Mkt 402 Exam

Question 1 6 out of 6 points Proactive pricing suggests that _____. Answer Selected Answer: a company develops strategies to maintain profitability in anticipation of a changing market Correct Answer: a company develops strategies to maintain profitability in anticipation of a changing market Question 2 6 out of 6 points Which of the following is the simplest price structure? Answer Selected Answer: price per unit Correct Answer: price per unit Question 3 6 out of 6 points ____ allows a company to vary its prices outside the scope of value and cost according to explicit or cultural rules or protocols. Answer Selected Answer: Pricing policy Correct Answer: Pricing policy Question 4 6 out of 6 points Pricing that reflects market conditions is _____. Answer Selected Answer: customer-driven pricing Correct Answer: customer-driven pricing Question 5 6 out of 6 points Price-cutting is one strategy of share-driven pricing to achieve sales objectives but _____. Answer

Selected Answer: it doesn’t sustain a long term market advantage unless competitors cannot match the price cut Correct Answer: it doesn’t sustain a long term market advantage unless competitors cannot match the price cut Question 6 6 out of 6 points Cost-plus pricing is effectively opposite of a prudent pricing strategy because _____. Answer Selected Answer: it leads to overpricing in weak markets and underpricing in strong markets Correct Answer: it leads to overpricing in weak markets and underpricing in strong markets

Question 7 6 out of 6 points _____ pricing suggests that prices should reflect the value a customer receives from a product or service. Answer Selected Answer: Value-based Correct Answer: Value-based Question 8 0 out of 6 points Marketing research is the key to creating good value because _____. Answer Selected Answer: it compares willingness-to-pay against the cost of producing the product Correct Answer: it analyzes how much value different combinations of benefits could represent to cutomers

Question 9 6 out of 6 points A company that is willing to be a smaller company in order to be profitable is employing the _____ principle of strategic pricing. Answer Selected Answer: profit-driven Correct Answer: profit-driven Question 10 6 out of 6 points A _____ company focuses pricing to increase revenue relative to other investments rather than as a comparison to competitors earnings. Answer Selected Answer: profit-driven Correct Answer: profit-driven

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