Question 1

Conjoint analysis has been used to:

Accepted Answer

A) Predict the cannibalization effect between two forthcoming new models of sport cars 
B) Predict market shares of forthcoming new models of personal computers 
C) Understand seasonal variations in sales 
D) Analyze the probability of a match for people in the data base of an online dating firm 
A) Predict the cannibalization effect between two forthcoming new models of sport cars 
B) Predict market shares of forthcoming new models of personal computers 
C) Understand seasonal variations in sales 
D) Analyze the probability of a match for people in the data base of an online dating firm

Question 2

Complex products have customer needs that require the understanding of many attributes, or 'dimensions', of the product or service

Accepted Answer

A) True 
 B)False

Question 3

Starbucks' ability to charge up to $4 for a cup of coffee reflects:

Accepted Answer

A) The quality of their marketing 
B) The quality of their beans 
C) The retail environment and sense of customer community they create 
D) All of the above 
A) The quality of their marketing 
B) The quality of their beans 
C) The retail environment and sense of customer community they create 
D) All of the above

Question 4

The supply-side and the demand-side of differentiation refer respectively to:

Accepted Answer

A) A firm's potential to create uniqueness; and customers' needs, values, expectations, and willingness-to-pay 
B) A firm's customers' needs, values, expectations, and willingness-to-pay; and its potential to create uniqueness 
C) The size and wealth of the market; and the combination of a firm's resources and capabilities 
D) All of the above 
A) A firm's potential to create uniqueness; and customers' needs, values, expectations, and willingness-to-pay 
B) A firm's customers' needs, values, expectations, and willingness-to-pay; and its potential to create uniqueness 
C) The size and wealth of the market; and the combination of a firm's resources and capabilities 
D) All of the above

Question 5

The difference between search goods and experience goods is that:

Accepted Answer

A) The quality of search goods can be evaluated by inspection, whereas experience goods require consumption to ascertain their true quality 
B) Search goods need to be found and inspected, whereas experience goods are those you have tried already 
C) Search goods are newly launched products, whereas experience products are mature goods, ahead in their product-lifecycle 
D) The quality of experience goods can be evaluated by inspection, whereas search goods require consumption to ascertain their true quality 
A) The quality of search goods can be evaluated by inspection, whereas experience goods require consumption to ascertain their true quality 
B) Search goods need to be found and inspected, whereas experience goods are those you have tried already 
C) Search goods are newly launched products, whereas experience products are mature goods, ahead in their product-lifecycle 
D) The quality of experience goods can be evaluated by inspection, whereas search goods require consumption to ascertain their true quality

Question 6

What are the costs of differentiation?

Accepted Answer

A) There are no specific costs associated with differentiation 
B) Differentiation induces direct and indirect costs 
C) Differentiation induces design and marketing costs 
D) Both c and d 
A) There are no specific costs associated with differentiation 
B) Differentiation induces direct and indirect costs 
C) Differentiation induces design and marketing costs 
D) Both c and d

Question 7

The collapse of Bernard L. Madoff Investment Securities LLC illustrates that:

Accepted Answer

A) Firms are extremely fragile 
B) True performance attributes can be slow to reveal themselves 
C) The corporate governance system was a failure 
D) Human beings are fundamentally bad 
A) Firms are extremely fragile 
B) True performance attributes can be slow to reveal themselves 
C) The corporate governance system was a failure 
D) Human beings are fundamentally bad

Question 8

Product integrity can be defined as:

Accepted Answer

A) The ability of a product to withstand rough use 
B) The consistency of a firm's differentiation 
C) The extent to which the product meets ethical standards 
D) Both a and b 
A) The ability of a product to withstand rough use 
B) The consistency of a firm's differentiation 
C) The extent to which the product meets ethical standards 
D) Both a and b

Question 9

If key aspects of a firm's successfully differentiated product are copied by 2 or 3 rivals' products, but not the whole industry:

Accepted Answer

A) We can say this differentiation seems to have been accepted by some customers 
B) We can say this differentiated product was an unproven experiment until it was imitated 
C) We can say a new market segment has been opened 
D) A and C are true 
A) We can say this differentiation seems to have been accepted by some customers 
B) We can say this differentiated product was an unproven experiment until it was imitated 
C) We can say a new market segment has been opened 
D) A and C are true

Question 10

The example of a Japanese home appliance company designing a coffee percolator demonstrates:

Accepted Answer

A) The need to focus on the expectations and desires of customers, not competitors 
B) The importance of thorough market research 
C) The difficulty of launching a new product 
D) The need to explore water quality 
A) The need to focus on the expectations and desires of customers, not competitors 
B) The importance of thorough market research 
C) The difficulty of launching a new product 
D) The need to explore water quality

Question 11

For both sides of differentiation sources, implementing a successful differentiation requires:

Accepted Answer

A) Common sense and knowledge of customers' needs 
B) A strong commitment from top managers and from the marketing department 
C) Strong financial resources for the marketing department 
D) A match between the customer's demand for differentiation and a firm's internal ability to supply differentiation 
A) Common sense and knowledge of customers' needs 
B) A strong commitment from top managers and from the marketing department 
C) Strong financial resources for the marketing department 
D) A match between the customer's demand for differentiation and a firm's internal ability to supply differentiation

Question 12

Hedonic price analysis, conjoint analysis and value curve analysis are three marketing techniques for comparing the relative importance of different attributes or dimensions of a product to customers

Accepted Answer

A) True 
 B)False

Question 13

"Experience goods" are those which:

Accepted Answer

A) Have qualities or performance that are difficult to ascertain at the moment of purchase 
B) Only customers with previous experience of using these goods would rationally consider purchasing 
C) Only firms with wide experience in an industry would rationally consider making 
D) Have been produced by the firm furthest down the Learning Curve 
A) Have qualities or performance that are difficult to ascertain at the moment of purchase 
B) Only customers with previous experience of using these goods would rationally consider purchasing 
C) Only firms with wide experience in an industry would rationally consider making 
D) Have been produced by the firm furthest down the Learning Curve

Question 14

Harley Davidson and MTV share:

Accepted Answer

A) The attribute of lifestyle products for their respective products 
B) A critical factor in their differentiation, the ability of customers and employees to identify with one another 
C) Both a and b 
D) None of the above 
A) The attribute of lifestyle products for their respective products 
B) A critical factor in their differentiation, the ability of customers and employees to identify with one another 
C) Both a and b 
D) None of the above

Question 15

To use the value chain to identify differentiation opportunities you start by building two value chains for your firm and your customers, and then:

Accepted Answer

A) Identify competitive strengths in your customers' value chain, and tell them how they could do these activities even better 
B) Identify the drivers of uniqueness in your value chain, select pertinent differentiation variables, then build them quickly into your new product or service 
C) Build an experience curve, select pertinent signals of quality, select pertinent differentiation variables, and then maximize production volumes 
D) Identify and select your uniqueness drivers, and then identify the vital links between your two respective value chains 
A) Identify competitive strengths in your customers' value chain, and tell them how they could do these activities even better 
B) Identify the drivers of uniqueness in your value chain, select pertinent differentiation variables, then build them quickly into your new product or service 
C) Build an experience curve, select pertinent signals of quality, select pertinent differentiation variables, and then maximize production volumes 
D) Identify and select your uniqueness drivers, and then identify the vital links between your two respective value chains

Question 16

Does differentiation imply segmentation?

Accepted Answer

Differentiation provides customers with

Question 17

External product integrity means how well a product's structure and function fit:

Accepted Answer

A) The customer's use patterns, production system or lifestyle 
B) Your firm's use patterns, production system and values 
C) Your firm's objectives, values and production system 
D) Your employees' objectives, values, lifestyle and self-identity 
A) The customer's use patterns, production system or lifestyle 
B) Your firm's use patterns, production system and values 
C) Your firm's objectives, values and production system 
D) Your employees' objectives, values, lifestyle and self-identity

Question 18

Why is differentiation valuable?

Accepted Answer

Differentiation is a business-level stra

Question 19

What is the difference between differentiation and segmentation?

