Tommy Prothro,a Marketing Manager for Golden Snack Bars,has Commissioned Marketing

question 47

Multiple Choice

Tommy Prothro,a marketing manager for Golden Snack Bars,has commissioned marketing research to determine if one recipe of snack bar is superior to another recipe.More than 400 persons who were "snack bar eaters" were involved in taste tests and,after tasting both recipes,they were asked which recipe they would purchase the next time they purchased snack bars.Tommy is now looking at the data and he sees that recipe A had 53 percent stating a preference,whereas recipe B had 47 percent.Tommy's brand manager felt this was "significant" evidence that the firm should produce recipe A.But Tommy wanted more evidence so he asked the research firm to run a test to determine if there was a significant difference between the two recipes.By doing this,Tommy would get information that would allow him to determine:

• A)if there are real differences between the two recipe preferences in the population.
• B)if the differences between the recipes are really 6 percent or more.
• C)the number of consumers in each target market preferring recipe A versus B.
• D)whether or not the statisticians in the research firm agree with his brand manager.
• E)None of the above;there is no statistical test to determine significant differences between two percentages.

Know the basic concepts of electricity and charges as they relate to atoms and molecules.

Understand the concept of utility and how it drives consumer choices.

Apply the utility maximization principle to determine optimal consumption bundles.

Calculate the effects of changes in income on consumption choices.

---

Definitions:

Inconsistency

The quality of being irregular or not staying the same throughout, often leading to unpredictability.

Discipline

a field of study or branch of knowledge but also refers to training people to obey rules or a code of behavior, using punishment to correct disobedience.

Rigidity

The quality of being unable to bend or be forced out of shape; often metaphorically used to describe inflexibility in thoughts, systems, or behaviors.

Permissiveness

A state or characteristic of allowing or accepting behavior that others might restrict or forbid.