Marketing Multiple Choice Questions 2

                                   CLASS TEST

There are fifty questions, each carry 2 marks. All are compulsory.

  1. Assertion (A). Selling is important not merely for increasing the profits of businessmen, but also for making goods and services available to the consumers in society.

Reason (R). It is the process whereby goods and services finally flow to the consumers who need them and the firm performs its functions of distributing its products among consumers.

  1. Assertion (A) and Reason (R) both are true
  2. Assertion (A) is true but Reason (R) is not true
  3. Assertion (A) is not true but Reason (R) is true
  4. Assertion (A) and Reason (R) are true and Reason (R) is the reason of Assertion (A)
  5. With online advertising program,_________, the companies can reach customers and grow business.
    a) AdWords
    b) AdSense
    c) AdCity
    d) AdAlpha
  6. Marketers operate in which marketplaces:a) Consumer and business
    b) Global and non-profit
    c) a & b both
    d) None of the above
  7. “Better products, Better value, Better living” is the mission statement of which company:

    a) VICCO
    b) HUL
    c) P&G
    d) NIRMA

  8. Marketing is an organizational function and a set of processes for creating, communicating and delivering value to customers and for managing customer relationships in ways that benefits the organization and its stakeholders” definition is given bya) Philip Kotler
    b) The American Marketing Association
    c) The Association of National Advertisers
    d) Peter Drucker
  9. In the software industry, Bangalore is positioned as thea) Silicon Valley of India
    b) Tech city of India
    c) Power Hub city
    d) Engineering City of India
  10. Indian Government is marketing India as a tourist destination through the ___________ advertisement campaign.
    a) Credible India
    b) Incredible India
    c) Gateway to backwaters
    d) Gateway of India
  11. Resource markets can be classified into:a) Raw material markets and labor markets
    b) Labor markets and money market
    c) Raw material market, labor market and money market
    d) None of the above
  12. Which of the following statement is true about rural marketing?a) Rural Marketing consists of marketing of only inputs to the rural marketb) Rural Marketing consists of marketing of only outputs from the rural markets to other geographical areas

    c) Rural Marketing consists of marketing of inputs to the rural market as well as well as marketing of outputs from the rural markets to other geographical areas

    d) All of above are false

  13. Value can be defined as the sum of the perceived tangible and intangible costs and benefits to customers and is a combination of :a) quality and service
    b) Service and price
    c) Quality, service and price
    d) None of the above
  14. In marketing terms, “QSP” stands fora) Quality, service and price
    b) Quality, service and product
    c) Quality, sales and product
    d) Quality, sales and prices
  15. Value ______ with quality and service and ______ with price.a) Increases, decreases
    b) increases, increases
    c) Decreases, increases
    d) Decreases, decreases
  16. The marketer uses _____________ to display, sell, or deliver the physical product or service to the buyer or user.a) Communication channel
    b) Distribution channel
    c) Service Channel
    d) None of the above
  17. When a firm acquires its peers or expands downstream or upstream, its objective is toa) Capture a higher percentage of Supply Chain Value
    b) Capture a higher percentage of Demand Chain Value
    c) a & b
    d) None of the above
  18. The broad environment consists of:a) Demographic environment, economic environment and physical environment
    b) Technological environment, political-legal environment and social-cultural environment
    c) Both a & b
    d) None of the above
  19. The societal forces that spawned the Information Age have resulted ina) Many new consumer capabilities
    b) Many new company capabilities
    c) Many new consumer and company capabilities
    d) None of the above

17 The original name of NIKE was

a) Blue Ribbon Sports
b) Red Ribbon Sports
c) Blue and Red Ribbon Sports
d) Orange Ribbon Sports

18 Holistic Marketing incorporates:

a) Relationship marketing and integrated marketing
b) Internal marketing and performance marketing
c) Both a & B
d) None of the above

18 Marketing focuses on the need of _______

a) buyer
b) Seller
c) Buyer and Seller
d) None of the above

19 Brand and customer equity is an element of

a) Relationship marketing
b) Integrated marketing
c) Internal marketing
d) Performance marketing

