Weekly Review Quiz as of 2008-10-09
Marketing

Home Depot Learns to Go Local
by Ann Zimmerman
10/07/2008
http://online.wsj.com/article/SB122333593880409529.html

1. In response to problems with unsold merchandise in some stores, Home Depot has implemented which of the following changes?

* a) Shifted the retailer's purchasing system to a more localized approach.
b) Shifted the retailer's purchasing system to a nationally uniform approach.
c) Eliminated several big ticket product lines that were incurring heavy inventory costs.
d) Developed its own "Home Depot" store brand of power tools.
e) Demanded from manufacturers that they guarantee the sale of all their products.

2. Which of the following statements accurately describes Home Depot's current financial performance?

a) Overall company revenues continue to climb despite the housing downturn.
b) Revenues have decreased, but company profitability has reached an all-time high.
* c) Gross margins have risen in each of the past three quarters compared with the year-ago periods.
d) All of the above are true.
e) None of the above are true.

Google Rethinks Its Aversion to Ads
by Jessica E. Vascellaro and Suzanne Vranica
10/03/2008
http://online.wsj.com/article/SB122299236642900625.html

3. Which statement best describes Google's advertising strategy to-date?

a) Google has traditionally outspent its rival Yahoo! with an aggressive paid advertising strategy
b) Google has relied primarily on word-of-mouth and partnerships
c) Google has largely avoided paid advertising
* d) Both "b" and "c"
e) None of the above

4. How much has Google traditionally spent each year on offline advertising?

a) $1 million
b) $ 5 million
* c) $20 million
d) $100 million
e) $1 billion

Luxury Stores Brace for Slowdown
by Christina Passariello and Rachel Dodes
10/08/2008
http://online.wsj.com/article/SB122341593808412761.html

5. What factor has contributed to the resilience to-date of luxury product sales?

a) The continued prosperity of wealthy Americans
* b) Growing business in emerging markets
c) New store openings throughout Asia
d) The emerging discretionary spending power of the teen market
e) Continued new product innovations in fabrics and technology