Services Marketing Exam Bank
Course Introduction
Services Marketing explores the unique challenges and strategies involved in marketing intangible products and experiences. The course examines the distinguishing characteristics of services, such as intangibility, inseparability, variability, and perishability, and discusses their implications for marketing management. Students learn how to develop effective marketing mixes for services, manage customer relationships, ensure service quality, and enhance customer satisfaction and loyalty. Key topics include service design, the role of frontline employees, service delivery processes, and the use of technology in service marketing. Through case studies and practical projects, students gain hands-on experience in creating and implementing successful service marketing strategies across a variety of industries.
Recommended Textbook
Marketing Management 13th Edition by Phil Kotler
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Page 2
Chapter 1: Defining Marketing for the 21st Century
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Q1) ________ actively work to build a strong,favorable,and unique image in the minds of their target publics.
A) Information
B) Shopping goods
C) Durable goods
D) Organizations
E) Properties
Answer: D
Q2) One traditional depiction of marketing activities is in terms of the marketing mix or four Ps.The four Ps are characterized as being ________.
A) product, positioning, place, and price
B) product, production, price, and place
C) promotion, place, positioning, and price
D) place, promotion, production, and positioning
E) product, price, promotion, and place
Answer: E
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Chapter 2: Developing Marketing Strategies and Plans
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Q1) The task of any business is to deliver ________ at a profit.
A) customer needs
B) products
C) customer value
D) products and services
E) improved quality
Answer: C
Q2) Companies normally measure their profit performance using ROI; however,this approach suffers because profits are arbitrarily measured and subject to manipulation.
A)True
B)False
Answer: True
Q3) If a company sought to expand the number of existing products sold to its current markets,it would use an integrative growth strategy labeled as "market-penetration strategy."
A)True
B)False
Answer: True
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4
Chapter 3: Gathering Information and Scanning the Environment
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Q1) An important force affecting business is the ________-a movement of citizens and government organized to strengthen the rights and powers of buyers in relation to sellers.
A) lobbyist movement
B) consumerist movement
C) environmental movement
D) self-rights movement
E) ethical reform movement
Answer: B
Q2) Every new technology is a force for "creative destruction."
A)True
B)False
Answer: True
Q3) The United States has one of the world's highest percentages of college-educated citizens.What does this mean for both marketers and employers
Answer: As a marketer,the high percentage of college-educated citizens in the United States suggests that there should be high demand for quality books,magazines,and travel.As an employer,this means that there should be a high supply of skilled potential employees.
Page 5
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Chapter 4: Conducting Marketing Research and Forecasting Demand
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Q1) After developing the research plan,the marketing researcher should define the problem and research objectives.
A)True
B)False
Q2) A stakeholder-performance scorecard tracks the satisfaction with the company and its products and services among such entities as suppliers,banks,and stockholders.
A)True
B)False
Q3) Probability sampling allows confidence limits to be calculated for sampling error and makes the sampling more representative.
A)True
B)False
Q4) If you needed to collect primary data and were seeking to use the research instrument that is considered to be the most common method for obtaining that type of data,what type of instrument would you select
Q5) Describe a marketing decision support system (MDSS).
Q6) Create a question and an associated scale that illustrate a purchase probability scale.
Page 6
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Chapter 5: Creating Customer Value, Satisfaction, and Loyalty
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Q1) A 5% reduction in the customer defection rate can increase profits by 25% to 85%,depending on the industry.Explain how this is so.
Q2) If a company were to focus its marketing efforts on all the experiences the customer will have on the way to obtaining and using the offering,it would be focusing its marketing efforts on the customer's ________.
A) perception system
B) cost versus benefit system
C) demand
D) psychological system
E) value delivery system
Q3) Managers who believe the customer is the company's only true "profit center" consider the traditional organization chart to be obsolete.
A)True
B)False
Q4) The average company loses 25% of its customers each year.
A)True
B)False
Q5) Discuss the concepts of a data warehouse and datamining.
Q6) Define the term quality.
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Chapter 6: Analyzing Consumer Markets
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Q1) A(n)________ puts people into a frame of mind: liking or disliking an object,moving toward or away from it.
