AMA AMA-PCM Online Practice Questions and Exam Preparation

AMA AMA-PCM Online Questions & Answers

• Question 71:

  Aaron Ulm and Edyth Mcgann are marketing analysts at Cara Cobey Fashion House, an online retailer that only sells private brands. Cara Cobey made a profit of $145,000 the previous year and $180,000 the year before. The loss in profit of almost 20% prompts Cara to hire Aaron and Edyth. Aaron and Edyth figure out that the drop in sales corresponds to a 15% drop in the number of visitors to the site. On their advice, Cara invests $10,000 in revamping the website to enable potential customers find it easily using Internet searches. At the end of the year, Cara reports a profit of $175,000. What is the ROI in this scenario?

  A. 100%
  B. 150%
  C. 200%
  D. 250%
  E. 300%
  E. 300%

• Question 72:

  _____ requires a firm to maintain 100 percent ownership of its plants, operation facilities, and offices in a foreign country, often through the formation of wholly owned subsidiaries.

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

• Question 73:

  CL Corp. a grocery store, buys lighting and fittings for its new outlet. It also obtains a discount from a wholesaler who sells such items. This scenario is an example of a _____ transaction.

  A. C2C
  B. B2D
  C. B2B
  D. B2C
  E. C2B
  C. B2B

• Question 74:

  Companies are legally required to

  A. conceal consumers' addresses and phone numbers when they share information.
  B. share information only with the sales department for follow-up.
  C. disclose their privacy practices to customers on an annual basis.
  D. refer to the company's code of ethics to determine what information can be released.
  E. obtain consumer information only through secondary sources.
  C. disclose their privacy practices to customers on an annual basis.

• Question 75:

  Carnival Cruise Lines increased the price of its seven-day cruise package by 20 percent recently. If demand for its cruises is negatively elastic, which of the following is the likely outcome of the increase in price?

  A. The company will see an increase in customer bookings.
  B. The company's profit will decrease though its revenue will increase.
  C. The company will see a decrease in total revenue.
  D. There will be no change in the number of cruises booked.
  E. The company's total revenue will increase.
  C. The company will see a decrease in total revenue.

• Question 76:

  The customers at Marielle's coffee shop want to grab a quick cup of coffee before boarding the commuter train into the city. The sign in the window promises ""Quick, In-and-Out Service,"" and usually Marielle's keeps that promise. But one morning, customers were frustrated when the staff behind the counter was more interested in gossiping about their social lives than in waiting on customers. Marielle's shop is suffering from a _____.

  A. knowledge gap.
  B. standards gap.
  C. social expectations gap.
  D. delivery gap.
  E. communications gap.
  D. delivery gap.

• Question 77:

  Which of the following best describes a lagged effect?

  A. It is a delayed response to a marketing communication campaign exhibited by customers.
  B. It occurs when consumers mention a specific brand name first when they are asked about a product or service.
  C. It occurs when consumers indicate they know the brand when the name is presented to them.
  D. It refers to a potential customer's inability to recognize or recall that a brand name belongs to a certain product category.
  E. It is any interference that stems from competing messages, a lack of clarity in the message, or a flaw in the medium.
  A. It is a delayed response to a marketing communication campaign exhibited by customers.

• Question 78:

  Which of the following is a feature of using an Internet marketing channel?

  A. It reduces a company's ability to personalize products.
  B. It limits a firm's market presence.
  C. It removes the need for other channels of distribution.
  D. It reduces the need to spend money on marketing.
  E. It enables companies to offer individualized offerings.
  E. It enables companies to offer individualized offerings.

• Question 79:

  In the hierarchy of needs water, food, rest, and shelter would be considered _____ needs.

  A. physiological
  B. safety
  C. social
  D. personal
  E. psychological
  A. physiological

• Question 80:

  Candy bars should most likely be sold using which type of target market coverage?

  A. exclusive distribution
  B. direct distribution
  C. intensive distribution
  D. dual distribution
  E. selective distribution
  C. intensive distribution