Question 1

Customer training and customer consulting are two areas for service differentiation that manufacturers can use with their products.

Accepted Answer

A) True 
 B)False  True

Question 2

Industrial goods can be classified in terms of how they enter the production process and their relative costliness.Identify the three groups of industrial goods.

Accepted Answer

The three groups of industrial goods include: (1)Materials and parts are goods that enter the manufacturer's product completely.Raw materials (farm and natural products)and manufactured materials and parts (component materials and component parts)compose this group; (2)Capital items are long-lasting goods that facilitate developing or managing the finished product,such as machinery (installations and equipment);and (3)Supplies and business services are short-term goods and services that facilitate developing or managing the finished product;maintenance and repair and operating supplies are included here.Business supplies include advisory services and other "services" necessary for the ongoing operation of the business.

Question 3

Supplies are the equivalent of convenience goods;they are usually purchased with minimum effort on a straight rebuy basis.

Accepted Answer

A) True 
 B)False  True

Question 4

Carl always buys bread and milk when he goes grocery shopping.In this case,bread and milk are examples of impulse goods.

Accepted Answer

A) True 
 B)False

Question 5

What is the significance of design for a company's products and services? What are the advantages of a good design?

Accepted Answer

Design offers a potent way to differenti

Question 6

Manufacturers of systems such as razors and ink jet printers use a system of pricing called "two-part pricing",one price for the disposable products and another for the "hardware."

Accepted Answer

A) True 
 B)False

Question 7

A(n)________ is defined as a distinct unit within a brand or product line distinguishable by size,price,appearance,or some other attribute.

Accepted Answer

A) stockkeeping unit 
B) inventory turn 
C) individual brand 
D) product type 
E) brand line 
A) stockkeeping unit 
B) inventory turn 
C) individual brand 
D) product type 
E) brand line

Question 8

Purchasers of theatre tickets receive a 20% discount if they purchase and pay for the full season at one time.This is an example of what type of product-mix pricing?

Accepted Answer

A) mixed bundling 
B) pure bundling 
C) cross-promotion 
D) captive pricing 
E) two-part pricing 
A) mixed bundling 
B) pure bundling 
C) cross-promotion 
D) captive pricing 
E) two-part pricing

Question 9

In your position as a marketing manager for a small industrial company,you have been asked by the president to help differentiate the company's product from its competitors.In reviewing your marketing management notes,you note that the text stated that physical products could be differentiated in nine ways.These nine areas comprise the "meat" of the memo you are writing to the president of your firm.What are the nine ways that physical products can be differentiated?

Accepted Answer

The nine ways that physical pr

Question 10

The potential disadvantages of ________ are the risks and lack of control from becoming aligned with another brand in the consumers mind.Consumer expectations about the level of involvement and commitment are likely to be high,so unsatisfactory performance could be very negative for the brands involved.

Accepted Answer

A) co-branding 
B) cannibalization 
C) vertical integration 
D) disintermediation 
E) brand stretching 
A) co-branding 
B) cannibalization 
C) vertical integration 
D) disintermediation 
E) brand stretching

Question 11

Durable products normally require less personal selling and service and less seller guarantees than nondurable goods.

Accepted Answer

A) True 
 B)False

Question 12

The ________ of the product mix refers to how closely related the various product lines are in end use,production requirements,distribution channels,or some other way.

Accepted Answer

A) consistency 
B) depth 
C) width 
D) length 
E) composition 
A) consistency 
B) depth 
C) width 
D) length 
E) composition

Question 13

Your research shows that over 53% of all purchases are made on impulse.As you sit down with your packaging design team,you tell them that the package must communicate many of the sales tasks.List the sales tasks that packaging must now incorporate due to the increase in self-service sales.

Accepted Answer

These tasks are: attract atten

Question 14

In planning its market offering,the marketer needs to address five product levels,each of which reduces customer value.

Accepted Answer

A) True 
 B)False

Question 15

In the rapidly changing market of today's world,product lines must be continuously updated or modernized.

