DECA Marketing Principles 3 — Questions and Answers
Question 1: A fashion retailer targets teens aged 13–17 who follow social media trends. This defines a:
- Geographic segment
- Psychographic segment
- Demographic segment (Correct answer)
- Behavioral segment
Correct answer: Demographic segment
Age-based groupings like 'teens aged 13–17' are a demographic segmentation variable.
Question 2: Which promotional mix element involves paid, non-personal communication through media channels?
- Personal selling
- Public relations
- Advertising (Correct answer)
- Sales promotion
Correct answer: Advertising
Advertising is paid, non-personal promotion delivered through mass media like TV, radio, or digital platforms.
Question 3: A software company charges $9.99/month for a basic plan and $29.99/month for a premium plan. This is an example of:
- Odd-even pricing
- Tiered pricing (Correct answer)
- Cost-plus pricing
- Psychological pricing
Correct answer: Tiered pricing
Tiered pricing offers different levels of a product or service at different price points to serve varied customer segments.
Question 4: The AIDA model in marketing stands for:
- Awareness, Interest, Desire, Action (Correct answer)
- Analysis, Implementation, Distribution, Advertising
- Attract, Inform, Decide, Act
- Audience, Insight, Data, Analytics
Correct answer: Awareness, Interest, Desire, Action
AIDA describes the consumer journey: Awareness → Interest → Desire → Action, commonly used to structure persuasive messages.
Question 5: A product that is in the 'decline' stage of its life cycle should typically:
- Increase advertising spend aggressively
- Expand into new markets immediately
- Reduce investment and consider discontinuation (Correct answer)
- Introduce new premium features
Correct answer: Reduce investment and consider discontinuation
During decline, sales and profits fall, so reducing costs and evaluating whether to discontinue is the recommended strategy.
Question 6: Which distribution channel skips all intermediaries and sells directly to the consumer?
- Retailer channel
- Wholesaler channel
- Direct channel (Correct answer)
- Agent channel
Correct answer: Direct channel
A direct channel means the producer sells straight to the end consumer without using wholesalers or retailers.
Question 7: In DECA events, a 'situation analysis' typically includes:
- Only financial projections for the next year
- A SWOT analysis of internal and external factors (Correct answer)
- A list of competitor product features only
- A detailed employee performance review
Correct answer: A SWOT analysis of internal and external factors
A situation analysis examines Strengths, Weaknesses, Opportunities, and Threats (SWOT) to provide a comprehensive business assessment.
A fashion retailer targets teens aged 13–17 who follow social media trends.
This defines a: