Mgt301 Mid Term Current Paper (Dec 2010)
Wednesday, December 01, 2010 Edit ThisTime: 60 min
Marks: 47
Question No: 1 ( Marks: 1 ) - Please choose one
A marketing manager of a large consumer foods company is studying distribution, promotion, and price of the company's product. Marketing manager is studying which one of the following concepts?
► Marketing plan
► Marketing strategy
► Marketing mix
► Market offering
Question No: 2 ( Marks: 1 ) - Please choose one
Through which process individuals and groups obtain what they need and want by creating and exchanging products and value with others?
► Production process
► Marketing process
► Managerial process
► Accounting process
Question No: 3 ( Marks: 1 ) - Please choose one
If a local company wants to adopt the marketing concept. To be consistent with this move, it should adopt which of the following philosophies?
► Focusing on today is important for us
► Making money is our business
► The customer is always right
► Keeping prices low is our objective
Question No: 4 ( Marks: 1 ) - Please choose one
A network of networks that consists of millions of smaller domestic, academic, business, and government networks, which together carry various information and services. Which one of the following networks represents it?
► LAN
► Intranet
► Extranet
► Internet
Question No: 5 ( Marks: 1 ) - Please choose one
Which of the following is an intensive growth strategy of increasing sales in current markets with current products?
► Market development
► Market penetration
► Product development
► Market saturation
Question No: 6 ( Marks: 1 ) - Please choose one
Harvard University is using the systematic design, collection, analysis, and reporting of data relevant to marketing its programs to minority students. What do we call this?
► Promotion
► Self-study
► Marketing research
► Cost-benefit analysis
Question No: 7 ( Marks: 1 ) - Please choose one
Which one of the following stage is NOT a part of buyer's black box?
► Brand choice
► Product choice
► Need recognition
► Dealer choice
Question No: 8 ( Marks: 1 ) - Please choose one
After deciding to order replacement parts for ageing machinery, the buyer for a construction company examines catalogues and trade publications. The buyer is probably at which stage of the organizational buying decision process?
► Problem recognition
► Product specification
► Product-supplier search
► Product evaluation
Question No: 9 ( Marks: 1 ) - Please choose one
Which one of the following factor indicates "the name, term, sign, symbol, design or a combination of these that differentiate the product of one seller or group of sellers from the other sellers"?
► Brand
► Package
► Label
► Style
Question No: 10 ( Marks: 1 ) - Please choose one
After concept testing, a firm would engage in which stage for developing and marketing a new product?
► Marketing strategy development
► Business analysis
► Product development
► Test marketing
Question No: 11 ( Marks: 1 ) - Please choose one
Which one of the following sets reflects the marketing strategy statement in new product development?
► Idea generation; idea screening; concept development
► Idea generation; concept development; concept testing
► Target market description; planned product positioning; sales goals
► Idea generation; test marketing; commercialization
Question No: 12 ( Marks: 1 ) - Please choose one
Customer relationship management (CRM) focuses on creating two-way exchanges with customers so that firms have an intimate knowledge of their needs, wants and buying patterns. What does CRM deliver to customers for maintaining profitable customer relationships?
► Superior customer value
► Less expensive goods
► Quality products
► Variety of products
Question No: 13 ( Marks: 1 ) - Please choose one
Fast-food restaurants offer tasty and convenient food at affordable prices; they contribute to fatness that harms consumer health. Which one of the following concepts is NOT being followed by this company?
► Product concept
► Production concept
► Societal marketing concept
► Marketing concept
Question No: 14 ( Marks: 1 ) - Please choose one
Which one of the following steps is NOT a part of marketing process?
► Analyzing marketing opportunities
► Selecting target market
► Designing the business portfolio
► Develop marketing mix
Question No: 15 ( Marks: 1 ) - Please choose one
Which one of the following is a chief goal of the implementation function in marketing process?
► Develops marketing plans
► Turns plans into actions
► Takes corrective actions
► Develops strategic plans
Question No: 16 ( Marks: 1 ) - Please choose one
Marketing Information System consists of people, equipment, and procedures to gather, sort, _____, evaluate, and distribute information to marketing decision makers.
► Analyze
► Arrange
► Test
► Control
Question No: 17 ( Marks: 1 ) - Please choose one
In recent times there have been huge advancements in information technology. This era is known as:
► An old economy
► Transformation
► A new world
► The digital age
Question No: 18 ( Marks: 1 ) - Please choose one
When competition is intense and there are many manufacturers then the buyer has more options of product switching. This is represented in Porters model as:
► Threat of new entrants
► Bargaining power of buyers
► Bargaining power of suppliers
► Rivalry among competing firms
Question No: 19 ( Marks: 1 ) - Please choose one
Which of the following is NOT a step in the strategic planning process?
► Defining the company mission
► Planning marketing and other functional strategies
► Setting company objectives and goals
► Setting pricing policies
Question No: 20 ( Marks: 1 ) - Please choose one
What is the purpose of strategic planning?
► Using strengths to achieve goals
► To develop new products
► To identify competitors
► To find methods of counting cash cows
Question No: 21 ( Marks: 1 ) - Please choose one
Which of the following is NOT a content of the marketing plan?
► Budget
► Production
► Objective
► Control
Question No: 22 ( Marks: 1 ) - Please choose one
Which of the following is NOT a part of the marketing control process?
► Measure performance
► Evaluating performance
► Taking corrective actions
► Setting objective for the business
Question No: 23 ( Marks: 1 ) - Please choose one
A marketing department organization where sales and marketing people are assigned to specific countries, regions, or districts is called:
► Functional Organization
► Geographic Organization
► Product Management Organization
► Customer Management Organization
Question No: 24 ( Marks: 1 ) - Please choose one
The disadvantage of observational research is:
► Information cannot be gained by observing relevant people
► Feelings, attitudes and motives cannot be observed
► It cannot be used to obtain information that people are unwilling or unable to provide
► All of the given options
Question No: 25 ( Marks: 1 ) - Please choose one
Which of the following is the disadvantages of survey research?
► Survey research is not flexible
► The respondents can give inaccurate answers
► It is difficult to collecting primary data with survey research
► All of the given options
Question No: 26 ( Marks: 1 ) - Please choose one
In a reference group, people who have special skills, knowledge, personality, or other characteristics, and exert influence on others are called:
► Opinion leaders
► Habitual buyers
► Charismatic personalities
► Wild ducks
Question No: 27 ( Marks: 1 ) - Please choose one
The consumer buyer decision process begins with:
► Need recognition
► Information search
► Evaluation of alternative
► Purchase decision
Question No: 28 ( Marks: 1 ) - Please choose one
Mr. X is interested in buying a carpet. Although the carpet is costly but there is very little perceived difference between the brands. This is an example of:
► Complex Buying Behavior
► Variety Seeking Buying Behavior
► Dissonance Reducing Buying Behavior
► Habitual Buying Behavior
Question No: 29 ( Marks: 1 ) - Please choose one
The bases of segmentation for business markets include __________.
► Demographic
► Situational factors
► Personal characteristics
► All of the given options
Question No: 30 ( Marks: 1 ) - Please choose one
What does a company's market position influence?
► Focus
► Company's marketing strategy
► Loyalty
► None of the given option
Question No: 31 ( Marks: 1 ) - Please choose one
Ahmed bought a used car from a used car retailer. A used car is an example of:
► Convenience Products
► Shopping Products
► Specialty Products
► Unsought Products
Question No: 32 ( Marks: 1 ) - Please choose one
Which of the following options refers to "New Products"?
► Product modifications
► Product improvements
► New brands that a firm develops
► All of the given options
Question No: 33 ( Marks: 1 ) - Please choose one
Toyota is developing an electric car, powered by solar energy. They are currently working on several alternatives of the car and need to find out which version of the car prospective customers find most appealing. This is an example of the _________ stage of the product development process.
► Idea generation
► India screening
► Concept development
► All of the given options
Question No: 34 ( Marks: 1 ) - Please choose one
Which of the following is a shortest product life cycle?
► Fad
► Fashion
► Style
► None of the given options
Question No: 35 ( Marks: 3 )
A well known company introduced a new product in the market; unfortunately the product was a complete failure. Highlight the reasons why new product sometimes fails to earn revenue.
ANSWER:
Reasons of Failure of New Product:
There are several reasons of failure of new products in the market. Some of them are listed below:
1- Over Estimated Market Size:
The market size may have been overestimated.
2- Actual Product not designed:
Perhaps the actual product was not designed as well as it should have been.
3- Incorrectly Positioned:
One of the reason for failure could be that maybe it was incorrectly positioned in the market.
4- Highly- Priced:
One of the main reason of the failure could be that the product is priced too high. So, that not all the customer can afford the price.
5- Poorly Advertised:
No doubt if the product is of really value for money, but because of the reason that poor or no attention was paid to its advertisement, because of this , the product failed in the marketing.
6- Poor Market Research:
A high-level executive might push a favorite idea despite poor marketing research findings.
7- High Cost of Product Development:
The one of the reason of failure could be Sometimes the costs of product development are higher than expected.
8- Competitors:
One of the reason of failure is because of vast and strong market Competition. Sometimes competitors fight back harder than expected.
Question No: 36 ( Marks: 5 )
Market research is important for marketers it enables to answer certain question in the mind of a marketer, what type of questions can be answered through market research?
ANSWER:
The information collected must be accurate, so the design of a questionnaire is of great importance. It should consist of questions that have the same meaning, a single meaning and the intended meaning to everyone. Questions should be numbered and have instructions to the investigator concerning the conduct of the interview in bold face, capital letters and underlined. Answer codes should be as near to the right-hand side as possible, and lines drawn at suitable intervals can bring clarity to the design.
