1 Rural markets and rural marketing involve a number of strategies, which include:

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1 Chapter-1 BASIC OF RURAL MARKETING Self Assessment Questions 1 Rural markets and rural marketing involve a number of strategies, which include: a. Management of demand b. Developmental marketing c. Unique selling proposition (USP) d. All of these 2 Rural marketing is similar as simply marketing. Rural marketing differs only in terms of buyers here; target market consists of customers living in rural areas. (a) True (b) False 3 Which type of market buys goods and services for further processing or for use in the production process? a. Business b. Consumer c. Retail d. Reseller 4 The natural resources that are needed as inputs by marketers or that are affected by marketing activities are referred to as the. a. Endangered environment b. Raw material market c. Natural environment d. Green movement 5 Which of the following represents the most dramatic force shaping a modern marketer's destiny? a. The natural environment b. Deregulation c. The technological environment d. The political environment

2 6 Workers, managers, and members of the board of directors are all part of a company's. a. Market public b. Local public c. Internal public d. Intermediary public 7 Research has shown that the most important demographic trend in Europe is the. a. Changing age structure of the population b. Aging population c. Increase in professional jobs d. Mobility of people 8 Rural marketing involves delivering manufactured or processed inputs or services to rural producers or consumers so as to soak up the huge size of the untapped rural market. (a) True (b) False 9 A marketing philosophy summarized by the phrase "a good product will sell itself" is characteristic of the period. a. Productions b. Sales c. Marketing d. Relationship 10 In the relationship marketing firms focus on relationships with. a. Short term; customers and suppliers b. Long term; customers and suppliers c. Short term; customers d. Long term; customer

3 11 Which of the following places satisfies the criteria to be considered an urban area? a. A place in the United States with 2,500 or more inhabitants. b. A place in Greece with at least 10,000 inhabitants. c. A place in Nicaragua with 1,000 or more inhabitants. d. All of these 12 The functions of... finance and marketing should be integrated to satisfy the needs and expectations of customers. a. Sales b. Production c. Marketing d. Relationship 13 Marketing are successful only when it is capable of maximizing profitable sales and achieves long-run customer satisfaction. (a) True (b) False 14 The consumer.and consumption patterns also differ across rural and urban areas, in many products rural consumption now accounts for a large share then urban. a. Consumer b. Retail c. Demand d. Reseller 15 Every producer or manufacturer and the business organization has also to determine beforehand, prior to undertaking its marketing, as to what shall be the price of their product? (a) True (b) False 16 Which are the components of marketing concept are as under: a. Satisfaction of Customers b. Integrated Marketing c. Profitable Sales Volume

4 d. All of these 17 The greatest problem in the rural market is to reach the customer or retailer. (a) True (b) False 18 The process should not be able to straddle the attitudinal and socio-economic disparity between the urban and rural customers. (a) True (b) False 19 The most important theme of is acceptability. a. Marketing Communications Mix b. Promotional Mix c. Marketing Mix d. All of these 20 To promote consumer durable inside a state costs $ 100 thousand while in urban areas it will costs in millions. (a) True (b) False Answers for Self Assessment Questions 1. (d) 2.(a) 3.(a) 4.(c) 5.(c) 6.(c) 7.(a) 8.(a) 9.(a) 10.(b) 11.(d) 12.(b) 13.(a) 14.(d) 15.(a) 16.(d) 17.(a) 18.(b) 19.(c) 20.(a)

5 Chapter-2 Rural Marketing Environment Self Assessment Questions 1. The purpose of. is to conceive, analyze, and creatively select channels of communication that will direct advertising messages to the right people in the right place at the right time. a. communications strategy b. media targeting c. media differentiation d. media planning 2. The media department for a manufacturer of gardening tools is developing a media plan. Which of the following is not a question to be answered during the media planning process? a. Should we advertise nationally or only in rural areas? b. Should we use print or broadcast media? c. Should we concentrate our advertising during the summer season? d. Who should be responsible for the media plan? 3. Media objectives have two major components: objectives and.objectives. a. scheduling; media-vehicle b. audience; message-distribution c. reach; frequency d. gross impression; rating 4. Assume the audience for Dr. Phil on channel 11 is 115,000. During the months of February and March, a local health club ran 16 ads during the show. This is the only advertising the health club did during those two months. Its.. equals 1,840,000. a. OTS b. message weights c. effective frequency numbers d. gross impressions 5. Land is one of three major factors of production in classical economics and an essential input for housing and food production. a. True b. False

