kotler / armstrong 11e, chapter 10 _____ is the sum of values that consumers exchange for the...

Kotler / Armstrong 11e, Chapter 10

_____ is the sum of values that consumers exchange for the benefits of having or using a product or service.

1. Place

2. Purchase

3. Price

4. Premium

_____ is the sum of values that consumers exchange for the benefits of having or using a product or service.

1. Place

2. Purchase

3. Price

4. Premium

The Internet is potentially changing pricing practices from _____ to _____.

1. fixed; dynamic

2. dynamic; fixed

3. value; premium

4. external; internal

The Internet is potentially changing pricing practices from _____ to _____.

1. fixed; dynamic

2. dynamic; fixed

3. value; premium

4. external; internal

eBay.com is an example of a company that uses _____ pricing.

1. fixed

2. dynamic

3. prestige

4. value

eBay.com is an example of a company that uses _____ pricing.

1. fixed

2. dynamic

3. prestige

4. value

Which of the elements in the marketing mix produce revenue?

1. promotion

2. product

3. price

4. all of the above

Which of the elements in the marketing mix produce revenue?

1. promotion

2. product

3. price

4. all of the above

One problem with pricing is that managers are often too quick to reduce their price, rather than to convince their buyers that their product is worth the higher cost.

1. True

2. False

One problem with pricing is that managers are often too quick to reduce their price, rather than to convince their buyers that their product is worth the higher cost.

1. True

2. False

Which of the following is not an internal factor affecting pricing?

1. marketing objectives

2. marketing mix strategy

3. costs

4. competition

Which of the following is not an internal factor affecting pricing?

1. marketing objectives

2. marketing mix strategy

3. costs

4. competition

A product that is high in quality and available in a limited number of outlets will probably have a _____.

1. high price

2. low price

3. discounted price

4. none of the above

A product that is high in quality and available in a limited number of outlets will probably have a _____.

1. high price

2. low price

3. discounted price

Target costing involves designing a new product, determining its cost, and then asking, “Can we sell it for that?”

1. True

2. False

Target costing involves designing a new product, determining its cost, and then asking, “Can we sell it for that?”1. True2. False (Target costing starts with setting an

ideal price based on customer considerations then targets the costs to see that the price is met.)

_____ costs do not vary with production or sales level.

1. Materials

2. Fixed

3. Total

4. Value

_____ costs do not vary with production or sales level.

1. Materials

2. Fixed

3. Total

4. Value

The _____ shows the drop in average costs with accumulated production experience.

1. learning curve

2. demand curve

3. cost curve

4. all of the above

The _____ shows the drop in average costs with accumulated production experience.

1. learning curve

2. demand curve

3. cost curve

4. all of the above

Which type of market consists of many buyers and sellers who trade over a range of prices rather than a single market price?

1. pure competition

2. monopolistic competition

3. oligopolistic competition

4. pure monopoly

Which type of market consists of many buyers and sellers who trade over a range of prices rather than a single market price?

1. pure competition

4. pure monopoly

Which type of market has few sellers who are very sensitive to each other’s prices?

1. pure competition

4. pure monopoly

Which type of market has few sellers who are very sensitive to each other’s prices?

1. pure competition

4. pure monopoly

A(n) _____ curve shows the number of units the market will buy in a given time period at different prices that might be charged.

1. demand

2. elastic

3. experience

4. reverse

A(n) _____ curve shows the number of units the market will buy in a given time period at different prices that might be charged.

1. demand

2. elastic

3. experience

4. reverse

If demand changes greatly with a small change in price, we say the demand is _____.

1. inelastic

2. elastic

3. sensitive

4. reversed

If demand changes greatly with a small change in price, we say the demand is _____.

1. inelastic

2. elastic

3. sensitive

4. reversed

Which of the following is(are) not an external consideration when setting prices?

1. costs

2. the government

3. social concerns

4. resellers

Which of the following is(are) not an external consideration when setting prices?

1. costs

2. the government

3. social concerns

4. resellers

The simplest pricing method is _____.

1. break-even pricing

2. cost-plus pricing

3. value-based pricing

4. competition-based pricing

The simplest pricing method is _____.

1. break-even pricing

2. cost-plus pricing

3. value-based pricing

4. competition-based pricing

If a reseller buys a product from a manufacturer for $20 and wants to mark it up 50%, what will the new price be?

1. $30

2. $40

3. $25

If a reseller buys a product from a manufacturer for $20 and wants to mark it up 50%, what will the new price be?

1. $30

2. $40 (Markup price = unit price/(1-desired return on sales)

3. $25

What is the break-even volume for a company with fixed costs of $50k, variable costs of $20 and a price of $30/unit?

1. 500

2. 1000

3. 5000

4. 2500

What is the break-even volume for a company with fixed costs of $50k, variable costs of $20 and a price of $30/unit?

1. 500

2. 1000

3. 5000 (BE volume = FC/(Price–VC)

4. 2500

Value-based pricing uses the buyer’s perception of value to set prices.

1. True

2. False

Value-based pricing uses the buyer’s perception of value to set prices.

1. True

2. False

According to the text, competition-based pricing is popular in _______ markets.

1. pure competition

2. pure monopoly

According to the text, competition-based pricing is popular in _______ markets.

1. pure competition

2. pure monopoly

kotler / armstrong 11e, chapter 10 _____ is the sum of values that consumers exchange for the...

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