Exam 14: Developing and Pricing Goods and Services

Brand association is the linking of a brand to other favorable images such as a celebrity or geographic location.

Price leadership occurs when one or more dominant firms set pricing practices that other firms in the market follow.

Social media and company websites are useful in the commercialization process for new products.

A leading cause of new-product failure is

Unsought goods and services fail to provide the benefits consumers expect.

Event sponsorship like the Tostito's Fiesta Bowl football game helps improve brand awareness.

Industrial goods are sold in the B2B market.

________ goods and services represent those products that consumers are unaware of or haven't thought of buying.

Operating in the southwestern states, PuddleJumper Airlines hopes to avoid entering the price war that currently is taking place between several airlines on the east coast. The best strategy to avoid severe price competition is to

Cool Down Drinks, a national producer of soft drinks, wants to differentiate its products from those of other providers. To implement this strategy successfully will require Cool Down to create tangible differences in the physical product it offers.

The trend toward self-service retailers has increased the importance of packaging.

The Sweet Temptations Yogurt Company just completed the first stages of product development of its new low-calorie frozen yogurt breakfast bars and immediately took its product directly to consumers. Marketers partnered with a large theme park in Orlando, FL, to perform ________. The Sweet Temptations marketing department wanted to know if consumers found this product to be a quick way to eat breakfast on the road. Subsequently, they also wanted to determine what customers would be willing to pay for the breakfast bar.

Nonbranded products that sell below the price of national brands, have very basic packaging, and are backed with little or no advertising are called

Mini-Case Gourmet Pets is an innovative competitor in the billion-dollar pet food industry. In fact, two of its products, Kitty Sirloin and McDog T-bone, each claim over a 30% share in their market segments. The company has done detailed research and discovered that, for a growing number of pet owners, the family pet serves as a baby substitute. These owners tend to pamper their pets, and are very discriminating in what they purchase. With this in mind, the company has put a great deal of effort into developing a new dog food: Prime Cuts. The new product is packaged in a resealable, microwaveable container and can be purchased in a variety of flavors (including Western BBQ, Teriyaki, Australian Outback, and Hickory Smoked). Gourmet Pets promotes the product as far superior to "average" dog foods, even though the quality of meat and nutrient content of the food are virtually identical to many other brands. The company faces no competition in this market segment so it plans to charge a high price for the product. -The company currently markets McDog T-bone, Lapdog Lunchtreats, Rover's Potroast, and Puppy Porterhouse in the dog food market. Prime Cuts will be an addition to the company's ________ in the dog food market.

Shopping online allows customers to compare prices of many goods and services. This technology will likely

Product screening is designed to