AMA PCM Quiz 2 Topic 1 Questions 6-10

Question: 1

Calculate the Category Development Index of a particular product that sells 5% of its product in a particular market that contains 1% of the country's population.

A500

B400

C300

D200

E100

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Question: 2

In an administered vertical marketing system,:

Athere are contractual relationships between all parties.

Bthere is common ownership of goods.

Cone member can directs the actions of another member.

Dthere are franchise relationships between channel members.

Ethere is no dominant member; all members have equal power.

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Question: 3

Which of the following is likely to be true of passive customers?

AThey are likely to complain about the product or service.

BThey are likely to seek negative information about products.

CThey are likely to remain from repurchasing a product.

DThey are likely to recommend the product to others.

EThey are likely to seek positive feedback from friends.

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Question: 4

What do retail outlets hope to achieve from using promotions in conjunction with markdowns?

ABulk purchase of products, which reduces brand switching and, in turn, increased consumption

BIncreased loyalty of customers based on discounts tailored to suit individual customers

CAn increase in store traffic that leads to the purchase of non-promotional products at regular prices

DIncreased savings for customers and increased profits, without actually cutting prices

ESelling off less desirable products by including them in a package with more desirable products

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Question: 5

Why don't the majority of customers bother to redeem rebates?

AThe discount offered by rebates is not significant enough.

BThe procedure to redeem a rebate is complex as well as lengthy.

CThe price cut is not offered directly to the consumers.

DThe price on the shelf is more than the normal price of the product.

EThe rebates come with riders such as a minimum purchase.

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AMA PCM Quiz:2 Topic:1 Questions:6-10