Marketing & Ethical Advertising: RES exam practice questions

The four components of the marketing mix, often called the 4Ps, are __________.

1. Aproduct, price, place and promotion
2. Bproduct, price, people and publicity
3. Cplanning, pricing, placement and promotion
4. Dproduct, profit, place and persuasion

Which statement best describes the relationship between selling and marketing?

1. ASelling is one part of marketing, which also covers research, pricing, distribution and service
2. BSelling and marketing mean the same thing in real estate, as both aim to close transactions at the best price
3. CMarketing is one part of selling, covering only the advertisements used to find buyers
4. DMarketing ends once the property is advertised, and selling begins at the first viewing

When family members and friends influence a buyer’s choice of home, this is an example of __________ factors affecting buying behaviour.

1. Asocial
2. Bpsychological
3. Ccultural
4. Dpersonal

Feedback forms that a salesperson collects from visitors at her open houses for her own marketing study are an example of __________.

1. Aprimary data
2. Bsecondary data
3. Cpublished data
4. Dcensus data

Market segmentation means __________.

1. Adividing the market into smaller groups of buyers with similar needs or characteristics
2. Bselecting one or a few groups of buyers on which to concentrate the firm’s marketing efforts
3. Ccreating an image of a product so that buyers perceive it in a certain way
4. Doffering the same product to every buyer with a single marketing mix

Market positioning refers to __________.

1. Abuilding an image of a product so that consumers see it in a certain way compared with competitors
2. Bdividing the market into smaller segments of buyers who share similar needs and characteristics
3. Cchoosing the locations, channels and coverage through which a product is made available to the buyers who want it
4. Dlowering the price of a product so that it matches or undercuts the prices of competing products

Salesperson Farah Iskandar, 41, has just been appointed by Mr Vincent Lau and his wife, both Singapore Citizens, to sell their 4-room resale flat in Punggol. The flat is on the 11th floor of a block within 1 km of a popular primary school and next to a large playground, and a shopping mall is being built across the road. The Laus have already bought a condominium unit in Sengkang. Looking through enquiries on her past Punggol listings, Farah sees that many callers now rent flats in the western towns. She also plans to feature the nearby park connector in her listing photographs. In the end she decides to aim all her advertising at married couples in their thirties with young children, and drafts her portal headline accordingly.

Which of the following BEST describes the segmentation basis that Farah has mainly used to define the target market for this listing?

1. ADemographic segmentation, as she has defined her target buyers by their age and by their stage in the family life-cycle
2. BGeographic segmentation, as she has defined her target buyers by the part of Singapore in which they now rent their homes
3. CBehavioural segmentation, as she has defined her target buyers by their loyalty to the Punggol estate and its amenities
4. DPsychographic segmentation, as she has defined her target buyers by their personality and by the personal values they hold

Salesperson Ken Rajoo is preparing a SWOT analysis for Mdm Chong Siew Ling, 63, who is selling her 3-bedroom unit in a 20-year-old condominium in Bukit Batok so that she can move closer to her daughter in Tampines. The unit is on a high floor with an unblocked view, but its kitchen and bathrooms have not been renovated since the building was completed. While researching the area, Ken learns that three new condominium projects will be launched within 1 km of the development in the next six months. Mdm Chong insists that the launches are “a weakness of my unit, since buyers will prefer brand new ones”, and asks Ken to list them that way in the report he prepares for her.

Which of the following BEST describes how Ken should classify the three upcoming launches in his SWOT analysis?

1. AAs a threat, because the launches are external to the unit, outside Mdm Chong’s control and will compete for the same buyers
2. BAs a weakness, because the launches are a negative factor that will reduce buyers’ interest in her older, unrenovated unit
3. CAs a weakness, because Mdm Chong has no control over when the launches take place or how their units will be priced
4. DAs an opportunity, because the launches are an external factor that Mdm Chong can use to justify a higher asking price

Salesperson Mei Tan Hui Min has listed a 3-bedroom condominium unit in Bishan at $2.1 million. At 4.30 pm on a weekday, a caller who gives her name as Ms Priscilla Wong phones about the portal listing. She says she saw the same unit advertised by another agency last year, mentions that she now rents a unit in the same development, and asks to view the unit at 7.00 pm that evening. In passing, she adds that she “will probably need to sell something first” and that her husband “usually has the final say”. The owners, a retired couple who live in the unit, have told Mei that they are happy to allow viewings on weekday evenings.

Before arranging the viewing, which of the following BEST describes how Mei should qualify the caller as a prospect?

1. AAsk about her purpose, budget and financing, including loan eligibility, cash and CPF, her timeline and who else decides
2. BArrange the viewing at once without questions, since asking a caller about her finances may offend her and lose the lead
3. CAsk her to sign an exclusive estate agency agreement with Mei’s agency before any viewing of the unit can be arranged
4. DAsk her to pay a holding deposit to Mei’s agency before the viewing, to show the owners that she is a serious buyer

Mr Lee Chee Meng, 58, is selling his 5-room HDB flat in Sengkang, where he has lived for 16 years, and has bought a resale executive maisonette in Pasir Ris that needs a full renovation. He tells his salesperson that he wants to keep all price discussions private, as his neighbours are “very curious”, that he does not want to pay any extra costs to sell, and that he wants to negotiate time to stay on in the flat after completion while the maisonette is being renovated. His cousin, who once watched a property auction, urges him to “put it up for auction and settle the stay later with the winner”.

Which method of sale BEST suits Mr Lee’s wishes for the sale of his flat?

1. APrivate treaty, as the price and terms, including an extension of stay, are negotiated directly and privately at low cost
2. BPublic auction, as competition among bidders will push the price up and the terms can be agreed with the winner afterwards
3. CAn open tender, as any member of the public may submit a sealed offer and he can then pick the offer with the best terms
4. DA closed tender, as only invited buyers take part and their offers stay confidential until the closing date he chooses