The types of questions most commonly used are as follows.
- Open-ended questions give the informant a hint of what answer might be expected. A question which begins 'What do you think of...?' will bring forth large amounts of data which cannot always be satisfactorily summarised, but this type of question is useful in the pilot stage to show the range of likely answers.
- Unaided recall questions do not mention the nature of the answer material and avoid asking leading questions; e.g. 'How did you travel to the station to catch this train?'
- Dichotomous questions offer two choices of answer, usually 'yes' and 'no'.
- Multiple-choice questions ('cafeteria' questions) offer a graduated range of possible answers, listed in order from one extreme to the other.
- Thermometer questions ask informants to rate their feelings on a numerical scale, e.g. 0-10. This type of question seeks to minimise the disadvantage of discrete classification in the multi-choice type question.
- Checklists are a standard way of prompting the memory of a respondent without being biased by the interviewer. However, brand leaders may be selected more frequently because of the weight of advertising.
TYPES OF QUESTIONS TO BE ASKED:
- Use simple words that are familiar to everyone (i.e. shop not outlet, shopkeeper not retailer).
- Keep questions short.
- Avoid asking double-barrelled questions (e.g. 'Have you a radio and/or television set?').
- Do not ask leading questions (e.g. 'Do you buy instant coffee because it is the quickest way to make coffee?').
- Do not mention brand names (e.g. 'Do you consider Sony to be the best audio equipment?').
- Do not ask questions that may offend (e.g. 'Do you work or are you a housewife?').
- Avoid using catch phrases or colloquialisms.
- Avoid words that are not precise in their meanings (e.g. 'Does this product last a reasonable length of time?').
- Remember that direct questions will not always elicit the expected response - perhaps not all possible answers have been foreseen (e.g. the question 'Are you married?' does not cover the possibilities of divorce, separation, etc.)
- Questions concerning prestige goods may not be answered truthfully. Careful rewording can avoid this (e.g. 'Have you a television capable of receiving teletext transmissions?' might be better asked by 'How many hours per week do you watch television?', followed by: 'Do you watch teletext transmissions?').
- Only questions that the respondent can answer from knowledge or experience should be asked.
- Questions should not depend on the respondent's memory.
- Questions should only allow one thought to be created in the respondent's mind to avoid confusion and inappropriate answers. This particularly applies to questions beginning with 'Why....?'
- Avoid questions or words with an emotional bias.
The first questions asked should gain the interest of the informant, and should be easy to answer in a factual way. More difficult questions should come later, with those of greatest importance being about a third of the way through. Transition from question to question should be smooth and logical. Details of the respondent, if they are needed (age, address, name, occupation etc.) should appear at the end. The questionnaire must have a title and contain cross-references to others if needed, along with the interviewing district identification, the place and date of the interview and the interviewer's name.
Question No: 37 ( Marks: 5 )
Industrial products are those purchased for further processing or for use in conducting a business. These products have been categorized into three groups. What do you know about these groups of industrial products?
Answer:
Industrial products are those purchased for further processing or for use in conducting a business. Thus, the distinction between a consumer product and an industrial product is based on the purpose for which the product is bought. If a consumer buys a lawn mower for use around home, the lawn mower is a consumer product. If the same consumer buys the same lawn mower for use in a landscaping business, the lawn mower is an industrial product.
The (3)three groups of industrial products and services include:
1- materials and parts
2- capital items.
3- supplies and services.
Now we will discuss these three in details:
1- Materials and parts:
It include raw materials and manufactured materials andparts. Raw materials consist of farm products (wheat, cotton, livestock, fruits, vegetables) and natural products (fish, lumber, crude petroleum, iron ore). Manufactured materials and parts consist of component materials (iron, yarn, cement, wires) and component parts (small motors, tires, castings). Most manufactured materials and parts are sold directly to industrial users. Price and service are the major marketing factors; branding and advertising tend to be less important. The demand for industrial products is derived from the demand for consumer products. This is known as "derived demand."
2- Capital items:
These are the are industrial products that aid in the buyer's production or operations, including installations and accessory equipment. Installations consist of major purchases such as buildings (factories, offices) and fixed equipment (generators, drill presses,
large computer systems, elevators). Accessory equipment includes portable factory equipment and tools (hand tools, lift trucks) and office equipment (fax machines, desks). They have a shorter life than installations and simply aid in the production process.
3- supplies and services:
It's the final group of business products. Supplies include operating supplies (lubricants, coal, paper, pencils) and repair and maintenance items (paint, nails, brooms). Supplies are the convenience products of the industrial field because they are usually purchased with a minimum of effort or comparison. Business services include maintenance and repair services (window cleaning, computer repair) and business advisory services (legal, management consulting, advertising). Such services are usually supplied under contract.
