Multiple choice Items: choose the right answer from the alternatives (1 Point each).

1. ________ anything that can be offered to a market for attention, acquisition use or
consumption that might satisfy a need or want.
A. Marketing
B. Management
C. Product
D. Economics
2. The marketing task under ________ is analyzing why the market dislikes the product, &
focus on product redesign, lower prices, and more positive promotion to change the
markets beliefs and attitudes
A. No demand
B. Full demand
C. Overfull demand
D. Negative demand
3. _________is the difference between the benefits that the customer gains from owning
and/or using a product and the costs of obtaining the product.
A. Customer Value
B. Customer Satisfaction
C. Exchange
D. Transaction
4. _______includes the actors and forces outside marketing that affect marketing
management’s ability to build and maintain successful relationships with customers.
A. Marketing management
B. The marketing environment
C. Consumer behavior
D. Product decision
5. ________ studies how individuals, groups, and organizations select, buy, use, and dispose
of goods, services, ideas, or experiences to satisfy their needs and desires?
A. Consumer Behavior.
B. Psychographic Behavior.
C. Marketing Management.
D. Response Model.
6. ______is a type of buying decision behavior where consumers are highly involved in a
purchase and perceive significant differences among brands, or when the product is
expensive, risky, purchased infrequently and highly self-expressive?
A. Variety seeking behavior
B. Dissonance reducing behavior
C. Habitual buying behavior
D. Complex buying behavior
7. All of the following are a marketing stimuli except?
A. Product
 B. Price
C. Distribution
D. Promotion
E. None of the above
8. Which one of the following is a purchase decision that requires thorough research such as
a new product?
A. New task.
B. Modified rebuy
C. Straight rebuy.
D. None of the above.
9. One of it consists all of the groups that have a direct (face-to-face) or indirect influence
on a person’s attitudes or behavior?
A. Reference groups.
B. Membership groups.
C. Aspiration groups.
D. Dissociative groups.
10. Which of the following is the mental process through which an individual passes from
first learning about an innovation to final adoption?
A. Innovation process
B. Adoption process
C. Trial process
D. All of the above
11. In which philosophy does the organization determine the needs, wants, and interests of
target markets to deliver the desired satisfactions more effectively and efficiently than
competitors in a way that improves the consumer’s and the peoples well being?
A. Marketing Concept.
B. Economic Concept.
C. Management Concept.
D. None of the above.
12. What will be the Demand States or the marketing task when marketing managers are
engaged in finding ways to reduce the demand temporarily or permanently?
A. Full demand.
B. Remarketing.
C. No demand.
D. None of the above.
13. _____________divides buyers into groups based on social class, lifestyle or personality
characteristics?
A. Geographic segmentation
B. Demographic segmentation
C. Behavioral segmentation
D. Psychographic segmentation
14. _______is a more narrowly defined group, usually identified by dividing a segment into
sub segments or by defining a group with a distinctive set of traits who may seek a
special combination of benefits.
A. Niche
B. Mass marketing
C. Segments
D. All of them
15. Which of the following are goods that the consumer does not know about or knows about
but does not normally think of buying?
A. Unsought Goods:
B. Shopping Goods
C. Specialty Goods
D. None o the above
16. Which of the following comprises a broad group of products intended for essentially
similar uses and having similar physical characteristics?
A. Product Mix
B. Product Length
C. Product Line
D. Product Depth
17. Which of the following are the desirable qualities for a brand name?
A. It should suggest something about the product's benefits & qualities
B. It should be easy to pronounce, recognize, and remember.
C. The brand name should be distinctive
D. All of the above
18. Which of the following is the key function that members of the marketing channel
perform?
A. Negotiation
B. Contact
C. Promotion
D. All of the above
19. Which of the following brand strategy occur when a company introduces additional items
in the same product category under the same brand name, usually with features?
A. Brand Extention
B. Line Extension
C. Multi Brand
D. New Brand
20. Which of the following statement is true?
A. Companies selling perishable products require more direct marketing
B. Company’s channel objectives are influenced by the nature of the company
C. Environmental factors affect channel design decisions
D. All except C
 E. All of the above
21. Which of the following statement is false?
A. Business with limited finances can establish its own sales force but financially
strong firm uses middlemen to provide the function of middle men service
B. Retailers, by definition, serve ultimate consumers, so they are not in channels
for business goods
C. When most of firm's prospective customers are concentrated in a few
geographic areas, direct sale is practical.
D. Perishable products require direct or very short channels.
E. None of the above
22. Which of the following is an internal factors affecting pricing decision except?
A. Company's marketing objectives
B. Competitors
C. Marketing-mix strategy
D. Costs and organization
23. Which of the following is an advantage of a Television medium of communication
except?
A. Availability of sound and motion
B. Less audience selectivity
C. It is appealing to the senses
D. High attention and reach
24. Personal selling is more important for one of the following reason.
A. For expensive items
B. To create long-term relationship with customers
C. To maintain strong relationships with members of the purchasing company.
D. All
25. Suppose BGI Company had the following costs and expected sales of St.George Beer,
with Variable cost of $8, Fixed cost of $300,000, and Expected unit sales 50,000, what
would be the unit cost?
A. $14
B. $20
C. $12
D. None of the above
26. For BGI, with similar case, what would be the mark-up price if BGI wants to earn a 20
per cent mark-up on sales?
A. $15
B. $17.5
C. $13.5
D. $19
27. In Merchant wholesalers’ category, _____ provide a full set of services, whereas
______offer fewer services to their suppliers and customers.
 A. Agents, Brokers
B. Full-service wholesalers, limited-service wholesalers
C. limited-service wholesalers, Full-service wholesalers
D. Agents, limited-service wholesalers
E. Brokers, Full-service wholesalers
28. ____ includes the activities of designing and producing the container or wrapper for a
product?
A. Packaging
B. Labeling
C. Branding
D. All of the above
29. Which advertising is important with mature products to help maintain customer
relationships and keep customers thinking about the product?
A. Informative
B. Reminder
C. Persuasive
D. None Of the above
30. _______Measure of the percentage of people in the target market who are exposed to the
ads
A. Frequency
B. Impact
C. Reach
D. None
31. In _____ buying decision process, the buyer senses a difference between his or her actual
state and some desired state.
A. Need recognition
B. Information search
C. Evaluation of alternatives
D. Purchase decision
32. Having recognized a need, the buyer next prepares a _____that describes the
characteristics and quantity of the needed item.
A. Information search
B. general need description
C. Need recognition
D. Evaluation of alternatives
33. In the _______stage of the business buying process, the buyer invites qualified suppliers
to submit proposals.
A. Proposal solicitation
B. Information search
C. General need description
D. Need recognition
34. _______ a child learns primarily by imitating the behavior of selected others, such as
family, friends and TV heroes.
A. Informal Learning
B. Formal learning
C. Technical Learning
D. All of the above
35. ___________ Family members who provide information to other family members about
the product/service
A. Gatekeepers
B. Influencers
C. Deciders
D. Buyers
36. ________Family members who make the actual purchase of a particular product/service
A. Buyers
B. Gatekeepers
C. Preparers
D. Users
37. ________occurs when a new product, service, attribute, or idea that has utilitarian
benefits that are different from or better than those of alternatives.
A. Aesthetic innovation
B. Functional innovation
C. Symbolic innovation
D. All of the above
38. ______the degree to which the innovation appears superior to existing products.
A. Compatibility
B. Relative advantage
C. Complexity
D. Communicability
39. _____ the degree to which the innovation fits the values and experiences of consumers.
A. Compatibility
B. Divisibility
C. Complexity
D. Communicability
40. _______ the degree to which the innovation is difficult to understand or use.