A) attitude
B) belief
C) feeling
D) position
E) stance
Q2) Explain the differences between culture,subculture,and social class.
Q3) Marketers use all of the following techniques to convert a low-involvement product into one of high involvement EXCEPT ________.
A) linking the product to some involving personal situation
B) linking the product to some involving issue
C) designing advertising to trigger strong emotions related to personal values or ego defense
D) adding an important feature
E) raising the price
Q4) Explain the concept of multicultural marketing.
Q5) People can emerge with different perceptions of the same object because of three perceptual processes.List and briefly characterize those processes.
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Chapter 7: Analyzing Business Markets
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Q1) The business marketer normally deals with ________ buyers than the consumer marketer does.
A) more and larger
B) more and smaller
C) fewer and larger
D) fewer and smaller
E) the same number of
Q2) The ________ market consists of schools,hospitals,nursing homes,prisons,and other institutions that must provide goods and services to people in their care.
A) vertical
B) nonprofit
C) spot
D) secondary business
E) institutional
Q3) In the buygrid framework model,where the major stages of the industrial buying process are listed and characterized,supplier selection is an important process.What follows supplier selection and what occurs in this phase
Q4) List the stages (buyphases)of the industrial buying process.
Q5) Explain the concept of solution selling.Give one example of this approach.
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Chapter 8: Identifying Market Segments and Targets
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Q1) According to PRIZM,the ________ cluster is characterized as being in their late forties and fifties,college-educated,upper-middle-class homeowners that married late and are still raising children in comfortable suburban subdivisions and are still pursuing kid-centered lifestyles
A) Cosmopolitans
B) Beltway Boomers
C) Young Digerati
D) Winner's Circle
E) Old Milltowns
Q2) The key to attracting potential users,or even possibly nonusers,is ________.
A) understanding the reasons they are not using
B) offering financial incentives for first-time use
C) increasing the usage rate of existing users
D) developing a new product that better meets their needs
E) increasing advertising expenditures
Q3) Each person involved in a buying decision plays only one of five roles: Initiator,Influencer,Decider,Buyer,or User.
A)True
B)False
Q4) Identify three ways that shopping behaviors differ between men and women.
Page 10
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Chapter 9: Creating Brand Equity
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Q1) Brand resonance is associated with how a brand name sounds when said by spokespersons or consumers.
A)True
B)False
Q2) Marketers introduce multiple brands in a category for all of the following reasons EXCEPT ________.
A) to increase shelf presence and retailer dependence in the store
B) to attract consumers seeking variety who may otherwise have switched brands
C) to increase internal competition within the firm
D) to yield economies of scale in advertising, sales, and merchandising
E) to reduce manufacturing costs and complexity
Q3) When a consumer expresses thoughts,feelings,images,experiences,beliefs,and so on that become associated with the brand,the consumer is expressing brand ________.
A) knowledge
B) loyalty
C) behavior
D) preference
E) equity
Q4) Describe the meaning and function of a brand audit.
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Chapter 10: Crafting the Brand Positioning
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Q1) While looking a series of special-case product life cycles,you observe that one of the life cycles has had a rapid growth in sales resulting in a severe peak of the sales curve followed by a rapid decline.Which of the following product life-cycle curves is most likely represented by the above illustration
A) Style life cycle
B) Fashion life cycle
C) Fad life cycle
D) Niche life cycle
E) Techno life cycle
Q2) One strategy for sustaining rapid growth during the growth stage of the product life cycle is for the firm to add flanker products.
A)True
B)False
Q3) One of the chief advantages of using the product life cycle as a forecasting procedure is that product life-cycle patterns have proven to be stable in shape and duration.
A)True
B)False
Q4) List five things you could do as a marketer to build a breakaway brand.
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Chapter 11: Dealing with Competition
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Q1) An industry is a group of firms that offer a product or class of products that are close substitutes for one another.
A)True
B)False
Q2) Once a company has identified its main competitors and their strategies,it must next ask: ________
A) What are the competitors' objectives
B) What are the competitive brand attributes
C) What are the competitive promotion schemes
D) What is the attrition rate in the market
E) What are the subtle market entrance requirements
Q3) Greyhound and Amtrak have seen profitability threatened by the rise of air travel.These companies have experienced the threat of ________.