6 6.. measures the intensity of a media schedule. a. Rating b. Gross impression c. Frequency d. Reach 7. The advertising response curve indicates that: a. incremental response to advertising actually diminishes with repeated exposures. b. audience fragmentation actually increases effective reach. c. repeated exposures to ads actually increase advertising success. d. recency planning does not apply to advertising for services. 8. Conflicts with nonfarm neighbors and vandalism, such as destruction of crops and damage to farm equipment, are major concerns of farmers at the urban fringe a. True b. False 9. The advertising messages for the most recent Harry Potter movie were communicated through the use of a Web site, television commercials, newspaper ads, theater advertising, and publicity. The film company promoting this movie used a approach. a. targeted media b. mixed-media c. flooding d. marketing mix 10. To reach its target audience, the Office of National Drug Control Policy creates advertising messages, such as "the coolest kids don't do drugs," which it uses extensively in a four to six weeks campaign. Then its policy is to stop all advertising for a two-week period. After the hiatus, it returns with a different advertising message. What method for media scheduling is the Office of National Drug Control Policy using? a. Continuous b. Uninterrupted c. Flighting d. Incessant 11. The three elements of the creative mix are the target audience, the advertising message, and the communications media. a. True

7 b. False 12. Media planners refer to the duration of an advertising message or campaign over a given period of time as regularity. a. True b. False 13. Which of the following would not be included in the cost of a separately acquired intangible asset? a. Non-refundable value added tax b. Employee costs incurred in preparing the asset for its intended use c. Costs incurred in using the asset d. Testing costs 14. How should research and development expenditure be dealt with in an entity's financial statements? a. Research and development expenditure should always be written off as an expense b. Research and development expenditure should always be capitalized as an intangible asset c. Research expenditure should always be written off as an expense but development expenditure should always be capitalized as an intangible asset d. Research expenditure should always be written off as an expense but development expenditure should be capitalized as an intangible asset if it satisfies certain conditions 15. Expenditure on advertising and promotion never gives rise to the acquisition of an intangible asset. True or False? a. True b. False 16. The revaluation model cannot be used for the measurement of an intangible asset unless: a. The asset is revalued every year b. The fair value of the asset is determined by a professional value c. There is an active market in that type of asset d. The revaluation model is also used for tangible assets 17. The rural market presents an exciting opportunity to develop brands into generic product association.

8 a. True b. False 18. If 60 percent of the 200,000 people in a target market tune in to the local country music radio station at least once during a given period of time, the station's is 120,000. a. rating b. advertising impression c. reach d. frequency 19. People are sometimes inadvertently exposed to conflicting or confusing messages of familiar products from neighboring countries. This issue is referred to as the problem of: a. ineffective reach. b. spillover media. c. ineffective frequency. d. lack of continuity. 20. As urbanization intensifies, agricultural and nonagricultural land use conflicts become more severe. a. True b. False Answers for Self Assessment Questions 1. (d) 2.(d) 3.(b) 4.(d) 5.(a) 6. (c) 7.(b) 8.(a) 9.(b) 10.(c) 11. (b) 12.(b) 13.(c) 14.(c) 15.(a) 16. (c) 17.(a) 18.(c) 19.(b) 20.(a)

9 Chapter-3 Rural Consumer Behavior Self Assessment Questions 1 is never simple; yet understanding it is the essential task of marketing management. a. Early adoption b. Consumption pioneering c. Consumer buying behavior d. Understanding the difference between primary and secondary data 2 The starting point to understanding how consumers respond to various marketing efforts is the model of a buyer's behavior. a. Post purchase dissonance b. Post purchase feeling c. Stimulus-response d. Belief 3 In the model of buyer behavior, which of the following is not a major type of force or event in the buyer's environment? a. cultural b. political c. economic d. channels

10 4 Marketers are always trying to spot in order to discover new products that might be wanted. a. groups b. cultural shifts c. dissonance d. lifestyles 5 are becoming a very attractive market: they are the ideal market for exotic travel, restaurants, high-tech home entertainment products, leisure goods and services, and designer furniture and fashions. a. Italians b. Mature consumers c. Europeans of African origin d. East Europeans e. Teenagers 6 are society's relatively permanent and ordered divisions whose members share similar values, interests, and behaviors. a. Social classes b. Lifestyles c. Purchase decisions d. Subcultures 7 Family is one of the factors that influence consumer behavior. a. Personal b. Psychological c. Business d. Social 8 Because business purchases are usually more complex than consumer purchases, business buyers tend to. a. Make quicker purchasing decisions b. Act independently c. Use a more formalized buying process d. Rely on intuition