A. Compatibility
B. Divisibility
C. Complexity
D. Communicability
41. -______ are traditional bound consumers who are suspicious only when it has become
something of a tradition itself.
A. Innovators
 B. Early adaptors
C. Laggards
D. Early majority
42. In a consumer behavior context, an ____is a learned predisposition to behave in a
consistently favorable or unfavorable way with respect to a given object.
A. Learning
B. Attitude
C. Behavior
D. Knowledge
43. _______is the immediate and direct response of the sensory organs to stimuli.
A. Sensation
B. Attitude
C. Behavior
D. Knowledge
44. _____is defined as the distinctive and enduring patterns of thoughts, emotions, and
behaviors that characterize each individual’s adaptation to the situations of his or her life.
A. Sensation
B. Attitude
C. Behavior
D. Personality
45. _______is when consumers select goals based upon totally objective criteria such as size,
weight, price or miles per gallon.
A. Emotional Motivation
B. Rational Motivation
C. Negative motivation
D. Positive motivation
46. Which one of the following is true about causes of new product failure?
A. Social & governmental constraints
B. Lack of marketing research activities and inaccurate result
C. Development costs are lower than expected
D. Competitors fight back harder than expected
E. All except C
47. _________ is original products, product improvements, product modifications, and new
brands developed from the firm’s own research and development.
A. Brand
B. Cost reduction
C. Repositioning
D. None of the above
48. Which one is not true about factors for successful innovation?
A. Customer based
B. Market need
 C. Lack of support of management
D. Delegation

49. ___________ a detailed version of the idea stated in meaningful consumer terms.
A. Market testing
B. Concept development & testing
C. Marketing strategy
D. Idea screening
50. _________ are given the sole task of developing new products.
A. New product departments
B. New product committees
C. New product venture teams
D. New product managers
51. Organization uses new product for different purpose. Which one is not the purpose?
A. To decrease market share
B. To appeal to new segment
C. To diversify in to new market
D. To maintain firm’s reputation
52. One of the following is not true about the ability of a strong brand.
A. It simplify decision making
B. It increase risk to customers
C. Helps to set expectations
D. It influence preference
53. Which one of the following is a correct statement about brand?
A. Branding is imperative when identity is lost due to homogeneity
B. The nucleus of branding seems to be uniformity
C. Brand plays a vital part in enhancing marketing and corporate performance
D. All of the above
54. Which branding strategy is used when product carry the name of the seller?
A. Corporate branding
B. Umbrella branding
C. Private branding
D. Cobranding
55. One of the branding perspective that visualizes a brand as a person possessing certain
traits like masculine or feminine, sophisticated, dependable, friendly, young etc.
A. Visual/ Verbal perspective
B. Personality perspective
C. Positioning perspective
D. Value perspective
56. One of the following is not the reason why brand is a matter for customers.
A. To legally protect features
 B. Promise with maker of product
C. Risk reducer
D. Signal of quality
57. Building a strong brand is essential. One of the following is NOT its importance
A. To provide a vital differentiator
B. To create loyalty & advocacy
C. To act as a barrier to competition
D. To command a lower price
58. In _________brand challenge scenarios, so many brands engaged in expansion, channels
of distribution have become clogged, and many brand battles are waged just to get
products on the shelf.
A. Savvy Customers
B. Media Transformation
C. Brand Proliferation
D. Consumer Revolt
59. One of the following is a set of brand assets and liabilities linked with a particular brand
name element that adds or subtracts value.
A. Brand image
B. Brand awareness
C. Brand equity
D. Brand association
60. _____occurs when the consumer has high level of awareness and familiarity with the
brand and holds some strong, favorable, and unique brand association in memory.
A. Brand image
B. Customer based brand equity
C. Brand association
D. Brand awareness
61. Which one of the following is true abut positive customer based brand equity?
A. Customers react more favorably to a product
B. Less sensitivity to a price increase
C. Accepting new brand extension
D. All of the above
62. One of the following is not the benefits of Customer based bran equity.
A. Enjoy greater brand loyalty
B. Command lower price
C. Yield licensing opportunities
D. Support brand extensions
63. __________are short phrases that communicate descriptive or persuasive information
about the brand.
A. Uniform resource locators
B. Logos
 C. Slogans
D. Symbols
64. This element of the brand was important branding devices during the first half of the
twentieth century, when broadcast advertising was confined primarily to radio.
A. Characters
B. Symbols
C. Packages
D. Jingles
65. _____criteria of branding focuses on defending trade mark from unauthorized use.
A. Memorability
B. Adaptability
C. Protectable
D. Transferable
66. ________ represent how often and how easily customers think of the brand under various
purchase of consumption situation.
A. Brand performance
B. Brand knowledge
C. Brand relevance
D. Brand salience
67. ____is the act of designing the company’s offer and image to occupy a distinct and
valued place in the target customer’s minds.
A. Customer segmentation
B. Brand positioning
C. Brand targeting
D. Brand differentiation
68. One of the following is not true about POD (point of difference).
A. Demonstrate superiority
B. Require uniqueness
C. Driven by the needs of category membership
D. More challenging to attain than POPs
69. To determine ____, identifying the right category membership is essential; which
indicates set of products with which a brand competes.
A. Frame of reference
B. Point of difference
C. Point of parity
D. None of the above
70. When the target customers find the POD to be unique and superior, it is said to have___
A. Distinctiveness
B. Relevant
C. Believability
D. Feasibility
71. While establishing POP and POD, conflict might arise that marketers should take care of
the issue because when a brand is positioned as _____which is a positive attribute the
reverse might be communicated i.e. cheap and poor quality.
A. Prestigious
B. Affordable
C. Expensive
D. Costly
72. The rapid expansion of the internet and continued fragmentation of mass media have
brought the need for one of the following. Which one is it?
A. Personalized marketing
B. Mass marketing
C. Relationship marketing
D. All of the above
E. All except B
73. Which one of the following after marketing program has purpose of identifying,
maintaining, and increasing the yield from a firm’s ‘best’ customers through long-term
interactive value-added relationships?
A. Loyalty Programs
B. User Manuals
C. Customer Service Programs
D. All of the above
74. If one attempt to sell the right product at the right price to better meet consumer wishes.
Which pricing strategy did he/she pursue?
A. Value based pricing strategies
B. Everyday low pricing
C. Market penetration
D. Market skimming
75. Which of the following pricing strategies has received increased attention as a means of
determining price discounts and promotions over time?
A. Value based pricing strategies
B. Everyday low pricing
C. Product design and delivery
D. Market skimming
76. Companies can use one of the following means to sell their product directly to their
customers, except.
A. Company-Owned Stores
B. Store-Within-a-Store
C. Agents
D. Electronic means
77. Which of the following is a graphical representation of all the brands and products sold
by the firm?
 A. Brand–product matrix
B. Brand portfolio
C. Brand line
D. Brand hierarchy
78. When a firm develops hierarchy and it signals refinement or differences in the brand,
what are they developing?
A. Corporate brand
B. Family brand
C. Individual brand
D. Modifier
79. Which of the effort is possible for brands that have clear, relevant values that have been
left dormant for a long time?
A. Adjusting brand portfolio
B. Revitalizing brands
C. Reinforcing brands
D. None
80. Which of the following is the correct combination in managing brand over time?
A. Adjustment to the brand portfolio - Maintaining brand consistency & retiring
brands
B. Revitalizing - Expanding brand awareness & improving brand image
C. Reinforcing brands - Protecting sources of brand equity & migration strategy
D. Revitalizing - Improving brand image & protecting sources of brand equity
81. Because of dramatic or adverse changes in the marketing environment, some brands are
just not worth saving. Their sources of brand equity may have essentially dried up, or,
even worse, damaging and difficult-to-change new associations may have been
created. In the face of such adversity, what management decisive is appropriate?
