All Free Economics MCQs with Answers

• A. Selling agents
• B. Rack jobbers
• C. Manufacturer's agents
• D. Purchasing agents

Explanation: Selling agents have contractual authority to sell a manufacturer's entire output, usually on a continuing basis.

• A. Slice of life
• B. Lifestyle
• C. Mood or imagery
• D. Personality symbol

Explanation: A family using a product in an ordinary everyday setting illustrates the slice-of-life execution style.

• A. Too much advertising
• B. Too few social goods
• C. Cultural pollution
• D. Too much political power

Explanation: Influence by manufacturers of harmful products over lawmakers is cited as evidence that marketing interests can possess too much political…

• A. facilitator
• B. referent actor
• C. opinion leader
• D. social role player

Explanation: An opinion leader is a knowledgeable or respected member of a reference group whose views influence others' attitudes or purchases.

• A. Consumer products
• B. Services
• C. Industrial products
• D. Specialty products

Explanation: Industrial products are bought by businesses or organizations for further processing, resale or use in operations.

• A. current profit maximization
• B. product quality leadership
• C. Market share leadership
• D. Survival

Explanation: Pricing below total cost to cover variable costs and part of fixed costs is a survival objective, used when a firm is trying to remain…

• A. patronage reward
• B. spiff
• C. price pack
• D. premium

Explanation: A premium is a free or low-cost item offered to encourage the purchase of another product.

• A. innovative marketing
• B. consumer oriented marketing
• C. value marketing
• D. sense -f mission marketing

Explanation: Innovative marketing requires a firm to seek new and better ways to satisfy customer needs, since failing to innovate can cause customers…

• A. it can drive up manufacturing and marketing costs by reducing economies of scale
• B. it can create logistical problems when the company tries to meet varied requirements
• C. it can attract unwanted competition
• D. it can dilute the brand's overall image

Explanation: Local marketing can increase costs, create logistical complications, and weaken a consistent brand image because offerings are tailored to…

• A. Deceptive promotion
• B. Deceptive packaging
• C. Deceptive pricing
• D. Deceptive cost structure

Explanation: Deceptive pricing occurs when sellers misrepresent the regular price, such as claiming a discount from a fictitiously high retail price.

• A. Innovative marketing
• B. Consumer-oriented marketing
• C. Value marketing
• D. Societal marketing

Explanation: Societal marketing balances consumer wants with the long-run interests of consumers, the company, and society as a whole.

• A. Newspapers
• B. Television
• C. Direct Mail
• D. Radio

Explanation: Direct mail permits marketers to target selected audiences, avoid competing advertisements in the same medium, and personalize messages.

• A. since it was probably collected for some other purpose it may be incomplete or wrong
• B. it is usually expensive to retrieve
• C. top executives are usually unwilling to relinquish data therefore the data has limits
• D. the data is almost always unsecured and therefore, suspect as to reliability

Explanation: Internal database information was often collected for operational purposes rather than the current research question, so it may be…

• A. 15
• B. 23
• C. 29
• D. 33

Explanation: The standard marketing-textbook estimate is that advertising accounts for about 23 percent of total promotion spending.

• A. fixed costs
• B. variable costs
• C. standard costs
• D. independent costs

Explanation: Fixed costs remain unchanged as production or sales volume changes within the relevant operating range, such as rent.

• A. Approach
• B. handling objections
• C. closing
• D. follow-up

Explanation: Follow-up is the final selling stage, occurring after closing to confirm delivery, satisfaction, and future customer needs.

• A. Marketing strategy
• B. Marketing control
• C. Marketing analysis
• D. Marketing implementation

Explanation: Marketing implementation converts planned strategies into concrete activities such as launching campaigns, setting prices, and…

• A. decline stage
• B. introduction stage
• C. growth stage
• D. maturity stage

Explanation: In the decline stage, demand falls because of changing tastes, newer technology, or stronger competitors.

• A. Affordable method
• B. Percentage of Sales method
• C. Competitive parity method
• D. Objective and task method

Explanation: The competitive parity method sets the promotion budget in line with competitors’ spending.

• A. group
• B. bi-variant population
• C. sample
• D. market target

Explanation: A sample is a smaller group selected to represent the characteristics of the entire population.