11 9 Which of the following is not included in the decision-making unit of a buying organization? a. Individuals who make the buying decision b. Individuals who control buying information c. Individuals who supply the product d. Individuals who use the product or service 10 The.model of buying behavior, according to Fox all, presents a sophisticated integration of the psychological and various social and marketing influences on consumer choice, into a coherent sequence of information processing. a. Sociological Model b. Howard-Sheth c. Freudian Model d. All of these 11 Cultural factors have a significant impact on customer behavior. (a) True (b) False 12 The law of supply and demand demonstrates the relationship between supply, demand and prices. (a) True (b) False 13 Lifestyle marketing is not a process of establishing relationships between products offered in the market and targeted lifestyle groups. (a) True (b) False 14 The market maven is an intense case of an opinion leader kind of person. (a) True (b) False 15 The definition of the term innovation can be: a. Firm oriented (new to the firm)

12 b. Consumer oriented (new to the customer), c. Market-oriented definitions of innovation are most useful to consumer researchers in the study of the diffusion and adoption of new products. d. All of these 16 Which are the product characteristics influence the consumers acceptance of a new product: a. Relative Advantage b. Compatibility c. Complexity d. All of these 17 Diffusion of innovation refers to the spreading of consumption of an innovation, through communication channels in a.. a. Social system b. Cultural system c. Political system d. Technological system 18 Some cultures tend to adopt new products more quickly than others, based on several factors: a. Modernity b. Homophile c. Physical Distance d. All of these 19 If there is low involvement and the product/market is established then sales promotions should be used for: a. Loyal to increase loyalty b. Loyal to reward and increase usage c. Loyal to encourage trial d. All to block out the competition 20 Levels of customer loyalty can be determined by attitudinal surveys. (a)true (b) False

13 Answers for Self Assessment Questions 1. (c) 2.(c) 3.(d) 4.(b) 5.(b) 6.(a) 7.(d) 8.(c) 9.(c) 10.(b) 11.(a) 12.(a) 13.(b) 14.(a) 15.(d) 16.(d) 17.(a) 18.(d) 19.(b) 20.(b)

14 Chapter-4 Researching Rural Market Self Assessment Questions 1 FMCG stands for a. First Moving Consumer Goods b. Fast Moving Consumer Goods c. For Moving Consumer Goods d. None of these 2 The consumer market is a multi-tiered pyramid which requires multi pronged market strategies. (a)true (b) False 3 A is that element or elements considered available for selection in some stage of the sampling process. a. Sampling frame b. Population c. Sampling unit d. None of these 4 Marketing efforts and sociological influences on the consumer are aspects of which stage in the consumer decision-making model? a. The input stage b. The process stage c. The output stage d. The post-purchase evaluation 5 The qualitative research strategy places a value on: a. Using numbers, measurements and statistical techniques b. Generating theories through inductive research about social meanings c. Conducting research that is of a very high quality d. All of the above 6 Which of the following is an example of value-free research? a. Conscious partiality

15 b. Sympathy for the underdog c. Unstructured interviewing d. None of these 7 An important practical issue to consider when designing a research project is: a. Which theoretical perspective you find most interesting b. Whether or not you have time to retile the bathroom first c. How much time and money you have to conduct the research d. Which color of ring binder to present your work in 8 To ensure the direct market research is done effectively and efficiently: a. Decide on the appropriate sample size. b. Decide who you will contact for the sample. c. Develop a questionnaire and letter needed to gather the information d. All of these 9 The..of marketing a new product or service begins when we create a frame of reference. a. Product b. Process c. Procedure d. None of these 10 Which is the process of marketing occurs in steps: a. Developing a marketing strategy b. Building a marketing plan c. The relative advantage of the innovation over alternative ideas d. Both (a) and (b) 11 The perceived.advantage is typically one of the best predictors of the rate of adoption of an innovation. a. Compatibility b. Relative c. Complexity d. None of these 12 MDG stands for

16 a. Millennium Development Goods b. Master Development Goals c. Millennium Development Goals d. All of these 13 When a company acquires a supplier through an acquisition strategy, this is referred to as: a. Forward integration b. Vertical marketing system c. Horizontal integration d. Backward integration 14 Introducing new products to existing markets is an example of: a. Conglomerate diversification b. Concentric diversification c. Horizontal diversification d. Vertical diversification 15 The ECA region covers an immense area with great diversity in geography, cultures, religions and societies and is home to about 480 million inhabitants. (a)true (b) False 16 A market where new securities are bought and sold for the first time is known as a market. a. Primary b. Secondary c. Tertiary d. Capital 17 GDDS stands for a. Global Data Dissemination System b. General Data Dissemination System c. Golden Data Dissemination System d. All of these