A. Retire or milk the brand.
B. Revitalize
C. Reinforcing
D. None of the above
82. Which of the following describe the volume of a specific product a defined customer or
customer group in particular geographic area buys during a specified period of time?
A. Need
B. Want
C. Demand
D. Supply
83. One of the following is generated by individuals who buy goods and services to satisfy
their own personal needs?
A. Direct demand
B. Derived demand
C. Inelastic demand
 D. Fluctuating demand
84. ___takes place if price changes have little impact on the quantity of goods or services
demanded?
A. Direct demand
B. Derived demand
C. Inelastic demand
D. Fluctuating demand
85. Derived demand carries the following implications for the pricing of business products
and services except.
A. Difficulty in expanding overall demand
B. Relative price insensitivity
C. Relative price sensitivity.
D. None of the above
86. Business purchases are not made by companies but by individuals within those
companies. Which of the following is not an individual factor that influences buying
decisions?
A. Buyer’s status
B. Organizational politics
C. Economic environment
D. Ethics of buying.
87. Under buying center factors, one of the following is an organizational member who has
formal or informal authority who actually makes the buying decision?
A. User
B. Deciders
C. Initiator
D. Buyer
88. Product sold in business markets serves one of the following purposes except?
A. To incorporate the product into the products that the organization produces
B. To facilitate the operation of the organization
C. To consume and satisfy individual needs
D. To resell the product or services
89. Based on the types of decision and decision process, business market is characterized by?
A. More complex buying decisions
B. The buying process is more formalized
C. Buyers and sellers work more closely together and build long-term
relationships
D. All of the above
90. Based on market perspective, _____typically seek regional or national markets - to
appeal to local tastes, sufficient sales volumes at home but ______are less dependent on
regional tastes and preferences. Which combination is correct?
A. Consumer g&s _ Business g&s
 B. Business g&s _ Consumer g&s
C. Convienence g&s_ Speciality g&s
D. Shoping g&s _ Unsought g&s
91. _____tend to have higher strategic investment in capital equipment and R&D,
whereas______ investments are more tactical- directed toward marketing activities
(researching their huge customer base and promoting to mass markets).
A. Consumer Market _ Business Market
B. Business Market _ Consumer Market
C. Institution Market _ Global Market
D. Global Market _ Institution Market
92. Based on the promotional emphasis, business marketing focuses on_____?
A. Advertising
B. Personal selling
C. Sales promotion
D. Publicity
93. Which of the following is true about business market?
A. It includes commercial enterprises/profit making organizations
B. It involves Government agencies/ organizations
C. It consists institutional customers
D. All of the above
94. If you were the marketing manager of AA Beer S.C and used common needs among
buyers, rather than on how buyers’ needs differ, to segment the market, you have
employed _____approach?
A. Undifferentiated strategy
B. Differentiated strategy
C. Concentrated strategy
D. One to one marketing
95. All are costs that the companies are likely to incur when they elects to pursue a
differentiated marketing strategy, except?
A. Product modification costs
B. Production costs
C. Administrative costs
D. Inventory cost
E. None of the above
96. In ______ market structure, companies can formulate their pricing policy with little fear
of losing sales to other firms, since there are none.
A. Perfect competition
B. Pure oligopoly
C. Pure oligopsony
D. Monopoly
97. Of the illegal practice of pricing, one involves the cutting of prices (usually by a larger
producer) to a point that is at or below cost for the purpose of eliminating competition.
A. Predatory pricing
B. Exchanging price
C. Collusion
D. Price fixing
98. When goods are shipped______, the buyer pays the invoice plus the cost of freight.
A. Quantity discounts
B. Cash discounts
C. FOB factory
D. Geographic pricing
99. _____ is primarily the result of marketing research methodologies of interviewing users
about their needs and then developing solutions to meet those perceived needs.
A. Technology push
B. Market pull
C. Social marketing
D. Business product
100. One of the following explains how products go through four distinct stages from
birth to death.
A. Innovation process
B. Adoption process
C. The product life cycle
D. Product development stage
101. If you consider, as a buyer, whether the new product or service is useful through
value analysis project to reach on make-or-buy decision, which adoption stage did you
apply?
A. Interest
B. Evaluation
C. Adoption
D. Trial
102. All of the following are taken as a factors that plays role in poor product
performance that leads to deletion of a product line except?
A. Poor sales
B. Adequate profit
C. Decline in market potential
D. Inferior technology
E. Noncompetitive price
103. Let us say that you have faced a declining sales volume and or market share and
wants to cut the costs associated with the SBU to improve the cash flow, what should be
the deletion strategy you have to employ to a product or business?
A. Line simplification
 B. Harvesting
C. Divestment
D. Line addition
104. Which of the following is the right characteristics of a market structure
A. In Perfect competition no single firm has control over price
B. In monopoly market there is only one seller
C. Monopolistic competitors have the greatest price –selling freedom
D. All of the above
105. If Mr. AA, a marketing manager of Dashen Beer S.C set a price close to the upper
limit of value of utility as perceived by the industrial customer, he did set ______?
A. Price skimming
B. Price penetration
C. Product bundling
D. List prices
106. All of the following are conditions to be used to pursue price skimming approach,
except?
A. The buyer is an innovator or early adopter
B. The supplier has a patent or hard-to-copy innovation
C. Barriers to competitive entry are low
D. All of the above
107. Identify the correct statement
A. Business advertising is people-oriented appeals
B. Consumer advertising is feature product-oriented appeals and it addresses a
somewhat limited market.
C. The ultimate objectives of business and consumer advertising are persuading
customers.
D. A&C are true
E. None of the above
108. One of the following one is correct about merchant intermediaries
A. It provides the broadest range of services.
B. It provides as wide a range of services as the full service wholesalers.
C. It provides quick, regular deliveries, usually of perishable goods.
D. None
109. Of the following one is wrong about General line distributors-
A. They are mill supply houses
B. They perform an extensive assortments activities
C. They offer for the customers a high degree of technical expertise.
D. All
110. One of the following industrial distributors operates in both industrial and
customer markets.
A. Combination house
 B. Specialists
C. Mill supply houses
D. Limited-function wholesalers
E. None of the above
111. Most of the time the manufacturer will give various responsibilities for the
channel members. Therefore, from the following alternatives, one is not the
responsibility of the channel members.
A. Increasing the outreach of the products
B. Providing the information for the customers
C. Facilitating the credit service
D. All
112. One of the following intermediaries is used to transfer perishable products form
manufacture to users as soon as possible.
A. Drop shipper
B. Truck jobber
C. Limited-function wholesalers
D. All
113. The E-commerce domain that involves business activity initiated by the consumer
and targeted to businesses is known as ______.
A. Business to Business (B2B).
B. Consumer to Consumer (C2C).
C. Consumer to Business (C2B).
D. Business to Consumer (B2C)
114. The term e-commerce includes:
A. Electronic trading of Physical goods and intangibles such as information
B. The electronic provision of services such as after sales support or online legal
advice
C. All the steps involved in trade, such as on-line marketing ordering payment
and support for delivery.
D. All of the above
115. Which feature of digital marketing enables the user to reduce transaction cost and
cognitive energy while making commercial transaction?
A. Richness
B. Ubiquity
C. Universal
D. All
116. Where products or services are digital, the process of the transaction is digital and
the delivery agent is digital, which is referred to as:
A. Partial e-commerce
B. Brick-and-Mortar
C. Pure e-commerce
 D. Click and Mortar.
117. Why will customers choose to do business with your firm instead of another
company? discussed under one of the key elements of a business model, which
is________?
