Question 1

The characteristics of specialty goods restrict their effective sale over the Internet.

Accepted Answer

A) True 
 B)False

Question 2

According to the Making the Green Connection box,Americans recycle more plastic than cardboard.That's beneficial because plastic is much easier to process and reuse than cardboard.

Accepted Answer

A) True 
 B)False

Question 3

Ultimately,the price of a good is determined by the interaction of supply and demand in the marketplace.

Accepted Answer

A) True 
 B)False

Question 4

A skimming pricing strategy:

Accepted Answer

A)  allows low income households the ability to purchase a particular good or service. 
B)  drives competitors out of business in order to achieve a monopoly position in the market. 
C)  creates a "common man" image to reach a larger market. 
D)  establishes a high price in order to earn the highest possible profit while there is little competition. 
A)  allows low income households the ability to purchase a particular good or service. 
B)  drives competitors out of business in order to achieve a monopoly position in the market. 
C)  creates a "common man" image to reach a larger market. 
D)  establishes a high price in order to earn the highest possible profit while there is little competition.

Question 5

Donavan spent the day talking with a packaging company in Guam,a lighting specialist in Japan,a touchpad expert in the U.S. ,a prototype design firm in Malaysia,as well as a shipping firm in China.Each of these firms provided expertise in the development of his company's latest product,a back-lighted eReader.The strategy that Donavan's firm used to develop its latest product is:

Accepted Answer

A)  Singular source product development. 
B)  Distributed product development. 
C)  Multiple source product development. 
D)  Multitasking product development. 
A)  Singular source product development. 
B)  Distributed product development. 
C)  Multiple source product development. 
D)  Multitasking product development.

Question 6

Firms should listen to their suppliers for new-product ideas.

Accepted Answer

A) True 
 B)False

Question 7

Target costing adds a profit margin to estimated cost of production to determine the optimal price.

Accepted Answer

A) True 
 B)False

Question 8

Computers,copiers,and fax machines used by businesses would be classified as:

Accepted Answer

A)  installations. 
B)  shopping goods. 
C)  specialty goods. 
D)  accessory equipment. 
A)  installations. 
B)  shopping goods. 
C)  specialty goods. 
D)  accessory equipment.

Question 9

The strategy of charging prices based on consumer demand rather than cost or a predetermined profit margin represents:

Accepted Answer

A)  competition-based pricing. 
B)  cost-based pricing. 
C)  target orientation. 
D)  demand-oriented pricing. 
A)  competition-based pricing. 
B)  cost-based pricing. 
C)  target orientation. 
D)  demand-oriented pricing.

Question 10

Accessory equipment consists of capital items that cost less and are shorter lived than installation items.

Accepted Answer

A) True 
 B)False

Question 11

Specialty goods are often marketed through specialty magazines.

Accepted Answer

A) True 
 B)False

Question 12

Demand-based pricing is another name for cost-based pricing.

Accepted Answer

A) True 
 B)False

Question 13

Sales of cell phones in the United States are still increasing,but the rate of growth has slowed.Sales are expected to peak somewhat soon in the U.S.Based on this information,cellular phones are in what stage of the product life cycle in the U.S.?

Accepted Answer

A)  Introduction 
B)  Growth 
C)  Maturity 
D)  Decline 
A)  Introduction 
B)  Growth 
C)  Maturity 
D)  Decline

Question 14

The use of price discounts and coupons may erode the commitment of consumers to brand names.

Accepted Answer

A) True 
 B)False

Question 15

Rather than having frequent special sales,Walt's Warehouse has a pricing strategy that maintains lower prices than competitors all the time.Walt's pricing strategy is known as everyday low prices (EDLP).

Accepted Answer

A) True 
 B)False

Question 16

As a manager at Excitement Foods,Mark is responsible for the firm's Kool'nKreamy brand of ice cream.Recently,he approved a proposal to test market new ice cream flavors.He is also considering the possibility of lowering the price of the ice cream and initiating a new advertising campaign.Mark appears to be a:

Accepted Answer

A)  product development manger. 
B)  target market manager. 
C)  brand manager. 
D)  commercialization manager. 
A)  product development manger. 
B)  target market manager. 
C)  brand manager. 
D)  commercialization manager.

Question 17

For most firms,price competition is the most important way to gain a competitive advantage over rivals.

Accepted Answer

A) True 
 B)False

Question 18

A street vendor selling Rolex watches at ridiculously low prices approached Ted.Ted,however,was suspicious that the watches were illegal ________ brands.

Accepted Answer

A)  knockoff 
B)  private 
C)  generic 
D)  look alike 
A)  knockoff 
B)  private 
C)  generic 
D)  look alike

Question 19

During the ________ stage of the product life cycle sales reach a peak,profits are declining,and the number of competitors starts to decrease.

Accepted Answer

A)  growth 
B)  maturity 
C)  saturation 
D)  decline 
A)  growth 
B)  maturity 
C)  saturation 
D)  decline

Question 20

In marketing today,packaging carries the added responsibility of:

Accepted Answer

A)  promotion and sales. 
B)  minimizing product liability. 
C)  gaining access to international markets. 
D)  keeping product costs down. 
A)  promotion and sales. 
B)  minimizing product liability. 
C)  gaining access to international markets. 
D)  keeping product costs down.

