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1、Chapter 11 Pricing Strategies1) Companies facing the challenge of setting prices for the first time canchoosebetween two broad strategies: market-penetration pricing and .A) market-level pricingB) market-competitive pricingC) market-skimming pricingD) market-price liningE) market-price fillingAnswer

2、: CDiff: 2 Page Ref: 312Skill: ConceptObjective: 11-12) Of the following, which statement would NOT support a market-skimming policyfor a new productA) The product's quality and image support its higher price.B) Enough buyers want the products at that price.C) Competitors are not able to undercu

3、t the high price.D) Competitors can enter the market easily.E) C and DAnswer: DDiff: 3 Page Ref: 312Skill: ConceptObjective: 11-13) A firm is using when it charges a high, premium price for a new product with the intention of reducing the price in the future.A) price skimmingB) trial pricingC) value

4、 pricingD) market-penetration pricingE) prestige pricingAnswer: ADiff: 2 Page Ref: 312Skill: ConceptObjective: 11-1situations.4) A marketer must be familiar with the five major product mix pricing Which of the following is NOT one of themA) product line pricingB) optional-product pricingC) captive-p

5、roduct pricingD) unbundled product pricingE) by-product pricingAnswer: DDiff: 3 Page Ref: 313Skill: ConceptObjective: 11-25) A challenge for management in product line pricing is to decide on the price steps between the .A) various products in a lineB) product mixesC) product groupingsD) product lin

6、esE) various target marketsAnswer: ADiff: 2 Page Ref: 313Skill: ConceptObjective: 11-26) HiPoint Telephone Company uses two-part pricing for its long-distance call charges. Because this is a service, the price is broken into a fixed rate plus aA) fixed rate usageB) variable usage rateC) standard usa

7、ge rateD) market usage rateE) none of the aboveAnswer: BDiff: 1 Page Ref: 315Skill: ConceptObjective: 11-27) Which of the following is NOT a price adjustment strategyA) segmented pricingB) promotional pricingC) free samplesD) geographical pricingE) seasonal pricingAnswer: CDiff: 2 Page Ref: 315Skill

8、: ConceptObjective: 11-38) Service Industries, Inc., plans to offer a price-adjustment strategy in the near future. They could consider each of the following EXCEPT .A) discount and allowance pricingB) segmented pricingC) physiological pricingD) promotional pricingE) location pricingAnswer: CDiff: 2

9、 Page Ref: 315Skill: ConceptObjective: 11-39) A quantity discount is a price reduction to buyers who purchase .A) frequentlyB) large volumesC) close outsD) inferior merchandiseE) superior merchandiseAnswer: BSkill: ConceptObjective: 11-310) Quantity discounts provide an incentive to the customer to

10、buy .A) more products or services from a variety of sellersB) less from another competitorC) more from one given seller, rather than from many different sourcesD) more than he or she needsE) bundled merchandiseAnswer: CDiff: 2 Page Ref: 316Skill: ConceptObjective: 11-311) Which of the following cond

11、itionsshould exist for segmented pricing tobe aneffective strategyA) The market must be able to be segmented.B) The segments must show different degrees of demand.C) Competitors can't undersell in the segment being charged the higher price.D) All of the above.E) None of the above.Answer: DDiff:

12、2 Page Ref: 317Skill: ConceptObjective: 11-312) Consumers usually perceive higher-priced products as .A) not within reach of most peopleB) having a higher qualityC) having high profit marginsD) popular brandsE) being in the introductory stage of the product life cycleAnswer: BDiff: 2 Page Ref: 317Sk

13、ill: ConceptObjective: 11-313) Michael and John both own leather jackets and are currently shopping for twonewones. They both have prices in mind and refer to them whenshopping. These prices are termed .A) psychological pricesB) reference pricesC) comparison pricesD) price pointsE) skimmed pricesAns

14、wer: BDiff: 2 Page Ref: 319Skill: ConceptObjective: 11-314) All of the following are typical ways a reference price might be formed in abuyer's mind EXCEPT .A) noting current pricesB) remembering past pricesC) assessing the buying situationD) comparing it to a new productE) influences from selle

15、rsAnswer: DDiff: 2 Page Ref: 319Skill: ConceptObjective: 11-315) What type of pricing is being used when a companytemporarily prices it product below the list price or even below cost to create buying excitement and urgencyA) segmented pricingB) psychological pricingC) referent pricingD) promotional

16、 pricingE) dynamic pricingAnswer: DDiff: 1 Page Ref: 320Skill: Concept Objective: 11-316) Promotional pricing can have all of the following adverse effects EXCEPTA) creating deal-prone customersB) eroding the brand's value in the eyes of customersC) giving pricing secrets away to competitorsD) b

17、ecoming addicting to both the customer and businessE) instigating industry price warsAnswer: CDiff: 2 Page Ref: 320Skill: ConceptObjective: 11-317) Durango China Company charges all customers within a given geographical area a single total price. The more distant the area, the higher the price. This

18、 isA) freight-absorption pricingB) zone pricingC) uniform-delivered pricingD) FOB-origin pricingE) bulk rate pricingAnswer: BDiff: 2 Page Ref: 321Skill: ConceptObjective: 11-318) Which of the following is the opposite of FOB-origin pricingA) basing-point pricingB) freight-absorption pricingC) unifor