A) buyers' growing bargaining power
B) suppliers growing bargaining power
C) new entrants
D) substitute products
E) intense segment rivalry
Q4) What differentiates a "good" competitor from a "bad" one
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Chapter 12: Setting Product Strategy
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Q1) ________ refers to training the customer's employees to use the vendor's equipment properly and efficiently.
A) Customer training
B) Internal marketing
C) Client marketing
D) Customer relationships
E) Technical training
Q2) Every company's product line covers a certain part of the total possible range of products and consumer levels.
A)True
B)False
Q3) Various factors have contributed to the growing use of packaging as a marketing tool and include all of the following EXCEPT ________.
A) self-service
B) consumer affluence
C) consumer influence
D) company and brand images
E) innovation opportunities
Q4) Explain the concepts of product-line width,length,depth,and consistency.
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Chapter 13: Designing and Managing Services
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Q1) Clients judge the service outcome not only by its ________ but also by its functional quality.
A) length of time
B) price
C) attributes
D) completeness
E) technical quality
Q2) One of the special features of services marketing is the provider-client interaction.This is defined as when the client is also ________ as the service is produced.
A) prominent
B) productive
C) producing
D) present
E) paying
Q3) In developing a service blueprint,your firm has outlined each step in the delivery process of the service it provides.The development of a service blueprint is an attempt to minimize what element or characteristic of a service
Q4) How has the Internet empowered customers with complaints
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Chapter 14: Developing Pricing Strategies and Programs
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Q1) If demand changes considerably,we say that the demand is ________.
A) equal
B) elastic
C) inelastic
D) marginal
E) none of the above
Q2) Companies sometimes initiate price cuts in a drive to dominate the market through lower costs.One of the possible traps of a price-cutting strategy is ________.
A) secure target market customer
B) consistent high-quality consumer
C) dependence on a firm market
D) loyal customer market
E) shallow pockets
Q3) Movie matinees are priced lower than the evening shows; afternoon ball games are sometimes priced cheaper than the evening games,television advertising costs less when run after midnight.These are examples of what type of price discrimination
Q4) Explain the difference between everyday low pricing (EDLP)and high-low pricing.
Q5) How do EDLP and high-low pricing strategies affect consumer price judgments
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Chapter 15: Designing and Managing Integrated Marketing
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Q1) As the "channel manager" for your firm,you have been asked by senior managers to identify new distribution channels for the launch of a new product.Your presentation describes a channel alternative as having three sets of elements.What are the three elements that would be contained in your presentation
Q2) When two or more unrelated companies put together resources or programs to exploit an emerging marketing opportunity,it is called a ________.
A) coop marketing system
B) horizontal marketing system
C) financial marketing system
D) vertical marketing system
E) cross-marketing system
Q3) Companies can choose from a wide variety of channels for reaching customers-from sales forces to agents,distributors,dealers,direct mail,telemarketing,and the Internet.
A)True
B)False
Q4) Habitual shoppers purchase from the same places in the same manner over time.
A)True
B)False
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Chapter 16: Managing Retailing, Wholesaling, and Logistics
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Q1) Wholesaler-distributors have faced mounting pressure in recent years.They have had to develop appropriate strategic responses.One major drive has been to increase ________ productivity by managing their inventories and receivables better.
A) product assortment
B) buying practices
C) personnel
D) asset
E) products
Q2) The amount of time shoppers spend in a store is perhaps the single most important factor in determining how much they will buy.
A)True
B)False
Q3) Your division has a new general manager.As part of his stated tasks,he believes in "getting the right goods to the right places at the right time for the least cost." As your company's logistics manager,you know that this objective provides little practical guidance and could in fact be detrimental to the company objectives.How would you formulate a response to the new general manager to convince him to change his "position" regarding customer service
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Chapter 17: Designing and Managing Integrated Marketing Communications
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Q1) Creative strategies are how marketers translate their messages into a specific communication.Creative strategies can be broadly classified as involving either informational or ________ appeals.
