Question 1

Which of the following statements regarding the maturity stage of the product life cycle is MOST accurate?

Accepted Answer

A)  Technological forces often push a product from the introduction stage to the maturity stage. 
B)  During this stage, companies add more distribution outlets to maximize target market coverage. 
C)  Sales increase at a decreasing rate as fewer new buyers enter the market. 
D)  Industry profits peak because production and distribution costs are declining. 
E)  Total industry profits exceed total industry sales.

Question 2

Kemps Dairy makes Life Savers Real Fruit Sherbet (with the flavors of a favorite childhood candy).Kemps Dairy had to pay Wrigley,the owner of the Life Savers brand name,a fee to market this concoction.This is most likely an example of __________.

Accepted Answer

A)  generic branding 
B)  reseller licensing 
C)  mixed branding 
D)  brand licensing 
E)  co-branding

Question 3

Figure 11-7
-Companies can employ several different branding strategies.In Figure 11-7 above,"C" represents a __________ strategy.

Accepted Answer

A)  retailer branding 
B)  multiproduct branding 
C)  multibranding 
D)  private branding 
E)  mixed branding

Question 4

Which of the following is a characteristic of the growth stage of the product life cycle?

Accepted Answer

A)  Advertising emphasis switches to primary demand. 
B)  a growing proportion of initial purchasers to repeat purchasers 
C)  addition of new or modified product features 
D)  Profit margins increase as sales increase. 
E)  There are a limited number of retail outlets for greater quality control.

Question 5

Dell EC 280 is a small desktop computer that uses less electrical power and is targeted at the less affluent,but very large Chinese market that has never owned a personal computer.The PC was introduced at a price of $340 for a basic configuration.Dell most likely used which pricing strategy in this example?

Accepted Answer

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

Question 6

Bayer aspirin is sold in the original strength,in a safety-coated version,in an extra-strength version,and in a version designed especially for women.The manufacturer of Bayer aspirin is using __________.

Accepted Answer

A)  product item expansion 
B)  subbranding 
C)  product line extension 
D)  co-branding 
E)  brand extension

Question 7

communication aspect of packaging on a can of Campbell's soup would most likely be of the greatest benefit to __________.

Accepted Answer

A)  people in a hurry to get to work 
B)  people on a tight budget 
C)  people with dietary restrictions 
D)  people who are brand loyal 
E)  people who love to try new things

Question 8

Managers often use two special indexes to help identify strong and weak market segments in order to provide direction for marketing efforts.The two indexes are (1)category development index (CDI)and a (2)__________ (BDI).

Accepted Answer

A)  business development index 
B)  brand development index 
C)  business-portfolio development index 
D)  buyers development index 
E)  benchmark development index

Question 9

Tylenol successfully used __________ with the introduction of Tylenol Arthritis Pain,Tylenol Sinus Congestion & Pain Daytime,Tylenol Cold and Flu,and Tylenol PM.

Accepted Answer

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

Question 10

Describe the decline stage of the product life cycle.Explain the two strategies a company might employ if its product were in the decline stage of its product life cycle.

Accepted Answer

The answer of Describe the decline stage of the product...

Question 11

key challenges that package and label designers face include: (1)connecting with customers; (2)environmental concerns; (3)__________; and (4)cost reduction.

Accepted Answer

A)  health, safety, and security issues 
B)  competition from global markets 
C)  patent and trademark issues 
D)  governmental regulations 
E)  cultural and societal issues

Question 12

of the following are true about the length of product life cycles EXCEPT __________.

Accepted Answer

A)  the length of service life cycles is typically longer than those for 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 13

though Liquid Paper correction fluid is in the __________ stage of its product life cycle,Sanford,its manufacturer,has not deleted it from its line because there is still a residual core of consumers who use the product.

Accepted Answer

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

Question 14

of the following are responsibilities of a product or brand manager EXCEPT: __________.

Accepted Answer

A)  engaging in extensive data analysis related to their products and brands 
B)  developing new products 
C)  managing existing products through the stages of their life cycles 
D)  developing and implementing strategies at the corporate level 
E)  developing and executing a marketing program described in an annual marketing plan for the product line

Question 15

Industry analysts estimate that the number of e-mail mailboxes worldwide will grow to __________ by 2014.

Accepted Answer

A)  2.1 billion 
B)  2.5 billion 
C)  3.1 billion 
D)  3.5 billion 
E)  4.1 billion

Question 16

better connect with its customers,the Campbell Soup Company __________.

Accepted Answer

A)  gave the products a more interesting brand personality 
B)  created additional brand extensions, such as adding chili, stir fry, and other ethnic frozen entrees 
C)  engaged in a co-branding effort with Perdue to add its high quality chicken, turkey, and other poultry products to its Campbell's Premium line of soups 
D)  complied with ISO 9000 total quality management guidelines due to its expansion into Asian markets 
E)  used sophisticated neuromarketing techniques to analyze consumer response to its label and changed the packaging accordingly

Question 17

Imagine that Post Cereal introduces a cereal bar-Trail Mix Crunch-just like the ones Kellogg's and General Mills already have on the market.Post has decided to promote the bars using ads without coupons and to price the bars at about the same price as these other brands.Post Cereal Trail Mix Crunch cereal bars will also be distributed to the same stores as the products from Kellogg's and General Mills' bars.Which of the following barriers to new product adoption will most likely prevent the Post Cereal Trail Mix Crunch cereal bars from being a successful product?

Accepted Answer

A)  value barrier 
B)  psychological barrier 
C)  risk barrier 
D)  usage barrier 
E)  social barrier

Question 18

shapes of the product life cycle for high-learning,low-learning,fashion,and fad products vary as does __________.

Accepted Answer

A)  the actual length of time a given product stays in any given stage of the life cycle 
B)  the individual criteria selected to place a firm in a stage of the life cycle 
C)  the importance of the marketing mix elements 
D)  the importance of environmental forces 
E)  the importance of new product innovation

Question 19

Multiproduct branding refers to a branding strategy __________.

Accepted Answer

A)  that involves giving each product a distinct name when each brand is intended for a different market segment 
B)  that uses different brand names for the same product across multiple countries 
C)  in which a company uses one name for all its products in a product class 
D)  in which manufacturers produce products but sell them under the brand name of a wholesaler or retailer 
E)  in which a company uses a contractual agreement to allow someone else to use its brand name for a fee

Question 20

terms of the diffusion of innovation,early adopters account for __________ of product adopters.

Accepted Answer

A)  2.5% 
B)  13.5% 
C)  16% 
D)  34% 
E)  50%

Exam 11: Managing Successful Products,Services,and Brands