17 18 A market for relatively long-term (greater than one year original maturity) financial instruments (e.g., bonds and stocks) is known as the market. a. Primary b. Secondary c. Tertiary d. Capital 19 PRA tools and techniques could be used at all levels of project formulation and implementation. (a)true (b) False 20 Which are types of PRA? a. Exploratory b. Topical c. Problem Solving d. All of these Answers for Self Assessment Questions 1. (b) 2.(a) 3.(c) 4.(a) 5.(b) 6.(d) 7.(c) 8.(d) 9.(b) 10.(d) 11.(b) 12.(c) 13.(a) 14.(c) 15.(a) 16.(a) 17.(b) 18.(d) 19.(a) 20.(d)

18 Chapter-5 Rural Marketing Strategies Self Assessment Questions 1. Most manufacturers and marketers do have a distribution arrangement for with a population of at least 5000 people. a. village b. country c. word d. None of these 2. Market segmentation is the process in marketing of dividing a market into distinct subsets (segments) that behave in the same way or have similar needs. (a) True (b) False 3. The way in which the product is delivered to meet the customers needs refers to: a. New product concepts and improvements b. Selling c. Advertising and promotion activities d. Place or distribution activities 4. Apple has done a lot through its advertising to promote itself, through its unintimidating icons, as a computer for non-geeks. a. Dell b. HP c. Sony d. Apple 5. Using., the computer then identifies positions of each brand on a map of a given number of dimensions. a. computer language b. computer algorithms c. computer information

19 d. None of these 6 Which of the following terms is used to describe the factors and forces outside marketing that affect marketing management's ability to build and maintain successful relationships with target customers? a. strategic planning b. target markets c. the marketing environment d. the marketing mix e. none of the above 7 Marketers should be aware of laws, government agencies, and pressure groups that influence or limit various organizations and individuals in a given society. This is the environment. a. legal-technological b. political c. economic d. socio-legal e. cultural 8 As marketing manager for Laser Industries, you should be aware that legislation affecting business around the world will continue to. a. threaten the American domestic economy b. exist c. remain steady d. increase 9 How many types of segmentation variables? a. 2 b. 3 c. 4 d is the division of the market according to different geographical units like continents, countries, regions, counties or neighborhoods. a. Demographic segmentation b. Market segmentation c. Geographic segmentation d. None of these

20 11..are commonly used in indexes and databases measuring consumer s preferences for brands, products and media. a. Demographic variable b. Market variable c. Geographic variable d. None of these 12 Evaluating different market segments, the firm must look at.the segment overall attractiveness and the company objectives and resources. a. one factors b. two factors c. Three factors d. Four factors 13 In the beginning of the..michael Porter contributions to Strategic Management had a great influence in Marketing. a. 80s and throughout the 90s b. 90s and throughout the 100s c. 100s and throughout the 110s d. None of these 14 One of the most important decisions that a company makes is what market coverage strategy to use for a brand. (a) True (b) False 15 A company carrying fixed costs (sales force, store outlets) can add products to absorb and share some costs. (a) True (b) False 16 Multiattribute segmentation models are complex but give the best overall picture of the customers. (a) True (v) False 17 Marketers can take a(n) by taking positive action to affect the publics and forces in their marketing environments. a. Environmental perspective

21 b. Relationship building perspective c. Proactive stance d. Natural management perspective 18 A potential segments must have characteristics that make it generally attractive, such as size, growth, profitability, scale economies, and low risk. (a) True (b) False 19 This evolution meant a broader analysis and a need for a strategy to coordinate different Medias and advertising possibilities. (a) True (b) False 20 Improved segmentation can lead to significantly improved marketing effectiveness. (a) True (b) False Answers for Self Assessment Questions 1. (a) 2.(a) 3.(d) 4.(d) 5.(b) 6.(c) 7.(b) 8.(d) 9.(a) 10.(c) 11.(a) 12.(b) 13.(a) 14.(a) 15.(a) 16.(a) 17.(c) 18.(a) 19.(a) 20.(b)

22 Chapter-6 Product Strategy Self Assessment Questions 1. Price is generally determined: a. as a result of competition s prices. b. primarily as a result of customer demand. c. primarily from cost. d. all of these. 2. Targeting leads to benefits because: a. it helps to decide upon relevant strategies. b. it leads to greater effectiveness for the marketing mix. c. it helps to focus on the needs of the target market. d. all of these. 3. The biggest challenges for marketers are: a. targeting the market places. b. creating awareness of a brand. c. testing the new product scheme. d. all of these. 4. It is important to understand the interrelationship between price, quality and value because: a. it brings about improved profits to the company. b. it underpins pricing strategy. c. it plays a significant role in customers buying behaviour. d. all of these. 5. Setting the right price is crucial to: a. the promotion of the tourism enterprise. b. the principle of the tourism enterprise. c. the profitability of the tourism enterprise. d. all of these. 6. A distribution system is the mix of channels used to: a. seek the opportunities of the tourism market. b. gain access to the potential buyers of the product. c. test the potential markets of the product.