19、m-delivered pricingD) freight-absorption pricingE) zone pricingAnswer: CDiff: 3 Page Ref: 321Skill: ConceptObjective: 11-319) Freight-absorption pricing is used for and .A) market penetration; higher profit marginsB) holding on to increasingly competitive markets; higher profit marginsC) market pene

20、tration; holding on to increasingly competitive marketsD) generating temporary higher profits; discouraging competitorsE) services; installationsAnswer: CDiff: 3 Page Ref: 321Skill: ConceptObjective: 11-320) When a company charges the same rate to ship a product anywhere in the UnitedStates, it is u

21、sing which form of geographic pricingA) deliveredB) factoryC) originD) uniform deliveredE) basing-pointAnswer: DDiff: 1 Page Ref: 321Skill: ConceptObjective: 11-321) When pricing internationally, most companies adjust their prices to reflectA) local market conditionsB) cost considerationsC) local la

22、ws and regulationsD) exchange-rate fluctuationsE) all of the aboveAnswer: EDiff: 2 Page Ref: 323AACSB: Multicultural and DiversitySkill: ConceptObjective: 11-322) Most companies that conduct international business to A) adjust their prices; take local market conditions into considerationB) use promo

23、tional pricing; create excitement in new marketsC) use geographical pricing; reduce delivery costsD) set a uniform price; maintain a consistent product imageE) initiate price cuts; compensate for import tariffs and taxes Answer: ADiff: 2Page Ref: 323AACSB: Multicultural and DiversitySkill: ConceptOb

24、jective: 11-323) Whena competitor cuts its price, a companyis most likely to decide to if it believes it will not lose much market share or would lose too much profit by cutting its own price.A) reduce its production costsB) reduce its marketing costsC) maintain its current prices and profit marginD

25、) increase its marketing budget to raise the perceived value of the productE) increase its production costs to improve the quality of the product Answer: CDiff: 2 Page Ref: 326Skill: ConceptObjective: 11-424) When faced with a competitor who has cut its product's price, which of the following is

26、 typically the most efficient way for a company to maintain its own price but raise the perceived value of its offerA) improving the quality of the productB) introducing a higher-priced premium brandC) altering the company's marketing communicationsD) bundling the offer with add-onsE) distributi

27、ng the product through less costly channels Answer: CDiff: 3Page Ref: 326all federal laws that wereand engaging in collusion,Skill: ConceptObjective: 11-425) The Sherman, Clayton, and Robinson-Patman Acts are enacted to curb the formation of .A) monopoliesB) oligopoliesC) competitive marketsD) inter

28、national marketsE) limited partnershipsAnswer: ADiff: 2 Page Ref: 327AACSB: Ethical ReasoningSkill: ConceptObjective: 11-426) Whensellers set prices after talking to competitors they are involved in .A) predatory pricingB) discriminatory pricingC) price-fixingD) skimming pricingE) penetration pricin

29、gAnswer: CDiff: 2Page Ref: 328AACSB: Ethical ReasoningSkill: ConceptObjective: 11-427) Price discrimination is legal under which of the following conditionsforA) when a manufacturer and reseller have agreed upon a specified retail price a productB) when a manufacturer sells to retailers in different

30、 marketsC) when a seller can prove its costs are different when selling to different retailersD) when a seller advertises prices that are not actually available to consumersE) when a seller has not communicated with competitors before announcing prices Answer: CDiff: 3 Page Ref: 330AACSB: Ethical Re

31、asoningSkill: ConceptObjective: 11-428) Mark's Markers, a manufacturer of color markers, has required its dealers to charge a specified retail price for its markers. Mark's is most likely guilty ofA) price-fixingB) retail price maintenanceC) price discriminationD) price collusionE) unfair pr

32、ice skimmingAnswer: BDiff: 2 Page Ref: 330AACSB: Ethical ReasoningSkill: ConceptObjective: 11-429) Pricing strategies tend to change and evolve as the average product passes through its life cycle.Answer: TRUEDiff: 1 Page Ref: 312Skill: ConceptObjective: 11-130) When using product bundle pricing, se

33、llers combine several of their products and offer the bundle at an increased price for increased profit.Answer: FALSEDiff: 1 Page Ref: 315Skill: ConceptObjective: 11-232) A seasonal discount is a price reduction to buyers who buy merchandise or services while they are in season.Answer: FALSEDiff: 2P

34、age Ref: 316Skill: ConceptObjective: 11-333) Segmented pricing is known by other names; two of the most common are revenue management and yield management.Answer: TRUEDiff: 2 Page Ref: 317Skill: ConceptObjective: 11-334) The frequent use of promotional pricing can lead to industry price wars.Answer:

35、 TRUEDiff: 2 Page Ref: 320Skill: ConceptObjective: 11-335) The FOB-origin pricing strategy means that the goods sold are placed free on board a carrier. Atthat point the title and responsibility pass to the customer,who pays the freight from the factory to the destination.Answer: TRUEDiff: 3 Page Ref: 321Skill: ConceptObjective: 11-336) When Redman's Variety raised their store prices 40 percent and then ran a 20 percent off sale, Redman's was guilty of deceptive pricing.Answer: TRUEDiff: 2Page Ref: 330AACSB: Ethical ReasoningSkil

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