Question 1

Secret deodorant maintains its leadership position as one of many products in what is typically considered a ________ product category.

Accepted Answer

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

Question 2

Figure 11-5
  
-When Apple introduced the Apple II personal computer in 1977,industry analysts predicted that very few would be sold.However,a short time after the product was made available,consumers who were young,highly educated,adventuresome,and well-informed began buying them.While those buyers were relatively few in number,marketers such as IBM and Compaq were encouraged because other,less adventuresome consumers,like businesspeople,would likely adopt personal computers later.Based on the diffusion of innovation concept,those first buyers of personal computers were

Accepted Answer

A) early adopters. 
B) early majority. 
C) innovators. 
D) product leaders. 
E) diffusion leaders. 
A) early adopters. 
B) early majority. 
C) innovators. 
D) product leaders. 
E) diffusion leaders.

Question 3

A company may choose a skimming strategy during the introduction stage of its product to help recover costs of development and to

Accepted Answer

A) capitalize on the price insensitivity of early buyers. 
B) discourage competition from other manufacturers. 
C) ease the product into its maturity stage. 
D) gain the largest unit sales possible. 
E) gain more distribution outlets. 
A) capitalize on the price insensitivity of early buyers. 
B) discourage competition from other manufacturers. 
C) ease the product into its maturity stage. 
D) gain the largest unit sales possible. 
E) gain more distribution outlets.

Question 4

Figure 11-5
  
-The consumers represented by Segment B in Figure 11-5 above are called

Accepted Answer

A) early adopters. 
B) late majority. 
C) laggards. 
D) early majority. 
E) innovators. 
A) early adopters. 
B) late majority. 
C) laggards. 
D) early majority. 
E) innovators.

Question 5

All of the following are true about a skimming pricing strategy when used during the introduction stage of the product life cycle except which?

Accepted Answer

A) It capitalizes on the price insensitivity of early buyers. 
B) It typically results in high profit margins. 
C) It encourages competitive entrants into the market. 
D) It recovers the R&D costs of the new offering. 
E) It helps build unit volume. 
A) It capitalizes on the price insensitivity of early buyers. 
B) It typically results in high profit margins. 
C) It encourages competitive entrants into the market. 
D) It recovers the R&D costs of the new offering. 
E) It helps build unit volume.

Question 6

Figure 11-5
  
-Under the concept of the diffusion of innovation,consumers who have a fear of debt and depend on neighbors and friends as their information sources are called

Accepted Answer

A) innovators. 
B) early adopters. 
C) the early majority. 
D) the late majority. 
E) laggards. 
A) innovators. 
B) early adopters. 
C) the early majority. 
D) the late majority. 
E) laggards.

Question 7

During the introduction stage of the product life cycle,the strategy that discourages competitive entry by charging a low price for a new product is referred to as ________ pricing.

Accepted Answer

A) penetration 
B) cost-plus 
C) target ROI 
D) below-market 
E) skimming 
A) penetration 
B) cost-plus 
C) target ROI 
D) below-market 
E) skimming

Question 8

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 most 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 9

The launch by Gatorade of Gatorade chews,bars,powders,shakes,and yogurt is evidence of

Accepted Answer

A) dynamic development. 
B) discontinuous development. 
C) product development. 
D) symbiotic development. 
E) simultaneous development. 
A) dynamic development. 
B) discontinuous development. 
C) product development. 
D) symbiotic development. 
E) simultaneous development.

Question 10

Brand equity refers to

Accepted Answer

A) the resources invested to create a name,phrase,design,symbol,or combination of these to identify a firm's products and distinguish them from those of its competitors. 
B) the difference between the revenues generated and the costs incurred to sell a product. 
C) increasing the content contained within the brand's package without changing its size or increasing its price. 
D) the net present value of the royalties the firm receives as a result of licensing its brand to other firms to manufacture and/or market. 
E) the added value a brand name gives to a product beyond the functional benefits provided. 
A) the resources invested to create a name,phrase,design,symbol,or combination of these to identify a firm's products and distinguish them from those of its competitors. 
B) the difference between the revenues generated and the costs incurred to sell a product. 
C) increasing the content contained within the brand's package without changing its size or increasing its price. 
D) the net present value of the royalties the firm receives as a result of licensing its brand to other firms to manufacture and/or market. 
E) the added value a brand name gives to a product beyond the functional benefits provided.

Question 11

Figure 11-5
  
-In terms of the diffusion of innovation,early majority accounts for ________ percent of product adopters.

Accepted Answer

A) 2)5 
B) 13.5 
C) 16 
D) 34 
E) 50 
A) 2)5 
B) 13.5 
C) 16 
D) 34 
E) 50

Question 12

Brand equity provides a financial advantage for a brand's owner because successful,established brand names have an economic value in the sense that they are

Accepted Answer

A) tangible assets. 
B) intangible assets. 
C) durable goods. 
D) nondurable goods. 
E) immaterial equity. 
A) tangible assets. 
B) intangible assets. 
C) durable goods. 
D) nondurable goods. 
E) immaterial equity.

