AIC MARKETING 3RD TERM EXAM FOR SS1
  • 1. What does merchandising mean according to the notes?
A) Goods bought and sold for trading purposes
B) Advertising products on social media
C) Only buying goods
D) Storing goods in a warehouse
  • 2. 2. Merchandising is best described as:
A) The activities involved in displaying and selling goods in a way that attracts customers
B) Transporting goods from one country to another
C) Hiring workers for a company
D) Calculating profit and loss only
  • 3. Who is a merchandiser?
A) An accountant in a store
B) A driver who transports goods
C) A person who interacts with buyers and sellers and ensures proper execution of orders
D) A person who only packs goods
  • 4. Which of the following is NOT listed as an importance of merchandising?
A) Improving store image
B) Increasing sales
C) Attracting customers
D) Reducing the price of goods
  • 5. Proper display of goods helps to:
A) Make goods more difficult to see
B) Increase the cost of production
C) Attract customers and improve store appearance
D) Reduce the need for packaging
  • 6. Attractive packing and good store arrangement are parts of:
A) Merchandising
B) Only transportation
C) Government policy
D) International banking
  • 7. One major role of a merchandiser is to:
A) Drive delivery vans
B) Cook for customers in the store
C) Maintain proper relations between buying offices, agents, and sellers
D) Repair broken shelves
  • 8. Merchandising is very important because it:
A) Helps sell goods faster and improves business image
B) Only focuses on storage
C) Reduces the number of customers
D) Makes goods more expensive
  • 9. Packaging is mainly:
A) Advertising on television
B) Writing letters to customers
C) The process of enclosing or protecting a product for distribution, storage, sale, and use
D) Counting goods in the store
  • 10. Which of the following is an importance of packaging?
A) Attraction, Promotion, Facilitates purchase decision, Differentiation, Physical protection
B) Making it attractive
C) Making goods difficult to identify
D) Only making the product heavier
  • 11. How does packaging help in promotion?
A) It carries important information about the product
B) It reduces the size of the product
C) It makes the product invisible
D) It increases the weight of the product
  • 12. Physical protection as a function of packaging means protecting the product from:
A) Customers touching it
B) Sunlight only
C) Shock, vibration, temperature, and other damages
D) Other products in the same shop
  • 13. A label on a product usually carries information about:
A) Only the price of the product
B) Weather forecast
C) Manufacturer, expiry date, how to use the product, and handling
D) The name of the shop owner
  • 14. Before creating a label, a producer should know:
A) The name of the driver
B) Regulations of the countries where the product will be sold and customer needs
C) Only the colour of the label
D) The weather of the country
  • 15. Good labelling and packaging require:
A) Research, planning, and consultation
B) No planning at all
C) Only expensive materials
D) Ignoring customer needs
  • 16. High-quality labelling helps the consumer to:
A) Make informed purchase decisions
B) Love the product
C) Pay more money
D) Become confused
  • 17. Branding is:
A) Transporting goods abroad
B) The idea or image of a product or service that customers connect with
C) Storing goods in a warehouse
D) Packing goods in boxes
  • 18. One major benefit of branding is:
A) Reducing sales
B) Recognition and customer loyalty
C) Making the product more expensive
D) Hiding the product quality
  • 19. A strong brand creates an image of:
A) Unknown company
B) Quality, size, experience, and reliability
C) Poor quality
D) High price only
  • 20. Promotion is best described as:
A) Reducing the price of goods permanently
B) Only advertising on radio
C) Storing goods for the customer
D) Persuasive communication to inform consumers about a product
  • 21. Which of the following is a sales promotion tool?
A) Hiding product information
B) Closing the shop early
C) Discount
D) Coupons, rebates, sampling, loyalty programmes
  • 22. Point-of-Purchase (POP) display is:
A) A type of international shipping
B) A government regulation
C) A banking service
D) Specially designed materials placed in retail stores to attract customers
  • 23. Promotion serves as a reminder because:
A) Even loyal customers need to be reminded of the product’s benefits
B) It reduces advertising cost
C) Customers never forget products
D) It increases price only
  • 24. Marketers use promotion to:
A) Confuse customers
B) Increase sales and affect demand elasticity
C) Decrease sales
D) Make products less attractive
  • 25. Contests and sweepstakes are used in promotion because:
A) They are very cheap to run
B) They discourage customers
C) They are not allowed by law
D) They attract customers with the possibility of winning high-value prizes
  • 26. Standardizing and grading of products means:
A) Increasing the price
B) Mixing all goods together
C) Setting up categories and quality levels for goods
D) Reducing the size of goods
  • 27. Storing of goods helps to:
A) Protect goods from deterioration and make them available when needed
B) Reduce transportation cost
C) Make goods disappear
D) Increase spoilage
  • 28. Market research in merchandising includes:
A) Market maker analysis, sales research, dealer research, consumer research
B) Repairing machines
C) Cooking for staff
D) Only counting money
  • 29. A good merchandiser should have:
A) Planning capability, decision-making skill, communication skills, and loyalty
B) Only physical strength
C) No knowledge of the product
D) Poor communication skills
  • 30. Knowledge of the product field is important for a merchandiser because:
A) It reduces sales
B) It is not necessary
C) It makes the merchandiser proud
D) It helps in dealing effectively with different people in the business
  • 31. Transportation as a function of merchandising involves:
A) Moving goods from from the store
B) Moving goods from where they are produced to where they are needed
C) Moving goods from where they are produced
D) Moving goods from where they are produced to the store
  • 32. One quality of a merchandiser is:
A) Ability to have face-to-face conversation with buyers
B) Ability to sleep during work
C) Ability to have face-to-face conversation with seller
D) Avoiding planning
  • 33. International marketing involves:
A) Local advertising only
B) Selling only within one country
C) Marketing goods and services across national boundaries
D) Storing goods in one warehouse
  • 34. One advantage of international marketing is:
A) Entering new markets before competitors
B) Increasing transportation cost only
C) Making business more difficult
D) Reducing the number of customers
  • 35. International marketing helps a company to:
A) Lose market share
B) Better utilize productive capacity and achieve economies of scale
C) Better utilize productive capacity and achieve victory
D) Reduce production
  • 36. Global marketing is:
A) A type of packaging
B) Selling only in one local market
C) A larger and more complex operation coordinating marketing programmes in Europe
D) A larger and more complex operation coordinating marketing programmes worldwide
  • 37. One reason for international trading is:
A) To decrease ease overall profit and take advantage of innovative products
B) To make business smaller
C) To reduce profit
D) To increase overall profit and take advantage of innovative products
  • 38. International marketing is more complex than domestic marketing because of:
A) No competition
B) Same conditions everywhere
C) Uncontrollable variables like culture, politics, and economic differences
D) Only one currency
  • 39. Counteracting slowing growth is a reason for:
A) Increasing local price only
B) Closing the business
C) International marketing
D) Reducing staff
  • 40. Synergies between domestic and overseas operations mean:
A) Higher costs only
B) Benefits that strengthen the whole organization
C) Problems between countries
D) Benefits that weaklings the whole organization
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