MCQs OF STRETAGIC MARKETING

1: Kind of channel arrangement in which retailers, wholesalers and producers act as a single
system is classified as

A. conventional distribution channel

B. horizontal marketing system

C. vertical marketing system

D. static distribution channel

2: Marketing system in which two or more companies join together at one level to seek new
marketing opportunity is classified as

A. horizontal marketing system

B. vertical marketing system

C. static marketing system

D. flexible marketing system

3: New-product development process consists of detailed steps and number of steps are

A. Five steps

B. Six steps

C. Seven steps

D. Eight steps

4: Set of organizations interdependent on each other that help in making market offerings
available to customer are called

A. interactive channels

B. marketing channels

C. pricing channels
 D. basing point channels

5: New product development stage in which concept is tested whether idea has strong appeal is
called

A. concept development

B. concept testing

C. material testing

D. market screening

6: In marketing intermediaries, way of distribution in which product is stocked in many possible

outlets is classified as

A. inclusive distribution

B. exclusive dealing

C. selective distribution

D. intensive distribution

7: Selection of one or more segments to enter is called

A. Market segmentation

B. Targeting

C. Differentiation

D. Positioning

8: Kind of channel arrangement which involves one or more than one independent wholesalers,
producers and retailers is classified as

A. vertical marketing system

B. static distribution channel

C. conventional distribution channel

 D. horizontal marketing system

9: Most crucial and first step in marketing process is

A. Designing a marketing strategy

B. Create customer delight

C. Understanding customer needs and wants

D. Capturing value from customers

10: If men and women responds differently to marketing efforts for fast food then segment
should be considered as

A. differentiable segment

B. non-differentiable segments

C. intermarket segmentation

D. intra-market segmentation

11: Procedure of displacement of long-established resellers by new intermediaries is classified as

A. horizontal mediation

B. multiple mediation

C. disintermediation

D. vertical mediation

12: Market development is result of introducing

A. New product in existing market

B. Existing product in new market

C. Existing product in existing market

D. New products in new markets

13: In smaller companies, pricing strategies are handled by

A. divisional manager

B. top management

C. sales manager

D. marketing manage

14: Return on Investment on marketing (ROI) can be assessed as

A. Brand awareness

B. Market share

C. Increase in sales

D. All of above

15: Labeling, packaging are associated with:

A; Price mix

B: Product mix

C: Place mix

D:Promotion mix

16: Companies facing the challenge of setting prices for the first time can choose between two
broad strategies: market-penetration pricing and ________.

A: Market-level pricing

B: Market-competitive pricing
C: Market-skimming pricing

D:Market-price lining

17: The stage of the PLC characterized by overcapacity, greater competition, and the eventual
elimination of weaker competitors is called the:

A:Decline stage.
 B:Introduction stage.

C:Growth stage.
D: Maturity stage.

18: According to consumer promotion techniques, cash refunds are also classified as

A. price packs

B. sweepstakes

C. point of purchase promotions

D. cash rebates

. _____ entails reducing the business portfolio by eliminating products that no longer fit the
company’s overall strategy.
a. Market segmentation
b. BCG
c. Product line extension
d. Downsizing
e. Market redesign
(Answer: d; p. 45; Easy
. _____ entails reducing the business portfolio by eliminating products that no longer fit the
company’s overall strategy.
a. Market segmentation
b. BCG
c. Product line extension
d. Downsizing
e. Market redesign
(Answer: d; p. 45; Easy
. _____ entails reducing the business portfolio by eliminating products that no longer fit the
company’s overall strategy.
a. Market segmentation
b. BCG
c. Product line extension
d. Downsizing
e. Market redesign
(Answer: d; p. 45; Easy
Which of the following is the first step in strategic planning?
A) set objectives and goals
B) develop the business portfolio
C) define the company mission
D) plan marketing strategies
E) identify threats and weaknesses
Answer: C
Which of the following is the first step in strategic planning?
A) set objectives and goals
B) develop the business portfolio
C) define the company mission
D) plan marketing strategies
E) identify threats and weaknesses
Answer: C

19: Strategic information is needed for

A:Day to day operations

B: Meet government requirements

C: Long range planning

D: Short range planning

20: Strategic information is required by

A: Middle managers

B: Line managers

C: Top managers

D: All workers

21:Tactical information is needed for

A: Day to day operations

B: Meet government requirements

C: Long range planning

D; Short range planning

22:The quality of Strategic information which does not hide any unpleasant information is
known as

A: Complete
 B; Trustworthy

C: Relevant

D: None of the above

23: A concern in matching managers with strategy is that jobs have relatively __________
responsibilities, while people are __________ in their development.
a. static; dynamic
b. dynamic; static
c. quick; slow
d. exciting; dull
24: Which of these is true about strategy implementation?
a. It is positioning forces before the action.
b. It focuses on effectiveness.
c. It is primarily an operational process.
d. It is primarily an intellectual process.
25:What type of organizational structure do most small businesses follow?

a. Divisional structure by product

b. Functional structure
c. Divisional structure by customer
d. Process type structure
26: Medium-sized firms are more likely to use which type of structure.

