Exam 9: Product and Service Strategies

Competitive advantages are NOT possible in the service sector, so service providers must find other ways to differentiate themselves.

Two of the most important variables in the purchase of a convenience product are the location of the store and the location of the product within the store.

Purchasers of component parts and materials need regular, continuous supplies of uniform-quality products.

What does a consumer expect when purchasing convenience products?

List five questions that classify consumer services.

MRO items, although relatively standardized, are rarely subject to heavy price competition.

A product a customer keeps on hand and replenishes when the product runs out is called a staple.

Increased competition has forced traditional service industries to de-emphasize the marketing mix and focus on superior customer service in order to compete effectively in the marketplace.

The majority of consumer products can be classified as unsought products.

Which of the following comes closest to providing a pure good?

Which of the following products relies LEAST on personal selling?

Benchmarking seeks to identify how business leaders recognize superior marketing performance in their industries and develop a system for continuously comparing and measuring performance against outstanding performers.

When a manufacturer of the food condiment vinegar promotes its use as a metal cleaner, the manufacturer is attempting to extend the product's life by increasing its frequency of use.

The majority of firms today market only one product.

The expected and perceived quality of a service offering has little effect on the competitiveness of a company.

During the maturity stage of the product life cycle, the industry sales curve for a product reaches a minimum point as the competitors exhaust the supply of potential customers.

Why do grocery stores usually display items such as candy, gum, and magazines near the checkout counter?

During the decline stage of the product life cycle, the preferred marketing strategy is to increase prices to ensure profitability.

Which of the following business products would be classified as an installation?

Hotels often use the same room decor and dining menu at all their locations in an attempt to standardize the services they offer.