Question 1

What is the marketing objective for the growth stage of the product life cycle?

Accepted Answer

A)  minimize promotion 
B)  increase market share 
C)  stress differentiation 
D)  gain awareness 
E)  maintain brand loyalty 
A)  minimize promotion 
B)  increase market share 
C)  stress differentiation 
D)  gain awareness 
E)  maintain brand loyalty

Question 2

Private branding refers to a branding strategy in which a firm

Accepted Answer

A)  gives each product a distinct name when each brand is intended for a different market segment. 
B)  uses different brand names for the same product across multiple countries. 
C)  uses one name for all its products in a product class. 
D)  produces products but sells them under the brand name of a wholesaler or retailer. 
E)  contractually, and for a fee, allows other firms to use its brand name, requiring that the product be made to its specifications. 
A)  gives each product a distinct name when each brand is intended for a different market segment. 
B)  uses different brand names for the same product across multiple countries. 
C)  uses one name for all its products in a product class. 
D)  produces products but sells them under the brand name of a wholesaler or retailer. 
E)  contractually, and for a fee, allows other firms to use its brand name, requiring that the product be made to its specifications.

Question 3

There are several reasons a consumer would be reluctant to adopt a new product. For example, a consumer might be reluctant to adopt a new product because of a risk barrier, which occurs when

Accepted Answer

A)  there is no incentive to change. 
B)  there are physical, economic, or social fears. 
C)  there are cultural differences. 
D)  the financial commitment is too great. 
E)  the product is not consistent with existing habits. 
A)  there is no incentive to change. 
B)  there are physical, economic, or social fears. 
C)  there are cultural differences. 
D)  the financial commitment is too great. 
E)  the product is not consistent with existing habits.

Question 4

In 1984, IBM launched the "PCjr," its first low-priced, educational/home personal computer. Sales were poor because IBM most likely violated which criterion for picking a good brand name?

Accepted Answer

A)  The name was not distinctive nor memorable. 
B)  The name did not fit the company image. 
C)  The name had too many legal restrictions. 
D)  The name was too confusing with both capital and lowercase letters. 
E)  The name failed to suggest the product benefits. 
A)  The name was not distinctive nor memorable. 
B)  The name did not fit the company image. 
C)  The name had too many legal restrictions. 
D)  The name was too confusing with both capital and lowercase letters. 
E)  The name failed to suggest the product benefits.

Question 5

The identification that a firm has legally registered its brand name or trade name so the firm has its exclusive use, thereby preventing others from using it, is referred to as a

Accepted Answer

A)  brand name. 
B)  copyright. 
C)  trademark. 
D)  label. 
E)  trade name. 
A)  brand name. 
B)  copyright. 
C)  trademark. 
D)  label. 
E)  trade name.

Question 6

Interactive television with video-on-demand capabilities changes how people watch television and how consumers access the Internet. This technology requires significant customer education for many people. What type of product life cycle curve would be associated with this product?

Accepted Answer

A)  generalized 
B)  high-learning 
C)  low-learning 
D)  fashion 
E)  fad 
A)  generalized 
B)  high-learning 
C)  low-learning 
D)  fashion 
E)  fad

Question 7

The added value a brand name gives to a product beyond the functional benefits provided is referred to as

Accepted Answer

A)  brand cachet. 
B)  brand net worth. 
C)  brand equity. 
D)  brand benefit. 
E)  brand enhancement. 
A)  brand cachet. 
B)  brand net worth. 
C)  brand equity. 
D)  brand benefit. 
E)  brand enhancement.

Question 8

All of these statements are true about the length of product life cycles except which?

Accepted Answer

A)  The length of service life cycles is typically longer than those for tangible products. 
B)  There is no set time that a product takes to move through its life cycle. 
C)  Technological change shortens product life cycles as new products replace existing ones. 
D)  The use of mass media tends to shorten product life cycles. 
E)  Consumer products have shorter life cycles than business products. 
A)  The length of service life cycles is typically longer than those for tangible products. 
B)  There is no set time that a product takes to move through its life cycle. 
C)  Technological change shortens product life cycles as new products replace existing ones. 
D)  The use of mass media tends to shorten product life cycles. 
E)  Consumer products have shorter life cycles than business products.

Question 9

What is the marketing objective for the introduction stage of the product life cycle?

