Question 1

Which of the following is the best example of a product line?

Accepted Answer

A)  General Motors offers passenger cars,small trucks,and tractor trailers. 
B)  Sony offers DVD players,compact disk players,and video games. 
C)  Kellogg offers Special K,Raisin Bran,Corn Flakes,and a variety of other cold ready-to-eat cereals. 
D)  Hewlett Packard offers scanners,printers and personal computers. 
A)  General Motors offers passenger cars,small trucks,and tractor trailers. 
B)  Sony offers DVD players,compact disk players,and video games. 
C)  Kellogg offers Special K,Raisin Bran,Corn Flakes,and a variety of other cold ready-to-eat cereals. 
D)  Hewlett Packard offers scanners,printers and personal computers.

Question 2

While the packaging of services has not yet captured the attention of businesses,technological improvements will likely create new opportunities.

Accepted Answer

A) True 
 B)False

Question 3

The reputation of the manufacturer and the retail store surroundings are considered part of the value enhancers of a total product offer.

Accepted Answer

A) True 
 B)False

Question 4

When reviewing the product life cycle model,it is important to remember that:

Accepted Answer

A)  although all products go through each stage of the life cycle,the time frame can vary considerably from one product to another. 
B)  it is a theoretical model that may not be followed by all products. 
C)  the maturity stage accounts for the fastest growth in sales. 
D)  companies earn their largest profits in the introduction stage. 
A)  although all products go through each stage of the life cycle,the time frame can vary considerably from one product to another. 
B)  it is a theoretical model that may not be followed by all products. 
C)  the maturity stage accounts for the fastest growth in sales. 
D)  companies earn their largest profits in the introduction stage.

Question 5

Brand equity refers to those factors that people associate with a specific brand name,such as awareness,perceived quality,and loyalty.

Accepted Answer

A) True 
 B)False

Question 6

Brand managers are responsible for the marketing of a product after it has been developed and a clear promotional message has been identified.

Accepted Answer

A) True 
 B)False

Question 7

Business sponsorship of events,such as the Winston-Salem stock car races or NASCAR's Nextel Cup Series,is intended to increase:

Accepted Answer

A)  brand awareness. 
B)  the quality of the event. 
C)  the promotional budget. 
D)  the availability of knockoff brands. 
A)  brand awareness. 
B)  the quality of the event. 
C)  the promotional budget. 
D)  the availability of knockoff brands.

Question 8

A bank's product line may include safety deposit boxes,car loans,and traveler's checks.

Accepted Answer

A) True 
 B)False

Question 9

Papa's Market offers customers tissues,canned vegetables,napkins,and dishwashing detergent in basic packaging with no identified brand.These goods are popular with Papa's cost-conscious shoppers because they are significantly less expensive than nationally known brand names.These types of goods are examples of generic goods.

Accepted Answer

A) True 
 B)False

Question 10

Product testing is designed to reduce the number of new product ideas that a firm works on at any one time.

Accepted Answer

A) True 
 B)False

Question 11

Since Kazam Cleaners offers home and office cleaning services no different from competitors,the company can not utilize a product differentiation strategy.

Accepted Answer

A) True 
 B)False

Question 12

"Create a better mousetrap and the world will beat a path to your door." This statement is consistent with the idea behind the commercialization of products.

Accepted Answer

A) True 
 B)False

Question 13

The Coca Cola Company produces Diet Coke,Diet Coke with Splenda,and Coke Zero along with a number of other flavors.These products are part of Coke's:

Accepted Answer

A)  product line. 
B)  product mix. 
C)  product position. 
D)  product collection. 
A)  product line. 
B)  product mix. 
C)  product position. 
D)  product collection.

Question 14

A __________ is a name,symbol,or design (or combination of these)that identifies the goods or services of one seller or group of sellers and distinguishes them from those of competitors.

Accepted Answer

A)  trademark 
B)  brand 
C)  logo 
D)  copyright 
A)  trademark 
B)  brand 
C)  logo 
D)  copyright

Question 15

Product screening is designed to:

Accepted Answer

A)  shorten the product life cycle. 
B)  reduce the number of new-product ideas being worked on at any one time. 
C)  reduce the time involved in new-product development. 
D)  move production to low wage countries. 
A)  shorten the product life cycle. 
B)  reduce the number of new-product ideas being worked on at any one time. 
C)  reduce the time involved in new-product development. 
D)  move production to low wage countries.

Question 16

The target costing strategy establishes a selling price that consumers are willing to pay for a product,and then subtracts a desired profit margin to determine a target cost of production.

Accepted Answer

A) True 
 B)False

Question 17

The __________ on packages were intended to improve inventory control for businesses.

Accepted Answer

A)  stars and stripes 
B)  Universal Product Codes 
C)  lightweight adhesives 
D)  Unit Standard Inventory bars 
A)  stars and stripes 
B)  Universal Product Codes 
C)  lightweight adhesives 
D)  Unit Standard Inventory bars

Question 18

The break-even point is that level of sales where total revenues equals total costs.

Accepted Answer

A) True 
 B)False

Question 19

Green Giant Green Beans,Chevy Corvette,Coca Cola,Dole Pineapple,and Peter Pan Peanut Butter are all examples of:

Accepted Answer

A)  private brands. 
B)  wholesaler brands. 
C)  manufacturers' brands. 
D)  registered generic brands. 
A)  private brands. 
B)  wholesaler brands. 
C)  manufacturers' brands. 
D)  registered generic brands.

Question 20

The U.S.legal system does not offer trademark protection.

Accepted Answer

A) True 
 B)False

Exam 14: Developing and Pricing Goods and Services

Which of the following is the best example of a product line?

While the packaging of services has not yet captured the attention of businesses,technological improvements will likely create new opportunities.

The reputation of the manufacturer and the retail store surroundings are considered part of the value enhancers of a total product offer.

When reviewing the product life cycle model,it is important to remember that:

Brand equity refers to those factors that people associate with a specific brand name,such as awareness,perceived quality,and loyalty.

Brand managers are responsible for the marketing of a product after it has been developed and a clear promotional message has been identified.

Business sponsorship of events,such as the Winston-Salem stock car races or NASCAR's Nextel Cup Series,is intended to increase:

A bank's product line may include safety deposit boxes,car loans,and traveler's checks.

Product testing is designed to reduce the number of new product ideas that a firm works on at any one time.

Since Kazam Cleaners offers home and office cleaning services no different from competitors,the company can not utilize a product differentiation strategy.

"Create a better mousetrap and the world will beat a path to your door." This statement is consistent with the idea behind the commercialization of products.

The Coca Cola Company produces Diet Coke,Diet Coke with Splenda,and Coke Zero along with a number of other flavors.These products are part of Coke's:

A __________ is a name,symbol,or design (or combination of these)that identifies the goods or services of one seller or group of sellers and distinguishes them from those of competitors.

Product screening is designed to:

The target costing strategy establishes a selling price that consumers are willing to pay for a product,and then subtracts a desired profit margin to determine a target cost of production.

The __________ on packages were intended to improve inventory control for businesses.

The break-even point is that level of sales where total revenues equals total costs.

Green Giant Green Beans,Chevy Corvette,Coca Cola,Dole Pineapple,and Peter Pan Peanut Butter are all examples of:

The U.S.legal system does not offer trademark protection.

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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