A. Revenue model
B. Value proposition
C. Competitive environment
D. Market opportunity
118. The presentation of product information in an electronic form is
called____________?
A. Digital products
B. Electronic catalogs
C. Search engine
D. Electronic shopping cart
119. Which type of online advertising strategy allows marketers to use actual moving
video clips instead of a static or animated image?
A. Pop under ad
B. Rich media ad
C. Banner ad
D. Pop up ad
120. The process of getting customers to pass along a company's marketing message to
friends, family, and colleagues is known as _______.
A. E-marketing
B. Viral marketing.
C. Permission marketing.
D. Blog marketing.
121. Which of the following statement is true about message goals for advertising
campaign?
A. Reducing brand awareness.
B. To get people to recognize that they need the product.
C. Minimizing sales by a certain percentage.
D. Demoting the image of a product.
122. To help consumers understand the message, advertisers concentrates on basic
differentiations in products, which of the following statement is true?
A. Under induced product difference, there is obvious different difference from
competitors offering.
B. Imperceptible products differentiations are those which exist but are not
obvious.
C. Under perceptible product difference, there is no obvious difference but they
inform people about the difference.
D. None of the above
123. Advertisers informs or reminds consumers of the brand and its features, benefits,
advantages, and uses or reinforces its image so consumers will be predisposed to
purchase it through major national or regional media. Which of the following types of
advertising accomplish this objective?
A. Retail advertising
B. Direct response
C. National advertising
D. Selective demand ad
124. Which of the following statement is not true?
A. New products typically need large advertising budgets to build awareness and
to gain consumer trial.
B. A brand that closely resembles other brands in its product class (detergents,
beer, soft drinks) requires heavy advertising.
C. Mature brands usually require lower budgets as a ratio to sales.
D. Low market share brands usually need lower advertising spending.
125. Select the incorrect statement from the following?
A. Emotional appeals relate to the customers’ social and/or psychological needs
for purchasing a product or service.
B. Rational appeals focus on the consumer’s practical, functional, or utilitarian
need for the product or service.
C. Message strategy statements should not tend to be plain, straightforward
outlines of benefits and positioning points that the advertiser wants to stress.
D. None of the above
126. If you are exposed to an ad that shows a house wife washing her cloth with Tide
Laundry Detergent, “in action” to prove that it performs as claimed. Which execution
styles she used?
A. Slice of Life
B. Technical Expertise
C. Testimonial Evidence
D. None of the above
127. The _____model was developed to represent the stages a salesperson must take a
customer through in the personal-selling process.
A. AIDA
B. Hierarchy of effect
C. Innovation adoption
D. Alternative response
128. _____are thoughts the recipient has that are opposed to the position taken in the
message.
A. Counterarguments
B. Support arguments
C. Source derogations
 D. Source bolsters
129. Advertising done by a company on a nationwide basis or in most regions of the
country and targeted to the ultimate consumer market is ____
A. National advertising
B. Professional advertising
C. Local advertising
D. International advertising
130. ____advertising targeted at individuals who buy or influence the purchase of
industrial goods or other services.
A. Professional advertising
B. Industrial advertising
C. Trade advertising
D. National advertising
131. Advertising that is targeted to groups such as doctors, lawyers, dentists, engineers,
or professors – to encourage them to use the advertisers’ product or specify it for others
use-
A. Industrial advertising
B. Trade advertising
C. Professional advertising
D. National advertising
132. Which one of the following statement is not true about industrial advertising?
A. It assists in developing an image for the firm
B. It is often not designed to sell a product or service directly
C. Opens door for the company's sales representative
D. All are correct
133. Which of the following is not the determinant factor for choosing a personal
selling as a tool for promotional campaign?
A. The specificity of information exchanged between firms and potential
customers
B. The availability of alternative ways to carry out these communications
objectives
C. The effectiveness of each alternative in carrying out the needed exchange
D. All
E. None of the above
134. The sales force become a major part of the IMC mix, except?
A. Features & performance of the product needs personal demo & trial by the
customer.
B. Final price is negotiated between buyer and seller
C. Product training and assistance needed by intermediaries
D. Advertising media provide effective link with market targets
135. When an earthquake occur in one locality and if local companies donated food
and their sales forces’ time to aid quake victims, what IMC tool is combined with
personal selling?
A. Sales promotion.
B. Public relation.
C. Direct marketing.
D. Advertising.
136. A direct inducement that offers an extra value/ incentive for the product, sales
force, distributors/ultimate consumer with the primary objective of creating an immediate
sale.”
A. Advertising
B. Personal selling
C. Sales promotion
D. Direct marketing
137. Suppose Keste Demena foam and plastics PLC, producing and selling foam,
mattress, pillow and plastics, offer clients a written certificate that deals the price
reduction for a specified period on its product. This form of consumer oriented sales
promotion is_____
A. Premiums
B. Contest
C. Price of deals
D. Coupons
138. A kind of sales promotion offers by the manufacturer to return a portion of the
product purchase price, usually after the consumer supplies some proof of purchase.
A. Bonus Packs
B. Refunds and Rebates
C. Coupons.
D. Sampling
139. Which of the following sales promotion tools involves a variety of procedures
whereby consumers are given some quantity of a product for no charge to induce trial?
A. Premium.
B. Coupons.
C. Sampling.
D. None
140. Manufacturers of packaged-goods products such as food, health care items, and
cosmetics are heavy users of sampling. Which one of the following is not the criterion?
A. The products are of relatively low unit value, so samples do not cost too much.
B. The products are divisible.
C. The purchase cycle is relatively long.
D. None of the above.
141. Which of the following is the reason why firms provide an inducement to
consumers?
A. To defend current customers
B. To target a specific market segments
C. Obtaining trial and repurchase
D. To obtain distribution and support for new products
E. All except D.
142. Which of the following trade oriented sales promotional tools offer retailers or
wholesalers a discount or deal to encourage them to stock, promote, or display the
manufacturer’s products?
A. Trade Allowances.
B. Displays & PoP Materials.
C. Sales Training Programs.
D. Trade Show.
143. Which of the following is an advantage of using Marketing Public Relations?
A. It breaks through the clutter.
B. It achieves credibility.
C. Media time/space unguaranteed.
D. A and B.
E. All except A.
144. Which of the following is the reason that firms are so concerned with the public’s
attitudes?
A. Attitudes may affect sales of the firm’s products.
B. Firms do not want to be perceived as a bad citizen.
C. Negative attitudes may result in a less-than-optimal working environment.
D. All of the above.
145. The first step in developing and executing the PR program is determining relevant
target audiences, which one of the following is a member of external audiences?
A. Employees of the firm.
B. Stockholders and investors.
C. Suppliers & current customers.
D. None of the above
146. While implementing the public relation program, information must be factual,
true, & of interest to the medium & its audience. Which public relation tool best fits the
situation?
A. Press conference
B. Press release
C. Community involvement
D. Exclusives
147. Which if the following is not true about International marketing?
A. It takes place all around us every day.
 B. It has no effect on our lives.
C. It offers new opportunities and challenges.
D. It combines the science and the art of business with many other disciplines.
E. None of the above
148. One of the following is not the result of a failure to participate in the global
marketplace.
A. Declining economic capability.
B. Decrease in standard of living.
C. Improved quality of life.
D. Economic isolation.
149. Which one is the right step in Andersen model of the process of
internationalization?
A. No regular export Overseas sales subsidiary Export via agent Overseas
manufacturing.
