Question 1

Borden,Inc.makes pasta,dairy items,and adhesives.These different types of products are referred to as Borden's:

Accepted Answer

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

Question 2

Successful marketers attempt to think like consumers and evaluate the total product offer as a collection of impressions created by all parts of the value package.

Accepted Answer

A) True 
 B)False

Question 3

Department stores often use _________ pricing in which they have regular prices which are relatively high,but offer special sales where prices are set lower than competitors.

Accepted Answer

A)  penetration 
B)  bundling 
C)  strategic 
D)  high-low 
A)  penetration 
B)  bundling 
C)  strategic 
D)  high-low

Question 4

Successful businesses develop a mix of price,product,place,and promotion that is consistently applied throughout a product's life cycle.

Accepted Answer

A) True 
 B)False

Question 5

Knowledge of the product life cycle model can help firms develop marketing strategies and anticipate market changes.

Accepted Answer

A) True 
 B)False

Question 6

The pricing objectives of a firm should be set independently of the other elements of their marketing mix.

Accepted Answer

A) True 
 B)False

Question 7

Which of the following statements about non-price competition is most accurate?

Accepted Answer

A)  While still important,non-price competition is becoming less critical as a result of the Internet. 
B)  Marketers often rely on non-price differences in their competitive strategy to enhance a relatively homogeneous product. 
C)  Non-price competition is much more important to large firms than it is to small firms. 
D)  As microeconomic theory suggests,firms have found that non-price competition plays a secondary role that supplements the more important competition based on price. 
A)  While still important,non-price competition is becoming less critical as a result of the Internet. 
B)  Marketers often rely on non-price differences in their competitive strategy to enhance a relatively homogeneous product. 
C)  Non-price competition is much more important to large firms than it is to small firms. 
D)  As microeconomic theory suggests,firms have found that non-price competition plays a secondary role that supplements the more important competition based on price.

Question 8

Gabe intends to visit a variety of retailers of sound equipment comparing features,quality,and prices of different brands at each store.This behavior indicates that for Gabe a sound system is a shopping good.

Accepted Answer

A) True 
 B)False

Question 9

A competition-based pricing strategy in which all the competitors in an industry follow the pricing practices of one or more dominant firms is known as:

Accepted Answer

A)  market fixing. 
B)  price penetration. 
C)  price leadership. 
D)  primary pricing. 
A)  market fixing. 
B)  price penetration. 
C)  price leadership. 
D)  primary pricing.

Question 10

Fashion experts readily understand the power of _______________.Shortly after Kate Middleton married Prince William,heir to the British throne,throngs of soon-to-be-brides scrambled to find copies of her bridal gown,and also that of her sister Pippa's bridesmaid gown.

Accepted Answer

A)  brand equity 
B)  brand association 
C)  brand awareness 
D)  marketing parity 
A)  brand equity 
B)  brand association 
C)  brand awareness 
D)  marketing parity

Question 11

Successful marketing of convenience and specialty goods require different marketing mixes.

Accepted Answer

A) True 
 B)False

Question 12

Event sponsorship like the FedEx Orange Bowl football game helps improve brand awareness.

Accepted Answer

A) True 
 B)False

Question 13

John needed transportation.Now that his new marketing job was "in the bag," it was time to go shopping."New" was probably going to be out of the question.He wasn't planning on going into debt with a fancy car! As he reviewed his options,he listed the kinds of things he wanted in a vehicle: the ability to carry some large things;a comfortable back seat for his two dogs;4-wheel drive for snow and ice;and economical on gas.Marketers know that today's consumers __________________.

Accepted Answer

A)  are educated and very savvy and are looking for features and not benefits 
B)  are willing to pay just about any price if they find the features they want 
C)  look for the best value (benefits outweigh the cost) 
D)  are always economically sensitive,first 
A)  are educated and very savvy and are looking for features and not benefits 
B)  are willing to pay just about any price if they find the features they want 
C)  look for the best value (benefits outweigh the cost) 
D)  are always economically sensitive,first

Question 14

Brand association is the linking of a brand to other favorable images such as a celebrity or geographic location.

Accepted Answer

A) True 
 B)False

Question 15

Which of the following would a firm most likely use to differentiate its product?

Accepted Answer

A)  Financial differences 
B)  Increased production 
C)  Elaborate packaging 
D)  Manual warehousing 
A)  Financial differences 
B)  Increased production 
C)  Elaborate packaging 
D)  Manual warehousing

Question 16

Dutch owns and operates a small pizzeria that competes with a variety of other restaurants offering pizza on their menus.His largest competitors are large nationally known organizations.The small size of Dutch's business prevents him from successfully utilizing a product differentiation strategy.

Accepted Answer

A) True 
 B)False

Question 17

While packaging innovations benefit the consumer,they have vastly increased the workload of retailers.

Accepted Answer

A) True 
 B)False

Question 18

Employees,not the firm's research and development department,are the number one source of ideas for new industrial products.

Accepted Answer

A) True 
 B)False

Question 19

Consumer goods and services are generally classified into four specific categories.What are the four categories,and how do they differ? Illustrate by giving examples of products that are often included in each category.

Accepted Answer

Consumer goods and services are classifi

Question 20

Knockoff brands are ________ copies of national brand-name goods.

Accepted Answer

A)  exact 
B)  Web-based 
C)  illegal 
D)  licensed 
A)  exact 
B)  Web-based 
C)  illegal 
D)  licensed

Exam 14: Developing and Pricing Goods and Services

Borden,Inc.makes pasta,dairy items,and adhesives.These different types of products are referred to as Borden's:

Successful marketers attempt to think like consumers and evaluate the total product offer as a collection of impressions created by all parts of the value package.

Department stores often use _________ pricing in which they have regular prices which are relatively high,but offer special sales where prices are set lower than competitors.

Successful businesses develop a mix of price,product,place,and promotion that is consistently applied throughout a product's life cycle.

Knowledge of the product life cycle model can help firms develop marketing strategies and anticipate market changes.

The pricing objectives of a firm should be set independently of the other elements of their marketing mix.

Which of the following statements about non-price competition is most accurate?

Gabe intends to visit a variety of retailers of sound equipment comparing features,quality,and prices of different brands at each store.This behavior indicates that for Gabe a sound system is a shopping good.

A competition-based pricing strategy in which all the competitors in an industry follow the pricing practices of one or more dominant firms is known as:

Fashion experts readily understand the power of _______________.Shortly after Kate Middleton married Prince William,heir to the British throne,throngs of soon-to-be-brides scrambled to find copies of her bridal gown,and also that of her sister Pippa's bridesmaid gown.

Successful marketing of convenience and specialty goods require different marketing mixes.

Event sponsorship like the FedEx Orange Bowl football game helps improve brand awareness.

Brand association is the linking of a brand to other favorable images such as a celebrity or geographic location.

Which of the following would a firm most likely use to differentiate its product?

Dutch owns and operates a small pizzeria that competes with a variety of other restaurants offering pizza on their menus.His largest competitors are large nationally known organizations.The small size of Dutch's business prevents him from successfully utilizing a product differentiation strategy.

While packaging innovations benefit the consumer,they have vastly increased the workload of retailers.

Employees,not the firm's research and development department,are the number one source of ideas for new industrial products.

Consumer goods and services are generally classified into four specific categories.What are the four categories,and how do they differ? Illustrate by giving examples of products that are often included in each category.

Knockoff brands are ________ copies of national brand-name goods.

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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