Which pricing technique sets a company’s prices largely on the basis of competitors’ prices?
Correct answer A. Going rate pricing
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Developing Marketing Strategies and Plans MCQs
Page 7 of Developing Marketing Strategies and Plans multiple-choice questions with answers. Tap an option to check yourself.
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- Developing Marketing Strategies and Plans 137
- Analyzing Consumer Markets 124
- Creating Brand Equity 98
- Products, Services and Brands 95
- Consumer Markets and Buyer Behavior 93
- New Product Development 89
- Customer Driven Marketing Strategy 86
- Product Strategy Setting 80
- Analyzing Business Markets 69
- Conducting Marketing Research 69
- Collecting Information and Forecasting Demand 65
- Integrated Marketing Channels 55
- Identifying Market Segments and Targets 47
- Pricing Capturing Customer Value 43
- Company and Marketing Strategy 40
- Introduction to Marketing 40
- Pricing Strategy 40
- Personal Selling and Sales Promotion 37
- Analyzing Marketing Environment 34
- Marketing Communications Customer Value 31
- Designing and Managing Services 29
- Marketing Channels 28
- Retailing and Wholesaling Strategy 28
- Creating Long-term Loyalty Relationships 27
- Global Marketplace 25
- Competitive Dynamics 25
- Business Markets and Buyer Behavior 24
- Managing Marketing Information Customer Insights 23
- Direct and Online Marketing 22
- Sustainable Marketing Social Responsibility and Ethics 20
- Competitive Advantage 17
If fixed cost is $45,000, 60,000 units are sold and the variable cost is $25 per unit, what is the unit cost?
Correct answer D. $25.75
Which pricing method takes the desired return multiplied by invested capital, divides it by unit sales and adds the result to the unit cost?
Correct answer B. Target return price
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Which organisations typically use the target-return pricing method?
Correct answer B. Public utilities
What is the pricing objective of a company troubled by intense competition and overcapacity?
Correct answer B. Survival
What is the sum of fixed costs and variable costs called?
Correct answer D. Total costs
What is the practice of deliberately setting prices below cost for a time to drive competitors out of the market called?
Correct answer A. Predatory pricing
In which form of countertrade does the seller receive full payment in cash but agree to spend a large sum in the buyer’s country within a set period?
Correct answer A. Offset
An ice-cream brand charging different prices for the same serving depending on where it is bought is an example of what?
Correct answer C. Channel pricing
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If the desired return on sales is 70% and the markup price is $65, what is the unit cost?
Correct answer C. $19.50
The reduction in price awarded to customers who buy products in large volumes is classified as?
Correct answer C. Quantity discount
What are product costs that do not vary with the level of production called?
Correct answer B. Fixed costs
Lowering prices at Christmas and Easter is classified as which pricing technique?
Correct answer D. Special event pricing
If a small change in price causes a large change in demand for a product, how is demand described?
Correct answer A. Elastic
Which pricing strategy do companies use when operating in a price-sensitive market?
Correct answer A. Market penetration pricing
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In the VALS framework, which of these groups is NOT among the high-resource consumer groups?
Correct answer A. Strivers
What are consumers who show no loyalty and buy whichever brand is available or on offer called?
Correct answer B. Switchers