For custom -made equipment and commercial construction projects, which pricing method is most likely to be used? A)Prestige pricing B)Markup pricing C)Return -on -investment pricing D)Cost -plus pricing

For custom  -made equipment and commercial construction projects, which pricing  method is most likely to be used? A)Prestige pricing B)Markup pricing C)Return -on -investment pricing D)Cost -plus pricing
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Answer :

D)Cost-plus pricing
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Related questions

Which of the following pricing methods is used most often by retailers? A)Markup pricing B)Price discrimination C)Price differentiation D)Return on investment E)Price skimming

Description : Which of the following pricing methods is used most often by retailers? A)Markup pricing B)Price discrimination C)Price differentiation D)Return on investment E)Price skimming

Last Answer : A)Markup pricing

Most pricing objectives based on ---- are achieved by trial and error because not all the cost and revenue data are available when prices are set. A)market share B)cash flow C)return on investment D)survival E)profit

Description : Most pricing objectives based on ---- are achieved by trial and error because not all the cost and revenue data are available when prices are set. A)market share B)cash flow C)return on investment D)survival E)profit

Last Answer : C)return on investment

When an organisation sets a limited number of prices for selected groups of merchandise, this idea is commonly referred to as A)prestige pricing. B)price lining. C)customary pricing. D)odd -even pricing. E)ethical pricing.

Description : When an organisation sets a limited number of prices for selected groups of merchandise, this idea is commonly referred to as A)prestige pricing. B)price lining. C)customary pricing. D)odd-even pricing. E)ethical pricing.

Last Answer : B)price lining.

When Sharp first introduced its line of reverse notation calculators, it set the price quite high; it has lowered the price as competitors have entered the market. The pricing strategy used by Sharp is called: A)customary pricing. B)penetration pricing. C)price skimming. D)prestige pricing.

Description : When Sharp first introduced its line of reverse notation calculators, it set the price quite high; it has lowered the price as competitors have entered the market. The pricing strategy used by Sharp is called: A)customary pricing. B)penetration pricing. C)price skimming. D)prestige pricing.

Last Answer : C)price skimming.

What type of pricing policy is used in a situation in which the demand for a product is price inelastic and the seller has an ethical responsibility not to overcharge the client? A)price lining B)prestige pricing C)professional pricing D)customary pricing E)ethical pricing

Description : What type of pricing policy is used in a situation in which the demand for a product is price inelastic and the seller has an ethical responsibility not to overcharge the client? A)price lining B)prestige pricing C)professional pricing D)customary pricing E)ethical pricing

Last Answer : C)professional pricing

The policy that assumes that demand is relatively inelastic over certain price ranges is called A)price lining. B)odd -even pricing. C)price skimming. D)prestige pricing. E)customary pricing.

Description : The policy that assumes that demand is relatively inelastic over certain price ranges is called A)price lining. B)odd-even pricing. C)price skimming. D)prestige pricing. E)customary pricing.

Last Answer : A)price lining.

Which of the following statements about markup pricing is correct? A)The use of similar markups reduces price competition. B)Markup pricing is inconvenient to use. C)Markup pricing results in a high price when demand is high and a low price when demand is low. D)Using markups makes pricing a time -consuming, difficult process.

Description : Which of the following statements about markup pricing is correct? A)The use of similar markups reduces price competition. B)Markup pricing is inconvenient to use. C)Markup pricing results in a high ... low price when demand is low. D)Using markups makes pricing a time-consuming, difficult process.

Last Answer : A)The use of similar markups reduces price competition.

Delta Airlines prices its tickets so that it is less expensive to travel on weekends than during the week when there is heavy business travel. This illustrates ________ pricing. A)seasonal B)demand -oriented C)competitive D)markup

Description : Delta Airlines prices its tickets so that it is less expensive to travel on weekends than during the week when there is heavy business travel. This illustrates ________ pricing. A)seasonal B)demand-oriented C)competitive D)markup

Last Answer : B)demand-oriented

To gain market share Lada entered car markets with a comparatively low price. One of the negative side effects of taking this pricing position is A)a negative impact on consumers' perceptions of quality. B)competitors can match the price. C)a high return on investment levels affecting tax balances owed. D)poor survival chances in the market.