a. divisional
b. matrix
c. SBU
d. functional
27: In business markets, advertising can play a role, but a stronger role may be played by the
sales force, ________, and the company’s reputation for reliability and quality.
a. brand image
b. distribution
c. promotion
d. price
28: The ________ concept holds that consumers will favor those products that offer the most
quality, performance, or innovative features.
a. product
 b. marketing
c. production
d. selling
29: Companies are recognizing that much of their market value comes from ________,
particularly their brands, customer base, employees, distributor and supplier relations, and
intellectual capital.
a. variable assets
b. the value proposition
c. intangible assets
d. tangible assets

30: In personal selling process, step which consists of identifying potential customers is
classified as

A. presenting quota

B. demonstrating quota

C. prospecting

D. qualifying

31: According to promotional mix, method which focuses on building relationships with
individual customers to maintain lasting relationship is called

A. sales promotion

B. offline promotion

C. direct channeling

D. direct marketing

32: A descriptive thought about something held by a person is classified as

A. learning

B. attitudes

C. beliefs
 D. perception

33: Kind of information consumer obtains from advertising campaigns and sales people is
classified as

A. personal sources

B. commercial sources

C. experiential sources

D. all of above

34: Promotional mix strategy in which advertisement and promotions are made to final
customers to induce them to buy products is classified as

A. pull strategy

B. moral selling strategy

C. rational selling strategy

D. push strategy

35: Factors that can affect purchase decision and attention are

A. attitude of others

B. unexpected situational factors

C. expected situational factors

D. both a and b

36: Consumer promotion technique according to which seller sells two or three units of product
at reduced price is classified as

A. price packs

B. cents off deals

C. advertising specialties
 D. both a and b

37: Detailed description of products, target market, competitors and customer value proposition
is classified as

A. write-up

B. write-down

C. follow-up

D. none of above

38: Person self-image also called as its

A. lifestyle

B. personality

C. social class

D. self-concept

39: Consumer promotion technique in which products are offered at low cost or free of cost on
purchase of new product is classified as

A. sample

B. coupon

C. premium

D. cash refunds

40: Positive situational factors and internal capabilities is part of company's

A. Strengths

B. Weaknesses

C. Opportunities
 D. Threats

41: Which of the following could be an opportunity?

A. Having quality processes and procedures

B. Moving into new market segments that offer improved profits

C. Damaged reputation

D. A new competitor in your home market

42: Situation in which company is making more sales with its existing product is classified as

A. Market development

B. Market penetration

C. Product development

D. Diversification

43: Which term is most often concerned primarily with shareholder well-being rather than
employee well-being?
a. Benchmarking
b. Reengineering
c. Product redesign
d. Restructuring

44: SBU's of a company with low market share and growth rate are considered in

A. Stars

B. Dogs

C. Cash Cows

D. Question marks

45: Procedure of arranging a product to occupy distinct place in target customers mind is called

A. Market segmentation
 B. Targeting

C. Differentiation

D. Positioning

46: Concept through which life is brought up in message of advertising strategy in memorable
and distinctive way is classified as

A. rational concept

B. reminder concept

C. creative concept

D. persuasive concept

47: Market consists of

A. Potential buyers

B. Actual buyers

C. Both a and b

D. None of the above

48: 4. What are guidelines, methods, procedures, rules, forms and administrative practices known
as?
a. Long-term objectives
b. Policies
c. Annual objectives
d. Strategies

49-The demand for a product is ________ when price cut causes revenue to increase.

a. Income elastic

b. Price elastic

c. Cross elastic
 d. None of the above

50-Adoption rate will be higher and faster if the product has

a. Lower price

b. Greater utility

c. Compatibility with society

d. All of the above

51.When a company distributes its products through a channel structure that includes one or
more resellers, this is known as ________.
A:Indirect marketing
B:direct marketing
C:multi-level marketing
D:integrated marketing
52. Mr. Lopez buys goods and services for use in the production of products that are sold and
supplied to others. Mr. Lopez is involved in ________.
A:consumer buying behavior
B:post-purchase dissonance
C: retail buyer behavior
D: business buyer behavior
53: . ________ pricing is the approach of setting a low initial price in order to attract a large
number of buyers quickly and win a large market share.
A: Market-skimming
B:Value-based
C: Market-penetration
D: Leader
54: 3. The value creation and delivery sequence process place emphasis on:

a) Choosing the value

b) Providing the value
c) Communicating the value
d) All of the above
55: Michael Porter of Harvard has proposed the _______ as a tool for identifying ways to create
more customer value.

a) Product chain
b) Value chain
c) Supply chain
d) None of the above
56: Value Delivery Network can be better defined as:

a) Value chain
b) Distribution chain
c) Supply chain
d) None of the above
57: If success for one organizational department means failure for another department, then
strategies may be
a. synergistic.
b. inconsonant
c. failures.
d. inconsistent.
58: Strategy-evaluation activities should be performed
a. on a periodic basis.
b. at the onset of a problem.
c. on a continuous basis.
d. upon completion of major projects.
59: Competitive advantage normally is the result of superiority in resources, skills and
a. employees.
b. position.
c. consistency.
d. feasibility.
60: 2. How are objectives in the areas of profitability, growth and market share commonly
established?

a. Geographic location
b. Customer groups
c. Product
d. All of the above