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Marketing Final Exam

Manufacturers to intermediaries such as wholesalers

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Unformatted text preview: e shows ANS: C Premiums and coupons are directed at consumers. PTS: 1 REF: 289 Thinking KEY: CB&E Model Promotion OBJ: 18-3 TOP: AACSB Reflective MSC: BLOOMS Analysis 44. _____ is a price reduction offered by manufacturers to intermediaries, such as wholesalers and retailers, in exchange for performance of specified functions or purchasing during special periods. a. A point-of-purchase discount b. Pull money c. A quantity discount d. A functional discount e. A trade allowance ANS: E This defines a trade allowance. PTS: 1 REF: 289 Thinking KEY: CB&E Model Promotion OBJ: 18-3 TOP: AACSB Reflective MSC: BLOOMS Knowledge 45. General Mills is offering resellers a 10 percent discount on all cases of its granola bars purchased during the month of June. General Mills is offering a: a. trade allowance b. life cycle extension promotion c. P-O-P discount d. push money deal e. product development deal ANS: A A trade allowance is a price reduction offered by manufacturers to intermediaries, such as wholesalers or retailers, in exchange for performance of specified functions or purchasing during special periods. PTS: 1 REF: 289 Thinking KEY: CB&E Model Promotion OBJ: 18-3 TOP: AACSB Reflective MSC: BLOOMS Application 46. _____ is money offered to channel intermediaries to encourage them to sell the manufacturer’s product. a. A trade allowance b. Push money c. A selling deal d. A premium payment e. A direct trade sales promotion ANS: B Intermediaries receive push money as a bonus for pushing the manufacturer’s brand through the distribution channel. PTS: 1 REF: 289 Thinking KEY: CB&E Model Promotion OBJ: 18-3 TOP: AACSB Reflective MSC: BLOOMS Knowledge 47. Broyhill is offering the sales force at Meers Furniture Emporium a $50 reward for each Broyhill Pleasant Isle Living Room Collection sold in the next 30 days. What type of trade sales promotion is the $50? a. A trade allowance b. Push money c. A selling deal d. Premium payment e. A direct commission ANS: B Intermediaries receive push money as a bonus for pushing the manufacturer’s brand. PTS: 1 REF: 289 Thinking KEY: CB&E Model Promotion 48. The use of trade shows: a. b. c. d. e. OBJ: 18-3 TOP: AACSB Reflective MSC: BLOOMS Application is not an important aspect of sales promotion can help companies identify new prospects does not help introduce new products does not enhance corporate morale is a disadvantage in that it is usually impossible to display the product itself ANS: B Companies participate in trade shows to attract and identify new prospects, serve current customers, introduce new products, enhance corporate image, test the market response to new products, enhance corporate morale, and gather competitive product information. PTS: 1 REF: 289 Thinking KEY: CB&E Model Promotion OBJ: 18-3 TOP: AACSB Reflective MSC: BLOOMS Analysis 49. You are responsible for sales promotion for Replenishmints, long-lasting breath mints that contain a blend of vitamins and other nutrients specific...
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