QUESTION 26 In the case of a recession, the Federal Reserve (Central Bank) to stimulate demand and the economy, it may   a. Increase infrastructure spending by building bridges and highways   b. Reduce taxes   c. Lower interest rates   d. Raise interest rates

Principles Of Marketing
17th Edition
ISBN:9780134492513
Author:Kotler, Philip, Armstrong, Gary (gary M.)
Publisher:Kotler, Philip, Armstrong, Gary (gary M.)
Chapter1: Marketing: Creating Customer Value And Engagement
Section: Chapter Questions
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Marketing  FINAL REIVEW QUESTION

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QUESTION 26

  1. In the case of a recession, the Federal Reserve (Central Bank) to stimulate demand and the economy, it may
 

a.

Increase infrastructure spending by building bridges and highways

 

b.

Reduce taxes

 

c.

Lower interest rates

 

d.

Raise interest rates

 

QUESTION 27

  1. About 70% of Coca Cola revenues and profits come from sales outside the US. Therefore as the US currency loses value relative to the other main international currencies like the Japanese yen, euro, British pound, Korean won and as Coca Cola sales revenues and profits increase overseas then most likely
 

a.

Coca Cola profit denominated in American dollars decreases

 

b.

Coca Cola profit denominated in American dollars increases

 

 

c.

Coca Cola profit denominated in foreign currencies decreases

 

 

d.

None of the above

QUESTION 28

  1. According to Engel’s Law, if a family income rises from $500 to $700, then we expect that approximately
 

a.

money spent on recreation and education may increase from $125 to $250

 

b.

money spent on clothing and household operation may decrease from $250 to $225

 

c.

money spent on food items may increase from $125 to $225

 

d.

all of the above

QUESTION 29

  1. During the 2020 coronavirus emergency, Pfizer pharmaceutical introduced its vaccine for the virus. The technology associated with the virus vaccine is an example of a
 

a.

Patent

 

b.

Trademark

 

c.

Copyright

 

d.

Brand name

QUESTION 30

  1. Productivity improvements over the years are important for a country's population because they may result in
 

a.

higher incomes

 

b.

lower cost products and services

 

c.

greater social welfare 

 

d.

all of the above

QUESTION 31

  1. The recovery stage of the business cycle is important for marketers since
 

a.

Business spending is decreasing

 

b.

Consumer spending is decreasing

 

c.

Consumer spending is rising

 

d.

Government spending is flat

QUESTION 32

  1. Technological advances (including access to the worldwide web) happening overtime may result in companies improving their marketing strategy with regards to their
 

a.

Target market segmentation

 

b.

Pricing strategy

 

c.

Marketing channels

 

d.

All of the above

  

QUESTION 33

  1. A pizzeria has calculated that it needs to sell 350 pizza slices daily to break- even. Therefore if some day they sell 330 pizza slices then they may make
 

a.

a loss

 

b.

a profit

 

c.

just enough money to cover their expenses

 

 

d.

we cannot tell

QUESTION 34

  1. Mitsubishi cars are made in Japan and some of them exported to the USA domestic market. In 2000 the Japanese currency ¥120 = $1 but in 2008 ¥ 100 = $1. The 2008 exchange rate was
 

a.

good for Mitsubishi US sales profits

 

b.

bad for Mitsubishi US sales and profits

 

c.

minimizes production cost for Mitsubishi cars

 

d.

none of the above

 

  1. A market where products marketed/sold are exact substitutes of each other is called
 

a.

perfect competition

 

b.

oligopolistic competition

 

c.

monopoly

 

d.

none of the above

QUESTION 36

  1. Ready meal delivery companies like UberEats and Doordash have introduced their loyalty programs that also include a subscription fee. The company loyalty programs have been an effort
 

a.

focus on advertising

 

b.

become monopolies

 

c.

build long term relationships with customers

 

d.

overcome legal constraints

 

QUESTION 37

  1. The U.S. market for ice cream has annual sales $5 billion and out of that Haagen Dazs sells $1 billion annually. Therefore Haagen Dazs’s market share is
 

a.

10%

 

b.

20%

 

c.

50%

 

d.

75%

QUESTION 38

  1. The criterion a company utilizes for deciding about the elimination of a product from the marketplace is
 

a.

cost versus benefit analysis

 

b.

income taxes level

 

c.

speculation

 

d.

sales taxes level

QUESTION 39

  1. An example of intangibles included in the Lifetime Value of a Customer for Armani company may include
 

a.

Money spent by that consumer on Armani products

 

 

b.

Time spent by that consumer in the store for Armani products

 

c.

Customer wearing an Armani inscribed T-shirt while meeting with friends

 

d.

All of the above

QUESTION 40

  1. The 80/20 principle in marketing postulates that
 

a.

roughly all company customers buy the product at the same rate/proportion

 

b.

20% of the market cannot be segmented

 

c.

some particular brand customers buy the product much more often than other customers

 

d.

20% of sales revenues are set aside for taxes

 

 

 

 

 

 

 

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