Accepted Answer

A) True 
 B)False

Question 16

Because they are intangible,durable goods normally require more quality control,supplier credibility,and adaptability than either services or nondurable goods.

Accepted Answer

A) True 
 B)False

Question 17

________ are the major factors influencing the selection of suppliers for natural products.

Accepted Answer

A) Price and delivery reliability 
B) Product features and customization 
C) Price and customization 
D) Delivery reliability and product features 
E) Customization and delivery reliability 
A) Price and delivery reliability 
B) Product features and customization 
C) Price and customization 
D) Delivery reliability and product features 
E) Customization and delivery reliability

Question 18

As the marketing manager for your firm,you have been approached by your key component manufacturer suggesting that your two firms "ingredient brand" a new item.What are some of the requirements for succeeding in ingredient branding?

Accepted Answer

First,the consumer must perceive that th

Question 19

Firms should design the highest performance level possible for their products.

Accepted Answer

A) True 
 B)False

Question 20

You have been asked to prepare a product-line analysis for your company's stable of products.Why is it important for product-line mangers to do a product-line analysis?

Accepted Answer

Product-line managers need to know the s

Exam 12: Setting Product Strategy

Customer training and customer consulting are two areas for service differentiation that manufacturers can use with their products.

Industrial goods can be classified in terms of how they enter the production process and their relative costliness.Identify the three groups of industrial goods.

Supplies are the equivalent of convenience goods;they are usually purchased with minimum effort on a straight rebuy basis.

Carl always buys bread and milk when he goes grocery shopping.In this case,bread and milk are examples of impulse goods.

What is the significance of design for a company's products and services? What are the advantages of a good design?

Manufacturers of systems such as razors and ink jet printers use a system of pricing called "two-part pricing",one price for the disposable products and another for the "hardware."

A(n)________ is defined as a distinct unit within a brand or product line distinguishable by size,price,appearance,or some other attribute.

Purchasers of theatre tickets receive a 20% discount if they purchase and pay for the full season at one time.This is an example of what type of product-mix pricing?

Durable products normally require less personal selling and service and less seller guarantees than nondurable goods.

The ________ of the product mix refers to how closely related the various product lines are in end use,production requirements,distribution channels,or some other way.

Your research shows that over 53% of all purchases are made on impulse.As you sit down with your packaging design team,you tell them that the package must communicate many of the sales tasks.List the sales tasks that packaging must now incorporate due to the increase in self-service sales.

In planning its market offering,the marketer needs to address five product levels,each of which reduces customer value.

In the rapidly changing market of today's world,product lines must be continuously updated or modernized.

Because they are intangible,durable goods normally require more quality control,supplier credibility,and adaptability than either services or nondurable goods.

________ are the major factors influencing the selection of suppliers for natural products.

As the marketing manager for your firm,you have been approached by your key component manufacturer suggesting that your two firms "ingredient brand" a new item.What are some of the requirements for succeeding in ingredient branding?

Firms should design the highest performance level possible for their products.

You have been asked to prepare a product-line analysis for your company's stable of products.Why is it important for product-line mangers to do a product-line analysis?

Defining Marketing for the New Realities

Developing Marketing Strategies and Plans

Gathering Information and Forecasting Demand

Conducting Marketing Research

Creating Customer Value,satisfaction,and Loyalty

Analyzing Consumer Markets

Analyzing Business Markets

Identifying Market Segments and Targets

Creating Brand Equity

Crafting the Brand Positioning

Competitive Dynamics

Designing and Managing Services

Developing Pricing Strategies and Programs

Designing and Managing Marketing Channels and Value Networks

Managing Retailing,wholesaling,and Logistics

Designing and Managing Integrated Marketing Communications

Managing Mass Communications: Advertising, sales Promotions, events, and Public Relations

Managing Digital Communications: Online, social Media, and Mobile

Managing Personal Communications: Direct and Database Marketing and Personal Selling

Introducing New Market Offerings

Tapping Into Global Markets

Managing a Holistic Marketing Organization

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