Outline the three major considerations in price setting

Question 1.1. The three major considerations in price setting are: costs set the floor price; ________; and customers’ assessment of unique features establishes the price ceiling. (Points : 5)

[removed] competitors’ prices and the price of substitutes provide an orientation point
[removed] competitors’ prices establishes a “target price” goal
[removed] the price of substitutes establishes a “target price”
[removed] the price of competitors and substitutes does not enter into the pricing considerations.
[removed] none of the above

Question 2.2. In deciding on the method or means of transportation, shippers consider such criteria as speed, frequency, ________, capability, availability, traceability, and costs. (Points : 5)

[removed] air versus ground
[removed] gypsy truckers
[removed] dependability
[removed] branded name truckers
[removed] costs per mile

Question 3.3. ________ involves planning the infrastructure to meet demand, then implementing and controlling the physical flows of materials and final goods from points of origin to points of use, to meet customer requirements at a profit. (Points : 5)

[removed] Market logistics
[removed] Supply chain management
[removed] SCM
[removed] Integrated logistics systems
[removed] None of the above

Question 4.4. One of the advantages of corporate retailing is that corporate retail organizations achieve economies of scale, greater purchasing power, and ________. (Points : 5)

[removed] wider brand recognition
[removed] more locations
[removed] branded merchandise
[removed] “fresh” merchandise
[removed] more advertising

Question 5.5. A ________ channel consists of a manufacturer selling directly to the final customer. (Points : 5)

[removed] three-level
[removed] two-level
[removed] zero-level
[removed] multiple-level
[removed] one-level

Question 6.6. With ________, the company does not need to worry about too many outlets; it can gain adequate market coverage with more control and less cost that intensive distribution. (Points : 5)

[removed] selective distribution
[removed] normal distribution
[removed] extensive distribution
[removed] random distribution
[removed] exclusive distribution

Question 7.7. In one type of ________, the auctioneer announces a high price for a product and then slowly decreases the price until a bidder accepts the price. (Points : 5)

[removed] ascending auction
[removed] English auction
[removed] sealed-bid auction
[removed] going-rate auction
[removed] Dutch auction

Question 8.8. A ________ strategy involves the manufacturer using its sales force and trade promotion money to induce intermediaries to carry, promote, and sell the product to end users. (Points : 5)

[removed] push
[removed] pull
[removed] promote
[removed] provide
[removed] none of the above

Question 9.9. The most elementary pricing method is to add a standard ________ to the product’s cost. (Points : 5)

[removed] target margin
[removed] target price
[removed] markup
[removed] margin
[removed] target-return

Question 10.10. The five types of power available to the producer to elicit cooperation from channel members includes all of the following EXCEPT ________ power. (Points : 5)

[removed] expert
[removed] position
[removed] coercive
[removed] referent

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