) mass customization.
B) brand repositioning.
C) perceptual mapping.
D) ideal positioning.
E) brand extension.
Q3) A sports goods manufacturing company has started creating marketing campaigns to specifically target the female market.In this case,the segmentation approach used by the company is:
A) geographic segmentation.
B) benefit segmentation.
C) demographic segmentation.
D) loyalty segmentation.
E) psychographic segmentation.
Q4) Explain loyalty segmentation.
Q5) Explain the concept of positioning.
Q6) Explain the concentrated targeting strategy.
Page 8
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Chapter 7: Global Marketing
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Q1) The data obtained from which of the following research techniques is likely to be acquired by leading marketing research firms to help other firms assess the market activity?
A) Scanner research
B) Panel research
C) Survey research
D) Experimental research
E) Exploratory research
Q2) Which of the following best describes primary research?
A) It reduces data collection costs.
B) It saves data collection time because the data is readily available.
C) It offers behavioural insights and answers specific questions.
D) The information obtained from this research may not be as timely as needed.
E) The information obtained from this research may not be relevant to a company's information needs.
Q3) What is syndicated data? List any three firms that provide syndicated data and the type of data they offer.
Q4) What is biased data?
Q5) Explain the method of projective technique used for data collection in market research.
9
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Chapter 8: Segmentation, Targeting, and Positioning
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Q1) What is relative advantage? Give an example of how relative advantage can influence the speed of diffusion.
Q2) What advantages do pioneers have in a market?
Q3) How does market testing help in the promotion of products?
Q4) Which of the following is the stage of the product life cycle that is characterized by a peak in sales and a high number of competitors and competitive products but a gradual decline in profits?
A) Introduction
B) Growth
C) Maturity
D) Decline
E) Initiation
Q5) The method used by the team of engineers at BG-Mobile Corporation to test the product prototype is known as:
A) beta testing.
B) concept testing.
C) test marketing.
D) premarket testing.
E) alpha testing.
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Chapter 9: Marketing Research
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Sample Questions
Q1) A farm markets meat products.It has acquired the right to use the brand name of Piritteo Hotels.This scenario is an example of:
A) brand valuation.
B) brand commitment.
C) brand licensing.
D) brand extension.
E) brand dilution.
Q2) Product mix breadth refers to the number of:
A) products in the shopping basket of a customer.
B) benefits offered along with a single product.
C) additional free items that a customer receives with a product.
D) product lines offered by a firm.
E) features offered with a product.
Q3) Products and services used by people for their personal use are called:
A) personal products.
B) consumer products.
C) private products.
D) personalized products.
E) consumable products.
Q4) Explain why packaging is important for retailers.
Page 11
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Chapter 10: Product, Branding, and Packaging Decisions
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Sample Questions
Q1) How do service providers reduce service inconsistency?
Q2) A daycare at a technology park in Saskatoon enables parents to watch their kids via a CCTV camera by streaming the video via a secure link.This technology helps parents make sure that their kids are comfortable at the daycare.What does this resource add to the daycare's services?
A) Variability
B) Dissociability
C) Tangibility
D) Inconsistency
E) Conceptuality
Q3) A retirement home has provided bicycles to its residents to help them move around the housing area.However,the residents are not keen on using this service and prefer to use golf carts instead.This is an example of which type of gap?
A) Communication
B) Delivery
C) Standards
D) Knowledge
E) Common
Q4) What is the knowledge gap? How can it be reduced?
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Chapter 11: Developing New Products
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Sample Questions
Q1) A clothing line company promises a large price reduction to its wholesalers if they feature the company's goods in their promotional campaigns.This is an example of a(n):
A) seasonal discount.
B) advertising allowance.
C) odd price.
D) listing allowance.
E) cash discount.
Q2) The maximizing profits strategy primarily relies on:
A) advertising theory.
B) management theory.
C) marketing theory.
D) relativity theory.
E) economic theory.
Q3) All three gyms decide to charge a higher fee from men.This is an example of:
A) predatory pricing.
B) vertical price fixing.
C) external reference allowance.
D) price discrimination.
E) bait and switch.
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Page 13
Chapter 12: Services: The Intangible Product
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Sample Questions
Q1) With a push strategy,a manufacturer focuses its promotional efforts on:
A) channel members to convince them to carry its product.
B) customers to create more demand for specific brands.
C) reducing the number of its intermediaries.
D) creating demand for the company's products as a whole.
E) selling products by using new channels such as the Internet.
Q2) What are direct distribution channels? Give an example of a company that uses direct distribution.
Q3) A retail store that sells multiple brands helps brands obtain competitive intelligence about the customers.Which of the following intermediary functions does this relate to?
A) Physical distribution
B) Financing
C) Promotion
D) Risk taking
E) Gathering information
Q4) Explain how supply chain management affects marketing.
Q5) Explain a distribution channel.
Q6) Briefly explain indirect distribution and provide an example of a company that uses it.
14
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Chapter 13: Pricing Concepts for Establishing Value
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Q1) Retailers that provide convenient store layouts that make shopping faster and easier for customers are concentrating on the retail mix component of:
A) product.
B) place.
C) presentation.
D) price.
E) process.
Q2) Which of the following is a type of a big-box food retailer?
A) Specialty store
B) Off-price retailer
C) Category specialist
D) Drugstore
E) Hypermarket
Q3) Drugstores have high profit margins on pharmaceutical products.
A)True
B)False
Q4) What limitations do store-based retailers face when marketing products?
Q5) How can multichannel retailers use the electronic channel to increase their share of wallet?
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Chapter 14: Strategic Pricing Methods
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Sample Questions
Q1) You are the marketing manager of a company that deals in hockey equipment.The company has launched a new series of hockey sticks in the market.It has also asked a few national-level hockey players to endorse the product.The endorsement would be aired on national television in the form of an ad.How would you assess the effectiveness of the advertising campaign?
Q2) A company specializes in technical gadgets for home security.Its advertisements focus on the fear of threat and the potential dangers that loved ones might face in case a home is left unguarded.This is an example of:
A) esteem appeal.
B) emotional appeal.
C) physiological appeal.
D) ethos appeal.
E) social appeal.
Q3) Catalogues are particularly important for companies with no bricks-and-mortar locations.
A)True
B)False
Q4) You have opened a new gym.How would you use direct marketing to attract target customers to it?
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Chapter 15: Supply Chain and Channel Management
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Sample Questions
Q1) Which of the following protects messages with no promotional or selling intent?
A) Health Canada Food and Drug Act
B) Charter of Rights and Freedoms
C) Veteran's Bill of Rights
D) Canadian Radio-television and Telecommunications Commission
E) Competition Act
Q2) Which of the following is an example of a trade channel sales promotion?
A) Customer loyalty program
B) Co-operative advertising
C) Product placement
D) Promotional contest
E) Point-of-purchase display
Q3) Which of the following types of advertisements is used to inform,persuade,and remind consumers about issues related to places,politics,an industry,or a particular corporation?
A) Public service advertisements
B) Operational advertisements
C) Institutional advertisements
D) Societal advertisements
E) Product-focused advertisements
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Chapter 16: Retailing and Multichannel Marketing
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Q1) Which of the following is true of Facebook?
A) It is a corporate blog designed to allow marketing managers to maintain a two-way dialogue directly with end users.
B) It allows companies to broadcast from their own channel,that is,a site that contains content relevant only to the company's own products.
C) It enables sharing updates,news,and opinions,as well as monitoring popular news stories and tracking growing trends.
D) It is designed as a platform for gaming communities to interact online and draw in new customers interested in gaming.
E) It is an exclusive forum for professionals and entrepreneurs to build their networks.
Q2) Facebook fan page is an example of a(n):
A) personal blog.
B) media-sharing website.
C) owned media platform.
D) mobile application software.
E) paid media interface.
Q3) How does mobile media influence the market?
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Chapter 17: Integrated Marketing Communications
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Q1) Indirect exporting offers greater profits to the exporting firm,as it carries the least risk.
A)True
B)False
Q2) Which of the following trade agreements represents the highest level of integration across individual nations?
A) The NAFTA
B) The CAFTA
C) The EU
D) The GATT
E) The ASEAN
Q3) Firms engaging in franchising have limited control over the market operations in the foreign country.
A)True
B)False
Q4) Describe Geert Hofstede's cultural dimensions concept.
Q5) What is a trade agreement and what does a trading bloc have to do with a trade agreement?
Q6) Define the term "infrastructure" and provide some examples.
Q7) What is glocalization?
Page 19
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Chapter 18: Advertising, Public Relations, and Sales Promotions
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Q1) Keith Inc.,a multinational firm,has extensive business operations in less developed countries.In one such country,Keith recently introduced a policy wherein it will donate 2 percent of its net profit to educational institutions with poor infrastructure.However,Keith was imposed a fine of $60,000 for violating the fair wage standards in the same country.Which of the following best exemplifies Keith's activity?
A) A firm with a strong focus on the triple bottom line
B) Socially responsible firm involved in unethical practices
C) Ethical firm not involved with the larger community
D) Both ethical and socially responsible
E) Neither ethical nor socially responsible
Q2) DrinkUp Beverages Inc.was forced to withdraw the promotion of its alcoholic beverages after it was criticized for advertising the products to children younger than 18 years old.In this scenario,DrinkUp's ethical error was the failure to consider whether it:
A) wanted to include its commitment to ethics in its mission statement.
B) should relocate its production to another country.
C) targeted the appropriate market segment.
D) priced the product at affordable rates.
E) was prepared to support the development of an ethical climate.
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