PLACE Marketing: Pricing Objectives & Strategy Chapter Exam

Exam Instructions:

Choose your answers to the questions and click 'Next' to see the next set of questions. You can skip questions if you would like and come back to them later with the yellow "Go To First Skipped Question" button. When you have completed the practice exam, a green submit button will appear. Click it to see your results. Good luck!

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Question 1 1. A refund that is given for the purchase of a product during a certain time frame is called a _____.

Question 2 2. Inflation is defined as _____.

Question 3 3. Which pricing type's ultimate goal is to reach a particular level of profit by using price to get sales that produce a certain profit per unit?

Question 4 4. What pricing objective entails focusing on value and the customer's expectations?

Question 5 5. Which of the following describes profit maximization pricing?

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Question 6 6. Carlos bought a new laptop using a store's credit card, and the store offered to reduce the laptop's price by $50 if he paid the entire bill within 6 months. This is an example of a _____ discount.

Question 7 7. If a butter manufacturer raises prices by 10% and the quantity of butter demanded by consumers falls 20%, this would be an example of _____.

Question 8 8. Which type of discount helps to create a steady demand stream of product for the manufacturer?

Question 9 9. A period of reduced economic activity is called a(n) _____.

Question 10 10. Katerine works at a large catering company. When Katerine gave her boss, Joe, a report on what the competition was doing he said he wasn't interested in that or even the profit, that his only goal was to increase how many products people purchase. What is this strategy called?

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Question 11 11. What is used to reward customer loyalty and encourage large purchase amounts?

Question 12 12. Offering a free movie ticket with the purchase of hotel room is an example of which type of pricing strategy?

Question 13 13. Airline companies tend to utilize what type of pricing decision?

Question 14 14. What type of pricing strategy is Speedy Cellular using when it introduces a new smartphone at a price below all of its competitors ?

Question 15 15. One of the toy company's products is a baby item that simulates a car driving. It can be attached to a crib to help soothe babies to sleep. No other product like this is available. What type of demand would this product likely have?

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Question 16 16. How will Advance Electronics implement a price skimming strategy when it introduces its' new game box?

Question 17 17. When products are stocked on a special display at the end of an aisle, the manufacturer is probably offering a _____ discount to the retailer.

Question 18 18. Which of the following is NOT one of the 4 P's of the marketing mix?

Question 19 19. A demand chart or schedule is the _____

Question 20 20. The purpose of _____ is to communicate the customers that they are receiving a great value for their money.

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Question 21 21. Which objective concerns specific rates of profit and using pricing strategies to get to a measurable return on investment to placate stockholders?

Question 22 22. What is the result when the marginal cost (MC) is less than the average variable cost (AVC)?

Question 23 23. Your company is experiencing some financial difficulties and needs to increase its profits soon. Which of the following should it NOT do in order to increase profits?

Question 24 24. A supply and demand chart or schedule is the _____

Question 25 25. Which type of pricing strategy depends on promotions/sales to temporarily reduce prices?

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Question 26 26. What type of pricing strategy offers one price and avoids constant sales discounts and price changes?

Question 27 27. What is the difference between 'average total cost' (ATC) and 'average variable cost' (AVC)?

Question 28 28. What is sales-oriented pricing based on?

Question 29 29. If there is another leader in the industry, a company might decide to match the leader's pricing. Otherwise, it will maintain current prices. What is this strategy called?

Question 30 30. Which 'P' of the marketing mix has the most flexibility to change?

PLACE Marketing: Pricing Objectives & Strategy Chapter Exam Instructions

Choose your answers to the questions and click 'Next' to see the next set of questions. You can skip questions if you would like and come back to them later with the yellow "Go To First Skipped Question" button. When you have completed the practice exam, a green submit button will appear. Click it to see your results. Good luck!

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