Marketing Final Exam

A means of attracting developing and retaining

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Unformatted text preview: keep their loyal customers as heavy users and escalate lower-level users into loyal customers. An effective tool for accomplishing this goal would be _____ marketing. a. interactive b. relationship c. patronage d. nonprofit e. affiliation ANS: B Relationship marketing involves ongoing interaction between the service provider and the customer. It is a means of attracting, developing, and retaining customer loyalty. PTS: 1 REF: 194 Thinking KEY: CB&E Model Strategy OBJ: 12-5 TOP: AACSB Reflective MSC: BLOOMS Application 72. At which level of relationship marketing does the firm only use pricing incentives to encourage customers to continue doing business with it? a. Level 1 b. Level 2 c. Level 3 d. Level 4 e. Level 5 ANS: A Level 1 using pricing incentives such as frequent-flyer programs. PTS: 1 REF: 195 Thinking KEY: CB&E Model Strategy OBJ: 12-5 TOP: AACSB Reflective MSC: BLOOMS Knowledge 73. The level of relationship marketing that is least likely to be effective in the long term because its advantage is easily imitated by other firms is based on: a. personal communications b. social bonds c. d. e. service delivery heuristics pricing incentives structural bonds ANS: D This level uses pricing incentives that can easily be imitated by other firms. PTS: 1 REF: 195 Thinking KEY: CB&E Model Pricing OBJ: 12-5 TOP: AACSB Reflective MSC: BLOOMS Comprehension 74. Mountain Express is a company that provides grocery delivery service to several small communities in Idaho. The company gives a 2 percent discount on all food orders to customers after they have used the service ten times. An additional percentage discount is offered for each additional 15 orders up to a maximum of 8 percent. The relationship marketing strategy used by Mountain Express is based on: a. following service delivery paradigms b. building social bonds c. building financial bonds d. opening personal communication channels e. creating structural bonds ANS: C Building financial bonds includes the use of price incentives. PTS: 1 REF: 195 Thinking KEY: CB&E Model Strategy OBJ: 12-5 TOP: AACSB Reflective MSC: BLOOMS Application 75. Which level of relationship marketing uses pricing incentives but also seeks to build social bonds with customers? a. Level 1 b. Level 2 c. Primary level d. Secondary level e. Supplemental level ANS: B Level 2 designs services to meet customer needs and includes financial incentives but also seeks to build social bonds with customers. PTS: 1 REF: 195 Thinking KEY: CB&E Model Strategy OBJ: 12-5 TOP: AACSB Reflective MSC: BLOOMS Knowledge 76. A management consulting business stays in touch with its business customers through phone calls and greeting cards. It periodically sends out needs-assessment questionnaires and designs new services to meet the needs revealed in these surveys. This is an example of relationship marketing based on: a. financial bonds b. c. d. e. social bonds service delivery patronage bonds structural bonds ANS: B Building...
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This document was uploaded on 09/29/2013.

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