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WorksheetsSEM II 3.01-3.05
Total questions: 29
Worksheet time: 1hrs 3mins
Which stadium seating arrangements are usually the least expensive tickets that fans can purchase?
General admission
Reserved
Luxury boxes
Festival
One reason it is important for sports or event marketers to be able to accurately explain ticketing and seating arrangements is to help customers with which action?
Obtain the type of seats they want at the price they want to pay
Select seats that are located near concession stands
Purchase discount tickets from a permanent box office
Identify the type of sports or events that is the most appropriate
What type of ticket or seating arrangement do sport venues sell to accommodate spectators who are price conscious and are willing to occupy any available seats on a first-come, first-served basis?
Reserved
General admission
Box
Aisle
Expanded bandwidth is changing the face of in-home entertainment by performing which activity?
Eliminating the need for cable hookups
Allowing for delivery of the Internet through television sets
Improving fiber-optic cable and electrical lines
Creating high-definition television
Which is a decision about place that must be made in sports and entertainment marketing?
“Should direct mail be sent to the ticket holders of last season?”
“Will local or national media be used?”
How will fans obtain the schedule of events?”
Where will ticket outlets be found?”
Rhonda is making a presentation to the chamber of commerce of a large city in anticipation of building a sports complex. What is the primary element of distribution that she should discuss with them?
Amenities
Revenues
Parking spaces
Facilities
The cable network that televises college basketball games throughout the country is performing which activity of the sports product?
Distributing
Franchising
Publicizing
Sponsoring
If the selling price of a product is $430 per unit, and the number of units required to reach the breakeven point is 2,100, what is the total dollar sales the business needs to break even?
$850,000
$890,000
$903,000
$985,000
If a goal is to avoid storing or discarding merchandise, what pricing strategy should be selected?
Competitive
Close out
Cost plus markup
Versioning
The variable cost for a product is $3, and the total fixed costs are $288,000. The company sells the products for $6 each. How many products will the company have to sell to break even?
96,000
48,000
32,000
4,800
An increase in ticket prices is most accepted by fans if a sport has which demand for tickets?
Inelastic
Low
Elastic
Unitary
Determine the breakeven point in units using the total fixed cost, $4,000; variable cost per unit, $20; and selling price per unit, $100.
50 units
80 units
100 units
500 units
A business purchased a line of items for resale that cost $9.32 each. Expenses total $1.65 per item. What is the breakeven price per item?
$11.92
$11.71
$11.26
$10.97
What do sales beyond the breakeven point provide to a business?
Initial markup
Variable-cost margin
Dividends
Profit
A college athletic department set the football ticket prices so that the organization can earn income of $12 per ticket after covering expenses. This is an example of a price objective based on which component?
Demand
Competition
Profitability
Volume
A soccer camp provided five leaders at $8 per hour for eight hours a day for five days. If benefits are 20% of the wages and supplies total $650, calculate the cost per person if 40 players attend.
$64.25
$56.25
$48.00
$32.25
Why do sportswear stores calculate breakeven in units?
To identify which products they should purchase for resale
To find out how much profit they will earn after they breakeven
To identify which costs are variable and which are fixed
To determine how many products they must sell to breakeven
When setting ticket prices for professional baseball games, the organization considers the performance of the team. Which factor is considered?
Situational
Ethical
Operational
Developmental
Why would an event marketer promote an upcoming celebrity golf tournament at an exclusive course as an once-in-a-lifetime event?
To have expensive media coverage
To obtain more industry support
To increase advertising costs
To generate higher ticket prices
A sporting event setting ticket prices based on the ability of potential customers to pay is an example of what pricing strategy?
Promotion
Objective
Restriction
Motive
Which is the least important factor when selecting a pricing strategy?
Promotional strategy
Competitor price
Cost of merchandise
Location of store
A professional football team that increased ticket prices for next season because the team is on a winning streak selected a pricing strategy based on which situation?
Previous winning potential
Number of games played
What the market will bear
Location of the target market
When a hockey team set its ticket prices so it can achieve its goal of increasing its fan base by five percent, the hockey team established a price objective in conjunction with which type of activity?
Licensing
Cost
Sales
Contingency
Which is a characteristic of product bundling in the sports or event industry?
Lower prices
Higher quality
Higher prices
Lower quality
One reason sports or event marketers often bundle extra amenities with tickets is to perform which action?
Manage distribution
Increase revenue
Improve coverage
Control publicity
When developing a preseason booking strategy, the most important factors for a sports or event organization to consider are its timing, target markets, and which other one?
Security issues
Geographic origin
Inventory needs
Selling methods
A successful preseason booking strategy often involves targeting which group?
Occasional attendees
Current ticket holders
Walk-up spectators
Community organizations
When forecasting ticket sales for a professional basketball team, sporting event organizers should consider which factor?
The television network broadcast rights
The size of the opponent’s stadium
The team’s performance record
The availability of the press-box space
Which is an incentive that sports organizations often use to sell tickets to large groups?
Advertising
Discounts
Publicity
Merchandising