23 d. all of these. 7. In which stage of the product life cycle should product strategy focus on forecasting capacity requirements? a. introduction b. growth c. maturity d. decline 8. Which of the following helps operations managers direct their efforts toward those items that show the greatest promise? a. value engineering b. financial analysis c. product cost justification d. product-by-value analysis 9. In which stage of the product life cycle should product strategy focus on improved cost control? a. introduction b. growth c. maturity d. decline 10. Among the elements that make products more friendly to the environment are a. using less materials b. more recycled materials c. using less energy d. ability to recycle product e. all of the above 11. Value analysis takes place a. when the product is selected and designed b. during the initial stages of production when something needs to be done to assure product success c. when the product is first conceived d. during the production process when it is clear the new product is a success 12. The dimensions, tolerances, materials, and finishes of a component are typically shown on a(n) a. assembly chart

24 b. engineering drawing c. bill of material d. assembly drawing e. route sheet 13. Which of the following does not result from the effective use of group technology? a. reduced tooling setup time b. simplified training c. reduced raw materials and purchases d. improved layout, routing, and machine loading 14. Which of the following typically shows the components, their description, and the quantity of each required to make one unit of a product? a. an engineering drawing b. an assembly drawing c. a bill of material d. an assembly chart 15. Companies no longer shy away from going that extra mile to woo rural customers. a. True b. False 16. Group technology requires that a. each component be identified by a coding scheme that specifies the type of processing and the a. parameters of the processing b. a specific series of engineering drawings be prepared c. all bill of material be prepared using the same format d. the final products be standardized 17. The list of food items that your restaurant customers want the kitchen to prepare is an example of a. an assembly chart b. a route sheet c. a bill of materials d. a work order 18. The work order shows, in schematic form, how the product is assembled?

25 a. lists the operations, including assembly and inspection, necessary to produce the component with the b. material specified in the bill of material c. provides detailed instructions on how to perform a given task d. gives the instruction to make a given quantity of a particular item, usually to a given schedule 19. Which of the following is documented on a bill of materials? a. the tolerances for each component b. the cost of the product c. the components, their description, and the quantity of each required to make one unit of a product d. the existing inventory level for the product 20. Warehousing is another major problem in rural areas, as there is hardly any organized agency to look after the storage issue. a. True b. False Answers for Self Assessment Questions 1. (d) 2.(d) 3.(b) 4.(d) 5.(c) 6. (b) 7.(b) 8.(d) 9.(c) 10.(e) 11. (d) 12.(b) 13.(b) 14.(c) 15.(a) 16. (a) 17.(d) 18.(d) 19.(c) 20.(a)

26 Chapter-7 New Product Development Self Assessment Questions 1. The cost of new product development is great and the introduction of a new washing powder will typically include which of the following investments? a. Market trials. b. Consumer focus groups. c. Market research. d. All of the above. 2. What features are normally associated with new product development? a. The need to trademark the product or process. b. Variable time frames before a product is brought to market. c. Development of unique superior product features. d. High investment costs. e. All of the above. 3. When companies identify a small number of test sites and cities to conduct a full marketing campaign to ascertain the response of the consumer to the new product, this process is referred to as: a. niche testing. b. controlled test marketing. c. simulated test marketing. d. standard test marketing. 4. To ensure success of new products, which market segment should be targeted initially? a. Early adopters. b. Laggards. c. Late majority. d. Innovators. 5. The type of newness (new to the company, new to the market) may be explained by which of the following?

27 a. A radical new product with innovation. b. A me-too product. c. Innovative me-too product, new to the market. d. The core product is familiar to the market. 6. Which of the following is a feature of continuous innovation? a. Latent innovation. b. Concentrated innovation. c. Regular innovation. d. Sporadic innovation. 7. Organizations do not operate in a static environment. Changing technology, changing customer tastes and preferences, and changing competitor product ranges should result in which of the following? a. New product development. b. Financial development. c. New resources development. d. Human resource development. 8. There are two main approaches to New Product Development. Which of the following are these approaches? 1) Spontaneous. 2) Delayed. 3) Radical. 4) Reactive. 5) Proactive. a. 2,3, b. 4,5, c. 1,2, d. 1,3, 9. Which of the following is not a stage in the product life cycle? a. Withdrawal. b. Growth. c. Introduction.

