Final exam pool items (Chs. 9, 11, 12, 13, 14, 15 & 17 not 18)
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ANS: B This is an example of a communications gap. PTS: 1 REF: 162 OBJ: 11-3 TYPE: App TOP: AACSB Reflective Thinking | TB&E Model Customer 38. If a customer expects to wait one week for a pair of shoes to be mended but is told that the shoes are ready to be picked up less than 24 hours after leaving them at the repair shop, the customer's evaluation of service quality will be high. However, a two-week wait would result in a lower evaluation. The two-week gap would illustrate a gap between:
ANS: B
When these gaps are large, service quality is perceived as low. As the gaps shrink, perceptions of service quality improve. PTS: 1 REF: 162 OBJ: 11-3 TYPE: App TOP: AACSB Reflective Thinking | TB&E Model Product | TB&E Model Customer 39. If a hospital measured the service quality of its physician care in terms of the total number of people who were attended to--even if patients appeared to want more individualized care--the hospital would be exhibiting a gap between:
ANS: E
There is no indication in the question that the hospital is concerned about what customers want. Rather the hospital cares more about its billable hours. PTS: 1 REF: 162 OBJ: 11-3 TYPE: App TOP: AACSB Reflective Thinking | TB&E Model Product | TB&E Model Customer 40. Which of the following statements about developing marketing mixes for services is true?
ANS: E PTS: 1 REF: 162-164 OBJ: 11-4 TYPE: Comp TOP: AACSB Reflective Thinking | TB&E Model Strategy 41. Which of the following is NOT an example of a type of service processing that can occur?
ANS: B PTS: 1 REF: 163 OBJ: 11-4 TYPE: Def TOP: AACSB Reflective Thinking | TB&E Model Product 42. Budget airlines are a new service in China. Neither their passengers nor the airlines themselves know what to expect from each other. Shanghai-based Spring Airlines is a start-up service with a tight budget. Spring Airlines would engage in _____ processing.
ANS: A
People processing takes place when the service is directed at a customer. PTS: 1 REF: 162 OBJ: 11-4 TYPE: App TOP: AACSB Reflective Thinking | TB&E Model Product | TB&E Model Customer 43. Which of the following services is an example of possession processing?
ANS: E
Possessions processing occurs when the service is directed to the customers’ physical possessions. PTS: 1 REF: 163 OBJ: 11-4 TYPE: App TOP: AACSB Reflective Thinking | TB&E Model Product
ANS: C TeamBuilds is an education program. It is directed at customers. PTS: 1 REF: 163 OBJ: 11-4 TYPE: App TOP: AACSB Reflective Thinking | TB&E Model Strategy 45. Which of the following services is an example of mental stimulus processing?
ANS: C PTS: 1 REF: 163 OBJ: 11-4 TYPE: App TOP: AACSB Reflective Thinking | TB&E Model Product 46. Which of the following services is an example of information processing?
ANS: A
Information processing describes services that use brain power directed at a customer’s assets. PTS: 1 REF: 163 OBJ: 11-4 TYPE: App TOP: AACSB Reflective Thinking | TB&E Model Product | TB&E Model Customer 47. An Internet company, icruise.com, sold cruises by offering a "Suntan Guarantee." The guarantee promised a full refund on a Caribbean cruise if more than one-quarter inch of rain fell from 10 a.m. to 4 p.m. for a preset number of days depending on the length of the cruise. The _____ service offered by icruise is travel. The guarantee is a _____ service.
ANS: C PTS: 1 REF: 163 OBJ: 11-4 TYPE: App TOP: AACSB Technology | TB&E Model Product 48. TeamBuilds is a service organization that has corporate teams pay $7,500 for an all-day team-building session with a management consultant while they work together on renovating a Habitat for Humanity home. TeamBuilds' _____ service is improved work team relationships.
ANS: B Core service is the most basic benefit the consumer is buying. PTS: 1 REF: 163 OBJ: 11-4 TYPE: App TOP: AACSB Reflective Thinking | TB&E Model Strategy 49. Western Union is in the business of providing a medium for international money transfers. A Mexican working in the United States can transfer a portion of his or her earnings to family members still living in Mexico. The wire transfer of funds is the _____ service the company provides.
ANS: C Core service is the most basic benefit the consumer is buying. PTS: 1 REF: 163 OBJ: 11-4 TYPE: App TOP: AACSB Reflective Thinking | TB&E Model Strategy 50. The service offering of G&R Talent Agency is performers suitable for appearances on college campuses. This service is an example of the agency's _____ service.
ANS: D
The core service is what the consumer is buying. PTS: 1 REF: 163 OBJ: 11-4 TYPE: App TOP: AACSB Reflective Thinking | TB&E Model Product
ANS: D Supplementary services are a group of services that support or enhance the core service. PTS: 1 REF: 163 OBJ: 11-4 TYPE: App TOP: AACSB Reflective Thinking | TB&E Model Strategy 52. _____ is the strategy that uses technology to deliver customized services on a mass basis.
ANS: D PTS: 1 REF: 163 OBJ: 11-4 TYPE: Def TOP: AACSB Reflective Thinking | TB&E Model Strategy 53. The ability of each hotel guest to use his or her room’s television to check out of the hotel room and to confirm additional charges on bills in the hotel's restaurants and gift shops is an example of:
ANS: B PTS: 1 REF: 163 OBJ: 11-4 TYPE: App TOP: AACSB Reflective Thinking | TB&E Model Product 54. The catalog and online retailer Lands' End offers custom-fit chinos via the Web. For a price of $54, U.S.-based customers can select their style and fit preferences, enter details about their body shape, and receive a pair of custom-made pants in their mailbox two to four weeks later. For Lands' End, this means the company avoids stocking up to 2.8 billion different styles and sizes of garments. Instead, Lands' End orders each unit to be individually fashioned by a contract manufacturer that ships directly to the consumer. Lands’ End is using:
ANS: A Mass customization uses technology to deliver customized service on a mass basis. PTS: 1 REF: 163 OBJ: 11-4 TYPE: App TOP: AACSB Technology | TB&E Model Customer | TB&E Model Online/Computer 55. TheKnot.com is an Internet company that is a one-stop source of all the items needed to have a successful wedding including listings of local caterers and photographers. When someone registers on the site, he or she is sent the "Ultimate Wedding Organizer." It offers advice on what to do about "cold feet" and how to handle in-laws. TheKnot.com recognizes that its _____ represents a portfolio of opportunities, risks, and challenges.
ANS: C The service mix refers to the different services offered by the service provider. PTS: 1 REF: 163-164 OBJ: 11-4 TYPE: App TOP: AACSB Technology | TB&E Model Customer | TB&E Model Online/Computer 56. Which of the following is NOT a key factor in the distribution strategy for services?
ANS: A
Customization is a key factor in the product component of the service marketing mix. PTS: 1 REF: 163-164 OBJ: 11-4 TYPE: Comp TOP: AACSB Reflective Thinking | TB&E Model Distribution | TB&E Model Strategy 57. Marriott Hotels, as well as Hyatt Regency and Adam's Mark Inns, have expended many resources in developing Web sites that allow prospective customers to learn all that is necessary before selecting a hotel destination. The sites then allow individuals to make reservations at the hotel that best satisfies their requirements. Which of the following reflects the distribution strategy used by these hotel chains?
ANS: C The newest form of direct distribution is the Internet. PTS: 1 REF: 164 OBJ: 11-4 TYPE: App TOP: AACSB Technology | TB&E Model Customer | TB&E Model Online/Computer 58. Budget airlines are a new service in China. One of the major problems faced by these airlines is the tight regulatory controls the Chinese government maintains over them. The government determines which airlines get which routes, and the budget airlines do not get the most profitable business routes. The Chinese government has a major voice is setting the _____ strategies for budget airlines in that country.
ANS: A Distribution is an important part of the service mix. PTS: 1 REF: 164 OBJ: 11-4 TYPE: App TOP: AACSB Reflective Thinking | TB&E Model International Perspective 59. Promotion strategies for dealing with the unique features of services include all of the following EXCEPT:
ANS: E
Patronage-oriented objectives are part of a service pricing strategy. PTS: 1 REF: 164 OBJ: 11-4 TYPE: Comp TOP: AACSB Reflective Thinking | TB&E Model Promotion | TB&E Model Strategy 60. A pest control company paints dead roaches on its trucks and uses similar graphics on its letterhead, business cards, and all promotions. The pest control company is using what type of promotion strategy?
