Marketing Final Exam

Homogeneous group of companies in a particular group

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Unformatted text preview: ican Institution Code System North American Industry Classification System ANS: E The North American Industry Classification System (NAICS) is an industry classification system for classifying North American business establishments. PTS: 1 REF: 110 Thinking KEY: CB&E Model Research OBJ: 07-5 TOP: AACSB Reflective MSC: BLOOMS Knowledge 32. Imagine that you are the research director of a major industrial marketing firm. You need to select an NAICS code that defines the most homogeneous group of companies in a particular group of highly competitive companies. Which of the following codes might you use? a. 7432 b. 532 c. 19 d. 7 e. 999 ANS: A The more digits in a code, the more homogeneous the group will be. The alternatives presented in this question are to illustrate the point that more digits results in a more homogeneous grouping. They may or may not be actual NAICS codes. PTS: 1 REF: 110 Thinking KEY: CB&E Model Research OBJ: 07-5 TOP: AACSB Reflective MSC: BLOOMS Application 33. NAICS data are helpful for analyzing, segmenting, and targeting markets. The system was developed by: a. large manufacturers in United States and Mexico that produce similar goods b. the North American Free Trade Agreement partners c. Brazil, Chile, Argentina, Canada, and the United States working together in a joint venture d. the SIC committee e. the U.S. government ANS: B NAICS is an industry classification system that replaced the standard industrial classification (SIC) system in 1997 for the North American Free Trade Agreement partners. The partners include the United States, Canada, and Mexico. PTS: 1 REF: 110 Thinking KEY: CB&E Model Research OBJ: 07-5 TOP: AACSB Reflective MSC: BLOOMS Knowledge 34. Managers can use the NAICS data to: a. b. c. d. e. create a more focused mission statement eliminate risk classify consumer behavior identify potential new customers determine purchase motives ANS: D NAICS data can be converted to market potential estimates, market share estimates, and sales forecasts. It can also be used for identifying potential new customers. PTS: 1 REF: 110 Thinking KEY: CB&E Model Research OBJ: 07-5 TOP: AACSB Reflective MSC: BLOOMS Comprehension 35. All of the following are demand characteristics of business markets EXCEPT: a. inelastic demand b. fluctuating demand c. joint demand d. stable demand e. derived demand ANS: D Business markets are characterized by derived demand, inelastic demand, joint demand, and fluctuating demand. PTS: 1 REF: 110 Thinking KEY: CB&E Model Customer OBJ: 07-6 TOP: AACSB Reflective MSC: BLOOMS Analysis 36. The demand for consumer goods often affects the demand for business products. This characteristic of business markets is called _____ demand. a. elastic b. inelastic c. fluctuating d. derived e. joint ANS: D The demand for business products is called derived demand because organizations buy products to be used in producing their customers’ products. PTS: 1 REF: 110 Thinking KEY: CB&E Model Customer O...
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This document was uploaded on 09/29/2013.

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