20 Select the theme of integrated marketing:

a) Many different marketing activities communicate and deliver value
b) When coordinated, marketing activities maximize their joint effects
c) Both a & B
d) None of the above

21 Making gifts of money, goods, or time to help non-profit organizations, groups or individuals is:

a) Corporate social marketing
b) Cause marketing
c) Cause-related marketing
d) Corporate philanthropy

  1. Promoting social issues through efforts such as licensing agreements, advertising and sponsorships is:a) Corporate social marketing
    b) Cause marketing
    c) Cause-related marketing
    d) Corporate philanthropy

23 _____________- recognizes that “Everything Matters” with marketing and that a broad, integrated perspective is often necessary.

a) The production concept
b) The product concept
c) The holistic marketing concept
d) The selling concept

  1. The value creation and delivery sequence process place emphasis on:a) Choosing the value
    b) Providing the value
    c) Communicating the value
    d) All of the above
  2. Market Research and company self analysis is a part ofa) Value-developing process
    b) Value-delivering process
    c) Value-defining process
    d) None of the above

26 Michael Porter of Harvard has proposed the _______ as a tool for identifying ways to create more customer value.

a) Product chain
b) Value chain
c) Supply chain
d) None of the above

27, The primary activities in a value chain includes

a) Inbound logistics and outbound logistics
b) Procurement and technology development
c) Human Resource Management
d) Firm Infrastructure.

28 Customer relationship management, internal resource management and business partnership management are the key functions of

a) Value exploration
b) Value delivery
c) Value creation
d) None of the above

29 Tactical marketing plan focuses on

a) Promotion
b) Merchandising
c) Sales Channel
d) All of the above

30 A target market definition tends to focus on selling a product or service to a

a) Current market
b) Potential market
c) Both a & b
d) None of the above

31 For intensive growth, the company first considers whether it could gain more market share with its current products in their current market, using a _________

a) Market-penetration strategy
b) Market development strategy
c) Product-development strategy
d) Diversification strategy

32 Market development strategy focuses on

a) Current products and new markets
b) Current products and current markets
c) New products and current markets
d) New products and new markets

33 Product development strategy for achieving intensive growth focuses on:

a) Current products and new markets
b) Current products and current markets
c) New products and current markets
d) New products and new markets

34 Acquiring one or more suppliers for integrative growth is

a) Horizontal integration
b) Forward integration
c) Backward integration
d) None of the above

35 Peter Drucker pointed out that it is more important to __________ to be effective than to ________ to be efficient.

a) Do the right thing, do things right
b) Do things right, do the right thing
c) Do the right thing, do things wrong
d) None of the above

36 For an MBO (Manages by objectives) system to work, the business unit’s objectives must meet ___ criteria.

a) 5
b) 2
c) 3
d) 4

37 Michael Porter has proposed _______ generic strategies that provide a good starting point for strategic thinking.

a) 3
b) 5
c) 4
d) 6

38 Under the Consumer Protection Act, following rights of the consumers are recognized:

a) Safety and information
b) Representation and Redressal
c) Choice and consumer education
d) All of the above

39 ________________ allows for the systematic design, collection, analysis, and reporting of data and findings relevant to a specific market situation.

a) An internal record system
b) A marketing research system
c) A marketing intelligence system
d) None of the above

40 ______________ is a book published by Businessworld that provides a range of useful data on the Indian market environment, and commentaries and articles by business researchers and professionals.

a) The Marketing Whitebook
b) The Marketing Redbook
c) The Marketing Greenbook
d) None of the above

41 Companies and their suppliers, marketing intermediaries, customers, competitors, and publics all operate in a ___________________ of forces and trends, increasingly global, that shapes opportunities and pose threats.

a) Macroenvironment
b) Microenvironment
c) Both a and b
d) None of the above

42 Within the rapidly changing global picture, the firm must monitor six major forces: demographic, economic, ___________, natural, technological and political legal.

