2009 DECA U Provincials Competition TMMM
Test 1013 TRAVEL AND TOURISM 8
1. One travel business promising to do something for another travel business in return for receiving compensation is an example of a(n)
A. benefit. C. partnership.
B. contract. D. guarantee.
2. The intent of the laws that require travel and tourism businesses to provide reasonable accommodation for employees with disabilities is to protect these employees from
A. accidents. C. discrimination.
B. hazardous conditions. D. unsafe environments.
3. One way that businesses use technology to move products efficiently through the distribution chain is by
A. encouraging the use of networked trading communities.
B. developing company web sites to promote product.
C. tracking the shipping expenses in a database system.
D. implementing an automatic identification system.
4. To maintain positive relationships within the travel and tourism distribution chain, all channel members must
A. develop competing goals. C. coordinate their efforts.
B. limit ongoing communication. D. have equal power.
5. The number of channel members that a travel and tourism business uses to make its products available to the end users is often referred to as
A. intermediary concentration. C. distribution intensity.
B. channel management. D. exclusive dealership.
6. When defending their ideas objectively, employees should be prepared to
A. demonstrate a sense of leadership. C. use aggressive body language.
B. write a technical research report. D. provide supporting information.
7. A tour operator who is conducting a staff meeting encourages all employees to participate by asking them to suggest their solutions to problems in writing and then to privately vote for the best solution. What technique is the tour operator using?
A. Role-playing C. Nominal group
B. Quality circles D. Brainstorming
8. Why do tour operators prepare confirmation letters to send to clients?
A. To describe baggage C. To request deposits
B. To prevent overbooking D. To verify reservations
9. A tour manager reviewing the itinerary with passengers, handing out travel documents, and answering questions is an example of conducting a(n)
A. marketing presentation. C. training session.
B. predeparture briefing. D. operational workshop.
10. Customers have the right to be fully informed about a business's policies in order to make the best possible
A. blunders. C. errors.
B. decisions. D. mistakes.
11. Why is quick action important in handling customer complaints?
A. Eliminates the need to investigate the problem
B. Pleases the customer
C. Saves the manager's time
D. Makes the situation easier to handle
12. Why is it important for travel agencies to keep their display racks stocked with attractive promotional brochures and pamphlets?
A. To entertain clients C. To decorate lobbies
B. To sell products D. To advertise contests
13. The primary factor in the determination of demand is
A. product utility. C. government controls.
B. cost of production. D. prices of competing products.
14. What are tour operators contributing to when they financially support local charities?
A. High unemployment C. Their profits
B. The community D. The work environment
15. The two basic types of business risk are
A. fires and floods. C. theft and death.
B. incompetence and carelessness. D. pure and speculative.
16. Ski instructors in Colorado are examples of workers whose jobs involve specialization by
A. natural resources. C. capital goods.
B. stages of production. D. obsolescence.
17. When the demand for goods and services starts to fall and unemployment rises, the business cycle is in its ______phase.
A. expansion C. trough
B. contraction D. peak
18. One way that cruise line employees can develop cultural sensitivity is to
A. revise research techniques. C. acquire foreign language skills.
B. preserve communication methods. D. maintain current leadership styles.
19. Which of the following should a cruise director create in order to encourage team building:
A. Climate of trust C. Sense of control
B. Line of authority D. Resistance to change
20. If Megan, an employee of the Star Cruise Lines, wants to lead change in her work environment, she must have the ability to
