The First Thing a Marketing Manager Should Do If One

question 61

Multiple Choice

The first thing a marketing manager should do if one of his firm's products drops in sales volume is:

• A) conduct a survey to see what is wrong.
• B) define the problem.
• C) set research priorities.
• D) do a situation analysis.
• E) interview representative customers.

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Definitions:

Variable Manufacturing Costs

These are costs that vary directly with the level of production output, including expenses like raw materials and variable labor costs.

Fixed Manufacturing Overhead

Costs that do not vary with the level of production output and include expenses such as rent, property taxes, and salaries for permanent staff.

Selling Price

The amount a buyer pays to acquire a product or service from a seller.

Net Income

The amount of earnings remaining after all operational, interest, and tax expenses have been deducted from total revenue, reflecting the financial health of a company.