Description : To gain market share Lada entered car markets with a comparatively low price. One of the negative side effects of taking this pricing position is A)a negative impact on consumers' perceptions of ... high return on investment levels affecting tax balances owed. D)poor survival chances in the market.

Last Answer : A)a negative impact on consumers' perceptions of quality.

If Carrier develops a new air conditioning compressor that lasts twice as long as existing compressors but only uses half the electricity, it will probably establish its pricing based on: A)cash flow. B)product quality. C)survival. D)return on investment. E)market share.

Description : If Carrier develops a new air conditioning compressor that lasts twice as long as existing compressors but only uses half the electricity, it will probably establish its pricing based on: A)cash flow. B)product quality. C)survival. D)return on investment. E)market share.

Last Answer : B)product quality.

If Nabisco established a pricing objective of selling one out of every three crackers consumed in the world, it would have established an objective based on: A)cash flow. B)market share. C)survival. D)return on investment. E)profit.

Description : If Nabisco established a pricing objective of selling one out of every three crackers consumed in the world, it would have established an objective based on: A)cash flow. B)market share. C)survival. D)return on investment. E)profit.

Last Answer : B)market share.

When a company adjusts price levels so that it can increase sales volume to levels that match the organisation's expenses, it is said to employ a ---- pricing objective. A)market share B)cash flow C)return on investment D)survival E)profit

Description : When a company adjusts price levels so that it can increase sales volume to levels that match the organisation's expenses, it is said to employ a ---- pricing objective. A)market share B)cash flow C)return on investment D)survival E)profit

Last Answer : D)survival

Which pricing objective de -emphasises price and can lead to a climate of nonprice competition in an industry? A)Status quo B)Return on investment C)Market share D)Survival E)Cash flow

Description : Which pricing objective de -emphasises price and can lead to a climate of nonprice competition in an industry? A)Status quo B)Return on investment C)Market share D)Survival E)Cash flow

Last Answer : A)Status quo

If marketers in an organisation set prices to recover research and development expenses and establish a premium quality image for its product, they have in mind which type of pricing objective? A)Survival B)Return on investment C)Market share D)Product quality E)Cash flow

Description : If marketers in an organisation set prices to recover research and development expenses and establish a premium quality image for its product, they have in mind which type of pricing objective? A)Survival B)Return on investment C)Market share D)Product quality E)Cash flow

Last Answer : D)Product quality

Which of the following pricing objectives sets prices to recover cash as quickly as possible? A)Market share B)Profit C)Cash flow D)Return on investment E)Product quality

Description : Which of the following pricing objectives sets prices to recover cash as quickly as possible? A)Market share B)Profit C)Cash flow D)Return on investment E)Product quality

Last Answer : C)Cash flow

What type of pricing objective might an organisation set if it was already in a favourable financial position and desired nothing more? A)Return on investment B)Cash flow C)Profit D)Status quo E)Survival

Description : What type of pricing objective might an organisation set if it was already in a favourable financial position and desired nothing more? A)Return on investment B)Cash flow C)Profit D)Status quo E)Survival

Last Answer : D)Status quo

Which one of the following pricing objectives is rarely operational because its achievement is difficult to measure? A)Return on investment B)Cash flow C)Profit maximisation D)Market share E)Survival

Description : Which one of the following pricing objectives is rarely operational because its achievement is difficult to measure? A)Return on investment B)Cash flow C)Profit maximisation D)Market share E)Survival

Last Answer : C)Profit maximisation

According to the private property defense of the classical model of corporate social responsibility, managers who use corporate funds for projects that are not directly devoted to maximizing profits are stealing from their owners. Which statement supports this view? A. Property rights are restricted when they conflict with the basic rules of society as embodied in law and custom. B. The connection between ownership and control that exists for personal property does not legally exist for corporate property. C. Investors buy their stocks with the hope of maximizing return on their investment. D. Stockholders in publicly traded corporations are better understood as investors rather than owners.

