Exam 12: Setting Product Strategy

The cost of processing a return can be significantly greater than that of an outbound shipment.

Most products can be offered with varying ________ that supplement its basic function.

A company can classify its products into four types that yield different gross margins,depending upon sales volume and promotional costs.The four classifications include all EXCEPT ________.

You have been asked to create a product system for your company's personal digital assistant.Before starting,you must define the term "product system" to the engineers to enable them to start design and production of the aligned items.Define the concept of a "product system."

We define packaging as all the activities of designing and producing the container for a product.This includes up to three levels of material: primary package,secondary package,and ________.

As a selling point,durability commands a particularly high pricing premium,especially for products that are subject to rapid technological obsolescence,as are personal computers and video cameras.

When a physical product cannot easily be differentiated,the key to competitive success may lie in adding valued services and improving quality.Identify and discuss the six main service differentiators.

Marketing planning begins with the formulation of an offering to ________ target customers' needs or wants.

________ describes the product's look and feel to the buyer;it has an advantage of creating distinctiveness that is difficult to copy.

If the Porsche 911 is designed to accelerate to 60 miles per hour within 10 seconds,and every Porsche 911 coming off the assembly line does this,the model is said to have high ________.

Industrial-goods classifications based on terms of how the products enter the production process and their relative costs include such segments as materials and parts and capital items.Window cleaning services,consumable office supplies,personal computers,desks,paint,nails,and buckets are included in the classifications of industrial goods.List the other "classifications" including subclassifications for industrial goods.

Packaging is all the activities of designing and producing the container for a product.

A product is anything that can be offered to a market to satisfy a want or need.

Explain the concepts of product-line width,length,depth,and consistency.

When Baxter Medical supplied their hospitals with computer terminals directly linked to Baxter's ordering system,this was an example of a company differentiating itself versus competition in terms of ________.

Marketers have traditionally classified products on the basis of three characteristics: ________,tangibility,and use.

Studying how consumers shop,how they use a particular product or service,and how they dispose of the product when consumed is important for marketers.This information forms the basis of product strategy.First,define the consumption system and second,identify the two upcoming product strategies that are affected by this knowledge.

Companies normally develop product lines rather than a single product and introduce price steps such as a "low-," "average-," and "high-" priced computer system.

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.

Your firm is contemplating a bundling strategy for its line of products.In a memo to your boss,you outline the three guidelines for correctly implementing a building strategy.