AMA AMA-PCM Online Practice Questions and Exam Preparation

AMA AMA-PCM Online Questions & Answers

• Question 11:

  Timer, a U.S. based watchmaker, recently entered into a partnership agreement with an Australian firm to make watches. According to the terms of the agreement the firms agreed to pool resources and share losses. What type of partnership agreement does this situation most likely represent?

  A. Franchising
  B. Licensing arrangement
  C. Strategic alliance
  D. Joint venture
  E. Direct ownership arrangement
  D. Joint venture

• Question 12:

  Serenity Inc. exercises reward power over a channel partner when Serenity:

  A. offers ACTFast Transporters a monetary incentive to improve transporation speed.
  B. it threatens to penalize a supplier for delayed delivery times.
  C. holds a channel partner to a contract that the partner signed.
  D. dominates a channel partner because it has specialized industry knowledge that the partner lacks.
  E. compels a channel partner to follow its directions because the channel partner values the association with Serenity.
  A. offers ACTFast Transporters a monetary incentive to improve transporation speed.

• Question 13:

  Which of the following is an example of impulse buying?

  A. Ryan purchased a suit for his wedding after consulting a tailor.
  B. While grocery shopping Sean picked up a pack of bubble-gum from the checkout counter.
  C. Jim conducted a thorough Internet search before buying a new car.
  D. Lily picked up a burger from a drive in restaurant on the way home.
  E. Jordan purchased a mobile phone after being convinced by a sales presentation.
  B. While grocery shopping Sean picked up a pack of bubble-gum from the checkout counter.

• Question 14:

  Peltz, a chewing gum manufacturer, markets chewing gum in a variety of flavors. The company also sells cardamom- and clove-flavored chewing gum under the Peltz brand. Five years after the introduction of the cardamom and clove flavors, the name Peltz is synonymous with cardamom- and clove-flavored chewing gum. Which of the following aspects of the Peltz brand is exemplified in this scenario?

  A. Brand awareness
  B. Perceived value
  C. Brand parity
  D. Brand loyalty
  E. Brand extension
  A. Brand awareness

• Question 15:

  Which of the following is seen in Stage 4 of the B2B buying process?

  A. Metric assessment
  B. Order specifications
  C. Straight rebuys
  D. Vendor negotiation
  E. Modified rebuys
  D. Vendor negotiation

• Question 16:

  Mars Clothing offers a ""buy one, get one free"" offer on select clothing items and a 20 percent discount on all perfumes. These type of offers are known as a(n)

  A. premiums
  B. samplings
  C. coupons
  D. deals
  E. sweepstakes
  D. deals

• Question 17:

  Romelia, an online cosmetics store, relies on traffic generated by Internet searches to sell its products. Romelia was one of the very first online stores to sell cosmetics and hence had the advantage of showing up on the first page of a search for ""Online cosmetics U.S."" An increase in the number of online retailers has pushed Romelia's website to the fourth search page. Instead of arriving at a website and then looking for a product, customers search for a product directly on an Internet search engine. What should Romelia change to improve the hits on its website?

  A. Romelia should increase the number of pages on its website.
  B. Romelia should analyze the click paths of the customers who purchase products on its site.
  C. Romelia must work to decrease the conversion rates on its site.
  D. Romelia can use keyword analysis to determine the keywords its customers use.
  E. Romelia can work to increase the bounce rates on its website.
  D. Romelia can use keyword analysis to determine the keywords its customers use.

• Question 18:

  Venus Inc., an American firm, enters into the Chinese market in association with its local partner, Xy Inc. According to the terms of the contract, the firms agreed to share profits and control, and also pool resources. Moreover, the firms also agreed to share financial burdens as well. This scenario is an example of _____.

  A. Direct exporting
  B. Direct investment
  C. Joint venture
  D. Licensing
  E. Franchising
  C. Joint venture

• Question 19:

  Patisserrita is a family-owned chain of bakeries in the Northtown region. The chain sells luxury desserts and pastries that are priced at a permium. Bianca, one of the owners of the business, is considering expanding the business using a

  market penetration strategy.

  Which of the following will she do?

  A. Bianca opens a franchise in a neighboring city.
  B. Bianca introduces strategies to target her competitors' customers.
  C. Bianca creates sugar-free and gluten-free products to cater to health-conscious consumers.
  D. Bianca begins developing a line of kitchenware for pastry chefs.
  E. Bianca opens a fast-food outlet in a neighboring city.
  B. Bianca introduces strategies to target her competitors' customers.

• Question 20:

  When firms collude to set prices for products, it is referred to as _____.

  A. price discrimination
  B. price fixing
  C. predatory pricing
  D. tying arrangements
  E. exclusive dealing
  B. price fixing