Accepted Answer

A)  begin harvesting 
B)  stabilize market share 
C)  stress differentiation 
D)  maintain brand loyalty 
E)  gain awareness 
A)  begin harvesting 
B)  stabilize market share 
C)  stress differentiation 
D)  maintain brand loyalty 
E)  gain awareness

Question 10

Branding is

Accepted Answer

A)  the licensing of a name, phrase, design, symbol, or combination of these for a period of 17 years, at which time a firm may renew its intellectual property rights to them. 
B)  the value added to the product from the additional features given to a product beyond its functional attributes. 
C)  the identification of an organization's products based upon individual SKUs. 
D)  an organization's use of a name, phrase, design, symbol, or combination of these to identify its products and distinguish them from those of competitors. 
E)  the establishment of a commercial, legal name under which a company does business. 
A)  the licensing of a name, phrase, design, symbol, or combination of these for a period of 17 years, at which time a firm may renew its intellectual property rights to them. 
B)  the value added to the product from the additional features given to a product beyond its functional attributes. 
C)  the identification of an organization's products based upon individual SKUs. 
D)  an organization's use of a name, phrase, design, symbol, or combination of these to identify its products and distinguish them from those of competitors. 
E)  the establishment of a commercial, legal name under which a company does business.

Question 11

All of these are true about product line extensions except which?

Accepted Answer

A)  This strategy can result in lower advertising and promotion costs. 
B)  A risk that comes with product line extensions is that sales of an extension may come at the expense of other items in the company's product line. 
C)  A product line extension raises the level of brand awareness. 
D)  Line extensions work best when they provide incremental company revenue by taking sales away from competing brands. 
E)  Product line extensions involve using a current brand name to enter a different product class. 
A)  This strategy can result in lower advertising and promotion costs. 
B)  A risk that comes with product line extensions is that sales of an extension may come at the expense of other items in the company's product line. 
C)  A product line extension raises the level of brand awareness. 
D)  Line extensions work best when they provide incremental company revenue by taking sales away from competing brands. 
E)  Product line extensions involve using a current brand name to enter a different product class.

Question 12

Large marketing expenditures are often made to stimulate ________, the desire for the product class, rather than for a specific brand, when there are few competitors with the same product.

Accepted Answer

A)  secondary demand 
B)  introductory demand 
C)  primary demand 
D)  discretionary demand 
E)  selective demand 
A)  secondary demand 
B)  introductory demand 
C)  primary demand 
D)  discretionary demand 
E)  selective demand

Question 13

As product adopters in the diffusion of innovation, laggards

Accepted Answer

A)  have a fear of debt and use neighbors and friends as information sources. 
B)  are skeptical and have below average social status. 
C)  are deliberate and use many informal social contacts. 
D)  are leaders in social settings and have a slightly above average education. 
E)  are venturesome, higher educated, and use multiple information sources. 
A)  have a fear of debt and use neighbors and friends as information sources. 
B)  are skeptical and have below average social status. 
C)  are deliberate and use many informal social contacts. 
D)  are leaders in social settings and have a slightly above average education. 
E)  are venturesome, higher educated, and use multiple information sources.

Question 14

The Make a Wish Foundation brand name is especially effective because it

Accepted Answer

A)  is easy to spell and pronounce. 
B)  is not easily imitated. 
C)  suggests the service's benefits. 
D)  demands a hint of moral obligation. 
E)  is devoid of emotion. 
A)  is easy to spell and pronounce. 
B)  is not easily imitated. 
C)  suggests the service's benefits. 
D)  demands a hint of moral obligation. 
E)  is devoid of emotion.

Question 15

Co-branding involves

Accepted Answer

A)  combining a corporate brand with a family brand. 
B)  pairing two or more strong brands to facilitate the marketing of a joint product. 
C)  using the same brand names for the same product in multiple countries. 
D)  using the same name for the original product and for all subsequent product line extensions. 
E)  using a current brand name to enter a different product class. 
A)  combining a corporate brand with a family brand. 
B)  pairing two or more strong brands to facilitate the marketing of a joint product. 
C)  using the same brand names for the same product in multiple countries. 
D)  using the same name for the original product and for all subsequent product line extensions. 
E)  using a current brand name to enter a different product class.

Question 16

The Tesla Motors Model S, an all-electric-powered automobile, is in which stage of its product life cycle?

Accepted Answer

A)  growth 
B)  maturity 
C)  introduction 
D)  decline 
E)  accelerated development 
A)  growth 
B)  maturity 
C)  introduction 
D)  decline 
E)  accelerated development

Question 17

Which of the following statements regarding Gatorade's branding is most accurate?

