Chapter 5

Chapter 5: Societal, Ethical, and Consumer Issues
Multiple Choice - Terminology/Concept

E a
1.
Social responsibility is most correctly defined as

a. a concern for the consequences of a persons or firms acts as they might
affect the interests of others.
b. a marketing practice that capitalizes on short-run material wearout, style
changes, and functional product changes.
c. behavior based upon honest and proper conduct.
d. the activities of government, business, and independent organizations that are
designed to protect people from practices that infringe on their rights as
consumers.
D b
2.
Which concept is concerned with the impact of production and product

consumption from a products conception to its ultimate disposal?
a. Planned obsolescence
b. The socioecological view of marketing
c. Process-related ethical issues
d. Product-related ethical issues
E a
3.
Involuntary consumers, who must share the consequences of someone elses

consumption, are directly considered in
a. the socioecological view of marketing.
b. consumerism.
c. planned obsolescence.
d. process-related ethical issues.
D a
4.
BMWs design for disassembly (DFD) auto facilitates the recycling of parts
from old cars. This strategy best illustrates which social responsibility concept?
a. The socioecological view of marketing
b. Process-related ethical issues
c. Product-related ethical issues
d. Planned obsolescence
D a
5.
Which of the following is NOT an example of a social responsibility dilemma to a

marketer?
a. Consumers willing to pay a 10 percent premium for recycled paper
b. High-heeled shoes that are viewed as attractive, but that can cause foot
disorders
c. A crash diet plan that is desired by consumers, but which may cause injury to
ones health
d. A deposit bottle law that is required by a state legislature at a time when
consumers desire disposable bottles
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D d
6.
The depletion of crude oil resources can be most effectively lowered by

encouraging
a. car manufacturers to post mileage ratings on all new cars.
b. car owners to drive at slightly above the speed limit.
c. consumers to purchase U.S.-produced cars.
d. car pooling and allowing car pools with three or more passengers access to
special traffic lanes on congested highways.
D c
7.
What marketing practice most contributes to landscape littering?

a. Planned obsolescence
b. Trade-in programs for major appliances and automobiles
c. No-deposit beverage containers
d. The use of steel cans for soda that cannot be recycled
E b
8.
The major government agency involved with pollution is the

a. Recycling Administration.
b. Environmental Protection Agency (EPA).
c. Food and Drug Administration (FDA).
d. Federal Trade Commission (FTC).
E b
9.
Which statement concerning planned obsolescence is correct?

a. It is a practice that falls under consumerism.
b. It encourages short-run material wearout, style changes, and functional
product changes.
c. It is specifically concerned with environmental pollution.
d. It is specifically concerned with natural resource usage.
D b
10.
Which form of planned obsolescence is most applicable to disposable cameras?

a. Integrated planned obsolescence
c. Functional planned obsolescence
b. Material planned obsolescence
d. Style planned obsolescence
D c
11.
Which of the following is an example of material planned obsolescence?

a. The popularity of small microwave ovens for use in dorm rooms
b. A new model camcorder that is one-third the weight of a previous model
c. A disposable razor designed specifically for business people who travel and
for tourists
d. Same-color ties and shirts that are being heavily promoted in mens clothing
magazines
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D d
12.
Which of the following is an example of style planned obsolescence?

a. A new-model camcorder that allows the operator to view a color picture in
the viewfinder (older models were only visible in black-and-white)
b. A new model camcorder that is one-third the weight of a previous model
for tourists
d. Dress slacks without pleats that are being heavily promoted in mens clothing
magazines
D a
13.
Which of the following is an example of functional planned obsolescence?

a. A new-model camcorder that allows the operator to view a color picture in
the viewfinder (older models were only visible in black-and-white)
b. Recycled paper used in a textbook to increase the appeal of the text to both
faculty and students
for tourists
d. Double-breasted suits that have been heavily promoted in mens clothing
magazines
D d
14.
Which form of planned obsolescence is most applicable to personal computers?

a. Integrated planned obsolescence
c. Style planned obsolescence
b. Material planned obsolescence
d. Functional planned obsolescence
E c
15.
Which of these is NOT a benefit of social responsibility?

a. Cleaner air
b. Improved business image
c. Resources allocated to prevention, rather than invention
d. Improved standard of living
E c
16.
Actions based on honest and proper conduct (what is right and what is
wrong) involve
a. socioecological marketing.
c. ethical behavior.
b. consumerism.
d. social responsibility.
E d
17.
Which ethical theory asserts that individuals act exclusively in own their selfinterest?
a. Duty-based
c. Utilitarianism
b. Virtue ethics
d. Egoism
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D a
18.
A firm believes ethical behavior will result in high long-term profits. This
illustrates which ethical theory?
a. Egoism
c. Utilitarianism
b. Duty-based
d. Virtue ethics
E a
19.
Which ethical theory asserts that individual and organizational actions are proper
only if they yield the greatest good for the most people?
a. Utilitarianism
c. Duty-based
b. Virtue ethics
d. Egoism
D a
20.
A supermarket is taking 10 percent off its prices for senior citizens. The
supermarkets management is concerned over the plight of seniors who are living
on fixed incomes. This practice best illustrates which theory of ethics?
a. Duty-based
c. Utilitarianism
b. Virtue ethics
d. Egoism
E a
21.
The unethical use of a marketing strategy or tactic involves

a. a process-related ethical issue.
c. planned obsolescence.
b. a product-related ethical issue.
d. socioecological marketing.
D b
22.
Which of the following is an example of a process-related ethical issue?

a. The marketing of tobacco products
b. The marketing of products overseas that have been recalled in the United
States
c. The marketing of beer in a college town
d. The marketing of diet products
E b
23.
The appropriateness of marketing certain goods and/or services is questioned in

a. process-related ethical issues.
c. consumerism.
b. product-related ethical issues.
D c
24.
Which of the following is NOT an example of a product-related ethical issue?

a. The marketing of diet products
b. The marketing of tobacco products
c. Advertising a low-priced camera which is not available in sufficient quantities
d. The marketing of beer in a college town
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D c
25.
Which statement about ethical codes is NOT correct?

a. Most of the Fortune 500 companies have formal ethical codes.
b. Cause-related marketing is a controversial practice.
c. French, British, and German firms are more likely to have formal codes than
U.S. firms.
d. Different societies typically have different ethical standards.
E a
26.
A nonprofit organization seeks contributions from a profit-based organization on

the basis of consumer purchases of its goods and services. This practice is
referred to as
a. cause-related marketing.
c. product-related ethical behavior.
b. green marketing.
d. process-related ethical behavior.
E b
27.
The wide range of activities of government, business, and independent

organizations that are designed to protect people from practices that infringe
upon their rights as consumers is known as
a. social responsibility.
c. ethical behavior.
b. consumerism.
d. cause-related marketing.
E d
28.
Through how many distinct eras has consumerism evolved?

a. Two
c. Four
b. Three
d. Five
E d
29.
Consumerisms first era (occurring in the early 1900s) involved

a. product labeling and consumer refunds.
b. consumer rights.
c. deceptive advertising and consumer rights.
d. product purity and product shortages.
E a
30.
An important event in the second era of consumerism was

a. the founding of consumer groups, such as Consumers Union.
b. publication of Hidden Persuaders by Vance Packard.
c. President Kennedys public announcement of a consumer bill of rights.
d. the growth of service industries, such as airlines and financial services.
E c
31.
The current era of consumerism (begun in the 1990s) is best characterized by

a. a concern for consumer rights to safety, to be heard, to choice, and to be
informed.
b. increasing conflict between conservative and liberal consumer rights activists.
c. a heightened concern to balance consumer and business rights.
d. a growing emphasis on deregulation and self-regulation.
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E d
32.
Which of the following is NOT a consumer right?