A. ask a variety of questions. C. make friends with managers.
B. guide or direct others. D. perform all types of tasks.
21. The primary reason why people working in the travel and tourism industry lose their jobs is because of their
A. lack of previous experience. C. inability to get along with others.
B. inability to cope with change. D. lack of job skills.
22. Which of the following is an example of a gratuity:
A. Tipping an airline baggage attendant C. Selling goods in an airport gift shop
B. Loaning a travel book to a client D. Renting a car to a traveler
23. A travel agency that buys services and goods in order to operate now and pay for them later is using
A. capital. C. currency.
B. collateral. D. credit.
24. What is an important step for a tourism business to take when selecting a financial-services provider?
A. Organize records C. Verify credentials
B. Make an appointment D. Plan an investment
25. Which of the following is the generally accepted accounting principle that assumes that a tour business has the ability to operate indefinitely:
A. Open reality C. Tangible existence
B. Business entity D. Going concern
26. Why does a charter-bus company need a flow of money into the business?
A. To invest C. To sell
B. To borrow D. To exist
27. Calculate the amount a small tour company should budget for salaries and wages next year if two full-time employees each earn $28,000 a year and will receive a 3% raise, and three part-time employees each earn $16,000 a year and will receive a 2% raise.
A. $108,200 C. $102,800
B. $103,160 D. $106,640
28. What type of ratio is used to measure the ability of a car rental company to turn assets into cash?
A. Liquidity C. Activity
B. Profitability D. Liability
29. It is important for cruise ships to balance daily posting transactions because some passenger transactions are
A. added to the petty cash fund. C. deducted from a savings account.
B. not paid for with a credit card. D. not included in the overall price.
30. When interviewing job applicants for a travel agency position, why is it important for the interviewer to ask open-ended questions?
A. To check for understanding C. To shorten the interview process
B. To obtain in-depth information D. To generate short answers
31. How can a tour company determine whether its policies related to equity are effective?
A. By monitoring its policies on a regular basis
B. By reviewing information in personnel records
C. By sending out frequent customer surveys
D. By comparing its policies with competitors' policies
32. One reason why many businesses require their employees to book airline tickets and hotel rooms through the company's travel department is because that department is able to
A. negotiate for better rates. C. access industry web sites.
B. make reservations quickly. D. obtain confirmation numbers.
33. Which of the following is an example of the straight commission method of paying employees who work in the travel and tourism industry:
A. Employee receives a rate based on hours worked.
B. Employee receives a fixed rate for each unit of production.
C. Employee receives a flat rate of money each month.
D. Employee receives a percentage of sales.
34. External marketing information comes from sources outside the travel agency such as
A. customer complaints. C. sales forecasts.
B. inventory records. D. trade journals.
35. Why does a travel agency's computer place a "cookie" on a visitor's hard drive when the visitor accesses the travel agency's web site?
A. To protect data C. To track usage
B. To ensure privacy D. To eliminate theft
36. What do many tour companies develop in order to organize and analyze sales records and other related data that are used to make marketing decisions?
A. Comprehensive research procedure
B. Marketing-information management system
C. Personal spreadsheet-software program
D. Internet operating technique
37. The least expensive way that an airline can approach a marketing-research project is to start by collecting ______data.
A. internal, primary C. external, primary
B. external, secondary D. internal, secondary
38. A business's travel department books between six and nine airline flights per week. This is an example of
A. median. C. mean.
B. range. D. mode.
39. Before a tour operator can design and sell specific tours to groups that are the most likely to buy, the operator needs to
A. identify the target market. C. visit new attractions.
B. contact a variety of hotels. D. arrange for transportation.
40. West Lake Yacht Club wishes to increase membership and has placed several advertisements in local boating magazines and brochures. This advertising increase is an example of
A. pricing. C. publicity.
B. promotion. D. production.
41. Consumer questionnaires, surveys, and direct interviews are all forms of data collection used in the ______function of marketing.
