_____ 1. Nonprofit organizations do not need to impleme nt market segmentation techniques because their goals differ from other types of organizations.

_____ 2. A consolidated Metropolitan Statistical Area i ncludes any city in the United States.

_____ 3. Marketers should not be concerned with discret ionary income because it is only available to one-third of U.S. households.

_____ 4. Psychographic segmentation was developed from the psychological profiles of different consumers by asking them to evaluate PIO statements.

_____ 5. Both the producer and the purchaser share the narrow definition of the word product and both tend to focus on the physi cal or functional characteristics of a good or service.

_____ 6. The growth stage of the product life cycle is highlighted by promotional campaigns that stress information about the features of a new item.

_____ 7. During the maturity stage of the product life cycle, industry sales reach a plateau, available products exceed industry demand , and competitors tend to cut prices in an attempt to attract new buyers.

_____ 8. Progresso Foods has introduced single-serving cans of soup for one-person households. By offering a traditional product in a smaller package to reach a new target market, the company has downsized its phys ical size in order to extend the life cycle of its product offering.

_____ 9. A company will usually grow more rapidly when it concentrates on a single product.

_____ 10. Effective brand names should be easy to prono unce, recognize, and remember.

_____ 11. Brand names are intended to muddle product id entification in order to create confusion for consumers and to cause purchases o f competing brands.

_____ 12. In general, industrial channels tend to be sh orter than consumer channels due to geographic concentration in industrial buyin g and a relatively limited number of purchasers.

_____ 13. A franchise is a contractual arrangement in w hich a wholesaler or retail dealer agrees to meet the operating requirements of a manufacturer or other franchiser.

_____ 14. Independent wholesaling intermediaries can be divided into three categories: merchants, wholesalers, and agents/brokers.

_____ 15. Brokers and agents usually take possession an d title of the goods they handle.

_____ 16. Brokers operate in industries characterized b y a large number of small suppliers and purchasers.

_____ 17. The primary objective of promotional efforts is to increase the demand for a specific product or service.

_____ 18. The marketing mix is a subset of the overall promotional mix.

_____ 19. Product advertising is the personalized selli ng of a product or service.

_____ 20. Television is the dominant medium for adverti sing to local markets.

_____ 21. The advantages of radio advertising include i mmediacy, low cost, flexibility, practical and low-cost audience selection, and mobility.

_____ 22. Sales promotion is another term for advertisi ng and encompasses the same things.

_____ 23. Pricing objectives can be classified into (1) profitability objectives, (2) volume objectives, (3) meeting competition object ives, and (4) prestige objectives.

_____ 24. Full-cost pricing allows the marketer to aver age variable costs over the entire line of products being sold by a firm.

_____ 25. Demand for a product with close substitutes t ends to be inelastic.

_____ 26. A price cut will increase revenue only if dem and is elastic; a price increase will raise revenue only if demand is inelastic.

_____ 27. Price theory concepts are easily applied to p ractical pricing situations.

_____ 28. Cost-plus pricing uses a marginal cost figure per unit and allows for the determination of markdowns to achieve maximum profi t.

_____ 29. A skimming pricing strategy involves the use of low price relative to prices of competing products or services.

_____ 30. A competitive pricing strategy shifts the emp hasis from price competition to nonprice factors.

_____ 31. Geographical pricing considerations include s uch policies as FOB plant, freight absorption, uniformed delivered price, zone p ricing, and basing point systems.

_____ 32. In simple random sampling, every member of th e relevant universe has an equal opportunity of being selected.

_____ 33. The limited and inaccurate nature of secondar y data limits their usefulness.

a. 4,500

c. 2,100

d. 1,500

e. around 642