Service variability means that ________.
A) the evaluation of services is subjective and changes from customer to customer
B) service quality depends on when, where, and how they are provided
C) services cannot be stored for later sale or use
D) services cannot be seen, tasted, felt, heard, or smelled before they are bought
E) services can be separated from their providers
Answer: service quality depends on when, where, and how they are provided
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Marketing Chapter 7
- As a result of economies of scale, large advertisers:
- As a result of ____, large advertisers can maintain advertising expenditure shares that are smaller than their market shares because they get lower advertising rates and accrue the advantages of advertising several products jointly.
- As a tool for budget allocation, multiple regression analysis is most often employed in budget models using:
- During the first months of a new product introduction, a useful budgeting technique to determine a ballpark figure for setting feasible objectives is the _____ method.
- ____ is a method for allocating budgets designed to determine the investment value of the advertising appropriation.
- The objective and task method is most difficult to use when:
- Which of the following statements provides a good rule of thumb for setting the advertising budget for a new product?
- The first task in the objective and task method of budgeting is to:
- Which of the following is an example of a budgeting allocation method that uses a build-up approach?
- Defining the communications objectives to be accomplished and estimating the costs associated with the performance of the necessary strategies and activities are steps in the _____ method of budgeting.
- The task and objective method of budgeting as well as the payout plan are both examples of the _____ approach.
- Top-down budgeting methods are commonly used because of:
- In the _____ method of budget determination advertising is considered an investment, similar to plant and equipment.
- A disadvantage associated with the _____ method is its assumption that because firms have similar promotional expenditures their programs will be equally effective.
- Which of the following is an advantage of the competitive parity method?
- Which of the following methods of determining a budget requires a marketing department manager to use input from a clipping service?
- When using the competitive parity budgeting method, the firm:
- The _____ budgetary allocation method is designed to promote stability and minimize marketing warfare as well as take advantage of the collective wisdom of the industry.
- The major problem associated with the _____ budgeting method is that it reverses the cause and effect relationship between advertising and sales.
- The _____ method of budgeting uses advertising/sales ratio data.
- Which of the following budgeting procedures would be used if a firm wanted a method that is simple to understand and financially safe?
- To set an advertising budget, the marketer of filing cabinets examines advertising to sales ratios published in trade magazines, and then allocates a percentage of sales dollars to the advertising effort. Which two budgeting methods are being employed?
- In the _____ method to budgeting, sales are projected for the coming year based on the marketing manager's estimates.
- The _____ method of budgeting is being employed when expenditures are allocated by assigning a part of the cost of the product to be allocated to advertising. The total budget is based on units sold.
- The most commonly utilized method of budget determination by large firms is: