Scenario 19.2
Use the following to answer the questions.
The BASF Chemical Company in Germany has developed a new rubberized coating. The product has an application for cell phones and other hand-held electronic devices that gives them protection from falls and scratches. BASF plans to market the product directly to businesses that manufacture the casings for these types of products. BASF currently uses a system of salespeople headquartered in Germany, while its primary business customers are in China.
Refer to Scenario 19.2. BASF has decided to offer discounts to its business customers in the form of the following: For each order of 100,000 or more during the next 90 days, the buyer will receive a rebate of 5. This type of pricing would be an example of ____ discounts.
A) allowance
B) cash
C) seasonal
D) noncumulative
E) cumulative
Question 2Customers will more easily recognize a new product as belonging to a particular product category if the marketers use
A) family branding.
B) innovative packaging.
C) category-consistent packaging.
D) category labeling.
E) product category packaging.
Question 3Scenario 19.1
Use the following to answer the questions.
Concession Supply sells hotdogs, buns, and nacho ingredients to several major league ballparks across the country. Currently, Concession Supply has the following pricing information for one case of hotdogs sold at Wrigley Field: Total fixed costs = 1,200, Selling price = 16, and Variable costs = 6.
Refer to Scenario 19.1. If Concession Supply wanted to make a profit of 800 on each case, it would need to sell ____ cases.
A) 150
B) 300
C) 100
D) 75
E) 200
Question 4When Jiffy-Pop packaged its popcorn in an aluminum skillet, complete with attachable handle, it designed the package to become the cooking utensil. After cooking, the handle was removed and the package became the popcorn bowl. Jiffy-Pop's popcorn in this case is an example of _____ packaging.
A) secondary-use
B) multiple
C) innovative
D) category-consistent
E) green
Question 5Scenario 19.1
Use the following to answer the questions.
Concession Supply sells hotdogs, buns, and nacho ingredients to several major league ballparks across the country. Currently, Concession Supply has the following pricing information for one case of hotdogs sold at Wrigley Field: Total fixed costs = 1,200, Selling price = 16, and Variable costs = 6.
Refer to Scenario 19.1. If Concession Supply increased its price by 10 and experienced only a 2 decrease in the demand for hotdogs, the demand would be
A) inelastic.
B) common.
C) prestige.
D) elastic.
E) marginal.
Question 6A secondary-use package is defined as one that
A) can be used as a promotional tool.
B) can be reused for purposes other than its initial use.
C) facilitates transportation, storage, and handling for middlemen.
D) is recyclable and environmentally safe.
E) promotes an overall company image.
Question 7Scenario 19.1
Use the following to answer the questions.
Concession Supply sells hotdogs, buns, and nacho ingredients to several major league ballparks across the country. Currently, Concession Supply has the following pricing information for one case of hotdogs sold at Wrigley Field: Total fixed costs = 1,200, Selling price = 16, and Variable costs = 6.
Refer to Scenario 19.1. What is the breakeven point in dollar sales volume?
A) 1,200
B) 1,440
C) 3,000
D) 1,920
E) 1,600
Question 8Gain liquid laundry detergent comes in a 40-ounce plastic bottle with a pour spout. When that bottle is empty, consumers can purchase Gain in a plastic pouch designed to refill the original 40-ounce plastic bottle. The pouches use less packaging, store flat, and cost less; however, they are not for repeated usage. The use of the original Gain 40-ounce bottle is an example of a(an)
A) reusable container.
B) innovative package.
C) second-round package.
D) secondary-use package.
E) dual purpose package.
Question 9Scenario 19.1
Use the following to answer the questions.
Concession Supply sells hotdogs, buns, and nacho ingredients to several major league ballparks across the country. Currently, Concession Supply has the following pricing information for one case of hotdogs sold at Wrigley Field: Total fixed costs = 1,200, Selling price = 16, and Variable costs = 6.
Refer to Scenario 19.1. To break even, Concession Supply should sell ____ cases of hot dogs per day at Wrigley Field.
A) 13
B) 120
C) 40
D) 200
E) 60
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