ANS: A PTS: 1 REF: 164 OBJ: 11-4 TYPE: App TOP: AACSB Reflective Thinking | TB&E Model Promotion | TB&E Model Strategy 61. You have just started a limousine service and strive for an image of quality and luxury. Your limos are always spotlessly clean on the inside, freshly waxed, and stocked with flowers, champagne, free car phones, and televisions. Your drivers are always immaculately dressed and are required to hold the door open for patrons entering and leaving the car. Your promotional strategy is stressing:
ANS: B PTS: 1 REF: 164 OBJ: 11-4 TYPE: App TOP: AACSB Reflective Thinking | TB&E Model Promotion | TB&E Model Strategy
ANS: E A celebrity is a person consumers are familiar with, and so can be a personal information source. Collen's association with the service is expected to reduce customers' perceived risk in using the service. PTS: 1 REF: 164 OBJ: 11-4 TYPE: App TOP: AACSB Reflective Thinking | TB&E Model Promotion | TB&E Model Strategy 63. Boutique hotels are the perfect hotels for people who are tired of traditional cookie cutter hotels that all look alike. One boutique hotel chain calls its staff its cast and has them wear fashionable solid black outfits. Its corridors are softly lit, and suite doors are arches lit with recessed blue lighting. Its lobby has a ceiling-to-floor waterwall. The promotional strategy for this boutique hotel is to:
ANS: A
One way to create a strong organizational image is to manage the physical environment of the service facility, the appearance of the service employees, and tangible items associated with the service. PTS: 1 REF: 164 OBJ: 11-4 TYPE: App TOP: AACSB Reflective Thinking | TB&E Model Promotion | TB&E Model Strategy 64. The three categories of pricing objectives for services are:
ANS: C PTS: 1 REF: 165 OBJ: 11-4 TYPE: Def TOP: AACSB Reflective Thinking | TB&E Model Pricing 65. A focus on maximizing the surplus of income over costs is a(n) _____ pricing objective for service firms.
ANS: A PTS: 1 REF: 165 OBJ: 11-4 TYPE: Def TOP: AACSB Reflective Thinking | TB&E Model Pricing 66. Determining costs can be extremely difficult for a service provider that has adopted a(n) _____ pricing objective and may limit the usefulness of the objective.
ANS: C
Revenue-oriented objectives require calculations of income and costs, which can be difficult for many services. PTS: 1 REF: 165 OBJ: 11-4 TYPE: Comp TOP: AACSB Reflective Thinking | TB&E Model Pricing 67. Alabama Adventure, an amusement park with a water slide, charges less for weekday admission than it does for weekend attendance. It also has a lower ticket price for patrons who arrive at 4 p.m. Because it is focusing on coordinating supply and demand by varying prices, it is using a(n) _____ pricing objective for service firms.
ANS: B A focus on matching supply and demand by varying prices to ensure maximum use of productive capacity at any specific point in time is an operations-oriented pricing objective for service firms. PTS: 1 REF: 165 OBJ: 11-4 TYPE: Def TOP: AACSB Reflective Thinking | TB&E Model Pricing 68. Budget airlines are a new service in China. Shanghai-based Spring Airlines is a start-up service with three airplanes and a tight budget. Its owner boasts that his ticket prices are 40 percent cheaper than the competition, at times even equivalent to hard-seat train prices. Which method for pricing services is Spring Airlines most likely using?
ANS: E Patronage-oriented pricing tries to maximize the number of customers using the service. PTS: 1 REF: 165 OBJ: 11-4 TYPE: App TOP: AACSB Reflective Thinking | TB&E Model International Perspective 69. A continuing problem for most Minor League Baseball (MiLB) teams is low attendance. Event and venue sponsors want to see fans in the stadiums, and the players appreciate fan support. Given this information, which pricing strategy would you recommend MiLB teams use?
ANS: C
Patronage-oriented pricing tries to maximize the number of customers using the service. PTS: 1 REF: 165 OBJ: 11-4 TYPE: App TOP: AACSB Reflective Thinking | TB&E Model Pricing 70. A focus on maximizing the number of customers using a service is a(n) _____ pricing objective for service firms.