Accepted Answer

A) There is no difference between the two 
B) Differentiation deals with "how" a firm chooses to compete, while segmentation describes "where" in the entire market a firm chooses to compete 
C) Differentiation is a firm's strategic choice, whereas segmentation is given by its environment 
D) Segmentation is the head of the marketing department's responsibility, whereas the CEO is in charge of differentiation 
A) There is no difference between the two 
B) Differentiation deals with "how" a firm chooses to compete, while segmentation describes "where" in the entire market a firm chooses to compete 
C) Differentiation is a firm's strategic choice, whereas segmentation is given by its environment 
D) Segmentation is the head of the marketing department's responsibility, whereas the CEO is in charge of differentiation

Question 20

Differentiation can be decomposed into the demand side, the supply side, and the integration of them

Accepted Answer

A) True 
 B)False

Conjoint analysis has been used to:

Complex products have customer needs that require the understanding of many attributes, or 'dimensions', of the product or service

Starbucks' ability to charge up to $4 for a cup of coffee reflects:

The supply-side and the demand-side of differentiation refer respectively to:

The difference between search goods and experience goods is that:

What are the costs of differentiation?

The collapse of Bernard L. Madoff Investment Securities LLC illustrates that:

Product integrity can be defined as:

If key aspects of a firm's successfully differentiated product are copied by 2 or 3 rivals' products, but not the whole industry:

The example of a Japanese home appliance company designing a coffee percolator demonstrates:

For both sides of differentiation sources, implementing a successful differentiation requires:

Hedonic price analysis, conjoint analysis and value curve analysis are three marketing techniques for comparing the relative importance of different attributes or dimensions of a product to customers

"Experience goods" are those which:

Harley Davidson and MTV share:

To use the value chain to identify differentiation opportunities you start by building two value chains for your firm and your customers, and then:

Does differentiation imply segmentation?

External product integrity means how well a product's structure and function fit:

Why is differentiation valuable?

What is the difference between differentiation and segmentation?

Differentiation can be decomposed into the demand side, the supply side, and the integration of them

The Concept of Strategy

Goals, Values and Performance

Industry Analysis: the Fundamentals

Further Topics in Industry and Competitive Analysis

Analyzing Resources and Capabilities

Developing Resources and Capabilities

Organization Structure and Management Systems: the Fundamentals of Strategy Implementation

The Nature and Sources of Competitive Advantage

Cost Advantage

Industry Evolution and Strategic Change

Technology-Based Industries and the Management of Innovation

Competitive Advantage in Mature Industries

Vertical Integration and the Scope of the Firm

Global Strategies and the Multinational Corporation

Diversification Strategy

Implementing Corporate Strategy: Management of the Multibusiness Firm

Current Trends in Strategic Management

Filters

Exam 10: Differentiation Advantage

Conjoint analysis has been used to:

Complex products have customer needs that require the understanding of many attributes, or 'dimensions', of the product or service

Starbucks' ability to charge up to $4 for a cup of coffee reflects:

The supply-side and the demand-side of differentiation refer respectively to:

The difference between search goods and experience goods is that:

What are the costs of differentiation?

The collapse of Bernard L. Madoff Investment Securities LLC illustrates that:

Product integrity can be defined as:

If key aspects of a firm's successfully differentiated product are copied by 2 or 3 rivals' products, but not the whole industry:

The example of a Japanese home appliance company designing a coffee percolator demonstrates:

For both sides of differentiation sources, implementing a successful differentiation requires:

Hedonic price analysis, conjoint analysis and value curve analysis are three marketing techniques for comparing the relative importance of different attributes or dimensions of a product to customers

"Experience goods" are those which:

Harley Davidson and MTV share:

To use the value chain to identify differentiation opportunities you start by building two value chains for your firm and your customers, and then:

Does differentiation imply segmentation?

External product integrity means how well a product's structure and function fit:

Why is differentiation valuable?

What is the difference between differentiation and segmentation?

Differentiation can be decomposed into the demand side, the supply side, and the integration of them

The Concept of Strategy

Goals, Values and Performance

Industry Analysis: the Fundamentals

Further Topics in Industry and Competitive Analysis

Analyzing Resources and Capabilities

Developing Resources and Capabilities

Organization Structure and Management Systems: the Fundamentals of Strategy Implementation

The Nature and Sources of Competitive Advantage

Cost Advantage

Industry Evolution and Strategic Change

Technology-Based Industries and the Management of Innovation

Competitive Advantage in Mature Industries

Vertical Integration and the Scope of the Firm

Global Strategies and the Multinational Corporation

Diversification Strategy

Implementing Corporate Strategy: Management of the Multibusiness Firm

Current Trends in Strategic Management

Filters