AMA AMA Certifications PCM Questions & Answers

• Question 101:

  Stitch, a bespoke designer boutique, in Florida, caters to over 150 customers every month. The customers usually choose and purchase fabric at the same store and depend on an in- house tailor's recommendations for purchasing the right amount of fabric. If the employees of Stitch overestimate the amount of fabric required or overcharge customers for fabric, they will be violating the value of _____ in the AMA Statement of Ethics.

  A. transparency

  B. citizenship

  C. fairness

  D. respect

  E. expediency

  Correct Answer: C

• Question 102:

  Which of the following is true of packaging a product?

  A. Product repositioning is a cheaper way to attract a new target market than updating a product's packaging.

  B. The secondary and primary packages of a product are interchangeable.

  C. When products remain untouched, changing their package invariably induces distrust in customers.

  D. Changing or updating a product's package is different from method to reposition a product.

  E. Consumers are tempted to try products in new packaging.

  Correct Answer: E

• Question 103:

  Which of the following is a key difference between B2B and B2C buying processes?

  A. Unlike B2B, B2C buying requires formal orders from the buyer.

  B. Unlike B2C, B2B buying decisions are made by families or individuals.

  C. Unlike B2B, B2C buying process starts with need recognition.

  D. Unlike B2C, B2B decisions do not require a great deal of consideration.

  E. Unlike B2B, B2C has a relatively less formal alternative evaluation step.

  Correct Answer: E

• Question 104:

  Toby, the manager in charge of distribution for Nissa Designs, believes that a push strategy will increase efficiency for the company. Which of the following is a feature of a push strategy?

  A. Merchandise is allocated to stores based on previous sales forecasts.

  B. It involves shipment of the entire merchandise line based on current sales forecast.

  C. It offers a lesser likelihood of overstocked goods.

  D. It determines the amount of merchandise based on data gathered from POS terminals.

  E. It is essentially a customer-driven system.

  Correct Answer: A

• Question 105:

  Fin, an online clothes retailer, sells products from multiple brands. Some of the brands are expensive. Clling, a brand of t-shirts, usually sells products at more than $50 a piece. During Christmas, however, Fin offers a 25% discount on Clling that entices non-regular customers of Clling to pick up its products. The increase in sales volume offsets the discount offered. In this case, Fin is using a ____ pricing strategy.

  A. status quo

  B. target return

  C. everyday low

  D. high/low

  E. predatory

  Correct Answer: D

• Question 106:

  The ethical value of respect in the the AMA Statement of Ethics implies that marketers should:

  A. avoid using coercion with all stakeholders.

  B. consider environmental stewardship in their decision-making.

  C. offer products of value that do what they claim in their communications.

  D. acknowledge the social obligations to stakeholders that come with increased marketing and economic power.

  E. avoid stereotyping customers or depicting demographic groups in a negative or dehumanizing way.

  Correct Answer: E

• Question 107:

  _____ are small, full-line discount stores that offer a limited merchandise assortment at very low prices.

  A. Category specialists

  B. Specialty stores

  C. Extreme value retailers

  D. Supermarkets

  E. Department stores

  Correct Answer: C

• Question 108:

  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.

  Correct Answer: D

• Question 109:

  The _____ phase of the marketing plan entails evaluating the performance of the marketing strategy using marketing metrics and taking any necessary corrective actions.

  A. control

  B. positioning

  C. planning

  D. implementation

  E. segmentation

  Correct Answer: A

• Question 110:

  Which of the following is the function of programs and PSA's in the PR context?

  A. They support cause-related marketing efforts.

  B. They give the required financial data to investors and other outsiders.

  C. They generate news coverage of an organizations activities or products.

  D. They inform various constituencies about the activities of an organization.

  E. They highlight specific areas of expertise.

  Correct Answer: A