Pricing & Promotions

Front

Which function of marketing determines how much gross profit a business will make on a good or service? Options: Pricing, Distribution, Promotion, Risk Management

Back

Pricing

Front

The definition of Promotions is

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a business activity that encourages the sale of a product or service.

Front

Businesses often use promotional campaigns to create or improve their

Back

image.

Front

Robney Corporation, a candy manufacturer, is using advertising and coupons to introduce the "Wacky Bar," a new candy bar. The company is trying to create brand

Back

recognition.

Front

During which stage of a product's life cycle is a company likely to use promotional campaigns to emphasize product characteristics in order to create demand? Options: Maturity, Introductory, Decline, Growth

Back

Introductory

Front

Cookie's Palace, a new boutique for children, wanted to attract more customers. The manager planned a puppet show, a new window display, and bought balloons to give to children. This is an example of

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sales promotion.

Front

Can prices be set too low?

Back

Yes, customers may feel quality is too low.

Front

A Promotional Mix for a new product might include: Advertising, Direct Marketing and Guerrilla Marketing, Deciding the Correct Place to sell the product, Setting the Price and Identifying the Target Market, Budget Considerations and a Contingency Plan, candy, games and shampoo

Back

Advertising, Direct Marketing and Guerrilla Marketing

Front

Which of the following is an example of variable cost for a business? Rent, Employee wages, Property taxes, Fire insurance

Back

Employee wages

Front

How many units must a manufacturer sell per month to reach the break-even point if the cost per unit is $5.00, fixed monthly expenses are $10,000.00, and the selling price per unit is $10.00?

Back

$2,000