Pricing Strategy: Help & Review 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. 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?

Question 2 2. You and your sales associates are having a brainstorming session. One of the sales associates suggests that charging a low price for the company's product initially will help to capture the largest market share from your target market. How should you price your product?

Question 3 3. 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 4 4. 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 5 5. Which of the following describes profit maximization pricing?

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Question 6 6. What type of pricing strategy is Speedy Cellular using when it introduces a new smartphone at a price below all of its competitors ?

Question 7 7. The purpose of _____ is to communicate the customers that they are receiving a great value for their money.

Question 8 8. If a product has a strong unique advantage that is not easily copied, how should it be priced?

Question 9 9. 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 10 10. Why is a pricing strategy important?

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Question 11 11. Which type of pricing strategy depends on promotions/sales to temporarily reduce prices?

Question 12 12. What type of pricing strategy offers one price and avoids constant sales discounts and price changes?

Question 13 13. What is used to reward customer loyalty and encourage large purchase amounts?

Question 14 14. Inflation is defined as _____.

Question 15 15. Offering a free movie ticket with the purchase of hotel room is an example of which type of pricing strategy?

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Question 16 16. 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 17 17. How will Advance Electronics implement a price skimming strategy when it introduces its' new game box?

Question 18 18. What strategy consists of charging a high introductory price in tandem with heavy promotion and later slowly dropping the price?

Question 19 19. Why would an airline company utilize a status quo pricing strategy?

Question 20 20. When the final selling price reflects cost increases occurred between the time the order is placed and the time it is delivered, _____ has occurred.

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Question 21 21. Which of the following is NOT one of the 4 P's of the marketing mix?

Question 22 22. What is the price against which buyers compare the sales price of the product to the actual price?

Question 23 23. A period of reduced economic activity is called a(n) _____.

Question 24 24. Which type of discount helps to create a steady demand stream of product for the manufacturer?

Question 25 25. A refund that is given for the purchase of a product during a certain time frame is called a _____.

Pricing Strategy: Help & Review 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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