28 d. Maturity. 10. New product development should be largely the preserve of the: a. R&D function b. Production function c. None of the above d. Marketing function 11. New product development is best viewed as: a. A function within innovation management b. A group of activities within R&D management c. None of the above d. Separate from innovation management e. A group of activities within innovation management 12. From which perspective is it possible to view the development of new products? a. All of the above b. Design and engineering c. Marketing d. Economics 13. The key inputs to any new product strategy should come from: a. On-going marketing strategy b. On-going corporate strategy c. External environmental changes d. all of the above 14. Ansoff suggested new product development was a strategy for growth through: a. Developing new products for new markets b. Developing new products for existing markets c. None of the above d. Using current products in new markets 15. Johnson and Jones suggested there were many different product development opportunities open to a firm; these included: a. Diversifying to add new consumers b. Extending the product line c. Replacement of products

29 d. All of the above 16. In theory it is possible to create a new product by: a. Changing the quality hanging the quality b. Changing the packaging c. Changing the design d. All of the above 17. A key feature of network models of new product development is the emphasis on: a. Internal and external linkages b. All of the above c. Linkages with suppliers d. Linkages with customers 18. Which of the following are classes of new product models? a. All of the above b. Activity stage models c. Across functional models d. Departmental stage models 19. Many marketing text books refer to new product development as: a. None of the above b. A linear process c. A TQM process d. A simple departmental-stage process 20. New to the world products represent those products that: a. All of the above b. Create a new technology c. Create a new market d. Use patented technology

30 Answers for Self Assessment Questions 1. (d) 2.(e) 3.(d) 4.(d) 5.(a) 6. (c) 7.(a) 8.(b) 9.(a) 10.(c) 11. (e) 12.(a) 13.(d) 14.(b) 15.(d) 16. (d) 17.(a) 18.(a) 19.(b) 20.(b)

31 Chapter-8 Distribution Strategy Self Assessment Questions 1. In marketing jargon and according to the elements of the marketing mix, distribution is often referred to as.., to cover the decisions and strategies that enable the product to flow to the consumer, whether from the market direct to the home, via a wholesaler or from a retail outlet. a. place b. process c. positioning d. promotions 2. Retailers have to ensure a close match between their capabilities and the merchandise offered. They must have a clear understanding of which of the following? a. Store location; customer service; intermediaries; merchandise selection; image. b. Store location; customer service; intermediaries. c. Store location; customer service. d. Store location; customer service; merchandise selection; image. 3. The linking of members of distribution channels through formal agreements rather than ownership is known as a contractual system. Which of the following is an example of a contractual system? a. Family business. b. Newsagents. c. Franchises. d. Village shops. 4. The range and quality of services offered varies considerably from retailer to retailer. Which of the following are examples of the three types of service level? a. Full service; limited service; self service. b. Reduced service; full service; extended service. c. Protracted service; limited service; self service. d. Extended service; limited service; self service. 5. There are always problems for retailers related to depth of range or breadth of range. A traditional retail store has to restrict its choice because of which of the following? a. Pressures of time and money. b. Limited customers who visit the store. c. Limited supervisory staff.

32 d. Pressures of space and display requirements. 6. Without the back-up of a customer orientation, which of the following would be resolved to suit the supplier's, not the customer's, abilities and preferences? a. Timing. b. Location. c. Issues of supply. d. All of the above. 7. Which of the following is a long channel? a. Producer-retailer-consumer. b. Producer-wholesaler-retailer-consumer. c. Consumer-retailer-wholesaler. d. Wholesaler-retailer-consumer. 8. Organizational goods often involve close technical and commercial dialog between buyer and seller. The type and frequency of purchase and the quantity purchased, affect the channel structure. Which of the following is not one of these organizational distribution channels? a. Manufacturer-agent-distributor-user. b. Manufacturer-user. c. Manufacturer-agent-distributor-retailer-user. d. Manufacturer-agent-user. 9. Manufacturer-user. This direct channel is most appropriate where the goods being sold have which of the following characteristics? a. Low unit cost. b. No technical content. c. Low technical content. d. High unit cost. 10. The role of the intermediary is to do which of the following? a. Limit liability. b. Increase efficiency and reduce costs. c. Limit transactions between manufacturer and customer. d. Increase order size and reduce expenses. 11. Some intermediaries add logistical value in various forms. Which of the following is not an example of logistical value?

33 a. Breaking of bulk packs so as to sell smaller quantities. b. Sorting. c. Storage. d. Transformation. e. Differentiating. 12. When choosing the channel structure, which of the following should be considered in making one's choice of channel decision? a. Profit margins. b. Market coverage. c. The value that will be added. d. Product characteristics. e. All of the above. 13. In achieving this market coverage effectively and efficiently, there are three alternative models of distribution intensity. Which of the following are they? a. Penetrating; inclusive; exclusive. b. Intensive; exclusive; selective. c. Intensive; penetrating; inclusive. d. Inclusive; exclusive; selective. 14. Selective distribution is usually associated with which type of goods? a. Luxury goods. b. Shopping goods. c. Organizational goods. d. Industrial goods. 15. There are many influences on channel strategy. Which of the following are examples of these influences? a. The product. b. The market. c. Buying complexity and behavior. d. The environment. e. All of the above. 16. Decisions regarding distribution channels are of great significance to the manufacturers. a. True b. False