B. No regular export Export via agent Overseas sales subsidiary Overseas
manufacturing.
C. Regular export Export via agent Overseas sales subsidiary Overseas
manufacturing.
D. No regular export Overseas manufacturing Overseas sales subsidiary
Export via agent
150. Which one of the following is the positive impact of Multinational companies?
A. Ability in leverage scale economies
B. Exploitation and ruthlessness.
C. Erode a nation’s sovereignty.
D. None of the above.
151. One of the following is not true about reasons of trade barriers in Protection of
Local Industry?
A. Reducing employment
B. Equalizing Cost and Price
C. Enhancing National Security
D. Protecting Infant Industry
152. The _____consists of the actors in the company’s immediate environment that
affects the performance of the company directly.
A. Micro environment
B. Macro environment
C. Technological environment
D. Political environment
153. When transistors hurt the vacuum-tube industry, xerography hurt the carbon-paper
business, the auto hurt the railroads, and compact disks hurt phonograph records are the
results of___?
A. Geographic environment
 B. Demographic environment
C. Technological environment
D. Political environment
154. One of the following external marketing environments involves growing
shortages of raw materials & increased pollution.
A. Economic environment
B. Natural environment
C. Technological environment
D. Political environment
155. One of the following is not true about economic environment.
A. To reduce the price of the product, there must be reduction in the cost.
B. Were investment and income are steadily and rapidly rising, business prospects
are bright.
C. The economic policy of the government has no impact on business.
D. The liberalization of the import policy may create difficulties for local
business growth.
156. Which pricing policy is used to stimulate market growth and capture market share
by deliberately offering products at low prices?
A. Market Skimming
B. Market Penetration
C. Market Premium
D. None of the Above
157. __________is selling goods overseas for less than in the exporter’s home market
or at a price below the cost of production, or both?
A. Dumping C. Offset
B. Barter D. Countertrade
158. Which types of countertrade requires a company to provide machinery, factories,
or technology and to buy products made from this machinery over an agreed period?
A. Compensation trade -buyback
B. Counter purchase- parallel barter
C. Switch trading
D. Barter
159. Which one is the practice of advertising the same product in the same way
everywhere?
A. Standardized product
B. Standardized Personal selling
C. Standardized Publicity
D. None of the above
160. One of the following is the advantages of international product standardization,
except?
A. High cost of adaptation.
 B. Divergence and difference of tastes in diverse country markets.
C. Marketing to predominantly similar countries, almost similar needs, income
and exposed to the same media.
D. Centralized management of international operations, headquarters prefer
standardization
E. Economies of scale in production, R&D, and marketing.
161. One of the following is not the reasons for product adaptations.
A. Difference in technical standards, e.g. voltage, driver side,
B. Primarily consumer and personal use products, e.g. clothes, food,
C. Variations in ability to buy, i.e. difference in income levels.
D. Strong cultural similarities.
162. The price effect can be moderated through one of the following method?
A. Financing or credit terms.
B. Discounts.
C. Bundling/unbundling of product.
D. All of the above
E. All except B
163. Which one of the following is the primary reason for countertrade?
A. Countertrade provides a trade financing alternative to those countries that have
international debt and liquidity problems
B. Countertrade relationships may provide developing countries and MNCs with
access to new markets
C. A and B
D. None of the above
164. In _________terms are agreed between buyer and seller but without documents
specifying clearly the importer’s payment obligations?
A. Consignment
B. Open accounts
C. Letter of credit
D. Bill of exchange
165. Under certain circumstances, it may not be justifiable for a small manufacturer to
set up its own sales force and distribution network. Such circumstances include the
following except?
A. When the manufacturer is experienced in international marketing.
B. When the manufacturer has a geographically widespread market.
C. When some overseas markets are too thin.
D. When the manufacturer’s product is new and the demand is uncertain.
166. There are many products that can’t be legally imported into most countries.
Which one can’t be imported in Ethiopia?
A. Counterfeit money.
B. Illicit drugs.
 C. Espionage (spying) equipment.
D. All of the above
167. In which stages of product development does management identifies product
features, estimate cost, demand, and profit, establishes a program and then assign
responsibility for further study of the product feasibility?
A. Concept development and testing
B. Prototype development
C. Business analysis
D. Market testing
168. In ___ stage of IPLC, innovations are most likely to occur in highly developed
countries because consumers in such countries are affluent and have relatively unlimited
wants.
A. Stage 0 – Local innovation
B. Stage 1 – Overseas innovation
C. Stage 2 – Maturity
D. Stage 3 – Worldwide imitation
169. If your firm used to ship successful products abroad without changes in product
formulation, packaging, and advertising, what strategy did your firm utilized?
A. Product Standardization
B. Product Adaptation
C. Product Modification
D. A and B
170. The mandatory factors affecting product modification are the following, except
for one of the following?
A. Country’s regulations
B. Electrical current standards
C. Product standards and systems
D. None of the above
171. Which of the following is a return of good branding to the firm and the customer
except one?
A. It creates brand loyalty
B. It discourage a firm to charge premium prices
C. It facilitate repeat purchases
D. It is a guarantee of value and quality
172. The price penetration strategy is used, when one of the following conditions is
satisfied?
A. The product is offered at a low price to generate volume sales and achieve
high market share.
B. This approach requires segment markets and price-insensitive customers.
C. The lower price will reduce sales, which may not always be the case.
D. All of the above
173. Which of the following is a practice that requires a seller, as a condition of sale, to
commit contractually to reciprocate and undertake certain business initiatives that
compensate and benefit the buyer?
A. Cash in advance
B. Transfer pricing
C. Countertrade
D. Dumping
174. Which of the following is false about the conditions to use personal selling?
A. Industrial buying or large-volume purchases.
B. When the market is concentrated.
C. High – unit value and frequently purchased products.
D. High – unit value and infrequently purchased products.
175. Which of the following is a set of actions whose cumulative effect is to deprive
investors of their fundamental rights in the investment?
A. Confiscation
B. Expropriation
C. Creeping Expropriation
D. Nationalization
176. Standardization of advertising is more practical & effective under one of the
following conditions.
A. Countries have different customer behavior and lifestyle
B. The product has no cultural compatibility across countries
C. There is a great degree of similarity in a firm’s competitive position in
different markets
D. Product is a convenience type.
177. One of the following is not true about advertising.
A. Mass audience directed
B. One way
C. Direct contact
D. Impersonal
178. All are true about logistics management except
A. A television company delivers entertainment to its viewer
B. A farmer moves potatoes to a wholesaler
C. A computer manufacturer delivers PCs to warehouses
D. None of the above
179. _________is responsible for the transport and storage of materials on their
journey between suppliers and customers.
A. Order management
B. Manufacturing support
C. Logistics
D. Purchasing
180. The ________ of an enterprise represents a series of locations to which and
through which materials and products flow.
A. Facility structure
B. Forecasting
C. Transportation
D. Inventory
181. One of the following is true about the role of logistic except.
A. The movement of the right amount of product
B. The movement of product at the right time
C. The movement of the right product
D. None of the above
182. ______ is the operational area of logistics that geographically moves and
positions inventory Provides place utility.
A. Marketing
B. Transportation
C. Fright
D. None
183. _________ concerned with physical movement of finished products to
consumers)
A. Market distribution
B. Manufacturing support
C. Purchasing
D. All of the above
184. _____is one of the economic drivers which has a major influence on
transportation cost since it directly contributes to variable expense.
A. Distance
B. Volume
C. Density
D. Stowability
185. When a carrier elects to haul a truckload from point A to point B, there is an
implicit decision to incur a ________for the back-haul from point B to point A.
