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AMA PCM Exam Syllabus Topics:
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NEW QUESTION 186
Which of the following is true of personal ethics?
- A. Most people, given a chance, will engage in behavior that runs counter to their ethical understanding.
- B. Personal ethics refer to an individual's understanding or perception of laws.
- C. Personal ethics are governed by external factors such as laws and government regulations.
- D. Most people mature in their understanding of what is ethical and what is not by the age of 12.
- E. Most people gain ethical understanding through a continuous process from childhood through adulthood.
Answer: E
NEW QUESTION 187
Why do companies offer seasonal discounts to customers?
- A. To encourage customers to try out new products that they would otherwise never purchase
- B. To reduce the use of coupons and rebates during of-peak seasons
- C. To increase the sales of a product that was initially overpriced and rejected by customers
- D. To get customers to buy higher-margin products that team up nicely with the discounted product
- E. To increase the demand for a product at a time when consumers are less likely to buy or use the product
Answer: E
NEW QUESTION 188
Pluto Corp., a car manufacturer, visits several independent blogs and forums and monitors customer reactions and opinions relating to its cars. Moreover, Pluto also engages with customers directly under fake names in order to obtain valuable direct insights. Which of the following qualitative research techniques is the company using in this scenario?
- A. observation
- B. Scanner method
- C. Social media
- D. in-depth interview
- E. Focus groups
Answer: C
NEW QUESTION 189
Mars Corp., a New York-based soft drink manufacturer, decides to expand its operations to London and Delhi. However, the company decides to sell its existing soft drinks with the same packaging and flavors in these markets. In this scenario, the company is using a _____ strategy.
- A. diversification
- B. market development
- C. service development
- D. product development
- E. market penetration
Answer: B
NEW QUESTION 190
Which of the following is true of wants?
- A. They are goods that are desired.
- B. They are goods that are required for daily use.
- C. They are goods that are widely available.
- D. They are services that are necessary.
- E. They are products that are necessary.
Answer: A
NEW QUESTION 191
Which of the following is a source of quantitative research?
- A. Social media sites
- B. Scanner data
- C. Projective techniques
- D. In-depth interviews
- E. Focus groups
Answer: B
NEW QUESTION 192
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 the same brands in both current and new markets.
- D. selling new products to current markets.
- E. selling new products to new markets.
Answer: E
NEW QUESTION 193
_____ is a popular positioning method because the relationship of price to quality is among the most important considerations for consumers when they make a purchase decision.
- A. Competitor differentiation
- B. Product attributes
- C. Symbols
- D. Brand image
- E. Value
Answer: E
NEW QUESTION 194
Whenever Donald calls on potential pest control customers, he emphasizes the fact that, unlike the national franchise competitors, he is a local business person and has been in business over twenty years. Donald is_____ his business relative to his competition.
- A. valuing
- B. re-mapping
- C. repositioning
- D. positioning
- E. segmenting
Answer: D
NEW QUESTION 195
A Pluto Inc., a market research company, collects data relating to its clients from sources such as Facebook, Twitter, blogs and review websites and assesses customers' feelings toward particular products. Which of the following methods is Pluto Inc., likely to use to achieve desired results?
- A. Distribution analysis
- B. Network analysis
- C. Sentiment analysis
- D. App analysis
Answer: C
NEW QUESTION 196
Which of the following is true of private-label brands?
- A. These brands help the manufacturers position, segment, and build a brand.
- B. These brands, also known as manufacturer brands, provide greater control over marketing strategies.
- C. These are products based on designs and specifications provided by retailers.
- D. These are products that are distributed to and sold by many retailers.
- E. These brands help manufacturer develop a consistent quality across retailers.
Answer: C
NEW QUESTION 197
Hanna is buying a wedding dress and chooses one that is beyond her budget. However, she notices that the dress fits her well and comes with a money-back guarantee. Despite the higher cost, she decides to purchase the dress due to the trade-off between cost and perceived value. In this scenario Hanna is exhibiting the _____ rule.
- A. noncompensatory
- B. multi-attribute
- C. conversion
- D. compensatory decision
- E. weightage
Answer: D
NEW QUESTION 198
Candy bars should most likely be sold using which type of target market coverage?
- A. direct distribution
- B. dual distribution
- C. intensive distribution
- D. exclusive distribution
- E. selective distribution
Answer: C
NEW QUESTION 199
Which of the following is true of packaging a product?
- A. When products remain untouched, changing their package invariably induces distrust in customers.
- B. The secondary and primary packages of a product are interchangeable.
- C. Product repositioning is a cheaper way to attract a new target market than updating a product's packaging.
- D. Changing or updating a product's package is different from method to reposition a product.
- E. Consumers are tempted to try products in new packaging.
Answer: E
NEW QUESTION 200
Mars Inc., a retailer, maintains strong relationships with its suppliers. It has a strong supply chain and the company motto is ""We never miss our delivery dates."" In this scenario, Mars Inc. is achieving sustainable competitive advantage through a strategy of _____ excellence.
- A. operational
- B. service
- C. customer
- D. product
- E. locational
Answer: A
NEW QUESTION 201
In Ravonia, the telecom sector is dominated by four major service providers: Flank, Zelno, Tuhaz, and Klock.
The service providers determine call rates and broadband rates using a collective strategy. They maintain uniform pricing and compete mainly on quality and service. Flank, Zelno, Tuhaz, and Klock are using a _____ strategy.
- A. bait-and-switch
- B. horizontal price fixing
- C. manufacturer 's suggested retail pricing
- D. deceptive reference pricing
- E. price discrimination
Answer: B
NEW QUESTION 202
Which of the following commodities is most likely to be bought through habitual decision making?
- A. Motorcycles
- B. Coffee machines
- C. Dresses
- D. Kitchen chimneys
- E. Cheeseburgers
Answer: E
Explanation:
Explanation/Reference:
NEW QUESTION 203
Which of the following is likely to lead to less conflict in a vertical marketing system?
- A. Implementing an independent marketing channel
- B. Requiring each member to act in its own interest
- C. Increasing flexibility and informality within the system
- D. Increasing the number of channel members
- E. Increasing the degree of formalization
Answer: E
NEW QUESTION 204
_____ involves a process of defining the 4P variables so that target customers have a clear, distinctive, desirable understanding of what the product does or represents in comparison with competing products.
- A. Relative positioning
- B. Competitive positioning
- C. Selective perception
- D. Market positioning
- E. Value proposition
Answer: D
NEW QUESTION 205
_____ are pieces of information that have been collected prior to the start of the focal research project.
- A. Secondary data
- B. Focal data
- C. Hypothetical data
- D. Primary data
- E. Tertiary data
Answer: A
NEW QUESTION 206
In which of the following cases is a firm making a business decision based on a strength, as identified in a SWOT analysis?
- A. Green Bay Inc. changed its manufacturing process after the government imposed a new tax on one of the ingredients in its product.
- B. Celeborn Foods decided to sell a line of fast food in the Cambrian market as the company's product development team had significant experience in the market.
- C. Orangejello Inc. modified its product in the Cambrian market, to account for local tastes and preferences.
- D. Crichton Inc. decided against opening a business in Cambria when the country's economy suffered a depression.
- E. Aeryn Cosmetics decided to intensify its marketing efforts in the market when its closest competitor went out of business.
Answer: B
NEW QUESTION 207
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. Interview each of the complainants to find out about their use of Ankam's products.
- C. Advise Ankam on the measures it could adopt until the investigation is complete.
- D. Collect information on all malfunctions and check the list of malfunctioning parts against the warranty to verify if the complaint is true.
- E. Conduct tests of Ankam's products under various conditions and identify the conditions under which they break down.
Answer: A
NEW QUESTION 208
Newtown-based athletic shoe manufacturer Alpha Shoes sells different types of shoes for kids, and focuses its marketing activities in the Newtown region. To increase sales of its products, Alpha begins an intensive promotional campaign in Newtown's schools. Which of the following market strategies is the company using?
- A. diversification
- B. horizontal integration
- C. vertical integration
- D. market development
- E. market penetration
Answer: E
NEW QUESTION 209
In the typical communication process, the message originates from the _____.
- A. transmitter
- B. decoder
- C. creator
- D. receiver
- E. sender
Answer: E
NEW QUESTION 210
_____ is defined as the market value of the goods and services produced by a country in a year.
- A. Gross national income
- B. Gross domestic valuation
- C. Gross domestic product
- D. Gross domestic export
- E. Gross domestic expenditure
Answer: C
NEW QUESTION 211
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