Accepted Answer

A)  Gatorade uses the same formula for all its products and simply changes the brand name when introducing new flavors. 
B)  Gatorade's success can be attributed to management's decision to find and then stick with one channel of distribution. 
C)  Gatorade changed its color, packaging, and size of items in the product line for the domestic market so that they would not conflict with those marketed to foreign markets. 
D)  Gatorade has used the same packaging since the product debuted in 1965. 
E)  Gatorade has changed its product formulation, packaging, and advertising over the years in response to changes in the marketplace. 
A)  Gatorade uses the same formula for all its products and simply changes the brand name when introducing new flavors. 
B)  Gatorade's success can be attributed to management's decision to find and then stick with one channel of distribution. 
C)  Gatorade changed its color, packaging, and size of items in the product line for the domestic market so that they would not conflict with those marketed to foreign markets. 
D)  Gatorade has used the same packaging since the product debuted in 1965. 
E)  Gatorade has changed its product formulation, packaging, and advertising over the years in response to changes in the marketplace.

Question 18

Brand equity is valuable to an organization because it creates a competitive advantage and

Accepted Answer

A)  it guarantees the lowest prices. 
B)  decision making becomes easier for consumers. 
C)  there is no need for coupons, discounts, or other customer incentives. 
D)  customers are often willing to pay a higher price. 
E)  new market segments are easily added to the market-product grid. 
A)  it guarantees the lowest prices. 
B)  decision making becomes easier for consumers. 
C)  there is no need for coupons, discounts, or other customer incentives. 
D)  customers are often willing to pay a higher price. 
E)  new market segments are easily added to the market-product grid.

Question 19

The life cycle of a product depends on product adoption by consumers as measured by

Accepted Answer

A)  sales. 
B)  word-of-mouth. 
C)  number of competitors. 
D)  regulators. 
E)  product proliferation. 
A)  sales. 
B)  word-of-mouth. 
C)  number of competitors. 
D)  regulators. 
E)  product proliferation.

Question 20

In which stage of the product life cycle is it important to broaden distribution of the product?

Accepted Answer

A)  introduction 
B)  growth 
C)  maturity 
D)  decline 
E)  harvest 
A)  introduction 
B)  growth 
C)  maturity 
D)  decline 
E)  harvest

Exam 11: Managing Successful Products, Services, and Brands

What is the marketing objective for the growth stage of the product life cycle?

Private branding refers to a branding strategy in which a firm

There are several reasons a consumer would be reluctant to adopt a new product. For example, a consumer might be reluctant to adopt a new product because of a risk barrier, which occurs when

In 1984, IBM launched the "PCjr," its first low-priced, educational/home personal computer. Sales were poor because IBM most likely violated which criterion for picking a good brand name?

The identification that a firm has legally registered its brand name or trade name so the firm has its exclusive use, thereby preventing others from using it, is referred to as a

Interactive television with video-on-demand capabilities changes how people watch television and how consumers access the Internet. This technology requires significant customer education for many people. What type of product life cycle curve would be associated with this product?

The added value a brand name gives to a product beyond the functional benefits provided is referred to as

All of these statements are true about the length of product life cycles except which?

What is the marketing objective for the introduction stage of the product life cycle?

Branding is

All of these are true about product line extensions except which?

Large marketing expenditures are often made to stimulate ________, the desire for the product class, rather than for a specific brand, when there are few competitors with the same product.

As product adopters in the diffusion of innovation, laggards

The Make a Wish Foundation brand name is especially effective because it

Co-branding involves

The Tesla Motors Model S, an all-electric-powered automobile, is in which stage of its product life cycle?

Which of the following statements regarding Gatorade's branding is most accurate?

Brand equity is valuable to an organization because it creates a competitive advantage and

The life cycle of a product depends on product adoption by consumers as measured by

In which stage of the product life cycle is it important to broaden distribution of the product?

Creating Customer Relationships and Value Through Marketing

Developing Successful Organizational and Marketing Strategies

Scanning the Marketing Environment

Ethical and Social Responsibility for Sustainable Marketing

Understanding Consumer Behavior

Understanding Organizations As Customers

Understanding and Reaching Global Consumers and Markets

Marketing Research: From Customer Insights to Actions

Market Segmentation, Targeting, and Positioning

Developing New Products and Services

Services Marketing

Building the Price Foundation

Arriving at the Final Price

Managing Marketing Channels and Supply Chains

Retailing and Wholesaling

Integrated Marketing Communications and Direct Marketing

Advertising, Sales Promotion, and Public Relations

Using Social Media and Mobile Marketing to Connect With Consumers

Personal Selling and Sales Management

Implementing Interactive and Multi-Channel Marketing

Pulling It All Together: the Strategic Marketing Proces

Building an Effective Marketing Plan

Financial Aspects of Marketing

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