34 17. Where organizations need to select intermediaries on a fairly frequent basis, there is a range of issues that should be examined as part of an appraisal process. Which of the following is not an example of strategic selection criteria for intermediaries? a. Market coverage. b. Stock-holding policy. c. Expansion plans. d. Partnership willingness. 18. There are many key variables that will influence the scale and complexity of the logistics process. Which of the following are examples of these key variables? a. Marketing department; environment; warehousing. b. Transport; inventory; marketing department. c. Transport; inventory; warehousing. d. Transport; marketing department; warehousing. 19. The final phase of the channel design strategy is the selection of specific intermediaries. The decision tends to become more critical as the intensity of distribution itself becomes which two of the following? a. Selective and focused. b. Selective and exclusive. c. Inclusive and selective. d. Unfocused and exclusive. 20. Distribution channels often require the assistance of others in order for the marketer to reach it is target market. a. True b. False Answers for Self Assessment Questions 1. (a) 2.(d) 3.(c) 4.(a) 5.(d) 6. (d) 7.(b) 8.(a) 9.(d) 10.(b) 11. (e) 12.(e) 13.(d) 14.(b) 15.(e) 16. (a) 17.(b) 18.(b) 19.(b) 20.(a)

35 Chapter-9 Communication Strategy Self Assessment Questions 1. Why would Cadbury's make more use of direct marketing to consumers? a. Attempt to build relationships with the consumer. b. Sabre rattling with competitors. c. Attempt to deliver a more focused message to the target consumers. d. All of the above. 2. What are the advantages of using radio advertising? a. Reinforce print campaign. b. Reaches target market. c. Controlled message. d. Cheap and effective. 3. What are the disadvantages of advertising in the newspaper? a. One dimensional message. b. Difficult to accurately target the specific audience. c. All of the above. d. None of the above. 4. What are the disadvantages of radio advertising? a. Difficult to target the specific audience. b. Expensive if using effectively. c. Should not be used in isolation. d. All of the above. 5. Define what is meant by the cognitive stage of consumer advertising. a. Involves the creating or changing of an attitude. b. Sowing the seeds of a thought and gaining the consumer's attention. c. Stimulating recognition of advertising.

36 d. Defining recognition. 6. In marketing terms 'noise' is: a. extraneous non-intelligent clutter which distorts the message. b. intelligent clutter which distorts messages. c. distortion of messages by differences in culture. d. all of the above. 7. Television advertising that includes a telephone number for ordering is an example of: a. Direct-response advertising. b. direct mail. c. Telemarketing. 8. What is the main effect that increasing computer power has had on the growth of direct marketing? a. It has increased the cost of direct marketing. b. It has improved database management. c. It has created new mechanisms to reach target audiences. d. It has created new target markets. 9. In creating the communications message, what is the term applied to the process of putting the intended message or thought into symbolic form? a. Developing the response. b. Generating feedback. c. Decoding. d. Encoding. 10. Consumers normally pass through a buyer-readiness process as they reach a decision to purchase a product or not. Which of the following stages is not typical of the buyer-readiness process? a. Preference. b. Knowledge. c. Conviction. d. Liking. e. Post-purchase evaluation. 11. What are the unique qualities of advertising? a. Consumers view advertised products as standard and legitimate.

37 b. Advertising is expressive, allowing the dramatization of products. c. Can reach masses of geographically dispersed buyers at low cost exposure. d. All of the above. 12. Which of the following are NOT principal marketing communications organizations? a. Media agencies b. Customer call centers c. Advertising agencies d. Production companies 13. A full service agency provides both creative and media buying services. a. True b. False 14. 'One stop' agencies offer a client: a. just one type of marketing communication service b. all marketing communications services c. a specialist service and some ancillary services 15. When an agency bids for the account of a client the event is known as a: a. pitch b. presentation c. interview d. play 16. Which of the following is not an important criteria when selecting an agency? a. Dynamics b. Chemistry c. Conflicts of interest d. Staff credentials 17. A credentials presentation refers to an agency's: a. campaign requirements b. previous campaigns c. tit with a client's expectations d. financial status 18. An account executive is responsible for:

38 a. representing the interests of the client within the agency b. representing the interests of the agency within the client c. representing the interests of the advertising association within the agency d. representing the interests of the bank within the agency 19. The traditional role of the account planner is: a. to provide customer insight and to ensure the creative execution is correct b. to develop creative strategy c. to understand the clients target customers d. to develop media plans 20. Which of the following is not a key element within a creative brief? a. Target audience b. Competitor ads c. Tone d. Creative considerations Answers for Self Assessment Questions 1. (d) 2.(a) 3.(c) 4.(d) 5.(b) 6. (a) 7.(b) 8.(b) 9.(d) 10.(e) 11. (d) 12.(b) 13.(a) 14.(b) 15.(a) 16. (a) 17.(c) 18.(a) 19.(c) 20.(b)

