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A1 Flash Test Week 12

Total questions: 25

Worksheet time: 13mins

Name
Class
Date
1.

Which pricing strategy aims to quickly gain market share by setting a low initial price and raising it later?

a)

Price skimming to capture early adopters

b)

Penetration pricing to enter the market

c)

Dynamic pricing reacting to demand shifts

d)

Cost plus pricing adding markup to cost

2.

A technology firm launches a new premium smartphone at a high initial price to maximize early profits. Which strategy is being used?

a)

Cost plus pricing for stable margins

b)

Penetration pricing for rapid adoption

c)

Price skimming for early profit capture

d)

Dynamic pricing for real-time adjustments

3.

Which statement best describes cost plus pricing?

a)

Changing prices frequently based on demand

b)

Setting high initial price then lowering over time

c)

Setting price low to gain quick market share

d)

Setting price by adding a markup to unit cost

4.

Ride-hailing apps often raise prices during peak hours and reduce them during off-peak times. What is this called?

a)

Dynamic pricing based on real-time demand

b)

Penetration pricing during launch

c)

Price skimming for innovative products

d)

Cost plus pricing with fixed markup

5.

Which influence is most likely to push a firm toward penetration pricing for a new product?

a)

Stable demand and limited consumer segments

b)

Low production costs but scarce capacity

c)

Elastic demand and crowded market space

d)

Weak competition and high brand loyalty

6.

A retailer calculates a unit cost of £20 and applies a 40% markup. What price results from cost plus pricing?

a)

£26

b)

£24

c)

£28

d)

£30

7.

For a product with inelastic demand and strong differentiation, which pricing strategy is most defensible?

a)

Penetration pricing to build user base

b)

Price skimming to maximize margins

c)

Dynamic pricing to clear old inventory

d)

Cost plus pricing to match competitors

8.

Which situation most clearly justifies dynamic pricing over a fixed price?

a)

Regulated market with strict price caps

b)

Stable demand and long product life

c)

Highly variable demand by time or segment

d)

Simple cost structure and predictable sales

9.

Which option best describes above-the-line promotion?

a)

Public relations press events and briefings

b)

In-store displays and point-of-sale materials

c)

Personal selling to individual customers

d)

Mass media paid advertising channels

10.

Which tool is primarily below-the-line?

a)

National radio commercials

b)

Social media influencer partnerships

c)

Outdoor billboards on highways

d)

Television brand awareness campaigns

11.

What is a core aim of promotion in marketing?

a)

Reduce distribution channels used

b)

Inform, persuade, and remind customers

c)

Maintain premium pricing strategies

d)

Increase production capacity quickly

12.

Which element is NOT typically part of the promotional mix?

a)

Advertising across media platforms

b)

Branding and identity activities

c)

Digital and social media marketing

d)

Inventory management and logistics

13.

Which statement best differentiates viral marketing from traditional advertising?

a)

Centers on corporate press conferences

b)

Focuses on in-store displays and samples

c)

Uses scheduled media buys and slots

d)

Relies on peer sharing and network effects

14.

Public relations primarily aims to do what for a business?

a)

Secure exclusive retail distribution

b)

Manage warehouse and stock levels

c)

Shape reputation through earned media

d)

Control product pricing decisions

15.

Which factor most likely influences promotional mix choices?

a)

Country of origin labeling rules

b)

Factory machinery maintenance

c)

Target audience media habits

d)

Seasonal weather temperature data

16.

A special offer like “buy one get one free” fits which promotional category?

a)

Sales promotion below-the-line

b)

Mass advertising above-the-line

c)

Public relations reputation building

d)

Branding long-term identity work

17.

Which is the most appropriate tool to quickly build brand awareness nationwide?

a)

Television and radio campaigns

b)

Point-of-sale display stands

c)

Local event sponsorships

d)

Email newsletter sequences

18.

A startup with a small budget wants measurable engagement. Which tool should it prioritize?

a)

Large outdoor billboard placements

b)

Social media advertising formats

c)

Prime-time television spots

d)

National print magazine spreads

19.

Which choice shows a balanced promotional mix for a product launch?

a)

TV ads, influencer posts, PR coverage

b)

Warehouse expansion, new forklifts, CCTV

c)

Pricing change, new supplier, cost audits

d)

Hiring accountants, revising tax filings

20.

Which example best illustrates below-the-line personal communication?

a)

City bus brand awareness posters

b)

Cinema pre-roll advertising slots

c)

National newspaper full-page adverts

d)

Retail sales staff product demonstrations

21.

How does Industrial Marketing differ from Consumer Marketing?

a)

Industrial marketing differs from consumer marketing in its target audience, relationship focus, and transaction nature.

b)

Consumer marketing focuses solely on B2B relationships.

c)

Industrial marketing emphasizes low-cost transactions over quality.

d)

Industrial marketing targets individual consumers directly.

22.

How does demand for Industrial products differ from consumer products?

a)

Demand for industrial products is driven by business needs and production, while consumer products are influenced by personal preferences and trends.

b)

Industrial products are influenced by personal preferences and lifestyle choices.

c)

Consumer products are primarily purchased for business operations.

d)

Demand for industrial products is based on seasonal trends.

23.

What is a key difference between B2B and B2C marketing?

a)

B2B focuses on individual consumers

b)

B2B transactions are typically larger

c)

B2B uses more emotional marketing

d)

B2B has a larger number of customers

24.

What is the essence of B2B marketing?

a)

Product variety

b)

Advertising and promotion

c)

Building relationships

d)

Price competition

25.

What is a characteristic of B2B buying behavior?

a)

Emotional elements play a large role

b)

Purchases are typically made in smaller quantities

c)

Businesses expect discounts for bulk purchases

d)

Decisions are made quickly without negotiation