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WorksheetsEntrepreneurship 1 Unit 5 Test
Total questions: 30
Worksheet time: 15mins
Charise is considering how much to charge for her small business’s products. Charise is involved in
pricing.
promotion.
a place decision.
a product decision.
A buyer is willing to pay $9.99 for a product. If the seller is willing to accept that amount, then $9.99 is the
exchange price.
demand.
value.
markdown.
Sellers must carefully set prices so that buyers feel they are receiving __________ value for their money.
optimum
no
minimum
little
What might happen if a business’s customers feel that they are not getting the most value for their money?
Customers spend money elsewhere.
Sales increase.
Customers purchase more.
Sales remain the same.
Can prices be set too low?
No, the lower the price, the more willing the customer is to buy.
No, the lower the price, the greater the product’s appeal.
Yes, customers may feel quality is too high.
Yes, customers may feel quality is too low.
With what do many customers associate price?
Quality
Discounts
Comfort
Location
To set prices, businesses must price the physical product and all of its associated
services.
features.
physical characteristics.
value.
A company decides to save money by shipping its products by truck instead of by plane. Which marketing mix element is pricing influencing in this example?
Place
Promotion
Problem solving
Product
Long-range forecasting
A group of people who share the same characteristic(s) (e.g., age, nationality, gender)
Sales forecasting that predicts sales for periods of more than two years; used when making strategic plans to develop new products, enter new markets, build new facilities, etc.
Sales forecasting that is based on expert opinion and personal experience
A prediction of future sales over a specific period of time
Market segment
Specific selling goals set for members of the sales force
A group of people who share the same characteristic(s) (e.g., age, nationality, gender)
Sales forecasting that predicts sales for periods of less than three months; used to aid in day-to-day decision making regarding planning, scheduling, staffing, inventory, etc.
The stages through which goods and services move from the time they are introduced on the market until they are taken off the market
Product life cycle
The stages through which goods and services move from the time they are introduced on the market until they are taken off the market
Sales forecasting that is based on expert opinion and personal experience
Sales forecasting that is based on the analysis of hard facts or numerical data
Specific selling goals set for members of the sales force
Qualitative forecasting
Sales forecasting that is based on expert opinion and personal experience
Sales forecasting that is based on the analysis of hard facts or numerical data
A prediction of future sales over a specific period of time
Specific selling goals set for members of the sales force
Quantitative forecasting
The ongoing, day-to-day expenses of running a business that are not directly related to production
Sales forecasting that is based on expert opinion and personal experience
Sales forecasting that is based on the analysis of hard facts or numerical data
Specific selling goals set for members of the sales force
Sales forecast
A prediction of future sales over a specific period of time
Sales forecasting that predicts sales for periods of less than three months; used to aid in day-to-day decision making regarding planning, scheduling, staffing, inventory, etc.
Sales forecasting that predicts sales for periods of more than two years; used when making strategic plans to develop new products, enter new markets, build new facilities, etc.
Sales forecasting that is based on expert opinion and personal experience
Sales quotas
A group of people who share the same characteristic(s) (e.g., age, nationality, gender)
Sales forecasting that is based on the analysis of hard facts or numerical data
A prediction of future sales over a specific period of time
Specific selling goals set for members of the sales force
Short-range forecasting
Sales forecasting that predicts sales for periods of less than three months; used to aid in day-to-day decision making regarding planning, scheduling, staffing, inventory, etc.
Sales forecasting that predicts sales for periods of more than two years; used when making strategic plans to develop new products, enter new markets, build new facilities, etc.
A group of people who share the same characteristic(s) (e.g., age, nationality, gender)
The ongoing, day-to-day expenses of running a business that are not directly related to production
Revenue
total amount generated from the sales of goods and services
a financial gain, especially the difference between the amount earned and the amount spent in buying, operating, or producing something; calculated by subtracting the cost from the revenue
various sources from which a business earns money from the sale of goods
occurs when a business has more expenses than earnings during an accounting period
Revenue Stream
various sources from which a business earns money from the sale of goods
resulting from one-time customer payments.
the total amount generated from the sales of goods and services
resulting from ongoing payments to either deliver a Value Proposition to customers or provide post-purchase customer support
Transaction revenue
resulting from one-time customer payments.
various sources from which a business earns money from the sale of goods
resulting from ongoing payments to either deliver a Value Proposition to customers or provide post-purchase customer support
statistic which, by its value gives a measure of an organization's or department's overall health and performance
Recurring Revenues
resulting from ongoing payments to either deliver a Value Proposition to customers or provide post-purchase customer support
total amount generated from the sales of goods and services
resulting from one-time customer payments
occurs when a business has more expenses than earnings during an accounting period
Profit
a financial gain, especially the difference between the amount earned and the amount spent in buying, operating, or producing something
statistic which, by its value gives a measure of an organization's or department's overall health and performance
occurs when a business has more expenses than earnings during an accounting period
various sources from which a business earns money from the sale of goods
Key Metrics
statistic which, by its value gives a measure of an organization's or department's overall health and performance
various sources from which a business earns money from the sale of goods
total amount generated from the sales of goods and service
resulting from one-time customer payments
Loss
occurs when a business has more expenses than earnings during an accounting period
total amount generated from the sales of goods and services
a financial gain, especially the difference between the amount earned and the amount spent in buying, operating, or producing something; calculated by subtracting the cost from the revenue
resulting from ongoing payments to either deliver a Value Proposition to customers or provide post-purchase customer support
Pricing objectives
Goals a company hopes to accomplish through its pricing strategies
The message channel used by a seller to promote a good, service, or idea (e.g., radio, television, newspapers, magazines)
A marketing function that involves determining and adjusting prices to maximize return and meet customers’ perceptions of value
The systematic gathering, recording, and analyzing of data about a specific issue, situation, or concern
Competition
The rivalry between two or more businesses to attract scarce customer dollars
An organization’s portion of the total industry sales in a specific market
A retail store competing on the basis of low prices and offering limited customer service
Goals a company hopes to accomplish through its pricing strategies
Exchange price
The amount of money that the buyer is willing to pay and the seller is willing to accept for a good or service
A customer or a potential customer who has an unfulfilled desire and is financially able and willing to satisfy that desire
A ratio of net profit (after taxes) divided by net sales that reflects the profit per dollar of sales
The systematic gathering, recording, and analyzing of data about a specific issue, situation, or concern
Pricing
A marketing function that involves determining and adjusting prices to maximize return and meet customers’ perceptions of value
The amount of money a business plans to spend on promoting its goods and services during a certain period of time
Marketing element referring to what goods, services, or ideas a business will offer its customers
The combination of the four elements of marketing—product, place, promotion, and price
Profit margin
A ratio of net profit (after taxes) divided by net sales that reflects the profit per dollar of sales
The amount of money a business plans to spend on promoting its goods and services during a certain period of time
Marketing element referring to selection of the various types of communications that marketers use to inform, persuade, or remind customers of their products
An organization’s portion of the total industry sales in a specific market
Promotional budget
Goals a company hopes to accomplish through its pricing strategies
A ratio of net profit (after taxes) divided by net sales that reflects the profit per dollar of sales
Marketing element referring to what goods, services, or ideas a business will offer its customers
The amount of money a business plans to spend on promoting its goods and services during a certain period of time
marketing mix
The combination of the four elements of marketing—product, place, promotion, and price
The amount of money that the buyer is willing to pay and the seller is willing to accept for a good or service
A retail store competing on the basis of low prices and offering limited customer service
The rivalry between two or more businesses to attract scarce customer dollars
