All Free Management Sciences MCQs with Answers
Every Management Sciences question in the bank, across all chapters, each with the correct answer and a written explanation. Free and unlimited, with no account needed.
3,770 questions · page 12 of 189
- A. Have something of value and be able to communicate it
- B. Use the same distribution channel
- C. Purchase through a retail intermediary
- D. Offer the lowest available price
Explanation: An exchange requires parties that have something valuable to offer and can communicate and deliver it.
Correct answer: Have something of value and be able to communicate it- A. Time utility
- B. Form utility
- C. Place utility
- D. Possession utility
Explanation: Time utility results from making an offering available when customers want to use it.
Correct answer: Time utility223. Which statement correctly describes the special role of price in the traditional marketing mix?
- A. It is the only element that directly generates revenue
- B. It is the only element that determines product quality
- C. It is the only element controlled by retailers
- D. It is the only element used in promotion
Explanation: Product, place and promotion generally require expenditure, whereas price produces revenue when customers buy.
Correct answer: It is the only element that directly generates revenue- A. Reference group
- B. Distribution channel
- C. Production team
- D. Government regulator
Explanation: A reference group is a social group whose opinions or behaviour influence an individual's attitudes or purchases.
Correct answer: Reference group- A. Complex buying behaviour
- B. Habitual buying behaviour
- C. Variety-seeking buying behaviour
- D. Routine response behaviour
Explanation: Complex buying behaviour occurs when involvement is high and consumers perceive significant differences among brands.
Correct answer: Complex buying behaviour226. Which characteristic of services means that production and consumption often occur at the same time?
- A. Inseparability
- B. Perishability
- C. Standardisation
- D. Transferability
Explanation: Service inseparability means the service is often produced and consumed together, frequently with the provider involved in delivery.
Correct answer: Inseparability227. Which intermediary usually sells products directly to final consumers for personal or household use?
- A. Retailer
- B. Wholesaler
- C. Industrial agent
- D. Freight carrier
Explanation: A retailer purchases products for resale to final consumers, usually in smaller quantities.
Correct answer: Retailer- A. Psychological pricing
- B. Transfer pricing
- C. Predatory pricing
- D. Geographical pricing
Explanation: Psychological pricing uses price presentations that influence how customers perceive value, such as Rs. 999 rather than Rs. 1,000.
Correct answer: Psychological pricing- A. Marketing ethics
- B. Market penetration
- C. Product standardisation
- D. Sales forecasting
Explanation: Marketing ethics applies moral principles to decisions such as advertising claims, pricing and customer treatment.
Correct answer: Marketing ethics- A. Diversification
- B. Market penetration
- C. Market development
- D. Product development
Explanation: Diversification combines a new product with a new market and therefore normally carries the greatest uncertainty in the Ansoff matrix.
Correct answer: Diversification- A. It must contain only existing customers
- B. It must be measurable and reachable
- C. It must have identical purchasing habits
- D. It must respond to every promotion
Explanation: A useful segment can be measured in size and characteristics and reached through suitable marketing programmes.
Correct answer: It must be measurable and reachable232. In the BCG growth-share matrix, a product with high market share in a low-growth market is called a:
- A. Star
- B. Question mark
- C. Cash cow
- D. Dog
Explanation: A cash cow holds a strong market share in a mature, low-growth market and usually generates surplus cash.
Correct answer: Cash cow- A. Pull strategy
- B. Push strategy
- C. Reminder strategy
- D. Positioning strategy
Explanation: A push strategy directs promotional effort towards channel members so they carry and promote the product.
Correct answer: Push strategy- A. Market penetration
- B. Market development
- C. Product development
- D. Diversification
Explanation: Market penetration seeks greater sales of current products in current markets, often through increased usage or winning competitors'…
Correct answer: Market penetration- A. Cash cow
- B. Dog
- C. Question mark
- D. Market leader
Explanation: A question mark operates in an attractive, growing market but has not yet achieved a strong relative share.
Correct answer: Question mark- A. Depth
- B. Width
- C. Consistency
- D. Length
Explanation: Product mix width refers to the number of product lines a company carries.
Correct answer: Width- A. Selective attention
- B. Cognitive dissonance
- C. Perceptual defence
- D. Selective distortion
Explanation: Selective attention means consumers screen out most information and notice messages that seem relevant to their needs or interests.
Correct answer: Selective attention- A. Marketing control
- B. Market segmentation
- C. Product screening
- D. Sales forecasting
Explanation: Marketing control monitors results, compares them with objectives and supports corrective action when performance differs from the plan.
Correct answer: Marketing control- A. Brand loyalty
- B. Unaided brand awareness
- C. Brand association
- D. Perceived quality
Explanation: Unaided brand awareness measures whether consumers can recall a brand without prompts or a displayed list.
Correct answer: Unaided brand awareness- A. Market skimming
- B. Brand reinforcement
- C. Product cannibalisation
- D. Channel integration
Explanation: Product cannibalisation occurs when a new product takes sales from another product in the same firm's portfolio.
Correct answer: Product cannibalisation