ANS: B PTS: 1 REF: 165 OBJ: 11-4 TYPE: Def TOP: AACSB Reflective Thinking | TB&E Model Pricing
ANS: E A focus on maximizing the number of customers using a service is a patronage-oriented pricing objective for service firms. PTS: 1 REF: 165 OBJ: 11-4 TYPE: App TOP: AACSB Reflective Thinking | TB&E Model Pricing 72. Because many services involve a process of continuous interaction between the service organization and the customer, _____ marketing is an important strategy.
ANS: B PTS: 1 REF: 166 OBJ: 11-5 TYPE: Def TOP: AACSB Reflective Thinking | TB&E Model Strategy 73. Satisfied customers are likely to engage in positive word-of-mouth communication, thereby helping to bring in new customers. Thus, a method for attracting, developing, and retaining customers is known as _____ marketing.
ANS: E PTS: 1 REF: 166 OBJ: 11-5 TYPE: Def TOP: AACSB Communication | TB&E Model Strategy 74. Unfortunately, many institutions of higher learning have focused efforts on population segments only when they felt a segment could do something for them. For example, many schools have bombarded pre-college students when they feel they are needed to fill classroom seats. Few have taken the approach of trying to determine what the potential student really wants or needs. Often, once graduated, a former student is only thought of as an alumnus or alumna, not as someone who can again benefit from the services provided by the institution. This description suggests that _____ marketing would be useful.
ANS: B
Relationship marketing involves ongoing interaction between the service provider and the customer. PTS: 1 REF: 166 OBJ: 11-5 TYPE: App TOP: AACSB Reflective Thinking | TB&E Model Customer 75. One of the main responsibilities of sport marketers is to keep their loyal customers as heavy users and escalate lower-level users into loyal customers. An effective tool for accomplishing this goal would be _____ marketing.
ANS: B
Relationship marketing involves ongoing interaction between the service provider and the customer. It is a means of attracting, developing, and retaining customer loyalty. PTS: 1 REF: 166 OBJ: 11-5 TYPE: App TOP: AACSB Reflective Thinking | TB&E Model Strategy 76. The level of relationship marketing that is least likely to be effective in the long term because its advantage is easily imitated by other firms is based on:
ANS: D PTS: 1 REF: 166 OBJ: 11-5 TYPE: Def TOP: AACSB Reflective Thinking | TB&E Model Pricing
ANS: C Building financial bonds includes the use of price incentives. PTS: 1 REF: 166 OBJ: 11-5 TYPE: App TOP: AACSB Reflective Thinking | TB&E Model Strategy 78. A management consulting business stays in touch with its business customers with phone calls and greeting cards. It periodically sends out needs-assessment questionnaires and designs new services to meet the needs revealed in these surveys. This is an example of relationship marketing based on:
ANS: B
Building social bonds includes staying in touch with customers, learning about their needs, and designing services to meet those needs. PTS: 1 REF: 166 OBJ: 11-5 TYPE: App TOP: AACSB Reflective Thinking | TB&E Model Customer 79. Building value-added services that are not readily available from other firms into the delivery system defines relationship marketing based on the creation of:
ANS: E PTS: 1 REF: 166 OBJ: 11-5 TYPE: Def TOP: AACSB Reflective Thinking | TB&E Model Strategy
ANS: E This example is similar to the Hertz example in the text. PTS: 1 REF: 166 OBJ: 11-5 TYPE: App TOP: AACSB Reflective Thinking | TB&E Model Product 81. Relationship marketing programs that are based on _____ bonds have the strongest potential for sustaining long-term relationships with customers.
ANS: C
Level-three marketing programs with all three components are the strongest relationship marketing programs. See Review Learning Outcome 5. PTS: 1 REF: 166 OBJ: 11-5 TYPE: Comp TOP: AACSB Reflective Thinking | TB&E Model Customer 82. Treating employees as customers and developing systems and benefits that satisfy their needs such as training, stressing teamwork, and employee empowerment is known as _____ marketing.
