Exam 12: Understanding Marketing Principles and Developing Products

Virtually all products have very short life cycles. The only real exception is Coca-Cola.

What is the difference between consumer goods and industrial goods?

On the first day of your new job, you notice that your wardrobe is not up to company standards. You are at the ________ stage of the consumer buying process. problem recognition purchase decision post-purchase evaluation information seeking evaluation of alternatives

Primary data are data gathered for primary areas of the firm, like marketing and production. based on facts gathered from library research. based on data newly collected for a specific research purpose. any of the above, depending upon why the marketer is doing the research. gathered by consulting Statistics Canada publications.

The four elements in the marketing mix are advertising, sales promotion, publicity, and public relations. marketing managers, a marketing plan, relationship marketing, and profit. price, place, promotion, and product. profit, price, place, and promotion. demographics, psychographics, geographics, and product-use.

In which stage of the product development process does the firm eliminate all product ideas that do not mesh with the firm's abilities, expertise, or objectives? Product ideas Screening Concept testing Test marketing Prototype development

What are the four categories of brand names?

Which term is used to identify the division of a market into categories of customer types? Industrial marketing Marketing mix Customer marketing Market segmentation Market de-categorization

Which of the following would most likely be considered a shopping good? A package of chewing gum A Bic pen A ream of typing paper A birthday gift for your mother A loaf of bread

What results are expected from a successful product differentiation program? The manner in which the product functions must be changed. Differentiation requires that prices be mid-level in order to generate a high volume of sales. Customer response to the product will change. Differentiation requires that prices be high in order to generate a high volume of sales. Promotional plans will not change.

Bob, due to a strong work ethic, has worked his way up the ladder and would be considered middle class, which is reflected in his recent purchases. This is an example of psychological influences. social influences. personal influences. cultural influences. past experience influences.

Groups of people with similar wants and needs that can be expected to show interest in the same products are called customers. prospects. homogeneous segments. potential customers. target markets.

What is a target market? Teenagers ages 13 to 18 who enjoy fast food Men who are taller and heavier than average The percent of market share the firm wants to achieve A group of people with similar wants who are expected to show interest in the same products The percentage of total revenue generated by one product

Light bulbs, pencils, pads of paper, and lubricating oils for machines are examples of ________ purchased by companies that make other goods. capital items fixed expense goods expense items depreciation goods impulse items

Penelope's Pizza, a local chain of carryout restaurants, has made the decision to expand to a national basis. It plans to open 50 Penelope's in 20 cities across the country within the next two years. In order to efficiently integrate all the tools and company resources to maximize the impact on new customers, Penelope's Pizza is considering using an integrated marketing strategy to promote a coherent national brand perception. The account manager argues that an integrated marketing strategy is the way to go, but the CEO argues that each local community is different, and the needs, values, and norms of the host cities should drive the marketing campaign. After becoming a successful national brand, Penelope's Pizza has made the decision to expand overseas and enter the global market. Using a globally integrated marketing plan, Penelope's plans to enter the pizza market in Germany, Japan, and India. The CEO wants to use an adaptation plan in the new markets, and thus offer kielbasa pizza in Germany, sushi pizza in Japan, and vegetarian pizza in India. The advertising firm recommends a standardization approach as being more cost efficient and brand identifiable. Which statement, if true, supports the CEO's argument? Traditionally, all three markets are slow to adapt to the idea of fast food, and prefer meals with known ingredients that are familiar to them. The cost of introducing new ingredients to the menu will increase the price of pizza by 15 percent. Marketing surveys show that the under-30 generation in each of the three countries is increasingly eager to consume fast food as a status symbol of increasing wealth. The current economic slump has decreased the volume of sales for all fast foods on a global basis. Obtaining vendors for new pizza toppings would require the hiring of additional translators in each country.

Black & Decker makes toasters, vacuum cleaners, electric drills, and a variety of other appliances and tools. This is Black & Decker's product blend. product offering. product mix. product line. multiple product lines.

List the seven steps in the new product development process.

What is primary data?

If a company requires consumer response to a new product under real conditions, which phase of the product development process would the company use? Business analysis Concept testing Commercialization Screening Product testing and test marketing

A car like the Ford Focus tends to be positioned on the basis of economy, while a Porsche tends to be positioned on the basis of performance.