39 Chapter-10 The Future Of Rural Marketing Self Assessment Questions 1. At the centre of any marketing process is: a. Target consumers. b. The product. c. The price charged for the product. d. The marketing intermediary. 2. Which of the following terms would be most closely associated with the phrase "dividing a market into distinct groups with distinct needs, characteristics, or behavior that might require separate products or marketing mixes"? a. Market positioning. b. Product differentiation. c. Market segmentation. d. Market targeting. 3. The marketing mix consists of the four Ps: product, price, place, and promotion. In the age of connectedness, these tools might be more appropriately named the four Cs: Customer solution, Customer cost,., and Communication.

40 a. Convenience. b. Customer control. c. Global considerations. d. Customer relationships. 4. One of the chief goals of the implementation function in marketing management is to: a. Take corrective action. b. Develop strategic plans. c. Develop marketing plans. d. Carry out the plans. 5. The step in a formal marketing plan that includes a market description, a product review, a review of competition, and a review of distribution is the: a. Threats and opportunity analysis. b. Current marketing situation. c. Marketing strategy. d. Objectives and issues. 6 The first step in the marketing control process is best described as being one where the marketer: a. Evaluates performance. b. Takes corrective action. c. Measures performance. d. Sets goals. 7. Internal records are an important source of information. Which of the following are not deemed as internal records? a. Manufacturing records. b. Competitor information. c. Customer service records. d. Accounting records. 8. Dunn and Bradstreet is the world's largest research organization that specializes in information management and marketing intelligence. Which is one of its largest subsidiaries that are focused upon the retail industry? a. Info Act Workstation. b. Key Account Scantrack. c. Homescan. d. Nielsen.

41 9. There are various types of research designed to obtain different types of information. What type of research is used to define problems and suggest hypotheses? a. Secondary research. b. Primary research. c. Descriptive research. d. Causal research. 10. Which of the following is not a defined use of marketing research? a. To identify and define marketing opportunities and problems. b. To improve understanding of the marketing process. c. To generate, refine and evaluate marketing actions. d. To justify previous marketing decisions. 11. Which of the following is not a sales forecasting method? a. Binomial regression. b. Leading indicators. c. Time lag analysis. d. Time series analysis. 12. What type of research would be appropriate in the following situation? Nestlé wants to investigate the impact of children on their parents' decisions to buy breakfast foods. a. Qualitative research. b. Secondary research. c. Focus groups. d. Mixed methodology. e. Quantitative research. 13. What type of research would be appropriate in the following situation? A college or university bookshop wants to get some insights into how students feel about the shop's merchandise, prices and service. a. Focus groups. b. Quantitative research. c. Secondary data. d. Qualitative research. 14. What type of research would be appropriate in the following situation?

42 L'Oreal wants to determine whether a new line of deodorants for teenagers will be profitable. a. Primary research. b. Mixed methodology. c. Focus groups. d. Qualitative research. 15. Why is market research an essential tool for the marketing manager? a. Develop more appropriate marketing mixes. b. Monitor progress and diagnose the root causes of marketing problems. c. Monitor changing needs and attitudes, etc. d. All of the above. 16. The Internet is a powerful mechanism for conducting research. However it does have its drawbacks. Which of the following signify these drawbacks? a. The possible inclusion of individuals not being targeted, that could skew the results. b. Eye contact and body language, (two useful research indicators) are excluded from the analysis. c. Lack of information about the population responding to the questionnaire. d. All of the above. 17. What does quantitative research measures? a. Feelings and opinions b. Numbers and figures c. Numbers and feelings 18. What kind of sampling does this example use? a. Random sampling b. Systematic sampling c. Quota sampling 19. Which of the following is an example of random sampling techniques? a. Taking the name of every person in a telephone book b. Generating a list of numbers by picking numbers out of a hat and matching these numbers to names in the telephone book c. Taking every tenth or twentieth name from a list of everybody in the telephone book 20. Geographical boundaries are now irrelevant as far as marketing is concerned.

43 a. True b. False Answers for Self Assessment Questions 1. (a) 2.(c) 3.(a) 4.(d) 5.(b) 6. (d) 7.(b) 8.(d) 9.(c) 10.(d) 11. (a) 12.(a) 13.(a) 14.(a) 15.(d) 16. (d) 17.(b) 18.(c) 19.(b) 20.(a)

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