Question 1

A product may be a good or a service but not an idea.

Accepted Answer

A) True 
 B)False

Question 2

Seasonal discounts provide price incentives to customers during peak selling seasons.

Accepted Answer

A) True 
 B)False

Question 3

Hallmark cards develops a new line of cards that have a total cost of €200,000 and a price of €3 each.If it sells 20,000 cards the first month, what is its total revenue?

Accepted Answer

A)  €60,000 
B)  €600,000 
C)  €400,000 
D)  €140,000 
E)  -€140,000 
A)  €60,000 
B)  €600,000 
C)  €400,000 
D)  €140,000 
E)  -€140,000

Question 4

Bread, gasoline, and ____ are examples of convenience products.

Accepted Answer

A)  Cars 
B)  furniture 
C)  newspapers 
D)  large appliances 
E)  a cruise 
A)  Cars 
B)  furniture 
C)  newspapers 
D)  large appliances 
E)  a cruise

Question 5

Three types of product-line pricing are price leaders, special-event pricing, and comparison discounting.

Accepted Answer

A) True 
 B)False

Question 6

If Tiger Mart advertises a 2-liter bottle of Pepsi for €1.29 cents to generate store traffic that will increase the purchasing of other items at regular prices, the grocer is using

Accepted Answer

A)  reference pricing. 
B)  a price leader. 
C)  special-event pricing. 
D)  comparison discounting. 
E)  professional pricing. 
A)  reference pricing. 
B)  a price leader. 
C)  special-event pricing. 
D)  comparison discounting. 
E)  professional pricing.

Question 7

The strategy of setting a single price for two or more units is known as

Accepted Answer

A)  penetration pricing. 
B)  price skimming. 
C)  sample pricing. 
D)  multiple-unit pricing. 
E)  odd pricing. 
A)  penetration pricing. 
B)  price skimming. 
C)  sample pricing. 
D)  multiple-unit pricing. 
E)  odd pricing.

Question 8

Consumers would most likely treat personal computers as ____ products.

Accepted Answer

A)  business 
B)  convenience 
C)  specialty 
D)  shopping 
E)  luxury 
A)  business 
B)  convenience 
C)  specialty 
D)  shopping 
E)  luxury

Question 9

Costs that depend on the number of units produced are called variable costs.

Accepted Answer

A) True 
 B)False

Question 10

Differential pricing means different buyers pay different prices for the same quality and quantity of a product.

Accepted Answer

A) True 
 B)False

Question 11

Energiser batteries are sold in multipacks to make it more convenient for the consumer, who usually needs more than one battery at a time.Energiser batteries would be classified as a ____ product.

Accepted Answer

A)  Household 
B)  Shopping 
C)  Luxury 
D)  specialty 
E)  convenience 
A)  Household 
B)  Shopping 
C)  Luxury 
D)  specialty 
E)  convenience

Question 12

Which of the following is not a major factor contributing to brand equity?

Accepted Answer

A)  Brand loyalty 
B)  Perceived brand quality 
C)  Brand-name awareness 
D)  Brand relationship 
E)  Brand associations 
A)  Brand loyalty 
B)  Perceived brand quality 
C)  Brand-name awareness 
D)  Brand relationship 
E)  Brand associations

Question 13

A product usually declines because of technological advances or environmental factors or because

Accepted Answer

A)  the item is very popular. 
B)  the price is too low. 
C)  consumers have switched to competing brands. 
D)  the price is too high. 
E)  no ads or sales incentives have been used. 
A)  the item is very popular. 
B)  the price is too low. 
C)  consumers have switched to competing brands. 
D)  the price is too high. 
E)  no ads or sales incentives have been used.

Question 14

Manufacturers, wholesalers, and retailers do not use negotiated pricing strategies.

Accepted Answer

A) True 
 B)False

Question 15

When Polaroid comes out with a new model in a series, it sets an initial price and then gradually lowers the price.Polaroid is initially using which pricing strategy?

Accepted Answer

A)  Penetration pricing 
B)  Prestige pricing 
C)  Price lining 
D)  Premium pricing 
E)  Price skimming 
A)  Penetration pricing 
B)  Prestige pricing 
C)  Price lining 
D)  Premium pricing 
E)  Price skimming

Question 16

Borden, Inc.offers pasta, snacks, grocery, and dairy items as well as films, adhesives, and other nonfood products.These products are referred to as Borden's

Accepted Answer

A)  product mix. 
B)  product line. 
C)  product differentiation. 
D)  product life-cycle. 
E)  inventory mix. 
A)  product mix. 
B)  product line. 
C)  product differentiation. 
D)  product life-cycle. 
E)  inventory mix.

Question 17

In her local supermarket Susan purchases green beans in a white can simply labelled as green beans.This represents a(n) ____ brand.

Accepted Answer

A)  Private 
B)  Generic 
C)  Value 
D)  manufacturer 
E)  anonymous 
A)  Private 
B)  Generic 
C)  Value 
D)  manufacturer 
E)  anonymous

Question 18

The quantity of a product that buyers are willing to purchase at various prices is called

Accepted Answer

A)  breakeven quantity. 
B)  supply. 
C)  distended supply. 
D)  inventory. 
E)  demand. 
A)  breakeven quantity. 
B)  supply. 
C)  distended supply. 
D)  inventory. 
E)  demand.

