Question 1

A billboard showed simply the shape of a bottle. Typically consumers were able to tell that the ad was for Coca-Cola. Why were consumers able to identify the brand? Specifically, what packaging benefit does Coca-Cola use?

Accepted Answer

The answer of A billboard showed simply the shape of...

Question 2

Warranties, money-back guarantees, extensive usage instructions, demonstrations, and free samples are all ways in which companies attempt to ________ new product adoption.

Accepted Answer

A)  accelerate satisfaction with 
B)  stabilize at maturity any 
C)  minimize growth in competition during 
D)  overcome barriers to 
E)  prevent the precipitous decline of

Question 3

An early breakthrough for Justin's was offering its nut butter product in squeeze packs, a low risk to try and very convenient. The packaging in this case mostly likely offers which type of benefits?

Accepted Answer

A)  functional benefits 
B)  perceptual benefits 
C)  communication benefits 
D)  technology benefits 
E)  sustainability benefits

Question 4

The largest numbers of product adopters with respect to the diffusion of innovation are found among

Accepted Answer

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

Question 5

The classifications of innovators, early adopters, early majority, late majority, and laggards are based upon

Accepted Answer

A)  how frequently a consumer uses a product. 
B)  the number and strength of competitors. 
C)  when consumers begin buying a new product. 
D)  the time it takes to educate a consumer in the use of a new technology. 
E)  how quickly consumers respond to an advertising message or campaign.

Question 6

When a product spreads through the population, it is called the

Accepted Answer

A)  extension of innovation. 
B)  proliferation of innovation. 
C)  open innovation. 
D)  dispersal of innovation. 
E)  diffusion of innovation.

Question 7

Which of these is the first of four steps in building brand equity?

Accepted Answer

A)  developing positive brand awareness 
B)  lowering the price of products 
C)  easing consumers' decision making 
D)  incorporating higher value in products 
E)  creating market modification

Question 8

Which of the following is an example of a product in the maturity stage of the product life cycle?

Accepted Answer

A)  pocket video cameras 
B)  driverless vehicles 
C)  3D HDTVs 
D)  carbonated soft drinks 
E)  fitness trackers

Question 9

When Apple introduced the Apple II personal computer in 1977, industry analysts predicted that very few would be sold. However, when 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.

Question 10

Brand equity is

Accepted Answer

A)  the total of all 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

Products such as Yoplait's Go-GURT®portable low-fat yogurt in a tube demonstrate the importance of the ________ of packaging.

Accepted Answer

A)  perceptual benefits 
B)  communication benefits 
C)  functional benefits 
D)  technology 
E)  renewable resources

Question 12

Seiko makes watches. It markets its higher-quality watches under the Seiko or LaSalle brand names, and its lower-priced watches are sold under the Pulsar brand. Seiko uses a ________ strategy.

Accepted Answer

A)  multibranding 
B)  product differentiation branding 
C)  multiproduct branding 
D)  segmentation branding 
E)  private branding

Question 13

Pretzels were first introduced as a salty snack. Later, the product was repositioned as a low-fat snack in order to

Accepted Answer

A)  respond to a competitor's head-to-head positioning strategy. 
B)  reach a new market. 
C)  catch a rising trend. 
D)  change the value offered. 
E)  change its target audience.

Question 14

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.

Question 15

At what stage of the product life cycle does it first become true that most consumers who would buy a product are either repeat purchasers of the item or have tried and abandoned it?

Accepted Answer

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

Question 16

Explain the difference between primary demand and selective demand.

Accepted Answer

The answer of Explain the difference between primary demand and...

Question 17

In which stage of the product life cycle do marginal competitors begin to leave the market?

Accepted Answer

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

Question 18

Gatorade successfully used a ________ strategy when it introduced a group of lower-calorie options called Gatorade G2.

Accepted Answer

A)  subbranding 
B)  multibranding 
C)  mixed branding 
D)  generic branding 
E)  family branding

Question 19

Xunrui Communications is an upstart maker of inexpensive smartphones for the Chinese market. Xunrui purchases the components and assembles the phones in Shenzhen, located in southern China. These smartphones retail for about $65, significantly less than the $250 to $800 for smartphones marketed by Apple or Samsung, the top providers. Xunrui Communications most likely is using which pricing strategy in this example?

Accepted Answer

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

Question 20

A marketing strategy that alters a product's characteristic, such as its quality, performance, or appearance, to increase its value and sales to customers is referred to as

Accepted Answer

A)  market modification. 
B)  product modification. 
C)  product repositioning. 
D)  market-product synergy. 
E)  product management.

Exam 11: Managing Successful Products, Services, and Brands