A. Fixed cost
B. Variable cost
C. Joint cost
D. Common cost
186. One of the following is carrier costs that are incurred on behalf of all or selected
shippers.
A. Fixed cost
B. Variable cost
C. Joint cost
D. Common cost
187. One of the following approaches represents the base or minimum for
transportation charges.
A. Net-Rate Pricing
B. The cost-of-service
C. Value-of-Service
D. Combination Pricing
188. Under one of the following special rates & services, a mixture of different
products is transported under a generic rating.
A. Freight-All-Kind rates
B. Combination rates
C. Proportional rates
D. Joint rate
189. One of the following is a special rates published to provide shippers lower rates
than the prevailing class rate to provide a special rate for a specific area.
A. Commodity rate
B. Exception rate
C. Freight all kind rate
D. Proportional rate
190. Proper equipment scheduling requires one of the following prerequisite.
A. Careful load planning
B. Driver scheduling
C. Specialized equipment requirements
D. All of the above
191. ______ distribution task is performed when customers require delivery, repairs/
warranty.
A. Breaking bulk
B. Helping customers with advice and technical support
C. Providing customer service
D. Helping customers with advice and technical support
192. One of the following types of conflict occurs when Tecno Corporation came into
conflict with its dealers in trying to enforce policies on marketing programs.
A. Vertical conflict
B. Horizontal conflict
C. Multichannel conflict
D. None of them
193. When some Habesha Brewery S.C dealers in Debre Brhan complained about
other Habesha B.S.C dealers on pricing, poor service & image, they are in ____type of
conflict.
A. Vertical conflict
B. Horizontal conflict
C. Multichannel conflict
 D. None of them
194. One of the styles of conflict resolution with a proactive means of strengthening
the relationship by cultivating the other channel member.
A. Competition
B. Avoidance
C. Accommodation
D. Collaboration
195. All of the following are the causes of channel conflict, except.
A. Goal compatibility
B. Difference in perception
C. Unclear role and rights
D. Territory boundaries
196. Which one will be the last alternative if all of channel conflict management
techniques are ineffective?
A. Using diplomacy
B. Using mediation
C. Using arbitration
D. File a lawsuit
197. A third party attempts to secure settlement of a dispute by persuading the parties
either to continue their negotiations or to consider recommendations that the mediator
may make.
A. Arbitration
B. Co-optation
C. Mediation
D. Competition
198. ___ are firms engaged primarily in buying, taking title to, usually storing, and
physically handling products in relatively large quantities and then reselling the products
in smaller quantities to buyers.
A. Merchant wholesalers
B. Agents
C. Manufacturers’ sales branches
D. Sales offices
199. ______ usually compensated in the form of commissions on sales or purchases.
A. Merchant wholesalers
B. Agents
C. Manufacturers’ sales branches
D. Sales office
200. Since products may need to be exchanged or returned, or a customer may require
setup, adjustment, repairs, or technical assistance & for manufacturers to provide such
services directly to customers can be very costly, wholesalers do ____ function for them.
A. Order processing
 B. Holding inventory
C. Customer support
D. Market coverage
201. Many manufacturers find it uneconomical to fill small orders & establish
minimum order requirements to discourage them because customers may prefer to order
only a small quantity at a time. This will be solved through ______distribution tasks of
wholesalers.
A. Assuring product availability
B. Providing customer service
C. Offering assortment convenience
D. Breaking bulk
202. One of the following channel participants engaged primarily in selling
merchandise for personal or household consumption and rendering services incidental to
the sale of goods.
A. Retailers
B. Customers
C. Wholesalers
D. Agents
203. One of the following ways will give companies new relationship a positive
foundation with their channel partners, except.
A. Introduce the new distributor to your customers
B. Build confidence with easy assignments
C. Do not provide enough product samples
D. Help the distributor take over existing accounts
204. Successful channel design is the functions of the following rules.
A. Don’t confuse the customer about how he acquires your solutions
B. Minimize and manage channel overlap
C. Don’t over-distribute your products
D. All of the above
205. One of the following is not an essential step in designing a customer-focused
channel.
A. Studying who the customers are we want to serve.
B. Knowing how do we segment these customers and characterize each segment.
C. Analyzing how do these customers/segments buy solutions like those that we
offer.
D. Neglecting who do they buy those solutions from.
206. This distribution task is performed when customers require delivery,
repairs/warranty.
A. Breaking bulk
B. Helping customers with advice and technical support
C. Providing customer service
 D. Helping customers with advice and technical support
207. One of the following is the norm in which channel members expect each other to
adapt readily to changing circumstances, with a minimum of obstruction and negotiation.
A. Information Exchange
B. Flexibility
C. Solidarity
D. All of the above
208. The ___ process consists of a series of actions, closely related activities, which
may overlap rather than following a strictly prescribed sequence that ranges from the
formulation of the problem through collection of data to presenting the conclusions.
A. Problem definition
B. Objective of the study
C. Marketing Research
D. Data analysis method
209. In _______step of the marketing research process, researchers enter data into
computer files, inspect data for errors, run tabulations and conduct various statistical
tests.
A. Data analysis
B. Data collection
C. Sampling design
D. Objective of the study
210. One of the following is true about marketing research, except.
A. Marketing research increases the uncertainty in the decision-making process &
reduces the probability & magnitude of success if conducted in a systematic,
analytical & objective manner.
B. Marketing research by itself does not arrive at marketing decisions, nor does it
guarantee that the organization will be successful in marketing its products.
C. It is only a tool which helps in the decision making process.
D. Marketing research is the systematic gathering, recording and analyzing of
data relating to the marketing of goods and services’.
211. One of the following is not true about the role of Marketing Research.
A. Increase decision uncertainties.
B. Increase the probability of attaining the organization’s marketing objectives.
C. Provide management with relevant, accurate, reliable, valid, and current
information
D. Helps the marketing manager link the marketing variables with the
environment and the consumers.
212. _________is a set of instructions to the researcher on how to arrange the
conditions for collection and analysis of data in a manner that will achieve the objectives
of the study.
A. Research approach
 B. Research objectives
C. Research design
D. Research instrument
213. During _________ step of marketing research process, the marketer’s job is
defining the research problem since a good research design cannot be developed with a
poorly defined problem.
A. Establish research objectives
B. Determine research design
C. Design data collection forms
D. None of the above
214. _______is a written document requesting both authorization and funds to
undertake a specific research project.
A. Questionnaire
B. A research proposal
C. Data analysis
D. Abstract
215. _______is a formalized set of questions for obtaining information from
respondents.
A. Interview
B. Focus group discussion
C. Observation
D. Questionnaire
216. Which one of the following is true about the functions of research proposal?
A. A means of communication
B. Serve as a plan
C. Serve as a contract
D. All of the above
217. To develop a noble questionnaire, a researcher should not use one of the following
things.
A. Leading questions
B. Unambiguous items
C. Double-barreled items
D. Burdensome items
218. All of the following are the purpose of an Exploratory research except.
A. To get background information.
B. To define a problem more precisely
C. To determine the degree to which marketing variables are associated
D. Establish priorities for further research.
219. The main purpose of ________ is to gain insights by listening to a group of
people from the appropriate target market talk about issues of interest to the researcher.
A. Focus groups
 B. Interview
C. Questionnaire
D. Observation
220. Which of the following is not true about quantitative research?
A. Uses probability-based sample
B. Generalization is not possible
C. Researcher is the instrument
D. It test hypothesis
221. Where __ seek causal determination, prediction, and generalization of
findings___ seek illumination, understanding, and extrapolation to similar situations.
Which one is true?