Question 19

Which of the following is considered a trade name?

Accepted Answer

A)  Tide laundry detergent 
B)  GE 
C)  General Motors Corp. 
D)  Coke 
E)  Adidas's three stripes 
A)  Tide laundry detergent 
B)  GE 
C)  General Motors Corp. 
D)  Coke 
E)  Adidas's three stripes

Question 20

The price floor is the lowest price at which a producer can sell its product without incurring a loss.

Accepted Answer

A) True 
 B)False

A product may be a good or a service but not an idea.

Seasonal discounts provide price incentives to customers during peak selling seasons.

Hallmark cards develops a new line of cards that have a total cost of €200,000 and a price of €3 each.If it sells 20,000 cards the first month, what is its total revenue?

Bread, gasoline, and ____ are examples of convenience products.

Three types of product-line pricing are price leaders, special-event pricing, and comparison discounting.

If Tiger Mart advertises a 2-liter bottle of Pepsi for €1.29 cents to generate store traffic that will increase the purchasing of other items at regular prices, the grocer is using

The strategy of setting a single price for two or more units is known as

Consumers would most likely treat personal computers as ____ products.

Costs that depend on the number of units produced are called variable costs.

Differential pricing means different buyers pay different prices for the same quality and quantity of a product.

Energiser batteries are sold in multipacks to make it more convenient for the consumer, who usually needs more than one battery at a time.Energiser batteries would be classified as a ____ product.

Which of the following is not a major factor contributing to brand equity?

A product usually declines because of technological advances or environmental factors or because

Manufacturers, wholesalers, and retailers do not use negotiated pricing strategies.

When Polaroid comes out with a new model in a series, it sets an initial price and then gradually lowers the price.Polaroid is initially using which pricing strategy?

Borden, Inc.offers pasta, snacks, grocery, and dairy items as well as films, adhesives, and other nonfood products.These products are referred to as Borden's

In her local supermarket Susan purchases green beans in a white can simply labelled as green beans.This represents a(n) ____ brand.

The quantity of a product that buyers are willing to purchase at various prices is called

Which of the following is considered a trade name?

The price floor is the lowest price at which a producer can sell its product without incurring a loss.

Introduction to Business

Responsible Business

Global Business

Types of Business Ownership

Small Business, Entrepreneurship, and Franchises

Leadership and Managing a Business

Flexibility Within the Organisation

Products and Services

Recruitment and Retaining the Best Employees

Employee Motivation and Team Building

The Marketing Concept

Marketing Channels

Marketing Communications

Social Media and E-Business

Introduction to Management Accounting

Money and the Banking System

Financial Management

Personal Finances and Investments

Filters

Exam 12: Aproduct Development and Pricing Strategies

A product may be a good or a service but not an idea.

Seasonal discounts provide price incentives to customers during peak selling seasons.

Hallmark cards develops a new line of cards that have a total cost of €200,000 and a price of €3 each.If it sells 20,000 cards the first month, what is its total revenue?

Bread, gasoline, and ____ are examples of convenience products.

Three types of product-line pricing are price leaders, special-event pricing, and comparison discounting.

If Tiger Mart advertises a 2-liter bottle of Pepsi for €1.29 cents to generate store traffic that will increase the purchasing of other items at regular prices, the grocer is using

The strategy of setting a single price for two or more units is known as

Consumers would most likely treat personal computers as ____ products.

Costs that depend on the number of units produced are called variable costs.

Differential pricing means different buyers pay different prices for the same quality and quantity of a product.

Energiser batteries are sold in multipacks to make it more convenient for the consumer, who usually needs more than one battery at a time.Energiser batteries would be classified as a ____ product.

Which of the following is not a major factor contributing to brand equity?

A product usually declines because of technological advances or environmental factors or because

Manufacturers, wholesalers, and retailers do not use negotiated pricing strategies.

When Polaroid comes out with a new model in a series, it sets an initial price and then gradually lowers the price.Polaroid is initially using which pricing strategy?

Borden, Inc.offers pasta, snacks, grocery, and dairy items as well as films, adhesives, and other nonfood products.These products are referred to as Borden's

In her local supermarket Susan purchases green beans in a white can simply labelled as green beans.This represents a(n) ____ brand.

The quantity of a product that buyers are willing to purchase at various prices is called

Which of the following is considered a trade name?

The price floor is the lowest price at which a producer can sell its product without incurring a loss.

Introduction to Business

Responsible Business

Global Business

Types of Business Ownership

Small Business, Entrepreneurship, and Franchises

Leadership and Managing a Business

Flexibility Within the Organisation

Products and Services

Recruitment and Retaining the Best Employees

Employee Motivation and Team Building

The Marketing Concept

Marketing Channels

Marketing Communications

Social Media and E-Business

Introduction to Management Accounting

Money and the Banking System

Financial Management

Personal Finances and Investments

Filters