Description : According to the private property defense of the classical model of corporate social responsibility, managers who use corporate funds for projects that are not directly devoted to maximizing ... . Stockholders in publicly traded corporations are better understood as investors rather than owners.

Last Answer : C. Investors buy their stocks with the hope of maximizing return on their investment. D. Stockholders in publicly traded corporations are better understood as investors rather than owners.

A marketer is most likely to set prices according to a cash -flow objective when a A)trial -and -error approach to the market is acceptable. B)certain market share must be maintained. C)quick return on investment is desired. D)product is expected to have a long life cycle.

Description : A marketer is most likely to set prices according to a cash -flow objective when a A)trial -and -error approach to the market is acceptable. B)certain market share must be maintained. C)quick return on investment is desired. D)product is expected to have a long life cycle.

Last Answer : C)quick return on investment is desired.

Bob Roberts of Roberts Construction is planning to buy a piece of earth-moving equipment. He would most likely base his purchase decision on ______ of the alternative machines: A)description B)sampling C)inspection D)reputation

Description : Bob Roberts of Roberts Construction is planning to buy a piece of earth-moving equipment. He would most likely base his purchase decision on ______ of the alternative machines: A)description B)sampling C)inspection D)reputation

Last Answer : C)inspection

A retailer of Real Dry deodorant prices a can at £2.00; it cost the retailer £1.40. What is the, markup as a percentage of the selling price? A)3.0 percent B)30 percent C)70.0 percent D)20.0 percent

Description : A retailer of Real Dry deodorant prices a can at £2.00; it cost the retailer £1.40. What is the, markup as a percentage of the selling price? A)3.0 percent B)30 percent C)70.0 percent D)20.0 percent

Last Answer : B)30 percent

15) A retailer of ****** dog food prices at 75 pence a can of dog food. It cost the retailer 60 pence. What is the markup as a percentage of cost? A)8 percent B)25 percent C)20 percent D)12.5 percent

Description : 15) A retailer of Brandy dog food prices at 75 pence a can of dog food. It cost the retailer 60 pence. What is the markup as a percentage of cost? A)8 percent B)25 percent C)20 percent D)12.5 percent

Last Answer : B)25 percent

At a local trade show a purchaser of office equipment discussed the price of a computer work station with a representative of Haworth office furnishings. As a result of the discussion the buyer purchased a suitable work station at a lower price than the stated list price. This type of industrial pricing is called: A)transfer. B)open bid. C)solicited D)petitioned E)open

Description : At a local trade show a purchaser of office equipment discussed the price of a computer work station with a representative of Haworth office furnishings. As a result of the discussion the buyer purchased a ... of industrial pricing is called: A)transfer. B)open bid. C)solicited D)petitioned E)open

Last Answer : D)petitioned

If Pepsi sets the price of its six pack to match exactly the price of Coca - Cola's, Pepsi is using a ------ pricing method. A)demand -oriented B)cost -oriented C)experience curve D)competition -oriented

Description : If Pepsi sets the price of its six pack to match exactly the price of Coca - Cola's, Pepsi is using a ------ pricing method. A)demand -oriented B)cost -oriented C)experience curve D)competition -oriented

Last Answer : D)competition -oriented

Which of the following products is most likely to be purchased on the basis of contract negotiation? A)Eggs B)Office supplies C)Used cars D)A custom-made bulldozer E)Wheat

Description : Which of the following products is most likely to be purchased on the basis of contract negotiation? A)Eggs B)Office supplies C)Used cars D)A custom-made bulldozer E)Wheat

Last Answer : D)A custom-made bulldoze

What is a requirement for setting pricing objectives? A)The objectives should be short-term oriented. B)There should be only one pricing objective. C)An evaluation of competitors' prices should be made. D)The cost structure should be identified. E)The objectives should be explicitly state

Description : What is a requirement for setting pricing objectives? A)The objectives should be short-term oriented. B)There should be only one pricing objective. C)An evaluation of competitors' prices should be made. D)The cost structure should be identified. E)The objectives should be explicitly stated.

Last Answer : E)The objectives should be explicitly stated.

With what type of products would you expect demand to increase as price falls? A)Prestige products B)Products with elastic demand C)Products with inelastic demand D)Products with an inverted C -shaped demand curve

Description : With what type of products would you expect demand to increase as price falls? A)Prestige products B)Products with elastic demand C)Products with inelastic demand D)Products with an inverted shaped demand curve

Last Answer : D)Products with elastic demand

When marketers at The Honey Company tried to determine demand for their product, they found that at 50 pence, consumers wanted 2,000 jars; at £1.00, they wanted 6,000 jars; and at £1.50 they wanted 4,000 jars. What can the company conclude? A)Honey has a normal demand curve. B)It has an elastic product. C)It has an inelastic product. D)Honey is a prestige good.

Description : When marketers at The Honey Company tried to determine demand for their product, they found that at 50 pence, consumers wanted 2,000 jars; at £1.00, they wanted 6,000 jars; and at £1.50 they wanted 4, ... curve. B)It has an elastic product. C)It has an inelastic product. D)Honey is a prestige good.

Last Answer : D)Honey is a prestige good.

Delta Air Lines wishes to purchase five new aeroplanes. Management seeks information from several aircraft manufacturers, screens the offers, and discusses price and terms of sale with the preferred company until a transaction is completed. This method of pricing is: A)administered. B)sealed bid. C)open bid. D)negotiated.

Description : Delta Air Lines wishes to purchase five new aeroplanes. Management seeks information from several aircraft manufacturers, screens the offers, and discusses price and terms of sale with the preferred company until a ... method of pricing is: A)administered. B)sealed bid. C)open bid. D)negotiated.

Last Answer : D)negotiated.

Competition -oriented pricing is: A)used when costs and revenues are considered secondary to competitors' prices. B)not useful as a method of increasing or maintaining market share. C)of little use if the competing products are homogenous. D)most often used when competing products are heterogeneous.

Description : Competition-oriented pricing is: A)used when costs and revenues are considered secondary to competitors' prices. B)not useful as a method of increasing or maintaining market share. C)of little use if the competing products are homogenous. D)most often used when competing products are heterogeneous.

Last Answer : A)used when costs and revenues are considered secondary to competitors' prices.

When establishing prices, a marketer's first step is to A)determine demand. B)develop pricing objectives. C)select a pricing policy. D)evaluate competitors' prices. E)determine a pricing method.

Description : When establishing prices, a marketer's first step is to A)determine demand. B)develop pricing objectives. C)select a pricing policy. D)evaluate competitors' prices. E)determine a pricing method.

Last Answer : B)develop pricing objectives.

Judging from the PIMS database, Nestle's high market share definitely guarantees the firm a: A)large level of profit. B)high return on investment. C)quality product. D)high level of capital intensity. E)strong market position.

Description : Judging from the PIMS database, Nestle's high market share definitely guarantees the firm a: A)large level of profit. B)high return on investment. C)quality product. D)high level of capital intensity. E)strong market position.

Last Answer : E)strong market position.

In the long run, M&M Mars must view __________ as the floor below which its chocolate bars cannot be priced. A)a 10 percent return on investment B)product development costs C)costs D)advertising expenditures E)Nestle's prices

Description : In the long run, M&M Mars must view __________ as the floor below which its chocolate bars cannot be priced. A)a 10 percent return on investment B)product development costs C)costs D)advertising expenditures E)Nestle's prices

Last Answer : C)costs

What is the marketing objective of nonbusiness organisations? A)To provide an idea or service to the public B)To obtain a desired response from a target market or public C)To obtain a return on social investment D)To determine the target market and to create and maintain a satisfying marketing mix

Description : What is the marketing objective of nonbusiness organisations? A)To provide an idea or service to the public B)To obtain a desired response from a target market or public C)To obtain a return on social investment D)To determine the target market and to create and maintain a satisfying marketing mix

Last Answer : B)To obtain a desired response from a target market or public

Charging more for a soft drink in a vending machine than in a supermarket is an example of: A)price discrimination. B)competition oriented pricing. C)price differentiation. D)cost -oriented pricing.

Description : Charging more for a soft drink in a vending machine than in a supermarket is an example of: A)price discrimination. B)competition oriented pricing. C)price differentiation. D)cost-oriented pricing.

Last Answer : C)price differentiation

Which pricing strategy involves a company fixing a low price that high -cost competitors cannot match? A)Penetration pricing B)Cost -orientated pricing C)Psychological pricing D)Experience curve pricing

Description : Which pricing strategy involves a company fixing a low price that high -cost competitors cannot match? A)Penetration pricing B)Cost -orientated pricing C)Psychological pricing D)Experience curve pricing

Last Answer : A)Penetration pricin

To attract customers into stores, Spar advertises its milk at less than cost, hoping that customers will purchase other groceries as well. This pricing strategy is called A)price lining. B)special-event pricing. C)experience curve pricing. D)superficial discounting. E)price leader pricing.

Description : To attract customers into stores, Spar advertises its milk at less than cost, hoping that customers will purchase other groceries as well. This pricing strategy is called A)price lining. B)special-event pricing. C)experience curve pricing. D)superficial discounting. E)price leader pricing.

Last Answer : E)price leader pricing.

If Wrigley sets its pricing objective as attaining 38 percent of the chewing gum market, what else would be needed to make this a true pricing objective? A)A statement of demand elasticities B)An identification of cost structure C)A breakeven analysis D)Identification of a time period for accomplishment

Description : If Wrigley sets its pricing objective as attaining 38 percent of the chewing gum market, what else would be needed to make this a true pricing objective? A)A statement of demand ... An identification of cost structure C)A breakeven analysis D)Identification of a time period for accomplishment

Last Answer : D)Identification of a time period for accomplishment

According to the text, cost tradeoffs enable firms to A)resolve pricing conflicts among competitors. B)minimise risk during the test marketing of new products. C)reduce costs of all distribution functions simultaneously. D)resolve pricing conflicts within marketing channels. E)combine resources for greatest cost -effectiveness.

Description : According to the text, cost tradeoffs enable firms to A)resolve pricing conflicts among competitors. B)minimise risk during the test marketing of new products. C)reduce costs of all ... . D)resolve pricing conflicts within marketing channels. E)combine resources for greatest cost-effectiveness.

Last Answer : E)combine resources for greatest cost-effectiveness.

Pricing policies and methods A)help direct and structure the selection of a final price. B)are the last decisions made for a new product. C)are the same for all of a company's products. D)are the most important decisions made for a product.

Description : Pricing policies and methods A)help direct and structure the selection of a final price. B)are the last decisions made for a new product. C)are the same for all of a company's products. D)are the most important decisions made for a product.

Last Answer : A)help direct and structure the selection of a final price.

A firm that bases its price on how it thinks the competitors will price, rather than on its own costs or demand, to win a contract is most likely using A. Going-rate pricing B. Cost-plus pricing C. Perceived-value pricing D. Sealed-bid pricing

Description : A firm that bases its price on how it thinks the competitors will price, rather than on its own costs or demand, to win a contract is most likely using A. Going-rate pricing B. Cost-plus pricing C. Perceived-value pricing D. Sealed-bid pricing

Last Answer : C. Perceived-value pricing

A marketer of industrial cleaning equipment is creating a marketing mix to satisfy potential customers. As a business to business marketer which of the following is LEAST likely to be included in the company's marketing mix? A)Machine servicing B)A higher price for higher -quality products C)Technical advice about the product D)Credit extension E)Extensive television advertising

Description : A marketer of industrial cleaning equipment is creating a marketing mix to satisfy potential customers. As a business to business marketer which of the following is LEAST likely to be ... -quality products C)Technical advice about the product D)Credit extension E)Extensive television advertising