A) branded entertainment
B) point-of-purchase
C) advertorials
D) transformational
E) individualization
Q2) In assessing the collective impact of an IMC program,the marketer's overriding goal is to create the most effective and efficient communications program possible.The criterion of ________ is the proportion of the audience reached by each communication option employed,as well as how much overlap exists among communication options.
A) coverage
B) contribution
C) commonality
D) complementarity
E) versatility
Q3) Integrated marketing communications has been slow to take hold for several reasons.List these reasons.
Page 19
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Chapter 18: Managing Mass Communications:
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Q1) Advertising's sales effect is generally no more difficult to measure than its communication effect.
A)True
B)False
Q2) One of the advantages of print ads is that they can provide dynamic presentations and demonstrations as well as provide much detailed information.
A)True
B)False
Q3) In product placement advertisements,marketers pay a fee to have their products make cameo appearances in movies,films,and television shows.
A)True
B)False
Q4) Explain how format elements of a print ad can impact the ad's impact.
Q5) Explain the concept of "reach."
Q6) Advertising in the Yellow Pages offers excellent local coverage and wide reach at low cost,but also carries high competition and creative limitations.
A)True
B)False
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Chapter 19: Managing Personal Communications:
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Q1) One of the challenges in designing a Web site is to create one that is both attractive on first viewing and interesting enough for repeat visits.
A)True B)False
Q2) New representatives may spend as little as 4 weeks to as much as 28 weeks in training,depending upon the complexity of the products and the industry.
A)True B)False
Q3) An important guideline to be followed in conducting an e-mail campaign is to ________.
A) personalize the e-mail with the subscriber's first and last name
B) make the consumer the same offering as in your direct-mail campaign
C) make it difficult for the consumer to "unsubscribe" from your list
D) update your e-mail lists once or twice a year
E) offer something the customer could not get via direct mail
Q4) E-mail campaigns are generally twice as expensive as traditional direct-mail campaigns.
A)True B)False
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Chapter 20: Introducing New Market Offerings
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Q1) Most established companies focus on incremental innovation,which is the gradual improvement of existing products.
A)True
B)False
Q2) Not all companies undertake market testing.What factors influence the amount of market testing a product receives
Q3) One of the characteristics that affects the adoption of a product is compatibility,which is defined as the degree to which the innovation matches the values and experiences of the individuals.
A)True
B)False
Q4) Differentiate between a product idea and a product concept.
Q5) Most established companies focus on ________ when it comes to innovation.
A) incremental innovation
B) continuous innovation
C) everyday innovation
D) demand innovation
E) competitive innovation
Q6) Describe concept testing as it is used to manage the development process.
Page 22
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Chapter 21: Tapping into Global Markets
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Q1) Domestic-based export merchants buy the manufacturer's products and then sell them abroad.
A)True
B)False
Q2) A Gucci bag sells for $120 in Italy and $240 in the United States due to the differences in the costs of distributing the product in the two countries.This phenomenon is called a
A) strategic marketing pricing problem
B) market pricing problem
C) tactical pricing problem
D) price escalation problem
E) transfer pricing problem
Q3) Outline the major decisions that a firm must undergo in making a decision to market internationally.
Q4) Major decisions to enter the international marketplace and to conduct international marketing do not include deciding on how to enter the market.
A)True
B)False
Q5) Define the internationalization process's four stages.
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Chapter 22: Managing a Holistic Marketing Organization
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Q1) ________ is the acquiring or merging with firms in the same or complementary industries to gain economies of scale and scope.
A) Merging
B) Globalizing
C) Accelerating
D) Empowering
E) Outsourcing
Q2) The main advantage of a functional marketing organization is its ________.
A) ease of reporting
B) reduced staff requirements
C) administrative simplicity
D) overlapping responsibilities
E) increased work load requirements
Q3) There are three types of potential product-team structures.These are ________.
A) vertical, triangular, and horizontal product teams
B) vertical, horizontal, and circular product teams
C) horizontal, vertical, and rectangular product teams
D) horizontal, vertical, and flattened product teams
E) vertical, rectangular, and circular product teams
Q4) Discuss BAMT.
Page 24
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