Question 13

Packaging

Accepted Answer

A) is any box,bottle,jar,can,carton,or bag that can be used for transporting services. 
B) is any container in which a product is offered for sale and on which label information is communicated. 
C) is that part of a product that is not recycled. 
D) identifies the product or brand,who made it,where and when it was made,how it is to be used,and the contents and ingredients. 
E) is any container used in the preservation of ideas. 
A) is any box,bottle,jar,can,carton,or bag that can be used for transporting services. 
B) is any container in which a product is offered for sale and on which label information is communicated. 
C) is that part of a product that is not recycled. 
D) identifies the product or brand,who made it,where and when it was made,how it is to be used,and the contents and ingredients. 
E) is any container used in the preservation of ideas.

Question 14

Define brand equity.List the four sequential steps used to develop brand equity.Which step is the most difficult?

Accepted Answer

Brand equity is the added value a brand

Question 15

During the introduction stage of the product life cycle,the place (distribution)element of the marketing mix is highly involved with

Accepted Answer

A) increasing inventory levels at warehouses and distribution centers to meet potential demand. 
B) gaining as many retail distribution outlets as possible,even though many will be reluctant to carry the new product. 
C) using an intermodal logistics system to get the products through the marketing channel as quickly as possible. 
D) building storage warehouses and distribution centers to establish an efficient infrastructure for the new product. 
E) obtaining contracts with independent sales agents and brokers instead of using the firm's salesforce. 
A) increasing inventory levels at warehouses and distribution centers to meet potential demand. 
B) gaining as many retail distribution outlets as possible,even though many will be reluctant to carry the new product. 
C) using an intermodal logistics system to get the products through the marketing channel as quickly as possible. 
D) building storage warehouses and distribution centers to establish an efficient infrastructure for the new product. 
E) obtaining contracts with independent sales agents and brokers instead of using the firm's salesforce.

Question 16

Explain the following statement: "Packaging provides communication,functional,and perceptual benefits for manufacturers,retailers,and consumers."

Accepted Answer

Packages provide important benefits for

Question 17

Warranties that specifically state the bounds of coverage and,more important,areas of noncoverage are referred to as ________ warranties.

Accepted Answer

A) express 
B) functional 
C) explicit 
D) limited-coverage 
E) implied 
A) express 
B) functional 
C) explicit 
D) limited-coverage 
E) implied

Question 18

Figure 11-6
-Figure 11-6 above shows the sequential process of building brand equity.The third step is to elicit the proper consumer responses to a brand's identity and meaning.This step consists of two dimensions,D and E,which represent

Accepted Answer

A) brand identity and brand emotion. 
B) brand performance and brand imagery. 
C) consumer judgments and consumer feelings. 
D) brand awareness and consumer-brand connection. 
E) consumer feelings and brand imagery. 
A) brand identity and brand emotion. 
B) brand performance and brand imagery. 
C) consumer judgments and consumer feelings. 
D) brand awareness and consumer-brand connection. 
E) consumer feelings and brand imagery.

Question 19

All of the following are product modification strategies except which?

Accepted Answer

A) product bundling 
B) improving a product's quality 
C) changing a product's appearance 
D) creating a new use situation 
E) altering a product's performance 
A) product bundling 
B) improving a product's quality 
C) changing a product's appearance 
D) creating a new use situation 
E) altering a product's performance

Question 20

Figure 11-5
  
-The consumers represented by Segment D in Figure 11-5 above are called

Accepted Answer

A) early adopters. 
B) late majority. 
C) laggards. 
D) early majority. 
E) innovators. 
A) early adopters. 
B) late majority. 
C) laggards. 
D) early majority. 
E) innovators.

Exam 11: Managing Successful Products, services, and Brands

Secret deodorant maintains its leadership position as one of many products in what is typically considered a ________ product category.

A company may choose a skimming strategy during the introduction stage of its product to help recover costs of development and to

Figure 11-5 -The consumers represented by Segment B in Figure 11-5 above are called

All of the following are true about a skimming pricing strategy when used during the introduction stage of the product life cycle except which?

Figure 11-5 -Under the concept of the diffusion of innovation,consumers who have a fear of debt and depend on neighbors and friends as their information sources are called

During the introduction stage of the product life cycle,the strategy that discourages competitive entry by charging a low price for a new product is referred to as ________ pricing.

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 most people.What type of product life cycle curve would be associated with this product?

The launch by Gatorade of Gatorade chews,bars,powders,shakes,and yogurt is evidence of

Brand equity refers to

Figure 11-5 -In terms of the diffusion of innovation,early majority accounts for ________ percent of product adopters.

Brand equity provides a financial advantage for a brand's owner because successful,established brand names have an economic value in the sense that they are

Packaging

Define brand equity.List the four sequential steps used to develop brand equity.Which step is the most difficult?

During the introduction stage of the product life cycle,the place (distribution)element of the marketing mix is highly involved with

Explain the following statement: "Packaging provides communication,functional,and perceptual benefits for manufacturers,retailers,and consumers."

Warranties that specifically state the bounds of coverage and,more important,areas of noncoverage are referred to as ________ warranties.

Figure 11-6 -Figure 11-6 above shows the sequential process of building brand equity.The third step is to elicit the proper consumer responses to a brand's identity and meaning.This step consists of two dimensions,D and E,which represent

All of the following are product modification strategies except which?

Figure 11-5 -The consumers represented by Segment D in Figure 11-5 above are called

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 Multichannel Marketing

Pulling It All Together: the Strategic Marketing Process

Writing Successful Marketing and Business Plans: Tips and Guidelines

Financial Statements and Ratios

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