A. Quantitative researchers, Qualitative researchers
B. Qualitative researchers, Quantitative researchers
C. Questionnaire, Observation
D. In-depth interview, Focus group discussion
222. ______a predictive statement that relates an independent variable to a dependent
variable
A. Research hypothesis
B. Population
C. Sampling
D. Research design
223. One of the following is not true about the purpose of research design.
A. It sets up the framework for adequate tests of relationships among variables.
B. It specifies what type of statistical analysis.
C. It facilitates the smooth sailing of the various research operations.
D. None of the above
224. A good design is characterized by one of the following features, except?
A. Appropriate
B. Flexible
C. Inefficient
D. Economical
225. Which of the following is true about the functions of a questionnaire?
A. It fosters cooperation of respondent
B. It keeps respondents motivated
C. Serve as permanent records of the research
D. It speed up the process of data analysis
E. All of the above
226. _____________is a form of convenience sampling in which the population
elements are selected based on the judgment of the researcher.
A. Judgmental sampling
B. Convenience sampling
 C. Quota sampling
D. Snowball sampling.
227. When each element in the population has a known & equal probability of
selection, it’s _______ sampling.
A. Simple random
B. Cluster
C. Systematic
D. Stratified
228. Chose the promising condition that favors the use of sample than population.
A. When the budget is large
B. Small population size
C. When the time available is long
D. Small characteristics’ variance
229. _____ transform raw data into a form that would provide information to describe
a set of factors in a situation through frequencies, measures of central tendency &
dispersion.
A. Descriptive statistics
B. Inferential statistics
C. Census
D. All of the above
230. Through ______, a researcher can describe the number of times various
subcategories of a certain phenomenon occurs.
A. Mean
B. Median
C. Frequencies
D. Range
231. One of the following is the variability that exists between in a set of observation.
A. Central tendency
B. Median
C. Dispersion
D. Mean
232. _______ is a ranking scale in which numbers are assigned to objects to indicate
the relative extent to which the objects possess some characteristic.
A. Nominal scale
B. Ordinal scale
C. Ratio scale
D. Interval scale
233. While developing the questionnaire, the researcher should not make one of the
following mistakes, except.
A. Leading and loaded questions
B. Clarity.
 C. Double-barreled items
D. Making assumptions
234. One of the following is NOT true about Common Mistakes in Identifying
Competitors
A. Overemphasizing current and known while ignoring potential entrants
B. Assuming competitors will continue to behave in different way
C. Overemphasizing large competitors while ignoring small ones
D. Overlooking potential international competitors
235. Under ___________ industry structure types an industry infrastructure comprises
a single producer or supplier of a product that has no close substitutes.
A. Oligopoly
B. Pure monopoly
C. Monopolistic competition
D. Pure competition
236. When analyzing competitors, companies should monitor ________ which focuses
on identifying the competitor's share of the target market.
A. Share of market.
B. Share of mind
C. Share of heart
D. All of the above
237. One of the following statements does not describe good competitors in the
industry.
A. They play by the industry's rules
B. They set prices in reasonable relation to costs
C. They favor a healthy industry
D. They do not limit themselves to a portion or segment of the industry
238. ______ firm are known for having the largest market share and usually leads the
other firms in price changes, new-product introductions, distribution coverage, and
promotional intensity.
A. Market leader
B. Market challenger
C. Market follower
D. Market nicher
239. One of the Following is not true about the aim of market leaders’ defensive
strategy
A. To reduce the probability of attack
B. To divert attacks to less threatening areas
C. To increase the competitors’ competitive intensity
D. None of the above
240. Market challengers choose ____ when they want to attack the strength part of the
competitor.
 A. Flank Attack
B. Frontal Attack
C. Encirclement Attack
D. Bypass Attack
241. One of the following is categorized under market challengers’ attack strategy.
A. Price discount
B. Lower price goods
C. Product innovation
D. All of the above
242. One of the following is an act of the market follower involved in duplicating the
leader's product and package and sells it on the black market or through disreputable
dealers.
A. Counterfeiter
B. Doner
C. Adapter
D. Imitator
243. One of the following is not true about the changing business environment (the
new marketing reality.
A. The stagnation of many markets
B. Product proliferation
C. No emphasis upon environmental and ‘green’ issues
D. Shorter product life cycles
244. Marketing decisions are typically affected in a variety of ways by developments
in the political and legal environments. One of the following is not part of political &
legal environment?
A. Life style change
B. Consumer protection law
C. Taxation law
D. Healthy and safety regulations
245. _________ is a comprehensive and systematic, analysis, evaluation and
interpretation of the marketing environment (internal/external), its goals & objectives.
A. Market leader strategy
B. Marketing audit
C. Market follower strategy
D. Market challenger strategy
246. Firms use _____to collect and synthesize information about their position with
respect to their rivals.
A. Competitive intelligence
B. Marketing intelligence
C. Marketing research
D. Market survey
 E. None of the above
247. Market leader is the firm
A. That is biggest in terms of manpower
B. That occupies the largest market shares
C. That has got financial muscle
D. That produces most innovative product.
E. None of the above
248. Opportunities occur when an environmental trend plays to_____.
A. A company’s weakness
B. A company’s strategy
C. A company’s resources
D. None of the above
249. Which of the following is/are considered as company’s strengths except:
A. Market leader in the product line market.
B. Market leader in a given product line.
C. Number three in the given product line market.
D. The group’s excellent worldwide product line distribution.
250. Of the steps in the marketing audit process, one precedes all others:
A. The assembly of information
B. Implementation program
C. Information analysis
D. Pre-audit activities
251. A company positioned in the middle market may want to introduce a lower-priced
line:
A. Down-Market Stretch
B. Up-Market Stretch
C. Two-Way Stretch
D. Line stretching
252. Companies may wish to enter the high end of the market for more growth, higher
margins, or simply to position themselves as full-line manufacturers:
A. Down-Market Stretch
B. Up-Market Stretch
C. Two-Way Stretch
D. Line stretching
253. According to Boston Consulting Group (BCG) approach, the businesses and
products characterized with low market growth rate and low market share are referred
as______
A. Stars
B. Dogs
C. Cash cows
D. Question marks
 E. None of the above
254. Market nichers are the firms?
A. That imitates products of market challengers
B. That competes with market followers
C. That serves larger market segments.
D. That serves small market segments not served by the larger firms
E. All of the above
255. One of the following should be maintained in marketing audit, all.
A. It should be Independent
B. Unbiased
C. It should be Comprehensive
D. It should be Systematic
256. Which of the following factors doesn’t affect service organization through phone
encounters, which are important criteria for judging quality in these encounters?
A. Employee knowledge
B. Tone of voice
C. Employees effectiveness in handling customer
D. None
257. Consumers judge the quality of service based on:
A. The quality of the physical surroundings where the service is delivered
B. Their perceptions of the technical outcome provided
C. The process by which that outcome was delivered
D. All
258. Of the five generic service-quality dimensions, _____ is the ability to perform the
promised service dependably and accurately.
A. Reliability
B. Assurance
C. Empathy
D. Responsiveness
259. A _____is a picture or map that accurately portrays the service system that
simultaneously depicting the service process, the points of customer contact, and the
evidence of service from the customer’s point of view.
A. Gantt chart
B. Service marketing triangle
C. Service blueprint
D. Customer relationships model
260. The five dimensions of service quality that apply across a variety of service
context include:
A. Reliability, responsiveness, assurance, empathy, and tangibles
B. Reliability, responsiveness, perceived value, customer satisfaction, and
empathy
 C. Reliability, responsibility, assumptions, empirical evidence, and tangibles
D. Reliability, validity, responsibility, assurance, empathy
261. The quality of services depends upon the provider, location, circumstances, and
time. This fact illustrates the service characteristic of:
A. Perish ability
B. Intangibility
C. Inseparability
D. Variability
262. The most basic and universally cited, difference between goods and services is:
A. Perish ability
B. Heterogeneity
C. Variability
D. Intangibility
263. The gap between consumer expectation and management perception is
called__________?