A. pricing C. risk management
B. purchasing D. information management
42. Which of the following is an example of a travel and tourism service that a travel agency might market:
A. Escorted bus tour plus lodging C. Souvenir travel bag
B. Dinner at a four-star restaurant D. Postcards from each attraction
43. Advancements in technology are likely to cause a travel agency to
A. change its retirement plans. C. change its marketing strategies.
B. eliminate product warranties. D. eliminate employee benefits.
44. Before developing and selling a product, which of the following should travel and tourism marketers do first:
A. Set up a promotional plan C. Identify the market for the product
B. Select a channel of distribution D. Determine the product's price
45. Which of the following is a demographic characteristic that travel agencies often use to identify market segments:
A. Style of living C. Location of population
B. Type of household D. Level of personality
46. What type of information do charter-bus companies include in their marketing plans?
A. Accounting procedures C. Payroll systems
B. Billing methods D. Pricing strategies
47. A SWOT analysis indicates that customers' buying preferences are changing, but the tour wholesaler has a very limited product line. This is an example of an
A. external threat attacking an internal weakness.
B. internal strength responding to an external threat.
C. internal weakness compensating for an external threat.
D. external opportunity coinciding with an internal strength.
48. When deciding how to allocate its funds, an airline can use the sales forecast as a planning tool to determine whether
A. cash flow will be a problem. C. prices should be adjusted.
B. business expenses will increase. D. media costs will change.
49. The marketing strategy component of a marketing plan should include a(n)
A. detailed product description. C. proposed annual budget.
B. explanation of accounting methods. D. list of current employees.
50. Which of the following is a reason why a large airline might eliminate a flight from its schedule:
A. The flight has one main customer benefit.
B. The pilot does not want to fly a certain route.
C. The airline is not selling enough tickets for the flight.
D. The flight does not offer high-priced tickets.
51. One way that technology impacts the travel and tourism industry is by making it possible for customers to
A. buy directly from suppliers. C. travel to distant locations.
B. obtain promotional materials. D. work with experienced agents.
52. Travel agencies can help to prevent accidents in the workplace by
A. buying only accident-proof equipment. C. purchasing insurance.
B. controlling human error. D. establishing safety guidelines.
53. Travel agencies may prevent burglaries by checking every room in the building at night to make sure that the
A. windows and doors are locked. C. electrical equipment is turned off.
B. public areas are clean. D. telephones are transferred.
54. Incentive travel planning companies develop a quality culture by a combination of continual improvement and
A. teamwork. C. research.
B. goodwill. D. security.
55. Rent, salaries, and advertising are all examples of
A. cost of goods sold. C. fixed costs.
B. operating expenses. D. variable costs.
56. A small tour business has developed an expense-control plan specifying that payroll can be no more than 15% of sales. If sales are $60,000, how much can the business spend on payroll?
A. $6,000 C. $12,000
B. $9,000 D. $15,000
57. Which of the following should travel agency employees try to do during a robbery situation:
A. Tell the robber that the agency's safe is locked
B. Attempt to set off the silent alarm system
C. Refuse to comply with the robber's demands
D. Make a mental note of the robber's appearance
58. Which of the following would be considered a long-term objective:
A. To read a book each week C. To buy a new outfit
B. To learn to ride a motor bike D. To earn a college degree
59. In a staff meeting, a travel agency manager asks employees to come up with as many suggestions for improvement as they can within 15 minutes. What creativity technique is being used?
A. Attribute listing C. Brainstorming
B. Checklist D. Problem identification
60. When preparing letters of application for jobs in the travel and tourism industry, individuals who have very little work experience should stress their
A. activities. C. references.
B. personality. D. education.
61. One of the main benefits for tour companies participating in a trade show is the opportunity to
A. meet with competitors. C. analyze marketing needs.
B. obtain sales leads. D. hire new employees.
62. What is one reason why many airlines regularly increase or decrease the number of daily flights to certain vacation destinations?
A. Weather is predictable. C. Tourism is seasonal.
B. Airports are closed. D. Pilots are unavailable.
63. What is the main geographic factor that draws visitors who enjoy skiing to a certain region?
A. Accommodations C. Highways
B. Mountains D. Forests
64. When buyers and sellers have agreed on a value for a travel product, they have established the
A. equilibrium price. C. exchange price.
B. price policy. D. price line.
65. Which of the following is most likely to raise the price a tourist attraction charges for admission to the site: