Free Marketing MCQs with Answers
1,700 Marketing MCQs from Management Sciences, each with the correct answer and a written explanation of why it is correct. Free and unlimited, with no account needed.
Marketing covers how organisations identify customer needs, create value and exchange products or services through suitable markets. Key concepts include market segmentation, targeting, positioning, consumer behaviour, the marketing mix of product, price, place and promotion, branding, product life cycle and differences between marketing and selling.
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1,700 questions · page 15 of 85
- A. customer segment pricing
- B. product-form pricing
- C. location pricing
- D. channel pricing
Explanation: Location pricing charges different prices at different places for the same product when the cost of supplying those locations is the same.
Correct answer: location pricing- A. oligopolistic discount
- B. equalizing discount
- C. offset discount
- D. seasonal discount
Explanation: A seasonal discount rewards customers for purchasing during an off-season when demand is lower, helping the seller maintain sales and…
Correct answer: seasonal discount- A. allowance
- B. offset discount
- C. seasonal discount
- D. equalizing discount
Explanation: An allowance is an extra payment or price reduction given to resellers for taking part in approved promotional or special programs.
Correct answer: allowance- A. cost inflation
- B. over demand
- C. anticipatory pricing
- D. predatory pricing
Explanation: Cost inflation, excess demand, and anticipatory pricing can all push prices upward.
Correct answer: predatory pricing- A. push pricing strategy
- B. market penetration pricing
- C. market skimming pricing
- D. quality leadership pricingManufacturing
Explanation: Market skimming sets a high introductory price to capture buyers willing to pay more, then lowers the price as competition increases or…
Correct answer: market skimming pricing- A. non-functional discount
- B. discount
- C. quantity discount
- D. descriptive discount
Explanation: A prompt-payment reduction is specifically called a cash discount, and the available choices place it under the general term discount.
Correct answer: discount- A. ascending trade
- B. sealed trade
- C. countertrade
- D. descending tradePrice Comparisons
Explanation: Countertrade involves exchanging goods or services for other goods or services instead of settling entirely in money.
Correct answer: countertrade- A. second-degree price discrimination
- B. first-degree price discrimination
- C. third-degree discrimination
- D. fourth-degree discrimination
Explanation: First-degree price discrimination charges each customer according to that customer's willingness or demand for the product.
Correct answer: first-degree price discrimination- A. English auctions
- B. Dutch auctions
- C. Sealed-bid auctions
- D. all of the above
Explanation: Auction-type pricing includes English auctions, Dutch auctions, and sealed-bid auctions.
Correct answer: all of the above290. If the unit cost is $25 and the desired return on sales is 60% then the markup price is _________?
- A. $62.50
- B. $65.50
- C. $69.50
- D. $75.50
Explanation: When the desired return on sales is 60%, the markup price is calculated as unit cost divided by one minus the return: $25 ÷ (1 − 0.60) =…
Correct answer: $62.50- A. markup demand
- B. unit cost
- C. markup cost
- D. markup priceEconomics
Explanation: Markup price is found by dividing unit cost by one minus the desired return: unit cost ÷ (1 − desired return).
Correct answer: markup priceEconomics- A. markup demand
- B. unit cost
- C. markup cost
- D. markup price
Explanation: Dividing total fixed cost by unit sales converts fixed cost into fixed cost per unit; adding variable cost per unit gives unit cost.
Correct answer: unit cost- A. perceived pricing
- B. everyday low pricing
- C. high low pricing
- D. value pricingPrice Comparisons
Explanation: Everyday low pricing means charging a consistently low price instead of alternating between regular high prices and promotional discounts.
Correct answer: everyday low pricing- A. determining demand
- B. select pricing objective
- C. analyzing prices of competitor's
- D. estimating costs
Explanation: Maximum current profit, market share growth, market skimming, and product-quality leadership are alternative pricing objectives a firm may…
Correct answer: select pricing objective- A. $2.33
- B. $3.33
- C. $4.33
- D. $5.33
Explanation: Average cost is calculated by dividing total cost by output: $70,000 ÷ 30,000 units = approximately $2.33 per unit.
Correct answer: $2.33- A. upward
- B. downward
- C. leftward
- D. rightward
Explanation: Prestige or Veblen goods may have an upward-sloping demand curve because a higher price can signal status and exclusivity, increasing…
Correct answer: upward- A. $45.25
- B. $40.25
- C. $36.25
- D. $32.25
Explanation: Using target-return pricing, add the desired return on invested capital per unit to unit cost: $30 + (0.75 × $60,000 ÷ 20,000) = $32.25.
Correct answer: $32.25- A. stable
- B. high
- C. low
- D. constant
Explanation: For a normal product, a high price generally reduces quantity demanded, assuming other factors remain unchanged.
Correct answer: high- A. low-quality trap
- B. fragile-market-share trap
- C. shallow-pockets trap
- D. price-war traps
Explanation: The low-quality trap occurs when customers interpret a price reduction as evidence that the product's quality has deteriorated.
Correct answer: low-quality trap- A. low-quality trap
- B. fragile-market-share trap
- C. shallow-pockets trap
- D. price-war traps
Explanation: The fragile-market-share trap describes gaining market share through price cuts while attracting customers who are not loyal and may leave…
Correct answer: fragile-market-share trap