A. The communication gap
B. The knowledge gap
C. The service design & standards gap
D. The service performance gap
264. The environment in which the service is delivered and in which the firm and the
customer interact, and any tangible commodities that facilitate performance or
communication of service
A. Service place
B. Service scope
C. Service space
D. Physical evidences
265. The extent to which customers recognize and are willing to accept variations in
service performance is called _________
A. Desired service
B. Service expectations
C. Acceptable service
D. Zone of tolerance
266. The expanded mix for services marketing include:
A. Personalization, procurement and people
B. Profit, production and psychology
C. Positioning, personalization and process
D. People, physical evidence and process
267. This is the level of service that the customer hopes to receive about the
performance of service.
A. Predicted service
B. Adequate service
 C. Desired service
D. Zone of tolerance
268. Sales managers must understand consumer protection laws, differences in
decision making, differences in negotiating styles and perceptions of time to achieve their
goal. This is related to:
A. Recruiting the sales force
B. Knowledge of their environment
C. Planning for sales
D. Supervising the sales force
E. All
269. Sales managers need interpersonal skill for the following cases except:
A. To harmonize conflicts between subordinates
B. To see the organization as a whole and the relationships among its parts
C. To organize sales people under their territory
D. To assign tasks and monitor sales people
E. None
270. All of the following are Characteristics of Forecasting except:
A. Forecast are more accurate for longer than shorter time periods
B. It is rarely perfect
C. More accurate for aggregated data than for individual items
D. Forecast are more accurate for shorter than longer time periods
E. None
271. Selling is most accurately described as being ________communication with
respect to the relationship with consumers.
A. Non structured
B. Non personal
C. Two-way and personal
D. Exchange oriented
E. All
272. _________ is an individual acting for a company by performing one or more of
the following activities: prospecting, communicating, servicing, and information
gathering.
A. Distributor
B. Marketer
C. Advertiser
D. Salesperson
E. All

273. Modern salespeople build _______ by listening to their customers assessing

customer needs, and organizing the company’s efforts to solve customer problems.
A. Benefit
 B. Profits
C. Territories
D. Relationships
E. None
274. All of the following are among the main activities of a salesperson except:
A. Servicing.
B. Profit analysis.
C. Prospecting.
D. Qualifying
E. Information gathering
275. The step in the selling process characterized by identifying qualified potential
customers is--?
A. Presentation and demonstration
B. Closing
C. Approach
D. Prospecting
E. None
276. Asking for an order, reviewing points of agreement, or offering to help to write up
the order are all indications of which stage in the selling process?
A. Approach
B. Closing
C. Presentation
D. All
277. __________is frequently marketed as a commodity where within particular grade
bands a product from one source is considered identical to that from another source.
A. Agricultural product
B. Consumer product
C. Industrial product
D. Service
278. During transportation decision, alternative routes and types of transportation
should be considered to do one of the following, except.
A. Achieving Timeliness,
B. Maintain Produce quality
C. Maximizing shipping costs.
D. None of the above
279. The _______ function involves identifying and seeking out potential buyers,
determining an asking price, negotiating terms of sale.
A. Selling
B. Buying
C. Storing
D. Transporting
280. Corn oil, cotton shirts, poultry feeds, seed planters and meat pies are examples of
____ products.
A. Basic
B. Tangible
C. Augmented
D. Potential
281. When a dairy company offer full fat milk, semi-skimmed milk and skimmed milk,
they are applying _________ decision
A. Product mix
B. Brand Mix
C. Product line.
D. Brand line
282. One of the following is not the reason for multiple products offered by
agricultural firms.
A. Inherent seasonality of agricultural products.
B. To gain entry to the channels of distribution.
C. Product life cycle
D. None of the above
308. One of the following is the most important marketing -related constraints facing
Africa’s farmers, except.
A. Low cost of production and marketing
B. Constrained access to credit.
C. limited availability of profitable new farm technologies to adopt and use
sustainably
D. Poor market access and competitiveness conditions
309. ______occurs because agriculture is affected by many uncontrollable events that
are often related to weather, including excessive or insufficient rainfall, extreme
temperatures, hail, insects, and diseases.
A. Production or yield risk
B. Price or market risk
C. Institutional risk
D. Human or personal risks
310. ________is characterized as a form of communication which its sponsor pays to
have transmitted via mass media such as television, radio, cinema screens, newspapers,
magazines and direct mail.
A. Advertising
B. Personal selling
C. Sales promotion
D. Public relation
311.Marketers tend to use _______ to address short term problems such as reducing the cash
burden of overstocked products, stimulating demand during what is traditionally the low
 season, selling off stocks which are becoming obsolete or are likely to spoil if they
remain in storage.
A. Advertising
B. Personal selling
C. Sales promotion
D. Public relation
312. The _______function is chiefly making the product available where it is needed,
without adding unreasonably to the overall cost of the produce.
A. Storage
B. Transport
C. Exchange
D. All of the above
313. During transportation decision, alternative routes and types of transportation
should be considered to do one of the following, except.
A. Achieving Timeliness,
B. Maintain Produce quality
C. Maximizing shipping costs.
D. None of the above
314. In ______ grading process, the goods are sorted according to the size, quality and
other characteristics which are of fixed standards.
A. Variable
B. Mandatory
C. Centralized
D. Grading at producer’s level
315. You are required to do one of the following agricultural function since most
agricultural produce is not in a form suitable for direct delivery to the consumer when it
is first harvested rather it needs to be changed in some way before it can be used.
A. Storage
B. Transport
C. Exchange
D. Processing
316. _______activities of agricultural marketing exactly deals with searching,
gathering information, evaluating alternative products and suppliers and negotiating a
purchase agreement.
A. Buying
B. Storing
C. Transporting
D. Processing
317. The _______ function involves identifying and seeking out potential buyers,
determining an asking price, negotiating terms of sale.
A. Selling
 B. Buying
C. Storing
D. Transporting
318. One of the following is not the reason for multiple product offered by agricultural
firms.
A. Inherent seasonality of agricultural products.
B. To gain entry to the channels of distribution.
C. Product life cycle
D. None of the above
319. One of the following is the most important marketing -related constraints facing
Africa’s farmers, except.
A. Low cost of production and marketing
B. Constrained access to credit.
C. limited availability of profitable new farm technologies to adopt and use
sustainably
D. Poor market access and competitiveness conditions
320. Which of the following is true about the functions of Commodity Exchanges?
A. Price transparency
B. Price discovery
C. Reduced transaction costs
D. All of the above
321. ______occurs because agriculture is affected by many uncontrollable events that
are often related to weather, including excessive or insufficient rainfall, extreme
temperatures, hail, insects, and diseases.
A. Production or yield risk
B. Price or market risk
C. Institutional risk
D. Human or personal risks
322. ______is a risk associated with changes in government rules regarding the use of
pesticides (for crops) or drugs (for livestock) may alter the cost of production or a
foreign country's decision to limit imports of a certain crop may reduce that crop's price.
A. Production or yield risk
B. Financial risk
C. Institutional risk
D. Asset risk
323. A _______is a binding agreement between a seller and a buyer to make (seller)
and to take (buyer) delivery of the underlying commodity (or financial instrument) at a
specified future date with agreed upon payment terms.
A. Futures contract
B. Forward contract
C. Option contract
D. Hedging