MGT301 Midterm Solved Papers Set 2 by VUBuddy

Solved by: HASSAN TAIMUR · MIDTERM EXAMINATION · Fall 2008 · MGT301- Principles of Marketing (Session - 2)

Q1. If the company’s sales are slow down, and profits level off or decline. At which stage the company has reached? (1 marks)

1. Introduction
2. Decline (correct)
3. Growth
4. Maturity

Correct answer: Decline (correct)

(profit high sale peek)

Q2. A period of rapid market acceptance and increasing profits refers to which of the following stages of the product life cycle? (1 marks)

1. Decline
2. Maturity
3. Introduction
4. Growth

Correct answer: Growth

Q3. In which of the following product life cycle stages, sales are zero and the company’s investment costs mount? (1 marks)

1. Product development
2. Introduction
3. Growth
4. Maturity

Correct answer: Product development

Q4. Which one of the following groups is skeptical and adopts innovations only after most of the market has accepted the product? (1 marks)

1. Innovators (help to get product)
2. Late majority (correct)
3. Early Adopter (opinion leader to the rest market)
4. Early Majority (typical consumer)

Q5. A review of the sales, costs and profit projections for a new product to find out whether they satisfy the company’s objectives refers to which one of the following concepts? (1 marks)

1. Business feasibility
2. Feasibility study
3. Business analysis (correct)
4. Product acceptance

Correct answer: Business analysis (correct)

Q6. After concept testing, a firm would engage in which stage for developing and marketing a new product? (1 marks)

1. Marketing strategy development (correct)
2. Business analysis
3. Product development (After analysis Markting and busines strategy)
4. Test marketing

Q7. Which one of the following categories refers to a group of products that are closely related because they function in a similar manner, are sold to the same customer groups, are marketed through the same type of outlets, or fall within given price ranges? (1 marks)

1. Product line (correct)
2. Line extension
3. Private brand
4. Product bandwidth

Correct answer: Product line (correct)

Q8. Marketers need to position their brands clearly in target customers’ minds. The strongest brands go beyond attributes or benefit positioning. On which of the following basis the products are positioned? (1 marks)

1. Desirable benefit
2. Good packaging
3. Strong beliefs and values
4. Customer image

Correct answer: Desirable benefit

Q9. Which one of the following attribute may grab attention and produce pleasing aesthetics, but it does not necessarily make the product perform better? (1 marks)

1. Design (contribute a product to perform better)
2. Style (correct)
3. Variable
4. Packaging

Q10. You have an upset stomach. Your spouse rushes to the corner convenience store for a medicine. This product falls under which of the following categories? (1 marks)

1. Unsought
2. Convenience (correct)
3. Shopping
4. Specialty

Correct answer: Convenience (correct)

Q11. Product planners need to think about products and services on three levels. Each level adds more customer value. Which one of the following is the most basic level that addresses the question, “What is the buyer really buying?” (1 marks)

1. Actual product (buyer need)
2. Augmented product (extra qualities like warranty for any product)
3. Core benefit = (core product) (correct)
4. Co-branding

Q12. Mass marketers, such as Target and Venture Stores, ignore market segment differences and target the whole market with one offer. What is their approach to segmenting? (1 marks)

1. Undifferentiated marketing (correct)
2. Differentiated marketing (user to user different products)
3. Target marketing (segmentation= e.g chose 5 out of 10)
4. Intelligent marketing

Q13. A marketer has brought same products in the market for all segments without considering the needs and wants of the customers. Which one of the following strategy is being practiced by the marketer? (1 marks)

1. Undifferentiated marketing strategy (without segmention e.g mass marketing)
2. Differentiated marketing strategy (different product for differnet

segmentation)

1. Concentrated marketing strategy (correct)
2. Custom marketing strategy (customer imge)

Correct answer: Concentrated marketing strategy (correct)

Q14. Demographic segmentation divides the market into groups based on which of the following variables? (1 marks)

1. Size, location, industry, customer
2. Size, company, industry, technology
3. Location, size, occupation, race (correct)
4. Customer, technology, company, industry

Correct answer: Location, size, occupation, race (correct)