MK - 002 Pretest

The interrelated activities involved in getting products from producers to consumers are known as marketing

• concepts.

• research.

• functions.

• strategies.

Answer explanation

Functions. Marketing functions include purchasing, pricing, selling, promoting, and distributing. Marketing research is part of the marketing function of marketing-information management. The marketing concept is a philosophy of conducting business that is based on the belief that all business activities should be aimed toward satisfying consumer wants and needs while achieving company goals. Marketing strategies are plans of action for achieving marketing goals and objectives.

Which marketing function helps businesspeople forecast how much will be sold in a given period?

• Market planning

• Channel management

• Promotion

• Risk management

Answer explanation

Market planning. Market planning is a marketing function that addresses the principles and tools used to determine and to target marketing strategies to a select audience. Risk management is not a marketing function. Promotion involves communicating information about goods, services, images, and/or ideas to achieve a desired outcome. Channel management is the processes by which marketers ensure that products are distributed to customers efficiently and effectively.

Which marketing function helps marketers answer the question, "What are we going to produce or sell?”

• Selling

• Product/Service management

• Marketing-information management

• Promotion

Answer explanation

Product/Service management. This function involves obtaining, developing, maintaining, and improving a product or service mix in response to market opportunities. Businesspeople decide what combination of goods or services the company will produce or provide. Promotion communicates information about goods, services, images, and/or ideas to achieve a desired outcome. Marketing-information management involves gathering, accessing, synthesizing, evaluating, and disseminating information for use in making business decisions. Selling involves determining client needs and wants and responding through planned, personalized communication that influences purchase decisions and enhances future business opportunities.

Your job is to inform consumers about new services being offered by your business. You will be involved in what marketing function?

• Distribution

• Financing

• Pricing

• Promotion

Answer explanation

Promotion. Promotion is a marketing function that communicates information about goods, services, images, and/or ideas to achieve a desired outcome. Financing is a business function rather than a marketing function. Pricing involves determining and adjusting prices to maximize return and meet customers' perceptions of value. Distribution involves moving, storing, locating, and/or transferring ownership of goods or services.

What marketing function helps marketers decide to whom to sell?

• Pricing

• Marketing-information management

• Product/Service management

• Financing

Answer explanation

Marketing-information management. Marketing-information management is a marketing function that involves gathering, accessing, synthesizing, evaluating, and disseminating information for use in making business decisions. This information helps businesses define their markets. Product/Service management involves obtaining, developing, maintaining, and improving a product or service mix in response to market opportunities. The pricing function involves determining and adjusting prices to maximize return and meet customers' perceptions of value. Financing is a business function rather than a marketing function.

The marketing function which involves determining the dollar amounts it will cost customers to buy certain goods and services is called

• break-even analysis.

• pricing.

• cash discounting.

• marking.

Answer explanation

Pricing. After setting a product's price, marking is the actual tagging of each item available for sale. Cash discounting involves deducting a percentage of a bill due if a credit customer pays promptly. Break-even analysis determines the sales needed to recover the business's costs.

At an exhibit, an employee helps customers make selections of new items that appeal to them. Which function of marketing is the salesperson performing?

• Pricing

• Distribution

• Selling

• Promotion

Answer explanation

Selling. Selling is a marketing function that involves determining customer needs and wants and responding through planned, personalized communication that influences purchase decisions and enhances future business opportunities. Promotion is the communication of information to customers or clients about goods, services, images, and/or ideas to achieve a desired outcome. Pricing is determining and adjusting prices to maximize return and meet customers' perceptions of value. Distribution is the process of moving, storing, locating, and/or transferring ownership of goods and services.

Which of the following marketing functions helps businesses answer the question "Where will the products be offered?":

• Promotion

• Channel management

• Product/Service management

• Selling

Answer explanation

Channel management. The channel management function is responsible for identifying, selecting, monitoring, and evaluating sales channels, also known as channels of distribution. Effective channel management is often a key to a business's success because it puts products in the customers' hands. Channel management helps businesses answer questions such as "Who will offer the products?" and "Where will the products be offered?". The selling function involves determining client needs and wants and responding through planned, personalized communication that influences purchase decisions and enhances future business opportunities. The purpose of the promotion function is to communicate information about goods, services, images, and/or ideas to achieve a desired outcome. Product/Service management involves obtaining, developing, maintaining, and improving a product or service mix in response to market opportunities.

Which of the following statements is true about marketing functions:

• Some of the marketing functions are much more important than others.

• Each of the marketing functions is independent of the others.

• The marketing functions are important to producers but not to consumers.

• Marketing functions work together to get products from producers to consumers.

Answer explanation

Marketing functions work together to get products from producers to consumers. The functions of marketing involve activities that are interrelated. No one function is more important than another. When the marketing functions are performed well, consumers are satisfied. The functions are not independent. If any one of the functions is not performed well or is neglected, the other functions will be less effective.

A novelty store owner ordered 500 Freddy Kreuger masks to sell during the Halloween season because they sold out early last year. This year, only 50 sold, and the owner was left with a large surplus. Which marketing function could have been used to prevent this situation?

• Marketing-information management

• Product/Service management

• Pricing

• Selling

Answer explanation

Marketing-information management. Gathering information about the wants and needs of customers in order to stock the goods that are in demand is a function of marketing-information management. If the store owner had conducted an informal survey of customers, s/he would have found that Freddy Kreuger was last year's fad and no longer popular. Also, s/he would have learned what the current fad was and ordered the appropriate masks. Product/Service management is obtaining, developing, maintaining, and improving a product or service mix in response to market opportunities. Pricing is determining and adjusting prices to maximize return and meet customers' perception of value. Selling is determining client needs and wants and responding through planned, personalized communication that influences purchase decisions and enhances future business opportunities.