a) social
b) social-cultural
c) cultural
d) None of the above

43  The main demographic force that marketers monitor is _________.

a) Population
b) Literacy
c) Sex
d) None of the above

44 Green marketing myopia can be avoided by

a) Consumer value positioning
b) Calibration of consumer knowledge
c) Both a and b
d) None of the above

45 ______________ are the environmental leaders and activists, and are characterized by strong knowledge of environmental issues.

a) True Blue Greens
b) Greenback Greens
c) True Greens
d) None of the above

  1. “The performance of business activities that directs the flow of goods and services from producer to consumer or user.”, Given by:                    a.American Marketing Association, b. Peter Ducker, c. Philip Kotler, d.None 
  2.  “Image building” objectives are common in _____ type of market structure?

a Competition, b. Oligopoly, c. Monopoly, None

  1. A specialty product is ________ intensively distributed than a shopping product                                                                                                      a. More, b. Less, c. Both of the above
  2. In macro environment, ‘pressure groups’:                                                              a.cultural environment b. demographic environment c. economic    environment d. political environment
  3. In company’s microenvironment, ‘general publics’ consists of                a.minority groups, b. stockholders c. community organizations., d. public image

Marketing Multiple Choice Questions 1

Multiple Choice Questions

  1. The first step in the market segmentation process is to

Position offer in the market

Target the market

Segment the market

Define the market


2. The Coca Cola Company markets a wide range of different beverage products including soft drinks, bottled water, juices and sports drinks. Each product appeals to a different segment. This is an example of which type of market offering?


Undifferentiated marketing

Differentiated marketing

Targeted marketing

None of the above


3. Which of the following ‘market definitions’ could be used by Mercedes Benz in describing its market?


The motor car market.

The luxury car market.

The transportation market

All of the above

  1. Which one of the following is not a geo-demographic basis for market segmentation?

Marital status             Personality

Postcode                    Occupation

  1. Psychographic segmentation categorizes markets according to

Preference to behave in certain ways

Characteristics of the organization

People’s product usage patterns

None of above

  1. Which of the following could be used as a basis for segmenting..
Frequency of purchase

Number of employees

Industry type

All of the above

  1. Which of the following should not a lifestyle segmentation factor?

The growth rate of the segment

The buyers interest in cars

An interest in sports

Stamp collecting

  1. Market positioning involves

Designing, communicating and delivering value

Creating an appropriate image of your offering in the minds of customers

Understanding the unique value propositions of your offering

All of the above

  1. Which of the following is not a commonly-used age segment?


Generation X

Baby boomers


  1. Which of the following is not a demographic characteristic?

Marital status-single

Personality – anxious



  1. Marketers segment markets to achieve which of the following objectives?

To create an offer that best fits the desires of the groups that exist in the market

To identify the most appropriate media for advertising

To better understand their target segment

All of the above


  1. Marketing environment variables are


the market forces over which marketers have little control, and which should be avoided.


the market forces over which marketers have little control, and which affect buyers’ needs as well as marketing managers’ decisions regarding marketing mix variables


the same as the market place


the market forces over which marketers have little control, and which should be avoided


  1. The variables the most common marketing mix are


Product, Price Promotion, and Placement

Product, Price Promotion, and People

Product, Research Promotion, and Placement

Product, Price, Production, and Placement


  1. A newer version of the marketing mix is


Product, Price, Production, and Placement

Create/Configure Value; Communicate Value and Deliver Value

Product value; Communicating value; Place value

Advertising; Sales Promotion; Personal Selling; Marketing Publicity


  1. Which of the following is not a product

a good

a place

a service

All of the above are products



  1. Promotion does not include which of the following

Personal Selling


Sales Promotion

Marketing Research


  1. Placement focuses on distribution. Which of the following is not part of place/placements


channels of distribution

convenience or accessibility value


All are part of placement


  1. The 4 Cs are


Convenience; Costs; Communication; Customer value

Customer cost; Customer commitment; Communication; Customer motivation

A singing group from the 60’s

Convenience; Cost to the user; Communication; Customer motivation


19 A marketing mix is


the combination of elements that make up the entire marketing process

specific to each target segment

a strategy that includes a number of different elements used to create a marketing plan

All of the above


20 Pricing decisions may include which of the following?



Pricing strategy

Target group and concepts of value

All of the above


  1. Distribution decisions include all but one of the following



Order processing

Sales Promotion



  1. Marketing is


convincing people to buy goods or services that they otherwise do not need


advertising and promoting products


high pressure door-to-door selling techniques


facilitating the exchange of value between seller and buyer


  1. An organisation that is marketing oriented will


focus its activities on achieving a variety of social goals

measure its success on the basis of financial indicators

focus its efforts on creating a sale

focus on creating and maintaining relationships with customers


  1. An organisation that is product oriented will


focus on communicating ethical standards and organisational transparency

focus on the needs of the employees before the consideration of customer needs

focus on the design, manufacture and delivery of the offering

focus its efforts on creating a sale


  1. Marketing seeks to create and manage profitable customer relationships by delivering _____ to customers


e-mail advertising

Properly trained sales people

competitive prices


26 The goal of marketing is to attract new customers by promising superior value and to


keep and grow current customers by delivering satisfaction

keep and grow current customers by delivering competitive pricing

keep and grow current customers by delivering friendly service

all of the above


27 What do organisations call a set of benefits that they promise to buyers to satisfy their needs?


need proposition

marketing plan

value offer/proposition

demand satisfaction


28 You are preparing a combination of products, services, information, and experiences to a market to satisfy needs and wants. What are you preparing?


value offer/proposition

demand satisfaction

marketing mix

tactical plan


29 Tony’s firm believes that buyers will not buy enough of the firm’s products unless the firm undertakes a large-scale selling and promotion effort. Tony’s firm is practicing the _____.


selling or promotion concept

production concept

marketing concept

relationship concept


30 To practice the marketing concept, an organisation must deliver the _____ better than competitors


level of service

attractive prices

advertising campaign

desired satisfactions


31 The traditional view of marketing revolved around the ‘Four Ps’. They are:


Profit, People, Price and Process

Product, Profit, Packaging and Promotion

Planning, Purchasing, Pushing and Profiting

Product, Price, Promotion and Place


32 Which of the following is a financial measure for assessing marketing performance?


Costs and revenue incurred by marketing decision

Customer satisfaction levels

Sales volume (number of units or quantity)

All of the above


33 The management process that compares a firm’s outcomes or processes against a standard or another firm’s outcomes or processes is known as


Competitive parity


A sales conference

None of the above


34 An analysis of strategy could address three of the following. Which is not correct


Why are some competitors’ strategies more successful than others

How far can our major competitors be pushed before retaliating

Have our strategies changed

Have major competitors’ strengths and weaknesses changed


35 There are three basically different types of standard. Which is the correct grouping


Fixed standards; Variable standards; Analytical standards

Marketing Standards; Accounting Standards; Production/Operational Standards

Fixed term standards; Variable term standards; Analytical standards

International standards; National standards; Industry standards


36 Performance may not achieve the standard that has been set for many reasons. Which is not correct


Unanticipated environmental changes may have occurred

Implementation may have been ineffective

The measurement is not correct

The standard may be unrealistic


37 Quantitative criteria commonly used to evaluate strategies normally include the following, except one. Which one?


Comparing the firm’s performance over different time periods

Comparing the firms performance to the national standard

Comparing the firm’s performance to competitors

Comparing the firm’s performance to industry standards


38 Marketing metrics normally include the following – except one. Which one?


Sales growth, market share, distribution methods, sales force size and composition

Inventory levels, delivery time, distribution expenses, gross margins, product quality, customer retention rates

Sales force effectiveness, training, selling expenses, prices, advertising effectiveness, advertising budget

Interest rates; head office costs; cost of materials; downtime



39 Which is not an example of sales metrics?


Number of sales calls; Profit by Product type; Sales by product

Calls-Current Customers; Number of Product Demos; Sales presentations to customers

Sales by sales territory; Sales by package size; Sales by size of order

The above are all examples of sales metrics


40 Which of the following is not part of the Framework for Developing Metrics


Evaluate the type of data required

Generate items for a performance scale

Describe the general nature of performance

Specify what exactly is being evaluated


41 Which of the following items would not normally be considered in Quality Assessment


Durability-the amount of use one gets from a product before it must be replaced

Return on Investment

Reliability-the probability of a product failing within a specific time period

The primary operating characteristics or benefits of a product





42 Physical evidence include

  1. paperwork, b. signage, c. Quality, d. invoices

(i) All of the above          (ii) a & b & c      (iii) a & b & d   (iv) a &d

43 The most essential element of Marketing Mix

  1. Product, b. Price, c. Place, d. Promotion

(i) All of the above          (ii) a      (iii) a & b    (iv) b &c

44 A product is a mix of

  1. Tangibles, b. Intangibles, c. both, d. none

45 A product is a mix of

  1. Tangibles, b. Intangibles, c. both, d. none

46 SBU is headed by

  1. Chairman, b. Promoter, c. Manager, d. Business manager

47 The extent to which different products and services can be used in place of a particular product refers to the ………………..


  1. The belongingness and affection is concerned with
  2. Physical need b. Social need c. Individual need, d. all of the above

49 An ability to create, deliver, and communicate a better value proposition, is a strategy of


  1. Marketing, b. Promotion, Persuading d. logistic


50   A cause-related marketing is:

  1. Cost effective marketing, b. Brownfield marketing, c. emotional marketing, d. none

51 SWOT analysis is done to measure the changes in composition of the

Population. (True/False)

  1. A _______________ is an enduring preference as a mode of conduct or an end state.

(a) Culture

(b) Value

(c) Mission

(d) Objective

  1. A set of questions, which is filled by Investigator.
  2. Questionnaires, b. Schedule, c. Matrix, d. Annexure
  3. According to Kotler, marketing is a _________ process.
  4. Health insurance companies generally use _____________ concept to sell their policies.

(a) Product

(b) Production

(c) Selling

(d) Marketing


  1. Societal concept is just an extension of the marketing concept with consideration for _____________ needs and values.


  1. Customer b. Society Mass, C. product d. none
  2. “The performance of business activities that directs the flow of goods and

        Service from producer to consumer or user.”, Given by:

  1. American Marketing Association, Peter Ducker,  c. Philip Kotler, d. None
  2. “Image building” objectives are common in _____ type of market structure?
  3. Competition
  4. Oligopoly
  5. Monopoly
  6. None


  1. A specialty product is ________ intensively distributed than a shopping product
  2. More
  3. Less
  4. Both of the above


  1. In macro environment, ‘pressure groups’:
  1. cultural environment
  2. demographic environment
  3. economic environment
  4. political environment
  1. In company’s microenvironment, ‘general publics’ consists of
  1. minority groups
  2. stockholders
  3. community organizations., D. public image


  1. D
  2. B
  3. D
  4. B
  5. A
  6. D
  7. A
  8. D
  9. D
  10. B
  11. D
  12. B
  13. A
  14. B
  15. D
  16. D
  17. D
  18. A
  19. D
  20. D
  21. D
  22. D
  23. D
  24. C
  25. A
  26. A
  27. C
  28. A
  29. A
  30. D
  31. D
  32. C
  33. B
  34. C
  35. A
  36. C
  37. B
  38. D
  39. D
  40. A
  41. C
  42. C
  43. A
  44. C
  45. D
  46. D
  47. Threats of substitution
  48. B
  49. A
  50. D there should be societal marketing
  51. False
  52. B
  53. B
  54. Societal marketing
  55. C
  56. B
  57. A
  58. A
  59. B
  60. D
  61. D