QUESTION What is everyday low pricing? A) With this strategy, a company starts with the price it wants to charge, figures out the profit margin it wants, then determines what the costs must be to produce the product to meet the desired price and profit goals. B) With this approach, price is determined in relation […]
Date: September 3rd, 2020
QUESTION What is bundling? A) This is the practice of pricing two or more products together as a unit. B) This is the strategy in which the cost of producing or buying the product—plus making a profit—is the primary basis for setting price. C) This involves setting a low price to attract many customers and […]
Date: September 3rd, 2020
QUESTION The cost of producing or buying the product—plus making a profit—is the primary basis for setting price in this pricing strategy. A) competitive pricing B) target costing C) cost pricing D) price skimming E) penetration pricing ANSWER Answer: C Explanation: C) Some companies favor cost pricing, in which the cost of producing or […]
Date: September 3rd, 2020
QUESTION Which kind of pricing is the technique of pricing products or services in odd rather than even amounts to make products seem less expensive? A) discounting B) price skimming C) penetration pricing D) psychological pricing E) bundling ANSWER Answer: D Explanation: D) Psychological pricing, sometimes called odd-even pricing, is the technique of pricing […]
Date: September 3rd, 2020
QUESTION Which of the following represents the pricing goal of making a profit? A) aiming for an 18 percent return on investment on the sale of milk B) lowering the price of milk to match the store across the street C) advertising milk as a loss leader to increase market share D) selling milk at […]
Date: September 3rd, 2020
QUESTION Which of the following is the best example of psychological pricing? A) The local university charges $16,000 for one student for one year of education. B) Howard has set the price of his luxury RV at $319,000. C) Eugene wants $350.00 for his heavy-duty chainsaw. D) Dominic has set the price of his specialty […]
Date: September 3rd, 2020
QUESTION Diner’s Preference is a new, high-end brand of silverware and cooking utensils put out by a new company. Which goal of branding is the company most likely interested in at this point? A) to publicize the company name and build trust B) to differentiate the company’s product from competing products C) to get repeat […]
Date: September 3rd, 2020
QUESTION Which of the following describes brand equity? A) Sylvia has always rented a home, never owned. So she has never had to purchase replacement windows herself. Nevertheless, she recognizes the name Andersen Windows. B) Eliza loves her Subaru Impreza hatchback. She feels happy and safe when she drives it, and has fond memories of […]
Date: September 3rd, 2020
QUESTION 3M Post-it Notes have been on the market for many years now and have always been well received. Which goal of branding is the company most likely interested in at this point? A) to publicize the company name and build trust B) to differentiate the company’s product from competing products C) to get repeat […]
Date: September 3rd, 2020
QUESTION What is the marketing and financial value derived from the combination of factors that people associate with a certain brand name? A) brand awareness B) brand preference C) brand insistence D) brand equity E) brand loyalty ANSWER Answer: D Explanation: D) Brand equity is the marketing and financial value derived from the combination […]
Date: September 3rd, 2020
