Marketing Final Exam

Marketing Final Exam

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Unformatted text preview: rocess does not benefit the retailer is most effective when used during an inflationary period encourages clerical errors is accurately described by none of these choices ANS: A A single-price tactic offers all goods and services at the same price (or perhaps two or three prices). PTS: 1 REF: 328 Thinking KEY: CB&E Model Pricing OBJ: 20-3 TOP: AACSB Reflective MSC: BLOOMS Comprehension 67. The Used Car Mall lets salespeople charge different customers different prices for essentially the same automobile depending on how good the customer is at negotiating price. It uses: a. two-part pricing b. an illegal pricing policy c. flexible pricing d. bait and switch practices e. price maintenance ANS: C Flexible pricing means selling essentially the same product to different customers for different prices. PTS: 1 REF: 328 Thinking KEY: CB&E Model Pricing OBJ: 20-3 TOP: AACSB Reflective MSC: BLOOMS Application 68. The tactic that allows different customers to pay different prices for essentially the same merchandise bought in equal quantities is called _____. It is often found in the sale of shopping goods, specialty merchandise, and most industrial goods except supply items. a. zoning (or basing) pricing b. illegal price fixing c. price maintenance d. psychological (or odd–even) pricing e. flexible (or variable) pricing ANS: E Car dealers, many appliance retailers, and manufacturers of industrial installations, accessories, and component parts commonly follow this practice. PTS: 1 REF: 328 Thinking KEY: CB&E Model Pricing OBJ: 20-3 TOP: AACSB Reflective MSC: BLOOMS Knowledge 69. An advantage associated with a flexible pricing policy is that it: a. causes inconsistent profit margins b. enables a seller to close a sale with a priceconscious customer c. causes ill will among customers if they discover that other customers are paying lower prices d. enables salespeople to automatically lower the price to make a sale e. can spark a price war with competitors ANS: B Flexible pricing may allow a salesperson to negotiate with a price-sensitive customer, which is an advantage. PTS: 1 REF: 328 Thinking KEY: CB&E Model Pricing OBJ: 20-3 TOP: AACSB Reflective MSC: BLOOMS Comprehension 70. Suppose an advertising agency develops logos for its clients. It charges $10,000 per logo–– whether the team that’s working on the logo takes 30 minutes or days to design the logo. Agency management explain that clients pay for the agency’s expertise and creativity, not the amount of time it literally takes to develop a logo. This pricing approach is known as: a. professional services pricing b. potential (or base) pricing c. price maintenance d. psychological pricing e. flexible (or variable) pricing ANS: A Professional services pricing is used by people with lengthy experience, training, and often certification by a licensing board. PTS: 1 REF: 329 Thinking KEY: CB&E Model Pricing OBJ: 20-3 TOP: AACSB Reflective MSC: BLOOMS Application 71. Which of the...
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This document was uploaded on 09/29/2013.

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