Online Access Free E3 Practice Test

Company XX and Company YY are the only two providers of electricity to Country M. The demand for electricity is price inelastic which means that buyers regard it as essential and therefore demand for electricity does not change significantly if the average price of electricty changes. However customers will switch between suppliers within a year to get cheaper electricity. Using Game Theory place the long-run revenue impact on each firm of each of the following pricing decisions.

Correct Answer:

BBB is a manufacturer of convenience meals. Which of the following could be Weaknesses for BBB?
Select ALL that apply.

• A.A reduction in BBB's Marketing budget.
• B.Outdated materials requirement planning processes.
• C.A shortage of production capacity.
• D.A rise in consumer demand for fresh food.
• E.Government health warnings about food ingredients.

McKinsey's '7-S' model distinguishes between 'hard' and 'soft' factors.
Which TWO of the following statements are correct?

• A.Soft factors tend to be intangible and hard to identify.
• B.Soft factors tend to be formal and measurable.
• C.Hard factors tend to be formal and measurable.
• D.Hard factors tend to be intangible and hard to identify.
• E.Soft factors focus on the future and hard factors focus on the present.

Company GGG wants to gain competitive advantage and has decided to use data mining.
Which of the following would NOT result from data mining?

• A.Sequences
• B.Description
• C.Forecasting
• D.Classification

A leading retail chain is undertaking environmental scanning as it is concerned that it is becoming uncompetitive and profits have started to fall. The Board of Directors is concerned that it will need to have a viable strategy to present to its shareholders at the next annual general meeting, in order to prevent shareholders' protests.
The company has been reluctant in the past to offer an Internet shopping service. It now believes, however, that by offering this service and introducing customer relationship marketing (CRM), this will produce a strategy that will help it to improve its competitiveness.
Which of the following statements apply to CRM? (Choose all that apply.)

• A.CRM utilizes marketing resources to retain, rather than simply attract new customers.
• B.The CRM process needs to include increasing the range of products that will be offered to customers.
• C.The company must be prepared to take customers' needs into account and be able to meet these needs.
• D.In mature markets, existing customers provide the most likely source of future earnings.
• E.CRM is about marketing to customers to obtain their loyalty, so customer research is not needed.