ANS: C PTS: 1 REF: 166 OBJ: 11-6 TYPE: Def TOP: AACSB Reflective Thinking | TB&E Model Customer
ANS: A Treating employees as customers and developing systems and benefits that satisfy their needs is known as internal marketing. PTS: 1 REF: 166 OBJ: 11-6 TYPE: App TOP: AACSB Reflective Thinking | TB&E Model Customer 84. Global competition in the services arena is intense. _____ is the world's largest exporter of services.
ANS: C PTS: 1 REF: 166 OBJ: 11-7 TYPE: Def TOP: AACSB Reflective Thinking | TB&E Model Distribution | TB&E Model International Perspective 85. Many U.S. services industries have the potential for globalization because of their existing competitive advantages. According to the text, which of the following is an example of a service industry that possesses a distinct competitive advantage?
ANS: B PTS: 1 REF: 166 OBJ: 11-7 TYPE: Comp TOP: AACSB Reflective Thinking | TB&E Model Product | TB&E Model International Perspective 86. A _____ seeks to achieve some goal other than the usual business goals of profit, market share, or return on investment.
ANS: A PTS: 1 REF: 167 OBJ: 11-8 TYPE: Def TOP: AACSB Reflective Thinking | TB&E Model Strategy 87. Emmy award-winning actress Kirstie Alley became the spokesperson for Narconon International in 1990. Her concern about the increased drug use by young people prompted her to support this ____ whose goal is to provide treatment and rehabilitation to young people before they become hardened criminals.
ANS: A
A nonprofit organization seeks to achieve some goal other than the usual business goals of profit, market share, or return on investment. PTS: 1 REF: 167 OBJ: 11-8 TYPE: App TOP: AACSB Reflective Thinking | TB&E Model Customer 88. The predominant form of nonprofit organization in the United States is:
ANS: E PTS: 1 REF: 167 OBJ: 11-8 TYPE: Def TOP: AACSB Reflective Thinking | TB&E Model Strategy 89. Which of the following is NOT an example of a nonprofit organization?
ANS: A
State Farm is a for-profit business. PTS: 1 REF: 166 OBJ: 11-8 TYPE: App TOP: AACSB Reflective Thinking | TB&E Model Strategy 90. _____ includes marketing activities conducted by individuals and organizations to achieve some goal other than normal business goals, such as profit, market share, or return on investment.
ANS: B PTS: 1 REF: 167 OBJ: 11-8 TYPE: Def TOP: AACSB Reflective Thinking | TB&E Model Strategy 91. _____ refers to the efforts of public and private nonprofit firms to bring about mutually satisfying exchanges with their target markets.
ANS: E PTS: 1 REF: 167 OBJ: 11-8 TYPE: Def TOP: AACSB Reflective Thinking | TB&E Model Strategy 92. Habitat for Humanity, a(n) _____, renovates vacant houses and sells them at no-interest mortgage rates to low-income home buyers. The organization relies on volunteers to provide the labor and funding for its renovations.
ANS: C PTS: 1 REF: 167 OBJ: 11-8 TYPE: App TOP: AACSB Reflective Thinking | TB&E Model Strategy 93. Sierra Club and the Girl Scouts of America are nonprofit organizations that want to develop marketing strategies to bring about mutually satisfying exchanges with their target markets as they work to protect our environment. Thus, both Sierra Club and the Girl Scouts of America have:
ANS: B
A nonprofit organization exists to achieve some goals other than profit, but like their corporate counterparts, nonprofit managers develop marketing strategies to bring about mutually satisfying exchanges with target markets. PTS: 1 REF: 167 OBJ: 11-8 TYPE: App TOP: AACSB Reflective Thinking | TB&E Model Strategy 94. Which of the following statements about the marketing activities of a nonprofit organization is true?