The characteristics of specialty goods restrict their effective sale over the Internet.

According to the Making the Green Connection box,Americans recycle more plastic than cardboard.That's beneficial because plastic is much easier to process and reuse than cardboard.

Ultimately,the price of a good is determined by the interaction of supply and demand in the marketplace.

A skimming pricing strategy:

Firms should listen to their suppliers for new-product ideas.

Target costing adds a profit margin to estimated cost of production to determine the optimal price.

Computers,copiers,and fax machines used by businesses would be classified as:

The strategy of charging prices based on consumer demand rather than cost or a predetermined profit margin represents:

Accessory equipment consists of capital items that cost less and are shorter lived than installation items.

Specialty goods are often marketed through specialty magazines.

Demand-based pricing is another name for cost-based pricing.

Sales of cell phones in the United States are still increasing,but the rate of growth has slowed.Sales are expected to peak somewhat soon in the U.S.Based on this information,cellular phones are in what stage of the product life cycle in the U.S.?

The use of price discounts and coupons may erode the commitment of consumers to brand names.

Rather than having frequent special sales,Walt's Warehouse has a pricing strategy that maintains lower prices than competitors all the time.Walt's pricing strategy is known as everyday low prices (EDLP).

For most firms,price competition is the most important way to gain a competitive advantage over rivals.

A street vendor selling Rolex watches at ridiculously low prices approached Ted.Ted,however,was suspicious that the watches were illegal ________ brands.

During the ________ stage of the product life cycle sales reach a peak,profits are declining,and the number of competitors starts to decrease.

In marketing today,packaging carries the added responsibility of:

Taking Risks and Making Profits Within the Dynamic Business Environment

Understanding How Economics Affects Business

Doing Business in Global Markets

Demanding Ethical and Socially Responsible Behavior

How to Form a Business

Entrepreneurship and Starting a Small Business

Management and Leadership

Adapting Organizations to Todays Markets

Production and Operations Management

Motivating Employees

Human Resource Management: Finding and Keeping the Best Employees

Dealing With Employee-Management Issues and Relationships

Marketing: Helping Buyers Buy

Distributing Products

Using Effective Promotions

Understanding Accounting and Financial Information

Financial Management

Using Securities Markets for Financing and Investing Opportunities

Money, Financial Institutions, and the Federal Reserve

Appendix A: Using Technology to Manage Information

Appendix B: Managing Risk

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Exam 14: Developing and Pricing Goods and Services

The characteristics of specialty goods restrict their effective sale over the Internet.

According to the Making the Green Connection box,Americans recycle more plastic than cardboard.That's beneficial because plastic is much easier to process and reuse than cardboard.

Ultimately,the price of a good is determined by the interaction of supply and demand in the marketplace.

A skimming pricing strategy:

Firms should listen to their suppliers for new-product ideas.

Target costing adds a profit margin to estimated cost of production to determine the optimal price.

Computers,copiers,and fax machines used by businesses would be classified as:

The strategy of charging prices based on consumer demand rather than cost or a predetermined profit margin represents:

Accessory equipment consists of capital items that cost less and are shorter lived than installation items.

Specialty goods are often marketed through specialty magazines.

Demand-based pricing is another name for cost-based pricing.

Sales of cell phones in the United States are still increasing,but the rate of growth has slowed.Sales are expected to peak somewhat soon in the U.S.Based on this information,cellular phones are in what stage of the product life cycle in the U.S.?

The use of price discounts and coupons may erode the commitment of consumers to brand names.

Rather than having frequent special sales,Walt's Warehouse has a pricing strategy that maintains lower prices than competitors all the time.Walt's pricing strategy is known as everyday low prices (EDLP).

For most firms,price competition is the most important way to gain a competitive advantage over rivals.

A street vendor selling Rolex watches at ridiculously low prices approached Ted.Ted,however,was suspicious that the watches were illegal ________ brands.

During the ________ stage of the product life cycle sales reach a peak,profits are declining,and the number of competitors starts to decrease.

In marketing today,packaging carries the added responsibility of:

Taking Risks and Making Profits Within the Dynamic Business Environment

Understanding How Economics Affects Business

Doing Business in Global Markets

Demanding Ethical and Socially Responsible Behavior

How to Form a Business

Entrepreneurship and Starting a Small Business

Management and Leadership

Adapting Organizations to Todays Markets

Production and Operations Management

Motivating Employees

Human Resource Management: Finding and Keeping the Best Employees

Dealing With Employee-Management Issues and Relationships

Marketing: Helping Buyers Buy

Distributing Products

Using Effective Promotions

Understanding Accounting and Financial Information

Financial Management

Using Securities Markets for Financing and Investing Opportunities

Money, Financial Institutions, and the Federal Reserve

Appendix A: Using Technology to Manage Information

Appendix B: Managing Risk

Filters