1. Sports and Entertainment Marketing 1
Objective 4.07

2. Yield management is a way that sport/event marketers address product pricing issues when they want to maximize revenue but have
below-market stock value.
unallocated resources.
limited capacity.
few distribution intermediaries.

3. C. limited capacity.

4. Wintergreen Ski Area knows that the area will be most successful if it bases its pricing structure o
costs associated with renovations
what the market will bear.
total cost of the experience
inelastic demand for skiing.

5. B. what the market will bear.

6. The additional cost of paying for parking and buying refreshments and programs is part of the overall __________ of attending a concert.
benefit
price
Goal
goal

7. B. price

8. In sports and entertainment marketing, the concept of price includes not only the cost of a ticket to an event but also the
value of the overall experience.
quality of the media advertising
elements of the marketing plan.
location of the facility.

9. A. value of the overall experience

10. Which of the following is a tangible benefit of purchasing a surfboard:
It is the most popular brand on the market.
It gives you the opportunity to join a surfing club.
It allows you to spend time with your friends at the beach.
It has a wrist strap to keep it connected to you in the water

11. D. It has a wrist strap to keep it connected to you in the water

12. Which of the following is a company-focused pricing objective for sport/event products:
Offering the most discounts to customers
Offering the lowest prices
Enhancing image
Achieving a price customers feel is "fair"

13. C. Enhancing image

14. Why might a sport/event organization price entry fees for a marathon below the normal rate?
To establish their event as "luxury"
To encourage maximum participation
To create profits
To meet competitors' prices

15. B. To encourage maximum participation

16. When prices go up or down, the change can affect how much of the sport/event product customers purchase. This is the general principle of
elasticity.
market segmentation
smoothing.
"total cost."

17. A. elasticity

18. Which pricing strategy sets prices lower than those of the competition?
Smoothing
Stretching
Penetration
Skimming

19. C. Penetration