ANS: D
Nonprofit organizations often refer to their target markets as clients, patients, or members. Nonprofit organizations charge fees, donations, tuition, etc.—all examples of prices. The major difference between nonprofits and for-profits is the lack of a profit objective. PTS: 1 REF: 167 OBJ: 11-8 TYPE: Comp TOP: AACSB Reflective Thinking | TB&E Model Strategy 95. As with for-profit organizations, the first step in developing a marketing program for a nonprofit organization is to:
ANS: B
Defining organizational objectives will lead to selection of target markets and then to the marketing mix. PTS: 1 REF: 167 OBJ: 11-8 TYPE: Def TOP: AACSB Reflective Thinking | TB&E Model Strategy 96. An acceptable goal of the Hype and Humble, a Los Angeles nonprofit organization dedicated to empowering women and children in crisis, for its “Day of Pampering” program would be to:
ANS: D
The only appropriate goal for a nonprofit firm would be a service goal such as awareness, not a financial or market share goal. PTS: 1 REF: 167-168 OBJ: 11-8 TYPE: App TOP: AACSB Reflective Thinking | TB&E Model Strategy 97. What is one of the consequences of the American Red Cross's nonprofit orientation?
ANS: A
Success in a nonprofit organization is measured by how well service goals are met and how well it serves the community. PTS: 1 REF: 167 OBJ: 11-8 TYPE: App TOP: AACSB Reflective Thinking | TB&E Model Pricing 98. Save-the-Redwoods League is a nonprofit group committed to preserving ancient forests in the United States. Its _____ is environmentalists, loggers, hunters, national park visitors, and lumber-producing companies.
ANS: A
The goal of the organization is to convince those groups and others of the importance of their work. PTS: 1 REF: 167-168 OBJ: 11-8 TYPE: App TOP: AACSB Reflective Thinking | TB&E Model Strategy 99. The International Society of Hospitality Purchasers raised $62,000 in donated goods for Gifts in Kind International, a nonprofit group that gathers and distributes new and used merchandise to charities nationwide. Contributors donated about $37,500 in goods in conjunction with recent trade shows, and $24,500 in fabric and furniture was donated by other vendors. The society and its members as well as the charities who are beneficiaries of the merchandise compose the organization's:
ANS: A
The goal of the organization is to convince those groups and others of the importance of their work. PTS: 1 REF: 167-168 OBJ: 11-8 TYPE: App TOP: AACSB Reflective Thinking | TB&E Model Customer 100. The major difference between the marketing orientation of FedEx and of the U.S. Marine Corps’ annual Toys for Tots program is that:
ANS: E
Both FedEx and the Toys for Tots program have target markets, products, advertising considerations, and the ability to do quantitative market research. But the Toys for Tots program is concerned with long-term social benefits to the public, and FedEx is primarily concerned with profit-oriented goals. PTS: 1 REF: 167 OBJ: 11-8 TYPE: App TOP: AACSB Reflective Thinking | TB&E Model Strategy 101. A target market for a nonprofit organization:
ANS: C
The target markets must include both the service users and the potential donors, which may be apathetic or strongly opposed groups. PTS: 1 REF: 167 OBJ: 11-8 TYPE: Comp TOP: AACSB Reflective Thinking | TB&E Model Strategy 102. Nonprofit organizations face a unique challenge because the target market of the nonprofit organization is often:
ANS: D
The target market for many nonprofit services is often apathetic, disinterested, or opposed individuals who nonetheless may need the service. Alternatives a, b, and c are as likely to be targeted by for-profits as nonprofits. PTS: 1 REF: 167 OBJ: 11-8 TYPE: Comp TOP: AACSB Reflective Thinking | TB&E Model Strategy
ANS: A Except for the administrative board, all are potential users, donors, or volunteers who will need to be convinced to participate. Members of the board will need no convincing. PTS: 1 REF: 167-168 OBJ: 11-8 TYPE: App TOP: AACSB Reflective Thinking | TB&E Model Strategy 104. Which of the following statements describes how a nonprofit organization should design its product offering?
ANS: D
As with any type of product, to be successful the product must meet the needs of the target market. PTS: 1 REF: 168 OBJ: 11-8 TYPE: Comp TOP: AACSB Reflective Thinking | TB&E Model Product 105. A local church formed a special committee to provide aid to the homeless in its county. The church applied to the city and county governments for funding but was denied when it could not adequately state what services it would offer. In this case, the special committee failed because it had not defined its:
ANS: E PTS: 1 REF: 168 OBJ: 11-8 TYPE: App TOP: AACSB Reflective Thinking | TB&E Model Product 106. Save-the-Redwoods League is a nonprofit group committed to preserving ancient forests in the United State. The organization has relatively weak _____ because most people are not directly affected by what the organization does.
ANS: B
Benefit strength refers to the fact that this nonprofit cannot offer customers direct, personal benefits in an exchange relationship. PTS: 1 REF: 168 OBJ: 11-8 TYPE: App TOP: AACSB Reflective Thinking | TB&E Model Customer 107. If a benefit is indirect to the customer, the marketer may find a challenge in promoting a product with little:
ANS: C PTS: 1 REF: 168 OBJ: 11-8 TYPE: Def TOP: AACSB Reflective Thinking | TB&E Model Product | TB&E Model Promotion 108. Gifts in Kind International is a nonprofit organization that gathers new and used merchandise and distributes it to charities nationwide. Traditional promotional tools may be inadequate to motivate its target markets because of:
ANS: B
Involvement may range from extremely high (join the military, stop smoking) to low (prevent forest fires, don't litter), which is a much wider range than consumer products usually experience. PTS: 1 REF: 168 OBJ: 11-8 TYPE: Comp TOP: AACSB Reflective Thinking | TB&E Model Promotion | TB&E Model Strategy 109. Throughout the United States, dancers are joining hands, arms, and legs to present a Virtual Kickline Performance as a sign of their unified support for National Dance Week (NDW) and its mission statement. The purpose of NDW is to educate the American public on the cultural contributions of dance to our society and raise public awareness to the benefits of dance in our culture. This Virtual Kickline Performance is an example of a _____ strategy.
ANS: D It is using volunteers to promote its message. PTS: 1 REF: 168-169 OBJ: 11-8 TYPE: App TOP: AACSB Reflective Thinking | TB&E Model Promotion | TB&E Model Strategy 110. Most governmental organizations are prohibited from:
ANS: D PTS: 1 REF: 168-169 OBJ: 11-8 TYPE: Comp TOP: AACSB Reflective Thinking | TB&E Model Strategy 111. A business professional from The Center for Retailing at Morehead University has been donating several hours of consulting time to local nonprofit organizations each month. This could be expected to provide the center with all of the following benefits EXCEPT:
ANS: C
Donating time to a nonprofit firm will result in intangible and long-term benefits, but not immediate financial gain. PTS: 1 REF: 169 OBJ: 11-8 TYPE: App TOP: AACSB Reflective Thinking | TB&E Model Promotion 112. _____ is an announcement in mass media for which no charge is made and which promotes programs, activities, or services of federal, state, or local governments or the programs, activities, or services of nonprofit organizations.
ANS: B PTS: 1 REF: 169 OBJ: 11-8 TYPE: Def TOP: AACSB Reflective Thinking | TB&E Model Promotion 113. The Chrysalis Job Training for the Disabled program wants to notify the community about its upcoming rummage sale. As an experienced marketer and director of the program, you plan to visit several local radio and televisions stations to request:
ANS: D
An announcement in mass media for which no charge is made and which promotes programs, activities, or services of nonprofit organizations is called public service advertising. PTS: 1 REF: 169 OBJ: 11-8 TYPE: App TOP: AACSB Reflective Thinking | TB&E Model Promotion 114. In a nonprofit organization, _____ are often concerned with partially or fully defraying costs rather than achieving a profit.
ANS: B PTS: 1 REF: 169 OBJ: 11-8 TYPE: Def TOP: AACSB Reflective Thinking | TB&E Model Pricing 115. In many nonprofit situations the consumer is not charged a tangible price yet must absorb time costs, embarrassment costs, or effort costs. These costs are called the organization's:
ANS: D PTS: 1 REF: 169 OBJ: 11-8 TYPE: Def TOP: AACSB Reflective Thinking | TB&E Model Pricing 116. When services for those in relatively poor economic situations are largely paid for by those who are in better financial situations, it is known as:
ANS: D PTS: 1 REF: 169 OBJ: 11-8 TYPE: Def TOP: AACSB Reflective Thinking | TB&E Model Pricing 117. One feature that distinguishes nonprofit organization pricing decisions from profit-sector pricing decisions is _____, an example of which is university tuition. This practice also exists in the profit sector, but there it is considered to be an undesirable, temporary situation.
ANS: A PTS: 1 REF: 169 OBJ: 11-8 TYPE: Def TOP: AACSB Reflective Thinking | TB&E Model Pricing
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