Last Answer : E)Extensive television advertising

Input-output analysis is most likely to yield what type of information? A)The number of employees that a firm has B)The industries that purchase the major portion of an industry's output C)The kinds of returns a firm is getting on its equipment investments D)The type of inventory turnover that is characteristic of a firm

Description : Input-output analysis is most likely to yield what type of information? A)The number of employees that a firm has B)The industries that purchase the major portion of an industry's output C ... is getting on its equipment investments D)The type of inventory turnover that is characteristic of a firm

Last Answer : B)The industries that purchase the major portion of an industry's output

Which of the following is MOST likely require a consumer to use extended problem solving? A)Stereo equipment B)Shaving cream C)Cereal D)Kitchen utensils E)Gasoline

Description : Which of the following is MOST likely require a consumer to use extended problem solving? A)Stereo equipment B)Shaving cream C)Cereal D)Kitchen utensils E)Gasoline

Last Answer : A)Stereo equipment

Cost Unit is defined as: (a) Unit of quantity of product, service or time in relation to which costs may be ascertained or expressed (b) A location, person or an item of equipment or a group of these for which costs are ascertained and used for cost control. (c) Centres having the responsibility of generating and maximising profits (d) Centres concerned with earning an adequate return on investment

Description : Cost Unit is defined as: (a) Unit of quantity of product, service or time in relation to which costs may be ascertained or  expressed (b) A location, person or an item ... the responsibility of generating and maximising profits (d) Centres concerned with earning an adequate return on investment

Last Answer : Unit of quantity of product, service or time in relation to which costs may be ascertained or  expressed

Hofstede found that some countries have a long-term orientation while others focus on the short term. His results mean that: A. US business would be happy to invest in nuclear power and space exploration without any government help. B. British businesses prefer investments with a quick return. C. Firms in Brazil shy away from ten-year investment projects. D. Indian business is impatient for a return on its investments.

Description : Hofstede found that some countries have a long-term orientation while others focus on the short term. His results mean that: A. US business would be happy to invest in nuclear power and space ... from ten-year investment projects. D. Indian business is impatient for a return on its investments.

Last Answer : British businesses prefer investments with a quick return.

Newsletters, catalogues, and invitations to organization-sponsored events are most closely associated with the marketing mix activity of: A. Pricing B. Distribution C. Product development D. Promotion

Description : Newsletters, catalogues, and invitations to organization-sponsored events are most closely associated with the marketing mix activity of: A. Pricing B. Distribution C. Product development D. Promotion

Last Answer : D. Promotion

----- refers to the development, pricing, promotion and distribution of products that do not harm the environment. A)Marketing ethics B)Social responsibility C)Environmental marketing D)Green marketing

Description : ----- refers to the development, pricing, promotion and distribution of products that do not harm the environment. A)Marketing ethics B)Social responsibility C)Environmental marketing D)Green marketing

Last Answer : D)Green marketing

If Tyreco failed to inform consumers that there were design problems with the firm's tyres, it would have been engaged in unethical behaviour relating to which one of the following marketing issue areas? A)Promotion B)Distribution C)Organisational relationships D)Product E)Pricing

Description : If Tyreco failed to inform consumers that there were design problems with the firm's tyres, it would have been engaged in unethical behaviour relating to which one of the following marketing issue areas? A)Promotion B)Distribution C)Organisational relationships D)Product E)Pricing

Last Answer : D)Product

Following a hurricane, a tremendous demand for gas-powered generators occurs. Gotts Hardware holds a large stock of these items and it faces major ethical decisions with regard to the ------ issue. A) product B) advertising C) personal selling D) publicity E) pricing

Description : Following a hurricane, a tremendous demand for gas-powered generators occurs. Gotts Hardware holds a large stock of these items and it faces major ethical decisions with regard to the ------ issue. A) product B) advertising C) personal selling D) publicity E) pricing

Last Answer : E) pricing