a. Choice
c. Safety
b. Information and education
d. Fair prices
E c
33.
The Magnuson-Moss Act deals with

a. deregulation of services.
b. the right of consumers to be heard.
c. warranties.
d. fairness in advertising.
E c
34.
An express warranty
a. states that a product is fit for use.
b. states that a product is properly labeled.
c. is printed on the package or its inserts.
d. states that a product is properly packaged.
E a
35.
The most common implied warranty is that a product

a. is safe, usable, and fit for its intended purpose.
b. meets all legal requirements as of the time it is manufactured.
c. is described accurately in its label.
d. does not have any major manufacturing defect.
E d
36.
An items being fit for its intended use is an example of which type of warranty?
a. Full
c. Express
b. Limited
d. Implied
E b
37.
A stipulation that a product is fit for use, packaged properly, and conforms to
promises on the label represents a(n)
a. express warranty.
c. full warranty.
b. implied warranty.
d. guarantee.
D a
38.
Which statement concerning cooling-off laws is NOT correct?

a. Cooling-off laws are an example of federal-based consumer protection
legislation.
b. Cooling-off laws are intended to allow consumers time to reconsider certain
purchases.
c. Cooling-off laws are only applicable to purchases made in consumers homes.
d. Cooling-off laws allow consumers to cancel purchase commitments.
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E b
39.
The process whereby consumers receive skills and knowledge to wisely allocate
their resources in the marketplace represents
a. truth in advertising.
c. social responsibility.
b. consumer education.
d. consumerism.
D c
40.
Which statement concerning the Consumer Product Safety Commission (CPSC)

is NOT correct?
a. The CPSC is a federal agency.
b. The CPSC is the major federal agency responsible for product safety.
c. The CPSC has jurisdiction over food, drugs, and motor vehicles.
d. The CPSC has jurisdiction over such products as television sets, stairs, and
electrical wiring.
E d
41.
The Consumer Product Safety Commissions prime enforcement tool is the

a. ordering of a products replacement.
b. ordering of a refund of a products purchase price.
c. imposing of a fine.
d. ordering of a product recall.
E c
42.
Which federal agency has jurisdiction over the safety of motor vehicles?
a. The Consumer Product Safety Commission (CPSC)
b. The National Motor Vehicle Safety Commission (NMVSC)
c. The National Highway Traffic Safety Administration (NHTSA)
d. The Environmental Protection Agency (EPA)
E b
43.
The practice of affected consumers joining together to sue the maker or seller of
an injurious product is known as
a. a breach of an implied warranty.
c. an implied warranty legal suit.
b. a class-action suit.
D c
44.
Which of these statements about the governments role in consumer choice is

correct?
a. Mergers add to consumer choice.
b. Patents encourage increased choice.
c. Deregulation increases consumer choice.
d. Generally, less-developed countries offer consumers more choice than
developed countries.
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D d
45.
Which statement about consumers right to be heard is correct?

a. Firms are unlikely to listen to consumer complaints.
b. Few states have consumer affairs offices.
c. The right to be heard involves consumer desires for product choice.
d. No federal consumer agency exists to represent consumers overall interests.
E d
46.
Which practice by supermarkets reduces the ability of consumers to compare

prices of competing goods?
a. Universal Product Code pricing
c. Unit pricing
b. Point-of-sale pricing
d. Item price removal
D c
47.
Which controversial practice is supported by some retailers on the basis of cost

savings (that can be passed onto consumers)?
a. Point-of-sale pricing
c. Item price removal
b. Universal Product Code pricing
d. Unit pricing
E a
48.
The largest and broadest business-operated trade association involved with

consumer issues is the
a. Better Business Bureau.
b. Federal Trade Commission.
c. U.S. Association of Manufacturers and Retailers.
d. Major Appliance Consumer Action Panel.
E a
49.
Which statement best describes the current role of consumerism in the United
States?
a. There is now a somewhat more aggressive federal position in supporting
consumer rights.
b. The role of government agencies has been curbed under the belief that
consumers have become too powerful.
c. The government agencies have begun a hands off approach to business.
d. Deregulation initiatives have begun to increase consumer choice.
E c
50.
Which statement about the role of consumerism on an international basis is

correct?
a. Most foreign countries have extensive legislation designed to protect
consumer rights.
b. Less-developed nations typically have more consumer protection than
industrialized nations due to the comparatively low education of their
residents.
c. The U.S. is a world leader in consumer protection legislation.
d. While the U.S. is viewed as the world leader in consumerism, most European
countries are viewed as innovators in consumer protection.
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Multiple Choice - Applied/Comprehensive/Integrative

E b
51.
Only a small percentage of dissatisfied consumers actually take the time to write
complaint letters to offending companies. This suggests that a firm receiving a
moderate number of product-related complaints should
a. wait for more complaints before acting.
b. investigate further to see if a real problem exists.
c. resolve all complaints, regardless of fault, to consumers satisfaction.
d. assume that some consumers are always prone to be unhappy.
E c
52.
The role of marketing products in a framework of social responsibility shifts

from achieving a firms profit and sales goals to
a. marketing what firms can profitability produce.
b. forcing consumers to use socially acceptable products.
c. seeking to protect or enhance societys interests.
d. educating consumers to use the firms products.
D b
53.
Which of these marketing strategies does NOT reflect the socioecological view
of marketing?
a. A chemical company decides to sell a byproduct of production to a soap
manufacturer at a low price as an alternative to disposing of the product.
b. A compact disk manufacturer uses a large cardboard package as a means of
limiting consumer pilferage.
c. A film manufacturer reconditions used film canisters from photo processors
for reuse in film.
d. A municipality imposes a new $50 tax on all new cars sold. The proceeds of
the tax go to removing abandoned vehicles from roads.
D a
54.
Which of these concepts most closely considers the role of involuntary

consumers, who share the impact of someone elses consumption?
a. The socioecological view of marketing
b. Consumerism
c. Social responsibility
d. Express warranties
D c
55.
After researching the diet market, a firm concludes that a high proportion of
overweight individuals would purchase a special diet program (consisting of
lectures, weekly meetings, and a special frozen food plan). Research by the firm,
however, has concluded that the weight loss is often temporary in the program.
Furthermore, some individuals gain considerable weight after discontinuing the
program. The diet program represents
a. material planned obsolescence.
c. a social responsibility dilemma.
b. a process-related ethical issue.
d. an express warranty.
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E a
56.
Which statement concerning the response of marketing to social responsibility is

correct?
a. Through recycling, natural resource depletion can be significantly reduced.
b. Disposable products are good for society.
c. The current thinking by major academics is that the social responsibility role
of marketing is limited to satisfying customers and generating profits.
d. While social responsibility proponents currently view energy and paper as
limited resources, they view the air and water as limitless resources.
E a
57.
Which of the following contributes the most to the depletion of natural

resources?
a. Packaging materials
c. Use of plastics
b. Newspapers
d. Automobiles
D d
58.
While attractive packaging is necessary to better enable products to be sold

through self-service merchandising, packaging materials pose a social
responsibility dilemma due to
a. process-related ethical issues.
c. environmental pollution.
b. planned obsolescence.
d. natural resource depletion.
Questions 59 and 60 are linked to this scenario: As product manager for a major camera
manufacturer, you have been asked to defend some of your firms strategies to several
groups concerned with social responsibility.
D b
59.
The firms critics are concerned about the camera manufacturers depletion of
natural resources. Which practice of the firm is most subject to criticism on the
basis of this criterion?
a. Some of the firms cameras feature leather-substitute cases that look and feel
like leather.
b. The firm markets a $14.95 disposable camera, aimed at tourists who forgot
to bring their camera to a destination.
c. The firm has a high market share in the photographic paper market.
d. The firms most expensive camera has a high percentage of recycled plastic
components.
90

D c
60.
The firms critics are concerned about the camera manufacturers role in
functional planned obsolescence. Which practice of the firm is most subject to
criticism on the basis of this criterion?
a. A disposable camera marketed to tourists who forgot to bring their camera
b. A camera that has a built-in battery, which must be replaced by a camera
technician at a cost of $25
c. The introduction of a supercompact autofocusing model, within one year of
introducing a previous model
d. A camera marketed to commemorate the Olympic games
E b
61.
Planned obsolescence is an example of a

a. socially responsible action.
b. process-related ethical issue.
c. product-related ethical issue.
d. practice not desired by most consumers.
D a
62.
When its consumers prefer disposable diapers to cloth diapers, a firm has what
type of social responsibility dilemma?
a. Material planned obsolescence
c. Functional planned obsolescence
b. Style planned obsolescence
d. Process-related ethical issue
D b
63.
Manufacturers of high-tech goods such as personal computers are most likely to

utilize what type of planned obsolescence?
a. Material
c. Component
b. Functional
d. Style
E a
64.
The bribing of an official to gain an important contract is an illustration of a(n)

a. process-related ethical issue.
c. legal business practice.
b. product-related ethical issue.
d. acceptable business practice.
E a
65.
Which of these practices involves a product-related ethical issue?

a. Marketing cigarettes to residents in less-developed nations
b. Price fixing of contracts for an electric generator to use in a less-developed
nation
c. Bribing foreign officials in order to receive contracts to build apartment
houses
d. Selling fine watches through unauthorized dealers
91

D d
66.
Which one of the following strategies is NOT suitable for increasing the ethical
behavior of a firms employees?
a. Developing clear ethical codes which indicate acceptable and unacceptable
behavior
b. Rewarding ethical behavior through plaques, promotions, and bonuses
c. Discouraging unethical behavior by dismissing employees with questionable
behavior
d. Focusing increased attention on outcomes (the ends) rather than processes
(the means)
E a
67.
Cause-related marketing is viewed negatively by some marketers because

a. there is an implicit endorsement of the sponsors products by the nonprofit
organization.
b. direct contributions are solicited.
c. indirect contributions are solicited.
d. it represents a product-related ethical issue.
E d
68.
Which statement concerning global ethics is NOT correct?

a. Ethical standards vary by country.
b. Generally, less-developed nations are less concerned about ethical standards
than industrialized countries.
c. There may be misunderstandings about transactions due to language
translations.
d. Global ethical disputes are generally easy to mediate.
D c
69.
In comparing consumerism to social responsibility, consumerism has a

a. broader role because it alone considers process-related ethical issues.
b. narrower role because it only considers ecological issues.
c. narrower role because it only considers consumers.
d. broader role because it alone considers all publics.
E d
70.
While social responsibility covers the relationship of marketing to multiple

publics, consumerism is involved with
a. ethical, as well as legal behavior.
c. channel members rights.
b. the socioecological concept.
d. buyers.
E a
71.
Lands End states in its advertisements that if you are not completely satisfied
with any item you buy from us, at any time during your use of it, return it and we
will refund your full purchase price. This illustrates a(n) ___ warranty.
a. express
c. strict
b. implied
d. limited
92

E b
72.
A consumer who purchased a car that leaks and is difficult to start in rainy
weather can seek restitution on the basis of a(n) ___ warranty.
a. express
c. strict
b. implied
d. limited
D b
73.
Cooling-off laws were originally aimed at

a. stopping abuses from unscrupulous car dealers.
b. stopping abuses from unscrupulous direct salespeople.
c. firms making deceptive claims in television ads.
d. firms that do not monitor consumer complaints.
D a
74.
A real-estate firm publishes and distributes (at no charge) a booklet describing

the characteristics of each school district in its area (based upon department of
education test score data). This best illustrates
a. a consumer education program.
c. a process-related ethical issue.
b. a product-related ethical issue.
d. the consumer bill of rights.
D d
75.
A tool for consumer protection via prevention is

a. arbitration.
c. class-action suits.
b. fines.
d. consumer education.
D c
76.
The greatest difficulty for a manufacturer implementing a product recall program

for a durable good would probably be in
a. contacting channel members that sell affected products.
b. obtaining adequate press coverage.
c. contacting persons who have bought its affected products on a used basis
from original purchasers.
d. locating the affected items in the warehouses of wholesalers and retailers.
D d
77.
Product recalls and recycling involve reverse channels of distribution. This means
the product
a. is socially responsible.
b. is a form of green marketing.
c. must travel long distances.
d. goes back from the consumer-user to the manufacturer.
D c
78.
A product recall program can be facilitated if a manufacturer maintains a

a. testing program for all new products.
b. complaint file.
c. file of current users by serial number.
d. file of former customers.
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E c
79.
A class-action suit extends legal action

a. from an implied warranty to strict liability.
b. from state to federal court.
c. to all eligible affected consumers.
d. to all channel members selling the product in question.
D c
80.
A group of industrial consumers sue a manufacturer of industrial pumps stating

that the product was not suitable for its intended purpose. What are the
consumers claiming in the class-action suit?
a. Misrepresentation
c. Breach of implied warranty
b. Negligence
d. Strict liability
E c
81.
Which consumer right is addressed with limited patent rights?

a. The right to information
c. The right to choose
b. The right to be heard
d. The right to purchase
D c
82.
Industry deregulation fosters which consumer right?

E b
83.
No single agency exists to represent consumer interests. This has a negative

effect on which consumer right?
D b
84.
A supermarket chain establishes a senior citizen consumer advisory panel to

advise its management on appropriate products and services for the elderly.
Based upon information from the panel, the supermarket chain set up benches in
each store. A motorized wheelchair with a shopping basket is also available. The
advisory panel illustrates the consumers right to
a. be informed.
c. safety.
b. be heard.
d. choose.
D b
85.
A retailer can articulate its overall philosophy to consumer issues through

a. a product recall policy.
c. item price removal.
b. a consumer bill of rights.
d. cause-related marketing.
D a
86.
Item price removal is the opposite of which pricing practice?

a. Unit pricing legislation
c. Predatory pricing
b. Bait-and-switch advertising
d. Odd pricing
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E b
87.
Which consumer marketing practice has been utilized by retailers on the basis of
reduced labor costs?
a. Product recall
c. Class action suit
b. Item price removal
d. Cause-related marketing
E c
88.
Trade associations can contribute to consumerism by

a. negotiating with suppliers.
b. lobbying on behalf of its members.
c. setting up consumer education standards.
d. opposing potential government rules.
D d
89.
The goal of the movement towards deregulation of selected industries was to

increase consumers right to
a. be informed.
c. be heard.
b. safety.
d. choice.
E a
90.
The magnitude of lawsuits by consumers has been drastically increased due to

a. class action suits.
b. the socioecological view of marketing.
c. product recalls.
d. warranties.
True-False Terminology/Concept
D T
91.
Marketing activities can affect consumer satisfaction through creating unrealistic

consumer expectations.
E F
92.
Generally, most disgruntled consumers will take the time and effort to notify
marketers that they are dissatisfied with a firms products.
D T
93.
Social responsibility requires that a marketing decision not only serve the
interests of business, but also protect and enhance societys interests.
E T
94.
When applying a socially responsible perspective, a firm operates in a way that

balances its short-term profit needs with societys long-term needs.
E T
95.
According to the socioecological view of marketing, a firm should consider the

needs of both voluntary and involuntary consumers when it makes decisions.
D T
96.
Involuntary consumers often consist of the general public and workers.
95
D F
97.
Recycling of a product is easier if the manufacturer uses a large number of

different types of materials.
D T
98.
Products such as disposables commonly serve as social responsibility dilemmas

for marketers since consumer needs may not reflect long-term societal interests.
E T
99.
Both consumers and marketing practices have contributed to some resource

shortages.
E T
100.
Marketers can reduce depletion of natural resources through having convenient

recycling and repair facilities.
E T
101.
A major source of environmental pollution is spray-can propellants.
D F
102.
Disposable pens, lighters, and razors represent forms of functional-planned

obsolescence.
D F
103.
Material-planned obsolescence is not viewed as objectionable by fashion-oriented

consumers.
E F
104.
All of the benefits of social responsibility can be easily quantified.
D F
105.
U.S. environmental spending exceeds 10 percent of the gross domestic product.
D T
106.
A disposable product represents a form of product-related ethical issue.
E T
107.
Top management needs to clearly communicate standards of ethical conduct to

every employee.
E F
108.
Cause-related marketing is a noncontroversial practice.
E T
109.
Global ethical standards of conduct are more complex than domestic standards.
E F
110.
Ethical standards can definitely be taught to executives.
D F
111.
Consumerism involves a concern for the consequences of a persons or

institutions acts as they might affect the interests of others.
E F
112.
The second era of consumerism was dominated by President Kennedys

consumer bill of rights.
E T
113.
During its fourth era, consumerism entered a mature phase.
96
E F
114.
An express warranty stipulates that a product is fit for use, packaged and labeled
properly, and conforms to promises made on the label.
E T
115.
An implied warranty does not have to be stated to be in effect.
D T
116.
The Consumer Product Safety Commission can require manufacturers, private

labelers, distributors, and retailers to notify it immediately when they discover a
product made or sold by them has a defect that would create a substantial risk of
injury.
E T
117.
The primary enforcement tool of the Consumer Product Safety Commission is

product recall.
D F
118.
Many marketing experts argue that U.S. consumers have too little choice.
E F
119.
Consumers can exercise their right to be heard by contacting a single U.S.

consumer agency.
E F
120.
Item price removal is viewed as a positive practice by consumer advocates.
True-False - Applied/Comprehensive/Integrative
D T
121.
The socioecological view of marketing is a part of the social responsibility

concept.
D T
122.
The socioecological view of marketing considers the total ramifications of a

product from its development to its ultimate disposal.
D T
123.
People exposed to second-hand smoke are involuntary consumers.
D T
124.
Social responsibility dilemmas occur when a consumers needs and societal wellbeing have conflicting objectives.
D F
125.
The well-being of involuntary consumers was rarely considered until the 1980s.
D T
126.
The socioecological view of marketing includes the effect of a product on natural

resource depletion, the landscape, and environmental pollution.
D F
127.
Natural resource depletion is unaffected by planned obsolescence.
97
D F
128.
Maryland imposes a tax to aid in the removal of abandoned cars. This represents
an example of consumerism.
E F
129.
A firm makes disposable toothbrushes and single-use toothpaste sizes for hotel
guests that have forgotten to pack these products. This involves functional
planned obsolescence.
D T
130.
Style planned obsolescence represents a form of process-related ethical issues.
D T
131.
A firm that introduces a steady stream of new, improved products to increase

sales growth can easily be accused of functional planned obsolescence.
E F
132.
The sale of a garden bench made from recycled plastics reflects functional
planned obsolescence.
D T
133.
Ads for sugar-coated cereals aimed at young children (below 6 years old) involve
both process-related and product-related ethical issues.
D T
134.
An ethical code should be incorporated into a firms organizational mission and

corporate culture statements.
E F
135.
Profit and nonprofit organizations jointly develop a promotion in cause-related

marketing.
E F
136.
The existence of ethical codes ensures ethical behavior of the firms executives.
D T
137.
Whereas social responsibility deals with the effect of marketing on all of its
publics, consumerism deals only with the effect on purchasers and involuntary
consumers.
D F
138.
The most drastic gains occurred in the second era of consumerism.
E T
139.
For the most part, the terms warranty and guarantee have the same meaning.
D F
140.
A product can have an express warranty but not an implied warranty.
D T
141.
Cooling-off laws were originally intended to give consumers additional time to

reconsider contracts made with high-pressure or unscrupulous direct salespeople.
D T
142.
Unit pricing laws were intended to give consumers information as to cost per
standard unit of measure.
98
D F
143.
A benefit of consumer education in the United States is that people who need it
most (such as the poor) are most prone to acquire it and to use it.
D F
144.
Automobiles are subject to recalls from the Consumer Product Safety

Commission, Environmental Protection Agency, and the National Highway
Traffic Safety Administration.
E T
145.
A firm can reduce the possibility of expensive class-action suits by enacting a

systematic consumer communication program when it determines a product is
unsafe.
E T
146.
Patent rights can negatively affect consumer choice.
D T
147.
In order to preserve consumer choice, the Justice Department can restrict the
merger of two firms.
E F
148.
There is no such notion as having too many brands, sizes, models, colors, etc.
from which to choose.
D F
149.
In item price removal, a consumers right to be informed is facilitated.
E T
150.
The recent role of the U.S. government towards consumer rights has increased.
151.
Differentiate between social responsibility and consumerism.
152.
Describe the socioecological view of marketing from the perspective of a tire

manufacturer. Give an example.
153.
How can a firm balance consumers demand for disposable products and being
socially responsible in terms of natural resource usage and landscape beauty?
Explain your answer.
154.
What are the pros and cons of planned obsolescence? Provide an example of
each type of planned obsolescence.
155.
a. What is ethical behavior? Differentiate between legal and ethical behavior.

b. Should companies market products that consumers desire that are not in the
consumers best interest? Explain your answer.
Essay
99
Essay
156.
a. Explain the development of ethics from a global perspective.

b. Can ethics be taught? Explain your answer.
157.
Describe each of the five distinct eras of consumerism and their major issues and
accomplishments.
158.
What is an implied warranty for a car? A personal computer? A college marketing

course? Describe an express warranty for each.
159.
Describe the role of the Consumer Product Safety Commission (CPSC) in terms
of its responsibilities, powers, primary enforcement method, and limitations. Be
complete in your answer.
160.
Describe the current role of consumerism in terms of the enhanced role of the
U.S. government.
100

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Chapter 5: Societal, Ethical, and Consumer Issues

Multiple Choice - Terminology/Concept

Social responsibility is most correctly defined as

Which concept is concerned with the impact of production and product

Involuntary consumers, who must share the consequences of someone elses

Which of the following is NOT an example of a social responsibility dilemma to a

Chapter 5: Societal, Ethical, and Consumer Issues

Multiple Choice - Terminology/Concept

The depletion of crude oil resources can be most effectively lowered by

What marketing practice most contributes to landscape littering?

The major government agency involved with pollution is the

Which statement concerning planned obsolescence is correct?

Which form of planned obsolescence is most applicable to disposable cameras?

Which of the following is an example of material planned obsolescence?

Chapter 5: Societal, Ethical, and Consumer Issues

Multiple Choice - Terminology/Concept

Which of the following is an example of style planned obsolescence?

Which of the following is an example of functional planned obsolescence?

Which form of planned obsolescence is most applicable to personal computers?

Which of these is NOT a benefit of social responsibility?

Chapter 5: Societal, Ethical, and Consumer Issues

Multiple Choice - Terminology/Concept

The unethical use of a marketing strategy or tactic involves

Which of the following is an example of a process-related ethical issue?

The appropriateness of marketing certain goods and/or services is questioned in

Which of the following is NOT an example of a product-related ethical issue?

Chapter 5: Societal, Ethical, and Consumer Issues

Multiple Choice - Terminology/Concept

Which statement about ethical codes is NOT correct?

A nonprofit organization seeks contributions from a profit-based organization on

The wide range of activities of government, business, and independent

Through how many distinct eras has consumerism evolved?

Consumerisms first era (occurring in the early 1900s) involved

An important event in the second era of consumerism was

The current era of consumerism (begun in the 1990s) is best characterized by

Chapter 5: Societal, Ethical, and Consumer Issues

Multiple Choice - Terminology/Concept

Which of the following is NOT a consumer right?

The Magnuson-Moss Act deals with

The most common implied warranty is that a product

Which statement concerning cooling-off laws is NOT correct?

Chapter 5: Societal, Ethical, and Consumer Issues

Multiple Choice - Terminology/Concept

Which statement concerning the Consumer Product Safety Commission (CPSC)

The Consumer Product Safety Commissions prime enforcement tool is the

Which of these statements about the governments role in consumer choice is

Chapter 5: Societal, Ethical, and Consumer Issues

Multiple Choice - Terminology/Concept

Which statement about consumers right to be heard is correct?

Which practice by supermarkets reduces the ability of consumers to compare

Which controversial practice is supported by some retailers on the basis of cost

The largest and broadest business-operated trade association involved with

Which statement about the role of consumerism on an international basis is

Chapter 5: Societal, Ethical, and Consumer Issues

Multiple Choice - Applied/Comprehensive/Integrative

The role of marketing products in a framework of social responsibility shifts

Which of these concepts most closely considers the role of involuntary

Chapter 5: Societal, Ethical, and Consumer Issues