PCM Online Practice Questions and Answers

In the typical communication process, the message originates from the _____.

A. receiver

B. transmitter

C. sender

D. creator

E. decoder

Which of the following is likely to be the most expensive supply chain system in an agrarian economy, if all levels of the supply chain are involved?

A. Retailer to consumer

B. Wholesaler to consumer

C. Manufacturer to consumer

D. Agent to consumer

E. Warehouser to consumer

A consumer goods manufacturer, Ankam, is accused of manufacturing substandard goods. The complainants claim that the products break down before the expiration of their warranty but the warranty is void because the parts that malfunction are not covered by the warranty. Ethan, an independent investigator, is looking into the matter. What should he do first?

A. Check whether the warranty issued by Ankam clearly specifies that certain parts are not covered by the warranty.

B. Collect information on all malfunctions and check the list of malfunctioning parts against the warranty to verify if the complaint is true.

C. Conduct tests of Ankam's products under various conditions and identify the conditions under which they break down.

D. Interview each of the complainants to find out about their use of Ankam's products.

E. Advise Ankam on the measures it could adopt until the investigation is complete.

CL Inc. an American fast-food chain enters into an agreement with Mars Corp., a British firm. According to the terms of the contract, Mars Corp. can use CL's brand name, image, logo and business format for a specified fee. This type of market entry is known as _____.

A. strategic alliance

B. franchising

C. joint venture

D. direct investment

E. exporting

Each month, the owner of a small restaurant that sells take-out fried chicken and biscuits pays $2,500 in rent, $500 in utilities, $750 interest on a loan, insurance premium of $200, and $250 on advertising on local buses. A bucket of take-out chicken is priced at $9.50. Unit variable costs for the bucket of chicken are $5.50. How many small buckets of chicken does the restaurant need to sell to break even each month?

A. 442 buckets

B. 764 buckets

C. 1,050 buckets

D. 3,150 buckets

E. 4,200 buckets

A toy manufacturer realizes that its latest product presents a choking hazard due to some of the components used in the toy. This occured despite the prior implementation of safety measures to prevent such an occurrence. The toy manufacturer is faced with a decision to recall over a million products or place a warning label on each product. This type of situation is representative of _____.

A. an ethical dilemma

B. a law and order problem

C. unconscionable conduct

D. pyramid schemes

E. unfair contract terms

Individuals can choose to purchase Microsoft stand-alone software packages such as the Home and Student versions of Word, Excel, and PowerPoint for $119.99 each. However, they may choose to purchase the Office Home and Student 2010 suite, which has all of these applications in the same package for a price of $149.99. Microsoft is using a __________ pricing strategy.

A. penetration

B. prestige

C. bundle

D. odd-even

E. standard mark-up

Which of the following is a feature of public relations?

A. It entails purchasing time and space in media for placing messages.

B. It is designed to support the promotional activities of a firm.

C. It encourages the purchase of s coupons, rebates, contests, free samples.

D. It involves face-to-face communication with potential buyers.

E. It includes e-mail and mobile marketing.

Which of the following aspects is directly responsible for determining the zone of tolerance of customers?

A. The brand awareness of a product

B. The breadth of the product mix

C. The importance of each service quality dimension

D. The complexity of the product or service

E. The type of labeling used

Diversification refers to the marketing strategy of

A. increasing sales of current products in current markets.

B. selling current products to new markets.

C. selling new products to new markets.

D. selling new products to current markets.

E. selling the same brands in both current and new markets.