AMA AMA-PCM Online Practice Questions and Exam Preparation

AMA AMA-PCM Online Questions & Answers

• Question 241:

  _____ strategies are designed to increase demand by focusing on wholesalers, retailers, or salespeople.

  A. Push
  B. Pull
  C. Macro
  D. Informative
  E. Relationship
  A. Push

• Question 242:

  Which of the following is a source of internal information ?

  A. Books and magazines
  B. A person's knowledge
  C. Friends and family
  D. Financial reports
  E. Consumer reports
  B. A person's knowledge

• Question 243:

  In the early 1980s, typical round-trip coach air fares from the East Coast to London were over $500. Then Freddie Laker introduced the

  People's Express, a competing service into Newark at $350. Major airlines matched his price--and continued to do so until they drove

  People's Express out of business. Then prices shot back up to over $500. A lawsuit filed under the Sherman Act resulted in the judgment that the major airlines had explicitly tried to destroy a competitor. The experience of People's Express is an example of __________ on the part of the major airlines.

  A. price fixing.
  B. price discrimination.
  C. deceptive pricing.
  D. predatory pricing.
  E. pricing constraints.
  D. predatory pricing.

• Question 244:

  Within the buying center, deciders are people who

  A. handle the paperwork of the actual purchase.
  B. control the flow of information in the buying center.
  C. ultimately determine any part of or the entire buying decision.
  D. influence other members of the buying center in making the final decision.
  E. actually use and evaluate the product or service.
  C. ultimately determine any part of or the entire buying decision.

• Question 245:

  Cinfy, an electronic appliances manufacturer, sells 30 pizza ovens, 60 coffee makers, and 90 sandwich toasters per day. Despite warnings from analysts, Cinfy hikes prices of its toasters from $150 to $180, and toaster sales fall by 40%. After this pricing strategy backfires, Cinfy decides that a 10% drop in demand is acceptable, but not more. Assuming that the elasticity of demand for the toasters remains constant, what is the maximum price hike that Cinfy can afford without letting the sales drop by more than 10%?

  A. $2.50
  B. $5
  C. $7.50
  D. $9
  E. $15
  C. $7.50

• Question 246:

  _____ is a communication used to prompt repurchases, especially for products that have gained market acceptance and are in the maturity stage of their life cycle.

  A. Reminder advertising
  B. Persuasive advertising
  C. Informative advertising
  D. Product advertising
  E. Institutional advertising
  A. Reminder advertising

• Question 247:

  Which of the following activities is part of the place aspect of the marketing mix?

  A. Manufacturing the product from raw materials
  B. Changing product designs in response to customer feedback
  C. Undertaking market research to determine the target audience for the product
  D. Coordinating between suppliers of raw materials for production
  E. Introducing the product to the market at a discount to encourage consumers to try it
  D. Coordinating between suppliers of raw materials for production

• Question 248:

  A Macy's manager designs the casual clothing department such that one of Macy's private label pairs of jeans, priced at $24.99, is positioned next to a national brand of jeans, such as Levis, priced at $39.99. What is the manager attempting to accomplish?

  A. Everyday low prices strategy
  B. Odd-even pricing strategy
  C. Prestige pricing strategy
  D. Special-event pricing strategy
  E. Reference pricing strategy
  E. Reference pricing strategy

• Question 249:

  In an administered vertical marketing system,:

  A. there are contractual relationships between all parties.
  B. there is common ownership of goods.
  C. one member can directs the actions of another member.
  D. there are franchise relationships between channel members.
  E. there is no dominant member; all members have equal power.
  C. one member can directs the actions of another member.

• Question 250:

  Bisky, a newly-founded biscuit company, is developing its first product, Jamz. It intends to the sell the product as a nutritious alternative to other biscuits. It markets the product with the tagline "A healthy snack for a healthy you." Which of the following is true of this scenario?

  A. Jamz should contain a secondary package in addition to the first package.
  B. The Food and Drug Administration (FDA) will verify Bisky's claims that Jamz is a nutritious alternative to other biscuits.
  C. Branding ethics will prevent Bisky from using the tagline on Jamz's packaging.
  D. The marketing strategy adopted by Bisky demands that it include details of the health benefits provided each ingredient on the product label.
  E. Jamz's label should contain details of the country of origin for individual ingredients.
  B. The Food and Drug Administration (FDA) will verify Bisky's claims that Jamz is a nutritious alternative to other biscuits.